PACIFIC SOURCE PARTNERSHIP
                             (A LIMITED PARTNERSHIP)

                              FINANCIAL STATEMENTS



<PAGE>










INDEPENDENT  AUDITORS'  REPORT





The  Partners
Pacific  Source  Partnership

We have audited the accompanying balance sheet of the Pacific Source Partnership
(the  "Partnership")  as  of  December  31,  2001,  and the related statement of
operations,  changes  in  partner's  capital,  and  cash flows for the year then
ended.  These  financial  statements are the responsibility of the Partnership's
management.  Our  responsibility  is  to  express  an opinion on these financial
statements  based  on  our  audit.

We  conducted our audit in accordance with auditing standards generally accepted
in  the  United  States  of  America.  Those  standards require that we plan and
perform  the  audit  to  obtain reasonable assurance about whether the financial
statements are free of material misstatement.  An audit includes examining, on a
test  basis,  evidence  supporting  the amounts and disclosures in the financial
statements.  An audit also includes assessing the accounting principles used and
significant  estimates  made  by  management,  as well as evaluating the overall
financial  statement  presentation.  We  believe  that  our  audit  provides  a
reasonable  basis  for  our  opinion.

In  our  opinion,  such  financial  statements  present  fairly, in all material
respects,  the  financial  position  of  the  Pacific  Source  Partnership as of
December  31, 2001, and the results of its operations and its cash flows for the
year  then  ended in conformity with accounting principles generally accepted in
the  United  States  of  America.

As  described in Note 1 to the financial statements, the Partnership is expected
to be terminated in 2002, as the marine vessel in the Partnership has been sold.





/s/  Deloitte  &  Touche  LLP


Certified  Public  Accountants

Tampa,  Florida
March  8,  2002

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                           PACIFIC SOURCE PARTNERSHIP
                             (A LIMITED PARTNERSHIP)
                                 BALANCE SHEETS
                                  DECEMBER 31,
                            (in thousands of dollars)

<TABLE>
<CAPTION>

<S>                                                         <C>     <C>
                                                             2001       2000
                                                                    (unaudited)
                                                            ==================
ASSETS

Marine vessel held for lease, at cost. . . . . . . . . . .  $  --   $ 17,765
Less accumulated depreciation. . . . . . . . . . . . . . .     --    (13,154)
                                                            ------  ---------
    Net equipment. . . . . . . . . . . . . . . . . . . . .     --      4,611


Accounts receivable. . . . . . . . . . . . . . . . . . . .     --         18
                                                            ------  ---------
      Total assets . . . . . . . . . . . . . . . . . . . .  $  --   $  4,629
                                                            ======  =========

LIABILITIES AND PARTNERS' CAPITAL (DEFICIENCY)

Liabilities:
Accounts payable and accrued expenses. . . . . . . . . . .  $  18   $     39
Due to affiliates. . . . . . . . . . . . . . . . . . . . .     --         22
Reserve for repairs. . . . . . . . . . . . . . . . . . . .     --        211
                                                            ------  ---------
  Total liabilities. . . . . . . . . . . . . . . . . . . .     18        272


Partners' capital (deficiency):
Limited partners . . . . . . . . . . . . . . . . . . . . .    161      4,492
General partner. . . . . . . . . . . . . . . . . . . . . .   (179)      (135)
                                                            ------  ---------
  Total partners' capital. . . . . . . . . . . . . . . . .    (18)     4,357
                                                            ------  ---------

      Total liabilities and partners' capital (deficiency)  $  --   $  4,629
                                                            ======  =========
</TABLE>



















                 See accompanying notes to financial statements.

<PAGE>

                           PACIFIC SOURCE PARTNERSHIP
                             (A LIMITED PARTNERSHIP)
                            STATEMENTS OF OPERATIONS
                        FOR THE YEARS ENDED DECEMBER 31,
                            (in thousands of dollars)


<TABLE>
<CAPTION>


                                            2001       2000    1999
(unaudited)                                                 (unaudited)
                                        ===============================
REVENUES
<S>                                     <C>           <C>     <C>
Lease revenue. . . . . . . . . . . . .  $        925  $2,839  $2,415
Interest and other income. . . . . . .            --      68       1
Net gain on disposition of equipment .         2,586      --      --
                                        ------------  ------  -------
  Total revenues . . . . . . . . . . .         3,511   2,907   2,416
                                        ------------  ------  -------
EXPENSES

Depreciation and amortization. . . . .           335   1,005   1,123
Marine operating expenses. . . . . . .           305   1,106   1,171
Repairs and maintenance. . . . . . . .           198     405     419
Management fees to affiliate . . . . .            46     142     121
Insurance expense. . . . . . . . . . .            53      31     266
Administrative expenses to affiliates.            47      30      26
Administrative and other . . . . . . .            20      34      19
                                        ------------  ------  -------
  Total expenses . . . . . . . . . . .         1,004   2,753   3,145
                                        ------------  ------  -------
      Net income (loss). . . . . . . .  $      2,507  $  154  $ (729)
                                        ============  ======  =======
</TABLE>
















                 See accompanying notes to financial statements.

