Avioneta Holdings, LLC Proforma Tax Treatment Statement of Income and Expense Year Ended December 31, 2012 Ordinary income/Expense Income Aircraft Revenue Business Use Revenue Private Use Revenue Total Revenue Total Income Expense Depreciation Expense Excise Tax accrued Fees Communications Fees Enroliment Fees Landing Fees Total Fees Insurance Expense Interest Expense Aircraft Financing Total Interest Expense Management Fees - Jet Aviation Business Use Personal Use Total Management Fees Postage & Shipping Professional Fees Legal Fees Trustee Fees Total Professional Fees Total Expense Net Ordinary Income Net Loss Note - The operation of the aircraft is considered a passive activity. (with 50% bonus depreciation) Dec 31, 12 2,210,100.00 6,801 480.92 9,011 ,580.92 9,011 ,580.92 14,914,845.00 675,868.57 44.00 136,319.00 85.00 136,448.00 44,190.00 610,511.51 610,511.51 2,210,100.00 2,114,516.66 4,324,616.66 163.81 06,659.82 11,095.00 317,754.82 21,024,398.37 -12,012,817.45 -12,012,817.45 (with regular 7 yr depreciation - w/o bonus Dec 31, 12 2,210,100.00 6,801,480.92 9,011,580.92 9,011,580.92 3,729,000.00 675,868.57 44.00 136,319.00 85.00 136,448.00 44,190.00 610,511.51 610,511.51 2,210,100.00 2,114,516.66 4,324,.616.66 163.81 306,659.62 11,095.00 317,754.82 9,838,553.37 -B26,972.45 826,972.45 Therefore, the loss is only deductible to the extent of passive income which does not include portfolio income such as cap gains, div and int. Page 1 of 1 EFTA00602797