2930 East Third Avenue

Daniels &
P.O. Box 6008
Associates, Inc.
Denver, Colorado 80206
303 321-7550
DANIELS & ASSOCIATES, INC. July, 1981
A PROFILE
It is the business philosophy of & Associates, Inc., to support its
clients' needs with all of its resources, experience and concerted judgement.
Daniels as a company is unique, servlng the cable communications industry in
three primary ways: brokerage services, investment services and system
management.
The Management Division offers experbise in four key areas of cable system
management: administration, marketi mg, accounting and engineering. Daniels
operates 21 cable systems in 11 stia'::.es and is one of the few companies
that manages systems it does not conttol, testimony to its clients' trust and
regard.
The Brokerage Division has led the cabQe industry in volume of sales initiated
every year since 1958 when it was fo:rrned as part of a cornmi tment to be the
first brokerage firm specializing in cable television. Because the cable
marketplace is more active than ever !before, Daniels' brokers must be highly
skilled professionals who are committed to structuring transactions to
benefit both seller and buyer.
Daniels' brokers have completed analyses of all companies they represent. An
analysis typically examines growth potential, engineering, operations, manage
ment procedures, programming, marketing, services, staff and financial projec
tions. The broker will provide analysis, and his own judgement and
perspective, to prospective buyers to the acquisition opportunity meets
the buyers' overall business objectives and investment needs.
The Investment Services Division works through national and regional financial
institutions to secure debt and maDY sources to obtain equity for cable
operators of virtually every size. Daniels' investment bankers not only have
secured capital, but historically--through services provided--have made it
possible for system operators to turn that capital into profit.
Daniels has been an industry innovatqr and has introduced a number of major
companies to the cable industry
Times-Mirror Company Teleprompter Corporation
Chicago Tribune Scripps-Howard Broadcasting
Storer Broadcasting Capital Cities Communications
General Tire & Rubber Cox Broadcasting Corporation
As a client, you may be assured of 1t:'1e highest professional integrity and
judgement from Daniels' professionals . Our 25 years of experience and broad
perspective will ensure your objectives are attained.
One of the amenities of the plush Daniels office is an executiv dining room.
Setting the table
Denver-based Daniels & Associates offers Cl tull menu of
specialized services for the cable industry
"When I first came here in
1965, we just had a num
ber of people who wore a
number of hats," reports Daniels &
Associates Vice Chairman and CEO
John Saeman. "We'd go on a business
trip; we'd be a broker; we'd be a
consultant; we'd be an operating head .
It just depended on what part of the
company we were going to and who
was doing it." This scatter-gun ap
proach, of course, suited a new in
dustry and suited the personality of
company founder and Chairman Bill
Daniels.
But, just as the cable television
industry as a whole has changed and
turned to specialization, so has Daniels
& Associates, where specialization in
the company's diverse cable interests
has become necessary and where the
company has begun to shed its entre
preneurial and eclectic approach in
favor of a disciplined functional
organizational chart.
And, although Denver's pioneering
ca ble concern has necessarily had to
mature along with the rest of the
industry, it has not given up innova
tion or its characteristic willingness to
explore new territory, particularly in
the financial servic(ls arena. Nor has
the company, whicH has brought the
likes of Irving Monroe Rifkin
and Gene Schneider into the cable
television business,: lost its prosely
tizing spirit, having: .brought into its
fold over the past year anumber of top
executives from outside of the cable
television industry.
Today, Daniels &IAssociates stands
as one of few truly diverse cable
communications cOf:Ilpanies. It is one
of the country's top iMSOs, operating
24 cable systems inl 12 states. It is a
general partner Rainbow Pro
gramming, one of tlie more successful
new cable programiners of the past
couple years. It has instrumental
in establishing The Fund,
an innovative equity :fund ($50 million)
for cable operators. lit has ventured
into the pu blic offerihg of limited cable
partnerships throijgh the recently
formed American TV Investors.
It remains cable telJvision's foremost
investment-banker.
Commenting on the company's
Iongstanding invo'lvement in both
cable operation and brokerage, CEO
Saeman remarks, "1j he operating part
has always been an important part of
the Daniels operation. We like the
business and we know it, and it 's
profita ble. I t gives us a dimension as
an investment banker and broker that
typically an investment banker and
broker doesn't have-an ability to
relate to operating situations is a
definite and distinct advantage.
"In terms"of revenues," Saeman
emphasizes, however, "the most im
portant segment business of our
operation today really is the brokerage
and investment banking business."
This emphasis on the investment
banking side of the operation has led
the company in the recent past to
solidify its brokerage arm and find the
financial specialists needed to serve the
changing financial environment of
cable television.
Comments Saeman, "I think the
nature of the marketplace is changing
on a daily basis, and many of the
restructurings that have taken place
over the last two years have come
about because of the need to grow with
the industry's needs .
"The financial pressures of the last
couple of years on many cable opera
tors have been obvious, particularly
with the kind of interest rates we have
had. The number of mergers and
acquisitions that have taken place over
the last couple of years is a matter of
history. [Cable Vision] reports on those
in every edition. It's kind of mind
boggling, and we don't see much
happening that's going to change that.
"If anything, the marketplace is
going to continue to grow because the
industry itself is growing at a rapid
pace. The demand for capital is great;
the demand for financial services is
great. We see that continuing very
aggressively, and our restructuring
Tom Marinkovich has served as
Daniels president and chief operating
officer since April 1981.
over t he past few yea rs has reOected
that. "
This restructuring, in fact, has '
meant seeking out top people in
financial fields, and starts at the very
top of the Daniels organization.
President and chief operating officer
of the company since April 1981 is
Tom Marinkovich, who, Vice Chair
man Saeman reports, "brings a very
special discipline with him. Tom was
the senior tax partner at Price-Water
house here in Denver and managed the
tax department of 17 people.
"And," Saeman continues , "if
there's anything the cable industry has
a need for today, with the many
structures we have, it's tax advice.
That kind of discipline embodied in
the president and chief operating
officer is a distinct advantage; we get
great utilization out of Tom's talent in
that area."
Complementing the tax experience
of Marinkovich is another Daniels
newcomer, Executive Vice President
and Corporate Counsel Bob NageL
Saeman reports that Nagel had been
legal counsel to Daniels for the past
ten years, and "we were able to entice
him away to join us on a full-time
basis . Bob is a key member of our
group and his principal focus is to
function as a corporate counsel for us.
He interrelates on aJilegal matters that
pertain to operations, but has a fair
amount of focus toward the invest
ment banking and brokerage side in
terms of contract administration and
things of that kind which are critical to
make that department work."
Rounding out the senior executive
Vice Chairman and Chief
Executive Office;r John .
Saeman has pro,ven that he
is a man of m a ~ y different
hats. Says Saenian, "The
nature of the mi;lfketplace
is changing on adaiZJ'
basis. "
staff for the investment banking
division is yet ano:ther newcomer to
Daniels and to cable television, Execu
tive Vice President F red Vierra, who
joined Daniels one Iyear ago and is the
day-to-day operaiting head of the
division. Vierra joined Daniels from
Denver's other farT/0us company, the
Coors brewery, where he was vice
president of sales.
Finally, Daniels :most recent signifi
cant personnel move serves to provide
further evidence pf the company's
A shot of the conference room in the new Daniels complex.
commitment to its investment banking
division. This was the recent elevation
of four of its investment bankers to the
status of senior vice president. Hugh
McCulloh and Jay Busch team up in
the Midwest and Northeast as senior
vice presidents of, respectively, mer
gers and acquisitions and investment
services. I n the Southeast and West,
Bob Holman became senior vice
president, mergers and acquisitions,
and Tim David senior vice president,
investment services.
Saeman explains the tandem ap
proach to Daniels' investment banking
territories: "We have representation
by geographic area, and the brokerage
representative is out trying to work
under an agency agreement to repre
sent those people on the sale of their
cable system. At the same time,
working in the same territory, is an
investment banker who is contacting
cable operators to determine financial
needs: growth, capital, rebuild capa
cities and whatever. These people
work as a team because they have
constant resource information they
can share with each other. That's what
we have embodied in these teams, and
we have developed a business oppor
tunity out of it."
