The Coconino sun., 1927-05-06


| dividends at the rate of six pel cent
4 (6aS) per annurn, payable on the last
day Of June, 1927, and thereafter
q quarterly on the last day of March,
June, September and December Of
each year. If the corporation shall
fail to pay such dividends quarterly
on all the outstanding preferred stock,
all accumulated dividends thereon
] shall be fully paid before any dividend
shall be set apart, declared or paid
upon the common stock. The pre-
y ferred stock shall be entitled to no
other or further dividends. Thsi pre-
] ferred stock shall be redeemable, in
/ whole or in part, on sixty (60) days
notice by mail, at One Hundred and
Three Dollars ($103.) per share and
an amount equal to the accumulated
1 dividends to the date of redemption,
although not earned or declared when
/ any redemption is made of part sH the
preferred stock outstanding it shah
be in such manner and hy such meth
1 cd as the Board Of Directors shall de-
termine.
1 (2) Upon any sale Of all the as
sets of the corporation, or upon any
4 liquidation of the corporation in whole
4 or in part, whether voluntary sir in
i voluntary, except upon discontinaance
/ of a store in accordance with the pro-
j visions Of Articles XI and XIII hereof,
/ the holders of preferred stock shall be
entitled to be paid One Hundred and
/ Three per cent (103qe) Of the par
value thereof, and an amount equal to
i the accumulated dividends to the date
Of payment, although not earned or
4 declared, before any payments are
i made to the holders of the cornmon
stock; and the holders of the preferred
stock shall be entitled to no further
i payment
II (3) If the proportion Of the earn
ings of the corporation out of which
any preferred stock dividend is pay
able for any quarter shall be insult
4 ficient to pay the dividends for that
/ quarter on the preferred stock, such
/ dividends may be paid out of earned
surplus, providing that such surplus
1 does not consist II. any part Of the por-
/ ton of the surplus with which classi-
/ fled common stockholders are entitled
/ to be credited as provided in Article
VI, paragraph l2).
(4) The preferred stock shall have
no voting power except as specifically
provided by statute.
i Cd Subject to the provisions of
law, the preferred stock shall be is
sued at such prices and for such con-
! sideration, at such times and in such
4 manner, and in such amounts as the
Board of Directors shall determine.
ARTICLE TX
+ Comfnorl Stock
4 (1) The common stock shall not
be assessable for any purpose what
i ever.
! The holders of the common stock
of this corporation shall be entitled
(subject to the rights of the holders
4 of preferred stock, and to the rights
j of the. holders of classified common
stock until all of the same shall have
been converted into common stock
1 and preferred stock, or either, on or
prior to December 81, 1881, as herein
after provided in Articles XT and
+ XIII to receive all dividends, whether
stock or cash, declared and distributed
I out of the surplus or net profits
4 earned by the corporation.
! (2) Said common stock, without
| nominal or par value, may be issued
/ by the corporation from time to time
for such consideration as may be fixed
! from time to time by the Board Of
/ Directors therefor, and all issued
shares of such common stock shall
be deemed fully paid and non-assess-
/ able and the holders of such shares
] shall not be liable Hereunder to this
! corporation or its creditors.
(3) The Board Of Directors may
j cause to be accumulated all or any
/ part of that portion of the net earn
ings accruing TO the benefit of the
common stockholders for use in fur
therance of the business Of the corr
poration, and may declare and dis
tribute stock dividends of common
stock converting all or any part of
said earnings into capital.
j (4) In the event that any of said
common stock is purchased by the cor
i poration out Of its surplus funds it
may either be retired or reissued and
resold as provided in Article XVI
hereof.
ARTICLE XI
Limitation on Ownership of Classified
Common Stock; Conversion of
Classified Common Stock into
Preferred Stock andor
Common Stock
"a No classified common stock Of
! this corporation in addition to that
4 issued and outstanding on December
81, 1926, shall be issued by the cor
poration to any person whatsoever,
I even though such amount may be
less than the total amount authorized
/ in Article Nv hereof.
/ III Classified common stock Of
the corporation issued and outstand-
ing on December 81, 1925, must be
converted by the owner and holder
thereof into common stock and pre-
i ferred stock of the corporation,
or either, as hereinafter provided,
when the store for which such shares
were issued has fulfilled one of the
! two following conditions:
A. When. having been in continue
4 ous operation for at least one full
calendar year, it shall have, in any
/ full calendar year commencing with
January ], 1926, net earnings on its
store capital equal to at least one half
! the rate of net earnings upon the ag-
1 gregate store capital Of all the stores
of the corporation for the same full
II rnsln ~, wan e ~