Exhibit (c)(5)
THE WFA GROUP
October 4, 2004
Chaffe & Associates, Inc.
201 St. Charles Avenue, Suite 1410 New Orleans, Louisiana 70170
Attn: Ms. Gay LeBreton,
WFA / Collateral Review Services, Inc. APPRAISAL
As requested, an appraisal of certain assets of UNIFAB INTERNATIONAL has been
conducted by WFA/COLLATERAL REVIEW SERVICES, INC. This appraisal sets forth our
findings and conclusions which are based upon an investigation of conditions
affecting value and are subject to the Appraisal Overview; Purpose, Function and
Scope; Conditions and Definitions contained in the following report.
The values stated in this report are reflective of the appraiser's opinion as of
the date of inspection (or date of this report if no inspection) and the
appraiser makes no assumptions or predictions as to effect of future events on
these values.
This information is confidential and should be disclosed only to persons with a
need to know as determined by the original purchaser.
WFA is under no obligation to provide additional information and/or
clarification of report contents to anyone other than the addressee.
Thank you for the opportunity to be of service to you. Please contact us for any
explanation or further review.
Respectfully Submitted,
/s/ Grady A Joiner, ASA
Grady A. Joiner, ASA
Executive Vice President
/jaj
Enclosure
[seal of ASA omitted]
Houston Corporate: 7000 Hollister, Suite 340, Houston, Texas 77040-5337
(713) 895-9238 (800) 397-9006 Fax (713) 895-9460
www.wfagroup.com
LIMITED APPRAISAL
NO INSPECTION
(SEE PURPOSE AND SCOPE OF APPRAISAL)
OCTOBER 4, 2004
UNIFAB INTERNATIONAL
METAIRIE, LOUISIANA
MACHINERY & EQUIPMENT
CONFIDENTIAL
ORDERLY LIQUIDATION VALUE
FORCED SALE LIQUIDATION VALUE
INSPECTION EFFECTIVE: - NO INSPECTION
APPLICATION BY
Grady A. Joiner, ASA
WFA/Collateral Review Services, Inc.
INDEX
RECAPITULATION - Orderly Liquidation Value.................................................. 1
RECAPITULATION - Forced Sale Liquidation Value.............................................. 2
EXHIBITS & FIXED ASSET LISTINGS ............................................................ ME 1-2
CERTIFICATE OF APPRAISER ................................................................... 3
APPRAISAL OVERVIEW ......................................................................... 4
PURPOSE AND SCOPE OF APPRAISAL ............................................................. 5
CONDITIONS OF APPRAISAL .................................................................... 6
TERMS & DEFINITIONS ........................................................................ 7-10
CONDITION CODES ............................................................................ 11
QUALIFICATIONS ............................................................................. 12-13
Grady A. Joiner, ASA
RECAPITULATION
UNIFAB INTERNATIONAL
METAIRIE, LOUISIANA
OCTOBER 4, 2004
ORDERLY LIQUIDATION VALUE
TOTAL FOR REPORT
*** $5,410,000***
(FIVE MILLION, FOUR HUNDRED TEN THOUSAND DOLLARS)
RECAPITULATION
UNIFAB INTERNATIONAL
METAIRIE, LOUISIANA
OCTOBER 4, 2004
FORCED SALE LIQUIDATION VALUE
TOTAL FOR REPORT
*** $4,315,000***
(FOUR MILLION, THREE HUNDRED FIFTEEN THOUSAND DOLLARS)
EXHIBITS AND FIXED ASSET LISTINGS
QTY ITEM DESCRIPTION COND. OLV FSLV
-------- ----------- ----- --- ----
1 CRANE 1976, Manitowoc UKN $ 700,000 $ 645,000
Mod. 4100W Vicon
crawler crane, 100'
boom, 40' jib,
Martin Decker TOTCO,
high gantry, etc,
S# 413053, complete
rebuild 1998
1 CRANE 1998, Manitowoc UKN $1,100,000 $ 960,000
Mod. 2250, crawler
crane, 180'boom,
40' jib, S# 2251023
1 CRANE 1971, Manitowoc UKN $ 270,000 $ 210,000
4100 Vicon,
150'boom, 30' jib,
crawler crane, S#
41054
1 CRANE 1983, Manitowoc UKN $ 275,000 $ 210,000
3900 Vicon,
140'boom, 30' jib,
crawler crane, S#
391285
1 PLATE ROLL Bertsch Mod. 34; S# UKN $ 300,000 $ 205,000
Unk, 4" max
1 PIPE WELDING SYSTEM To include the UKN $ 270,000 $ 175,000
following: Shop
made 75'x 35'
grated platform
w/(12) Ransome
power rollers, (3)
sets Ransome
pipe kickers, (1)
Ransome Rerounder,
(16) 24" rollers,
(1) 9' x 35'
manipulator on rails,
(3) Lincoln AC-1200,
(3) Lincoln DC-1000,
(4) Lincoln NA-3N
wire feeds, (4)
Invincible Flux
Recovery Systems, (4)
5 ton CM electric
hoist
1 CRANE 1976, Manitowac UKN $ 720,000 $ 550,000
4100W Vicon crawler
crane, 140'boom,
30' jib, high
gantry, S# 413052,
complete refurbish
1998
1 CRANE 1982, Manitowac UKN $ 320,000 $ 275,000
4000W Vicon crawler
crane, 160'boom, S#
40733
1 CRANE 1970, Manitowac UKN $ 600,000 $ 450,000
4000W Vicon crawler
crane, 160'boom,
30' jib, S# 40345,
complete refurbish
1999
1 CRANE 1969, Manitowac UKN $ 195,000 $ 110,000
4000W, crawler
crane, 160(1) boom,
S# 40257
30 TURNING ROLL SETS UKN $ 360,000 $ 320,000
Panjiris & Aronson
power turning rolls
and idlers,
average size 50 ton
1 PLATE ROLL Bertsch Mod. 34, S# UKN $ 300,000 $ 205,000
---------- ----------
M8742
TOTAL $5,410,000 $4,315,000
========== ==========
Note: There has been NO inspection of the items, as requested. The information
has been provided to the appraiser and is assumed correct. Any assumptions made
by the
appraiser are in italics and are based on general or typical situations.
