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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, and (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 failure so to mail any such notice shall not affect the validity of the proceedings for such redemption. Each 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 coupon 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 coup on 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.

Section 304. All unpaid interest coupons which appertain to definitive coupon bonds so called for redemption and which shall have become due and payable on or prior to the date of redemption designated in such notice shall continue to be payable to the bearers severally and respectively upon the presentation and surrender of such coupons.

Section 305. In case part but not all of a temporary bond without coupons shall be selected for redemption, the payment of the principal amount thereof so called for redemption shall be endorsed on the payment record of such bond and the Board shall be duly notified thereof.

Section 306. Definitive coupon bonds so redeemed and all unmatured coupons appertaining thereto, and any temporary bond without coupons so redeemed in whole, shall be cancelled upon surrender thereof.

Section 307. Definitive coupon bonds and any portion of a temporary bond without coupons which have been duly called for redemption under the provisions of this Article, and for the payment of the redemption price of which moneys shall be held in trust for such purpose by a Depositary or the Paying Agents, shall not thereafter be deemed to be outstanding under the provisions of this Resolution.

ARTICLE IV.

Custody and Application of Proceeds of Series F Bonds.

Section 401. A special fund is hereby created and designated "The University of North Carolina at Chapel Hill Dormitory Construction Account of 1963" (herein sometimes called the "Construction Account"), to the credit of which there shall be deposited the proceeds of the