In an effort to help mitigate the effects of deteriorating business conditions, the independent members of the Board of Directors, after reviewing recommendations from the Compensation Committee, approved the following executive compensation reductions to be effective January 1, 2009:

• Base compensation will be reduced as follows:

                                          2008 Annual     2009 Annual
  Officer          Title                  Base Salary     Base Salary
  --------------------------------------------------------------------
  Robert Keller    President and CEO      $    300,000    $    270,000
  Terry Frandsen   VP Finance, CFO        $    187,000    $    159,300
  Robert Griffin   Chairman of Board      $     53,500    $     50,599

• 401 (k) matching contributions will be reduced by 75%

The independent members of the Board of Directors also approved a 10% reduction in director compensation effective January 1, 2009.