Hammons & Mills <br /> Attorneys at Law <br /> 115 W. 8` Ave., Suite 280 <br /> Eugene, Oregon 97401 <br /> Terence J. Hammons Telephone: (541) 484 -1216 David B. Mills <br /> Facsimile: (541) 484 -5326 <br /> July 18, 2005 <br /> Mr. Ed Cheever <br /> 1492 NW Penny Lane <br /> Albany, OR 97321 <br /> t( <br /> Re: Emerald Valley BMX <br /> r <br /> Dear Ed: <br /> I have gone back and reviewed the April 10, 2002 audit report and compared it with <br /> the June 7, 2005 report. <br /> I think the documents really need to be read together; the June 7, 2005 document does <br /> not contain nearly the detail the earlier report did. <br /> The June 7 report contains one factual error concerning what I said in my report, that <br /> is probably not important. On page 4 the report states "however, their legal counsel <br /> disagreed with the finding that there was insufficient evidence to reach a firm conclusion on <br /> parking venue figures." I did not say that about figures. I said there was sufficient evidence <br /> to find that a diversion of funds had taken place. <br /> In some respects the June 7 report contains more detail than the earlier one because <br /> there were more interviews conducted. However, as stated above, I think they need to be <br /> read together for anyone to make real sense out of what happened. <br /> Best regards. <br /> Very truly yours, <br /> HAMMONS & MILLS <br /> Terence . Hammons <br /> TJH:ccc <br />