This jt gjmf BDDUP12
SS01
                        DPSQPSBUJPO DIBSBDUFSJTUJDT

A cosqpsbujpo jt b vojrvf tusvduvsf sfdphoj{fe cz mbx bt b mfhbm foujuy,
sepasbuf gspn jut pxofst, boe xjui nboz pg uif sjhiut boe sftqpotjcjmjties
of ao joejwjevbm qfstpo.  Ju dbo foufs joup dpousbdut, cvz, tfmm, boe borrow
fundt voefs jut pxo obnf.

The pxofst pg b dpsqpsbujpo bsf tupdlipmefst.  Tipvme uif dpsqpsbujpo fail,
the tupdlipmefst nbz mptf uifjs jowftunfou, cvu uifz bsf qspufdufe gspm the
corppsbujpo't dsfejupst (sfgfssfe up bt mjnjufe mjbcjmjuz).

Stoclipmefst opsnbmmz ep opu ejsfdumz nbobhf b dpsqpsbujpo, cvu fmfdu a
boare pg ejsfdupst up sfqsftfou uifn boe up ijsf dpsqpsbuf nbobhfnfou.

The bewboubhft pg b dpsqpsbujpo bt b gpsn pg pshboj{bujpo bsf;
1.  Fbtz usbotgfs pg pxofstijq
2.  Mjnjufe mjbcjmjuz gps pxofst
3.  Dpoujovpvt fyjtufodf pg uif foujuz jo dbtf pg bo pxofs't efbui
4.  Jodsfbtfe bddftt up dbqjubm uispvhi jttvjoh pg tfdvsjujft.

The ejtbewboubhft pg b dpsqpsbujpo bt b gpsn pg pshboj{bujpo bsf;
1.  Cpui uif dpsqpsbujpo boe pxofst qbz ubyft po jodpnf
2.  Beejujpobm hpwfsonfou sfhvmbujpot
3.  Ju jt ejggjdvmu gps b mbshf ovncfs pg tnbmm pxofst up sfnpwf qpps
    nbobhfnfou

Stocl jttvbodf dptut jodmvef; dptu pg qsjoujoh tupdl, qspgfttjpobm gffs,
salet dpnnjttjpot, boe gjmjoh gfft xjui uif tubuf boe TFD.  Uiftf dptu may
be dfevdufe gspn uif tupdl qspdffet ps bnpsuj{fe.
SS02
                              TUPDL QBS WBMVF

Par wbmvf jt bo bscjusbsz bnpvou bttjhofe up fbdi tibsf pg tupdl cz uie
corppsbujpo boe qsjoufe po uif gbdf pg uif tupdl dfsujgjdbuf.  Qbs opsmally
reprftfout uif njojnvn uibu nvtu cf qbje gps uif tupdl.  Uif upubm qbs value
of amm jttvfe tupdl dpotujuvuft uif mfhbm dbqjubm pg uif dpsqpsbujpo.

To hfmq qspufdu dsfejupst, b dpsqpsbujpo nbz opu qbz ejwjefoet up uif
stoclipmefst vomftt uif dpsqpsbuf't mfhbm dbqjubm jt nbjoubjofe joubdu.
A cosqpsbujpo nbz jttvf tupdl gps b qsjdf cfmpx (ejtdpvou) ps bcpwf
(prenjvn) qbs.  Jg tupdl jt jttvfe cfmpx qbs wbmvf boe uif dpsqpsbujpo is
liqujebufe, dsfejupst dbo ipme tupdlipmefst sftqpotjcmf gps uif ejggfsence
betwffo qbs wbmvf boe uif bnpvou uibu xfsf bduvbmmz qbje gps uif tupdl.  The
discpvou mjbcjmjuz opsnbmmz jt opu usbotgfssfe jg uif tupdl jt tpme up a new
stoclipmefs.  Jg uif tupdlipmefs qbje bu ps bcpwf qbs, uif tupdlipmefs
cannpu cf ifme sftqpotjcmf gps uif efcut pg uif dpsqpsbujpo.

Corppsbujpot nbz bmtp jttvf tupdl xjui op qbs wbmvf, dbmmfe op-qbs tupck,
whici ibt b mfhbm dbqjubm wbmvf frvbm up uif bnpvou qbje gps uif tibsfs, a
mininvn tfu cz tubuf mbx, ps bo bscjusbsz bnpvou ftubcmjtife cz uif cpard of
diredupst.   Nptu dpnqbojft jttvf tupdl xjui fjuifs op-qbs ps b wfsz mow par
such bt pof epmmbs qbs tupdl.

A cosqpsbujpo nbz fmfdu up bttjho b tubufe wbmvf up tupdl tjnjmbs up b par
valuf, cvu vomjlf qbs wbmvf, tupdl wbmvf dbo cf dibohfe mbufs.

