##### Table of Contents









SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549


Form 10-K for Annual and Transition
Reports

Pursuant to Section 13 or 15(d)


of the Securities Exchange Act of
1934


|           |  |                                                                                             
|---------- |  | --------------------------------------------------------------------------------------------
|(Mark One) |  |                                                                                             
|þ          |  | ANNUAL REPORT PURSUANT TO SECTION 13 or
    15(d) OF THE SECURITIES EXCHANGE ACT OF 1934    
|          
|           |  | For the fiscal year ended March 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, Suite 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        

Securities registered pursuant to
Section 12(b) of the Act:

|                           |  |                                     |  |                        
|-------------------------- |  | ----------------------------------- |  | -----------------------
|                           |  |                                     |  | Name of Each Exchange  
|Registrant                 |  | Title of Class                      |  | on Which Registered    
|                           |  |                                     |  |                        
|AMERCO                     |  | Series A 8 1/2%
    Preferred Stock |  | New York Stock Exchange
|U-Haul International, Inc. |  | None                                |  |                        

Securities registered pursuant to
Section 12(g) of the Act:

|                           |  |                |  |                      
|-------------------------- |  | -------------- |  | ---------------------
|                           |  |                |  | Name of Each Exchange
|Registrant                 |  | Title of Class |  | on Which Registered  
|                           |  |                |  |                      
|AMERCO                     |  | Common         |  | NASDAQ               
|U-Haul International, Inc. |  | None           |  |                      

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 o          No þ

Indicate by check
mark if disclosure of delinquent filers pursuant to
Item 405 of Regulation S-K is not contained herein,
and will not be contained, to the best of the registrants
knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this
Form 10-K or any amendment to this
Form 10-K.     o

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

20,621,499 shares
of AMERCO common stock, $0.25 par value, were outstanding at
August 15, 2003. The aggregate market value of AMERCO
common stock held by non-affiliates (i.e., stock held by persons
other than officers, directors and 5% shareholders of AMERCO) on
September 30, 2002 was $66,678,706. The aggregate market
value was computed using the closing price for the common stock
trading on NASDAQ on such date.

5,385 shares
of U-Haul International, Inc. common stock, $0.01 par value,
were outstanding at August 15, 2003. None of these shares
were held by non-affiliates.



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TABLE OF CONTENTS



|                                                                                  |                                                                                                                                 |  |  |  |  |  |  | 
|--------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------- |  |  |  |  |  |  | 
|TABLE OF CONTENTS                                                                
|PART I                                                                           
|                                                                                  | Item 1. Business:                                                                                                              
|                                                                                  | Item 2. Properties                                                                                                             
|                                                                                  | Item 3. Legal Proceedings                                                                                                      
|                                                                                  | Item 4. Submission of Matters to a Vote of Security Holders                                                                    
|PART II                                                                          
|                                                                                  | Item 5. Market for the Registrants Common Equity and Related Stockholder Matters                                              
|                                                                                  | Item 6. Selected Financial Data as Restated AMERCO and Consolidated Subsidiaries and SAC Holdings and Consolidated Subsidiaries
|                                                                                  | Item 7. Managements Discussion and Analysis of Financial Condition and Results of Operations                                  
|                                                                                  | Item 7A. Quantitative and Qualitative Disclosures About Market Risk                                                            
|                                                                                  | Item 8. Financial Statements and Supplementary Data                                                                            
|                                                                                  | Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure                                   
|PART III                                                                         
|                                                                                  | Item 10. Directors and Executive Officers of the Registrants                                                                   
|                                                                                  | Item 11. Executive Compensation                                                                                                
|                                                                                  | Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters                        
|                                                                                  | Item 13. Certain Relationships and Related Transactions                                                                        
|                                                                                  | Item 14. Controls and Procedures                                                                                               
|PART IV, ITEM 16, EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K
|EX-3.3                                                                           
|EX-3.4                                                                           
|EX-10.64                                                                         
|EX-10.65                                                                         
|EX-10.66                                                                         
|EX-10.67                                                                         
|EX-10.68                                                                         
|EX-10.69                                                                         
|EX-21                                                                            
|Exhibit 23.1                                                                     
|Exhibit 23.2                                                                     
|EX-99.1                                                                          
|EX-99.2                                                                          
|EX-99.3                                                                          
|EX-99.4                                                                          



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##### Table of Contents






TABLE OF CONTENTS

|         |  |                                                                                                    |  |          |    | 
|-------- |  | -------------------------------------------------------------------------------------------------- |  | -------- | -- | 
|         |  |                                                                                                    |  | Page No.
|         |  |                                                                                                    |  |         
|PART I  
|Item 1.  |  | Business                                                                                           |  |          | 1  | 
|         |  | A. AMERCO and SAC Holdings                                                                         |  |          | 1  | 
|         |  | B. History                                                                                         |  |          | 7  | 
|         |  | C. Moving and Storage Operations                                                                   |  |          | 7  | 
|         |  | D. Real Estate Operations                                                                          |  |          | 8  | 
|         |  | E. Insurance Operations                                                                            |  |          | 9  | 
|Item 2.  |  | Properties                                                                                         |  |          | 12 | 
|Item 3.  |  | Legal Proceedings                                                                                  |  |          | 12 | 
|Item 4.  |  | Submission of Matters to a Vote of Security
    Holders                                            |  |          | 15 | 
|PART II 
|Item 5.  |  | Market for the Registrants Common Equity
    and Related Stockholder Matters                      |  |          | 15 | 
|Item 6.  |  | Selected Financial Data                                                                            |  |          | 16 | 
|Item 7.  |  | Managements Discussion and Analysis of
    Financial Condition and Results of Operations          |  |          | 17 | 
|Item 7A. |  | Quantitative and Qualitative Disclosures About
    Market Risk                                     |  |          | 38 | 
|Item 8.  |  | Financial Statements and Supplementary Data                                                        |  |          | 39 | 
|Item 9.  |  | Changes in and Disagreements with Accountants on
    Accounting and Financial Disclosure           |  |          | 39 | 
|PART III
|Item 10. |  | Directors and Executive Officers of the
    Registrants                                           |  |          | 40 | 
|Item 11. |  | Executive Compensation                                                                             |  |          | 42 | 
|Item 12. |  | Security Ownership of Certain Beneficial Owners
    and Management and Related Stockholder Matters |  |          | 43 | 
|Item 13. |  | Certain Relationships and Related Transactions                                                     |  |          | 45 | 
|Item 14. |  | Controls and Procedures                                                                            |  |          | 47 | 
|PART IV 
|Item 16. |  | Exhibits, Financial Statement Schedules and
    Reports on Form 8-K                                |  |          | 48 | 



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PART I






|        |          
|------- | ---------
|Item 1. | Business:



|   |                                                                                                                                                                     
|-- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------
|A. | AMERCO and Consolidated Subsidiaries, SAC
    Holding Corporation and Consolidated Subsidiaries and SAC
    Holding Corporation II and Consolidated
    Subsidiaries

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-K, unless the
context otherwise requires, the term Company refers
to AMERCO and all of its legal subsidiaries. AMERCOs
executive offices are located at 1325 Airmotive Way,
Suite 100, Reno, Nevada 89502-3239, and the telephone
number is (775) 688-6300. As used in this Form 10-K,
all references to a fiscal year refer to AMERCOs fiscal
year ended March 31 of that year. RepWest and Oxford are
consolidated on the basis of calendar years ended
December 31. Accordingly, all references to the years 2002,
2001 and 2000 for RepWest and Oxford correspond to AMERCOs
fiscal years 2003, 2002 and 2001, respectively. 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). See
Note 22 of Notes to Consolidated Financial Statements in
Item 8 for financial information regarding the industry
segments and geographic areas.

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. The
Company has made significant loans to SAC Holdings and is
entitled to participate in SAC Holdings excess cash flow
(after senior debt service). Mark V. Shoen, a significant
shareholder of AMERCO and executive officer of U-Haul, owns
substantially all of the equity interest of SAC Holdings. The
Company does not have an equity ownership interest in SAC
Holdings, except for minority investments made by RepWest and
Oxford in a SAC Holdings-controlled limited partnership, which
holds Canadian self-storage properties. SAC Holdings is not a
legal subsidiary of AMERCO. The Company is not liable for the
debts of SAC Holdings and there are no default provisions in the
Companys indebtedness that cross-default to SAC
Holdings obligations nor are there provisions in SAC
Holdings indebtedness that cross-default to the Companys
obligations. U-Haul currently manages the properties owned by
SAC Holdings under management agreements and receives a
management fee. SAC Holdings operates in one business
segment  moving and storage operations. For financial
reporting purposes, SAC Holdings is treated as a special purpose
entity, with no independent equity at risk, and therefore the
Company includes the amounts of SAC Holdings in the consolidated
financial statements.



| |                      
| | ---------------------
| | Available Information

Our annual reports on Form 10-K, quarterly
reports on Form 10-Q, current reports on Form 8-K and
amendments to those reports filed or furnished pursuant to
Section 13 (a) or 15 (d) of the Securities
Exchange Act are available free of charge on our website at
www.uhaul.com as soon as reasonably practicable after
electronically filing such reports with the SEC. Information
contained on our website is not part of this report.



| |                    
| | -------------------
| | Recent Developments



| |                  
| | -----------------
| | Chapter 11 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 Real Estate Company filed a
voluntary petition for relief under Chapter 11 on
August 13, 2003. AMERCOs other subsidiaries were not
included in either of the filings. AMERCO and Real Estate will
continue to manage their properties and operate their businesses
as debtor-in-possession under the jurisdiction of
the Bankruptcy Court and in accordance with the applicable
provisions of the Bankruptcy Code. The Bankruptcy Court approved
the joint





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administration of the Chapter 11
proceedings. Hereafter, references to AMERCOs
Chapter 11 also include Amerco Real Estate Company as
applicable. 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 our website
www.amerco.com. The information on this website is not
considered part of this report.


The Chapter 11 filing was undertaken to
facilitate a restructuring of AMERCOs debt in response to
liquidity issues, which developed during the second half of
2002. In February, 2002, the Companys prior independent
auditor advised the Company that its financial statements would
have to be consolidated for reporting purposes with those of SAC
Holdings. This consolidation, and the resulting lack of clarity
regarding AMERCOs operating results and financial
condition, contributed substantially and directly to a series of
significant developments adversely impacting the Companys
access to capital. The consolidation of SAC Holdings resulted in
a material decrease in the Companys reported net earnings
and net worth and a corresponding increase in its consolidated
leverage ratios. Consolidating SAC Holdings also required a
costly and time-consuming restatement of prior period results
that led to the untimely filing of quarterly and annual reports
with the Securities and Exchange Commission.

As the situation was occurring, AMERCO was
attempting to negotiate the replacement of its $400 million
credit facility with JP Morgan Chase. On June 28,
2002, AMERCO entered into a new credit facility with
JP Morgan Chase, which reduced AMERCOs line of credit
to $205 million. The terms of the new JP Morgan Chase
facility required that AMERCO raise $150 million through a
capital markets transaction prior to October 15, 2002.
Additionally, AMERCO had payments for principal and related SWAP
arrangements under AMERCOs Series 1997-C Bond Backed
Asset Trust (BBAT) maturing October 15, 2002.
In response to these requirements, AMERCO undertook a
$275 million bond offering. The bond offering was
ultimately unsuccessful, exemplifying AMERCOs
significantly reduced access to the capital markets to meet its
financial needs due to, among other things, the confusion and
adverse perception resulting from the SAC Holdings
consolidation. On October 15, 2002, AMERCO defaulted on the
repayment of the BBATs, which led to cross-defaults and an
acceleration of substantially all of the other outstanding
instruments in the Companys debt structure.

Since that time, AMERCO has continuously
negotiated with its creditor groups to attempt to reach a
consensual restructuring arrangement that would provide for the
repayment of all creditors and the maintenance of AMERCOs
existing equity. However, while substantial progress has been
made in negotiations with certain key creditor constituencies,
the complexity of AMERCOs capital structure and the
diversity of interests of the creditor groups has made an
equitable and consensual restructuring, outside of formal
reorganization proceedings, exceedingly difficult. Accordingly,
AMERCO filed its Chapter 11 proceeding to provide the
structure and framework to finalize and implement a
restructuring of all of its debt.

We have secured from Wells Fargo Foothill a
$300 million debtor-in-possession financing facility (the
DIP Facility), and a commitment for a
$650 million bankruptcy emergence facility. These financing
arrangements provide the basic foundation upon which AMERCO
plans to build its reorganization plan. On August 13, 2003,
Real Estate was filed into Chapter 11 proceedings in order
to facilitate granting security to the lending group in the real
estate assets. Real Estate administers all of the Companys
real property and owns approximately 90% of the Companys
real estate assets.

The exit or emergence financing facility will be
used to fund cash payments to AMERCOs creditors, with the
balance of the creditor claims being paid through the issuance
of new, restructured debt securities at market interest rates.
Notwithstanding AMERCOs default on the BBATs in October
2002, and the resulting cross-defaults under AMERCOs other
debt facilities, until the Petition Date AMERCO has remained
current in interest payments on all of its debt obligations, in
many cases at default interest rates.

In order to exit Chapter 11 successfully,
AMERCO will need to propose, and obtain confirmation by the
Bankruptcy Court of, a plan of reorganization that satisfies the
requirements of the Bankruptcy Code. A plan of reorganization
would resolve, among other things, AMERCOs pre-petition
obligations and set forth the revised capital structure. The
timing of filing a plan of reorganization by AMERCO will depend
on the timing

2



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and outcome of numerous other ongoing matters in
the Chapter 11 case. Although AMERCO expects to file 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.


Under Section 362 of the Bankruptcy Code,
the filing of a bankruptcy petition automatically stays most
actions against a debtor, including most actions to collect
pre-petition indebtedness or to exercise control over the
property of the debtors estate. Absent an order of the
Bankruptcy Court, substantially all pre-petition liabilities are
subject to settlement under the plan of reorganization.

Under Section 365 of the Bankruptcy Code,
AMERCO may assume, assume and assign, or reject certain
executory contracts and unexpired leases, subject to the
approval of the Bankruptcy Court and certain other conditions.
In general, rejection of an unexpired lease or executory
contract is treated as a pre-petition breach of the lease or
contract in question. Subject to certain exceptions, this
rejection relieves AMERCO of performing its future obligations
under that lease or contract but entitles the lessor or contract
counterparty to a pre-petition general unsecured claim for
damages caused by the deemed breach.

Counterparties to these rejected contracts or
leases may file proofs of claim against AMERCOs estate for
such damages. Generally, the assumption of an executory contract
or unexpired lease requires a debtor to cure most existing
defaults under such executory contract or unexpired lease.

The United States Trustee for the District of
Nevada (the U.S. Trustee) has appointed an official
committee of unsecured creditors (the Creditors
Committee) and an Equity Committee. The Creditors
Committee and Equity Committee and their respective legal
representatives have a right to be heard on certain matters that
come before the Bankruptcy Court. There can be no assurance that
the Creditors Committee and Equity Committee will support
AMERCOs positions or AMERCOs ultimate plan of
reorganization, once proposed, and disagreements between AMERCO
and the Creditors Committee and Equity Committee could
protract the Chapter 11 case, could negatively impact
AMERCOs ability to operate during the Chapter 11
case, and could prevent AMERCOs emergence from
Chapter 11.

At this time, it is not possible to predict
accurately the effect of the Chapter 11 reorganization
process on the Companys business or when AMERCO may emerge
from Chapter 11. 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 expects to file and 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, if any, 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
Companys financial settlements included in this
Form 10-K do not reflect the effects of the bankruptcy
filing. Also, the auditors opinion contains a going
concern opinion that raises substantial doubt about our ability
to continue as a going concern. See Note 1 of Notes to
Consolidated Financial Statements in Item 8.



| |                                                                                                 
| | ------------------------------------------------------------------------------------------------
| | Financial Statement Re-audit and Resulting
    Restatement of 2002 and 2001 Financial Statements

BDO Seidman, LLP (BDO) has completed
the re-audit of the financial statements of AMERCO and its
subsidiaries and SAC Holdings and its subsidiaries for the
fiscal years ended March 31, 2002 and 2001. In connection
with this re-audit, it was determined that there was a need for
the Company to record adjustments relating to insurance reserves
for prior periods at AMERCO and its subsidiary, RepWest; to
adjust for recognizing losses of Private Mini pursuant to the
equity method; as well as other significant adjustments. These
adjustments have resulted in the restatement of the
Companys financial statements for the fiscal years ended
March 31, 2002 and 2001.

3



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|                    |  |               |           |                |  |               |           |          |  |  |           |  |  |  |           |  
|------------------- |  | ------------- | --------- | -------------- |  | ------------- | --------- | -------- |  |  | --------- |  |  |  | --------- | -
|                    |  |               |           |               
|                    |  | 2002          |           | 2001          
|                    |  |               |           |               
|                    |  | As Previously |           |                |  | As Previously |           |         
|                    |  | Reported      |           | Restated       |  | Reported      |           | Restated
|                    |  |               |           |                |  |               |           |         
|                    |  |               |           |                |  |              
|                    |  |               |           | (In thousands) |  |              
|Revenues            |  |               | 2,058,506 |                |  |               | 2,193,579 |          |  |  | 1,882,447 |  |  |  | 2,029,480 |  
|Net earnings (loss) |  |               | 2,721     |                |  |               | (47,440   | )        |  |  | 1,012     |  |  |  | (42,110   | )

This report contains restated consolidated
financial statements for the years ended March 31, 2002 and
2001, and for the quarters ended in the periods ended
March 31, 2002 and December 31, 2002.

The major components for the restatement were
related to 1) insurance and 2) the equity loss
recognition of Private Mini by AMERCO. For 2002 the insurance
related after tax adjustment was $45 million and for 2001
it was $38 million. The Private Mini related adjustment for
2002 was $7 million and for 2001 it was $5.7 million.

As a result of the restatement, total assets as
of March 31, 2002 decreased from $3,773,455 to $3,732,317
and total stockholders equity as of March 31, 2002
decreased from $499,106 to $381,524.

For more information about the reinstatements,
see Note 2 to the Consolidated Financial Statements.



| |                  
| | -----------------
| | SEC Investigation

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 four subpoenas issued by the SEC. 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.



| |                                  
| | ---------------------------------
| | Department of Labor Investigation

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. At the
present time, the Company is unable to determine whether the DOL
will assert any 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 until December 31, 2003
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 such parties to extend the tolling agreement. The
DOL has not advised the Company that it believes that any
violations of ERISA have in fact occurred. Instead, the DOL is
simply investigating potential violations. The Company 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.

4



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| |                      
| | ---------------------
| | Nasdaq Listing Status

On June 24, 2003, the Company 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 continued listing status. Nasdaq has requested,
and AMERCO has provided, information regarding AMERCOs
Chapter 11 filing and the anticipated effect of the
reorganization process on the shareholders of AMERCO. On
August 13, 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:
(1) on or before August 22, 2003, AMERCO files this
report and its Form 10-Q for the quarter ended
June 30, 2003 with the SEC and Nasdaq (Nasdaq has been
advised that this deadline was not met and further discussions
with Nasdaq are anticipated); (2) on or before deadlines
determined by the Panel, AMERCO submits to Nasdaq a copy of the
Companys plan of reorganization as filed with the
bankruptcy court, a copy of any amendments to the plan of
reorganization as submitted to the bankruptcy court;
documentation evidencing that AMERCO has commenced the
solicitation of votes regarding the plan of reorganization, as
well as documentation evidencing that the plan of reorganization
has been confirmed by the bankruptcy court; and (3) on or
before January 9, 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. Although AMERCO intends to seek
a modification of the deadlines to file its Form 10-K and
Form  10-Q as discussed above and to take all actions
available to maintain its Nasdaq listing, there can be no
assurance that AMERCO will be able to do so. In addition, as a
result of the Chapter 11 filing and the late filing of this
report, AMERCOs trading symbol was changed by Nasdaq to
UHAEQ.



| |                                           
| | ------------------------------------------
| | New York Stock Exchange Listing
    Status

The New York Stock Exchange (the
NYSE) has completed a review of the continued
listing of the Series A 8 1/2% preferred stock of
AMERCO following the Companys filing for protection under
Chapter 11. According to NYSE, this assessment has shown
that the Company is currently in compliance with all of the
NYSEs quantitative continued listing standards. The NYSE
will continue to closely monitor events at the Company in
connection with assessing the appropriateness of continued
listing of the Companys preferred stock. The NYSE has
indicated that it will give consideration to immediate
suspension of the Companys preferred stock if
authoritative advice is received that the Companys
securities, including the common stock, are without value, or if
the Company subsequently falls below any of the NYSEs
quantitative continued listing standards. In addition, the NYSE
noted that it may, at any time, suspend a security if it
believes that continued dealings in the security on the NYSE are
not advisable.



| |                               
| | ------------------------------
| | AMERCO Chief Financial Officer

On April 14, 2003, Gary B. Horton, Treasurer
of AMERCO, announced his retirement from the Company and its
subsidiaries effective August 1, 2003. On April 21,
2003, Andrew A. Stevens joined AMERCO as its Chief Financial
Officer. Mr. Stevens left on August 7, 2003 to pursue
other opportunities. The search for a new Chief Financial
Officer is in progress. Mr. Horton has agreed to postpone
his retirement to facilitate the transition to the new Chief
Financial Officer.



| |                                                                    
| | -------------------------------------------------------------------
| | Arizona Department of Insurance Supervision of
    Republic Western

On May 20, 2003, RepWest consented to an
Order for Supervision issued by the Arizona Department of
Insurance (DOI). The DOI determined that
RepWests level of risk based capital (RBC)
allowed for regulatory control. Pursuant to this order and
Arizona law, during the period of supervision, RepWest may not
engage in any of the following activities without the prior
approval of the DOI:



| |                                                                                      
| | -------------------------------------------------------------------------------------
| | a.     dispose of,
    convey or encumber any of its assets or its business in force;
|
| | b.     withdraw any of
    its bank accounts;                                        
|
| | c.     lend any of its
    funds;                                                    

5



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##### Table of Contents





| |                                                                                                               
| | --------------------------------------------------------------------------------------------------------------
| | d.     invest any of its
    funds;                                                                           
|
| | e.     transfer any of
    its property;                                                                      
|
| | f.     incur any debt,
    obligation or liability including the issuance of all new and
    renewal business;
|
| | g.     merge or
    consolidate with another company;                                                         
|
| | h.     enter into any
    new reinsurance contract or treaty; or                                              
|
| | i.     enter into any
    affiliate transactions                                                              

In order to abate the DOIs order, RepWest
must establish that it possesses surplus in compliance with
Arizona law and as the Arizona Director of Insurance may require
based on type, volume or nature of its business pursuant to
Arizona law and establish that it has eliminated the specific
credit risk associated with the exposures to AMERCO and its
affiliates.

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

In April 2003, RepWest announced that in
connection 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. This
exit may result in near term losses as these lines are
eliminated.



| |                              
| | -----------------------------
| | Moving and Storage Operations

Moving and self-storage operations consist of the
rental of equipment such as trucks and trailers, the sale of
moving and storage supplies such as boxes and the rental of
self-storage spaces to both moving and storage customers.
Operations are conducted using the registered tradename
U-Haul® throughout the United States and Canada.



| |                       
| | ----------------------
| | Real Estate Operations

Real Estate owns approximately 90% of the
Companys real estate assets, including U-Haul Center and
Storage locations. Various U-Haul and Insurance companies own
the remainder of the real estate assets. Real Estate is
responsible for overseeing property acquisitions, dispositions
and managing environmental risks of the properties.



| |                                    
| | -----------------------------------
| | Property and Casualty
    Insurance

RepWest originates and reinsures property and
casualty-type insurance products for various market
participants, including independent third parties, U-Hauls
customers, independent dealers and the Company. In April 2003,
RepWest announced that in connection with AMERCOs overall
restructuring efforts, in order to reduce costs and to build
upon its core strengths, RepWest is exiting non-U-Haul related
lines of business. This exit may result in near term losses as
these lines are eliminated.



| |               
| | --------------
| | Life Insurance

Oxford originates and reinsures annuities, credit
life and disability, single premium whole life, group life and
disability coverage, and Medicare supplement insurance. Oxford
also administers the self-insured employee health and dental
plans for AMERCO.

On November 13, 2000, Oxford acquired all of
the issued and outstanding shares of Christian Fidelity Life
Insurance Company (CFLIC) in an exchange of cash for
stock. CFLIC is a Texas-based insurance company specializing in
providing supplemental health insurance and is licensed in 31
states. The acquisition was accounted for using the purchase
method of accounting and, accordingly, CFLICs results of
operations have been included in the consolidated financial
statements since the date of acquisition. Oxford funded the
acquisition from available cash and short-term funds.

6



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##### Table of Contents



B.     History

U-Haul was founded in 1945 under the name
U-Haul Trailer Rental Company. From 1945 to 1974,
U-Haul rented trailers and, starting in 1959, trucks on a
one-way and In-Town® basis exclusively through independent
dealers. Since 1974, U-Haul has developed a network of Company
managed rental centers (U-Haul Centers) through which U-Haul
also rents its trucks and trailers and provides related products
and services (e.g., the sale and installation of hitches, as
well as the sale of boxes and other moving and storage
supplies). At March 31, 2003, U-Hauls distribution
network included 1,350 Company operated centers and 14,274
independent dealers.

C.     Moving and
Storage Operations



| |                    
| | -------------------
| | Business Strategies

The U-Haul business strategy remains focused on
do-it-yourself moving and self-storage customers. U-Haul
believes that customer access, in terms of truck or trailer
availability and proximity of rental locations, is critical to
its success. Under the U-Haul name, our strategy is to offer, in
an integrated manner over an extensive and geographically
diverse network of 15,624 Company operated Centers and
independent dealers, a wide range of products and services to
do-it-yourself moving and self-storage customers.



| |                  
| | -----------------
| | Moving Operations

U-Haul has a variety of product offerings. Rental
trucks are designed with do-it-yourself customers in mind.
U-Haul trailers are suited to the low profile of many newly
manufactured automobiles. As of March 31, 2003, the U-Haul
rental equipment fleet consisted of approximately 92,000 trucks,
73,000 trailers and 19,000 tow dollies. Additionally, U-Haul
provides support items such as furniture pads, utility dollies
and handtrucks.

Approximately 90% of U-Hauls gross rental
revenue is generated from do-it-yourself residential movers.
Moving rentals include:



| |                                                                                                 
| | ------------------------------------------------------------------------------------------------
| | (i) In-Town® rentals, where the
    equipment is returned to the originating U-Haul location and
|
| | (ii) One-way rentals, where the equipment is
    returned to a U-Haul location in another city. 

U-Hauls truck and trailer rental business
tends to be seasonal, with proportionally more transactions and
revenues generated in the spring and summer months than during
the balance of the year.

U-Haul sells a wide selection of moving supplies
that include boxes, tape and packaging materials. U-Haul Centers
also sell and install hitches and towing systems, and sell
propane.

U-Haul offers protection packages such as:



| |                                                                                                                                                 
| | ------------------------------------------------------------------------------------------------------------------------------------------------
| | (i) Safemove®  which
    currently provides moving customers with a damage waiver, cargo
    protection and medical and life coverage;         
|
| | (ii) Safestor®  which
    currently provides self-storage rental customers with various
    types of protection for their goods in storage; and
|
| | (iii) Safetow®  which
    currently provides towing customers with a damage waiver, cargo
    protection and medical and life coverage.        

Independent dealers receive U-Haul equipment on a
consignment basis and are paid a commission on gross revenues
generated from their rentals. U-Haul maintains contracts with
its independent dealers that may typically be terminated upon
30 days written notice by either party.

Historically U-Haul has designed and manufactured
its truck van boxes, trailers and various other support rental
equipment items. Truck chassis are manufactured by both foreign
and domestic truck manufacturers. These chassis receive certain
post-delivery modifications and are joined with van boxes at
strategically located Company-owned manufacturing and assembly
facilities in the United States. From time to time, U-Haul buys
its truck bodies from a third party provider of such items.

7



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##### Table of Contents



U-Haul services and maintains its trucks and
trailers through an extensive preventive-maintenance program,
generally performed at Company-owned facilities located at or
near U-Haul Centers. Major repairs are performed either by the
chassis manufacturers dealers or by Company-owned repair
shops.



| |            
| | -----------
| | Competition

A highly competitive industry exists within the
moving truck and trailer rental market. There are two distinct
users of rental trucks: commercial users and do-it-yourself
users. U-Haul focuses on the do-it-yourself residential user.
Within this group, U-Haul believes that the principal
competitive factors are convenience of rental locations,
availability of quality rental equipment and price.
U-Hauls major competitors in the rental market are Budget
Car and Truck Rental Company and Penske Truck Leasing.



| |                      
| | ---------------------
| | Self-storage Business

U-Haul entered the self-storage business in 1974
and has increased its presence in the industry through the
acquisition and conversion of existing facilities and new
construction. In addition, U-Haul has entered into management
agreements to manage self-storage properties owned by others,
including SAC Holdings. U-Haul has also entered into a strategic
and financial partnership with Private Mini Storage Realty,
L.P., a Texas-based operator of self-storage properties.

Through 1,023 owned, managed or equity
participating self-storage locations in the United States and
Canada, U-Haul offers for rent more than 32.5 million
square feet of self-storage at March 31, 2003. This is an
increase of 1.4 million square feet over the prior year.
U-Hauls self-storage facility locations range in sizes up
to 152,600 square feet of storage space, with individual
storage units in sizes from 15 to 400 square feet.

The primary market for storage rooms is the
storage of household goods. With the addition of 18,833 storage
rooms during fiscal year 2003, the average occupancy rate of
same store facilities operating over one year was 82.9%, with
modest seasonal variations.



| |            
| | -----------
| | Competition

The primary competition for a U-Haul self-storage
location is other self storage facilities within a geographic
area offering a comparable level of convenience to the customer.



| |          
| | ---------
| | Employees

As of March 31, 2003, U-Hauls
non-seasonal work force consisted of 16,145 full and part-time
employees.

D.     Real Estate
Operations



| |                       
| | ----------------------
| | Real Estate Operations

Real Estate owns approximately 90% of the
Companys real estate assets, including U-Haul Center and
Storage locations. Various U-Haul and Insurance companies own
the remainder of the real estate assets. Real Estate is
responsible for overseeing property acquisitions, dispositions
and managing environmental risks of the properties.



| |                      
| | ---------------------
| | Environmental Matters

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 the
presence of 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. Since 1988, Real Estate has managed a

8



---



##### Table of Contents



testing and removal program for underground
storage tanks. Under this program, we have spent
$43.7 million through March 31, 2003. See also
Item 3. Legal Proceedings.


E.     Insurance
Operations



| |                    
| | -------------------
| | Business Strategies

RepWest originates and reinsures property and
casualty type insurance products for various market
participants, including independent third parties, U-Hauls
customers, independent dealers and the Company. In
April 2003, RepWest announced that in connection with
AMERCOs overall restructuring efforts, and in order to
reduce costs and to build upon its core strengths, RepWest has
ceased writing and is exiting non-U-Haul related lines of
business.

Oxfords business strategy is long-term
capital growth through direct writing and reinsuring of annuity,
credit life and disability and Medicare supplement products. In
the past Oxford has pursued a growth strategy of increased
direct writing via acquisitions of insurance companies, expanded
distribution channels and product development. The acquisitions
of North American Insurance Company and Safe Mate Life Insurance
Company in 1997 and Christian Fidelity Life Insurance Company in
2000 represent a significant movement toward this long-term
goal. Oxford has significantly expanded product offerings,
distribution channels and administrative capabilities through
these acquisitions.



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

RepWest and Oxford investments must comply with
the insurance laws of the state of domicile. These laws
prescribe the type, quality and concentration of investments
that may be made. Moreover, in order to be considered an
acceptable reinsurer by cedents and intermediaries, a reinsurer
must offer financial security. The quality and liquidity of
invested assets are important considerations in determining such
security.

The investment strategies of RepWest and Oxford
emphasize protection of principal through the purchase of
investment grade fixed-income securities. Approximately 88.0% of
RepWests and 88.6% of Oxfords fixed-income
securities consist of investment grade securities (NAIC-2 or
greater). The maturity distributions are designed to provide
sufficient liquidity to meet future cash needs.



| |            
| | -----------
| | Reinsurance

RepWest and Oxford assume and cede insurance from
and to other insurers and members of various reinsurance pools
and associations. Reinsurance arrangements are utilized to
provide greater diversification of risk and to minimize exposure
to large risks. However, the original insurer retains primary
liability to the policyholder should the assuming insurer not be
able to meet its obligations under the reinsurance agreements.



| |           
| | ----------
| | Regulation

RepWest and Oxford are subject to regulation by
state insurance regulatory agencies. The regulation extends to
such matters as licensing companies and agents, restricting the
types, quality or quantity of investments, regulating capital
and surplus and actuarial reserve maintenance, setting solvency
standards, filing of annual and other reports on financial
condition, and regulating trade practices. State laws also
regulate transactions and dividends between an insurance company
and its parent or affiliates, and generally require prior
approval or notification for any change in control of the
insurance subsidiary.

The insurance and reinsurance regulatory
framework has been subjected to increased scrutiny by the
National Association of Insurance Commissioners
(NAIC), federal and state legislatures and insurance
regulators. These regulators are considering increased
regulations, with an emphasis on insurance company investment
and solvency issues. It is not possible to predict the future
impact of changing state and federal regulations on the
operations of RepWest and Oxford.

In 1998, the NAIC adopted the Codification of
Statutory Accounting Principles guidance, which replaced the
prior Accounting Practices and Procedures manual as the
NAICs primary guidance for statutory

9



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##### Table of Contents



accounting as of January 1, 2001. The
codification provides guidance for areas where statutory
accounting has been silent and changes current statutory
accounting practices in some areas. The DOI has adopted the
Codification guidance, effective January 1, 2001. Oxford
and RepWest have implemented the new Codification effective
January 1, 2001.


In order to enhance the regulation of insurer
solvency, the NAIC has adopted a formula and model law to
implement risk-based capital (RBC) requirements for
insurance companies designed to assess minimum capital
requirements and to raise the level of protection that statutory
surplus provides for policyholder obligations. The RBC formula
measures areas of risk facing insurers. Pursuant to the model
law, insurers having less statutory surplus than that required
by the RBC calculation will be subject to varying degrees of
regulatory action, depending on the level of capital inadequacy.

The RBC model law provides for four levels of
regulatory action. The extent of regulatory intervention and
action increases as the level of surplus to RBC decreases. The
first level, the Company Action Level (as defined by the NAIC),
requires an insurer to submit a plan of corrective actions to
the regulator if surplus falls below 200% of the RBC amount. The
Regulatory Action Level requires an insurer to submit a plan
containing corrective actions and requires the relevant
insurance commissioner to perform an examination or other
analysis and issue a corrective order if surplus falls below
150% of the RBC amount. The Authorized Control Level gives the
relevant insurance commissioner the option either to take the
aforementioned actions or to rehabilitate or liquidate the
insurer if surplus falls below 100% of the RBC amount. The
fourth action level is the Mandatory Control Level that requires
the relevant insurance commissioner to rehabilitate or liquidate
the insurer if surplus falls below 70% of the RBC amount.

Oxford is in compliance with the NAIC minimum RBC
requirements. On May 20, 2003, the DOI determined that
RepWests level of RBC allowed for regulatory control and
accordingly placed RepWest under supervision. See Recent
Developments above.



| |            
| | -----------
| | Competition

The highly competitive insurance industry
includes a large number of property and casualty insurance
companies and life insurance companies. In addition, the
marketplace now includes financial service firms offering both
insurance and financial products. Stockholders own some
insurance companies and policyholders own others. Many
competitors have been in business for a longer period of time or
possess substantially greater financial resources and broader
product portfolios than RepWest and Oxford. RepWest and Oxford
compete in the insurance business based upon price, product
design and services rendered to producers and policyholders.



| |          
| | ---------
| | Employees

RepWests non-seasonal work force consists
of 343 full and part-time employees.

Oxfords non-seasonal work force consists of
148 full and part-time employees.



| |               
| | --------------
| | Life Insurance

Oxford originates and reinsures annuities, credit
life and disability, single premium whole life, group life and
disability coverage, and Medicare supplement insurance. Oxford
also administers the self-insured group health and dental plans
for the Company. Reinsurance arrangements are entered into with
unaffiliated reinsurers.



| |                      
| | ---------------------
| | Property and Casualty

RepWests historical business activities
consisted of three basic areas: U-Haul, direct and assumed
reinsurance. U-Haul underwritings include coverage for U-Haul
customers, independent dealers, fleet owners and employees of
the Company. RepWests direct underwriting was done through
Company-employed underwriters and selected general agents. The
products provided include liability coverage for rental
vehicles, coverage for commercial multiple peril, commercial
auto, mobile homes and excess workers compensation.

10



---



##### Table of Contents



RepWest has determined that these lines will be
eliminated. RepWests assumed reinsurance underwriting was
done via broker markets and RepWest has exited this line. In an
effort to decrease risk, RepWest has entered into various
catastrophe cover policies to limit its exposure.


The liability for reported and unreported losses
is based on both RepWests historical and industry
averages. Unpaid loss adjustment expenses are based on
historical ratios of loss adjustment expenses paid to losses
paid. The liability for unpaid losses and loss adjustment
expenses is based on estimates of the amount necessary to settle
all claims as of the statement date. Both reported and
unreported losses are included in the liability. RepWest updates
the liability estimate as additional facts regarding claim costs
become available. These estimates are subject to uncertainty and
variation due to numerous factors. In estimating reserves, no
attempt is made to isolate inflation from the combined effect of
other factors including inflation. Unpaid losses and loss
adjustment expense are not discounted.

Activity in the liability for unpaid losses and
loss adjustment expenses is summarized as follows:

|                           |                              |                |         |         |  |      |         |         |  |  |         |         | 
|-------------------------- | ---------------------------- | -------------- | ------- | ------- |  | ---- | ------- | ------- |  |  | ------- | ------- | 
|                           |                              | 2002           |         | 2001    |  | 2000
|                           |                              |                |         |         |  |     
|                           |                              |               
|                           |                              | (In thousands)
|Balance at January 1       |                              | $              | 448,987 |         |  |      | 382,651 |         |  |  | 334,857 |        
|                           | Less reinsurance recoverable |                |         | 128,044 |  |      |         | 80,868  |  |  |         | 58,403  | 
|                           |                              |                |         |         |  |      |         |         |  |  |         |        
|Net balance at January 1   |                              |                | 320,943 |         |  |      | 301,783 |         |  |  | 276,454 |        
|                           |                              |                |         |         |  |      |         |         |  |  |         |        
|Incurred related to:       |                              |                |         |         |  |      |         |         |  |  |         |        
|                           | Current year                 |                |         | 112,284 |  |      |         | 232,984 |  |  |         | 162,265 | 
|                           | Prior years                  |                |         | 16,396  |  |      |         | 23,042  |  |  |         | 41,285  | 
|                           |                              |                |         |         |  |      |         |         |  |  |         |        
|Total incurred             |                              |                | 128,680 |         |  |      | 256,026 |         |  |  | 203,550 |        
|                           |                              |                |         |         |  |      |         |         |  |  |         |        
|Paid related to:           |                              |                |         |         |  |      |         |         |  |  |         |        
|                           | Current year                 |                |         | 66,728  |  |      |         | 106,395 |  |  |         | 61,196  | 
|                           | Prior years                  |                |         | 130,070 |  |      |         | 130,471 |  |  |         | 117,025 | 
|                           |                              |                |         |         |  |      |         |         |  |  |         |        
|Total paid                 |                              |                | 196,798 |         |  |      | 236,866 |         |  |  | 178,221 |        
|                           |                              |                |         |         |  |      |         |         |  |  |         |        
|Net balance at December 31 |                              |                | 252,825 |         |  |      | 320,943 |         |  |  | 301,783 |        
|                           | Plus reinsurance recoverable |                |         | 146,622 |  |      |         | 128,044 |  |  |         | 80,868  | 
|                           |                              |                |         |         |  |      |         |         |  |  |         |        
|Balance at December 31     |                              | $              | 399,447 |         |  |      | 448,987 |         |  |  | 382,651 |        
|                           |                              |                |         |         |  |      |         |         |  |  |         |        

As a result of changes in estimates of insured
events in prior years, the provision for unpaid losses and loss
adjustment expenses (net of reinsurance recoveries of
$90.1 million) increased by $16.4 million in 2002.

The following table illustrates the change in
unpaid loss and loss adjustment expenses. First line 
reserves as originally reported at the end of the stated year.
Second section, reading down,  cumulative amounts
paid as of the end of successive years with respect to that
reserve. Third section, reading down,  revised
estimates of the original recorded reserve as of the end of
successive years. Last section  compares the latest
revised estimated reserve amount to the reserve amount as
originally established. This last section is cumulative and
should not be summed.

11



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##### Table of Contents



Unpaid Loss and Loss Adjustment
Expenses

|                                         |                              |                   |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|---------------------------------------- | ---------------------------- | ----------------- | ------- | ------- | ------- | ---- | ------- | ------- | ------- | ---- | ------- | ------- | ------- | ---- | ------- | ------- | ------- | ---- | ------- | ------- | ------- | ---- | ------- | ------- | ------- |  | ------- | ------- | ------- |  | -------- | ------- | ------- |  | ------- | ------- | ------- |  | ------- | ------- | ------- |  | ------- |  |  | 
|                                         |                              |                  
|                                         |                              | December 31      
|                                         |                              |                  
|                                         |                              | 1992              |         | 1993    |         | 1994 |         | 1995    |         | 1996 |         | 1997    |         | 1998 |         | 1999    |         | 2000 |         | 2001    |         | 2002
|                                         |                              |                   |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |     
|                                         |                              |                  
|                                         |                              | (In thousands)   
|Unpaid Loss and Loss Adjustment Expenses |                              | $                 | 238,762 |         |         |      | 314,482 |         |         |      | 329,741 |         |         |      | 341,981 |         |         |      | 332,674 |         |         |      | 384,816 |         |         |  | 344,748 |         |         |  | 334,858  |         |         |  | 382,651 |         |         |  | 448,987 |         |         |  | 399,447 | 
|                                         | Paid (Cumulative)
    as of: |                   |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         |                              | One year later    |         |         | 83,923  |      |         |         | 70,382  |      |         |         | 86,796  |      |         |         | 89,041  |      |         |         | 89,336  |      |         |         | 103,752 |  |         |         | 82,936  |  |          |         | 117,025 |  |         |         | 130,471 |  |         |         | 130,070 |  |         |  |  | 
|                                         |                              | Two years later   |         |         | 123,310 |      |         |         | 115,467 |      |         |         | 139,247 |      |         |         | 150,001 |      |         |         | 161,613 |      |         |         | 174,867 |  |         |         | 164,318 |  |          |         | 186,193 |  |         |         | 203,605 |  |         |         |         |  |         |  |  | 
|                                         |                              | Three years later |         |         | 153,030 |      |         |         | 146,640 |      |         |         | 173,787 |      |         |         | 195,855 |      |         |         | 208,168 |      |         |         | 216,966 |  |         |         | 218,819 |  |          |         | 232,883 |  |         |         |         |  |         |         |         |  |         |  |  | 
|                                         |                              | Four years later  |         |         | 173,841 |      |         |         | 166,068 |      |         |         | 198,434 |      |         |         | 226,815 |      |         |         | 232,726 |      |         |         | 246,819 |  |         |         | 255,134 |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|                                         |                              | Five years later  |         |         | 181,677 |      |         |         | 181,174 |      |         |         | 219,425 |      |         |         | 243,855 |      |         |         | 250,312 |      |         |         | 269,425 |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|                                         |                              | Six years later   |         |         | 191,938 |      |         |         | 194,652 |      |         |         | 231,447 |      |         |         | 254,204 |      |         |         | 263,645 |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|                                         |                              | Seven years later |         |         | 200,281 |      |         |         | 203,535 |      |         |         | 237,118 |      |         |         | 264,120 |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|                                         |                              | Eight years later |         |         | 207,719 |      |         |         | 207,834 |      |         |         | 242,450 |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|                                         |                              | Nine years later  |         |         | 211,075 |      |         |         | 211,493 |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|                                         |                              | Ten years later   |         |         | 213,852 |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  |  | 
|Reserve Reestimated as of:               |                              |                   |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         | 
|                                         | One year later               |                   |         | 251,450 |         |      |         | 321,058 |         |      |         | 338,033 |         |      |         | 353,508 |         |      |         | 354,776 |         |      |         | 357,733 |         |  |         | 339,602 |         |  |          | 377,096 |         |  |         | 433,222 |         |  |         | 454,510 |         |  |         |  | 
|                                         | Two years later              |                   |         | 254,532 |         |      |         | 323,368 |         |      |         | 340,732 |         |      |         | 369,852 |         |      |         | 342,164 |         |      |         | 361,306 |         |  |         | 371,431 |         |  |          | 432,714 |         |  |         | 454,926 |         |  |         |         |         |  |         |  | 
|                                         | Three years later            |                   |         | 253,844 |         |      |         | 309,936 |         |      |         | 349,459 |         |      |         | 328,445 |         |      |         | 346,578 |         |      |         | 369,598 |         |  |         | 429,160 |         |  |          | 437,712 |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         | Four years later             |                   |         | 231,536 |         |      |         | 317,687 |         |      |         | 302,808 |         |      |         | 331,897 |         |      |         | 349,810 |         |      |         | 398,899 |         |  |         | 413,476 |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         | Five years later             |                   |         | 239,888 |         |      |         | 267,005 |         |      |         | 300,180 |         |      |         | 339,665 |         |      |         | 376,142 |         |      |         | 398,184 |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         | Six years later              |                   |         | 263,843 |         |      |         | 262,517 |         |      |         | 307,306 |         |      |         | 347,664 |         |      |         | 369,320 |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         | Seven years later            |                   |         | 259,798 |         |      |         | 267,948 |         |      |         | 332,762 |         |      |         | 344,451 |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         | Eight years later            |                   |         | 265,285 |         |      |         | 303,457 |         |      |         | 311,682 |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         | Nine years later             |                   |         | 265,538 |         |      |         | 270,300 |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|                                         | Ten years later              |                   |         | 267,029 |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         |  | 
|Cumulative Redundancy (Deficiency)       |                              | $                 | (28,267 | )       |         |      | 44,182  |         |         |      | 18,059  |         |         |      | (2,470  | )       |         |      | (36,646 | )       |         |      | (13,368 | )       |         |  | (68,728 | )       |         |  | (102,854 | )       |         |  | (72,275 | )       |         |  | (5,523  | )       |         |  |         | 
|Retro Premium Recoverable                |                              |                   | 2,209   |         |         |      | 4,239   |         |         |      | 8,231   |         |         |      | 11,294  |         |         |      | 13,905  |         |         |      | 18,350  |         |         |  | 25,569  |         |         |  | 29,852   |         |         |  | 39,731  |         |         |  | 41,206  |         |         |  |         | 
|Reestimated Reserve:                     |                              |                   |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |      |         |         |         |  |         |         |         |  |          |         |         |  |         |         |         |  |         |         |         |  |         | 
|Amount (Cumulative)                      |                              | $                 | (26,058 | )       |         |      | 48,421  |         |         |      | 26,290  |         |         |      | 8,824   |         |         |      | (22,741 | )       |         |      | 4,982   |         |         |  | (43,159 | )       |         |  | (73,002  | )       |         |  | (32,545 | )       |         |  | 35,683  |         |         |  |         | 






|        |           
|------- | ----------
|Item 2. | Properties

AMERCOs subsidiaries own property, plant
and equipment that are utilized in the manufacture, repair and
rental of U-Haul equipment and that provide office space for the
Company. Such facilities exist throughout the United States and
Canada. U-Haul also manages storage facilities owned by others.
In addition, the Company owns certain real estate not currently
used in its operations. U-Haul operates 1,350 U-Haul Centers
(including Company-owned storage locations), and operates 11
manufacturing and assembly facilities. U-Haul also operates 105
fixed site repair facilities located at or near a U-Haul Center.

SAC Holdings own property, plant and equipment
that are utilized in the rental of self-storage rooms and U-Haul
equipment. Such facilities exist throughout the United States
and Canada. Such facilities also secure various promissory notes
held by unrelated third parties. There is no debt held by the
Company that is secured by SAC Holdings real estate.
U-Haul manages the storage facilities under management
agreements whereby the management fees are consistent with
management fees received by U-Haul for other properties owned by
unrelated parties and managed by U-Haul.






|        |                  
|------- | -----------------
|Item 3. | Legal Proceedings

In the normal course of business, the Company is
a defendant in a number of suits and claims. The Company is also
a party to several administrative proceedings arising from state
and local provisions that

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regulate the removal and/or cleanup of
underground fuel storage tanks. It is the opinion of management
that none of such suits, claims or proceedings involving the
Company, individually or in the aggregate, are expected to
result in a material loss. See Item 1.
Business  Environmental Matters.


In the normal course of business, SAC Holdings is
a defendant in a number of suits and claims. It is the opinion
of management that none of the suits, claims or proceedings
involving SAC Holdings, individually or in the aggregate, are
expected to result in a material loss.

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,
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 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 is set for September 9, 2003. 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.

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 as defendants. 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
its 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.

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

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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. At the present time the
Company is unable to determine whether the DOL will assert any
claims against the Company, SAC Holdings, or the Plan
fiduciaries. The DOL has asked the Company 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 the Company or any
affiliate of the Company and SAC Holdings, or any of its
affiliates and such parties have done so. The DOL recently asked
such parties to extend the tolling agreement. The DOL has not
advised the Company that it believes that any violations of
ERISA have in fact occurred. Instead, the DOL is simply
investigating potential violations. The Company intends to
vigorously defend its position. The Company also intends to take
any corrective action that may be needed in light of the
DOLs ultimate findings.


The Company has received notice of a formal,
non-public investigation by the Securities and Exchange
Commission (SEC). On January 7, 2003, the
Company received the first of the four 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 SEC has advised the
Company that this is a fact-finding investigation and that it
has not reached any conclusions related to this matter. The
Company has been cooperating fully with the SEC and is
facilitating the expeditious review of its financial statements
and any other issues that may arise. The Company does not
believe that the SEC investigation will have a material adverse
impact on its financial condition or results of operations. The
SEC began its investigation by issuing a subpoena to
PricewaterhouseCoopers (PwC) two months before
requesting information from the Company. The Company is
cooperating fully with the SECs investigation.

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 the federal bankruptcy laws in May of
2001. A successful mediation with other liable parties has
occurred and future liability to INW will be in the range of
$750,000 to $1.25 million.

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 Trustaction 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 Matesaction 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 Klugaction asserts claims under
section 10(b) and Rule 10b-5 and section 20(a) of
the Securities Exchange Act. IG Holdingsv. 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. The Klugaction has not been served. In the other three actions,
AMERCO does not currently have a deadline by which it must
respond to the complaints. Management has stated that it intends
to defend these cases vigorously. We have filed a notice of
AMERCOs bankruptcy petition and the automatic stay in each
of the Courts where these cases are pending.

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Reference is made to Note 16 of Notes to
Consolidated Financial Statements in Item 8 for a
discussion of the final payments made in connection with
stockholder litigation and California overtime litigation.






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

No matter was submitted to a vote of the security
holders of AMERCO or U-Haul during the fourth quarter of the
fiscal year covered by this report, through the solicitation of
proxies or otherwise.




PART II






|        |                                                                              
|------- | -----------------------------------------------------------------------------
|Item 5. | Market for the Registrants Common
    Equity and Related Stockholder Matters

As of July 10, 2003, there were
approximately 3,000 holders of record of AMERCOs
common stock.

AMERCOs common stock has been traded on
NASDAQ since November 1994 under the symbol UHAL. As
a result of AMERCOs Chapter 11 filing and the late
filing of this report, the trading symbol was changed by Nasdaq
to UHAEQ. The following table sets forth the high
and low sales prices of the common stock of AMERCO trading on
Nasdaq for the periods indicated.

|               |  |                     |       |      |  |      |       |     |  |  |       |  |  |  |       | 
|-------------- |  | ------------------- | ----- | ---- |  | ---- | ----- | --- |  |  | ----- |  |  |  | ----- | 
|               |  |                    
|               |  | For the Years Ended
|               |  | March 31,          
|               |  |                    
|               |  |                     |       |     
|               |  | 2003                |       | 2002
|               |  |                     |       |     
|               |  | High                |       | Low  |  | High |       | Low
|               |  |                     |       |      |  |      |       |    
|First quarter  |  |                     | 18.50 |      |  |      | 13.90 |     |  |  | 19.98 |  |  |  | 16.64 | 
|Second quarter |  |                     | 14.99 |      |  |      | 6.19  |     |  |  | 20.20 |  |  |  | 17.80 | 
|Third quarter  |  |                     | 10.40 |      |  |      | 1.36  |     |  |  | 18.80 |  |  |  | 16.75 | 
|Fourth quarter |  |                     | 6.00  |      |  |      | 2.77  |     |  |  | 18.04 |  |  |  | 14.27 | 

AMERCO has not declared any cash dividends to
common stockholders for the two most recent fiscal years.

AMERCO does not have a formal dividend policy.
AMERCOs Board of Directors periodically considers the
advisability of declaring and paying dividends in light of
existing circumstances. AMERCO does not intend to pay dividends
in the foreseeable future. See Note 21 of Notes to
Consolidated Financial Statements in Item 8 for a
discussion of certain statutory restrictions on the ability of
the insurance subsidiaries to pay dividends to AMERCO.

See Note 17 of Notes to Consolidated
Financial Statements in Item 8 for a discussion of
AMERCOs non-cash dividends. See Note 7 of Notes to
Consolidated Financial Statements in Item 8 for a
discussion of changes to common shares outstanding.

The common stock of U-Haul is wholly owned by
AMERCO. As a result, no active trading market exists for the
purchase and sale of such common stock. U-Haul has not declared
cash dividends to AMERCO during the two most recent fiscal years.

Due to the Chapter 11 filing, AMERCO does
not expect to make any dividend payments on the Series A
preferred stock for the duration of such proceedings. No
assurance can be given as to when or whether the payment of
cumulative preferred stock dividends will resume.

The rights and claims of AMERCOs various
creditors and security holders will be determined by the plan of
reorganization to be filed by AMERCO. Although AMERCO expects to
file and 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, if any, 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.

