River City Partnership Tax I.D. 47-0822299 02/02/04

Distribution of Earnings from December 31, 2002 to December 31, 2003

FEDERAL SHORT TERM MID TRM LONG TRM MISC. FOREIGN VALUATION

TAXABLE TAX FREE CAPITAL CAPITAL CAPITAL INCOME/ TAXES NET UNITS

NO. NAME DIVIDENDS INTEREST INTEREST GAINS GAINS GAINS EXPENSE PAID PROFIT PURCHASED

=================================================================================================================

TOTAL INCOME 80.11 0.00 0.00 -22.57 0.00 -3000.64 -264.00 0.00 -3207.10

INCOME DISTRIBUTION

1 Brett & Britney G 9.28 0.00 0.00 -2.61 0.00 -347.47 -30.57 0.00 -371.37 -467.55

2 Clay & Jackie Hil 11.55 0.00 0.00 -3.25 0.00 -432.67 -38.07 0.00 -462.44 -582.19

3 Craig & Erika Hip 11.28 0.00 0.00 -3.18 0.00 -422.53 -37.17 0.00 -451.60 -568.55

4 Jim & Mary Nichol 10.03 0.00 0.00 -2.83 0.00 -375.51 -33.04 0.00 -401.35 -505.29

5 Thomas O'Hara 13.62 0.00 0.00 -3.84 0.00 -510.29 -44.90 0.00 -545.41 -686.64

6 Stuart Roberts 1.03 0.00 0.00 -0.29 0.00 -38.76 -3.41 0.00 -41.43 -52.16

7 Bill Schaffer 11.16 0.00 0.00 -3.14 0.00 -418.06 -36.78 0.00 -446.82 -562.53

8 Connie Schaffer 11.16 0.00 0.00 -3.15 0.00 -418.06 -36.78 0.00 -446.83 -562.53

9 Carol White 1.00 0.00 0.00 -0.28 0.00 -37.29 -3.28 0.00 -39.85 -50.17

-------- -------- -------- --------- --------- --------- -------- --------- ------- --------