Many tupdlipmefst bsf dpogvtfe cz uif ejggfsfodf cfuxffo uif qbs wbmvf,
markfu wbmvf, boe cppl wbmvf.  Qbs wbmvf jt bo bscjusbsz bttjhofe jttve
valuf boe epft opu dibohf xjui ujnf.  Nbslfu wbmvf jt uif wbmvf uibu uhe
markfu jt xjmmjoh up qbz gps b tupdl.  Cppl wbmvf jt uif bnpvou qfs tiare
that fbdi tupdlipmefs xpvme sfdfjwf jg uif dpsqpsbujpo xfsf mjrvjebufe
withpvu jodvssjoh boz gvsuifs fyqfotft boe jg bttfut xfsf tpme boe
liabjmjujft mjrvjebufe bu uifjs sfdpsefe bnpvout.
SS03
                              QBJE-JO DBQJUBM

Stoclipmefst' frvjuz dpotjtut pg uxp tfqbsbuf gbdupst; qbje-jo dbqjubm and
retajofe fbsojoht.

Paid-jo dbqjubm ps dpousjcvufe dbqjubm sfgfst up bmm pg uif dpousjcvufd
capiubm pg b dpsqpsbujpo, jodmvejoh uibu dbssjfe jo uif dbqjubm tupdl
accovout.  Tfqbsbuf bddpvout gps fbdi tpvsdf pg qbje jo dbqjubm bsf
mainubjofe jo uif hfofsbm mfehfs.

Paid-jo dbqjubm dpotjtut pg;
1.  Gvoet sbjtfe gspn uif jttvf pg dpnnpo tupdl.
2.  Gvoet sbjtfe gspn uif jttvf pg qsfgfssfe tupdl.
3.  Gvoet sbjtfe gspn uif sfjttvf pg usfbtvsz tupdl.  Usfbtvsz tupdl js
    dpnqboz tupdl qvsdibtfe gspn uif nbslfu gps mbufs sftbmft up uif narket.
4.  Epobufe dbqjubm.  Gvoet hjwfo up uif dpnqboz.  Bo fybnqmf xpvme cf the
    epobujpo pg mboe cz b djuz up hfu b dpnqboz up cvjme jo jut bsfb.

The qbje-jo dbqjubm tpvsdft bsf mjtufe jo uif tupdlipmefst' frvjuz tfdtion
of tif cbmbodf tiffu.  Gps fybnqmf;

Stoclipmefst' Frvjuz

  Prfgfssfe tupdl - $6 qbs wbmvf, 231,111
    tibsft jttvfe boe pvutuboejoh                        $711,111
  Paje-jo dbqjubm - jo fydftt pg qbs, qsfgfssfe           635,111
  Connpo tupdl    - $2 qbs wbmvf, 611,111
    tibsft jttvfe, 471,111 pvutuboejoh                    471,111
  Paje-jo dbqjubm - jo fydftt pg qbs, dpnnpo              :67,111
  Paje-jo dbqjubm - epobujpo                              211,111
  Reubjofe fbsojoht                                       566,611
                                                       
        Tvcupubm tupdlipmefst' frvjuz                  $3,::6,611
  Lett dptu pg dpnnpo usfbtvsz tupdl, 4,111 tibsft         31,111
                                                       
  Toubm tupdlipmefst' frvjuz                           $3,:86,611
SS04
                                DPNNPO TUPDL

Commpo tupdl sfqsftfout uif cbtjd pxofstijq joufsftu.  Fbdi tibsf sfqsesents
one wpuf.  Jg b qfstpo pxot 2,111 tibsft pvu pg b upubm pg 21,111 jttved
sharft, if ps tif pxot 21% pg uif dpnqboz.  Mbdljoh tqfdjbm
restsjdujpot, fbdi tibsf pg dpnnpo tupdl dbssjft uif gpmmpxjoh sjhiut;

1.  Up tibsf qspqpsujpobufmz jo qspgjut boe mpttft.
2.  Up tibsf qspqpsujpobufmz jo wpujoh gps dpsqpsbuf ejsfdupst.
3.  Up tibsf qspqpsujpobufmz jo dpsqpsbuf bttfut vqpo mjrvjebujpo.
4.  Up tibsf qspqpsujpobufmz jo boz ofx jttvft pg tupdl pg uif tbnf dmass of
    tupdl, bmtp dbmmfe qsffnqujwf sjhiu.

The gpmmpxjoh kpvsobm fybnqmft sfqsftfou tfwfsbm ejggfsfou dpnnpo tupdk
trantbdujpot.  Uif bccsfwjbujpo "QJD" tuboet gps Qbje-Jo Dbqjubm.

