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. NANCIAL TITLE COMPANY PRELIMINARY REPORT First American Title Company Attn: Lisa Blasquez 1610 Arden Way#190 Sacramento, CA 95815 Order Number: 42403506-802-MJP Property Address: Other Reference: 1481 Manilla Road Buyer/Borrower: Lathrop, CA 95330 Richland Communities, Inc. In response to the above referenced application for a policy of title insurance,this Company reports that it is prepared to issue,or cause to be issued, as of the date hereof, a Policy or Policies of Title Insurance describing the land and the estate or interest therein hereinafter set forth,insuring against loss which may be sustained by reason of any defect, lien or encumbrance not shown or referred to as an Exception herein or not excluded from coverage pursuant to the printed Schedules, Conditions and Stipulations of said Policy forms. The printed Exceptions and Exclusions from the coverage of said Policy or Policies are set forth in Exhibit A attached. Please read the exceptions shown or referred to below and the Exceptions and Exclusions set forth in Exhibit A of this report carefully. The exceptions and exclusions are meant to provide you with notice of matters which are not covered under the terms of the title insurance policy and should be carefully considered. It is important to note that this preliminary report is not a written representation as to the condition of title and may not list all liens,defects, and encumbrances affecting title to the land. This report (and any supplements hereto) is issued solely for the purpose of facilitating the issuance of a policy of title insurance and no liability is assumed hereby. If it is desired that liability be assumed prior to the issuance of a policy of title insurance,a Binder or Commitment should be requested. The form of policy of title insurance contemplated by this report is: CLTA Owner's, ALTA Lender's Dated as of May 22, 2003 at 7:30 a.m. The estate or interest in the land hereinafter described or referred to covered by this Report is: A Fee Title to said estate or interest at the date hereof is vested in: LARRY K. MATLOCK AND L. COLENE MATLOCK, HUSBAND AND WIFE AS JOINT TENANTS