Gross Revenue: $7,390,000

Cash Flow: $1,880,000

Cash Flow Comments: EBITDA

Our client, founded in 2001, engages in the excavation of both large and small residential and commercial properties, primarily in North Texas with a small portion of revenue (5%) is also currently derived from projects in the San Antonio area. Services include building roads, streets, pads, earthmoving, land clearing, and trench digging. In addition, the Company over-excavates soil, moisture-conditions land, and places polyurethane on lots. Boasting a large heavy equipment base of excavation equipment and vehicles, the Company is prepared to handle multiple projects simultaneously as well as large projects ranging from excavating lakes to demolishing large buildings.

The Company enjoys a superior reputation for workmanship, safety, timeliness, completion of projects within budgets, and particulary for meeting the needs of large, complicated, fast-track projects. All activities are conducted in full compliance with environmental regulations, limiting liability risk. A customer base of 15 active accounts is comprised of approximately 80% home developers and 20% water injection customers, with 100% of revenue in 2006 generated from excavation service projects. Revenue is generated through repeat business and referrals only, with management having participated in minimal marketing efforts. The Company is owned by a husband and wife who assumed control in 2004. Both principals maintain 50% ownership and set the direction for the business. The Company has 25 full time and 5 part-time employees, including 1 project supervisor, are expected to remain with the Company following its sale.