Estate of Charles a. Boratello, Deceased, C. Norman Borgatello and Josephine E. Donnelly, Co-Executors, and C. Norman Borgatello, Successor Trustee to the Charles A. Borgatello Living Trust - Page 3





                                                - 3 -                                                  

            valuation date, VIC had total liabilities of $2,543,000.  The net                          

            value of VIC's assets3 on the alternate valuation date equaled                             

            the values of MVN and MVS, plus $645,000 (assets of $3,188,000                             

            minus liabilities of $2,543,000).                                                          





            (...continued)                                                                             
            1562 Alamo Pintado outside of Solvang                       475,000                        
            Seven Properties zoned M-1 in Santa Barbara                                                
                  130 Nopalitos                                         140,000                        
                  126 Nopalitos                                         61,595                         
                  710 Kimball Street                                    87,785                         
                  712 Kimball Street                                    101,850                        
                  718 Kimball Street                                    101,850                        
                  713 Carpinteria Street                                101,850                        
                  119 Powers Avenue                                     91,180                         
            Total                                                       $2,081,110                     
            Tangible Personalty                                                                        
            Equipment & cattle                                            $195,000                     
            Total                                                       $195,000                       
            Investments                                           Fair Market Value                    
            Chevron Corp. stock                                         $25,974                        
            Pepsico, Inc. stock                                         154,319                        
            Transamerica Corp. stock                                    79,463                         
            General Motors stock                                        14,457                         
            General Motors E stock                                      1,808                          
            General Motors H stock                                709                                  
            Western art                                                   66,450                       
            Total                                                       $343,180                       
            Other Assets                                              Fair Market Value                
            Cash                                                        $72,000                        
            Accounts and notes receivable                               293,000                        
            Other current assets                                        151,000                        
            Other assets                                                  52,000                       
            Total                                                       $568,000*                      
            *The parties made a computational error in their stipulation.  This amount                 
            was reported as $516,000 in the stipulation, not $568,000.                                 

            3     According to the parties, net asset value is generally the                           
            difference between assets and liabilities, where assets have been                          
            adjusted to reflect fair market values and liabilities have been                           
            adjusted to reflect the reality of their ultimate payment.                                 






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Last modified: May 25, 2011