TOTAL DISTRIBUTED 80.11 0.00 0.00 -22.57 0.00 -3000.64 -264.00 0.00 -3207.10 -4037.60

PER UNIT 0.0087 0.0000 0.0000 -0.0025 0.0000 -0.3274 -0.0288 0.0000 -0.3500

Value of Unit before distribution 0.79

Value of Unit after distribution 1.14

River City Partnership 02/02/04

INCOME AND EXPENSE STATEMENT FOR December 31, 2002 to December 31, 2003

INCOME

Dividends 80.11

Interest 0.00

Short term Cap. Gain -22.57

Mid term Cap. Gain 0.00

Long term Cap. Gain -3000.64

Miscellaneous Income 0.00

----------

Total Income -2943.10

EXPENSES

Expenses 264.00

----------

Net Profit -3207.10

==========

BALANCE SHEET AS OF December 31, 2003

After End of Period Distribution

ASSETS

Cash - Bank 610.00

Cash - Broker 123.18

----------

Total Cash 733.18

Investments 8630.25

----------

Total Assets 9363.43

==========

EQUITIES

Capital Account - Members 7258.32

Unrlzd Gains + Undist Erns 2105.11

----------

Total Equities 9363.43

==========

River City Partnership 02/02/04

Transactions Summary for the Period January 1, 2003 to December 31, 2003

BUY, SELL AND TRANSFER TRANSACTIONS

Date Security Name Type Shares Cost Price Comm/Fees LTCG MTCG STCG

03/04/03 General Dynamics Buy 5.000000 310.99 300.00 10.99

05/22/03 Coor's B Buy 10.000000 528.29 517.30 10.99

05/22/03 Agere Systems Sell 13.000000 40.43 28.86 11.00 -22.57

05/22/03 Avaya Sell 2.000000 43.88 12.46 11.00 -42.42

05/22/03 Xybernaught Sell 50.000000 115.50 20.00 11.00 -106.50

05/22/03 Cisco Systems Sell 20.000000 769.31 324.60 11.01 -455.72

05/22/03 Ness Sell 100.000000 116.00 15.00 11.00 -112.00

05/22/03 Lucent Technology Sell 50.000000 2279.19 115.50 11.00 -2174.69

08/07/03 Lowes Buy 10.000000 468.09 457.10 10.99

08/07/03 Johnson and Johnso Buy 10.000000 511.19 500.20 10.99

08/07/03 Mueller Sell 15.000000 509.00 410.70 11.01 -109.31

10/03/03 Kohl's Buy 10.000000 552.69 541.70 10.99

------- -------- --------

Totals -3000.64 0.00 -22.57

CASH AND REINVESTED DISTRIBUTIONS

Date Security Name Type Shares Dividends Interest LTCG MTCG STCG Fees/FTax

01/15/03 Cardinal Health Div-Cash 0.38

01/27/03 Ethan Allen Div-Cash 1.20

03/13/03 Tribune Div-Cash 3.30

03/17/03 Coor's B Div-Cash 2.05

04/01/03 Coca-Cola Div-Cash 8.80

04/15/03 Cardinal Health Div-Cash 0.38

04/25/03 Ethan Allen Div-Cash 1.20

05/09/03 General Dynamics Div-Cash 1.60

06/12/03 Tribune Div-Cash 3.30

06/16/03 Coor's B Div-Cash 4.10

07/01/03 Coca-Cola Div-Cash 8.80

07/15/03 Cardinal Health Div-Cash 0.45

07/25/03 Ethan Allen Div-Cash 1.40

08/08/03 General Dynamics Div-Cash 1.60

09/09/03 Johnson and Johnson Div-Cash 2.40

09/11/03 Tribune Div-Cash 3.30

09/15/03 Coor's B Div-Cash 4.10

10/01/03 Coca-Cola Div-Cash 8.80

10/15/03 Cardinal Health Div-Cash 0.45

10/29/03 Ethan Allen Div-Cash 2.00

10/31/03 Lowes Div-Cash 0.30

11/14/03 General Dynamics Div-Cash 1.60

12/09/03 Johnson and Johnson Div-Cash 2.40

12/11/03 Tribune Div-Cash 3.30

12/15/03 Coor's B Div-Cash 4.10

12/15/03 Coca-Cola Div-Cash 8.80

--------- --------- --------- --------- --------- ---------

Totals 80.11 0.00 0.00 0.00 0.00 0.00

STOCK DIVIDENDS, SPINOFFS AND MERGERS

Date Security Name Type Shares Cash LTCG MTCG STCG

---------- ---------- ---------- ----------

Totals 0.00 0.00 0.00 0.00

MEMBER DEPOSITS AND WITHDRAWALS

Date Description Cash Amount Units WD Fee Stk Val Trsfr

01/15/03 7 member payments 175.00 245.872949

02/15/03 7 member payments 175.00 261.071482

03/15/03 7 member payments 175.00 268.930634

03/15/03 member fee 5.00

04/15/03 6 member payments 150.00 211.877766

05/15/03 6 member payments 150.00 206.019744

06/15/03 6 member payments 150.00 202.835226

07/15/03 6 member payments 150.00 205.457850

08/15/03 8 member payments 200.00 271.264336

08/15/03 member fee 20.00

09/15/03 8 member payments 200.00 269.337632

09/15/03 member fee 20.00

09/16/03 member payment 50.00 67.187957

10/15/03 8 member payments 205.00 266.338370

11/15/03 8 member payments 200.00 254.455432

11/16/03 member fee 14.00

12/01/03 member fee 5.00

12/15/03 8 member payments 200.00 257.497024

---------- ---------- ---------- ----------

Totals 2244.00 2988.15 0.00 0.00

CASH INCOME AND EXPENSES

Date Source Account Income Expense Interest Dividends

07/16/03 #2012 $10 to C Schafer Bank -10.00

09/15/03 Bird Dog to Nichols (W Bank -50.00

11/18/03 Check #2016 to NAIC fo Bank -40.00

11/18/03 Check #2017 $14 for Ni Bank -14.00

12/08/03 Brother Sebastians (An Bank -150.00

---------- ---------- ---------- ----------

Totals 0.00 -264.00 0.00 0.00

River City Partnership 02/02/04

Valuation Statement as of December 31, 2003

FIRST BUY SHARES COST PRICE PER TOTAL PERCENT TOTAL COMPOUND

OR VALUATN OWNED PER TOTAL SHARE VALUE OF RETURN ANN. RET.

