Auto Underwriters of America Inc.

Auto Underwriters of America is a non-prime, specialty finance company and specialty retailer of used cars and light trucks. Co. operates in two business lines: Specialty Retailing and Direct Lending and Indirect Lending. Co. uses software for purchase and service of non-prime consumer contracts originated by pre-approved automobile dealers for new/used vehicles. To achieve an acceptable rate of return and provide adequate protection from excessive credit risks, Installment Contracts are purchased from dealers at a discount to the remaining principal balance. As of June 30 2007, Co.'s total assets are $12,035,763.