The Coconino sun., 1925-01-16
THE COCON1NO SUN

payment, although not earned or de-
Iclared, before any payments are madc
to the holders of the uncassifiet
common stock; and the holder OF the
class A preferred stock shall be en-
titled to no further payment
13) If the proportion Of the earn
lings Of the corporation out Of which
any class A preferred stock dividend
is payable for any half year shall be
Insufficient to pay the dividend for
that half year on class A preferred
stock, such dividend may be paid out
of earned surplus, subject, however, to
the rights of the holders Of the first
preferred stock and providing that
isueh surplus does not consist in any
part of the portion Of the surplus with
(which classified common stockholders
are entitled to be credited as provid-
ed in Article VI, paragraph (2). &.
t4) Class A preferred stock shall
have no voting power except as spe-
ciflcal,. provided by law.
(5) Subject to the provisions Of
law class A preferred stock shall be
issued at such prices and for such con-
lsideration, at such times and in such
manner, and in such amounts as the
Board Of Directors shall determine
Article TX
UNC LASSIFIED COMMON
STOCK:
"a The unclassified common stock
shall not be assessable for any pur-
pose.
The holders of the unclassified COM
mon stock of this corporation shall be
entitled (subject to the rights of the
holders Of first preferred stock, clas-
sified common stock and class A pre-
feTred stock, as set forth in these
Artides) to receive all dividends,
whether stock or cash, declared and
distributed out of the profits earned
by the corporation.
(2) At the end of any year when
the net earnings of the corporation
equal 1870 or more upon the book
value {exclusive of current years
earnings) of the unclassified common
stock latter deduction from such net
earnings OF the dividends payable upon
the first preferred stock, the class A
preferred stock, and the proportion of
the net earnings with which the CLASH
fled common stockholders are entitled
to be credited) the unclassified COM
mon stockholders shall be- entitled to
receive and the Board Of Directors of
the corporation must declare and dis
tribute, q dividend in cash equal to
at least TO Of the book value of such
common stock, and when
such net earnings equal 209o or more,
the unclassified common stockholders
shall be entitled to receive, and the
Board Of Directors of the corporation
must declare and distribute, divi-
dend in cash equal to at least 10Go of
the book value of such unclassified
common stock These proyNions in
no way constitute restriction. upon
the maximum rate of dividends which
may be declared and paid upon the
unclassified common stock.
Provided, however, that the capital |
of the corporation has not been inn
paired by previous losses making it |
necessary to restore the same before |
the declaration and distribution of
either of such dividends, and further |
provided that the declaration and dis
tribution Of either of such dividends /
does not in any way conflict with the
provisions Of Articles V and VIII I
pertaining to first preferred stock and
class A preferred stock.
(3) Said unclassified common
stock, without nominal or par value, I
may be issued by the corporation from
Tine to time for such consideration as
nay be fixed from time to time by
he Board Of Directors therefor.
(4) Subject to the provisions of
(2) of this Article, the
Board of Directors may cause to be /
all or any part of that I
portion of the net earnings accruing
20 the benefit of the unclassified COM
non stockholders for use in further
lnce Of the business of the corpora
ion, and may declare and distribute
stock dividends of unclassified COM
non stock converting all or any part
,f said earnings into capital.
Article X
RESTRICTIONS ON THE SALE
0F UNCLASSIFIED COMMON
STOCK:
The subscriptions for and ownership
If all unclassified common stock in
his corporation are made and taken
lpon the condition that the purchaser,
,wner or holder thereof desiring to
;ell the same, shall first deliver the
same to the Board of Directors for
iale, who shall fix the price to be
1aid to said stockholder for said stock
~ computing the value Of said stock
~ the following method, % it shall
iscertain the book value of said stock
Is of the last day of the calendar
month in which the stockholder de-
ivers his stock, as established by the
accounting methods employed by said
at the time delivery is
made, (2) it shall ascertain the good
viii value of said stock by the method
hen in use by the corporation as set
'orth in its bylaws or by resolution
# the stockholders or Board of Di-
'ectors. The total of the book value
# the stock and one-half its good will
,alue as ascertained (if any shall be
he price to be paid to the stock
lolder.
As soon as the price Of said stock
las been fixed, and the stakeholder
las been notified of such fact the
acting through its Beard
# Directors shall have the right
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