The brokerage operation itself,
Saeman says, developed out of the
company's investment services activi
ties, at first by accident and fmally by
design. "Having developed the in
vestment banking thing, we found
ourselves in a position where obvious
__--' Business L-____---,,.---______
Iy if a cable operator came in and said
'I'm ready to sell,' we could take him to
the marketplace with no problem. In '
investment banking, on the other
hand, if a ca ble opera tor needs expan
sion capital, refinancing, whatever, it's
easy. We can take him to the market
place. These are very cut and dried,
black and white issues.
"What we found happening in the
last couple years in the cable industry
is some people just didn't fit those
categories," Saeman continues. "You
get people like, say. Bob Hughes. in the
formation of Prime Cable. Bob didn't
want to sell Prime Cable, but he had
debt capacity that was all used up. For
example, he bought his first system in
Jackson Hole, Wyoming; it stood on
its own. He wants to grow some more.
Bob makes a deal with Peter Gilbert
for his cable system in Buffalo, and
Bob can get debt for that particular
transaction without any problem. But,
he needs $16 million worth of equity.
We couldn't fill that niche in a readily
ascertaina ble manner.
"Obviously we knew some people
and some things of that nature, but
Bob, through venture capital sources,
which he solicited on his own, was able
to raise that $16 million.
"What we decided we needed to do
was to fill that gap in there with
something. After a period of time, we
solidified that and are sponsoring a
company called The Centennial Fund.
The Centennial Fund is a $50-million
venture capital company, which is
headquartered here in Denver and
which will have as one of its general
partners Steve Halstead, who had run
our investment banking group." .
Daniels alumnus Halstead, along
with the other general partner Jack
Tankersley, who previously was af
executive Vice President and Corpor
ate Coumel Bob Nagel handles the
legal aspects and focusses in on
investment banking.
Looking in on Bill Daniels' new headquarters. Insert : Bill Daniels.
filiated with the ventl;lre capital arm of
the Continental II!linois Bank in
Chicago, will head up the fund .
Saeman comments that "Jack was a
proven venture capitali st and, in fact,
had led the offering for Prime Cable.
Steve, as a proven in/Jestment banker
in the cable industry, knows a lot of
cable operators, knows their needs,
and knows how they t hink. So these
two guys are running The Centennial
Fund, and it bridges :the gap."
The Centennial plans to raise
40 percent of the $50 million during
the first year and 30 percent in each of
the two subsequent I years. Saeman
reports that the minimum available
in the.fun9 is $2 million, so
It theoretIcally wIll have no more than
25 participants when iit finally closes.
"The intention of Ithe fund," Sae
man observes, "is to by a major leader,
an underwriting leader, in cable
communications-rela t,ed transactions.
We expect it to m<,lke a series of
substantial, let's say three to five
million dollar lead investments, in
cable operating
But, Saeman cautions, "the fund
wi II not be excl usi-yely ca bl e; it's
designed as a general purpose venture
fund . It will look at :things that are
beyond cable operations, but I would
expect its heavy focus to be in the cable
communications industry. By that I
don't mean to limit it merely to
operating situations. It could also be
involved in softwar;e; it has been
involved in a company :called American
Home Video, which owns a chain of
retail stores across the United States,
specializing in end user produCts
large screen television sets, video
recorders, video cameras, video discs,
etc. We felt ... that what the consumer
used to view our product could be
considered to be part of the cable
communications environment, so we
made an investment in that company."
So, with The Centennial Fund
established through the support and
assistance of Daniels & Associates, the
company's most recent venture also
took on an investment/ equity char
acteristic. This is the Daniels limited
partnership, American Cable TV
Investors, which is a joint venture of
Daniels & Associates and Integrated
Resources, Inc., a diversified financial
service organization headquartered in
New York.
According to a promotional bro
chure on the recently formed limited
partnership, it is a "publicly offered
limited partnership that will engage
primarily in the acquisition, develop
ment and operation of existing cable
television systems in the United States.
The partnership does not intend to
become involved in negotiations with
local government agencies for new
franchises, except possibly in areas in
the vicinity of franchises owned by
ACT I."
The first offering, ACT I, is a $25
million offering, with a unit price of
$500 and a minimum purchase of five
units. Like other well known cable
limited partnerships, one of the prin
cipal advantages of ACT I is as a tax
savings, but the partners' promotional
literature also lists appreciation,
capital preservation and cash flow as
objectives of the fund.
Systems purchased by the fund will
be managed by Daniels & Associates'
operating division. And, of course,
this arrangement once again points
Busilll!S5 _______.-------------------1
out the built-in advantages Daniels
has because of its financial and
operating knowledge of cable televi
sion systems. A company spokesman
remarks that Daniels became involved
in the limited partnership the
company realizes there is now a
market for cable investment beyond
the "heavyweight investor." The
company credits ca,ble's current popu
larity for this and gives due credit to
Jones Intercable for pioneering cable
limited partnership:s.
So, as it has always been at Daniels,
through the entrenreneurial spirit of
its founder, one ithing has led to
another-new bloop has been brought
in, new companiesiformed, new divi-
Executive Vice President Fred Vierra, only a one-rear veteran1with the company,
has added his sales experience to the investment banking
sions mounted-all because of needs
unearthed by Daniels' investment
bankers. The company's most recent
efforts, The Centennial Fund and
American Cable TV Investors, finally
complete the Daniels' circle, closing
the arc of capital formation to com
plement Daniels' existing brokerage
and operating arms.
And to cap what has been a land
mark year at Daniels, the company has
just recently moved into plush new
headquarters in Denver's exclusive
Cherry Creek section. The new four
story office complex includes employ
ee and executive dining facilities, a
racquetball court, spacious, tasteful
executive offices, state-of-the-art
electronic conference and presentation
facilities among other amenities.
It's a long way from company
founder Bill Daniels' days as rough
neck cable operator in the hinterlands
of Wyoming, Colorado and other
western states. Little did Bill Daniels
realize when he first saw television in a
Denver bar in the 1950s, that the
experience would lead to the forma
tion of one of cable's leading invest
ment firms, operators, personnel
recruiters and, in fact, the formation of
the foundation of an entire industry.

1982, Titsch Publishing, Inc. All rights reserved. Reprinted from the January 11th issue of CableVision, with permission.
A PROFILE OF LEADERSHIP
When a company is first to dedicate itself
totally to one specific industr}j when it
takes innovative strides in that industry and
when it continues to expand that industry's
growth capabilities, that company can
justifiably be called a leader. Daniels
& Associates is the leader in cable
television services.
CABLE TELEVISION INNOVATOR
Daniels & Associates was the first
company established for the sole purpose
of facilitating cable TV financial transactions.
From its earliest beginnings, the company
has innovated cable television brokering,
system operation, marketing and
development of sophisticated financial
structures. That innovation continues to
gain momentum today.
Many of today's leading cable television
companies were introduced.to the industry
by Daniels. American Television and
Communications Corp. (now part of Tune,
Inc.), Television Communications Corp.
(now part of Warner CorrununicatiQn'i,
Inc.), Cox Broadcasting, Tunes-Mirror Co.
and WGN-Continental Broadcasting (The
Chicago 1hbune) are some which Daniels
brought into this dynamic, growing
industry. As the industry has grown, so
has the Daniels legacy.
As Chairman Bill Daniels and his
colleagues developed the financial
structures and innovative capital formations
required to operate a successful, profitable
cable system, that expertise proved
valuable to others in the industry as well.
The phrase "nothing succeeds like success"
takes on new meaning when applied to the
services Daniels & Associates can offer to
those who buy, sell, operate and invest in
cable television properties.
r
Today, the company includes three
divisions: the Investment Services Group,
which offers investment banking services to
the cable industry; the Brokerage Services
Group, which assists both buyers and
sellers in cable properties' transactions; and
the Management Group, which provides
business support services to the
cable industry.
The Daniels people have literally
"grown up" with the cable television
industry. They have been instrumental in
convincing such major financial institutions
as 1Tavelers Insurance, John Hancock
Mutual Life Insurance Company, J.P.
Morgan Interfunding (the long-term
lending arm of the Morgan Guaranty Bank)
and Equitable Life Assurance Society of
the United States to lend their financial
support to the industry. And so, Daniels
has helped make it possible for cable
television to enjoy the credibility and
growth potential it so genuinely deserves.