Conditions are assumed "Good" unless specified.
CERTIFICATE OF APPRAISER
I certify that:
1) to the best of my knowledge the statements of fact contained
in this report are true and correct.
2) the reported analyses, opinions and conclusions are limited
only by the reported assumptions and limiting conditions, and
are my personal, unbiased professional analyses, opinions and
conclusions.
3) I have no present or prospective interest in the property that
is the subject of this report and I have no personal interest
or bias with respect to the parties involved.
4) My compensation is not contingent upon the reporting of a
predetermined value or direction in value that favors the
cause of the client, the amount of the value estimate, the
attainment of a stipulated result, or the occurrence of a
subsequent event.
5) My analyses, opinions and conclusions were developed, and this
report has been prepared, in conformity with the Uniform
Standards of Professional Appraisal Practice of the Appraisal
Foundation and Principles of Appraisal Practice and Code of
Ethics of the American Society of Appraisers.
6) Where applicable to the Purpose and Scope of this appraisal,
one or more of the undersigned has/have personally made an
inspection of the property that is the subject of this report.
(See Purpose and Scope)
7) No one provided significant professional assistance to the
person signing this report.
WFA/COLLATERAL REVIEW SERVICES, INC.
/s/ Grady A. Joiner, ASA
Grady A. Joiner, ASA
Executive/Vice President
APPRAISAL OVERVIEW
The appraisal assignment as evidenced by this report was conducted at the
request of the client reflecting the client's choice of purpose
and scope, and does not seriously contradict the appraiser's advice unless
so stated.
There are three basic types of appraisals relative to property inspection:
Full Inspection, Limited Inspection and No Inspection.
If the specified scope is other than Full Inspection, the client and any reader
of this report should understand the limitations and assumptions inherent in
the specified scope and that "Limited" or "No" inspection can equate
to limited information and added assumptions as to existence, usage
and conditions.
Certain information provided to the appraiser by the client or any agent
of the client is assumed to be provided in good faith and be free of any
known errors.
The listed property, in general, is being utilized for its intended purpose
Which the appraiser assumes to be (within reason) the "highest and best"
use as designed, unless specified below. Any property not inspected is valued
based.
PURPOSE, FUNCTION AND SCOPE OF APPRAISAL
The purpose and function of this appraisal is to provide an estimate
of value of subject property as described by the "Exhibits and
Fixed Asset Listing" enclosed. This appraisal is stated in terms
of:
ORDERLY LIQUIDATION VALUE
FORCED SALE LIQUIDATION VALUE
REMOVED
(FOR LENDING SECURITY)
and is based on one or more approaches to value as
indicated below and described in the "Definitions"
section of this report.
MARKET/SALES APPROACH
COST APPROACH
(INCOME APPROACH WAS CONSIDERED AND DETERMINED NOT APPLICABLE)
Thescope of this appraisal assignment has been determined by the
clients requirements and is subject to limiting conditions and
definitions set fourth in this report.
This appraisal is classified as a:
LIMITED APPRAISAL - NO INSPECTION
WHERE APPLICABLE, PROPERTY INSPECTION WAS CONDUCTED BY
THE APPRAISER OR DESIGNATED REPRESENTATIVE UNDER
ADVISEMENT OF THE APPRAISER.
ASSUMPTIONS
(UNLESS STATED OTHERWISE)
1. ALL ASSETS LISTED DO EXIST AND ARE OWNED BY SUBJECT FIRM.
2. THERE HAVE BEEN NO MODIFICATIONS TO THESE ASSETS THAT WOULD HAVE
SIGNIFICANT IMPACT ON VALUE.
3. ASSET CONDITIONS STATED AS UKN ARE ASSUMED TO BE GOOD.
CONDITIONS OF APPRAISAL
TYPE INSPECTION - The type of inspection performed is determined by the purpose
and scope as established between the client and appraiser. The standard method
is to inspect all property if reasonable. Options may also include limited
inspection or no inspection.
(See Definitions - Purpose and Scope of Appraisal)
VALUE CONCEPT - The value concept used for this appraisal was chosen by the
client and may or may not be the most favorable concept for this particular
application.
(See Definitions - Value Concept and Purpose and Scope)
APPROACH TO VALUE - Several approaches to value should be employed by the
appraiser. Under certain conditions one or more approaches may be omitted if
determined to have no practical application to the subject property.
(See Definitions Approaches to Value and Purpose and Scope)
APPRAISAL FEE - The appraiser signing this report is compensated based on a fee
determined to be reasonable for the work performed and is not contingent on the
value outcome. Further, the appraiser has no other financial interest in the
property being appraised.
CONDITION OF PROPERTY - The condition of the subject property/assets has been
assumed to be adequate relative to original design considering age and normal
use unless otherwise noted. This typically applies to Limited Appraisals where
individual asset conditions are not considered.
(See Definitions-Conditions)
OWNERSHIP - All property/assets listed in this report are assumed to be free and
clear of any liens or encumbrances and ownership thru valid purchase, title, or
other means has not been determined and can not be assumed to have been
determined by inclusion in this report.
