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We are currently in the due diligence period for certain acquisitions and dispositions. No assurance can be made that we will be able to complete the negotiations or become satisfied with the outcome of the due diligence. 

## Lease Commitments 

At December 31, 2004, we had long-term operating leases covering certain land, office facilities and equipment. Rental expense totaled $2.2 million in 2004, $2.0 million in 2003 and $1.9 million in 2002. Minimum annual rental commitments for the years ending December 31, 2005 through 2009 are $2.1 million, $1.8 million, $1.7 million, $1.2 million and $0.3 million, respectively, and $4.0 million in the aggregate thereafter. 

## Employment Agreements 

At December 31, 2004, we had employment agreements with six of our senior officers, the terms of which expire at various times through August 20, 2005. Such agreements provide for minimum salary levels, as well as, various incentive compensation arrangements, which are payable based on the attainment of specific goals. The agreements also provide for severance payments plus a gross-up payment if certain situations occur, such as termination without cause or a change of control. In the case of four of the agreements, the severance payment equals one times the respective current salary base in the case of termination without cause and 2.99 times the respective average annual compensation over the previous three fiscal years in the case of change of control. In the case of the other two agreements, the severance payment generally equals 2.99 times the respective average annual compensation over the previous three fiscal years in connection with, among other things, a termination without cause or a change of control, and the officer would be entitled to receive continuation and vesting of certain benefits in the case of such termination. 

## 17. QUARTERLY FINANCIAL DATA (UNAUDITED) 

Summarized quarterly financial data for the years ended December 31, 2004 and 2003 is as follows: 

<img src='content_image/120852.jpg'>

(a) Includes an $8,368, or $0.20 basic and diluted per share, impact related to the gain on sale of discontinued operations. 

