DATE: March 15, 2000

TO: Steve Schumacher

FROM: Jim Chrisman

SUBJECT: Weekly Activity Report

Activity Summary

Highlights of my activities for the week ending March 14 follow:

Fort Worth. On Thursday and Friday I demonstrated our new Rain Stream drip systems at a vendor fair at Benbrook Farm Supply, where over 500 people walked through.

Arlington State College. Over the weekend I was a judge for the Texas Landscape Technician test given on the ASC campus. This certification program ensures potential employers that a landscaper is properly trained. Applicants are tested in such areas as irrigation theory, repair, trouble-shooting, installation, and controller programming. The event proved to be very productive. I was able to talk to my distributors and to several important contractors whose crews were taking the tests.

Competition Update

·  Toronado can't seem to fill its open sales position in the west Texas territory.

·  RainCo tried to steal the Trinity Country Club golf course contract from us by waiting until the job was spec'd our way and then submitting a lower bid. Fortunately, the Trinity people saw through this ploy and awarded us the contract nevertheless.

·  Atlas has a real warranty problem with its 500 series in this area. One distributor had over 200 controllers returned in a seven-week period.

Product Problems, Comments

A contractor in Wichita Falls told me that our Rain Stream No. 250 valves do not hold the adjustment screw in the throttled-down position. Are they designed to do so?

Our Remote Streamer S-100 is generating considerable excitement. Every time I mention it, people come out of the woodwork to request demos. I gave four demos last week and have three more scheduled this week. I'm not sure, though, how quickly these demos will translate into sales because contractors are waiting for our six-months special prices.

Needs

·  More information on xerigation training.

·  Spanish training videos showing our products.

·  Spray nozzle to service small planter areas, say 6 to 8 feet.