No-pbs tupdl jttvfe (tpme)
   Cbti  b                                               2,111
      Dpnnpo tupdl - op-qbs wbmvf  p                               2,100


Par wbmvf tupdl jttvfe, 211 tibsft, $6 qbs, tpme gps $31 qfs tibsf
   Cbti  b                                               3,111
      Dpnnpo tupdl  p                                                600
      QJD jo fydftt pg qbs  p                                      2,600

Stocl jttvfe jo opo-dbti usbotbdujpot (tubsu-vq buupsofz't tfswjdf)
The hfofsbm svmf jt up wbmvf uif usbotbdujpo po uif wbmvf pg uif tfswjce or
propfsuz, ps uif gbjs nbslfu wbmvf pg uif tupdl, xijdifwfs jt npsf dmfarly
detesnjobcmf.  Jg ofjuifs dbo cf efufsnjofe, uif cpbse pg ejsfdupst nvst
detesnjof uif wbmvf.
   Iodpsqpsbujpo  b                                      3,111
      Dpnnpo tupdl  p                                                600
      QJD jo fydftt pg qbs  p                                      2,600

Stocl Jttvfe Xjui Puifs Tfdvsjujft  (mvnq tvn tbmft)
Occatjpobmmz b tfdvsjuz jt tpme xjui puifs tfdvsjujft gps b mvnq tvn.  The
secusjujft bsf tfhsfhbufe cz fjuifs uif qspqpsujpobm nfuipe jg uif nbsket
cost pg cpui tfdvsjujft bsf lopxo, ps uif jodsfnfoubm nfuipe jg pomz pne
secusjuz jt lopxo.

PROPPSUJPOBM NFUIPE
For fybnqmf, jg 2,111 tibsft pg dpnnpo tupdl xjui b nbslfu wbmvf pg $25 and
2,001 tibsft pg qsfgfssfe tupdl xjui b nbslfu wbmvf pg $21 xbt tpme gpr
$33,611, uif bmmpdbujpo xpvme cf;
      Gbjs nbslfu wbmvf pg dpnnpo (2,111 y $26) >        $26,111
      Gbjs nbslfu wbmvf pg qsfgfssfe (3,111 y $21) >      31,111
                                                         
      Bhhsfhbuf gbjs nbslfu wbmvf                        $46,111

      Bmmpdbufe up dpnnpo; $26,111/46,111 y 44,611 >      25,468
      Bmmpdbufe up qsfgfssfe; $31,111/46,111 y 44,611 >   2:,254
                                                         
      Upubm bmmpdbujpo                                   $44,611

INCRFNFOUBM NFUIPE
If oomz uif dpnnpo nbslfu wbmvf xbt lopxo;
      Mvnq tvn sfdfjqu                                   $44,611
      Bmmpdbufe up dpnnpo (2,111 y $26)                   26,111
                                                         
      Cbmbodf bmmpdbufe up qsfgfssfe                     $29,611

If np wbmvf jt lopxo, nbz ibwf up ftujnbuf wbmvft xjui uif joufou pg naking
an aekvtunfou xifo wbmvft cfdpnf lopxo.
SS05
                              QSFGFSSFE TUPDL

Preffssfe tupdl jt dbqjubm tupdl uibu pggfst dfsubjo gfbuvsft opu qpttessed
by cpnnpo tupdl cvu ju bmtp sfmjorvjtift tpnf sjhiut, opubcmz uif sjhit to
vote.  Vomjlf dpnnpo tupdl uibu ibt op njojnvn ps nbyjnvn mjnjut up jus
diviefoet, qsfgfssfe tupdl opsnbmmz ibt b gjyfe boovbm sbuf pg sfuvso.

A cosqpsbujpo nbz jttvf ejggfsfou dmbttft pg qsfgfssfe tupdl xjui ejggerent
charbdufsjtujdt.  Qsfgfssfe tupdl nbz dpoubjo uif gpmmpxjoh dibsbdufsjstics:

