##### 









UNITED STATES SECURITIES AND EXCHANGE
COMMISSION

Washington, D.C. 20549


Form 10-Q

|           |  |                                                                                              
|---------- |  | ---------------------------------------------------------------------------------------------
|(Mark One) |  |                                                                                              
|þ          |  | QUARTERLY REPORT PURSUANT TO SECTION 13 or
    15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. 
|          
|           |  | For the quarterly period ended
    December 31, 2003                                         
|          
|or        
|          
|o          |  | TRANSITION REPORT PURSUANT TO SECTION 13 or
    15(d) OF THE SECURITIES EXCHANGE ACT OF 1934.
|          
|           |  | For the transition period
    from           to                                              

|            |         |                                    |  |                                                                                                                                          |  |  |            | 
|----------- | ------- | ---------------------------------- |  | ---------------------------------------------------------------------------------------------------------------------------------------- |  |  | ---------- | 
|Commission  |         | Registrant, State of Incorporation |  | I.R.S. Employer                                                                                                                         
|File Number |         | Address and Telephone Number       |  | Identification No.                                                                                                                      
|            |         |                                    |  |                                                                                                                                         
|            | 1-11255 |                                    |  | AMERCO
    (A Nevada Corporation)
    1325 Airmotive Way, Ste. 100
    Reno, Nevada 89502-3239
    Telephone (775) 688-6300              |  |  | 88-0106815 | 
|            | 2-38498 |                                    |  | U-Haul International, Inc.
    (A Nevada Corporation)
    2727 N. Central Avenue
    Phoenix, Arizona 85004
    Telephone (602) 263-6645 |  |  | 86-0663060 | 

Indicate
by check mark whether the registrant: (1) has filed all
reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding
12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been
subject to such filing requirements for the past
90 days.     Yes þ          No o

Indicate by check
mark whether the registrant is an accelerated filer (as defined
in Rule 12b-2 of the Exchange
Act).     Yes þ          No o

Indicate by
check mark whether the registrant has filed all documents and
reports required to be filed by Section 12, 13, or 15(d) of
the Securities Exchange Act of 1934 subsequent to the
distribution of securities under a plan confirmed by a
court.     Yes þ          No o

20,625,766
shares of AMERCO Common Stock, $0.25 par value were outstanding
at February 13, 2004.

5,385
shares of U-Haul International, Inc. Common Stock, $0.01 par
value, were outstanding at February 13, 2004.



---






---



##### 



TABLE OF CONTENTS

PART I FINANCIAL INFORMATION

|                          |  |                                                                                           |  |                                                                                                                                    |    |  |   | 
|------------------------- |  | ----------------------------------------------------------------------------------------- |  | ---------------------------------------------------------------------------------------------------------------------------------- | -- |  | - | 
|Item 1.                   |  | Financial Statements                                                                      |  |                                                                                                                                    |    | 
|                          |  | a)                                                                                        |  | Condensed Consolidated Balance Sheets as of
    December 31, 2003 (unaudited) and March 31, 2003                                   |    |  | 2 | 
|                          |  | b)                                                                                        |  | Condensed Consolidated Statements of Operations
    for the Quarters ended December 31, 2003 and 2002
    (unaudited)              |    |  | 3 | 
|                          |  | c)                                                                                        |  | Condensed Consolidated Statements of Operations
    for the Nine months ended December 31, 2003 and 2002
    (unaudited)           |    |  | 4 | 
|                          |  | d)                                                                                        |  | Condensed Consolidated Statements of
    Comprehensive Income for the Quarters ended December 31,
    2003 and 2002 (unaudited)    |    |  | 5 | 
|                          |  | e)                                                                                        |  | Condensed Consolidated Statements of
    Comprehensive Income for the Nine months ended December 31,
    2003 and 2002 (unaudited) |    |  | 6 | 
|                          |  | f)                                                                                        |  | Condensed Consolidated Statements of Cash Flows
    for the Nine months ended December 31, 2003 and 2002
    (unaudited)           |    |  | 7 | 
|                          |  | g)                                                                                        |  | Notes to Condensed Consolidated Financial
    Statements                                                                           |    |  | 8 | 
|Item 2.                   |  | Managements Discussion and Analysis of
    Financial Condition and Results of Operations |  |                                                                                                                                    | 28 | 
|Item 3.                   |  | Quantitative and Qualitative Disclosures About
    Market Risk                            |  |                                                                                                                                    | 45 | 
|Item 4.                   |  | Controls and Procedures                                                                   |  |                                                                                                                                    | 45 | 
|PART II OTHER INFORMATION
|Item 1.                   |  | Legal Proceedings                                                                         |  |                                                                                                                                    | 45 | 
|Item 2                    |  | Not applicable                                                                            |  |                                                                                                                                    |    | 
|Item 3.                   |  | Defaults Upon Senior Securities                                                           |  |                                                                                                                                    | 46 | 
|Item 4.                   |  | Submission of Matters to a Vote of Security
    Holders                                   |  |                                                                                                                                    | 47 | 
|Item 5                    |  | Other Information                                                                         |  |                                                                                                                                    | 47 | 
|Item 6.                   |  | Exhibits and Reports on Form 8-K                                                          |  |                                                                                                                                    | 48 | 

1



---



##### 



PART I. FINANCIAL INFORMATION



|        |                     
|------- | --------------------
|Item 1. | Financial Statements

AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


CONDENSED CONSOLIDATED BALANCE
SHEETS

|                                                                 |                                                                  |                          |           |           |   |   |           |           |   | 
|---------------------------------------------------------------- | ---------------------------------------------------------------- | ------------------------ | --------- | --------- | - | - | --------- | --------- | - | 
|                                                                 |                                                                  | December 31,             |           | March 31,
|                                                                 |                                                                  | 2003                     |           | 2003     
|                                                                 |                                                                  |                          |           |          
|                                                                 |                                                                  | (Unaudited)              |           |          
|                                                                 |                                                                  |                         
|                                                                 |                                                                  | (In thousands)          
|ASSETS                                                          
|Assets:                                                          |                                                                  |                          |           |           |   |   |           |          
|Cash and cash equivalents                                        |                                                                  | $                        | 136,866   |           |   | $ | 66,834    |          
|Trade receivables, net                                           |                                                                  |                          | 239,378   |           |   |   | 255,796   |          
|Notes and mortgage receivables, net                              |                                                                  |                          | 17,129    |           |   |   | 10,809    |          
|Inventories, net                                                 |                                                                  |                          | 55,230    |           |   |   | 53,270    |          
|Prepaid expenses                                                 |                                                                  |                          | 17,487    |           |   |   | 21,846    |          
|Investments, fixed maturities                                    |                                                                  |                          | 763,673   |           |   |   | 860,600   |          
|Investments, other                                               |                                                                  |                          | 474,978   |           |   |   | 389,252   |          
|Deferred policy acquisition costs, net                           |                                                                  |                          | 86,603    |           |   |   | 105,100   |          
|Deferred income taxes                                            |                                                                  |                          |          |           |   |   | 32,242    |          
|Other assets                                                     |                                                                  |                          | 98,430    |           |   |   | 63,600    |          
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|                                                                 |                                                                  |                          | 1,889,774 |           |   |   | 1,859,349 |          
|Property, plant, and equipment, at cost:                         |                                                                  |                          |           |           |   |   |           |          
|                                                                 | Land                                                             |                          |           | 159,508   |   |   |           | 157,987   |  
|                                                                 | Buildings and improvements                                       |                          |           | 751,877   |   |   |           | 747,853   |  
|                                                                 | Furniture and equipment                                          |                          |           | 293,173   |   |   |           | 291,383   |  
|                                                                 | Rental trailers and other rental equipment                       |                          |           | 156,237   |   |   |           | 149,707   |  
|                                                                 | Rental trucks                                                    |                          |           | 1,208,303 |   |   |           | 1,140,294 |  
|                                                                 | SAC Holdings  Property, plant and
    equipment(1)              |                          |           | 733,215   |   |   |           | 757,292   |  
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|                                                                 |                                                                  |                          | 3,302,313 |           |   |   | 3,244,516 |          
|Less: Accumulated depreciation                                   |                                                                  |                          | 1,385,632 |           |   |   | 1,298,199 |          
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|                                                                 | Total property, plant and equipment                              |                          |           | 1,916,681 |   |   |           | 1,946,317 |  
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|                                                                 | Total Assets                                                     |                          | $         | 3,806,455 |   |   | $         | 3,805,666 |  
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|LIABILITIES AND STOCKHOLDERS
    EQUITY                        
|Liabilities:                                                     |                                                                  |                          |           |           |   |   |           |          
|                                                                 | Payables and accrued expenses                                    |                          | $         | 359,186   |   |   | $         | 387,017   |  
|                                                                 | AMERCOs notes and loans payable                                 |                          |           | 85,380    |   |   |           | 954,856   |  
|                                                                 | SAC Holdings notes and loans payable                            |                          |           | 586,558   |   |   |           | 589,019   |  
|                                                                 | Policy benefits and losses, claims and loss
    expenses payable |                          |           | 836,221   |   |   |           | 836,632   |  
|                                                                 | Liabilities from investment contracts                            |                          |           | 603,992   |   |   |           | 639,998   |  
|                                                                 | Other policyholders funds and liabilities                       |                          |           | 45,523    |   |   |           | 30,309    |  
|                                                                 | Deferred income                                                  |                          |           | 11,042    |   |   |           | 40,387    |  
|                                                                 | Deferred income taxes                                            |                          |           | 1,345     |   |   |           |          |  
|                                                                 | Liabilities subject to compromise                                |                          |           | 875,372   |   |   |           |          |  
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|Total Liabilities                                                |                                                                  |                          | 3,404,619 |           |   |   | 3,478,218 |          
|Stockholders equity:                                            |                                                                  |                          |           |           |   |   |           |          
|Series preferred stock:                                          |                                                                  |                          |           |           |   |   |           |          
|                                                                 |                                                                  | Series A preferred stock |           |           |  |   |           |           |  | 
|                                                                 |                                                                  | Series B preferred stock |           |           |  |   |           |           |  | 
|Series A common stock                                            |                                                                  |                          | 1,441     |           |   |   | 1,441     |          
|Common stock                                                     |                                                                  |                          | 9,122     |           |   |   | 9,122     |          
|Additional paid in-capital                                       |                                                                  |                          | 235,784   |           |   |   | 235,784   |          
|Additional paid-in-capital  SAC                                 |                                                                  |                          | 3,199     |           |   |   | 3,199     |          
|Accumulated other comprehensive (loss)                           |                                                                  |                          | (25,801   | )         |   |   | (54,278   | )        
|Accumulated other comprehensive
    income/(loss)  SAC Holdings |                                                                  |                          | 3,598     |           |   |   | (1,487    | )        
|Retained earnings, AMERCO                                        |                                                                  |                          | 658,054   |           |   |   | 611,872   |          
|Retained earnings, SAC                                           |                                                                  |                          | (49,461   | )         |   |   | (43,650   | )        
|Cost of common shares in treasury, net                           |                                                                  |                          | (421,378  | )         |   |   | (421,378  | )        
|Unearned ESOP shares                                             |                                                                  |                          | (12,722   | )         |   |   | (13,177   | )        
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|Total stockholders equity                                       |                                                                  |                          | 401,836   |           |   |   | 327,448   |          
|                                                                 |                                                                  |                          |           |           |   |   |           |          
|Total Liabilities and Stockholders Equity                       |                                                                  | $                        | 3,806,455 |           |   | $ | 3,805,666 |          
|                                                                 |                                                                  |                          |           |           |   |   |           |          



---



|    |                                                                                                                                                                                                                                                    
|--- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | SAC Holdings property, plant and equipment
    totaled $991.5 million and $1,015.5 million before
    eliminations, inter-company eliminations were
    $258.2 million and $258.2 million at December 31,
    2003 and March 31, 2003 respectively.

The accompanying notes are an integral part of
these consolidated financial statements.

2



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES




CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS


|                                                                  |                                            |                                   |            |              |         |   |            |         |         | 
|----------------------------------------------------------------- | ------------------------------------------ | --------------------------------- | ---------- | ------------ | ------- | - | ---------- | ------- | ------- | 
|                                                                  |                                            |                                  
|                                                                  |                                            | Quarter Ended                    
|                                                                  |                                            |                                  
|                                                                  |                                            | December 31,                      |            | December 31,
|                                                                  |                                            | 2003                              |            | 2002        
|                                                                  |                                            |                                   |            |             
|                                                                  |                                            |                                   |            | (Restated)  
|                                                                  |                                            |                                  
|                                                                  |                                            | (In thousands, except share data)
|                                                                  |                                            |                                  
|                                                                  |                                            | (Unaudited)                      
|Revenues:                                                         |                                            |                                   |            |              |         |   |            |        
|                                                                  | Rental Revenue                             |                                   | $          | 386,497      |         |   | $          | 335,760 |        
|                                                                  | Net sales                                  |                                   |            | 47,171       |         |   |            | 45,074  |        
|                                                                  | Premiums                                   |                                   |            | 56,088       |         |   |            | 80,115  |        
|                                                                  | Net investment and interest income         |                                   |            | 12,827       |         |   |            | 6,274   |        
|                                                                  |                                            |                                   |            |              |         |   |            |        
|                                                                  |                                            | Total revenues                    |            |              | 502,583 |   |            |         | 467,223 | 
|Costs and expenses:                                               |                                            |                                   |            |              |         |   |            |        
|                                                                  | Operating expenses                         |                                   |            | 311,979      |         |   |            | 286,758 |        
|                                                                  | Commission expenses                        |                                   |            | 31,136       |         |   |            | 32,224  |        
|                                                                  | Cost of sales                              |                                   |            | 23,907       |         |   |            | 22,422  |        
|                                                                  | Benefits and losses                        |                                   |            | 50,956       |         |   |            | 59,709  |        
|                                                                  | Amortization of deferred acquisition costs |                                   |            | 11,027       |         |   |            | 6,253   |        
|                                                                  | Lease expense                              |                                   |            | 36,214       |         |   |            | 33,265  |        
|                                                                  | Depreciation, net                          |                                   |            | 38,394       |         |   |            | 33,314  |        
|                                                                  |                                            |                                   |            |              |         |   |            |        
|                                                                  |                                            | Total costs and expenses          |            |              | 503,613 |   |            |         | 473,945 | 
|                                                                  |                                            |                                   |            |              |         |   |            |        
|Loss from operations                                              |                                            |                                   | (1,030     | )            |         |   | (6,722     | )      
|                                                                  | Interest Expense                           |                                   |            | 31,168       |         |   |            | 31,419  |        
|                                                                  | Fees on early extinguishment of BBATs     |                                   |            |             |         |   |            | 26,551  |        
|                                                                  |                                            |                                   |            |              |         |   |            |        
|Pretax loss                                                       |                                            |                                   | (32,198    | )            |         |   | (64,692    | )      
|                                                                  | Income tax benefit                         |                                   |            | 10,531       |         |   |            | 18,909  |        
|                                                                  |                                            |                                   |            |              |         |   |            |        
|                                                                  | Net loss                                   |                                   |            | (21,667      | )       |   |            | (45,783 | )      
|                                                                  |                                            |                                   |            |              |         |   |            |        
|Less: Preferred stock dividends                                   |                                            |                                   | 3,241      |              |         |   | 3,241      |        
|                                                                  |                                            |                                   |            |              |         |   |            |        
|Earnings/(loss) available to common shareholders                  |                                            | $                                 | (24,908    | )            |         | $ | (49,024    | )      
|                                                                  |                                            |                                   |            |              |         |   |            |        
|Basic and diluted loss per common share                           |                                            | $                                 | (1.24      | )            |         | $ | (2.45      | )*     
|                                                                  |                                            |                                   |            |              |         |   |            |        
|Weighted average common shares outstanding: Basic
    and diluted |                                            |                                   | 20,099,875 |              |         |   | 20,022,629 | *      
|                                                                  |                                            |                                   |            |              |         |   |            |        



---



|  |                                                                                                        
|- | -------------------------------------------------------------------------------------------------------
|* | 2002 amounts revised to reflect the corrected
    number of weighted average common shares outstanding.

The accompanying notes are an integral part of
these consolidated financial statements.

3



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES




CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS


|                                                                  |                                            |                                   |            |              |           |   |            |           |           | 
|----------------------------------------------------------------- | ------------------------------------------ | --------------------------------- | ---------- | ------------ | --------- | - | ---------- | --------- | --------- | 
|                                                                  |                                            |                                  
|                                                                  |                                            | Nine Months Ended                
|                                                                  |                                            |                                  
|                                                                  |                                            | December 31,                      |            | December 31,
|                                                                  |                                            | 2003                              |            | 2002        
|                                                                  |                                            |                                   |            |             
|                                                                  |                                            |                                   |            | (Restated)  
|                                                                  |                                            |                                  
|                                                                  |                                            | (In thousands, except share data)
|                                                                  |                                            |                                  
|                                                                  |                                            | (Unaudited)                      
|Revenues:                                                         |                                            |                                   |            |              |           |   |            |          
|                                                                  | Rental revenue                             |                                   | $          | 1,304,470    |           |   | $          | 1,233,043 |          
|                                                                  | Net sales                                  |                                   |            | 182,048      |           |   |            | 175,709   |          
|                                                                  | Premiums                                   |                                   |            | 188,024      |           |   |            | 243,131   |          
|                                                                  | Net investment and interest income         |                                   |            | 35,614       |           |   |            | 31,508    |          
|                                                                  |                                            |                                   |            |              |           |   |            |          
|                                                                  |                                            | Total revenues                    |            |              | 1,710,156 |   |            |           | 1,683,391 | 
|Costs and expenses:                                               |                                            |                                   |            |              |           |   |            |          
|                                                                  | Operating expenses                         |                                   |            | 909,380      |           |   |            | 900,655   |          
|                                                                  | Commission expenses                        |                                   |            | 116,132      |           |   |            | 122,441   |          
|                                                                  | Cost of sales                              |                                   |            | 87,023       |           |   |            | 87,484    |          
|                                                                  | Benefits and losses                        |                                   |            | 169,801      |           |   |            | 200,142   |          
|                                                                  | Amortization of deferred acquisition costs |                                   |            | 28,886       |           |   |            | 27,895    |          
|                                                                  | Lease expense                              |                                   |            | 112,058      |           |   |            | 122,628   |          
|                                                                  | Depreciation, net                          |                                   |            | 113,356      |           |   |            | 102,402   |          
|                                                                  |                                            |                                   |            |              |           |   |            |          
|                                                                  |                                            | Total costs and expenses          |            |              | 1,536,636 |   |            |           | 1,563,647 | 
|                                                                  |                                            |                                   |            |              |           |   |            |          
|Earnings from operations                                          |                                            |                                   | 173,520    |              |           |   | 119,744    |          
|                                                                  | Interest Expense                           |                                   |            | 92,839       |           |   |            | 86,306    |          
|                                                                  | Fees on early termination of BBATs        |                                   |            |             |           |   |            | 26,551    |          
|                                                                  |                                            |                                   |            |              |           |   |            |          
|Pretax earnings                                                   |                                            |                                   | 80,681     |              |           |   | 6,887      |          
|                                                                  | Income tax expense                         |                                   |            | 30,587       |           |   |            | 6,763     |          
|                                                                  |                                            |                                   |            |              |           |   |            |          
|                                                                  | Net earnings                               |                                   |            | 50,094       |           |   |            | 124       |          
|                                                                  |                                            |                                   |            |              |           |   |            |          
|Less: Preferred stock dividends                                   |                                            |                                   | 9,723      |              |           |   | 9,723      |          
|                                                                  |                                            |                                   |            |              |           |   |            |          
|Earnings/(loss) available to common shareholders                  |                                            | $                                 | 40,371     |              |           | $ | (9,599     | )        
|                                                                  |                                            |                                   |            |              |           |   |            |          
|Basic and diluted earnings/(loss) per common share                |                                            | $                                 | 2.01       |              |           | $ | (0.48      | )*       
|                                                                  |                                            |                                   |            |              |           |   |            |          
|Weighted average common shares outstanding: Basic
    and diluted |                                            |                                   | 20,082,632 |              |           |   | 20,005,502 | *        
|                                                                  |                                            |                                   |            |              |           |   |            |          



---



|  |                                                                                                        
|- | -------------------------------------------------------------------------------------------------------
|* | 2002 amounts revised to reflect the corrected
    number of weighted average common shares outstanding.

The accompanying notes are an integral part of
these consolidated financial statements.

4



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES




CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME


|                      |                     |                                        |   |              |         |   |   |         |         |  
|--------------------- | ------------------- | -------------------------------------- | - | ------------ | ------- | - | - | ------- | ------- | -
|                      |                     |                                       
|                      |                     | Quarter Ended                         
|                      |                     |                                       
|                      |                     | December 31,                           |   | December 31,
|                      |                     | 2003                                   |   | 2002        
|                      |                     |                                        |   |             
|                      |                     |                                        |   | (Restated)  
|                      |                     |                                       
|                      |                     | (In thousands)                        
|                      |                     |                                       
|                      |                     | (Unaudited)                           
|Comprehensive income: |                     |                                        |   |              |         |   |   |        
|                      | Net earnings/(loss) |                                        | $ | (21,667      | )       |   | $ | (45,783 | )      
|                      |                     | Changes in other comprehensive income: |   |              |         |   |   |         |         |  
|                      |                     | Foreign currency translation           |   |              | 9,700   |   |   |         | (970    | )
|                      |                     | Unrealized gain/(loss) on investments  |   |              | (3,373  | ) |   |         | 18,696  |  
|                      |                     |                                        |   |              |         |   |   |        
|                      |                     | Total comprehensive income/(loss)      |   | $            | (15,340 | ) |   | $       | (28,057 | )
|                      |                     |                                        |   |              |         |   |   |        

The accompanying notes are an integral part of
these consolidated financial statements.

5



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES




CONDENSED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME


|                      |              |                                        |   |              |        |  |   |     |        |  
|--------------------- | ------------ | -------------------------------------- | - | ------------ | ------ |  | - | --- | ------ | -
|                      |              |                                       
|                      |              | Nine Months Ended                     
|                      |              |                                       
|                      |              | December 31,                           |   | December 31,
|                      |              | 2003                                   |   | 2002        
|                      |              |                                        |   |             
|                      |              |                                        |   | (Restated)  
|                      |              |                                       
|                      |              | (In thousands)                        
|                      |              |                                       
|                      |              | (Unaudited)                           
|Comprehensive income: |              |                                        |   |              |        |  |   |    
|                      | Net earnings |                                        | $ | 50,094       |        |  | $ | 124 |       
|                      |              | Changes in other comprehensive income: |   |              |        |  |   |     |        |  
|                      |              | Foreign currency translation           |   |              | 11,074 |  |   |     | (3,647 | )
|                      |              | Unrealized gain on investments         |   |              | 22,488 |  |   |     | 13,675 |  
|                      |              |                                        |   |              |        |  |   |    
|                      |              | Total comprehensive income/(loss)      |   | $            | 83,656 |  |   | $   | 10,152 |  
|                      |              |                                        |   |              |        |  |   |    

The accompanying notes are an integral part of
these consolidated financial statements.

6



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES




CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS


|                                                         |                                         |                               |         |            |          |   |          |          |          |  
|-------------------------------------------------------- | --------------------------------------- | ----------------------------- | ------- | ---------- | -------- | - | -------- | -------- | -------- | -
|                                                         |                                         |                              
|                                                         |                                         | Nine Months Ended            
|                                                         |                                         | December 31,                 
|                                                         |                                         |                              
|                                                         |                                         | 2003                          |         | 2002      
|                                                         |                                         |                               |         |           
|                                                         |                                         |                               |         | (Restated)
|                                                         |                                         |                              
|                                                         |                                         | (In thousands)               
|                                                         |                                         |                              
|                                                         |                                         | (Unaudited)                  
|Net cash provided by operating activities                |                                         | $                             | 151,201 |            |          | $ | 147,742  |         
|Cash flows from investing activities:                    |                                         |                               |         |            |          |   |          |         
|                                                         | Purchases of investments:               |                               |         |            |          |   |          |          |         
|                                                         |                                         | Property, plant and equipment |         |            | (147,344 | ) |          |          | (196,252 | )
|                                                         |                                         | Fixed maturities              |         |            | (50,662  | ) |          |          | (248,121 | )
|                                                         |                                         | Other asset investments       |         |            | (78,142  | ) |          |          | (52,988  | )
|                                                         | Proceeds from sale of investments:      |                               |         |            |          |   |          |          |         
|                                                         |                                         | Property, plant and equipment |         |            | 30,470   |   |          |          | 74,262   |  
|                                                         |                                         | Fixed maturities              |         |            | 171,405  |   |          |          | 291,328  |  
|                                                         |                                         | Other asset investments       |         |            | 28,737   |   |          |          | 6,144    |  
|                                                         |                                         |                               |         |            |          |   |          |         
|Net cash used by investing activities                    |                                         |                               | (45,536 | )          |          |   | (125,627 | )       
|Cash flows from financing activities:                    |                                         |                               |         |            |          |   |          |         
|                                                         | Net change in short-term borrowings     |                               |         | 5,649      |          |   |          |         |         
|                                                         | Proceeds from notes                     |                               |         | 50,000     |          |   |          | 130,981  |         
|                                                         | Leverage Employee Stock Ownership Plan: |                               |         |            |          |   |          |          |         
|                                                         |                                         | Purchase of shares            |         |            |         |   |          |          |         |  
|                                                         |                                         | Repayments from loan          |         |            | 455      |   |          |          | 975      |  
|                                                         | Principal payments on notes             |                               |         | (55,716    | )        |   |          | (205,364 | )       
|                                                         | Preferred stock dividends paid          |                               |         |           |          |   |          | (6,482   | )       
|                                                         | Treasury stock acquisitions, net        |                               |         |           |          |   |          | (1,407   | )       
|                                                         | Investment contract deposits            |                               |         | 43,020     |          |   |          | 137,488  |         
|                                                         | Investment contract withdrawals         |                               |         | (79,041    | )        |   |          | (74,047  | )       
|                                                         |                                         |                               |         |            |          |   |          |         
|Net cash used by financing activities                    |                                         |                               | (35,633 | )          |          |   | (17,856  | )       
|                                                         |                                         |                               |         |            |          |   |          |         
|Increase in cash equivalents                             |                                         |                               | 70,032  |            |          |   | 4,259    |         
|Cash and cash equivalents at the beginning of
    period |                                         |                               | 66,834  |            |          |   | 47,651   |         
|                                                         |                                         |                               |         |            |          |   |          |         
|Cash and cash equivalents at the end of period           |                                         | $                             | 136,866 |            |          | $ | 51,910   |         
|                                                         |                                         |                               |         |            |          |   |          |         

The accompanying notes are an integral part of
these consolidated financial statements.

7



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##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES




NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS


December 31, 2003, December 31, 2002
and March 31, 2003


(Unaudited)




|   |                                                        
|-- | -------------------------------------------------------
|1. | Proceedings under Chapter 11 of the
    Bankruptcy Code

On June 20, 2003, AMERCO (the
Debtor) filed a petition for relief under
Chapter 11 of the federal bankruptcy laws in the United
States Bankruptcy Court for the District of Nevada. On
August 13, 2003, the companys wholly owned
subsidiary, Amerco Real Estate Company, filed a petition for
relief under Chapter 11 of the federal bankruptcy laws in
the United States Bankruptcy Court for the District of Nevada.
Under Chapter 11, certain claims against the Debtor in
existence prior to the filing of the petition for relief under
the federal bankruptcy laws are stayed while the Debtor
continues business operations as debtor-in-possession. These
claims are reflected in the December 31, 2003, balance
sheet as liabilities subject to compromise.
Additional claims (liabilities subject to compromise) may arise
subsequent to the filing date resulting from rejection of
executory contracts, including leases, and from the
determination by the court (or agreed to by parties in interest)
of allowed claims for contingencies and other disputed amounts.
Claims secured against the Debtors assets (secured
claims) also are stayed, although the holders of such
claims have the right to move the court for relief from the
stay. Secured claims are secured primarily by liens of the
Debtors property, plant and equipment.

On October 6, 2003, AMERCO filed its Plan of
Reorganization and Disclosure Statement with the Bankruptcy
Court. On November 26, 2003, AMERCO filed an Amended Plan
of Reorganization (the Plan). On December 12,
2003, the Bankruptcy Court approved AMERCOs Disclosure
Statement. On February 2, 2004, the Bankruptcy Court
confirmed the Plan contingent upon completion of documentation
and agreements acceptable to the involved parties and the
submission of proposed findings of fact and conclusions of law
and a confirmation order acceptable to all involved parties.
AMERCO expects that by fiscal year end (i) it will satisfy
the above contingencies and (ii) the Bankruptcy Court will
execute a confirmation order. The confirmation order will become
final if it is not appealed within ten days after entry and
AMERCO intends to proceed to implement the Plan and emerge from
bankruptcy as soon as possible thereafter.

2.     Organization
and Principles of Consolidation



| |             
| | ------------
| | Organization

AMERCO, a Nevada corporation
(AMERCO), is the holding company for U-Haul
International, Inc. (U-Haul), Amerco Real Estate
Company (Real Estate), Republic Western Insurance
Company (RepWest) and Oxford Life Insurance Company
(Oxford). Throughout this Form 10-Q, unless the
context otherwise requires, the term Company refers
to AMERCO and all of its legal subsidiaries. The Company has
four industry segments represented by Moving and Storage
Operations (U-Haul), Real Estate, Property and Casualty
Insurance (RepWest) and Life Insurance (Oxford).

SAC Holding Corporation and SAC Holding
Corporation II, Nevada corporations (collectively,
SAC Holdings), are the holding companies for several
individual corporations that own self-storage properties managed
by AMERCO subsidiaries in the ordinary course of business.
Mark V. Shoen, a significant shareholder and executive
officer of AMERCO, owns all of the equity interest of SAC
Holdings.



| |                            
| | ---------------------------
| | Principles of Consolidation

The condensed consolidated financial statements
presented here include the accounts of AMERCO and its
wholly-owned subsidiaries and SAC Holdings and their
subsidiaries. All material inter-company accounts and
transactions have been eliminated in consolidation. AMERCO has
made significant loans to SAC Holdings and is entitled to
participate in SAC Holdings excess cash flow (after senior
debt service). All of the equity interest of SAC Holdings is
owned by Mark V. Shoen, a significant shareholder and executive
officer of

8



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##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

AMERCO. AMERCO does not have an equity ownership
interest in SAC Holdings, except for investments made by RepWest
and Oxford in a SAC Holdings-controlled limited partnership
which holds Canadian self-storage properties. SAC Holdings are
not legal subsidiaries of AMERCO. SAC Holdings securitized
loan agreements have no guarantees, or triggers that could
create a guarantee, from AMERCO. There are no cross default
provisions on indebtedness between AMERCO and SAC Holdings. The
condensed consolidated financial statements and notes are
presented as permitted by Form 10-Q and do not contain
certain information included in AMERCOs annual financial
statements and notes. For a more detailed presentation of the
accounts and transactions of AMERCO, refer to AMERCOs
Form 10-K.

The condensed consolidated balance sheet as of
December 31, 2003 and the related condensed consolidated
statements of operations, comprehensive income, and cash flow
for the quarters ended December 31, 2003 and 2002 are
unaudited. In our opinion, all adjustments necessary for a fair
presentation of such condensed consolidated financial statements
have been included. Such adjustments consist only of normal
recurring items. Interim results are not necessarily indicative
of results for a full year.

Revenues, expenses (including professional fees),
realized gains and losses, and provisions for losses directly
associated with the reorganization and restructuring of the
business are reported as part of operating expenses in the
Condensed Consolidated Statements of Operations. The Condensed
Consolidated Balance Sheets distinguish pre-petition liabilities
subject to compromise from both those pre-petition liabilities
that are not subject to compromise and from post-petition
liabilities. Liabilities subject to compromise are reported at
the amounts expected to be allowed, even if they may be settled
for lesser amounts.

