As of July 1, 2004, Republic Leasing, a subsidiary of NetBank, will become a division of NetBank and will have a new name and logo. We are telling you first before this announcement is made to industry associations and the public. The general announcement, which will appear in the next issue of The Monitor, is attached for your information.

What does this mean to you, our loyal customers?

It simply means that we will continue to be the same funding partner we have always been, just with a new name and with more capabilities!

On July 1, our website address will be ch an ged to netbankbusinessfinance.com an d emails to employees can be addressed to: firstinitiallastname@netbankbusinessfinance.com. The business address, as well as all phone an d fax numbers, will remain the same.

For those of you who use our document preparation software, Docsonline, access to it will be moved to netbankbusinessfinance.com. Please take the time to change your computers to this address on July 1. All sign-ons and passwords will remain the same. Please note that Docsonline will not be available from 2 PM on June 30 until 9 AM on July 1 (Eastern Time).

Documents with us listed as lessor prepared on or after July 1 will have to be prepared using NetBank Business Finance as the lessor. If you prepared documents on Docsonline prior to July 1, you will be able to correct or update using the Republic Leasing name, but that capability will soon be phased out.

We are excited to announce that we will now accept applications for app-only working capital loans between $15,000 and $50,000 for established businesses. We believe that this is a new product which should be very well accepted by your customers. Please call your credit analyst or marketing representative for more information.

All of us at NetBank Business Finance are very excited about our new name and the additional capabilities that the financial strength of NetBank makes available to us. Remember to think of NetBank Business Finance as your primary funding source for all transactions up to $1,000,000!

Working Capital Loans

NetBank Business Finance (“NetBank”) will offer to its approved broker/lessors, a program to transact business for working capital loans to businesses in the $15,000 to $50,000 range. The parameters of the program will be strictly adhered to and all requirements must be met.

All transactions will be documented on the NetBank Finance Agreement, and all transactions will be personally guaranteed by the owner(s). Proof of ownership must be verified and on-site verification that the business exists will be required. Both the primary and secondary (as defined by NetBank) credit bureau reports will be used to determine credit worthiness. Credit card debt in excess of $25,000 must be fully explained as part of the credit investigation and evidence of such may require additional information (additional tax returns, etc.). Dependent on the size of the transaction or when deemed necessary D&B reports will be ordered and reviewed.

A security deposit equal to one or two payments will be due at commencement, and ACH will be required on the remaining payments (with a $10 per month opt out fee if ACH is ever removed). Variable payment streams will not be accepted. Broker/lessor commissions will be capped at 10 points on all transactions.

The yield to NetBank for all transactions will be 9.75%.

All other st an dard credit criteria must be met along with the additional notable exceptions:

                              CBR                   Allowable Number      Bank
Amount       TIB       Score       Terms       Tax Returns*       Balance

$15,000 –
$24,999       4 yrs.       700       36 – 48 mos.       0 yrs.       Med 4

$25,000 –
$34,999       6 yrs.       715       36 - 60 mos.       1 yrs.       High 4

$35,000 –
$50,000**    8 yrs.       725       36 - 60 mos.       2 yrs.       Low 5

* Personal and business tax returns including all schedules.

** $50,000 is the maximum to be considered under this program. Tran sactions greater th an $50,000 will be considered subject to additional requirements an d with full financial statement disclosure.

The debtor will confirm in writing that the proceeds will be used for commercial purposes in the business. A blanket lien on the business will be executed in the name of NetBank. A documentation fee of $125 will be required for all transactions.