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<br />BUDGET CONSTRUCTION CO., INe. AND BUDGET HOLDINGS, LLC <br />COMBINED BALANCE SHEETS <br /> <br /> December 31, <br />ASSETS 2007 2006 <br />Current Assets: <br />Cash and cash equivalents $ 1,074,360 $ 269,392 <br />Contracts receivable, net (Note - 2) 5,657,357 4,183,778 <br />Costs and estimated earnings in excess of <br />billings on uncompleted contracts (Note - 3) 701,295 686,642 <br /> Total current assets 7,433,012 5,139,812 <br />Property, equipment and capital leases, net (Note - 4) 4,278,660 4,058,775 <br />Prepaid expenses (Note - 5) 61 ,384 36,616 <br /> Total assets $ 11,773,056 $ 9,235,203 <br />LIABILITIES AND STOCKHOLDERS' EQUITY <br />Current Liabilities: <br />Credit line facility (Note - 6) $ 570,399 $ 154,272 <br />Accounts payable and accrued expenses (Note - 7) 3,582,626 2,174,427 <br />Current portion of capital lease obligations (Note - 8) 287,581 91,402 <br />Current portion of long-term debt (Note - 9) 599,722 511,511 <br />Billings in excess of costs and estimated <br />earnings on uncompleted contracts (Note - 3) 1,080,895 1,715,273 <br /> Total current liabilities 6,121,223 4,646,885 <br />Capital lease obligations, net of current portion (Note - 8) 279,035 391,799 <br />Long-term debt, net of current portion (Note - 9) 2,523,208 1,624,306 <br />Due to stockholders (Note - 10) 157,370 157,370 <br /> Total liabilities 9,080,836 6,820,360 <br />Contingent liabilities (Note - 15) <br />Stockholders' Equity: <br />Common stock (Note - 11) 276,583 276,583 <br />Retained earnings 2,415,637 2,138,260 <br /> Total stockholders' equity 2,692,220 2,414,843 <br />Total liabilities and stockholders' equity $ 11,773,056 $ 9,235,203 <br /> <br />The accompanying notes are an integral part <br />of the combined financial statements. <br /> <br />2 <br /> <br />Benitez & Company. CPA', <br />