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|        |                                                                                                                                  
|------- | ---------------------------------------------------------------------------------------------------------------------------------
|Item 6. | Selected Financial Data as Restated AMERCO
    and Consolidated Subsidiaries and SAC 
     Holdings and Consolidated Subsidiaries

|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|------------------------------------------------------------------ |  | ---------------------------------------------- | ---------- | -------- |  | -------- | ---------- | -------- |  | -------- | ---------- | - |  |  | ---------- | - |  |  | ---------- | -
|                                                                   |  |                                               
|                                                                   |  | For the Years Ended March 31,                 
|                                                                   |  |                                               
|                                                                   |  |                                                |            | Restated |  | Restated |            | Restated |  | Restated
|                                                                   |  | 2003                                           |            | 2002(3)  |  | 2001(3)  |            | 2000(3)  |  | 1999(3) 
|                                                                   |  |                                                |            |          |  |          |            |          |  |         
|                                                                   |  |                                               
|                                                                   |  | (In thousands except share and per share data)
|Summary of Operations:                                             |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Rental revenue                                                     |  | $                                              | 1,560,005  |          |  |          | 1,512,250  |          |  |          | 1,436,832  |   |  |  | 1,334,923  |   |  |  | 1,204,380  |  
|Net sales                                                          |  |                                                | 222,889    |          |  |          | 222,816    |          |  |          | 212,243    |   |  |  | 201,355    |   |  |  | 220,994    |  
|Premiums                                                           |  |                                                | 307,925    |          |  |          | 411,170    |          |  |          | 328,108    |   |  |  | 262,057    |   |  |  | 226,847    |  
|Net investment and interest income                                 |  |                                                | 41,568     |          |  |          | 47,343     |          |  |          | 52,297     |   |  |  | 61,021     |   |  |  | 64,964     |  
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Total revenues                                                     |  |                                                | 2,132,387  |          |  |          | 2,193,579  |          |  |          | 2,029,480  |   |  |  | 1,859,356  |   |  |  | 1,717,185  |  
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Operating expenses                                                 |  |                                                | 1,134,460  |          |  |          | 1,146,305  |          |  |          | 1,076,307  |   |  |  | 951,196    |   |  |  | 892,355    |  
|Commission expenses                                                |  |                                                | 136,827    |          |  |          | 140,442    |          |  |          | 132,865    |   |  |  | 134,135    |   |  |  | 130,160    |  
|Cost of sales                                                      |  |                                                | 115,115    |          |  |          | 122,694    |          |  |          | 126,506    |   |  |  | 115,390    |   |  |  | 112,300    |  
|Benefits and losses                                                |  |                                                | 281,868    |          |  |          | 423,709    |          |  |          | 331,079    |   |  |  | 244,579    |   |  |  | 208,281    |  
|Amortization of deferred policy acquisition costs                  |  |                                                | 37,819     |          |  |          | 40,674     |          |  |          | 36,232     |   |  |  | 34,987     |   |  |  | 31,721     |  
|Lease expense                                                      |  |                                                | 179,642    |          |  |          | 174,664    |          |  |          | 175,460    |   |  |  | 130,951    |   |  |  | 118,742    |  
|Depreciation, net(1)                                               |  |                                                | 137,446    |          |  |          | 102,957    |          |  |          | 103,807    |   |  |  | 96,090     |   |  |  | 77,429     |  
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Total costs and expenses                                           |  |                                                | 2,023,177  |          |  |          | 2,151,445  |          |  |          | 1,982,256  |   |  |  | 1,707,328  |   |  |  | 1,570,988  |  
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Earnings from operations                                           |  |                                                | 109,210    |          |  |          | 42,134     |          |  |          | 47,224     |   |  |  | 152,028    |   |  |  | 146,198    |  
|Interest expense                                                   |  |                                                | 148,131    |          |  |          | 109,465    |          |  |          | 111,878    |   |  |  | 97,187     |   |  |  | 85,611     |  
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Pretax earnings (loss)                                             |  |                                                | (38,921    | )        |  |          | (67,331    | )        |  |          | (64,654    | ) |  |  | 54,841     |   |  |  | 60,587     |  
|Income tax benefit (expense)                                       |  |                                                | 13,935     |          |  |          | 19,891     |          |  |          | 22,544     |   |  |  | (19,362    | ) |  |  | (22,745    | )
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Net earnings (loss)                                                |  | $                                              | (24,986    | )        |  |          | (47,440    | )        |  |          | (42,110    | ) |  |  | 35,479     |   |  |  | 37,842     |  
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Less: preferred stock dividends                                    |  |                                                | 12,963     |          |  |          | 12,963     |          |  |          | 12,963     |   |  |  | 13,641     |   |  |  | 17,414     |  
|Earnings (loss) available to common
    shareholders               |  | $                                              | (37,949    | )        |  |          | (60,403    | )        |  |          | (55,073    | ) |  |  | 21,838     |   |  |  | 20,428     |  
|                                                                   |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Net earnings (loss) per common share (diluted)(2)                  |  | $                                              | (1.83      | )        |  |          | (2.87      | )        |  |          | (2.56      | ) |  |  | .99        |   |  |  | .93        |  
|Weighted average common shares outstanding basic
    and (diluted) |  |                                                | 20,743,072 |          |  |          | 21,022,712 |          |  |          | 21,486,370 |   |  |  | 21,934,930 |   |  |  | 21,937,686 |  
|Cash dividends declared and accrued Preferred
    stock            |  | $                                              | 12,963     |          |  |          | 12,963     |          |  |          | 12,963     |   |  |  | 13,641     |   |  |  | 17,414     |  
|Balance Sheet Data:                                                |  |                                                |            |          |  |          |            |          |  |          |            |   |  |  |            |   |  |  |            |  
|Property, plant and equipment, net                                 |  | $                                              | 1,946,317  |          |  |          | 1,936,076  |          |  |          | 1,882,010  |   |  |  | 1,704,483  |   |  |  | 1,532,239  |  
|Total assets                                                       |  |                                                | 3,805,666  |          |  |          | 3,732,317  |          |  |          | 3,599,658  |   |  |  | 3,280,884  |   |  |  | 3,127,739  |  
|AMERCOs notes and loans payable                                   |  |                                                | 954,856    |          |  |          | 1,045,801  |          |  |          | 1,156,849  |   |  |  | 1,137,840  |   |  |  | 1,114,748  |  
|SAC Holdings notes and loans payable                              |  |                                                | 589,019    |          |  |          | 561,887    |          |  |          | 376,146    |   |  |  | 230,776    |   |  |  | 115,609    |  
|Stockholders equity                                               |  |                                                | 327,448    |          |  |          | 381,524    |          |  |          | 446,354    |   |  |  | 504,749    |   |  |  | 543,739    |  



---



|    |                                                                                                                                                                                                                                                 
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Reflects the change in salvage value and
    estimated useful lives during the fiscal year ended
    March 31, 2002. The net effect of these changes was to
    reduce net loss for the fiscal year 2002 by $3.1 million or
    $0.15 per share.
|   
|(2) | Earnings and net earnings per common share were
    computed after giving effect to the dividends on the
    Companys Series B floating rate stock for all years
    presented.                                                                
|   
|(3) | Gives effect to the restatements identified in
    Notes 1 and 2 of Notes to Consolidated Financial Statements
    in Item 8.                                                                                                                   

16



---



##### Table of Contents



|        |                                                                      
|------- | ---------------------------------------------------------------------
|Item 6. | Selected Financial Data, U-Haul
    International, Inc.  (Continued)

|                                   |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|---------------------------------- |  | ----------------------------- | --------- | ---- |  | ---- | --------- | ---- |  | ---- | --------- | - |  |  | --------- | - |  |  | --------- | -
|                                   |  |                              
|                                   |  | For the Years Ended March 31,
|                                   |  |                              
|                                   |  | 2003                          |           | 2002 |  | 2001 |           | 2000 |  | 1999
|                                   |  |                               |           |      |  |      |           |      |  |     
|                                   |  |                              
|                                   |  | (In thousands)               
|Summary of Operations:             |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Rental revenue                     |  | $                             | 1,433,442 |      |  |      | 1,425,685 |      |  |      | 1,364,504 |   |  |  | 1,304,709 |   |  |  | 1,216,814 |  
|Net sales                          |  |                               | 174,065   |      |  |      | 198,312   |      |  |      | 194,270   |   |  |  | 191,083   |   |  |  | 183,910   |  
|Net investment and interest income |  |                               | 29,358    |      |  |      | 22,686    |      |  |      | 24,346    |   |  |  | 19,474    |   |  |  | 12,916    |  
|                                   |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Total revenues                     |  |                               | 1,636,865 |      |  |      | 1,646,683 |      |  |      | 1,583,120 |   |  |  | 1,515,266 |   |  |  | 1,413,640 |  
|Operating expenses                 |  |                               | 992,214   |      |  |      | 1,041,354 |      |  |      | 1,021,576 |   |  |  | 961,795   |   |  |  | 918,508   |  
|Commission expenses                |  |                               | 164,508   |      |  |      | 153,465   |      |  |      | 143,588   |   |  |  | 143,916   |   |  |  | 137,044   |  
|Cost of sales                      |  |                               | 93,735    |      |  |      | 110,449   |      |  |      | 116,601   |   |  |  | 112,874   |   |  |  | 107,690   |  
|Benefits and losses(1)             |  |                               | 37,560    |      |  |      | 47,036    |      |  |      | 40,521    |   |  |  |          |   |  |  |          |  
|Lease expense                      |  |                               | 165,020   |      |  |      | 171,656   |      |  |      | 167,290   |   |  |  | 132,395   |   |  |  | 118,428   |  
|Depreciation, net(2)               |  |                               | 112,815   |      |  |      | 92,351    |      |  |      | 87,539    |   |  |  | 78,740    |   |  |  | 61,002    |  
|                                   |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Total costs and expenses           |  |                               | 1,565,852 |      |  |      | 1,616,311 |      |  |      | 1,577,115 |   |  |  | 1,429,720 |   |  |  | 1,342,672 |  
|                                   |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Earnings from operations           |  |                               | 71,013    |      |  |      | 30,372    |      |  |      | 6,005     |   |  |  | 85,546    |   |  |  | 70,968    |  
|Interest expense                   |  |                               | 9,991     |      |  |      | 11,675    |      |  |      | 17,094    |   |  |  | 496       |   |  |  | 437       |  
|                                   |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Pretax earnings (loss)             |  |                               | 61,022    |      |  |      | 18,697    |      |  |      | (11,089   | ) |  |  | 85,050    |   |  |  | 70,531    |  
|Income tax benefit (expense)       |  |                               | (21,211   | )    |  |      | (6,117    | )    |  |      | 4,921     |   |  |  | (31,704   | ) |  |  | (27,167   | )
|                                   |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Net earnings (loss)                |  | $                             | 39,811    |      |  |      | 12,580    |      |  |      | (6,168    | ) |  |  | 53,346    |   |  |  | 43,364    |  
|                                   |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Balance Sheet Data:                |  |                               |           |      |  |      |           |      |  |      |           |   |  |  |           |   |  |  |           |  
|Property, plant and equipment, net |  | $                             | 736,499   |      |  |      | 750,779   |      |  |      | 731,074   |   |  |  | 757,029   |   |  |  | 684,165   |  
|Total assets                       |  |                               | 1,208,791 |      |  |      | 1,099,195 |      |  |      | 935,254   |   |  |  | 970,968   |   |  |  | 892,838   |  
|Notes and loans payable            |  |                               | 31,693    |      |  |      | 14,793    |      |  |      |          |   |  |  |          |   |  |  |          |  
|Stockholders equity               |  |                               | 499,380   |      |  |      | 458,639   |      |  |      | 449,586   |   |  |  | 455,714   |   |  |  | 402,368   |  



---



|    |                                                                                                                                                                                                                                
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Reflects non cash adjustments primarily related
    to insurance                                                                                                                                                               
|   
|(2) | Reflects the change in salvage value and
    estimated useful lives during the fiscal year ended
    March 31, 2002. The net effect of these changes was to
    increase net earnings for the fiscal year 2002 by $3.1 million.






|        |                                                                                          
|------- | -----------------------------------------------------------------------------------------
|Item 7. | Managements Discussion and Analysis
    of Financial Condition and Results of Operations

The following discussion should be read in
conjunction with the Companys consolidated financial
statements and the related notes. The accompanying consolidated
financial statements have been prepared on a going concern
basis, which contemplates the continuity of operations,
realization of assets and the satisfaction of liabilities in the
normal course of business. However, as a result of AMERCOs
Chapter 11 filing, such realization of assets and
satisfaction of liabilities, without substantial adjustments,
are subject to uncertainty. Further, a plan of reorganization
could materially change the amounts and classifications in the
financial statements. In addition, as discussed in Note 1
to the consolidated financial statements, AMERCO is in default
under the terms of most of its financing arrangements. The
consolidated financial statements do not include any adjustments
that might be required if AMERCO is unable to continue as a
going concern.

Cautionary Statements Regarding
Forward-looking Statements

This report contains forward-looking statements
as that term is defined in Section 27A of the Securities
Act and Section 21E of the Securities Exchange Act. All
statements, other than statements of historical fact,

17



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##### Table of Contents



included in this report are forward-looking
statements, including, but not limited to projections of
revenues, income or loss, estimates of capital expenditures,
plans and intentions regarding the recapitalization of the
balance sheet and the payment of dividends arrearages, plans for
future operations, products or services and financing needs or
plans, or perceptions of AMERCOs legal positions and
anticipated outcomes of pending litigation against us,
liquidity, expected outcomes of the Chapter 11 proceeding
as well as assumptions relating to the foregoing. The words
believe, expect, anticipate,
estimate, project, may,
will, intends, plans 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 develop, prosecute,
confirm and consummate a plan of reorganization with respect to
the Chapter 11 case; risks associated with third parties
seeking and obtaining court approval to terminate or shorten the
exclusivity period for the Company to propose and confirm a plan
of reorganization, for the appointment of a Chapter 11
trustee or to convert the case to a Chapter 7 case; 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
and cure existing defaults of our debt agreements; 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 and Exchange Commission. The above factors,
the following disclosures, as well as other statements in this
report and in the Notes to AMERCOs 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 fiscal year, industry segments and
the Company and SAC Holdings is incorporated by reference to
Item 8. Financial Statements and Supplementary
Data  Notes 1, 21, and 22 of Notes to
Consolidated Financial Statements. The notes discuss the
principles of consolidation, summarized consolidated financial
information and industry segment and geographic area data. In
consolidation, all intersegment premiums are eliminated.

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. The preparation of these 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 reevaluated, including those
related to areas that require a significant level of judgment or
are otherwise subject to an 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. The estimates are based
on historical experience, observance of trends in particular
areas, information and valuations available from outside sources

18



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##### Table of Contents



and on various other assumptions that are
believed 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. The accounting policies that we
deem most critical to us, and involve the most difficult,
subjective or complex judgments include the following:

Principles of consolidation  The
consolidated financial statements include the accounts of AMERCO
and its wholly owned subsidiaries and SAC Holdings and its
wholly owned subsidiaries. All material intercompany accounts
and transactions have been eliminated in consolidation. SAC
Holdings has been classified as a special purpose entity that
meets the criteria for consolidation and therefore the accounts
of SAC Holdings are included in the consolidated financial
statements. AMERCO has concluded that SAC Holdings
qualifies as a Variable Interest Entity, as defined by
FIN 46, and will continue to be included in the
consolidation. AMERCO does not have an equity ownership interest
in SAC Holdings or any of SAC Holdings subsidiaries,
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. SAC Holdings
has concluded that a conglomerate of entities, known as Private
Mini Storage Realty L.P. (Private Mini), qualifies
as a Variable Interest Entity and will be included in the
consolidation beginning July 1, 2003. As of March 31,
2003 and for the period then ended, Private Mini is accounted
for on the equity method of accounting.

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, historical disposal experience and holding
periods, and trends in the market for vehicles are reviewed. 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  The carrying value is reviewed 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 and
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 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

19



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##### Table of Contents



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 annually 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.

Disclosures about Contractual Obligations and
Commercial Commitments

|                                                       |  |                |           |                                               |  |          |           |          |  |                |         |   |  |  |        |  |  |  |          |  
|------------------------------------------------------ |  | -------------- | --------- | --------------------------------------------- |  | -------- | --------- | -------- |  | -------------- | ------- | - |  |  | ------ |  |  |  | -------- | -
|                                                       |  |                |           |                                              
|                                                       |  |                |           | Payments due by Period (as of March 31, 2003)
|                                                       |  |                |           |                                              
|                                                       |  |                |           | Prior to                                      |  | 04/01/04 |           | 04/01/06 |  | April 1, 2008 
|Financial Obligations                                  |  | Total          |           | 03/31/04                                      |  | 03/31/06 |           | 03/31/08 |  | and Thereafter
|                                                       |  |                |           |                                               |  |          |           |          |  |               
|                                                       |  |               
|                                                       |  | (In thousands)
|AMERCOs notes and loans                               |  | $              | 954,856   |                                               |  |          | 954,856   |          |  |                |        |   |  |  |       |  |  |  |         |  
|AMERCOs operating leases                              |  |                | 552,165   |                                               |  |          | 552,165   |          |  |                |        |   |  |  |       |  |  |  |         |  
|SAC Holdings notes and loans                          |  |                | 983,190   |                                               |  |          | 79,971    |          |  |                | 120,067 |   |  |  | 19,241 |  |  |  | 763,911  |  
|Elimination of SAC Holdings obligations to
    AMERCO |  |                | (394,171  | )                                             |  |          |          |          |  |                | (23,618 | ) |  |  |       |  |  |  | (370,553 | )
|                                                       |  |                |           |                                               |  |          |           |          |  |                |         |   |  |  |        |  |  |  |          |  
|Total Contractual Obligations                          |  | $              | 2,096,040 |                                               |  |          | 1,586,992 |          |  |                | 96,449  |   |  |  | 19,241 |  |  |  | 393,358  |  
|                                                       |  |                |           |                                               |  |          |           |          |  |                |         |   |  |  |        |  |  |  |          |  

On October 15, 2002 AMERCO defaulted on its
BBATs and related obligations. This default triggered
cross-default provisions in AMERCOs other debt agreements.
As a result, approximately $1,178.1 million of the
Companys contractual obligations and commercial
commitments listed below became immediately due and payable. As
of March 31, 2003, SAC Holdings has interest bearing debt
to outside parties of $589.0 million, is not in default of
any related covenants and is current on all of its payments.

|                                  |  |               |         | 
|--------------------------------- |  | ------------- | ------- | 
|                                  |  | (In millions)
|Bank of Montreal synthetic lease  |  | $             | 149.0   | 
|Citibank synthetic lease          |  |               | 101.7   | 
|3 yr Credit Agreement             |  |               | 205.0   | 
|Royal Bank of Canada lease        |  |               | 5.7     | 
|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     | 
|                                  |  |               |         | 
|                                  |  | $             | 1,178.1 | 
|                                  |  |               |         | 

In February 1997, AMERCO, through its insurance
subsidiaries, invested in the equity of Private Mini, a Texas
based self-storage operator. 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

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##### Table of Contents



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 into 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 March 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 referred to in the previous
paragraph 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 capital agreement for the $255 million financing,
following certain events of default, AMERCO could be required to
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.

AMERCO uses certain equipment and occupies
certain facilities under operating lease commitments with terms
expiring through 2079. In the event of a shortfall in proceeds
from the sale of the underlying assets, AMERCO has guaranteed
approximately $192.0 million of residual values at
March 31, 2003, for these assets at the end of the
respective lease terms.

Results of Operations



| |                                         
| | ----------------------------------------
| | U-HAUL Moving and Storage
    Operations

Rental revenue was $1,433.4 million,
$1,425.7 million and $1,364.5 million in fiscal years
2003, 2002 and 2001, respectively. Rental revenues increased
from 2003 compared to fiscal 2002, due to price and productivity
gains. The increase from fiscal year 2001 to fiscal year 2002 is
due to an increase in one-way transactions with an improved
average dollar per transaction on one-way rentals as well as
growth in transactions in trailer rentals and support rental
items. Storage revenue decreased all of the years due to the
sale of properties to SAC Holdings.

Net sales revenues were $174.1 million,
$198.3 million and $194.3 million in fiscal years
2003, 2002 and 2001, respectively. Revenue declines in the sale
of hitches, moving support items (i.e. boxes, etc.) and propane
for 2003 from 2002 was largely due to the sale of centers to SAC.

Interest income, before consolidating entries,
was $29.4 million, $22.7 million and
$24.3 million in fiscal years 2003, 2002 and 2001,
respectively. The increase during fiscal year 2003 can be
attributed to an increase in the average investment balance of
SAC notes. The decrease in fiscal year 2002 is mainly related to
a decrease in average investment balance in SAC notes.

Operating expenses, before intercompany
eliminations, were $992.2 million, $1,041.4 million
and $1,021.6 million in fiscal years 2003, 2002 and 2001,
respectively. The decrease in operating expenses for fiscal year
2003 was due to the incorporation of cost reduction programs and
the sale of centers to SAC. The increase in fiscal year 2002 is
due to increased personnel costs and higher repair expense.
Also, the addition of storage rooms will initially cause an
increase in operating expenses without corresponding increases
in earnings until the properties reach a stabilized level of
occupancy.

Commission expense was $164.5 million,
$153.5 million and $143.6 million for fiscal years
2003, 2002 and 2001 respectively. The increase in commissions
paid was due to the overall increase in rental revenues
generated by independent dealers (including SAC).

21



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Cost of sales was $93.7 million,
$110.4 million and $116.6 million in fiscal years
2003, 2002 and 2001, respectively. The decrease in fiscal year
2003 was due to lower sales volume, better sourcing and the
sales of certain locations to SAC during the last quarter of
fiscal year 2002. The decrease in fiscal year 2002 is due to
lower sales volume and lower costs of propane and other
materials.

Benefits and losses were $37.6 million,
$47.0 million and $40.5 million for fiscal years 2003,
2002 and 2001 respectively. This expense represents an
adjustment in the reserve for insurance claims on U-Hauls
financial statements. This was partially due to U-Hauls
Self-Insurance Retention Level increasing to 95% for
2001 and 2002 and 100% in 2003. The Self-Insurance Retention is
currently $2.0 million per event. This is a non-cash
expense until claims are paid.

Lease expense before intercompany elimination was
$165.0 million, $171.7 million and $167.3 million in
fiscal years 2003, 2002 and 2001, respectively. The decrease in
lease expense for fiscal year 2003 was due to a decline in
rental trucks under lease. The increase in fiscal year 2002 is
due to an increase in the value of properties leased that was
partially offset by a decrease in rental equipment lease expense.

Depreciation expense, net was
$112.8 million, $92.4 million and $87.5 million in
fiscal years 2003, 2002 and 2001, respectively. The increase in
depreciation expense, net, for fiscal year 2003 was caused by an
increase in the number of trucks owned. The increase in fiscal
years 2002 reflects an overall increase in depreciation expense
on the rental truck fleet offset in fiscal year 2002 by gains on
the sale of surplus assets. A change in estimated salvage value
and increase in our estimate of the useful lives of certain of
our trucks further reduced depreciation expense for fiscal year
2002. An internal analysis of sales of trucks was completed for
the fiscal years ending March 31, 1996 through
March 31, 2001. The study compared the truck model, size,
age and average residual value of units sold for each fiscal
year indicated. The analysis revealed that average residual
values (as computed) when compared to sales prices were not
reflective of the values that the Company was receiving upon
disposition. Based on the analysis, the estimated residual
values were decreased to approximately 25% of historic cost. In
addition, this analysis revealed that our estimates of useful
lives were not reflective of the economic lives of our trucks,
which ultimately were being utilized by the Company for longer
periods of time. Thus the useful lives of certain of our trucks
were increased by approximately 3 years. The net effect of
these changes was to decrease net losses for the fiscal year
2002 by $3.1 million or $0.15 per share.

Earnings from operations, before intercompany
eliminations, were $71.0 million, $30.4 million and
$6.0 million in fiscal years 2003, 2002 and 2001,
respectively. The increase in earnings from operations in fiscal
year 2003 was due to a reduction in all expense categories
except depreciation. Tighter cost controls and the reduction in
expenses due to the sale to SAC were the largest contributors.
The increase in fiscal year 2002 is due to the increase in
rental revenues offset by increases in operating expenses.

Interest expense before intercompany eliminations
was $10.0 million, $11.7 million and
$17.1 million in fiscal years 2003, 2002 and 2001,
respectively. The decrease in fiscal years 2003 and 2002 can be
attributed to lower average debt balance and interest rate
reductions.

Pretax earnings (loss) before intercompany
eliminations were $61.0 million, $18.7 million and
$(11.1) million for the fiscal years 2003, 2002, and 2001,
respectively.



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

Rental revenue was $168.0 million,
$112.7 million and $92.5 million in fiscal years 2003,
2002 and 2001, respectively. Increased facility capacity through
the acquisition of new locations and increased storage rates
accounted for the increase. The occupancy of existing storage
locations has remained stable.

Net sales revenues were $48.8 million,
$24.4 million and $17.9 million in fiscal years 2003,
2002 and 2001, respectively. Revenue growth was due to the
addition of new locations.

Operating expenses, before intercompany
eliminations, were $105.3 million, $68.2 million and
$49.2 million in fiscal years 2003, 2002 and 2001,
respectively. Personnel expenses, liability insurance, property
taxes and utility expenses all increased proportionately in
relation to the increased revenues from the acquisition of new
locations.

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Cost of sales was $21.4 million,
$12.2 million and $9.9 million in fiscal years 2003,
2002 and 2001, respectively. Higher sales volume related to
moving support items contributed to the increases in both fiscal
years 2003 and 2002 along with the addition of new locations.

Depreciation expense, net was $21.4 million,
$15.1 million and $12.4 million in fiscal years 2003,
2002 and 2001, respectively. The increase is attributed to the
acquisition of new locations.

Earnings from operations were $68.8 million,
$41.7 million and $38.9 million in fiscal years 2003,
2002 and 2001, respectively. The increase is due to the addition
of locations.

Interest expense before intercompany elimination
was $81.2 million, $61.1 million and
$53.5 million in fiscal years 2003, 2002 and 2001,
respectively. The average debt level outstanding continued to
increase due to the acquisition of storage properties in fiscal
year 2002 compared to fiscal year 2001.

Pretax losses before intercompany eliminations
were $12.4 million, $19.4 million, and
$14.6 million for the fiscal years 2003, 2002, and 2001,
respectively.



| |                       
| | ----------------------
| | Real Estate Operations

Rental revenue, before intercompany eliminations,
were $59.2 million, $68.2 million and
$72.0 million in fiscal years 2003, 2002 and 2001,
respectively. Intercompany rental revenue was
$56.2 million. $64.3 million and $71.1 million in
fiscal years 2003, 2002 and 2001, respectively. The decrease in
fiscal years 2003 and 2002 is related to the sale of properties
to SAC Holdings.

Net investment and interest income was
$10.7 million, $8.3 million and $11.0 million in
fiscal years 2003, 2002 and 2001, respectively. The increase in
fiscal 2003 is related to increased investments in mortgage
notes. The decline in 2002 was due to a reduction in mortgage
notes.

Operating (income) expenses, before intercompany
eliminations, were $(5.5) million, $(4.4) million and
$0.5 million in fiscal years 2003, 2002 and 2001,
respectively.

Lease expense before intercompany eliminations,
for real estate operations was $14.2 million,
$11.2 million and $11.6 million for the fiscal years
2003, 2002 and 2001, respectively. The increase in fiscal year
2003 was due to more properties under lease and the default
lease rates on three multi-property leases. The lease expense in
fiscal year 2002 was virtually unchanged over the fiscal year
2001.

Depreciation expense, net, was $5.2 million,
$(2.0) million and $5.3 million in fiscal years 2003,
2002 and 2001, respectively. The increase in depreciation
expense in 2003 was due to no gains from the disposition of
surplus real estate. The decrease in fiscal years 2002 reflects
an increase in gains from the disposition of property, plant and
equipment.

Earnings from operations, before intercompany
eliminations, were $56.0 million, $71.9 million and
$65.7 million in fiscal years 2003, 2002 and 2001,
respectively. The decline in earnings from operations in fiscal
year 2003 was due to a reduction in rental revenues and an
increase in lease expense. The increase in fiscal year 2002 is
mainly related to lower operating costs and expenses, and gains
recorded on sales of surplus properties.

Interest expense was $23.7 million,
$34.3 million and $44.3 million for fiscal years 2003,
2002 and 2001, respectively. Declining intercompany loan
balances and declining rates led to the overall decline in
interest expense for fiscal years 2003 and 2002.

Pretax earnings before intercompany eliminations
were $32.4 million, $37.6 million and
$21.5 million for the fiscal years ended March 31,
2003, 2002, and 2001, respectively.



| |                      
| | ---------------------
| | Property and Casualty

Premium revenues, before intercompany
eliminations, were $152.6 million, $262.0 million and
$226.1 million for the years ended December 31, 2002,
2001 and 2000, respectively. General agency premiums were
$66.0 million, $107.4 million and $64.3 million
for the years ended December 31, 2002, 2001 and 2000,

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##### Table of Contents



respectively. The decrease in 2002 from 2001 is
due to the run-off of RepWests Non-Standard Auto business
which was cancelled in 2001, as well as increased quota share
reinsurance on the trucking program. The increase in 2001 from
2000 was due to trucking, commercial lines business, and the
non-standard auto program, which was cancelled in 2001. Assumed
treaty reinsurance premiums were $34.9 million,
$73.0 million and $83.2 million for the years ended
December 31, 2002, 2001 and 2000, respectively. The
decrease in 2002 from 2001 is due to the non-renewal and
cancellation of the assumed treaty business. Rental industry
revenues were $32.6 million, $47.5 million and
$51.3 million for the years ended December 31, 2002,
2001 and 2000, respectively. The decrease in 2002 from 2001 was
due to a change in policy structure on U-Haul business effective
April 1, 2002. Under the new policy U-Haul is now
responsible for losses from $0  $2,000,000 per
occurrence. The increase from 2000 was the result of an increase
in premiums of a retrospectively rated policy on the U-Haul
industry liability policy.


Net investment income was $22.3 million,
$20.7 million and $25.5 million for the years ended
December 31, 2002, 2001 and 2000, respectively. The
increase in 2002 from 2001 is due to increased earnings on real
estate offset by a decrease in income on fixed maturities due to
lower average invested assets. The decrease in 2001 from 2000 is
due to lower invested asset balances, lower interest rates, as
well as the write down of $4.1 million of fixed maturity
investments during 2001.

Operating expenses, before intercompany
eliminations, were $37.0 million, $77.2 million and
$56.5 million for the years ended December 31, 2002,
2001 and 2000, respectively. The decrease in 2002 from 2001 is
due to decreased commission expense on decreased premium
writings. The increase in 2001 from 2000 is due to a change in
estimate on an aggregate stop loss treaty in which RepWest had
originally recorded the treaty as if it would be commuted.
Estimates in 2001 have changed and the treaty was not commuted.
The original amount was a reduction to commissions of
$17.7 million of which RepWest had to recognize as
additional commission expense in 2001. Commission expenses were
$13.9 million, $51.2 million and $33.1 million
for the years ended December 2002, 2001 and 2000, respectively.
Lease expenses were $1.1 million, $1.7 million and
$2.1 million for the years ended December 2002, 2001 and
2000, respectively. All other underwriting expenses were
$22.0 million, $24.3 million and $21.3 million
for the years ended December 2002, 2001 and 2000, respectively.

Benefits and losses incurred were
$128.7 million, $255.8 million and $211.3 million
for the years ended December 31, 2002, 2001 and 2000,
respectively. The decrease in 2002 from 2001 is due to decreased
earned premiums in all segments of RepWests business. The
increase in 2001 to 2000 was due to increased earned premium in
three general agency programs and reserve strengthening in the
assumed reinsurance treaty segment.

Amortization of deferred acquisition costs was
$17.3 million, $22.1 million and $16.6 million
for the years ended December 31, 2002, 2001 and 2000,
respectively. The decrease in 2002 from 2001 is due to
RepWests decreased premium writings. The increase in 2001
from 2000 is due to the amortization of higher commissions
deferred in the 2000 year.

Pretax losses from operations were
$8.0 million, $72.4 million and $32.9 million for
the years ended December 31, 2002, 2001 and 2000,
respectively. The decrease in losses in 2002 from 2001 is due to
RepWest exiting multiple unprofitable lines of business as well
as reduced expenses. The increase in losses in 2001 from 2000
was due to the increase in earned premium from unprofitable
lines, increased commissions due to the commutation write-off,
reserve strengthening, and development in older years on the
assumed treaty reinsurance business.



| |               
| | --------------
| | Life Insurance

Premium revenues, before intercompany
eliminations, were $161.4 million, $159.4 million and
$112.6 million for the years ended December 31, 2002,
2001 and 2000, respectively. Oxford increased Medicare
supplement premiums through direct writings and the acquisition
of Christian Fidelity Life Insurance Company
(CFLIC); these actions increased premiums by
$6.3 million from 2001 and $54.5 million from 2000.
Premiums from Oxfords life insurance lines increased
$2.5 million from 2001 and $3.7 million from 2000.
Credit life and disability premiums decreased $2.9 million
from 2001 and $6.6 million

24



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##### Table of Contents



from 2000 due to account cancellations in
specific states and decreased penetration. Annuitizations
decreased by $0.7 million from 2001 and $2.6 million
from 2000. Other health insurance premiums decreased
$3.2 million from 2001 and decreased $0.2 million from
2000 due to termination of major medical programs.


Net investment income before intercompany
eliminations was $13.9 million, $23.2 million, and
$19.0 million for the years ended December 31, 2002,
2001, and 2000. The change in 2002 from 2001 is due to lower
interest rates, larger short-term balances and write-downs for
other than temporary declines in the investment portfolio. The
increase between 2001 and 2000 is primarily due to write-downs
for other than temporary declines in the investment portfolio in
2000.

Operating expenses were $40.5 million,
$37.5 million and $29.4 million for the years ended
December 31, 2002, 2001 and 2000, respectively. Commissions
have increased $1.0 million from 2001 and $4.9 million
from 2000, primarily due to the increases in Medicare supplement
premiums. General and administrative expenses net of fees
collected increased $2.1 million from 2001 and
$6.3 million from 2000. The acquisition of CFLIC resulted
in $3.3 million of the increase from 2000.

Benefits incurred were $115.6 million,
$120.9 million and $79.2 million for the years ended
December 31, 2002, 2001 and 2000. Medicare supplement
benefits decreased $1.8 million from 2001 primarily due to
decreased exposure and improved experience, and increased
$36.8 million from 2000 due to the acquisition of CFLIC.
Credit insurance benefits decreased $1.7 million from 2001
and $1.2 million from 2000 due to decreased exposure.
Benefits from other health lines decreased $4.1 million
from 2001 and $.5 million from 2000 due to the termination
of major medical programs. Annuity and life benefits increased
$2.3 million from 2001 and $1.3 million from 2000 due
to increases in life insurance exposure.

Amortization of deferred acquisition costs (DAC)
and the value of business acquired (VOBA) was
$20.5 million, $18.6 million and $19.6 million
for 2002, 2001 and 2000. These costs are amortized for life and
health policies as the premium is earned over the term of the
policy; and for deferred annuities, amortized in relation to
interest spreads. Amortization increased $1.9 million and
$0.9 million from 2001 and 2000 due to the annuity and
credit segments.

Pretax earnings (losses) before intercompany
eliminations were $(1.4) million, $5.6 million and
$3.4 million for the years ended December 31, 2002,
2001 and 2000, respectively. The decrease from 2001 is primarily
due to other than temporary declines in the investment portfolio
and poor experience in the credit insurance lines. The increase
from 2000 is due to realized gains in the investment portfolio.

Consolidated Group Earnings

As a result of the foregoing, pretax losses were
$38.9 million, $67.3 million and $64.7 million in
fiscal years 2003, 2002 and 2001, respectively. After providing
for income taxes, losses were $25.0 million,
$47.4 million and $42.1 million in fiscal years 2003,
2002 and 2001 respectively. On a combined basis SAC Holdings and
RepWest accounted for $14.1 million, $62.7 million and
$32.4 million of the total losses for fiscal years 2003,
2002 and 2001 respectively.

Going Concern

The accompanying consolidated financial
statements have been prepared assuming the Company will continue
as a going concern, which contemplates the continuity of the
Companys operations and realization of its assets and
payments of its liabilities in the ordinary course of business.
As more fully described in Note 1 to the consolidated
financial statements, on June 20, 2003, AMERCO, the parent
corporation, filed a voluntary petition for reorganization under
Chapter 11 of the United States Bankruptcy Code. Amerco
Real Estate Company filed a voluntary petition for relief under
Chapter 11 on August 13, 2003. The uncertainties
inherent in the bankruptcy process raise substantial doubt about
AMERCOs ability to continue as a going concern. AMERCO is
currently operating its business as a debtor-in-possession under
the jurisdiction of the bankruptcy court, and continuation of
the Company as a going concern is contingent upon, among other
things, the confirmation of a plan of reorganization, the
Companys ability to comply with all debt covenants

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under the existing debtor-in-possession financing
arrangement, and obtaining financing sources to meet its future
obligations. If a reorganization plan is not approved, it is
possible some assets of the Company may be liquidated.
Managements plans in regards to these matters are also
described in Note 1. 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 the outcome
of these uncertainties.


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 will involve, 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 to be filed by AMERCO. Although AMERCO expects to
file and 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, if any, will be ascribed in the bankruptcy proceedings
to each of these constituencies.

The Companys total of cash, cash
equivalents and short-term investments was $66.8 million at
March 31, 2003, compared to $41.4 million at
March 31, 2002.

To meet the needs of its customers, U-Haul must
maintain a large inventory of fixed asset rental items. In
fiscal year 2003, capital expenditures were $182.4 million,
as compared to $248.7 million and $411.9 million in
fiscal years 2002 and 2001, respectively. These expenditures
primarily reflect the renewal of the rental truck fleet. The
capital required to fund these expenditures was obtained through
internally generated funds from operations and lease financings.

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. This level of capital expenditures, combined with a
potential level of debt amortization of approximately
$100 million, are expected to create average annual funding
needs of approximately $250 million. Management estimates
that U-Haul will fund these requirements entirely with
internally generated funds and proceeds from the sale of trucks
and surplus assets. The level of capital expenditures will be
dependent upon the amount of internally generated funds and
proceeds from the sale of assets.



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

Reference is made to Note 1 (Going Concern
Basis) to the Consolidated Financial Statements regarding the
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; and (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 on an interim basis
by the Bankruptcy Court on August 14, 2003.

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 will be tested quarterly. Other
customary covenants (both positive and negative) are included in
the DIP Facility.

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##### Table of Contents



Credit
Agreements

Reference is made to Note 1 (Going Concern
Basis) to the Consolidated Financial Statements regarding
defaults of our credit and financing arrangements.

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 sale and leaseback transactions. As of
March 31, 2003, AMERCO had $954.9 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. When AMERCO experienced the
credit downgrade, certain interest rates that were being charged
were increased.

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 the amount of $205 million. 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 $1,178.1 million.

Support
Agreements

In February 1997, AMERCO, through its insurance
subsidiaries, invested in the equity of 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 into 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 March 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

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under this financing. AMERCO has recorded a
liability for the $70 million obligation with a
corresponding increase to its receivable from Private Mini.




| |             
| | ------------
| | 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.

Reference is made to Note 5 of Notes to
Consolidated Financial Statements.



| |                                         
| | ----------------------------------------
| | U-HAUL Moving and Storage
    Operations

At March 31, 2003, U-HAUL Moving and Storage
notes and loans payable due in less than one year total
$31.7 million and its accounts payable and accrued expenses
total $283.6 million. U-HAUL Moving and Storage financial
assets (cash, receivables, inventories, and short term
investments) at March 31, 2003 were $117.6 million.
These assets, if converted to cash, are available to meet the
financial obligations of AMERCO.



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

At March 31, 2003, SAC Holdings notes and
loans payable due in less than one year total $80.0 million
and its accounts payable and accrued expenses total
$48.0 million. SAC Holdings financial assets (cash,
receivables, inventories, and short term investments) at
March 31, 2003 were $8.7 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.



| |                       
| | ----------------------
| | Real Estate Operations

At March 31, 2003, Real Estate had
$100.0 million of notes and loans payable due in less than
one year and its accounts payable and accrued expenses total
$7.7 million. Real Estate financial assets (cash,
receivables, inventories, and short term investments) at
March 31, 2003 were $18.9 million. These assets, if
converted to cash, are available to meet the obligations of
AMERCO to the extent such cash exceeds current obligations of
Real Estate.



| |                      
| | ---------------------
| | Property and Casualty

At December 31, 2002, Property and Casualty
had no notes and loans due in less than one year and its
accounts payable and accrued expenses were $20.2 million.
Property and Casualty financial assets (cash, receivables,
inventories, and short term investments) at December 31,
2002 were $361.4 million. Because of state insurance regulations
that restrict the amount of dividends that can be paid to
stockholders of insurance companies, these assets are generally
not available to meet the obligations of AMERCO. Reference is
made to Managements Discussion and Analysis of
Financial Condition and Results of Operations 
Insurance Operations.



| |               
| | --------------
| | Life Insurance

At December 31, 2002, Life Insurance had no
notes and loans payable due in less than one year and its
accounts payable and accrued expenses total $10.7 million.
Life Insurance financial assets (cash, receivables, inventories,
and short term investments) at December 31, 2002 were
$870.2 million. Because of state insurance regulations that
restrict the amount of dividends that can be paid to
stockholders of insurance companies, these assets are generally
not available to meet the obligations of AMERCO. Reference is
made to Managements Discussion and Analysis of
Financial Condition and Results of Operations 
Insurance Operations.

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| |                   
| | ------------------
| | Consolidated group

At March 31, 2003, total outstanding notes
and mortgages payable for AMERCO and consolidated subsidiaries
was $954.9 million compared to $1,045.8 million at
March 31, 2002.

At March 31, 2003, total outstanding notes
and mortgages payable for SAC Holdings and consolidated
subsidiaries, before intercompany eliminations were
$983.2 million as compared to $961.5 million at
March 31, 2002, including amounts due to AMERCO of
$394.2 million and $399.6 million at March 31,
2003 and 2002. 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.

Due to the defaults and various cross defaults,
the consolidated group have notes, loans and lease obligations
due and payable of $1.2 billion. The group also had
accounts payable and accrued expenses of $411.9 million.
Liquid assets for the group totaled $511.2 million. AMERCO
is in the process of refinancing and restructuring its debt to
meet its liquidity needs.

Cash Provided by Operating
Activities



| |                                         
| | ----------------------------------------
| | U-HAUL Moving and Storage
    Operations

Cash provided by operating activities was
$83.5 million, $96.2 million and $106.9 million
in fiscal years 2003, 2002 and 2001, respectively. The decrease
in 2003 was due to a decline in intercompany payables that was
partially offset by an increase in depreciation of rental
equipment. The decrease in fiscal year 2002 from 2001 is due to
an increase in earnings and offset by an increase in other
investments.



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

Cash provided (used) by operating activities
was $13.5 million, ($1.3) million and
$15.1 million in fiscal years 2003, 2002 and 2001,
respectively.

At March 31, 2003, total outstanding notes
and mortgages payable before intercompany eliminations of
$394.2 million were $983.2 million compared to
$961.5 million at March 31, 2002.



| |                       
| | ----------------------
| | Real Estate Operations

Cash provided (used) by operating activities
was $(87.1) million, $(144.1) million and
$68.7 million in fiscal years 2003, 2002 and 2001,
respectively. The decrease in fiscal years 2003 and 2002 was due
to a decrease in the intercompany payable with AMERCO.



| |                      
| | ---------------------
| | Property And Casualty

Cash provided (used) by operating activities
was $(75.1) million, $(61.5) million and
$15.2 million for the years ended December 31, 2002,
2001 and 2000, respectively. The change in 2002 from 2001 is due
to increased receivables. The change in 2001 from 2000 change is
due to decreased unearned premiums, increased receivables, and
an increase in federal income tax recoverable.

RepWests cash and cash equivalents and
short-term investment portfolio were $35.1 million,
$18.3 million and $17.0 million at December 31,
2002, 2001 and 2000, respectively. This balance reflects funds
in transition from maturity proceeds to long-term investments.
This level of liquid assets, combined with anticipated operating
cash flow, is adequate to meet periodic needs. Capital and
operating budgets allow RepWest to schedule cash needs in
accordance with investment and underwriting proceeds.

During fiscal 2002, RepWest realized a write-down
of investments due to other than temporary declines
approximating $1.8 million.

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| |               
| | --------------
| | Life Insurance

Oxfords primary sources of cash are
premiums, receipts from interest-sensitive products and
investment income. The primary uses of cash are operating costs
and benefit payments to policyholders. Matching the investment
portfolio to the cash flow demands of the types of insurance
being written is an important consideration. Benefit and claim
statistics are continually monitored to provide projections of
future cash requirements.

Cash provided (used) by operating activities
was $(18.0) million, $(5.2) million and
$3.5 million for the years ended December 31, 2002,
2001 and 2000, respectively. The decrease in cash flows from
operating activities in 2001 and 2000 relates to federal income
taxes paid, general and administrative expenses and paid loss
experience. Cash flows provided by financing activities were
$67.3 million, $58.1 million and $13.7 million
for the years ended December 31, 2002, 2001 and 2000,
respectively. Cash flows from deferred annuity sales increase
investment contract deposits, which are a component of financing
activities. The increase in investment contract deposits over
2001 and 2000 is due to growth in new deposits offset by
withdrawals and terminations of existing deposits.

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
December 31, 2002, 2001 and 2000, short-term investments
amounted to $80.4 million, $53.5 million and
$44.9 million, respectively. Management believes that the
overall sources of liquidity will continue to meet foreseeable
cash needs.

During fiscal 2002, Oxford realized a write-down
of investments due to other than temporary declines
approximating $2.3 million. During fiscal 2003, Oxford
realized a write-down of investments due to other than temporary
declines of approximately $7.9 million.



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

Cash provided (used) by operating activities
were $74.5 million, ($19.6) million and
$172.6 million for fiscal year 2003, 2002 and 2001,
respectively.

Stockholders Equity



| |                                           
| | ------------------------------------------
| | U-Hauls Moving and Storage
    Operations

U-Hauls stockholders equity was
$499.4 million, $458.6 million and $449.6 million
as of March 31, 2003, 2002 and 2001, respectively. Earnings
or losses from operating activities was the cause for the change
in each of the years.



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

SAC Holdings stockholders deficit was
$45.1 million, $37.7 million and $23.5 million as
of March 31, 2003, 2002 and 2001, respectively



| |                                    
| | -----------------------------------
| | AMERCOS Real Estate
    Operations

Real Estate stockholders equity was
$215.0 million, $196.4 million and $88.4 million
as of March 31, 2003, 2002 and 2001, respectively. The
increase in fiscal year 2003 and 2002 is due to increased
earnings and the sale of storage properties during fiscal year
2002.



| |                      
| | ---------------------
| | Property and Casualty

RepWests stockholders equity was
$199.1 million, $205.3 million and $186.7 million
at December 31, 2002, 2001 and 2000, respectively. The
decrease in 2002 from 2001 is due to the operating losses in
2002. The increase in 2001 from 2000 was due to a
$60.2 million capital contribution from the RepWests
parent AMERCO, offset by operating losses in 2001. RepWest does
not use debt or equity issues to increase capital and therefore
has no exposure to capital market conditions. RepWest did not
pay dividends to its parent during 2002, 2001 or 2000.

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Applicable laws and regulations of the State of
Arizona require RepWest and Oxford to maintain minimum capital
and surplus determined in accordance with statutory accounting
practices. The amount of dividends that can be paid to
shareholders by insurance companies domiciled in the State of
Arizona is limited. Any dividend in excess of the limit requires
prior regulatory approval. At December 31, 2002, RepWest
has $6.5 million of statutory surplus available for
distribution. However, as discussed in Item 1, subsequent
to December 31, 2002, RepWest consented to an Order of
Supervision which, among other things, prohibits any dividend
payments to AMERCO without prior approval of the DOI.



| |               
| | --------------
| | Life Insurance

Oxfords stockholders equity was
$111.1 million, $117.7 million and $90.9 million as of
December 31, 2002, 2001 and 2000, respectively. The
decrease from 2001 to 2002 is from investment losses, the
increase from 2000 to 2001 is a result of earnings, changes in
market value of the available for sale investment portfolio and
a $15.4 million contribution from AMERCO. Oxford did not
pay dividends in 2002, 2001 or 2000. At December 31, 2002,
Oxford cannot distribute any of its statutory surplus as
dividends without regulatory approval.



| |                   
| | ------------------
| | Consolidated group

The Consolidated groups stockholder equity
was $333.0 million, $381.5 million and
$446.4 million as of the end of fiscal years 2003, 2002 and
2001, respectively.

Quarterly Results

The quarterly results shown below are derived
from unaudited financial statements for the eight quarters
beginning April 1, 2001 and ending March 31, 2003. The
Company has restated the quarterly information to reflect the
adjustments identified with the reaudit and current year audit
of the consolidated financial statements. The Company believes
that all necessary adjustments have been included in the amounts
stated below to present fairly, and in accordance with generally
accepted accounting principles. U-Haul moving and storage
operations are seasonal and proportionally more of the
Companys revenues and net earnings from its U-Haul moving
and storage operations are generated in the first and second
quarters of each fiscal year (April through September). The
operating results for the periods presented are not necessarily
indicative of results for any future period.

|                                                                 |  |                                                     |            |          |  |          |            |          |  |  |            |  |  |  |            | 
|---------------------------------------------------------------- |  | --------------------------------------------------- | ---------- | -------- |  | -------- | ---------- | -------- |  |  | ---------- |  |  |  | ---------- | 
|                                                                 |  |                                                    
|                                                                 |  | Quarter Ended                                      
|                                                                 |  |                                                    
|                                                                 |  |                                                     |            | Dec 31,  |  | Sep 30,  |            | Jun 30, 
|                                                                 |  | Mar 31,                                             |            | 2002     |  | 2002     |            | 2002    
|                                                                 |  | 2003                                                |            | Restated |  | Restated |            | Restated
|                                                                 |  |                                                     |            |          |  |          |            |         
|                                                                 |  |                                                    
|                                                                 |  | (In thousands, except for share and per share data)
|Total revenues                                                   |  | $                                                   | 448,997    |          |  |          | 467,223    |          |  |  | 636,874    |  |  |  | 579,294    | 
|Earnings/(loss) from operations                                  |  |                                                     | (10,534    | )        |  |          | (6,722     | )        |  |  | 62,869     |  |  |  | 63,597     | 
|Net earnings (loss)                                              |  |                                                     | (25,110    | )        |  |          | (45,783    | )        |  |  | 22,128     |  |  |  | 23,779     | 
|Weighted average common shares outstanding basic
    and diluted |  |                                                     | 20,837,164 |          |  |          | 20,762,722 |          |  |  | 20,779,543 |  |  |  | 20,592,858 | 
|Earnings (loss) from operations per common
    share(1)          |  |                                                     | (0.51      | )        |  |          | (0.32      | )        |  |  | 3.02       |  |  |  | 3.09       | 
|Earnings (loss) per common Share basic and
    diluted           |  |                                                     | (1.36      | )        |  |          | (2.37      | )        |  |  | 0.91       |  |  |  | 1.00       | 

31



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|                                                                 |  |                                                     |            |          |  |          |            |          |  |  |            |  |  |  |            |  
|---------------------------------------------------------------- |  | --------------------------------------------------- | ---------- | -------- |  | -------- | ---------- | -------- |  |  | ---------- |  |  |  | ---------- | -
|                                                                 |  |                                                    
|                                                                 |  | Quarter Ended                                      
|                                                                 |  |                                                    
|                                                                 |  | Mar 31,                                             |            | Dec 31,  |  | Sep 30,  |            | Jun 30, 
|                                                                 |  | 2002                                                |            | 2001     |  | 2001     |            | 2001    
|                                                                 |  | Restated                                            |            | Restated |  | Restated |            | Restated
|                                                                 |  |                                                     |            |          |  |          |            |         
|                                                                 |  |                                                    
|                                                                 |  | (In thousands, except for share and per share data)
|Total revenues                                                   |  | $                                                   | 461,881    |          |  |          | 480,630    |          |  |  | 655,150    |  |  |  | 595,917    |  
|Earnings from operations                                         |  |                                                     | (19,879    | )        |  |          | (31,657    | )        |  |  | 61,510     |  |  |  | 32,161     |  
|Net earnings (loss)                                              |  |                                                     | (39,410    | )        |  |          | (36,061    | )        |  |  | 20,757     |  |  |  | (7,274     | )
|Weighted average common shares outstanding basic
    and diluted |  |                                                     | 21,022,712 |          |  |          | 20,892,342 |          |  |  | 21,106,343 |  |  |  | 21,280,361 |  
|Earnings (loss) from operations per common
    share(1)          |  |                                                     | (0.95      | )        |  |          | (1.52      | )        |  |  | 2.91       |  |  |  | 1.52       |  
|Earnings (loss) per common share basic and
    diluted           |  |                                                     | (2.05      | )        |  |          | (1.88      | )        |  |  | .83        |  |  |  | 0.19       |  



---



|    |                                                                                                                                     
|--- | ------------------------------------------------------------------------------------------------------------------------------------
|(1) | Net earnings (loss) per common share amounts
    were computed after giving effect to the dividends on
    AMERCOs Preferred Stock.

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 will continue 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 propose, and
obtain confirmation by the Bankruptcy Court of, a plan of
reorganization that satisfies the requirements of the Bankruptcy
Code. Although AMERCO expects to file 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 U.S. Trustee has appointed a
Creditors Committee and an Equity Committee. The
Creditors Committee, Equity Committee and their respective
legal representatives have a right to be heard on certain
matters that come before the Bankruptcy Court. There can be no
assurance that the Creditors Committee and Equity
Committee will support AMERCOs positions or AMERCOs
ultimate plan of reorganization, once proposed, and
disagreements between AMERCO and the Creditors Committee
and Equity Committee could protract the Chapter 11 case,
could negatively impact AMERCOs ability to operate during
the Chapter 11 case, and could prevent AMERCOs
emergence from Chapter 11.

At this time, it is not possible to predict
accurately the effect of the Chapter 11 reorganization
process on the Companys business or when AMERCO may emerge
from Chapter 11. 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 expects to file and 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, if any, 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.

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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 June 30, 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
8,893,078 shares (approximately 43.1%) 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, 2,402,456 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.

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.

While we do not expect the future cost of
compliance with environmental laws or future environmental
liabilities, including compliance and remediation costs, to have
a material adverse effect on 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

33



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##### Table of Contents



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 experienced significant net losses totaling
approximately $77.0 million for the three calendar years
ended December 31, 2002. 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 have recently
suffered downgrades in their ratings from national insurance
company rating agencies.

A.M. Best has recently 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 March 31, 2003, we held
$394.2 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 and other obligations of
$982.2 million at March 31, 2003. We hold various
senior and junior unsecured notes of SAC Holdings. The senior
unsecured notes of SAC Holdings that we hold rank equal in right
of payment with the notes of certain senior mortgage holders,
but junior to the extent of the collateral securing the
applicable mortgages and junior to the extent of the cash flow
waterfalls that favor the senior mortgage holders. 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. AMERCOs subsidiaries, however, are
legally distinct from AMERCO and have no obligation, contingent
or otherwise, to make funds available to AMERCO. 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.

34



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##### Table of Contents



We face risks 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.

We face risks related to a Department of
Labor Investigation.

The DOL is presently investigating whether there
were violations of ERISA involving the AMERCO Employee Savings,
Profit Sharing, and Employee Stock Ownership Plan (the
Plan). 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.

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 August 13, 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:
(1) on or before August 22, 2003, AMERCO files this
report and its Form 10-Q for the quarter ended
June 30, 2003 with the SEC and Nasdaq (Nasdaq has been
advised that this deadline was not met and further discussions
with Nasdaq are anticipated); (2) on or before deadlines
determined by the Panel, AMERCO submits to Nasdaq a copy of the
Companys plan of reorganization as filed with the
bankruptcy court, a copy of any amendments to the plan of
reorganization as submitted to the bankruptcy court;
documentation evidencing that AMERCO has commenced the
solicitation of votes regarding the plan of reorganization, as
well as documentation evidencing that the plan of reorganization
has been confirmed by the bankruptcy court; and (3) on or
before January 9, 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. Although we intend to seek a
modification of the deadlines to file its Form 10-K and
Form 10-Q as discussed above and to take all actions
available to maintain its Nasdaq listing, there can be no
assurance that AMERCO will be able to do so.

Our preferred stock may be delisted from
the New York Stock Exchange.

The New York Stock Exchange has completed a
review of the continued listing of the Series A 8 1/2%
preferred stock of AMERCO following its filing for protection
under Chapter 11. According to NYSE, this assessment has
shown that the Company is currently in compliance with all of
the NYSEs quantitative continued listing standards. The
NYSE will continue to closely monitor events at the Company in
connection with assessing the appropriateness of continued
listing of the Companys preferred stock. The NYSE has
indicated that it will give consideration to immediate
suspension of the Companys preferred stock if
authoritative advice is received that the Companys
securities, including the common stock, are without value, or if
the Company subsequently falls below any of the NYSEs
quantitative continued listing standards. In addition, the NYSE
noted that it may, at any time, suspend a security if it
believes that continued dealings in

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##### Table of Contents



the security on the NYSE are not advisable.
Accordingly, there can be no assurance that the Companys
preferred stock will continue to be listed on NYSE.


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.

The requirements to abate the order are for
RepWest to eliminate the specific credit risk associated with
the exposures to AMERCO and its affiliates and establish that it
possesses surplus sufficient with Arizona law and as the Arizona
Director of Insurance may require based on type, volume or
nature of its business pursuant to Arizona law.

In addition, if RepWest fails to satisfy the
requirements to abate DOIs concerns, the DOI may take
further action, including, but not limited to, commencing a
conservatorship.

IRS Examination

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.

New Accounting Pronouncements

SFAS No. 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 June 15, 2002. The
implementation of this accounting standard is not expected to
have a material impact on the financial statements.

