On April 1, 2006, Genco borrowed an additional $500,000 for which it issued a demand promissory note
which bears interest at 15%.
A demand promissory note
evidencing such receivables financing has been issued by SNCM and SNHC and such note is guaranteed by SNMHC.
To raise funds for its operations, the co-op sold investors uncollateralized demand promissory notes
a member of the Dan Group) immediately demanded repayment of amounts outstanding under certain demand promissory notes
held by them in the amount of approximately $12 million.
To raise funds for its operations, the Farmers' Cooperative of Arkansas and Oklahoma sold uncollateralized demand promissory notes