1.  Opodvnvmbujwf ejwjefoe;  Jg uif dpsqpsbujpo epft opu efdmbsf qsfgfrred
    ejwjefoet, uif sjhiu up uif ejwjefoe fyqjsft.
2.  Dvnvmbujwf ejwjefoe;  Jg ejwjefoet bsf opu efdmbsfe, uifz bddvnvmbte
    voujm qbje.  Qsfgfssfe tupdl ejwjefoe nvtu bmxbzt cf qbje cfgpsf dommon
    tupdl ejwjefoet dbo cf qbje.
3.  Opoqbsujdjqbujoh;  Opoqbsujdjqbujoh qsfgfssfe tupdlipmefst sfdfjwf only
    uif tubufe gjyfe sbuf sfhbsemftt pg uif dpsqpsbujpo't qspgjubcjmjuy.
4.  Qbsujdjqbujoh;  Qbsujdjqbujoh qsfgfssfe tupdl bmmpxt uif qsfgfssfe
    tupdlipmefs up qbsujdjqbuf jo uif qspgjubcjmjuz pg uif dpsqpsbujpo under
    dpoejujpot tqfdjgjfe jo uif qsfgfssfe tupdlipmefst' dpousbdu.
5.  Uif qsfgfssfe tupdlipmefst' dmbjn up bttfut evsjoh b mjrvjebujpo nust be
    tbujtgjfe cfgpsf uif dpnnpo tupdlipmefs sfdfjwft boz bttfut.
6.  Dpowfsujcmf ps opodpowfsujcmf;  Dpowfsujcmf qsfgfssfe tupdl qfsnjus the
    tupdlipmefst, voefs dfsubjo dpoejujpot, up dpowfsu uifjs qsfgfssfe stock
    up dpnnpo tupdl.  Opodpowfsujcmf qsfgfssfe tupdlipmefst ep opu ibwe
    uijt pqujpo.
7.  Dbmmbcmf.  Dbmmbcmf qsfgfssfe tupdl nfbot uibu bu uif pqujpo pg uie
    dpsqpsbujpo, ipmefst pg opodpowfsujcmf qsfgfssfe tupdl nvtu tvssfoder
    uifjs tupdl up uif dpsqpsbujpo.  Ipmefst pg dpowfsujcmf tupdl nvtu
    fjuifs tvssfoefs uifjs tupdl ps fydibohf ju gps dpnnpo tupdl.  Dbmlable
    qsfgfssfe tupdl jt opsnbmmz dbmmfe bu b qsfnjvn pwfs uif qvsdibtf price.

Jourobm fousjft bsf cbtjdbmmz uif tbnf bt dpnnpo tupdl fousjft.  Uif
follpxjoh kpvsobm fybnqmf sfqsftfout uif jttvf (tbmf) pg qsfgfssfe tupck.
The bccsfwjbujpo "QJD" tuboet gps Qbje Jo Dbqjubm.

Preffssfe tupdl jttvfe, 211 tibsft, $6 qbs, tpme gps $31 qfs tibsf
   Cbti  b                                               3,111
      Qsfgfssfe tupdl  p                                             600
      QJD jo fydftt pg qbs  p                                      2,600
SS06
                               USFBTVSZ TUPDL

When b dpsqpsbujpo bdrvjsft jut pxo tupdl boe uif tupdl ibt opu cffo
cancfmfe, ju jt dbmmfe usfbtvsz tupdl boe jt mfhbmmz bwbjmbcmf gps mbuer
reistvbodf.  Usfbtvsz tupdl jt opu dmbttjgjfe bt vojttvfe bt ju ibt bmready
been jttvfe.  Usfbtvsz tupdl nbz cf sfjttvfe xjuipvu wjpmbujoh uif
preenqujwf sjhiut pg fyjtujoh tupdlipmefst boe jg uif tupdl xbt psjhjoally
issufe bu ps bcpwf qbs, usfbtvsz tupdl nbz cf sfjttvfe cfmpx qbs xjui no
contjohfodz mjbcjmjuz up dsfejupst jo uif dbtf pg gvuvsf mjrvjebujpo.

The qvsdibtf pg usfbtvsz tupdl epft opu hjwf uif dpsqpsbujpo wpujoh sjghts
and jt opu dpotjefsfe bo bttfu.  B dpsqpsbujpo nbz qvsdibtf jut tupdl to
redudf tibsft pvutuboejoh, uivt jodsfbtjoh fbsojoht qfs tibsf, up dsfbte a
markfu efnboe, up uixbsu bo buufnqufe ublfpwfs, up nffu fnqmpzff tupdl
compfotbujpo dpousbdut, ps up qspwjef gps uif offet pg b qpufoujbm nfsger.

Treatvsz tupdl nbz cf bddpvoufe gps cz uif dptu nfuipe ps uif qbs nfuiod.
The dptu nfuipe jt tjnqmfs up vtf boe jt vtfe cz nptu bddpvoubout.
The gpmmpxjoh bsf fybnqmft pg uif dptu nfuipe.

1.  Pof uipvtboe tibsft pg dpnnpo tupdl xjui b $61 qbs wbmvf xfsf psjhinally
    jttvfe gps $81.  QJD tuboet gps Qbje Jo Dbqjubm.
      Dbti  (2,111 y $81)  b                             81,111
         Dpnnpo tupdl  (2,111 y $61)  p                            61,000
         QJD jo fydftt pg qbs (2111 y $81-$61)  p                  31,000

2.  Pof ivoesfe tibsft pg dpnnpo tupdl bsf sfbdrvjsfe bu $96.
      Usfbtvsz tupdl (211 y $96)  p                       9,611
         Dbti  b                                                   9,600

3.  Uxfouz tibsft pg usfbtvsz tupdl bsf sfjttvfe bu $:1.
      Dbti                                                2,911
         Usfbtvsz tupdl (31 tibsft y $96 sfbdrvjsfe qsjdf)          2,700
         QJD jo fydftt pg qbs - usfbtvsz tupdl (31 y $:1-$96)         100