In October 2001, the FASB issued SFAS
No. 144, Accounting for the Impairment or Disposal of
Long-Lived Assets. SFAS 144 requires that long-lived assets be
measured at the lower of carrying amount or fair value less cost
to sell, whether reported in continuing operations or in
discontinued operations. Therefore, discontinued operations will
no longer be measured at net realizable value or include amounts
for operating losses that have not yet occurred. SFAS 144 is
effective for financial statements issued for fiscal years
beginning after December 15, 2001 and, generally, are to be
applied prospectively. We have adopted this statement effective
April 1, 2002 and it did not affect our consolidated
financial position or results of operations.

In April 2002, the FASB issued SFAS No. 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 current 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,

36



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##### Table of Contents



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 nonsubstantive corrections to
authoritative accounting literature. The changes related to debt
extinguishment were effective for fiscal years beginning after
May 15, 2002, and the changes related to lease accounting
were effective for transactions occurring after May 15,
2002. Pre-tax earnings were reduced by $3.3 million and
$547 thousand for the fiscal year ended March 31, 2001
and 2000, respectively. The reclassification did not reduce net
earnings for the fiscal year ended March 31, 2001 and 2000
as the extraordinary loss on early extinguishment of debt was
reported net of taxes.


In June 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. The adoption of SFAS 146 will not
have any immediate effect on the Companys consolidated
financial statements and will be applied prospectively.

In November 2002, the FASB issued FASB
Interpretation No. 45, Guarantors Accounting for
Disclosure Requirements for Guarantees, Including Indirect
Guarantees of Indebtedness of Others, an 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). 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. The Company entered into a
support party agreement for $70.0 million of indebtedness
of an affiliate. Under the terms of FIN 45, the Company
recognized a liability in the amount of $70.0 million,
which is managements estimate of the liabilities
associated with the guarantee.

In December 2002, the FASB issued Statement of
Financial Accounting Standards No. 148, Accounting
for Stock-Based Compensation  Transition and
Disclosure (FAS 148), which amends Statement
of Financial Accounting Standards No. 123, Accounting
for Stock-Based Compensation (FAS 123).
FAS 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, FAS 148
amends the disclosure requirement of FAS 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
FAS 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. The Company does not have any stock based compensation
plans and the adoption of FAS 148 is not expected to have a
material impact on the Companys consolidated balance sheet
or results of operations.

In April 2003, the FASB issued SFAS No. 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 No. 133. In particular,
SFAS No. 149 (1) clarifies under what circumstances a
contract with an initial net investment meets the characteristic
of a derivative as discussed in SFAS No. 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 FASB
Interpretation No. 45, Guarantor Accounting and Disclosure
Requirements for Guarantees, Including Indirect Guarantees of
Indebtedness of Others, and (4) amends certain other
existing pronouncements.. SFAS No. 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.

37



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In May 2003, the FASB issued SFAS No. 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 No. 150 currently
has no impact on the Company.

In January 2003, the FASB issued FASB
Interpretation No. 46, Consolidation of Variable Interest
Entities, an interpretation of Accounting Research Bulletins
(ARB) No. 51, Consolidated Financial Statements
(FIN 46). FIN 46 applies immediately to
variable interest entities created after January 31, 2003,
and in the first interim period beginning after June 15,
2003 for variable interest entities created prior to
January 31, 2003. The interpretation explains how to
identify variable interest entities and how an enterprise
assesses its interests in a variable interest entity to decide
whether to consolidate that entity. The interpretation requires
variable interest entities to be consolidated by their primary
beneficiaries if the entities do not effectively disperse risks
among parties involved. Variable interest entities that
effectively disperse risks will not be consolidated unless a
single party holds an interest or combination of interests that
effectively recombines risks that were previously dispersed. The
Company has determined that Private Mini is a Variable Interest
Entity and will need to be consolidated beginning in July 2003.
The impact of this on the consolidated financial statements is
to increase assets by approximately $320.0 million and
increase debt by approximately $308.0 million. AMERCO also
determined that SAC qualifies as a Variable Interest Entity and
will continue to be consolidated.






|         |                                                               
|-------- | --------------------------------------------------------------
|Item 7A. | Quantitative and Qualitative Disclosures
    About Market Risk

Interest Rate Risk

In the normal course of business, AMERCO is
exposed to fluctuations in interest rates. AMERCO manages such
exposure through the use of a variety of derivative financial
instruments when deemed prudent. AMERCO does not enter into
leveraged financial transactions or use derivative financial
instruments for trading purposes. The exposure to market risk
for changes in interest rates relates primarily to debt
obligations. AMERCOs objective is to mitigate the impact
of changes in interest rates on its variable rate debt.
Historically, AMERCO has used interest rate swap agreements to
provide for matching the gain or loss recognition on the hedging
instrument with the recognition of the changes in the cash flows
associated with the hedged asset or liability attributable to
the hedged risk or the earnings effect of the hedged forecasted
transaction. At March 31, 2003, no interest rate swap
contracts existed. At March 31, 2002, the Company had
interest rate swap contracts to pay variable rates of interest
at the 3-month US LIBOR and receive fixed rates of interest
(average rate of 8.6%) on $45 million notional amount of
indebtedness. This resulted in approximately $238 million
of the Companys underlying debt being subject to variable
interest rates. See Note 6 of Notes to Consolidated
Financial Statements in Item 8. A fluctuation in the
interest rates of 100 basis points would change AMERCOs
interest expense by approximately $2.5 million.

SAC Holdings debt is primarily fixed rate.
Fluctuations in interest rates for new operations could have an
impact on operations. SAC Holdings does not enter into leveraged
financial transactions or use derivative financial instruments
for trading purposes.

Foreign Currency Exchange Rate Risk

The Companys earnings are affected by
fluctuations in the value of foreign currency exchange rates.
Approximately 2.0% of the Companys revenue is generated in
Canada. The result of a 10% change in the value of the
U.S. dollar relative to the Canadian dollar would not be
material. The Company does not typically hedge any foreign
currency risk since the exposure is not considered material.

SAC Holdings earnings are affected by
fluctuations in the value of foreign currency exchange rates.
Approximately 6.4% of SAC Holdings revenue is generated in
Canada. SAC Holdings does not typically hedge any foreign
currency risk since the exposure is not considered material.

38



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##### Table of Contents








|        |                                                
|------- | -----------------------------------------------
|Item 8. | Financial Statements and Supplementary
    Data

The Report of Independent Accountants and
Consolidated Financial Statements of AMERCO and SAC Holdings,
including the notes to such statements and the related
schedules, are set forth on pages 54 through 106 and are
thereby incorporated herein.






|        |                                                                              
|------- | -----------------------------------------------------------------------------
|Item 9. | Changes in and Disagreements with
    Accountants on Accounting and Financial

|           | 
|---------- | 
|Disclosure | 

On July 17, 2002, the Company dismissed
PricewaterhouseCoopers LLP (PwC) as the
Companys independent auditors. On August 8, 2002, the
Company engaged BDO as the Companys independent auditing
firm.

On July 23, 2002, the Company disclosed the
following:



| |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| | - | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | That the reports of PwC on the financial
    statements of the Company for the fiscal years ended
    March 31, 2002 and 2001 did not contain an adverse opinion
    or a disclaimer of opinion, and were not qualified or modified
    as to uncertainty, audit scope or accounting principles.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|
| |  | That the decision to dismiss PwC was recommended
    by the Companys audit committee and authorized by the
    Board of Directors of the Company.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|
| |  | That for the Companys fiscal years ended
    March 31, 2002 and 2001 and through July 17, 2002,
    there were no disagreements with PwC on any matter of accounting
    principles or practices, financial statement disclosure or
    auditing scope or procedure, which disagreements, if not
    resolved to the satisfaction of PwC would have caused it to make
    reference to the subject matter of the disagreements in its
    report.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
|
| |  | That for the Companys fiscal years ended
    March 31, 2002 and 2001 and through July 17, 2002,
    there had occurred none of the reportable events
    listed in Item 304(a)(1)(v)(A-D) of Regulation S-K.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
|
| |  | That PwC indicated to the Company that material
    weaknesses exist in certain aspects of the Companys
    internal controls that were noted during PwCs audits of
    the Companys financial statements for the fiscal years
    ended March 31, 2001 and 2002.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|
| |  | That PwC recommended examination and
    augmentation, as appropriate, of certain aspects of the
    Companys internal control procedures, including the
    following: (1) Responsibility for each general ledger
    account should be assigned to an appropriate person,
    reconciliations (particularly with respect to intercompany
    accounts with SAC Holdings, inventory, and fixed assets) should
    be performed on a monthly basis, and the financial reporting
    manager should ensure that all accounts with variances at
    month-end are investigated and corrected within an appropriate
    timeframe; (2) The internal control structure and
    monitoring process of management should be strengthened to help
    detect misstated account balances on a timely basis. Corrections
    of items should be made on a timely basis, as well, to ensure
    proper quarterly and annual reporting; (3) Access to the
    general ledger should be limited to a few select individuals,
    with the appropriate level of authority, who do not possess
    incompatible job responsibilities. Further, journal entries
    should be reviewed and approved to ensure that each adjustment
    is supported by appropriate documentation and that each entry
    has been reflected on the subsidiary ledger, if applicable;
    (4) Controls relating to inventory costing, including LIFO
    reserve calculations, manufacturing and overhead costs, and
    retention of records should be improved; and (5) Position
    vacancies should be filled in a timely manner with competent
    personnel. Documentation of job responsibilities, processes,
    etc. should be prepared to ensure efficient and accurate
    knowledge transfer. In addition, cross training of employees and
    functions should occur to strengthen the control environment and
    to minimize disruptions in the event of employee turnover.
|
| |  | That the Audit Committee had discussed these
    matters with PwC and the Company had begun addressing these
    matters.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
|
| |  | That the Company had authorized PwC to respond
    fully to any inquiries concerning these matters from the auditor
    selected to replace PwC.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           

39



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| |   |                                                                                                                
| | - | ---------------------------------------------------------------------------------------------------------------
| |  | That the Company had received a letter from PwC
    stating that PwC agreed with the statements reported above.

Subsequently, the Report of Independent
Accountants on the financial statements of the Company for the
year ended March 31, 2002 issued by PwC on January 6,
2003 included a going concern explanatory paragraph. Such
explanatory paragraph expressed substantial doubt about the
Companys ability to continue as a going concern due, in
part, to AMERCOs default (either directly or indirectly as
a result of cross-default) of approximately
$1,175.4 million in current obligations.

On May 7, 2003 PwC notified the Company that
the report referred to in the preceding paragraph, that is dual
dated September 23, 2002, except notes 1, 21, and 22,
which are dated January 6, 2003, should no longer be
associated with the financial statements (a) of AMERCO and
its subsidiaries, SAC Holding Corporation and its subsidiaries,
and SAC Holding Corporation II and its subsidiaries at
March 31, 2002, and the results of their operations and
their cash flows for the year then ended and (b) of AMERCO
and its subsidiaries and SAC Holding Corporation and its
subsidiaries at March 31, 2001, and the results of their
operations and their cash flows for each of the two years in the
period ended March 31, 2001.




PART III






|         |                                                        
|-------- | -------------------------------------------------------
|Item 10. | Directors and Executive Officers of the
    Registrants

The Registrants Directors and Executive
Officers are:

|                    |  |      |    |        |  |                                                     
|------------------- |  | ---- | -- | ------ |  | ----------------------------------------------------
|Name                |  | Age* |    | Office
|                    |  |      |    |       
|Edward J. Shoen     |  |      | 54 |        |  | Chairman of the Board, President, and Director      
|William E. Carty    |  |      | 76 |        |  | Director                                            
|John M. Dodds       |  |      | 66 |        |  | Director                                            
|Charles J. Bayer    |  |      | 63 |        |  | Director                                            
|John P. Brogan      |  |      | 59 |        |  | Director                                            
|James J. Grogan     |  |      | 49 |        |  | Director                                            
|M. Frank Lyons      |  |      | 67 |        |  | Director                                            
|James P. Shoen      |  |      | 43 |        |  | Director                                            
|Gary B. Horton      |  |      | 59 |        |  | Treasurer of AMERCO and Asst. Treasurer of U-Haul   
|Gary V. Klinefelter |  |      | 55 |        |  | Secretary & General Counsel of AMERCO
    and U-Haul
|Rocky D. Wardrip    |  |      | 45 |        |  | Assistant Treasurer of AMERCO                       
|Mark V. Shoen       |  |      | 52 |        |  | President of U-Haul Phoenix Operations              
|John C. Taylor      |  |      | 45 |        |  | Director and Executive V.P. of U-Haul               
|Ronald C. Frank     |  |      | 62 |        |  | Executive V.P. of U-Haul Field Operations           
|Mark A. Haydukovich |  |      | 46 |        |  | President of Oxford Life Insurance Company          
|Carlos Vizcarra     |  |      | 56 |        |  | President of Amerco Real Estate Company             
|Richard M. Amoroso  |  |      | 44 |        |  | President of Republic Western Insurance Company     



---



|  |                             
|- | ----------------------------
|* | Ages are as of June 30, 2003

Class I (Term Expires at 2003
Meeting)

JOHN P. BROGANhas
served as a Director of AMERCO since August 1998 and has served
as the Chairman of Muench-Kreuzer Candle Company since 1980. He
has been involved with various companies including a seven year
association with Alamo Rent-A-Car that ended in 1986. He is a
member of the American Institute of Certified Public Accountants
and served as Chairman of the Board of Trustees, College of the
Holy Cross, from 1988 to 1996.

40



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##### Table of Contents



JAMES J. GROGANhas
served as a Director of AMERCO since August 1998 and is the CEO
of Loreto Bay Company. He was President of G.W. Holdings, a
diversified investment company, from 2001 to 2002. Throughout
1999 and 2000, he served as President and CEO of Sterling
Financial Corporation, a Toronto Stock Exchange company focused
on real estate investments. He was the Senior Executive Vice
President of UDC Homes, a homebuilder, from 1996 to 1998. He
serves on the Board of Directors of several charitable
organizations.

Class II (Term Expires at 2004
Meeting)

EDWARD J. SHOENhas
served as a Director and Chairman of the Board of AMERCO since
1986, as President since 1987, as a Director of U-Haul since
1990, and as the President of U-Haul since 1991. Mr. Shoen
has been associated with the Company since 1971.

M. FRANK LYONSwas
elected to the Board of AMERCO on February 6, 2002 to fill
the vacancy created by the resignation of Richard J. Herrera.
Mr. Lyons served in various positions with the Company from
1959 until 1991, including 25 years as the president of
Warrington Manufacturing. From 1991 until his retirement in 2000
he was president of Evergreen Realty, Inc.

Class III (Term Expires at 2005
Meeting)

JOHN M. DODDShas
served as a Director of AMERCO since 1987 and Director of U-Haul
since 1990. Mr. Dodds has been associated with the Company
since 1963. He served in regional field operations until 1986
and served in national field operations until 1994.
Mr. Dodds retired from the Company in 1994.

JAMES P. SHOENhas
served as a director of AMERCO since 1986 and was Vice President
of AMERCO from 1989 to November 2000. Mr. Shoen has been
associated with the Company since 1976. He served from 1990 to
November 2000 as Executive Vice President of U-Haul.

Class IV (Term Expires at 2006
Meeting)

WILLIAM E. CARTYhas
served as a Director of AMERCO since 1987 and as a Director of
U-Haul since 1986. He has been associated with the Company since
1946. He has served in various executive positions in all areas
of the Company. Mr. Carty retired from the Company in 1987.

CHARLES J. BAYERhas
served as a Director of AMERCO since 1990 and has been
associated with the Company since 1967. He has served in various
executive positions and served as President of Amerco Real
Estate Company until his retirement in October 2000.

Other Executive Officers

GARY B. HORTONhas
served as Treasurer of AMERCO since 1982 and Assistant Treasurer
of U-Haul since 1990. He has been associated with the Company
since 1969.

GARY V. KLINEFELTER,Secretary of AMERCO since 1988 and Secretary of U-Haul since
1990, is licensed as an attorney in Arizona and has served as
General Counsel of AMERCO and U-Haul since June 1988. He has
been associated with the Company since 1978.

ROCKY D. WARDRIP,Assistant Treasurer of AMERCO since 1990, has been associated
with the Company since 1978 in various capacities within
accounting and treasury operations.

MARK V. SHOENhas
served as a Director of AMERCO from 1990 until February 1997. He
has served as a Director of U-Haul from 1990 until November 1997
and as President, Phoenix Operations, from 1994 to present.

JOHN C. TAYLOR,Director of U-Haul since 1990, has been associated with the
Company since 1981. He is presently an Executive Vice President
of U-Haul.

RONALD C. FRANKhas
been associated with the Company since 1959. He is presently
Executive Vice President of U-Haul Field Operations.

41



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##### Table of Contents



MARK A. HAYDUKOVICHhas served as President of Oxford
since June 1997. From 1980 to 1997 he served as Vice President
of Oxford.

CARLOS VIZCARRAhas
served as President of Amerco Real Estate Company since
September 2000. He began his previous position as Vice
President/ Storage Product Group for U-Haul in 1988.

RICHARD M. AMOROSOhas served as President of RepWest
since August 2000. He was Assistant General Counsel of U-Haul
from 1993 until February 2000. He served as Assistant General
Counsel of ON Semiconductor Corporation from February to August
2000.

Edward J., Mark V., and James P. Shoen
are brothers. William E. Carty is the uncle of Edward J.
and Mark V. Shoen. M. Frank Lyons was married to William E.
Cartys sister and the aunt of Edward J. and Mark V. Shoen
until her death in 1992. See Item 1. Business 
Recent Developments for a discussion of AMERCOs
Chapter 11 filing.

Section 16(a) of the Securities Exchange Act
of 1934 requires the Companys directors and executive
officers, and persons who own more than 10% of a registered
class of the Companys equity securities, to file reports
of ownership of, and transactions in, the Companys
securities with the Securities and Exchange Commission. Such
directors, executive officers and 10% stockholders are also
required to furnish the Company with copies of all
Section 16(a) forms they file.

Based solely on a review of the copies of such
forms received by it, the Company believes that during fiscal
2003, all Section 16(a) filing requirements applicable to
its directors, officers and 10% stockholders were complied with.






|         |                       
|-------- | ----------------------
|Item 11. | Executive Compensation

The following Summary Compensation Table shows
the annual compensation paid to (1) the Companys
chief executive officer; and (2) the four most highly
compensated executive officers of the Company, other than the
chief executive officer.

Summary Compensation Table

|                            |                                                    |      |      |                     |  |           |         |              |  |  |        |         |  |  |       |       | 
|--------------------------- | -------------------------------------------------- | ---- | ---- | ------------------- |  | --------- | ------- | ------------ |  |  | ------ | ------- |  |  | ----- | ----- | 
|                            |                                                    |      |      |                    
|                            |                                                    |      |      | Annual Compensation
|                            |                                                    |      |      |                    
|                            |                                                    |      |      |                     |  | All Other
|                            |                                                    |      |      | Salary              |  | Bonus     |         | Compensation
|Name and Principal Position |                                                    | Year |      | ($)(1)              |  | ($)       |         | ($)(2)      
|                            |                                                    |      |      |                     |  |           |         |             
|Edward J. Shoen             |                                                    |      | 2003 |                     |  |           | 503,708 |              |  |  |       |         |  |  | 334   |      
|                            | Chairman of the Board and President of AMERCO      |      |      | 2002                |  |           |         | 503,708      |  |  |        |        |  |  |       | 1,311 | 
|                            | and U-Haul                                         |      |      | 2001                |  |           |         | 503,708      |  |  |        |        |  |  |       | 2,311 | 
|Mark V. Shoen               |                                                    |      | 2003 |                     |  |           | 617,308 |              |  |  |       |         |  |  | 334   |      
|                            | President of U-Haul Phoenix Operations             |      |      | 2002                |  |           |         | 623,077      |  |  |        |        |  |  |       | 1,311 | 
|                            |                                                    |      |      | 2001                |  |           |         | 623,077      |  |  |        |        |  |  |       | 2,311 | 
|Gary V. Klinefelter         |                                                    |      | 2003 |                     |  |           | 251,738 |              |  |  | 55,000 |         |  |  | 334   |      
|                            | Secretary and General Counsel of AMERCO and U-Haul |      |      | 2002                |  |           |         | 222,547      |  |  |        | 67,000  |  |  |       | 1,311 | 
|                            |                                                    |      |      | 2001                |  |           |         | 224,239      |  |  |        | 60,000  |  |  |       | 2,311 | 
|Gary B. Horton              |                                                    |      | 2003 |                     |  |           | 242,308 |              |  |  | 40,000 |         |  |  | 334   |      
|                            | Treasurer of AMERCO and Assistant Treasurer        |      |      | 2002                |  |           |         | 233,655      |  |  |        | 40,000  |  |  |       | 1,311 | 
|                            | of U-Haul                                          |      |      | 2001                |  |           |         | 234,539      |  |  |        | 110,000 |  |  |       | 2,192 | 
|Ronald C. Frank             |                                                    |      | 2003 |                     |  |           | 237,995 |              |  |  | 15,704 |         |  |  | 334   |      
|                            | Executive V.P. U-Haul Field Operations             |      |      | 2002                |  |           |         | 188,471      |  |  |        |        |  |  |       | 1,311 | 
|                            |                                                    |      | 2001 |                     |  |           | 188,471 |              |  |  |       |         |  |  | 2,311 |      



---



|    |                                                                                                                                            
|--- | -------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Includes annual fees paid to Directors of AMERCO
    and U-Haul.                                                                           
|   
|(2) | Represents the value of Common Stock allocated
    under the AMERCO Employee Savings, Profit Sharing and Employee
    Stock Ownership Plan.

42



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##### Table of Contents



The annual fee for all services as a director of
AMERCO prior to June 4, 2003 was $26,400. Effective on that
date, the annual fee was increased to $50,000. This amount is
paid in equal monthly installments. Audit Committee members
receive an additional $50,000 annual fee. Executive Finance
Committee and Compensation Committee members each receive an
additional $20,000 annual fee. Independent Governance Committee
members receive an annual fee of $50,000.






|         |                                                                                                       
|-------- | ------------------------------------------------------------------------------------------------------
|Item 12. | Security Ownership of Certain Beneficial
    Owners and Management and Related Stockholder
    Matters

To the best of the Companys knowledge, the
following table lists, as of June 30, 2003 (1) the
beneficial ownership of AMERCOs equity securities of each
director and director nominee of AMERCO, of each executive
officer named in Item 11, and of all directors and
executive officers of AMERCO as a group; (2) the beneficial
ownership of Common Stock of those persons who beneficially own
more than five percent (5%) of AMERCOs Common Stock; and
(3) the beneficial ownership of each director and director
nominee of AMERCO, of each executive officer named in
Item 11, and of all directors and executive officers of the
Company as a group, of the percentage of net payments received
by such persons during the 2003 fiscal year in respect of
fleet-owner contracts issued by U-Haul.

|                         |                        |                    |           |               |  |                   |      |  |  |  |      |  | 
|------------------------ | ---------------------- | ------------------ | --------- | ------------- |  | ----------------- | ---- |  |  |  | ---- |  | 
|                         |                        | Shares of Common   |           | Percentage of |  | Percentage of Net
|Name and Address of      |                        | Stock Beneficially |           | Common Stock  |  | Fleet Owner      
|Beneficial Owner         |                        | Owned              |           | Class         |  | Contract Payments
|                         |                        |                    |           |               |  |                  
|Edward J. Shoen(1)       |                        |                    | 3,487,645 | (2)           |  |                   | 16.9 |  |  |  | .001 | 
|                         | Chairman of the Board, |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | President and Director |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | 2727 N. Central Ave    |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Phoenix, AZ 85004      |                    |           |               |  |                   |      |  |  |  |      |  | 
|Mark V. Shoen(1)         |                        |                    | 3,355,471 | (2)           |  |                   | 16.3 |  |  |  | N/A  | 
|                         | President, U-Haul      |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Phoenix Operations     |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | 2727 N. Central Ave    |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Phoenix, AZ 85004      |                    |           |               |  |                   |      |  |  |  |      |  | 
|James P. Shoen(1)        |                        |                    | 2,049,962 | (2)           |  |                   | 9.9  |  |  |  | N/A  | 
|                         | Director               |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | 1325 Airmotive Way     |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Reno, NV 89502         |                    |           |               |  |                   |      |  |  |  |      |  | 
|Sophia M. Shoen          |                        |                    | 1,388,668 | (2)           |  |                   | 6.7  |  |  |  | N/A  | 
|                         | 5104 N. 32nd Street    |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Phoenix, AZ 85018      |                    |           |               |  |                   |      |  |  |  |      |  | 
|Heartland Advisors, Inc. |                        |                    | 1,143,500 | (3)           |  |                   | 5.5  |  |  |  | N/A  | 
|                         | 789 North Water Street |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Milwaukee, WI 53202    |                    |           |               |  |                   |      |  |  |  |      |  | 
|Paul F. Shoen            |                        |                    | 1,110,442 | (2)           |  |                   | 5.4  |  |  |  | N/A  | 
|                         | P.O. Box 524           |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Glenbrook, NV 89413    |                    |           |               |  |                   |      |  |  |  |      |  | 
|The ESOP Trust(2)        |                        |                    | 2,402,456 |               |  |                   | 11.7 |  |  |  | N/A  | 
|                         | 2727 N. Central Ave    |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Phoenix, AZ 85004      |                    |           |               |  |                   |      |  |  |  |      |  | 
|John M. Dodds            |                        |                    | 0         |               |  |                   | 0    |  |  |  | N/A  | 
|                         | Director               |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | 2727 N. Central Ave    |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Phoenix, AZ 85004      |                    |           |               |  |                   |      |  |  |  |      |  | 
|William E. Carty(1)      |                        |                    | 0         |               |  |                   | 0    |  |  |  | N/A  | 
|                         | Director               |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | 2727 N. Central Ave    |                    |           |               |  |                   |      |  |  |  |      |  | 
|                         | Phoenix, AZ 85004      |                    |           |               |  |                   |      |  |  |  |      |  | 

43



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##### Table of Contents



|                                                      |                                    |                    |           |               |  |                   |      |  |  |  |      |  | 
|----------------------------------------------------- | ---------------------------------- | ------------------ | --------- | ------------- |  | ----------------- | ---- |  |  |  | ---- |  | 
|                                                      |                                    | Shares of Common   |           | Percentage of |  | Percentage of Net
|Name and Address of                                   |                                    | Stock Beneficially |           | Common Stock  |  | Fleet Owner      
|Beneficial Owner                                      |                                    | Owned              |           | Class         |  | Contract Payments
|                                                      |                                    |                    |           |               |  |                  
|Charles J. Bayer                                      |                                    |                    | 2,186     |               |  |                   | **   |  |  |  | .001 | 
|                                                      | Director                           |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | 2727 N. Central Ave                |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Phoenix, AZ 85004                  |                    |           |               |  |                   |      |  |  |  |      |  | 
|John P. Brogan                                        |                                    |                    | 6,000     |               |  |                   | **   |  |  |  | N/A  | 
|                                                      | Director and Director Nominee      |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | 2727 N. Central Ave                |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Phoenix, AZ 85004                  |                    |           |               |  |                   |      |  |  |  |      |  | 
|James J. Grogan                                       |                                    |                    | 100       |               |  |                   | **   |  |  |  | N/A  | 
|                                                      | Director and Director Nominee      |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | 2727 N. Central Ave                |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Phoenix, AZ 85004                  |                    |           |               |  |                   |      |  |  |  |      |  | 
|M. Frank Lyons                                        |                                    |                    | 300       |               |  |                   | **   |  |  |  | N/A  | 
|                                                      | Director                           |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | 2727 N. Central Ave                |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Phoenix, AZ 85004                  |                    |           |               |  |                   |      |  |  |  |      |  | 
|Gary V. Klinefelter                                   |                                    |                    | 3,513     |               |  |                   | **   |  |  |  | N/A  | 
|                                                      | Secretary and General Counsel      |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | 2727 N. Central Ave                |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Phoenix, AZ 85004                  |                    |           |               |  |                   |      |  |  |  |      |  | 
|Ronald C. Frank                                       |                                    |                    | 2,592     |               |  |                   | **   |  |  |  | .002 | 
|                                                      | Executive V.P. Field               |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Operations of U-Haul               |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | 2727 N. Central Ave                |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Phoenix, AZ 85004                  |                    |           |               |  |                   |      |  |  |  |      |  | 
|John C. Taylor                                        |                                    |                    | 1,423     |               |  |                   | **   |  |  |  | N/A  | 
|                                                      | Executive Vice President of U-Haul |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | 2727 N. Central Ave                |                    |           |               |  |                   |      |  |  |  |      |  | 
|                                                      | Phoenix, AZ 85004                  |                    |           |               |  |                   |      |  |  |  |      |  | 
|Officers and Directors as a group
    (17 persons)(1) |                                    |                    | 8,917,548 |               |  |                   | 43.2 |  |  |  | .004 | 



---



| |    |                                                                                        
| | -- | ---------------------------------------------------------------------------------------
| | ** | The percentage of the referenced class
    beneficially owned is less than one percent.



|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | Edward J. Shoen, Mark V. Shoen, James P. Shoen,
    and William E. Carty beneficially own 16,300 shares
    (0.26%), 16,700 shares (0.27%), 31,611 shares (0.51%), and
    12,000 shares (0.19%) of AMERCOs Series A 8 1/2%
    Preferred Stock, respectively. The executive officers and
    directors as a group beneficially own 77,611 shares (1.27%)
    of AMERCOs Series A 8 1/2% Preferred Stock.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   
|(2) | The complete name of the ESOP Trust is the ESOP
    Trust Fund for the AMERCO Employee Savings and Employee Stock
    Ownership Trust. The ESOP Trustee, which consists of three
    individuals without a past or present employment history or
    business relationship with the Company, is appointed by the
    Companys Board of Directors. Under the ESOP, each
    participant (or such participants beneficiary) in the ESOP
    directs the ESOP Trustee with respect to the voting of all
    Common Stock allocated to the participants account. All
    shares in the ESOP Trust not allocated to participants are voted
    by the ESOP Trustee. As of June 30, 2003, of the
    2,402,456 shares of Common Stock held by the ESOP Trust,
    1,607,509 shares were allocated to participants and
    794,947 shares remained unallocated. The number of shares
    reported as beneficially owned by Edward J. Shoen, Mark V.
    Shoen, James P. Shoen, Paul F. Shoen, and Sophia M. Shoen
    include Common Stock held directly by those individuals and
    3,964, 3,690, 3,648, 779, and 196 shares of Common Stock,
    respectively, allocated by the ESOP Trust to those individuals.
    Those shares are also included in the number of shares held by
    the ESOP Trust.
|   
|(3) | The ownership information set forth herein is
    based on material contained in a Schedule 13G, dated
    February 13, 2003, filed with the SEC by William Nasgovitz
    and Heartland Advisors, Inc. According to                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   

44



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##### Table of Contents



| |                                                                                                                                                                                                                                                                                             
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | the Schedule 13G, Heartland Advisors, Inc.
    has sole voting and sole dispositive power over 264,200 and
    1,143,500 shares, respectively. According to the same
    Schedule 13G, Mr. Nasgovitz has sole voting and sole
    dispositive power over 788,000 and 0 shares, respectively.

To the best of the Companys knowledge,
there are no arrangements giving any stockholder the right to
acquire the beneficial ownership of any shares owned by any
other stockholder.






|         |                                                   
|-------- | --------------------------------------------------
|Item 13. | Certain Relationships and Related
    Transactions

AMERCO has related party transactions with
certain major stockholders, directors and officers of the
consolidated group as disclosed in Notes 11 and 19 of
Notes to Consolidated Financial Statements and below. Management
believes that the transactions described in the related notes
and below were consummated on terms equivalent to those that
would prevail in arms-length transactions.

On December 23, 2002, Mark V. Shoen,
President, U-Haul Phoenix Operations and a significant
stockholder of AMERCO, purchased a condominium in Phoenix,
Arizona from Oxford Life Insurance Company. The purchase price
was $279,573, which was in excess of the appraised value.

During fiscal 2003, U-Haul purchased
$2.1 million of printing from Form Builders, Inc.
Mark V. Shoen, his daughter and Edward J. Shoens
sons are major stockholders of Form Builders, Inc.
Edward J. Shoen is Chairman of the Board of Directors and
President of AMERCO and is a significant stockholder of AMERCO.
Mark V. Shoen is President, U-Haul Phoenix Operations and
is a significant stockholder of AMERCO. The Company ceased doing
business with Form Builders, Inc. on April 18, 2003.

During fiscal 2003, Sam Shoen, a son of
Edward J. Shoen, was employed by U-Haul as project group
supervisor. Mr. Shoen was paid an aggregate salary and
bonus of $77,327 for his services during the fiscal year.

During fiscal 2003, a subsidiary of the Company
held various senior and junior unsecured notes of SAC Holdings.
Substantially all of the equity interest of SAC Holdings is
owned by Mark V. Shoen, a significant shareholder and
executive officer of AMERCO. The Company does not have an equity
ownership interest in SAC Holdings, except for minority
investments made by RepWest and Oxford in a SAC
Holdings-controlled limited partnership which holds Canadian
self-storage properties. The senior unsecured notes of SAC
Holdings that the Company holds rank equal in right of payment
with the notes of certain senior mortgage holders, but junior to
the extent of the collateral securing the applicable mortgages
and junior to the extent of the cash flow waterfalls that favor
the senior mortgage holders. The Company received cash interest
payments of $26.6 million from SAC Holdings during fiscal
year 2003. The notes receivable balance outstanding at
March 31, 2003 was, in the aggregate, $394.2 million.
The largest aggregate amount outstanding during the fiscal year
ended March 31, 2003 was $407.4 million. At
March 31, 2003, SAC Holdings notes and loans payable
to third parties totaled $589.0 million. Interest on the
senior and junior notes accrues at rates ranging from 6.5% to
13%.

Interest accrues on the outstanding principal
balance of senior notes of SAC Holdings that the Company holds
at a fixed rate and is paid on a monthly basis.

Interest accrues on the outstanding principal
balance of junior notes of SAC Holdings that the Company holds
at a stated rate of basic interest. A fixed portion of that
basic interest is paid on a monthly basis. Additional interest
is paid on the same payment date based on the difference between
the amount of remaining basic interest and an amount equal to a
specified percentage of the net cash flow before interest
expense generated by the underlying property minusthe
sum ofthe principal and interest due on the senior notes
of SAC Holdings relating to that property anda multiple
of the fixed portion of basic interest paid on that monthly
payment date.

The latter amount is referred to as the
cash flow-based calculation.

To the extent that this cash flow-based
calculation exceeds the amount of remaining basic interest,
contingent interest equal to that excess and the amount of
remaining basic interest are paid on the same monthly date as
the fixed portion of basic interest. To the extent that the cash
flow-based calculation is less than the amount of remaining
basic interest, the additional interest payable on the
applicable monthly date is

45



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##### Table of Contents



limited to the amount of that cash flow-based
calculation. In such a case, the excess of the remaining basic
interest over the cash flow-based calculation is deferred and
all amounts so deferred bear the stated rate of basic interest
until maturity of the junior note.


In addition, subject to certain contingencies,
the junior notes provide that the holder of the note is entitled
to receive 90% of the appreciation realized upon, among other
things, the sale of such property by SAC Holdings. To date, no
such properties have been sold by SAC Holdings.

The Company currently manages the self-storage
properties owned by SAC Holdings pursuant to a standard form of
management agreement with each SAC Holdings subsidiary, under
which the Company receives a management fee equal to 6% of the
gross receipts. The Company received management fees of
$12.3 million during fiscal year 2003. This management fee
is consistent with the fees received for other properties the
Company manages for third parties.

RepWest and Oxford currently hold a 46% limited
partnership interest in Securespace Limited Partnership
(Securespace), a Nevada limited partnership. A SAC
Holdings subsidiary serves as the general partner of Securespace
and owns a 1% interest. Another SAC Holdings subsidiary
owns the remaining 53% limited partnership interest in
Securespace. Securespace was formed by SAC Holdings to be the
owner of various Canadian self-storage properties.

During fiscal year 2003, the Company leased space
for marketing company offices, vehicle repair shops and hitch
installation centers in 35 locations owned by subsidiaries
of SAC Holdings. Total lease payments pursuant to such leases
were $2.1 million during fiscal year 2003. The terms of the
leases are similar to the terms of leases for other properties
owned by unrelated parties that are leased to the Company.

At March 31, 2003, subsidiaries of SAC
Holdings acted as U-Haul independent dealers. The financial and
other terms of the dealership contracts with subsidiaries of SAC
Holdings are substantially identical to the terms of those with
the Companys other independent dealers. During fiscal
2003, the Company paid subsidiaries of SAC Holdings
$27.7 million in commissions pursuant to such dealership
contracts.

The transactions discussed above involving SAC
Holdings have all been eliminated from the Companys
consolidated financial statements. Although these transactions
have been eliminated for financial statement reporting purposes,
except for minority investments made by RepWest and Oxford in
Securespace, the Company has not had any equity ownership
interest in SAC Holdings.

SAC Holdings were established in order to acquire
self-storage properties which are being managed by the Company
pursuant to management agreements. The sale of self-storage
properties by the Company to SAC Holdings has in the past
provided significant cash flows to the Company and the
Companys outstanding loans to SAC Holdings entitle the
Company to participate in SAC Holdings excess cash flows
(after senior debt service).

Management believes that its sales of
self-storage properties to SAC Holdings over the past several
years provided a unique structure for the Company to earn rental
revenues from the SAC Holdings self-storage properties that the
Company manages and participate in SAC Holdings excess
cash flows as described above.

Although the Board of Directors of the
appropriate subsidiary which was a party to each transaction
with SAC Holdings approved such transaction at the time it was
completed, the Company did not seek approval by AMERCOs
Board of Directors for such transactions. However, AMERCOs
Board of Directors, including the independent members, was made
aware of and received periodic updates regarding such
transactions from time to time. All future real estate
transactions with SAC Holdings that involve the Company or any
of its subsidiaries will have the prior approval of
AMERCOs Board of Directors, even if it is not legally
required, including a majority of the independent members of
AMERCOs Board of Directors.

46



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##### Table of Contents



In connection with transactions described above
regarding parts, tools and printing services, the Internal Audit
Department of U-Haul periodically tests pricing against
competitive third party bids for fairness.

Management believes that the foregoing
transactions were consummated on terms equivalent to those that
prevail in arms-length transactions.






|         |                        
|-------- | -----------------------
|Item 14. | Controls and Procedures

Evaluation of Controls and
Procedures

We maintain disclosure control procedures, which
are designed to ensure that material information related to
AMERCO and its subsidiaries and SAC Holdings and their
subsidiaries is disclosed in our public filings on a regular
basis. In response to recent legislation and proposed
regulations, we reviewed our internal control structure and our
disclosure controls and procedures. Internal controls are
procedures which are designed with the objective of providing
reasonable assurance that 1) records are maintained that in
reasonable detail accurately reflect the Companys
transactions and dispositions of its assets; 2) assets are
safeguarded against unauthorized or improper use; and
3) transactions are properly recorded and reported, all to
permit the preparation of our financial statements in conformity
with generally accepted accounting principles. Disclosure
controls are designed with the objective of ensuring that
information is accumulated and communicated to our management to
allow timely decisions regarding required disclosure.

The Companys management does not expect
that the internal controls and disclosure controls will prevent
all error or fraud. A control system, no matter how well
conceived and operated, can provide only reasonable, not
absolute, assurance that the objectives of the control system
are met. Further, the design of a control system must reflect
the fact that there are resource constraints, and the benefits
of controls must be considered relative to the cost. Because of
the inherent limitations in all control systems, no evaluation
of controls can provide absolute assurance that all control
issues and instances of fraud, if any, within the company have
been detected. These inherent limitations include the realities
that judgments in decision-making can be faulty, and that
breakdowns can occur because of simple error or mistake.
Additionally, controls can be circumvented by the individual
acts of some persons, by collusion of two or more people, or by
management override of the control. The design of any system of
controls is also based in part upon certain assumptions about
the likelihood of future events, and there can be no assurance
that any design will succeed in achieving its stated goals under
all potential future conditions. Over time, controls may become
inadequate because of changes in conditions, or the degree of
compliance with the policies or procedures may deteriorate.
Because of the inherent limitations in a cost-effective control
system, misstatements due to error or fraud may occur and not be
detected.

Within 90 days prior to filing this
Form 10-K, 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 has
concluded that there were deficiencies in the design and
operations of our internal controls that adversely affected our
ability to record, process, summarize and report financial data.
The deficiencies were considered to be material weaknesses under
the standards established by the American Institute of Certified
Public Accountants. As a result of the conclusions discussed
above, under the direction of the Audit Committee and the Board
of Directors, we have taken corrective action to strengthen our
internal controls and procedures to ensure that information
required to be disclosed in the reports that we file or submit
under the Securities Exchange Act of 1934 is recorded,
processed, summarized and accurately reported, within the time
periods specified in the SECs rules and forms.

Changes in Controls and Procedures

There were significant changes in the
Companys internal controls and other factors that could
significantly affect these internal controls after the date of
our most recent evaluation. They include, but are not limited
to, the following:



| |                                                                                                                 
| | ----------------------------------------------------------------------------------------------------------------
| | a.     We limited access
    to the general ledger (posting ability) to specifically
    identified individuals;

47



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##### Table of Contents





| |                                                                                                                                                                                                 
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | b.     We require
    documentation for all journal postings;                                                                                                                                   
|
| | c.     We have hired a
    system administrator to document and map all accounting imports
    and exports to the various subledgers maintained throughout the
    organization;                
|
| | d.     We have initiated
    a formal cross training program to ensure that any unforeseen
    loss of personnel does not adversely affect the financial
    reporting and disclosure processes;
|
| | e.     We have hired
    additional qualified accounting personnel; and                                                                                                                         
|
| | f.     We are
    implementing control procedures to verify each inter company
    account is reconciled prior to each month end closing process.                                               




PART IV, ITEM 16, EXHIBITS,
FINANCIAL STATEMENT SCHEDULES

AND REPORTS ON FORM 8-K


(a) The following documents are filed as
part of this Report:

|                                                                                                           |                                                                                                                |          |     |     | 
|---------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------------------------------------- | -------- | --- | --- | 
|                                                                                                           |                                                                                                                | Page No.
|                                                                                                           |                                                                                                                |         
|1.  Financial Statements                                                                                   |                                                                                                                |          |     |    
|                                                                                                           | Report of Independent Accountants                                                                              |          |     | 54  | 
|                                                                                                           | Consolidated Balance Sheets 
    March 31, 2003 and 2002                                                      |          |     | 56  | 
|                                                                                                           | Consolidated Statements of Operations 
    Years ended March 31, 2003, 2002 and 2001                          |          |     | 57  | 
|                                                                                                           | Consolidated Statements of Changes in
    Stockholders Equity  Years ended March 31,
    2003, 2002 and 2001 |          |     | 58  | 
|                                                                                                           | Consolidated Statements of Comprehensive Income
    (loss)  Years ended March 31, 2003, 2002 and 2001         |          |     | 59  | 
|                                                                                                           | Consolidated Statements of Cash Flows 
    Years ended March 31, 2003, 2002 and 2001                          |          |     | 60  | 
|                                                                                                           | Notes to Consolidated Financial Statements                                                                     |          |     | 61  | 
|2.  Additional Information                                                                                 |                                                                                                                |          | 107 |    
|                                                                                                           | Summary of Earnings of Independent Trailer Fleets                                                              |          |     | 107 | 
|                                                                                                           | Notes to Summary of Earnings of Independent
    Trailer Fleets                                                 |          |     | 108 | 
|3.  Financial Statement Schedules
    required to be filed by Item 8 and Paragraph (d) of
    this Item 16 |                                                                                                                |          |     |    
|                                                                                                           | Condensed Financial Information of
    Registrant  Schedule I                                                 |          |     | 110 | 
|                                                                                                           | Supplemental Information (For Property-Casualty
    Insurance Underwriters)  Schedule V                       |          |     | 114 | 



| |                                                                                                                                                                            
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | All other schedules are omitted as the required
    information is not applicable or the information is presented in
    the financial statements or related notes thereto.

48



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##### Table of Contents



(b) No reports on Form 8-K were filed
during the last quarter of the period covered by this report.

|            |        |             |  |                                                                                                                                                       
|----------- | ------ | ----------- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit No. |        | Description
|            |        |            
|            | 2.1    |             |  | Order Confirming Plan(1)                                                                                                                              
|            | 2.2    |             |  | Second Amended and Restated Debtors Plan of
    Reorganization Proposed by Edward J. Shoen(1)                                                        
|            | 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.                                                                                  
|            | 3.4    |             |  | Bylaws of U-Haul International, Inc.                                                                                                                  
|            | 4.1    |             |  | Debt Securities Indenture dated May 1,
    1996(1)                                                                                                    
|            | 4.2    |             |  | First Supplemental Indenture, dated as of
    May 6, 1996(4)                                                                                          
|            | 4.3    |             |  | Rights Agreement, dated as of August 7,
    1998(13)                                                                                                  
|            | 4.5    |             |  | Second Supplemental Indenture, dated as of
    October 22, 1997(11)                                                                                   
|            | 4.6    |             |  | Calculation Agency Agreement(11)                                                                                                                      
|            | 4.7    |             |  | 6.65%  AMERCO Series 1997 A Bond
    Backed Asset Trust Certificates (BATs) due
    October 15, 2000(11)                                           
|            | 4.8    |             |  | Indenture dated September 10, 1996(9)                                                                                                                 
|            | 4.9    |             |  | First Supplemental Indenture dated
    September 10, 1996(9)                                                                                          
|            | 4.10   |             |  | Senior Indenture dated April 1, 1999(14)                                                                                                              
|            | 4.11   |             |  | First Supplemental Indenture dated April 5,
    1999(14)                                                                                              
|            | 4.12   |             |  | Second Supplemental Indenture dated
    February 4, 2000(15)                                                                                          
|            | 10.1*  |             |  | AMERCO Employee Savings, Profit Sharing and
    Employee Stock Ownership Plan(5)                                                                      
|            | 10.1A* |             |  | First Amendment to the AMERCO Employee Savings,
    Profit Sharing and Employee Stock Ownership Plan(16)                                              
|            | 10.2   |             |  | U-Haul Dealership Contract(5)                                                                                                                         
|            | 10.3   |             |  | Share Repurchase and Registration Rights
    Agreement with Paul F. Shoen(5)                                                                          
|            | 10.5   |             |  | ESOP Loan Credit Agreement(6)                                                                                                                         
|            | 10.6   |             |  | ESOP Loan Agreement(6)                                                                                                                                
|            | 10.7   |             |  | Trust Agreement for the AMERCO Employee Savings,
    Profit Sharing and Employee Stock Ownership Plan(6)                                              
|            | 10.8   |             |  | Amended Indemnification Agreement(6)                                                                                                                  
|            | 10.9   |             |  | Indemnification Trust Agreement(6)                                                                                                                    
|            | 10.10  |             |  | Promissory Note between SAC Holding Corporation
    and a subsidiary of AMERCO(12)                                                                    
|            | 10.10A |             |  | Addendum to Promissory Note between SAC Holding
    Corporation and a subsidiary of AMERCO(20)                                                        
|            | 10.11  |             |  | Promissory Notes between Four SAC Self-Storage
    Corporation and a subsidiary of AMERCO(12)                                                         
|            | 10.11A |             |  | Amendment and Addendum to Promissory Note between
    Four SAC Self-Storage Corporation and Nationwide Commercial
    Co. (20)                        
|            | 10.12  |             |  | Management Agreement between Three SAC
    Self-Storage Corporation and a subsidiary of AMERCO(12)                                                    
|            | 10.13  |             |  | Management Agreement between Four SAC
    Self-Storage Corporation and a subsidiary of AMERCO(12)                                                     
|            | 10.14  |             |  | Agreement, dated October 17, 1995, among
    AMERCO, Edward J. Shoen, James P. Shoen,
    Aubrey K. Johnson, John M. Dodds and William E.
    Carty(8)

49



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|            |       |             |  |                                                                                                                                                                                 
|----------- | ----- | ----------- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit No. |       | Description
|            |       |            
|            | 10.15 |             |  | Directors Release, dated October 17,
    1995, executed by Edward J. Shoen, James P. Shoen,
    Aubrey K. Johnson, John M. Dodds and William E.
    Carty in favor of AMERCO(8)
|            | 10.16 |             |  | AMERCO Release, dated October 17, 1995,
    executed by AMERCO in favor of Edward J. Shoen,
    James P. Shoen, Aubrey K. Johnson, John M. Dodds
    and William E. Carty(8)    
|            | 10.21 |             |  | Management Agreement between Five SAC
    Self-Storage Corporation and a subsidiary of AMERCO(10)                                                                               
|            | 10.22 |             |  | Management Agreement between Eight SAC
    Self-Storage Corporation and a subsidiary of AMERCO(10)                                                                              
|            | 10.23 |             |  | Management Agreement between Nine SAC
    Self-Storage Corporation and a subsidiary of AMERCO(10)                                                                               
|            | 10.24 |             |  | Management Agreement between Ten SAC Self-Storage
    Corporation and a subsidiary of AMERCO(10)                                                                                
|            | 10.25 |             |  | Management Agreement between Six-A SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                                                                              
|            | 10.26 |             |  | Management Agreement between Six-B SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                                                                              
|            | 10.27 |             |  | Management Agreement between Six-C SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                                                                              
|            | 10.28 |             |  | Management Agreement between Eleven SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                                                                             
|            | 10.29 |             |  | Management Agreement between Twelve SAC
    Self-Storage Corporation and a subsidiary of AMERCO(18)                                                                             
|            | 10.30 |             |  | Management Agreement between Thirteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(18)                                                                           
|            | 10.31 |             |  | Management Agreement between Fourteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(18)                                                                           
|            | 10.32 |             |  | Management Agreement between Fifteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(19)                                                                            
|            | 10.33 |             |  | Management Agreement between Sixteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(19)                                                                            
|            | 10.34 |             |  | Management Agreement between Seventeen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(17)                                                                          
|            | 10.35 |             |  | Management Agreement between Eighteen SAC
    Self-Storage Corporation and U-Haul(20)                                                                                           
|            | 10.36 |             |  | Management Agreement between Nineteen SAC
    Self-Storage Limited Partnership and U-Haul(20)                                                                                   
|            | 10.37 |             |  | Management Agreement between Twenty SAC
    Self-Storage Corporation and U-Haul(20)                                                                                             
|            | 10.38 |             |  | Management Agreement between Twenty-One SAC
    Self-Storage Corporation and U-Haul(20)                                                                                         
|            | 10.39 |             |  | Management Agreement between Twenty-Two SAC
    Self-Storage Corporation and U-Haul(20)                                                                                         
|            | 10.40 |             |  | Management Agreement between Twenty-Three SAC
    Self-Storage Corporation and U-Haul(20)                                                                                       
|            | 10.41 |             |  | Management Agreement between Twenty-Four SAC Self
    Storage Limited Partnership and U-Haul(20)                                                                                
|            | 10.42 |             |  | Management Agreement between Twenty-Five SAC
    Self-Storage Limited Partnership and U-Haul(20)                                                                                
|            | 10.43 |             |  | Management Agreement between Twenty-Six SAC
    Self-Storage Limited Partnership and U-Haul(20)                                                                                 

50



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|            |        |             |  |                                                                                                                               
|----------- | ------ | ----------- |  | ------------------------------------------------------------------------------------------------------------------------------
|Exhibit No. |        | Description
|            |        |            
|            | 10.44  |             |  | Management Agreement between Twenty-Seven SAC
    Self-Storage Limited Partnership and U-Haul(20)                             
|            | 10.45  |             |  | 3-Year Credit Agreement with certain lenders
    named therein(20)                                                            
|            | 10.46  |             |  | Promissory Note between Four SAC Self-Storage
    Corporation and U-Haul International, Inc.(20)                              
|            | 10.46A |             |  | Amendment and Addendum to Promissory Note between
    Four SAC Self-Storage Corporation and U-Haul International,
    Inc.(20)
|            | 10.47  |             |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                         
|            | 10.48  |             |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                         
|            | 10.48A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)               
|            | 10.49  |             |  | Promissory Note between Five SAC Self-Storage
    Corporation and Nationwide Commercial Co.(20)                               
|            | 10.50  |             |  | Promissory Note between Five SAC Self-Storage
    Corporation and Nationwide Commercial Co.(20)                               
|            | 10.50A |             |  | Amendment and Addendum to Promissory Note between
    Five SAC Self-Storage Corporation and Nationwide Commercial
    Co.(20) 
|            | 10.51  |             |  | Promissory Note between Five SAC Self-Storage
    Corporation and U-Haul International, Inc.(20)                              
|            | 10.52  |             |  | Promissory Note between SAC Holding Corporation
    and Oxford Life Insurance Company(20)                                     
|            | 10.52A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Oxford Life Insurance Company(20)           
|            | 10.53  |             |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Company(20)                                     
|            | 10.53A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)               
|            | 10.54  |             |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                        
|            | 10.54A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and U-Haul International, Inc.(20)              
|            | 10.55  |             |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                        
|            | 10.55A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and U-Haul International, Inc.(20)              
|            | 10.56  |             |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                        
|            | 10.56A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and U-Haul International, Inc.(20)              
|            | 10.57  |             |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                         
|            | 10.57A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)               
|            | 10.58  |             |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                         
|            | 10.58A |             |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)               
|            | 10.59  |             |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                         
|            | 10.60  |             |  | Junior Promissory Note between SAC Holding
    Corporation and Nationwide Commercial Co.(20)                                  
|            | 10.61  |             |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                        
|            | 10.62  |             |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                        
|            | 10.63  |             |  | Promissory Note between SAC Financial Corporation
    and U-Haul International, Inc.(20)                                      
|            | 10.64  |             |  | 1997 AMERCO Support Party Agreement                                                                                           

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|            |       |             |  |                                                                                                                                                                    
|----------- | ----- | ----------- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit No. |       | Description
|            |       |            
|            | 10.65 |             |  | Private Mini Storage Realty,
    L.P. Non-Exoneration Agreement                                                                                                    
|            | 10.66 |             |  | 2003 AMERCO Support Party Agreement for the
    benefit of GMAC Commercial Holding Capital Corp.                                                                   
|            | 10.67 |             |  | Engagement Letter with Alvarez & Marsal,
    Inc. dated May 22, 2003                                                                                               
|            | 10.68 |             |  | Wells Fargo Foothill, Inc. Commitment Letter
    dated June 19, 2003                                                                                               
|            | 10.69 |             |  | State of Arizona Department of Insurance Notice
    of Determination, Order for Supervision and Consent Thereto                                                    
|            | 21    |             |  | Subsidiaries of AMERCO                                                                                                                                             
|            | 23.1  |             |  | Consent of Independent Certified Public
    Accountants                                                                                                            
|            | 23.2  |             |  | Report of Independent Certified Public Accountants                                                                                                                 
|            | 99.1  |             |  | Certificate of Edward J. Shoen, Chairman of the
    Board and President of AMERCO pursuant to Section 906 of
    the Sarbanes-Oxley Act of 2002                    
|            | 99.2  |             |  | Certificate of Gary B. Horton, Treasurer of
    AMERCO pursuant to Section 906 of the Sarbanes-Oxley Act of
    2002                                               
|            | 99.3  |             |  | Certificate of Edward J. Shoen, Chairman of
    the Board and President of U-Haul International, Inc. pursuant
    to Section 906 of the Sarbanes-Oxley Act of 2002
|            | 99.4  |             |  | Certificate of Gary B. Horton, Assistant
    Treasurer of U-Haul International, Inc. pursuant to
    Section 906 of the Sarbanes-Oxley Act of 2002                 



---



| |   |                                        
| | - | ---------------------------------------
| | * | Indicates compensatory plan arrangement



| |     |                                                                                                                                        
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------
| | (1) | Incorporated by reference to AMERCOs
    Registration Statement on Form S-3, Registration
    no. 333-1195.                           
|
| | (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
    Current Report on Form 8-K, dated May 6, 1996, file
    no. 1-11255.                         
|
| | (5) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1993,
    file no. 1-11255.          
|
| | (6) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1990,
    file no. 1-11255.          
|
| | (8) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 1995, file no. 1-11255.
|
| | (9) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K dated September 6, 1996,
    file no. 1-11255.                    



|     |                                                                                                                                       
|---- | --------------------------------------------------------------------------------------------------------------------------------------
|(10) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1999,
    file no. 1-11255.         
|    
|(11) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    December 31, 1997, file no. 1-11255.
|    
|(12) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1997,
    file no. 1-11255.         
|    
|(13) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    June 30, 1998, file no. 1-11255.    

