OSMONICS, INC. AND SUBSIDIARIES VALUATION AND QUALIFYING ACCOUNTS (In thousands) Years Ended December 31, 1994, 1993 and 1992 Column A Column B Column C Column D Column E Additions Balance Charged Charged Balance at to to at Beginning Cost and Other End of Description of Period Expensed Accounts Deductions Period Year Ended December 31, 1994: Current Operations: Allowance for Doubtful Accounts $1,195 $ 50 $ 32(F1) $1,213 Warranty and Start-up Reserve $1,921 $1,023 $1,002(F2) $1,942 Discontinued Operations: Allowance for Doubtful Accounts $ 87 $ 41(F1) $ 46 Warranty Reserve $1,972 $ 10(F2) $1,961 Reserved for Discontinued Operations $ 240 $ 113 $ 127 Year Ended December 31, 1993: Current Operations: Allowance for Doubtful Accounts $ 707 $ 501 $ 13(F1) $1,195 Warranty and Start-up Reserve $1,773 $1,018 $ 870(F2) $1,921 Discontinued Operations: Allowance for Doubtful Accounts $ 149 $ 62(F1) $ 87 Warranty Reserve $2,134 $ 162(F2) $1,972 Reserve for Discontinued Operations $ 549 $ 309 $ 240 Year Ended December 31, 1992: Current Operations: Allowance for Doubtful Accounts $ 842 $ 281 $ (149) $ 267(F1) $ 707 Warranty and Start-up Reserve $1,746 $ 915 $ 888(F2) $1,773 Discontinued Operations: Allowance for Doubtful Accounts $ 149 $ 149 Warranty Reserve $3,160 $1,771 $2,797(F2) $2,134 Reserve for Discontinued Operations $ 65 $ 804 $ 320 $ 549 <FN> <F1> Uncollectible accounts charged against allowance. <F2> Actual warranty claims and start-up costs charged against reserve. </FN>