FlJLFPLLING CABLE'S PROMISE
Other firms offering brokerage,
investment or management services seem
continually to appear and disappear. Not so
with Daniels. The company was here 20
years ago when the cable industry was full
of promise. And the company will be here
50 years from now, helping to fulfill
that promise.
INVESTMENT SERVICES
fr'

.J!, L
...- - . ~ ......~
'jn- 0'I/J) 7M!- tiPVI ';
t
Historically, securing debt and equity
'capital fOf the cable television industry has
not been the easiest task. Cable is relatively
new and in many aspects is a unique
business. For that reason, Daniels &
Associates created its Investment Services
Group. This core of highly skilled
investment professionals understands both
cable television and investment banking.
They are people who succeed at putting
lenders and cable operators together-for
the benefit of both.
SUCCESSFUL FINANCING RESULTS
The Daniels Investment Services
Group works through national and regional
financial institutions to secure capital for
operators of virtually every size ~ a b l e
system, including multi-system and single
system operations. The Investment Group
takes pride in the faCt it has never failed to
secure acommitment for a listed client,
becausethat's the very best measure of the
group'scompetnce and professionalism.
That success can be attributed to a thorough
knowledge of lending procedures-a
knowledge that works to the advantage
of both lender and operator.
When the Daniels Investment Services
Group begL'1s work with a system operator,
the first important step is an in-depth
analysis of the operator's business
objectives. Debt capacity is studied. Growth
potential is estimated. Operations and
management are reviewed. The system's
financial history is scrutinized. All are
necessary so the Daniels investment
manager can match the system with the
appropriate financial resources.
If, during the analysis and review
stage, any operational problems are
identified, Daniels offers solutions to those
problems. That makes for a better system
and eases the financing proced ure.
After comprehensive value analysis,
the investment manager prepares a
professional and thorough loan
presentation. This presentation includes
information on a system's operations,
management, financial history, appraised
value and anticipated performance. It also
includes an exact description of the desired
terms, purpose for which the money will be
used, payment plans and the terms and
conditions of the loan agreement .
Once the presentation is complete, the
investment manager then begins to secure
and expedite the loan, working with
appropriate sources to acquire the required
funds. Here again, the Daniels name is of
great value. As a recognized cable television
leader, Daniels has earned credibility and
respect in the financial community. The
company was responsible for introducing
the cable industry to major financial
institutions as well as leading capital
investment firms such as Narragansett
Capital Corporation and The Prospect
Company. And the company continues its
efforts daily to create new funding sources
and maintain contact with its current
major lenders.
The objective of all investment efforts
is to assist cable system operators in
establTshing long-term relati'onships with
responsive financial institutions.
The Investment Services Group is
supported by an extremely capable back-up
staff. People who have virtually "written
the book" on cable television management,
operation and financing. In this respect,
Daniels is unique among investment
banking firms providing service to the
cable industry.
In addition to the placement of debt,
the Investment Services Group structures
limited partnership and institutional equity
ventures as well.
EXTENDED VALUE
As a unique'cabletelevision
investment resource, the Daniels
Investment Group has provided its
customers with consulting and financial
services that have had extended value.
Not only has Daniels secured capital,
but historically-through services
provided-made it possible for system
operators to turn that capital in to profit.
And that is the most compelling
consideration of all.
3
2930 East Third Avenue
Daniels &
P.O. Box 6008
Associates, Inc.
Denver, Colorado 80206
, 303321-7550
DANIELS & ASSOCIATES, INC. July, 1981
A PROFILE
It is the business philosophy of Daniels & Associates, Inc., to support its
clients' needs with all of its experience and concerted judgement.
Daniels as a company is unique, serving the cable communications industry in
three primary ways: brokerage services, investment services and system
management.
The Management Division offers expertiBe in four key areas of cable system
management: administration, marketing, accounting and engineering. Daniels
operates 21 cable systems in 11 states and is one of the few companies
that manages systems it does not contFol, testimony to its clients' trust and
regard.
The Brokerage Division has led the cabie industry in volume of sales initiated
every year since 1958 when it was formed as part of a commitment to be the
first brokerage firm specializing in cable television. Because the cable
marketplace is more active than ever before, Daniels' brokers must be highly
skilled professionals who are committed to structuring transactions to
benefit both seller and buyer.
Daniels' brokers have completed analyses of all companies they represent. An
analysis typically examines growth potential, engineering, operations, manage
ment procedures, programming, marketing, services, staff and financial projec
tions. The broker will provide the analysis, and his own judgement and
perspective, to prospective buyers to ensure the acquisition opportunity meets
the buyers' overall business objectives and investment needs.
The Investment Services Division works through national and regional financial
institutions to secure debt and many sources to obtain equity for cable
operators of virtually every size. Daniels' investment bankers not only have
secured capital, but historically--through services provided--have made it
possible for system operators to turn that capital into
Daniels has been an industry innovator and has introduced a number of major
companies to the cable industry including:
Times-Mirror Company
Chicago Tribune
Storer Broadcasting
General Tire & Rubber
Teleprompter Corporation
Scripps-Howard Broadcasting
Capital Cities Communications
Cox Broadcasting Corporation
As a client, you may be assured of the highest professional integrity and
judgement from Daniels' professionals. Our 25 years of experience and broad
perspective will ensure your objectives are attained.
'j
!, ._ " .' . (lC
VA:,\'IH HESEAHCI-I C01\lPA:,\Y
A"TION
CO:\lJ\lERCIALiI:\DCSTRIAL DE\' ELOPERS P.E.:...L ESTATE BHO}-; ERS
POBOX 310 . CiT y HALL PLAZA. .. . 4.c VANIR lOWER .
February 18, 1982
FIL E NO, ___-=J Y -
RO
' _ , __
, ' ..I I ; " _ .-
Mr. Donald R. Howery
General Manager
DEPARTMENT OF TRANSPORTATION
Room 1600, City Hall
Los Angeles, California 90012
Dear Mr. Howery:
Please be advised that Vanir Research Company will make available all
the necessary equity and debt funds to construct, operate and maintain
the cable television system within the City of Los Angeles area, known
as Boyle Heights, in the amount of $3.85 million, as per the
requirements of the enabling odinance No .. 156.295 granting a cable
franchise for the Boyle Heights area to Buena Vista Telecommunications
of Boyle Heights, Inc.
I am enclosing a copy of my certified financial statement which is to
remain confidential and not for public disclosure. Should you require
any additional information, please advise at your earliest convenience.
For further verification of Vanir's financial capability to construct,
operate, and maintain this cable TV system, you may contact Mr. Richard
S. Koon, Vice President and Manager, Crocker National Bank, Construction
Finance, 1475 S. Bascom Avenue, Suite 101, Campbell, California 95008.
Very truly yours,
VANIR RESEARCH COMPANY
HFD/dlf
Enclosure: Certified Financial Statement and accompanying Interim
Summary Statement
VANIR RESEARCH COMPANY
1982 FEB 22 PM 4 i I
(A DBA of H. Frank Dominguez)
FINANCIAL STATEMENT
FEBRUARY 28
1
1981
Attached statement and supporting schedules, both printed

and written, give a true, and correct statement
the financial condition of the Vanir Research Company as of
the date indicated.
There are not any material modifications that should be
made to the accompanying financial statement for the period
ending February 15, 1982.

(A
VANIR RESEARCH COMPANY
DBA of H.
FINANCIAL STATEMENT
FEBRUARY 28, 198i
ASSETS
CURHENT ASSETS:
Cash in Danks
Deposits
Accounts Receivable
Notes Receivable - Short Term
$ 732,481
36,410
2,103,794
19,800
TOTAL CURRENT ASSETS $ 2,892,485
Notes Receivable - Long Term
707,553
Undistributed Funds Receivable
145,736
Real Estate Income Property Investments
25,544,844
Land Leases and
Development
Real Estate Owned for
9,502,419
Other Assets
9,210,407
TOTAL ASSETS
$ 48,003,444
VANIR RESEARCH COnPANY
(A DBA of H. Frank Dominquez
FINANCIAL
i
FEBRUARY 28, 1981
L,IABILITIES
CURRENT LIABILITIES:
Current Maturities of Secured
Notes $ 394,126
NON-CuRRENT LIABILITIES:
Long Term Secured Notes
Payable
14,538,063
TOTAL LIABILITIES $ 14,932,189
NET 33,071,255
TOTAL tIABILITIES AND NET WORTH $ <'18,003,444
..