The operating results and financial position of
RepWest and Oxford have been consolidated on the basis of a
calendar year and, accordingly, results from operations for
RepWest and Oxford are for the quarter and nine months ended
September 30, 2003 and 2002.



| |                    
| | -------------------
| | Going Concern Basis

On June 20, 2003 (the Petition
Date), AMERCO filed a voluntary petition for relief under
Chapter 11 of the United States Bankruptcy Code (the
Bankruptcy Code) in the United States Bankruptcy
Court, District of Nevada (the Bankruptcy Court)
(Case No. 0352103). AMERCO is continuing to manage its
properties and operate its businesses as
debtor-in-possession under the jurisdiction of the
Bankruptcy Court and in accordance with the applicable
provisions of the Bankruptcy Code. In general, as
debtor-in-possession, AMERCO is authorized under Chapter 11
to continue to operate as an ongoing business, but may not
engage in transactions outside the ordinary course of business
without the prior approval of the Bankruptcy Court. Specific
information pertaining to the bankruptcy filing may be obtained
from the website www.amerco.com. The Companys
independent auditors qualified their opinion on the
Companys March 31, 2003 financial statements by
including an explanatory paragraph in which they expressed
substantial doubt about the Companys ability to continue
as a going concern. The consolidated financial statements do not
include any adjustments to reflect future effects on the
recoverability and classification of assets or the amount and
classification of liabilities that might result from these
uncertainties.

Restatement
and Reclassifications

In connection with the audit of the
Companys financial statements for the year ended
March 31, 2003, it was determined that there was a need for
the Company to record adjustments that resulted in the
restatement of the Companys financial statements,
including financial statements for the quarter ended
December 31, 2002. The condensed consolidated statement of
operations, comprehensive income and cash flow for the quarter
ended December 31, 2002 contained in this report have been
restated. Loss for the three months ended December 31, 2002
as originally reported was $32.3 million, or $1.73 per
basic and diluted share. Restated loss for this period were
$45.8 million and $2.45 per basic and diluted share. Net
earnings for the nine months

9



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

ended December 31, 2002 as originally
reported was $48.8 million, or $1.88 per basic and diluted
share. Net earnings (loss) for this period as restated was
$0.1 million and ($0.48) per basic and diluted share. The
major components of the restatement were related to an
adjustment to accrue for fully-developed actuarial estimates of
the Companys insurance reserves and to recognize
equity-method losses relating to the Companys investments
in Private Mini Storage Realty, L.P. For a detailed discussion
of the adjustments to our financial statements for the fiscal
years ended March 31, 2002 and 2001, see footnote 2 to
consolidated financial statements contained in our Annual Report
on Form 10-K.

Certain balances as of March 31, 2003 have
been reclassified in the accompanying condensed consolidated
financial statements to conform with the current year
presentation. These reclassifications had no effect on
previously reported net income or stockholders equity.



| |                              
| | -----------------------------
| | Property, Plant and Equipment

During fiscal year 2004 U-Haul decreased the
estimated useful lives of pick-up trucks and vans. The effect of
this change decreased net earnings for the nine-month period and
three-month period ended December 31, 2003 by approximately
$4,875,000 ($0.24 per share) and $2,600,000 ($0.13 per share),
respectively, net of income tax benefit. The adjustment reflects
managements best estimate, based on information available,
of the estimated useful lives of these pick-ups and vans.

3.     Investments
held by AMERCOs Insurance Subsidiaries

A comparison of amortized cost to estimated
market value for fixed maturities is as follows:

|                                                  |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |         |         | 
|------------------------------------------------- | ----- | -------------- | ------- | ---------- | ------- | ---------- | ------ | --------- | ------ | - | ------- | ------- | ------- | - | ------- | ------- | ------- | 
|                                                  |       |                |         | Gross      |         | Gross      |        | Estimated
|                                                  |       | Amortized      |         | Unrealized |         | Unrealized |        | Market   
|September 30, 2003                                |       | Cost           |         | Gains      |         | (Losses)   |        | Value    
|                                                  |       |                |         |            |         |            |        |          
|                                                  |       |               
|                                                  |       | (In thousands)
|Available-for-Sale:                               |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        
|Corporate securities                              |       | $              | 535,280 |            |         | $          | 35,823 |           |        | $ | (14,456 | )       |         | $ | 556,647 |        
|U.S. government agency mortgage-backed securities |       |                | 10,148  |            |         |            | 316    |           |        |   | (26     | )       |         |   | 10,438  |        
|Mortgage-backed securities                        |       |                | 79,912  |            |         |            | 2,548  |           |        |   | (2,960  | )       |         |   | 79,500  |        
|U.S. Treasury and government agency securities    |       |                | 29,626  |            |         |            | 2,674  |           |        |   | (14     | )       |         |   | 32,286  |        
|Municipal securities                              |       |                | 3,224   |            |         |            | 135    |           |        |   |        |         |         |   | 3,359   |        
|                                                  |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        
|                                                  |       | Subtotal       |         |            | 658,190 |            |        |           | 41,496 |   |         |         | (17,456 | ) |         |         | 682,230 | 
|Common Stock                                      |       |                | 5,892   |            |         |            | 1,245  |           |        |   | (2,263  | )       |         |   | 4,874   |        
|Redeemable preferred stocks                       |       |                | 67,371  |            |         |            | 1,299  |           |        |   | (151    | )       |         |   | 68,519  |        
|                                                  |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        
|                                                  |       |                | 731,453 |            |         |            | 44,040 |           |        |   | (19,870 | )       |         |   | 755,623 |        
|                                                  |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        
|Held-to-Maturity:                                 |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        
|U.S. government agency mortgage-backed securities |       |                | 531     |            |         |            | 164    |           |        |   |        |         |         |   | 695     |        
|Mortgage-backed securities                        |       |                | 7,519   |            |         |            | 151    |           |        |   | (2      | )       |         |   | 7,668   |        
|                                                  |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        
|                                                  |       |                | 8,050   |            |         |            | 315    |           |        |   | (2      | )       |         |   | 8,363   |        
|                                                  |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        
|                                                  | Total |                | $       | 739,503    |         |            | $      | 44,355    |        |   | $       | (19,872 | )       |   | $       | 763,986 |        
|                                                  |       |                |         |            |         |            |        |           |        |   |         |         |         |   |         |        

10



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

4.     Contingent
Liabilities and Commitments

Following is a summary of lease commitments:

|                                 |  |                |         | 
|-------------------------------- |  | -------------- | ------- | 
|                                 |  | Lease         
|Twelve Months Ending December 31 |  | Commitments   
|                                 |  |               
|                                 |  | (In thousands)
|2004                             |  | $              | 377,673 | 
|2005                             |  |                | 90,160  | 
|2006                             |  |                | 79,047  | 
|2007                             |  |                | 41,537  | 
|2008                             |  |                | 12,427  | 
|Thereafter                       |  |                | 4,060   | 
|                                 |  |                |         | 
|                                 |  | $              | 604,904 | 
|                                 |  |                |         | 

In the normal course of business, AMERCO is a
defendant in a number of suits and claims. AMERCO is also a
party to several administrative proceedings arising from state
and local provisions that regulate the removal and/or clean up
of underground fuel storage tanks.

Compliance with environmental requirements of
federal, state and local governments significantly affects Real
Estates business operations. Among other things, these
requirements regulate the discharge of materials into the water,
air and land and govern the use and disposal of hazardous
substances. Real Estate is aware of issues regarding hazardous
substances on some of its properties. Real Estate regularly
makes capital and operating expenditures to stay in compliance
with environmental laws and has put in place a remedial plan at
each site where it believes such a plan is necessary.

A subsidiary of U-Haul, INW Company (INW), owns
one property located within two different state hazardous
substance sites in the State of Washington. The sites are
referred to as the Yakima Valley Spray Site and the
Yakima Railroad Area. INW has been named as a
potentially liable party under state law with
respect to this property as it relates to both sites. As a
result of the cleanup costs of approximately $5.0 million
required by the State of Washington, INW filed for
reorganization under federal bankruptcy laws in May of 2001. The
potential liability to INW could be in the range of $750,000 to
$1.25 million.

Based upon the information currently available,
compliance with the environmental laws and the costs of
investigation and cleanup of known hazardous waste sites are not
expected to have a material adverse affect on the Companys
financial position or operating results.

In connection with the resolution of litigation
with certain members of the Shoen family and their corporations,
AMERCO has deducted for income tax purposes approximately
$372.0 million of the payments made to plaintiffs in a
lawsuit. While AMERCO believes that such income tax deductions
are appropriate, there can be no assurance that such deductions
ultimately will be allowed in full. The IRS has proposed
adjustments to the Companys 1997 and 1996 tax returns.
Nearly all of the adjustments are attributable to denials of
deductions claimed for certain payments made in connection with
this litigation. We believe these income tax deductions are
appropriate and are vigorously contesting the IRS adjustments.
No additional taxes have been provided in the accompanying
financial statements, as management believes that none will
result.

On July 20, 2000, Charles Kocher
(Kocher) filed suit in Wetzel County, West Virginia,
Civil Action No. 00-C-51-K, entitled Charles Kocher v.
Oxford Life Insurance Co. (Oxford) seeking
compensatory and punitive damages for breach of contract, bad
faith and unfair claims settlement practices arising from an
alleged failure of Oxford to properly and timely pay a claim
under a disability and dismemberment policy. On March 22,
2002, the jury returned a verdict of $5 million in
compensatory damages and $34 million in punitive

11



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

damages. On November 5, 2002, the trial
court entered an Order (Order) affirming the
$39 million jury verdict and denying Oxfords motion
for New Trial Or, in The Alternative, Remittitur. On
January 27, 2004, the matter was argued before the West
Virginia Supreme Court and taken under advisement. Management
does not believe that the Order is sustainable and expects the
Order to be overturned by the West Virginia Supreme Court, in
part because the jury award has no reasonable nexus to the
actual harm suffered by Kocher. The Company has accrued
$725,000, which represents managements best estimate of
the costs associated with legal fees to appeal and re-try the
case.

As previously discussed, on June 20, 2003,
AMERCO filed a voluntary petition for relief under
Chapter 11 of the Bankruptcy Code. As debtor-in-possession,
AMERCO is authorized under Chapter 11 to continue to
operate as an ongoing business, but may not engage in
transactions outside the ordinary course of business without the
prior approval of the Bankruptcy Court. As of the Petition Date,
virtually all pending litigation against AMERCO is stayed, and
absent further order of the Bankruptcy Court, no party, subject
to certain exceptions, may take any action, again subject to
certain exceptions, to recover on pre-petition claims against
AMERCO. The automatic stay, however, does not apply to
AMERCOs subsidiaries, other than Amerco Real Estate
Company, which filed for protection under Chapter 11, on
August 13, 2003. On October 6, 2003, AMERCO filed its
Plan of Reorganization and Disclosure Statement with the
Bankruptcy Court. On November 26, 2003, AMERCO filed an
Amended Plan of Reorganization (the Plan). On
December 12, 2003, the Bankruptcy Court approved
AMERCOs Disclosure Statement. On February 2, 2004,
the Bankruptcy Court confirmed the Plan contingent upon
completion of documentation and agreements acceptable to the
involved parties and the submission of proposed findings of fact
and conclusions of law and a confirmation order acceptable to
all involved parties. AMERCO expects by fiscal year end
(i) that it will satisfy the above contingencies and
(ii) that the Bankruptcy Court will execute a confirmation
order. The confirmation order will become final if it is not
appealed within ten days after entry and AMERCO intends to
proceed to implement the Plan and emerge from bankruptcy as soon
as possible thereafter.

On September 24, 2002, Paul F. Shoen
filed a derivative action in the Second Judicial District Court
of the State of Nevada, Washoe County, captioned Paul F.
Shoen vs. SAC Holding Corporation et al, CV02-05602, seeking
damages and equitable relief on behalf of AMERCO from SAC
Holdings and certain current and former members of the AMERCO
Board of Directors, including Edward J. Shoen, Mark V.
Shoen and James P. Shoen. AMERCO is named a nominal
defendant for purposes of the derivative action. The complaint
alleges breach of fiduciary duty, self-dealing, usurpation of
corporate opportunities, wrongful interference with prospective
economic advantage and unjust enrichment and seeks the unwinding
of sales of self-storage properties by subsidiaries of AMERCO to
SAC Holdings over the last several years. The complaint seeks a
declaration that such transfers are void as well as unspecified
damages. On October 28, 2002, AMERCO, the Shoen directors,
the non-Shoen directors and SAC Holdings filed Motions to
Dismiss the complaint. In addition, on October 28, 2002,
Ron Belec filed a derivative action in the Second Judicial
District Court of the State of Nevada, Washoe County, captioned
Ron Belec vs. William E. Carty, et al, CV 02-06331 and
on January 16, 2003, M.S. Management Company, Inc. filed a
derivative action in the Second Judicial District Court of the
State of Nevada, Washoe County, captioned M.S. Management
Company, Inc. vs. William E. Carty, et. al,
CV 03-00386. Two additional derivative suits were also
filed against these parties. These additional suits are
substantially similar to the Paul F. Shoen derivative
action. The five suits assert virtually identical claims. In
fact, three of the five plaintiffs are parties who are working
closely together and chose to file the same claims multiple
times. The court consolidated all five complaints before
dismissing them on May 8, 2003. Plaintiffs have filed a
notice of appeal. These lawsuits falsely alleged that the AMERCO
Board lacked independence. In reaching his decision to dismiss
these claims, the court determined that the AMERCO Board of
Directors had the requisite level of independence required in
order to have these claims resolved by the Board. These cases
are stayed pending AMERCOs emergence from bankruptcy.

12



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The Securities and Exchange Commission
(SEC) has issued a formal order of investigation to
determine whether the Company has violated the Federal
securities laws. On January 7, 2003, the Company received
the first of several subpoenas issued by the SEC to the Company.
SAC Holdings, the Companys current and former auditors,
and others have also received one or more subpoenas relating to
this matter. The Company is cooperating fully with the SEC and
is facilitating the expeditious review of its financial
statements and any other issues that may arise. The Company has
produced a large volume of documents and other materials in
response to the subpoenas, and the Company is continuing to
assemble and produce additional documents and materials for the
SEC. Although the Company has fully cooperated with the SEC in
this matter and intends to continue to fully cooperate, the SEC
may determine that the Company has violated Federal securities
laws. We cannot predict when this investigation will be
completed or its outcome. If the SEC makes a determination that
we have violated Federal securities laws, we may face sanctions,
including, but not limited to, significant monetary penalties
and injunctive relief.

AMERCO is a defendant in four putative class
action lawsuits. Article Four Trust v. AMERCO, et al.,
District of Nevada, United States District Court, Case
No. CV-N-03-0050-DWH-VPC. Article Four Trust, a
purported AMERCO shareholder, commenced this action on
January 28, 2003 on behalf of all persons and entities who
purchased or acquired AMERCO securities between
February 12, 1998 and September 26, 2002. The
Article Four Trust action alleges one claim for violation
of Section 10(b) of the Securities Exchange Act and
Rule 10b-5 thereunder. Mates v. AMERCO, et al., United
States District Court, District of Nevada, Case
No. CV-N-03-0107. Maxine Mates, an AMERCO shareholder,
commenced this putative class action on behalf of all persons
and entities who purchased or acquired AMERCO securities between
February 12, 1998 and September 26, 2002. The Mates
action asserts claims under section 10(b) and
Rule 10b-5, and section 20(a) of the Securities
Exchange Act. Klug v. AMERCO, et al., United States
District Court of Nevada, Case No. CV-S-03-0380. Edward
Klug, an AMERCO shareholder, commenced this putative class
action on behalf of all persons and entities who purchased or
acquired AMERCO securities between February 12, 1998 and
September 26, 2002. The Klug action asserts claims under
section 10(b) and Rule 10b-5 and section 20(a) of
the Securities Exchange Act. IG Holdings v. AMERCO, et al.,
United States District Court, District of Nevada, Case
No. CV-N-03-0199. IG Holdings, an AMERCO bondholder,
commenced this putative class action on behalf of all persons
and entities who purchased, acquired, or traded AMERCO bonds
between February 12, 1998 and September 26, 2002,
alleging claims under section 11 and section 12 of the
Securities Act of 1933 and section 10(b) and
Rule 10b-5, and section 20(a) of the Securities
Exchange Act. Each of these four securities class actions allege
that AMERCO engaged in transactions with SAC entities that
falsely improved AMERCOs financial statements, and that
AMERCO failed to disclose the transactions properly. The actions
are at a very early stage and have recently been consolidated.
As to AMERCO, the actions are stayed pending AMERCOs
emergence from bankruptcy. In addition, by agreement of the
parties, AMERCOs directors who are also named in the
lawsuits have an extension to file their responses to the
complaints. Management intends to defend these cases vigorously.

The United States Department of Labor
(DOL) is presently investigating whether there were
violations of the Employee Retirement Income Security Act of
1974 (ERISA) involving the AMERCO Employee Savings,
Profit Sharing, and Employee Stock Ownership Plan (the
Plan). The DOL has interviewed a number of Company
representatives as well as the Plan fiduciaries and has issued a
subpoena to the Company and a subpoena to SAC Holdings. One of
the issues raised by the DOL relates to the release of shares
from the Plans loan suspense account. The Company believes
that it has resolved this particular issue by contributing
additional shares. At the present time, the Company is unable to
determine whether the DOL will assert any other claims against
the Company, SAC Holdings, or the Plan fiduciaries. The DOL has
asked AMERCO and its current directors as well as the Plan
Trustees to sign an agreement tolling the statute of limitations
with respect to any claims arising out of certain transactions
between AMERCO or any affiliate of AMERCO and SAC Holdings or
any of its affiliates and such persons have done so. The DOL
recently asked

13



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##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

such parties to extend the tolling agreement and
they have done so. The DOL has not advised the Company that it
believes that any other violations of ERISA have in fact
occurred. Instead, the DOL is simply investigating potential
violations. The Company intends to defend its position. The
Company also intends to take any corrective action that may be
needed in light of the DOLs ultimate findings. Although
the Company has fully cooperated with the DOL in this matter and
intends to continue to fully cooperate, the DOL may determine
that the Company has violated ERISA. In that event, the Company
may face sanctions, including, but not limited to, significant
monetary penalties and injunctive relief.

5.     New Accounting
Standards

Statement of Financial Accounting Standards
(SFAS) No. 143 (SFAS 143),
Accounting for Asset Retirement Obligations, requires
recognition of the fair value of liabilities associated with the
retirement of long-lived assets when a legal obligation to incur
such costs arises as a result of the acquisition, construction,
development and/or the normal operation of a long-lived asset.
Upon recognition of the liability, a corresponding asset is
recorded at present value and accreted over the life of the
asset and depreciated over the remaining life of the long-lived
asset. SFAS 143 defines a legal obligation as one that a
party is required to settle as a result of an existing or
enacted law, statute, ordinance, or written or oral contract or
by legal construction of a contract under the doctrine of
promissory estoppel. SFAS 143 is effective for fiscal years
beginning after September 15, 2002. We adopted this
statement effective April 1, 2003, and it did not affect
our consolidated financial position or results of operations.

In April 2002, the FASB adopted
SFAS No. 145 (SFAS 145), Rescission
of No. 4, (Reporting Gains and Losses from Extinguishment
of Debt), No. 44 (Accounting for Intangible Assets of Motor
Carriers), No. 64, (Extinguishments of Debt Made to Satisfy
Sinking-Fund Requirements), Amendment of FASB Statement
No. 13 (Accounting for Leases) and Technical Corrections.
This statement eliminates the requirement that gains and losses
on debt extinguishment must be classified as extraordinary items
in the income statement. Instead, such gains and losses will be
classified as extraordinary items only if they are deemed to be
unusual and infrequent, in accordance with the current GAAP
criteria for extraordinary classification. In addition,
SFAS 145 eliminates an inconsistency in lease accounting by
requiring that modification of capital leases that result in
reclassification as operating leases be accounted for consistent
with sale-leaseback accounting rules. The statement also
contains other non-substantive corrections to authoritative
accounting literature. The changes related to debt
extinguishment are effective for fiscal years beginning after
May 15, 2002. We previously reclassified all extraordinary
loss on debt extinguishment to interest expense. The changes
related to lease accounting will be effective for transactions
occurring after May 15, 2002. We adopted the lease
accounting provisions effective May 16, 2002 and it did not
affect our consolidated financial position or results of
operations.

In September 2002, the FASB issued Statement of
Financial Accounting Standards No. 146,
(SFAS 146) Accounting for Costs Associated with
Exit or Disposal Activities, which addresses accounting for
restructuring and similar costs. SFAS 146 supersedes
previous accounting guidance, principally Emerging Issues Task
Force (EITF) Issue No. 94-3. SFAS 146 requires
that the liability for costs associated with an exit or disposal
activity be recognized when the liability is incurred. Under
EITF No. 94-3, a liability for an exit cost was recognized
at the date of a companys commitment to an exit plan.
SFAS 146 also establishes that the liability should
initially be measured and recorded at fair value. Accordingly,
SFAS 146 may affect the timing of recognizing future
restructuring costs as well as the amount recognized. The
provisions of this Statement are effective for exit or disposal
activities that are initiated after December 31, 2002. We
adopted the Statement effective January 1, 2003 and it did
not affect our consolidated financial position or results of
operations.

In November 2002, the FASB issued FASB
Interpretation No. 45 (FIN 45),
Guarantors Accounting for Disclosure Requirements for
Guarantees, Including Indirect Guarantees of Indebtedness of
Others, an

14



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##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

interpretation of FASB Statements No. 5, 57,
and 107 and rescission of FASB Interpretation No. 34,
Disclosure of Indirect Guarantees of Indebtedness of Others.
FIN 45 clarifies the requirements for a guarantors
accounting for and disclosure of certain guarantees issued and
outstanding. It also requires a guarantor to recognize, at the
inception of a guarantee, a liability for the fair value of the
obligation undertaken in issuing the guarantee. This
Interpretation also incorporates without reconsideration the
guidance in FASB Interpretation No. 34, which was
superseded. As a result of FIN 45, the Company has recorded
a $125 million liability at March 31, 2003 and
December 31, 2003, which is managements estimate of
the liability associated with the guarantee of the indebtedness
of an affiliate of Private Mini Storage Realty, L. P. which was
entered into in February 2003.

In December 2002, the FASB issued Statement of
Financial Accounting Standards 148
(SFAS 148), Accounting for Stock-Based
Compensation -Transition and Disclosure, which amends
Statement of Financial Accounting Standards No. 123
(SFAS 123), Accounting for Stock-Based
Compensation. SFAS 148 provides alternative methods
of transition for a voluntary change to the fair value based
method of accounting for stock-based employee compensation. In
addition, SFAS 148 amends the disclosure requirement of
SFAS 123 to require more prominent and more frequent
disclosures in financial statements of the effects of
stock-based compensation. The transition guidance and annual
disclosure provisions of SFAS 148 are effective for fiscal
years ending after December 15, 2002. The interim
disclosure provisions are effective for financial reports
containing condensed financial statements for interim periods
beginning after December 15, 2002. We have adopted this
statement and it had no impact on the Companys
consolidated balance sheet or results of operations.

In April 2003, the FASB issued Statement of
Financial Accounting Standards 149,
(SFAS 149) Amendment of Statement 133 on
Derivative Instruments and Hedging Activities. This
Statement amends and clarifies the accounting for derivative
instruments, including certain derivative instruments embedded
in other contracts and for hedging activities under
SFAS 133. In particular, SFAS 149 (1) clarifies
under what circumstances a contract with an initial net
investment meets the characteristic of a derivative as discussed
in SFAS 133, (2) clarifies when a derivative contains
a financing component, (3) amends the definition of an
underlying derivative to conform it to the language used in
FIN 45, and (4) amends certain other existing
pronouncements. SFAS 149 is generally effective for
contracts entered into or modified after June 30, 2003. The
Company does not believe the adoption of SFAS No. 149
will have a material impact on the Companys financial
position, results of operations or cash flows.

In May 2003, the FASB issued SFAS 150
(SFAS 150), Accounting for Certain Financial
Instruments with Characteristics of both Liabilities and Equity.
This Statement establishes standards for classifying and
measuring as liabilities certain financial instruments that
embody obligations of the issuer and have characteristics of
both liabilities and equity. SFAS No. 150 is effective
at the beginning of the first interim period beginning after
June 15, 2003; including all financial instruments created
or modified after May 31, 2003. SFAS 150 currently has
no impact on the Company.

In January 2003, the FASB issued Interpretation
Number 46, Consolidation of Variable Interest Entities
(FIN 46), an interpretation of Accounting
Research Bulletin No. 51. FIN 46 requires that
variable interest entities be consolidated by a company if that
company absorbs a majority of the entitys expected losses,
receives a majority of its expected residual returns, or both,
as a result of holding a variable interest. In December 2003,
the FASB issued FIN 46R, which reflected certain amendments
to the standard. The provisions of FIN 46, as revised, are
effective for the first interim or annual period ending after
March 15, 2004 when certain conditions are met by a
variable interest entity. At this time an evaluation is being
conducted to determine whether the adoption of FIN 46 will
require that we consolidate SAC Holdings investment in
Private Mini.

15



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                             
|-- | --------------------------------------------------------------------------------------------
|6. | Consolidating balance sheets by industry
    segment as of December 31, 2003 are as follows:

|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |           | 
|---------------------------------------- | --------------------------------------------------- | -------------- | --------- | ---------- |  | ----------- | --------- | ------------ |  | ------------ | ------- | ------------ |  | ------------ | ------- | - |  | - | ------- | - |  | - | ---------- | ---- |  | - | --------- | --------- | 
|                                         |                                                     |                |           | U-Haul     |  |             |           |              |  |              |         |              |  |             
|Balance Sheet,                           |                                                     |                |           | Moving and |  |             |           | Property and |  |              |         |              |  |             
|December 31,                             |                                                     |                |           | Storage    |  |             |           | Casualty     |  | Life         |         |              |  | AMERCO      
|2003                                     |                                                     | AMERCO         |           | Operations |  | Real Estate |           | Insurance(a) |  | Insurance(a) |         | Eliminations |  | Consolidated
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |             
|                                         |                                                     |               
|                                         |                                                     | (In thousands)
|Assets:                                  |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|Cash and cash equivalents                |                                                     | $              | 92,252    |            |  | $           | 35,437    |              |  | $            | 346     |              |  | $            | (4,532  | ) |  | $ | 9,286   |   |  | $ |           |      |  | $ | 132,789   |          
|Trade receivables, net                   |                                                     |                |          |            |  |             | 17,078    |              |  |              | 14,248  |              |  |              | 216,227 |   |  |   | 22,540  |   |  |   |           |      |  |   | 270,093   |          
|Notes and mortgage receivables, net      |                                                     |                |          |            |  |             | 47,825    |              |  |              | 4,853   |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 52,678    |          
|Inventories, net                         |                                                     |                |          |            |  |             | 50,479    |              |  |              | 1       |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 50,480    |          
|Prepaid expenses                         |                                                     |                | 2,339     |            |  |             | 16,458    |              |  |              | 12      |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 18,809    |          
|Investments, fixed maturities            |                                                     |                |          |            |  |             |          |              |  |              |        |              |  |              | 180,396 |   |  |   | 588,316 |   |  |   |           |      |  |   | 768,712   |          
|Investments, other                       |                                                     |                | 135,000   |            |  |             | 164,553   |              |  |              | 228,203 |              |  |              | 152,931 |   |  |   | 253,648 |   |  |   | (50,027    | )(d) |  |   | 884,308   |          
|Deferred policy acquisition costs, net   |                                                     |                |          |            |  |             |          |              |  |              |        |              |  |              | 6,459   |   |  |   | 80,144  |   |  |   |           |      |  |   | 86,603    |          
|Other assets                             |                                                     |                | 470,887   |            |  |             | 273,370   |              |  |              | 2,914   |              |  |              | 117,405 |   |  |   | 1,399   |   |  |   | (793,968   | )(d) |  |   | 72,007    |          
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         |                                                     |                | 700,478   |            |  |             | 605,200   |              |  |              | 250,577 |              |  |              | 668,886 |   |  |   | 955,333 |   |  |   | (843,995   | )    |  |   | 2,336,479 |          
|Investment in Subsidiaries               |                                                     |                | 1,139,016 |            |  |             |          |              |  |              |        |              |  |              |        |   |  |   |        |   |  |   | (1,139,016 | )(c) |  |   |          |          
|Investment in SAC                        |                                                     |                | (42,664   | )          |  |             |          |              |  |              |        |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | (42,664   | )        
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|Total Investment in Subsidiaries         |                                                     |                | 1,096,352 |            |  |             |          |              |  |              |        |              |  |              |        |   |  |   |        |   |  |   | (1,139,016 | )    |  |   | (42,664   | )        
|Property, plant, and equipment, at cost: |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         | Land                                                |                |           |           |  |             |           | 20,690       |  |              |         | 138,818      |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 159,508   | 
|                                         | Buildings and improvements                          |                |           |           |  |             |           | 148,727      |  |              |         | 603,150      |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 751,877   | 
|                                         | Furniture and equipment                             |                |           | 460        |  |             |           | 274,632      |  |              |         | 18,081       |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 293,173   | 
|                                         | Rental trailers and other rental equipment          |                |           |           |  |             |           | 156,237      |  |              |         |             |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 156,237   | 
|                                         | Rental trucks                                       |                |           |           |  |             |           | 1,208,303    |  |              |         |             |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 1,208,303 | 
|                                         | SAC Holdings  Property, plant and
    equipment(b) |                |           |           |  |             |           |             |  |              |         |             |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           |          | 
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         |                                                     |                | 460       |            |  |             | 1,808,589 |              |  |              | 760,049 |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 2,569,098 |          
|Less: Accumulated depreciation           |                                                     |                | 325       |            |  |             | 1,054,834 |              |  |              | 263,658 |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 1,318,817 |          
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         | Total property, plant and equipment                 |                |           | 135        |  |             |           | 753,755      |  |              |         | 496,391      |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 1,250,281 | 
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|Total Assets                             |                                                     | $              | 1,796,965 |            |  | $           | 1,358,955 |              |  | $            | 746,968 |              |  | $            | 668,886 |   |  | $ | 955,333 |   |  | $ | (1,983,011 | )    |  | $ | 3,544,096 |          
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                         |                                                     |                |         |              |  |              |          |          |      |   |           |           | 
|---------------------------------------- | --------------------------------------------------- | -------------- | ------- | ------------ |  | ------------ | -------- | -------- | ---- | - | --------- | --------- | 
|Balance Sheet,                           |                                                     | SAC Moving     |         |              |  |             
|December 31,                             |                                                     | and Storage    |         |              |  | Total       
|2003                                     |                                                     | Operations     |         | Eliminations |  | Consolidated
|                                         |                                                     |                |         |              |  |             
|                                         |                                                     |               
|                                         |                                                     | (In thousands)
|Assets:                                  |                                                     |                |         |              |  |              |          |          |      |   |           |          
|Cash and cash equivalents                |                                                     | $              | 4,077   |              |  | $            |         |          |      | $ | 136,866   |          
|Trade receivables, net                   |                                                     |                |        |              |  |              | (30,715  | )(d)     |      |   | 239,378   |          
|Notes and mortgage receivables, net      |                                                     |                |        |              |  |              | (35,549  | )(d)     |      |   | 17,129    |          
|Inventories, net                         |                                                     |                | 4,750   |              |  |              |         |          |      |   | 55,230    |          
|Prepaid expenses                         |                                                     |                | 1,411   |              |  |              | (2,733   | )(d)     |      |   | 17,487    |          
|Investments, fixed maturities            |                                                     |                |        |              |  |              | (5,039   | )(d)     |      |   | 763,673   |          
|Investments, other                       |                                                     |                | 1,701   |              |  |              | (411,031 | )(d)     |      |   | 474,978   |          
|Deferred policy acquisition costs, net   |                                                     |                |        |              |  |              |         |          |      |   | 86,603    |          
|Other assets                             |                                                     |                | 55,931  |              |  |              | (29,508  | )        |      |   | 98,430    |          
|                                         |                                                     |                |         |              |  |              |          |          |      |   |           |          
|                                         |                                                     |                | 67,870  |              |  |              | (514,575 | )(c)     |      |   | 1,889,774 |          
|Investment in Subsidiaries               |                                                     |                |        |              |  |              |         |          |      |   |          |          
|Investment in SAC                        |                                                     |                |        |              |  |              | 42,664   | (c)      |      |   |          |          
|                                         |                                                     |                |         |              |  |              |          |          |      |   |           |          
|Total Investment in Subsidiaries         |                                                     |                |        |              |  |              | 42,664   |          |      |   |          |          
|Property, plant, and equipment, at cost: |                                                     |                |         |              |  |              |          |          |      |   |           |          
|                                         | Land                                                |                |         |             |  |              |          |         |      |   |           | 159,508   | 
|                                         | Buildings and improvements                          |                |         |             |  |              |          |         |      |   |           | 751,877   | 
|                                         | Furniture and equipment                             |                |         |             |  |              |          |         |      |   |           | 293,173   | 
|                                         | Rental trailers and other rental equipment          |                |         |             |  |              |          |         |      |   |           | 156,237   | 
|                                         | Rental trucks                                       |                |         |             |  |              |          |         |      |   |           | 1,208,303 | 
|                                         | SAC Holdings  Property, plant and
    equipment(b) |                |         | 991,486      |  |              |          | (258,271 | )(h) |   |           | 733,215   | 
|                                         |                                                     |                |         |              |  |              |          |          |      |   |           |          
|                                         |                                                     |                | 991,486 |              |  |              | (258,271 | )        |      |   | 3,302,313 |          
|Less: Accumulated depreciation           |                                                     |                | 74,877  |              |  |              | (8,062   | )        |      |   | 1,385,632 |          
|                                         |                                                     |                |         |              |  |              |          |          |      |   |           |          
|                                         | Total property, plant and equipment                 |                |         | 916,609      |  |              |          | (250,209 | )    |   |           | 1,916,681 | 
|                                         |                                                     |                |         |              |  |              |          |          |      |   |           |          
|Total Assets                             |                                                     | $              | 984,479 |              |  | $            | (722,120 | )        |      | $ | 3,806,455 |          
|                                         |                                                     |                |         |              |  |              |          |          |      |   |           |          