APPRAISER RIGHTS - The appraiser has the right to recall all copies of this
report to correct any omission or error. Any omission or error is unintentional
and should be brought to the appraiser's attention for correction. Further,
under no circumstances shall the appraiser's liability exceed the actual fee
charged for the appraisal. The conclusions of value stated in this report are
the opinion of the appraiser based on certain facts and information. Therefore
the appraiser warrants only that the value conclusion is an estimate based on
his/her interpretation of this information and limiting conditions as set
forth in this report.
TERMS AND DEFINITIONS
FAIR MARKET VALUE (FMV) - "The value expressed in cash or cash equivalent which
a willing buyer would be justified in paying and a willing seller would be
warranted in accepting if each is:
1) well informed or well advised; 2) motivated by reactions of typical users; 3)
free from undue stimulus; 4) financially capable of ownership and/or use; 5)
allowed a reasonable length of time in which to test the market."
For all assets appraised, it also represents the amount a reputable and
qualified appraiser, unaffected by personal interest, bias or prejudice, would
recommend to a prospective purchaser as a proper price or cost in light of
prevailing conditions.
This definition IMPLIES Removed Value, where removed means all items listed in
the itemized report are assumed to be sold on a "piecemeal basis as is and where
is" with the buyer being responsible for removal at their own expense.
ORDERLY LIQUIDATION VALUE (OLV) - "The estimated amount in cash or cash
equivalent which could be realized over a period of 90 to 120 days at a sale
conducted in an orderly and controlled manner by an objective party using
limited marketing efforts as dictated by the time requirements and held under
economic conditions equivalent to those in place as of the date of this report.
This definition IMPLIES Removed Value, where removed means all items listed in
the itemized report are assumed to be sold on a "piecemeal basis as is and where
is" with the buyer being responsible for removal at their own expense.
FORCED SALE LIQUIDATION VALUE (FSLV) - "The estimated amount in cash or cash
equivalent which could be realized at a controlled,. professionally marketed and
conducted public auction or sale using immediate and contiguous disposition held
under economic conditions equivalent to those in place as of the date of this
report.
This definition IMPLIES Removed Value, where removed means all items listed in
the itemized report are assumed to be sold on a "piecemeal basis as is and where
is" with the buyer being responsible for removal at their own expense.
No consideration is given to the effect of the sale/removal of items on the
value of other items in the sale since the order of sale is not under control of
the appraiser and buyer motivation may change based on the order of sale.
FAIR MARKET VALUE - IN PLACE (FMV-IP)- "The value expressed in cash or cash
equivalent which a willing buyer would be justified in paying and a willing
seller would be warranted in accepting if each is: 1) well informed or well
advised; 2) motivated by reactions of typical users; 3) free from undue
stimulus; 4) financially capable of ownership and/or use; 5) allowed a
reasonable length of time in which to test the market."
Value consideration is given to the property IN PLACE for the purpose of
continued use. This includes added value for transportation, installation,
set-up, permitting, etc. In-Place value assumes ownership of or legal right to
use of any facility in which subject property resides and that the subject
property will be utilized to its highest and best use.
No consideration is given to the effect of the sale/removal of individual items
on the value of other items in the sale since it is assumed all assets are sold
as a group.
ORDERLY LIQUIDATION VALUE - IN PLACE (OLV-IP)- "The estimated amount in cash or
cash equivalent which could be realized over a period of 90 to 120 days at a
sale conducted in an orderly and controlled manner by an objective party using
limited marketing efforts as dictated by the time requirements and held under
economic conditions equivalent to those in place as of the date of this report.
Value consideration is given to the property IN PLACE for the purpose of
continued use. This includes added value for transportation, installation,
set-up, permitting, etc. In-Place value assumes ownership of or legal right to
use of any facility in which subject property resides and that the subject
property will be utilized to its highest and best use.
No consideration is given to the effect of the sale/removal of individual items
on the value of other items in the sale since it is assumed all assets are sold
as a group.
FORCED SALE LIQUIDATION VALUE - IN PLACE (FSLV-IP) - "The estimated amount in
cash or cash equivalent which could be realized at a controlled, professionally
marketed and conducted public auction or sale using immediate and contiguous
disposition held under economic conditions equivalent to those in place as of
the date of this report.
Value consideration is given to the property IN PLACE for the purpose of
continued use. This includes added value for transportation, installation,
set-up, permitting, etc. In-Place value assumes ownership of or legal right to
use of any facility in which subject property resides and that the subject
property will be utilized to its highest and best use.
No consideration is given to the effect of the sale/removal of individual items
on the value of other items in the sale since it is assumed all assets are sold
as a group.
REPLACEMENT COST (RPLCI - An amount expressed in cash or cash equivalent which
one would pay to obtain, transport and install the same item or closest matching
in performance, to the item being appraised. This value may be greater than
original cost depending on inflation, availability, location, etc.
REPRODUCTION COST (RRDC) - An amount expressed in cash or cash equivalent which
one would expect to pay to transport and install a newly constructed replica
(including all design and engineering costs) of the subject asset.
COST APPROACH - An estimate of value based on replacement cost less
depreciation. Depreciation may be physical deterioration due to age and use;
decreased functionality due to technology, changes in product standards, etc.;
or economic factors such as management decisions, depressed market conditions
for the product(s) produced by the item or government regulations. This approach
is best used as a support for other approaches.
MARKET/SALES COMPARISON APPROACH - Value based on comparison with similar items
sold or listed for sale in the common market for this type of item. Comparison
is made on "like levels" such as unconditional sale to fair market or auction
sale to forced liquidation value, etc. Other factors may or may not be applied,
such as comparable age, condition, location, etc. Comparisons are made on a
"closest like kind" basis where exact comparisons are not available.
