Samson Investment Company and Subsidiaries - Page 38

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          the rigs.8  Additionally, companies in the rig selling business             
          used manufacturers' representatives to do the maintenance so the            
          representative could provide certificates to a prospective                  
          purchaser with independent verification that the equipment was              
          operational.  CDC did not hire equipment manufacturers'                     
          representatives but rather performed its own maintenance work.              
               Companies that were in the business of selling drilling rigs           
          maintained offices in Houston because buyers from around the                
          world came to Houston to shop for drilling rigs.  CDC never                 
          opened an office in Houston.  CDC located its rigs in remote                
          areas in Oklahoma and Texas where the demand for drilling would             
          occur.                                                                      
               CDC would have advertised the sale of its rigs in trade                
          publications.  CDC never advertised in any trade publication that           
          specialized in advertising rig sales in order to sell any of its            
          rigs.                                                                       
               CDC would not have acquired trucks and forklifts because it            
          would have been cheaper to hire a trucking company to move the              
          rigs and equipment only one time before they were sold.                     




               8  It was more expensive to maintain rigs in a state of                
          readiness than it was to maintain them for resale.                          







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