---



|    |  |                                                                                                                                   
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------
|(a) |  | Balances as of September 30, 2003                                                                                                 
|   
|(b) |  | Included in this caption is land of $260,496,
    buildings and improvements of $727,586 and furniture and
    equipment of $3,404
|   
|(c) |  | Eliminate investment in subsidiaries                                                                                              
|   
|(d) |  | Eliminate intercompany receivables and payables                                                                                   
|   
|(e) |  | Eliminate intercompany lease income                                                                                               
|   
|(f) |  | Eliminate intercompany premiums                                                                                                   
|   
|(g) |  | Eliminate intercompany interest on debt                                                                                           
|   
|(h) |  | Eliminate gain on sale of surplus property from
    AMERCO to SAC                                                                 

16



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                             
|-- | --------------------------------------------------------------------------------------------
|6. | Consolidating balance sheets by industry
    segment as of December 31, 2003 are as follows:

|                                                                 |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |         |   | 
|---------------------------------------------------------------- | ---------------------------------------------------------------- | ------------------------ | --------- | ---------- | - | ----------- | --------- | ------------ | - | ------------ | ------- | ------------ | - | ------------ | ------- | ------- | - | - | ------- | ------- | - | - | ---------- | -------- | ---- | - | --------- | ------- | - | 
|Balance                                                          |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |             
|Sheet                                                           |                                                                  |                          |           | U-Haul     |   |             |           |              |   |              |         |              |   |             
|December 31,                                                     |                                                                  |                          |           | Moving and |   |             |           | Property and |   |              |         |              |   |             
|2003                                                             |                                                                  |                          |           | Storage    |   |             |           | Casualty     |   | Life         |         |              |   | AMERCO      
|(Continued)                                                      |                                                                  | AMERCO                   |           | Operations |   | Real Estate |           | Insurance(a) |   | Insurance(a) |         | Eliminations |   | Consolidated
|                                                                 |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |             
|                                                                 |                                                                  |                         
|                                                                 |                                                                  | (In thousands)          
|Liabilities:                                                     |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |        
|Payables and accrued expenses                                    |                                                                  | $                        | 214,646   |            |   | $           | 264,157   |              |   | $            | 436     |              |   | $            |        |         |   | $ | 655     |         |   | $ | (100,647   | )(c)     |      | $ | 379,247   |        
|                                                                 | AMERCOs notes and loans payable                                 |                          |           | 54,941     |   |             |           | 30,158       |   |              |         |             |   |              |         |        |   |   |         |        |   |   |            | 281      | (d)  |   |           | 85,380  |  
|                                                                 | SAC Holdings notes and loans payable                            |                          |           |           |   |             |           |             |   |              |         |             |   |              |         |        |   |   |         |        |   |   |            |         |      |   |           |        |  
|                                                                 | Policy benefits and losses, claims and loss
    expenses payable |                          |           |           |   |             |           | 197,278      |   |              |         |             |   |              |         | 457,685 |   |   |         | 181,258 |   |   |            |         |      |   |           | 836,221 |  
|                                                                 | Liabilities from investment contracts                            |                          |           |           |   |             |           |             |   |              |         |             |   |              |         |        |   |   |         | 603,992 |   |   |            |         |      |   |           | 603,992 |  
|                                                                 | Other policyholders funds and liabilities                       |                          |           |           |   |             |           |             |   |              |         |             |   |              |         | 21,051  |   |   |         | 24,472  |   |   |            |         |      |   |           | 45,523  |  
|                                                                 | Deferred income                                                  |                          |           |           |   |             |           | 22,690       |   |              |         | 36           |   |              |         | 15,229  |   |   |         |        |   |   |            |         |      |   |           | 37,955  |  
|                                                                 | Deferred income taxes                                            |                          |           | 147,591    |   |             |           | 235,246      |   |              |         | 94,914       |   |              |         |        |   |   |         | 16,795  |   |   |            | (371,377 | )    |   |           | 123,169 |  
|                                                                 | Other liabilities                                                |                          |           |           |   |             |           |             |   |              |         | 321,801      |   |              |         |        |   |   |         | 10,951  |   |   |            | (332,752 | )(d) |   |           |        |  
|                                                                 | Liabilities subject to compromise                                |                          |           | 809,808    |   |             |           |             |   |              |         | 105,064      |   |              |         |        |   |   |         |        |   |   |            | (39,500  | )(d) |   |           | 875,372 |  
|                                                                 |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |        
|Total Liabilities                                                |                                                                  |                          | 1,226,986 |            |   |             | 749,529   |              |   |              | 522,251 |              |   |              | 493,965 |         |   |   | 838,123 |         |   |   | (843,995   | )        |      |   | 2,986,859 |        
|Minority Interest                                                |                                                                  |                          |          |            |   |             |          |              |   |              |        |              |   |              |        |         |   |   |        |         |   |   |           |          |      |   |          |        
|Stockholders equity:                                            |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |        
|Series preferred stock:                                          |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |        
|                                                                 |                                                                  | Series A preferred stock |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |     |   |           |         |  | 
|                                                                 |                                                                  | Series B preferred stock |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |     |   |           |         |  | 
|Series A common stock                                            |                                                                  |                          | 1,441     |            |   |             |          |              |   |              |        |              |   |              |        |         |   |   |        |         |   |   |           |          |      |   | 1,441     |        
|Common Stock                                                     |                                                                  |                          | 9,122     |            |   |             | 540       |              |   |              | 1       |              |   |              | 3,300   |         |   |   | 2,500   |         |   |   | (6,341     | )(c)     |      |   | 9,122     |        
|Additional paid in- capital                                      |                                                                  |                          | 396,048   |            |   |             | 121,230   |              |   |              | 147,481 |              |   |              | 70,023  |         |   |   | 16,435  |         |   |   | (355,169   | )(c)     |      |   | 396,048   |        
|Additional paid-in- capital  SAC                                |                                                                  |                          | 3,199     |            |   |             |          |              |   |              |        |              |   |              |        |         |   |   |        |         |   |   |           |          |      |   | 3,199     |        
|Accumulated other comprehensive (loss)                           |                                                                  |                          | (25,801   | )          |   |             | (33,860   | )            |   |              |        |              |   |              | 3,564   |         |   |   | 5,303   |         |   |   | 24,993     | (c)      |      |   | (25,801   | )      
|Accumulated other comprehensive
    income/(loss)  SAC Holdings |                                                                  |                          | 3,598     |            |   |             |          |              |   |              |        |              |   |              |        |         |   |   |        |         |   |   |           |          |      |   | 3,598     |        
|Retained earnings                                                |                                                                  |                          | 600,531   |            |   |             | 534,258   |              |   |              | 77,235  |              |   |              | 98,034  |         |   |   | 92,972  |         |   |   | (802,499   | )(c)     |      |   | 600,531   |        
|Cost of common shares in treasury, net                           |                                                                  |                          | (418,179  | )          |   |             |          |              |   |              |        |              |   |              |        |         |   |   |        |         |   |   |           |          |      |   | (418,179  | )      
|Unearned ESOP shares                                             |                                                                  |                          | 20        |            |   |             | (12,742   | )            |   |              |        |              |   |              |        |         |   |   |        |         |   |   |           |          |      |   | (12,722   | )      
|                                                                 |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |        
|Total stockholders equity                                       |                                                                  |                          | 569,979   |            |   |             | 609,426   |              |   |              | 224,717 |              |   |              | 174,921 |         |   |   | 117,210 |         |   |   | (1,139,016 | )        |      |   | 557,237   |        
|                                                                 |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |        
|Total Liabilities and Stockholders Equity                       |                                                                  | $                        | 1,796,965 |            |   | $           | 1,358,955 |              |   | $            | 746,968 |              |   | $            | 668,886 |         |   | $ | 955,333 |         |   | $ | (1,983,011 | )        |      | $ | 3,544,096 |        
|                                                                 |                                                                  |                          |           |            |   |             |           |              |   |              |         |              |   |              |         |         |   |   |         |         |   |   |            |          |      |   |           |        

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                                 |                                                                  |                          |           |              |   |              |          |          |      |   |           |         |   | 
|---------------------------------------------------------------- | ---------------------------------------------------------------- | ------------------------ | --------- | ------------ | - | ------------ | -------- | -------- | ---- | - | --------- | ------- | - | 
|Balance                                                          |                                                                  |                          |           |              |   |             
|Sheet                                                           |                                                                  |                          |           |              |   |             
|December 31,                                                     |                                                                  | SAC Moving               |           |              |   |             
|2003                                                             |                                                                  | and Storage              |           |              |   | Total       
|(Continued)                                                      |                                                                  | Operations               |           | Eliminations |   | Consolidated
|                                                                 |                                                                  |                          |           |              |   |             
|                                                                 |                                                                  |                         
|                                                                 |                                                                  | (In thousands)          
|Liabilities:                                                     |                                                                  |                          |           |              |   |              |          |          |      |   |           |        
|Payables and accrued expenses                                    |                                                                  | $                        | 46,205    |              |   | $            | (66,266  | )(d)     |      | $ | 359,186   |        
|                                                                 | AMERCOs notes and loans payable                                 |                          |           |             |   |              |          |         |      |   |           | 85,380  |  
|                                                                 | SAC Holdings notes and loans payable                            |                          |           | 990,079      |   |              |          | (403,521 | )(d) |   |           | 586,558 |  
|                                                                 | Policy benefits and losses, claims and loss
    expenses payable |                          |           |             |   |              |          |         |      |   |           | 836,221 |  
|                                                                 | Liabilities from investment contracts                            |                          |           |             |   |              |          |         |      |   |           | 603,992 |  
|                                                                 | Other policyholders funds and liabilities                       |                          |           |             |   |              |          |         |      |   |           | 45,523  |  
|                                                                 | Deferred income                                                  |                          |           | 5,328        |   |              |          | (32,241  | )(d) |   |           | 11,042  |  
|                                                                 | Deferred income taxes                                            |                          |           | (23,819      | ) |              |          | (98,005  | )(h) |   |           | 1,345   |  
|                                                                 | Other liabilities                                                |                          |           |             |   |              |          |         |      |   |           |        |  
|                                                                 | Liabilities subject to compromise                                |                          |           |             |   |              |          |         |      |   |           | 875,372 |  
|                                                                 |                                                                  |                          |           |              |   |              |          |          |      |   |           |        
|Total Liabilities                                                |                                                                  |                          | 1,017,793 |              |   |              | (600,033 | )        |      |   | 3,404,619 |        
|Minority Interest                                                |                                                                  |                          | 12,549    |              |   |              | (12,549  | )(c)     |      |   |          |        
|Stockholders equity:                                            |                                                                  |                          |           |              |   |              |          |          |      |   |           |        
|Series preferred stock:                                          |                                                                  |                          |           |              |   |              |          |          |      |   |           |        
|                                                                 |                                                                  | Series A preferred stock |           |              |  |              |          |          |     |   |           |         |  | 
|                                                                 |                                                                  | Series B preferred stock |           |              |  |              |          |          |     |   |           |         |  | 
|Series A common stock                                            |                                                                  |                          |          |              |   |              |         |          |      |   | 1,441     |        
|Common Stock                                                     |                                                                  |                          |          |              |   |              |         |          |      |   | 9,122     |        
|Additional paid in- capital                                      |                                                                  |                          |          |              |   |              | (160,264 | )(h)     |      |   | 235,784   |        
|Additional paid-in- capital  SAC                                |                                                                  |                          | 3,199     |              |   |              | (3,199   | )(c)     |      |   | 3,199     |        
|Accumulated other comprehensive (loss)                           |                                                                  |                          |          |              |   |              |         |          |      |   | (25,801   | )      
|Accumulated other comprehensive
    income/(loss)  SAC Holdings |                                                                  |                          | 3,598     |              |   |              | (3,598   | )(c)     |      |   | 3,598     |        
|Retained earnings                                                |                                                                  |                          | (49,461   | )            |   |              | 57,523   | (c)      |      |   | 608,593   |        
|Cost of common shares in treasury, net                           |                                                                  |                          | (3,199    | )            |   |              |         |          |      |   | (421,378  | )      
|Unearned ESOP shares                                             |                                                                  |                          |          |              |   |              |         |          |      |   | (12,722   | )      
|                                                                 |                                                                  |                          |           |              |   |              |          |          |      |   |           |        
|Total stockholders equity                                       |                                                                  |                          | (45,863   | )            |   |              | (109,538 | )(c)     |      |   | 401,836   |        
|                                                                 |                                                                  |                          |           |              |   |              |          |          |      |   |           |        
|Total Liabilities and Stockholders Equity                       |                                                                  | $                        | 984,479   |              |   | $            | (722,120 | )        |      | $ | 3,806,455 |        
|                                                                 |                                                                  |                          |           |              |   |              |          |          |      |   |           |        



---



|    |  |                                                                                                                                   
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------
|(a) |  | Balances as of September 30, 2003                                                                                                 
|   
|(b) |  | Included in this caption is land of $260,496,
    buildings and improvements of $727,586 and furniture and
    equipment of $3,404
|   
|(c) |  | Eliminate investment in subsidiaries                                                                                              
|   
|(d) |  | Eliminate intercompany receivables and payables                                                                                   
|   
|(e) |  | Eliminate intercompany lease income                                                                                               
|   
|(f) |  | Eliminate intercompany premiums                                                                                                   
|   
|(g) |  | Eliminate intercompany interest on debt                                                                                           
|   
|(h) |  | Eliminate gain on sale of surplus property from
    AMERCO to SAC                                                                 

17



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                          
|-- | -----------------------------------------------------------------------------------------
|6. | Consolidating balance sheets by industry
    segment as of March 31, 2003 are as follows:

|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |           | 
|---------------------------------------- | --------------------------------------------------- | -------------- | --------- | ---------- |  | ----------- | --------- | ------------ |  | ------------ | ------- | ------------ |  | ------------ | ------- | - |  | - | ------- | - |  | - | ---------- | ---- |  | - | --------- | --------- | 
|                                         |                                                     |                |           | U-Haul     |  |             |           |              |  |              |         |              |  |             
|                                         |                                                     |                |           | Moving and |  |             |           | Property and |  |              |         |              |  |             
|Balance Sheet                            |                                                     |                |           | Storage    |  |             |           | Casualty     |  | Life         |         |              |  | AMERCO      
|March 31, 2003                           |                                                     | AMERCO         |           | Operations |  | Real Estate |           | Insurance(a) |  | Insurance(a) |         | Eliminations |  | Consolidated
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |             
|                                         |                                                     |               
|                                         |                                                     | (In thousands)
|Assets:                                  |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|Cash and cash equivalents                |                                                     | $              | 18,524    |            |  | $           | 30,046    |              |  | $            | 174     |              |  | $            | 4,108   |   |  | $ | 9,320   |   |  | $ |           |      |  | $ | 62,172    |          
|Trade receivables, net                   |                                                     |                |          |            |  |             | 3,238     |              |  |              | 12,823  |              |  |              | 224,427 |   |  |   | 23,062  |   |  |   |           |      |  |   | 263,550   |          
|Notes and mortgage receivables, net      |                                                     |                |          |            |  |             | 29,668    |              |  |              | 6,020   |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 35,688    |          
|Inventories, net                         |                                                     |                |          |            |  |             | 49,229    |              |  |              | 4       |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 49,233    |          
|Prepaid expenses                         |                                                     |                | 87        |            |  |             | 27,400    |              |  |              | 11      |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 27,498    |          
|Investments, fixed maturities            |                                                     |                |          |            |  |             |          |              |  |              |        |              |  |              | 253,871 |   |  |   | 613,206 |   |  |   |           |      |  |   | 867,077   |          
|Investments, other                       |                                                     |                | 135,000   |            |  |             | 170,886   |              |  |              | 217,619 |              |  |              | 120,372 |   |  |   | 224,604 |   |  |   | (79,707    | )(d) |  |   | 788,774   |          
|Deferred policy acquisition costs, net   |                                                     |                |          |            |  |             |          |              |  |              |        |              |  |              | 13,206  |   |  |   | 91,894  |   |  |   |           |      |  |   | 105,100   |          
|Other assets                             |                                                     |                | 471,884   |            |  |             | 161,825   |              |  |              | 3,991   |              |  |              | 88,660  |   |  |   | 2,289   |   |  |   | (689,684   | )(d) |  |   | 38,965    |          
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         |                                                     |                | 625,495   |            |  |             | 472,292   |              |  |              | 240,642 |              |  |              | 704,644 |   |  |   | 964,375 |   |  |   | (769,391   | )    |  |   | 2,238,057 |          
|Investment in Subsidiaries               |                                                     |                | 1,037,756 |            |  |             |          |              |  |              |        |              |  |              |        |   |  |   |        |   |  |   | (1,037,756 | )(c) |  |   |          |          
|Investment in SAC                        |                                                     |                | (41,938   | )          |  |             |          |              |  |              |        |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | (41,938   | )        
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|Total Investment in Subsidiaries         |                                                     |                | 995,818   |            |  |             |          |              |  |              |        |              |  |              |        |   |  |   |        |   |  |   | (1,037,756 | )    |  |   | (41,938   | )        
|Property, plant, and equipment, at cost: |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         | Land                                                |                |           |           |  |             |           | 18,849       |  |              |         | 139,138      |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 157,987   | 
|                                         | Buildings and improvements                          |                |           |           |  |             |           | 145,177      |  |              |         | 602,676      |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 747,853   | 
|                                         | Furniture and equipment                             |                |           | 459        |  |             |           | 272,884      |  |              |         | 18,040       |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 291,383   | 
|                                         | Rental trailers and other rental equipment          |                |           |           |  |             |           | 149,707      |  |              |         |             |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 149,707   | 
|                                         | Rental trucks                                       |                |           |           |  |             |           | 1,140,294    |  |              |         |             |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 1,140,294 | 
|                                         | SAC Holdings  Property, plant and
    equipment(b) |                |           |           |  |             |           |             |  |              |         |             |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           |          | 
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         |                                                     |                | 459       |            |  |             | 1,726,911 |              |  |              | 759,854 |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 2,487,224 |          
|Less: Accumulated depreciation           |                                                     |                | 315       |            |  |             | 990,412   |              |  |              | 254,409 |              |  |              |        |   |  |   |        |   |  |   |           |      |  |   | 1,245,136 |          
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|                                         | Total property, plant and equipment                 |                |           | 144        |  |             |           | 736,499      |  |              |         | 505,445      |  |              |         |  |  |   |         |  |  |   |            |     |  |   |           | 1,242,088 | 
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          
|Total Assets                             |                                                     | $              | 1,621,457 |            |  | $           | 1,208,791 |              |  | $            | 746,087 |              |  | $            | 704,644 |   |  | $ | 964,375 |   |  | $ | (1,807,147 | )    |  | $ | 3,438,207 |          
|                                         |                                                     |                |           |            |  |             |           |              |  |              |         |              |  |              |         |   |  |   |         |   |  |   |            |      |  |   |           |          

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                         |                                                     |                |           |              |  |              |          |          |      |   |           |           | 
|---------------------------------------- | --------------------------------------------------- | -------------- | --------- | ------------ |  | ------------ | -------- | -------- | ---- | - | --------- | --------- | 
|                                         |                                                     | SAC            |           |              |  |             
|                                         |                                                     | Moving and     |           |              |  |             
|Balance Sheet                            |                                                     | Storage        |           |              |  | Total       
|March 31, 2003                           |                                                     | Operations     |           | Eliminations |  | Consolidated
|                                         |                                                     |                |           |              |  |             
|                                         |                                                     |               
|                                         |                                                     | (In thousands)
|Assets:                                  |                                                     |                |           |              |  |              |          |          |      |   |           |          
|Cash and cash equivalents                |                                                     | $              | 4,662     |              |  | $            |         |          |      | $ | 66,834    |          
|Trade receivables, net                   |                                                     |                |          |              |  |              | (7,754   | )(d)     |      |   | 255,796   |          
|Notes and mortgage receivables, net      |                                                     |                |          |              |  |              | (24,879  | )(d)     |      |   | 10,809    |          
|Inventories, net                         |                                                     |                | 4,037     |              |  |              |         |          |      |   | 53,270    |          
|Prepaid expenses                         |                                                     |                | 811       |              |  |              | (6,463   | )(d)     |      |   | 21,846    |          
|Investments, fixed maturities            |                                                     |                |          |              |  |              | (6,477   | )(d)     |      |   | 860,600   |          
|Investments, other                       |                                                     |                |          |              |  |              | (399,522 | )(d)     |      |   | 389,252   |          
|Deferred policy acquisition costs, net   |                                                     |                |          |              |  |              |         |          |      |   | 105,100   |          
|Other assets                             |                                                     |                | 24,635    |              |  |              |         |          |      |   | 63,600    |          
|                                         |                                                     |                |           |              |  |              |          |          |      |   |           |          
|                                         |                                                     |                | 34,145    |              |  |              | (445,095 | )(c)     |      |   | 1,827,107 |          
|Investment in Subsidiaries               |                                                     |                |          |              |  |              |         |          |      |   |          |          
|Investment in SAC                        |                                                     |                |          |              |  |              | 41,938   | (c)      |      |   |          |          
|                                         |                                                     |                |           |              |  |              |          |          |      |   |           |          
|Total Investment in Subsidiaries         |                                                     |                |          |              |  |              | 41,938   |          |      |   |          |          
|Property, plant, and equipment, at cost: |                                                     |                |           |              |  |              |          |          |      |   |           |          
|                                         | Land                                                |                |           |             |  |              |          |         |      |   |           | 157,987   | 
|                                         | Buildings and improvements                          |                |           |             |  |              |          |         |      |   |           | 747,853   | 
|                                         | Furniture and equipment                             |                |           |             |  |              |          |         |      |   |           | 291,383   | 
|                                         | Rental trailers and other rental equipment          |                |           |             |  |              |          |         |      |   |           | 149,707   | 
|                                         | Rental trucks                                       |                |           |             |  |              |          |         |      |   |           | 1,140,294 | 
|                                         | SAC Holdings  Property, plant and
    equipment(b) |                |           | 1,015,563    |  |              |          | (258,271 | )(h) |   |           | 757,292   | 
|                                         |                                                     |                |           |              |  |              |          |          |      |   |           |          
|                                         |                                                     |                | 1,015,563 |              |  |              | (258,271 | )        |      |   | 3,244,516 |          
|Less: Accumulated depreciation           |                                                     |                | 59,679    |              |  |              | (6,616   | )        |      |   | 1,298,199 |          
|                                         |                                                     |                |           |              |  |              |          |          |      |   |           |          
|                                         | Total property, plant and equipment                 |                |           | 955,884      |  |              |          | (251,655 | )    |   |           | 1,946,317 | 
|                                         |                                                     |                |           |              |  |              |          |          |      |   |           |          
|Total Assets                             |                                                     | $              | 990,029   |              |  | $            | (654,812 | )        |      | $ | 3,773,424 |          
|                                         |                                                     |                |           |              |  |              |          |          |      |   |           |          



---



|    |                                                                                                                                   
|--- | ----------------------------------------------------------------------------------------------------------------------------------
|(a) | Balances as of December 31, 2002                                                                                                  
|   
|(b) | Included in this caption is land of $273,470,
    buildings and improvements of $739,534 and furniture and
    equipment of $2,559
|   
|(c) | Eliminate investment in subsidiaries                                                                                              
|   
|(d) | Eliminate intercompany receivables and payables                                                                                   
|   
|(e) | Eliminate intercompany lease income                                                                                               
|   
|(f) | Eliminate intercompany premiums                                                                                                   
|   
|(g) | Eliminate intercompany interest on debt                                                                                           
|   
|(h) | Eliminate gain on sale of surplus property from
    AMERCO to SAC                                                                 

18



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

6.     Consolidating
balance sheets by industry segment as of March 31, 2003 are
as follows:

|                                                                 |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |      |   |           |         | 
|---------------------------------------------------------------- | ---------------------------------------------------------------- | -------------- | --------- | ---------- |  | ----------- | --------- | ------------ |  | ------------ | ------- | ------------ |  | ------------ | ------- | ------- |  | - | ------- | ------- |  | - | ---------- | -------- | ---- | - | --------- | ------- | 
|Balance                                                          |                                                                  |                |           | U-Haul     |  |             |           |              |  |              |         |              |  |             
|Sheet  March                                                    |                                                                  |                |           | Moving and |  |             |           | Property and |  |              |         |              |  |             
|31, 2003                                                         |                                                                  |                |           | Storage    |  |             |           | Casualty     |  | Life         |         |              |  | AMERCO      
|(Continued)                                                      |                                                                  | AMERCO         |           | Operations |  | Real Estate |           | Insurance(a) |  | Insurance(a) |         | Eliminations |  | Consolidated
|                                                                 |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |             
|                                                                 |                                                                  |               
|                                                                 |                                                                  | (In thousands)
|Liabilities:                                                     |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |      |   |           |        
|                                                                 | Payables and accrued expenses                                    |                | $         | 139,496    |  |             | $         | 263,394      |  |              | $       | 7,892        |  |              | $       |        |  |   | $       | 570     |  |   | $          | (39,735  | )(c) |   | $         | 371,617 | 
|                                                                 | AMERCOs notes and loans payable                                 |                |           | 861,158    |  |             |           | 31,693       |  |              |         | 101,505      |  |              |         |        |  |   |         |        |  |   |            | (39,500  | )(d) |   |           | 954,856 | 
|                                                                 | SAC Holdings notes and loans payable                            |                |           |           |  |             |           |             |  |              |         |             |  |              |         |        |  |   |         |        |  |   |            |         |      |   |           |        | 
|                                                                 | Policy benefits and losses, claims and loss
    expenses payable |                |           |           |  |             |           | 168,666      |  |              |         |             |  |              |         | 485,383 |  |   |         | 182,583 |  |   |            |         |      |   |           | 836,632 | 
|                                                                 | Liabilities from investment contracts                            |                |           |           |  |             |           |             |  |              |         |             |  |              |         |        |  |   |         | 639,998 |  |   |            |         |      |   |           | 639,998 | 
|                                                                 | Other policyholders funds and liabilities                       |                |           |           |  |             |           |             |  |              |         |             |  |              |         | 20,164  |  |   |         | 10,145  |  |   |            |         |      |   |           | 30,309  | 
|                                                                 | Deferred income                                                  |                |           | 2,863      |  |             |           | 30,943       |  |              |         | 1,011        |  |              |         |        |  |   |         |        |  |   |            |         |      |   |           | 34,817  | 
|                                                                 | Deferred income taxes                                            |                |           | 120,446    |  |             |           | 214,715      |  |              |         | 94,914       |  |              |         |        |  |   |         | 8,664   |  |   |            | (353,058 | )(d) |   |           | 85,681  | 
|                                                                 | Other liabilities                                                |                |           |           |  |             |           |             |  |              |         | 325,783      |  |              |         |        |  |   |         | 11,315  |  |   |            | (337,098 | )(d) |   |           |        | 
|                                                                 | Liabilities subject to compromise                                |                |           |           |  |             |           |             |  |              |         |             |  |              |         |        |  |   |         |        |  |   |            |         |      |   |           |        | 
|                                                                 |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |      |   |           |        
|Total Liabilities                                                |                                                                  |                | 1,123,963 |            |  |             | 709,411   |              |  |              | 531,105 |              |  |              | 505,547 |         |  |   | 853,275 |         |  |   | (769,391   | )        |      |   | 2,953,910 |        
|Minority Interest                                                |                                                                  |                |          |            |  |             |          |              |  |              |        |              |  |              |        |         |  |   |        |         |  |   |           |          |      |   |          |        
|Stockholders equity:                                            |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |      |   |           |        
|Series preferred stock                                           |                                                                  |                |          |            |  |             |          |              |  |              |        |              |  |              |        |         |  |   |        |         |  |   |           |          |      |   |          |        
|                                                                 | Series A preferred stock                                         |                |           |           |  |             |           |             |  |              |         |             |  |              |         |        |  |   |         |        |  |   |            |         |      |   |           |        | 
|                                                                 | Series B preferred stock                                         |                |           |           |  |             |           |             |  |              |         |             |  |              |         |        |  |   |         |        |  |   |            |         |      |   |           |        | 
|Series A common stock                                            |                                                                  |                | 1,441     |            |  |             |          |              |  |              |        |              |  |              |        |         |  |   |        |         |  |   |           |          |      |   | 1,441     |        
|Common Stock                                                     |                                                                  |                | 9,122     |            |  |             | 540       |              |  |              | 1       |              |  |              | 3,300   |         |  |   | 2,500   |         |  |   | (6,341     | )(c)     |      |   | 9,122     |        
|Additional paid in- capital                                      |                                                                  |                | 396,050   |            |  |             | 121,230   |              |  |              | 147,481 |              |  |              | 70,023  |         |  |   | 16,435  |         |  |   | (355,169   | )(c)     |      |   | 396,050   |        
|Additional paid-in- capital  SAC                                |                                                                  |                | 3,199     |            |  |             |          |              |  |              |        |              |  |              |        |         |  |   |        |         |  |   |           |          |      |   | 3,199     |        
|Accumulated other comprehensive (loss)                           |                                                                  |                | (54,278   | )          |  |             | (39,849   | )            |  |              |        |              |  |              | 13,589  |         |  |   | 4,166   |         |  |   | 22,094     | (c)      |      |   | (54,278   | )      
|Accumulated other comprehensive
    income/(loss)  SAC Holdings |                                                                  |                | (1,487    | )          |  |             |          |              |  |              |        |              |  |              |        |         |  |   |        |         |  |   |           |          |      |   | (1,487    | )      
|Retained earnings                                                |                                                                  |                | 561,606   |            |  |             | 430,656   |              |  |              | 67,500  |              |  |              | 112,185 |         |  |   | 87,999  |         |  |   | (698,340   | )(c)     |      |   | 561,606   |        
|Cost of common shares in treasury, net                           |                                                                  |                | (418,179  | )          |  |             |          |              |  |              |        |              |  |              |        |         |  |   |        |         |  |   |           |          |      |   | (418,179  | )      
|Unearned ESOP shares                                             |                                                                  |                | 20        |            |  |             | (13,197   | )            |  |              |        |              |  |              |        |         |  |   |        |         |  |   |           |          |      |   | (13,177   | )      
|                                                                 |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |      |   |           |        
|Total stockholders equity                                       |                                                                  |                | 497,494   |            |  |             | 499,380   |              |  |              | 214,982 |              |  |              | 199,097 |         |  |   | 111,100 |         |  |   | (1,037,756 | )        |      |   | 484,297   |        
|                                                                 |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |      |   |           |        
|Total Liabilities and Stockholders Equity                       |                                                                  | $              | 1,621,457 |            |  | $           | 1,208,791 |              |  | $            | 746,087 |              |  | $            | 704,644 |         |  | $ | 964,375 |         |  | $ | (1,807,147 | )        |      | $ | 3,438,207 |        
|                                                                 |                                                                  |                |           |            |  |             |           |              |  |              |         |              |  |              |         |         |  |   |         |         |  |   |            |          |      |   |           |        