INCOME APPROACH - This approach to value is NOT often used for individual items
of machinery and equipment but can provide a guide and is useful in conjunction
with other approaches. The income approach supports an estimate of value based
on analysis of future earnings and remaining life of subject property.
FULL INSPECTION - A full inspection indicates all items listed have been
inspected. While most items are considered to be inspected individually, some
"Lots" may be inspected as such and not by individual piece due to their size,
quantity and relative weight to the overall appraisal.
LIMITED INSPECTION - Specific items are selected for inspection and considered
representative of all items in terms of condition, care and accuracy to records
provided. This is most common with rental assets that may be difficult to
inspect due to location. Items not inspected are reflected as "UKN" condition.
NO INSPECTION - In some cases an appraisal of property may be conducted based on
information provided to the appraiser by the client without physical inspection.
Assumptions are often made by the appraiser in conducting such an appraisal.
ENVIRONMENTAL IMPACT - The appraiser makes no environmental impact studies
relative to subject property and does not imply any compliance or lack of
compliance to environmental laws by the values assigned in this report. While a
value may reflect the effects of compliance, the appraiser is not responsible to
monitor, report or in any way control compliance to environmental issues.
VALUE ANALYSIS
The values stated in this report are based on the stated approaches to value and
reference material as listed below. Every item listed may not have applicable
information within all the stated approaches and therefore may be limited to
only one approach. The listed references were used as an aid in determining the
value characteristics and contribute to the conclusion of value(s).
1. WFA records and files relating to value. These may be prior
projects/research reflecting values, costs, trends, formulas, etc.
CONDITION CODES
These condition codes apply to Full and Limited Inspections only and are used to
describe the apparent condition of an item or items at the time of inspection.
WFA/COLLATERAL REVIEW SERVICES, INC. cannot assume responsibility for any latent
defects not discernible upon inspection. Equipment not functional in the
ordinary course of business will be so stated in this report.
VG Verv good, excellent condition with no requirement
for repairs and usually considered above average;
would be longer than average before any required
maintenance.
G Good condition, usually considered average to that
which would be expected for an item of like age and
utility; would require standard continued maintenance.
F Fair condition, generally considered below average but
operable; could use repairs or improvement;
questionable continued or extended use.
P Poor condition, may or may not work and in all
likelihood requires maintenance for even the most
limited use; needs immediate attention.
S Salvage condition, considered as such where function
is completely diminished and the property is
considered usable for parts only.
X The property has no function and is not adequate for
salvage. Value relates to material content only.
UKN Unknown at the time of application. This is used where
a determination could not be made for various reasons.
This could mean the item was not totally accessible or
conditions made proper inspection difficult.
QUALIFICATIONS
GRADY A. JOINER, ASA
THE WFA GROUP
WFA/COLLATERAL REVIEW SERVICES, INC.
EXPERIENCE & BUSINESS BACKGROUND
Executive Vice President
The WFA Group
WFA/Collateral Review Services, Inc.
Appraisal Services
1984 - Current
Receivables / Inventory Reviews
Appraisals / Valuations
Manager of Data Processing
Texas Instruments, Inc.
Exploration Group
Southeastern U.S. / Latin American Division
1978 - 1985
MEMBERSHIPS
American Society of Appraisers
NACM of South Texas, Inc.
Texas Bankers Association
EDUCATION
Finance and Accounting
Executive Development Program
Jesse H. Jones Graduate School of Administration
Rice University
APPRAISAL AND RESEARCH ASSIGNMENTS
Aircraft and Aircraft Support Equipment
Commercial Audio/Video Equipment
Electronics
Fabrication Equipment
Farming / Greenhouse
Food Processing / Restaurant Equipment
Heavy Construction Equipment
Industrial Equipment
Laundry & Dry-Cleaning Equipment
Machine Tools
Medical / Dental Equipment
Mining and Railroad Equipment
Office Equipment / Furnishings
Packaging Equipment
Printing Equipment
Special Use Equipment
Trucking / Automotive
Various Product Inventories
REFERENCES AND /OR SPECIFIC ASSIGNMENTS FURNISHED UPON REQUEST.
WFA/Collateral Review Services, Inc.
