Minutes - 21

20

Acceptance of Proposition of Jno H. Kirby

Thereupon after due consideration the following resolution was presented - seconded - and unanimously adopted.

Resolved that this companydo hereby accept the proposal of Mr. John H. Kirby submitted at this meeting and hereinabove recited - and under the advice and direction of counsel of the company the proper officers of the company are directed to conclude the purchase of the various properties mentioned in schedule "A" attached to the proposal aforesaid - by the issue and deliver to Mr. Kirby of $20,000.00 in fair value of its common stock - and the cash payment provided for in said proposal - and the assumption in such form and manner as may be deemed advisable of the cash payments - maining to be made upon the said properties and as specified in the schedule annexed to the proposal of Mr. Kirby and generally in and about the premises to do such things and execute such investmetns in the name of and under the seal of the company as may by counsel reasonably devised therefor - and -

Resolved that this company do accept the offer of Mr. Kirby to contract for the purchase - cutting and removal from the lands to be acquired by it of the yellow pine timber thereon of the dimensions in said contract provided up to 8,000,000,000 feet for the aggregate sum of $38,250,000 under a contract the form of which is annexed to said proposal - and -

Resolved that in case this company should not acquire all the lands set forth in said schedule - and shall be unable to deliver the whole 8,000,000,000 feet of lumber therein contracted for, that the said Kirby shall only be entitled to such merchantable timber up to the amount herein named as this copany shall be able to furnish and that there shall be no charges assessed against this company for its failure in that regard.

Offer to Purchase Southern Oil Co

Thereupon the following resolution was presented seconded and unanimously adopted - Mr. Henry T. Kent not voting.

Whereas it is deemed advisable for the interests of the Houston Oil Company of Texas to purchase the properties of the Southern Oil Company a corporation duly incorporated under the laws of the state of Texas - with its chief office at Corsicana Texas.

Wherefore be it resolved that the Houston Oil Company of Texas does hereby offer the Southern Oil Company one million dollars ($1,000,000)