II
]
ONTARIO OFFI CE :
REDLANDS OFFI C E ; E A DIE AN D PAYNE;: '
-.
)
609 NO L E MON AVC:N ..; !;:
SUITE. 207 . RED LAN DS PLAZA
]
CERTIFIED PUBLIC CF ON TARIO. 91764
RE DLANDS. CA 92373
PHONE' (7 14) 986-20 4 8
PHO NE. (71 4 ) 793-2406
330 NORTH "d" STRE E T TRM<SPv[-(T AnON
]
PO BOX 11 99
SAN BERNARDINO. CALIFORNIA 92402
AREA (714) 889-0071
1982 FEB 22 PM 4 i 0
]
FILE NO. ___
RI} UTi t\j r: .__...c... R- ___
]
Vanir Research Company
:] (A DBA of H. Frank Dominguez)
San Bernardino, California
] We have reviewed the accompanying balance of Vanir Research
Company, (a DBA of H. Frank Dominguez), as of December 31, 1980, and the
]
related statements of operations, owner's equity, and changes in financial
]
position for the year then ended, in accordance with standards established
by the American Institute of Certified Public Accountants. All information
]
included in these financial statements is the representation of the owner
of Vanir Research Company.
A review consists principally of inquiries of company personnel
and analytical procedures applied to financial data. It is substantially
less in scope than an examination in accordance with generally accepted
auditing standards, the objective of which is the expression of an opinion
1
regarding the financial statements taken as a whole. Accordingly, we do
not express such an opinion.
Based on our review, we are not aware of any material
modifications that should be made to the accompanying financial statements
1
in order for them to be in conformity with generally ' accepted accounting
principles.
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EXHIBIT "A"
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VANIR RESEARCH COMPANY
(A DBA of H. Frank Dominguez)
BALANCE SHEET
SEE ACCOUNTANTS' REVIEW REPORT
DECEMBER 31, 1980
ASSETS
CURRENT ASSETS
Cash - savings accounts
Accounts receivable
Notes receivable - current portion
Rents receivable
Prepaid expenses
Total Current Assets
NOTES RECEIVABLE
Less: Current portion
ADVANCES TO RELATED PARTIES
INVESTMENTS
Real estate
RENTAL PROPERTIES - At Cost
Land and building
Less: Accumulated depreciation
OTHER ASSETS .
Deposits
TOTAL ASSETS
LIABILITIES AND OWNER'S EQUITY
CURRENT LIABILITIES
Bank overdraft
Accounts payable
Accrued interest
Current portion of long-term debt
Contracts payable
Deferred rental income and deposits
Total Current Liabilities
ADVANCES FROM RELATED PARTIES
LONG-TERM DEBT
Less: Current portion
OWNER'S EQUITY
H. Frank Dominguez ~
TOTAL LIABILITIES AND OWNER'S EQUITY
The accompanying notes are an integral
part of the financial statements.
-2
$349,197
2,481
10,622,820
384,651
$12,845,576
6,065,105
$2,459
4,000
2,481
18,591
2,278
29,809
346,716
1,011,569
1,481,285
10,238,169
33,410
$13,140,958
$76,775
97,676
822,067
6,065,105
196,820
32,640
7,291,083
228,530
6,780,471
(1,159,126)
$13,140,958
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EXHIBIT liB"
VANIR RESEARCH COMPANY
(A DBA of H. Frank Dominguez)
STATEMENT OF OPERATIONS
SEE ACCOUNTANTS' REVIEW REPORT
FOR THE
INCOME
Sale of projects
Less: Cost of projects
Other Income
Rent
Interest
Developer's fees
Sundry
Gross Profit
EXPENSES
Commissions
Lease expense
Property tax
Insurance
Interest
Professional fees
Permits and fees
Signage
Donations
Engineering
Depreciation
Taxes and licenses
Maintenance
Management fees
Promotion
Other
Utilities
Soil tests
Loan and escrow fees
Office supplies
NET INCOME (LOSS)
The accompanying notes are an integral
part of the financial statements.
YEAR ENDED DECEMBER 31, 1980
$2,851,572
2
1
56,467
855,438
18,580
47,718
12
1
534
13 ,557
60,927
59,288
23,829
1,207,955
10,284
500
161
16,040
9,922
270,260
1,792
18,319
500
600
945
11 , 157
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3,600
22,780
150
$795,105
934,270
1,729,375
1,732,566
($3,191)
-3
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EXHI BIT "c"
VANIR RESEARCH COMPANY
(A DBA of H. Frank Dominguez)
STATEMENT OF CHANGES IN O ~ ~ R ' S EQUITY
SEE ACCOUNTANTS' REVIEW REPORT
FOR THE YEAR ENDED DECEMBER 31, 1980
BALANCE (DEFICIT), JANUARY 1, 1980
($858,247)
ADD: Net income (loss)
(3,191)
(861,438)
LESS: Withdrawals
297,688
BALANCE (DEFICIT), DECEMBER 31, 1980
($1,159,126)
The accompanying notes are an integral
(I) part of the fin ancial statements.
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VANIR RESEARCH COMPANY
(A DBA of H. Frank Dominguez)
STATEMENT OF CHANGES IN FINANCIAL POSITION
SEE ACCOUNTANTS' REVIEW REPORT
FOR THE YEAR ENDED DECEMBER 31, 1980
WORKING CAPITAL PROVIDED
From Operations
Net income (loss) - Exhibit "B"
Add: Expenses not requiring working capital
depreciation
Working Capital Provided by Operations
Increase in long-term debt
Decrease in other assets
Decrease in real estate projects
Total Working Capital Provided
WORKING CAPITAL USED
Decrease in capital lease liabilities
Decrease in customer deposits
Increase in notes receivable
Increase in advances to related parties
Decrease in advances from related parties
Increase in rental properties
H. Frank Dominguez draws
Total Working Capital Used
Increase (Decrease) in Working Capital
Working capital (deficit) at beginning of year
Working Capital (Deficit) at End of Year
CHANGES IN WORKING CAPITAL
Increase (Decrease) in Current Assets
Cash
Accounts receivable
Rents receivable
Prepaid expenses
Notes receivable - current portion
Increase (Decrease) in Current Liabilities
Bank overdraft
Accounts payable
Contracts payable
Accrued interest
Current portion of debt
Deferred rental income and rent deposits
Increase (Decrease) in Working Capital
The accompanying notes are an
part of the financial statements.
-5
EXHIBIT liD"
($3,191)
270,260
267,069
2,027,632
76,343
3,108,760
5,479,804
666,814
850,000
344,269
387,513
83,567
3,017,740
297,688
5,647,591
(167,787)
(7,093,487)
($7,261,274)
($877 ,091)
4,000
18,591
2,278
420
(851,802)
76,775
(1,088,355)
(594,569)
538,000
390,029
(5,895 )
(684,015)
($167,787)
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(A DBA of H. Frank Dominguez)
NOTES TO FINANCIAL STATEMENTS
SEE ACCOUNTANTS' REVIEW REPORT
DECEMBER 31, 1980
1. Accounting Policies
A. Depreciation on rental properties and any improvements was computed
using the straight-line method.
B. The Company is owned, along with other businesses, by H. Frank
Dominguez. For tax purposes, income is included on the personal
return of Mr. Dominguez. Therefore, no provision for income taxes
is shown on the financial statements.