52



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|     |                                                                                                                                        
|---- | ---------------------------------------------------------------------------------------------------------------------------------------
|(14) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K dated April 5, 1999, file
    no. 1-11255.                        
|    
|(15) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K dated February 4, 2000,
    file no. 1-11255.                     
|    
|(16) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 2000,
    file no. 1-11255.          
|    
|(17) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 2001,
    file no. 1-11255.          
|    
|(18) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 2001, file no. 1-11255.
|    
|(19) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    December 31, 2000, file no. 1-11255. 
|    
|(20) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 2002.                  

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##### Table of Contents



REPORT OF INDEPENDENT PUBLIC
ACCOUNTANTS

The Board of Directors and Stockholders of AMERCO

We have audited the accompanying consolidated
balance sheets of AMERCO and its subsidiaries, SAC Holding
Corporation and its subsidiaries, and SAC Holding
Corporation II and its subsidiaries (collectively, the
Company) as of March 31, 2003 and 2002, and the
related consolidated statements of operations, changes in
stockholders equity, comprehensive income/ (loss), and
cash flows for each of the three years in the period ended
March 31, 2003. These consolidated financial statements are
the responsibility of the Companys management. Our
responsibility is to express an opinion on these consolidated
financial statements based on our audits.

We conducted our audits 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 consolidated financial statements. An audit
also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating
the overall presentation of the financial statements. We believe
that our audits provide a reasonable basis for our opinion.

In our opinion, the consolidated financial
statements referred to above present fairly, in all material
respects, the financial position of AMERCO and its subsidiaries,
SAC Holding Corporation and its subsidiaries, and SAC Holding
Corporation II and its subsidiaries as of March 31,
2003 and 2002 and the results of their operations and their cash
flows for each of the three years in the period ended
March 31, 2003, in conformity with accounting principles
generally accepted in the United States of America.

The accompanying consolidated financial
statements have been prepared assuming the Company will continue
as a going concern, which contemplates the continuity of the
Companys operations and realization of its assets and
payments of its liabilities in the ordinary course of business.
As more fully described in Note 1 to the consolidated
financial statements, on June 20, 2003, AMERCO, the parent
corporation, filed a voluntary petition for reorganization under
Chapter 11 of the United States Bankruptcy Code. Amerco
Real Estate Company filed a voluntary petition for relief under
Chapter 11 on August 13, 2003. The uncertainties
inherent in the bankruptcy process raise substantial doubt about
AMERCOs ability to continue as a going concern. AMERCO is
currently operating its business as a debtor-in-possession under
the jurisdiction of the bankruptcy court, and continuation of
the Company as a going concern is contingent upon, among other
things, the confirmation of a plan of reorganization, the
Companys ability to comply with all debt covenants under
the existing debtor-in-possession financing arrangement, and
obtaining financing sources to meet its future obligations. If a
reorganization plan is not approved, it is possible some assets
of the Company may be liquidated. Managements plans in
regards to these matters are also described in Note 1. 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 the outcome of these
uncertainties.

As discussed in Note 2 to the accompanying
consolidated financial statements, the Company has restated the
consolidated balance sheet as of March 31, 2002, and the
related consolidated statements of operations, changes in
stockholders equity, comprehensive income/(loss), and cash
flows for the years ended March 31, 2002 and 2001.

Our audits were conducted for the purpose of
forming an opinion on the consolidated financial statements
taken as a whole. The consolidating balance sheets, statements
of operations schedules, statements of cash flows schedules, and
the summary of earnings of independent trailer fleets
information included on pages 107 through 109 of this
Form 10-K are presented for purposes of additional analysis
of the consolidated financial statements rather than to present
the financial position, results of operations, and cash flows of
the individual companies or the earnings of the independent
fleets. Accordingly, we do not express an opinion on the
financial position, results of operations, and cash flows of the
individual companies, or on the earnings of the

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##### Table of Contents



independent trailer fleets. However, such
information has been subjected to the auditing procedures
applied in the audit of the consolidated financial statements
and, in our opinion, is fairly stated in all material respects
in relation to the consolidated financial statements taken as a
whole.


/s/ BDO Seidman, LLP

Los Angeles, California

August 18, 2003


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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


CONSOLIDATED BALANCE SHEETS

|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |            |       |           | 
|---------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------------------ | ---------- | ----- | --------- | --------- | ---------- | ----- | --------- | 
|                                         |                                                                                                                                         |                                                                                                                                                        
|                                         |                                                                                                                                         | March 31,                                                                                                                                              
|                                         |                                                                                                                                         |                                                                                                                                                        
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            | Restated  
|                                         |                                                                                                                                         | 2003                                                                                                                                                    |                                            | 2002      
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |           
|                                         |                                                                                                                                         |                                                                                                                                                        
|                                         |                                                                                                                                         | (In thousands)                                                                                                                                         
|ASSETS                                  
|Cash and cash equivalents                |                                                                                                                                         | $                                                                                                                                                       | 66,834                                     |            |       | $         | 41,446    |           
|Trade receivables, net                   |                                                                                                                                         |                                                                                                                                                         | 263,737                                    |            |       |           | 274,870   |           
|Notes and mortgage receivables, net      |                                                                                                                                         |                                                                                                                                                         | 2,868                                      |            |       |           | 7,279     |           
|Inventories, net                         |                                                                                                                                         |                                                                                                                                                         | 53,270                                     |            |       |           | 65,776    |           
|Prepaid expenses                         |                                                                                                                                         |                                                                                                                                                         | 21,846                                     |            |       |           | 15,279    |           
|Investments, fixed maturities            |                                                                                                                                         |                                                                                                                                                         | 860,600                                    |            |       |           | 988,397   |           
|Investments, other                       |                                                                                                                                         |                                                                                                                                                         | 389,252                                    |            |       |           | 240,912   |           
|Deferred policy acquisition costs, net   |                                                                                                                                         |                                                                                                                                                         | 105,100                                    |            |       |           | 97,918    |           
|Deferred income taxes                    |                                                                                                                                         |                                                                                                                                                         | 32,242                                     |            |       |           | 6,045     |           
|Other assets                             |                                                                                                                                         |                                                                                                                                                         | 63,600                                     |            |       |           | 58,319    |           
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         |                                                                                                                                         |                                                                                                                                                         | 1,859,349                                  |            |       |           | 1,796,241 |           
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|Property, plant and equipment, at cost:  |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         | Land                                                                                                                                    |                                                                                                                                                         |                                            | 157,987    |       |           |           | 160,895    |      
|                                         | Buildings and improvements                                                                                                              |                                                                                                                                                         |                                            | 747,853    |       |           |           | 725,214    |      
|                                         | Furniture and equipment                                                                                                                 |                                                                                                                                                         |                                            | 291,383    |       |           |           | 288,711    |      
|                                         | Rental trucks                                                                                                                           |                                                                                                                                                         |                                            | 1,140,294  |       |           |           | 1,071,604  |      
|                                         | Rental trailers and other rental equipment                                                                                              |                                                                                                                                                         |                                            | 149,707    |       |           |           | 162,768    |      
|                                         | SAC Holdings property plant and equipment                                                                                               |                                                                                                                                                         |                                            | 757,292    |       |           |           | 727,630    |      
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         |                                                                                                                                         |                                                                                                                                                         | 3,244,516                                  |            |       |           | 3,136,822 |           
|                                         | Less accumulated depreciation                                                                                                           |                                                                                                                                                         |                                            | (1,298,199 | )     |           |           | (1,200,746 | )    
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         |                                                                                                                                         |                                                                                                                                                         | Total property, plant and equipment        |            |       | 1,946,317 |           |            |       | 1,936,076 | 
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         |                                                                                                                                         |                                                                                                                                                         | Total assets                               |            | $     | 3,805,666 |           |            |       | 3,732,317 | 
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                        
|LIABILITIES AND STOCKHOLDERS
    EQUITY
|Liabilities:                             |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         | Accounts payable and accrued expenses                                                                                                   |                                                                                                                                                         | $                                          | 387,017    |       |           |           | 233,874    |      
|                                         | AMERCOS notes and loans payable                                                                                                        |                                                                                                                                                         |                                            | 954,856    |       |           |           | 1,045,801  |      
|                                         | SAC Holdings notes and loans payable,
    non-recourse to AMERCO                                                                       |                                                                                                                                                         |                                            | 589,019    |       |           |           | 561,887    |      
|                                         | Policy benefits and losses, claims and loss
    expenses payable                                                                        |                                                                                                                                                         |                                            | 836,632    |       |           |           | 819,583    |      
|                                         | Liabilities from investment contracts                                                                                                   |                                                                                                                                                         |                                            | 639,998    |       |           |           | 572,793    |      
|                                         | Other policyholders funds and liabilities                                                                                              |                                                                                                                                                         |                                            | 30,309     |       |           |           | 73,597     |      
|                                         | Deferred income                                                                                                                         |                                                                                                                                                         |                                            | 40,387     |       |           |           | 43,258     |      
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         |                                                                                                                                         |                                                                                                                                                         | Total liabilities                          |            |       | 3,478,218 |           |            |       | 3,350,793 | 
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|Stockholders equity:                    |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         | Serial preferred stock, with or without par
    value, 50,000,000 shares authorized                                                    |                                                                                                                                                         |                                            |            |       |           |           |            |      
|                                         |                                                                                                                                         | Series A preferred stock, with no par value,
    6,100,000 shares authorized; 6,100,000 shares issued and
    outstanding as of March 31, 2003 and 2002 |                                            |            |       |           |           |            |       |          
|                                         |                                                                                                                                         | Series B preferred stock, with no par value,
    100,000 shares authorized; none issued and outstanding as
    of March 31, 2003 and 2002.              |                                            |            |      |           |           |            |      |          
|                                         | Serial common stock, with or without par value,
    150,000,000 shares authorized                                                      |                                                                                                                                                         |                                            |            |       |           |           |            |      
|                                         |                                                                                                                                         | Series A common stock of $0.25 par value,
    10,000,000 shares authorized; 5,662,496 shares issued as of
    March 31, 2003 and 2002.                  |                                            |            | 1,441 |           |           |            | 1,441 |          
|                                         | Common stock of $0.25 par value,
    150,000,000 shares authorized; 35,664,367 and 35,919,281
    issued as of March 31, 2003 and 2002. |                                                                                                                                                         |                                            | 9,122      |       |           |           | 9,122      |      
|                                         | Additional paid-in capital                                                                                                              |                                                                                                                                                         |                                            | 238,983    |       |           |           | 239,492    |      
|                                         | Accumulated other comprehensive income/ (loss)                                                                                          |                                                                                                                                                         |                                            | (55,765    | )     |           |           | (40,580    | )    
|                                         | Retained earnings                                                                                                                       |                                                                                                                                                         |                                            | 568,222    |       |           |           | 606,171    |      
|                                         | Cost of common shares in treasury, net
    (20,969,663 and 20,850,763 shares as of March 31, 2003
    and 2002, respectively)           |                                                                                                                                                         |                                            | (421,378   | )     |           |           | (419,970   | )    
|                                         | Unearned employee stock ownership plan shares                                                                                           |                                                                                                                                                         |                                            | (13,177    | )     |           |           | (14,152    | )    
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         |                                                                                                                                         |                                                                                                                                                         | Total stockholders equity                 |            |       | 327,448   |           |            |       | 381,524   | 
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           
|                                         |                                                                                                                                         |                                                                                                                                                         | Total liabilities and stockholders equity |            | $     | 3,805,666 |           |            | $     | 3,732,317 | 
|                                         |                                                                                                                                         |                                                                                                                                                         |                                            |            |       |           |           |           

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

56



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


CONSOLIDATED STATEMENTS OF
OPERATIONS

|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |            |           | 
|-------------------------------------------------------- | ------------------------------------------ | ----------------------------------------------- | ------- | ---------- | --------- | -------- | ------- | ---------- | --------- |  | ------- | ---------- | --------- | 
|                                                         |                                            |                                                
|                                                         |                                            | Years Ended March 31,                          
|                                                         |                                            |                                                
|                                                         |                                            |                                                 |         | Restated   |           | Restated
|                                                         |                                            | 2003                                            |         | 2002       |           | 2001    
|                                                         |                                            |                                                 |         |            |           |         
|                                                         |                                            |                                                
|                                                         |                                            | (In thousands, except share and per share data)
|Revenues                                                 |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|                                                         | Rental revenue                             |                                                 | $       | 1,560,005  |           |          |         | 1,512,250  |           |  |         | 1,436,832  |          
|                                                         | Net sales                                  |                                                 |         | 222,889    |           |          |         | 222,816    |           |  |         | 212,243    |          
|                                                         | Premiums                                   |                                                 |         | 307,925    |           |          |         | 411,170    |           |  |         | 328,108    |          
|                                                         | Net investment and interest income         |                                                 |         | 41,568     |           |          |         | 47,343     |           |  |         | 52,297     |          
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|                                                         |                                            | Total revenues                                  |         |            | 2,132,387 |          |         |            | 2,193,579 |  |         |            | 2,029,480 | 
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|Costs and expenses                                       |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|                                                         | Operating expenses                         |                                                 |         | 1,134,460  |           |          |         | 1,146,305  |           |  |         | 1,076,307  |          
|                                                         | Commission expenses                        |                                                 |         | 136,827    |           |          |         | 140,442    |           |  |         | 132,865    |          
|                                                         | Cost of sales                              |                                                 |         | 115,115    |           |          |         | 122,694    |           |  |         | 126,506    |          
|                                                         | Benefits and losses                        |                                                 |         | 281,868    |           |          |         | 423,709    |           |  |         | 331,079    |          
|                                                         | Amortization of deferred acquisition costs |                                                 |         | 37,819     |           |          |         | 40,674     |           |  |         | 36,232     |          
|                                                         | Lease expense                              |                                                 |         | 179,642    |           |          |         | 174,664    |           |  |         | 175,460    |          
|                                                         | Depreciation, net                          |                                                 |         | 137,446    |           |          |         | 102,957    |           |  |         | 103,807    |          
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|                                                         |                                            | Total costs and expenses                        |         |            | 2,023,177 |          |         |            | 2,151,445 |  |         |            | 1,982,256 | 
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|Earnings from operations                                 |                                            |                                                 | 109,210 |            |           |          | 42,134  |            |           |  | 47,224  |           
|                                                         | Interest expense                           |                                                 |         | 148,131    |           |          |         | 109,465    |           |  |         | 111,878    |          
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|Pretax earnings/(loss)                                   |                                            |                                                 | (38,921 | )          |           |          | (67,331 | )          |           |  | (64,654 | )         
|Income tax benefit/(expense)                             |                                            |                                                 | 13,935  |            |           |          | 19,891  |            |           |  | 22,544  |           
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|                                                         | Net earnings/(loss)                        |                                                 | $       | (24,986    | )         |          |         | (47,440    | )         |  |         | (42,110    | )        
|Less: Preferred stock dividends                          |                                            |                                                 | (12,963 | )          |           |          | (12,963 | )          |           |  | (12,963 | )         
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|Net earnings/(loss) available to common
    shareholders |                                            | $                                               | (37,949 | )          |           |          | (60,403 | )          |           |  | (55,073 | )         
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|Basic and diluted loss per common share:                 |                                            | $                                               | (1.83   | )          |           |          | (2.87   | )          |           |  | (2.56   | )         
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|Weighted average common shares outstanding:              |                                            |                                                 |         |            |           |          |         |            |           |  |         |           
|                                                         | Basic and diluted                          |                                                 |         | 20,743,072 |           |          |         | 21,022,712 |           |  |         | 21,486,370 |          
|                                                         |                                            |                                                 |         |            |           |          |         |            |           |  |         |           

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

57



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


CONSOLIDATED STATEMENTS OF CHANGES IN
STOCKHOLDERS EQUITY

|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |          |         |         |  
|--------------------------------------------------------------------------------------------------------------------------------------------------- | -------------------------------------------------------------------------------- | --------------------------------------------------------------------------- | ------------------------------------------------------ | -------- | ------- | -------- | ------- | -------- | ------- | ------- | ------- | -------- | ------- | ------- | -
|                                                                                                                                                    |                                                                                  |                                                                            
|                                                                                                                                                    |                                                                                  | Years Ended March 31,                                                      
|                                                                                                                                                    |                                                                                  |                                                                            
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        | Restated |         | Restated
|                                                                                                                                                    |                                                                                  | 2003                                                                        |                                                        | 2002     |         | 2001    
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |         
|                                                                                                                                                    |                                                                                  |                                                                            
|                                                                                                                                                    |                                                                                  | (In thousands)                                                             
|Series A common stock of $0.25 par value:                                                                                                           |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | 10,000,000 shares authorized; 5,662,496 shares
    issued in 2003, 2002 and 2001 |                                                                             |                                                        |          |         |          |         |          |         |         |         |          |        
|                                                                                                                                                    |                                                                                  | Beginning and end of year                                                   |                                                        | $        | 1,441   |          |         |          | 1,441   |         |         |          | 1,441   |        
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|Common stock of $0.25 par value:
    150,000,000 shares authorized; 35,664,367, 35,919,281, and
    35,919,281 shares issued in 2003, 2002 and 2001 |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    |                                                                                  | Beginning and end of year                                                   |                                                        |          | 9,122   |          |         |          | 9,122   |         |         |          | 9,122   |        
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|Additional paid-in capital:                                                                                                                         |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | Beginning of year                                                                |                                                                             |                                                        | 239,492  |         |          |         | 239,403  |         |         |         | 239,307  |        
|                                                                                                                                                    |                                                                                  | Issuance of common shares under leveraged
    employee stock ownership plan |                                                        |          | (509    | )        |         |          | 89      |         |         |          | 96      |        
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | End of year                                                                      |                                                                             |                                                        | 238,983  |         |          |         | 239,492  |         |         |         | 239,403  |        
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|Accumulated other comprehensive income:                                                                                                             |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | Beginning of year                                                                |                                                                             |                                                        | (40,580  | )       |          |         | (45,197  | )       |         |         | (44,879  | )      
|                                                                                                                                                    |                                                                                  | Foreign currency translation                                                |                                                        |          | 3,781   |          |         |          | (25,031 | )       |         |          | (7,253  | )      
|                                                                                                                                                    |                                                                                  | Fair market value of cash flow hedge                                        |                                                        |          | (6,318  | )        |         |          | 8,942   |         |         |          | (1,186  | )      
|                                                                                                                                                    |                                                                                  | Unrealized gain (loss) on investments                                       |                                                        |          | (12,648 | )        |         |          | 20,706  |         |         |          | 8,121   |        
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | End of year                                                                      |                                                                             |                                                        | (55,765  | )       |          |         | (40,580  | )       |         |         | (45,197  | )      
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|Retained earnings:                                                                                                                                  |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | Beginning of year                                                                |                                                                             |                                                        | 606,171  |         |          |         | 666,574  |         |         |         | 721,647  |        
|                                                                                                                                                    |                                                                                  | Net earnings/(loss)                                                         |                                                        |          | (24,986 | )        |         |          | (47,440 | )       |         |          | (42,110 | )      
|                                                                                                                                                    |                                                                                  | Preferred stock dividends:                                                  |                                                        |          |         |          |         |          |         |         |         |          |         |        
|                                                                                                                                                    |                                                                                  |                                                                             | Series A ($2.13 per share for 2003, 2002 and
    2001) |          |         | (12,963  | )       |          |         | (12,963 | )       |          |         | (12,963 | )
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | End of year                                                                      |                                                                             |                                                        | 568,222  |         |          |         | 606,171  |         |         |         | 666,574  |        
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|Less treasury stock:                                                                                                                                |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | Beginning of year                                                                |                                                                             |                                                        | (419,970 | )       |          |         | (409,816 | )       |         |         | (400,199 | )      
|                                                                                                                                                    |                                                                                  | Net increase                                                                |                                                        |          | (1,408  | )        |         |          | (10,154 | )       |         |          | (9,617  | )      
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | End of year                                                                      |                                                                             |                                                        | (421,378 | )       |          |         | (419,970 | )       |         |         | (409,816 | )      
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|Less Unearned employee stock ownership plan
    shares:                                                                                             |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | Beginning of year                                                                |                                                                             |                                                        | (14,152  | )       |          |         | (15,173  | )       |         |         | (16,366  | )      
|                                                                                                                                                    |                                                                                  | Purchase of shares                                                          |                                                        |          |         |          |         |          | (72     | )       |         |          | (46     | )      
|                                                                                                                                                    |                                                                                  | Shares allocated to participants                                            |                                                        |          | 975     |          |         |          | 1,093   |         |         |          | 1,239   |        
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|                                                                                                                                                    | End of year                                                                      |                                                                             |                                                        | (13,177  | )       |          |         | (14,152  | )       |         |         | (15,173  | )      
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         
|Total stockholders equity                                                                                                                          |                                                                                  | $                                                                           | 327,448                                                |          |         |          | 381,524 |          |         |         | 446,354 |         
|                                                                                                                                                    |                                                                                  |                                                                             |                                                        |          |         |          |         |          |         |         |         |         

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

58



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


CONSOLIDATED STATEMENTS OF OTHER COMPREHENSIVE
INCOME/(LOSS)

|                             |                     |                                              |   |          |         |          |  |         |         |   |  |         |         |  
|---------------------------- | ------------------- | -------------------------------------------- | - | -------- | ------- | -------- |  | ------- | ------- | - |  | ------- | ------- | -
|                             |                     |                                             
|                             |                     | Years Ended March 31,                       
|                             |                     |                                             
|                             |                     |                                              |   | Restated |         | Restated
|                             |                     | 2003                                         |   | 2002     |         | 2001    
|                             |                     |                                              |   |          |         |         
|                             |                     |                                             
|                             |                     | (In thousands)                              
|Comprehensive income/(loss): |                     |                                              |   |          |         |          |  |         |         |   |  |        
|                             | Net earnings/(loss) |                                              | $ | (24,986  | )       |          |  | (47,440 | )       |   |  | (42,110 | )      
|                             |                     | Other comprehensive income/(loss) net of tax |   |          |         |          |  |         |         |   |  |         |         |  
|                             |                     | Foreign currency translation                 |   |          | 3,781   |          |  |         | (25,031 | ) |  |         | (7,253  | )
|                             |                     | Fair market value of cash flow hedges        |   |          | (6,318  | )        |  |         | 8,942   |   |  |         | (1,186  | )
|                             |                     | Unrealized gain (loss) on investments, net   |   |          | (12,648 | )        |  |         | 20,706  |   |  |         | 8,121   |  
|                             |                     |                                              |   |          |         |          |  |         |         |   |  |        
|                             |                     | Total comprehensive income/(loss)            |   | $        | (40,171 | )        |  |         | (42,823 | ) |  |         | (42,428 | )
|                             |                     |                                              |   |          |         |          |  |         |         |   |  |        

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

59



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


CONSOLIDATED STATEMENTS OF CASH
FLOWS

|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |          |          |  
|---------------------------------------------------- | -------------------------------------------------------- | ----------------------------- | ------- | -------- | -------- | -------- | -------- | -------- | -------- | - | -------- | -------- | -------- | -
|                                                     |                                                          |                              
|                                                     |                                                          | Years Ended March 31,        
|                                                     |                                                          |                              
|                                                     |                                                          |                               |         | Restated |          | Restated
|                                                     |                                                          | 2003                          |         | 2002     |          | 2001    
|                                                     |                                                          |                               |         |          |          |         
|                                                     |                                                          |                              
|                                                     |                                                          | (In thousands)               
|Cash flows from operating activities:                |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Net earnings/(loss)                                  |                                                          | $                             | (24,986 | )        |          |          | (47,440  | )        |          |   | (42,110  | )       
|                                                     | Depreciation and amortization                            |                               |         | 185,833  |          |          |          | 149,058  |          |   |          | 148,026  |         
|                                                     | Provision for losses on accounts receivable              |                               |         | 3,903    |          |          |          | 5,682    |          |   |          | 4,311    |         
|                                                     | Net gain on sale of real and personal property           |                               |         | (10,515  | )        |          |          | (3,526   | )        |   |          | (13,302  | )       
|                                                     | Loss on sale of investments                              |                               |         | 9,497    |          |          |          | 5,923    |          |   |          | 6,738    |         
|                                                     | Changes in policy liabilities and accruals               |                               |         | (78,314  | )        |          |          | (6,561   | )        |   |          | 62,673   |         
|                                                     | Additions to deferred policy acquisition costs           |                               |         | (42,663  | )        |          |          | (39,252  | )        |   |          | (42,535  | )       
|                                                     | Net change in other operating assets and
    liabilities |                               |         | 31,775   |          |          |          | (83,515  | )        |   |          | 48,829   |         
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Net cash provided(used)by operating activities       |                                                          |                               | 74,530  |          |          |          | (19,631  | )        |          |   | 172,630  |         
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Cash flows from investing activities:                |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|                                                     | Purchases of investments:                                |                               |         |          |          |          |          |          |          |   |          |          |         
|                                                     |                                                          | Property, plant and equipment |         |          | (243,161 | )        |          |          | (381,483 | ) |          |          | (617,274 | )
|                                                     |                                                          | Fixed maturities              |         |          | (278,357 | )        |          |          | (257,559 | ) |          |          | (122,864 | )
|                                                     |                                                          | Common stock                  |         |          |         |          |          |          | (418     | ) |          |          | (31,773  | )
|                                                     |                                                          | Preferred stock               |         |          |         |          |          |          | (2,072   | ) |          |          |         |  
|                                                     |                                                          | Other asset investment        |         |          | (1,410   | )        |          |          | (2,259   | ) |          |          | (5,915   | )
|                                                     |                                                          | Real estate                   |         |          | (21,759  | )        |          |          | 4,277    |   |          |          | (26      | )
|                                                     |                                                          | Mortgage loans                |         |          |         |          |          |          | (1,351   | ) |          |          | (22,563  | )
|                                                     | Proceeds from sales of investments:                      |                               |         |          |          |          |          |          |          |   |          |          |         
|                                                     |                                                          | Property, plant and equipment |         |          | 96,889   |          |          |          | 229,375  |   |          |          | 354,240  |  
|                                                     |                                                          | Fixed maturities              |         |          | 364,114  |          |          |          | 233,716  |   |          |          | 152,761  |  
|                                                     |                                                          | Common stock                  |         |          |         |          |          |          |         |   |          |          | 6,194    |  
|                                                     |                                                          | Preferred stock               |         |          | 2,885    |          |          |          | 4,400    |   |          |          | 372      |  
|                                                     |                                                          | Real estate                   |         |          | 22,043   |          |          |          | 3,700    |   |          |          |         |  
|                                                     |                                                          | Mortgage loans                |         |          | 18,173   |          |          |          | 18,690   |   |          |          | 17,224   |  
|                                                     | Changes in other investments                             |                               |         | 4,481    |          |          |          | 2,897    |          |   |          |         |         
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Net cash (used) by investing activities              |                                                          |                               | (36,102 | )        |          |          | (148,087 | )        |          |   | (269,624 | )       
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Cash flows from financing activities:                |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|                                                     | Net change in short-term borrowings                      |                               |         | 21,900   |          |          |          | (9,277   | )        |   |          | 156,070  |         
|                                                     | Proceeds from notes                                      |                               |         | 349,836  |          |          |          | 247,893  |          |   |          | 94,077   |         
|                                                     | Debt issuance costs                                      |                               |         | (3,010   | )        |          |          | (390     | )        |   |          | (694     | )       
|                                                     | Leveraged Employee Stock Ownership Plan:                 |                               |         |          |          |          |          |          |          |   |          |          |         
|                                                     |                                                          | Purchase of shares            |         |          |         |          |          |          | (72      | ) |          |          | (46      | )
|                                                     |                                                          | Payments on loan              |         |          | 975      |          |          |          | 1,093    |   |          |          | 1,239    |  
|                                                     | Principal payments on notes                              |                               |         | (442,112 | )        |          |          | (107,181 | )        |   |          | (143,594 | )       
|                                                     | Treasury stock acquisitions, net                         |                               |         | (1,408   | )        |          |          | (10,154  | )        |   |          | (9,617   | )       
|                                                     | Preferred stock dividends paid                           |                               |         | (6,480   | )        |          |          | (12,963  | )        |   |          | (12,963  | )       
|                                                     | Investment contract deposits                             |                               |         | 165,281  |          |          |          | 150,432  |          |   |          | 86,657   |         
|                                                     | Investment contract withdrawals                          |                               |         | (98,022  | )        |          |          | (99,845  | )        |   |          | (72,953  | )       
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Net cash provided (used) by financing activities     |                                                          |                               | (13,040 | )        |          |          | 159,536  |          |          |   | 98,176   |         
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Increase (decrease) in cash and cash
    equivalents |                                                          |                               | 25,388  |          |          |          | (8,182   | )        |          |   | 1,182    |         
|Cash and cash equivalents at beginning of year       |                                                          |                               | 41,446  |          |          |          | 49,628   |          |          |   | 48,446   |         
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         
|Cash and cash equivalents at end of year             |                                                          | $                             | 66,834  |          |          |          | 41,446   |          |          |   | 49,628   |         
|                                                     |                                                          |                               |         |          |          |          |          |          |          |   |          |         

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

60



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS

1.     Summary of
Significant Accounting Policies



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

AMERCO, a Nevada corporation
(AMERCO), is the holding company for U-Haul
International, Inc. (U-Haul), which conducts moving
and storage operations; Amerco Real Estate Company (Real
Estate), which conducts real estate operations; Republic
Western Insurance Company (RepWest), which conducts
property and casualty insurance operations; and Oxford Life
Insurance Company (Oxford), which conducts life
insurance operations. Unless the context otherwise requires, the
term Company refers to AMERCO and all of its legal
subsidiaries. All references to a fiscal year refer to
AMERCOs fiscal year ended March 31 of that year.

SAC Holding Corporation and SAC Holding II
Corporation and their consolidated subsidiaries (collectively
referred to as SAC Holdings) are majority owned by Mark V.
Shoen. Mark V. Shoen is the beneficial owner of 16.3% of
AMERCOs common stock and is an executive officer of U-Haul.



| |                    
| | -------------------
| | 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 will continue 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 accompanying consolidated financial
statements have been prepared assuming the Company will continue
as a going concern, which contemplates the continuity of the
Companys operations and realization of its assets and
payments of its liabilities in the ordinary course of business.
The uncertainties inherent in the bankruptcy process raise
substantial doubt about AMERCOs ability to continue as a
going concern. AMERCO is currently operating its business as a
debtor-in-possession under the jurisdiction of the bankruptcy
court, and continuation of the Company as a going concern is
contingent upon, among other things, the confirmation of a plan
of reorganization, the Companys ability to comply with all
debt covenants under the existing debtor-in-possession financing
arrangement, and obtaining financing sources to meet its future
obligations. If a reorganization plan is not approved, it is
possible some assets of the Company may be liquidated. 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 the outcome of these
uncertainties.

The Chapter 11 filing was undertaken to
facilitate a restructuring of AMERCOs debt in response to
liquidity issues which developed during the second half of 2002.
In February 2002, the Companys prior independent auditor
advised the Company that its financial statements would have to
be consolidated for reporting purposes with those of SAC
Holdings. This consolidation, and the resulting lack of clarity
regarding AMERCOs operating results and financial
condition, contributed substantially and directly to a series of
significant developments adversely impacting the Companys
access to capital. The consolidation of SAC Holdings resulted in
a material decrease in the Companys reported net earnings
and net worth and a corresponding increase in its consolidated
leverage ratios. Consolidating SAC Holdings also required a
costly and time-consuming restatement of prior period results
that led to the untimely filing of quarterly and annual reports
with the Securities and Exchange Commission.

61



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

As the situation was occurring, AMERCO was
attempting to negotiate the replacement of its $400 million
credit facility with JP Morgan Chase. On June 28,
2002, AMERCO entered into a new credit facility with
JP Morgan Chase, which reduced AMERCOs line of credit
to $205 million. The terms of the new JP Morgan Chase
facility required that AMERCO raise $150 million through a
capital markets transaction prior to October 15, 2002.
Additionally AMERCO had payments for principal and related swap
arrangements under AMERCOs Series 1997-C Bond Backed
Asset Trust (BBAT) maturing October 15, 2002.
In response to these requirements, AMERCO undertook a
$275 million bond offering. The bond offering was
ultimately unsuccessful, exemplifying AMERCOs
significantly reduced access to the capital markets to meet its
financial needs due to, among other things, the confusion and
adverse perception resulting from the SAC Holdings
consolidation. On October 15, 2002, AMERCO defaulted on the
repayment of the BBATs, which led to cross-defaults and an
acceleration of substantially all of the other outstanding
instruments in the Companys debt structure.

Since that time, AMERCO has continuously
negotiated with its creditor groups to attempt to reach a
consensual restructuring arrangement that would provide for the
repayment of all creditors and the maintenance of AMERCOs
existing equity. However, while substantial progress has been
made in negotiations with certain key creditor constituencies,
the complexity of AMERCOs capital structure and the
diversity of interests of the creditor groups has made an
equitable and consensual restructuring, outside of formal
reorganization proceedings, exceedingly difficult. Accordingly,
AMERCO filed its Chapter 11 proceeding to provide the
structure and framework to finalize and implement a
restructuring of all of its debt.

We have secured from Wells Fargo Foothill a
$300 million debtor-in-possession financing facility (the
DIP Facility), and a commitment for a
$650 million bankruptcy emergence facility. These financing
arrangements provide the basic foundation upon which AMERCO
plans to build its reorganization plan. On August 13, 2003,
Amerco Real Estate Company (Real Estate) was filed
into Chapter 11 proceedings in order to facilitate granting
security to the lending group in real estate assets. Real Estate
administers all of the Companys real property and owns
approximately 90 percent of the Companys real estate
assets.

The exit or emergence financing facility will be
used to fund cash payments to AMERCOs creditors, with the
balance of the creditor claims being paid through the issuance
of new, restructured debt securities at market interest rates.
Notwithstanding AMERCOs default on the BBATs in October
2002, and the resulting cross-defaults under AMERCOs other
debt facilities, until the Petition Date AMERCO has remained
current in interest payments on all of its debt obligations, in
many cases at default interest rates.

In order to exit Chapter 11 successfully,
AMERCO will need to propose, and obtain confirmation by the
Bankruptcy Court of, a plan of reorganization that satisfies the
requirements of the Bankruptcy Code. A plan of reorganization
would resolve, among other things, AMERCOs pre-petition
obligations and set forth the revised capital structure. The
timing of filing a plan of reorganization by AMERCO will depend
on the timing and outcome of numerous other ongoing matters in
the Chapter 11 case. Although AMERCO expects to file 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.

Under Section 362 of the Bankruptcy Code,
the filing of a bankruptcy petition automatically stays most
actions against a debtor, including most actions to collect
pre-petition indebtedness or to exercise control over the
property of the debtors estate. Absent an order of the
Bankruptcy Court, substantially all pre-petition liabilities are
subject to settlement under the plan of reorganization.

62



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Under Section 365 of the Bankruptcy Code,
AMERCO may assume, assume and assign, or reject certain
executory contracts and unexpired leases, subject to the
approval of the Bankruptcy Court and certain other conditions.
In general, rejection of an unexpired lease or executory
contract is treated as a pre-petition breach of the lease or
contract in question. Subject to certain exceptions, this
rejection relieves AMERCO of performing its future obligations
under that lease or contract but entitles the lessor or contract
counterparty to a pre-petition general unsecured claim for
damages caused by the deemed breach.

Counterparties to these rejected contracts or
leases may file proofs of claim against AMERCOs estate for
such damages. Generally, the assumption of an executory contract
or unexpired lease requires a debtor to cure most existing
defaults under such executory contract or unexpired lease.

The United States Trustee for the District of
Nevada (the U.S. Trustee) has appointed an
official committee of unsecured creditors (the
Creditors Committee) and an Equity Committee.
The Creditors Committee and Equity Committee and their
respective legal representatives have a right to be heard on
certain matters that come before the Bankruptcy Court. There can
be no assurance that the Creditors Committee and Equity
Committee will support AMERCOs positions or AMERCOs
ultimate plan of reorganization, once proposed, and
disagreements between AMERCO and the Creditors Committee
and Equity Committee could protract the Chapter 11 case,
could negatively impact AMERCOs ability to operate during
the Chapter 11 case, and could prevent AMERCOs
emergence from Chapter 11. At this time, it is not possible
to predict accurately the effect of the Chapter 11
reorganization process on the Companys business or when
AMERCO may emerge from Chapter 11. 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 expects to file
and 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, if any, 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.



| |                  
| | -----------------
| | Reclassifications

Certain reclassifications have been made to the
2002 and 2001 financial statements to conform to the 2003
presentation.



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

The consolidated financial statements include the
accounts of AMERCO and its wholly-owned subsidiaries and SAC
Holdings and their subsidiaries. All material intercompany
accounts and transactions have been eliminated in consolidation.
Except for minority investments made by RepWest and Oxford in a
SAC Holdings-controlled limited partnership, which holds
Canadian self-storage properties, the Company has not had any
equity ownership interest in SAC Holdings.

RepWest, which consists of Republic Western
Insurance Company and its wholly-owned subsidiary North American
Fire & Casualty Insurance Company (NAFCIC), and
Oxford, which consists of Oxford Life Insurance company and its
wholly-owned subsidiaries North American Insurance Company
(NAI) and Christian Fidelity Life Insurance Company
(CFLIC), have been consolidated on the basis of
calendar years ended December 31. Accordingly, all
references to the years 2002, 2001 and 2000 correspond to
AMERCOs fiscal years 2003, 2002, and 2001, respectively.

63



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The operating results and financial position of
AMERCOs consolidated insurance operations are determined
as of December 31 of each year. There were no effects
related to intervening events between January 1 and
March 31 of 2003, 2002, or 2001 that would materially
affect the consolidated financial position or results of
operations for the financial statements presented herein.

See Note 22 for additional information
regarding the insurance subsidiaries and for financial
information regarding the industry segments.



| |                                     
| | ------------------------------------
| | Description of Operating
    Segment

U-Haul moving and self-storage operations consist
of the rental of trucks and trailers, sales of moving supplies,
sales of trailer hitches, sales of propane, and the rental of
self-storage spaces to the do-it-yourself mover. Operations are
conducted under the registered tradename U-Haul® throughout
the United States and Canada.

SAC moving and self-storage operations consist of
the rental of self-storage spaces, sales of moving supplies,
sales of trailer hitches, and sales of propane. In addition, SAC
functions as an independent dealer and earns commissions from
the rental of U-Haul trucks and trailers. Operations are
conducted under the registered tradename U-Haul® throughout
the United States and Canada.

Real Estate owns approximately 90% of the
Companys real estate assets, including U-Haul Center and
Storage locations. The remainder of the real estate assets are
owned by various U-Haul entities. Real Estate is responsible for
overseeing property acquisitions, dispositions and managing
environmental risks of the properties.

RepWest originates and reinsures property and
casualty insurance products for various market participants,
including independent third parties, U-Hauls customers,
and the Company.

Oxford originates and reinsures annuities, credit
life and disability, life insurance, and supplemental health
products. Oxford also administers the self-insured employee
health and dental plans for the Company.



| |                 
| | ----------------
| | Foreign Currency

The consolidated financial statements include the
accounts of U-Haul Co. (Canada) Ltd., a subsidiary of U-Haul.
The assets and liabilities, denominated in foreign currency, are
translated into U.S. dollars at the exchange rate as of the
balance sheet date. Revenue and expense amounts are translated
at average monthly exchange rates. The related translation gains
or losses are included in the Consolidated Statements of Changes
in Stockholders Equity and Consolidated Statements of
Comprehensive Income/(Loss).



| |                     
| | --------------------
| | Accounting Estimates

The preparation of financial statements in
conformity with generally accepted accounting principles
requires management to make estimates and assumptions that
affect the reported amounts in the financial statements and
accompanying notes. Actual results could differ from those
estimates.



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

The Company and SAC Holdings consider liquid
investments with an original maturity of three months or less to
be cash equivalents.

64



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



| |                             
| | ----------------------------
| | Revenue Recognition Policies

Rental revenue is recognized over the period
trucks and equipment are rented. Sales are recognized at the
time title passes and the customer accepts delivery. Premium
revenues are recognized over the policy periods. Interest and
investment income are recognized as earned.



| |            
| | -----------
| | Receivables

Accounts receivable include trade accounts from
customers and dealers. RepWest and Oxford receivables include
premiums and agents balances due, net of commissions
payable and amounts due from ceding reinsurers. Accounts
receivable are reduced by amounts considered by management to be
uncollectible based on historical collection loss experience and
a review of the current status of existing receivables.

Notes and mortgage receivables include accrued
interest and are reduced by discounts and amounts considered by
management to be uncollectible.



| |            
| | -----------
| | Inventories

Inventories are valued at the lower of cost or
market. Cost is primarily determined using the LIFO (last-in,
first-out) method.



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

Fixed maturities consist of bonds and redeemable
preferred stocks. Fair values for investments are based on
quoted market prices, dealer quotes or discounted cash flows.
Fixed maturities are classified as follows:



| |   |                                                                                                                                                                                                                                                                                                                                                                                            
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | Held-to-maturity  recorded at cost
    adjusted for the amortization of premiums or accretion of
    discounts.                                                                                                                                                                                                                                                                           
|
| |  | Available-for-sale  recorded at fair
    value with unrealized gains or losses reported on a net basis in
    the Consolidated Statements of Changes in Stockholders
    Equity unless such changes are deemed to be other than
    temporary. Gains and losses on the sale of these securities are
    reported as a component of revenues using the specific
    identification method.

Mortgage loans & notes on real
estate  at unpaid balances, net of allowance for
possible losses and any unamortized premium or discount.

Real estate  at cost less accumulated
depreciation.

Policy loans  at their unpaid balance.

Investment income is recognized as follows:



| |   |                                                                                                                                                                                        
| | - | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | Interest on bonds and mortgage loans &
    notes  recognized when earned.                                                                                                             
|
| |  | Dividends on common and redeemable preferred
    stocks  recognized on ex-dividend dates.                                                                                             
|
| |  | Realized gains and losses on the sale of
    investments  recognized at the trade date and
    included in revenues using the specific identification method.                         
|
| |  | Short-term investments consist of other
    securities scheduled to mature within one year of their
    acquisition date. See Note 5 of Notes to Consolidated
    Financial Statements.

65



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)



| |                                      
| | -------------------------------------
| | Deferred Policy Acquisition
    Costs

Commissions and other costs, which vary with and
are primarily related to the production of new business have
been deferred.

For Oxford, costs are amortized in relation to
revenue such that costs are realized as a constant percentage of
revenue.

For RepWest, costs are amortized over the related
contract period which generally do not exceed one year.



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

Property, plant and equipment are carried at cost
and are depreciated on the straight-line and accelerated methods
over the estimated useful lives of the assets. Building and
non-rental equipment have estimated lives ranging from three to
fifty-five years, while rental equipment have estimated lives
ranging from two to twenty years. Maintenance is charged to
operating expenses as incurred, while renewals and betterments
are capitalized. Major overhaul costs are amortized over the
estimated period benefited. Gains and losses on dispositions are
netted against depreciation expense when realized. Interest
costs incurred as part of the initial construction of assets are
capitalized. Interest of $732 thousand, $2.0 million
and $2.5 million was capitalized during fiscal years 2003,
2002 and 2001, respectively.

During fiscal year 2002, based on an in-depth
market analysis, U-Haul decreased the estimated salvage value
and increased the useful lives of certain rental trucks. The
effect of the change reduced net losses for fiscal year 2002 by
$3.1 million ($0.15 per share) net of taxes. The in-house
analysis of sales of trucks was completed for the fiscal years
ending March 31, 1996 through March 31, 2001. The
study compared the truck model, size, age and average residual
value of units sold for each fiscal year indicated. The analysis
revealed that average residual values (as computed) when
compared to sales prices were not reflective of the values that
the Company was receiving upon disposition. Based on the
analysis, the estimated residual values were decreased to
approximately 25% of historic cost. In addition, this analysis
revealed that our estimates of useful lives were not reflective
of the economic lives of our trucks, which ultimately were being
utilized by the Company for longer periods of time. Thus the
useful lives for certain of our trucks were increased by
approximately 3 years. The adjustment reflects
managements best estimate, based on information available,
of the estimated salvage value and useful lives of these rental
trucks.

The Company reviews property, plant and equipment
for impairment whenever events or changes in circumstances
indicate that the carrying amount of an asset may not be fully
recoverable through expected undiscounted future operating cash
flows.

The carrying value of the Companys real
estate that is no longer necessary for use in its current
operations, and available for sale/lease, at March 31, 2003
and 2002, was approximately $13.0 million and
$18.4 million respectively. Such properties available for
sale are carried at cost, less accumulated depreciation, which
is less than fair market value and is included in investments,
other.



| |                    
| | -------------------
| | Environmental Costs

Liabilities for future remediation costs are
recorded when environmental assessments and remedial efforts, if
applicable, are probable and the costs can be reasonably
estimated. The liability is based on the Companys best
estimate of undiscounted future costs. Certain recoverable
environmental costs related to the removal of underground
storage tanks or related contamination are capitalized and
depreciated over the

66



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

estimated useful lives of the properties. The
capitalized costs improve the safety or efficiency of the
property as compared to when the property was originally
acquired or are incurred in preparing the property for sale.



| |                      
| | ---------------------
| | Financial Instruments

Historically AMERCO has entered into interest
rate swap agreements to reduce its floating interest rate
exposure and does not use the agreements for trading purposes.
Although the counterparties to the agreements expose AMERCO to
credit loss for the interest rate differential in the event of
nonperformance, it does not anticipate nonperformance by the
counterparties.

For the years ended March 31, 2003, 2002 and
2001, AMERCO recognized $0 thousand, $16 thousand and
$16 thousand as interest income, respectively, representing
the ineffectiveness of the cash flow hedging activity.

The Company has mortgage receivables, which
potentially expose the Company to credit risk. The portfolio of
notes is principally collateralized by mini-warehouse storage
facilities and other residential and commercial properties. The
Company has not experienced losses related to the notes from
individual notes or groups of notes in any particular industry
or geographic area. The estimated fair values were determined
using the discounted cash flow method, using interest rates
currently offered for similar loans to borrowers with similar
credit ratings.



| |                                                        
| | -------------------------------------------------------
| | Fair Value Summary of Note and Mortgage
    Receivables

Note and mortgage receivables are carried at
$14.1 million and $14.6 million in 2003 and 2002, fair
value of these receivables approximates carrying value.

Other financial instruments that are subject to
fair value disclosure requirements are carried in the financial
statements at amounts that approximate fair value, unless
elsewhere disclosed. See below, as well as Notes 5 and 6 of
Notes to Consolidated Financial Statements.

The Companys financial instruments that are
exposed to concentrations of credit risk consist primarily of
temporary cash investments, trade receivables and notes
receivable. The Company places its temporary cash investments
with financial institutions and limits the amount of credit
exposure to any one financial institution. Concentrations of
credit risk with respect to trade receivables are limited due to
the large number of customers and their dispersion across many
different industries and geographic areas.



| |                                                                 
| | ----------------------------------------------------------------
| | Policy Benefits and Losses, Claims and Loss
    Expenses Payable

Liabilities for policy benefits payable on
traditional life and certain annuity policies are established in
amounts adequate to meet estimated future obligations on
policies in force. These liabilities are computed using
mortality and withdrawal assumptions, which are based upon
recognized actuarial tables and contain margins for adverse
deviation. At December 31, 2002, interest assumptions used
to compute policy benefits payable range from 2.5% to 9.25%.

The liability for annuity contracts, which are
accounted for as investment contract deposits, consists of
contract account balances that accrue to the benefit of the
policyholders, excluding surrender charges. Carrying value of
investment contract deposits were $640.0 million and
$572.8 million at December 31, 2002 and 2001,
respectively.

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 consider
current claim trends.

67



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

RepWests liability for reported and
unreported losses is based on RepWests historical and
industry averages. The liability for unpaid loss adjustment
expenses is based on historical ratios of loss adjustment
expenses paid to losses paid. Amounts recoverable from
reinsurers on unpaid losses are estimated in a manner consistent
with the claim liability associated with the reinsured policy.
Adjustments to the liability for unpaid losses and loss expenses
as well as amounts recoverable from reinsurers on unpaid losses
are charged or credited to expense in periods in which they are
made.



| |             
| | ------------
| | Income Taxes

AMERCO files a consolidated federal income tax
return with its subsidiaries, except for NAI and CFLIC, which
file on a stand alone basis. SAC Holdings files a consolidated
return with its subsidiaries. SAC Holdings II files a
consolidated return with its subsidiaries. For tax purposes
AMERCO and SAC returns are not consolidated with one another.
The provision for income taxes reflects deferred income taxes
resulting from changes in temporary differences between the tax
basis of assets and liabilities and their reported amounts in
the financial statements in accordance with SFAS No. 109.



| |                  
| | -----------------
| | Advertising Costs

The Company expenses advertising costs as
incurred. Advertising expense of $39.9 million,
$37.8 million and $37.9 million was charged to
operations for fiscal years 2003, 2002 and 2001, respectively.



| |                         
| | ------------------------
| | New Accounting Standards

Statement of Financial Accounting Standards
No. 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 June 15, 2002. We have adopted
this statement effective April 1, 2003 and we do not expect
it to have a material effect on the Companys financial
position, results of operation or cash flows.

In October 2001, the FASB issued SFAS
No. 144, Accounting for the Impairment or Disposal of
Long-Lived Assets. SFAS 144 requires that long-lived assets
be measured at the lower of carrying amount or fair value less
cost to sell, whether reported in continuing operations or in
discontinued operations. Therefore, discontinued operations will
no longer be measured at net realizable value or include amounts
for operating losses that have not yet occurred. SFAS 144
is effective for financial statements issued for fiscal years
beginning after December 15, 2001 and, generally, are to be
applied prospectively. We have adopted this statement effective
April 1, 2002 and it did not affect our consolidated
financial position or results of operations.

In April 2002, the FASB issued SFAS No. 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 current 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,

68



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

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 nonsubstantive corrections to
authoritative accounting literature. The changes related to debt
extinguishment will be effective for fiscal years beginning
after May 15, 2002, and the changes related to lease
accounting will be effective for transactions occurring after
May 15, 2002. We have to reclassify debt extinguishments
expense net of taxes, previously reported as extraordinary to
interest expense. The effect was to increase interest expense by
$3.3 million and $0.5 million and the benefit for
income taxes by $1.2 million and $0.2 million for the
fiscal years 2001 and 2000 respectively.

In April 2003, the FASB issued SFAS No. 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 No. 133. In particular, SFAS
No. 149 (1) clarifies under what circumstances a
contract with an initial net investment meets the characteristic
of a derivative as discussed in SFAS No. 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 FASB
Interpretation No. 45, Guarantor Accounting and Disclosure
Requirements for Guarantees, Including Indirect Guarantees of
Indebtedness of Others, and (4) amends certain other
existing pronouncements. SFAS No. 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 No. 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 No. 150 currently has no
impact on the Company.

In June 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
have adopted this statement effective January 1, 2003, and
it did not effect our consolidated financial position or results
of operations.

In November 2002, the FASB issued FASB
Interpretation No. 45, Guarantors Accounting for
Disclosure Requirements for Guarantees, Including Indirect
Guarantees of Indebtedness of Others, an 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). 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 is being superseded. The
Company entered into a support party agreement for

69



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

$70 million of indebtedness of an affiliate.
Under the terms of FIN 45, the Company recognized a
liability in the amount of $70 million, which management
estimated to be the fair value of the guarantee.

In December 2002, the FASB issued Statement of
Financial Accounting Standards No. 148, Accounting
for Stock-Based Compensation  Transition and
Disclosure (FAS 148), which amends
Statement of Financial Accounting Standards No. 123,
Accounting for Stock-Based Compensation
(FAS 123). FAS 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, FAS 148 amends the disclosure
requirement of FAS 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 FAS 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. The Company does not have any
stock based compensation plans and the adoption of FAS 148
is not expected to have a material impact on the Companys
consolidated balance sheet or results of operations.

In January 2003, the FASB issued FASB
Interpretation No. 46, Consolidation of Variable Interest
Entities, an interpretation of Accounting Research Bulletins
(ARB) No. 51, Consolidated Financial Statements
(FIN 46). FIN 46 applies immediately to
variable interest entities created after January 31, 2003,
and in the first interim period beginning after June 15,
2003 for variable interest entities created prior to
January 31, 2003. The interpretation explains how to
identify variable interest entities and how an enterprise
assesses its interests in a variable interest entity to decide
whether to consolidate that entity. The interpretation requires
existing unconsolidated variable interest entities to be
consolidated by their primary beneficiaries if the entities do
not effectively disperse risks among parties involved. Variable
interest entities that effectively disperse risks will not be
consolidated unless a single party holds an interest or
combination of interests that effectively recombines risks that
were previously dispersed. The Company has determined that
Private Mini is a Variable Interest Entity and will need to be
consolidated beginning in July 2003. The impact of this on the
consolidated financial statements is to increase assets by
approximately $320.0 million and increase debt by
approximately $308.0 million. AMERCO also determined that
SAC qualifies as a Variable Interest Entity and will continue to
be consolidated.



| |                   
| | ------------------
| | Earnings Per Share

Basic earnings per common share are computed
based on the weighted average number of shares outstanding for
the year and quarterly periods, excluding shares of the employee
stock ownership plan that have not been committed to be
released. Preferred dividends include undeclared (i.e.
contractual) or unpaid dividends of AMERCO. Net income is
reduced for preferred dividends for the purpose of the
calculation. For the purpose of calculating earnings per share,
the Company aggregates both the Series A Common and the
Common Stock.



| |                            
| | ---------------------------
| | Comprehensive Income/(Loss)

Comprehensive income/(loss) consists of net
income, foreign currency translation adjustment, unrealized
gains and losses on investments and fair market value of cash
flow hedges, net of the related tax effects.