SECURITY TS DRP DATE THIS DATE SHARE COST THIS DATE THIS DATE TOTAL SINCE 12/31/02

=============================================================================================================

Cardinal Health CAH 12/31/02 15.000 58.2407 873.61 61.1600 917.40 8.7% 3.52% 3.52%

Coca-Cola KO 12/31/02 40.000 49.3185 1972.74 50.7500 2030.00 19.4% 17.90% 17.92%

Coor's B RKY 12/31/02 20.000 55.1945 1103.89 56.1000 1122.00 10.7% -0.48% -0.48%

Ethan Allen ETH 12/31/02 20.000 36.0600 721.20 41.8800 837.60 8.0% 22.79% 22.80%

General Dynamics GD 03/04/03 5.000 62.1980 310.99 90.3900 451.95 4.3% 47.19% 59.60%

Johnson and John JNJ 08/07/03 10.000 51.1190 511.19 51.6600 516.60 4.9% 2.01% 5.09%

Kohl's KSS 10/03/03 10.000 55.2690 552.69 44.9400 449.40 4.3% -18.69% -57.22%

Lowes LOW 08/07/03 10.000 46.8090 468.09 55.3900 553.90 5.3% 18.40% 52.58%

Starbuck's Cofee SBUX 12/31/02 40.000 23.5900 943.60 33.1600 1326.40 12.6% 62.71% 62.76%

Tribune TRB 12/31/02 30.000 39.0750 1172.25 51.6000 1548.00 14.8% 14.53% 14.54%

---------- ---------- ------

Total Securities this Date 8630.25 9753.25 93.0% ------ ------

Returns for Securities Shown from First Buy or Valuation Date 18.76% 18.77%

Security Returns from Start or Switchover to this Date 17.11% 17.13%

Cash on Hand - Bank 610.00 610.00 5.8%

Cash on Hand - Broker 123.18 123.18 1.2%

Cash on Hand - Suspense 0.00 0.00 0.0%

---------- ---------- ------

Total Cash Accounts this Date 733.18 733.18 7.0%

---------- ---------- ------

Total Securities and Cash Accounts This Date 9363.43 10486.43 100.0%

Petty Cash $ 0.00

Total number of Valuation Units to Date 9164.371173

Value of Each Unit This Date $ 1.144

Number of Units Each $ 1.00 will Purchase 0.874

River City Partnership 02/02/04

Members Status Report as of December 31, 2003

PAID IN TOTAL PAID IN UNITS TOTAL COMPOUND

SINCE PAID IN PLUS SINCE UNITS CURRENT PERCENT RETURN ANN RET

NO. NAME 01/01/03 TO DATE EARNINGS 01/01/03 OWNED VALUE OWNRSHP SINCE 01/01/03

=============================================================================================================

