Stephen H. Glassley and Judith Glassley, et al. - Page 36

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          applications to increase the yield and profitability of jojoba              
          production.                                                                 
               During 1983, Whittaker, on behalf of HJI, contracted with              
          Inter Ag Services, Inc. (IAS), headed by Dr. Paul J. Eberhardt              
          (Eberhardt), to conduct periodic leaf tissue analyses to measure            
          the effect of the nutrient applications on the jojoba plants.               
          The leaf analyses indicated that the nitrogen and/or phosphate              
          applications had no discernable effect on the jojoba plants                 
          growing on Turtleback I.  Results from nutrient applications to             
          jojoba plants growing in other locations, such as in Desert                 
          Center, California, and at the University of Arizona jojoba                 
          research site, however, had indicated that those jojoba plants              
          responded positively to nitrogen and/or phosphate applications.             
          It is common for crops in different environments to respond                 
          differently to nutrients.                                                   
               Subsequently, HJI contracted with IAS in February 1985, for            
          a total contract price of $16,262, to conduct some nutrients                
          tests to try to determine, among other things, why the jojoba               
          plants on Turtleback I were not responding to the nitrogen and              
          phosphorous as had been expected.  Some of the services performed           
          by IAS for HJI related to the effects on the jojoba plants of               
          other nutrients, such as zinc, iron, magnesium, and copper, and             
          were associated with JDP-II.  One of the projects undertaken by             
          IAS for HJI was performed on jojoba plants that were not located            
          on Turtleback I.  The work performed by IAS confirmed that                  




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