2.     Restatements
and Reclassifications

The Company has identified various adjustments to
its previously issued consolidated financial statements. The
following table highlights the effects of the restatement
adjustments on the previously reported

70



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AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

consolidated statement of operations for fiscal
2002 and 2001, and 2001 beginning retained earnings. All notes
and schedules have been restated as appropriate.

|                                         |                    |                |         |               |   |                   |         |         |   |  |         |         |  
|---------------------------------------- | ------------------ | -------------- | ------- | ------------- | - | ----------------- | ------- | ------- | - |  | ------- | ------- | -
|                                         |                    | Net            |         | Net           |   |                  
|                                         |                    | Income/(Loss)  |         | Income/(Loss) |   | April 1, 2000    
|                                         |                    | Fiscal 2002    |         | Fiscal 2001   |   | Retained Earnings
|                                         |                    |                |         |               |   |                  
|                                         |                    |               
|                                         |                    | (In thousands)
|As previously reported                   |                    | $              | 2,721   |               |   |                   | 1,012   |         |   |  | 738,805 |        
|Adjustments to net income/(loss):        |                    |                |         |               |   |                   |         |         |   |  |         |        
|Insurance reserves(a)                    |                    |                | (55,570 | )             |   |                   | (56,255 | )       |   |  | (13,320 | )      
|Investments in Private Mini(b)           |                    |                | (9,729  | )             |   |                   | (8,392  | )       |   |  | (8,132  | )      
|Capitalized G&A costs(c)                 |                    |                | (900    | )             |   |                   |        |         |   |  | (31,749 | )      
|Accrued property taxes(d)                |                    |                |        |               |   |                   |        |         |   |  | (3,600  | )      
|Fixed assets(e)                          |                    |                | 3,846   |               |   |                   | (4,829  | )       |   |  |        |        
|Cash surrender value(f)                  |                    |                | (3,943  | )             |   |                   | 636     |         |   |  | 3,307   |        
|Impairment of real estate investments(g) |                    |                | (2,366  | )             |   |                   |        |         |   |  |        |        
|Other(h)                                 |                    |                | (860    | )             |   |                   | 800     |         |   |  | (5,156  | )      
|                                         |                    |                |         |               |   |                   |         |         |   |  |         |        
|                                         | Pretax adjustments |                |         | (69,522       | ) |                   |         | (68,040 | ) |  |         | (58,650 | )
|Income tax benefit(i)                    |                    |                | 19,361  |               |   |                   | 24,918  |         |   |  | 41,492  |        
|As restated:                             |                    | $              | (47,440 | )             |   |                   | (42,110 | )       |   |  | 721,647 |        
|                                         |                    |                |         |               |   |                   |         |         |   |  |         |        

2002 net income, 2001 net income, and beginning
retained earnings were adjusted by $50.2 million,
$43.1 million, and $17.2 million, respectively, after
tax as a result of the following restatement adjustments:



| |                                                                                                                         
| | ------------------------------------------------------------------------------------------------------------------------
| | (a) To accrue for fully-developed actuarial
    estimates of the Companys insurance reserves.                          
|
| | (b) To recognize equity-method losses
    relating to the Companys investments in Private Mini
    Storage Realty, L.P.
|
| | (c) To write-down unamortized capitalized
    G&A costs.                                                                
|
| | (d) To adjust property tax under-accruals.                                                                              
|
| | (e) To correct net depreciation expense and
    gains and losses on the disposition of fixed assets.                    
|
| | (f) To record changes in the cash surrender
    value of life insurance in the proper periods.                          
|
| | (g) To record impairment of real estate in
    the proper period.                                                       
|
| | (h) Other miscellaneous adjustments.                                                                                    
|
| | (i) To record the income tax effects of the
    restatement adjustments.                                                

71



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AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

3.     Trade
Receivables, Notes and Mortgage Receivables, Net

A summary of trade receivables follows:

|                                     |  |                |         |      |  |  |         |  
|------------------------------------ |  | -------------- | ------- | ---- |  |  | ------- | -
|                                     |  |               
|                                     |  | March 31,     
|                                     |  |               
|                                     |  | 2003           |         | 2002
|                                     |  |                |         |     
|                                     |  |               
|                                     |  | (In thousands)
|Trade accounts receivable            |  | $              | 14,082  |      |  |  | 24,778  |  
|Premiums and agents balances        |  |                | 40,401  |      |  |  | 54,630  |  
|Reinsurance recoverable              |  |                | 165,464 |      |  |  | 155,176 |  
|Accrued investment income            |  |                | 10,405  |      |  |  | 11,827  |  
|Independent dealer receivable        |  |                | 1,349   |      |  |  | 1,718   |  
|Other receivables                    |  |                | 34,319  |      |  |  | 29,369  |  
|                                     |  |                |         |      |  |  |         |  
|                                     |  |                | 266,020 |      |  |  | 277,498 |  
|Less allowance for doubtful accounts |  |                | (2,283  | )    |  |  | (2,628  | )
|                                     |  |                |         |      |  |  |         |  
|                                     |  | $              | 263,737 |      |  |  | 274,870 |  
|                                     |  |                |         |      |  |  |         |  

A small portion of the independent dealer
receivables set forth in the table above originates from
transactions with related parties. See also Note 19.

A summary of notes and mortgage receivables
follows:

|                                                           |  |                |       |      |  |  |       |  
|---------------------------------------------------------- |  | -------------- | ----- | ---- |  |  | ----- | -
|                                                           |  |               
|                                                           |  | March 31,     
|                                                           |  |               
|                                                           |  | 2003           |       | 2002
|                                                           |  |                |       |     
|                                                           |  |               
|                                                           |  | (In thousands)
|Notes, mortgage receivables and other, net of
    discount |  | $              | 2,938 |      |  |  | 7,349 |  
|Less allowance for doubtful accounts                       |  |                | (70   | )    |  |  | (70   | )
|                                                           |  |                |       |      |  |  |       |  
|                                                           |  | $              | 2,868 |      |  |  | 7,279 |  
|                                                           |  |                |       |      |  |  |       |  

4.     Inventories,
Net

A summary of inventory components follows:

|                                        |  |                |        |      |  |  |        | 
|--------------------------------------- |  | -------------- | ------ | ---- |  |  | ------ | 
|                                        |  |               
|                                        |  | March 31,     
|                                        |  |               
|                                        |  | 2003           |        | 2002
|                                        |  |                |        |     
|                                        |  |               
|                                        |  | (In thousands)
|Truck and trailer parts and accessories |  | $              | 33,256 |      |  |  | 43,075 | 
|Hitches and towing components           |  |                | 10,389 |      |  |  | 12,033 | 
|Moving supplies and promotional items   |  |                | 9,625  |      |  |  | 10,668 | 
|                                        |  |                |        |      |  |  |        | 
|                                        |  | $              | 53,270 |      |  |  | 65,776 | 
|                                        |  |                |        |      |  |  |        | 

Inventories are stated net of reserve for
obsolescence of $4.9 million and $2.7 million at
March 31, 2003 and 2002, respectively.

LIFO inventories, which represent approximately
99% and 96% of total inventories at March 31, 2003 and
2002, respectively, would have been $4.9 million greater at
March 31, 2003 and 2002, if the consolidated group had used
the FIFO (first-in, first-out) method.

72



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AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

5.     Investments,
Fixed Maturities & Other

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

|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |         | 
|------------------------------------------------------- | ----- | -------------- | ------- | ---------- |  | ---------- | ------ | --------- |  |  | ------- | ------- | - |  | ------- | ------- | 
|                                                        |       |                |         | Gross      |  | Gross      |        | Estimated
|                                                        |       | Amortized      |         | Unrealized |  | Unrealized |        | Market   
|                                                        |       | Cost           |         | Gains      |  | Losses     |        | Value    
|                                                        |       |                |         |            |  |            |        |          
|                                                        |       |               
|                                                        |       | (In thousands)
|DECEMBER 31, 2002                                       |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|CONSOLIDATED HELD-TO-MATURITY                           |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|U.S. treasury securities and government
    obligations |       | $              | 500     |            |  |            | 170    |           |  |  |        |         |   |  | 670     |        
|U.S. government agency mortgage-backed
    securities   |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|Corporate securities                                    |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|Mortgage-backed securities                              |       |                | 15,683  |            |  |            | 583    |           |  |  |        |         |   |  | 16,266  |        
|Redeemable preferred stocks                             |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|                                                        |       |                | 16,183  |            |  |            | 753    |           |  |  |        |         |   |  | 16,936  |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|DECEMBER 31, 2002                                       |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|CONSOLIDATED AVAILABLE-FOR-SALE                         |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|U.S. treasury securities and government
    obligations |       | $              | 31,697  |            |  |            | 3,405  |           |  |  | (49     | )       |   |  | 35,053  |        
|U.S. government agency mortgage-backed
    securities   |       |                | 10,182  |            |  |            | 201    |           |  |  | (13     | )       |   |  | 10,370  |        
|Obligations of states and political subdivisions        |       |                | 3,974   |            |  |            | 232    |           |  |  |         |         |   |  | 4,206   |        
|Corporate securities                                    |       |                | 574,334 |            |  |            | 25,996 |           |  |  | (25,392 | )       |   |  | 574,938 |        
|Mortgage-backed securities                              |       |                | 95,893  |            |  |            | 2,206  |           |  |  | (4,316  | )       |   |  | 93,783  |        
|Redeemable preferred stocks                             |       |                | 126,301 |            |  |            | 1,558  |           |  |  | (2,962  | )       |   |  | 124,897 |        
|Redeemable common stocks                                |       |                | 1,101   |            |  |            | 304    |           |  |  | (235    | )       |   |  | 1,170   |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|                                                        |       |                | 843,482 |            |  |            | 33,902 |           |  |  | (32,967 | )       |   |  | 844,417 |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|                                                        | Total |                | $       | 859,665    |  |            |        | 34,655    |  |  |         | (32,967 | ) |  |         | 861,353 | 
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|DECEMBER 31, 2001                                       |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|CONSOLIDATED HELD-TO-MATURITY                           |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|U.S. treasury securities and government
    obligations |       | $              | 3,289   |            |  |            | 219    |           |  |  |        |         |   |  | 3,508   |        
|U.S. government agency mortgage-backed
    securities   |       |                | 15,155  |            |  |            | 554    |           |  |  | (35     | )       |   |  | 15,674  |        
|Corporate securities                                    |       |                | 42,625  |            |  |            | 1,219  |           |  |  | (97     | )       |   |  | 43,747  |        
|Mortgage-backed securities                              |       |                | 20,648  |            |  |            | 705    |           |  |  | (1      | )       |   |  | 21,352  |        
|Redeemable preferred stocks                             |       |                | 112,350 |            |  |            | 502    |           |  |  | (2,122  | )       |   |  | 110,730 |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|                                                        |       |                | 194,067 |            |  |            | 3,199  |           |  |  | (2,255  | )       |   |  | 195,011 |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        

73



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |         | 
|------------------------------------------------------- | ----- | -------------- | ------- | ---------- |  | ---------- | ------ | --------- |  |  | ------- | ------- | - |  | ------- | ------- | 
|                                                        |       |                |         | Gross      |  | Gross      |        | Estimated
|                                                        |       | Amortized      |         | Unrealized |  | Unrealized |        | Market   
|                                                        |       | Cost           |         | Gains      |  | Losses     |        | Value    
|                                                        |       |                |         |            |  |            |        |          
|                                                        |       |               
|                                                        |       | (In thousands)
|DECEMBER 31, 2001                                       |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|CONSOLIDATED AVAILABLE-FOR-SALE                         |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|U.S. treasury securities and government
    obligations |       | $              | 40,656  |            |  |            | 2,223  |           |  |  | (128    | )       |   |  | 42,751  |        
|U.S. government agency mortgage-backed
    securities   |       |                | 20,001  |            |  |            | 843    |           |  |  | (3      | )       |   |  | 20,841  |        
|Obligations of states and political subdivisions        |       |                | 10,035  |            |  |            | 344    |           |  |  | (2      | )       |   |  | 10,377  |        
|Corporate securities                                    |       |                | 651,125 |            |  |            | 24,635 |           |  |  | (14,792 | )       |   |  | 660,968 |        
|Mortgage-backed securities                              |       |                | 26,520  |            |  |            | 2,128  |           |  |  | (865    | )       |   |  | 27,783  |        
|Redeemable preferred stocks                             |       |                | 29,976  |            |  |            | 314    |           |  |  | (422    | )       |   |  | 29,868  |        
|Redeemable common stocks                                |       |                | 2,434   |            |  |            |       |           |  |  | (692    | )       |   |  | 1,742   |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|                                                        |       |                | 780,747 |            |  |            | 30,487 |           |  |  | (16,904 | )       |   |  | 794,330 |        
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        
|                                                        | Total |                | $       | 974,814    |  |            |        | 33,686    |  |  |         | (19,159 | ) |  |         | 989,341 | 
|                                                        |       |                |         |            |  |            |        |           |  |  |         |         |   |  |         |        

Fixed maturities estimated market values are
based on publicly quoted market prices at the close of trading
on December 31, 2002 or December 31, 2001, as
appropriate.

The amortized cost and estimated market value of
debt securities by contractual maturity are shown below.
Expected maturities will differ from contractual maturities as
borrowers may have the right to call or prepay obligations with
or without call or prepayment penalties.

|                                       |  |                   |         |                   |  |           |         |              |  |  |         |  |  |  |         | 
|-------------------------------------- |  | ----------------- | ------- | ----------------- |  | --------- | ------- | ------------ |  |  | ------- |  |  |  | ------- | 
|                                       |  |                   |         |                  
|                                       |  | December 31, 2002 |         | December 31, 2001
|                                       |  |                   |         |                  
|                                       |  | Amortized         |         | Estimated         |  | Amortized |         | Estimated   
|                                       |  | Cost              |         | Market Value      |  | Cost      |         | Market Value
|                                       |  |                   |         |                   |  |           |         |             
|                                       |  |                  
|                                       |  | (In thousands)   
|CONSOLIDATED HELD-TO-MATURITY          |  |                   |         |                   |  |           |         |              |  |  |         |  |  |  |         | 
|Due in one year or less                |  | $                 | 19      |                   |  |           | 20      |              |  |  | 20,652  |  |  |  | 21,154  | 
|Due after one year through five years  |  |                   | 204     |                   |  |           | 252     |              |  |  | 19,457  |  |  |  | 20,159  | 
|Due after five years through ten years |  |                   | 205     |                   |  |           | 287     |              |  |  | 1,358   |  |  |  | 1,461   | 
|After ten years                        |  |                   | 72      |                   |  |           | 111     |              |  |  | 4,447   |  |  |  | 4,481   | 
|                                       |  |                   |         |                   |  |           |         |              |  |  |         |  |  |  |         | 
|                                       |  |                   | 500     |                   |  |           | 670     |              |  |  | 45,914  |  |  |  | 47,255  | 
|Mortgage-backed securities             |  |                   | 15,683  |                   |  |           | 16,266  |              |  |  | 35,803  |  |  |  | 37,026  | 
|Redeemable preferred stock             |  |                   |        |                   |  |           |        |              |  |  | 112,350 |  |  |  | 110,730 | 
|                                       |  |                   |         |                   |  |           |         |              |  |  |         |  |  |  |         | 
|                                       |  | $                 | 16,183  |                   |  |           | 16,936  |              |  |  | 194,067 |  |  |  | 195,011 | 
|                                       |  |                   |         |                   |  |           |         |              |  |  |         |  |  |  |         | 
|CONSOLIDATED AVAILABLE-FOR-SALE        |  |                   |         |                   |  |           |         |              |  |  |         |  |  |  |         | 
|Due in one year or less                |  | $                 | 53,240  |                   |  |           | 53,985  |              |  |  | 52,290  |  |  |  | 53,309  | 
|Due after one year through five years  |  |                   | 210,765 |                   |  |           | 215,996 |              |  |  | 259,659 |  |  |  | 266,002 | 
|Due after five years through ten years |  |                   | 181,425 |                   |  |           | 176,645 |              |  |  | 251,413 |  |  |  | 254,002 | 
|After ten years                        |  |                   | 164,575 |                   |  |           | 167,571 |              |  |  | 138,454 |  |  |  | 140,783 | 
|                                       |  |                   |         |                   |  |           |         |              |  |  |         |  |  |  |         | 
|                                       |  |                   | 610,005 |                   |  |           | 614,197 |              |  |  | 701,816 |  |  |  | 714,096 | 

74



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                           |       |                   |         |                   |  |           |         |              |  |  |         |         |  |  |         |         | 
|-------------------------- | ----- | ----------------- | ------- | ----------------- |  | --------- | ------- | ------------ |  |  | ------- | ------- |  |  | ------- | ------- | 
|                           |       |                   |         |                  
|                           |       | December 31, 2002 |         | December 31, 2001
|                           |       |                   |         |                  
|                           |       | Amortized         |         | Estimated         |  | Amortized |         | Estimated   
|                           |       | Cost              |         | Market Value      |  | Cost      |         | Market Value
|                           |       |                   |         |                   |  |           |         |             
|                           |       |                  
|                           |       | (In thousands)   
|Mortgage-backed securities |       |                   | 106,075 |                   |  |           | 104,153 |              |  |  | 46,521  |         |  |  | 48,624  |        
|Redeemable preferred stock |       |                   | 126,301 |                   |  |           | 124,897 |              |  |  | 29,976  |         |  |  | 29,868  |        
|Redeemable common stock    |       |                   | 1,101   |                   |  |           | 1,170   |              |  |  | 2,434   |         |  |  | 1,742   |        
|                           |       |                   |         |                   |  |           |         |              |  |  |         |         |  |  |         |        
|                           |       |                   | 843,482 |                   |  |           | 844,417 |              |  |  | 780,747 |         |  |  | 794,330 |        
|                           |       |                   |         |                   |  |           |         |              |  |  |         |         |  |  |         |        
|                           | Total |                   | $       | 859,665           |  |           |         | 861,353      |  |  |         | 974,814 |  |  |         | 989,341 | 
|                           |       |                   |         |                   |  |           |         |              |  |  |         |         |  |  |         |        

Proceeds from sales of investments in debt
securities for the years ended December 31, 2002, 2001 and
2000 were $248.0 million, $175.9 million and
$52.8 million respectively. Gross gains of
$6.0 million, $3.8 million and $733 thousand and gross
losses of $2.4 million, $256 thousand and $646 thousand
were realized on those sales for the years ended
December 31, 2002, 2001 and 2000, respectively. The Company
realized a write-down of investments due to other than temporary
declines approximating $9.8 million, $6.7 million, and
$6.5 million for the years ended December 31, 2002,
2001 and 2000, respectively.

At December 31, 2002 and 2001 fixed
maturities include bonds with an amortized cost of
$11.7 million and $18.5 million respectively, on
deposit with insurance regulatory authorities to meet statutory
requirements.

Investments, other consists of the following:

|                             |  |                |         |      |  |  |         | 
|---------------------------- |  | -------------- | ------- | ---- |  |  | ------- | 
|                             |  |               
|                             |  | March 31,     
|                             |  |               
|                             |  | 2003           |         | 2002
|                             |  |                |         |     
|                             |  |               
|                             |  | (In thousands)
|Short-term investments       |  | $              | 111,377 |      |  |  | 65,934  | 
|Mortgage loans               |  |                | 67,513  |      |  |  | 85,455  | 
|Real estate                  |  |                | 75,014  |      |  |  | 74,829  | 
|Policy loans                 |  |                | 5,784   |      |  |  | 6,205   | 
|Receivable from Private Mini |  |                | 125,000 |      |  |  |        | 
|Other                        |  |                | 4,564   |      |  |  | 8,489   | 
|                             |  |                |         |      |  |  |         | 
|                             |  | $              | 389,252 |      |  |  | 240,912 | 
|                             |  |                |         |      |  |  |         | 

75



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

A summary of net investment and interest income
follows:

|                                                                             |  |                |         |      |  |      |         |   |  |  |         |  
|---------------------------------------------------------------------------- |  | -------------- | ------- | ---- |  | ---- | ------- | - |  |  | ------- | -
|                                                                             |  |                |         |     
|                                                                             |  | Year Ended     |         |     
|                                                                             |  | March 31,      |         |     
|                                                                             |  |                |         |     
|                                                                             |  | 2003           |         | 2002 |  | 2001
|                                                                             |  |                |         |      |  |     
|                                                                             |  |               
|                                                                             |  | (In thousands)
|Fixed maturities                                                             |  | $              | 60,855  |      |  |      | 67,945  |   |  |  | 57,379  |  
|Real estate                                                                  |  |                | 2,438   |      |  |      | (1,518  | ) |  |  | 12      |  
|Policy loans                                                                 |  |                | 368     |      |  |      | 1,092   |   |  |  | 250     |  
|Mortgage loans                                                               |  |                | 8,007   |      |  |      | 8,796   |   |  |  | 7,262   |  
|Short-term, amounts held by ceding reinsurers,
    net and other investments |  |                | (2,176  | )    |  |      | (1,575  | ) |  |  | 4,199   |  
|                                                                             |  |                |         |      |  |      |         |   |  |  |         |  
|Investment income                                                            |  |                | 69,492  |      |  |      | 74,740  |   |  |  | 69,102  |  
|Less investment expenses                                                     |  |                | (32,388 | )    |  |      | (30,914 | ) |  |  | (21,973 | )
|                                                                             |  |                |         |      |  |      |         |   |  |  |         |  
|Net investment income                                                        |  |                | 37,104  |      |  |      | 43,826  |   |  |  | 47,129  |  
|Interest income                                                              |  |                | 4,464   |      |  |      | 3,517   |   |  |  | 5,168   |  
|                                                                             |  |                |         |      |  |      |         |   |  |  |         |  
|Net investment and interest income                                           |  | $              | 41,568  |      |  |      | 47,343  |   |  |  | 52,297  |  
|                                                                             |  |                |         |      |  |      |         |   |  |  |         |  

Short-term investments consist primarily of fixed
maturities of three months to one year from acquisition date.
Mortgage loans, representing first lien mortgages held by the
insurance subsidiaries, are carried at unpaid balances, less
allowance for possible losses and any unamortized premium or
discount. Equity investments and real estate obtained through
foreclosures and held for sale are carried at the lower of cost
or fair value. Policy loans are carried at their unpaid balance.
Investment expenses include costs incurred in the management of
the investment portfolio and interest credited on annuity
policies.

At December 31, 2002 and 2001, mortgage
loans held as investments with a carrying value of
$68.0 million, and $85.5 million, respectively, were
outstanding. The estimated fair value of the mortgage loans at
December 31, 2002 and 2001 aggregated $68.0 million
and $86.4 million, respectively. The estimated fair values
were determined using the discounted cash flow method, using
interest rates currently offered for similar loans to borrowers
with similar credit ratings. Investments in mortgage loans,
included as a component of investments, are reported net of
allowance for possible losses of $527 thousand and
$323 thousand in 2002 and 2001, respectively.

In February 1997, AMERCO, through its insurance
subsidiaries, invested in the equity of Private Mini Storage
Realty, L.P. (Private Mini), a Texas-based self-storage
operator. RepWest invested $13.5 million and has a direct
30.6% interest and an indirect 13.2% interest. Oxford invested
$11 million and has a direct 24.9% interest and an indirect
10.8% interest. U-Haul is a 50% owner of Storage Realty L.L.C.,
which serves as the general partner and has a direct 1% interest
in Private Mini. AMERCO does not maintain operating control of
Private Mini and the minority holders have substantial
participation rights. During 1997, Private Mini secured a line
of credit in the amount of $225.0 million with a financing
institution, which was subsequently reduced in accordance with
its terms to $125.0 million in December 2001. Under the
terms of this credit facility, AMERCO entered into a support
party agreement with Private Mini whereby upon default or
noncompliance with debt covenants by Private Mini, AMERCO
assumes responsibility in fulfilling all obligations related to
this credit facility.

At March 31, 2003 AMERCO had become
contingently liable for the $55.0 million under the terms
of the support agreement. This resulted in increasing other
liabilities by $55.0 million and our investment in a
receivable from Private Mini by $55.0 million. Under the terms
of FIN 45, the Company recognized a liability

76



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AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

in the amount of $70.0 million, which is
managements estimate on the liability associated with the
guarantee. This resulted in increasing other liabilities by
$70.0 million and our investment in Private Mini by
$70.0 million.

On June 30, 2003, RepWest and Oxford
exchanged their respective interests in Private Mini for certain
real property owned by certain SAC Holdings entities. The
exchanges were non-monetary and were recorded on the basis of
the book values of the assets exchanged. Private Mini has been
determined to be a variable interest entity as defined by
FIN 46. Since the entity was created before
January 31, 2003, it will be consolidated effective
July 1, 2003. By virtue of the non-monetary exchange of
assets discussed above, SAC Holdings became the primary
beneficiary of the Private Mini variable interests. SAC Holdings
will initially measure the assets and liabilities at their
carrying amounts, which is the amounts at which they would have
been recorded in the consolidated financial statements if FIN 46
had been effective at the inception of Private Mini.
Accordingly, on July 1, 2003 SAC Holdings assets will
increase by approximately $320.0 million, liabilities will
increase by approximately $308.0 million, and
shareholders equity will increase by approximately
$12.0 million. The consolidation of this VIE will not have
a material effect on results of operations. For the year ended
December 31, 2002 Private Mini had revenue of approximately
$39.0 million and a net loss of $4.0 million.



|   |                        
|-- | -----------------------
|6. | Notes and Loans Payable

At March 31, 2003 the Company was in default
under substantially all of its borrowings due to the cross
default provisions in the agreements. As a result of this
default, all amounts in the following charts are currently due
and payable other than borrowings against the cash surrender
values of life insurance policies.

77



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

AMERCOs notes and loans payable consist of
the following:

|                                                                                                  |  |                |         |      |  |  |           | 
|------------------------------------------------------------------------------------------------- |  | -------------- | ------- | ---- |  |  | --------- | 
|                                                                                                  |  |               
|                                                                                                  |  | March 31,     
|                                                                                                  |  |               
|                                                                                                  |  | 2003           |         | 2002
|                                                                                                  |  |                |         |     
|                                                                                                  |  |               
|                                                                                                  |  | (In thousands)
|Short-term borrowings, 2.85% interest rate                                                        |  | $              |        |      |  |  | 12,500    | 
|Notes payable to banks under revolving lines of
    credit, unsecured, 7.00% interest rates       |  |                | 205,000 |      |  |  | 283,000   | 
|Notes payable to insurance companies, 9.0% to
    11.0%                                           |  |                | 100,000 |      |  |  |          | 
|Medium-term notes payable, unsecured, 7.23% to
    8.08% interest rates, due through 2027         |  |                | 109,500 |      |  |  | 109,500   | 
|Notes payable under Bond Backed Asset Trust,
    unsecured, 7.14% interest rate, due through 2002 |  |                | 100,000 |      |  |  | 100,000   | 
|Notes payable to public, unsecured, 7.85%
    interest rate, due through 2003                     |  |                | 175,000 |      |  |  | 175,000   | 
|Senior Note, unsecured, 7.20% interest rate, due
    through 2002                                 |  |                |        |      |  |  | 150,000   | 
|Senior Note, unsecured, 8.80% interest rate, due
    through 2005                                 |  |                | 200,000 |      |  |  | 200,000   | 
|BBAT option termination                                                                           |  |                | 26,550  |      |  |  |          | 
|Loan against cash surrender value of insurance
    policy                                         |  |                | 18,229  |      |  |  |          | 
|Fair market value SWAP                                                                            |  |                |        |      |  |  | 775       | 
|Debt related to SWAP termination                                                                  |  |                | 5,590   |      |  |  |          | 
|Other notes payable, secured and unsecured, 7.00%
    to 11.25% interest rate, due through 2005   |  |                | 194     |      |  |  | 234       | 
|                                                                                                  |  |                |         |      |  |  |           | 
|                                                                                                  |  |                | 940,063 |      |  |  | 1,031,009 | 
|Financed lease obligations                                                                        |  |                | 14,793  |      |  |  | 14,792    | 
|                                                                                                  |  |                |         |      |  |  |           | 
|                                                                                                  |  | $              | 954,856 |      |  |  | 1,045,801 | 
|                                                                                                  |  |                |         |      |  |  |           | 

Other notes payable are secured by land and
buildings at various locations with a net carrying value of
$6.0 million and $5.5 million at March 31, 2003
and 2002, respectively.

At March 31, 2003, AMERCO had a revolving
credit loan (long-term) available from participating banks under
an agreement, which provided for a credit line of
$205 million through June 30, 2005. Depending on the
form of borrowing elected, interest will be based on the London
Interbank Offering Rate (LIBOR), prime rate, the federal funds
effective rate, or rates determined by a competitive bid. LIBOR
loans include a spread based upon the senior debt rates of
AMERCO. Facility fees paid are based upon the amount of credit
line. As of March 31, 2003, loans outstanding under the
revolving credit line totaled $205 million.

At March 31, 2003, AMERCO had short-term
borrowings, from its total uncommitted lines of credit of
$59.7 million.

78



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AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

|                                               |  |                           |         |                                       |  |      |         |      |  |      |         |      |  |  |     |  |  |  |        |   |  |  |        |  
|---------------------------------------------- |  | ------------------------- | ------- | ------------------------------------- |  | ---- | ------- | ---- |  | ---- | ------- | ---- |  |  | --- |  |  |  | ------ | - |  |  | ------ | -
|                                               |  |                           |         |                                      
|                                               |  | Revolving Credit Activity |         | Short-Term Borrowing                 
|                                               |  | Year Ended                |         | Year Ended                           
|                                               |  |                           |         |                                      
|                                               |  | 2003                      |         | 2002                                  |  | 2001 |         | 2003 |  | 2002 |         | 2001
|                                               |  |                           |         |                                       |  |      |         |      |  |      |         |     
|                                               |  |                           |         |                                       |  |     
|                                               |  |                           |         | (In thousands, except interest rates) |  |     
|Weighted average interest rate during the year |  |                           | 4.6     | %                                     |  |      | 3.53    | %    |  |      | 6.36    | %    |  |  | N/A |  |  |  | 3.59   | % |  |  | 6.67   | %
|Interest rate at year end                      |  |                           | 7.0     | %                                     |  |      | 2.44    | %    |  |      | 5.68    | %    |  |  | N/A |  |  |  | 2.63   | % |  |  | 5.96   | %
|Maximum amount outstanding during the year     |  | $                         | 400,000 |                                       |  |      | 283,000 |      |  |      | 258,000 |      |  |  | N/A |  |  |  | 33,553 |   |  |  | 41,500 |  
|Average amount outstanding during the year     |  | $                         | 248,847 |                                       |  |      | 224,667 |      |  |      | 86,000  |      |  |  | N/A |  |  |  | 23,531 |   |  |  | 18,458 |  
|Facility fees                                  |  | $                         | 1,537   |                                       |  |      | 507     |      |  |      | 507     |      |  |  | N/A |  |  |  | N/A    |   |  |  | N/A    |  

AMERCO has entered into interest rate swap
agreements (SWAPS) to potentially mitigate the impact of
changes in interest rates on its floating rate debt. These
agreements effectively change AMERCOs interest rate
exposure on $45.0 million of floating rate notes to a
weighted average fixed rate of 8.63%. The SWAPS mature at the
time the related notes mature. Incremental interest expense
associated with SWAP activity was $1.5 million,
$2.4 million and $1.0 million during 2003, 2002 and
2001, respectively.

As of March 31, 2003, the Company no longer
has interest rate swap agreements. All interest rate swap
agreements at March 31, 2002 expired during the year ended
March 31, 2003, except for two (2), which were
converted to debt in the amount of $5.6 million.

During fiscal year 2002, AMERCO paid down
$102.5 million of 7.44% to 7.52% Medium Term Notes.

During fiscal year 2001, AMERCO extinguished
$100.0 million of BBATs with interest of 6.89% originally
due in fiscal year 2011, and $25.0 million of 6.71%
Medium-Term notes originally due in fiscal year 2009. This
resulted in an extraordinary loss of $2.1 million, net of
tax of $1.2 million ($0.10 per share).

Certain of AMERCOs credit agreements
contain restrictive financial and other covenants, including,
among others, covenants with respect to incurring additional
indebtedness, maintaining certain financial ratios and placing
certain additional liens on its properties and assets.

Interest paid in cash amounted to
$76.6 million, $77.9 million and $92.6 million for
fiscal years 2003, 2002 and 2001, respectively.

SAC Holdings notes and loans payable,
non-recourse to AMERCO consist of the following:

|                                                                                                          |  |                |         |      |  |  |         |  
|--------------------------------------------------------------------------------------------------------- |  | -------------- | ------- | ---- |  |  | ------- | -
|                                                                                                          |  |               
|                                                                                                          |  | March 31,     
|                                                                                                          |  |               
|                                                                                                          |  | 2003           |         | 2002
|                                                                                                          |  |                |         |     
|                                                                                                          |  |               
|                                                                                                          |  | (In thousands)
|Notes payable, secured, bearing interest rates
    ranging from 7.50% to 8.82%, due between 2004 and 2032 |  | $              | 590,813 |      |  |  | 563,922 |  
|Less discounts on notes payable                                                                           |  | $              | (1,794  | )    |  |  | (2,035  | )
|                                                                                                          |  |                |         |      |  |  |         |  
|                                                                                                          |  | $              | 589,019 |      |  |  | 561,887 |  
|                                                                                                          |  |                |         |      |  |  |         |  

Secured notes payable are secured by deeds of
trusts on the collateralized land and buildings. Principal and
interest payments on notes payable to third-party lenders are
due monthly. Certain notes payable contain provisions whereby
the loans may not be prepaid at any time prior to the maturity
date without payment to the lender of a Yield Maintenance
Premium, as defined in the loan agreements. The loans on a
portfolio of sixteen properties are cross-collateralized and
cross-defaulted.

79



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The annual maturities of long-term debt for the
next five years adjusted for subsequent activity are presented
in the table below:

|                       |  |                |        |      |  |      |        |      |  |      |       |            |  |  |       |  |  |  |        |  |  |  |         | 
|---------------------- |  | -------------- | ------ | ---- |  | ---- | ------ | ---- |  | ---- | ----- | ---------- |  |  | ----- |  |  |  | ------ |  |  |  | ------- | 
|                       |  |               
|                       |  | Year Ended    
|                       |  |               
|                       |  | 2004           |        | 2005 |  | 2006 |        | 2007 |  | 2008 |       | Thereafter
|                       |  |                |        |      |  |      |        |      |  |      |       |           
|                       |  |               
|                       |  | (In thousands)
|Notes payable, secured |  |                | 79,971 |      |  |      | 88,236 |      |  |      | 8,212 |            |  |  | 8,918 |  |  |  | 10,323 |  |  |  | 393,359 | 
|                       |  |                |        |      |  |      |        |      |  |      |       |            |  |  |       |  |  |  |        |  |  |  |         | 

Interest paid in cash amounted to
$20.1 million, $33.8 million and $23.7 million
for fiscal years 2003, 2002 and 2001, respectively.



|   |                     
|-- | --------------------
|7. | Stockholders Equity

AMERCO has authorized capital stock consisting of
150,000,000 shares of common stock, 150,000,000 shares
of Serial common stock and 50,000,000 shares of Serial
preferred stock. The Board of Directors may authorize the Serial
common stock to be issued in such series and on such terms as
the Board shall determine. Serial preferred stock issuance may
be with or without par value.

AMERCO has issued 6,100,000 shares of
8 1/2% cumulative, no par, non-voting Series A
preferred stock (Series A). The Series A
is not convertible into, or exchangeable for, shares of any
other class or classes of stock of AMERCO. Dividends are payable
quarterly in arrears and have priority as to dividends over
AMERCOs common stock. On or after December 1, 2000,
AMERCO, at its option, may redeem all or part of the
Series A, for cash at $25.00 per share plus accrued and
unpaid dividends to the redemption date. Due to the
Chapter 11 filing, AMERCO does not expect to make any
dividend payments on the Series A for the duration of such
proceedings. As of March 31, 2003, AMERCO has accrued
unpaid dividends of $6.5 million.

8.     Accumulated
Other Comprehensive Income/ (Loss)

A summary of accumulated comprehensive income/
(loss) components follows:

|                                     |  |                |         |             |  |             |         |               |  |  |        |   |  |  |         |  
|------------------------------------ |  | -------------- | ------- | ----------- |  | ----------- | ------- | ------------- |  |  | ------ | - |  |  | ------- | -
|                                     |  |                |         | Unrealized  |  | Fair Market |         | Accumulated  
|                                     |  | Foreign        |         | Gain/(Loss) |  | Value of    |         | Other        
|                                     |  | Currency       |         | on          |  | Cash Flow   |         | Comprehensive
|                                     |  | Translation    |         | Investments |  | Hedge       |         | Income       
|                                     |  |                |         |             |  |             |         |              
|                                     |  |               
|                                     |  | (In thousands)
|Balance at March 31, 2001            |  | $              | (35,450 | )           |  |             | (7,123  | )             |  |  | (2,624 | ) |  |  | (45,197 | )
|Foreign currency translation         |  |                | (25,031 | )           |  |             |        |               |  |  |       |   |  |  | (25,031 | )
|Fair market value of cash flow hedge |  |                |        |             |  |             |        |               |  |  | 8,942  |   |  |  | 8,942   |  
|Unrealized gain on investments       |  |                |        |             |  |             | 20,706  |               |  |  |       |   |  |  | 20,706  |  
|                                     |  |                |         |             |  |             |         |               |  |  |        |   |  |  |         |  
|Balance at March 31, 2002            |  | $              | (60,481 | )           |  |             | 13,583  |               |  |  | 6,318  |   |  |  | (40,580 | )
|Foreign currency translation         |  |                | 3,781   |             |  |             |        |               |  |  |       |   |  |  | 3,781   |  
|Fair market value of cash flow hedge |  |                |        |             |  |             |        |               |  |  | (6,318 | ) |  |  | (6,318  | )
|Unrealized (loss) on investments     |  |                |        |             |  |             | (12,648 | )             |  |  |       |   |  |  | (12,648 | )
|                                     |  |                |         |             |  |             |         |               |  |  |        |   |  |  |         |  
|Balance at March 31, 2003            |  | $              | (56,700 | )           |  |             | 935     |               |  |  |       |   |  |  | (55,765 | )
|                                     |  |                |         |             |  |             |         |               |  |  |        |   |  |  |         |  

80



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

9.     Earnings Per
Share

As of March 31, 2003, 2002 and 2001,
6,100,000 shares of preferred stock have been excluded from
the weighted average shares outstanding calculation because they
are not common stock equivalents

10.     Income
Taxes

The components of the consolidated expense/
(benefit) for income taxes applicable to operations are as
follows:

|          |                 |                |         |         |   |      |         |         |   |  |         |         |  
|--------- | --------------- | -------------- | ------- | ------- | - | ---- | ------- | ------- | - |  | ------- | ------- | -
|          |                 |               
|          |                 | Year Ended    
|          |                 |               
|          |                 | 2003           |         | 2002    |   | 2001
|          |                 |                |         |         |   |     
|          |                 |               
|          |                 | (In thousands)
|Current:  |                 |                |         |         |   |      |         |         |   |  |         |        
|          | Federal         |                | $       | 4,440   |   |      |         | 3,831   |   |  |         | 2,252   |  
|          | State and local |                |         | 2,127   |   |      |         | 3,591   |   |  |         | 1,072   |  
|          | Foreign         |                |         | 840     |   |      |         | 923     |   |  |         | 1,042   |  
|Deferred: |                 |                |         |         |   |      |         |         |   |  |         |        
|          | Federal         |                |         | (19,631 | ) |      |         | (25,136 | ) |  |         | (24,659 | )
|          | State and local |                |         | (1,711  | ) |      |         | (3,100  | ) |  |         | (2,251  | )
|          | Foreign         |                |         |        |   |      |         |        |   |  |         |        |  
|          |                 |                |         |         |   |      |         |         |   |  |         |        
|          |                 | $              | (13,935 | )       |   |      | (19,891 | )       |   |  | (22,544 | )      
|          |                 |                |         |         |   |      |         |         |   |  |         |        

Income taxes paid in cash amounted to
$12.8 million, $7.2 million and $6.3 million for
fiscal years 2003, 2002 and 2001, respectively.

Actual tax expense reported on earnings from
operations differs from the expected tax expense
amount (computed by applying the United States federal corporate
tax rate of 35% in 2003, 2002 and 2001) as follows:

|                                                |                                                             |                |         |        |   |      |         |        |   |  |         |       |  
|----------------------------------------------- | ----------------------------------------------------------- | -------------- | ------- | ------ | - | ---- | ------- | ------ | - |  | ------- | ----- | -
|                                                |                                                             |               
|                                                |                                                             | Year Ended    
|                                                |                                                             |               
|                                                |                                                             | 2003           |         | 2002   |   | 2001
|                                                |                                                             |                |         |        |   |     
|                                                |                                                             |               
|                                                |                                                             | (In thousands)
|Computed expected tax expense
    (benefit)   |                                                             |                | (13,622 | )      |   |      | (23,566 | )      |   |  | (22,629 | )    
|Increases (reductions) in taxes resulting from: |                                                             |                |         |        |   |      |         |        |   |  |         |      
|                                                | Tax-exempt interest income/ (loss)                          |                |         | 630    |   |      |         | 755    |   |  |         |      |  
|                                                | Dividends received deduction                                |                |         |       |   |      |         | 914    |   |  |         |      |  
|                                                | Canadian subsidiary income/ (loss)                          |                |         | (1,130 | ) |      |         | (1,202 | ) |  |         | (361  | )
|                                                | Federal tax expense/ (benefit) of state and local
    taxes |                |         | (1,027 | ) |      |         | (511   | ) |  |         | (746  | )
|                                                | Other                                                       |                |         | (42    | ) |      |         | 2,305  |   |  |         | 1,329 |  
|                                                |                                                             |                |         |        |   |      |         |        |   |  |         |      
|Actual federal tax expense/ (benefit            |                                                             |                | (15,191 | )      |   |      | (21,305 | )      |   |  | (22,407 | )    
|State and local income tax expense/ (benefit)   |                                                             |                | 1,256   |        |   |      | 1,414   |        |   |  | (137    | )    
|                                                |                                                             |                |         |        |   |      |         |        |   |  |         |      
|Actual tax expense/ (benefit) of operations     |                                                             | $              | (13,935 | )      |   |      | (19,891 | )      |   |  | (22,544 | )    
|                                                |                                                             |                |         |        |   |      |         |        |   |  |         |      

81



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Deferred tax assets and liabilities are comprised
as follows:

|                                                                      |                                |                |         |         |  |  |         |         | 
|--------------------------------------------------------------------- | ------------------------------ | -------------- | ------- | ------- |  |  | ------- | ------- | 
|                                                                      |                                |               
|                                                                      |                                | March 31,     
|                                                                      |                                |               
|                                                                      |                                | 2003           |         | 2002   
|                                                                      |                                |                |         |        
|                                                                      |                                |               
|                                                                      |                                | (In thousands)
|Deferred tax assets                                                   |                                |                |         |         |  |  |         |        
|Tax net operating loss and credit carryforwards                       |                                | $              | 99,375  |         |  |  | 88,212  |        
|Accrued expenses/ (benefit)                                           |                                |                | 127,675 |         |  |  | 111,301 |        
|Deferred revenue from sale/ leaseback                                 |                                |                | 5,137   |         |  |  | 9,893   |        
|Policy benefits and losses, claims and loss
    expenses payable, net |                                |                | 26,596  |         |  |  | 30,987  |        
|Unrealized gains/ (losses)                                            |                                |                | 2,043   |         |  |  | (4,992  | )      
|                                                                      |                                |                |         |         |  |  |         |        
|                                                                      | Total deferred tax assets      |                |         | 260,826 |  |  |         | 235,401 | 
|Deferred tax liabilities Property, plant and
    equipment            |                                |                | 196,525 |         |  |  | 194,270 |        
|Deferred policy acquisition costs                                     |                                |                | 26,127  |         |  |  | 24,217  |        
|Other                                                                 |                                |                | 5,932   |         |  |  | 10,869  |        
|                                                                      |                                |                |         |         |  |  |         |        
|                                                                      | Total deferred tax liabilities |                |         | 228,584 |  |  |         | 229,356 | 
|                                                                      |                                |                |         |         |  |  |         |        
|                                                                      | Net deferred tax assets        |                | $       | 32,242  |  |  |         | 6,045   | 
|                                                                      |                                |                |         |         |  |  |         |        

Prior to the restatements, AMERCO had a history
of profitable operations and management has concluded that it is
more likely than not that AMERCO will ultimately realize the
full benefit of its deferred tax assets. Management has
determined it has tax strategies which could be implemented
sufficient to recover all of its deferred tax assets.
Accordingly, AMERCO believes that a valuation allowance is not
required at March 31, 2003 and 2002. See also Note 15
of Notes to Consolidated Financial Statements.

Under the provisions of the Tax Reform Act of
1984 (the Act), the balance in Oxfords account designated
Policyholders Surplus Account is frozen at its
December 31, 1983 balance of $19.3 million. Federal
income taxes (Phase III) will be payable thereon at
applicable current rates if amounts in this account are
distributed to the stockholder or to the extent the account
exceeds a prescribed maximum. Oxford did not incur a
Phase III liability for the years ended December 31,
2002, 2001 and 2000.

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 such payments. 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.

At March 31, 2003 and March 31, 2002,
AMERCO and RepWest have non-life net operating loss
carryforwards available to offset federal taxable income in
future years of $181.6 million and $181.4 million,
respectively. These carryforwards expire in 2011 through 2020.
At March 31, 2003 and March 31, 2002, AMERCO has
alternative minimum tax credit carryforwards of
$5.4 million and $5.3 million, respectively, which do
not have an expiration date, and may only be utilized in years
in which regular tax exceeds alternative minimum tax.

82



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The SAC consolidated group consists of two
separate affiliated groups for tax purposes. The SAC Holdings
affiliated group has net operating losses of $61.6 million
and $42.2 million in fiscal years ending March 31,
2003 and March 31, 2002 respectively, to offset federal
taxable income in future years. The SAC Holding II group,
which began to file tax returns in fiscal year ending
March 31, 2003 has a net operating loss carryforward of
$7.6 million to offset federal taxable income in future
years. These carryforwards expire in 2013 through 2023.

During 1994, Oxford distributed its investment in
RepWest common stock as a dividend to its parent at book value.
As a result of such dividend, a deferred intercompany gain arose
due to the difference between the book value and fair value of
such common stock. However, such gain can only be triggered if
certain events occur. If the DOI places RepWest under
conservatorship, that event might be deemed to trigger the
deferred gain. The current tax payable as result of that
deferred gain could be as much as $18 million. However, the
same hypothetical action by the DOI would most likely lead to an
offsetting current tax loss to AMERCO resulting in future
recovery of that same tax. To date, no events have occurred
which would trigger such gain recognition. No deferred taxes
have been provided in the accompanying consolidated financial
statements as management believes that no events have occurred
to trigger such gain.

Under certain circumstances and sections of the
Internal Revenue Code a change in ownership for tax purposes
will limit the amount of net operating loss carryforwards that
can be used to offset future taxable income.

11.     Transactions
with Fleet Owners and Other Rental Equipment Owners

Independent rental equipment owners (fleet
owners) own approximately 4% of all U-Haul rental trailers and
0.01% of certain other rental equipment. There are approximately
1,290 fleet owners, including certain officers, directors,
employees and stockholders of AMERCO. Such AMERCO officers,
directors, employees and stockholders owned approximately 0.07%,
0.09% and 0.10% of all U-Haul rental trailers during the fiscal
years 2003, 2002 and 2001, respectively. All rental equipment is
operated under contract with U-Haul whereby U-Haul administers
the operations and marketing of such equipment and in return
receives a percentage of rental fees paid by customers. Based on
the terms of various contracts, rental fees are distributed to
U-Haul (for services as operators), to the fleet owners
(including certain subsidiaries and related parties of U-Haul)
and to Rental Dealers (including Company-operated U-Haul
Centers).

See also note 19.

12.     Employee
Benefit Plans

AMERCO employees participate in the AMERCO
Employee Savings, Profit Sharing and Employee Stock Ownership
Plan (the Plan) which is designed to provide all
eligible employees with savings for their retirement and to
acquire a proprietary interest in AMERCO.

The Plan has three separate features: a profit
sharing feature under which the Employer may make contributions
on behalf of participants; a savings feature which allows
participants to defer income under Section 401(k) of the
Internal Revenue Code of 1986; and an employee stock ownership
feature under which AMERCO may make contributions of AMERCO
common stock or cash to acquire such stock on behalf of
participants. Generally, employees of AMERCO are eligible to
participate in the Plan upon completion of a one year service
requirement.

No contributions were made to the profit sharing
plan in fiscal year 2003, 2002, or 2001.

83



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

AMERCO has arranged financing to fund the ESOP
trust (ESOT) and to enable the ESOT to purchase shares.
Below is a summary of the financing arrangements:

|               |  |             |        |                   |  |      |     |      |  |  |       |  |  |  |       | 
|-------------- |  | ----------- | ------ | ----------------- |  | ---- | --- | ---- |  |  | ----- |  |  |  | ----- | 
|               |  | Amount      |        |                   |  |      |     |     
|               |  | Outstanding |        |                  
|               |  | as of       |        | Interest Payments
|               |  | March 31,   |        |                  
|Financing Date |  | 2003        |        | 2003              |  | 2002 |     | 2001
|               |  |             |        |                   |  |      |     |     
|               |  |             |        |                   |  |     
|               |  |             |        | (In thousands)    |  |     
|May 1990       |  |             |       |                   |  |      |    |      |  |  |      |  |  |  | 8     | 
|June 1991      |  |             | 14,398 |                   |  |      | 978 |      |  |  | 1,210 |  |  |  | 1,113 | 
|March 1999     |  |             | 140    |                   |  |      | 11  |      |  |  | 14    |  |  |  | 16    | 
|February 2000  |  |             | 885    |                   |  |      | 62  |      |  |  | 74    |  |  |  |      | 
|April, 2001    |  |             | 144    |                   |  |      | 5   |      |  |  |      |  |  |  |      | 

Shares are released from collateral and allocated
to active employees based on the proportion of debt service paid
in the plan year. Contributions to the ESOT charged to expense
were $2.2 million, $2.1 million and $2.2 million
for fiscal years 2003, 2002 and 2001, respectively.

The shares held by ESOP as of March 31 were
as follows:

|                                |  |                |       |      |  |  |        | 
|------------------------------- |  | -------------- | ----- | ---- |  |  | ------ | 
|                                |  |               
|                                |  | March 31, 1992
|                                |  |               
|                                |  | 2003           |       | 2002
|                                |  |                |       |     
|                                |  |               
|                                |  | (In thousands)
|Allocated shares                |  |                | 1,639 |      |  |  | 1,674  | 
|Shares committed to be released |  |                |      |      |  |  |       | 
|Unreleased shares               |  |                | 795   |      |  |  | 860    | 
|Fair value of unreleased shares |  | $              | 3,212 |      |  |  | 14,973 | 
|                                |  |                |       |      |  |  |        | 

For purposes of the schedule, fair value of
unreleased shares issued prior to December 31, 1992 is
defined as the historical cost of such shares. Fair value of
unreleased shares issued subsequent to December 31, 1992 is
defined as the March 31 trading value of such shares for
2002 and 2001.

Oxford insures various group life and group
disability insurance plans covering employees of the
consolidated group. Premiums earned were $2.7 million,
$2.0 million and $1.4 million during the years ended
December 31, 2002, 2001 and 2000, respectively, and were
eliminated in consolidation.

13.     Postretirement
and Postemployment Benefits

AMERCO provides medical and life insurance
benefits to retired employees and eligible dependents over
age 65 if the employee meets specified age and service
requirements.

AMERCO uses the accrual method of accounting for
postretirement benefits. AMERCO continues to fund medical and
life insurance benefit costs as claims are incurred.

84



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

The components of net periodic postretirement
benefit cost for 2003, 2002 and 2001 are as follows:

|                                                        |  |                |      |      |  |      |      |   |  |  |      |  
|------------------------------------------------------- |  | -------------- | ---- | ---- |  | ---- | ---- | - |  |  | ---- | -
|                                                        |  |               
|                                                        |  | Year Ended    
|                                                        |  |               
|                                                        |  | 2003           |      | 2002 |  | 2001
|                                                        |  |                |      |      |  |     
|                                                        |  |               
|                                                        |  | (In thousands)
|Service cost for benefits earned during the period      |  | $              | 299  |      |  |      | 259  |   |  |  | 228  |  
|Interest cost on accumulated postretirement
    benefit |  |                | 355  |      |  |      | 302  |   |  |  | 276  |  
|Other components                                        |  |                | (279 | )    |  |      | (315 | ) |  |  | (340 | )
|                                                        |  |                |      |      |  |      |      |   |  |  |      |  
|Net periodic postretirement benefit cost                |  | $              | 375  |      |  |      | 246  |   |  |  | 164  |  
|                                                        |  |                |      |      |  |      |      |   |  |  |      |  

The 2003 and 2002 postretirement benefit
liability included the following components:

|                                              |                              |                |       |      |   |  |       |     |  
|--------------------------------------------- | ---------------------------- | -------------- | ----- | ---- | - |  | ----- | --- | -
|                                              |                              |               
|                                              |                              | Year Ended    
|                                              |                              |               
|                                              |                              | 2003           |       | 2002
|                                              |                              |                |       |     
|                                              |                              |               
|                                              |                              | (In thousands)
|Beginning of year                             |                              | $              | 4,982 |      |   |  | 4,097 |    
|                                              | Service cost                 |                |       | 299  |   |  |       | 259 |  
|                                              | Interest cost                |                |       | 355  |   |  |       | 302 |  
|                                              | Benefit payments and expense |                |       | (122 | ) |  |       | (81 | )
|                                              | Actuarial (gain) loss        |                |       | (536 | ) |  |       | 405 |  
|                                              |                              |                |       |      |   |  |       |    
|Accumulated postretirement benefit obligation |                              |                | 4,978 |      |   |  | 4,982 |    
|Unrecognized net gain                         |                              |                | 4,364 |      |   |  | 4,107 |    
|                                              |                              |                |       |      |   |  |       |    
|                                              |                              | $              | 9,342 |      |   |  | 9,089 |    
|                                              |                              |                |       |      |   |  |       |    

The discount rate assumptions in computing the
information above were as follows:

|                                              |  |      |       |      |  |      |       |  |  |  |       | 
|--------------------------------------------- |  | ---- | ----- | ---- |  | ---- | ----- |  |  |  | ----- | 
|                                              |  | 2003 |       | 2002 |  | 2001
|                                              |  |      |       |      |  |     
|Accumulated postretirement benefit obligation |  |      | 6.75% |      |  |      | 7.25% |  |  |  | 7.50% | 

The year-to-year fluctuations in the discount
rate assumptions primarily reflect changes in U.S. interest
rates. The discount rate represents the expected yield on a
portfolio of high-grade (AA-AAA rated or equivalent)
fixed-income investments with cash flow streams sufficient to
satisfy benefit obligations under the plans when due.

The assumed health care cost trend rate used in
measuring the accumulated postretirement benefit obligation was
5.6% in 2003, declining annually to an ultimate rate of 4.20% in
2016.

If the health care cost trend rate assumptions
were increased by 1.00%, the accumulated postretirement benefit
obligation as of March 31, 2003 would be increased by
approximately $270 thousand and a decrease of 1.00% would reduce
the accumulated postretirement benefit obligation by $294
thousand.

Post employment benefits, other than retirement,
provided by AMERCO are not material.



|    |            
|--- | -----------
|14. | Reinsurance

In the normal course of business, RepWest and
Oxford assume and cede reinsurance on both a coinsurance and
risk premium basis. RepWest and Oxford obtain reinsurance for
that portion of risks exceeding retention limits. The maximum
amount of life insurance retained on any one life is $150,000.