<PAGE>

                           PACIFIC SOURCE PARTNERSHIP
                             (A LIMITED PARTNERSHIP)
                   STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
              FOR THE YEARS ENDED DECEMBER 31, 2001, 2000, AND 1999
                            (in thousands of dollars)


<TABLE>
<CAPTION>

<S>                                                                <C>         <C>        <C>
                                                                   Limited     General
                                                                   Partners    Partner    Total
                                                                   ==============================
  Partners' capital (deficiency) at December 31, 1998 (unaudited)  $   6,632   $   (114)  $ 6,518
                                                                   ----------  ---------  --------

Net loss (unaudited). . . . . . . . . . . . . . . . . . . . . . .       (722)        (7)     (729)

Cash distribution (unaudited) . . . . . . . . . . . . . . . . . .       (496)        (5)     (501)
                                                                   ----------  ---------  --------
  Partners' capital (deficiency) at December 31, 1999 (unaudited)      5,414       (126)    5,288

Net income (unaudited). . . . . . . . . . . . . . . . . . . . . .        152          2       154

Cash distribution (unaudited) . . . . . . . . . . . . . . . . . .     (1,074)       (11)   (1,085)
                                                                   ----------  ---------  --------
  Partners' capital (deficiency) at December 31, 2000 (unaudited)      4,492       (135)    4,357

Net income. . . . . . . . . . . . . . . . . . . . . . . . . . . .      2,482         25     2,507

Cash distribution . . . . . . . . . . . . . . . . . . . . . . . .     (6,813)       (69)   (6,882)
                                                                   ----------  ---------  --------
  Partners' capital (deficiency) at December 31, 2001 . . . . . .  $     161   $   (179)  $   (18)
                                                                   ==========  =========  ========
</TABLE>


























                 See accompanying notes to financial statements.

<PAGE>
<TABLE>
<CAPTION>


                             PACIFIC SOURCE PARTNERSHIP
                              (A LIMITED PARTNERSHIP)
                             STATEMENTS OF CASH FLOWS
                          FOR THE YEARS ENDED DECEMBER 31,
                             (in thousands of dollars)

                                                             2001        2000      1999
                                                                     (unaudited) (unaudited)
                                                         ==================================
OPERATING ACTIVITIES
<S>                                                      <C>           <C>       <C>
Net income (loss) . . . . . . . . . . . . . . . . . . .  $     2,507   $   154   $ (729)
Adjustments to reconcile net income (loss) to net cash
    provided by (used in) operating activities:
  Depreciation and amortization . . . . . . . . . . . .          335     1,005    1,123
  Net gain on disposition of equipment. . . . . . . . .       (2,586)       --       --
  Changes in operating assets and liabilities:
    Accounts receivable . . . . . . . . . . . . . . . .           18       167      137
    Prepaid expenses. . . . . . . . . . . . . . . . . .           --        --       12
    Accounts payable and accrued expenses . . . . . . .          (21)      (67)    (162)
    Due to affiliates . . . . . . . . . . . . . . . . .          (22)        2        6
    Reserve for repairs . . . . . . . . . . . . . . . .           44      (176)     114
                                                         ------------  --------  -------
      Net cash provided by operating activities . . . .          275     1,085      501
                                                         ------------  --------  -------

INVESTING ACTIVITIES

Proceeds from disposition of marine vessel. . . . . . .        6,607        --       --
                                                         ------------  --------  -------
      Net cash provided by investing activities . . . .        6,607        --       --
                                                         ------------  --------  -------

FINANCING ACTIVITIES

Cash distribution -General Partner. . . . . . . . . . .          (69)      (11)      (5)
Cash distribution -limited partners . . . . . . . . . .       (6,813)   (1,074)    (496)
                                                         ------------  --------  -------
      Net cash used in financing activities . . . . . .       (6,882)   (1,085)    (501)
                                                         ------------  --------  -------

Net change in cash and cash equivalents . . . . . . . .           --        --       --
Cash and cash equivalents at beginning of year. . . . .           --        --       --
                                                         ------------  --------  -------
Cash and cash equivalents at end of year. . . . . . . .  $        --   $    --   $   --
                                                         ============  ========  =======

</TABLE>


















                 See accompanying notes to financial statements.

