The Newton Widget Company owned two properties, each of which contained a factory. After recognizing the need to modernize its operations, it requested a loan of $500 000 from the Bank of the Rockies. The bank agreed but insisted on taking a mortgage over both properties as security. Even with the loan, Newton found it very difficult to afford the computerized equipment that it intended to purchase. It therefore decided to cut back on other expenses. It accordingly stopped paying its property taxes and cancelled the insurance contract that previously provided compensation for any loss or damage that occurred to its land, buildings, or equipment. In an effort to streamline its production of widgets, it also levelled one of its factories, which was valuable but in need of repair and costly to maintain. It then consolidated all its operations into the single factory. Up to this point, Newton has made mortgage payments as required under the parties' agreement. The bank nevertheless feels aggrieved. Why? Has Newton done anything wrong? Explain your answer.