- -------------------------------------------------------------------------------------------------------------------------------
LOC. QTY ITEM DESCRIPTION COND OLV FSLV
- -------------------------------------------------------------------------------------------------------------------------------
M 1 CRANE 1980, Grove Mod. RT58C, S# 46422 F $26,000 $15,500
- -------------------------------------------------------------------------------------------------------------------------------
M 1 TRACTOR John Deere Mod. 650, wl 36" bush F $4,900 $2,900
hog, S# Unk
- -------------------------------------------------------------------------------------------------------------------------------
M 1 CRAWLER 1994, Komatsu Mod. D37P-5, rops, 4 G $27,000 $19,000
DOZER way blade, w/Allied winch, S# 3228
- -------------------------------------------------------------------------------------------------------------------------------
M 1 CRANE 1976, Manitowoc Mod, 4100W Vicon G $895,000 $790,000
crawler crane, 100'boom, 40' jib,
Martin Decker TOTCO, high gantry,
and etc., S# 413053, complete
rebuilt in 1998
- -------------------------------------------------------------------------------------------------------------------------------
M 1 LOT/SPREADER 11 various heavy duty G $13,200 $7,900
BARS spreader/lifting bars
- -------------------------------------------------------------------------------------------------------------------------------
M 1 MANIPULATOR Ransome Mod. 12x3012'vertical, 30' G $27,700 $16,000
horizontal, S# 628199
- -------------------------------------------------------------------------------------------------------------------------------
M 1 CRANE Gaffey 30 ton double beam gantry G $27,000 $18,500
crane,electric pendent control, 75'
beam, mounted on tracks, S# Unk
- -------------------------------------------------------------------------------------------------------------------------------
M 1 LOT/PIPE ROLLS Includes the following: I-Ransome F $46,000 $27,600
10000 lb. power roll, 11-idler
rolls, S#'sUnk.,
- -------------------------------------------------------------------------------------------------------------------------------
M 1 CRANE 1998, Manitowoc Mod. 2250, crawler G $1,485,000 $1,350,000
crane, 180'boom, 40' jib,
S# 2251023
- -------------------------------------------------------------------------------------------------------------------------------
M 1 MANIPULATOR Shop made torch/manipulator, on F $5,100 $3,060
steel platform and70' of rail track
- -------------------------------------------------------------------------------------------------------------------------------
1 PIPE ROLLER To include the following: 1-Pipe G $25,500 $15,300
SYSTEM roller system w/ 32-24" steel
rollers, 1- hydraulic winch, 175'
double I-beams, 2-pipe roller
movers, mounted on 40' rail track,
all shop made
- -------------------------------------------------------------------------------------------------------------------------------
ME-1
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER Thermal Arc Pak 40, S# Unk G $2,920 $1,750
- -------------------------------------------------------------------------------------------------------------------------------
NI 2 WELDER Miller Deltaweld 452, S#'s Unk G $2,705 $1,625
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER ProfaxP-300SG, S#'sUnk G $1,100 $660
- -------------------------------------------------------------------------------------------------------------------------------
NI 1PIPE Ridgid Mod. 535, w/ tools and dies G $2,000 $1,200
THREADER
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 CRANE 1971, Manitowoc 4100 Vicon, G $295,000 $225,000
150'boom, 30'jib, crawler crane, S#
41054
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 CRANE 1983, Manitowoc 3900 Vicon, G $345,000 $285,000
140'boom, 30'jib, crawler crane, S#
391285
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 BRIDGE Gaffey 10 ton double beam, 55', G $16,200 $9,720
CRANE electric pendent control, w/ Shaw box
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 BRIDGE Landel 5 ton double beam, G $8,640 $5,785
CRANE 55', electric pendent
control, w/ Shaw box
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 BRIDGE Robbins & Myers 10 ton double G $16,200 $9,720
CRANE beam, 55', electric pendent control
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 BRIDGE Landel 10 ton double beam, 55', G $11,800 $7,130
CRANE electric pendent control
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 LOT MISC. Includes the following: Shop made G $58,400 $35,040
EQUIPMENT pipe loading rack approx. 100' long
w/rails and 20-24" rollers electric
drive, l-shop made pipe cutter,
1-drill press, 1-Rigid 535 pipe
threader, 1-Carolina CBT -5-1200 50
ton H-frame press, 1 -anvil, 3-work
tables, 3-panjiris positioners
(small), 2-shop made positioners, 1
-lot of 10000 lb. Idlers no make a
model visible, 1 -2 ton jib w/Wright
Elevator hoist.
- -------------------------------------------------------------------------------------------------------------------------------
ME-9
- -------------------------------------------------------------------------------------------------------------------------------
</Table>
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 SHEAR HTC Mod. 500-10A,10' deck, max G $28,080 $16,850
1/2" S#A1075930
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 LOT TURNING To include the following: 1-200 ton G $53,000 $31,800
ROLLS Ransome power turning roll, 2-200
ton Ransome idlers
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 FORKLIFT 1986 Clark Mod.CCS30MB, 5000 lb. G $6,000 $3,600
lift, S# G138MB-0048-5521-FA
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 LOT MISC. Includes the following: 2- 5 ton jib F/P $6,815 $4,090
EQUIPMENT cranes, l-1 ton jib crane, 5-24"
fans, jack stands, steel work tables,
8 old roller & idler, etc.
- -------------------------------------------------------------------------------------------------------------------------------
NI 2 BRIDGE CRANE Landel 10 ton, double beam, 75', G $28,560 $17,135
electric pendent control
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 BRIDGE Landel 5 ton, double beam, 75', G $9,180 $5,510
CRANE electric pendent control
- -------------------------------------------------------------------------------------------------------------------------------
NI 4 BRIDGE Gaffey 25 ton, double beam, 75', G $107,200 $64,320
CRANE electric pendent control
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 Shop made 20'x30' electric powered G $4,000 $2,400
PIPE pipe rail trolley w/ Kone 2 ton hoist
TROLLEY
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 PLATE ROLL Bertsch Mod. 24, S# Unk, 13/4" max G $225,000 $160,000
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 PLATE ROLL Bertsch Mod. 34, S# Unk, 4" max G $420,000 $335,000
- -------------------------------------------------------------------------------------------------------------------------------
NI I MANIPULATOR AronsonMod. S 16VR47CL-SK, 30'x20' G $50,000 $30,000
sub arc, w/ dual head Lincoln NA-3N
wire feed, l-Lincoln AC-1200,1
Lincoln DC-1500, on track system
- -------------------------------------------------------------------------------------------------------------------------------
