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Home My WebLink About810397.tiff RESOLUTION RE: WAIVER OF REQUIREMENT FOR THE FURNISHING OF CERTAIN MATERIALS CONCERNING THE ISSUANCE OF INDUSTRIAL REVENUE BONDS FOR DOS GRINGOS LAND AND CATTLE COMPANY AND GREAT PLAINS CHEMICAL COMPANY, INC. WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, Dos Gringos Land and Cattle Company and Great Plains Chemical Company, Inc. have requested that the Board of County Commissioners waive the requirement that a list of major customers be furnished concerning the issuance of industrial development revenue bonds due to the confidentiality of such information, and WHEREAS, the Board of County Commissioners desires to grant said request for waiver of the requirement stated herein. NOW, THEREFORE, BE IT RESOLVED by the Board of County Com- missioners of Weld County, Colorado that the requirement that a list of major customers be furnished to the Board concerning the issuance of industrial development revenue bonds to Dos Gringos Land and Cattle Company and Great Plains Chemical Company, Inc. be, and hereby is, waived. The above and foregoing Resolution was , on motion duly made and seconded, adopted by the following vote on the 23rd day of February, A.D. , 1981 . .rc.. BOARD OF COUNTY COMMISSIONERS ' WELD COUNTY, COLORADO ATTEST: Weld County Clerk and Recorder (Aye) and Clerk to the Boar& uck Carlso , Chairman att.._ (Aye) - Deputy Co my Clerk/ \ Norman Carlson,. Pro-Tem A 0 D AS TO FORM: - (< < (Aye) • C. R . Kirby County Attorney - (Aye) T. Martin �172C t416447-7 ti 4[Aye) 4.ane K. Steinmark 810397 DATE PRESENTED: MARCH 2 , 1981 A public hearing was conducted on February 23, 1981 at 10:00 A. M. , with the following present: Chuck Carlson, Chairman Norman Carlson, Pro Tem Bill Kirby, Commissioner John Martin, Commissioner June Steinmark, Commissioner Also present: Acting Clerk to the Board, Jeannette Ordway County Attorney, Thomas 0. David Director of Finance and Administrative Services, Donald Warden The following business was transacted: I hereby certify that pursuant to a notice dated February 9, 1981, duly published February 12, 1981 in the Johnstown Breeze, a public hearing was held for the purpose of considering the application from Dos Gringos Land and Cattle Company for Weld County to issue $400,000 in Industrial Development Revenue Bonds. The proposed bond issue is to construct a facility for use by Great Plains Chemical Company. Sam Oldenburg, Legal Counsel, for Dos Gringos Land and Cattle Company was present and commented on the bond application. Mr. Oldenburg requested that the Board waive the bond requirement to supply a list of their major customers because the Colorado National Bank has already committed to the Applicant to purchase all of the Development Revenue Bonds up to $400,000.00. Commissioner Kirby made a motion to waive the list of major customers for the Dos Gringos Land and Cattle Company. Commissioner Carlson seconded the motion and it carried unanimously. Robert C. Hummel, President of Great Plains Chemical Company, was present and reviewed the entire request. Approximately twenty persons will be employeed at this facility. Commissioner Carlson made a motion to approve the declaration of Weld County's intent to issue Industrial Development Revenue Bonds to finance a project for Dos Gringos Land and Cattle Company. Commissioner Martin seconded the motion and it carried by the following vote: All Commissioners voted yea except Commissioner Steinmark who voted nay. CH RMAN BOARD OF COUNTY COMMISSIONERS Ems;Uel v� 1 y 4A..L rA L,i^:':', ATTEST: WELD COUNTY CLERK AND RECORDER � ! LERK TO THE BOAR' BY' �e -ty County T'erk DOCKET 181-8 TAPE # 81-9 LBW- 129 NOTICE PUBLIC HEARING INDUSTRIAL DEVELOPMENT REVENUE BONDS FOR DOS GRINGOS LAND AND CATTLE COMPANY Docket #81-8 NOTICE IS HEREBY GIVEN of a hearing before the Board of County Commis- sioners of Weld County, Colorado, on the 23rd day of February, 1981 , at the hour of 10:00 A.M. in the Weld County Commissioners hearing room, first floor, Weld County Centennial Center, 915 10th Street, Greeley, Colorado, for the purpose of considering the application from Dos Gringos Land and Cattle Company for Weld County to issue $400,000 in Industrial Development Revenue Bonds. The proposed bond issue is to construct a facility for use by Great Plains Chemical Company. This procedure is in accordance with the 1967 County and Municipality Development Revenue Bond Act, Section 29-3- 101 , et. seq. , CRS 1973 as amended. Copies of the application for Industrial Development Revenue Bonds are on file in the Office of the Clerk to the Board of County Commissioners located on the 3rd floor, Weld County Centennial Center, 915 10th Street, Greeley, Colorado and may be inspected during regular business hours. Following the close of the public hearing, the Board of County Commis- sioners will consider whether or not to proceed with the issuance of Industrial Development Revenue Bonds. All interested parties under the law will be afforded an opportunity to be heard at said hearing. This notice given and published by order of the Board of County Commis- sioners, Weld County, Colorado. DATED: February 9, 1981 THE BOARD OF COUNTY COMMISSIONERS BY: MARY ANN FEUERSTEIN COUNTY CLERK AND RECORDER AND CLERK TO THE BOARD OF COUNTY COMMISSIONERS BY: Keitha White, Deputy PUBLISHED: February 12, 1981 in the Johnstown Breeze ,/, /9 / Affidavit of Publication STATE OF COLORADO ss. County of Weld, 1 Paula A. Barton of said County of Weld, being duly sworn, say that I am an advertising derk of THE GREELEY DAILY TRIBUNE, and THE GREELEY REPUBLICAN that the same is a daily newspaper of general circulation and printed and published in the City of Greeley, in said county and state; that the notice or x0,4 ' fit + Y' advertisement, of which the annexed is a true copy, has been published in said daily newspaper for consecutive b (days) (week); that the notice was published in the 1.A'MitAire regular and entire issue of every number of said newspaper during the period and time of publication of u se said notice, and in the newspaper proper and not in a supplement thereof; that the first publication of said * notice was contained in the issue of said newspaper * , ,ty 'i. bearing date ,. tllw.un 21Jahu M , Fourteenth . day of February A.D. 1981 ti "A N. and the last publication thereof; in the issue of said u nst. newspaper bearing date the Mnai r0' k -`t .M MeoWbM, ,>,, 10 9f or g lb Fourteenth IOW . 