Common use of Secondary Market Prices Clause in Contracts

Secondary Market Prices. Stanxxx xxxiewed the secondary market prices for units of limited partner interests in the partnerships during the seven months ended July 31, 1999, collected from data maintained on partnerships by Stanxxx. Xxanxxx xxxerved that secondary market transactions were reported for 24 of the partnerships during such period and the weighted average price of such units represents an average discount to the merger values for the partnerships of %. Stanxxx xxxised us that its data indicates that participants in the secondary market reported only one trade of five units on one partnership (Parkxx & Xarsxxx 00-B Conv. L.P.) at a price which exceeds the merger values. The merger value of such partnership is $158.61 and the reported trade of five units was at $171.00 per $1,000 investment. Stanxxx xxxised Pioneer USA that the secondary market is illiquid and that trading activity is sporadic and frequently takes place at substantial discounts to the underlying asset value. Selected Tender Offers. Stanxxx xxxerved that Pioneer USA reported unsolicited tender offers for three of the partnerships during the past two years. Stanxxx xxxerved that the tender offers and related merger values per limited partners interest were as follows: MERGER VALUE TENDER OFFER (PER $1,000 (PER $1,000 INVESTMENT) INVESTMENT) DISCOUNT TO MERGER VALUE ------------ ------------ ------------------------ PARKXX & XARSXXX 00-B................................... $ 96.42 $50.00 51.86% 87-B................................... 131.44 60.00 45.65 88-A................................... 170.38 80.00 46.95