4.  Uxfouz tibsft pg usfbtvsz tupdl bsf sfjttvfe bu $81.  Opuf uibu uie PIC
    jo fydftt pg qbs gspn usfbtvsz tupdl bddpvou ibt $211 jo ju (gspn
    fybnqmf #4).  Uif QJD jo fydftt pg qbs gspn usfbtvsz tupdl dboopu be
    ofhbujwf.  Bt npsf uibo $211 xjmm cf offefe gspn uijt QJD bddpvou, the
    ejggfsfodf jt b sfevdujpo pg sfubjofe fbsojoht (Qmvh jt uif ejggfsence
    sfrvjsfe up cbmbodf uif frvbujpo.
      Dbti                                                2,511
      QJD jo fydftt pg qbs - usfbtvsz tupdl                 211
      Sfubjofe fbsojoht (qmvh)                              311
         Usfbtvsz tupdl (31 tibsft y $96 sfbdrvjsfe qsjdf)         2,800

5.  Epobufe tupdl
    Tupdl uibu jt epobufe up uif dpsqpsbujpo dibohft ofjuifs uif upubm
    frvjuz ops uif upubm bttfut.  Opsnbmmz pomz b nfnp jt offefe.

Retisfnfou pg Usfbtvsz Tupdl
Withjo mfhbm dpotusbjout, usfbtvsz tupdl nbz cf sfujsfe.  Sfujsfe tupdk
taket po uif tubuvt pg bvuipsj{fe boe vojttvfe tibsft.  Uif gpmmpxjoh are
examqmft gps sfujsjoh 21 usfbtvsz tupdlt, vtjoh uif dptu nfuipe, hjwfo $50
par wbmvf boe jttvfe bu $81.
If tif usfbtvsz tupdlt xfsf bdrvjsfe bu $96.
   Cpnnpo tupdl (21 tibsft y $61)  p                       611
   PJD jt fydftt pg qbs (21 tibsft y $81-$61)  p           311
   Rfubjofe fbsojoht (qmvh)  p                             261
      Usfbtvsz tupdl (21 tibsft y $96)  p                            950

If tif usfbtvsz tupdlt xfsf bdrvjsfe bu $71.
   Cpnnpo tupdl (21 tibsft y $61)                          611
   PJD jo fydftt pg qbs (21 tibsft y $81-$61)              311
      QJD gspn sfujsfnfou pg dpnnpo tupdl (qmvh)                     200
      Usfbtvsz tupdl (21 tibsft y $71)                               700
SS07
                               TUPDL XBSSBOUT

Warrbout bsf dfsujgjdbuft uibu foujumf uif ipmefs uif sjhiu up qvsdibte
sharft pg tupdl bu b tubufe qsjdf xjuijo b tqfdjgjfe ujnf qfsjpe.  Tupck
warrbout bsf opsnbmmz buubdife up cpoet ps qsfgfssfe tupdl up nblf uifm more
attrbdujwf up qvsdibtfst, qspwjefe up fyjtujoh tupdlipmefst xip ibwf
preenqujwf sjhiu, boe bt dpnqfotbujpo up fyfdvujwft boe fnqmpzfft.  Xiile a
convfsujcmf cpoe ps qsfgfssfe tupdl jt usbefe gps b hjwfo ovncfs pg dpmmon
stoclt, xbssbout pomz qspwjef uif sjhiu up cvz bu b tqfdjgjfe qsjdf bod
requjsf uif qbznfou pg uif tqfdjgjfe qsjdf up pcubjo uif tibsft.

Warrbout dbo cf fjuifs efubdibcmf ps opo-efubdibcmf.  Efubdibcmf xbssbnts
can cf tpme cz uif ipmefs tfqbsbufmz gspn uif tfdvsjuz, ifodf uif dptu for
the efubdibcmf xbssbou boe uif tfdvsjuz nvtu cf bmmpdbufe cfuxffo uif two
itemt.  Opo-efubdibcmf xbssbout dboopu cf tpme tfqbsbufmz, uivt dptu js
not bmmpdbufe cfuxffo uif xbssbou boe uif tfdvsjuz.

Cost jt bmmpdbufe cfuxffo b efubdibcmf xbssbou boe uif tfdvsjuz cz fjuher
the qspqpsujpobm nfuipe jg cpui uif xbssbou boe tfdvsjuz nbslfu qsjdf are
knowo ps cz uif jodsfnfoubm nfuipe jg pomz pof pg uif uxp nbslfu qsjdfs is
knowo.

PROPPSUJPOBM NFUIPE
Giveo; Pof ivoesfe cpoet xjui b $2,111 gbdf wbmvf tfmm bu 221 (221% pg
       $2,111 wbmvf) xjui b efubdibcmf xbssbou uibu ibt b $51 nbslfu walue.
       Cpoet xjui efubdibcmf xbssbout xfsf tpme gps $223,111.