'v mww 00000 day of February A.D. 1981 "., "m that said The Greeley Daily Tribune and The Greeley MrRepublican, has been published continuously and sat camnm-Cy uninterruptedly during the period of at least six fl o:a months next prior to the first issue thereof contained 14," tt ' ',TM IN said notice or advertisement above referred to;that said COUNTY 110 '" many newspaper has been admitted to the United States mails as second-class matter under the provisions of the Act of March 3, 1879, or any amendments thereof; and that said newspaper is a daily newspaper duly qualified for publishing legal notices and advertisements within the meaning of the laws of the State of Colorado. February 14 , 1981 Total charge : $15 . 95 Advertising Clerk Subscribed an rn to before me this 14th ay of _ February A.D. 19 81 My mmissii000 ,(expiry _ Notary Public Yfa 1W!lN�A a r 4• � -- AFFIDAVITOF PUBLICATION ;.w r ' THEJOHNSTOWNBREEZE a STATE OF COLORADO > ss Candy • entt &•'t COUNTY OF WELD ) ! I, Clyde Briggs, do solemnly swear that I �br lei am publisher of The Johnstown Breeze; that the same is a weekly newspaper Indus a t+ sen printed, in whole or in part, and published in the County of Weld, State of Colorado, a and has a general circulation therein; that 1 said newspaper has been published { " rz continuously and uninterruptedly in said - �r9' County of Weld for a period of more than a� fifty-two consecutive weeks prior to the a des •nt first publication of the annexed legal notice or advertisement; that said newspaper has been admitted to the United States mails as 1 second-class matter under the provisions of natasrmlassi the Act of March 3, 1879, or any amendments thereof, and that said newspaper is a weekly newspaper duly m.r . m qualified for publishing legal notices and Deers nal advertisements within the meaning of the Itevenue All laws of the State of Colorado. hearing.hi yall li That the annexed legal notice or advertise- ment be ment was published in the regular and • n entire issue of every number of said weekly rimThin yi of newspaper for the period of ..1... consecu- catoeaao, , . tr^ tive insertions; and that the first DATED: pyhny IL Eft publication of said notice was in the issue of enDor said newspaper dated/Si2-, A.D. 198(, r I'NEBOAR or 00- NEERS and that the last publication of said notice BY., A, was in the issue of said newspaper dated , A.D. 19 In witness whereof I have hereunto set COUNTY CO ; my handj)1is ....•2 y7 day of ref , BY:Kaaba White,Deputy A.D. 19....! in antis. jrZuttabn any 11 19Co 81 sne#e Board gal 81-17•Cleirk 1a abe Publisher Subscribed and sworn to before me, a Notary Public in and for the C,ynty of Wel tate of Colorado, this mil.(--.--d ay of . A.D. 19.. 11... Notary Public. My commission expires //—/-4 • } MEMORAf DUF l wiik To Don Warden Dee February 9, 1981 COLORADO From Tom Honn a • Subject: Industrial Revenue Bond Request The subject property is located in part of the NWT, of Section 32, T6N, R65W at the southeast intersection of U.S. 85 and "0" Street (Weld County Road 64). At present the property is zoned "C" Commercial and is on a legal lot. At this time I can see no conflicts with Weld County land use regulations. for the "Bond" proposal. TEH:rjg CNB INCCOLORADO NATIONAL BANK SEVENTEENTH STREET AT CHAMPA •DENVER 80202•(303) 893-1862 MAILING ADDRESS:P.O. BOX 5168 T.A. •DENVER, CO.80217 February 5, 1981 Board of Weld County Commissioners Greeley Colorado 80631 Re: Dos Gringos Land and Cattle Company, a Partnership Applicant, and Great Plains Chemical Co. , Inc Applications for Weld County Development Revenue Bonds Dear Commissioners: The Colorado National Bank, subject to conditions stated below, has committed to Applicant to purchase all of the Development Revenue Bonds up to $400,000.00. This undertaking may be relied upon by the Board of County Commissioners as evidence that the proposed bond issue can be sold to a qualified investor. We have reviewed Applicant's financial status, the proposed lease of the property by Great Plains Chemical Co . , Inc. , and determine that Applicant will have ample ability to meet the expenses of the bond issue and that the bond issue will be fully amortized pursuant to the proposed terms and that Applicant will have full ability to maintain the building during the term of the bond issue. Because the bank has committed to purchase all of the bond issue, and because the bank has comprehensively reviewed all financial information of the Applicant and the proposed leasee of the property, it is not necessary for Weld County to require additional financial information routinely provided in cases where the bonds may be issued through an underwriter and to investors without such financial information. Accordingly, the Colorado National Bank, as sole investor of the Development Revenue Bonds waives any duty of Applicant to provide additional financial information and requests favorable action on the bond issue. As an inducement for waiver of the financial information, the Colorado National Bank acknowledges total and absolute waiver and estoppel and agrees to indemnify the County, its agents and employees from all rights or claims arising from the waiver of financial information. Board of Weld County Commissioners February 5, 1981 Page Two The commitment of the Colorado National Bank to purchase the subject Development Revenue Bonds is conditioned upon the receipt by the bank of an opinion of counsel satisfactory to the bank providing assurance of the nontaxability for income tax purposes of the said bond and of the legality, validity, and enforceability of the bonds and the related agreements and undertakings. If additional information is needed from the Colorado National