2. Notes Receivable
Notes receivable were as follows:
CURRENT TERM TOTAL
Received From
A. Ciani
Terms - payable in monthly
installments of $35,
including interest at 8%
on the unpaid balance $2,481 $2,481
Karlan and Leninson
Terms - interest payable
monthly at 9.224%;
principal due in total
June 1, 1983 $346,716 $346,716
Totals $2,481 $346,716 $349,197
3. Long-term Debt
Long-term debt was as follows:
INTEREST
RATE CURRENT TERM TOTAL
Bank of America
Interest rate and
balance Prime + 1% $3,699,136
$3,699,136
Repayment schedule
principal due ,
June 26, 1981
Collateral - deed of
trust on Highway 111
and Monroe property
- 6
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SEE ACCOUNTANTS' REVIEW REPORT
INTEREST
RATE CURRENT TERM TOTAL
Interest rate and
balance Prime + 3% $403,291 $403,291
Repayment schedule
interest and
principal due
October 31, 1981
Collateral - deed of
trust on 19th and
Archibald property
Interest rate and
balance
11%
14,023 $2,710,977 2,725,000
Repayment schedule
$26,732 per month
Collateral - deed of
trust on 2nd and E
Streets property
Interest rate and
balance
10% 3,945 525,039 528,984
Repayment schedule
$4,675 per month
Collateral - deed of
trust Mill and
Waterman property
Interest rate and
balance 10% 1,923 306,059 307,982
Repayment schedule
$2,720 per month
Collateral - deed of
trust 19th and
Amethyst property
Interest rate and
{ ~ ,
balance Prime + 2% 300,000
300,000
Repayment terms
principal due
June 10, 1980
Collateral - assign
ment of Karlan note
receivable and deed
of trust
Security Pacific Bank
Interest rate and
balance 6-1/2% 9,156 150,433 159,589
Repayment schedule
$1,605 per month
Collateral - deed of
trust on Blythe-
Texaco station
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SEE ACCOUNTANTS' REVIEW REPORT
Interest rate and
balance
Repayment schedule -
Interest payable
monthly with
principal due
November 1, 1981
Collateral - deed of
trust Alosta and
Calera property
INTEREST
RATE
Prime + 4%
CURRENT
$256,566
TERM TOTAL
$256,566
Crocker National Bank
Interest rate and
balance Prime + 1% 24,000 24,000
Repayment schedule
principal due
January 17, 1981
Circi-Turner
Interest rate and
balance
Repayment schedule
principal due
January 22, 1981
Collateral - deed
of trust Calimesa
property
Crocker National Bank
Interest rate and
balance
Repayment schedule
balance due
July 2, 1981
Interest rate and
balance
Repayment schedule
principal due
April 30, 1981
Security Pacific National
Bank
Interest rate ' and
10% 55,000
55,000
Prime +
1-1/2% 425,000
425,000
Prime +
1-1/2% 1,963,264
1,963,264
balance Prime + 2% 100,000
100,000
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SEE ACCOUNTANTS' REVIEW REPORT
INTEREST
RATE CURRENT TERM
David D. Miller - Of
the previous 3
notes payable,
the following por
tion was refinanced
on January 28, 1981
under the following
terms:
Interest rate and
balance
14% ($2,263,264) $2,263,264
Repayment schedule -
interest payable
monthly, principal
due February 11,
1982
Collateral - deed of
trust Highland and
Del Rosa property
Dominguez/Miller Partner
ship
Personal note - no
terms 96,000
Crawford Investment
Co.
Interest rate and
balance
16% 32,500
Repayment schedule -
principal due
August 31, 1981
Collateral - deed
of trust Mill and
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Waterman property
National Dollar Store
Interest rate and
balance Prime + 1% 45,000
Repayment schedule -
principal and
interest due
October 9, 1981
Collateral - deed
of trust E Street
property
-9
TOTAL
$96,000
32,500
45,000
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SEE ACCOUNTANTS' REVIEW REPORT
INTEREST
RATE CURRENT TERM
Redevelopment Agency
Interest rate and
balance
10% $55,828
Repayment schedule -
principal and
interest due
September 3, 1981
Collateral - deed
of trust 4th Street
property
PIPE
Interest rate and
balance
9-3/4% 24,113 - $769,560
Repayment schedule -
$8,592 per month
Collateral - deed of
trust Vanir Plaza,
Azusa
John Franklin Ferre, Sr.
and Julia Elizabeth
Shedden
Interest rate and
balance 7-1/2% 15,000 33,051
Repayment schedule -
$7,500 semi
annually plus
interest
Collateral - deed of
trust on Mill and
Waterman property
Wier-Casady Company
Interest rate and Prime +
principal 1-1/2% 86,268
Repayment schedule -
$5,000 per month,
balance due
June 1, 1981
Collateral - deed of
trust Al t-a Lorna
property
TOTAL
$55,828
793,673
48,051
86,268
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SEE ACCOUNTANTS' REVIEW REPORT
INTEREST
Kraus - Anderson
RATE CURRENT TERM TOTAL
Mortgage Company
Interest rate and
balance
Repayment terms -
principal due
April 29, 1981
Collateral - combina-
Prime +
2-1/2% $163,196 $163,196
tion mortgage,
security agreement,
and fixture financing
statement on 4th
and Center property
Interest rate and
balance
Repayment terms -
principal due
April 29, 1981
Collateral - comb ina
. Prime +
2-1/2% 282,416 282,416
tion mortgage,
security agreement,
and fixture financing
statement on 16th and
National property
Interest rate and
balance
Repayment terms -
principal due
April 29, 1981
Collateral - combina-
PriIDe +
2-1/2% 261,262 261,262
tion mortage,
security agreement,
and fixture financing
statement on 35th and
Juneau property
Mobil Oil
Interest rate and
balance
Repayment schedule -
$1,182 per month
Collateral - deed of
trust on Mobil
station property
9-1/2% 11,482 $22,088 33,570
Total Long-term Debt $6,065,105 $6,780,471 $12,845,576
-11
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NOTES TO FINANCIAL STATEMENTS (CONTINUED)
SEE ACCOUNTANTS' REVIEW REPORT
4. Related Party Transactions
Advances To Related Parties
Vanir Development Company
Vanir Tower Company
Total
Advances From Related parties
Colton Development Company
5. Minimum Future Lease Payments on Noncancelable Leases
A schedule of minimum future lease payments on noncancelable leases is
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1981
$873,008
()
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692,479
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9,318,081
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$13,332,332
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$864,711
146,858
$1,011,569
$228,530
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-12
FARHICK LTD.
May 7, 1982
Carl A. Galloway, M.D. President
Universal Cable System, Ltd.
Wilshire Blvd., Suite 712
Los Angeles, California 90036
This letter will express my interest
approximately twenty-four million ($
CATV Associates (SCCA) for the purpo
South Central Los Angeles franchise
Farrick, Ltd. has the financial reso
provide the funds available to back
reasonable time basis. Documentatio
given if reasonably requested.
'6650 SCHOENBORN STREf:T
CALIF"OANIA
TCI..I:P""ONC IZl3 i 8837166
TCI...[. 6513ZZ
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s
providing debt funding of
000,000) dollars for South Central
e of operation and construction of the
through family connections, to
venture as may be required on a
o provide this information may be
This letter is for the sole purpose
of its application for a governmenta
uSt?d by any institution, individual,
SOt?ver. This letter is preliminary
presentation.
which may be
This
not
This letter does not represent a fin 1 loan committment. It is subject to
the following usual terms:
1. An award of the franch s . to SCCA.
2. Review and acceptance If the Management Company
by Farrick's legal and f nancial advisors.
3. Negotiation and accept n e of mutually agreeable
loan terms and conditi n_ including interest
rates and terms of rep y ent.
used in support
letter shall not be
entity for any purposE what
be used for any final
ARTHUR BECKER CEI'IT,"'EO "uel..lC "CCOU
May 17, 1982
Mr. Donald R. Howery
General Manager
Department of Transportation
City of Los Angeles
Room 1200, City Hall
Los Angeles, CA 90012
Attention: Mr. Kenneth Cude
Gentlemen:
This letter is in reply to you
To. T
.eeso
SEF>UL.VECA. CAL.II"ORN.A a'343
TEL-EX 45S13Z2
etter dated May 10 addressed
KI.ashoggi, President of Farrick, Ltd.
who requested that I respond ;1 ris behalf.
I am aware of the letter execulec and sent by Mr. Khashoggi to
Dr. Galloway, President of Uniie sal Cable System, Ltd. in
reference to the Cable TV franah1se award to be made by the City
of Los Angeles. J
Since the scope of my engageme t is advisory in nature, I am
unable to furnish a financial je ort covering Mr. Khashoggi or the
Khashoggi family financial intrests by May 17, as requested in
your letter to Mr. Khashoggi d llvered by messenger on May 11.
