(3) Equity Investment in Savoy

3 Months Ended

Mar. 31, 2012

Equity Investment In Savoy

(3)           Equity Investment in Savoy

We own a 45% interest in Savoy Energy L.P., a private company engaged in the oil and gas business primarily in the State of Michigan. Savoy uses the successful efforts method of accounting.  We account for our interest using the equity method of accounting.

Below (in thousands) to the 100% are a condensed balance sheet at March 31, 2012 and a condensed statement of operations for the three months ended March 31, 2012 and 2011.

Condensed Balance Sheet

	2012
Current assets	$	18,421
Oil and gas properties, net		20,433
	$	38,854
Total liabilities	$	9,341
Partners' capital		29,513
	$	38,854

Condensed Statement of Operations

	2012			2011
Revenue	$	8,887		$	6,725
Expenses		(4,854	)		(3,540	)
Net income	$	4,033		$	3,185