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Second Quarter 2006 Groundwater Monitoring Report Flag City New West#1003 6437 West Banner Street,Lodi,California Page 2 July 15, 2005 —Apex submitted a workplan titled, Workplan for Preliminary Site Assessment, proposing the installation of eight-soil borings July 15, 2005 — The SJCEH issued a letter to New West requiring a workplan addendum to define the lateral and vertical extent of the petroleum plume coming from the site utilizing monitoring wells July 22, 2005 — Apex submitted a workplan titled, Workplan for Preliminary Site Assessment (Monitoring Wells) Addendum, proposing four first zone wells and two second zone wells on and off site The SJCEH accepted the workplan in a letter dated July 27, 2005 August 1, 3, and 11, 2005 - Apex personnel supervised the installation of six groundwater monitoring wells (MW-1, MW-2, MW-3A, MW-3B, MW-4A and MW-4B) MTBE was detected in soil at wells MW-3A and MW-3B and MTBE was detected in groundwater at wells MWA, MW-3A, MW-3B and MW-413 Results are documented in the report Groundwater Monitoring Well Installations Results Report, dated September 22, 2005 September 16, 2005 —The SJCEH issued a letter requesting additional monitoring wells to define the lateral and vertical of the groundwater plume and the installation of an interim remediation system (Appendix A) October 2005 - Apex commenced sampling the two municipal drinking water wells located along De Broggi Road on a monthly basis October 17, 2005 - Apex submitted Workplan for Monitoring Well Installations and Interim Remedial Action, proposing extraction and monitoring well installations and a remediation system proposal The workplan was approved by the SJCEHD in a letter dated October 18, 2005 On October 27-28 and November 30, 2005, Apex personnel supervised the drilling, sampling and installation of five extraction wells (EW-1, EW-2, EW-3, EW-4, and EW-5) On November 9 through 11, 2005, Apex personnel supervised drilling, sampling and the installation of four offsite groundwater monitoring wells (MW-5A, MW-5B, MW-613, and MW- 6C) (Figure 2) November 9, 2005-Apex, New West, SJCEH, and the CVRWQCB had a meeting discussing the site and future work January 9, 2006-The SJCEHD issued a letter requiring clarity as to the owner and operator of the site for the clean up fund, stating additional sampling was needed for the NPDES permit, requiring Apex to conduct a pumping test, and to evaluate other remedial alternatives