It would not be unreasonable,o ever under the circumstances to rely
on the many published reports but not limited to those
appearing in the Fortune and T m magazines, which are concerned with
and report on the Khashoggi fa ily wealth, financial holdings and
activities worldwide.
to my client, Mr. Mohamed A.
...........--ours,
AB:jm
cc: Mr. Mohamed A. Khashoggi
Dr. Carl Galloway
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to
De e ber 31, 1981
ASSETS (NOTE 3) - ..
CURRENT ASSETS
Cash $ 71
J
477
Accounts receivable:
Trade, less allowance for doubtf 1
accounts of $15,817 35,448
Other
33,628
Parts inventory 4,723,642
Prepaid expenses 147,457
Total current assets $ 5,011,652
PROPERTY, PLAh7 AND EQUIPMENT
Property, plant and equipment $
19,240,933
Construction in progress
5,50l
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559
$ 24,742,492
Less accumulated depreciation 2!938!160 21,804,332
OTHER ASSETS
Intangibles, franchise agreements, 1 S6
accumulated amortization of $6,7 1 , 678
$ 32,299,970
Deferred costs, pending franchises
98,106
Deposits
214,221 32!612,297
$ 59!428,281
LIABILITIES AND STOCKHOLDER'S EQUI Y
CURRENT LIABILITIES
Current maturities of long-term debt (Note 3) $ 3,000,000
payable 3,879,196
Prepaid service income 21,921
Accrued and other liabilities 1,982,057
Total current liabilities $
8,883,174
LONG-TERtI DEBT (Note 3) 47,937,822
STOCKHOLDER'S EQUITY
Comeon stock, no par value; autho 1zed,
issued and outstanding 1,000 sh res $ 19,857,754.
Retained earnings (deficit) (17,250,469) 2,607,285
COHlnn1ENTS (l\ote 5)
S 59,428,281
See Notes to Financial Statements.
- 2
--- ._ -
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Thirteen !olon
Cable TV revenue
Direct service costs
Net revenues
Operating expenses:
Technical and installation
Local programming
Marketing costs
General and administrative
Amortization and depreciation
Operating (loss)
Nonoperating income (expense):
Interest income
Interest expense (Note 4)
Cain on disposal of assets
Abandoned franchise costs
(Loss) before income tax
See Notes to Financial Statements
C'OMMUNICOH
Tl:MENT OF INCOHE
h ~ Ended December 31, 1981
$
540,902
343,014
$ 197,888
$
1,169,809
88,136
547,632
3,284,789
7,989,963
$ 13,080,329
$(12,882,441)
$
313,245
(3,201,342)
4,611
(l ;484 ,542)
$
(4
1
368,028)
$(17,250,469)
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- 3
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2930 East Third Avenue
pO. Box SOO8
Daniels &
Denver. Colorado
303 3217550
Associates, Inc.
Brian Oeevy
Vice President, Investment Services
Apri j9,1982
Mr. Clinton Galloway
Vice President, Finance
Un i v e r sal Cab 1 e
1880 Century Park East, #404
Los Angeles, California 90067
Dear Clinton:
As discussed over the phone, I am inclu ilg the projections for the South Central
Los Angeles CATV system. I would appre ;<.te your timely review of these numbers
as the company is hoping to present fin n( ing letters to the city council at the
Apr'il 27, 1982 meeting.
South Central CATV Associates is a 60%/ ( . partnership between Universal Cable
(local Los Angeles businessmen) and Comfl1ur iCom. CommuniCom has operations in the
Los Angeles market, and will be respons b e for building and operating the South
Central system. The partners have indi a1ed that they will contribute $7.5 mil
lion in equity to the project.
The South Central franchise area includ s 209,000 homes; a map of the franchise
area is included. The company plans a construction schedule, building 250
miles in the first 12 months of an additional 250 miles in year 2
and 260 in year 3. We have attempted t prepare a conservative financial projec
tion, and have estimated initial basic erletration at 20% increasing 2.5%/year in
years 2-5 and l%/year in years 6-10. SupE'r basic, which will provide additional
satellite options, will be taken by 50% Iof basic subscribers. Pay penetration is
calculated at 125% of basic throughout 10 year period. CommuniCom has noted
that their experience in the area is cl l s l'r to 200%, and they feel they will be
able to outperform the projections. Bai " and each pay tier will cost S10/month
with super basic and an extra outlet av i able for $4/month.
The South Central CATV Associates' partTelship has asked me to approach your bank
with this financing package. The partnfr, hip is requesting a $20 million, 3 year
revolving/5 year term loan. The partners hip is looking for a letter of interest
if you would be willing to work with th on this project. The partnership
understands that your commitment will b ,ependent on a satisfactory franchise
being granted to the partnership, that h! required equity is contributed, and
that a satisfactory loan agreement is n 9 Jtiated with the lending institutions.
Page Two
Mr. Clinton Galloway
Apr i 1 19, 1982
The partnership requests a letter of inter
response to a request from the Los Angeles
franchising process.
I apologize for the short time frame
to hearing from you soon.
Enclosure
that
B

.,
s from you by April 26, 1982 in
c ty council to aid in their
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I look forward
c
u
CommuniCom is constructing an perating the largest cable television system in
Southern California. Its operation i, rjirected by a dedicated and experienced team
of CATV professionals. Corporate ctivities are centered in a new Culver City head
quarters at 5731 Buckingham Pa kway, specially designed to accommodate our
needs. Technical facilities include rnulti-million dollar Headend, or control center,
the finest in the nation, from whic s of unequalled quality will be available to
our customers.
CommuniCom
cable.. .auniverse of cJwicC/
am Parkway, Culver City, califomia 90230, (213) 670-9250
nagement Team
...
GLENN W. (BILL) NIELSON
Director
Mr. Nielson has been active in cable television since i 1
son Enterprises, Inc., of which he is president, for ed a
partnership with Six Star Cablevision in mid-198 l .
When Nielson Enterprises acquired the interests 0 S x
Star Cablevision a year later, Communi Com was bor. e
became president of Nielson Enterprises, Inc., in 97,
assuming responsibility for all phases of its business c
vities. Previously, he had managed Pocatello Indutri I
Park, where he had full responsibility for all
activities. He was named assistant to the Chairman of ie
son Enterprises in early 1973. His primary responsibi iti s
dealt with company goals and long-range planning st at
gy. During his involvement with Pocatello Industrial a
and Nielson Enterprises, Inc., both companies
trend from operating at a substantial loss to be<:oming pr
fitable operations. He was the primary participant fo th
company in the sale of Pocatello Industrial Park to B c
rus Eyre. He graduated from Brigham Young Unive it
with a B.S. in accounting and minors in Business Admin
stration. Economics and Computer Science. He Ilat r
attended Idaho State Graduate School of Business t
program. He served a mission for the Church of J su.
Christ of Latter Day Saints to England. and has been a ti v
in church, civic and charitable organizations since ig
school in Cody (WY.).
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THOMAS A. KANARIAN
"'-Jldenl
Mr. Kanarian became president and chief executive officer
of CommuniCom in September, 1981 . after serving in var i
ous positions with Theta Cable and Teleprompter. He
started his career in cable television in 1971 , fulfilling
ous management responsibilities for Theta Cable. He was
named general manager of a Warner Cable system in 1976
and the following year returned to Theta as vice president
and general manager. He was promoted to President and
Chief Executive Officer in April, 1981. After Teleprompter
acquired Theta Cable. in addition to those duties, he was
given the responsibility of Western Regional Manager. In
this capacity he supervised 25 cable systems, serving
335.000 customers in five states, and was responsible for
building two new franchises with 54-channel service. He
resigned from Teleprompter in July, 1981 . He earned a BA
in Business Administration at the University of Southern
California, after serving three years with the United States
Marine Corps. He gained an M.B.A.at USC in 1972. Priorto
entering the cable television industry, he served six years
in various management positions at Hughes Aircraft . He is
a member of the USC-MBA Alumni Association and Gen
eral Alumni Association. He is a prior member of the Board
of the California Cable Television Association and serves
on the Board of Can Am, a cable construction company,
and CommuniCom.
