118

112

in the inverse order of their numbers on any interest payment date
after September 1, 1974, at the principal amount of the bonds to be
redeemed, together with the interest accrued thereon to the date fixed
for redemption, plus a premium of 3% of such principal amount if
redeemed on or prior to September 1, 1979, 2-1/2% if redeemed
thereafter and on or prior to September 1, 1984, 2% if redeemed there-
after and on or prior to September 1, 1989, 1-1/2% if redeemed there-
after and on or prior to September 1, 1994, and 1% if redeemed there-
after. Definitive coupon 1964 Series F bonds numbered 1-F to 253-F,
inclusive, maturing September 1, 1967 to September 1, 1974, inclusive,
shall not be subject to redemption.

Notwithstanding any of the foregoing provisions of this Section, if the
United States of America or any agency thereof holds any 1964 Series A
bonds, any 1964 Series E bonds, and any 1964 Series C bonds, and 1964
Series E bonds or any 1964 Series F bonds, all such bonds so held may
be redeemed in the inverse order of their numbers on any interest pay-
ment date prior to their respective maturities and without the payment of
any redemption premium.

The bonds issued at any one time under the provisions of Section 211,
212 or 213 of this Resolution may be made subject to redemption, either
in whole or in part and at such times and prices, as may be provided by
resolution adopted by the Board or the Executive Committee prior to the
issuance of such bonds and any redemption of any such bonds in part
shall be in the inverse order of their maturities.

A redemption of any bonds issued under the provisions of this
Resolution and then outstanding less than the whole thereof shall be
subject to the conditions set forth in paragraph (c) of Section 507 of this
Resolution.

Any temporary bond or bonds without coupons shall be subject to
redemption as provided above for the definitive coupon bonds of correspond-
ing series and maturities, except that any redemption in part shall be in
the inverse order of the maturity dates of the instalments of principal of
such temporary bond or bonds without coupons.

Section 302. At least thirty (30) days before the redemption date a
notice of any such redemption, either in whole or in part, signed in the
name of the Board by the Secretary of the Board, (a) shall be published
once in a newspaper of general circulation published in the City of
Raleigh, North Carolina, and in a financial journal published in the
English language in the Borough of Manhattan, City and State of New York,
(b) shall be filed with each of the Paying Agents, aid (c) shall be mailed,
postage prepaid, to all registered owners of bonds to be redeemed at
their addresses as they appear on the registration books hereinabove
provided for; but failture so to mail any such notice shall not affect the
validity of the proceedings for such redemption. Such notice shall set
forth the date fixed for redemption, the redemption price to be paid and,
if less than all of the definitive coupon bonds then outstanding shall be
called for redemption, the series and the numbers of such bonds. If any
temporary bond without coupons is to be redeemed in part only, such
notice shall set forth the portion of the principal amount thereof to be
redeemed. Notwithstanding the foregoing provisions of this Section,
publication of such notice shall not be required for the redemption of any
bonds held by the United States of America or any agency thereof, or in
the event that all bonds outstanding hereunder are registered, if notice
shall be filed and mailed as provided above in this Section.

Section 303. On the date so designated for redemption, notice having
been published and filed in the manner and under the conditions hereinabove
provided and moneys for payment of the redemption price being held in trust
for such purpose, all as provided in this Resolution, the definitive coupon
bonds or the portion of any temporary bond without coupons so called for
redemption shall become and be due and payable at the redemption price
provided for redemption of such definitive coupon bonds or portion of such
temporary bond without coupons on such date, interest on the definitive
coupon bonds or the portion of such temporary bond without coupons so
called for redemption shall cease to accrue, coupons for any such interest
payable after such date shall be void, such definitive cioupon bonds or such
portion of such temporary bond without coupons shall cease to be entitled
to any lien, benefit or security under this Resolution, and the holders of
such definitive coupon bonds or of such portion of such temporary bond
without coupons shall have no rights in respect thereof except to receive
payment of the redemption price thereof.