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                                 |                                                                  |                |           |              |   |              |          |          |      |   |           |         |  
|---------------------------------------------------------------- | ---------------------------------------------------------------- | -------------- | --------- | ------------ | - | ------------ | -------- | -------- | ---- | - | --------- | ------- | -
|Balance                                                          |                                                                  | SAC            |           |              |   |             
|Sheet  March                                                    |                                                                  | Moving and     |           |              |   |             
|31, 2003                                                         |                                                                  | Storage        |           |              |   | Total       
|(Continued)                                                      |                                                                  | Operations     |           | Eliminations |   | Consolidated
|                                                                 |                                                                  |                |           |              |   |             
|                                                                 |                                                                  |               
|                                                                 |                                                                  | (In thousands)
|Liabilities:                                                     |                                                                  |                |           |              |   |              |          |          |      |   |           |        
|                                                                 | Payables and accrued expenses                                    |                | $         | 48,033       |   |              | $        | (32,633  | )(d) |   | $         | 387,017 |  
|                                                                 | AMERCOs notes and loans payable                                 |                |           |             |   |              |          |         |      |   |           | 954,856 |  
|                                                                 | SAC Holdings notes and loans payable                            |                |           | 983,190      |   |              |          | (394,171 | )(d) |   |           | 589,019 |  
|                                                                 | Policy benefits and losses, claims and loss
    expenses payable |                |           |             |   |              |          |         |      |   |           | 836,632 |  
|                                                                 | Liabilities from investment contracts                            |                |           |             |   |              |          |         |      |   |           | 639,998 |  
|                                                                 | Other policyholders funds and liabilities                       |                |           |             |   |              |          |         |      |   |           | 30,309  |  
|                                                                 | Deferred income                                                  |                |           | 12,033       |   |              |          | (6,463   | )(d) |   |           | 40,387  |  
|                                                                 | Deferred income taxes                                            |                |           | (19,918      | ) |              |          | (98,005  | )(h) |   |           | (32,242 | )
|                                                                 | Other liabilities                                                |                |           |             |   |              |          |         |      |   |           |        |  
|                                                                 | Liabilities subject to compromise                                |                |           |             |   |              |          |         |      |   |           |        |  
|                                                                 |                                                                  |                |           |              |   |              |          |          |      |   |           |        
|Total Liabilities                                                |                                                                  |                | 1,023,338 |              |   |              | (531,272 | )        |      |   | 3,445,976 |        
|Minority Interest                                                |                                                                  |                | 11,828    |              |   |              | (11,828  | )(c)     |      |   |          |        
|Stockholders equity:                                            |                                                                  |                |           |              |   |              |          |          |      |   |           |        
|Series preferred stock                                           |                                                                  |                |          |              |   |              |         |          |      |   |          |        
|                                                                 | Series A preferred stock                                         |                |           |             |   |              |          |         |      |   |           |        |  
|                                                                 | Series B preferred stock                                         |                |           |             |   |              |          |         |      |   |           |        |  
|Series A common stock                                            |                                                                  |                |          |              |   |              |         |          |      |   | 1,441     |        
|Common Stock                                                     |                                                                  |                |          |              |   |              |         |          |      |   | 9,122     |        
|Additional paid in- capital                                      |                                                                  |                |          |              |   |              | (160,266 | )(h)     |      |   | 235,784   |        
|Additional paid-in- capital  SAC                                |                                                                  |                | 3,199     |              |   |              | (3,199   | )(c)     |      |   | 3,199     |        
|Accumulated other comprehensive (loss)                           |                                                                  |                |          |              |   |              |         |          |      |   | (54,278   | )      
|Accumulated other comprehensive
    income/(loss)  SAC Holdings |                                                                  |                | (1,487    | )            |   |              | 1,487    | (c)      |      |   | (1,487    | )      
|Retained earnings                                                |                                                                  |                | (43,650   | )            |   |              | 50,266   | (c)      |      |   | 568,222   |        
|Cost of common shares in treasury, net                           |                                                                  |                | (3,199    | )            |   |              |         |          |      |   | (421,378  | )      
|Unearned ESOP shares                                             |                                                                  |                |          |              |   |              |         |          |      |   | (13,177   | )      
|                                                                 |                                                                  |                |           |              |   |              |          |          |      |   |           |        
|Total stockholders equity                                       |                                                                  |                | (45,137   | )            |   |              | (111,712 | )(c)     |      |   | 327,448   |        
|                                                                 |                                                                  |                |           |              |   |              |          |          |      |   |           |        
|Total Liabilities and Stockholders Equity                       |                                                                  | $              | 990,029   |              |   | $            | (654,812 | )        |      | $ | 3,773,424 |        
|                                                                 |                                                                  |                |           |              |   |              |          |          |      |   |           |        



---



|    |                                                                                                                                   
|--- | ----------------------------------------------------------------------------------------------------------------------------------
|(a) | Balances as of December 31, 2002                                                                                                  
|   
|(b) | Included in this caption is land of $273,470,
    buildings and improvements of $739,534 and furniture and
    equipment of $2,559
|   
|(c) | Eliminate investment in subsidiaries                                                                                              

(d)  Eliminate intercompany receivables
and payables



|    |                                    
|--- | -----------------------------------
|(e) | Eliminate intercompany lease income
|   
|(f) | Eliminate intercompany premiums    

(g)  Eliminate intercompany interest on
debt



|    |                                                                  
|--- | -----------------------------------------------------------------
|(h) | Eliminate gain on sale of surplus property from
    AMERCO to SAC

19



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                                                           
|-- | --------------------------------------------------------------------------------------------------------------------------
|6. | Consolidating statements of operations by
    industry segment for the quarter ended December 31, 2003
    are as follows:

|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |         |         | 
|---------------------------------------------------- | ------------------------------------------------- | ------------------------ | ------- | ---------- | ------ | ----------- | ------- | ------------ | ------- | ------------ | ------ | ------------ | ----- | ------------ | ------ | ------ | ------ | - | ----- | ------ | ------ | - | ----- | ------- | ------- | - | ------- | ------- | ------- | 
|Quarter                                              |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |             
|Ended                                                |                                                   |                          |         | U-Haul     |        |             |         |              |         |              |        |              |       |             
|December                                             |                                                   |                          |         | Moving and |        |             |         | Property and |         |              |        |              |       |             
|31,                                                  |                                                   |                          |         | Storage    |        |             |         | Casualty     |         | Life         |        |              |       | AMERCO      
|2003                                                 |                                                   | AMERCO                   |         | Operations |        | Real Estate |         | Insurance(a) |         | Insurance(a) |        | Eliminations |       | Consolidated
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |             
|                                                     |                                                   |                         
|                                                     |                                                   | (In thousands)          
|Revenues:                                            |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|                                                     | Rental revenue                                    |                          | $       |           |        |             | $       | 356,803      |         |              | $      | 20,131       |       |              | $      |       |        |   | $     |       |        |   | $     | (20,215 | )(e)    |   | $       | 356,719 |        
|                                                     | Net sales                                         |                          |         |           |        |             |         | 36,655       |         |              |        | 15           |       |              |        |       |        |   |       |       |        |   |       |        |         |   |         | 36,670  |        
|                                                     | Premiums                                          |                          |         |           |        |             |         |             |         |              |        |             |       |              |        | 20,106 |        |   |       | 36,427 |        |   |       | (445    | )(f)    |   |         | 56,088  |        
|                                                     | Net investment and interest income                |                          |         | 529        |        |             |         | 6,908        |         |              |        | 2,017        |       |              |        | 7,258  |        |   |       | 4,743  |        |   |       |        |         |   |         | 21,455  |        
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|                                                     | Total Revenues                                    |                          |         | 529        |        |             |         | 400,366      |         |              |        | 22,163       |       |              |        | 27,364 |        |   |       | 41,170 |        |   |       | (20,660 | )       |   |         | 470,932 |        
|Costs and expenses:                                  |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|                                                     | Operating expenses                                |                          |         | 13,766     |        |             |         | 283,936      |         |              |        | 3,687        |       |              |        | 3,460  |        |   |       | 6,020  |        |   |       | (20,660 | )(e)    |   |         | 290,209 |        
|                                                     | Commission expenses                               |                          |         |           |        |             |         | 38,123       |         |              |        |             |       |              |        |       |        |   |       |       |        |   |       |        |         |   |         | 38,123  |        
|                                                     | Cost of sales                                     |                          |         |           |        |             |         | 19,684       |         |              |        | 5            |       |              |        |       |        |   |       |       |        |   |       |        |         |   |         | 19,689  |        
|                                                     | Benefits and losses                               |                          |         |           |        |             |         |             |         |              |        |             |       |              |        | 26,597 |        |   |       | 24,359 |        |   |       |        |         |   |         | 50,956  |        
|                                                     | Amortization of deferred policy acquisition costs |                          |         |           |        |             |         |             |         |              |        |             |       |              |        | 4,676  |        |   |       | 6,351  |        |   |       |        |         |   |         | 11,027  |        
|                                                     | Lease expense                                     |                          |         | 231        |        |             |         | 36,224       |         |              |        | 3,136        |       |              |        |       |        |   |       |       |        |   |       |        |         |   |         | 39,591  |        
|                                                     | Depreciation, net                                 |                          |         | 3          |        |             |         | 32,799       |         |              |        | 926          |       |              |        |       |        |   |       |       |        |   |       |        |         |   |         | 33,728  |        
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|                                                     |                                                   | Total costs and expenses |         |            | 14,000 |             |         |              | 410,766 |              |        |              | 7,754 |              |        |        | 34,733 |   |       |        | 36,730 |   |       |         | (20,660 | ) |         |         | 483,323 | 
|Equity in earnings of AREC, UHI, RW & OLIC           |                                                   |                          | (2,983  | )          |        |             |        |              |         |              |       |              |       |              |       |        |        |   |      |        |        |   | 2,983 |         |         |   |        |        
|Equity in earnings of SAC                            |                                                   |                          | 216     |            |        |             |        |              |         |              |       |              |       |              |       |        |        |   |      |        |        |   |      |         |         |   | 216     |        
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|Total  equity earnings in subsidiaries              |                                                   |                          | (2,767  | )          |        |             |        |              |         |              |       |              |       |              |       |        |        |   |      |        |        |   | 2,983 |         |         |   | 216     |        
|Earnings (losses) from operations                    |                                                   |                          | (16,238 | )          |        |             | (10,400 | )            |         |              | 14,409 |              |       |              | (7,369 | )      |        |   | 4,440 |        |        |   | 2,983 |         |         |   | (12,175 | )      
|                                                     | Interest Expense                                  |                          |         | 14,485     |        |             |         | (2,868       | )       |              |        | 8,127        |       |              |        |       |        |   |       |       |        |   |       |        |         |   |         | 19,744  |        
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|Pretax earnings (loss)                               |                                                   |                          | (30,723 | )          |        |             | (7,532  | )            |         |              | 6,282  |              |       |              | (7,369 | )      |        |   | 4,440 |        |        |   | 2,983 |         |         |   | (31,919 | )      
|                                                     | Income tax benefit (expense)                      |                          |         | 8,574      |        |             |         | 3,238        |         |              |        | (2,557       | )     |              |        | 2,573  |        |   |       | (2,058 | )      |   |       |        |         |   |         | 9,770   |        
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|                                                     | Net earnings (loss)                               |                          |         | (22,149    | )      |             |         | (4,294       | )       |              |        | 3,725        |       |              |        | (4,796 | )      |   |       | 2,382  |        |   |       | 2,983   |         |   |         | (22,149 | )      
|Less: Preferred stock dividends                      |                                                   |                          | 3,241   |            |        |             |        |              |         |              |       |              |       |              |       |        |        |   |      |        |        |   |      |         |         |   | 3,241   |        
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        
|Earnings (loss) available to common
    shareholders |                                                   | $                        | (25,390 | )          |        | $           | (4,294  | )            |         | $            | 3,725  |              |       | $            | (4,796 | )      |        | $ | 2,382 |        |        | $ | 2,983 |         |         | $ | (25,390 | )      
|                                                     |                                                   |                          |         |            |        |             |         |              |         |              |        |              |       |              |        |        |        |   |       |        |        |   |       |         |         |   |         |        

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |         |         | 
|---------------------------------------------------- | ------------------------------------------------- | ------------------------ | ------ | ------------ | ------ | ------------ | ------ | ------- | ------- | - | ------- | ------- | ------- | 
|Quarter                                              |                                                   |                          |        |              |        |             
|Ended                                                |                                                   | SAC                      |        |              |        |             
|December                                             |                                                   | Moving and               |        |              |        |             
|31,                                                  |                                                   | Storage                  |        |              |        | Total       
|2003                                                 |                                                   | Operations               |        | Eliminations |        | Consolidated
|                                                     |                                                   |                          |        |              |        |             
|                                                     |                                                   |                         
|                                                     |                                                   | (In thousands)          
|Revenues:                                            |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Rental revenue                                    |                          | $      | 43,298       |        |              | $      | (13,520 | )(e)    |   | $       | 386,497 |        
|                                                     | Net sales                                         |                          |        | 10,501       |        |              |        |        |         |   |         | 47,171  |        
|                                                     | Premiums                                          |                          |        |             |        |              |        |        |         |   |         | 56,088  |        
|                                                     | Net investment and interest income                |                          |        |             |        |              |        | (8,628  | )(g)    |   |         | 12,827  |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Total Revenues                                    |                          |        | 53,799       |        |              |        | (22,148 | )       |   |         | 502,583 |        
|Costs and expenses:                                  |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Operating expenses                                |                          |        | 24,926       |        |              |        | (3,156  | )(e)    |   |         | 311,979 |        
|                                                     | Commission expenses                               |                          |        |             |        |              |        | (6,987  | )(e)    |   |         | 31,136  |        
|                                                     | Cost of sales                                     |                          |        | 4,218        |        |              |        |        |         |   |         | 23,907  |        
|                                                     | Benefits and losses                               |                          |        |             |        |              |        |        |         |   |         | 50,956  |        
|                                                     | Amortization of deferred policy acquisition costs |                          |        |             |        |              |        |        |         |   |         | 11,027  |        
|                                                     | Lease expense                                     |                          |        |             |        |              |        | (3,377  | )(e)    |   |         | 36,214  |        
|                                                     | Depreciation, net                                 |                          |        | 5,148        |        |              |        | (482    | )(h)    |   |         | 38,394  |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     |                                                   | Total costs and expenses |        |              | 34,292 |              |        |         | (14,002 | ) |         |         | 503,613 | 
|Equity in earnings of AREC, UHI, RW & OLIC           |                                                   |                          |       |              |        |              |       |         |         |   |        |        
|Equity in earnings of SAC                            |                                                   |                          |       |              |        |              | (216   | )       |         |   |        |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|Total  equity earnings in subsidiaries              |                                                   |                          |       |              |        |              | (216   | )       |         |   |        |        
|Earnings (losses) from operations                    |                                                   |                          | 19,507 |              |        |              | (8,362 | )       |         |   | (1,030  | )      
|                                                     | Interest Expense                                  |                          |        | 20,052       |        |              |        | (8,628  | )(g)    |   |         | 31,168  |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|Pretax earnings (loss)                               |                                                   |                          | (545   | )            |        |              | 266    |         |         |   | (32,198 | )      
|                                                     | Income tax benefit (expense)                      |                          |        | 761          |        |              |        |        |         |   |         | 10,531  |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Net earnings (loss)                               |                          |        | 216          |        |              |        | 266     |         |   |         | (21,667 | )      
|Less: Preferred stock dividends                      |                                                   |                          |       |              |        |              |       |         |         |   | 3,241   |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|Earnings (loss) available to common
    shareholders |                                                   | $                        | 216    |              |        | $            | 266    |         |         | $ | (24,908 | )      
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        



---



|    |                                                                                                                                   
|--- | ----------------------------------------------------------------------------------------------------------------------------------
|(a) | Balances are for the quarter ending
    September 30, 2003                                                                        
|   
|(b) | Included in this caption is land of $260,496,
    buildings and improvements of $727,586 and furniture and
    equipment of $3,404
|   
|(c) | Eliminate investment in subsidiaries                                                                                              
|   
|(d) | Eliminate intercompany receivables and payables                                                                                   
|   
|(e) | Eliminate intercompany lease income                                                                                               
|   
|(f) | Eliminate intercompany premiums                                                                                                   
|   
|(g) | Eliminate intercompany interest on debt                                                                                           
|   
|(h) | Eliminate gain on sale of surplus property from
    AMERCO to SAC                                                                 

20



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                                                                         
|-- | ----------------------------------------------------------------------------------------------------------------------------------------
|6. | Consolidating statements of operations by
    industry segment for the quarter ended December 31, 2002
    are as follows (as restated):

|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |         |         | 
|---------------------------------------------------- | ------------------------------------------------- | ------------------------ | ------- | ---------- | ----- | ----------- | ------- | ------------ | ------- | ------------ | ------- | ------------ | ------ | ------------ | ---- | ------ | ------ | - | ----- | ------ | ------ | - | ------ | ------- | ------- | - | ------- | ------- | ------- | 
|Quarter                                              |                                                   |                          |         | U-Haul     |       |             |         |              |         |              |         |              |        |             
|Ended                                                |                                                   |                          |         | Moving and |       |             |         | Property and |         |              |         |              |        |             
|December                                             |                                                   |                          |         | Storage    |       |             |         | Casualty     |         | Life         |         |              |        | AMERCO      
|31, 2002                                             |                                                   | AMERCO                   |         | Operations |       | Real Estate |         | Insurance(a) |         | Insurance(a) |         | Eliminations |        | Consolidated
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |             
|                                                     |                                                   |                         
|                                                     |                                                   | (In thousands)          
|Revenues:                                            |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|                                                     | Rental revenue                                    |                          | $       |           |       |             | $       | 307,938      |         |              | $       | 21,675       |        |              | $    |       |        |   | $     |       |        |   | $      | (21,747 | )(e)    |   | $       | 307,866 |        
|                                                     | Net sales                                         |                          |         |           |       |             |         | 34,881       |         |              |         | 13           |        |              |      |       |        |   |       |       |        |   |        |        |         |   |         | 34,894  |        
|                                                     | Premiums                                          |                          |         |           |       |             |         |             |         |              |         |             |        |              |      | 40,557 |        |   |       | 40,406 |        |   |        | (848    | )(f)    |   |         | 80,115  |        
|                                                     | Net investment and interest income                |                          |         | (8,403     | )     |             |         | 7,280        |         |              |         | 3,056        |        |              |      | 6,207  |        |   |       | 5,263  |        |   |        | 3,952   |         |   |         | 17,355  |        
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|                                                     | Total Revenues                                    |                          |         | (8,403     | )     |             |         | 350,099      |         |              |         | 24,744       |        |              |      | 46,764 |        |   |       | 45,669 |        |   |        | (18,643 | )       |   |         | 440,230 |        
|Costs and expenses:                                  |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|                                                     | Operating expenses                                |                          |         | 6,265      |       |             |         | 253,244      |         |              |         | 6,964        |        |              |      | 13,587 |        |   |       | 9,706  |        |   |        | (24,856 | )(e)    |   |         | 264,910 |        
|                                                     | Commission expenses                               |                          |         |           |       |             |         | 38,864       |         |              |         |             |        |              |      |       |        |   |       |       |        |   |        |        |         |   |         | 38,864  |        
|                                                     | Cost of sales                                     |                          |         |           |       |             |         | 18,876       |         |              |         | 1            |        |              |      |       |        |   |       |       |        |   |        |        |         |   |         | 18,877  |        
|                                                     | Benefits and losses                               |                          |         |           |       |             |         |             |         |              |         |             |        |              |      | 31,788 |        |   |       | 27,921 |        |   |        |        |         |   |         | 59,709  |        
|                                                     | Amortization of deferred policy acquisition costs |                          |         |           |       |             |         |             |         |              |         |             |        |              |      | 1,638  |        |   |       | 4,615  |        |   |        |        |         |   |         | 6,253   |        
|                                                     | Lease expense                                     |                          |         | 234        |       |             |         | 32,268       |         |              |         | 2,748        |        |              |      |       |        |   |       |       |        |   |        |        |         |   |         | 35,250  |        
|                                                     | Depreciation, net                                 |                          |         | 13         |       |             |         | 27,942       |         |              |         | 1,174        |        |              |      |       |        |   |       |       |        |   |        |        |         |   |         | 29,129  |        
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|                                                     |                                                   | Total costs and expenses |         |            | 6,512 |             |         |              | 371,194 |              |         |              | 10,887 |              |      |        | 47,013 |   |       |        | 42,242 |   |        |         | (24,856 | ) |         |         | 452,992 | 
|Equity in earnings of AREC, UHI, RW & OLIC           |                                                   |                          | (6,323  | )          |       |             |        |              |         |              |        |              |        |              |     |        |        |   |      |        |        |   | 6,323  |         |         |   |        |        
|Equity in earnings of SAC                            |                                                   |                          | (4,338  | )          |       |             |        |              |         |              |        |              |        |              |     |        |        |   |      |        |        |   |       |         |         |   | (4,338  | )      
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|Total  equity earnings in subsidiaries              |                                                   |                          | (10,661 | )          |       |             |        |              |         |              |        |              |        |              |     |        |        |   |      |        |        |   | 6,323  |         |         |   | (4,338  | )      
|Earnings (losses) from operations                    |                                                   |                          | (25,576 | )          |       |             | (21,095 | )            |         |              | 13,857  |              |        |              | (249 | )      |        |   | 3,427 |        |        |   | 12,536 |         |         |   | (17,100 | )      
|                                                     | Interest Expense                                  |                          |         | 12,632     |       |             |         | 1,532        |         |              |         | 7,853        |        |              |      |       |        |   |       |       |        |   |        |        |         |   |         | 22,017  |        
|                                                     | Fees on early extinguishment of BBATs            |                          |         | 26,551     |       |             |         |             |         |              |         |             |        |              |      |       |        |   |       |       |        |   |        |        |         |   |         | 26,551  |        
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|Pretax earnings (loss)                               |                                                   |                          | (64,759 | )          |       |             | (22,627 | )            |         |              | 6,004   |              |        |              | (249 | )      |        |   | 3,427 |        |        |   | 12,536 |         |         |   | (65,668 | )      
|Income tax benefit (expense)                         |                                                   |                          | 18,494  |            |       |             | (12,616 | )            |         |              | (15,264 | )            |        |              | 881  |        |        |   | (277  | )      |        |   | 28,185 |         |         |   | 19,403  |        
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|                                                     | Net earnings (loss)                               |                          |         | (46,265    | )     |             |         | (35,243      | )       |              |         | (9,260       | )      |              |      | 632    |        |   |       | 3,150  |        |   |        | 40,721  |         |   |         | (46,265 | )      
|Less: Preferred stock dividends                      |                                                   |                          | 3,241   |            |       |             |        |              |         |              |        |              |        |              |     |        |        |   |      |        |        |   |       |         |         |   | 3,241   |        
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        
|Earnings (loss) available to common
    shareholders |                                                   | $                        | (49,506 | )          |       | $           | (35,243 | )            |         | $            | (9,260  | )            |        | $            | 632  |        |        | $ | 3,150 |        |        | $ | 40,721 |         |         | $ | (49,506 | )      
|                                                     |                                                   |                          |         |            |       |             |         |              |         |              |         |              |        |              |      |        |        |   |       |        |        |   |        |         |         |   |         |        

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |         |         | 
|---------------------------------------------------- | ------------------------------------------------- | ------------------------ | ------ | ------------ | ------ | ------------ | ------ | ------- | ------- | - | ------- | ------- | ------- | 
|Quarter                                              |                                                   | SAC                      |        |              |        |             
|Ended                                                |                                                   | Moving and               |        |              |        |             
|December                                             |                                                   | Storage                  |        |              |        | Total       
|31, 2002                                             |                                                   | Operations               |        | Eliminations |        | Consolidated
|                                                     |                                                   |                          |        |              |        |             
|                                                     |                                                   |                         
|                                                     |                                                   | (In thousands)          
|Revenues:                                            |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Rental revenue                                    |                          | $      | 39,369       |        |              | $      | (11,475 | )(e)    |   | $       | 335,760 |        
|                                                     | Net sales                                         |                          |        | 10,180       |        |              |        |        |         |   |         | 45,074  |        
|                                                     | Premiums                                          |                          |        |             |        |              |        |        |         |   |         | 80,115  |        
|                                                     | Net investment and interest income                |                          |        |             |        |              |        | (11,081 | )(g)    |   |         | 6,274   |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Total Revenues                                    |                          |        | 49,549       |        |              |        | (22,556 | )       |   |         | 467,223 |        
|Costs and expenses:                                  |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Operating expenses                                |                          |        | 24,698       |        |              |        | (2,850  | )(e)    |   |         | 286,758 |        
|                                                     | Commission expenses                               |                          |        |             |        |              |        | (6,640  | )(e)    |   |         | 32,224  |        
|                                                     | Cost of sales                                     |                          |        | 3,545        |        |              |        |        |         |   |         | 22,422  |        
|                                                     | Benefits and losses                               |                          |        |             |        |              |        |        |         |   |         | 59,709  |        
|                                                     | Amortization of deferred policy acquisition costs |                          |        |             |        |              |        |        |         |   |         | 6,253   |        
|                                                     | Lease expense                                     |                          |        |             |        |              |        | (1,985  | )(e)    |   |         | 33,265  |        
|                                                     | Depreciation, net                                 |                          |        | 4,667        |        |              |        | (482    | )(h)    |   |         | 33,314  |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     |                                                   | Total costs and expenses |        |              | 32,910 |              |        |         | (11,957 | ) |         |         | 473,945 | 
|Equity in earnings of AREC, UHI, RW & OLIC           |                                                   |                          |       |              |        |              |       |         |         |   |        |        
|Equity in earnings of SAC                            |                                                   |                          |       |              |        |              | 4,338  |         |         |   |        |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|Total  equity earnings in subsidiaries              |                                                   |                          |       |              |        |              | 4,338  |         |         |   |        |        
|Earnings (losses) from operations                    |                                                   |                          | 16,639 |              |        |              | (6,261 | )       |         |   | (6,722  | )      
|                                                     | Interest Expense                                  |                          |        | 20,483       |        |              |        | (11,081 | )(g)    |   |         | 31,419  |        
|                                                     | Fees on early extinguishment of BBATs            |                          |        |             |        |              |        |        |         |   |         | 26,551  |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|Pretax earnings (loss)                               |                                                   |                          | (3,844 | )            |        |              | 4,820  |         |         |   | (64,692 | )      
|Income tax benefit (expense)                         |                                                   |                          | (494   | )            |        |              |       |         |         |   | 18,909  |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|                                                     | Net earnings (loss)                               |                          |        | (4,338       | )      |              |        | 4,820   |         |   |         | (45,783 | )      
|Less: Preferred stock dividends                      |                                                   |                          |       |              |        |              |       |         |         |   | 3,241   |        
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        
|Earnings (loss) available to common
    shareholders |                                                   | $                        | (4,338 | )            |        | $            | 4,820  |         |         | $ | (49,024 | )      
|                                                     |                                                   |                          |        |              |        |              |        |         |         |   |         |        



---



|    |  |                                                                                                                                   
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------
|(a) |  | Balances are for the quarter ending
    September 30, 2002                                                                        
|   
|(b) |  | Included in this caption is land of $260,496,
    buildings and improvements of $727,586 and furniture and
    equipment of $3,404
|   
|(c) |  | Eliminate investment in subsidiaries                                                                                              
|   
|(d) |  | Eliminate intercompany receivables and payables                                                                                   
|   
|(e) |  | Eliminate intercompany lease income                                                                                               
|   
|(f) |  | Eliminate intercompany premiums                                                                                                   
|   
|(g) |  | Eliminate intercompany interest on debt                                                                                           
|   
|(h) |  | Eliminate gain on sale of surplus property from
    AMERCO to SAC                                                                 

