Donald G. and Beverly J. Oren - Page 12




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          following demand.  Interest accrued at a 7-percent annual rate              
          and was due on December 21, 1996, and on the same day of each               
          year thereafter.  The proceeds of the loan were distributed in              
          the form of a check (#16973) from HS to Dart drawn on HS’ account           
          with Minneapolis.                                                           
               Mr. Oren signed all the above notes either in his individual           
          capacity or as president of Dart or HL.  The only exception was             
          the note from HS to Mr. Oren which was signed by John Seibel,               
          president of HS.                                                            
               Mr. Oren’s financial statements for 1993 and 1995 do not               
          reflect Mr. Oren’s loan obligations to Dart or the loan                     
          obligations from HL and HS to Mr. Oren.  The 1993 and 1994                  
          combined balance sheets for the Dart companies do not reflect the           
          loan obligations between Dart and Mr. Oren, Mr. Oren and HL, and            
          HL and Dart.5  The 1995 combined balance sheet for the Dart                 

               5The combined schedule of balance sheet information for 1993           
          provides the following relevant information (in thousands):                 
                         Dart    Fleetline    HS       HL     Eliminations   Total    
          ASSETS                                                                      
          Notes receivable-                                                           
          affiliate      $5,901     ---       -–-    $4,000      ($9,598)$303            
          LIABILITES                                                                  
          Notes payable-                                                              
          affiliate      4,000   $1,598       ---     4,000 (9,598)    ---            
          The total of $303,000 was listed on the combined balance sheet of           
          the Dart companies as an asset.  The combined schedule of balance           
          sheet information for 1994 provides the following relevant                  
          information (in thousands):                                                 
                         Dart    Fleetline    HS       HL     Eliminations   Total    
          ASSETS                                                                      
          Notes receivable-                                                           
                                                             (continued...)           




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