C.A.F.R., FY 2006-07 - Laserfiche WebLink

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City of Paris, Texas Notes to Financial Statements September 30, 2007 IV. Detailed Notes on All Funds and Component Unit (Continued) B. Receivables (Continued) Receivables as of year-end for PEDC are as follows: Sales Tax Receivable Accrued Interest Receivable Notes Receivable Total Receivables $ 199,084 10,553 2,907,211 $ 3,116,848 PEDC has a note receivable bearing interest at 7.00% from a corporation located in Paris, Texas, to assist with the purchase of an existing business. The note is due in monthly installments of principal and interest of $32,000 through April 15, 2017, at which time the remaining principal is due. This note is secured by a security agreement, which lists PEDC as having a subordinate interest in all respects to the financial institution involved and to other individuals as listed in the security agreement. The balance of this note at September 30, 2007, was $2,669,211 . PEDC and C-Tech, Inc. entered into an incentive agreement and a loan agreement dated June 16, 2003. PEDC agreed to grant C-Tech, Inc. certain economic incentives in consideration of C- Tech's agreement to conduct business, create new jobs over a certain period of time, and execute and deliver anon-interest bearing promissory note in favor of PEDC with an original principal amount of $1,500,000. C-Tech, Inc. did not comply with the terms of the agreements and the terms were renegotiated. On July 25, 2007, a new agreement became effective which provided for an immediate payment of $250,000, and additional payment of $50,000 by December 2, 2007, and monthly payments of $6,000 until $200,000 is paid, beginning September 1, 2007. The balance remaining of the note is $238,000. 36