Cable
More
One complaint that
Los Angeles and throughout
not get enough exposure by
Some feel that when th
the networks are required by 1
choose to provide minorities w
Universal Cable Systems
group of professionals is seek
pr ogr ,mming by establ i shing a
will be responsive to the nee
the South Central Los Ange
communities.
According to Board
communication's service will
Los Angeles and Wilmington/San
public resources.
One example of communi
community organizations to rna
production facilities, crew an
The use of cable communi
communities to examine the pro
Such organizations will be
in order to deal with such
housing, family life and drug

d '
b
I
In the area of educatio
cable channels that provide
service will provide new ave
students who reside within th
areas of South Central L.A. an I
There are over 670 sc
City of Los Angeles and those
boundaries will receive the
capacities of UCS cable commun
SYSTEM, LTD.
e s of the minority community in
c)untry share is that they do
t .!levision networks.
is exposure it's only because
not because they (networks)
the best they can offer.
(UCS) a multi-cultural
n3 to change this approach to
Ie communications service that
of individual subscribers from
and Wilmington/San Pedro
of UCS, the cable
viewers from South Central
tremendous variety of
y involvement is UCS allowing
e use of UCS's central core
talents.
service will enable those
and then fill the needs.
n:ouraged to use access channels
verse topics as employment,
see
1JCS will make available several
nschool broadcasting. This
u.s in a badly needed service to
boundaries of the franchise
Hlmington/San Pedro.
0 Is throughout 710 miles in the
clools located in the franchise
elefits provided by the multiple
c tions service. This service
can multiply the efforts enric l i g the learning environment for
young people who attend SC I O Is in the Los Angeles Unified
School District by providin ' Bilingual Education, G.E.D.,
Vocational Training, and Perso Growth Education.
lth and physical education feel
that a cable system such as U S can bring fitness education
into homes, pre-schools, gra e schools, for the handicapped,
convalescent and shut-ins. ical fitness programs can be
provided to company and cit employees; and eveq Geriatric
fitness programming for our enior citizens. Many health
groups feel they can reach
Persons concerned with
more people who are in need of
such activities.
A brief note, UCS will alsc offer significant employment
opportunities to residents the franchise areas including
and extensive job bank SY1t m, qualified applicants will be
drawn from the large populati n of Blacks, HispaniCS, Asians
and Handicapped persons.
There will be a wealtih of programs offered by UCS,
programs to be included are: I ive or delayed City Council
and/or and County ard meetings, optional to local
government, live daily U.S. C ngressional session coverage,
library programming, fire and police (closed or open citcuit)
programming, including training; consumer information, census
information on available commur Oty programs and services to the
handicapped, senior unemployed, AFDC recepients,
minorities and underemployed pe sons.
UCS has designed their Syl: em to provide viewers with the
widest range of programming today. UCS will provide
special language channels feat ring the most popular local
television shows (in their original languages) from homeland
nations for residents of the fr nchise areas.
Universal eable Systems, l td., is committed to providing
these communities with the fin t cable communications services
ever offered. UCS has und rtaken the task to ascertain the
characteristics and needs of t ese communities and has already
establiShed many of the cru fal links with community leaders
and institutions. The MultlO-Cultural Board Members which
comprise ues feel that this n going process will benefit the
community. Each of these be represent a significant
contribution to the over all 0 esiveness and resources of the
franchise areas. ues will be responsive to the needs and
requirements of the communitOes for South Central Los Angeles
and Wilmington/San Pedro.
The major factor in the devotion to community involvement
is not finances, but rather dedication and willingness of
UCS to invest creative in their endeavor. ues
management is committed tp local programming, community
envolvement, and community service as its highest priority. . . .
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PERSONNEL ES CRIPTIONS
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. UNIVERSAL CAB i SYSTEMS
9
LTD. ",:
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. UNIVERSAL CABLE SYSTEMS, LTD., is the en raT Partner ina CalifOrnia limited
partnersh ip by the name of Un i versa 1 C l,e, l.A. The- Limited Partnersh ip . is
the majority owner of the joint ventur k own as ' SOUTH CENTRAL C.A.T.V.
ASSOCIATES-. The principals of Univers 1 .Cable- Systems; Ltd. are all residents
of the Los Angeles area. Brief resumes and fdentificat10n of the key personnel
.,.
DR. CARL GALLOWAY, President, Director and Stockholder
(Los Ange1es, California)
Dr. Galloway is a resident of Los Angeles; married with two children. He is in
the private practice of Internal Medicin in Los Angeles. He serves as the
Assistant Medical Director of \,iewpark Conmunity Hospital in Los Angeles. He
graduated from Amherst College with a .A. degree in 1968 and the University of
Rochester School of Medicine and Dentistr, with an M.D. degree in 1972. He .
completed post graduate training at th U iversity of Maryland Hospital in
Baltimore, Maryland and Martin Luther Hospital in Los Angeles.
RICHARD CHAVEZ, Director and Stockholder
(West Covina, California)
Mr. Chavez is the Founder and Executiv Director of Chavez and Associates
Institute. The institute was developed t serve the physically handicapped,
economically and socially disadvantaged a d the unemployed and underemployed.
The primary function of the Institute is to provide each graduate with the
motivation, technical skills, and the inf rmation required to perform a varied
number of jobs within the Credit, Collection and Investigation Industries. ' The
documented placement rate of reflei S the quality of the training, the
ind i v i dua 1i zed approach, the job preparat,ion component and the fa 11 owup proce
dures. The expected student enrollment f r 1979-1980 is 500-600. Mr. Chavez
is the Federal Representative for the of California to the 1977 White
House Conference on the Handicapped. He is recipient of Mayor Bradley's Award
- Meritorius Service to the City of Los A geles.
CLINTON E. Treasurer, Director and Stockholder
(Los Angeles, California)
Mr. Galloway is a Certified Public Acco ntant licensed to practice in the State
of California. He is a graduate of Nor h rn Arizona University at Flagstaff
where in 1974 he received a B.S. of Accou tancy. In 1975, he joined the inter
national accounting firm of Coopers &L band, C.P.A.'s where he practiced
until 1978. He joined the investment ban ing firms of Dean Witter Reynolds.
and Smith Barney where he was a licensed ,investment broker special izing in the
areas of Tax Advantaged Investments. In ,addition to activities in many profes
sional and community organizations, Mr. Galloway is an active member of the
American Institute of Certified Public Accountants, the Los Angeles chapter of
the California Society of Certified Public Accountants and the National
Association of Black Accountants.
. ' , . ..... ..... .
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Ai WATSON, Director and Stockholder
(Los .. Ange 1 es,. Cali forn i a) .
, .... .,. .
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Mr. Watson enjoys the oi the owner of
beef processing company in the United As a self-educated man who came
to Los Angeles in 1943 and worked as a lsupervisor in a meat-packihg company.
Mr. Watson returned to school in 1946 moved from the seventh grade through
graduation of high school and later at lended Pepperdina University to complete
. his education. majoring in Busiess Administration. As the owner of a community
based business which has been successf i for more than 20 years, Mr. Watson
brings to Universal Cable, key knowled e of the franchise area and business
experience.
HAROLD H. HARRIS, Director and
(Los Angeles. California)
Mr. Harr is was educated at the Universlt Jf Colorado, . New York University and
received his B.A. from Brooklyn Colleg in 1957 i" the field of Journalism and
Business. He went on for advanced stu i s in Finance, advanced Business and
' Accounting and received an M.B.A. at t e University of Colorado in 1964. After
serving as a news reporter for the Den er Post, Mr. Harris applied his account
ing and business training as a ker and subsequently Operations Manager
and Manager for Lehman Brothers in New Y rk. Since 1971, he has served as an
independent investment advisor and sto k raker at Loeb, Rhoades and Company in
Beverly Hills. and at Paine. Webber, J ckson &Curtis as we1l as for Gallagher,
Gliksman, Boylan &Company. Mr. Harri rings to the company a wealth of back
ground in the financial area.
