Loan to Bethany Seminary is Paid in Full

On April 13, 1998, Bethany Seminary repaid a $4 million dollar loan to Brethren Benefit Trust, two weeks early. Wilfred Nolen, BBT president, said, "This occasion calls for more than the traditional mortgage burning. A solid partnership resulted from the contract between our two agencies , and we want to commemorate our strong alliance." BBT willpresent a framed excerpt from the mortgage stamped with the words "Paid in Full, April 13, 1998," featuring photos of the key leadership from both agencies around a photo of the new Bethany building. The gift is aptly titled "Partners."

The BBT board had issued the five-year loan in May 1993 but not without serious, in-depth study, sharp debate, four meetings, and eight votes including amendments. First and foremost board members required that the loan have good security and generate a competitive return. To be successful, it needed to benefit both parties:

For Bethany, the agreement was a less costly option than the bond-issue alternative available to them and produced immediate, single-source financing. It supported Bethany's commitment to complete their move in the most economical manner. For BBT the investment offered a solid alternative to the low-yielding bond market at that time. Interest from the loan would benefit retired pension plan members by helping to maintain an eight percent assumption rate for their pension annuities. April 13 marked the completion of both objectives: Bethany faculty and students have successfully relocated and settled into their new home in Richmond, Indiana. The Brethren Benefit Trust has received a competitive return on its investment for the ongoing support of its retired plan members.

Reflecting on the accomplishment, Wil Nolen said, "Beyond 1998, we look to a future of on-going collaboration with Bethany. By demonstrating that 'working together makes us all stronger,' we have created a positive legacy for our Church."