Loan secured and finalized

The September 28-29, 2006, meeting of the Metropolitan Council of the Orthodox Church in America, was held at the headquarters of the Orthodox Church in America in Syosset, New York. Acting Treasurer, V. Rev. Paul Kucynda, reported that the loan for $1,700,000.00 between The Honesdale National Bank and the OCA as authorized by resolution of the Metropolitan Council at their June 13-14, 2006 meeting was secured and finalized on September 20, 2006.

The following Summary of Outstanding Debts initially submitted in the loan application submitted to The Honesdale National Bank, and included in the application approved by the Supreme Court of the State of New York, County of Nassau, Mineola, New York, and as approved by the Attorney General of the State of NY is as follows:

The Orthodox Church in America

Summary of Outstanding Debts

as of April 4, 2006

Commerce Bank Line of Credit

$500,000.00

FOS Endowments

$42,880.00

Other Endowments - Smith Barney Main Acct.

$85,000.00

Chechen Relief

$30,000.00

Medical Assistance for clergy

$13,000.00

Outstanding All-American Council Expenses

$140,000.00

Outstanding Invoices

$287,800.00

Mission Appeal

$87,560.00

Seminary Appeal

$151,940.00

Charity Appeal

$41,750.00

Christmas Stocking Project

$16,600.00

9/11 Emergency Funds

$90,590.00

Beslan Relief

$34,640.00

Florida Hurricane Relief

$13,920.00

IOCC Appeal

$3,300.00

Publication Reserve

$27,500.00

Academic Fellowship Fund

$52,800.00

Seminary Internship Fund

$7,960.00

Military Chaplain Reserve

$270.00

Earmarked Funds: 4 Russian Orphanages

$25,000.00

Closing Expenses/Miscellaneous Expenses

$47,490.00

TOTAL
$1,700,000.00
As a partial fulfillment of the requirements of the approved application, the following distributions were made at the closing:
Disbursements of Loan amount made at closing

Commerce Bank, N.A., to satisfy the principal amount owed and accrued interest on Borrower’s credit line. Paid with proceeds check.

$502,430.57

The Orthodox Church in America, for net proceeds of Loan. Advanced with proceeds check.

$253,503.43

The Honesdale National Bank, for Lender’s fees and costs. Paid with proceeds check.

$9,326.00

Richard B. Henry, Esq., for Lender’s counsel fees. Paid with proceeds check.

$4,515.00

Chicago Title Insurance Company, for title insurance premiums, recording charges and survey fees, and mortgage recording tax. Paid with proceeds check.

$25,215.00

Sal DiMisa, Title Closer fees. Paid with proceeds check.

$300.00

Sahn Ward & Baker, PLLC, for Borrower’s counsel fees and expenses. Paid with proceeds check.

$40,000.00

The Orthodox Church in America, Balance of Loan Proceeds.

These funds were deposited in The Orthodox Church in America account at The Honesdale National Bank

$864,710.00

TOTAL

$1,700,000.00

Other disbursements relative to the fulfillment of the requirements of the approved application are the following:

Disbursement from account of Sahn Ward & Baker, PLLC on behalf of The Orthodox Church in America made at closing

Chicago Title Insurance Company. Paid by Sahn Ward & Baker, PLLC, on account of the mortgage recording tax and recording of UCC-3 Termination Statements for Commerce Bank, N.A. Line of Credit Account
$1,000.00

DISBURSEMENT FROM THE ORTHODOX CHURCH IN AMERICA HONESDALE BANK ACCOUNT ON SEPTEMBER 20, 2006 St. Tikhon’s Orthodox Monastery. Check in full payment of loan and interest on $140,000.00 borrowed on November 17, 2005 to pay the outstanding 14th AAC expenses to Sheraton Centre Toronto.

$149,299.29

TRANSFER FROM THE ORTHODOX CHURCH IN AMERICA HONESDALE BANK ACCOUNT TO THE ORTHODOX CHURCH IN AMERICA COMMERCE BANK GENERAL CHECKING ACCOUNT
on September 29, 2006, for distribution to St. Herman’s Seminary, St. Tikhon’s Seminary, and St. Vladimir’s Seminary.

$150, 000.00

Further press releases will be issued as payments are made to fulfill the requirements contained in the loan application.