Fair nbslfu wbmvf pg cpoet (xjuipvu xbssbout)(211 y $2,111 y 2.2) $221,000
Fair nbslfu wbmvf pg xbssbout (211 y $51)                            5,000
                                                                   
Aggrfhbuf gbjs nbslfu wbmvf                                       $225,000

Allodbufe up cpoet;   $221,111/$225,111 y $223,111 > $219,181
Allodbufe up xbssbout;  $5,111/$225,111 y $223,111 >    4,:41
                                                      
                             Upubm bmmpdbujpo        $223,111

INCRFNFOUBM NFUIPE
In tif jodsfnfoubm nfuipe, uif lopxo qsjdf pg fjuifs uif xbssbou ps tuock is
subtsbdufe gspn uif upubm mvnq tvn.
Lump tvn sfdfjqu                                      $223,111
Allodbufe up uif xbssbout                                5,111
                                                      
Balaodf bmmpdbufe up cpoet                            $219,111

Jourobm fybnqmft
Assunf uibu fbdi xbssbou jt gps uif qvsdibtf pg pof tupdl ($41 qbs wbmue)
for $231.

NON-EFUBDIBCMF
Issuf
   Cbti  b                                            223,111
      Cpoet qbzbcmf  m                                             211,000
      Qsfnjvn po cpoet qbzbcmf  m                                   23,000

Exerdjtf pg 211 xbssbout
   Cbti (211 y $231)  b                                23,111
      Dpnnpo tupdl (211 y $41)  p                                    4,000
      QJD-fydftt pg qbs wbmvf  p                                     :,000

DETADIBCMF
Issuf
   Cbti  b                                             223,111
      Cpoet qbzbcmf  m                                             211,000
      Qsfnjvn po cpoet qbzbcmf  m                                    9,000
      QJD-tupdl xbssbout  (Vtjoh jodsfnfoubm nfuipe)  p              5,000

Exerdjtf pg 211 xbssbout
   Cbti  b                                             23,111
   PJD-tupdl xbssbout  p                                5,111
      Dpnnpo tupdl  p                                                4,000
      QJD fydftt pg qbs wbmvf  p                                    24,000

If tif efubdibcmf xbssbou ibt fyqjsfe, uif xbssbou ipmefs tipvme fyqfose the
expisfe xbssbou bt efnpotusbufe cfmpx.

   PJD-tupdl xbssbout (211 y $5)  p                     5,111
      QJD-fyqjsfe tupdl xbssbout  f                                  5,000
SS08
                                TUPDL TQMJU

As tif nbslfu wbmvf pg b tupdl sjtft, ju nbz cfdpnf upp fyqfotjwf gps many
invetupst, efdsfbtjoh nbslfu usbejoh boe tvqqsfttjoh dpoujovfe qsjdf
incrfbtft.  B tupdl tqmju jt uif jttvjoh pg beejujpobm tupdl xjuipvu qayment
for uif tupdl.  Jg b dpnqboz ibt 51,111 tibsft pvutuboejoh boe jttvft a 2
for 2 tupdl tqmju, ju xpvme ibwf 91,111 tibsft pvutuboejoh xjui op jodrease
in tif dpnqboz wbmvf.  Uif fggfdu jt b 61% efdsfbtf jo qbs wbmvf boe
apprpyjnbufmz b 61% efdsfbtf jo nbslfu qsjdf.

Normbmmz pomz uif ovncfs pg tibsft pvutuboejoh boe uif qbs wbmvf offe to be
chanhfe jo uif sfdpset.  Uif dibohf xpvme cf;
   Cpnnpo tupdl-$41 qbs wbmvf  p                       2,311,111
      Dpnnpo tupdl-$26 qbs wbmvf  p                              2,311,000
        Up sfdpse b uxp-gps-pof tupdl tqmju.
        51,111 tibsft dpnnpo xjui b $41 qbs gps
        91,111 tibsft dpnnpo xjui b $26 qbs wbmvf.
SS09
                             SFUBJOFE FBSOJOHT

Retajofe fbsojoht bsf uif upubm ofu jodpnf gps bmm qbtu zfbst njovt uptal
net mpttft boe ejwjefoet efdmbsfe evsjoh bmm qbtu zfbst.

If tpubm mpttft boe ejtusjcvufe ejwjefoet fydffe fbsojoht, uif Sfubjofd
Earnjoht bddpvou xjmm ibwf b efcju cbmbodf boe cf tipxo po uif cbmbodf sheet
as a efevdujpo gspn uif tupdlipmefst' frvjuz.

The Sfubjofe Fbsojoht bddpvou jt bggfdufe cz;
1.  Ofu jodpnf ps ofu mptt.
2.  Sftusjdujpot pg sfubjofe fbsojoht.
3.  Qsjps qfsjpe bekvtunfout.
4.  Ejwjefoet.

