Investors should determine whether the Company permits Board Members, management, and their family members to use Company assets for personal reasons.

Company assets are used to conduct Company business. If they are used by anybody for personal reasons, they are not available for investment in productive and income-generating activities. For Board Members, such use also creates conflicts of interest.

When reviewing this issue, investors should determine whether the Company:

• has an ethical code or policies and procedures that place strict limits on the ability of insiders to use Company assets for personal benefit;
• has lent cash or other resources to Board Members, management, or their families;
• has purchased property or other assets (such as houses or airplanes) for the personal use of Board Members, management, or their family members;
• has leased assets such as dwellings or transportation vehicles to Board Members, management, or their family members, and whether the terms of such contracts are appropriate given market conditions.