1 Gunderson, Bret 80.00 1310.00 868.81 -356.712235 1061.227240 1214.32 11.58% 13.65% 13.70%

2 Hill, Clay & Ja 300.00 1545.00 1009.80 -169.604744 1321.433115 1512.06 14.42% 14.41% 14.46%

3 Hipsher, Craig 300.00 1565.00 1038.45 -155.961643 1290.466622 1476.63 14.08% 14.43% 14.48%

4 Nichols, Jim & 364.00 1309.00 861.57 -25.510496 1146.874706 1312.32 12.51% 13.24% 13.28%

5 O'Hara, Thomas 300.00 1885.00 1253.35 -274.048561 1558.494951 1783.32 17.01% 14.31% 14.36%

6 Roberts, Stuart 155.00 155.00 113.57 118.387103 118.387103 135.47 1.29% -21.27% -46.90%

7 Schaffer, Bill 300.00 1520.00 1003.81 -149.942585 1276.804840 1461.00 13.93% 14.44% 14.49%

8 Schaffer, Conni 300.00 1520.00 1003.81 -149.942585 1276.804840 1461.00 13.93% 14.44% 14.49%

9 White, Carol 145.00 145.00 105.15 113.877756 113.877756 130.31 1.24% -16.11% -37.19%

--------- ---------- ---------- ---------- ----------- ---------- ------- ------ ------

TOTALS 2244.00 10954.00 7258.32 -1049.457990 9164.371173 10486.43 100.00% -2.40 -0.61

River City Partnership 02/02/04

Cash Journal Listing from January 1, 2003 to December 31, 2003

AMOUNT BALANCE

DATE RECEIPTS EXPENDITURES BANK BROKER SUSPENSE TYPE DESCRIPTION

====================================================================================================