NI 2 TURNING Wire Weld 12000 lb., 2-power G $8,105 $4,865
ROLLS rolls & 2 idlers
- -------------------------------------------------------------------------------------------------------------------------------
</Table>
- -------------------------------------------------------------------------------------------------------------------------------
ME-9
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 MANIPULATOR 20'x20' manipulator sub arc, Mod. G $44,000 $26,400
Unk, w/ single head Lincoln
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 PIPE WELDING To include the following: Shop made G $400,000 $250,000
SYSTEM 75x35' grated platform w/12 Ransome
power rollers, 3 sets Ransome pipe
kickers, I Ransome Rerounder, 16 24"
rollers, 19'x35' manipulator on
rails, 3 -Lincoln AC-1200, 3-Lincoln
DC-1000, 4-Lincoln NA-3N wire feeds,
4 Invincible Flux Recovery System,
4-5 ton CM electric, hoist
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER Linde VCR801 CV, S# Unk G $11,120 $6,675
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER Miller CP-300, S# Unk G $1,350 $810
- -------------------------------------------------------------------------------------------------------------------------------
NI 5 WELDER Miller CP-250 TS, S#'s Unk G $5,940 $3,535
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER Miller CP-252 TS, S# Unk G $1,215 $725
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER Miller SRH 444, S# Unk G $540 $325
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 CUTTING ESAB Slicer,14' pattern cutting G $115,000 $75,000
SYSTEM system w/ 3 computer controlled
heads, 50' rail track, no table
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 MANIPULATOR Ransome 12'x12' sub arc, w/ single G $24,840 $14,905
head Lincoln NA-3N wire feed,
1-Lincoln AC-1000,1-Ideal Arc
DC-1000 Invincible Flux Recovery
System, S# 628199
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 PIPE WELDING Includes the following: 14'x90' G $145,000 $100,000
SYSTEM grated platform, w/8 power rollers,
1-20'x20' manipulator, 3-Lincoln
NA-3N wire feeds, l-Lincoln
AC-1200,1-Lincoln DC-1000,
Invincible Flux Recovery System,
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
1-side rail w/ Lincoln
DC-1000,1-Lincoln NA -3N wire feed
- -------------------------------------------------------------------------------------------------------------------------------
ME-10
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
NI 2 WELDER Miller CP-250 TS, S#'s Unk G $2,375 $1,425
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER Lincoln DC-400, S# Unk G $1,350 $810
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 WELDER L-Tec V1-360-1, S# Unk G $720 $435
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 PIPE THREADER Ridgid Mod 535 w/ dies & tools G $2,000 $1,200
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 BANDSAW Jet Mod. HBS-1018W, horizontal G $2,200 $1,315
bandsaw
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 CRANE Manitowac, 1976, 4100W Vicon crawler G $890,000 $785,000
crane, 140'boom, 30' jib, high
gantry, S# 413052, complete rebuilt
1998
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 CRANE Manitowac, 1982, 4000W Vicon G $340,000 $290,000
crawler crane, 160'boom, S# 40733
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 CRANE Manitowac, 1970, 4000W Vicon crawler G $925,000 $800,000
crane, 160'boom, 30' jib, S# 40345,
complete rebuilt (1999)
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 CRANE Manitowac, 1969, 4000W, crawler G $275,000 $195,000
crane, 160'boom, S# 40257
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 BRIDGE CRANE Aceco 10 ton, double beam, 45', G $8,100 $4,860
electric pendent control,
- -------------------------------------------------------------------------------------------------------------------------------
NI 1AIR Ingersol Rand 5 hp, vertical tank F $500 $300
COMPRESSOR
- -------------------------------------------------------------------------------------------------------------------------------
NI 1 ROD OVEN Keef Mod. R-1000, S# Unk G $700 $420
- -------------------------------------------------------------------------------------------------------------------------------
SUB-TOTAL (NEW IBERIA) $9,148,965 $7,158,350
- -------------------------------------------------------------------------------------------------------------------------------
ME-12
- -------------------------------------------------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------------------------------------------------
</Table>
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 FURNACE 1976, Huber Construction Co. G $125,000 $80,000
15'x15'x50' gas fired car bottom
stress relieving furnace, 2000
degree, w/Brady & Honeywell control
center PLC controls, track load
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 CRANE 1979, Galion Mod. 150-A, 15 ton F $14,800 $8,880
RT, S# 8097
- -------------------------------------------------------------------------------------------------------------------------------
APS 30 TURNING 30 sets of Panjiris & Aronson F $364,500 $218,700
ROLLS power turning rolls and idlers,
average size 50 tons
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 PLATE ROLL Bertsch Mod 34, S# M8742 G $430,000 $340,000
- -------------------------------------------------------------------------------------------------------------------------------
APS 2 BURNERS Cypress Weld hole burners, mounted G $10,500 $6,300
on shop made 12'x12' manipulator
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 CUTTING ESAB Avenger #1-12 pattern G $108,000 $64,800
SYSTEM burner, S# 96-V152-4179, w/ 7
heads, Vision 2000 controls,
50'x12' water table
- -------------------------------------------------------------------------------------------------------------------------------
APS 2 BRIDGE Landel 50 ton, double beam, 70', G $85,000 $55,000
CRANE pendent control
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 BRIDGE Landel 10 ton, double beam, 70', G $14,280 $8,570
CRANE electric pendent control
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 SHEAR 1993, AccuShear Mod. 850010,10' G $19,440 $11,665
deck, max 1/2", S# 1988
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 MANIPULATOR Preston Eaton 10'x10', single head G $11,880 $7,130
sub arc w/Miller Control 2 wire
feeder, Invincible Flux Recovery
System, Lincoln DC-1000
- -------------------------------------------------------------------------------------------------------------------------------
1 IRON WORKER Piranha Mod. P90, w/dyes and G $14,040 $8,425
punches, S# P-90-606
- -------------------------------------------------------------------------------------------------------------------------------
APS 1 MANIPULATOR 1999, Weld Wire Mod. WW1414, S# G $29,120 $17,475
99S3991,14'x14' w/four head, 3
Lincoln NA -4, 1-NA-3N wire feed,
- -------------------------------------------------------------------------------------------------------------------------------
</Table>
- -------------------------------------------------------------------------------------------------------------------------------
1-LinclonAC-1200, 1-Lincoln
DC-1000.