85



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

A summary of reinsurance transactions by business
segment is as follows:

|                                                         |  |                |           |           |  |            |           |           |  |                |           |  |  |  |           |  |  |  |    |  
|-------------------------------------------------------- |  | -------------- | --------- | --------- |  | ---------- | --------- | --------- |  | -------------- | --------- |  |  |  | --------- |  |  |  | -- | -
|                                                         |  |                |           | Ceded to  |  | Assumed    |           |           |  | Percentage of 
|                                                         |  | Direct         |           | Other     |  | from Other |           | Net       |  | Amount        
|                                                         |  | Amount(a)      |           | Companies |  | Companies  |           | Amount(a) |  | Assumed to Net
|                                                         |  |                |           |           |  |            |           |           |  |               
|                                                         |  |               
|                                                         |  | (In thousands)
|Year ended December 31, 2002 Life insurance
    in force |  | $              | 2,036,998 |           |  |            | 1,045,011 |           |  |                | 1,613,812 |  |  |  | 2,605,789 |  |  |  | 62 | %
|                                                         |  |                |           |           |  |            |           |           |  |                |           |  |  |  |           |  |  |  |    |  
|Premiums earned:                                         |  |                |           |           |  |            |           |           |  |                |           |  |  |  |           |  |  |  |    |  
|Life                                                     |  |                | 22,973    |           |  |            | 10,078    |           |  |                | 15,111    |  |  |  | 28,006    |  |  |  | 54 | %
|Accident and health                                      |  |                | 114,526   |           |  |            | 15,274    |           |  |                | 26,581    |  |  |  | 125,833   |  |  |  | 21 | %
|Annuity                                                  |  |                | 1,272     |           |  |            |          |           |  |                | 3,609     |  |  |  | 4,881     |  |  |  | 74 | %
|Property and casualty                                    |  |                | 166,677   |           |  |            | 69,374    |           |  |                | 51,902    |  |  |  | 149,205   |  |  |  | 34 | %
|                                                         |  |                |           |           |  |            |           |           |  |                |           |  |  |  |           |  |  |  |    |  
|Total                                                    |  | $              | 305,448   |           |  |            | 94,726    |           |  |                | 97,203    |  |  |  | 307,925   |  |  |  |   |  
|                                                         |  |                |           |           |  |            |           |           |  |                |           |  |  |  |           |  |  |  |    |  

|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|-------------------------------------------------------- |  | -------------- | --------- | --------- |  | ---------- | ------- | --------- |  | -------------- | --------- |  |  |  | --------- |  |  |  | -- | -
|                                                         |  |                |           | Ceded to  |  | Assumed    |         |           |  | Percentage of 
|                                                         |  | Direct         |           | Other     |  | from Other |         | Net       |  | Amount        
|                                                         |  | Amount(a)      |           | Companies |  | Companies  |         | Amount(a) |  | Assumed to Net
|                                                         |  |                |           |           |  |            |         |           |  |               
|                                                         |  |               
|                                                         |  | (In thousands)
|Year ended December 31, 2001 Life insurance
    in force |  | $              | 2,088,898 |           |  |            | 925,608 |           |  |                | 1,732,122 |  |  |  | 2,895,412 |  |  |  | 60 | %
|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|Premiums earned:                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|Life                                                     |  | $              | 21,437    |           |  |            | 8,889   |           |  |                | 14,083    |  |  |  | 26,631    |  |  |  | 53 | %
|Accident and health                                      |  |                | 115,364   |           |  |            | 18,265  |           |  |                | 28,051    |  |  |  | 125,150   |  |  |  | 23 | %
|Annuity                                                  |  |                | 1,651     |           |  |            |        |           |  |                | 3,939     |  |  |  | 5,590     |  |  |  | 70 | %
|Property and casualty                                    |  |                | 217,401   |           |  |            | 55,301  |           |  |                | 91,699    |  |  |  | 253,799   |  |  |  | 37 | %
|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|Total                                                    |  | $              | 355,853   |           |  |            | 82,455  |           |  |                | 137,772   |  |  |  | 411,170   |  |  |  |   |  
|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  

|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|-------------------------------------------------------- |  | -------------- | --------- | --------- |  | ---------- | ------- | --------- |  | -------------- | --------- |  |  |  | --------- |  |  |  | -- | -
|                                                         |  |                |           | Ceded to  |  | Assumed    |         |           |  | Percentage of 
|                                                         |  | Direct         |           | Other     |  | from Other |         | Net       |  | Amount        
|                                                         |  | Amount(a)      |           | Companies |  | Companies  |         | Amount(a) |  | Assumed to Net
|                                                         |  |                |           |           |  |            |         |           |  |               
|                                                         |  |               
|                                                         |  | (In thousands)
|Year ended December 31, 2000 Life insurance
    in force |  | $              | 1,736,332 |           |  |            | 923,472 |           |  |                | 1,812,548 |  |  |  | 2,625,408 |  |  |  | 69 | %
|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|Premiums earned:                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|Life                                                     |  | $              | 23,666    |           |  |            | 2,493   |           |  |                | 8,232     |  |  |  | 29,405    |  |  |  | 28 | %
|Accident and health                                      |  |                | 72,593    |           |  |            | 15,195  |           |  |                | 16,884    |  |  |  | 74,282    |  |  |  | 23 | %
|Annuity                                                  |  |                | 574       |           |  |            |        |           |  |                | 6,932     |  |  |  | 7,506     |  |  |  | 92 | %
|Property and casualty                                    |  |                | 153,816   |           |  |            | 33,182  |           |  |                | 96,281    |  |  |  | 216,915   |  |  |  | 44 | %
|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  
|Total                                                    |  | $              | 250,649   |           |  |            | 50,870  |           |  |                | 128,329   |  |  |  | 328,108   |  |  |  |   |  
|                                                         |  |                |           |           |  |            |         |           |  |                |           |  |  |  |           |  |  |  |    |  



---

|    |                                                                                                                                                                                                                                                                                                               
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(a) | Balances are reported net of intersegment
    transactions. Premiums eliminated in consolidation total
    $3.4 million, $8.2 million and $9.2 million for
    RepWest, and $2.7 million, $2.0 million and
    $1.4 million for Oxford for the years ended
    December 31, 2002, 2001 and 2000, respectively.

86



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

To the extent that a reinsurer is unable to meet
its obligation under the related reinsurance agreements, RepWest
would remain liable for the unpaid losses and loss expenses.
Pursuant to certain of these agreements, RepWest holds letters
of credit of $7.6 million from reinsurers and has issued
letters of credit of approximately $15.7 million in favor
of certain ceding companies as of December 31, 2002.

RepWest is a reinsurer of municipal bond
insurance through an agreement with MBIA, Inc. Premiums
generated through this agreement are recognized on a pro rata
basis over the contract coverage period. On December 1,
2002, MBIA, Inc. and RepWest entered into a termination
agreement to terminate the agreement on a cut-off basis. In
conjunction with the Termination Agreement, RepWest paid MBIA,
Inc. $3.4 million in December of 2002 for reimbursement of
unearned premiums.

The following is a summary of balances related to
the agreement with MBIA, Inc as of December 31, 2001:

|                                                            |  |                |       | 
|----------------------------------------------------------- |  | -------------- | ----- | 
|                                                            |  | (In thousands)
|Unearned premiums                                           |  | $              | 4,300 | 
|Case loss reserves                                          |  | $              | 702   | 
|Aggregate exposure for Class I municipal
    bond insurance |  | $              | 5,200 | 



|    |                                           
|--- | ------------------------------------------
|15. | Contingent Liabilities and
    Commitments

The Company uses certain equipment and occupies
certain facilities under operating lease commitments with terms
expiring through 2079. Lease expense was $163.8 million,
$170.0 million and $173.0 million for the years ended
2003, 2002 and 2001, respectively. During the year ended
March 31, 2003, a subsidiary of U-Haul entered into two
transactions, whereby AMERCO sold rental trucks, which were
subsequently leased back. AMERCO has guaranteed
$192.0 million of residual values at March 31, 2003,
for these assets at the end of the respective lease terms.
Certain leases contain renewal and fair market value purchase
options as well as mileage and other restrictions similar to
covenants disclosed in Note 6 of Notes to Consolidated
Financial Statements for notes payable and loan agreements.

Following are the lease commitments for leases
having terms of more than one year:

|           |  |                     |         |        |  |       |         |  |  |  |         | 
|---------- |  | ------------------- | ------- | ------ |  | ----- | ------- |  |  |  | ------- | 
|           |  |                    
|           |  | March 31, 2003     
|           |  |                    
|           |  | Property, Plant and |         | Rental |  |      
|Year Ended |  | Other Equipment     |         | Fleet  |  | Total
|           |  |                     |         |        |  |      
|           |  |                    
|           |  | (In thousands)     
|2004       |  | $                   | 120,334 |        |  |       | 117,514 |  |  |  | 237,848 | 
|2005       |  |                     | 2,837   |        |  |       | 107,408 |  |  |  | 110,245 | 
|2006       |  |                     | 2,692   |        |  |       | 84,891  |  |  |  | 87,583  | 
|2007       |  |                     | 2,178   |        |  |       | 71,436  |  |  |  | 73,614  | 
|2008       |  |                     | 1,379   |        |  |       | 25,690  |  |  |  | 27,069  | 
|Thereafter |  |                     | 5,699   |        |  |       | 10,107  |  |  |  | 15,806  | 
|           |  |                     |         |        |  |       |         |  |  |  |         | 
|           |  | $                   | 135,119 |        |  |       | 417,046 |  |  |  | 552,165 | 
|           |  |                     |         |        |  |       |         |  |  |  |         | 

The Company, at the expiration of the lease, has
the option to renew the lease, purchase for fair market value,
or sell to a third party on behalf of the lessor.

The Company maintains credit facilities and
leasing agreements, collectively the Lease Facilities. Under
these Lease Facilities, the lessor acquires land to be developed
for storage locations with advances of funds (the Advances) made
by certain parties to the facilities. AMERCO separately leases
the land and

87



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

improvements, including completed locations (the
Properties) under the facilities and respective lease
supplements.

In December of 1996, AMERCO executed a
$100.0 million Lease Facility with a number of financial
institutions, which was amended and restated in July 1999 to
$170.0 million. This credit facility related to this Lease
Facility terminated in July of 2001, however the leasing
agreement under which AMERCO leases the Properties does not
terminate until July of 2004. In September 1999, and April of
2001, AMERCO entered into additional Lease Facilities for
available credit of $115.5 million and $49.0 million,
respectively. Both the Credit Facility and the Leasing Agreement
for the respective facilities expire in September 2004 and April
2004, respectively. There was no available credit under the
Lease Facilities at March 31, 2003 and 2002.

As of March 31, 2003 the Company had
obligations outstanding of $254.0 million under the Lease
Facilities, of this, $117.0 million represents properties
qualifying as operating leases.

The facilities contain certain restrictions
similar to those contained in Note 6. Upon occurrence of any
event of default, the lessor may rescind or terminate any or all
leases and, among other things, require AMERCO to repurchase any
or all of the properties. The facilities have a three-year term,
with options for successive one-year renewal terms subject to
consent of other parties.

Upon the expiration of the facilities, AMERCO may
either purchase all of the properties based on a purchase price
equal to all amounts outstanding under the Advances, including
the interest and yield thereon, or remarket all of the
properties to a third party purchaser.

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 cleanup of
underground fuel storage tanks. It is the opinion of management
that none of such suits, claims or proceedings involving AMERCO,
individually or in the aggregate, are expected to result in a
material loss. Also see Note 16.

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. Since
1988, Real Estate has managed a testing and removal program for
underground storage tanks. Under this program we have spent
$43.7 million.

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



|    |                  
|--- | -----------------
|16. | Legal Proceedings

Pursuant to the $7.5 million settlement of a
class action lawsuit relating to overtime compensation and
brought on behalf of current and former Moving Center General
Managers in California, Sarah Saunders, et al. vs. U-Haul
Company of California, Inc., final payment was made on
April 5, 2002.

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

88



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO 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. Oxford has
perfected its appeal to the West Virginia Supreme Court. Oral
argument on the appeal petition is set for September 9,
2003. 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,
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 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 as defendants. 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 its 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.

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 the federal bankruptcy laws in May of
2001. A successful mediation with other liable parties has
occurred and future liability to INW will be in the range of
$750,000 to $1.25 million.

89



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO 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 four subpoenas issued by the SEC. 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 Trustaction
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 Matesaction 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 Klugaction asserts claims
under section 10(b) and Rule 10b-5 and
section 20(a) of the Securities Exchange Act. IG
Holdingsv. 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. The Klugaction has not been
served. In the other three actions, AMERCO does not currently
have a deadline by which it must respond to the complaints.
Management has stated that it intends to defend these cases
vigorously. We have filed a notice of AMERCOs bankruptcy
petition and the automatic stay in each of the Courts where
these cases are pending.

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. At the
present time, the Company is unable to determine whether the DOL
will assert any 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 until December 31, 2003
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 such parties to extend the tolling agreement. The
DOL has not advised

90



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

the Company that it believes that any violations
of ERISA have in fact occurred. Instead, the DOL is simply
investigating potential violations. The Company 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.



|    |                                
|--- | -------------------------------
|17. | Preferred Stock Purchase Rights

AMERCOs Board of Directors adopted a
stockholder-rights plan in July 1998. The rights were declared
as a dividend of one preferred share purchase right for each
outstanding share of AMERCOs common stock. The dividend
distribution was payable on August 17, 1998 to the
stockholders of record on that date. When exercisable, each
right will entitle its holder to purchase from AMERCO one
one-hundredth of a share of Series C Junior Participating
Preferred Stock (Series C), no par value per share of
AMERCO, at a price of $132.00 per one one-hundredth of a share
of Series C, subject to adjustment. AMERCO has created a
series of 3,000,000 shares of authorized but unissued
preferred stock for the Series C stock authorized in this
stockholder-rights plan.

The rights will become exercisable if a person or
group of affiliated or associated persons acquire or obtain the
right to acquire beneficial ownership of 10% or more of the
common stock without approval of a majority of the Board of
Directors of AMERCO. The rights will expire on August 7,
2008 unless earlier redeemed or exchanged by AMERCO.

In the event AMERCO is acquired in a merger or
other business combination transaction after the rights become
exercisable, each holder of a right would be entitled to receive
that number of shares of the acquiring companys common
stock equal to the result obtained by multiplying the then
current Purchase Price by the number one one-hundredths of a
share of Series C for which a right is then exercisable and
dividing that product by 50% of the then current market price
per share of the acquiring company.



|    |                  
|--- | -----------------
|18. | Stock Option Plan

AMERCOs stockholders approved a ten year
incentive plan entitled the AMERCO Stock Option and Incentive
Plan (the Plan) for officers and key employees in October 1992.
No stock options or awards were granted under this plan, the
plan has terminated during fiscal year 2003.



|    |                           
|--- | --------------------------
|19. | Related Party Transactions

AMERCO has related party transactions with
certain major stockholders, directors and officers of the
consolidated group as disclosed in Notes 3 and 11 of Notes
to Consolidated Financial Statements and below. Management
believes that the transactions described in the related notes
and below were consummated on terms equivalent to those that
would prevail in arms-length transactions.

On December 23, 2002, Mark V. Shoen, a
significant shareholder purchased a condominium in Phoenix,
Arizona from Oxford Life Insurance Company. The purchase price
was $279,573, which was in excess of the appraised value.

During fiscal 2003, U-Haul purchased
$2.1 million of printing from Form Builders, Inc. Mark V.
Shoen, his daughter and Edward J. Shoens sons are major
stockholders of Form Builders, Inc. Edward J. Shoen is
Chairman of the Board of Directors and President of AMERCO and
is a significant stockholder of AMERCO. Mark V. Shoen is
President, U-Haul Phoenix Operations and is a significant
stockholder of AMERCO. The Company ceased doing business with
Form Builders, Inc. on April 18, 2003.

91



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

During fiscal 2003, Sam Shoen, a son of Edward J.
Shoen, was employed by U-Haul as project group supervisor.
Mr. Shoen was paid an aggregate salary and bonus of $77,327
for his services during the fiscal year.

During fiscal 2003, a subsidiary of the Company
held various senior and junior unsecured notes of SAC Holdings.
Substantially all of the equity interest of SAC Holdings is
owned by Mark V. Shoen, a significant shareholder and executive
officer of AMERCO. The Company does not have an equity ownership
interest in SAC Holdings, except for minority investments made
by RepWest and Oxford in a SAC Holdings-controlled limited
partnership which holds Canadian self-storage properties. The
senior unsecured notes of SAC Holdings that the Company holds
rank equal in right of payment with the notes of certain senior
mortgage holders, but junior to the extent of the collateral
securing the applicable mortgages and junior to the extent of
the cash flow waterfalls that favor the senior mortgage holders.
The Company received cash interest payments of
$26.6 million from SAC Holdings during fiscal year 2003.
The notes receivable balance outstanding at March 31, 2003
was, in the aggregate, $394.2 million. The largest
aggregate amount outstanding during the fiscal year ended
March 31, 2003 was $407.4 million. At March 31,
2003, SAC Holdings notes and loans payable to third
parties totaled $589.0 million. Interest on the senior and
junior notes accrues at rates ranging from 6.5% to 13%.

Interest accrues on the outstanding principal
balance of senior notes of SAC Holdings that the Company holds
at a fixed rate and is paid on a monthly basis.

Interest accrues on the outstanding principal
balance of junior notes of SAC Holdings that the Company holds
at a stated rate of basic interest. A fixed portion of that
basic interest is paid on a monthly basis. Additional interest
is paid on the same payment date based on the difference between
the amount of remaining basic interest and an amount equal to a
specified percentage of the net cash flow before interest
expense generated by the underlying property minusthe
sum ofthe principal and interest due on the senior notes
of SAC Holdings relating to that property anda multiple
of the fixed portion of basic interest paid on that monthly
payment date.

The latter amount is referred to as the
cash flow-based calculation.

To the extent that this cash flow-based
calculation exceeds the amount of remaining basic interest,
contingent interest equal to that excess and the amount of
remaining basic interest are paid on the same monthly date as
the fixed portion of basic interest. To the extent that the cash
flow-based calculation is less than the amount of remaining
basic interest, the additional interest payable on the
applicable monthly date is limited to the amount of that cash
flow-based calculation. In such a case, the excess of the
remaining basic interest over the cash flow-based calculation is
deferred and all amounts so deferred bear the stated rate of
basic interest until maturity of the junior note.

In addition, subject to certain contingencies,
the junior notes provide that the holder of the note is entitled
to receive 90% of the appreciation realized upon, among other
things, the sale of such property by SAC Holdings. To date, no
such properties have been sold by SAC Holdings.

The Company currently manages the self-storage
properties owned by SAC Holdings pursuant to a standard form of
management agreement with each SAC Holdings subsidiary, under
which the Company receives a management fee equal to 6% of the
gross receipts. The Company received management fees of
$12.3 million during fiscal year 2003. This management fee
is consistent with the fees received for other properties the
Company manages.

RepWest and Oxford currently hold a 46% limited
partnership interest in Securespace Limited Partnership
(Securespace), a Nevada limited partnership. A SAC
Holdings subsidiary serves as the general partner of Securespace
and owns a 1% interest. Another SAC Holdings subsidiary owns the
remaining 53%

92



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

limited partnership interest in Securespace.
Securespace was formed by SAC Holdings to be the owner of
various Canadian self-storage properties.

During fiscal year 2003, the Company leased space
for marketing company offices, vehicle repair shops and hitch
installation centers in 35 locations owned by subsidiaries of
SAC Holdings. Total lease payments pursuant to such leases were
$2,051,858 during fiscal year 2003. The terms of the leases are
similar to the terms of leases for other properties owned by
unrelated parties that are leased to the Company.

At March 31, 2003, subsidiaries of SAC
Holdings acted as U-Haul independent dealers. The financial and
other terms of the dealership contracts with subsidiaries of SAC
Holdings are substantially identical to the terms of those with
the Companys other independent dealers. During fiscal
2003, the Company paid subsidiaries of SAC Holdings $27,658,641
in commissions pursuant to such dealership contracts.

The transactions discussed above involving SAC
Holdings have all been eliminated from the Companys
consolidated financial statements. Although these transactions
have been eliminated for financial statement reporting purposes,
except for minority investments made by RepWest and Oxford in
Securespace, the Company has not had any equity ownership
interest in SAC Holdings.

SAC Holdings were established in order to acquire
self-storage properties which are being managed by the Company
pursuant to management agreements. The sale of self-storage
properties by the Company to SAC Holdings has in the past
provided significant cash flows to the Company and the
Companys outstanding loans to SAC Holdings entitle the
Company to participate in SAC Holdings excess cash flows
(after senior debt service).

Management believes that its sales of
self-storage properties to SAC Holdings over the past several
years provided a unique structure for the Company to earn rental
revenues from the SAC Holdings self-storage properties that the
Company manages and participate in SAC Holdings excess
cash flows as described above.

Although the Board of Directors of the
appropriate subsidiary which was a party to each transaction
with SAC Holdings approved such transaction at the time it was
completed, the Company did not seek approval by AMERCOs
Board of Directors for such transactions. However, AMERCOs
Board of Directors, including the independent members, was made
aware of and received periodic updates regarding such
transactions from time to time. All future real estate
transactions with SAC Holdings that involve the Company or any
of its subsidiaries will have the prior approval of
AMERCOs Board of Directors, even if it is not legally
required, including a majority of the independent members of
AMERCOs Board of Directors.

During the fiscal year ended 2001, AMERCO sold
$10.5 million of remanufactured engines and small
automotive parts and purchased $53.7 million of automotive
parts and tools from a company wherein a major stockholder,
director and officer of AMERCO formerly had a beneficial
minority ownership interest. The related party interest ceased
to exist as of December 31, 2000.

During the fiscal year ended 2001, AMERCO
purchased $1.1 million of rebuilt torque converters and
other related transmission parts from a company wherein an owner
was a family member of a major stockholder, director and officer
of AMERCO. The related party interest ceased to exist as of
December 31, 2000.

During the years ended 2003, 2002 and 2001,
AMERCO purchased $2.1 million, $3.2 million and
$3.5 million, respectively, of printing services from a
company wherein an owner is related to a major

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AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

stockholder, director and officer of AMERCO. The
Company ceased doing business with this entity on April 18,
2003.

In connection with transactions described above
regarding parts, tools and printing services, the Internal Audit
Department of U-Haul periodically tests pricing against
competitive third party bids for fairness.

Management believes that the foregoing
transactions were consummated on terms equivalent to those that
prevail in arms-length transactions.

20.     Supplemental
Cash Flow Information

The (increase) decrease in receivables, and
inventories and increase (decrease) in accounts payable and
accrued expenses net of other operating and investing activities
follows:

|                                      |  |                |         |      |  |      |         |   |  |  |         |  
|------------------------------------- |  | -------------- | ------- | ---- |  | ---- | ------- | - |  |  | ------- | -
|                                      |  |               
|                                      |  | Year Ended    
|                                      |  |               
|                                      |  | 2003           |         | 2002 |  | 2001
|                                      |  |                |         |      |  |     
|                                      |  |               
|                                      |  | (In thousands)
|Trade receivables, net                |  |                | 11,133  |      |  |      | (26,778 | ) |  |  | (57,520 | )
|                                      |  |                |         |      |  |      |         |   |  |  |         |  
|Inventories                           |  |                | 12,506  |      |  |      | 8,643   |   |  |  | 9,534   |  
|                                      |  |                |         |      |  |      |         |   |  |  |         |  
|Prepaid expenses                      |  |                | (6,567  | )    |  |      | (6,577  | ) |  |  | 17,958  |  
|                                      |  |                |         |      |  |      |         |   |  |  |         |  
|Deferred income taxes                 |  |                | (26,197 | )    |  |      | (26,303 | ) |  |  | (4,643  | )
|                                      |  |                |         |      |  |      |         |   |  |  |         |  
|Accounts payable and accrued expenses |  |                | 28,143  |      |  |      | 5,473   |   |  |  | 68,543  |  
|                                      |  |                |         |      |  |      |         |   |  |  |         |  
|Deferred income                       |  |                | (2,871  | )    |  |      | (4,771  | ) |  |  | 6,572   |  
|                                      |  |                |         |      |  |      |         |   |  |  |         |  

21.     Summarized
Consolidated Financial Information of Insurance
Subsidiaries

Applicable laws and regulations of the State of
Arizona require Oxford and RepWest to maintain minimum capital
and surplus determined in accordance with statutory accounting
practices. The amount of dividends that can be paid to
shareholders by insurance companies domiciled in the State of
Arizona is limited. Any dividend in excess of the limit requires
prior regulatory approval. At December 31, 2002, Oxford
cannot distribute any of their statutory surplus as dividends
without regulatory approval. At December 31, 2002, RepWest
had $6.5 million of statutory surplus available for
distribution. However, as discussed above, as a result of the
Order of Supervision issued by the DOI, RepWest must obtain
approval from the DOI prior to any dividend payments to AMERCO.

Audited statutory net income (loss) for RepWest
for the years ended December 31, 2002, 2001 and 2000 was
$4.1 million, $(36.6 million) and
$(28.1 million), respectively; audited statutory capital
and surplus was $65.4 million and $151.6 million at
December 31, 2002 and 2001, respectively. Audited statutory
net income (loss) for NAFCIC for the years ended
December 31, 2002, 2001 and 2000 was $(346,000), $558,000
and $298,000, respectively; audited statutory capital and
surplus was $3.8 million and $4.2 million at
December 31, 2002 and 2001, respectively.

Audited statutory net income (loss) for Oxford
for the years ended December 31, 2002, 2001 and 2000 was
$(11.6 million), $(1.3 million) and $6.6 million,
respectively; audited statutory capital and surplus was
$39.1 million and $77.9 million at December 31,
2002 and 2001, respectively. Audited statutory net income for
CFLIC for the years ended December 31, 2002, 2001 and 2000
was $3.2 million, $3.6 million and $4.7 million,
respectively; audited statutory capital and surplus was
$17.2 million and $20.0 million at

94



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND


SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

December 31, 2002 and 2001, respectively.
Audited statutory net income (loss) for NAI for the years ended
December 31, 2002, 2001 and 2000 was $3.1 million,
$0.7 million and $43,000, respectively; audited statutory
capital and surplus was $25.9 million and
$40.5 million at December 31, 2002 and 2001,
respectively.

On November 13, 2000, Oxford acquired all of
the issued and outstanding shares of Christian Fidelity Life
Insurance Company (CFLIC), for $37.6 million.
CFLICs premium volume is primarily from the sale of
Medicare Supplement products.

On May 20, 2003, RepWest consented to an
Order for Supervision issued by the Arizona Department of
Insurance (DOI). The DOI determined that
RepWests level of risk based capital (RBC)
allowed for regulatory control. 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 requirements to
abate the DOIs concerns, the DOI may take further action,
including, but not limited to, commencing a conservatorship.

95



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

22.    Consolidating
Industry Segment and Geographic Area Data

AMERCO has four industry segments represented by
moving and storage operations (AMERCO and U-Haul), real estate
(AREC), property and casualty insurance (RepWest) and life
insurance (Oxford). SAC Holdings consist of one moving and
storage industry segment. Moving and Storage. Management tracks
revenues separately, but does not report any separate measure of
the profitability for rental of vehicles, rental of self-storage
spaces and sales of products that are required to be classified
as a separate operating segment and accordingly does not present
these as separate operating segments. Deferred income taxes are
shown as liabilities on the consolidating statements. This
differs from the consolidated balance sheet where deferred
income taxes are presented as assets. This presentation differs
because in total the deferred tax asset is due to the inclusion
of SAC.

Information concerning operations by industry
segment follows:

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

|                                        |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |   | 
|--------------------------------------- | --------------------------------------------- | -------------- | --------- | ---------- | - | ------ | --------- | ------------ | - | ------------ | ------- | -------- | - |  | ------- | - |  |  | ------- | - | 
|                                        |                                               |                |           | U-Haul     |   |        |           |              |   |             
|                                        |                                               |                |           | Moving and |   |        |           | Property and |   |             
|                                        |                                               |                |           | Storage    |   | Real   |           | Casualty     |   | Life        
|                                        |                                               | AMERCO         |           | Operations |   | Estate |           | Insurance(1) |   | Insurance(1)
|                                        |                                               |                |           |            |   |        |           |              |   |             
|                                        |                                               |               
|                                        |                                               | (In thousands)
|ASSETS                                  |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|Cash and cash equivalents               |                                               |                | 18,524    |            |   |        | 30,046    |              |   |              | 174     |          |   |  | 4,108   |   |  |  | 9,320   |  
|Receivables                             |                                               |                |          |            |   |        | 22,444    |              |   |              | 1,558   |          |   |  | 224,427 |   |  |  | 23,062  |  
|Notes and Mortgage receivables, net     |                                               |                |          |            |   |        | 10,462    |              |   |              | 17,285  |          |   |  |        |   |  |  |        |  
|Inventories, net                        |                                               |                |          |            |   |        | 49,229    |              |   |              | 4       |          |   |  |        |   |  |  |        |  
|Prepaid expenses                        |                                               |                | 87        |            |   |        | 27,400    |              |   |              | 11      |          |   |  |        |   |  |  |        |  
|Investments, fixed maturities           |                                               |                |          |            |   |        |          |              |   |              |         |          |   |  | 253,871 |   |  |  | 613,206 |  
|Investments, other                      |                                               |                | 135,000   |            |   |        | 170,886   |              |   |              | 217,619 |          |   |  | 120,372 |   |  |  | 224,604 |  
|Deferred policy acquisition costs       |                                               |                |          |            |   |        |          |              |   |              |        |          |   |  | 13,206  |   |  |  | 91,894  |  
|Other assets                            |                                               |                | 471,884   |            |   |        | 161,825   |              |   |              | 3,991   |          |   |  | 88,660  |   |  |  | 2,289   |  
|                                        |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        |                                               |                | 625,495   |            |   |        | 472,292   |              |   |              | 240,642 |          |   |  | 704,644 |   |  |  | 964,375 |  
|Investment in Subsidiaries              |                                               |                | 1,037,756 |            |   |        |          |              |   |              |        |          |   |  |        |   |  |  |        |  
|Investment in SACH                      |                                               |                | (41,938   | )          |   |        |          |              |   |              |        |          |   |  |        |   |  |  |        |  
|Property, plant and equipment, at cost: |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        | Land                                          |                |           |           |   |        |           | 18,849       |   |              |         | 139,138  |   |  |         |  |  |  |         |  | 
|                                        | Buildings and improvements                    |                |           |           |   |        |           | 145,177      |   |              |         | 602,676  |   |  |         |  |  |  |         |  | 
|                                        | Other property, plant and equipment           |                |           | 459        |   |        |           | 272,884      |   |              |         | 18,040   |   |  |         |  |  |  |         |  | 
|                                        | Rental trailers and other rental equipment    |                |           |           |   |        |           | 149,707      |   |              |         |         |   |  |         |  |  |  |         |  | 
|                                        | Rental trucks                                 |                |           |           |   |        |           | 1,140,294    |   |              |         |         |   |  |         |  |  |  |         |  | 
|                                        | SAC Holdings property, plant and equipment(2) |                |           |           |   |        |           |             |   |              |         |         |   |  |         |  |  |  |         |  | 
|                                        |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        |                                               |                | 459       |            |   |        | 1,726,911 |              |   |              | 759,854 |          |   |  |        |   |  |  |        |  
|                                        | Less accumulated depreciation                 |                |           | (315       | ) |        |           | (990,412     | ) |              |         | (254,409 | ) |  |         |  |  |  |         |  | 
|                                        |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        | Total property, plant and equipment           |                |           | 144        |   |        |           | 736,499      |   |              |         | 505,445  |   |  |         |  |  |  |         |  | 
|                                        |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|TOTAL ASSETS                            |                                               | $              | 1,621,457 |            |   |        | 1,208,791 |              |   |              | 746,087 |          |   |  | 704,644 |   |  |  | 964,375 |  
|                                        |                                               |                |           |            |   |        |           |              |   |              |         |          |   |  |         |   |  |  |         |  

[Additional columns below]

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

|                                        |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |            |  
|--------------------------------------- | --------------------------------------------- | -------------- | ---------- | ------------ |  | ----------- | --------- | ------------ | - | ------------ | --------- | --------- | - |  | -------- | -------- | - |  | --------- | ---------- | -
|                                        |                                               |                |            |              |  | SAC Moving  |           |              |   |             
|                                        |                                               |                |            | AMERCO       |  | and Storage |           |              |   | Total       
|                                        |                                               | Eliminations   |            | Consolidated |  | Operations  |           | Eliminations |   | Consolidated
|                                        |                                               |                |            |              |  |             |           |              |   |             
|                                        |                                               |               
|                                        |                                               | (In thousands)
|ASSETS                                  |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |           
|Cash and cash equivalents               |                                               |                |           |              |  |             | 62,172    |              |   |              | 4,662     |           |   |  |         |          |   |  | 66,834    |           
|Receivables                             |                                               |                |           |              |  |             | 271,491   |              |   |              |          |           |   |  | (7,754   | )b       |   |  | 263,737   |           
|Notes and Mortgage receivables, net     |                                               |                |           |              |  |             | 27,747    |              |   |              |          |           |   |  | (24,879  | )b       |   |  | 2,868     |           
|Inventories, net                        |                                               |                |           |              |  |             | 49,233    |              |   |              | 4,037     |           |   |  |         |          |   |  | 53,270    |           
|Prepaid expenses                        |                                               |                |           |              |  |             | 27,498    |              |   |              | 811       |           |   |  | (6,463   | )b       |   |  | 21,846    |           
|Investments, fixed maturities           |                                               |                |           |              |  |             | 867,077   |              |   |              |          |           |   |  | (6,477   | )b       |   |  | 860,600   |           
|Investments, other                      |                                               |                | (79,707    | )b           |  |             | 788,774   |              |   |              |          |           |   |  | (399,522 | )b       |   |  | 389,252   |           
|Deferred policy acquisition costs       |                                               |                |           |              |  |             | 105,100   |              |   |              |          |           |   |  |         |          |   |  | 105,100   |           
|Other assets                            |                                               |                | (689,684   | )b           |  |             | 38,965    |              |   |              | 24,635    |           |   |  |         |          |   |  | 63,600    |           
|                                        |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |           
|                                        |                                               |                | (769,391   | )            |  |             | 2,238,057 |              |   |              | 34,145    |           |   |  | (445,095 | )a       |   |  | 1,827,107 |           
|Investment in Subsidiaries              |                                               |                | (1,037,756 | )a           |  |             |          |              |   |              |          |           |   |  |         |          |   |  |          |           
|Investment in SACH                      |                                               |                |           |              |  |             | (41,938   | )            |   |              |          |           |   |  | 41,938   | a        |   |  |          |           
|Property, plant and equipment, at cost: |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |           
|                                        | Land                                          |                |            |             |  |             |           | 157,987      |   |              |           |          |   |  |          |         |   |  |           | 157,987    |  
|                                        | Buildings and improvements                    |                |            |             |  |             |           | 747,853      |   |              |           |          |   |  |          |         |   |  |           | 747,853    |  
|                                        | Other property, plant and equipment           |                |            |             |  |             |           | 291,383      |   |              |           |          |   |  |          |         |   |  |           | 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(2) |                |            |             |  |             |           |             |   |              |           | 1,015,563 |   |  |          | (258,271 | ) |  |           | 757,292    |  
|                                        |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |           
|                                        |                                               |                |           |              |  |             | 2,487,224 |              |   |              | 1,015,563 |           |   |  | (258,271 | )        |   |  | 3,244,516 |           
|                                        | Less accumulated depreciation                 |                |            |             |  |             |           | (1,245,136   | ) |              |           | (59,679   | ) |  |          | 6,616    |   |  |           | (1,298,199 | )
|                                        |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |           
|                                        | Total property, plant and equipment           |                |            |             |  |             |           | 1,242,088    |   |              |           | 955,884   |   |  |          | (251,655 | ) |  |           | 1,946,317  |  
|                                        |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |           
|TOTAL ASSETS                            |                                               |                | (1,807,147 | )            |  |             | 3,438,207 |              |   |              | 990,029   |           |   |  | (654,812 | )        |   |  | 3,773,424 |           
|                                        |                                               |                |            |              |  |             |           |              |   |              |           |           |   |  |          |          |   |  |           |           



---



|    |                                                                                                                                   
|--- | ----------------------------------------------------------------------------------------------------------------------------------
|(1) | Balances as of December 31, 2002                                                                                                  
|   
|(2) | Included in this caption is land of $273,470,
    buildings and improvements of $739,534 and furniture and
    equipment of $2,559
|   
|(a) | Eliminate investment in subsidiaries                                                                                              
|   
|(b) | Eliminate intercompany receivables and payables                                                                                   
|   
|(c) | Eliminate intercompany lease income                                                                                               
|   
|(d) | Eliminate intercompany premiums                                                                                                   
|   
|(e) | Eliminate intercompany interest on debt                                                                                           



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

96



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##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

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

|                                                                 |                            |                |           |            |  |        |           |              |  |              |         |         |  |  |         |         |  |  |         |         | 
|---------------------------------------------------------------- | -------------------------- | -------------- | --------- | ---------- |  | ------ | --------- | ------------ |  | ------------ | ------- | ------- |  |  | ------- | ------- |  |  | ------- | ------- | 
|                                                                 |                            |                |           | U-Haul     |  |        |           |              |  |             
|                                                                 |                            |                |           | Moving and |  |        |           | Property and |  |             
|                                                                 |                            |                |           | Storage    |  | Real   |           | Casualty     |  | Life        
|                                                                 |                            | AMERCO         |           | Operations |  | Estate |           | Insurance(1) |  | Insurance(1)
|                                                                 |                            |                |           |            |  |        |           |              |  |             
|                                                                 |                            |               
|                                                                 |                            | (In thousands)
|LIABILITIES                                                      |                            |                |           |            |  |        |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|Accounts payable and accrued expenses                            |                            |                | 139,496   |            |  |        | 263,394   |              |  |              | 7,892   |         |  |  |        |         |  |  | 570     |        
|AMERCOs notes and loans payable                                 |                            |                | 861,158   |            |  |        | 31,693    |              |  |              | 101,505 |         |  |  |        |         |  |  |        |        
|SAC Holdings notes and loans payable                             |                            |                |          |            |  |        |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Policy benefits and losses, claims and loss
    expenses payable |                            |                |          |            |  |        | 168,666   |              |  |              |        |         |  |  | 485,383 |         |  |  | 182,583 |        
|Liabilities from investment contracts                            |                            |                |          |            |  |        |          |              |  |              |        |         |  |  |        |         |  |  | 639,998 |        
|Other policyholders funds and liabilities                       |                            |                |          |            |  |        |          |              |  |              |        |         |  |  | 20,164  |         |  |  | 10,145  |        
|Deferred income                                                  |                            |                | 2,863     |            |  |        | 30,943    |              |  |              | 1,011   |         |  |  |        |         |  |  |        |        
|Deferred income taxes                                            |                            |                | 120,446   |            |  |        | 214,715   |              |  |              | 94,914  |         |  |  |        |         |  |  | 8,664   |        
|Other liabilities                                                |                            |                |          |            |  |        |          |              |  |              | 325,783 |         |  |  |        |         |  |  | 11,315  |        
|                                                                 |                            |                |           |            |  |        |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|                                                                 | Total liabilities          |                |           | 1,123,963  |  |        |           | 709,411      |  |              |         | 531,105 |  |  |         | 505,547 |  |  |         | 853,275 | 
|Minority Interest                                                |                            |                |          |            |  |        |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|STOCKHOLDERS EQUITY                                             |                            |                |           |            |  |        |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|Serial preferred stock                                          |                            |                |          |            |  |        |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|                                                                 | Series A preferred stock   |                |           |           |  |        |           |             |  |              |         |        |  |  |         |        |  |  |         |        | 
|                                                                 | Series B preferred stock   |                |           |           |  |        |           |             |  |              |         |        |  |  |         |        |  |  |         |        | 
|Serial common stock                                             |                            |                |          |            |  |        |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|                                                                 | Series A common stock      |                |           | 1,441      |  |        |           |             |  |              |         |        |  |  |         |        |  |  |         |        | 
|Common stock                                                     |                            |                | 9,122     |            |  |        | 540       |              |  |              | 1       |         |  |  | 3,300   |         |  |  | 2,500   |        
|Additional paid-in- capital                                      |                            |                | 396,050   |            |  |        | 121,230   |              |  |              | 147,481 |         |  |  | 70,023  |         |  |  | 16,435  |        
|Additional paid-in- capital  SACH                               |                            |                | 3,199     |            |  |        |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Accumulated other comprehensive loss                             |                            |                | (54,278   | )          |  |        | (39,849   | )            |  |              |        |         |  |  | 13,589  |         |  |  | 4,166   |        
|Accumulated other comprehensive loss 
    SACH                  |                            |                | (1,487    | )          |  |        |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Retained earnings/accumulated deficit                            |                            |                | 561,606   |            |  |        | 430,656   |              |  |              | 67,500  |         |  |  | 112,185 |         |  |  | 87,999  |        
|Cost of common shares in treasury                                |                            |                | (418,179  | )          |  |        |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Unearned ESOP shares                                             |                            |                | 20        |            |  |        | (13,197   | )            |  |              |        |         |  |  |        |         |  |  |        |        
|                                                                 |                            |                |           |            |  |        |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|                                                                 | Total stockholders equity |                |           | 497,494    |  |        |           | 499,380      |  |              |         | 214,982 |  |  |         | 199,097 |  |  |         | 111,100 | 
|                                                                 |                            |                |           |            |  |        |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|TOTAL LIABILITIES AND STOCKHOLDERS EQUITY                       |                            | $              | 1,621,457 |            |  |        | 1,208,791 |              |  |              | 746,087 |         |  |  | 704,644 |         |  |  | 964,375 |        
|                                                                 |                            |                |           |            |  |        |           |              |  |              |         |         |  |  |         |         |  |  |         |        

[Additional columns below]

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

|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |           |   |  |          |          |    |  |           |           | 
|---------------------------------------------------------------- | -------------------------- | -------------- | ---------- | ------------ | - | ----------- | --------- | ------------ |  | ------------ | ------- | --------- | - |  | -------- | -------- | -- |  | --------- | --------- | 
|                                                                 |                            |                |            |              |   | SAC Moving  |           |              |  |             
|                                                                 |                            |                |            | AMERCO       |   | and Storage |           |              |  | Total       
|                                                                 |                            | Eliminations   |            | Consolidated |   | Operations  |           | Eliminations |  | Consolidated
|                                                                 |                            |                |            |              |   |             |           |              |  |             
|                                                                 |                            |               
|                                                                 |                            | (In thousands)
|LIABILITIES                                                      |                            |                |            |              |   |             |           |              |  |              |         |           |   |  |          |          |    |  |           |          
|Accounts payable and accrued expenses                            |                            |                | (39,735    | )a           |   |             | 371,617   |              |  |              | 48,033  |           |   |  | (32,633  | )b       |    |  | 387,017   |          
|AMERCOs notes and loans payable                                 |                            |                | (39,500    | )b           |   |             | 954,856   |              |  |              |        |           |   |  |         |          |    |  | 954,856   |          
|SAC Holdings notes and loans payable                             |                            |                |           |              |   |             |          |              |  |              | 983,190 |           |   |  | (394,171 | )b       |    |  | 589,019   |          
|Policy benefits and losses, claims and loss
    expenses payable |                            |                |           |              |   |             | 836,632   |              |  |              |        |           |   |  |         |          |    |  | 836,632   |          
|Liabilities from investment contracts                            |                            |                |           |              |   |             | 639,998   |              |  |              |        |           |   |  |         |          |    |  | 639,998   |          
|Other policyholders funds and liabilities                       |                            |                |           |              |   |             | 30,309    |              |  |              |        |           |   |  |         |          |    |  | 30,309    |          
|Deferred income                                                  |                            |                |           |              |   |             | 34,817    |              |  |              | 12,033  |           |   |  | (6,463   | )b       |    |  | 40,387    |          
|Deferred income taxes                                            |                            |                | (353,058   | )b           |   |             | 85,681    |              |  |              | (19,918 | )         |   |  | (98,005  | )f       |    |  | (32,242   | )        
|Other liabilities                                                |                            |                | (337,098   | )b           |   |             |          |              |  |              |        |           |   |  |         |          |    |  |          |          
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |           |   |  |          |          |    |  |           |          
|                                                                 | Total liabilities          |                |            | (769,391     | ) |             |           | 2,953,910    |  |              |         | 1,023,338 |   |  |          | (531,272 | )  |  |           | 3,445,976 | 
|Minority Interest                                                |                            |                |           |              |   |             |          |              |  |              | 11,828  |           |   |  | (11,828  | )        |    |  |          |          
|STOCKHOLDERS EQUITY                                             |                            |                |            |              |   |             |           |              |  |              |         |           |   |  |          |          |    |  |           |          
|Serial preferred stock                                          |                            |                |           |              |   |             |          |              |  |              |        |           |   |  |         |          |    |  |          |          
|                                                                 | Series A preferred stock   |                |            |             |   |             |           |             |  |              |         |          |   |  |          |         |    |  |           |          | 
|                                                                 | Series B preferred stock   |                |            |             |   |             |           |             |  |              |         |          |   |  |          |         |    |  |           |          | 
|Serial common stock                                             |                            |                |           |              |   |             |          |              |  |              |        |           |   |  |         |          |    |  |          |          
|                                                                 | Series A common stock      |                |            |             |   |             |           | 1,441        |  |              |         |          |   |  |          |         |    |  |           | 1,441     | 
|Common stock                                                     |                            |                | (6,341     | )a           |   |             | 9,122     |              |  |              |        |           |   |  |         |          |    |  | 9,122     |          
|Additional paid-in- capital                                      |                            |                | (355,169   | )a           |   |             | 396,050   |              |  |              |        |           |   |  | (160,266 | )f       |    |  | 235,784   |          
|Additional paid-in- capital  SACH                               |                            |                |           |              |   |             | 3,199     |              |  |              | 3,199   |           |   |  | (3,199   | )a       |    |  | 3,199     |          
|Accumulated other comprehensive loss                             |                            |                | 22,094     | a            |   |             | (54,278   | )            |  |              |         |           |   |  |         |          |    |  | (54,278   | )        
|Accumulated other comprehensive loss 
    SACH                  |                            |                |           |              |   |             | (1,487    | )            |  |              | (1,487  | )         |   |  | 1,487    | a        |    |  | (1,487    | )        
|Retained earnings/accumulated deficit                            |                            |                | 698,340    | a            |   |             | 561,606   |              |  |              | (43,650 | )         |   |  | 50,266   | a        |    |  | 568,222   |          
|Cost of common shares in treasury                                |                            |                |           |              |   |             | (418,179  | )            |  |              | (3,199  | )         |   |  |         |          |    |  | (421,378  | )        
|Unearned ESOP shares                                             |                            |                |           |              |   |             | (13,177   | )            |  |              |        |           |   |  |         |          |    |  | (13,177   | )        
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |           |   |  |          |          |    |  |           |          
|                                                                 | Total stockholders equity |                |            | (1,037,756   | ) |             |           | 484,297      |  |              |         | (45,137   | ) |  |          | (111,712 | )a |  |           | 327,448   | 
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |           |   |  |          |          |    |  |           |          
|TOTAL LIABILITIES AND STOCKHOLDERS EQUITY                       |                            |                | (1,807,147 | )            |   |             | 3,438,207 |              |  |              | 990,029 |           |   |  | (654,812 | )        |    |  | 3,773,424 |          
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |           |   |  |          |          |    |  |           |          



---



|    |                                 
|--- | --------------------------------
|(1) | Balances as of December 31, 2002

|    |                                     
|--- | ------------------------------------
|(a) | Eliminate investment in subsidiaries

|    |                                                
|--- | -----------------------------------------------
|(b) | Eliminate intercompany receivables and payables

|    |                                    
|--- | -----------------------------------
|(c) | Eliminate intercompany lease income

|    |                                
|--- | -------------------------------
|(d) | Eliminate intercompany premiums

|    |                                        
|--- | ---------------------------------------
|(e) | Eliminate intercompany interest on debt

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

97



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating balance sheets by industry segment
as of March 31, 2002 (Restated) are as follows:

|                                        |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |   | 
|--------------------------------------- | --------------------------------------------- | -------------- | --------- | ---------- | - | ----------- | --------- | ------------ | - | ------------ | ------- | -------- | - |  | ------- | - |  |  | ------- | - | 
|                                        |                                               |                |           | U-Haul     |   |             |           |              |   |             
|                                        |                                               |                |           | Moving and |   |             |           | Property and |   |             
|                                        |                                               |                |           | Storage    |   |             |           | Casualty     |   | Life        
|                                        |                                               | AMERCO         |           | Operations |   | Real Estate |           | Insurance(1) |   | Insurance(1)
|                                        |                                               |                |           |            |   |             |           |              |   |             
|                                        |                                               |               
|                                        |                                               | (In thousands)
|ASSETS                                  |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|Cash and cash equivalents               |                                               | $              | 71        |            |   |             | 25,719    |              |   |              | 576     |          |   |  | 5,912   |   |  |  | 9,158   |  
|Receivables                             |                                               |                |          |            |   |             | 40,069    |              |   |              | (50     | )        |   |  | 227,046 |   |  |  | 24,593  |  
|Notes and mortgage receivables, net     |                                               |                |          |            |   |             | 16,925    |              |   |              | 4,892   |          |   |  |        |   |  |  |        |  
|Inventories, net                        |                                               |                |          |            |   |             | 62,480    |              |   |              | 4       |          |   |  |        |   |  |  |        |  
|Prepaid expenses                        |                                               |                | 112       |            |   |             | 24,581    |              |   |              | 10      |          |   |  |        |   |  |  |        |  
|Investments, fixed maturities           |                                               |                |          |            |   |             |          |              |   |              |        |          |   |  | 362,569 |   |  |  | 632,306 |  
|Investments, other                      |                                               |                | 10,000    |            |   |             | 170,468   |              |   |              | 227,960 |          |   |  | 95,717  |   |  |  | 174,087 |  
|Deferred policy acquisition costs       |                                               |                |          |            |   |             |          |              |   |              |        |          |   |  | 15,946  |   |  |  | 81,972  |  
|Other assets                            |                                               |                | 809,536   |            |   |             | 8,174     |              |   |              | 3,715   |          |   |  | 103,932 |   |  |  | 1,736   |  
|                                        |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        |                                               |                | 819,719   |            |   |             | 348,416   |              |   |              | 237,107 |          |   |  | 811,122 |   |  |  | 923,852 |  
|Investment in subsidiaries              |                                               |                | 991,269   |            |   |             |          |              |   |              |        |          |   |  |        |   |  |  |        |  
|Investment in SAC                       |                                               |                | (34,532   | )          |   |             |          |              |   |              |        |          |   |  |        |   |  |  |        |  
|Property, plant and equipment, at cost: |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        | Land                                          |                |           |           |   |             |           | 18,355       |   |              |         | 142,540  |   |  |         |  |  |  |         |  | 
|                                        | Buildings and improvements                    |                |           |           |   |             |           | 145,432      |   |              |         | 579,782  |   |  |         |  |  |  |         |  | 
|                                        | Furniture and equipment                       |                |           | 395        |   |             |           | 270,075      |   |              |         | 18,241   |   |  |         |  |  |  |         |  | 
|                                        | Rental trucks                                 |                |           |           |   |             |           | 1,071,604    |   |              |         |         |   |  |         |  |  |  |         |  | 
|                                        | Rental trailers and other rental equipment    |                |           |           |   |             |           | 162,768      |   |              |         |         |   |  |         |   |  |  |         |  | 
|                                        | SAC Holdings property, plant and equipment(2) |                |           |           |   |             |           |             |   |              |         |         |   |  |         |  |  |  |         |  | 
|                                        |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        |                                               |                | 395       |            |   |             | 1,668,234 |              |   |              | 740,563 |          |   |  |        |   |  |  |        |  
|                                        | Less accumulated depreciation                 |                |           | (300       | ) |             |           | (917,455     | ) |              |         | (248,525 | ) |  |         |  |  |  |         |  | 
|                                        |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|                                        | Total property, plant and equipment           |                |           | 95         |   |             |           | 750,779      |   |              |         | 492,038  |   |  |         |  |  |  |         |  | 
|                                        |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |  
|TOTAL ASSETS                            |                                               | $              | 1,776,551 |            |   |             | 1,099,195 |              |   |              | 729,145 |          |   |  | 811,122 |   |  |  | 923,852 |  
|                                        |                                               |                |           |            |   |             |           |              |   |              |         |          |   |  |         |   |  |  |         |  

[Additional columns below]

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

|                                        |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |            |  
|--------------------------------------- | --------------------------------------------- | -------------- | ---------- | ------------ |  | ----------- | --------- | ------------ | - | ------------ | ------- | ------- | - |  | -------- | -------- | - |  | --------- | ---------- | -
|                                        |                                               |                |            |              |  | SAC Moving  |           |              |   |             
|                                        |                                               |                |            | AMERCO       |  | and Storage |           |              |   | Total       
|                                        |                                               | Eliminations   |            | Consolidated |  | Operations  |           | Eliminations |   | Consolidated
|                                        |                                               |                |            |              |  |             |           |              |   |             
|                                        |                                               |               
|                                        |                                               | (In thousands)
|ASSETS                                  |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |           
|Cash and cash equivalents               |                                               |                |           |              |  |             | 41,436    |              |   |              | 10      |         |   |  |         |          |   |  | 41,446    |           
|Receivables                             |                                               |                |           |              |  |             | 291,658   |              |   |              |        |         |   |  | (16,788  | )        |   |  | 274,870   |           
|Notes and mortgage receivables, net     |                                               |                |           |              |  |             | 21,817    |              |   |              |        |         |   |  | (14,538  | )        |   |  | 7,279     |           
|Inventories, net                        |                                               |                |           |              |  |             | 62,484    |              |   |              | 3,292   |         |   |  |         |          |   |  | 65,776    |           
|Prepaid expenses                        |                                               |                |           |              |  |             | 24,703    |              |   |              | 1,023   |         |   |  | (10,447  | )        |   |  | 15,279    |           
|Investments, fixed maturities           |                                               |                |           |              |  |             | 994,875   |              |   |              |        |         |   |  | (6,478   | )        |   |  | 988,397   |           
|Investments, other                      |                                               |                | (32,845    | )            |  |             | 645,387   |              |   |              |        |         |   |  | (404,475 | )        |   |  | 240,912   |           
|Deferred policy acquisition costs       |                                               |                |           |              |  |             | 97,918    |              |   |              |        |         |   |  |         |          |   |  | 97,918    |           
|Other assets                            |                                               |                | (890,392   | )            |  |             | 36,701    |              |   |              | 21,618  |         |   |  |         |          |   |  | 58,319    |           
|                                        |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |           
|                                        |                                               |                | (923,237   | )            |  |             | 2,216,979 |              |   |              | 25,943  |         |   |  | (452,726 | )        |   |  | 1,790,196 |           
|Investment in subsidiaries              |                                               |                | (991,269   | )            |  |             |          |              |   |              |        |         |   |  |         |          |   |  |          |           
|Investment in SAC                       |                                               |                |           |              |  |             | (34,532   | )            |   |              |        |         |   |  | 34,532   |          |   |  |          |           
|Property, plant and equipment, at cost: |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |           
|                                        | Land                                          |                |            |             |  |             |           | 160,895      |   |              |         |        |   |  |          |         |   |  |           | 160,895    |  
|                                        | Buildings and improvements                    |                |            |             |  |             |           | 725,214      |   |              |         |        |   |  |          |         |   |  |           | 725,214    |  
|                                        | Furniture and equipment                       |                |            |             |  |             |           | 288,711      |   |              |         |        |   |  |          |         |   |  |           | 288,711    |  
|                                        | Rental trucks                                 |                |            |             |  |             |           | 1,071,604    |   |              |         |        |   |  |          |         |   |  |           | 1,071,604  |  
|                                        | Rental trailers and other rental equipment    |                |            |             |  |             |           | 162,768      |   |              |         |        |   |  |          |         |   |  |           | 162,768    |  
|                                        | SAC Holdings property, plant and equipment(2) |                |            |             |  |             |           |             |   |              |         | 985,901 |   |  |          | (258,271 | ) |  |           | 727,630    |  
|                                        |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |           
|                                        |                                               |                |           |              |  |             | 2,409,192 |              |   |              | 985,901 |         |   |  | (258,271 | )        |   |  | 3,136,822 |           
|                                        | Less accumulated depreciation                 |                |            |             |  |             |           | (1,166,280   | ) |              |         | (39,156 | ) |  |          | 4,690    |   |  |           | (1,200,746 | )
|                                        |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |           
|                                        | Total property, plant and equipment           |                |            |             |  |             |           | 1,242,912    |   |              |         | 946,745 |   |  |          | (253,581 | ) |  |           | 1,936,076  |  
|                                        |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |           
|TOTAL ASSETS                            |                                               |                | (1,914,506 | )            |  |             | 3,425,359 |              |   |              | 972,688 |         |   |  | (671,775 | )        |   |  | 3,726,272 |           
|                                        |                                               |                |            |              |  |             |           |              |   |              |         |         |   |  |          |          |   |  |           |           



---



|    |                                                                                                                                    
|--- | -----------------------------------------------------------------------------------------------------------------------------------
|(1) | Balances as of December 31, 2001                                                                                                   
|   
|(2) | Included in this caption is land of $264,410,
    buildings and improvements of $719,728 and furniture and
    equipment of $1,763.