Bank, as investor, please advise us. Very truly yours, THE \ / p COLORADO NATIONAL BANK pF DENVER -t---7---, / E. Bowman McLean Vice President eAces KAROWSKY, WITWER & OLDENBURG SUITE 550,GREELEY NATIONAL PLAZA STOW LE S A.KAROWSKY STOW L. NINTH AVENUE AND EIGHTH STREET LDENB RG GREELEY.COLORADO 00631 R.SAM OOENBU AREA CODE 303 BETSY B.KAROWSKY 352-ale' JOHN J.BARRY January 26 , 1981 Board of County Commissioners Weld County Centennial Building Greeley, CO 80631 Re: Application of Dos Gringos Land and Cattle Company for Weld County Development Revenue Bond Issue Dear Commissioners : Pursuant to C.R.S. 29-3-101, 1973 , as amended, and Weld County Ordinance No. 96, Dos Gringos Land and Cattle Company herewith applies for a Weld County Development Revenue Bond Issue in the maximum sum of $400 , 000 .00 and in support thereof submits the following: 1. Construction of Improvements. After preliminary approval of the bond issue by the County, applicant proposes to construct all improvements to the property with conventional construction financing with the bonds to be issued only after completion. 2. Ownership and Use Of Premises. Applicant will continue to own the premises at all times material hereto but lease the same to Great Plains Chemical of Colorado, Inc. , which will occupy and use the premises for its business purposes. 3. Structure of Bond Issue and Financing. Applicant will lease the premises to Great Plains Chemical Company, Inc. , on a triple net lease and for additional rental sufficient to fully amortize the bond. The Colorado National Bank has committed to purchase the bond with two limitations, that being (a) maximum amount of $400, 000, and (b) the bond in no event to exceed actual cost of the real property and improvements. The Colorado National Bank, as investor, is also requiring that the bond be secured by a deed of trust and other appropriate security instruments on all of the real property and improvements and requiring guarantees of the partners of applicant and shareholders of Great Plains Chemical Company, Inc. Board of County Commissioners January 26 , 1981 Page 2 4 . Supporting Documents. Pursuant to Section 3 , Weld County Ordinance No. 69, applicant submits the following: a. Legal opinion of bond counsel b. Letter of Commitment from Colorado National Bank evidencing saleability of bond. c. Brief history of both applicant and proposed tenant. d. Financial Statements of Applicant, tenant, and guarantors. e. Commitment for purchase of the bonds by Colorado National Bank also contains the Bank' s evaluation of the bond issue, its determination of the financial soundness of the bond and a waiver, as investor, of further financial information. t. Schedule of estimated cost of land and improvements. g. Preliminary plot plan. h. General background information of principal owners of applicant and the tenant. If further information is desired in connection with this application, please advise us. Very truly yours, KARO Y, WITWER 0 ENBURG Sam Oldenburg Attorney for Applicant Enclosures srs DOS GRINGOS LAND AND CATTLE COMPANY Brief History Dos Gringos Land and Cattle Company is a California partnership which began May 18 , 1978 . The partnership consists of two partners: Robert C. Hummel and Park L. Loughlin. This partnership was formed to acquire, own, subdivide, improve, rent, sell, and otherwise deal with real property and improve- ments thereon, of any kind or description. Also, to raise, buy, feed, sell, and deal in livestock. The principal office of the partnership business is located at Greeley, Colorado, 660 "O" Street, P. O. Box BB. GREAT PLAINS CHEMICAL COMPANY, INC. Brief History Great Plains Chemical Company, Inc. , is a Colorado corporation which began May 1 , 1967. It is the parent corporation and does a wholesale and retail business in Animal Health Products , Feed Additives, and Agricultural Chemicals in 20 states. The corporation maintains ten profit centers and a total of 35 branches. These branches employ 200 people; including 65 outside salesmen, eleven general managers and three regional managers. The corporate office is located at 660 "O" Street, P. O. Box BB, Greeley, Colorado 80632 . 4Sl GREAT PLAINS CHEMICAL OF COLORADO, INC. GREELEY, COLORADO MWr•1.J..W,. SI44**i Y�1f.�..YV�.d. W .w-»M_,n.,. •...•v- _ .e FINANCIAL STATEMENT • APRIL 25, 1980 • II ji THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN L BEDELL,P.C. • CERTIFIED PUBLIC ACCOUNTANTS • DENVER,COLORADO • AUGUST 7, 1980 GREAT PLAINS CHEMICAL OF COLORADO, INC. GREELEY, COLORADO GENTLEMENU THE ACCOMPANYING BALANCE SHEET OF GREAT PLAINS CHEMICAL OF COLORADO, INC. AS OF APRIL 25, 1980 AND THE RELATED STATEMENTS OF INCOME AND CHANGES IN FINANCIAL POSITION FOR THE 12 MONTHS ENDED APRIL 25, 1980 HAVE BEEN COMPILED BY US. A COMPILATION IS LIMITED TO PRESENTING IN THE FORM OF FINANCIAL STATEMENTS INFORMATION THAT IS THE REPRESENTATION OF MANAGEMENT. WE HAVE NOT AUDITED OR REVIEWED THE ACCOMPANYING FINANCIAL STATEMENTS AND; ACCORDINGLY, DC) NOT EXPRESS AN OPINION OR ANY OTHER FORM OF ASSURANCE ON THEM.. MANAGEMENT HAS ELECTED TO OMIT SUBSTANTIALLY ALL OF THE DISCLOSURES REQUIRED BY GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. IF THE OMITTED DISCLOSURES WERE INCLUDE!) IN THE FINANCIAL STATEMENTS, THEY MIGHT INFLUENCE THE USER'S CONCLUSION ABOUT THE COMPANY'S FINANCIAL POSITION, RESULTS OF OPERATIONS, AND CHANGES IN FINANCIAL POSITION. ALSO, THIS COMPANY WHOOLY OWNS CERTAIN SUBSIDIARY COMPANIES WHICH ARE NOT HEREIN CONSOLIDATED. GENERALLY ACCEPTED ACCOUNTING PRINCIPLES WOULD REQUIRE SUCH CONSOLIDATION. ACCORDINGLY, THESE FINANCIAL STATEMENTS ARE DESIGNED FOR MANAGEMENT USE ONLY EXCEPT THAT THEY MAY BE USED, ALONG WITH THE FINANCIAL STATEMENTS OF THE, SUBSIDIARIES? AS SCHEDULES SUPPORTING THE CONSOLIDATED FINANCIAL STATEMENTS. • LARSEN E CL, CPA-st THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN•BEDELL,►.C. • CERTIFIED►UBLIC ACCOUNTANTS • DENVER,COLORADO GREAT PLAINS CHEMICAL OF COLORADO, INC. GREE.:LEY, COLORADO E3ALANCE SHEET APRIL 25, 1980 ASSETS CURRENT: CASH IN BANK & ON HAND 55, 122.54 ACCOUNTS RECEIVABLE, TRADE 283,058.60 LESS? ALLOWANCE FOR DOUBTFUL (5,855.00) 277,203.60 DUE FROM AFFILIATED COMPANIES 98,428.3:1 MERCHANDISE INVENTORY: PHARMACEUTICALS 365,945. 