<PAGE>

                           PACIFIC SOURCE PARTNERSHIP
                             (A LIMITED PARTNERSHIP)
                          NOTES TO FINANCIAL STATEMENTS

1.     Summary  of  Significant  Accounting  Policies
       ----------------------------------------------

     Organization
     ------------

Pacific  Source Partnership, a California limited partnership (the Partnership),
was  formed during September 1993. The Partnership was formed for the purpose of
purchasing  a bulk-carrier marine vessel and commenced significant operations in
September  1993.  The Partnership has no employees nor operations other than the
operation  of  the  marine  vessel.  The Partnership is owned 99% by the limited
partners  and  1%  by  the  General  Partner.  The  Partnership  has two limited
partners:  PLM  Equipment  Growth  Fund  VI  (EGF  VI),  a  California  limited
partnership,  and PLM Equipment Growth & Income Fund VII (EGF VII), a California
limited  partnership,  (the Limited Partners).  The Limited Partnership is owned
20%  by  EGF  VI  and 80% by EGF VII.  The General Partner is the Pacific Source
Corporation  (PSC)  which  is  owned  20%  by  EGF  VI  and  80%  by  EGF  VII.

PLM Financial Services Inc., (FSI) is the General Partner of EGF VI and EGF VII.
FSI  is  a  wholly-owned  subsidiary  of  PLM  International,  Inc.

The marine vessel was purchased in September 1993 for $17.0 million.  EGF VI and
EGF  VII  paid  acquisition  and  lease negotiation fees of $0.9 million to FSI.

The Partnership is expected to be terminated during 2002 as the marine vessel in
the  Partnership  was  sold  May  2001.

     Estimates
     ---------

These  accompanying financial statements have been prepared on the accrual basis
of accounting in accordance with accounting principles generally accepted in the
United  States  of  America.  This  requires  management  to  make estimates and
assumptions  that  affect  the  reported  amounts  of  assets  and  liabilities,
disclosures  of  contingent  assets and liabilities at the date of the financial
statements,  and  the  reported  amounts  of  revenues  and  expenses during the
reporting  period.  Actual  results  could  differ  from  those  estimates.  All
amounts  as of and for the years ended December 31, 2000 and 1999 are unaudited.

     Operations
     ----------

The  marine  vessel in the Partnership was managed under a continuing management
agreement by PLM Investment Management, Inc. (IMI), a wholly-owned subsidiary of
FSI.  IMI  received  a  monthly management fee from the Partnership for managing
the  marine  vessel  (Note 2).  FSI, in conjunction with its subsidiaries, sells
equipment  to  investor  programs  and  third  parties,  manages  pools  of
transportation equipment under agreements with investor programs and the general
partner  of  other  limited  partnerships.

     Cash  and  Cash  Equivalents
     ----------------------------

All  cash generated from operations is distributed to the partners; accordingly,
the  Partnership  has  no  cash  balance  at  December  31,  2001  and  2000.

     Accounting  for  Leases
     -----------------------

The  marine  vessel in the Partnership was leased under operating leases.  Under
the  operating lease method of accounting, the leased asset was recorded at cost
and  depreciated over its estimated useful life. Rental payments are recorded as
revenue  over the lease term as earned in accordance with Statement of Financial
Accounting  Standards  No.  13,  "Accounting  for  Leases".

<PAGE>
                           PACIFIC SOURCE PARTNERSHIP
                             (A LIMITED PARTNERSHIP)
                          NOTES TO FINANCIAL STATEMENTS

1.     Summary  of  Significant  Accounting  Policies  (continued)
       ----------------------------------------------

     Depreciation
     ------------

Depreciation  of  the  marine  vessel  was  computed  using the double-declining
balance method, taking a full month's depreciation in  the month of acquisition,
based  upon  an  estimated  useful  life  of  12 years.  The depreciation method
changed  to  straight-line  when  the  annual  depreciation  expense  using  the
straight-line  method  exceeded  that calculated by the double-declining balance
method.  Acquisition  fees  of  $0.8  million,  that  were paid to FSI, had been
capitalized  as part of the cost of the equipment.  Major expenditures that were
expected  to  extend  the marine vessel's useful life or reduce future equipment
operating  expenses, were capitalized and amortized over the estimated remaining
life  of  the  marine  vessel.

     Marine  Vessel
     --------------

In accordance with the Financial Accounting Standards Board's Statement No. 121,
"Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to
Be  Disposed  Of,"  FSI  reviewed the carrying value of the Partnership's marine
vessel  at  least  quarterly,  and  whenever  circumstances  indicated  that the
carrying  value  of  this  asset  may  not be recoverable due to expected future
market  conditions.  If  projected  undiscounted  future cash flows and the fair
market value of the marine vessel was less than the carrying value of the marine
vessel,  a  loss  on  revaluation would have been recorded.  No reduction to the
carrying  value  of  the  marine vessel was required during 2001, 2000, or 1999.

