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r � RE- RECORDED ADJUSTABLE RATE RIDER 87. 100501 THIS AwuSTAuz RATE RIDER is made this 23rd day of December ,19 86 , q and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed ( "Mortgage "), of even date herewith, given by the undersigned (" Mortgagor ") to secure Mortgagor's Adjustable Rate Note ( "Note "), of even date herewith, to Occidental /Nebraska Federal Savings Bank ("Mortgagee "), covering the premises described in the Mortgage and located at 1727 Bridle Lane Grand Island NE 68803 Notwithstanding anything to the contrary set forth in the Mortgage, Mortgagor and Mortgagee hereby agree to the following: 1. Under the Note, the initial stated interest rate Of Seven and one half per centum ( 7.5000 %) per annum ( "Initial Interest Rate ") on the unpaid principal balance is subject to change, as hereinafter described. %ben the interest rate changes, the equal monthly installments of principal and interest also will be adjusted, as hereinafter provided, so that each installment will be in an amount necessary to fully amortize the unpaid principal balance of the Note, at the new adjusted interest rate, over the remaining tern of the Note. 2. The first adjustment to the interest rate (if any adjustment is required) will be effective on the first day of April , 19 88 (which date will not be less than twelve months nor more than eighteen months from the due date of the first installment payment under the Note), and thereafter each adjustment to the interest rate will be made effective on that day of each succeeding year during the term of the Mortgage ( "Change Date "). 3. Each adjustment to the interest rate will be made based upon the following method of employing the weekly average yield on United States Treasury Securities adjusted to a constant maturity of one year ( "Index "; the Index is published in the Federal Reserve Bulletin and made available by the United States Treasury Department in Statistical Realease H. 15[5191). As of each Change Date, it will be determined whether or not an interest rate adjustment must be made, and the amount of the new adjusted interest rate, if any, as follows: (a) The amount of the Index will be determined, using the most recently available e figure, thirty (30) days before t'l Change Date ( "Current Index "). (b) Two percentage points ( 2.000 %; the "Margin ") will be added to the Current Index and the sum of this addition will be rounded to the nearest one -eighth of one percentage point (0.1255). The rounded sun, of the Margin plus the Current Index, will be called the "Calculated Interest Rate" for each Change Date. (c) The Calculated interest Rate will be compared to the interest rate being earned immediately prior to the current Change Date (such interest rate being called the "Existing Interest Rate "). Then, the new adjusted interest rate, if any, will be determined as follows: W If the Calculated Interest Rate is the same as the Existing Interest Rate, the interest rate will not change. (ii) If the difference between the Calculated Interest Rate and the Existing Interest Rate is less than or equal to one percentage point, the new adjusted interest rate will be equal to the Calculated Interest Rate (subject to the maximum allowable change over the term of the Mortgage of five percentage points, in either direction, fran the Initial Interest Rate, herein called the "5% Cap "). (iii) If the Calculated Interest Rate exceeds the Existing Interest Rate by more than one percentage point, the new adjusted interest rate will be equal __._.,... to one percentage point higher than the Existing Interest Rate (subject to the 5% Cap). (iv) If the Calculated Interest Rate is less than Existing Interest Rate by more than one percentage point, the new adjusted interest rate will be equal to one percentage point less than the Existing Interest Rate (subject to the 5% Cap). (d) Notwithstanding anything contained in this Adjustable Rate Rider, in no event will any new adjusted interest rate be more than five percentage (5 %) points higher or lower than the Initial Interest Rate. If any increase or decrease in the Existing Interest Rate would cause the new ad;usted interest rate to exoL_L_d the 5% CAP, the new adjusted interest rate will 1-,c limited t `tve to rccntage (51) p,_-ants higher or lower, wtuchfvF•r is appliclblo, titan the -::iti it Inte�f•:t Rate. r