98



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating balance sheets by industry segment
as of March 31, 2002 (Restated) are as follows:

|                                                                 |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |         | 
|---------------------------------------------------------------- | -------------------------- | -------------- | --------- | ---------- |  | ----------- | --------- | ------------ |  | ------------ | ------- | ------- |  |  | ------- | ------- |  |  | ------- | ------- | 
|                                                                 |                            |                |           | U-Haul     |  |             |           |              |  |             
|                                                                 |                            |                |           | Moving and |  |             |           | Property and |  |             
|                                                                 |                            |                |           | Storage    |  |             |           | Casualty     |  | Life        
|                                                                 |                            | AMERCO         |           | Operations |  | Real Estate |           | Insurance(1) |  | Insurance(1)
|                                                                 |                            |                |           |            |  |             |           |              |  |             
|                                                                 |                            |               
|                                                                 |                            | (In thousands)
|LIABILITIES                                                      |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|Accounts payable and accrual expenses                            |                            | $              | 37,876    |            |  |             | 203,606   |              |  |              | 10,088  |         |  |  |        |         |  |  | 9,353   |        
|AMERCOs notes and loans payable                                 |                            |                | 1,030,805 |            |  |             | 14,793    |              |  |              | 203     |         |  |  |        |         |  |  |        |        
|SAC Holdings notes and loans payable                             |                            |                |          |            |  |             |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Policy benefits and losses, claims and loss
    expenses payable |                            |                |          |            |  |             | 90,239    |              |  |              |        |         |  |  | 551,592 |         |  |  | 177,752 |        
|Liabilities from investment contracts                            |                            |                |          |            |  |             |          |              |  |              |        |         |  |  |        |         |  |  | 572,793 |        
|Other policyholders funds and liabilities                       |                            |                |          |            |  |             |          |              |  |              |        |         |  |  | 54,254  |         |  |  | 19,343  |        
|Deferred income                                                  |                            |                | 3,434     |            |  |             | 33,725    |              |  |              | 996     |         |  |  |        |         |  |  |        |        
|Deferred income taxes                                            |                            |                | 149,965   |            |  |             | 228,900   |              |  |              | 93,196  |         |  |  |        |         |  |  | 16,082  |        
|Other liabilities                                                |                            |                |          |            |  |             | 69,293    |              |  |              | 429,202 |         |  |  |        |         |  |  | 10,807  |        
|                                                                 |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|                                                                 | Total liabilities          |                |           | 1,222,080  |  |             |           | 640,556      |  |              |         | 533,685 |  |  |         | 605,846 |  |  |         | 806,130 | 
|Minority Interest                                                |                            |                |          |            |  |             |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|STOCKHOLDERS EQUITY                                             |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|Serial preferred stock                                          |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|                                                                 | Series A preferred stock   |                |           |           |  |             |           |             |  |              |         |        |  |  |         |        |  |  |         |        | 
|                                                                 | Series B preferred stock   |                |           |           |  |             |           |             |  |              |         |        |  |  |         |        |  |  |         |        | 
|Serial common stock                                             |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|                                                                 | Series A common stock      |                |           | 1,441      |  |             |           |             |  |              |         |        |  |  |         |        |  |  |         |        | 
|Common stock                                                     |                            |                | 9,122     |            |  |             | 540       |              |  |              | 1       |         |  |  | 3,300   |         |  |  | 2,500   |        
|Additional paid- in-capital                                      |                            |                | 396,559   |            |  |             | 121,230   |              |  |              | 147,347 |         |  |  | 69,626  |         |  |  | 16,442  |        
|Additional paid- in-capital  SAC                                |                            |                | 3,199     |            |  |             |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Accumulated other comprehensive loss                             |                            |                | (37,802   | )          |  |             | (39,804   | )            |  |              |        |         |  |  | 14,794  |         |  |  | 9,904   |        
|Accumulated other comprehensive loss 
    SAC                   |                            |                | (2,778    | )          |  |             |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Retained earnings/ accumulated deficit                           |                            |                | 601,481   |            |  |             | 390,845   |              |  |              | 48,112  |         |  |  | 117,556 |         |  |  | 88,876  |        
|Cost of common shares in treasury                                |                            |                | (416,771  | )          |  |             |          |              |  |              |        |         |  |  |        |         |  |  |        |        
|Unearned ESOP shares                                             |                            |                | 20        |            |  |             | (14,172   | )            |  |              |        |         |  |  |        |         |  |  |        |        
|                                                                 |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|                                                                 | Total stockholders equity |                |           | 554,471    |  |             |           | 458,639      |  |              |         | 195,460 |  |  |         | 205,276 |  |  |         | 117,722 | 
|                                                                 |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        
|TOTAL LIABILITIES AND STOCKHOLDERS EQUITY                       |                            | $              | 1,776,551 |            |  |             | 1,099,195 |              |  |              | 729,145 |         |  |  | 811,122 |         |  |  | 923,852 |        
|                                                                 |                            |                |           |            |  |             |           |              |  |              |         |         |  |  |         |         |  |  |         |        

[Additional columns below]

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

|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |           | 
|---------------------------------------------------------------- | -------------------------- | -------------- | ---------- | ------------ | - | ----------- | --------- | ------------ |  | ------------ | ------- | ------- | - |  | -------- | -------- | - |  | --------- | --------- | 
|                                                                 |                            |                |            |              |   | SAC Moving  |           |              |  |             
|                                                                 |                            |                |            | AMERCO       |   | and Storage |           |              |  | Total       
|                                                                 |                            | Eliminations   |            | Consolidated |   | Operations  |           | Eliminations |  | Consolidated
|                                                                 |                            |                |            |              |   |             |           |              |  |             
|                                                                 |                            |               
|                                                                 |                            | (In thousands)
|LIABILITIES                                                      |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          
|Accounts payable and accrual expenses                            |                            |                | (32,614    | )            |   |             | 228,309   |              |  |              | 36,891  |         |   |  | (31,326  | )        |   |  | 233,874   |          
|AMERCOs notes and loans payable                                 |                            |                |           |              |   |             | 1,045,801 |              |  |              |        |         |   |  |         |          |   |  | 1,045,801 |          
|SAC Holdings notes and loans payable                             |                            |                |           |              |   |             |          |              |  |              | 961,499 |         |   |  | (399,612 | )        |   |  | 561,887   |          
|Policy benefits and losses, claims and loss
    expenses payable |                            |                |           |              |   |             | 819,583   |              |  |              |        |         |   |  |         |          |   |  | 819,583   |          
|Liabilities from investment contracts                            |                            |                |           |              |   |             | 572,793   |              |  |              |        |         |   |  |         |          |   |  | 572,793   |          
|Other policyholders funds and liabilities                       |                            |                |           |              |   |             | 73,597    |              |  |              |        |         |   |  |         |          |   |  | 73,597    |          
|Deferred income                                                  |                            |                |           |              |   |             | 38,155    |              |  |              | 15,550  |         |   |  | (10,447  | )        |   |  | 43,258    |          
|Deferred income taxes                                            |                            |                | (381,321   | )            |   |             | 106,822   |              |  |              | (14,862 | )       |   |  | (98,005  | )        |   |  | (6,045    | )        
|Other liabilities                                                |                            |                | (509,302   | )            |   |             |          |              |  |              |        |         |   |  |         |          |   |  |          |          
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          
|                                                                 | Total liabilities          |                |            | (923,237     | ) |             |           | 2,885,060    |  |              |         | 999,078 |   |  |          | (539,390 | ) |  |           | 3,344,748 | 
|Minority Interest                                                |                            |                |           |              |   |             |          |              |  |              | 11,341  |         |   |  | (11,341  | )        |   |  |          |          
|STOCKHOLDERS EQUITY                                             |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          
|Serial preferred stock                                          |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          
|                                                                 | Series A preferred stock   |                |            |             |   |             |           |             |  |              |         |        |   |  |          |         |   |  |           |          | 
|                                                                 | Series B preferred stock   |                |            |             |   |             |           |             |  |              |         |        |   |  |          |         |   |  |           |          | 
|Serial common stock                                             |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          
|                                                                 | Series A common stock      |                |            |             |   |             |           | 1,441        |  |              |         |        |   |  |          |         |   |  |           | 1,441     | 
|Common stock                                                     |                            |                | (6,341     | )            |   |             | 9,122     |              |  |              |        |         |   |  |         |          |   |  | 9,122     |          
|Additional paid- in-capital                                      |                            |                | (354,645   | )            |   |             | 396,559   |              |  |              |        |         |   |  | (160,266 | )        |   |  | 236,293   |          
|Additional paid- in-capital  SAC                                |                            |                |           |              |   |             | 3,199     |              |  |              | 3,199   |         |   |  | (3,199   | )        |   |  | 3,199     |          
|Accumulated other comprehensive loss                             |                            |                | 15,106     |              |   |             | (37,802   | )            |  |              |        |         |   |  |         |          |   |  | (37,802   | )        
|Accumulated other comprehensive loss 
    SAC                   |                            |                |           |              |   |             | (2,778    | )            |  |              | (2,778  | )       |   |  | 2,778    |          |   |  | (2,778    | )        
|Retained earnings/ accumulated deficit                           |                            |                | (645,389   | )            |   |             | 601,481   |              |  |              | (34,953 | )       |   |  | 39,643   |          |   |  | 606,171   |          
|Cost of common shares in treasury                                |                            |                |           |              |   |             | (416,771  | )            |  |              | (3,199  | )       |   |  |         |          |   |  | (419,970  | )        
|Unearned ESOP shares                                             |                            |                |           |              |   |             | (14,152   | )            |  |              |        |         |   |  |         |          |   |  | (14,152   | )        
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          
|                                                                 | Total stockholders equity |                |            | (991,269     | ) |             |           | 540,299      |  |              |         | (37,731 | ) |  |          | (121,044 | ) |  |           | 381,524   | 
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          
|TOTAL LIABILITIES AND STOCKHOLDERS EQUITY                       |                            |                | (1,914,506 | )            |   |             | 3,425,359 |              |  |              | 972,688 |         |   |  | (671,775 | )        |   |  | 3,726,272 |          
|                                                                 |                            |                |            |              |   |             |           |              |  |              |         |         |   |  |          |          |   |  |           |          



---



|    |                                 
|--- | --------------------------------
|(1) | Balances as of December 31, 2001

99



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating income statements by industry
segment for the year ended March 31, 2003 are as follows:

|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |         |         | 
|------------------------------------------------ | ------------------------------------------------- | ------------------------ | ------- | ---------- | ------ | ----------- | ------- | ------------ | --------- | ------------ | ------- | ------ | ------ |  | ------ | ------- | ------- |  | ------ | ------- | ------- | 
|                                                 |                                                   |                          |         | U-Haul     |        |             |         |              |           |             
|                                                 |                                                   |                          |         | Moving and |        |             |         | Property and |           |             
|                                                 |                                                   |                          |         | Storage    |        |             |         | Casualty     |           | Life        
|                                                 |                                                   | AMERCO                   |         | Operations |        | Real Estate |         | Insurance(1) |           | Insurance(1)
|                                                 |                                                   |                          |         |            |        |             |         |              |           |             
|                                                 |                                                   |                         
|                                                 |                                                   | (In thousands)          
|Revenues                                         |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|                                                 | Rental revenue                                    |                          |         |           |        |             |         | 1,433,442    |           |              |         | 59,162 |        |  |        |        |         |  |        |        |        
|                                                 | Net sales                                         |                          |         |           |        |             |         | 174,065      |           |              |         | 56     |        |  |        |        |         |  |        |        |        
|                                                 | Premiums                                          |                          |         |           |        |             |         |             |           |              |         |       |        |  |        | 152,618 |         |  |        | 161,398 |        
|                                                 | Net investment and interest income                |                          |         | 1,195      |        |             |         | 29,358       |           |              |         | 10,695 |        |  |        | 22,318  |         |  |        | 13,891  |        
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|                                                 |                                                   | Total revenues           |         |            | 1,195  |             |         |              | 1,636,865 |              |         |        | 69,913 |  |        |         | 174,936 |  |        |         | 175,289 | 
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|Costs and expenses                               |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|                                                 | Operating expenses                                |                          |         | 43,502     |        |             |         | 992,214      |           |              |         | (5,501 | )      |  |        | 36,958  |         |  |        | 40,549  |        
|                                                 | Commission expense                                |                          |         |           |        |             |         | 164,508      |           |              |         |       |        |  |        |        |         |  |        |        |        
|                                                 | Cost of sales                                     |                          |         |           |        |             |         | 93,735       |           |              |         | 21     |        |  |        |        |         |  |        |        |        
|                                                 | Benefits and losses                               |                          |         |            |        |             |         | 37,560       |           |              |         |       |        |  |        | 128,680 |         |  |        | 115,628 |        
|                                                 | Amortization of deferred policy acquisition costs |                          |         |           |        |             |         |             |           |              |         |       |        |  |        | 17,281  |         |  |        | 20,538  |        
|                                                 | Lease expense                                     |                          |         | 927        |        |             |         | 165,020      |           |              |         | 14,182 |        |  |        |        |         |  |        |        |        
|                                                 | Depreciation, net                                 |                          |         | 15         |        |             |         | 112,815      |           |              |         | 5,169  |        |  |        |        |         |  |        |        |        
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|                                                 |                                                   | Total costs and expenses |         |            | 44,444 |             |         |              | 1,565,852 |              |         |        | 13,871 |  |        |         | 182,919 |  |        |         | 176,715 | 
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|Equity in Earnings of Subsidiary                 |                                                   |                          | 52,951  |            |        |             |        |              |           |              |        |        |        |  |       |         |         |  |       |        
|Equity in Earning of SAC                         |                                                   |                          | (8,697  | )          |        |             |        |              |           |              |        |        |        |  |       |         |         |  |       |        
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|Earnings (loss) from operations                  |                                                   |                          | 1,005   |            |        |             | 71,013  |              |           |              | 56,042  |        |        |  | (7,983 | )       |         |  | (1,426 | )      
|                                                 | Interest expense                                  |                          |         | 69,213     |        |             |         | 9,991        |           |              |         | 23,652 |        |  |        |        |         |  |        |        |        
|Pretax earnings (loss)                           |                                                   |                          | (68,208 | )          |        |             | 61,022  |              |           |              | 32,390  |        |        |  | (7,983 | )       |         |  | (1,426 | )      
|Income tax (expense)/ benefit                    |                                                   |                          | 41,296  |            |        |             | (21,211 | )            |           |              | (13,002 | )      |        |  | 2,612  |         |         |  | 549    |        
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|                                                 | Net earnings/ (loss)                              |                          |         | (26,912    | )      |             |         | 39,811       |           |              |         | 19,388 |        |  |        | (5,371  | )       |  |        | (877    | )      
|Less: preferred stock dividends                  |                                                   |                          | (12,963 | )          |        |             |        |              |           |              |        |        |        |  |       |         |         |  |       |        
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        
|Earnings (loss) available to common shareholders |                                                   | $                        | (39,875 | )          |        |             | 39,811  |              |           |              | 19,388  |        |        |  | (5,371 | )       |         |  | (877   | )      
|                                                 |                                                   |                          |         |            |        |             |         |              |           |              |         |        |        |  |        |         |         |  |        |        

[Additional columns below]

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

|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |           |           | 
|------------------------------------------------ | ------------------------------------------------- | ------------------------ | ------- | ------------ | ------- | ----------- | ------- | ------------ | --------- | ------------ | ------- | ------- | ------- |  | ------- | ------- | ------- | - | ------- | --------- | --------- | 
|                                                 |                                                   |                          |         |              |         | SAC Moving  |         |              |           |             
|                                                 |                                                   |                          |         | AMERCO       |         | and Storage |         |              |           | Total       
|                                                 |                                                   | Eliminations             |         | Consolidated |         | Operations  |         | Eliminations |           | Consolidated
|                                                 |                                                   |                          |         |              |         |             |         |              |           |             
|                                                 |                                                   |                         
|                                                 |                                                   | (In thousands)          
|Revenues                                         |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 | Rental revenue                                    |                          |         | (60,116      | )c      |             |         | 1,432,488    |           |              |         | 168,027 |         |  |         | (40,510 | )c      |   |         | 1,560,005 |          
|                                                 | Net sales                                         |                          |         |             |         |             |         | 174,121      |           |              |         | 48,768  |         |  |         |        |         |   |         | 222,889   |          
|                                                 | Premiums                                          |                          |         | (6,091       | )d      |             |         | 307,925      |           |              |         |        |         |  |         |        |         |   |         | 307,925   |          
|                                                 | Net investment and interest income                |                          |         | __          |         |             |         | 77,457       |           |              |         |        |         |  |         | (35,889 | )e      |   |         | 41,568    |          
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 |                                                   | Total revenues           |         |              | (66,207 | )           |         |              | 1,991,991 |              |         |         | 216,795 |  |         |         | (76,399 | ) |         |           | 2,132,387 | 
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Costs and expenses                               |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 | Operating expenses                                |                          |         | (66,207      | )c      |             |         | 1,041,515    |           |              |         | 105,287 |         |  |         | (12,342 | )c      |   |         | 1,134,460 |          
|                                                 | Commission expense                                |                          |         |             |         |             |         | 164,508      |           |              |         |        |         |  |         | (27,681 | )c      |   |         | 136,827   |          
|                                                 | Cost of sales                                     |                          |         |             |         |             |         | 93,756       |           |              |         | 21,359  |         |  |         |        |         |   |         | 115,115   |          
|                                                 | Benefits and losses                               |                          |         |             |         |             |         | 281,868      |           |              |         |        |         |  |         |        |         |   |         | 281,868   |          
|                                                 | Amortization of deferred policy acquisition costs |                          |         |             |         |             |         | 37,819       |           |              |         |        |         |  |         |        |         |   |         | 37,819    |          
|                                                 | Lease expense                                     |                          |         |             |         |             |         | 180,129      |           |              |         |        |         |  |         | (487    | )       |   |         | 179,642   |          
|                                                 | Depreciation, net                                 |                          |         |             |         |             |         | 117,999      |           |              |         | 21,373  |         |  |         | (1,926  | )       |   |         | 137,446   |          
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 |                                                   | Total costs and expenses |         |              | (66,207 | )           |         |              | 1,917,594 |              |         |         | 148,019 |  |         |         | (42,436 | ) |         |           | 2,023,177 | 
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Equity in Earnings of Subsidiary                 |                                                   |                          | (52,951 | )            |         |             |        |              |           |              |        |         |         |  |        |         |         |   |        |          
|Equity in Earning of SAC                         |                                                   |                          |        |              |         |             | (8,697  | )            |           |              |        |         |         |  | 8,697   |         |         |   |        |          
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Earnings (loss) from operations                  |                                                   |                          | (52,951 | )            |         |             | 65,700  |              |           |              | 68,776  |         |         |  | (25,266 | )       |         |   | 109,210 |          
|                                                 | Interest expense                                  |                          |         |             |         |             |         | 102,856      |           |              |         | 81,164  |         |  |         | (35,889 | )       |   |         | 148,131   |          
|Pretax earnings (loss)                           |                                                   |                          | (52,951 | )            |         |             | (37,156 | )            |           |              | (12,388 | )       |         |  | 10,623  |         |         |   | (38,921 | )        
|Income tax (expense)/ benefit                    |                                                   |                          |        |              |         |             | 10,244  |              |           |              | 3,691   |         |         |  |        |         |         |   | 13,935  |          
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 | Net earnings/ (loss)                              |                          |         | (52,951      | )       |             |         | (26,912      | )         |              |         | (8,697  | )       |  |         | 10,623  |         |   |         | (24,986   | )        
|Less: preferred stock dividends                  |                                                   |                          |        |              |         |             | (12,963 | )            |           |              |        |         |         |  |        |         |         |   | (12,963 | )        
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Earnings (loss) available to common shareholders |                                                   |                          | (52,951 | )            |         |             | (39,875 | )            |           |              | (8,697  | )       |         |  | 10,623  |         |         |   | (37,949 | )        
|                                                 |                                                   |                          |         |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          



---



|    |                                 
|--- | --------------------------------
|(1) | Balances as of December 31, 2002

(a) Eliminate investment in subsidiaries

(b) Eliminate intercompany receivables and
payables

(c) Eliminate intercompany lease income

(d) Eliminate intercompany premiums

(e) Eliminate intercompany interest on debt

(f) Eliminate gain on sale of surplus
property from AMERCO to SAC

100



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating income statements by industry
segment for the year ended March 31, 2002 (Restated) are as
follows:

|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |         |         | 
|------------------------------------------------ | ------------------------------------------------- | ------------------------ | ------- | ---------- | ----- | ----------- | ------ | ------------ | --------- | ------------ | ------- | ------ | ------ |  | ------- | ------- | ------- |  | ------ | ------- | ------- | 
|                                                 |                                                   |                          |         | U-Haul     |       |             |        |              |           |             
|                                                 |                                                   |                          |         | Moving and |       |             |        | Property and |           |             
|                                                 |                                                   |                          |         | Storage    |       |             |        | Casualty     |           | Life        
|                                                 |                                                   | AMERCO                   |         | Operations |       | Real Estate |        | Insurance(1) |           | Insurance(1)
|                                                 |                                                   |                          |         |            |       |             |        |              |           |             
|                                                 |                                                   |                         
|                                                 |                                                   | (In thousands)          
|Revenues                                         |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|                                                 | Rental revenue                                    |                          | $       |           |       |             |        | 1,425,685    |           |              |         | 68,245 |        |  |         |        |         |  |        |        |        
|                                                 | Net sales                                         |                          |         |           |       |             |        | 198,312      |           |              |         | 55     |        |  |         |        |         |  |        |        |        
|                                                 | Premiums                                          |                          |         |           |       |             |        |             |           |              |         |       |        |  |         | 261,975 |         |  |        | 159,380 |        
|                                                 | Net investment and interest income                |                          |         | 873        |       |             |        | 22,686       |           |              |         | 8,321  |        |  |         | 20,651  |         |  |        | 23,175  |        
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|                                                 |                                                   | Total revenues           |         |            | 873   |             |        |              | 1,646,683 |              |         |        | 76,621 |  |         |         | 282,626 |  |        |         | 182,555 | 
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|Costs and expenses                               |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|                                                 | Operating expenses                                |                          |         | 8,945      |       |             |        | 1,041,354    |           |              |         | (4,442 | )      |  |         | 77,210  |         |  |        | 37,473  |        
|                                                 | Commission expense                                |                          |         |           |       |             |        | 153,465      |           |              |         |       |        |  |         |        |         |  |        |        |        
|                                                 | Cost of sales                                     |                          |         |           |       |             |        | 110,449      |           |              |         | 24     |        |  |         |        |         |  |        |        |        
|                                                 | Benefits and losses                               |                          |         |           |       |             |        | 47,036       |           |              |         |       |        |  |         | 255,756 |         |  |        | 120,917 |        
|                                                 | Amortization of deferred policy acquisition costs |                          |         |           |       |             |        |             |           |              |         |       |        |  |         | 22,091  |         |  |        | 18,583  |        
|                                                 | Lease expense                                     |                          |         | 918        |       |             |        | 171,656      |           |              |         | 11,221 |        |  |         |        |         |  |        |        |        
|                                                 | Depreciation, net                                 |                          |         | (500       | )     |             |        | 92,351       |           |              |         | (2,039 | )      |  |         |        |         |  |        |        |        
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|                                                 |                                                   | Total costs and expenses |         |            | 9,363 |             |        |              | 1,616,311 |              |         |        | 4,764  |  |         |         | 355,057 |  |        |         | 176,973 | 
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|Equity in Earnings of Subsidiary                 |                                                   |                          | (10,495 | )          |       |             |       |              |           |              |        |        |        |  |        |         |         |  |       |        
|Equity in Earnings of SAC                        |                                                   |                          | (14,025 | )          |       |             |       |              |           |              |        |        |        |  |        |         |         |  |       |        
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|Earnings (loss) from operations                  |                                                   |                          | (33,010 | )          |       |             | 30,372 |              |           |              | 71,857  |        |        |  | (72,431 | )       |         |  | 5,582  |        
|                                                 | Interest expense                                  |                          |         | 30,773     |       |             |        | 11,675       |           |              |         | 34,299 |        |  |         |        |         |  |        |        |        
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|Pretax earnings (loss)                           |                                                   |                          | (63,783 | )          |       |             | 18,697 |              |           |              | 37,558  |        |        |  | (72,431 | )       |         |  | 5,582  |        
|Income tax (expense)/ benefit                    |                                                   |                          | 14,417  |            |       |             | (6,117 | )            |           |              | (15,102 | )      |        |  | 23,736  |         |         |  | (2,418 | )      
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|                                                 | Net earnings (loss)                               |                          |         | (49,366    | )     |             |        | 12,580       |           |              |         | 22,456 |        |  |         | (48,695 | )       |  |        | 3,164   |        
|Less: preferred stock dividends                  |                                                   |                          | (12,963 | )          |       |             |       |              |           |              |        |        |        |  |        |         |         |  |       |        
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        
|Earnings (loss) available to common shareholders |                                                   | $                        | (62,329 | )          |       |             | 12,580 |              |           |              | 22,456  |        |        |  | (48,695 | )       |         |  | 3,164  |        
|                                                 |                                                   |                          |         |            |       |             |        |              |           |              |         |        |        |  |         |         |         |  |        |        

[Additional columns below]

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

|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |           |           | 
|------------------------------------------------ | ------------------------------------------------- | ------------------------ | ------ | ------------ | ------- | ----------- | ------- | ------------ | --------- | ------------ | ------- | ------- | ------- |  | ------- | ------- | ------- | - | ------- | --------- | --------- | 
|                                                 |                                                   |                          |        |              |         | SAC Moving  |         |              |           |             
|                                                 |                                                   |                          |        | AMERCO       |         | and Storage |         |              |           | Total       
|                                                 |                                                   | Eliminations             |        | Consolidated |         | Operations  |         | Eliminations |           | Consolidated
|                                                 |                                                   |                          |        |              |         |             |         |              |           |             
|                                                 |                                                   |                         
|                                                 |                                                   | (In thousands)          
|Revenues                                         |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 | Rental revenue                                    |                          |        | (64,325      | )       |             |         | 1,429,605    |           |              |         | 112,747 |         |  |         | (30,102 | )       |   |         | 1,512,250 |          
|                                                 | Net sales                                         |                          |        |             |         |             |         | 198,367      |           |              |         | 24,449  |         |  |         |        |         |   |         | 222,816   |          
|                                                 | Premiums                                          |                          |        | (10,185      | )       |             |         | 411,170      |           |              |         |        |         |  |         |        |         |   |         | 411,170   |          
|                                                 | Net investment and interest income                |                          |        |             |         |             |         | 75,706       |           |              |         |        |         |  |         | (28,363 | )       |   |         | 47,343    |          
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 |                                                   | Total revenues           |        |              | (74,510 | )           |         |              | 2,114,848 |              |         |         | 137,196 |  |         |         | (58,465 | ) |         |           | 2,193,579 | 
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Costs and expenses                               |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 | Operating expenses                                |                          |        | (74,510      | )       |             |         | 1,086,030    |           |              |         | 68,223  |         |  |         | (7,948  | )       |   |         | 1,146,305 |          
|                                                 | Commission expense                                |                          |        |             |         |             |         | 153,465      |           |              |         |        |         |  |         | (13,023 | )       |   |         | 140,442   |          
|                                                 | Cost of sales                                     |                          |        |             |         |             |         | 110,473      |           |              |         | 12,221  |         |  |         |        |         |   |         | 122,694   |          
|                                                 | Benefits and losses                               |                          |        |             |         |             |         | 423,709      |           |              |         |        |         |  |         |        |         |   |         | 423,709   |          
|                                                 | Amortization of deferred policy acquisition costs |                          |        |             |         |             |         | 40,674       |           |              |         |        |         |  |         |        |         |   |         | 40,674    |          
|                                                 | Lease expense                                     |                          |        |             |         |             |         | 183,795      |           |              |         |        |         |  |         | (9,131  | )       |   |         | 174,664   |          
|                                                 | Depreciation, net                                 |                          |        |             |         |             |         | 89,812       |           |              |         | 15,071  |         |  |         | (1,926  | )       |   |         | 102,957   |          
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 |                                                   | Total costs and expenses |        |              | (74,510 | )           |         |              | 2,087,958 |              |         |         | 95,515  |  |         |         | (32,028 | ) |         |           | 2,151,445 | 
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Equity in Earnings of Subsidiary                 |                                                   |                          | 10,495 |              |         |             |        |              |           |              |        |         |         |  |        |         |         |   |        |          
|Equity in Earnings of SAC                        |                                                   |                          |       |              |         |             | (14,025 | )            |           |              |        |         |         |  | 14,025  |         |         |   |        |          
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Earnings (loss) from operations                  |                                                   |                          | 10,495 |              |         |             | 12,865  |              |           |              | 41,681  |         |         |  | (12,412 | )       |         |   | 42,134  |          
|                                                 | Interest expense                                  |                          |        |             |         |             |         | 76,747       |           |              |         | 61,081  |         |  |         | (28,363 | )       |   |         | 109,465   |          
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Pretax earnings (loss)                           |                                                   |                          | 10,495 |              |         |             | (63,882 | )            |           |              | (19,400 | )       |         |  | 15,951  |         |         |   | (67,331 | )        
|Income tax (expense)/ benefit                    |                                                   |                          |       |              |         |             | 14,516  |              |           |              | 5,375   |         |         |  |        |         |         |   | 19,891  |          
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|                                                 | Net earnings (loss)                               |                          |        | 10,495       |         |             |         | (49,366      | )         |              |         | (14,025 | )       |  |         | 15,951  |         |   |         | (47,440   | )        
|Less: preferred stock dividends                  |                                                   |                          |       |              |         |             | (12,963 | )            |           |              |        |         |         |  |        |         |         |   | (12,963 | )        
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          
|Earnings (loss) available to common shareholders |                                                   |                          | 10,495 |              |         |             | (62,329 | )            |           |              | (14,025 | )       |         |  | 15,951  |         |         |   | (60,403 | )        
|                                                 |                                                   |                          |        |              |         |             |         |              |           |              |         |         |         |  |         |         |         |   |         |          



---



|    |                                 
|--- | --------------------------------
|(1) | Balances as of December 31, 2001

101



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating income statements by industry
segment for the year ended March 31, 2001 (Restated) are as
follows:

|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |        | 
|------------------------------------------------- | ------------------ | -------------- | ------- | ---------- | - | ----------- | --------- | ------------ |  | ------------ | ------ | ------ |  |  | ------- | ------ |  |  | ------- | ------ | 
|                                                  |                    |                |         | U-Haul     |   |             |           |              |  |             
|                                                  |                    |                |         | Moving and |   |             |           | Property and |  |             
|                                                  |                    |                |         | Storage    |   |             |           | Casualty     |  | Life        
|                                                  |                    | AMERCO         |         | Operations |   | Real Estate |           | Insurance(1) |  | Insurance(1)
|                                                  |                    |                |         |            |   |             |           |              |  |             
|                                                  |                    |               
|                                                  |                    | (In thousands)
|Revenues                                          |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|                                                  | Rental revenue     |                |         | (2         | ) |             |           | 1,364,504    |  |              |        | 72,041 |  |  |         |       |  |  |         |       | 
|Net sales                                         |                    |                |        |            |   |             | 194,270   |              |  |              | 50     |        |  |  |        |        |  |  |        |       
|Premiums                                          |                    |                |        |            |   |             |          |              |  |              |       |        |  |  | 226,088 |        |  |  | 112,616 |       
|Net investment and interest income                |                    |                | 963     |            |   |             | 24,346    |              |  |              | 10,962 |        |  |  | 25,479  |        |  |  | 19,001  |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Total revenues                                    |                    |                | 961     |            |   |             | 1,583,120 |              |  |              | 83,053 |        |  |  | 251,567 |        |  |  | 131,617 |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Costs and expenses                                |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|                                                  | Operating expenses |                |         | 7,113      |   |             |           | 1,021,576    |  |              |        | 467    |  |  |         | 56,509 |  |  |         | 29,352 | 
|Commission expenses                               |                    |                |        |            |   |             | 143,588   |              |  |              |       |        |  |  |        |        |  |  |        |       
|Cost of sales                                     |                    |                |        |            |   |             | 116,601   |              |  |              | 28     |        |  |  |        |        |  |  |        |       
|Benefits and losses                               |                    |                |        |            |   |             | 40,521    |              |  |              |       |        |  |  | 211,325 |        |  |  | 79,233  |       
|Amortization of deferred policy acquisition costs |                    |                |        |            |   |             |          |              |  |              |       |        |  |  | 16,594  |        |  |  | 19,638  |       
|Lease expense                                     |                    |                | 688     |            |   |             | 167,290   |              |  |              | 11,576 |        |  |  |        |        |  |  |        |       
|Depreciation, net                                 |                    |                | 123     |            |   |             | 87,539    |              |  |              | 5,258  |        |  |  |        |        |  |  |        |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Total costs and expenses                          |                    |                | 7,924   |            |   |             | 1,577,115 |              |  |              | 17,329 |        |  |  | 284,428 |        |  |  | 128,223 |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Equity in earnings of Amerco subsidiaries         |                    |                | (13,652 | )          |   |             |          |              |  |              |       |        |  |  |        |        |  |  |        |       
|Equity in earnings of SACH                        |                    |                | (9,400  | )          |   |             |          |              |  |              |       |        |  |  |        |        |  |  |        |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Earnings (loss) from operations                   |                    |                | (30,015 | )          |   |             | 6,005     |              |  |              | 65,724 |        |  |  | (32,861 | )      |  |  | 3,394   |       
|Interest expense                                  |                    |                | 25,522  |            |   |             | 17,094    |              |  |              | 44,265 |        |  |  |        |        |  |  |        |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Pretax earnings/ (loss)                           |                    |                | (55,537 | )          |   |             | (11,089   | )            |  |              | 21,459 |        |  |  | (32,861 | )      |  |  | 3,394   |       
|Income tax (expense)/ benefit                     |                    |                | 11,929  |            |   |             | 4,921     |              |  |              | (8,198 | )      |  |  | 9,880   |        |  |  | (1,158  | )     
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Net earnings (loss)                               |                    |                | (43,608 | )          |   |             | (6,168    | )            |  |              | 13,261 |        |  |  | (22,981 | )      |  |  | 2,236   |       
|Less: preferred stock dividends                   |                    |                | (12,963 | )          |   |             |          |              |  |              |       |        |  |  |        |        |  |  |        |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       
|Earnings available to common shareholders         |                    | $              | (56,571 | )          |   |             | (6,168    | )            |  |              | 13,261 |        |  |  | (22,981 | )      |  |  | 2,236   |       
|                                                  |                    |                |         |            |   |             |           |              |  |              |        |        |  |  |         |        |  |  |         |       

[Additional columns below]

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

|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |           | 
|------------------------------------------------- | ------------------ | -------------- | ------- | ------------ | - | ----------- | --------- | ------------ |  | ------------ | ------- | ------ |  |  | ------- | ------- | - |  | --------- | --------- | 
|                                                  |                    |                |         |              |   | SAC Moving  |           |              |  |             
|                                                  |                    |                |         | AMERCO       |   | and Storage |           |              |  | Total       
|                                                  |                    | Eliminations   |         | Consolidated |   | Operations  |           | Eliminations |  | Consolidated
|                                                  |                    |                |         |              |   |             |           |              |  |             
|                                                  |                    |               
|                                                  |                    | (In thousands)
|Revenues                                          |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|                                                  | Rental revenue     |                |         | (71,108      | ) |             |           | 1,365,435    |  |              |         | 92,457 |  |  |         | (21,060 | ) |  |           | 1,436,832 | 
|Net sales                                         |                    |                |        |              |   |             | 194,320   |              |  |              | 17,923  |        |  |  |        |         |   |  | 212,243   |          
|Premiums                                          |                    |                | (10,596 | )            |   |             | 328,108   |              |  |              |        |        |  |  |        |         |   |  | 328,108   |          
|Net investment and interest income                |                    |                |        |              |   |             | 80,751    |              |  |              |        |        |  |  | (28,454 | )       |   |  | 52,297    |          
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Total revenues                                    |                    |                | (81,704 | )            |   |             | 1,968,614 |              |  |              | 110,380 |        |  |  | (49,514 | )       |   |  | 2,029,480 |          
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Costs and expenses                                |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|                                                  | Operating expenses |                |         | (81,704      | ) |             |           | 1,033,313    |  |              |         | 49,237 |  |  |         | (6,243  | ) |  |           | 1,076,307 | 
|Commission expenses                               |                    |                |        |              |   |             | 143,588   |              |  |              |        |        |  |  | (10,723 | )       |   |  | 132,865   |          
|Cost of sales                                     |                    |                |        |              |   |             | 116,629   |              |  |              | 9,877   |        |  |  |        |         |   |  | 126,506   |          
|Benefits and losses                               |                    |                |        |              |   |             | 331,079   |              |  |              |        |        |  |  |        |         |   |  | 331,079   |          
|Amortization of deferred policy acquisition costs |                    |                |        |              |   |             | 36,232    |              |  |              |        |        |  |  |        |         |   |  | 36,232    |          
|Lease expense                                     |                    |                |        |              |   |             | 179,554   |              |  |              |        |        |  |  | (4,094  | )       |   |  | 175,460   |          
|Depreciation, net                                 |                    |                |        |              |   |             | 92,920    |              |  |              | 12,385  |        |  |  | (1,498  | )       |   |  | 103,807   |          
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Total costs and expenses                          |                    |                | (81,704 | )            |   |             | 1,933,315 |              |  |              | 71,499  |        |  |  | (22,558 | )       |   |  | 1,982,256 |          
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Equity in earnings of Amerco subsidiaries         |                    |                | 13,652  |              |   |             |          |              |  |              |        |        |  |  |        |         |   |  |          |          
|Equity in earnings of SACH                        |                    |                |        |              |   |             | (9,400    | )            |  |              |        |        |  |  | 9,400   |         |   |  |          |          
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Earnings (loss) from operations                   |                    |                | 13,652  |              |   |             | 25,899    |              |  |              | 38,881  |        |  |  | (17,556 | )       |   |  | 47,224    |          
|Interest expense                                  |                    |                |        |              |   |             | 86,881    |              |  |              | 53,451  |        |  |  | (28,454 | )       |   |  | 111,878   |          
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Pretax earnings/ (loss)                           |                    |                | 13,652  |              |   |             | (60,982   | )            |  |              | (14,570 | )      |  |  | 10,898  |         |   |  | (64,654   | )        
|Income tax (expense)/ benefit                     |                    |                |        |              |   |             | 17,374    |              |  |              | 5,170   |        |  |  |        |         |   |  | 22,544    |          
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Net earnings (loss)                               |                    |                | 13,652  |              |   |             | (43,608   | )            |  |              | (9,400  | )      |  |  | 10,898  |         |   |  | (42,110   | )        
|Less: preferred stock dividends                   |                    |                |        |              |   |             | (12,963   | )            |  |              |        |        |  |  |        |         |   |  | (12,963   | )        
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          
|Earnings available to common shareholders         |                    |                | 13,652  |              |   |             | (56,571   | )            |  |              | (9,400  | )      |  |  | 10,898  |         |   |  | (55,073   | )        
|                                                  |                    |                |         |              |   |             |           |              |  |              |         |        |  |  |         |         |   |  |           |          



---



|    |                                 
|--- | --------------------------------
|(1) | Balances as of December 31, 2000

102



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating cash flow statements by industry
segment for the year ended March 31, 2003 are as follows:

|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |         |          |  
|---------------------------------------------------------- | ----------------------------------- | ----------------------------- | -------- | ---------- | --- | ----------- | ------- | ------------ | -------- | ------------ | ------- | ------- | ------- | - | ------- | ------- | ------- | - | ------- | ------- | -------- | -
|                                                           |                                     |                               |          | U-Haul     |     |             |         |              |          |             
|                                                           |                                     |                               |          | Moving and |     |             |         | Property and |          |             
|                                                           |                                     |                               |          | Storage    |     |             |         | Casualty     |          | Life        
|                                                           |                                     | AMERCO                        |          | Operations |     | Real Estate |         | Insurance(1) |          | Insurance(1)
|                                                           |                                     |                               |          |            |     |             |         |              |          |             
|                                                           |                                     |                              
|                                                           |                                     | (In thousands)               
|Net cash flows provided (used) by operating
    activities |                                     | $                             | 200,516  |            |     |             | 83,499  |              |          |              | (87,059 | )       |         |   | (75,133 | )       |         |   | (17,982 | )      
|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|Cash flows from investing activities:                      |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|                                                           | Purchases of investments:           |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |         |         
|                                                           |                                     | Property, plant and equipment |          |            | (64 | )           |         |              | (182,409 | )            |         |         | (30,176 | ) |         |         |        |   |         |         |         |  
|                                                           |                                     | Fixed maturities              |          |            |    |             |         |              |         |              |         |         |        |   |         |         | (10,408 | ) |         |         | (267,949 | )
|                                                           |                                     | Common Stock                  |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         |         |  
|                                                           |                                     | Preferred Stock               |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         |         |  
|                                                           |                                     | Other asset investment        |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         | (18,910  | )
|                                                           |                                     | Real estate                   |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         | (21,759  | )
|                                                           |                                     | Mortgage loans                |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         | (22,000  | )
|                                                           | Proceeds from sale of investments:  |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |         |         
|                                                           |                                     | Property, plant and equipment |          |            |    |             |         |              | 85,289   |              |         |         | 11,600  |   |         |         |        |   |         |         |         |  
|                                                           |                                     | Fixed maturities              |          |            |    |             |         |              |         |              |         |         |        |   |         |         | 101,373 |   |         |         | 262,741  |  
|                                                           |                                     | Common Stock                  |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         |         |  
|                                                           |                                     | Preferred Stock               |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         | 2,885    |  
|                                                           |                                     | Real estate                   |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         | 22,043   |  
|                                                           |                                     | Mortgage loans                |          |            |    |             |         |              | 73       |              |         |         | 130     |   |         |         | 561     |   |         |         | 17,409   |  
|                                                           | Changes in other investments        |                               |          |           |     |             |         |             |          |              |         | 4,481   |         |   |         | (18,197 | )       |   |         | (23,575 | )       
|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|Net cash provided (used) by investing activities           |                                     |                               | (64      | )          |     |             | (97,047 | )            |          |              | (13,965 | )       |         |   | 73,329  |         |         |   | (49,115 | )      
|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|Cash flows from financing activities:                      |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|                                                           | Net change in short-term borrowings |                               |          | 5,000      |     |             |         | 16,900       |          |              |         |        |         |   |         |        |         |   |         |        |         
|                                                           | Proceeds from notes                 |                               |          | 257,007    |     |             |         |             |          |              |         | 101,329 |         |   |         |        |         |   |         |        |         
|                                                           | Debt issuance costs                 |                               |          | (2,330     | )   |             |         |             |          |              |         | (680    | )       |   |         |        |         |   |         |        |         
|                                                           | Leveraged ESOP: Repayment on loan   |                               |          |           |     |             |         |             |          |              |         |        |         |   |         |        |         |   |         |        |         
|                                                           |                                     | Purchase of shares            |          |            |    |             |         |              |         |              |         |         |        |   |         |         |        |   |         |         |         |  
|                                                           |                                     | Payments on loan              |          |            |    |             |         |              | 975      |              |         |         |        |   |         |         |        |   |         |         |         |  
|                                                           | Principal payments on notes         |                               |          | (433,788   | )   |             |         |             |          |              |         | (27     | )       |   |         |        |         |   |         |        |         
|                                                           | Treasury stock acquisitions, net    |                               |          | (1,408     | )   |             |         |             |          |              |         |        |         |   |         |        |         |   |         |        |         
|                                                           | Preferred stock dividends paid      |                               |          | (6,480     | )   |             |         |             |          |              |         |        |         |   |         |        |         |   |         |        |         
|                                                           | Investment contract deposits        |                               |          |           |     |             |         |             |          |              |         |        |         |   |         |        |         |   |         | 165,281 |         
|                                                           | Investment contract withdrawals     |                               |          |           |     |             |         |             |          |              |         |        |         |   |         |        |         |   |         | (98,022 | )       
|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|Net cash provided (used) by financing activities           |                                     |                               | (181,999 | )          |     |             | 17,875  |              |          |              | 100,622 |         |         |   |        |         |         |   | 67,259  |        
|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|Increase (decrease) in cash and cash equivalents           |                                     |                               | 18,453   |            |     |             | 4,327   |              |          |              | (402    | )       |         |   | (1,804  | )       |         |   | 162     |        
|Cash and cash equivalents at the beginning of
    period   |                                     |                               | 71       |            |     |             | 25,719  |              |          |              | 576     |         |         |   | 5,912   |         |         |   | 9,158   |        
|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        
|Cash and cash equivalents at the end of period             |                                     | $                             | 18,524   |            |     |             | 30,046  |              |          |              | 174     |         |         |   | 4,108   |         |         |   | 9,320   |        
|                                                           |                                     |                               |          |            |     |             |         |              |          |              |         |         |         |   |         |         |         |   |         |        

[Additional columns below]

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

|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |          |          |  
|---------------------------------------------------------- | ----------------------------------- | ----------------------------- | ------- | ------------ | ------ | ----------- | ------- | ------------ | -------- | ------------ | ------- | ------- | ------- | - | ------ | ------- | - |  | ------- | -------- | -------- | -
|                                                           |                                     |                               |         |              |        | SAC Moving  |         |              |          |             
|                                                           |                                     |                               |         | AMERCO       |        | and Storage |         |              |          | Total       
|                                                           |                                     | Eliminations                  |         | Consolidated |        | Operations  |         | Eliminations |          | Consolidated
|                                                           |                                     |                               |         |              |        |             |         |              |          |             
|                                                           |                                     |                              
|                                                           |                                     | (In thousands)               
|Net cash flows provided (used) by operating
    activities |                                     |                               | (41,772 | )            |        |             | 62,069  |              |          |              | 13,472  |         |         |   | (1,011 | )       |   |  | 74,530  |         
|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|Cash flows from investing activities:                      |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|                                                           | Purchases of investments:           |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |          |         
|                                                           |                                     | Property, plant and equipment |         |              |       |             |         |              | (212,649 | )            |         |         | (30,512 | ) |        |         |  |  |         |          | (243,161 | )
|                                                           |                                     | Fixed maturities              |         |              |       |             |         |              | (278,357 | )            |         |         |        |   |        |         |  |  |         |          | (278,357 | )
|                                                           |                                     | Common Stock                  |         |              |       |             |         |              |         |              |         |         |        |   |        |         |  |  |         |          |         |  
|                                                           |                                     | Preferred Stock               |         |              |       |             |         |              |         |              |         |         |        |   |        |         |  |  |         |          |         |  
|                                                           |                                     | Other asset investment        |         |              | 17,500 |             |         |              | (1,410   | )            |         |         |        |   |        |         |  |  |         |          | (1,410   | )
|                                                           |                                     | Real estate                   |         |              |       |             |         |              | (21,759  | )            |         |         |        |   |        |         |  |  |         |          | (21,759  | )
|                                                           |                                     | Mortgage loans                |         |              | 22,000 |             |         |              |          |              |         |         |        |   |        |         |  |  |         |          |         |  
|                                                           | Proceeds from sale of investments:  |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |          |         
|                                                           |                                     | Property, plant and equipment |         |              |       |             |         |              | 96,889   |              |         |         |        |   |        |         |  |  |         |          | 96,889   |  
|                                                           |                                     | Fixed maturities              |         |              |       |             |         |              | 364,114  |              |         |         |        |   |        |         |  |  |         |          | 364,114  |  
|                                                           |                                     | Common Stock                  |         |              |       |             |         |              |         |              |         |         |        |   |        |         |  |  |         |          |         |  
|                                                           |                                     | Preferred Stock               |         |              |       |             |         |              | 2,885    |              |         |         |        |   |        |         |  |  |         |          | 2,885    |  
|                                                           |                                     | Real estate                   |         |              |       |             |         |              | 22,043   |              |         |         |        |   |        |         |  |  |         |          | 22,043   |  
|                                                           |                                     | Mortgage loans                |         |              |       |             |         |              | 18,173   |              |         |         |        |   |        |         |  |  |         |          | 18,173   |  
|                                                           | Changes in other investments        |                               |         | 41,772       |        |             |         | 4,481        |          |              |         |        |         |   |        |        |   |  |         | 4,481    |         
|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|Net cash provided (used) by investing activities           |                                     |                               | 81,272  |              |        |             | 207,059 |              |          |              | (30,512 | )       |         |   |       |         |   |  | (36,102 | )       
|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|Cash flows from financing activities:                      |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|                                                           | Net change in short-term borrowings |                               |         |             |        |             |         | 21,900       |          |              |         |        |         |   |        |        |   |  |         | 21,900   |         
|                                                           | Proceeds from notes                 |                               |         | (39,500      | )      |             |         | 318,836      |          |              |         | 58,827  |         |   |        | (27,827 | ) |  |         | 349,836  |         
|                                                           | Debt issuance costs                 |                               |         |             |        |             |         | (3,010       | )        |              |         |        |         |   |        |        |   |  |         | (3,010   | )       
|                                                           | Leveraged ESOP: Repayment on loan   |                               |         |             |        |             |         |             |          |              |         |        |         |   |        |        |   |  |         |         |         
|                                                           |                                     | Purchase of shares            |         |              |       |             |         |              |         |              |         |         |        |   |        |         |  |  |         |          |         |  
|                                                           |                                     | Payments on loan              |         |              |       |             |         |              | 975      |              |         |         |        |   |        |         |  |  |         |          | 975      |  
|                                                           | Principal payments on notes         |                               |         |             |        |             |         | (433,815     | )        |              |         | (37,135 | )       |   |        | 28,838  |   |  |         | (442,112 | )       
|                                                           | Treasury stock acquisitions, net    |                               |         |             |        |             |         | (1,408       | )        |              |         |        |         |   |        |        |   |  |         | (1,408   | )       
|                                                           | Preferred stock dividends paid      |                               |         |             |        |             |         | (6,480       | )        |              |         |        |         |   |        |        |   |  |         | (6,480   | )       
|                                                           | Investment contract deposits        |                               |         |             |        |             |         | 165,281      |          |              |         |        |         |   |        |        |   |  |         | 165,281  |         
|                                                           | Investment contract withdrawals     |                               |         |             |        |             |         | (98,022      | )        |              |         |        |         |   |        |        |   |  |         | (98,022  | )       
|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|Net cash provided (used) by financing activities           |                                     |                               | (39,500 | )            |        |             | (35,743 | )            |          |              | 21,692  |         |         |   | 1,011  |         |   |  | (13,040 | )       
|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|Increase (decrease) in cash and cash equivalents           |                                     |                               |        |              |        |             | 20,736  |              |          |              | 4,652   |         |         |   |       |         |   |  | 25,388  |         
|Cash and cash equivalents at the beginning of
    period   |                                     |                               |        |              |        |             | 41,436  |              |          |              | 10      |         |         |   |       |         |   |  | 41,446  |         
|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         
|Cash and cash equivalents at the end of period             |                                     |                               |        |              |        |             | 62,172  |              |          |              | 4,662   |         |         |   |       |         |   |  | 66,834  |         
|                                                           |                                     |                               |         |              |        |             |         |              |          |              |         |         |         |   |        |         |   |  |         |         



---



|    |                                 
|--- | --------------------------------
|(1) | Balances as of December 31, 2002

103



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating cash flow statements by industry
segment for the year ended March 31, 2002 (Restated) are as
follows:

|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |       |   |        |  
|---------------------------------------------------------- | --------------------------------------- | ---------------------- | ----------------------------- | ---------- | - | ----------- | -------- | ------------ | - | ------------ | -------- | ----- | - | ------- | ------- | ------- | ------ | -------- | ------- | ----- | - | ------ | -
|                                                           |                                         |                        |                               | U-Haul     |   |             |          |              |   |             
|                                                           |                                         |                        |                               | Moving     |   |             |          |              |   |             
|                                                           |                                         |                        |                               | and        |   |             |          |              |   | Property and
|                                                           |                                         |                        |                               | Storage    |   |             |          | Life         |   | Casualty    
|                                                           |                                         | AMERCO                 |                               | Operations |   | Real Estate |          | Insurance(1) |   | Insurance(1)
|                                                           |                                         |                        |                               |            |   |             |          |              |   |             
|                                                           |                                         |                       
|                                                           |                                         | (In Thousands)        
|Net cash flows provided (used) by operating
    activities |                                         | $                      | 148,589                       |            |   |             | 96,245   |              |   |              | (144,082 | )     |   |         | (5,150  | )       |        |          | (61,537 | )    
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|Cash flows from investing activities:                      |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|                                                           | Purchases of investments:               |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |       |  
|                                                           |                                         |                        | Property, plant and equipment |            |   | (12         | )        |              |   | (248,670     | )        |       |   | (32,327 | )       |         |        |         |         |       |   |       |  
|                                                           |                                         |                        | Fixed maturities              |            |   |            |          |              |   |             |          |       |   |        |         |         |        | (248,671 | )       |       |   | (8,888 | )
|                                                           |                                         |                        | Common stock                  |            |   |            |          |              |   |             |          |       |   |        |         |         |        | (418     | )       |       |   |       |  
|                                                           |                                         |                        | Preferred stock               |            |   |            |          |              |   |             |          |       |   |        |         |         |        | (2,072   | )       |       |   |       |  
|                                                           |                                         | Other asset investment |                               |            |  |             |          |              |  |              |          |       |  |         |         |         | (2,259 | )        |         |       |  |       
|                                                           |                                         |                        | Real estate                   |            |   |            |          |              |   |             |          |       |   |        |         |         |        | (35      | )       |       |   | 4,312  |  
|                                                           |                                         |                        | Mortgage loans                |            |   |            |          |              |   |             |          |       |   | (561    | )       |         |        | (790     | )       |       |   |       |  
|                                                           | Proceeds from sales of investments:     |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |       |  
|                                                           |                                         |                        | Property, plant and equipment |            |   | 695         |          |              |   | 143,317      |          |       |   | 173,184 |         |         |        |         |         |       |   |       |  
|                                                           |                                         |                        | Fixed maturities              |            |   |            |          |              |   |             |          |       |   |        |         |         |        | 168,984  |         |       |   | 64,732 |  
|                                                           |                                         |                        | Common stock                  |            |   |            |          |              |   |             |          |       |   |        |         |         |        |         |         |       |   |       |  
|                                                           |                                         |                        | Preferred stock               |            |   |            |          |              |   |             |          |       |   |        |         |         |        | 4,400    |         |       |   |       |  
|                                                           |                                         |                        | Real estate                   |            |   |            |          |              |   |             |          |       |   |        |         |         |        | 1,038    |         |       |   | 2,662  |  
|                                                           |                                         |                        | Mortgage loans                |            |   |            |          |              |   | 268          |          |       |   | 510     |         |         |        | 17,910   |         |       |   | 2      |  
|                                                           | Changes in other investments            |                        |                               |           |   |             |          |             |   |              |          | 2,897 |   |         |         | (8,575  | )      |          |         | 1,566 |  
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|Net cash (used) by investing activities                    |                                         |                        | 683                           |            |   |             | (105,085 | )            |   |              | 143,703  |       |   |         | (70,488 | )       |        |          | 64,386  |      
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|Cash flows from financing activities:                      |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|                                                           | Net change in short-term borrowings     |                        |                               | (24,070    | ) |             |          | 14,793       |   |              |          |      |   |         |         |        |        |          |         |      |  
|                                                           | Proceeds from notes                     |                        |                               |           |   |             |          |             |   |              |          |      |   |         |         |        |        |          |         |      |  
|                                                           | Debt issuance cost                      |                        |                               | (390       | ) |             |          |             |   |              |          |      |   |         |         |        |        |          |         |      |  
|                                                           | Leverage Employee Stock Ownership plan: |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |       |  
|                                                           |                                         |                        | Purchase of shares            |            |   |            |          |              |   | (72          | )        |       |   |        |         |         |        |         |         |       |   |       |  
|                                                           |                                         |                        | Payments on loan              |            |   |            |          |              |   | 1,093        |          |       |   |        |         |         |        |         |         |       |   |       |  
|                                                           | Principal payments on notes             |                        |                               | (101,738   | ) |             |          |             |   |              |          | (33   | ) |         |         |        |        |          |         |      |  
|                                                           | Preferred stock dividends paid          |                        |                               | (12,963    | ) |             |          |             |   |              |          |      |   |         |         |        |        |          |         |      |  
|                                                           | Treasury stock acquisitions, net        |                        |                               | (10,154    | ) |             |          |             |   |              |          |      |   |         |         |        |        |          |         |      |  
|                                                           | Dividends paid                          |                        |                               |           |   |             |          |             |   |              |          |      |   |         |         | 7,501   |        |          |         |      |  
|                                                           | Investment contract deposits            |                        |                               |           |   |             |          |             |   |              |          |      |   |         |         | 150,432 |        |          |         |      |  
|                                                           | Investment contract withdrawals         |                        |                               |           |   |             |          |             |   |              |          |      |   |         |         | (99,845 | )      |          |         |      |  
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|Net cash provided by financing activities                  |                                         |                        | (149,315                      | )          |   |             | 15,814   |              |   |              | (33      | )     |   |         | 58,088  |         |        |          |        |      
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|Increase (decrease) in cash and cash equivalents           |                                         |                        | (43                           | )          |   |             | 6,974    |              |   |              | (412     | )     |   |         | (17,550 | )       |        |          | 2,849   |      
|Cash and cash equivalents at the beginning of year         |                                         |                        | 114                           |            |   |             | 18,745   |              |   |              | 988      |       |   |         | 26,708  |         |        |          | 3,063   |      
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      
|Cash and cash equivalents at the end of year               |                                         | $                      | 71                            |            |   |             | 25,719   |              |   |              | 576      |       |   |         | 9,158   |         |        |          | 5,912   |      
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |          |       |   |         |         |         |        |          |         |      