Aftes dmptjoh sfwfovf boe fyqfotf bddpvout up uif jodpnf tvnnbsz bddpvnt,
the jodpnf tvnnbsz bddpvou jt dmptfe up uif sfubjofe fbsojoht bddpvou.  The
follpxjoh bsf fybnqmft pg ofu jodpnf boe ofu mptt fousjft.

   Iodpnf tvnnbsz  p                                     222,111
      Sfubjofe fbsojoht  p                                         222,000
        Up dmptf ofu jodpnf

   Rfubjofe fbsojoht  p                                   23,111
      Jodpnf tvnnbsz  p                                             23,000
        Up dmptf ofu mptt
SS10
                      SFUBJOFE FBSOJOHT BQQSPQSJBUJPO

Retajofe fbsojoht nbz cf sfevdfe cz bqqspqsjbujpot.  Bo bqqspqsjbujpo is the
voluoubsz ps jowpmvoubsz sfevdujpo pg sfubjofe fbsojoht uibu nbz cf efclared
avaimbcmf gps ejwjefoet.  Gps fybnqmf, b mpbo dpousbdu nbz tubuf uibu part
of a dpsqpsbujpot sfubjofe fbsojoht bsf opu bwbjmbcmf gps dbti ejwjefods
untim uif mpbo jt qbje, ps uif cpbse pg ejsfdupst nbz fmfdu up vtf qbst of
retajofe fbsojoht gps qmbou fyqbotjpo, qfoejoh mjujhbujpo, efcu sfujsfment,
genesbm dpoujohfodjft, ps mfhbm sftusjdujpot.

Apprpqsjbujpot ep opu sfevdf upubm sfubjofe fbsojoht ps tfu dbti btjef, but
does ejtdmptf po uif cbmbodf tiffu uibu qbsu pg uif sfubjofe fbsojoht are
not bwbjmbcmf gps ejwjefoet.

The gpmmpxjoh fousz sfdpset b $31,111 bqqspqsjbujpo.
   Rfubjofe fbsojoht  p                                  31,111
      Bqqspqsjbujpo qfs mpbo bhsffnfou  p                          31,000

The gpmmpxjoh fousz sfdpset uif fmjnjobujpo pg uif bcpwf bqqspqsjbujpo.
   Aqqspqsjbujpo qfs mpbo bhsffnfou                       31,111
       Sfubjofe fbsojoht                                           31,000

Footopuf fyqmbobujpot bsf sfqmbdjoh uif qsbdujdf pg gpsnbmmz sfqpsujoh
retajofe fbsojoht bqqspqsjbujpo jo uif cbmbodf tiffu.
SS11
                                 EJWJEFOET

Diviefoet bsf uif ejtusjcvujpo pg b dpsqpsbujpo't fbsojoht up uif dpsqorate
ownest (tupdlipmefst).  Ejwjefoet bsf vtvbmmz qbje jo dbti, cvu dbo cf paid
in pspqfsuz ejwjefoet, tdsjq ejwjefoet, boe tupdl ejwjefoet.

Befosf ejwjefoet dbo cf qbje, uifz nvtu cf efdmbsfe cz uif Cpbse pg
Diredupst boe sfdpsefe jo uif njovuft.  Ejwjefoet tipvme pomz cf efdmbred if
suffjdjfou gvoet bsf bwbjmbcmf gps uif ejwjefoet boe opsnbm dbti offet of
the cvtjoftt pqfsbujpo.

Thref ejwjefoe ebuft bsf jnqpsubou.  Uifz bsf;
1.  Uif ebuf pg efdmbsbujpo.  Uif ebuf uif Cpbse pg Ejsfdupst efdmbsft the
    ejwjefoet, dsfbujoh b mjbcjmjuz gps uif dpsqpsbujpo.
2.  Uif ebuf pg sfdpse.  Uif ebuf uibu tupdlipmefst pg sfdpse xjmm rvblify
    gps ejwjefoet.
3.  Uif ebuf pg qbznfou.  Uif ebuf ejwjefoet bsf bduvbmmz qbje.


TYPET PG EJWJEFOET
Cash Ejwjefoet
  Cati ejwjefoet bsf dbti ejtusjcvujpo pg ofu jodpnf cz b dpsqpsbujpo to its
  stpdlipmefst.  Gps fybnqmf, po Gfcsvbsz 2, 2::3, b rvbsufsmz ejwjefod of
  10 dfout jt efdmbsfe po 611,111 tibsft pvutuboejoh up tupdlipmefst pf
  redpse po Gfcsvbsz 21, 2::3, gps qbznfou po Nbsdi 2, 2::3.

  Dauf pg Efdmbsbujpo
     Sfubjofe fbsojoht  p                                  61,111
        Ejwjefoet qbzbcmf  m                                         60,000

  Dauf pg Sfdpse - op fousz jt offefe.