21



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                                                               
|-- | ------------------------------------------------------------------------------------------------------------------------------
|6. | Consolidating statements of operations by
    industry segment for the nine months ended December 31,
    2003 are as follows:

|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |           |           | 
|---------------------------------------------------- | ------------------------------------------------- | ------------------------ | ------- | ---------- | ------ | ----------- | ------- | ------------ | --------- | ------------ | ------ | ------------ | ------ | ------------ | ------- | ------- | ------- | - | ----- | ------- | ------- | - | -------- | -------- | ------- | - | ------- | --------- | --------- | 
|Nine Months                                          |                                                   |                          |         | U-Haul     |        |             |         |              |           |              |        |              |        |             
|Ended                                                |                                                   |                          |         | Moving and |        |             |         | Property and |           |              |        |              |        |             
|December 31,                                         |                                                   |                          |         | Storage    |        |             |         | Casualty     |           | Life         |        |              |        | AMERCO      
|2003                                                 |                                                   | AMERCO                   |         | Operations |        | Real Estate |         | Insurance(a) |           | Insurance(a) |        | Eliminations |        | Consolidated
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |             
|                                                     |                                                   |                         
|                                                     |                                                   | (In thousands)          
|Revenues:                                            |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|                                                     | Rental revenue                                    |                          | $       |           |        |             | $       | 1,220,036    |           |              | $      | 50,271       |        |              | $       |        |         |   | $     |        |         |   | $        | (50,376  | )(e)    |   | $       | 1,219,931 |          
|                                                     | Net sales                                         |                          |         |           |        |             |         | 142,375      |           |              |        | 52           |        |              |         |        |         |   |       |        |         |   |          |         |         |   |         | 142,427   |          
|                                                     | Premiums                                          |                          |         |           |        |             |         |             |           |              |        |             |        |              |         | 78,247  |         |   |       | 112,852 |         |   |          | (3,075   | )(f)    |   |         | 188,024   |          
|                                                     | Net investment and interest income                |                          |         | 1,057      |        |             |         | 22,740       |           |              |        | 6,012        |        |              |         | 19,180  |         |   |       | 15,420  |         |   |          |         |         |   |         | 64,409    |          
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|                                                     | Total revenues                                    |                          |         | 1,057      |        |             |         | 1,385,151    |           |              |        | 56,335       |        |              |         | 97,427  |         |   |       | 128,272 |         |   |          | (53,451  | )       |   |         | 1,614,791 |          
|Costs and expenses:                                  |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|                                                     | Operating expenses                                |                          |         | 32,399     |        |             |         | 817,768      |           |              |        |             |        |              |         | 17,761  |         |   |       | 23,173  |         |   |          | (53,451  | )(e)    |   |         | 837,650   |          
|                                                     | Commission expenses                               |                          |         |           |        |             |         | 139,065      |           |              |        |             |        |              |         |        |         |   |       |        |         |   |          |         |         |   |         | 139,065   |          
|                                                     | Cost of sales                                     |                          |         |           |        |             |         | 70,099       |           |              |        | 21           |        |              |         |        |         |   |       |        |         |   |          |         |         |   |         | 70,120    |          
|                                                     | Benefits and losses                               |                          |         |           |        |             |         |             |           |              |        |             |        |              |         | 89,594  |         |   |       | 80,207  |         |   |          |         |         |   |         | 169,801   |          
|                                                     | Amortization of deferred policy acquisition costs |                          |         |           |        |             |         |             |           |              |        |             |        |              |         | 11,842  |         |   |       | 17,044  |         |   |          |         |         |   |         | 28,886    |          
|                                                     | Lease expense                                     |                          |         | 691        |        |             |         | 110,758      |           |              |        | 10,741       |        |              |         |        |         |   |       |        |         |   |          |         |         |   |         | 122,190   |          
|                                                     | Depreciation, net                                 |                          |         | 10         |        |             |         | 93,693       |           |              |        | 5,092        |        |              |         |        |         |   |       |        |         |   |          |         |         |   |         | 98,795    |          
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|                                                     |                                                   | Total costs and expenses |         |            | 33,100 |             |         |              | 1,231,383 |              |        |              | 15,854 |              |         |         | 119,197 |   |       |         | 120,424 |   |          |          | (53,451 | ) |         |           | 1,466,507 | 
|Equity in earnings of AREC, UHI, RW &
    OLIC       |                                                   |                          | 104,158 |            |        |             |        |              |           |              |       |              |        |              |        |         |         |   |      |         |         |   | (104,158 | )        |         |   |        |          
|Equity in earnings of SAC                            |                                                   |                          | (5,811  | )          |        |             |        |              |           |              |       |              |        |              |        |         |         |   |      |         |         |   |         |          |         |   | (5,811  | )        
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|Total  equity earnings in subsidiaries              |                                                   |                          | 98,347  |            |        |             |        |              |           |              |       |              |        |              |        |         |         |   |      |         |         |   | (104,158 | )        |         |   | (5,811  | )        
|Earnings (loss) from operations                      |                                                   |                          | 66,304  |            |        |             | 153,768 |              |           |              | 40,481 |              |        |              | (21,770 | )       |         |   | 7,848 |         |         |   | (104,158 | )        |         |   | 142,473 |          
|                                                     | Interest Expense                                  |                          |         | 44,414     |        |             |         | (8,018       | )         |              |        | 23,965       |        |              |         |        |         |   |       |        |         |   |          |         |         |   |         | 60,361    |          
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|Pretax earnings (loss)                               |                                                   |                          | 21,890  |            |        |             | 161,786 |              |           |              | 16,516 |              |        |              | (21,770 | )       |         |   | 7,848 |         |         |   | (104,158 | )        |         |   | 82,112  |          
|                                                     | Income tax benefit (expense)                      |                          |         | 26,758     |        |             |         | (58,184      | )         |              |        | (6,781       | )      |              |         | 7,619   |         |   |       | (2,876  | )       |   |          |         |         |   |         | (33,464   | )        
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|                                                     | Net earnings (loss)                               |                          |         | 48,648     |        |             |         | 103,602      |           |              |        | 9,735        |        |              |         | (14,151 | )       |   |       | 4,972   |         |   |          | (104,158 | )       |   |         | 48,648    |          
|Less: Preferred stock dividends                      |                                                   |                          | 9,723   |            |        |             |        |              |           |              |       |              |        |              |        |         |         |   |      |         |         |   |         |          |         |   | 9,723   |          
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          
|Earnings (loss) available to common
    shareholders |                                                   | $                        | 38,925  |            |        | $           | 103,602 |              |           | $            | 9,735  |              |        | $            | (14,151 | )       |         | $ | 4,972 |         |         | $ | (104,158 | )        |         | $ | 38,925  |          
|                                                     |                                                   |                          |         |            |        |             |         |              |           |              |        |              |        |              |         |         |         |   |       |         |         |   |          |          |         |   |         |          

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |           |           | 
|---------------------------------------------------- | ------------------------------------------------- | ------------------------ | ------ | ------------ | ------- | ------------ | ------- | ------- | ------- | - | ------- | --------- | --------- | 
|Nine Months                                          |                                                   |                          |        |              |         |             
|Ended                                                |                                                   | SAC Moving               |        |              |         |             
|December 31,                                         |                                                   | and Storage              |        |              |         | Total       
|2003                                                 |                                                   | Operations               |        | Eliminations |         | Consolidated
|                                                     |                                                   |                          |        |              |         |             
|                                                     |                                                   |                         
|                                                     |                                                   | (In thousands)          
|Revenues:                                            |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|                                                     | Rental revenue                                    |                          | $      | 127,415      |         |              | $       | (42,876 | )(e)    |   | $       | 1,304,470 |          
|                                                     | Net sales                                         |                          |        | 39,621       |         |              |         |        |         |   |         | 182,048   |          
|                                                     | Premiums                                          |                          |        |             |         |              |         |        |         |   |         | 188,024   |          
|                                                     | Net investment and interest income                |                          |        |             |         |              |         | (28,795 | )(g)    |   |         | 35,614    |          
|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|                                                     | Total revenues                                    |                          |        | 167,036      |         |              |         | (71,671 | )       |   |         | 1,710,156 |          
|Costs and expenses:                                  |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|                                                     | Operating expenses                                |                          |        | 81,541       |         |              |         | (9,811  | )(e)    |   |         | 909,380   |          
|                                                     | Commission expenses                               |                          |        |             |         |              |         | (22,933 | )(e)    |   |         | 116,132   |          
|                                                     | Cost of sales                                     |                          |        | 16,903       |         |              |         |        |         |   |         | 87,023    |          
|                                                     | Benefits and losses                               |                          |        |             |         |              |         |        |         |   |         | 169,801   |          
|                                                     | Amortization of deferred policy acquisition costs |                          |        |             |         |              |         |        |         |   |         | 28,886    |          
|                                                     | Lease expense                                     |                          |        |             |         |              |         | (10,132 | )(e)    |   |         | 112,058   |          
|                                                     | Depreciation, net                                 |                          |        | 16,007       |         |              |         | (1,446  | )(h)    |   |         | 113,356   |          
|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|                                                     |                                                   | Total costs and expenses |        |              | 114,451 |              |         |         | (44,322 | ) |         |           | 1,536,636 | 
|Equity in earnings of AREC, UHI, RW &
    OLIC       |                                                   |                          |       |              |         |              |        |         |         |   |        |          
|Equity in earnings of SAC                            |                                                   |                          |       |              |         |              | 5,811   |         |         |   |        |          
|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|Total  equity earnings in subsidiaries              |                                                   |                          |       |              |         |              | 5,811   |         |         |   |        |          
|Earnings (loss) from operations                      |                                                   |                          | 52,585 |              |         |              | (21,538 | )       |         |   | 173,520 |          
|                                                     | Interest Expense                                  |                          |        | 61,273       |         |              |         | (28,795 | )(g)    |   |         | 92,839    |          
|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|Pretax earnings (loss)                               |                                                   |                          | (8,688 | )            |         |              | 7,257   |         |         |   | 80,681  |          
|                                                     | Income tax benefit (expense)                      |                          |        | 2,877        |         |              |         |        |         |   |         | (30,587   | )        
|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|                                                     | Net earnings (loss)                               |                          |        | (5,811       | )       |              |         | 7,257   |         |   |         | 50,094    |          
|Less: Preferred stock dividends                      |                                                   |                          |       |              |         |              |        |         |         |   | 9,723   |          
|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |          
|Earnings (loss) available to common
    shareholders |                                                   | $                        | (5,811 | )            |         | $            | 7,257   |         |         | $ | 40,371  |          
|                                                     |                                                   |                          |        |              |         |              |         |         |         |   |         |          



---



|    |  |                                                                                                                                   
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------
|(a) |  | Balances for the nine months ending
    September 30, 2003                                                                        
|   
|(b) |  | Included in this caption is land of $260,496,
    buildings and improvements of $727,586 and furniture and
    equipment of $3,404
|   
|(c) |  | Eliminate investment in subsidiaries                                                                                              
|   
|(d) |  | Eliminate intercompany receivables and payables                                                                                   
|   
|(e) |  | Eliminate intercompany lease income                                                                                               
|   
|(f) |  | Eliminate intercompany premiums                                                                                                   
|   
|(g) |  | Eliminate intercompany interest on debt                                                                                           
|   
|(h) |  | Eliminate gain on sale of surplus property from
    AMERCO to SAC                                                                 

22



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS  (Continued)

6.     Consolidating
statements of operations by industry segment for the nine months
ended December 31, 2002 are as follows (as
restated):

|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |           |           |           | 
|---------------------------------------------------- | ------------------------------------------------- | -------------- | ------------------------ | ---------- | ----- | ----------- | ------- | ------------ | --------- | ------------ | ------ | ------------ | ------ | ------------ | ------ | ------- | ------- | ------- | ----- | ------- | ------- | ------- | ------- | ------- | ------- | ------- | ------- | --------- | --------- | --------- | 
|Nine Months                                          |                                                   |                |                          | U-Haul     |       |             |         |              |           |              |        |              |        |             
|Ended                                                |                                                   |                |                          | Moving and |       |             |         | Property and |           |              |        |              |        |             
|December 31,                                         |                                                   |                |                          | Storage    |       |             |         | Casualty     |           | Life         |        |              |        | AMERCO      
|2002                                                 |                                                   | AMERCO         |                          | Operations |       | Real Estate |         | Insurance(a) |           | Insurance(a) |        | Eliminations |        | Consolidated
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |             
|                                                     |                                                   |               
|                                                     |                                                   | (In thousands)
|Revenues:                                            |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|                                                     | Rental revenue                                    |                | $                        |           |       |             | $       | 1,146,849    |           |              | $      | 51,384       |        |              | $      |        |         |         | $     |        |         |         | $       | (52,092 | )(e)    |         | $       | 1,146,141 |          
|                                                     | Net sales                                         |                |                          |           |       |             |         | 137,554      |           |              |        | 48           |        |              |        |        |         |         |       |        |         |         |         |        |         |         |         | 137,602   |          
|                                                     | Premiums                                          |                |                          |           |       |             |         |             |           |              |        |             |        |              |        | 126,876 |         |         |       | 121,099 |         |         |         | (4,844  | )(f)    |         |         | 243,131   |          
|                                                     | Net investment and interest income                |                |                          | 1,811      |       |             |         | 23,243       |           |              |        | 8,040        |        |              |        | 21,464  |         |         |       | 13,036  |         |         |         | (7,692  | )       |         |         | 59,902    |          
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|                                                     |                                                   | Total revenues |                          |            | 1,811 |             |         |              | 1,307,646 |              |        |              | 59,472 |              |        |         | 148,340 |         |       |         | 134,135 |         |         |         | (64,628 | )       |         |           | 1,586,776 |          
|Costs and expenses:                                  |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|                                                     | Operating expenses                                |                |                          | 11,399     |       |             |         | 824,302      |           |              |        | 5,080        |        |              |        | 26,234  |         |         |       | 29,555  |         |         |         | (61,642 | )(e)    |         |         | 834,928   |          
|                                                     | Commission expenses                               |                |                          |           |       |             |         | 144,148      |           |              |        |             |        |              |        |        |         |         |       |        |         |         |         |        |         |         |         | 144,148   |          
|                                                     | Cost of sales                                     |                |                          |           |       |             |         | 71,481       |           |              |        | 17           |        |              |        |        |         |         |       |        |         |         |         |        |         |         |         | 71,498    |          
|                                                     | Benefits and losses                               |                |                          |           |       |             |         |             |           |              |        |             |        |              |        | 111,733 |         |         |       | 88,409  |         |         |         |        |         |         |         | 200,142   |          
|                                                     | Amortization of deferred policy acquisition costs |                |                          |           |       |             |         |             |           |              |        |             |        |              |        | 13,159  |         |         |       | 14,736  |         |         |         |        |         |         |         | 27,895    |          
|                                                     | Lease expense                                     |                |                          | 697        |       |             |         | 120,407      |           |              |        | 7,480        |        |              |        |        |         |         |       |        |         |         |         |        |         |         |         | 128,584   |          
|                                                     | Depreciation, net                                 |                |                          | 21         |       |             |         | 83,933       |           |              |        | 5,437        |        |              |        |        |         |         |       |        |         |         |         |        |         |         |         | 89,391    |          
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|                                                     |                                                   |                | Total costs and expenses |            |       | 12,117      |         |              |           | 1,244,271    |        |              |        | 18,014       |        |         |         | 151,126 |       |         |         | 132,700 |         |         |         | (61,642 | )       |           |           | 1,496,586 | 
|Equity in earnings of AREC, UHI, RW & OLIC           |                                                   |                | 56,512                   |            |       |             |        |              |           |              |       |              |        |              |       |         |         |         |      |         |         |         | (56,512 | )       |         |         |        |          
|Equity in earnings of SAC                            |                                                   |                | (5,394                   | )          |       |             |        |              |           |              |       |              |        |              |       |         |         |         |      |         |         |         |        |         |         |         | (5,394  | )        
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|Total  equity earnings in subsidiaries              |                                                   |                | 51,118                   |            |       |             |        |              |           |              |       |              |        |              |       |         |         |         |      |         |         |         | (56,512 | )       |         |         | (5,394  | )        
|Earnings (losses) from operations                    |                                                   |                | 40,812                   |            |       |             | 63,375  |              |           |              | 41,458 |              |        |              | (2,786 | )       |         |         | 1,435 |         |         |         | (59,498 | )       |         |         | 84,796  |          
|                                                     | Interest Expense                                  |                |                          | 29,842     |       |             |         | 7,657        |           |              |        | 16,650       |        |              |        |        |         |         |       |        |         |         |         |        |         |         |         | 54,149    |          
|                                                     | Fees on early extinguishment of BBATs            |                |                          | 26,551     |       |             |         |             |           |              |        |             |        |              |        |        |         |         |       |        |         |         |         |        |         |         |         | 26,551    |          
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|Pretax earnings (loss)                               |                                                   |                | (15,581                  | )          |       |             | 55,718  |              |           |              | 24,808 |              |        |              | (2,786 | )       |         |         | 1,435 |         |         |         | (59,498 | )       |         |         | 4,096   |          
|Income tax benefit (expense)                         |                                                   |                | 14,259                   |            |       |             | (38,122 | )            |           |              | (8,683 | )            |        |              | (79    | )       |         |         | (978  | )       |         |         | 28,185  |         |         |         | (5,418  | )        
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|                                                     | Net earnings (loss)                               |                |                          | (1,322     | )     |             |         | 17,596       |           |              |        | 16,125       |        |              |        | (2,865  | )       |         |       | 457     |         |         |         | (31,313 | )       |         |         | (1,322    | )        
|Less: Preferred stock dividends                      |                                                   |                | 9,723                    |            |       |             |        |              |           |              |       |              |        |              |       |         |         |         |      |         |         |         |        |         |         |         | 9,723   |          
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          
|Earnings (loss) available to common
    shareholders |                                                   | $              | (11,045                  | )          |       | $           | 17,596  |              |           | $            | 16,125 |              |        | $            | (2,865 | )       |         | $       | 457   |         |         | $       | (31,313 | )       |         | $       | (11,045 | )        
|                                                     |                                                   |                |                          |            |       |             |         |              |           |              |        |              |        |              |        |         |         |         |       |         |         |         |         |         |         |         |         |          

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |           |           |           | 
|---------------------------------------------------- | ------------------------------------------------- | -------------- | ------------------------ | ------------ | ------- | ------------ | ------- | ------- | ------- | ------- | ------- | --------- | --------- | --------- | 
|Nine Months                                          |                                                   | SAC            |                          |              |         |             
|Ended                                                |                                                   | Moving and     |                          |              |         |             
|December 31,                                         |                                                   | Storage        |                          |              |         | Total       
|2002                                                 |                                                   | Operations     |                          | Eliminations |         | Consolidated
|                                                     |                                                   |                |                          |              |         |             
|                                                     |                                                   |               
|                                                     |                                                   | (In thousands)
|Revenues:                                            |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|                                                     | Rental revenue                                    |                | $                        | 123,760      |         |              | $       | (36,858 | )(e)    |         | $       | 1,233,043 |          
|                                                     | Net sales                                         |                |                          | 38,107       |         |              |         |        |         |         |         | 175,709   |          
|                                                     | Premiums                                          |                |                          |             |         |              |         |        |         |         |         | 243,131   |          
|                                                     | Net investment and interest income                |                |                          |             |         |              |         | (28,394 | )(g)    |         |         | 31,508    |          
|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|                                                     |                                                   | Total revenues |                          |              | 161,867 |              |         |         | (65,252 | )       |         |           | 1,683,391 |          
|Costs and expenses:                                  |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|                                                     | Operating expenses                                |                |                          | 74,922       |         |              |         | (9,195  | )(e)    |         |         | 900,655   |          
|                                                     | Commission expenses                               |                |                          |             |         |              |         | (21,707 | )(e)    |         |         | 122,441   |          
|                                                     | Cost of sales                                     |                |                          | 15,986       |         |              |         |        |         |         |         | 87,484    |          
|                                                     | Benefits and losses                               |                |                          |             |         |              |         |        |         |         |         | 200,142   |          
|                                                     | Amortization of deferred policy acquisition costs |                |                          |             |         |              |         |        |         |         |         | 27,895    |          
|                                                     | Lease expense                                     |                |                          |             |         |              |         | (5,956  | )(e)    |         |         | 122,628   |          
|                                                     | Depreciation, net                                 |                |                          | 14,457       |         |              |         | (1,446  | )(h)    |         |         | 102,402   |          
|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|                                                     |                                                   |                | Total costs and expenses |              |         | 105,365      |         |         |         | (38,304 | )       |           |           | 1,563,647 | 
|Equity in earnings of AREC, UHI, RW & OLIC           |                                                   |                |                         |              |         |              |        |         |         |         |        |          
|Equity in earnings of SAC                            |                                                   |                |                         |              |         |              | 5,394   |         |         |         |        |          
|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|Total  equity earnings in subsidiaries              |                                                   |                |                         |              |         |              | 5,394   |         |         |         |        |          
|Earnings (losses) from operations                    |                                                   |                | 56,502                   |              |         |              | (21,554 | )       |         |         | 119,744 |          
|                                                     | Interest Expense                                  |                |                          | 60,551       |         |              |         | (28,394 | )(g)    |         |         | 86,306    |          
|                                                     | Fees on early extinguishment of BBATs            |                |                          |             |         |              |         |        |         |         |         | 26,551    |          
|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|Pretax earnings (loss)                               |                                                   |                | (4,049                   | )            |         |              | 6,840   |         |         |         | 6,887   |          
|Income tax benefit (expense)                         |                                                   |                | (1,345                   | )            |         |              |        |         |         |         | (6,763  | )        
|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|                                                     | Net earnings (loss)                               |                |                          | (5,394       | )       |              |         | 6,840   |         |         |         | 124       |          
|Less: Preferred stock dividends                      |                                                   |                |                         |              |         |              |        |         |         |         | 9,723   |          
|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |          
|Earnings (loss) available to common
    shareholders |                                                   | $              | (5,394                   | )            |         | $            | 6,840   |         |         | $       | (9,599  | )        
|                                                     |                                                   |                |                          |              |         |              |         |         |         |         |         |          






|    |  |                                                                                                                                   
|--- |  | ----------------------------------------------------------------------------------------------------------------------------------
|(a) |  | Balances are for the nine months ending
    September 30, 2002                                                                    
|   
|(b) |  | Included in this caption is land of $260,496,
    buildings and improvements of $727,586 and furniture and
    equipment of $3,404
|   
|(c) |  | Eliminate investment in subsidiaries                                                                                              
|   
|(d) |  | Eliminate intercompany receivables and payables                                                                                   
|   
|(e) |  | Eliminate intercompany lease income                                                                                               
|   
|(f) |  | Eliminate intercompany premiums                                                                                                   
|   
|(g) |  | Eliminate intercompany interest on debt                                                                                           
|   
|(h) |  | Eliminate gain on sale of surplus property from
    AMERCO to SAC                                                                 

23



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                                                           
|-- | --------------------------------------------------------------------------------------------------------------------------
|6. | Consolidating cash flow statements by industry
    segment for the nine months ended December 31, 2003 are as
    follows:

|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |   |          |     | 
|-------------------------------------------------------- | ---------------------------------- | --------------------------------------- | -------------------- | ---------- | ------- | ----------- | -------- | ------------ | -------- | ------------ | ------ | ------------ | ------ | ------------ | ------- | - | ------- | - | ------- | - | ------- | - | - |  | - | - | ------- | - | -------- | --- | 
|Cash Flow                                                |                                    |                                         |                      | U-Haul     |         |             |          |              |          |              |        |              |        |             
|Nine Months                                              |                                    |                                         |                      | Moving and |         |             |          | Property and |          |              |        |              |        |             
|December 31,                                             |                                    |                                         |                      | Storage    |         |             |          | Casualty     |          | Life         |        |              |        | AMERCO      
|2003                                                     |                                    | AMERCO                                  |                      | Operations |         | Real Estate |          | Insurance(a) |          | Insurance(a) |        | Eliminations |        | Consolidated
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |             
|                                                         |                                    |                                        
|                                                         |                                    | (In thousands)                         
|Net cash provided by (used by) operating
    activities  |                                    | $                                       | 68,079               |            |         | $           | 115,179  |              |          | $            | (1,220 | )            |        | $            | (55,586 | ) |         | $ | 11,798  |   |         | $ |  |  |   | $ | 138,250 |  
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|Cash flows from investing activities:                    |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|                                                         | Purchases of investments:          |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |   |         
|                                                         |                                    | Property, plant and equipment           |                      |            |        |             |          |              | (131,746 | )            |        |              | (2,061 | )            |         |   |        |   |         |   |        |   |   |  |  |   |         |   | (133,807 | )  
|                                                         |                                    | Fixed maturities                        |                      |            |        |             |          |              |         |              |        |              |       |              |         |   | (5,358  | ) |         |   | (45,304 | ) |   |  |  |   |         |   | (50,662  | )  
|                                                         |                                    | Other asset investment                  |                      |            |        |             |          |              |         |              |        |              |       |              |         |   | (31,223 | ) |         |   | (46,919 | ) |   |  |  |   |         |   | (78,142  | )  
|                                                         | Proceeds from sale of investments: |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |   |         
|                                                         |                                    | Property, plant and equipment           |                      |            |        |             |          |              | 21,430   |              |        |              | 3,323  |              |         |   |        |   |         |   |        |   |   |  |  |   |         |   | 24,753   |    
|                                                         |                                    | Fixed maturities                        |                      |            |        |             |          |              |         |              |        |              |       |              |         |   | 83,527  |   |         |   | 87,878  |   |   |  |  |   |         |   | 171,405  |    
|                                                         |                                    | Other asset investment                  |                      |            |        |             |          |              | 73       |              |        |              | 130    |              |         |   |        |   |         |   | 28,534  |   |   |  |  |   |         |   | 28,737   |    
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|Net cash provided by (used by) investing
    activities  |                                    |                                         |                     |            |         |             | (110,243 | )            |          |              | 1,392  |              |        |              | 46,946  |   |         |   | 24,189  |   |         |   |  |  |   |   | (37,716 | )
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|Cash flows from financing activities:                    |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|                                                         |                                    | Net change in short-term borrowings     |                      |            | 5,649   |             |          |              |         |              |        |              |       |              |         |   |        |   |         |   |        |   |   |  |  |   |         |   | 5,649    |    
|                                                         |                                    | Proceeds from notes                     |                      |            | 50,000  |             |          |              |         |              |        |              |       |              |         |   |        |   |         |   |        |   |   |  |  |   |         |   | 50,000   |    
|                                                         |                                    | Debt issuance costs                     |                      |            |        |             |          |              |         |              |        |              |       |              |         |   |        |   |         |   |        |   |   |  |  |   |         |   |         |    
|                                                         |                                    | Leverage Employee Stock Ownership Plan: |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |   |          |    
|                                                         |                                    |                                         | Purchase of shares   |            |         |            |          |              |          |             |        |              |        |             |         |   |         |  |         |   |         |  |   |  |   |  |         |   |          |    | 
|                                                         |                                    |                                         | Repayments from loan |            |         |            |          |              |          | 455          |        |              |        |             |         |   |         |  |         |   |         |  |   |  |   |  |         |   |          | 455 | 
|                                                         |                                    | Principal payments on notes             |                      |            | (50,000 | )           |          |              |         |              |        |              |       |              |         |   |        |   |         |   |        |   |   |  |  |   |         |   | (50,000  | )  
|                                                         |                                    | Preferred stock dividends paid          |                      |            |        |             |          |              |         |              |        |              |       |              |         |   |        |   |         |   |        |   |   |  |  |   |         |   |         |    
|                                                         |                                    | Treasury stock acquisitions, net        |                      |            |        |             |          |              |         |              |        |              |       |              |         |   |        |   |         |   |        |   |   |  |  |   |         |   |         |    
|                                                         |                                    | Investment contract deposits            |                      |            |        |             |          |              |         |              |        |              |       |              |         |   |        |   |         |   | 43,020  |   |   |  |  |   |         |   | 43,020   |    
|                                                         |                                    | Investment contract withdrawals         |                      |            |        |             |          |              |         |              |        |              |       |              |         |   |        |   |         |   | (79,041 | ) |   |  |  |   |         |   | (79,041  | )  
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|Net cash used by investing activities                    |                                    |                                         | 5,649                |            |         |             | 455      |              |          |              |       |              |        |              |        |   |         |   | (36,021 | ) |         |   |  |  |   |   | (29,917 | )
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|Increase (decrease) in cash and cash
    equivalents     |                                    |                                         | 73,728               |            |         |             | 5,391    |              |          |              | 172    |              |        |              | (8,640  | ) |         |   | (34     | ) |         |   |  |  |   |   | 70,617  |  
|Cash and cash equivalents at the beginning of
    period |                                    |                                         | 18,524               |            |         |             | 30,046   |              |          |              | 174    |              |        |              | 4,108   |   |         |   | 9,320   |   |         |   |  |  |   |   | 62,172  |  
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  
|Cash and cash equivalents at the end of period           |                                    | $                                       | 92,252               |            |         | $           | 35,437   |              |          | $            | 346    |              |        | $            | (4,532  | ) |         | $ | 9,286   |   |         | $ |  |  |   | $ | 132,789 |  
|                                                         |                                    |                                         |                      |            |         |             |          |              |          |              |        |              |        |              |         |   |         |   |         |   |         |   |   |  |   |   |         |  

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |   |          |     | 
|-------------------------------------------------------- | ---------------------------------- | --------------------------------------- | -------------------- | ------------ | ------- | ------------ | ------ | - | ------- | - | ------- | - | -------- | --- | 
|Cash Flow                                                |                                    | SAC                                     |                      |              |         |             
|Nine Months                                              |                                    | Moving and                              |                      |              |         |             
|December 31,                                             |                                    | Storage                                 |                      |              |         | Total       
|2003                                                     |                                    | Operations                              |                      | Eliminations |         | Consolidated
|                                                         |                                    |                                         |                      |              |         |             
|                                                         |                                    |                                        
|                                                         |                                    | (In thousands)                         
|Net cash provided by (used by) operating
    activities  |                                    | $                                       | 1,208                |              |         | $            | 11,743 |   |         | $ | 151,201 |  
|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|Cash flows from investing activities:                    |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|                                                         | Purchases of investments:          |                                         |                      |              |         |              |        |   |         |   |         |   |         
|                                                         |                                    | Property, plant and equipment           |                      |              | (19,254 | )            |        |   | 5,717   |   |         |   | (147,344 | )  
|                                                         |                                    | Fixed maturities                        |                      |              |        |              |        |   |        |   |         |   | (50,662  | )  
|                                                         |                                    | Other asset investment                  |                      |              | (29,508 | )            |        |   | 29,508  |   |         |   | (78,142  | )  
|                                                         | Proceeds from sale of investments: |                                         |                      |              |         |              |        |   |         |   |         |   |         
|                                                         |                                    | Property, plant and equipment           |                      |              | 43,331  |              |        |   | (37,614 | ) |         |   | 30,470   |    
|                                                         |                                    | Fixed maturities                        |                      |              |        |              |        |   |        |   |         |   | 171,405  |    
|                                                         |                                    | Other asset investment                  |                      |              |        |              |        |   |        |   |         |   | 28,737   |    
|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|Net cash provided by (used by) investing
    activities  |                                    |                                         | (5,431               | )            |         |              | (2,389 | ) |         |   | (45,536 | )
|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|Cash flows from financing activities:                    |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|                                                         |                                    | Net change in short-term borrowings     |                      |              |        |              |        |   |        |   |         |   | 5,649    |    
|                                                         |                                    | Proceeds from notes                     |                      |              | 10,791  |              |        |   | (10,791 | ) |         |   | 50,000   |    
|                                                         |                                    | Debt issuance costs                     |                      |              |        |              |        |   |        |   |         |   |         |    
|                                                         |                                    | Leverage Employee Stock Ownership Plan: |                      |              |         |              |        |   |         |   |         |   |          |    
|                                                         |                                    |                                         | Purchase of shares   |              |         |             |        |   |         |  |         |   |          |    | 
|                                                         |                                    |                                         | Repayments from loan |              |         |             |        |   |         |  |         |   |          | 455 | 
|                                                         |                                    | Principal payments on notes             |                      |              | (7,153  | )            |        |   | 1,437   |   |         |   | (55,716  | )  
|                                                         |                                    | Preferred stock dividends paid          |                      |              |        |              |        |   |        |   |         |   |         |    
|                                                         |                                    | Treasury stock acquisitions, net        |                      |              |        |              |        |   |        |   |         |   |         |    
|                                                         |                                    | Investment contract deposits            |                      |              |        |              |        |   |        |   |         |   | 43,020   |    
|                                                         |                                    | Investment contract withdrawals         |                      |              |        |              |        |   |        |   |         |   | (79,041  | )  
|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|Net cash used by investing activities                    |                                    |                                         | 3,638                |              |         |              | (9,354 | ) |         |   | (35,633 | )
|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|Increase (decrease) in cash and cash
    equivalents     |                                    |                                         | (585                 | )            |         |              |       |   |         |   | 70,032  |  
|Cash and cash equivalents at the beginning of
    period |                                    |                                         | 4,662                |              |         |              |       |   |         |   | 66,834  |  
|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |  
|Cash and cash equivalents at the end of period           |                                    | $                                       | 4,077                |              |         | $            |       |   |         | $ | 136,866 |  
|                                                         |                                    |                                         |                      |              |         |              |        |   |         |   |         |  



---



|    |  |                                                           
|--- |  | ----------------------------------------------------------
|(a) |  | Balances for the nine months ending
    September 30, 2003

