Hubert Enterprises, Incorporated, Successor By Merger To Hubert Holding Company - Page 5




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          four promissory notes.  Two of the notes were nonrecourse; the              
          other two notes were partially recourse.  Neither LCL member                
          signed any of these notes or otherwise guaranteed repayment of              
          the notes.                                                                  
               In 2000, LCL purchased other equipment from CRG.  In                   
          connection with this purchase, LCL signed two promissory notes.             
          Both notes were partially recourse.  Neither LCL member signed              
          either of these notes or otherwise guaranteed repayment of the              
          notes.                                                                      
          The DRO                                                                     
               Section 4.2 of LCL’s initial operating agreement (initial              
          operating agreement) states that “No Member shall be liable as              
          such for the liabilities of the Company”.  On March 28, 2001,               
          LCL’s two members amended and restated the initial operating                
          agreement in its entirety (revised operating agreement) and                 
          stated in the revised operating agreement that it was effective             
          as of January 1, 2000.  The revised operating agreement is                  
          construed under Wyoming law, and only the parties that signed the           
          revised operating agreement (and their successors in interest)              
          have any rights or remedies under that agreement.  The revised              
          operating agreement states that the life of LCL is 30 years from            
          the date of the filing of its articles of organization with the             










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Last modified: March 27, 2008