     Repairs  and  Maintenance
     -------------------------

Repairs  and  maintenance  for  the  marine  vessel  are  the  obligation of the
Partnership.  Costs  associated with marine vessel drydocking were estimated and
accrued  ratably  over  the period prior to such drydocking.  The balance in the
drydocking  reserve  account  was included as additional sales proceeds when the
marine  vessel  was  sold.

     Net  Income  (Loss)  and  Cash  Distribution  to  Limited  Partners
     -------------------------------------------------------------------

The  net  income (loss) and cash distributions of the Partnership were allocated
99%  to  the  limited  partners  and  1% to the General Partner.  The net income
(loss)  and  cash  distributions were allocated to the limited partners based on
their  percentage  of  ownership  in the Partnership.  The limited partners' 99%
share  of  net  income (loss) and cash distributions are allocated 20% to EGF VI
and  80%  to  EGF  VII.

Cash  distributions  are  recorded  when  paid.

     Comprehensive  Income  (Loss)
     -----------------------------

The  Partnership's net income (loss) is equal to comprehensive income (loss) for
the  years  ended  December  31,  2001,  2000,  and  1999.

2.     General  Partner
       ----------------

PSC  contributed $100 of the Partnership's initial capital.  PSC is owned by two
shareholders, EGF VI owns 20% and EGF VII owns 80%.  Dividends, if declared, are
paid  to  the shareholders based on the percentage of ownership each shareholder
owns.


<PAGE>
                           PACIFIC SOURCE PARTNERSHIP
                             (A LIMITED PARTNERSHIP)
                          NOTES TO FINANCIAL STATEMENTS

3.     Transactions  with  Affiliates
       ------------------------------

Under  the equipment management agreement, IMI received a monthly management fee
attributable  to  owned equipment equal to the lesser of (i) the fees that would
be  charged  by  an  independent  third  party  for similar services for similar
equipment  or (ii) 5% of the gross lease revenues attributable to equipment that
is  subject  to  operating  leases.  The Partnership's management fee expense to
affiliate  was  $46,000,  $0.1  million, and $0.1 million during 2001, 2000, and
1999,  respectively.  The  Partnership  reimbursed  FSI  $47,000,  $30,000,  and
$26,000  during  2001,  2000,  and  1999,  respectively, for data processing and
administrative  expenses  directly  attributable  to  the  Partnership.

Partnership  management fees payable to IMI was $22,000 as of December 31, 2000.
No  management  fees  were  payable  as  December  31,  2001

4.     Marine  Vessel  on  Lease
       -------------------------

The  Partnership's  marine  vessel  was  leased  to multiple operators on a time
charter  basis.  In  such  instances,  revenues are earned from each lessee that
hires  the  marine  vessel  for  a  specific  voyage.

The  marine  vessel in the Partnership was used as collateral against the senior
loans  of  the  Limited  Partners.

During 2001, the Partnership disposed of the marine vessel with a net book value
of  $4.3 million for proceeds of $6.6 million.  Included in the net gain on sale
of  the  marine  vessel  was  the  unused  portion  of  marine vessel drydocking
liability  of  $0.3  million.

The  marine vessel leases were being accounted for as an operating lease.  There
are  no future minimum rentals under non-cancelable leases at December 31, 2001.
Per  diem  and  short-term rentals consisting of utilization rate lease payments
included  in  lease  revenues  amounted to $0.9 million in 2001, $2.8 million in
2000,  and  $2.4  million  in  1999.

5.     Geographic  Information
       -----------------------

The  Partnership's  marine  vessel  was  leased to multiple lessees in different
regions  that  operate  worldwide.

6.     Income  Taxes
       -------------

The  Partnership  is  not  subject  to  income  taxes,  as any income or loss is
included  in  the  tax  returns  of  the  individual partners owning the Limited
Partners.  Accordingly,  no  provision  for  income  taxes  has been made in the
financial  statements  of  the  Partnership.

As  of  December 31, 2001, the financial statement carrying amount of assets and
liabilities  were  the  same  as  the  federal  income  tax  basis.

7.     Concentrations  of  Credit  Risk
       --------------------------------

The Partnership's customers that accounted for 10% or more of the total revenues
for  the  marine  vessel during the past three years were: Crecian Star Shipping
Limited (74% in 2001), Panocean (10% in 2001), Chilsan (43% in 2000), Korea Line
(11%  in  2000), Samsun (14% in 2000), F. Withy (12% in 2000), Yamamiza Shipping
(24%  in  1999),  Maerabulk/Sinochart  (35% in 1999), Cosbulk (25% in 1999), and
Cosco  (12%  in  1999).

As  of  December  31,  2001, the General Partner believes the Partnership had no
other  significant  concentrations  of  credit  risk  that could have a material
adverse  effect  on  the  Partnership.