24



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                                                                                                                         
|-- | ----------------------------------------------------------------------------------------------------------------------------------------
|6. | Consolidating cash flow statements by industry
    segment for the nine months ended December 31, 2002 are as
    follows (as restated):

|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |         |          |     | 
|-------------------------------------------------------- | --------------------------------------- | ----------------------------- | -------------------- | ---------- | -------- | ----------- | ------- | ------------ | -------- | ------------ | ------- | ------------ | ------- | ------------ | ------- | - | ------- | - | ------- | ------- | -------- | - | - | - | - | - | -------- | ------- | -------- | --- | 
|Cash Flow                                                |                                         |                               |                      | U-Haul     |          |             |         |              |          |              |         |              |         |             
|Nine Months                                              |                                         |                               |                      | Moving and |          |             |         | Property and |          |              |         |              |         |             
|December 31,                                             |                                         |                               |                      | Storage    |          |             |         | Casualty     |          | Life         |         |              |         | AMERCO      
|2002                                                     |                                         | AMERCO                        |                      | Operations |          | Real Estate |         | Insurance(a) |          | Insurance(a) |         | Eliminations |         | Consolidated
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |             
|                                                         |                                         |                              
|                                                         |                                         | (In thousands)               
|Net cash provided by (used in) operating
    activities  |                                         | $                             | 231,977              |            |          | $           | 78,008  |              |          | $            | (90,812 | )            |         | $            | (45,151 | ) |         | $ | (18,999 | )       |          | $ |  |   |   | $ | 155,023  |        
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|Cash flows from investing activities:                    |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|                                                         | Purchases of investments:               |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |         |         
|                                                         |                                         | Property, plant and equipment |                      |            | (76      | )           |         |              | (140,467 | )            |         |              | (12,538 | )            |         |   |        |   |         |         |         |   |   |   |  |   |          |         | (153,081 | )  
|                                                         |                                         | Fixed maturities              |                      |            |         |             |         |              |         |              |         |              |        |              |         |   |        |   |         |         | (248,121 | ) |   |   |  |   |          |         | (248,121 | )  
|                                                         |                                         | Other asset investments       |                      |            |         |             |         |              |         |              |         |              |        |              |         |   | (9,229  | ) |         |         | (43,759  | ) |   |   |  |   |          |         | (52,988  | )  
|                                                         | Proceeds from sale of investments:      |                               |                      |           |          |             |         |             |          |              |         |             |         |              |         |  |         |   |         |        |          |   |   |  |   |   |          |        |         
|                                                         |                                         | Property, plant and equipment |                      |            |         |             |         |              | 49,573   |              |         |              | 134     |              |         |   |        |   |         |         |         |   |   |   |  |   |          |         | 49,707   |    
|                                                         |                                         | Fixed maturities              |                      |            |         |             |         |              | 8,875    |              |         |              | 2,979   |              |         |   | 64,312  |   |         |         | 215,162  |   |   |   |  |   |          |         | 291,328  |    
|                                                         |                                         | Other asset investments       |                      |            |         |             |         |              |         |              |         |              |        |              |         |   | (13,070 | ) |         |         | 19,214   |   |   |   |  |   |          |         | 6,144    |    
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|Net cash provided by (used in) investing
    activities  |                                         |                               | (76                  | )          |          |             | (82,019 | )            |          |              | (9,425  | )            |         |              | 42,013  |   |         |   | (57,504 | )       |          |   |  |   |   |   | (107,011 | )      
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|Cash flows from financial activities:                    |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|                                                         | Net change in short-term borrowings     |                               |                      |           |          |             |         |             |          |              |         |             |         |              |         |  |         |   |         |        |          |   |   |  |   |   |          |        |         
|                                                         | Proceeds from notes                     |                               |                      |           |          |             |         |             |          |              |         | 99,981       |         |              |         |  |         |   |         |        |          |   |   |  |   |   |          | 99,981  |         
|                                                         | Debt issuance costs                     |                               |                      |           |          |             |         |             |          |              |         |             |         |              |         |  |         |   |         |        |          |   |   |  |   |   |          |        |         
|                                                         | Leverage Employee Stock Ownership Plan: |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |         |         
|                                                         |                                         |                               | Purchase of shares   |            |          |            |         |              |          |             |         |              |         |             |         |   |         |  |         |         |          |  |   |   |   |  |          |         |          |    | 
|                                                         |                                         |                               | Repayments from loan |            |          |            |         |              |          | 975          |         |              |         |             |         |   |         |  |         |         |          |  |   |   |   |  |          |         |          | 975 | 
|                                                         |                                         | Principal payments on notes   |                      |            | (201,010 | )           |         |              | (4       | )            |         |              |        |              |         |   |        |   |         |         |         |   |   |   |  |   |          |         | (201,014 | )  
|                                                         | Preferred stock dividends paid          |                               |                      | (6,482     | )        |             |         |             |          |              |         |             |         |              |         |  |         |   |         |        |          |   |   |  |   |   |          | (6,482  | )       
|                                                         | Treasury stock acquisitions, net        |                               |                      | (1,407     | )        |             |         |             |          |              |         |             |         |              |         |  |         |   |         |        |          |   |   |  |   |   |          | (1,407  | )       
|                                                         | Investment contract deposits            |                               |                      |           |          |             |         |             |          |              |         |             |         |              |         |  |         |   |         | 137,488 |          |   |   |  |   |   |          | 137,488 |         
|                                                         | Investment contract withdrawals         |                               |                      |           |          |             |         |             |          |              |         |             |         |              |         |  |         |   |         | (74,047 | )        |   |   |  |   |   |          | (74,047 | )       
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|Net cash provided by (used in) financing
    activities  |                                         |                               | (208,899             | )          |          |             | 971     |              |          |              | 99,981  |              |         |              |        |   |         |   | 63,441  |         |          |   |  |   |   |   | (44,506  | )      
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|Increase (decrease) in cash equivalents                  |                                         |                               | 23,002               |            |          |             | (3,040  | )            |          |              | (256    | )            |         |              | (3,138  | ) |         |   | (13,062 | )       |          |   |  |   |   |   | 3,506    |        
|Cash and cash equivalents at the beginning of
    period |                                         |                               | 71                   |            |          |             | 29,823  |              |          |              | 576     |              |         |              | 5,912   |   |         |   | 11,259  |         |          |   |  |   |   |   | 47,641   |        
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        
|Cash and cash equivalents at the end of period           |                                         | $                             | 23,073               |            |          | $           | 26,783  |              |          | $            | 320     |              |         | $            | 2,774   |   |         | $ | (1,803  | )       |          | $ |  |   |   | $ | 51,147   |        
|                                                         |                                         |                               |                      |            |          |             |         |              |          |              |         |              |         |              |         |   |         |   |         |         |          |   |   |   |   |   |          |        

[Additional columns below]

[Continued from above table, first column(s) repeated]

|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |         |          |     | 
|-------------------------------------------------------- | --------------------------------------- | ----------------------------- | -------------------- | ------------ | ------- | ------------ | ------- | ------- | ------ | - | -------- | ------- | -------- | --- | 
|Cash Flow                                                |                                         | SAC                           |                      |              |         |             
|Nine Months                                              |                                         | Moving and                    |                      |              |         |             
|December 31,                                             |                                         | Storage                       |                      |              |         | Total       
|2002                                                     |                                         | Operations                    |                      | Eliminations |         | Consolidated
|                                                         |                                         |                               |                      |              |         |             
|                                                         |                                         |                              
|                                                         |                                         | (In thousands)               
|Net cash provided by (used in) operating
    activities  |                                         | $                             | 4,702                |              |         | $            | (11,983 | )       |        | $ | 147,742  |        
|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|Cash flows from investing activities:                    |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|                                                         | Purchases of investments:               |                               |                      |              |         |              |         |         |        |   |          |         |         
|                                                         |                                         | Property, plant and equipment |                      |              | (43,171 | )            |         |         |       |   |          |         | (196,252 | )  
|                                                         |                                         | Fixed maturities              |                      |              |        |              |         |         |       |   |          |         | (248,121 | )  
|                                                         |                                         | Other asset investments       |                      |              |        |              |         |         |       |   |          |         | (52,988  | )  
|                                                         | Proceeds from sale of investments:      |                               |                      |             |         |              |         |        |        |   |          |        |         
|                                                         |                                         | Property, plant and equipment |                      |              | 24,555  |              |         |         |       |   |          |         | 74,262   |    
|                                                         |                                         | Fixed maturities              |                      |              |        |              |         |         |       |   |          |         | 291,328  |    
|                                                         |                                         | Other asset investments       |                      |              |        |              |         |         |       |   |          |         | 6,144    |    
|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|Net cash provided by (used in) investing
    activities  |                                         |                               | (18,616              | )            |         |              |        |         |        |   | (125,627 | )      
|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|Cash flows from financial activities:                    |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|                                                         | Net change in short-term borrowings     |                               |                      |             |         |              |         |        |        |   |          |        |         
|                                                         | Proceeds from notes                     |                               |                      | 46,517       |         |              |         | (15,517 | )      |   |          | 130,981 |         
|                                                         | Debt issuance costs                     |                               |                      |             |         |              |         |        |        |   |          |        |         
|                                                         | Leverage Employee Stock Ownership Plan: |                               |                      |              |         |              |         |         |        |   |          |         |         
|                                                         |                                         |                               | Purchase of shares   |              |         |             |         |         |        |  |          |         |          |    | 
|                                                         |                                         |                               | Repayments from loan |              |         |             |         |         |        |  |          |         |          | 975 | 
|                                                         |                                         | Principal payments on notes   |                      |              | (31,850 | )            |         |         | 27,500 |   |          |         | (205,364 | )  
|                                                         | Preferred stock dividends paid          |                               |                      |             |         |              |         |        |        |   |          | (6,482  | )       
|                                                         | Treasury stock acquisitions, net        |                               |                      |             |         |              |         |        |        |   |          | (1,407  | )       
|                                                         | Investment contract deposits            |                               |                      |             |         |              |         |        |        |   |          | 137,488 |         
|                                                         | Investment contract withdrawals         |                               |                      |             |         |              |         |        |        |   |          | (74,047 | )       
|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|Net cash provided by (used in) financing
    activities  |                                         |                               | 14,667               |              |         |              | 11,983  |         |        |   | (17,856  | )      
|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|Increase (decrease) in cash equivalents                  |                                         |                               | 753                  |              |         |              |        |         |        |   | 4,259    |        
|Cash and cash equivalents at the beginning of
    period |                                         |                               | 10                   |              |         |              |        |         |        |   | 47,651   |        
|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |        
|Cash and cash equivalents at the end of period           |                                         | $                             | 763                  |              |         | $            |        |         |        | $ | 51,910   |        
|                                                         |                                         |                               |                      |              |         |              |         |         |        |   |          |        



---



|    |  |                                                           
|--- |  | ----------------------------------------------------------
|(a) |  | Balances for the nine months ending
    September 30, 2002

25



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



|   |                                              
|-- | ---------------------------------------------
|6. | Industry Segment and Geographic Area
    Data

Geographic Area Data  All amounts
are in U.S. $s

|                             |  |                |           |                   |  |              |         |        |  |        |           |              |  |   |           |   |  |   |         |  |  |   |           |  
|---------------------------- |  | -------------- | --------- | ----------------- |  | ------------ | ------- | ------ |  | ------ | --------- | ------------ |  | - | --------- | - |  | - | ------- |  |  | - | --------- | -
|                             |  | United         |           |                   |  |              |         | United |  |        |           |             
|                             |  | States         |           | Canada            |  | Consolidated |         | States |  | Canada |           | Consolidated
|                             |  |                |           |                   |  |              |         |        |  |        |           |             
|                             |  |                |           |                  
|                             |  | Quarter Ended  |           | Nine Months Ended
|                             |  |                |           |                  
|                             |  |               
|                             |  | (In thousands)
|December 31, 2003            |  |                |           |                   |  |              |         |        |  |        |           |              |  |   |           |   |  |   |         |  |  |   |           |  
|Total revenues               |  | $              | 486,963   |                   |  | $            | 15,620  |        |  | $      | 502,583   |              |  | $ | 1,655,924 |   |  | $ | 54,232  |  |  | $ | 1,710,156 |  
|Depreciation/amortization    |  |                | 36,780    |                   |  |              | 1,614   |        |  |        | 38,394    |              |  |   | 107,855   |   |  |   | 5,501   |  |  |   | 113,356   |  
|Interest expense             |  |                | 30,125    |                   |  |              | 1,043   |        |  |        | 31,168    |              |  |   | 89,426    |   |  |   | 3,413   |  |  |   | 92,839    |  
|Pretax earnings (loss)       |  |                | (32,449   | )                 |  |              | 251     |        |  |        | (32,198   | )            |  |   | 71,548    |   |  |   | 9,133   |  |  |   | 80,681    |  
|Income tax benefit (expense) |  |                | 10,531    |                   |  |              | 0       |        |  |        | 10,531    |              |  |   | (30,587   | ) |  |   | 0       |  |  |   | (30,587   | )
|Identifiable assets          |  |                | 3,666,507 |                   |  |              | 139,948 |        |  |        | 3,806,455 |              |  |   | 3,666,507 |   |  |   | 139,948 |  |  |   | 3,806,455 |  
|December 31, 2002            |  |                |           |                   |  |              |         |        |  |        |           |              |  |   |           |   |  |   |         |  |  |   |           |  
|Total revenues               |  |                | 455,016   |                   |  |              | 12,207  |        |  |        | 467,223   |              |  |   | 1,639,034 |   |  |   | 44,357  |  |  |   | 1,683,391 |  
|Depreciation/amortization    |  |                | 31,988    |                   |  |              | 1,326   |        |  |        | 33,314    |              |  |   | 98,406    |   |  |   | 3,996   |  |  |   | 102,402   |  
|Interest expense             |  |                | 30,480    |                   |  |              | 939     |        |  |        | 31,419    |              |  |   | 83,054    |   |  |   | 3,252   |  |  |   | 86,306    |  
|Pretax earnings (loss)       |  |                | (65,121   | )                 |  |              | 429     |        |  |        | (64,692   | )            |  |   | (544      | ) |  |   | 7,431   |  |  |   | 6,887     |  
|Income tax benefit (expense) |  |                | 18,909    |                   |  |              | 0       |        |  |        | 18,909    |              |  |   | (6,763    | ) |  |   | 0       |  |  |   | (6,763    | )
|Identifiable assets          |  |                | 3,642,835 |                   |  |              | 130,620 |        |  |        | 3,773,455 |              |  |   | 3,642,835 |   |  |   | 130,620 |  |  |   | 3,773,455 |  



|   |                                  
|-- | ---------------------------------
|7. | Liabilities Subject to Compromise

Under the Bankruptcy Code certain claims against
AMERCO in existence prior to the Petition Date are stayed while
AMERCO continues operating as a debtor-in-possession. AMERCO has
received approval from the Court to (1) pay pre-petition
and post-petition employee wages, salaries, benefits, other
employee obligations and insurance obligations; (2) pay
vendors and other providers in the ordinary course for goods and
services received from and after the Petition Date.
Substantially all other pre-petition liabilities of AMERCO have
been classified as liabilities subject to compromise in the
unaudited Condensed Consolidated Balance Sheets. Adjustments to
these liabilities may result from negotiations, payments
authorized by Court order, additional rejection of executory
contracts including leases, or other events.

Shortly after the Chapter 11 filing, AMERCO
began notifying all known or potential creditors of the filing
for the purpose of identifying all pre-petition claims against
the Company. Amounts that AMERCO has recorded may be different
than amounts filed by its creditors.



|   |                                                   
|-- | --------------------------------------------------
|8. | Certain Relationships and Related
    Transactions

SAC Holdings loaned Self-Storage International
Holding Corporation (SSI) $4.5 million. As of
December 31, 2003, the outstanding balance due to SAC
Holdings was $1.5 million. Mark V. Shoen, a significant
shareholder and executive officer of AMERCO, owns all of the
equity interest of SSI and substantially all of the equity
interest of SAC Holdings. For financial reporting purposes, SSI
is not consolidated by AMERCO or SAC Holdings.

26



---



##### 



AMERCO (Debtor in Possession) AND CONSOLIDATED
SUBSIDIARIES AND


SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS  (Continued)

The following table summarizes the components of
liabilities subject to compromise, included in AMERCOs
Condensed Consolidated Balance Sheet as of December 31,
2003 (in thousands):

|                                        |  |        |         |      |  |               |         |       |  |  |         |   |  |   |         | 
|--------------------------------------- |  | ------ | ------- | ---- |  | ------------- | ------- | ----- |  |  | ------- | - |  | - | ------- | 
|                                        |  |        |         |      |  | Inter-company |         |      
|                                        |  | AMERCO |         | AREC |  | Eliminations  |         | Total
|                                        |  |        |         |      |  |               |         |      
|Debt subject to compromise              |  | $      | 809,623 |      |  |               | 101,499 |       |  |  | (39,500 | ) |  | $ | 871,622 | 
|Accounts payable and accrued expenses   |  |        | 185     |      |  |               | 3,565   |       |  |  |        |   |  |   | 3,750   | 
|                                        |  |        |         |      |  |               |         |       |  |  |         |   |  |   |         | 
|Total liabilities subject to compromise |  | $      | 809,808 |      |  |               | 105,064 |       |  |  | (39,500 | ) |  | $ | 875,372 | 
|                                        |  |        |         |      |  |               |         |       |  |  |         |   |  |   |         | 

Reorganization expenses incurred as a direct
result of the Companys Chapter 11 filing are included
in operating expenses and interest expense in the Condensed
Consolidated Statement of Operations. Professional fees of
$7.9 million and default interest payments of $0 were paid
during the quarter ended December 31, 2003. Professional
fees of $13.8 million and default interest payments of
$4.4 million were paid during the nine months ended
December 31, 2003.

27



---



##### 





|        |                                                                                          
|------- | -----------------------------------------------------------------------------------------
|Item 2. | Managements Discussion and Analysis
    of Financial Condition and Results of Operations

Cautionary Statements Regarding
Forward-Looking Statements

This Quarterly Report on Form 10-Q contains
forward-looking statements. We may make additional written or
oral forward-looking statements from time to time in filings
with the Securities and Exchange Commission or otherwise. We
believe such forward-looking statements are within the meaning
of the safe-harbor provisions of the Private Securities
Litigation Reform Act of 1995. Such statements may include, but
are not limited to, the expected outcomes of the Chapter 11
proceedings, projections of revenues, income or loss, estimates
of capital expenditures, our plans and intentions regarding the
recapitalization of our balance sheet and the payment of
dividends arrearages, plans for future operations, products or
services, financing needs and plans, our perceptions of our
legal positions and anticipated outcomes of pending litigation
against us, liquidity as well as assumptions relating to the
foregoing. The words believe, expect,
anticipate, estimate,
project and similar expressions identify
forward-looking statements, which speak only as of the date the
statement was made. Forward-looking statements are inherently
subject to risks and uncertainties, some of which cannot be
predicted or quantified. Factors that could significantly affect
results include, without limitation, the risk factors enumerated
at the end of this section, as well as the following: the
Companys ability to operate pursuant to the terms of its
DIP facility; the Companys ability to obtain court
approval with respect to motions in the Chapter 11
proceeding prosecuted by it from time to time; the
Companys ability to prosecute, confirm, and consummate its
plan of reorganization with respect to the Chapter 11 case;
the Companys ability to operate pursuant to the terms of
its post-bankruptcy financing agreements; the Companys
ability to obtain and maintain normal terms with vendors and
service providers; the Companys ability to maintain
contracts that are critical to its operations; the potential
adverse impact of the Chapter 11 case on the Companys
liquidity or results of operations; the costs and availability
of financing; the Companys ability to execute its business
plan; the Companys ability to attract, motivate and retain
key employees; general economic conditions; weather conditions;
fluctuations in our costs to maintain and update our fleet and
facilities; our ability to refinance our debt; our ability to
successfully recapitalize our balance sheet; our ability to
continue as a going concern; changes in government regulations,
particularly environmental regulations; our credit ratings; the
availability of credit; changes in demand for our products;
changes in the general domestic economy; degree and nature of
our competition; the resolution of pending litigation against
the Company; changes in accounting standards and other factors
described in this report or the other documents we file with the
Securities Exchange Commission. The above factors, the following
disclosures, as well as other statements in this report and in
the Notes to AMERCOs Condensed Consolidated Financial
Statements, could contribute to or cause such differences, or
could cause AMERCOs stock price to fluctuate dramatically.
Consequently, the forward-looking statements should not be
regarded as representations or warranties by the Company that
such matters will be realized. The Company disclaims any intent
or obligation to update or revise any of the forward-looking
statements, whether in response to new information, unforeseen
events, changed circumstances or otherwise.

General

Information on industry segments is incorporated
by reference from  Notes 1 and 6 of Notes to
Condensed Consolidated Financial Statements. Those notes discuss
the principles of consolidation, summarized consolidated
financial information and industry segment and geographical area
data, respectively. In consolidation, all inter-segment premiums
are eliminated and the insured portion of the related benefits,
losses and expenses are retained by the insurance companies.

Critical Accounting Policies and
Estimates

Managements discussion and analysis of
financial condition and results of operations are based upon the
consolidated financial statements, which have been prepared in
accordance with accounting principles generally accepted in the
United States of America. The preparation of our financial
statements requires the use of estimates and judgments that
affect the reported amounts of assets, liabilities, revenues and
expenses, and related disclosure of contingent assets and
liabilities. On an ongoing basis, estimates are re-evaluated,
including those related to areas that require a significant
level of judgment or are otherwise subject to an

28



---



##### 



inherent degree of uncertainty. These areas
include allowances for doubtful accounts, depreciation of
revenue earning vehicles and buildings, self-insured
liabilities, impairments of assets, insurance reserves, premiums
and acquisition cost amortization, income taxes and commitments
and contingencies. Our estimates are based on historical
experience, observance of trends in particular areas,
information and/or valuations available from outside sources and
on various other assumptions that we believe to be reasonable
under the circumstances and which form the basis for making
judgments about the carrying values of assets and liabilities
that are not readily apparent from other sources. Actual amounts
may differ from these estimates under different assumptions and
conditions. Such differences may be material.


Accounting policies are considered critical when
they are significant and involve difficult, subjective or
complex judgments or estimates. We consider the following to be
critical accounting policies:



| |                            
| | ---------------------------
| | Principles of Consolidation

The condensed consolidated financial statements
presented here include the accounts of AMERCO and its
wholly-owned subsidiaries and SAC Holdings and their
subsidiaries. All material inter-company accounts and
transactions have been eliminated in consolidation. AMERCO has
made significant loans to SAC Holdings and is entitled to
participate in SAC Holdings excess cash flow (after senior
debt service). All of the equity interest of SAC Holdings is
owned by Mark V. Shoen, a significant shareholder and
executive officer of AMERCO. AMERCO does not have an equity
ownership interest in SAC Holdings, except for investments made
by RepWest and Oxford in a SAC Holdings-controlled limited
partnership which holds Canadian self-storage properties. SAC
Holdings are not legal subsidiaries of AMERCO. AMERCO is not
liable for the debts of SAC Holdings and there are no default
provisions in AMERCO indebtedness that cross-default to SAC
Holdings obligations.

The operating results and financial position of
RepWest and Oxford have been consolidated on the basis of a
calendar year and, accordingly, results from operations for
RepWest and Oxford are for the quarter and nine months ended
September 30, 2003 and 2002.



| |                                           
| | ------------------------------------------
| | Revenue earning vehicles and
    buildings

Depreciation is recognized in amounts expected to
result in the recovery of estimated residual values upon
disposal (i.e., no gains or losses). In determining the
depreciation rate, we review historical disposal experience and
holding periods. Due to longer holding periods on trucks and the
resulting increased possibility of changes in the economic
environment and market conditions, these estimates are subject
to a greater degree of risk.



| |                                            
| | -------------------------------------------
| | Long-lived assets and intangible
    assets

We review carrying value whenever events or
circumstances indicate the carrying values may not be
recoverable through projected undiscounted future cash flows.
The events could include significant underperformance relative
to expected, historical or projected future operating results,
significant changes in the manner of using the assets, overall
business strategy, significant negative industry or economic
trends and an unexpected non-compliance with significant debt
agreements.



| |            
| | -----------
| | Investments

For investments accounted for under SFAS 115, in
determining if and when a decline in market value below
amortized cost is other than temporary, quoted market prices,
dealer quotes or discounted cash flows are reviewed.
Other-than-temporary declines in value are recognized in the
current period operating results to the extent of the decline.



| |                                              
| | ---------------------------------------------
| | Insurance revenue and expense
    recognition

Premiums are recognized as revenue as earned over
the terms of the respective policies. Benefits and expenses are
matched with recognized premiums to result in revenue and
expense recognition over the life of

29



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##### 



the contracts. This match is accomplished by
recording a provision for future policy benefits and unpaid
claims and claim adjustment expenses and by amortizing deferred
policy acquisition costs. Charges related to services to be
performed are deferred until earned. The amounts received in
excess of premiums and fees are included in other policyholder
funds in the consolidated balance sheets.


Unearned premiums represent the portion of
premiums written which relate to the unexpired term of policies.
Liabilities for health and disability and other policy claims
and benefits payable represent estimates of payments to be made
on insurance claims for reported losses and estimates of losses
incurred but not yet reported. These estimates are based on past
claims experience and current claim trends as well as social and
economic conditions such as changes in legal theories and
inflation. Due to the nature of underlying risks and the high
degree of uncertainty associated with the determination of the
liability for future policy benefits and claims, the amounts to
be ultimately paid to settle liabilities cannot be precisely
determined and may vary significantly from the estimated
liability.

Acquisition costs related to insurance contracts
have been deferred to accomplish matching against future premium
revenue. The costs are charged to current earnings to the extent
it is determined that future premiums are not adequate to cover
amounts deferred.



| |                         
| | ------------------------
| | U-Haul insurance expense

Expense is recognized monthly based on reported
claims and an estimate of future claims. A reserve is booked for
unpaid losses. U-Hauls self-insured retention is paid out
over time as claims are settled, relieving the reserve for
unpaid losses.

Results of Operations



| |                                                                           
| | --------------------------------------------------------------------------
| | Quarter Ended December 31, 2003 Versus
    Quarter Ended December 31, 2002



| |                          
| | -------------------------
| | U-Haul Moving and Storage

Revenues consist of rental revenues, net sales
and investment earnings.

Rental revenue was $356.8 million and
$307.9 million for the quarters ended December 31,
2003 and 2002, respectively. The increase primarily resulted
from growth in equipment rental revenues due to improved revenue
per transaction and fleet utilization, and increases in storage
revenues due to increases in the quantity of rooms rented and
price improvement in rooms rented.

Net sales revenues were $36.7 million and
$34.9 million for the quarters ended December 31, 2003
and 2002, respectively. The increase reflects improved sales of
propane and moving support items and shifts in the mix of
products sold.

Investment income was $6.9 million and
$7.3 million for the quarter ending December 31, 2003
and 2002, respectively.

Cost of sales were $19.7 million and
$18.9 million for the quarters ended December 31, 2003
and 2002, respectively. The increase is due to a shift in the
mix of products sold.

Operating expenses before inter-company
eliminations were $283.9 million and $253.2 million
for the quarters ended December 31, 2003 and 2002,
respectively. The increase is due to an increase in insurance
reserves partially offset by declines in advertising expense,
telephone and other operating expense.

Lease expense was $36.2 million and
$32.3 million for the quarters ended December 31, 2003
and 2002, respectively.

Net depreciation expense was $32.8 million
and $27.9 million for the quarters ended December 31,
2003 and 2002, respectively. Depreciation from rental trucks
acquired off lease and an increase in depreciation on pickups
and vans caused the increase.

Operating loss before inter-company eliminations
was $10.4 million and $21.1 million for the quarters
ended December 31, 2003 and 2002.

30



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##### 





| |                          
| | -------------------------
| | Amerco Real Estate (AREC)

Rental revenue before inter-company eliminations
was $20.1 million and $21.7 million for the quarters
ended December 31, 2003 and 2002, respectively.
Inter-company revenue was $15.5 and $14.8 million for the
quarters ended December 31, 2003 and 2002, respectively.

Net investment and interest income was
$2.0 million and $3.1 million for the quarters ended
December 31, 2003 and 2002, respectively.

Lease expense was $3.1 million and $2.7 for
the quarters ended December 31, 2003 and 2002,
respectively. The increase is a result of the increase in lease
expense for storage facilities.

Net depreciation expense was $0.9 million
and $1.2 million for the quarters ended December 31,
2003 and 2002, respectively.

Operating profit before inter-company
eliminations was $14.4 million and $13.9 million for
the quarters ended December 31, 2003 and 2002, respectively.



| |                                
| | -------------------------------
| | Property and Casualty (RepWest)

RepWests net earned premiums were
$20.1 million and $40.6 million for the three months
ended September 30, 2003 and 2002, respectively. General
agency premiums were $13.0 million and $19.9 million
for the three months ended September 30, 2003 and 2002,
respectively. The decrease in 2003 is due to RepWests
decision to exit its non-U-Haul lines. Assumed treaty
reinsurance premiums were $0 and $10.6 million for the
three months ended September 30, 2003 and 2002,
respectively. The decrease from 2002 to 2003 is due to the
cancellation of RepWests assumed treaty business. Rental
industry earned premiums were $7.0 million and
$10.0 million for the three months ended September 30,
2003 and 2002, respectively.

Net investment income was $7.3 million and
$6.2 million for the three months ended September 30,
2003 and 2002, respectively. The 2003 increase included a
$2.0 million gain on sale of real estate.

Benefits and losses incurred were
$26.6 million and $31.8 million for the three months
ended September 30, 2003 and 2002, respectively. The
decrease is due to decreased earned premiums in all segments of
RepWests business.

The net amortization of deferred acquisition
costs (DAC) was $4.7 million and $1.6 million for
the three months ended September 30, 2003 and 2002,
respectively. The increase is due to lower premiums resulting
from RepWests decision to exit its non-U-Haul lines.

Operating expenses were $3.5 million and
$13.6 million for the three months ended September 30,
2003 and 2002, respectively. The decrease is a result of reduced
commissions and general administrative expenses.

Operating loss before tax was $7.4 million
and $0.2 million for the three months ended
September 30, 2003 and 2002. The increase in losses is
primarily due to loss development and reserve strengthening on
cancelled lines of business that were written in prior years.

In April 2003, RepWest announced that in
conjunction with the Companys overall restructuring
efforts, it is redirecting its operating focus. In particular,
RepWest is exiting non-U-Haul related lines of business.
Management estimates that approximately 75% and 81% of earned
premium and balance sheet reserves, respectively, relate to the
operations that are being discontinued. The process will be
conducted in a fashion to help insure an orderly transition and
minimize related costs.



| |                        
| | -----------------------
| | Life Insurance (Oxford)

Net premiums were $36.4 million and
$40.4 million for the quarters ended September 30,
2003 and 2002, respectively. Medicare supplement premiums
decreased $1.1 million as lapses on closed blocks exceeded
new business. Life and annuity premiums decreased
$1.3 million quarter over quarter due to a decline in new
life writings. Credit insurance premiums decreased
$1.3 million for the quarter as the number of accounts
decreased. Other business segments had premium decreases
totaling $0.3 million.

31



---



##### 



Net investment income before inter-company
eliminations decreased to $4.7 million from $5.3 million
due to fewer realized gains.

Benefits incurred were $24.4 million and
$27.9 million for the quarters ended September 30,
2003, and 2002, respectively. Medicare supplement incurred
benefits decreased $1.9 million due to a reduced population
and better loss experience. Life insurance benefits decreased
$1.3 million. Other business segments had benefits
decreases totaling $0.4 million.

Amortization of deferred acquisition costs
(DAC) and the value of business acquired (VOBA) was
$6.4 million and $4.6 million for the quarters ended
September 30, 2003 and 2002, respectively. The increase is
from increased surrender activity from the deferred annuity
segment that has occurred since AMERCOs bankruptcy filing
and Oxfords subsequent rating decline.

Operating expenses were $6.0 million and
$9.7 million for the quarters ended September 30,
2003, and 2002, respectively. Commissions have decreased
$1.7 million from 2002 as new sales have declined. Fees
collected from surrendered annuity policies increased
$2.4 million offsetting the increases in DAC amortization.
General and administrative expenses net of fees collected
increased $0.5 million.

Operating profit before tax and inter-company
eliminations was $4.4 million, and $3.4 million for
the quarters ending September 30, 2003, and 2002,
respectively. The increase is primarily from improvements in the
Medicare supplement segment.



| |                       
| | ----------------------
| | SAC Moving and Storage

Total revenues consist of storage rental
revenues, vehicle rental commissions and net sales. Total rental
revenue was $43.3 million and $39.4 million for the
quarters ended December 31, 2003 and 2002, respectively.
The increase is due to increased room inventory and rates.

Net sales revenues increased to
$10.5 million from $10.2 million for the quarters
ended December 31, 2003 and 2002, respectively. The
increase is due to higher sales volume of moving support items.

