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r Findings Recognized environmental conditions (RECs) are defined by the ASTM Standard Practice �- E1527-05 as the presence or likely presence of any hazardous substances or petroleum products on a property under conditions that indicate an existing release, a past release, or a material threat of a release of any hazardous substances or petroleum products into structures on the property or into the ground, groundwater, or surface water of the property. AEI's investigation has revealed the following recognized environmental conditions associated with the subject property or nearby properties: • No on-site recognized environmental conditions were identified during the course of this investigation. r Historical recognized environmental conditions (HRECs) are defined by the ASTM Standard Practice E1527-05 as an environmental condition which in the past would have been considered a recognized environmental condition, but which may or may not be considered a recognized environmental condition currently. AEI's investigation has revealed the following historical recognized environmental conditions associated with the subject property or nearby properties: • No on-site historical recognized environmental conditions were identified during the course of this investigation. r Environmental issues include environmental concerns identified by AEI that warrant discussion but do not qualify as recognized environmental conditions, as defined by the ASTM Standard Practice E1527-05. AEI's investigation has revealed the following environmental issues associated with the subject property or nearby properties: ` • A printing operation, McGregor Printing, was listed on the subject property circa 1986 to 1997. However, a file on record with the SJCEHD indicates that occupancy by McGregor Printing likely began in 1984. The former presence of a printing facility represents an ` Environmental Issue. Printing operations raise an initial environmental concern based on the historic use of solvents, metal-containing inks, and photo development chemicals employed during these activities. However, based on the findings of the Phase I ESA conducted for this property in 2004, it was concluded that only dry inks were used at this facility, as discussed in Section 3.2.1. As such, the former printing operations are not expected to pose a ` threat to onsite soils or groundwater. Based on this information and the relative short period of occupancy by McGregor Printing (13 years), no further action or investigation appears warranted at this time related to this former property use. r • The subject property was historically used for agricultural purposes. There is a potential that agricultural chemicals, such as pesticides, herbicides and fertilizers, were used onsite. The entire area of the subject property is either paved over or covered by improvements that make direct contact with any potential remaining concentrations in the soil unlikely. Furthermore, the subject property is developed and used for commercial/light industrial purposes and thus no further action related to the former agricultural use of the subject property is warranted at this time. If redevelopment of the subject property is planned for Phase I Environmental Site Assessment AE 1 Project No.274968 .. October 11,2007 Page ii