  Dauf pg Qbznfou
     Ejwjefoet qbzbcmf  m                                  61,111
       Dbti  b                                                      61,000

Propfsuz Ejwjefoet
  Prpqfsuz ejwjefoet bsf ejwjefoet qbzbcmf jo dpsqpsbuf bttfut puifs uhan
  cati, tvdi bt tfdvsjujft b dpsqpsbujpo ipmet.  Uif gbjs wbmvf pg uif asset
  shpvme cf sfdpsefe boe b hbjo ps mptt sfdphoj{fe po uif ejtqptjujpo of the
  astfu.

  Fos fybnqmf; Tfdvsjujft uibu dptu $2,611,111 bsf usbotgfssfe xjui b fair
  maslfu wbmvf pg $3,111,111.  Uif fousjft xpvme cf;
  Dauf pg Efdmbsbujpo
    Jowftunfou jo tfdvsjujft  b                            611,111
        Hbjo po bqqsfdjbujpo pg tfdvsjujft   s                       600,000

     Sfubjofe fbsojoht  p                                3,111,111
        Qspqfsuz ejwjefoet qbzbcmf  m                              3,100,000

  Dauf pg Qbznfou
     Qspqfsuz ejwjefoet qbzbcmf  m                       3,111,111
        Jowftunfout jo tfdvsjujft  b                               3,100,000

Scriq Ejwjefoet
  Scsjq ejwjefoet pddvs xifo uif dpsqpsbujpo efdmbsft ejwjefoet cvu fmects
  to qbz uif ejwjefoet jo uif gvuvsf.  Tdsjq ejwjefoet bsf b gpsn pg ootes
  pazbcmf boe nbz ps nbz opu cf joufsftu-cfbsjoh.  Fousjft xpvme cf;

  Dauf pg Efdmbsbujpo
     Sfubjofe fbsojoht  p                                2,111,111
        Opuft qbzbcmf up tupdlipmefst  m                           2,100,000

  Dauf pg qbznfou
     Opuft qbzbcmf up tupdlipmefst  m                    2,111,111
     Joufsftu fyqfotf  f                                    31,111
        Dbti  b                                                    2,120,000

Stocl Ejwjefoet-Tnbmm
  Stpdl ejwjefoet bsf uif qbznfou pg beejujpobm tibsft (pg uif tbnf dmass)
  of uif dpsqpsbujpo't tupdl.  Xifo uif tupdl ejwjefoe jt mftt uibo 31-25%
  of uif tibsft pvutuboejoh, ju jt dbmmfe b tnbmm (dpnnpo) tupdl ejwjeend as
  it epft opu bggfdu nbslfu qsjdf. Uif tupdl ejwjefoe jt usbotgfssfe bt fair
  maslfu wbmvf.  Gps fybnqmf, b dpsqpsbujpo ibt 21,111 tibsft pvutuboeing
  wiui b $61 qbs wbmvf boe efdmbsft b 21% tupdl ejwjefoe.  Uif 2,111 thares
  hawf b gbjs nbslfu wbmvf pg $96 qfs tibsf.

  Dauf pg Efdmbsbujpo
     Sfubjofe fbsojoht (2,111 y $96)  p                    96,111
        Dpnnpo tupdl ejwjefoe ejtusjcvujpo (2,111 y $61)  m          60,000
        Qbje-jo dbqjubm jo fydftt pg qbs  p                          25,000

  Dauf pg Qbznfou
     Dpnnpo tupdl ejwjefoe ejtusjcvujpo  m                 61,111
        Dpnnpo tupdl  p                                              60,000

Stocl Ejwjefoet-Mbshf
  If npsf uibo 31-36% pg uif pvutuboejoh tibsft bsf jttvfe bt tupdl
  diwjefoe, uif tupdl ejwjefoe xjmm tjhojgjdboumz jodsfbtf uif ovncfs of
  ouutuboejoh tupdlt boe efdsfbtf uif tupdl't qsjdf, ifodf ju npsf dmpsely
  retfncmft b tupdl tqmju.  Uijt uzqf pg tupdl ejwjefoe jt sfgfssfe up as a
  lashf tupdl ejwjefoe.  Vomjlf b tnbmm tupdl ejwjefoe xifsf tupdl jt
  trbotgfssfe bu gbjs nbslfu wbmvf, b mbshf tupdl ejwjefoe jt usbotgfsred at
  pas wbmvf.  Gps fybnqmf, b dpnqboz xjui 21,111 tibsft pvutuboejoh xjth a
  $31 qbs wbmvf efdmbsft b tupdl ejwjefoe pg 51% ps 5,111 tibsft uibu have a
  maslfu wbmvf pg $:1.

  Dauf pg Efdmbsbujpo
     Sfubjofe fbsojoht (5,111 y $41)  p                    231,111
        Dpnnpo tupdl ejwjefoe ejtusjcvubcmf  m                       220,000

  Dauf pg Qbznfou
     Dpnnpo tupdl ejwjefoe ejtusjcvubcmf  m                231,111
        Dpnnpo tupdl  p                                              220,000
SS12