15 FEED ADDITIVES 69,554.08 435,499.23 ACCOUNTS RECEIVABLE, OTHER: ADVANCED TO SALESMEN FOR TRAVELING 2,075.00 DUE FROM OFFICERS & EMPLOYEES 5,016.69 ACCOUNTS RECEIVABLE, MISC. 10,647.64 ACCRUED INTEREST RECEIVABLE 69.58 17,808.91 PREPAID EXPENSE 20,353.55 TOTAL CURRENT ASSETS 904,416. 19 ' INVESTMENTS: I LEXTRON, INC. (EQUITY METHOD) 108, 176.57 SELCO SUPPLY CO. (EQUITY METHOD) 291 ,021 . 11 AFFILIATED COMPANIES (AT COST) 75,983.21 TOTAL INVESTMENTS - 475, 180.89 PROPERTY & EQUIPMENT (AT COST: USING STRAIGHT LINE DEPRECIATION) BUILDINGS 2,244.22 DEPRECIATION ALLOWANCE ( 112.21) 2, 132.01. LEASEHOLD IMPROVEMENTS 10, 168.70 AMORTIZATION ALLOWANCE (7,213. 12) 2,955.58 AUTO & TRUCK EQUIPMENT 77,463.41 DEPRECIATION ALLOWANCE (35,$69.48) 42, 193.93 OFFICE FURNITURE & EQUIPMENT 32,553.98 DEPRECIATION ALLOWANCE (9,811 .32) 22,742.66 • AIRPLANE 24,000.00 I' DEPRECIATION ALLOWANCE (533.34) 23,466.66 '''""Air'Eten+.41-K'•MAGH-INE f-•,, r. 280,196.33 I DEPRECIATION ALLOWANCE (56, 193.08) 224,003.25 I, WAREHOUSE EQUIPMENT 11,000. 17 DEPRECIATION ALLOWANCE (3,567.94) 7,432.23 TOTAL PROPERTY & EQUIPMENT -- 324,926.32 OTHER: ELCO VET SUPPLY CO. 157,000.00 DEPOSITS RECEIVABLE 440.00 TOTAL OTHER ASSETS 157,440.00 TOTAL ASSETS 1,061,963.40 SEE ACCOUNTANTS' COMPILATION REPORT m ==== n=====___ THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN&BEDELL,►.C. • CERTIFIED PUBLIC ACCOUNTANTS • DENVER,COLORADO GREAT PLAINS CHEMICAL OF COLORADO, INC. GREELEY, COLORADO BALANCE SHEET APRIL 25, 1980 LIABILITIES CURRENT: • ` . • LOANS PAYABLE, BANKS 266,002.44 p ACCOUNTS PAYABLE, TRADE 155,043.01 I. e414 DUE AFFILIATED COMPANIES 62,279.33 ` trety ntfl ilitA'BLE AL SPECI ' 22,972.36 ACCRUED & WITHHELD TAXES 9,264.69 ACCRUED INCOME TAX (27,2205.00) ACCRUED EXPENSE: INTEREST 9,765.66 SALARIES 33,898.00 • OTHER 55.00 43,718.66 LOANS PAYABLE, BRANCH OFFICERS 100.00 CURRENT PORTION OF INSTALLMENT LOANS 24,000.00 TOTAL CURRENT LIABILITIES -- 556, 175.51 LONG-TERM: INSTALLMENT LOANS-CNB 135,212.85 LESS: CURRENT PORTION (24,000.00) 111,212.85 DEFERRED INCOME TAX 22,944.00 • TOTAL LONG-TERM LIABILITIES 134, 156.85 TOTAL LIABILITIES 690,332.36 STOCKHOLDERS' EQUITY • CAPITAL STOCK ISSUED: COM, NPV, VOTING (24,480 SH) 60,x!17.60 COM, NPV, NON-VOTING (2913 SH) 239,671 .26 TREASURY STOCK (460 SH) (29,945.58) 269,943.28 RETAINED EARNINGS, MAY 1 646,071 . 17 COST OVER ISSUE PRICE OF TREAS STK (23,929.62) ADD: CURRENT PERIOD EARNINGS ' 279,546.21 901,687.76 STOCKHOLDERS' EQUITY 1, 171 , 631 .0' _-_::::7,,7::_::- . I ii it SEE ACCOUNTANTS' COMPILATION REPORT THIS REPORT HAS SEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN&BEDELL.P.C. • CERTIFIED PUBLIC ACCOUNTANTS • DENVER.COLORADO • GREAT PLAINS CHEMICAL OF COLORADO, INC. GREELEY, COLORADO BALANCE SHEET SUPPORT SCHEDULE APRIL 25, 1980 ACCRUED & WITHHELD TAXES OTHER THAN INCOME" - SALES TAX PAYABLE 4,831 .33 • FICA PAYABLE 1,064.48 FEDERAL WITHHOLDING PAYABLE 1, 105.26 STATE WITHHOLDING PAYABLE 568.64 STATE UNEMP. INSURANCE PAYABLE 83.86 1'. FEDERAL UNEMP. INSURANCE PAYABLE 65.82 i GENERAL PROPERTY TAXES PAYABLE 1,545.30 TOTAL ACCRUED & WITHHELD TAXES 9,264.69 • CASH IN BANK & ON HAND COLORADO NATIONAL BANK 50,595.32 UNION COLONY 189.00 PETTY CASH FUND 563. 13 I CASH SALES (ENROUTE FROM SALES OUTLET) 3,439.73 CASH CLEARING (ENROUTE BETWEEN BRANCHES) 335.36 TOTAL CASH IN BANK AND ON HAND - 55, 122.54 DUE FROM AFFILIATED COMPANIES" ELCO VET SUPPLY CO. , CHANDLER 343.51 ELCO VET SUPPLY CO. , ANAHEIM 414.85 GT. PLAINS CHEMICAL CO. , TEXAS 15,238.45 GT. PLAINS CHEMICAL CO. , KANSAS 32,943.93 PARKER LIVESTOCK SUPPLY, BILLINGS 1,844.40 PARKER LIVESTOCK SUPPLY, FREMONT 36,604.68 V A SNELL &' CO. 2,067.81 ELCO VET SUPPLY CO. , SACRAMENTO 236.76 PARKER LIVESTOCK SUPPLY, IOWA 7, 136. 13 MEDICINE BOW MANAGEMENT CO. 309.08 SELCO SUPPLY CO. 1, 198.97 LEXTRON ' 9.76 TOTAL DUE FROM AFFILIATED COMPANIES 98,428.33 PREPAID EXPENSE" INSURANCE PREPAID 2,305.33 LICENSES PREPAID 822.43 OFFICE SUPPLIES PREPAID 5,500.00 OFFICERS` TERM LIFE INSURANCE PREPAID 266.46 RENT PREPAID 1,025.00 WAREHOUSE & SHIPPING SUPPLIES PREPAID 300.00 MAINTENANCE CONTRACT 26.65 COMPUTER PROGRAMMING 8,226.71 OTHER PREPAID 1,801 .00 TOTAL PREPAID EXPENSE 20,353.58 is SEE ACCOUNTANTS' COMPILATION REPORT THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN&BEDELL,P.C, • CERTIFIED PUBLIC ACCOUNTANTS • DENVER,COLORADO • GREAT PLAINS CHEMICAL OF COLORADO, INC. GREELEY, COLORADO IBALANCE SHEET SUPPORT SCHEDULE CONT'D. ' APRIL 25, 1980 INVESTMENT IN AFFILIATED COMPANIES (AT COST) I ELCO VETERINARY SUPPLY CO. , INC. 68,983.21. GREAT PLAINS CHEMICAL CO. , KANSAS 5,000.00 GREAT PLAINS CHEMICAL CO. , TEXAS 1,000.00 PARKER LIVESTOCK SUPPLY CO. , INC. 1,000.00 TOTAL INVESTMENT IN AFFILIATES 75,983.21 DUE AFFILIATED COMPANIES' ELCO VET SUPPLY CO. , ANAHEIM 77.70 GT. PLAINS CHEMICAL CO. , TEXAS ( 1,638.79) GT. PLAINS CHEMICAL CO. , KANSAS 18,675.86 PAR#C,R"..k4V€STOCK JSUPPL.Y; BILLINGS 1,036.51 I PARKER LIVESTOCK SUPPLY, FREMONT 4,703.95 V A SNELL & CO. 2,502.40 ELCO VET SUPPLY CO. , SACRAMENTO 2,448.00 MEDICINE BOW MANAGEMENT CO. 22,395. 17 SELCO SUPPLY CO. 1, 108.95 LEXTRON 10,969.50 TOTAL DUE AFFILIATED COMPANIES 62,279.33 • • • SEE ACCOUNTANTS' COMPILATION REPORT THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY & BEDELL,P.C. • CERTIFIED PUBLIC ACCOUNTANTS • DENVER,COLORADO GREAT PLAINS CHEMICAL OF COLORADO, INC. GRE:ELEY, COLORADO STATEMENT OF INCOME FOR THE 12 MONTHS ENDED APRIL 25, 1980 .. CURRENT X YEAR-TO-DATE . SALES 242,549„91 100.00 3, 659,205.95 100.00 NET SALES 242,549 ,91 100.00 3,659,205.95 100.00 COST OF GOODS SOLD PURCHASES 92,201 . 81 30.01 2,955, 810.94 80.78 INWARD FREIGHT 119^76 .05 4,948.35 . 1f. , INVENTORY( INCREASE)DECREASE 98,467. 97 40.60 33, 981 .52 .9. nr— COST OF SALES 190,78954 78.66 2,994, 740.81 81. .0 GROSS PROFIT 51 ,760,,37 21 .34 664,465. 14 18. 16 sett=..mass===Lute mmm=mm m=m===ea====c- __.-.....-.....-. OPERATING EXPENSES: PELL,INPY_ SALARIES 6, 323. 19 2.61 90,293.97 2. 