From: Jeffrey Kogan To: "Jeffrey E." <[email protected]> Subject: Re: Jeffrey Kogan - Asset Lending Deal Date: Wed, 08 Jun 2016 22:42:20 +0000 I brought up the question you asked about mileage on the Appraisal and a compliment was given for a sharp eye. I did not take credit for it. It was a typo and it did not affect the Appraisal value(s). The other excellent question about taxes from the sale(s) are answered below. Essentially, it is a non-taxable event. Lastly, I included as attachments, the actual Agreements particular to this deal - Purchase Agreement, Lease Agreement, GE Service Contract and LLC Investor Operating Agreement. Taxes: Not applicable. Investor LLC will have a reseller license and the borrower/lessee will be paying sales tax. In the event that there is a default, Investor LLC will manage an orderly sale in a aircraft tax friendly state. In the event of a default, Investor LLC will pay Federal Tax on any gains from the sale of the plane. Each individual investor will pay income tax on their interest income from the loan interest received. Appraisal: You were correct with the typo on page 13. We contacted the appraiser and he is updating his report to be correct but confirmed that the appraisal value remains the same. Purchase Agreement/Lease: Industry standard agreements are being used for both the purchase and lease agreements. The lease agreement turns into the resale of the plane to the lessee/borrower upon repayment of the 2.25M loan on or before the 12 month lease term. Let me know if there are any other issues and/or questions that come to mind that I should get answers for. The people involved are appreciative of anything brought up that benefits the group as a whole. And they don't mind spending the time to give answers. Thank you for looking after me. JK On Wed, Jun 8, 2016 at 2:13 PM, jeffrey E. <[email protected]> wrote: call On Wed, Jun 8, 2016 at 2:01 PM, Jeffrey Kogan < wrote: See Attachment On Wed, Jun