- -------------------------------------------------------------------------------------------------------------------------------
ME-13
- -------------------------------------------------------------------------------------------------------------------------------
</Table>
"OILFIELD BARGES, INC. LEASED PARCEL"
(17.22 ACRES, WATERFRONT TRACT)
COMPARABLE LAND SALES ANALYSIS
[OMITTED]
SITE VALUATION
SITES "AS IS VACANT & UNENCUMBERED BY LEASES"
(Continued)
LAND VALUE ESTIMATE "OBI LEASED PARCEL"
The sales analysis grid on the preceding page indicates a wide unit value range
for the "Oilfield Barges, Inc. or OBI Leased Parcel" of $45,095 to $60,368 per
acre.
Although this parcel is located at the south end of "The Port", it has good
industrial utility. It has+/-380 feet of frontage on the east side of Cornelius
P. Voorhies Road and also fronts (+/-715 feet), on the west side of this 80-foot
public right-of-way. Two boat slips ("Slip No. 1", "Slip No. 4") jut into the
western boundary. Frontage along the eastern shoreline of the Commercial Canal
totals+/-360 feet.
Based upon the analysis, the appraiser has concluded a market value estimate of
$50,000 per acre as the unit value of the underlying land of the "Oilfield
Barges, Inc. Leased Parcel" assuming it were unencumbered by lease.
"OBI LEASED PARCEL" - LAND VALUE SUMMARY:
+/-17.22 ACRES @ $50,000 PER ACRE = $861,000
ESTIMATED MARKET VALUE OF
U NCUMBERED FEE SIMPLE INTEREST
IN THE "OBI LEASED PARCEL"
CONSIDERED "AS IF VACANT LAND" AND
"A$ UNENCUMBERED BY LEASE" I -SAY- $860,000
--------
11-45
SITE VALUATION
SITES "AS IS VACANT & UNENCUMBERED BY LEASES"
(CONTINUED)
LAND VALUE ESTIMATE "UNIVERSAL PARTNERS PARCEL"
COMPARABLE LAND SALE NOS. 1 THRU 5 are market oriented sales of non-waterfront
or "dry" tracts located inside "The Port" neighborhood or adjacent comparable
neighborhoods. These five land sales are utilized in the valuation of the
"UNIVERSAL PARTNERS" Parcel. This portion of the appraised property is the only
non-waterfront or "dry" tract and Comparable Land Sale Nos. 1 thr~ 5 are
considered reliable indicators of value.
The "Universal Partners" Parcel is located adjacent to "The Port of Iberia"
which is comparable to the locations of COMPARABLE LAND SALE NOS. 2 THRU 4.
COMPARABLE LAND SALE NO. 3 is the purchase of an adjacent 16.46 acre tract by
"Omega Services". According to the President (Thomas Granger) of "Omega", the
company had to have this parcel to expand its fabrication yard. The price paid
was excessive (approximately "double the market price" according to Mr.
Granger). Based upon an analysis of comparative data (COMPARABLE LAND SALE NOS.
1, 2 AND 4), IT would support a+/-50% to+/-60% downward adjustment of
"CONDITIONS OF Sale" to COMPARABLE LAND SALE NO. 3.
COMPARABLE LAND SALE NO. 5 is considered to have a superior location (closer to
U.S. Highway 90) and must be adjusted down for this superior feature. The size
of the location adjustment is derived by comparing COMPARABLE LAND SALE NO. 5 to
the adjusted values of the other four sales. COMPARABLE LAND SALE NO. 5 is also
much larger than the appraised site requiring a downward adjustment.
The bales analysis grid on the preceding page indicates a unit value range for
the "Universal Partiers" Parcel of $7,899 to $9,231 per acre.
i
A current listing in the immediate area is a 9.5 acre site fronting Port Road on
the north side of the railroad right-of-way between Curtis Lane and Lewis Street
across from Allen Process Systems. This site is wooded and is currently offered
at $95,000 by Pelican Real Estate or $10,000 per acre.
Based upon the analysis, due to the irregular shape of the western boundary line
and because a trap mission line servitude encumbers a portion of the property,
the appraiser has concluded a mar ket value estimate of $8,000 per acre as the
unit value of the underlying land of the "Universal Partners Parcel". "UNIVERSAL
PARTNERS PARCEL" - LAND VALUE SUMMARY:
+/-9.16 ACRES @ $8,000 PER ACRE = $76,480
ESTIMATED MARKET VALUE OF
U NCUMBERED FEE SIMPLE INTEREST
IN THE "UNIVERSAL PARTNERS PARCEL"
CONSIDERED "AS IF VACANT LAND" -say- $76,000
-------
II-47
SITE VALUATION
SITES "AS IS VACANT & UNENCUMBERED BY LEASES"
(Continued)
SUMMARY OF LAND VALUE ESTIMATES RECAPITULATION - LAND VALUES (ROUNDED):
"WEST YARD - NORTH PARCEL" OWNED PARCEL:
+/-66.61 acres @ $30,000 per acre = $2,000,000
"WEST YARD - SOUTH PARCEL" OWNED PARCEL:
+/-27.79 acres @ $40,000 per acre = $1,110,000
"EA~T YARD - NORTH PARCEL" OWNED PARCEL:
+/-28.0 acres @ $45,000 per acre = $1,260,000
"EAST YARD - SOUTH PARCEL"OWNED PARCEL:
+19.43 acres @ $45,000 per acre = $880,000
"ALLEN PROCESS SYSTEMS" LEASED PARCEL:
+/-20.585 acres @ $50,000 per acre = $1,030,000
"OBI" LEASED PARCEL
+17.22 acres @ $50,000 = $860,000
"UNIVERSAL PARTNERS" OWNED PARCEL:
+9.56 acres @ $8,000 per acre = $76,000
II-48
RECAPITULATION OF
SALES COMPARISON APPROACH TO VALUE
EAST YARD - NORTH PARCEL LEASED PROPERTY
BREAKDOWN METHOD ANALYSIS
CONTRIBUTORY VALUE OF BUILDINGS IMPROVEMENTS
39,448 S.F. @ $9.05 IS.F. AVG.