Operating expenses before inter-company
eliminations increased to $24.9 million from
$24.7 million for the quarters ended December 31, 2003
and 2002, respectively. Operating expenses are relatively
constant.

Cost of sales were $4.2 million and
$3.5 million for the quarters ended December 31, 2003
and 2002, respectively.

Net depreciation expense was $5.1 million
and $4.7 million for the quarters ended December 31,
2003 and 2002, respectively.

Operating profits were $19.5 million and
$16.6 million for the quarters ended December 31, 2003
and 2002, respectively.



| |                   
| | ------------------
| | Consolidated Group

Interest expense was $31.2 million and
$31.4 million for the quarters ended December 31, 2003
and 2002, respectively. AMERCOs interest expense,
excluding SAC, was $19.7 and $22.0 million for the quarters
ended December 31, 2003 and 2002, respectively. Interest
expense of SAC Holdings on third party debt was
$11.4 million and $9.4 million for the quarter ended
December 31, 2003 and 2002, respectively.

Pretax loss was $32.2 million and
$64.7 million for the quarters ended December 31, 2003
and 2002, respectively. After providing for income taxes, net
losses were $21.7 million and $45.8 million for the
quarters ended December 31, 2003 and 2002, respectively.

32



---



##### 





| |                                                                                   
| | ----------------------------------------------------------------------------------
| | Nine months ended December 31, 2003
    Versus Nine months Ended December 31, 2002



| |                          
| | -------------------------
| | U-Haul Moving and Storage

Revenues consist of rental revenues, net sales
and investment earnings.

Rental revenue was $1,220.0 million and
$1,146.8 million for the nine months ended
December 31, 2003 and 2002, respectively. The increase from
the prior year reflects increased equipment rental revenues
which can be attributed to an increase in the average dollar per
transaction, improved equipment utilization, and increases in
storage revenues due to an increase in the number of rooms
rented and improved pricing.

Net sales revenues were $142.4 million and
$137.6 million for the nine months ended December 31,
2003 and 2002, respectively. The increase in sales reflects
improved sales of propane and moving support items.

Cost of sales were $70.1 million and
$71.5 million for the nine months ended December 31,
2003 and 2002, respectively. The decrease was due to a shift in
the mix of products sold.

Operating expenses before inter-company
eliminations were $817.8 million and $824.3 million
for the nine months ended December 31, 2003 and 2002,
respectively. Decreases in advertising, telephone, utility and
other operating expenses caused the decrease.

Lease expense was $110.8 million and
$120.4 million for the nine months ended December 31,
2003 and 2002, respectively. The decrease is due to a decrease
in the number of trucks leased.

Net depreciation expense was $93.7 million
and $83.9 million for the nine months ended
December 31, 2003 and 2002, respectively. Depreciation from
rental trucks acquired off lease, an increase in depreciation on
pickups and vans, and increased losses on disposition of fixed
assets is responsible for the increase in net depreciation
expense.

Operating profit before inter-company
eliminations was $153.8 million and $63.4 million for
the nine months ended December 31, 2003 and 2002,
respectively.



| |                          
| | -------------------------
| | Amerco Real Estate (AREC)

Rental revenue before inter-company eliminations
was $50.3 million and $51.4 million for the nine
months ended December 31, 2003 and 2002, respectively.
Inter-company revenue was $45.7 and $45.1 million for the
nine months ended December 31, 2003 and 2002, respectively.

Net investment and interest income was
$6.0 million and $8.0 million for the nine months
ended December 31, 2003 and 2002, respectively.

Lease expense was $10.7 million and $7.5 for
the nine months ended December 31, 2003 and 2002,
respectively. The increase is a result of the increase in lease
expense for storage facilities.

Net depreciation expense was $5.1 million
and $5.4 million for the nine months ended
December 31, 2003 and 2002, respectively.

Operating profit before inter-company
eliminations was $40.5 million and $41.5 million for
the nine months ended December 31, 2003 and 2002,
respectively.



| |                                
| | -------------------------------
| | Property and Casualty (RepWest)

RepWests earned premiums were
$78.2 million and $126.9 million for the nine months
ended September 30, 2003 and 2002, respectively. General
agency premiums were $56.4 million and $68.5 million
for the nine months ended September 30, 2003 and 2002,
respectively. The decrease in 2003 is due to RepWest exiting its
non-U-Haul related lines. Assumed treaty reinsurance premiums
were $2.1 million and $29.1 million for the nine
months ended September 30, 2003 and 2002, respectively. The
decrease from 2002 to 2003 is due to the cancellation of
RepWests assumed treaty business. Rental industry earned
premiums were $19.7 million and $29.2 million for the
nine months ended September 30, 2003 and 2002,
respectively. The 2003 decrease was from a change in policy
structure on U-Haul business effective April 1, 2003.

33



---



##### 



Net investment income was $19.2 million and
$21.5 million for the nine months ended September 30,
2003 and 2002, respectively. The decrease is attributable to
lower average invested assets.

Benefits and losses incurred were
$89.6 million and $111.7 million for the nine months
ended September 30, 2003 and 2002, respectively. The
decrease is primarily due to decreased earned premiums in all
segments of the RepWests business, which was offset
partially by the reserve strengthening on discontinued lines.

The net amortization of deferred acquisition
costs (DAC) were $11.8 million and $13.2 million
for the nine months ended September 30, 2003 and 2002,
respectively. The decrease is due to RepWests decreased
earned premiums.

Operating expenses were $17.8 million and
$26.2 million for the nine months ended September 30,
2003 and 2002, respectively. The decrease is due to reduced
general administrative expenses, as a result of the
discontinuance of non-related U-Haul lines.

Operating loss before tax was $21.8 million
and $2.8 million for the nine months ended
September 30, 2003 and 2002, respectively. The increase in
the loss is due to further loss development and reserve
strengthening on cancelled lines of business that were written
in prior years.

In April 2003, RepWest announced that in
conjunction with the Companys overall restructuring
efforts, it is redirecting its operating focus. In particular,
RepWest is exiting non-U-Haul related lines of business.
Management estimates that approximately 75% and 81% of earned
premium and balance sheet reserves, respectively, relate to the
operations that are being discontinued. The process will be
conducted in an orderly fashion to help minimize related costs.

Republic Western Business Breakdown

|                             |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |         | 
|---------------------------- | ----- | ------------------ | ------ | ------------------ |  | ------------- | ------- | ------------- |  | - | ------- | ------- |  | - | ------- | ------- | 
|                             |       | Net Earned Premium |        | Net Earned Premium |  | Outstanding   |         | Outstanding  
|                             |       | Nine Months Ended  |        | Nine Months Ended  |  | Reserves at   |         | Reserves at  
|                             |       | September 30,      |        | September 30,      |  | September 30, |         | September 30,
|Insurance Line               |       | 2003               |        | 2002               |  | 2003          |         | 2002         
|                             |       |                    |        |                    |  |               |         |              
|                             |       |                    |        |                    |  |              
|                             |       |                    |        | (In thousands)     |  |              
|AMERCO Related Business:     |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |        
|U-Haul business              |       | $                  | 266    |                    |  | $             | 9,469   |               |  | $ | 70,224  |         |  | $ | 85,197  |        
|Safestor, Safetow, Safemove  |       |                    | 11,995 |                    |  |               | 11,531  |               |  |   | 2,596   |         |  |   | 2,698   |        
|Storage                      |       |                    | 4,470  |                    |  |               | 4,953   |               |  |   | 5,712   |         |  |   | 6,871   |        
|NAFCIC                       |       |                    | 3,018  |                    |  |               | 3,293   |               |  |   | 3,249   |         |  |   | 3,628   |        
|                             |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |        
|                             | Total |                    |        | 19,749             |  |               |         | 29,246        |  |   |         | 81,781  |  |   |         | 98,394  | 
|                             |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |        
|Non-AMERCO Related Business: |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |        
|Agency                       |       |                    | 56,366 |                    |  |               | 68,537  |               |  |   | 277,924 |         |  |   | 227,776 |        
|Assumed business             |       |                    | 2,132  |                    |  |               | 29,093  |               |  |   | 63,019  |         |  |   | 73,278  |        
|                             |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |        
|                             | Total |                    |        | 58,498             |  |               |         | 97,630        |  |   |         | 340,943 |  |   |         | 301,054 | 
|                             |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |        
|Total RepWest                |       | $                  | 78,247 |                    |  | $             | 126,876 |               |  | $ | 422,724 |         |  | $ | 399,448 |        
|                             |       |                    |        |                    |  |               |         |               |  |   |         |         |  |   |         |        



| |                        
| | -----------------------
| | Life Insurance (Oxford)

Net premiums were $112.9 million and
$121.1 million for the nine months ended September 30,
2003 and 2002, respectively. Life insurance premium and
annuitizations decreased $2.8 million from the same period
in 2002. Credit insurance premiums decreased $3.6 million
for the nine months. Other business segments had premium
decreases totaling $1.9 million.

Net investment income before inter-company
eliminations was $15.4 million and $13.0 million for
the nine months ended September 30, 2003 and 2002,
respectively. This is primarily due to fewer other than

34



---



##### 



temporary decline write-downs in the bond
portfolio offset by reduced investment yields and a lower
invested asset base.


Benefits incurred were $80.2 million and
$88.4 million for the nine months ended September 30,
2003 and 2002, respectively. Medicare supplement incurred
benefits decreased $4.7 million and credit life and
disability decreased $1.8 million from reduced populations
and improved loss experience. Other segments had benefit
decreases totaling $1.7 million.

Amortization of deferred acquisition cost
(DAC) and the value of business acquired (VOBA) was
$17.0 million and $14.7 million for the nine months
ended September 30, 2003 and 2002, respectively. The
increase is primarily due to surrender activity from the
deferred annuity segment that has occurred since AMERCOs
bankruptcy filing and Oxfords subsequent rating decline.

Operating expenses were $23.2 million and
$29.6 million for the nine months ended September 30,
2003, and 2002, respectively. Commission expenses decreased
$2.0 million as new sales declined. Fees collected from
annuity policies that surrendered increased $3.2 million
offsetting the increases in DAC amortization. General and
administrative expenses net of fees collected decreased
$1.2 million.

Operating profit before tax and inter-company
eliminations was $7.8 million and $1.4 million for the
nine months ended September 30, 2003 and 2002,
respectively. The improvement is due to fewer write-downs of
bonds and from better loss experience in the Medicare supplement
segment.



| |                       
| | ----------------------
| | SAC Moving and Storage

Total revenues consist of storage rental
revenues, vehicle rental commissions and net sales. Total rental
revenue was $127.4 million and $123.8 million for the
nine months ended December 31, 2003 and 2002, respectively.

Net sales revenues were $39.6 million and
$38.1 million for the nine months ended December 31,
2003 and 2002, respectively. Propane and hitch sales accounted
for the increase.

Operating expenses before inter-company
eliminations were $81.5 million and $74.9 million for
the nine months ended December 31, 2003 and 2002,
respectively. Increased expenses were the result of increased
payroll, advertising, property tax expenses, and liability
insurance.

Cost of sales increased to $16.9 million
from $16.0 million for the nine months ended
December 31, 2003 and 2002, respectively. This increase was
due to increased sales volume.

Net depreciation expense was $16.0 million
and $14.5 million for the nine months ended
December 31, 2003 and 2002, respectively. The increase is
due to an increased loss on disposal of assets.

Operating profits were $52.6 million and
$56.5 million for the nine months ended December 31,
2003 and 2002, respectively.



| |                   
| | ------------------
| | Consolidated Group

Interest expense was $92.8 million and
$86.3 million for the nine months ended December 31,
2003 and 2002, respectively. AMERCOs interest expense was
$60.4 and $54.1 million for the nine months ended
December 31, 2003 and 2002, respectively. AMERCOs
interest expense increased despite lower overall average debt
outstanding due to an increase in the average cost of debt
resulting from default interest. Interest expense of SAC
Holdings on third party debt was $32.5 million and
$32.2 million for the nine months ended December 31,
2003 and 2002, respectively.

Pretax earnings were $80.7 million and
$6.9 million for the nine months ended December 31,
2003 and 2002, respectively. After providing for income taxes,
net earnings were $50.1 million and $0.1 million for
the nine months ended December 31, 2003 and 2002,
respectively.

35



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##### 



Liquidity and Capital Resources

The matters described in Liquidity and
Capital Resources to the extent that they relate to future
events or expectations, may be significantly affected by the
Chapter 11 case. That proceeding involves, or may result
in, various restrictions on the Companys activities,
limitations on financing, the need to obtain Bankruptcy Court
approval for various matters and uncertainty as to relationships
with vendors, suppliers, customers and others with whom the
Company may conduct or seek to conduct business.

Generally, under the Bankruptcy Code, most of a
debtors liabilities must be satisfied in full in order to
preserve the value of the debtors preferred and common
stock. The rights and claims of the Companys various
creditors and security holders will be determined by the plan of
reorganization filed by AMERCO. Although AMERCO expects to
consummate a full value plan of reorganization that
provides creditors with a combination of cash and new debt
securities equal to the full amount of their allowed claims and
also preserves the value of AMERCOs common and preferred
stock, no assurance can be given as to what values will be
ascribed in the bankruptcy proceedings to each of these
constituencies.



| |                                                   
| | --------------------------------------------------
| | U-Haul Moving and Storage Capital
    Expenditures

To meet the needs of its customers, U-Haul must
maintain a large inventory of fixed asset rental items.
Historically capital expenditures have primarily reflected new
rental truck acquisitions and storage expansion. The capital
required to fund these expenditures has historically been
obtained through internally generated funds from operations,
indebtedness and lease financing.

During each of the fiscal years ending
March 31, 2004, 2005 and 2006, U-Haul estimates gross
capital expenditures will average approximately
$150 million to maintain the rental fleet at current
levels. Management estimates that U-Haul will fund these
requirements with leasing, internally generated funds and
proceeds from the sale of trucks and surplus assets. The level
of capital expenditures may be affected by the amount of
internally generated funds and proceeds from the sale of assets.



| |                          
| | -------------------------
| | Amerco Real Estate (AREC)

At December 31, 2003, Real Estate had
$101.5 million of notes and loans payable due in less than
one year and its accounts payable and accrued expenses total
$4.0 million. Real Estate financial assets (cash,
receivables, inventories, and short term investments) at
December 31, 2003 were $14.6 million.



| |                                    
| | -----------------------------------
| | Property and Casualty
    (RepWest)

At September 30, 2003, RepWest had no notes
and loans due in less than one year and its accounts payable and
accrued expenses were $1.4 million. RepWests
financial assets (cash, receivables, inventories, short-term
investments and fixed maturities) at September 30, 2003
were $545.0 million. State insurance regulations restrict
the amount of dividends that can be paid to stockholders of
insurance companies.

RepWests cash and cash equivalents and
short-term investment portfolio were $61.2 million and
$29.6 million at September 30, 2003, and 2002,
respectively.

Stockholders equity was $174.9 million
and $213.1 million at September 30, 2003, and 2002,
respectively. RepWest considers current stockholders
equity to be adequate to absorb unforeseen risk events.



| |                        
| | -----------------------
| | Life Insurance (Oxford)

At September 30, 2003, Oxford had no notes
and loans payable due in less than one year and its accounts
payable and accrued expenses total $0.7 million. Life
Insurance financial assets (cash, receivables, inventories,
short-term investments, other investments, and fixed maturities)
at September 30, 2003 were $873.8 million. State
insurance regulations restrict the amount of dividends that can
be paid to stockholders of insurance companies.

In addition to cash flows from operating and
financing activities, a substantial amount of liquid funds is
available through Oxfords short-term portfolio. At
September 30, 2003, and 2002 short-term investments

36



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##### 



amounted to $122.9 million, and
$38.4 million, respectively. Management believes that the
overall sources of liquidity will continue to meet foreseeable
cash needs.


Stockholders equity increased to
$117.2 million from $104.3 million in 2002. The
increase from 2002 is a result of earnings and changes in market
value for the available for sale investment portfolio.

Oxford is in compliance with the NAIC minimum
risk-based capitalization (RBC) requirements.



| |                       
| | ----------------------
| | SAC Moving and Storage

SAC Holdings operations are funded by various
mortgage loans and unsecured notes, with interest rates ranging
from 5.0% to 13.0%. SAC Holdings does not utilize revolving
lines of credit to finance its operations or acquisitions.
Certain of SAC Holdings agreements contain restrictive
covenants and restrictions on incurring additional subsidiary
indebtedness. At December 31, 2003, SAC Holdings was in
compliance with all of these covenants.

At December 31, 2003, SAC Holdings
notes and loans payable due in less than one year total
$32.9 million and its accounts payable and accrued expenses
total $46.2 million. SAC Holdings financial assets
(cash, receivables, inventories, and short term investments) at
December 31, 2003 were $8.8 million. Because AMERCO
does not have any equity ownership in SAC Holdings (other than
investments made by RepWest and Oxford in a SAC
Holdings-controlled limited partnership which holds Canadian
self-storage properties), these assets are not available to meet
the obligations of AMERCO.

At December 31, 2003, total outstanding
notes and mortgages payable for SAC Holdings and consolidated
subsidiaries, before inter-company eliminations were
$990.1 million as compared to $983.2 million at
March 31, 2003. SAC Holdings creditors have no
recourse to AMERCO. AMERCO is not liable for the debts of SAC
Holdings. Further, there are no cross default provisions on
indebtedness between AMERCO and SAC Holdings.

At December 31, 2003, total outstanding
notes and mortgages payable for AMERCO and wholly owned
subsidiaries was $957.0 million compared to
$954.9 million at March 31, 2003.



| |                  
| | -----------------
| | Credit Agreements

AMERCOs operations were previously funded
by various credit and financing arrangements, including
unsecured long-term borrowings, unsecured medium-term notes and
revolving lines of credit with domestic and foreign banks. To
finance its fleet of trucks and trailers, U-Haul routinely
enters into leasing transactions. As of December 31, 2003,
AMERCO had $957.0 million in total notes and loans
outstanding.

Certain of AMERCOs credit agreements
contained restrictive financial and other covenants, including,
among others, covenants with respect to incurring additional
indebtedness, making third party guarantees, entering into
contingent obligations, maintaining certain financial ratios and
placing certain additional liens on its properties and assets
and restricting the issuance of certain types of preferred stock
AMERCOs various credit and financing arrangements are
affected by its credit ratings.

On October 15, 2002, AMERCO failed to make a
$100 million principal payment due to the
Series 1997-C Bond Backed Asset Trust. On that date, AMERCO
also failed to pay a $26.5 million obligation to Citibank
and Bank of America in connection with the BBATs. As a result of
the foregoing, AMERCO is in default with respect to its other
credit arrangements that contain cross-default provisions,
including its Revolver. In addition to the cross-default under
the Revolver, AMERCO is also in default under that agreement as
a result of its failure to obtain incremental net cash proceeds
and/or availability from additional financings in the aggregate
amount of at least $150 million prior to October 15,
2002. In addition, Amerco Real Estate Company has defaulted on a
$100 million loan by failing to grant mortgages required by
the loan agreement in a timely manner. The obligations of AMERCO
currently in default (either directly or as a result of a
cross-default) are approximately $1,121.2 million.

37



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##### 





| |                   
| | ------------------
| | Support Agreements

In February 1997, AMERCO, through its insurance
subsidiaries, made an equity investment in Private Mini. During
1997, Private Mini secured a line of credit in the amount of
$225 million with a financial institution, which was
subsequently reduced in accordance with its terms to
$125 million in December 2001. Under the terms of this
credit facility AMERCO entered into a support party agreement
with Private Mini and the financial institution whereby upon
certain defaults or noncompliance with debt covenants by Private
Mini, AMERCO could be required to assume responsibility in
fulfilling all payment obligations and certain covenant
obligations related to this credit facility. Private Mini
defaulted on the credit facility due to AMERCOs default
under the support party agreement, which support party agreement
default was triggered by virtue of cross-defaults to certain
other AMERCO obligations. Additionally, Private Mini defaulted
under the credit facility by virtue of non-payment of the
outstanding balance at maturity. In December 2002, the financing
institution exercised its option to require AMERCO to purchase
all commitments under the credit facility. In March, 2003 AMERCO
and the financial institution entered a standstill agreement
with respect to this obligation, which standstill agreement
expired by its terms on April 30, 2003. Since
April 30, 2003, the financial institution has not re-issued
any default notices to AMERCO with respect to this obligation or
otherwise required AMERCO to purchase all commitments under the
credit facility. AMERCO has not purchased any commitments under
the credit facility and, as of December 31, 2003, AMERCO
has recorded a liability for the $55 million remaining
balance under the credit facility with a corresponding increase
to its receivable from Private Mini.

In February 2003, an entity affiliated with
Private Mini closed on a $255 million financing and
$70 million of these proceeds were used to pay down the
$125 million line of credit described above. The aggregate
amount of support provided by AMERCO remains unchanged at
$125 million ($55 million to the lenders under the
Amended and Restated loan agreement with the 1997 lenders and
$70 million under the new $255 million financing).
Under the terms of the support party agreement for the
$255 million financing, following certain events of
default, AMERCO would assume responsibility for $70 million
of the obligations under this financing. AMERCO has recorded a
liability for the $70 million obligation with a corresponding
increase to its receivable from Private Mini. In June 2003,
AMERCOs insurance subsidiaries sold their equity interest
in Private Mini to SAC Holding.



| |                  
| | -----------------
| | Bankruptcy Filing

On June 20, 2003 (the Petition
Date), AMERCO filed a voluntary petition for relief under
Chapter 11 of the United States Bankruptcy Code (the
Bankruptcy Code) in the United States Bankruptcy
Court, District of Nevada (the Bankruptcy Court)
(Case No. 0352103). AMERCO continues to manage its
properties and operate its businesses as
debtor-in-possession under the jurisdiction of the
Bankruptcy Court and in accordance with the applicable
provisions of the Bankruptcy Code. In general, as
debtor-in-possession, AMERCO is authorized under Chapter 11
to continue to operate as an ongoing business, but may not
engage in transactions outside the ordinary course of business
without the prior approval of the Bankruptcy Court. Specific
information pertaining to the bankruptcy filing may be obtained
from the website www.amerco.com. The consolidated
financial statements do not include any adjustments to reflect
future effects on the recoverability and classification of
assets or the amount and classification of liability that might
result from these uncertainties. The Companys independent
auditors qualified their opinion on the Companys
March 31, 2003 financial statements by including an
explanatory paragraph in which they expressed substantial doubt
about the Companys ability to continue as a going concern.

On October 6, 2003, AMERCO filed its Plan of
Reorganization and Disclosure Statement with the Bankruptcy
Court. On November 26, 2003, AMERCO filed an Amended Plan
of Reorganization (the Plan). On December 12,
2003, the Bankruptcy Court approved AMERCOs Disclosure
Statement. On February 2, 2004, the Bankruptcy Court
confirmed the Plan contingent upon completion of documentation
and agreements acceptable to the involved parties and the
submission of proposed findings of fact and conclusions of law
and a confirmation order acceptable to all involved parties.
AMERCO expects that by fiscal year end (i) it will satisfy
the above contingencies and (ii) the Bankruptcy Court will
execute a confirmation

38



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##### 



order. The confirmation order will become final
if it is not appealed within ten days after entry and AMERCO
intends to proceed to implement the Plan and emerge from
bankruptcy as soon as possible thereafter.




| |             
| | ------------
| | DIP Facility

The DIP Facility consists of a $300 million
credit facility with an interest rate option of LIBOR plus 3.5%
or the prime rate plus 1.0%. The DIP Facility will mature on the
earlier of (i) 12 months following the Bankruptcy
Courts order approving the facility; (ii) ten days
following the date of entry of an order confirming AMERCOs
plan of reorganization; or (iii) the conversion of the
Chapter 11 case to a case under Chapter 7. In order to
facilitate a drawing on the DIP Facility, Real Estate filed for
Chapter 11. This filing was needed to facilitate granting
security to the lending group in the real estate assets owned by
Real Estate. The DIP Facility was approved by the Bankruptcy
Court on September 26, 2003.

On August 14, 2003, the Bankruptcy Court
approved the use of $56 million of DIP Facility proceeds to
reduce the amount outstanding under the Revolver and to pay
financing fees.

The terms of the DIP Facility include covenants
that require AMERCO to maintain agreed upon minimum levels of
EBITDA, EBITDAR and fixed charge coverage ratios. The DIP
Facility also contains a limitation on capital expenditures. All
such financial covenants are tested monthly. Other customary
covenants (both positive and negative) are included in the DIP
Facility.

In addition, AMERCO has entered into a
restructuring agreement with the revolver lenders and a Plan
Support Agreement with the Official Committee of Unsecured
Creditors. Amerco Real Estate Company has entered into a
restructuring agreement with the holders of $100 million of
its notes. Both agreements govern the consensual treatment of
such creditors under AMERCOs Plan of Reorganization and
such creditors have supported confirmation of the Plan.



| |             
| | ------------
| | SAC Holdings

SAC Holdings intends to meet its current debt
obligations through cash flows, generated from its operating
activities. SAC Holdings intends to continue to purchase storage
properties during the next year using financing arrangements.



| |                   
| | ------------------
| | Consolidated Group

At December 31, 2003, total outstanding
notes and mortgages payable for AMERCO and consolidated
subsidiaries was $957.0 million compared to
$954.9 million at March 31, 2003. The Companys
total of cash, cash equivalents and short-term investments was
$136.9 million at December 31, 2003, compared to
$66.8 million at March 31, 2003. At December 31,
2003, total outstanding notes and mortgages payable for SAC
Holdings and consolidated subsidiaries, before inter-company
eliminations were $990.1 million as compared to
$983.2 million at March 31, 2003. SAC Holdings
creditors have no recourse to AMERCO. AMERCO is not liable for
the debts of SAC Holdings.

Due to the defaults and various cross defaults,
the consolidated group has notes, loans and lease obligations
due in one year of $1.1 billion. The group also had
accounts payable and accrued expenses of $359.2 million.
Liquid assets for the group totaled $431.4 million.

Cash Provided by Operating
Activities



| |                          
| | -------------------------
| | U-Haul Moving and Storage

Cash provided by operating activities was
$115.2 million and $78.0 million for the nine months
ended December 31, 2003 and 2002, respectively. The
increase is due to improved earnings.

39



---



##### 





| |                          
| | -------------------------
| | Amerco Real Estate (AREC)

Cash used by operating activities was
$1.2 million and $90.8 million for the nine months
ended December 31, 2003 and 2002, respectively. The
decrease in cash used is from a reduction in acquisitions and
construction.



| |                                    
| | -----------------------------------
| | Property and Casualty
    (RepWest)

Cash flows used by operating activities were
$55.6 million and $45.1 million for the nine months ended
September 30, 2003 and 2002, respectively. The increase in
2003 over 2002 is a result of an increase in reinsurance
recoverables. The overall use of cash for operating activities
is a result of the company exiting non-U-Haul lines, and
reducing unearned premium and losses associated with the exit.



| |                        
| | -----------------------
| | Life Insurance (Oxford)

Cash provided/(used) by operating activities was
$11.8 million and ($19.0) million for the nine months ended
September 30, 2003 and 2002, respectively. The increase in
cash flows from operating activities in 2003 related to $7.0
million less of federal income taxes paid, $10.0 million
less in commissions paid, and the timing of the collection of
receivables.



| |                       
| | ----------------------
| | SAC Moving and Storage

Cash flows provided by operating activities were
$1.2 million and $4.7 million for the nine months ended
December 31, 2003 and 2002, respectively.



| |                   
| | ------------------
| | Consolidated Group

Cash provided by operating activities was
$151.2 million and $147.7 million for the nine months
ended December 31, 2003 and 2002, respectively.

At December 31, 2003, total outstanding
notes and mortgages payable for AMERCO and wholly owned
subsidiaries was $957.0 million compared to
$954.9 million at March 31, 2003. At December 31,
2003, total outstanding notes and mortgages payable for SAC
Holdings and consolidated subsidiaries was $990.1 million
compared to $983.2 million at March 31, 2003. SAC
Holdings securitized loan agreements have no guarantees,
or triggers that could create a guarantee, from AMERCO.

AMERCO does not have any ownership interest in
SAC Holdings or its subsidiaries, except for investments made by
RepWest and Oxford in a SAC Holdings controlled limited
partnership which holds Canadian self-storage properties. The
presentation of the consolidated statements has no bearing on
the credit agreements or the operations of either AMERCO or SAC
Holdings.

Disclosures About Contractual Obligations and
Commercial Commitments

|                                                       |  |                                                  |           |          |  |          |           |          |  |              |         |  |  |   |        |  |  |   |          |  
|------------------------------------------------------ |  | ------------------------------------------------ | --------- | -------- |  | -------- | --------- | -------- |  | ------------ | ------- |  |  | - | ------ |  |  | - | -------- | -
|                                                       |  |                                                 
|                                                       |  | Payments due by Period (as of December 31, 2003)
|                                                       |  |                                                 
|                                                       |  |                                                  |           | Prior to |  | 01-01-05 |           | 01-01-07 |  | 01-01-09 and
|Financial Obligations                                  |  | Total                                            |           | 12-31-04 |  | 12-31-06 |           | 12-31-08 |  | thereafter  
|                                                       |  |                                                  |           |          |  |          |           |          |  |             
|                                                       |  |                                                 
|                                                       |  | (In thousands)                                  
|AMERCOs notes and loans                               |  | $                                                | 957,002   |          |  | $        | 957,002   |          |  | $            |        |  |  | $ |       |  |  | $ |         |  
|AMERCOs operating leases                              |  |                                                  | 604,904   |          |  |          | 377,673   |          |  |              | 169,207 |  |  |   | 53,964 |  |  |   | 4,060    |  
|SAC Holdings financed lease obligations               |  |                                                  | 122,238   |          |  |          | 122,238   |          |  |              |        |  |  |   |       |  |  |   |         |  
|SAC Holdings notes and loans                          |  |                                                  | 867,842   |          |  |          | 32,851    |          |  |              | 14,803  |  |  |   | 18,100 |  |  |   | 802,088  |  
|Elimination of SAC Holdings Obligations to
    AMERCO |  |                                                  | (403,521  | )        |  |          |          |          |  |              |        |  |  |   |       |  |  |   | (403,521 | )
|                                                       |  |                                                  |           |          |  |          |           |          |  |              |         |  |  |   |        |  |  |   |          |  
|Total Contractual Obligations                          |  | $                                                | 2,148,465 |          |  | $        | 1,489,764 |          |  | $            | 184,010 |  |  | $ | 72,064 |  |  | $ | 402,627  |  
|                                                       |  |                                                  |           |          |  |          |           |          |  |              |         |  |  |   |        |  |  |   |          |  

40



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##### 



As discussed above and in Part II, Item 3
Defaults Upon Senior Securities, on October 15,
2002 we defaulted on our BBATs and related obligations. This
default triggered cross-default provisions in most of
AMERCOs other debt agreements. As a result, approximately
$1,121.2 million of AMERCOs contractual obligations
and commercial commitments listed below are classified as
current.

|                                  |  |               |         | 
|--------------------------------- |  | ------------- | ------- | 
|                                  |  | (In millions)
|                                  |  |              
|Bank of Montreal synthetic lease  |  | $             | 149.0   | 
|Citibank synthetic lease          |  |               | 101.7   | 
|3yr Credit Agreement              |  |               | 153.8   | 
|Amerco Real Estate Notes          |  |               | 100.0   | 
|03 Notes                         |  |               | 175.0   | 
|05 Notes                         |  |               | 200.0   | 
|Medium Term Notes                 |  |               | 109.5   | 
|BBAT                              |  |               | 100.0   | 
|Bank of America Obligation (BBAT) |  |               | 11.3    | 
|Citicorp Obligation (BBAT)        |  |               | 15.3    | 
|Bank of America Swap              |  |               | 2.1     | 
|JP Morgan Swap                    |  |               | 3.5     | 
|                                  |  |               |         | 
|                                  |  | $             | 1,121.2 | 
|                                  |  |               |         | 

Following its emergence from bankruptcy, AMERCO
expects its debt structure, excluding the synthetic leases and
the indebtedness of SAC Holdings, to be as follows:

|                                       |  |               |       | 
|-------------------------------------- |  | ------------- | ----- | 
|                                       |  | (In millions)
|                                       |  |              
|Revolver Due 2009 (total availability) |  | $             | 200.0 | 
|Term Loan Due 2009.                    |  |               | 350.0 | 
|Term Note Due 2009.                    |  |               | 200.0 | 
|Term Note Due 2011.                    |  |               | 144.5 | 
|                                       |  |               |       | 
|                                       |  | $             | 894.5 | 
|                                       |  |               |       | 

The aggregate principal amount of SAC Holdings
indebtedness will remain substantially unchanged following
AMERCOs emergence from bankruptcy.

