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Analyzed monthly Atlantic City market data on casino win to estimate the seasonality trend of the market Applied these seasonality trend factors to Donvan's annual budgeted - Discussed anticipated capital expenditures with management and reflected these discussions in monthly Pre-Plan Budget Computed related monthly expense savings - Discussed, with management, the mortgage receivable from the co-op association and were advised that the current face amount approximated - Discussed, with management, estimated monthly amounts of mortgage roll and maintenance costs, and correlated these amounts to the PrePlan Budget - Compared budgeted consulting fee expenses charged to allocated amounts from Trump Corporation's budget of corporate consulting fee income - Read and discussed, with management, rent roll and vacancy projections for apartment building and commercial spaces Central Park South adjacent building with management - Correlated this revenue information to amounts indicated in the PrePlan Budget - Read and discussed Trump's capital budget, including amounts and timing - Correlated these discussions to Pre-Plan Budget - Read condominium sales contracts (not ing -sales prices and unit numbers) - Discussed estimated future sales and the above sales contracts with Trump and correlated these discussions to Pre-Plan Budget - Read analyses prepared by the Relationship Bank Croup, related these analyses to budgeted amounts and discussed significant variations with both Relationship Bank Group and management Discussed with management remaining interest reserve on mortgage loan Related these discussions to budgeted amounts Compared budgeted amounts for payroll and consulting contract fee expenses from Trump Corporation's budget of payroll and consulting Read the First Amendment of Limited Partnership Agreement of Penn Yard Associates and correlated key provisions to contributions required of - Discussed status, timing and corresponding costs of litigation with Trump and related these discussions to operating expenses - Interviewed operating management as to budgets prepared, capital expenditures, and dates during which Plaza Hotel was under renovation - Discussed the following with operating management: - base and upside budget assumptions - timing of Plaza renovations completion - planned and required capital expenditures - required paydowns of accounts payable - Calculated increases in monthly operating revenue and net operating - Judgementally extrapolated these calculated effects of renovations to - Used Trump's monthly base budget for Pre-Plan Budget - Computed monthly capital expenditures based upon required amounts POST-PLAN - STRATEGIC OPERATIONAL MODIFICATIONS AND GOAL S: - Judgementally determined a Post-Plan NOI at an approximate mid-point between the base and upside budget levels - Judgementally allocated revenue increases and expense savings to each TENNIS CLUB f REC-TRU EQUITIES) - Discussed significant variations with management - Analyzed monthly Atlantic City market data on casino win to estimate the seasonality trend of the market - Applied these seasonality trend factors to Trump Air's annual budget of revenues and expenses to calculate the monthly Pre-Plan Budget - Discussed anticipated capital expenditures with management and included discussed amounts in monthly Pre-Plan Budget POST-PLAN - STRATEGIC OPERATIONAL MODIFICATIONS AND GOALS: - Discussed plans to achieve"break-even" operations and timing with - Computed monthly adjustments relating to Trump's assumption as to AND TRUMP CASTLE HOTEL AND CASINO - Obtained data from Casino Control Commission - Conducted telephone interview with Atlantic City Visitor and Convention - Obtained Trump survey of May gaming results in Atlantic City - Prepared a limited market analysis of gaming activity and supply since - Analyzed seasonal and monthly pattern of gaming activity in Atlantic City market over the last four years - Analyzed and compared summary revenue and operating expense levels at - Analyzed table drop, slot handle, and related win for Atlantic City for - Reclassified monthly allocations of real estate taxes per Trump's budgets to adjust budgeted operating expenses - Obtained estimates from Trump as to timing and amount real estate tax - Calculated reduction In monthly budgeted revenues consistent with annual levels for Pre-Plan Budget - Applied adjusted monthly NOI Vs to adjusted monthly budgeted revenue and deducted estimated real estate taxes in months payable to calculate AMD TRUMP CASTLE HOTEL AND CASINO ( CONTINUED) - Correlated resulting annual NOI to other Atlantic City casinos' results - Deducted revised capital expenditures on a monthly basis as part of POST-PLAN - STRATEGIC OPERATIONAL MODIFICATIONS AND GOALS: - Uudgementaliy determined to reflect approximately one half of this - Distributed these calculated expense savings by month in proportion to - Related this data to budgeted rental revenues by the Relationship Bank Group, discussed these analyses with the Relationship Bank Group and related this data to revenues and expenses - Read Trump's schedules of corporate payroll, consulting fees and entity allocations and related indicated expense allocations to other Trump - Read the management agreements pertaining to Trump Tower, Trump Parc, Trump Plaza and Trump Plaza of the Palm Beaches and related this data Trump Sharing of Hvatt Incentive Management Fee: - Obtained and read property budgets prepared by Hyatt - Obtained and read draft annual reports of both Regency Lexington partners and accounts maintained by Hyatt - Obtained and read Hyatt management contract, participating incentive fee sharing agreement, ground rental agreement and partnership - Analyzed furniture, fixture and equipment reserve for replacement, base T rump Sharing of Hyatt Incentive Management Fee (Continued): Correlated historical occupancy and average rate performance of Crand Hyatt to our data ba_se on Manhattan hotel market Estimated future occupancy and rate performance of Grand Hyatt consistent with this market study Calculated future net operating income at historical percentages Assumed, for purposes of prospective computations, that debt maturing, Calculated Trump share of estimated future incentive management fee Estimated no distributable cash flow to partners, after debt service, Correlated these calculations to Pre-Plan Budget THUMP EQUITABLE FIFTH AVENUE COMPANY (TOWER) - Read selected leases and compared the terms of these leases with the - Voted that estimated revenues (Pre-Plan Budget) do not include lecse income for space occupied by Trump - Discussed with management, the Bonwit Teller lease buyout and the terms of a lease that is currently being negotiated on the Bonwit Teller the Bonwit Teller buyout and related the projected buyout payment to Read Trump's capital budget and discussed the components of the capital - Read -wo projection scenarios developed by Trump as follows: - Read selected sections of the Offering Plan, including First and Second - Calculated the per square foot dollar amounts of both the original and ar.e-ted asking prices and the projected rental rates for each unit and - Obtained and discussed key assumptions with Trump - Modified selected key assumptions of Trump - Obtained and read revised monthly construction budget - Used Trump construction budget to calculate interest payments (We were - Discussed marketing plan, status of sales and level of operating POST-PLAN - STRATEGIC OPERATIONAL MODIFICATIONS AND GOALS: - Trump will negotiate with lender to achieve deed-in-lieu with payment substantially a"break-even" after payment of senior debt service and - Discussed budgeted capital expenditures related to regulatory operating management and related these amounts to future budget - Discussed the following documents with operating management which indicate Trump's plans for increasing charter revenues, cutting weekend POST-PLAN - STRATEGIC OPERATIONAL MODIFICATIONS AND GOALS: - Discussed management's plan to institute"no frills" program by October - Computed adjustments related to monthly Strategic Operational (INCLUDING TRUMP TAJ MAHAL REALTY. 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