4� AUTO_EXPENSESr. i GAS, OIL & REPAIRS 3,248,74 1 .34 44,072.79 1 . 20 I DEPRECIATION 1 ,550,43 .64 18,065.56 .52 ' TRAVELING, 1 , 217,109 .50 18,981 .0? .5r' ADVERTISING 3, 682,,00 1 .52 14,534.22 .40 SALES MEETINGS 275,00 . 11 864.02 .02 ! ENTERTAINMENT 327,09 . 13 3,705.39 . 10 : MISC. SELLING EXPENSES , 00 .00 5.90 .00 TOTAL SELLING 16,623,54 6.05 191 ,323.67 5. 23 mrammaum...i tm== =atom== mmasmete. =•_=r_a= ===,, SHIPPINGN SALARIES 1 ,075,00 .44 20,525.00 .56 SUPPLIES . .00 .00 1,603.36 .05 FREIGHT & POSTAGE 671 .34 .28 9, 608.40 .26 CASUAL LABOR 193,60 .08 223. 60 .01 .. TOTAL SHIPPING 1 ,939.94 .90 32, 040.36 .ERIC set===a=ma==im= ==e==^a su=mac======= _== ADMINISTRATIVE & GENERAL: MANAGEMENT SERVICES 2,428.00 1 .00 36,592.00 1 .0(T SALARIES, ADMINISTRATIVE 28,398.00 11 .71 40,998.00 1 . 36 SALARIES, OFFICE 4,492.04 1 .85 49,51.7.2;• :I. . .i5 RENT 1, 750.00 .72 10,625.00 .51. INSURANCE (301 .33 ) ( . 12) 9,340.83 .i't`+ OFFICE SUPPLIES & POSTAGE 2,915.05 1 .20 11,019.85 .30 OFFICE MACHINE RENT 423. 44 . 17 909.06 .02 FEED MIX MACHINE EXPENSE: DEPRECIATION 4,451 .57 1 .84 43,996.78 1 .2() OTHER EXPENSE 21,063. ).0 8.68 152,790.67 4 . 10 REIMBURSEMENT ( 19,326.48) (7.97) ( 148, 987.64) (4.07) "."44".r.wMr-riRe..err.."ti.w•ry,.•bu"....-. 5E'E" ACCOU'NT'ANTS' COMPILIATION REPORT THIS REPORT HAS SEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN & BEDELL,P.C. • CERTIFIED PUBLIC ACC9UNTANTS • DENVER,COLORADO GREAT PLAINS CHEMICAL OF COLORADO, INC. GREE LEY, COLORADO CURRENT % YEAR-TO-DATE: % a�»•+•MhNN....ag.L . tiF.........,,...,-.._ 2,257,95 .93 24,763.95 .6f TELEPHONE SECRETARY 100„00 .04 1 ,060.00 .03 TAXES: ( ENERAL PROPERTY _ 218„00 .09 2,616.00 .07 PAYROLL 1,049„17 .43 12,634.95 .3`.i MISC . TAXES & LICENSES 87,,29 .04 2,480.76 .07 DUES & SUBSCRIPTIONS (68,00) ( .03) 707.00 .0P ACCOUNTING 1,563,,63 .64 9,689.89 .26 LEGAL 700 .00 292.24 .01 DEPRECIATION, OFC. & WHSE. 277,185 .11 7, 157.00 .20 ADDITIONAL WHSE FACILITY 468,173 .19 3, 158.37 .09 EMPLOYEES' MEDICAL 227,104 .09 2,956.74 .Of. UTILITIES 531„81 .22 5,302.21 . 14 OFFICE CLEANING „00 .00 1,065.00 .03 REPAIRS 319,?25 . 13 5, 203.80 . 16 BAD DEBTS 10,03206 4. 14 10,032.06 .2i MISC . OPERATING EXPENSES 447„43 . 18 4,041 . 96 . 11 CASH SHORT & OVER 1725 .00 3. 22 .00 CONTRIBUTIONS ,I00 .00 882 .50 .0 FLOWERS 8 GIFTS 8, 85 .00 405.55 .01. FINES 8 PENALTIES ,00 .00 161 .36 .00 EMPLOYEES' TRAINING EXPENSE .00 .00 651 .33 .0P EMPLOYEES' SOCIALS .00 .00 470.57 .0!. OFFICERS' TERM LIFE INSURANCE 115.79 .05 1 , 346.07 .04 . ! PROGRAMMING EXPENSE (522.91 ) ( .22) 176.61 .00 THEFT LOSS .00 .00 51 .50 .00 TOTAL ADMINISTRATIVE & GENERAL 63,408. 18 26. 14 320, 112.43 8.75 TOTAL OPERATING EXPENSES 81,971 .66 33.80 543,476.46 14 .85 nmuccecasuacrac= surg==== RC====n===== ====== __ NET OPERATING PROFIT (LOSS) (30,211 .29) ( 12.46) 120,988.68 3.31 OTHER INCOME AND EXPENSE: On=======ma@ m=ar=== Ws.========== ====== GAIN ON SALES OF EQUIPMENT .00 .00 2,612. 14 .07 (:)AIN (LOSS ) ON INVESTMENTS 78, 124.04 32.21 182,279.70 4.98 PURCHASES DISCOUNTS 518.26 .21 ' 35,200.86 .96 SUPPLIERS' REBATES 32.50 .01 55, 295.29 1 .51 INTEREST INCOME 1,563.60 .64 20,891 .36 .57 OFFICE MACHINE RENT .00 .00 972.00 .03 RENT INCOME 1,370.00 .56 11 ,410.51 .31 LESS: 81,608.40 33.65 308, 661 .86 8.44 INTEREST EXPENSE 2, 948.34 1 .22 54,943. 18 1 .50 . LOSS ON ABANDONMENT 42. 15 .02 42. 15 .00 NET OTHER INCOME (EXPENSE) 78,617.91 32.41 253, 676.53 6.93 === NET INCOME FOR THE PERIOD 48,406.62 19. 96 374,665.21 10.24 ALLOWANCE FOR INCOME TAX FEDERAL (3,516.00) ( 1 .45 ) 85,200.00 2 . 33 STATE ( 1,203.00) ( .50 ) 9, 039.00 .27 1OTAL INCOME TAX (4,719.00) ( 1 .95) 95, 119.00 2.60 Mminvemrccrtcpm ocaa¢sm arc==s== ==L. . NET INCOME (LOSS) 53, 125.62 21 .90 279,546.21 7.64 THIS REPORT HAS BEEN PREPARED WITAu *m OO OR0Sr-DEaktECOr&Wabfiz ===r_=:_: LARSEN &'EDELL,P.C, - C[RTIFIED POILIC ACCOUNTANT% • PKL"_';R.COLORADO - ^ I GREAT PLAINS CHEMICAL OF COLORADO, INC. GREELEY, COLORADO GROSS PROFIT BY DEPARTMENTS FOR THE 12 MONTHS ENDED APRIL 25, 1980 CURRENT X YEAR—TO—DATE is FEED SALES, FEED 55,232.95 100.00 711,728.67 100. 00 NET SALES 55,232.95 100.00 711 ,728.67 100.00 smommernd=er mx>e@Z® l0�G@1c�csc67 c.^t^C c7' COST OF SALESn PURCHASES, FEED 1 , 289. 16 2.33 645,412.66 90. 60 FEED INVENTORY ( INCR) DECR. 70,789.25 128. 16 ( 10,259. 19) ( 1 .44 COST OF SALES 72,078.41 130.50 635, 153 .47 89.24 ■aum====...aQm ===m=m GROSS MARGIN ( 16,845.46) (30.50) 76,575.20 10.76 mmmOPRRtmm-Om mmimmrrm mCmrlaas^amca =Ct_:C,, II PHARMACEUTICALS SALES, PHARMACEUTICALS 187,316.96 100.00 2,947,477.28 100.00 NET SALES 187,316.96 100.00 2,947,477.28 100.00 sassmeamcr==== mmeamaom mcrssa==.....= cac=c_, COST OF SALES= PURCHASES, PHARMACEUTICALS 90,912.65 48.53 21310,398.28 70.39 INWARD FREIGHT 119.76 .06 4,948.35 . 17 PHARM. INVENTORY ( INCR) DECR. 27,678,,72 14.78 44, 240.71 1 .50 COST OF SALES 11.8,711 . 13 63.37 2►359,587.34 80 .0`5 scsett��eis�s�as mmssaa� sscasssca�Gccc �e=r-c��: G �,SS MARLIN 68,605.83 36.63 587,889.94 19.95 mommseamresmps s.asmetm mmamaa======= aa====v • h SEE ACCOUNTANTS' COMPILATION REPORT THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROF1 BOOKS AND RECORDS OF THE COMPANY LARSEN&SWILL.P.C. • CBRTI/IED PUBLIC ACCOUNTANTS • DENVER,COLORADO • GREAT PLAINS CHEMICAL OF COLORADO, INC. GREELEY, COLORADO STATEMENT OF CHANGES IN FINANCIAL POSITION FOR THE 12 MONTHS ENDED APRIL 25, 1980 FINANCIAL RESOURCES WERE PROVIDED BY: OPERATIONS: • '• NET INCOME 279,546.21 ADD EXPENSE NOT REQUIRING THE USE OF (DEDUCT INCOME NOT PROVIDING) WORKING CAPITAL: DEPRECIATION 70,019.34 GAIN - SALE OF PROP. & EQUIP. ( 2,569.99 ) 346,995.56 OTHER RESOURCES DEC. IN CURRENT PORTION OF L-T DEBT 10,500.00 PROCEEDS, SALE OF PROP. & EQUIP. 15,938. 