Risk Factors



| |                                                                            
| | ---------------------------------------------------------------------------
| | AMERCO has filed for protection under
    Chapter 11 of the Bankruptcy Code

On June 20, 2003, AMERCO filed a voluntary
petition for relief under Chapter 11 of the Bankruptcy
Code. AMERCOs subsidiaries were not included in the
initial filing. However, on August 13, 2003, Amerco Real
Estate Company filed for protection under Chapter 11.
AMERCO is continuing to manage its properties and operate its
businesses as debtor-in-possession in under the
jurisdiction of the Bankruptcy Court and in accordance with the
applicable provisions of the Bankruptcy Code. In order to exit
Chapter 11 successfully, AMERCO will need to obtain
confirmation by the Bankruptcy Court of, a plan of
reorganization that satisfies the requirements of the Bankruptcy
Code. Although AMERCO has filed a full-value plan of
reorganization that provides creditors with a combination of
cash and new debt securities equal to the full amount of their
allowed claims as well as AMERCOs emergence from
bankruptcy as a going concern, there can be no assurance at this
time that a plan of reorganization will be confirmed by the
Bankruptcy Court or that any such plan will be implemented
successfully.

The Companys future results depend on the
timely and successful confirmation and implementation of a plan
of reorganization. The rights and claims of various creditors
and security holders will be determined by the plan as well.
Although AMERCO has filed and plans to consummate a full
value plan of reorganization

41



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##### 



that provides creditors with a combination of
cash and new debt securities equal to the full amount of their
allowed claims and also preserves the value of AMERCOs
common and preferred stock, no assurance can be given as to what
values will be ascribed in the bankruptcy proceedings to each of
these constituencies. Accordingly, the Company urges that
appropriate caution be exercised with respect to existing and
future investments in any of such securities and claims.




| |                                                                                                                                                                                  
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | The terms of AMERCOs credit facility
    and the indentures relating to notes to be issued to
    AMERCOs existing creditors may restrict our current and
    future operations

AMERCOs credit facility and the indentures
to be entered into contemporaneous with our emergence from
bankruptcy, contain a number of restrictive covenants that will
impose significant operating and financial restrictions on us.
Our failure to comply with such covenants, including as a result
of events beyond our control, could result in an event of
default which could materially and adversely affect our
operating results and our financial condition. If there were an
event of default under our contemplated debt instruments, the
holders of the defaulted debt could cause all amounts
outstanding with respect to that debt to be due and payable
immediately. We cannot assure you that our assets, refinance
proceeds or cash flow would be sufficient to fully repay
borrowings under such debt instruments, either upon maturity or,
if accelerated, upon an event of default. In addition, any event
of default or declaration of acceleration under one debt
instrument would likely also result in an event of default under
one or more of our other future debt instruments.



| |                                                
| | -----------------------------------------------
| | We operate in a highly competitive
    industry

The truck rental industry is highly competitive
and includes a number of significant national and hundreds of
regional and local competitors. Competition is generally based
on price, product quality, convenience, availability, brand name
recognition and service. In our truck rental business, we face
competition from Budget Car and Truck Rental Company and Penske
Truck Leasing. Some of our competitors may have greater
financial resources than we have. We cannot assure you that we
will not be forced to reduce our rental prices or delay price
increases.

We compete with national and regional
self-storage operators as well as local operators. Competition
in the market areas in which we operate is significant and
affects the occupancy levels, rental rates and operating
expenses of our facilities. Competition might cause us to
experience a decrease in occupancy levels, limit our ability to
increase rental rates and compel us to offer discounted rental
rates which could have a material adverse effect on our
operating results.

Entry into the self-storage business through
acquisition of existing facilities is possible for persons or
institutions with the required initial capital. Development of
new self-storage facilities is more difficult, however, due to
zoning, environmental and other regulatory requirements. The
self-storage industry has in the past experienced overbuilding
in response to perceived increases in demand. We cannot assure
you that we will be able to successfully compete in existing
markets or expand into new markets.



| |                                                                 
| | ----------------------------------------------------------------
| | Control of AMERCO remains in the hands of a
    small contingent

As of December 31, 2003, Edward J.
Shoen, Chairman of the Board of Directors and President of
AMERCO, James P. Shoen, a director of AMERCO, and
Mark V. Shoen, an executive officer of AMERCO, collectively
own 8,689,933 shares (approximately 42.4%) of the outstanding
common shares of AMERCO. Accordingly, Edward J. Shoen,
Mark V. Shoen and James P. Shoen will be in a position
to continue to influence the election of the members of the
Board of Directors and approval of significant transactions. In
addition, 2,372,002 shares (approximately 11.7%) of the
outstanding common shares of AMERCO, including shares allocated
to employees and unallocated shares, are held by our Employee
Savings and Employee Stock Ownership Trust.

42



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##### 





| |                                                                                                                                                                                 
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | Our operations subject us to numerous
    environmental regulations and the possibility that environmental
    liability in the future could adversely affect our
    operations

Compliance with environmental requirements of
federal, state and local governments significantly affects our
business. Among other things, these requirements regulate the
discharge of materials into the water, air and land and govern
the use and disposal of hazardous substances. Under
environmental laws, we can be held strictly liable for hazardous
substances that are found on real property we have owned or
operated. We are aware of issues regarding hazardous substances
on some of our real estate and we have put in place a remedial
plan at each site where we believe such a plan is necessary. We
regularly make capital and operating expenditures to stay in
compliance with environmental laws. In particular, we have
managed a testing and removal program since 1988 for our
underground storage tanks. Under this program, we spent
$43.7 million between April 1988 and March 31, 2003.
Despite these compliance efforts, risk of environmental
liability is part of the nature of our business.

Environmental laws and regulations are complex,
change frequently and could become more stringent in the future.
We cannot assure you that future compliance with these
regulations or future environmental liabilities will not have a
material adverse effect on our business.



| |                         
| | ------------------------
| | Our business is seasonal

Our business is seasonal and our results of
operations and cash flows fluctuate significantly from quarter
to quarter. Historically, revenues have been stronger in the
first and second fiscal quarters due to the overall increase in
moving activity during the spring and summer months. The fourth
fiscal quarter is generally weakest, when there is a greater
potential for adverse weather conditions.



| |                                                                       
| | ----------------------------------------------------------------------
| | We obtain our rental trucks from a limited
    number of manufacturers

In the last ten years, we purchased all of our
rental trucks from Ford and General Motors. Although we believe
that we have alternative sources of supply for our rental
trucks, termination of one or more of our relationships with any
of these suppliers could have a material adverse effect on our
business, financial condition or results of operations.



| |                                                                               
| | ------------------------------------------------------------------------------
| | Our property and casualty insurance
    business has suffered extensive losses

Our property and casualty insurance business,
RepWest, has reported losses totaling approximately
$135 million since January 1, 2000. These losses are
primarily attributable to business lines that were unprofitable
as underwritten. To restore profitability in RepWest, we are
exiting all non-U-Haul related lines and the exit may result in
near term losses as these lines are eliminated. Although we
believe the changes will have a positive impact on the financial
position of RepWest, we cannot assure you that we will be
successful in returning RepWest to sustained profitability. Our
inability to sustain profitability could have a material adverse
effect on our earnings and financial position.



| |                                                                                                                      
| | ---------------------------------------------------------------------------------------------------------------------
| | Our insurance businesses suffered
    downgrades in their ratings from national insurance company
    rating agencies

A.M. Best has downgraded RepWest and Oxford.
These downgrades have affected their standing in the insurance
industry and caused their premiums to decrease. Ratings have
become an increasingly important factor in establishing the
competitive position of insurance companies. A.M. Best ratings
reflect its opinion of an insurance companys financial
strength, operating performance, strategic position and ability
to meet its obligations to policyholders. The A.M. Best ratings
are C for RepWest and C+ for Oxford.



| |                                                                                          
| | -----------------------------------------------------------------------------------------
| | Notes receivable from SAC Holdings are a
    significant portion of AMERCOS total assets

At December 31, 2003, we held
$403.5 million of mortgage loans and notes due from SAC
Holdings. Although these assets have been eliminated in the
consolidated financial statements, we have significant economic
exposure to SAC Holdings. SAC Holdings is highly leveraged with
total outstanding indebtedness

43



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##### 



and other obligations of $990.1 million at
December 31, 2003. We hold various unsecured notes of SAC
Holdings. If SAC Holdings are unable to meet their obligations
to their senior lenders, it could trigger a default on their
obligations to us. In such an event of default, we could suffer
a significant loss to the extent the value of the underlying
collateral on our loans to SAC Holdings is inadequate to repay
SAC Holdings senior lenders and us. We cannot assure you
that SAC Holdings will not default on their loans to their
senior lenders or that the value of SAC Holdings assets
upon liquidation would be sufficient to repay us in full.




| |                                                                                   
| | ----------------------------------------------------------------------------------
| | AMERCO is a holding company and is
    dependent on its subsidiaries for cash flow

As a holding company with no business operations,
AMERCOs material assets consist only of the stock of its
subsidiaries. AMERCO will have to rely upon dividends and other
payments from its subsidiaries to generate the funds necessary
to pay its obligations. The ability of AMERCOs
subsidiaries to make dividend and other payments to AMERCO is
subject to, among other things, the availability of funds, the
terms of the indebtedness of AMERCOs subsidiaries and
applicable state laws and insurance regulations.



| |                                                                           
| | --------------------------------------------------------------------------
| | We face risk related to an SEC
    investigation and securities litigation

The SEC has issued a formal order of
investigation to determine whether we have violated the Federal
securities laws. Although we have fully cooperated with the SEC
in this matter and intend to continue to fully cooperate, the
SEC may determine that we have violated Federal securities laws.
We cannot predict when this investigation will be completed or
its outcome. If the SEC makes a determination that we have
violated Federal securities laws, we may face sanctions,
including, but not limited to, significant monetary penalties
and injunctive relief.

In addition, the Company has been named a
defendant in a number of class action and related lawsuits. The
findings and outcome of the SEC investigation may affect the
class-action lawsuits that are pending. We are generally
obliged, to the extent permitted by law, to indemnify our
directors and officers who are named defendants in some of these
lawsuits. We are unable to estimate what our liability in these
matters may be, and we may be required to pay judgments or
settlements and incur expenses in aggregate amounts that could
have a material adverse effect on our financial condition or
results of operations.



| |                                                                  
| | -----------------------------------------------------------------
| | Our common stock may be delisted from the
    NASDAQ Stock Market

On June 24, 2003, we received a letter from
NASDAQ indicating that, in light of AMERCOs recent
Chapter 11 filing, a NASDAQ Listing Qualifications Panel
(the Panel) would consider such filing and
associated concerns in rendering a determination regarding
AMERCOs listing status. NASDAQ has requested, and we have
provided, information regarding the Chapter 11 filing and
the anticipated effect of the filing on the shareholders of
AMERCO. On September 12, 2003, AMERCO received a letter
from Nasdaq indicating that the Panel has determined to continue
the listing of AMERCOs common stock on Nasdaq provided
that on or before February 27, 2004, AMERCO submits
documentation to Nasdaq evidencing that its plan of
reorganization has been confirmed by the bankruptcy court and on
or before March 15, 2004, AMERCO submits documentation to
Nasdaq evidencing its emergence from bankruptcy. In addition to
the foregoing, AMERCO must comply with all other requirements
for continued listing on Nasdaq and must timely file all
periodic reports with the SEC for all periods ending on or
before June 30, 2004, without the benefit of any extensions
provided pursuant to Exchange Act Rule 12b-25. Although we
intend to take all actions available to maintain our Nasdaq
listing, there can be no assurance that AMERCO will be able to
do so.



| |                                                                                                       
| | ------------------------------------------------------------------------------------------------------
| | RepWest has consented to an Order of
    Supervision issued by the Arizona Department of
    Insurance

On May 20, 2003, RepWest consented to an
Order of Supervision issued by the DOI. Pursuant to this Order
and Arizona law, during the period of supervision, RepWest may
not engage in certain activities without the prior approval of
the DOI.

If RepWest fails to satisfy the concerns of the
DOI, the DOI may take further action, including, but not limited
to, commencing a conservatorship.

44



---



##### 





|        |                                                               
|------- | --------------------------------------------------------------
|Item 3. | Quantitative and Qualitative Disclosures
    About Market Risk

Reference is made to Part II, Item 7A,
Quantitative and Qualitative Disclosure About Market Risk, in
AMERCOs Annual Report on Form 10-K for the fiscal
year ended March 31, 2003.



|        |                        
|------- | -----------------------
|Item 4. | Controls and Procedures

Disclosure Controls and Procedures

We maintain disclosure controls procedures, which
are designed to ensure that information related to AMERCO and
its subsidiaries and SAC Holdings and their subsidiaries, is
disclosed in our public filings in a timely manner. In response
to recent legislation and new SEC regulations, we reviewed our
internal control structure and our disclosure controls and
procedures. We believe our disclosure controls and procedures
are adequate to enable us to comply with our disclosure
obligations.

As of the end of the period covered by this
report, members of the Companys management, including the
Companys Principal Executive Officer and Principal
Financial Officer, evaluated the effectiveness of the design and
operation of the Companys disclosure controls and
procedures. Based upon that evaluation, management concluded
that the Companys disclosure controls and procedures are
effective in causing material information to be recorded,
processed, summarized and reported by management of the Company
on a timely basis and to ensure that the quality and timeliness
of the Companys public disclosures complies with its SEC
disclosure obligations.

Changes in Internal Control Over Financial
Reporting

During the period covered by this report we made
no change in our internal control over financial reporting which
may materially affect, or is reasonably likely to materially
affect, our internal control over financial reporting.

PART II OTHER INFORMATION



|        |                  
|------- | -----------------
|Item 1. | Legal Proceedings

On July 20, 2000, Charles Kocher
(Kocher) filed suit in Wetzel County, West Virginia,
Civil Action No. 00-C-51-K, entitled Charles Kocher v.
Oxford Life Insurance Co. (Oxford) seeking
compensatory and punitive damages for breach of contract, bad
faith and unfair claims settlement practices arising from an
alleged failure of Oxford to properly and timely pay a claim
under a disability and dismemberment policy. On March 22,
2002, the jury returned a verdict of $5 million in
compensatory damages and $34 million in punitive damages.
On November 5, 2002, the trial court entered an Order
(Order) affirming the $39 million jury verdict
and denying Oxfords motion for New Trial Or, in The
Alternative, Remittitur. Oxford has perfected its appeal to the
West Virginia Supreme Court. Oral argument on the appeal
petition occurred on September 9, 2003. On
September 10, 2003, the West Virginia Supreme Court granted
in part, Oxfords petition. On January 27, 2004, the
matter was argued before the West Virginia Supreme Court and
taken under advisement. Management does not believe that the
Order is sustainable and expects the Order to be overturned by
the West Virginia Supreme Court, in part because the jury award
has no reasonable nexus to the actual harm suffered by Kocher.
The Company has accrued $725,000, which represents
managements best estimate of the costs associated with
legal fees to appeal and re-try the case and the Companys
uninsured exposure to an unfavorable outcome.

As previously discussed, on June 20, 2003,
AMERCO filed a voluntary petition for relief under
Chapter 11 of the Bankruptcy Code. As debtor-in-possession,
AMERCO is authorized under Chapter 11 to continue to
operate as an ongoing business, but may not engage in
transactions outside the ordinary course of business without the
prior approval of the Bankruptcy Court. As of the Petition Date,
virtually all pending litigation against AMERCO is stayed, and
absent further order of the Bankruptcy Court, no party, subject
to certain exceptions, may take any action, again subject to
certain exceptions, to recover on pre-petition claims against
AMERCO. The automatic stay, however, does not apply to
AMERCOs subsidiaries, other than

45



---



##### 



Amerco Real Estate Company, which filed for
protection under Chapter 11, on August 13, 2003. On
October 6, 2003, AMERCO filed its Plan of Reorganization
and Disclosure Statement with the Bankruptcy Court. On
November 26, 2003, AMERCO filed an Amended Plan of
Reorganization (the Plan). On December 12,
2003, the Bankruptcy Court approved AMERCOs Disclosure
Statement. On February 2, 2004, the Bankruptcy Court
confirmed the Plan contingent upon completion of documentation
and agreements acceptable to the involved parties and the
submission of proposed findings of fact and conclusions of law
and a confirmation order acceptable to all involved parties.
AMERCO expects that by fiscal year end (i) it will satisfy
the above contingencies and (ii) the Bankruptcy Court will
execute a confirmation order. The confirmation order will become
final if it is not appealed within ten days after entry and
AMERCO intends to proceed to implement the Plan and emerge from
bankruptcy as soon as possible thereafter.


The Securities and Exchange Commission
(SEC) has issued a formal order of investigation to
determine whether the Company has violated the Federal
securities laws. On January 7, 2003, the Company received
the first of several subpoenas issued by the SEC to the Company.
SAC Holdings, the Companys current and former auditors,
and others have also received one or more subpoenas relating to
this matter. The Company is cooperating fully with the SEC and
is facilitating the expeditious review of its financial
statements and any other issues that may arise. The Company has
produced a large volume of documents and other materials in
response to the subpoenas, and the Company is continuing to
assemble and produce additional documents and materials for the
SEC. Although the Company has fully cooperated with the SEC in
this matter and intends to continue to fully cooperate, the SEC
may determine that the Company has violated Federal securities
laws. We cannot predict when this investigation will be
completed or its outcome. If the SEC makes a determination that
we have violated Federal securities laws, we may face sanctions,
including, but not limited to, significant monetary penalties
and injunctive relief.

The United States Department of Labor
(DOL) is presently investigating whether there were
violations of the Employee Retirement Income Security Act of
1974 (ERISA) involving the AMERCO Employee Savings,
Profit Sharing, and Employee Stock Ownership Plan (the
Plan). The DOL has interviewed a number of Company
representatives as well as the Plan fiduciaries and has issued a
subpoena to the Company and a subpoena to SAC Holdings. One of
the issues raised by the DOL relates to the release of shares
from the Plans loan suspense account. The Company believes
that it has resolved this particular issue by contributing
additional shares. At the present time, the Company is unable to
determine whether the DOL will assert any other claims against
the Company, SAC Holdings, or the Plan fiduciaries. The DOL has
asked AMERCO and its current directors as well as the Plan
Trustees to sign an agreement tolling the statute of limitations
with respect to any claims arising out of certain transactions
between AMERCO or any affiliate of AMERCO and SAC Holdings or
any of its affiliates and such persons have done so. The DOL has
not advised the Company that it believes that any other
violations of ERISA have in fact occurred. Instead, the DOL is
simply investigating potential violations. The Company intends
to defend its position. The Company also intends to take any
corrective action that may be needed in light of the DOLs
ultimate findings. Although the Company has fully cooperated
with the DOL in this matter and intends to continue to fully
cooperate, the DOL may determine that the Company has violated
ERISA. In that event, the Company may face sanctions, including,
but not limited to, significant monetary penalties and
injunctive relief.



|        |                                    
|------- | -----------------------------------
|Item 3. | Defaults Upon Senior
    Securities

(a) On October 15, 2002, AMERCO failed
to make a $100 million principal payment and a
$3.6 million interest payment due to the Series 1997-C
Bond Backed Asset Trust. On that date, AMERCO also failed to pay
$26.6 million in the aggregate to Citibank and Bank of
America in connection with the early extinguishment of the
Series 1997-C bonds. As a result of the foregoing, AMERCO
is in default with respect to the other contractual obligations
and commercial commitments listed below, which contain
cross-default provisions, including its 3-Year Credit Agreement
dated June 28, 2002 (the Revolver). In addition
to the cross-default under the Revolver, AMERCO is also in
default under that agreement as a result of its failure to
obtain incremental net cash proceeds and/or availability from
additional financings in an aggregate amount of at least
$150.0 million prior to October 15, 2002. In addition,
Amerco Real Estate Company has defaulted on a $100 million
loan by failing to grant mortgages required by the loan
agreement in a timely manner. The total

46



---



##### 



amount of indebtedness currently in default
(either directly or as a result of a cross-default) is
approximately $1,121.2 million.


|                                  |  |               |         | 
|--------------------------------- |  | ------------- | ------- | 
|                                  |  | (In millions)
|                                  |  |              
|Bank of Montreal synthetic lease  |  | $             | 149.0   | 
|Citibank synthetic lease          |  |               | 101.7   | 
|3yr Credit Agreement              |  |               | 153.8   | 
|Amerco Real Estate Notes          |  |               | 100.0   | 
|03 Notes                         |  |               | 175.0   | 
|05 Notes                         |  |               | 200.0   | 
|Medium Term Notes                 |  |               | 109.5   | 
|BBAT                              |  |               | 100.0   | 
|Bank of America Obligation (BBAT) |  |               | 11.3    | 
|Citicorp Obligation (BBAT)        |  |               | 15.3    | 
|Bank of America Swap              |  |               | 2.1     | 
|JP Morgan Swap                    |  |               | 3.5     | 
|                                  |  |               |         | 
|                                  |  | $             | 1,121.2 | 
|                                  |  |               |         | 

(b) AMERCO has not paid the December 1,
2002 and any of the 2003 quarterly dividend payments to holders
of its Series A 8.5% Preferred Stock. No assurance can be
given as to when or whether the payment of the deferred
preferred stock dividends will be made. The total amount of
Series A 8.5% Preferred Stock dividends in arrears is
$16.2 million. However, on February 4, 2004, AMERCO
declared a regular quarterly dividend on the Series A
8 1/2 Preferred Stock. The dividend is payable on
March 1, 2004 subject to the Bankruptcy Court execution of
the findings of fact, conclusions of law, and order confirming
Debtors First Amended Joint Plan of Reorganization. AMERCO
anticipates resumption of Preferred Stock cash dividends on a
quarterly basis going forward and will address the deferred
dividend payments subsequent to its emergence from bankruptcy.



|        |                                                        
|------- | -------------------------------------------------------
|Item 4. | Submission of Matters to a Vote of Security
    Holders

The 2003 Annual Meeting of Stockholders was held
on November 7, 2003. At the 2003 Annual Meeting of
Stockholders, John P. Brogan and James J. Grogan were elected to
serve until the 2007 Annual Meeting of Stockholders. Edward J.
Shoen and M. Frank Lyons continue as directors with terms that
expires at the 2004 Annual Meeting of Stockholders; John M.
Dodds and James P. Shoen continue as directors with terms that
expire at the 2005 Annual Meeting of Stockholders; and William
E. Carty and Charles J. Bayer continue as directors with terms
that expire at the 2006 Annual Meeting of Stockholders. The
following table sets forth the votes cast for, against or
withheld, as well as the number of abstentions and broker
non-votes with respect to each matter voted on at the 2003
Annual Meeting of Stockholders.

Matters Submitted To a Vote

|                      |                 |                |  |                    |  |          |  |             |  |           |  |           |  |  |  |   |  |  |  |   | 
|--------------------- | --------------- | -------------- |  | ------------------ |  | -------- |  | ----------- |  | --------- |  | --------- |  |  |  | - |  |  |  | - | 
|                      |                 | Votes Cast For |  | Votes Cast Against |  | Withheld |  | Abstentions |  | Non-Votes
|                      |                 |                |  |                    |  |          |  |             |  |          
|Election of Directors |                 |                |  |                    |  |          |  |             |  |           |  |           |  |  |  |   |  |  |  |  
|                      | John P. Brogan  |                |  | 18,565,109         |  |          |  | 52,211      |  |           |  | 1,108,024 |  |  |  |  |  |  |  |  | 
|                      | James J. Grogan |                |  | 18,566,062         |  |          |  | 54,131      |  |           |  | 1,105,151 |  |  |  |  |  |  |  |  | 

Item 5.     Other
Information

For inclusion in the proxy statement and form of
proxy relating to the 2004 Annual Meeting of Stockholders, a
proposal intended for presentation at that meeting must be
submitted in accordance with the applicable rules of the
Securities and Exchange Commission and received by the Secretary
of AMERCO, c/o U-Haul International, Inc., 2721 North
Central Avenue, Phoenix, Arizona 85004, on or before June 3,

47



---



##### 



2004. Proposals to be presented at the 2004
Annual Meeting of Stockholders that are not intended for
inclusion in the proxy statement and form of proxy must be
submitted by that date and in accordance with the applicable
provisions of the Companys By-Laws, a copy of which is
available upon written request, delivered to the Secretary of
AMERCO at the address in the preceding sentence. The Company
suggests that proponents submit their proposals to the Secretary
of AMERCO by Certified Mail-Return Receipt Requested.




|        |                                     
|------- | ------------------------------------
|Item 6. | Exhibits and Reports on
    Form 8-K

(a) Exhibits

|        |      |             |  |                                                                                                                                                                            
|------- | ---- | ----------- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit |      |            
|No.     |      | Description
|        |      |            
|        | 2.1  |             |  | Joint Plan of Reorganization of AMERCO and Amerco
    Real Estate Company(1)                                                                                               
|        | 2.2  |             |  | Disclosure Statement Concerning the Debtors
    Joint Plan of Reorganization(1)                                                                                           
|        | 2.3  |             |  | Amended Joint Plan of Reorganization of AMERCO
    and Amerco Real Estate Company                                                                                          
|        | 2.4  |             |  | Disclosure Statement Concerning the Debtors
    First Amended Joint Plan of Reorganization                                                                                
|        | 3.1  |             |  | Restated Articles of Incorporation of AMERCO(2)                                                                                                                            
|        | 3.2  |             |  | Restated By-Laws of AMERCO(3)                                                                                                                                              
|        | 3.3  |             |  | Restated Articles of Incorporation of U-Haul
    International, Inc.(4)                                                                                                    
|        | 3.4  |             |  | Bylaws of U-Haul International, Inc.(4)                                                                                                                                    
|        | 31.1 |             |  | Rule 13a-14(a)/15d-14(a) Certificate of
    Edward J. Shoen, President and Chairman of the Board of AMERCO
    and U-Haul International, Inc.                              
|        | 31.2 |             |  | Rule 13a-14(a)/15d-14(a) Certificate of Gary
    B. Horton, Treasurer of AMERCO and Assistant Treasurer of U-Haul
    International, Inc.                                  
|        | 32.1 |             |  | Certificate of Edward J. Shoen, President and
    Chairman of the Board of U-Haul International, Inc. pursuant to
    Section 906 if the Sarbanes-Oxley Act of 2002        
|        | 32.2 |             |  | Certificate of Gary B. Horton, Treasurer of
    AMERCO and Assistant Treasurer of U-Haul, International, Inc.
    pursuant to Section 906 of the Sarbanes-Oxley Act of 2002



---



|    |                                                                                                                                        
|--- | ---------------------------------------------------------------------------------------------------------------------------------------
|(1) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K filed October 20, 2003,
    file no. 1-11255.                     
|   
|(2) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    December 31, 1992, file no. 1-11255. 
|   
|(3) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 1996, file no. 1-11255.
|   
|(4) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 2003,
    file no. 1-11255.          

(b) Reports on Form 8-K.

On October 20, 2003, we filed a
Form 8-K announcing that we have filed our Plan of
Reorganization and Disclosure Statement with the United States
Bankruptcy Court, District of Nevada on October 6, 2003 and
that a court hearing on the adequacy of the Disclosure Statement
is scheduled for November 18, 2003.

On November 20, 2003, we filed an amendment
to Form 8-K dated September 5, 2003 to include
information about non-GAAP financial measures disclosed during
our first quarter earnings conference call, including
reconciliations to comparable GAAP measures.

48



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##### 



SIGNATURES

Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report
to be signed on its behalf by the undersigned thereunto duly
authorized.



| |       
| | ------
| | AMERCO



| |     |                    
| | --- | -------------------
| | By: | /s/ EDWARD J. SHOEN

| |                                    
| | -----------------------------------
| |                                    
| | Edward J. Shoen                    
| | President and Chairman of the Board
| | (Duly Authorized Officer)          

Date: February 17, 2004



| |     |                   
| | --- | ------------------
| | By: | /s/ GARY B. HORTON

| |                              
| | -----------------------------
| |                              
| | Gary B. Horton               
| | Treasurer                    
| | (Principal Financial Officer)

Date: February 17, 2004



| |                           
| | --------------------------
| | U-HAUL INTERNATIONAL, INC.



| |     |                    
| | --- | -------------------
| | By: | /s/ EDWARD J. SHOEN

| |                                    
| | -----------------------------------
| |                                    
| | Edward J. Shoen                    
| | President and Chairman of the Board
| | (Duly Authorized Officer)          

Date: February 17, 2004



| |     |                   
| | --- | ------------------
| | By: | /s/ GARY B. HORTON

| |                              
| | -----------------------------
| |                              
| | Gary B. Horton               
| | Assistant Treasurer          
| | (Principal Financial Officer)

Date: February 17, 2004

49



---



##### 



EXHIBIT INDEX

|        |      |             |  |                                                                                                                                                                            
|------- | ---- | ----------- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit |      |            
|No.     |      | Description
|        |      |            
|        | 2.1  |             |  | Joint Plan of Reorganization of AMERCO and Amerco
    Real Estate Company(1)                                                                                               
|        | 2.2  |             |  | Disclosure Statement Concerning the Debtors
    Joint Plan of Reorganization(1)                                                                                           
|        | 2.3  |             |  | Amended Joint Plan of Reorganization of AMERCO
    and Amerco Real Estate Company                                                                                          
|        | 2.4  |             |  | Disclosure Statement Concerning the Debtors
    First Amended Joint Plan of Reorganization                                                                                
|        | 3.1  |             |  | Restated Articles of Incorporation of AMERCO(2)                                                                                                                            
|        | 3.2  |             |  | Restated By-Laws of AMERCO(3)                                                                                                                                              
|        | 3.3  |             |  | Restated Articles of Incorporation of U-Haul
    International, Inc.(4)                                                                                                    
|        | 3.4  |             |  | Bylaws of U-Haul International, Inc.(4)                                                                                                                                    
|        | 31.1 |             |  | Rule 13a-14(a)/15d-14(a) Certificate of
    Edward J. Shoen, President and Chairman of the Board of AMERCO
    and U-Haul International, Inc.                              
|        | 31.2 |             |  | Rule 13a-14(a)/15d-14(a) Certificate of Gary
    B. Horton, Treasurer of AMERCO and Assistant Treasurer of U-Haul
    International, Inc.                                  
|        | 32.1 |             |  | Certificate of Edward J. Shoen, President and
    Chairman of the Board of U-Haul International, Inc. pursuant to
    Section 906 if the Sarbanes-Oxley Act of 2002        
|        | 32.2 |             |  | Certificate of Gary B. Horton, Treasurer of
    AMERCO and Assistant Treasurer of U-Haul, International, Inc.
    pursuant to Section 906 of the Sarbanes-Oxley Act of 2002



---



|    |                                                                                                                                        
|--- | ---------------------------------------------------------------------------------------------------------------------------------------
|(1) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K filed October 20, 2003,
    file no. 1-11255.                     
|   
|(2) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    December 31, 1992, file no. 1-11255. 
|   
|(3) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 1996, file no. 1-11255.
|   
|(4) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 2003,
    file no. 1-11255.          

50