OSMONICS, INC. AND SUBSIDIARIES VALUATION AND QUALIFYING ACCOUNTS (In thousands) Years Ended December 31, 1995, 1994 and 1993 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, 1995: Current Operations: Allowance for Doubtful Accounts $1,213 $ 21 $109<F3> $ 216<F1> $1,127 Warranty and Start-up Reserve $1,942 $1,002 $1,256<F2> $1,688 Discontinued Operations: Allowance for Doubtful Accounts $ 46 $ 46<F1> $ 0 Warranty Reserve $1,961 $ 4<F2> $1,957 Reserve for Discontinued Operations $ 127 $ 127 $ 0 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 Reserve 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 <FN> <F1> Uncollectible accounts charged against allowance. <F2> Actual warranty claims and start-up costs charged against reserve. <F3> Addition due to acquisition.