10 ADDITIONAL CAPITAL PAID IN 107,281 .92 OTHER CHANGES 22,944.00 TOTAL 503,659.58 FINANCIAL RESOURCES WERE USED FOR: PAYMENT OF LONG-TERM LIABILITIES 30,959.32 . PURCHASE OF PROPERTY & EQUIPMENT 152, 150.70 INCREASE IN LONG-TERM RECEIVABLES 57,000.00 INVESTMENT IN AFFILIATED COMPANIES 182,279.70 ' INCREASE IN WORKING CAPITAL 81,269.78 • TOTAL 503,659.5O SEE ACCOUNTANTS' COMPILATION REPORT THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN!BEDELL,P.C. • CERTIFIED PUBLIC ACCOUNTANTS • DENVER,COLORADO C,REAT PLAINS CHEMICAL OF COLORADO, INC. GREE:LEY, COLORADO CHANGES IN COMPONENTS OF WORKING CAPITAL. FOR THE 12 MONTHS ENDED APRIL 25, 1980 • CURRENT YEAR-TO-DATE CURRENT ASSETS - INCREA!E (DECREASE) LASH IN BANK AND ON HAND 198,060.65 ( 9,349.87) ACCOUNTS RECEIVABLE, TRADE 44,254 .88 ( 29,917. 60) ALLOWANCE FOR DOUBTFUL 425.00 425.00 DUE FROM AFFILIATED COMPANIES (8,337.01 ) 18,31.7.94 ACCRUED INTEREST RECEIVABLE 285.00 69.59 MERCHANDISE INVENTORY (98,467.97) (33,981 .52) ADVANCE TO SALESMEN FOR TRAVELING 1 ,225.00 600.00 DUE FROM OFFICERS & EMPLOYEES 170.25 4,998.00 `. ACCOUNTS REC. , MISC. 3,431 .73 (54,71.0 .31. ) ' PREPAID EXPENSE 3, 650. 79 13,828.26 TOTAL INCREASE (DECREASE) 144,714 . 32 (89,720.52) CURRENT LIABILITIES ( INCREASE) DECREASE LOANS PAYABLE, BANKS (50,000.00) 40,423.99 ACCOUNTS PAYABLE, TRADE (34,061 .66) 92, 567.66 DUE AFFILIATED COMPANIES (21 ,645. 72) (21. ,065. 15) ACCOUNTS PAYABLE, SPECIAL (48,022.49) (22,076 .56 ) ACCRUED & WITHHELD TAXES ( 1. ,360.30) ( 042. 49 ) ACCRUED INCOME TAX 51,215.00 60,769.00 { ACCRUED EXPENSE (39,244 . 19 ) 760.83 LOANS PAYABLE, BRANCH OFFICERS .00 11 ,600.00 kCURRENT PORTION OF INSTALLMENT LOANS 10,500.00 10, 500.00 TOTAL ( INCREASE) DECREASE ( 133,427.36) 170,990.30 tmc.a-==re,=== rc^cz-_cry=: INCREASE (DECREASE) IN WORKING CAPITAL 11,286.96 81,269.70 e6ICmCGCC=G'. N NA /M*41 I,MM W II • I� II I � SEE ACCOUNTANTS' COMPILATION REPORT THIS REPORT HAS BEEN PREPARED WITHOUT AUDIT FROM BOOKS AND RECORDS OF THE COMPANY LARSEN 4 BEDELL,P.C. • CERTIFIED PUBLIC ACCOUNTANTS - DENVER,COLORADO FINANCIAL STATEMENT Robert C. Hummel November 1, 1980 ASSETS LIABILITIES Cash 1,000 Mortgage City Real Estate $ 129,225 City Real Estate 337,500 Commercial Real Estate 857,333 Mortgage Commercial Real 550,825 GPC Stock 2,008,339 Estate Medicine Bow Profit 46,200 Sharing & Pension Trust Colorado National Bank 37 ,023 Medicine Bow Stock Ref- 182,450 Note lecting Current Real Estate Values Union Colony Bank Notes 78,474 1800 shares, Union Colony 20,700 Bank Stock, Greeley, CO • @ 11.50 $ 795,547 1000 shares, Gulf Oil 21,000 Canada @ 21.00 2500 shares, Benedict 8,125 NET WORTH Nuclear Pharmaceutical, $2,912,845 Inc. @ 3.25 25,000 shares, Lake City 90,625 Mines @ 3.625 130,000 shares, Excoa Oil & 41,600 Gas, Inc. @ .32 1000 shares, Hudson Bay 22,875 @ 22.875 3300 shares, Energy Minerals 39,600 @ 12.00 Financiers Unlimited 6,545 500 Partnership Stock 7,500 17,000 shares American 17,000 Surgery @ 1.00 TOTAL ASSETS $3,708,392 TOTAL $3,708,392 TERM INSURANCE $1,000,000 - American Agency Life - Payable to Great Plains Chemical Co. , Inc. $ 500,000 - American Agency Life - Payable to Carole T. Hummel DESCRIPTION OF CITY REAL ESTATE VALUE ENCUMBRANCE 5910 24th Street, Greeley, Colorado $ 225,000 $ 62,225 Residential Home, 11 Acres Laguna Lido Stock Coop - Apt. 303 & Garage 47 225,000 134,000 Laguna Beach, California ONE-HALF INTEREST 112,500 67,000 CITY REAL ESTATE TOTAL $ 337,500 $ 129,225 Robert C. Hummel November 1, 1980 Page 2 DESCRIPTION OF COMMERCIAL REAL ESTATE VALUE ENCUMBRANCE GREAT PLAINS LAND & DEVELOPMENT CO. 660 0 St. Greeley, Colorado $ 225,000 Metal Bldg. 13,600 sq ft Greeley National Bank, Denver, CO $ 16,250 Colorado National Bank, Denver, CO 125,197 Colorado National Bank, Denver, CO 14,000 660 0 St. Greeley, Colorado 130,000 Cement Blk Bldg 5M sq ft Colorado National Bank, Denver, CO 42,700 660 0 St. Greeley, Colorado 160,000 Industrial Zoned Land - Eight Acres Seller Carried 5,714 • TOTAL $ 515,000 $ 203,861 ONE-HALF INTEREST $ 257 ,500 $ 101,931 DOS GRINGOS LAND & CATTLE CO. - Real Property Imperial, Nebraska $ 142,000 Farmers & Merchants Bank, Imperial, NE $ 53,467 Lexington, Nebraska 36,000 Lexington State Bank, Lexington, NE 24,310 Fremont, Nebraska 217,000 First National of Fremont, Fremont, NE 180,000 Dimmitt, Texas 85,000 Colorado National Bank, Denver, CO 78,418 Norfolk Nebraska 60,000 Delay First National Bank, Norfolk, NE 37,870 Billings, Montana 350,000 Colorado National Bank, Denver, CO 353,079 James Cronin Residence, 3048 Stinson, Billings, MT 70,000 First Bank Billings, Billings, MT 35,000 Garden City, Kansas 85,000 Colorado National Bank, Denver, CO 84,685 ***Gene Herrscher Receivable Noted Below ( 2,040) TOTAL $1,045,000 $ 844,789 ONE-HALF INTEREST $ 522,500 $ 422,394 HCL LAND CO. 15 E. Broadway, Anaheim, California $ 232,000 Cement Block Bdlg. 12,000 sq ft on 13,500 sq ft land Security Pacific $ 79,500 ONE-THIRD INTEREST $ 77,333 $ 26,500 COMMERICAL REAL ESTATE TOTAL $ 857,333 $ 550,825 ***Eugene Herrscher owes $2,040 - Guymon, Oklahoma Building Roof Repair 'ILLIAM C. LOUGHLIN & CO. 400 '4ONTGOMERY STREET, SAN FRAN"'SCO, CALIF. 94104 TELE: 781-5582 Financial Condition of Park L. Loughlin as of November 16, 1960 Cash 600.00 Great Plains Chemical Compaay(BodtValue) 2,000,000.00 Real Estate 3868 Jackson Street, San Francisco Value 600,000.00 327,500.00 Mortgage 145,000.00 80% ownership 18$ Stewart Drive. Tiburon, Calif. Value 600.000.00 Mortgage 40,000.00 35% ownership 116,000.00 Alpine Meadows Home Tahoe City, Calif. Value 300.000.00 Mortgage None 300,000.00 HCL Land Co. Anaheim. Calif. Value :33.000.00 Mortgage 79,000.00 33.3% ownership 51,000.00 Dos Gringos Land and Cattle Co. Value 1,045,000.00 100.105.00 Mortgages 844,769.00 50%ownership Wm C. Loughlin • Co. . Inc. (Book Value) 460,000.00 Medicine Bow Pension and Profit Trust 50,000.00 Medicine Bow Management Co. Value given Current value of Real Estate Vail Condominium 182,450.00 Stooks Current Value-All listed on NYSE 176,000.00 Art Apprsiied Vain* 100,000.00 Note Receivable-Eloo Vet Supply Co. 20,000.00 Riverview Asaooiates-Limited Partnership 100.000.00 Personal Property and Furniture 36.000.09 Net Worth 4,024,566.00 Wair ®i ffires WILLIAM J. BAIRD ROBERT J. BANTA KENNETH B. HOLM l- ltrtr, II4YIT.,J ['NYY t,14AA tt, THOMAS E.JOHNSON EDMUND D. McEACHEN MICHAEL L.SULLI CLEMENT B. PEDERSEN DERYL F HAMANN PbrrsPn♦ a-YYic"tlt It bt.QL,fLTtf JAMES S.MITCHELL DAVID S. PEDERSEN VIRGIL J. HAGGART.JR. THOMAS R. HOOD