01/01/03 175.97 18.25 0.00 BEGINNING BALANCE

01/15/03 175.00 350.97 18.25 0.00 Payment Payments for 7 members

01/15/03 0.38 350.97 18.63 0.00 Div-Cash Cardinal Health

01/27/03 1.20 350.97 19.83 0.00 Div-Cash Ethan Allen

02/15/03 175.00 525.97 19.83 0.00 Payment Payments for 7 members

02/25/03 400.97 525.97 420.80 0.00 Trsfr To #2011 $400.97

02/25/03 400.97 125.00 420.80 0.00 Trsfr From #2011 $400.97

03/04/03 310.99 125.00 109.81 0.00 Buy General Dynamics

03/13/03 3.30 125.00 113.11 0.00 Div-Cash Tribune

03/15/03 175.00 300.00 113.11 0.00 Payment Payments for 7 members

03/15/03 5.00 305.00 113.11 0.00 Fee Gunderson, Brett & Britn

03/17/03 2.05 305.00 115.16 0.00 Div-Cash Coor's B

04/01/03 8.80 305.00 123.96 0.00 Div-Cash Coca-Cola

04/15/03 0.38 305.00 124.34 0.00 Div-Cash Cardinal Health

04/15/03 150.00 455.00 124.34 0.00 Payment Payments for 6 members

04/25/03 1.20 455.00 125.54 0.00 Div-Cash Ethan Allen

05/09/03 1.60 455.00 127.14 0.00 Div-Cash General Dynamics

05/15/03 150.00 605.00 127.14 0.00 Payment Payments for 6 members

05/22/03 528.29 605.00 -401.15 0.00 Buy Coor's B

05/22/03 17.86 605.00 -383.29 0.00 Sell Agere Systems

05/22/03 1.46 605.00 -381.83 0.00 Sell Avaya

05/22/03 9.00 605.00 -372.83 0.00 Sell Xybernaught

05/22/03 313.59 605.00 -59.24 0.00 Sell Cisco Systems

05/22/03 4.00 605.00 -55.24 0.00 Sell Ness

05/22/03 104.50 605.00 49.26 0.00 Sell Lucent Technology

06/12/03 3.30 605.00 52.56 0.00 Div-Cash Tribune

06/15/03 150.00 755.00 52.56 0.00 Payment Payments for 6 members

06/16/03 4.10 755.00 56.66 0.00 Div-Cash Coor's B

06/17/03 545.00 755.00 601.66 0.00 Trsfr To #2013 $545.00

06/17/03 545.00 210.00 601.66 0.00 Trsfr From #2013 $545.00

07/01/03 8.80 210.00 610.46 0.00 Div-Cash Coca-Cola

07/15/03 150.00 360.00 610.46 0.00 Payment Payments for 6 members

07/15/03 0.45 360.00 610.91 0.00 Div-Cash Cardinal Health

07/16/03 10.00 350.00 610.91 0.00 Expense #2012 $10 to C Schafer f

07/25/03 1.40 350.00 612.31 0.00 Div-Cash Ethan Allen

08/07/03 468.09 350.00 144.22 0.00 Buy Lowes

08/07/03 511.19 350.00 -366.97 0.00 Buy Johnson and Johnson

08/07/03 399.69 350.00 32.72 0.00 Sell Mueller

08/08/03 1.60 350.00 34.32 0.00 Div-Cash General Dynamics

08/15/03 200.00 550.00 34.32 0.00 Payment Payments for 8 members

08/15/03 20.00 570.00 34.32 0.00 Fee Fees for 1 members

09/09/03 2.40 570.00 36.72 0.00 Div-Cash Johnson and Johnson

09/11/03 3.30 570.00 40.02 0.00 Div-Cash Tribune

09/15/03 200.00 770.00 40.02 0.00 Payment Payments for 8 members

09/15/03 20.00 790.00 40.02 0.00 Fee Roberts, Stuart

09/15/03 50.00 740.00 40.02 0.00 Expense Bird Dog to Nichols (Whi

09/15/03 4.10 740.00 44.12 0.00 Div-Cash Coor's B

09/16/03 50.00 790.00 44.12 0.00 Payment Nichols, Jim & Mary

10/01/03 8.80 790.00 52.92 0.00 Div-Cash Coca-Cola

10/02/03 100.00 790.00 152.92 0.00 Trsfr To #2015

10/02/03 100.00 690.00 152.92 0.00 Trsfr From #2015

10/03/03 500.00 690.00 652.92 0.00 Trsfr To #2014

10/03/03 500.00 190.00 652.92 0.00 Trsfr From #2014

10/03/03 552.69 190.00 100.23 0.00 Buy Kohl's

10/15/03 205.00 395.00 100.23 0.00 Payment Payments for 8 members

10/15/03 0.45 395.00 100.68 0.00 Div-Cash Cardinal Health

10/29/03 2.00 395.00 102.68 0.00 Div-Cash Ethan Allen

10/31/03 0.30 395.00 102.98 0.00 Div-Cash Lowes

11/14/03 1.60 395.00 104.58 0.00 Div-Cash General Dynamics

11/15/03 175.00 570.00 104.58 0.00 Payment Payments for 7 members

11/15/03 25.00 595.00 104.58 0.00 Payment Roberts, Stuart

11/16/03 14.00 609.00 104.58 0.00 Fee Nichols, Jim & Mary

11/18/03 40.00 569.00 104.58 0.00 Expense Check #2016 to NAIC for

11/18/03 14.00 555.00 104.58 0.00 Expense Check #2017 $14 for Nich

12/01/03 5.00 560.00 104.58 0.00 Fee Roberts, Stuart

12/08/03 150.00 410.00 104.58 0.00 Expense Brother Sebastians (Annu

12/09/03 2.40 410.00 106.98 0.00 Div-Cash Johnson and Johnson

12/11/03 3.30 410.00 110.28 0.00 Div-Cash Tribune

12/15/03 4.10 410.00 114.38 0.00 Div-Cash Coor's B

12/15/03 8.80 410.00 123.18 0.00 Div-Cash Coca-Cola

12/15/03 200.00 610.00 123.18 0.00 Payment Payments for 8 members

River City Partnership 02/02/04

Complete Journal/Ledger Listing from January 1, 2003 to December 31, 2003

PAID IN DIVIDENDS MISCELLANEOUS GAIN UNREALIZED

DATE TYPE DESCRIPTION CASH INVESTMENTS BY MEMBERS RECEIVED RECEIVED ON SALES GAINS

DR DR CR CR CR CR CR

===================================================================================================================