LUIS DAVID CORRALES, Director and
(Los Angeles, California)
Mr. Carrales is director of Chavez and A sociates Institute in the City of
Commerce, California. He also serves s Program Administrator and Instructor
of IIAdult and Vocational Education" an 'English as a Second Language". He is
a graduate of the University of Southe n California with a Bachelors Degree in
Music Education and Composition and wi h a .Masters Degree in Educational
Psychology and Special Education.
PERRY PARKS, Director and Stockholder
(Los Angeles, California)
Mr. Parks owns Parks International xp r and Management Company. From 1972
1978 he was a field representative for Y onne Braithwarte Burke, Congresswoman.
Parks sits on the board of eight differie t cOfT1l1unity organizations, and will be
responsible for community programming.
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_ CARL MARTINy Director and Stockholder
(Los Angeles, California)
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Mr. Martin holds an M.B.A. fran and a J.D. from Los Angeles College
of Law. He is currently executive direct r for the Los Angeles Human
Relations Commission, a position he has hel since 1968. His responsibilities
in that position include the development an implementation of human relations
programs _
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AOOITIOKAL CABLE P R ~ ~ I N . . ' " .
Los
(satell ite)
Trinity Broadcasting Network
Christian Broadcasting Network
People That Love Satellite Network
National Spanish Television Network
E.S.P.N. (Entertainment &Sports
Network)
C-SPAN (live congressional coverage)
Cinemerica Satellite Network
Nickelodeon
Cable News Network
las Vegas Entertainment Network
TV Guide - Cablevision Programs
Laca 1 Weather - News - Sports
Financ ; a 1 News (Stock Market News)
Madison Square Garden Sports
Call iope (childrens I programs)
The Black Entertainment Network
USA Network
The American Educational Television
Network
Modern Satellite Network
Satellite Program Network
Government Access Ch anne 1
Government Access Channel
Educational Access
eh anne 1
Educat i ana 1 Access
Channel
Educational Access
Channel
Local Origination
2
Char l otte. NC (satellite)
Hexi 0 City (satellite)
(sat 1 ite)
(sat 1 ite)
(Satt1 : i te)
(sat 1 ite)
(Sat bl l ite)
(rocl, )
(1oca1 )
(sa ell ite)
(sa ell ite)
(saJe lite)
(sa lE! lite)
)
( 10
(fo
a1 schoo 1s
11 eges)
(1 cal)
!'
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46.
. - 47.
48.
. 49.
50.
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52.
1>- 53.
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54.

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B.
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ADDITIONAL CABLE 'H ,' (CONTIlCUED)
Public Access/Golden Movies
Public Access/National Film 80ilrd
of Canada
lease Access/Award Winning Special!i
lease Access/Community Bulletin
Board/Airport Arrival
Information/
ColT1l1unity Classified
h
Programni ng
(local)
-
( local)
( local)
(local)
OPTIONAL CHANNE S (9):
TV Games & Computer Input '
(local)
Reuters Retrieval Services
Home Box Offi ce
Z Olannel
Premiere
Galavision
Shawt ime
The Movie Channel
Data Transmissions
Data Transmissions
Our own stereo music
(satellite)
(local)
(satell ite)
(satell ite)
(satell ite)
(satellite)
( loca1)
( local)
FM STEREO SE'RV ICES
station.
Clear reception of total FM stations.
Stereo sound for our Premium Char n 1.
'*'ComnuniCom reserves the right to program d( itiona1 premium satellite as they
become available.
3
FARRICK LTD.
May 7, 1982
Carl A. Galloway, M.D., President
Universal Cable System, Ltd.
5455 Wilshire Blvd., Suite 712
Los Angeles, California 90036
This letter will express my interest i
166S0 SCHOe:NBORN STRe:e:T
SEPULVEDA, CALIFORNIA 91343
TELE:PHONi:: (213) 893-7166
TELEX 651=
providing debt funding of
approximately twenty-four million ($24 0 "0,000) dollars for South Central
CATV Associates (SCCA) for the purpose 01' operation and construction of the
South Central Los Angeles franchise ar a
'
Farrick, Ltd. has the financial resour e, through family connections, to
provide the funds available to back ths venture as may be required on a
reasonable time basis. Documentation 0 provide this information may be
given if reasonably requested.
This letter does not represent a final 1 an committment. It is subject to
the following usual terms:
1. An award of the franchi s '0 SCCA.
2. Review and acceptance of tl e Management Company
by Farrickls legal and fn' ncial advisors.
3. Negotiation and acceptance of mutually agreeable
loan terms and interest
rates and terms of repayr e1t.
This letter is for the sole purpose of S'CA which may be used in support
of its application for a governmental e, iew. This letter shall not be
used by any institution, individual, or ther entity for any purpose what
soever. This letter is preliminary an lhall not be used for any final
presentation.
med A.
ident
Khashoggi
FARH1CK LTD.
= ===.:-= =__-=- - --=- -==--=--==
May 7, 1982

Carl A. Galloway, M.D., President
Universal Cable System, Ltd.
5455 Wilshire Blvd., Suite 712
Lo s Angeles, California 90036
Th i s 1etter wi 11 expres s my i nteres t 'j
approximately twenty-four million ($24
CATV Associates (SCCA) for the purpose
South Central Los Angeles franchise ar
Farrick, Ltd. has the financial resour
provide the funds available to back th
reasonable time basis. Documentation
given if reasonably requested .
This letter does not represent a final
the following usual terms:
1. An award of the
\ l;-,ci 5 0 SC riOEN B ORN
SEPULV EDA. C ALIFOR N IA 91343
1 E LE P ,..., O N C ( 2 13 1 893 -7 16 05
I E L<:X 6S'J22
roviding debt funding of
00,000) dollars for South Central
o
a
operation and construction of the
e , through family connections, to
s venture as may be required on a
0 provide this information may be
1 an committment. It is subject to
SCCA.
2. Review and acceptance of tle Management Company
by Farrick's legal and f'n ncial advisors .
. 3. Negotiation and acceptanpe of mutually agreeable
loan terms and condition including interest
rates and terms of repay e t.
This letter is for the sole purpose
re
or
This letter shall
entity for any
not
of S. CA which may be used in support .
of its application for a governmental not be
used by any institution, individual, purpose what
soever. This letter is preliminary and be used for any final
presentation.
FARRICK LTD.
May 7, 1982
Carl A. Galloway, M.D., President
Universal Cable System, Ltd.
5455 Wilshire Blvd., Suite 712
Los Angeles, California 90036
This letter will express my interest i
I G6 50 SC H O ENBO RN STREET
SEPULVEDA, CALIFORNIA 91343
TELEPHONE (21 3 )
lELEX 651j22
debt fund-ing of
approximately twenty-four million ($24
1
0 0,000) dollars for South Central
CATV Associates (SCCA) for the purpose 0 operation and construction of the
South Central Los Angeles franchise ar
, through family connections, to
provide the funds available to back th venture as may be required on a
reasonable time basis. Documentation
Farrick, Ltd. has the financial resour
o provide this information may be
given if reasonably requested.
This letter does not represent a final l(an committment. It is subject to
the following usual terms:
1. An a'tlard of the franchis ": 0 SCCA.
2. Review and acceptance of tl e Management Company
by Farrick's legal and f"n ncial advisors.
3. Negotiation and acceptance of mutually agreeable
loan terms and condition[1 Including interest
rates and terms of repay elt.
This letter is for the sole purpose of S CA which may be used in support .
of its application for a governmental This letter shall not be
used by any institution, individual, ther entity for any purpose what
soever. This letter is preliminary an -hall not be used for any final
presentation.
LTD.
I'Y;P /
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o med A.
iden
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... september 24, 1981
Chairman Chick ard
Board of Transportation Commissioners
Department of
City Hall . -
Los Angeles, California ' 90015'
Dear Chairman Chick anc COlllTtissioners:
Thank you once again for the
and we appreciate your
position is being taken by ourselves.
uth central franchise. It was and
support our bid proposal with Univer
ware that in our joint venture, 60%
Systems, Ltd. and 40% by ,ourselves.
h'j 11 ; ng' and able to saopprt th j
You should have alreay receive an.
enf!ing institution, The First 'Nat.:! onal ,
backing this project.
you have given us in the past
on this application.
51 ncerely,
.. .
v.). t
Glenn w. (Bill)
Chairman of The Board
GWN:mag
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