--------------------
TOTAL CONTRIBUTORY VALUE OF BUILDING IMPROVEMENTS $357,000
- -------------------------------------------------------------------------------------------------------------------
LESS: ESTIMATED DEFERRED MAINTENANCE -$50,000
CONTRIBUTORY VALUE OF SITE IMPROVEMENTS
Steel and Timber Bulkheads & Stabilized Areas
TOTAL CONTRIBUTORY VALUE OF SITE IMPROVEMENTS $440,000
CONTRIBUTORY VALUE OF CRANE SYSTEMS $60,000
CONTRIBUTORY SITE VALUE
28.000 Acres @ $45,000.00 /Acre $1,260,000
--------------------
TOTAL $2,067,000
TOTAL ESTIMATED CURRENT MARKET VALUE
OF UNENCUMBERED FEE SIMPLE INTEREST
IN 'EAST YARD-NORTH PARCEL LEASED PROPERTY
VIA SALES COMPARISON APPROACH TO VALUE -say- $2,070,000
</Table>
RECAPITULATION OF
SALES COMPARISON APPROACH TO VALUE
EAST YARD - SOUTH PARCEL LEASED PROPERTY
BREAKDOWN METHOD ANALYSIS
CONTRIBUTORY VALUE OF BUILDINGS IMPROVEMENTS
14,994 S.F. @ $11.50 /S.F. AVG.
TOTAL CONTRIBUTORY VALUE OF BUILDING IMPROVEMENTS $172,400
LESS: ESTIMATED DEFERRED MAINTENANCE -$10,000
CONTRIBUTORY VALUE OF SITE IMPROVEMENTS
STEEL BULKHEAD & STABILIZED AREAS
TOTAL CONTRIBUTORY VALUE OF SITE IMPROVEMENTS $350,000
CONTRIBUTORY VALUE OF CRANE SYSTEMS $25,000
CONTRIBUTORY SITE VALUE
19.530 ACRES @ $45,000.00 /ACRE $880000
-------
TOTAL $1,417,400
TOTAL ESTIMATED CURRENT MARKET VALUE
OIL UNENCUMBERED FEE SIMPLE INTEREST
IN EAST YARD-SOUTH PARCEL LEASED PROPERTY
VI#1 SALES COMPARISON APPROACH TO VALUE -SAY- $1,420,000
----------
<Table>
<Caption>
- --------------------------------------------------------------------------------------------------------------------
QTY ITEM Description COND OLV FSLV
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1976, Manitowoc Mod. 4100W Vicon UKN $700,000 $645,000
crawler crane, I OOP boom, 40' jib,
Martin Decker TOTCO, high gantry,
etc, S#413053,. complete rebuild 1998
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1998, Manitowoc Mod. 2250, UKN $1,100,000 $960,000
crawler crane, 180' boom, 40' jib, S#
2251023
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1971, Manitowoc 4100 Vicon, UKN $270,000 $210,000
150'boom, 30'jib, crawler crane, S#
41054
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1983, Manitowoc 3900 Vicon, 140' UKN $275,000 $210,000
boom, 30' jib, crawler crane, S#
391285
- --------------------------------------------------------------------------------------------------------------------
1 PLATE ROLL Bertsch Mod. 34, S# Unk, 4" max UKN $300,000 $205,000
- --------------------------------------------------------------------------------------------------------------------
1PIPE WELDING To include the following: Shop made UKN $270,000 $175,000
SYSTEM 75'x 35' grated platform w/(12)
Ransome power rollers, (3) sets
Ransome pipe kickers, (1) Ransome
Rerounder, (16) 24" rollers, (1)9' x
35' manipulator on rails, (3) Lincoln
AC-1200, (3) Lincoln DC-1000, (4)
Lincoln NA-3N wire feeds, (4)
Invincible Flux Recovery Systems, (4)
5 ton CM electric hoist
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1976, Manitowac4100W Vicon crawler UKN $720,000 $550,000
crane, 1401 boom, 30'jib, high
gantry, S# 413052, complete
refurbish 1998
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1982, Manitowac 4000W Vicon UKN $320,000 $275,000
crawler crane, 160'boom, S# 40733
- --------------------------------------------------------------------------------------------------------------------
</Table>
<Table>
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1970, Manitowac 4600W Vicon crawler UKN $600,000 $450,000
crane, 160' boon, 30 jib, S# 40345,
complete refurbish 1999
- --------------------------------------------------------------------------------------------------------------------
1 CRANE 1969, Manitowac 4000W, crawler UKN $195,000 $110,000
crane, 16V boom, S#40257
- --------------------------------------------------------------------------------------------------------------------
ME-1
- --------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------------------------
30 TURNING ROLL Panjiris $ Aronson power turning UKN $360,000 $320,000
SETS rolls and idlers, average size 50 ton
- --------------------------------------------------------------------------------------------------------------------
1 PLATE ROLL Bertsch Mod. 34, S# M8742 UKN $300,000 $205,000
- --------------------------------------------------------------------------------------------------------------------
TOTAL $5,410,000 $4,315,000
- --------------------------------------------------------------------------------------------------------------------
ME-2
- --------------------------------------------------------------------------------------------------------------------
</Table>