Samson Investment Company and Subsidiaries - Page 39

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               The Suits agreement would not have been entered into because           
          Suits' personnel were primarily experts in drilling operations              
          and not in marketing drilling rigs and equipment for resale.                
               CDC continued to market its rigs for drilling and to                   
          maintain them in a state of readiness so that CDC could drill               
          with them profitably if the market improved.                                
               CDC continued to own two of the three rig yards that it                
          owned prior to the change of ownership.  CDC continued to use the           
          same name and logo that were used prior to the change of                    
          ownership.  CDC continued to own and maintain all of its working            
          interests in producing wells.                                               
               Respondent emphasizes the fact that CDC had over 500                   
          employees at its peak and only four employees just prior to the             
          change of ownership.  The relevant comparison, however, is the              
          number of CDC employees just before the change compared with the            
          number of employees after the change of ownership.  Due to the              
          economic conditions at the time, CDC was able to run the business           
          with only four employees just prior to the change of ownership.             
          Petitioner established that had CDC been able to acquire                    
          profitable contracts, CDC easily could have hired experienced rig           
          crews at that time.  When CDC drilled 14 wells after the                    
          acquisition, it was able to contract with Suits to provide the              








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