HOOD DAVID C.ERICKSON ANDRESEN 1500 WOODMEN TOWER R.RICHARD R. WILLIAM G. DITTRICK KIRK L.BLECHA C-JEN GERALD P LAUGHLIN N JOHN S. ZEILINGER ILnta1` `r��tbrnsha Sf102 RONALD C.HOLDEN PI GARY W. RADIL �'"'2 JOHN R.. RITSCHIED KENT 0. LITTLEJOHN JERRE A. CH MICHAEL G. LESSMANN JOHN P HEK ALEX M.CLARKE AREA CODE 902349-0500 SHARON R.KRESHA JONATHAN R. BREUNING CHARLES J.ADDY GARY N.CLATTERBUCK CRAIG W.THOMPSON RICHARD E. PUTNAM PAUL SCOTT DYE DENNIS J. FOGLAND RICHARD J. PEDERSEN January 14 , 1981 W. ROSS KING Board of County Commissioners Weld County, Colorado RE: Resolution for Preliminary Approval of up to $400,000 of County Development Revenue Bonds for Dos Gringos Land and Cattle Company and Great Plains Chemical Co. , Inc. Gentlemen: We are recognized municipal bond counsel and will serve as bond counsel for the above Bonds. It is our opinion that the proposal to issue County Development Revenue Bonds for the acquisition of real estate and the construction thereon of a facility suitable or used for or in connection with the industrial, commercial, agricultural or business enterprise of manufacturing, storing, warehousing, dis- tributing, selling or transporting veterinarian supplies, medicines and other products of agriculture, industry, manufacturing or business to be leased by the County to Dos Gringos Land and Cattle Company and subleased to Great Plains Chemical Co. , Inc. is within the intent and meaning of the Economic Development Revenue Bond Act as set forth in Section 29-3-101, et seq. , C. R.S. 1973, as amended. Very truly yours, FOR TH FIRM CJA:cm GREAT PLAINS CHEMICAL COMPANY, INC, Principals President Robert C. Hummel Vice President Donald Thompson Secretary Park L. Loughlin Treasurer Robert C. Hummel Directors: Robert C. Hummel Park L. Loughlin Carole T. Hummel ESTIMATED MONTHLY CASH FLOW Monthly Estimated Estimated Cash Rec 'd Cash Cash over (under) Received Disbursed Cash Disb. Great Plains Chemical - Kansas $ 2 , 200. 00 Texas Commerce Bank $ 2 , 093. 50 $ 106 . 50 Great Plains Chemical - Texas 1,100. 00 Texas Commerce Bank 1, 046 . 75 53. 25 Parker Livestock Supply - Billings 4 , 000. 00 Colorado National Bank 3, 584 . 00 First Bank Billings 416 . 41 ( . 41) Parker Livestock Supply - Fremont 3, 203 . 75 Lexington State Bank 279. 40 DeLay First National Bank 423. 75 First National of Fremont (Note 2) 2 , 328 . 79 171. 81 Selco Supply 1, 250 . 00 Farmers & Merchants Bank 1, 050. 00 200. 00 TOTAL $11, 753. 75 $11, 222 . 60 $ 531.15 NOTES (1) Insurance, taxes and maintenance are the responsibility of and paid by the tenant. Owners of buildings are major stockholders of tenant' s business which accounts for direct accountability of items above. (2) Amount represents the average monthly payment of obligation over the life of the bonds. (3) Payments are relatively fixed and should not fluctuate significantly. Rents, on the other hand, are anticipated to increase in accordance with inflation, thus creating a larger cash flow in future years. DOS GRINGOS LAND AND CATTLE COMPANY Balance Sheet December 31 , 1980 Current: Cash $ 669 Real Property: (at Fair Market Value) VALUE Imperial, Nebraska 142 , 000 Lexington, Nebraska 36 , 000 Fremont, Nebraska 217 , 000 Dimmitt, Texas 85 , 000 Billings, Montana 350, 000 Norfolk, Nebraska 60 , 000 Garden City, Kansas 85, 000 Guymon, Oklahoma 82 , 000 James Cronin Residence, Billings , MT 70 , 000 Total $ 1 ,127 , 000 Other: Unamortized Revenue Bond Premium Fremont, Nebraska (dated 2/15/79 due 2/15/89) 3, 600 Total Assets $ 1,131,269 LIABILITIES Real Estate Secured Farmers & Merchants Bank Imperial, NE $ 53 , 467 Lexington State Bank Lexington, NE 24 , 310 DeLay First Nat' l Bank Norfolk, NE 37 , 870 First Nat' l of Fremont Fremont, NE 180, 000 Texas Commerce Bank Garden City, KS 84 , 246 Texas Commerce Bank Guymon, OK 68 , 767 Texas Commerce Bank Dimmitt, TX 78 , 116 Colorado Nat' l Bank Billings, MT 353 , 079 First Bank Billings Billings, MT 35, 000 Total Liabilities $ 914 , 855 Partners ' Equity 216 ,414 Total Liabilities and Equity $ 1 ,131 , 269 SCHEDULE OF ESTIMATED COST OF ASSETS AND EXPENSES INCIDENTAL TO ACQUISITION Land $ 20, 700 Building 316 ,800 Water & Gas Taps 5 , 000 Bond Counsel 3, 500 Weld County (Processing & Issuance) 3, 000 Attorney 1, 000 $ 350, 000 Contingency (Warehouse Equipment) 50, 000 TOTAL $ 400 , 000 PAYMENT SCHEDULE FOR RETIREMENT OF BONDS 1. Dos Gringos, applicant, will lease to Great Plains Chemical Company, Inc. , tenant, in amount of $4 , 057. 10 per month for a period of 15 years. Said amount derived from ordinary payment table for monthly mortgage loans where the Amount = $400, 000; Interest = 9% ; and Term = 15 years. 2. Great Plains Chemical Company, Inc. , tenant, is responsible for maintaining and pays for all taxes, insurance, and necessary repairs and maintenance. 3. Due to the fact that the principals , Robert C. Hummel and Park L. Loughlin, are involved in both Great Plains Chemical Company, Inc. , and Dos Gringos Land and Cattle Company, it is reasonable to assume that the building will be main- tained by Great Plains Chemical Company, Inc. , in a satisfactory manner. RESUME NAME: Park L. Loughlin ADDRESS: 400 Montgomery Street, San Francisco, CA 94104 BORN: October 8, 1924 - San Francisco, California EDUCATION: Grammar School: Notre Dame des Victoires, San Francisco Junior High: Aptos Jr. High, San Francisco High School: Lowell High, San Francisco College: 1942 - 1943 Stanford University 1943 - 1944 Colorado College--Naval V-12 Program 1944 - Columbia University--Midshipmen's School 1946 - 1948 Stanford University--B.A. Degree SERVICE: 1943 - 1946 U. S. Navy-- Navigation & Communications Officer, USS L. S. T. 982 1948 to Present: William C. Loughlin & Co. Salesman, Partner & Owner. Distributors of Animal Health Products: Pfizer, Inc. American Cyanamid Company Stauffer Chemicals Company Shepherd Chemical Company Rhodia, Inc. - Hess & Clark Div. Diamond Shamrock Chemical Co. Boise Cascade Company RESUME NAME: Robert C. Hummel ADDRESS: 5910 24th Street Greeley, Colorado 80631 BIRTHDATE: November 24 , 1936 TELEPHONE: (303) 353-6044 (Business) MARITAL STATUS: Married, two children EDUCATION: Bachelor of Science in Animal Science, Ohio State University Columbus , Ohio--1961 Doctor of Veterinary Medicine , Ohio State University Columbus , Ohio--1961 MILITARY SERVICE: Served in the University ROTC Program for two years. No other military service. PROFESSIONAL EXPERIENCE: April 1967 - Present President and Chief Executive Officer of Great Plains Chemical Company, Inc. , Greeley, Colorado, with five subsidiary companies doing a wholesale and retail business in Animal Health Products, Feed Additives , and Agricultural Chemicals in twenty states. Responsible for total management and adminis- tration of 200 employees , including 65 outside salesmen, eleven general managers , and three regional managers. Responsible for formation of company' s marketing and expansion programs , as well as financial planning. Acquired seven corporations which have been merged with Great Plains Chemical Company and existing subsidiaries. January 1964 - April 1967 Technical Sales Representative for American Cyanamid Co. , Los Angeles, California. Contacted cattle feedlots, feed manufacturers , consulting feedlot nutritionists, and veterinarians in four western states. Introduced and demonstrated Animal Health and Feed Additive products to the livestock industry. Presented the technical aspects of these products to American Cyanamid distributor salesmen in the area. July 1961 - December 1963 Technical Service Veterinarian for American Cyanamid Co. , Minneapolis , Minnesota. Called on the Agricultural Colleges , de- tailing technical aspects of American Cyanamid Animal Health and Feed Additive products to professors associated with Animal Science. Job function included explanation of marketing programs in addition to technical and practical sales information to American Cyanamid 's sales force in six west-central states. September 1954 - June 1961 College Employment Numberous jobs in factories, foundries , bakeries. Formed and operated a paint contracting company with a number of employees, and sold real estate. These endeavors financed college education. COMMUNITY AND PROFESSIONAL ASSOCIATIONS: Academy of Veterinary Consultants American Veterinary Medical Association American National Cattlemen' s Association BUSINESS AND FINANCIAL REFERENCES : Bowman McLean, Vice President Colorado National Bank. P. 0. Box 5168 Denver, Colorado 80217 Gene F, Reardon, Attorney Reardon, Reardon, and Reardon First National Bank Building Denver, Colorado 80217 Larry W. Menefee, President Union Colony Bank 1701 Twenty Third Avenue Greeley, Colorado 80631 RESUME Name : Donald Leslie Thompson Address : 6400 W. 1st Street Loveland, CO 80537 Phone : Business - 303/353-6044 Residence - 303/667-4211 Marital Status : Married; Two Children Date of Birth: 10 April 1934 in Phoenix, Arizona Education: Bachelor of Science in Animal Husbandry, Arizona State University, Tempe , Arizona, 1956 Military Service : 1956 - 1960: Four years Active Duty in U.S. Navy, Naval Aviation. Commissioned Ensign, October, 1956. Designated Naval Aviation Observer, and was qualified Airborne Electronic Countermeasures Evaluator and Patrol Plane Navigator. Spent twelve years in U.S. Naval Air Reserve after Active Duty. Attained rank of Commander. Resigned from Naval Air Reserve 1 July 1974, at which time I was Commanding Officer of a Naval Air Reserve Unit comprised of approximately thirty Officers and one-hundred fifty Enlisted Personnel. Professional Experience : 1952 - 1956: Employment during college consisted of various farm and ranch jobs, school bus driver, Electric Generating Plant, all of which helped finance college education. 1960 - 1962 : Feedlot Foreman, Keebler & Matthews Ranches, Inc. , Scottsdale, Arizona. Corporation was integrated farming, ranching operation with 6, 000 head feedlot. 1962- 1970: Area Manager, Veterinary Division, Cutter Laboratories for Colorado, Southern Wyoming and Western Nebraska. Job function of detailing and selling Cutter Veterinary Line to Distributors, Feedlots and Ranches, and setting up additional distribution as required. During 1969-70 also had Supervisory Responsibility for one other salesman and involved in training of new salesmen. -2- 1970 To Present: Vice-President and Manager of Great Plains Chemical Co. of Colorado. Animal Health and Feed Additive Distributor, com- prised of direct selling to Feedlot/Livestock Industry and Feed Manufacturers. Total operational, administrative , purchasing and financial management responsibility for four warehouse/store locations and twelve employees. Professional Associations : Colorado Cattle Feeder's Association a. Served two appointive terms on Board of Directors and as Chairman of Public Relations/Promotion Committee. National Cattlemen's Association Business and Financial References : Dr. Robert C. Hummel, President, Great Plains Chemical Co. , Inc . P. O. Box BB Greeley, CO 80632 Boman McLean, Vice-President, Colorado National Bank P. O. Box 5168 Denver, CO 80217 Dr. Guy A. Railsback, Vice-President, Marketing (Retired) Cutter Laboratories 8923 Rosewood Drive Shawnee Mission, Kansas 66207 CAPT William J. Secord, USNR-R 6967 Dudley Drive Arvada, CO 80010 Don Churchwell, Vice-President, First National Bank P. O. Box 29 Loveland, CO 80537 CNB C COLORADO NATIONAL BANK BOAdlikiSEVENTEENTH STREET AT CHAMPA • DENVER 80202•(303) 893-1862 MAILING ADDRESS:P.O.BOX 5168 T.A. •DENVER, CO.80217 January 23, 1981 County Board of Commissioners of Weld County Greeley, Colorado 80631 Gentlemen: Regarding Dos Gringos Land and Cattle Co. 's application for an Industrial Revenue Bond, this letter is to advice you that Colorado National Bank of Denver has reviewed the proposal and has agreed, subject to final review, to purchase the subject bonds. We have known Dos Gringos and its affiliate, Great Plains Chemical Co ., Inc. , for a number of years and we believe them to be morally and financially responsible for their obligations, including the payments under the proposed Industrial Revenue Bond. Very truly yours , !_ - (),2Z C er-tr, 2, c c _E. Bowman McLean Vice President Hello