01/01/03 Beginning Balances 194.22 10,132.31 8,221.42 0.00 0.00 0.00 2,105.11

01/15/03 Payment 7 member payments 175.00 175.00

01/15/03 Div-Cash Cardinal Health 0.38 0.38

01/27/03 Div-Cash Ethan Allen 1.20 1.20

02/15/03 Payment 7 member payments 175.00 175.00

03/04/03 Buy General Dynamics (310.99) 310.99

03/13/03 Div-Cash Tribune 3.30 3.30

03/15/03 Payment 7 member payments 175.00 175.00

03/15/03 Fee member fee 5.00 5.00

03/17/03 Div-Cash Coor's B 2.05 2.05

04/01/03 Div-Cash Coca-Cola 8.80 8.80

04/15/03 Payment 6 member payments 150.00 150.00

04/15/03 Div-Cash Cardinal Health 0.38 0.38

04/25/03 Div-Cash Ethan Allen 1.20 1.20

05/09/03 Div-Cash General Dynamics 1.60 1.60

05/15/03 Payment 6 member payments 150.00 150.00

05/22/03 Buy Coor's B (528.29) 528.29

05/22/03 Sell Agere Systems 17.86 (40.43) (22.57)

05/22/03 Sell Avaya 1.46 (43.88) (42.42)

05/22/03 Sell Xybernaught 9.00 (115.50) (106.50)

05/22/03 Sell Cisco Systems 313.59 (769.31) (455.72)

05/22/03 Sell Ness 4.00 (116.00) (112.00)

05/22/03 Sell Lucent Technology 104.50 (2,279.19) (2,174.69)

06/12/03 Div-Cash Tribune 3.30 3.30

06/15/03 Payment 6 member payments 150.00 150.00

06/16/03 Div-Cash Coor's B 4.10 4.10

07/01/03 Div-Cash Coca-Cola 8.80 8.80

07/15/03 Payment 6 member payments 150.00 150.00

07/15/03 Div-Cash Cardinal Health 0.45 0.45

07/16/03 Expense #2012 $10 to C Scha (10.00) (10.00)

07/25/03 Div-Cash Ethan Allen 1.40 1.40

08/07/03 Buy Lowes (468.09) 468.09

08/07/03 Buy Johnson and Johnson (511.19) 511.19

08/07/03 Sell Mueller 399.69 (509.00) (109.31)

08/08/03 Div-Cash General Dynamics 1.60 1.60

08/15/03 Payment 8 member payments 200.00 200.00

08/15/03 Fee member fee 20.00 20.00

09/09/03 Div-Cash Johnson and Johnson 2.40 2.40

09/11/03 Div-Cash Tribune 3.30 3.30

09/15/03 Payment 8 member payments 200.00 200.00

09/15/03 Fee member fee 20.00 20.00

09/15/03 Div-Cash Coor's B 4.10 4.10

09/15/03 Expense Bird Dog to Nichols (50.00) (50.00)

09/16/03 Payment member payment 50.00 50.00

10/01/03 Div-Cash Coca-Cola 8.80 8.80

10/03/03 Buy Kohl's (552.69) 552.69

10/15/03 Payment 8 member payments 205.00 205.00

10/15/03 Div-Cash Cardinal Health 0.45 0.45

10/29/03 Div-Cash Ethan Allen 2.00 2.00

10/31/03 Div-Cash Lowes 0.30 0.30

11/14/03 Div-Cash General Dynamics 1.60 1.60

11/15/03 Payment 8 member payments 200.00 200.00

11/16/03 Fee member fee 14.00 14.00

11/18/03 Expense Check #2016 to NAIC (40.00) (40.00)

11/18/03 Expense Check #2017 $14 for (14.00) (14.00)

12/01/03 Fee member fee 5.00 5.00

12/08/03 Expense Brother Sebastians (150.00) (150.00)

12/09/03 Div-Cash Johnson and Johnson 2.40 2.40

12/11/03 Div-Cash Tribune 3.30 3.30

12/15/03 Payment 8 member payments 200.00 200.00

12/15/03 Div-Cash Coor's B 4.10 4.10

12/15/03 Div-Cash Coca-Cola 8.80 8.80

12/31/03 Earnings Distribution (3,207.10) (80.11) 264.00 3,023.21

12/31/03 Totals 733.18 8,630.25 7,258.32 0.00 0.00 0.00 2,105.11