From: Richard Kahn

From: Richard Kahn To: "Jeffrey E." <[email protected]> Subject: Pagano Diamond Appraisal Date: Thu, 02 Jul 2015 14:49:37 +0000 Attachments: Pagano_Diamond_Appraisal_-_4_Best_Stones.pdf; SHBRK_Scann15070210290.pdf Attached is report which shows that the retail replacement value of 4 best stones was 380,500. When i asked what wholesale pricing would be they said it varies but to be safe use a 20% discount which would be 304,400. I have attached appraisal along with list of 48 stones you purchased from Pagano. I feel comfortable that the 44 other stones (approx blended ave value of 8,000 per stone) still leaves us a with a value of more than 500,000 we paid for stones. I will individually name and insure four stones and others will be covered under your blanket coverage Richard Kahn HBRK Associates Inc. EFTA00852639