[Additional columns below]

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

|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |          |        |          |  
|---------------------------------------------------------- | --------------------------------------- | ---------------------- | ----------------------------- | ------------ | - | ----------- | ------- | ------------ | ------ | ------------ | -------- | -------- | - | -------- | ------- | -------- | - | -------- | -------- | -------- | ------ | -------- | -
|                                                           |                                         |                        |                               |              |   | SAC Moving  |         |              |        |             
|                                                           |                                         |                        |                               | AMERCO       |   | and Storage |         |              |        | Total       
|                                                           |                                         | Eliminations           |                               | Consolidated |   | Operations  |         | Eliminations |        | Consolidated
|                                                           |                                         |                        |                               |              |   |             |         |              |        |             
|                                                           |                                         |                       
|                                                           |                                         | (In Thousands)        
|Net cash flows provided (used) by operating
    activities |                                         |                        | 492                           |              |   |             | 34,557  |              |        |              | (1,346   | )        |   |          | (52,842 | )        |   |          | (19,631  | )       
|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|Cash flows from investing activities:                      |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|                                                           | Purchases of investments:               |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |          |       
|                                                           |                                         |                        | Property, plant and equipment |              |   |            |         |              |        | (281,009     | )        |          |   | (378,873 | )       |          |   | 278,399  |          |          |        | (381,483 | )
|                                                           |                                         |                        | Fixed maturities              |              |   |            |         |              |        | (257,559     | )        |          |   |         |         |          |   |         |          |          |        | (257,559 | )
|                                                           |                                         |                        | Common stock                  |              |   |            |         |              |        | (418         | )        |          |   |         |         |          |   |         |          |          |        | (418     | )
|                                                           |                                         |                        | Preferred stock               |              |   |            |         |              |        | (2,072       | )        |          |   |         |         |          |   |         |          |          |        | (2,072   | )
|                                                           |                                         | Other asset investment |                               |              |  |             |         |              | (2,259 | )            |          |          |  |          |         |          |  |          |          |          | (2,259 | )       
|                                                           |                                         |                        | Real estate                   |              |   |            |         |              |        | 4,277        |          |          |   |         |         |          |   |         |          |          |        | 4,277    |  
|                                                           |                                         |                        | Mortgage loans                |              |   |            |         |              |        | (1,351       | )        |          |   |         |         |          |   |         |          |          |        | (1,351   | )
|                                                           | Proceeds from sales of investments:     |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |          |       
|                                                           |                                         |                        | Property, plant and equipment |              |   |            |         |              |        | 317,196      |          |          |   | 53,214   |         |          |   | (141,035 | )        |          |        | 229,375  |  
|                                                           |                                         |                        | Fixed maturities              |              |   |            |         |              |        | 233,716      |          |          |   |         |         |          |   |         |          |          |        | 233,716  |  
|                                                           |                                         |                        | Common stock                  |              |   |            |         |              |        |             |          |          |   |         |         |          |   |         |          |          |        |         |  
|                                                           |                                         |                        | Preferred stock               |              |   |            |         |              |        | 4,400        |          |          |   |         |         |          |   |         |          |          |        | 4,400    |  
|                                                           |                                         |                        | Real estate                   |              |   |            |         |              |        | 3,700        |          |          |   |         |         |          |   |         |          |          |        | 3,700    |  
|                                                           |                                         |                        | Mortgage loans                |              |   |            |         |              |        | 18,690       |          |          |   |         |         |          |   |         |          |          |        | 18,690   |  
|                                                           | Changes in other investments            |                        |                               | 7,009        |   |             |         | 2,897        |        |              |          |         |   |          |         |         |   |          |          | 2,897    |       
|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|Net cash (used) by investing activities                    |                                         |                        | 7,009                         |              |   |             | 40,208  |              |        |              | (325,659 | )        |   |          | 137,364 |          |   |          | (148,087 | )       
|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|Cash flows from financing activities:                      |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|                                                           | Net change in short-term borrowings     |                        |                               |             |   |             |         | (9,277       | )      |              |          |         |   |          |         |         |   |          |          | (9,277   | )     
|                                                           | Proceeds from notes                     |                        |                               |             |   |             |         |             |        |              |          | 526,292  |   |          |         | (278,399 | ) |          |          | 247,893  |       
|                                                           | Debt issuance cost                      |                        |                               |             |   |             |         | (390         | )      |              |          |         |   |          |         |         |   |          |          | (390     | )     
|                                                           | Leverage Employee Stock Ownership plan: |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |          |       
|                                                           |                                         |                        | Purchase of shares            |              |   |            |         |              |        | (72          | )        |          |   |         |         |          |   |         |          |          |        | (72      | )
|                                                           |                                         |                        | Payments on loan              |              |   |            |         |              |        | 1,093        |          |          |   |         |         |          |   |         |          |          |        | 1,093    |  
|                                                           | Principal payments on notes             |                        |                               |             |   |             |         | (101,771     | )      |              |          | (199,287 | ) |          |         | 193,877  |   |          |          | (107,181 | )     
|                                                           | Preferred stock dividends paid          |                        |                               |             |   |             |         | (12,963      | )      |              |          |         |   |          |         |         |   |          |          | (12,963  | )     
|                                                           | Treasury stock acquisitions, net        |                        |                               |             |   |             |         | (10,154      | )      |              |          |         |   |          |         |         |   |          |          | (10,154  | )     
|                                                           | Dividends paid                          |                        |                               | (7,501       | ) |             |         |             |        |              |          |         |   |          |         |         |   |          |          |         |       
|                                                           | Investment contract deposits            |                        |                               |             |   |             |         | 150,432      |        |              |          |         |   |          |         |         |   |          |          | 150,432  |       
|                                                           | Investment contract withdrawals         |                        |                               |             |   |             |         | (99,845      | )      |              |          |         |   |          |         |         |   |          |          | (99,845  | )     
|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|Net cash provided by financing activities                  |                                         |                        | (7,501                        | )            |   |             | (82,947 | )            |        |              | 327,005  |          |   |          | (84,522 | )        |   |          | 159,536  |         
|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|Increase (decrease) in cash and cash equivalents           |                                         |                        |                              |              |   |             | (8,182  | )            |        |              |         |          |   |          |        |          |   |          | (8,182   | )       
|Cash and cash equivalents at the beginning of year         |                                         |                        |                              |              |   |             | 49,618  |              |        |              | 10       |          |   |          |        |          |   |          | 49,628   |         
|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         
|Cash and cash equivalents at the end of year               |                                         |                        |                              |              |   |             | 41,436  |              |        |              | 10       |          |   |          |        |          |   |          | 41,446   |         
|                                                           |                                         |                        |                               |              |   |             |         |              |        |              |          |          |   |          |         |          |   |          |          |         

104



---



##### Table of Contents



AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATIONS AND CONSOLIDATED
SUBSIDIARIES


NOTES TO CONDENSED CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Consolidating cash flow statements by industry
segment for the year ended March 31, 2001 are as follows:

|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |        |   |         |  
|---------------------------------------------------------- | --------------------------------------- | ---------------------- | ----------------------------- | ---------- | - | ----------- | -------- | ------------ | - | ------------ | ------- | ------- | - | ------- | ------- | ------- | ------ | ------- | ------- | ------ | - | ------- | -
|                                                           |                                         |                        |                               | U-Haul     |   |             |          |              |   |             
|                                                           |                                         |                        |                               | Moving     |   |             |          |              |   |             
|                                                           |                                         |                        |                               | and        |   |             |          |              |   | Property and
|                                                           |                                         |                        |                               | Storage    |   |             |          | Life         |   | Casualty    
|                                                           |                                         | AMERCO                 |                               | Operations |   | Real Estate |          | Insurance(1) |   | Insurance(1)
|                                                           |                                         |                        |                               |            |   |             |          |              |   |             
|                                                           |                                         |                       
|                                                           |                                         | (In Thousands)        
|Net cash flows provided (used) by operating
    activities |                                         | $                      | 3,840                         |            |   |             | 106,946  |              |   |              | 68,698  |         |   |         | 3,456   |         |        |         | 15,208  |       
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|Cash flows from investing activities:                      |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|                                                           | Purchases of investments:               |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |        |  
|                                                           |                                         |                        | Property, plant and equipment |            |   | (16         | )        |              |   | (411,910     | )       |         |   | (53,063 | )       |         |        |        |         |        |   |        |  
|                                                           |                                         |                        | Fixed maturities              |            |   |            |          |              |   |             |         |         |   |        |         |         |        | (67,733 | )       |        |   | (55,131 | )
|                                                           |                                         |                        | Common stock                  |            |   |            |          |              |   |             |         |         |   |        |         |         |        | (31,773 | )       |        |   |        |  
|                                                           |                                         |                        | Preferred stock               |            |   |            |          |              |   |             |         |         |   |        |         |         |        |        |         |        |   |        |  
|                                                           |                                         | Other asset investment |                               |            |  |             |          |              |  |              |         |         |  |         |         |         | (5,915 | )       |         |        |  |        
|                                                           |                                         |                        | Real estate                   |            |   |            |          |              |   |             |         |         |   |        |         |         |        |        |         |        |   | (26     | )
|                                                           |                                         |                        | Mortgage loans                |            |   |            |          |              |   | (102         | )       |         |   |        |         |         |        | (22,461 | )       |        |   |        |  
|                                                           | Proceeds from sales of investments:     |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |        |  
|                                                           |                                         |                        | Property, plant and equipment |            |   |            |          |              |   | 303,570      |         |         |   | 42,197  |         |         |        |        |         |        |   |        |  
|                                                           |                                         |                        | Fixed maturities              |            |   |            |          |              |   |             |         |         |   |        |         |         |        | 101,780 |         |        |   | 50,981  |  
|                                                           |                                         |                        | Common stock                  |            |   |            |          |              |   |             |         |         |   |        |         |         |        | 6,194   |         |        |   |        |  
|                                                           |                                         |                        | Preferred stock               |            |   |            |          |              |   |             |         |         |   |        |         |         |        | 372     |         |        |   |        |  
|                                                           |                                         |                        | Real estate                   |            |   |            |          |              |   |             |         |         |   |        |         |         |        |        |         |        |   |         |  
|                                                           |                                         |                        | Mortgage loans                |            |   |            |          |              |   | 3,342        |         |         |   | 268     |         |         |        | 13,607  |         |        |   | 7       |  
|                                                           | Changes in other investments            |                        |                               |           |   |             |          |             |   |              |         |        |   |         |         | (14,232 | )      |         |         | (9,345 | )
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|Net cash (used) by investing activities                    |                                         |                        | (16                           | )          |   |             | (105,100 | )            |   |              | (10,598 | )       |   |         | (20,161 | )       |        |         | (13,514 | )     
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|Cash flows from financing activities:                      |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|                                                           | Net change in short-term borrowings     |                        |                               | 156,070    |   |             |          |             |   |              |         |        |   |         |         |        |        |         |         |       |  
|                                                           | Proceeds from notes                     |                        |                               |           |   |             |          | (446         | ) |              |         |        |   |         |         |        |        |         |         |       |  
|                                                           | Debt issuance cost                      |                        |                               | (435       | ) |             |          |             |   |              |         | (259    | ) |         |         |        |        |         |         |       |  
|                                                           | Leverage Employee Stock Ownership plan: |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |        |  
|                                                           |                                         |                        | Purchase of shares            |            |   |            |          |              |   | (46          | )       |         |   |        |         |         |        |        |         |        |   |        |  
|                                                           |                                         |                        | Payments on loan              |            |   | 137         |          |              |   | 1,102        |         |         |   |        |         |         |        |        |         |        |   |        |  
|                                                           | Principal payments on notes             |                        |                               | (137,010   | ) |             |          |             |   |              |         | (51     | ) |         |         |        |        |         |         |       |  
|                                                           | Net change in cash overdraft            |                        |                               |           |   |             |          |             |   |              |         |        |   |         |         |        |        |         |         |       |  
|                                                           | Preferred stock dividends paid          |                        |                               |            |   |             |          |             |   |              |         |        |   |         |         |        |        |         |         |       |  
|                                                           | Treasury stock acquisitions, net        |                        |                               | (9,617     | ) |             |          |             |   |              |         |        |   |         |         |        |        |         |         |       |  
|                                                           | Dividends paid                          |                        |                               | (12,963    | ) |             |          |             |   |              |         | (57,763 | ) |         |         |        |        |         |         |       |  
|                                                           | Investment contract deposits            |                        |                               |           |   |             |          |             |   |              |         |        |   |         |         | 86,657  |        |         |         |       |  
|                                                           | Investment contract withdrawals         |                        |                               |           |   |             |          |             |   |              |         |        |   |         |         | (72,953 | )      |         |         |       |  
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|Net cash provided by financing activities                  |                                         |                        | (3,818                        | )          |   |             | 610      |              |   |              | (58,073 | )       |   |         | 13,704  |         |        |         |        |       
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|Increase (decrease) in cash and cash
    equivalents       |                                         |                        | 6                             |            |   |             | 2,456    |              |   |              | 27      |         |   |         | (3,001  | )       |        |         | 1,694   |       
|Cash and cash equivalents at the beginning of year         |                                         |                        | 108                           |            |   |             | 16,289   |              |   |              | 961     |         |   |         | 29,709  |         |        |         | 1,369   |       
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       
|Cash and cash equivalents at the end of year               |                                         | $                      | 114                           |            |   |             | 18,745   |              |   |              | 988     |         |   |         | 26,708  |         |        |         | 3,063   |       
|                                                           |                                         |                        |                               |            |   |             |          |              |   |              |         |         |   |         |         |         |        |         |         |       

[Additional columns below]

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

|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |          |        |          |  
|---------------------------------------------------------- | --------------------------------------- | ---------------------- | ----------------------------- | ------------ | - | ----------- | -------- | ------------ | ------ | ------------ | -------- | -------- | - | -------- | -------- | -------- | - | ------- | -------- | -------- | ------ | -------- | -
|                                                           |                                         |                        |                               |              |   | SAC Moving  |          |              |        |             
|                                                           |                                         |                        |                               | AMERCO       |   | and Storage |          |              |        | Total       
|                                                           |                                         | Eliminations           |                               | Consolidated |   | Operations  |          | Eliminations |        | Consolidated
|                                                           |                                         |                        |                               |              |   |             |          |              |        |             
|                                                           |                                         |                       
|                                                           |                                         | (In Thousands)        
|Net cash flows provided (used) by operating
    activities |                                         |                        | (81,340                       | )            |   |             | 116,808  |              |        |              | 15,124   |          |   |          | 40,698   |          |   |         | 172,630  |         
|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|Cash flows from investing activities:                      |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|                                                           | Purchases of investments:               |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |          |       
|                                                           |                                         |                        | Property, plant and equipment |              |   |            |          |              |        | (464,989     | )        |          |   | (369,673 | )        |          |   | 217,388 |          |          |        | (617,274 | )
|                                                           |                                         |                        | Fixed maturities              |              |   |            |          |              |        | (122,864     | )        |          |   |         |          |          |   |        |          |          |        | (122,864 | )
|                                                           |                                         |                        | Common stock                  |              |   |            |          |              |        | (31,773      | )        |          |   |         |          |          |   |        |          |          |        | (31,773  | )
|                                                           |                                         |                        | Preferred stock               |              |   |            |          |              |        |             |          |          |   |         |          |          |   |        |          |          |        |         |  
|                                                           |                                         | Other asset investment |                               |              |  |             |          |              | (5,915 | )            |          |          |  |          |          |          |  |         |          |          | (5,915 | )       
|                                                           |                                         |                        | Real estate                   |              |   |            |          |              |        | (26          | )        |          |   |         |          |          |   |        |          |          |        | (26      | )
|                                                           |                                         |                        | Mortgage loans                |              |   |            |          |              |        | (22,563      | )        |          |   |         |          |          |   |        |          |          |        | (22,563  | )
|                                                           | Proceeds from sales of investments:     |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |          |       
|                                                           |                                         |                        | Property, plant and equipment |              |   |            |          |              |        | 345,767      |          |          |   | 46,952   |          |          |   | (38,479 | )        |          |        | 354,240  |  
|                                                           |                                         |                        | Fixed maturities              |              |   |            |          |              |        | 152,761      |          |          |   |         |          |          |   |        |          |          |        | 152,761  |  
|                                                           |                                         |                        | Common stock                  |              |   |            |          |              |        | 6,194        |          |          |   |         |          |          |   |        |          |          |        | 6,194    |  
|                                                           |                                         |                        | Preferred stock               |              |   |            |          |              |        | 372          |          |          |   |         |          |          |   |        |          |          |        | 372      |  
|                                                           |                                         |                        | Real estate                   |              |   |            |          |              |        |             |          |          |   |         |          |          |   |        |          |          |        |         |  
|                                                           |                                         |                        | Mortgage loans                |              |   |            |          |              |        | 17,224       |          |          |   |         |          |          |   |        |          |          |        | 17,224   |  
|                                                           | Changes in other investments            |                        |                               | 23,577       |   |             |          |              |        |              |          |         |   |          |          |         |   |         |          |         |       
|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|Net cash (used) by investing activities                    |                                         |                        | 23,577                        |              |   |             | (125,812 | )            |        |              | (322,721 | )        |   |          | 178,909  |          |   |         | (269,624 | )       
|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|Cash flows from financing activities:                      |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|                                                           | Net change in short-term borrowings     |                        |                               |             |   |             |          | 156,070      |        |              |          |         |   |          |          |         |   |         |          | 156,070  |       
|                                                           | Proceeds from notes                     |                        |                               |             |   |             |          | (446         | )      |              |          | 460,537  |   |          |          | (366,014 | ) |         |          | 94,077   |       
|                                                           | Debt issuance cost                      |                        |                               |             |   |             |          | (694         | )      |              |          |         |   |          |          |         |   |         |          | (694     | )     
|                                                           | Leverage Employee Stock Ownership plan: |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |          |       
|                                                           |                                         |                        | Purchase of shares            |              |   |            |          |              |        | (46          | )        |          |   |         |          |          |   |        |          |          |        | (46      | )
|                                                           |                                         |                        | Payments on loan              |              |   |            |          |              |        | 1,239        |          |          |   |         |          |          |   |        |          |          |        | 1,239    |  
|                                                           | Principal payments on notes             |                        |                               |             |   |             |          | (137,061     | )      |              |          | (152,940 | ) |          |          | 146,407  |   |         |          | (143,594 | )     
|                                                           | Net change in cash overdraft            |                        |                               |             |   |             |          |             |        |              |          |         |   |          |          |         |   |         |          |         |       
|                                                           | Preferred stock dividends paid          |                        |                               |             |   |             |          |             |        |              |          |         |   |          |          |         |   |         |          |         |       
|                                                           | Treasury stock acquisitions, net        |                        |                               |             |   |             |          | (9,617       | )      |              |          |         |   |          |          |         |   |         |          | (9,617   | )     
|                                                           | Dividends paid                          |                        |                               | 57,763       |   |             |          | (12,963      | )      |              |          |         |   |          |          |         |   |         |          | (12,963  | )     
|                                                           | Investment contract deposits            |                        |                               |             |   |             |          | 86,657       |        |              |          |         |   |          |          |         |   |         |          | 86,657   |       
|                                                           | Investment contract withdrawals         |                        |                               |             |   |             |          | (72,953      | )      |              |          |         |   |          |          |         |   |         |          | (72,953  | )     
|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|Net cash provided by financing activities                  |                                         |                        | 57,763                        |              |   |             | 10,186   |              |        |              | 307,597  |          |   |          | (219,607 | )        |   |         | 98,176   |         
|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|Increase (decrease) in cash and cash
    equivalents       |                                         |                        |                              |              |   |             | 1,182    |              |        |              |         |          |   |          |         |          |   |         | 1,182    |         
|Cash and cash equivalents at the beginning of year         |                                         |                        |                              |              |   |             | 48,436   |              |        |              | 10       |          |   |          |         |          |   |         | 48,446   |         
|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         
|Cash and cash equivalents at the end of year               |                                         |                        |                              |              |   |             | 49,618   |              |        |              | 10       |          |   |          |         |          |   |         | 49,628   |         
|                                                           |                                         |                        |                               |              |   |             |          |              |        |              |          |          |   |          |          |          |   |         |          |         

105



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AMERCO AND CONSOLIDATED SUBSIDIARIES
AND

SAC HOLDING CORPORATION, SAC HOLDING II
CORPORATION


AND CONSOLIDATED SUBSIDIARIES


NOTES TO CONSOLIDATED FINANCIAL
STATEMENTS  (Continued)

Financial information by geographic area are as
follows

|                               |  |                                         |           |        |  |              |         |   |  |  |           |  
|------------------------------ |  | --------------------------------------- | --------- | ------ |  | ------------ | ------- | - |  |  | --------- | -
|Year Ended                     |  | United States                           |           | Canada |  | Consolidated
|                               |  |                                         |           |        |  |             
|                               |  |                                        
|                               |  | (All amounts are in thousands U.S. $s)
|March 31, 2003                 |  |                                         |           |        |  |              |         |   |  |  |           |  
|Total revenues                 |  | $                                       | 2,077,333 |        |  |              | 55,054  |   |  |  | 2,132,387 |  
|Depreciation/ amortization net |  |                                         | 169,799   |        |  |              | 5,466   |   |  |  | 175,265   |  
|Interest expense/ (benefit)    |  |                                         | 146,144   |        |  |              | 1,987   |   |  |  | 148,131   |  
|Pretax earnings/ (loss)        |  |                                         | (45,628   | )      |  |              | 6,707   |   |  |  | (38,921   | )
|Income tax expense/ (benefit)  |  |                                         | 16,282    |        |  |              | (2,347  | ) |  |  | 13,935    |  
|Identifiable assets            |  |                                         | 3,673,738 |        |  |              | 131,928 |   |  |  | 3,805,666 |  
|                              
|March 31, 2002                 |  |                                         |           |        |  |              |         |   |  |  |           |  
|Total revenues                 |  | $                                       | 2,141,229 |        |  |              | 52,350  |   |  |  | 2,193,579 |  
|Depreciation/ amortization net |  |                                         | 138,401   |        |  |              | 5,230   |   |  |  | 143,631   |  
|Interest expense/ (benefit)    |  |                                         | 107,370   |        |  |              | 2,095   |   |  |  | 109,465   |  
|Pretax earnings/ (loss)        |  |                                         | (74,828   | )      |  |              | 7,497   |   |  |  | (67,331   | )
|Income tax expense/ (benefit)  |  |                                         | 22,515    |        |  |              | (2,624  | ) |  |  | 19,891    |  
|Identifiable assets            |  |                                         | 3,615,108 |        |  |              | 117,209 |   |  |  | 3,732,317 |  



|    |                  
|--- | -----------------
|23. | Subsequent Events

On April 18, 2003, AMERCO filed suit against
its former auditors, PricewaterhouseCoopers (PwC). The complaint
seeks actual and punitive damages in excess of $2.5 billion
dollars as a result of the alleged negligent, fraudulent and
tortious conduct of PwC during the last seven years of its audit
engagement.

On June 20, 2003, AMERCO filed a voluntary
petition for protection under Chapter 11 of the
U.S. Bankruptcy Code. AMERCO has taken this action in order
to expedite the financial restructuring of its debt. On
August 13, 2003, Amerco Real Estate Company filed a
voluntary petition for relief under Chapter 11 of the
Bankruptcy Code with joint administration under BK-03-52103-GWZ.
Not included in the Chapter 11 filing are the following
AMERCO subsidiaries: U-Haul, Oxford Life Insurance Company and
its subsidiaries, and Republic Western Insurance Company, among
others. The Chapter 11 filing by AMERCO is not expected to
impact the operations of these subsidiaries, and their business
will continue uninterrupted. Additionally, since the Company is
solvent, with asset value in excess of its debt, AMERCO intends
to repay its creditors in full pursuant to a full-value plan of
reorganization, without diluting the interest of its
shareholders.

On June 30, 2003, RepWest and Oxford
exchanged their respective interests in Private Mini for certain
real property owned by certain SAC Holdings entities. The
exchanges were non-monetary and were recorded on the basis of
the book values of the assets exchanged.

On May 20, 2003, RepWest consented to an
Order for Supervision issued by the Arizona Department of
Insurance (DOI). The DOI determined that
RepWests level of risk based capital (RBC)
allowed for regulatory control. Pursuant to this order and
Arizona law, during the period of supervision, RepWest may not
engage in any of the following activities without the prior
approval of the DOI. If RepWest fails to satisfy the
requirements to abate DOIs concerns, the DOI may take
further action, including, but not limited to, commencing a
conservatorship.

In April 2003, the Company determined that
in connection with overall restructuring efforts, RepWest is
exiting non-U-Haul related lines of business.

106



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ADDITIONAL INFORMATION

SUMMARY OF EARNINGS OF INDEPENDENT TRAILER
FLEETS

Unaudited


The following Summary of Earnings of Independent
Trailer Fleets is presented for purposes of analysis and is not
a required part of the basic financial statements.

|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |       |       |       | 
|------------------------- | ------------------------------------- | ------------------------------------------------------------------------------------------------------------------------- | ------------------------------------ | ----- | ----- | ---- |  | ----- | ----- | ----- |  | ----- | ----- | ----- |  | ----- | ----- | ----- |  | ----- | ----- | ----- | 
|                          |                                       |                                                                                                                          
|                          |                                       | Years Ended March 31,                                                                                                    
|                          |                                       |                                                                                                                          
|                          |                                       | 2003                                                                                                                      |                                      | 2002  |       | 2001 |  | 2000  |       | 1999 
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |      
|                          |                                       |                                                                                                                          
|                          |                                       | (In thousands, except earnings                                                                                           
|                          |                                       | per $100 of average investment)                                                                                          
|Earnings data (Note A):   |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          | Fleet owner income:                   |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |       |      
|                          |                                       | Credited to fleet owner gross rental income                                                                               |                                      | $     | 823   |      |  |       | 1,028 |       |  |       | 1,350 |       |  |       | 1,977 |       |  |       | 2,191 |      
|                          |                                       | Credited to trailer accident fund (Notes D
    and E)                                                                     |                                      |       | 49    |      |  |       | 61    |       |  |       | 79    |       |  |       | 114   |       |  |       | 144   |      
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          |                                       |                                                                                                                           | Total fleet owner income             |       |       | 872  |  |       |       | 1,089 |  |       |       | 1,429 |  |       |       | 2,091 |  |       |       | 2,335 | 
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          | Fleet owner operation expenses:       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |       |      
|                          |                                       | Charged to fleet owner (Note C)                                                                                           |                                      |       | 422   |      |  |       | 532   |       |  |       | 719   |       |  |       | 999   |       |  |       | 873   |      
|                          |                                       | Charged to trailer accident fund (Notes D
    and F)                                                                      |                                      |       | 9     |      |  |       | 15    |       |  |       | 18    |       |  |       | 23    |       |  |       | 27    |      
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          |                                       |                                                                                                                           | Total fleet owner operation expenses |       |       | 431  |  |       |       | 547   |  |       |       | 737   |  |       |       | 1,022 |  |       |       | 900   | 
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          |                                       | Fleet owner earnings before trailer accident fund
    credit, depreciation and income taxes                               |                                      |       | 402   |      |  |       | 496   |       |  |       | 631   |       |  |       | 978   |       |  |       | 1,318 |      
|                          | Trailer accident fund credit (Note D) |                                                                                                                           |                                      | 39    |       |      |  | 46    |       |       |  | 61    |       |       |  | 91    |       |       |  | 117   |      
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          |                                       | Net fleet owner earnings before depreciation and
    income taxes                                                         |                                      | $     | 441   |      |  |       | 542   |       |  |       | 692   |       |  |       | 1,069 |       |  |       | 1,435 |      
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|Investment data (Note A): |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          | Amount at end of year                 |                                                                                                                           | $                                    | 1,389 |       |      |  | 1,663 |       |       |  | 2,046 |       |       |  | 2,654 |       |       |  | 3,272 |      
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          | Average amount during year            |                                                                                                                           | $                                    | 1,526 |       |      |  | 1,855 |       |       |  | 2,350 |       |       |  | 3,574 |       |       |  | 3,574 |      
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      
|                          |                                       | Net fleet owner earnings before depreciation and
    income taxes per $100 of average investment (Note B)
    (unaudited) |                                      | $     | 19.95 |      |  |       | 20.06 |       |  |       | 23.38 |       |  |       | 28.12 |       |  |       | 29.56 |      
|                          |                                       |                                                                                                                           |                                      |       |       |      |  |       |       |       |  |       |       |       |  |       |       |       |  |      

The accompanying notes are an integral part of
this Summary of Earnings of Independent Trailer Fleets.

107



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##### Table of Contents



ADDITIONAL INFORMATION

NOTES TO SUMMARY OF EARNINGS OF INDEPENDENT
TRAILER FLEETS

(A) The accompanying Summary of Earnings of
Independent Trailer Fleets includes the operations of trailers
under the brand name of U-Haul owned by independent
fleet owners. Earnings data represent the aggregate results of
operations before depreciation and taxes. Investment data
represent the cost of trailers and investments before
accumulated depreciation.

Fleet owner income is based on Independent Rental
Dealer reports of rentals transacted through the day preceding
the last Monday of each month and received by U-Haul
International, Inc. by the end of the month and U-Haul Center
reports of rentals transacted through the last day of each
month. Payments to fleet owners for trailers lost or retired
from rental service as a result of damage by accident have not
been reflected in this summary because such payments do not
relate to earnings before depreciation and income taxes but,
rather, investment (depreciation).

The investment data is based upon the cost of
trailers to the fleet owners as reflected by sales records of
the U-Haul manufacturing facilities.

(B) The summary of earnings data stated in
terms of amount per $100 of average investment represents the
aggregate results of operations (earnings data) divided by the
average amount of investment during the periods. The average
amount of investment is based upon a simple average of the
month-end investment during each period. Average earnings data
is not necessarily representative of an individual fleet
owners earnings.

(C) A summary of operations expenses charged
directly to independent fleet owners follows:

|         |                            |                      |     |                |  |      |     |      |  |      |     |     |  |  |     |     |  |  |     |     | 
|-------- | -------------------------- | -------------------- | --- | -------------- |  | ---- | --- | ---- |  | ---- | --- | --- |  |  | --- | --- |  |  | --- | --- | 
|         |                            |                     
|         |                            | Year Ended March 31,
|         |                            |                     
|         |                            | 2003                 |     | 2002           |  | 2001 |     | 2000 |  | 1999
|         |                            |                      |     |                |  |      |     |      |  |     
|         |                            |                      |     |                |  |     
|         |                            |                      |     | (In thousands) |  |     
|Licenses |                            | $                    | 52  |                |  |      | 86  |      |  |      | 124 |     |  |  | 150 |     |  |  | 159 |    
|         | Public liability insurance |                      |     | 53             |  |      |     | 65   |  |      |     | 87  |  |  |     | 126 |  |  |     | 134 | 
|         | Repairs and maintenance    |                      |     | 317            |  |      |     | 381  |  |      |     | 508 |  |  |     | 723 |  |  |     | 580 | 
|         |                            |                      |     |                |  |      |     |      |  |      |     |     |  |  |     |     |  |  |     |    
|         |                            | $                    | 422 |                |  |      | 532 |      |  |      | 719 |     |  |  | 999 |     |  |  | 873 |    
|         |                            |                      |     |                |  |      |     |      |  |      |     |     |  |  |     |     |  |  |     |    

(D) The fleet owners and subsidiary U-Haul
Rental Companies forego normal commissions on a portion of gross
rental fees designated for transfer to the Trailer Accident
Fund. Trailer accident repair expenses, otherwise chargeable to
fleet owners, are paid from this Fund to the extent of the
financial resources of the Fund. The amounts designated
Trailer Accident Fund credit in the accompanying
summary of earnings represents independent fleet owner
commissions foregone, which exceed expenses borne by the Fund.

(E) Commissions foregone for transfer to the
Trailer Accident Fund follow:

|            |                |              |   |                |  |             |  |       |  |  |  |     |  |  |  |        | 
|----------- | -------------- | ------------ | - | -------------- |  | ----------- |  | ----- |  |  |  | --- |  |  |  | ------ | 
|            |                |             
|            |                | Fleet Owners
|            |                |             
|            |                | Subsidiary   |   |               
|            |                | U-Haul       |   | Subsidiary     |  |            
|            |                | Companies    |   | Companies      |  | Independent |  | Total
|            |                |              |   |                |  |             |  |      
|            |                |              |   |                |  |            
|            |                |              |   | (In thousands) |  |            
|Year ended: |                |              |   |                |  |             |  |       |  |  |  |     |  |  |  |       
|            | March 31, 2003 |              | $ | 6,845          |  |             |  | 3,637 |  |  |  | 49  |  |  |  | 10,531 | 
|            | March 31, 2002 |              |   | 6,385          |  |             |  | 3,377 |  |  |  | 61  |  |  |  | 9,823  | 
|            | March 31, 2001 |              |   | 6,073          |  |             |  | 3,191 |  |  |  | 79  |  |  |  | 9,343  | 
|            | March 31, 2000 |              |   | 6,061          |  |             |  | 3,150 |  |  |  | 114 |  |  |  | 9,325  | 
|            | March 31, 1999 |              |   | 6,081          |  |             |  | 3,131 |  |  |  | 144 |  |  |  | 9,356  | 

108



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ADDITIONAL INFORMATION


NOTES TO SUMMARY OF EARNINGS OF INDEPENDENT
TRAILER FLEETS  (Continued)

(F) A summary of independent fleet owner
expenses borne by the Trailer Accident Fund follows:

|               |  |                |       |            |  |             |     |          |  |             |    |          |  |  |       |  |  |  |     |  |  |  |       | 
|-------------- |  | -------------- | ----- | ---------- |  | ----------- | --- | -------- |  | ----------- | -- | -------- |  |  | ----- |  |  |  | --- |  |  |  | ----- | 
|               |  |                |       |           
|               |  | Fleet Owners   |       | Total     
|               |  |                |       | Trailer   
|               |  | Subsidiary     |       |            |  | Trailer     |     | Accident
|               |  | U-Haul         |       | Subsidiary |  |             |     | Sub      |  | Accident    |    | Repair  
|               |  | Companies      |       | Companies  |  | Independent |     | Total    |  | Retirements |    | Expenses
|               |  |                |       |            |  |             |     |          |  |             |    |         
|               |  |               
|               |  | (In thousands)
|Year ended:    |  |                |       |            |  |             |     |          |  |             |    |          |  |  |       |  |  |  |     |  |  |  |       | 
|March 31, 2003 |  | $              | 1,095 |            |  |             | 582 |          |  |             | 8  |          |  |  | 1,685 |  |  |  | 394 |  |  |  | 2,079 | 
|March 31, 2002 |  |                | 1,225 |            |  |             | 647 |          |  |             | 12 |          |  |  | 1,884 |  |  |  | 455 |  |  |  | 2,339 | 
|March 31, 2001 |  |                | 1,067 |            |  |             | 561 |          |  |             | 18 |          |  |  | 1,646 |  |  |  | 498 |  |  |  | 2,144 | 
|March 31, 2000 |  |                | 1,233 |            |  |             | 641 |          |  |             | 23 |          |  |  | 1,897 |  |  |  | 354 |  |  |  | 2,251 | 
|March 31, 1999 |  |                | 1,148 |            |  |             | 591 |          |  |             | 27 |          |  |  | 1,766 |  |  |  | 342 |  |  |  | 2,108 | 

(G) Certain reclassifications have been made
to the Summary of Earnings of Independent Trailer Fleets for the
fiscal years ended 1999 to conform to the current years
presentation.

109



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SCHEDULE I

CONDENSED FINANCIAL INFORMATION OF
AMERCO

BALANCE SHEETS

|                                         |                                               |                         |                                            |          |         |           |         |           |         |           | 
|---------------------------------------- | --------------------------------------------- | ----------------------- | ------------------------------------------ | -------- | ------- | --------- | ------- | --------- | ------- | --------- | 
|                                         |                                               |                        
|                                         |                                               | March 31,              
|                                         |                                               |                        
|                                         |                                               | 2003                    |                                            | 2002    
|                                         |                                               |                         |                                            |         
|                                         |                                               |                        
|                                         |                                               | (In thousands)         
|ASSETS                                  
|Cash                                     |                                               | $                       | 18,524                                     |          |         |           | 71      |          
|Investment in subsidiaries               |                                               |                         | 995,818                                    |          |         |           | 956,737 |          
|Due from unconsolidated subsidiaries     |                                               |                         | 451,424                                    |          |         |           | 792,327 |          
|Other assets                             |                                               |                         | 155,691                                    |          |         |           | 27,416  |          
|                                         |                                               |                         |                                            |          |         |           |         |          
|                                         |                                               |                         | Total assets                               |          | $       | 1,621,457 |         |           |         | 1,776,551 | 
|                                         |                                               |                         |                                            |          |         |           |         |          
|                                        
|LIABILITIES AND STOCKHOLDERS
    EQUITY
|Liabilities:                             |                                               |                         |                                            |          |         |           |         |          
|                                         | Notes and loans payable                       |                         | $                                          | 861,158  |         |           |         | 1,030,805 |        
|                                         | Other liabilities                             |                         |                                            | 262,805  |         |           |         | 191,275   |        
|                                         |                                               |                         |                                            |          |         |           |         |          
|Stockholders equity:                    |                                               |                         |                                            |          |         |           |         |          
|                                         | Preferred stock                               |                         |                                            |         |         |           |         |          |        
|                                         | Common stock                                  |                         |                                            | 10,563   |         |           |         | 10,563    |        
|                                         | Additional paid-in capital                    |                         |                                            | 399,249  |         |           |         | 399,758   |        
|                                         | Accumulated other comprehensive income        |                         |                                            | (55,765  | )       |           |         | (40,580   | )      
|                                         | Retained earnings/ (loss):                    |                         |                                            |          |         |           |         |           |        
|                                         |                                               | Beginning of year       |                                            |          | 601,481 |           |         |           | 663,810 |          
|                                         |                                               | Net earnings/ (loss)    |                                            |          | (26,912 | )         |         |           | (49,366 | )        
|                                         |                                               | Dividends accrued/ paid |                                            |          | (12,963 | )         |         |           | (12,963 | )        
|                                         |                                               |                         |                                            |          |         |           |         |          
|                                         |                                               |                         | 561,606                                    |          |         |           | 601,481 |          
|Less:                                    |                                               |                         |                                            |          |         |           |         |          
|                                         | Cost of common shares in treasury             |                         |                                            | (418,179 | )       |           |         | (416,771  | )      
|                                         | Unearned employee stock ownership plan shares |                         |                                            | 20       |         |           |         | 20        |        
|                                         |                                               |                         |                                            |          |         |           |         |          
|                                         |                                               |                         | Total stockholders equity                 |          |         | 497,494   |         |           |         | 554,471   | 
|                                         |                                               |                         |                                            |          |         |           |         |          
|                                         |                                               |                         | Total Liabilities and stockholders equity |          | $       | 1,621,457 |         |           |         | 1,776,551 | 
|                                         |                                               |                         |                                            |          |         |           |         |          

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

110



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CONDENSED FINANCIAL INFORMATION OF
AMERCO

STATEMENTS OF OPERATIONS

|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |            |         |  
|-------- | -------------------------------------------------------------- | ----------------------------------------------- | - | ---------- | ------- | ---------- |  | ---------- | ------- | - |  | ---------- | ------- | -
|         |                                                                |                                                
|         |                                                                | Years Ended March 31,                          
|         |                                                                |                                                
|         |                                                                |                                                 |   | 2002       |         | 2001      
|         |                                                                | 2003                                            |   | (Restated) |         | (Restated)
|         |                                                                |                                                 |   |            |         |           
|         |                                                                |                                                
|         |                                                                | (In thousands, except share and per share data)
|Revenues |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         | Net interest income from subsidiaries                          |                                                 | $ | 1,195      |         |            |  | 873        |         |   |  | 961        |        
|Expenses |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         | Interest expense                                               |                                                 |   | 69,213     |         |            |  | 30,773     |         |   |  | 25,522     |        
|         | Other expenses                                                 |                                                 |   | 44,444     |         |            |  | 9,363      |         |   |  | 7,924      |        
|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         | Total expenses                                                 |                                                 |   | 113,657    |         |            |  | 40,136     |         |   |  | 33,446     |        
|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         | Operating loss                                                 |                                                 |   | (112,462   | )       |            |  | (39,263    | )       |   |  | (32,485    | )      
|         | Equity in earnings of unconsolidated subsidiaries              |                                                 |   | 44,254     |         |            |  | (24,520    | )       |   |  | (23,052    | )      
|         | Income tax (expense)/benefit                                   |                                                 |   | 41,296     |         |            |  | 14,417     |         |   |  | 11,929     |        
|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         |                                                                | Net earnings/(loss)                             |   | $          | (26,912 | )          |  |            | (49,366 | ) |  |            | (43,608 | )
|         | Less: preferred stock dividend                                 |                                                 |   | (12,963    | )       |            |  | (12,963    | )       |   |  | (12,963    | )      
|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         | Earnings/(Loss) available to common shareholders               |                                                 |   | (39,875    | )       |            |  | (62,329    | )       |   |  | (56,571    | )      
|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         | Earnings/(Loss) per common share (both basic and
    diluted): |                                                 | $ | (1.92      | )       |            |  | (2.96      | )       |   |  | (2.63      | )      
|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           
|         | Weighted average common shares outstanding                     |                                                 |   | 20,743,072 |         |            |  | 21,022,712 |         |   |  | 21,486,370 |        
|         |                                                                |                                                 |   |            |         |            |  |            |         |   |  |           

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

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CONDENSED FINANCIAL INFORMATION OF
AMERCO

STATEMENTS OF CASH FLOWS

|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |          |        |  
|---------------------------------------------------- | ----------------------------------------------------------------------- | ------------------------------------------------------- | ------ | --------------- | -------- | --------------- | --- | -------- | -------- | - | - | -------- | ------ | -
|                                                     |                                                                         |                                                        
|                                                     |                                                                         | Years Ended March 31,                                  
|                                                     |                                                                         |                                                        
|                                                     |                                                                         | 2003                                                    |        | 2002 (Restated) |          | 2001 (Restated)
|                                                     |                                                                         |                                                         |        |                 |          |                
|                                                     |                                                                         |                                                        
|                                                     |                                                                         | (In thousands)                                         
|Cash flows from operating activities:                |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|                                                     | Net earnings/ (loss)                                                    |                                                         | $      | (26,912         | )        |                 |     | (49,366  | )        |   |   | (43,608  | )     
|                                                     | Amortization, net                                                       |                                                         |        | 1,752           |          |                 |     | 2,046    |          |   |   | 1,364    |       
|                                                     | Gain/ (loss) on sale                                                    |                                                         |        |                |          |                 |     | (559     | )        |   |   |         |       
|                                                     | Equity in earnings of subsidiaries                                      |                                                         |        |                |          |                 |     |         |          |   |   |         |       
|                                                     | (Increase) decrease in amounts due from
    unconsolidated subsidiaries |                                                         |        |                |          |                 |     |         |          |   |   |         |       
|                                                     | Net change in operating assets and liabilities                          |                                                         |        | 225,676         |          |                 |     | 196,468  |          |   |   | 46,084   |       
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|                                                     |                                                                         | Net cash provided by operating activities               |        |                 | 200,516  |                 |     |          | 148,589  |   |   |          | 3,840  |  
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|Cash flows from investing activities:                |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|                                                     |                                                                         | Purchases of property, plant and equipment              |        |                 | (64      | )               |     |          | (12      | ) |   |          | (16    | )
|                                                     |                                                                         | Proceeds from sale of property, plant and
    equipment |        |                 |         |                 |     |          | 695      |   |   |          |       |  
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|                                                     |                                                                         | Net cash used by investing activities                   |        |                 | (64      | )               |     |          | 683      |   |   |          | (16    | )
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|Cash flows from financing activities:                |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|                                                     | Net change in short term borrowings                                     |                                                         |        | 5,000           |          |                 |     | (24,070  | )        |   |   | 156,070  |       
|                                                     | Proceeds from notes                                                     |                                                         |        | 257,007         |          |                 |     |         |          |   |   |         |       
|                                                     | Leveraged Employee Stock Ownership
    Plan-repayments from loan        |                                                         |        |                |          |                 |     |         |          |   |   | 137      |       
|                                                     | Principal payments on notes                                             |                                                         |        | (433,788        | )        |                 |     | (101,738 | )        |   |   | (137,010 | )     
|                                                     | Debt issuance costs                                                     |                                                         |        | (2,330          | )        |                 |     | (390     | )        |   |   | (435     | )     
|                                                     | Repurchase of preferred stock                                           |                                                         |        |                |          |                 |     |         |          |   |   |         |       
|                                                     | Preferred stock dividends paid                                          |                                                         |        | (6,480          | )        |                 |     | (12,963  | )        |   |   | (12,963  | )     
|                                                     | Treasury stock purchase, net                                            |                                                         |        | (1,408          | )        |                 |     | (10,154  | )        |   |   | (9,617   | )     
|                                                     | Extraordinary loss on early extinguishment of
    debt, net             |                                                         |        |                |          |                 |     |         |          |   |   |         |       
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|                                                     |                                                                         | Net cash used by financing activities                   |        |                 | (181,999 | )               |     |          | (149,315 | ) |   |          | (3,818 | )
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|Increase (decrease) in cash and cash
    equivalents |                                                                         |                                                         | 18,453 |                 |          |                 | (43 | )        |          |   | 6 |         
|                                                     | Cash and cash equivalents at beginning of year                          |                                                         |        | 71              |          |                 |     | 114      |          |   |   | 108      |       
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         
|                                                     |                                                                         | Cash and cash equivalents at end of year                |        | $               | 18,524   |                 |     |          | 71       |   |   |          | 114    |  
|                                                     |                                                                         |                                                         |        |                 |          |                 |     |          |          |   |   |         

Income taxes paid in cash amounted to
$11.4 million, $5.9 million and $5.4 million for
2003, 2002 and 2001, respectively. Interest paid in cash
amounted to $76.6 million, $77.9 million and
$92.6 million for 2003, 2002 and 2001, respectively.

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

112



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CONDENSED FINANCIAL INFORMATION OF
AMERCO

NOTES TO CONDENSED FINANCIAL
INFORMATION

March 31, 2003, 2002, and 2001




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

AMERCO, a Nevada corporation, was incorporated in
April, 1969, and is the holding company for U-Haul
International, Inc., Republic Western Insurance Company, Oxford
Life Insurance Company and Amerco Real Estate Company. The
financial statements of the Registrant should be read in
conjunction with the Consolidated Financial Statements and notes
thereto included in this Form 10-K.

AMERCO is included in a consolidated Federal
income tax return with all of its U.S. subsidiaries.
Accordingly, the provision for income taxes has been calculated
for Federal income taxes of AMERCO and subsidiaries included in
the consolidated return of the Registrant. State taxes for all
subsidiaries are allocated to the respective subsidiaries.

The financial statements include only the
accounts of the Registrant (a Nevada Corporation), which include
certain of the corporate operations of AMERCO (excluding SAC
Holdings). The interest in AMERCOs majority owned
subsidiaries is accounted for on the equity method. The debt and
related interest expense of AMERCO have been allocated to the
consolidated subsidiaries. The intercompany interest income and
expenses are eliminated in the consolidated financial statements.



|   |           
|-- | ----------
|2. | Guarantees

AMERCO has guaranteed performance of certain
long-term leases and other obligations. See Note 15 of Notes to
Consolidated Financial Statements.



|   |                        
|-- | -----------------------
|3. | Notes and Loans Payable

Notes and loans payable consist of the following:

|                                                                                                       |  |                |         |      |  |  |           | 
|------------------------------------------------------------------------------------------------------ |  | -------------- | ------- | ---- |  |  | --------- | 
|                                                                                                       |  |               
|                                                                                                       |  | March 31,     
|                                                                                                       |  |               
|                                                                                                       |  | 2003           |         | 2002
|                                                                                                       |  |                |         |     
|                                                                                                       |  |               
|                                                                                                       |  | (In thousands)
|Medium-term notes payable, unsecured, 7.23% to
    8.08% interest rates, due through 2027.             |  | $              | 109,500 |      |  |  | 109,500   | 
|Notes payable under Bond Backed Asset Trust,
    unsecured, 7.14% interest rates, due through 2002.    |  |                | 100,000 |      |  |  | 100,000   | 
|Notes payable to banks under commercial paper
    agreements, unsecured, 5.00% to 6.20% interest rates |  |                |        |      |  |  |          | 
|Notes payable to public, unsecured, 7.85%
    interest rate, due through 2003.                         |  |                | 175,000 |      |  |  | 175,000   | 
|Senior Note, unsecured, 7.20% interest rate, due
    through 2002.                                     |  |                |        |      |  |  | 150,000   | 
|Senior Note, unsecured, 8.80% interest rate, due
    through 2005.                                     |  |                | 200,000 |      |  |  | 200,000   | 
|Other notes payable, unsecured, 8.15% interest
    rate, due through 2017.                             |  |                | 22,000  |      |  |  | 30        | 
|Notes payable to banks under revolving lines of
    credit, unsecured, 7.00% interest rate             |  |                | 205,000 |      |  |  | 283,000   | 
|Debt related to SWAP termination                                                                       |  |                | 5,582   |      |  |  | 775       | 
|Debt related to BBAT option termination                                                                |  |                | 26,550  |      |  |  |          | 
|Other short-term promissory notes, 2.88% interest
    rate                                             |  |                | 17,526  |      |  |  | 12,500    | 
|                                                                                                       |  |                |         |      |  |  |           | 
|                                                                                                       |  | $              | 861,158 |      |  |  | 1,030,805 | 
|                                                                                                       |  |                |         |      |  |  |           | 

For additional information, see Note 6 of
Notes to Consolidated Financial Statements.

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SCHEDULE V

AMERCO AND CONSOLIDATED SUBSIDIARIES

SUPPLEMENTAL INFORMATION (FOR
PROPERTY-CASUALTY INSURANCE UNDERWRITERS)


YEARS ENDED DECEMBER 31, 2002, 2001 AND
2000


|               |  |                  |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |        |         |  |  |  |        |  |  |  |         |  |  |  |        |  |  |  |      | 
|-------------- |  | ---------------- |  | ----------- | ------ | ---------- |  | -------- | ------- | -------- |  | ----------- | --- | ---------- |  | ----------------- | ------- | ----- |  | ------ | ------- |  |  |  | ------ |  |  |  | ------- |  |  |  | ------ |  |  |  | ---- | 
|               |  |                  |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |      
|               |  |                  |  |             |        |            |  |          |         |          |  |             |     |            |  | Claim and Claim   |         |      
|               |  |                  |  |             |        | Reserves   |  |          |         |          |  |             |     |            |  | Adjustment        |         |      
|               |  |                  |  |             |        | for Unpaid |  |          |         |          |  |             |     |            |  | Expenses Incurred |         |      
|               |  |                  |  | Deferred    |        | Claims and |  |          |         |          |  |             |     |            |  | Related to        |         |      
|               |  |                  |  | Policy      |        | Claim      |  | Discount |         |          |  |             |     | Net        |  |                   |         |      
|Fiscal         |  | Affiliation with |  | Acquisition |        | Adjustment |  | if any,  |         | Unearned |  | Net Earned  |     | Investment |  | Current           |         | Prior |  | Fiscal
|Year           |  | Registrant       |  | Costs       |        | Expenses   |  | Deducted |         | Premiums |  | Premiums(1) |     | Income(2)  |  | Year              |         | Year  |  | Year  
|               |  |                  |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |       
|              
|(In thousands)
|2003           |  | Consolidated     |  | $           | 13,206 |            |  |          | 399,448 |          |  |             | N/A |            |  |                   | 62,346  |       |  |        | 149,209 |  |  |  | 27,931 |  |  |  | 112,284 |  |  |  | 16,396 |  |  |  | 2003 | 
|               |  | property         |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |        |         |  |  |  |        |  |  |  |         |  |  |  |        |  |  |  |      | 
|               |  | casualty entity  |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |        |         |  |  |  |        |  |  |  |         |  |  |  |        |  |  |  |      | 
|2002           |  | Consolidated     |  | $           | 15,946 |            |  |          | 448,984 |          |  |             | N/A |            |  |                   | 91,725  |       |  |        | 253,799 |  |  |  | 27,876 |  |  |  | 232,984 |  |  |  | 23,042 |  |  |  | 2002 | 
|               |  | property         |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |        |         |  |  |  |        |  |  |  |         |  |  |  |        |  |  |  |      | 
|               |  | casualty entity  |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |        |         |  |  |  |        |  |  |  |         |  |  |  |        |  |  |  |      | 
|2001           |  | Consolidated     |  | $           | 21,374 |            |  |          | 382,651 |          |  |             | N/A |            |  |                   | 107,880 |       |  |        | 216,915 |  |  |  | 30,372 |  |  |  | 162,265 |  |  |  | 41,285 |  |  |  | 2001 | 
|               |  | property         |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |        |         |  |  |  |        |  |  |  |         |  |  |  |        |  |  |  |      | 
|               |  | casualty entity  |  |             |        |            |  |          |         |          |  |             |     |            |  |                   |         |       |  |        |         |  |  |  |        |  |  |  |         |  |  |  |        |  |  |  |      | 

[Additional columns below]

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

|       |  |                |        |            |  |            |         |  |  |  |         | 
|------ |  | -------------- | ------ | ---------- |  | ---------- | ------- |  |  |  | ------- | 
|       |  | Amortization   |        | Paid       |  |           
|       |  | of Deferred    |        | Claims and |  |           
|       |  | Policy         |        | Claim      |  | Net       
|Fiscal |  | Acquisition    |        | Adjustment |  | Premiums  
|Year   |  | Costs          |        | Expenses   |  | Written(1)
|       |  |                |        |            |  |           
|       |  |               
|       |  | (In thousands)
|2003   |  |                | 17,143 |            |  |            | 196,798 |  |  |  | 120,946 | 
|       |  |                |        |            |  |            |         |  |  |  |         | 
|       |  |                |        |            |  |            |         |  |  |  |         | 
|2002   |  |                | 22,067 |            |  |            | 236,866 |  |  |  | 227,378 | 
|2001   |  |                | 16,571 |            |  |            | 178,221 |  |  |  | 256,034 | 
|       |  |                |        |            |  |            |         |  |  |  |         | 
|       |  |                |        |            |  |            |         |  |  |  |         | 



---



|    |                                                                                                                                                                                                                                                        
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | The earned and written premiums are reported net
    of intersegment transactions. Earned premiums eliminated in
    consolidation amount to $3.4 million, $8.2 million and
    $9.2 million for the years ended 2002, 2001 and 2000,
    respectively.
|   
|(2) | Net Investment Income excludes net realized gains
    (losses) on investments of ($5.6 million),
    ($7.2 million) and ($4.9 million) for the years ended
    2002, 2001 and 2000, respectively.                                                      

114



---



##### Table of Contents



SIGNATURES

Pursuant to the requirements of Section 13
or 15(d) 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                    
| | Chairman of the Board and President

Dated: August 22, 2003

POWER OF ATTORNEY

KNOW ALL MEN BY THESE
PRESENTS,that each person whose
signature appears below constitutes and appoints Edward J. Shoen
his true and lawful attorney-in-fact and agent, with full power
of substitution and resubstitution, for him and in his name,
place and stead, in any and all capacities, to sign any and all
amendments to this Form 10-K Annual Report, and to file the
same, with all exhibits thereto and other documents in
connection therewith with the Securities and Exchange
Commission, granting unto said attorney-in-fact and agent, full
power and authority to do and perform each and every act or
things requisite and necessary to be done in and about the
premises, as fully and to all intents and purposes as he might
or could do in person hereby ratifying and confirming all that
said attorney-in-fact and agent, or his substitute or
substitutes, may lawfully do or cause to be done by virtue
hereof.

Pursuant to the requirements of the Securities
Exchange Act of 1934, this report has been signed below by the
following persons on behalf of the registrant and in the
capacities and on the dates indicated.

|                                     |  |                                                                       |  |                 |  | 
|------------------------------------ |  | --------------------------------------------------------------------- |  | --------------- |  | 
|                                     |  |                                                                       |  |                
|Signature                            |  | Title                                                                 |  | Date           
|                                     |  |                                                                       |  |                
|                                    
|/s/ EDWARD J. SHOENEdward J. Shoen   |  | Chairman of the Board and President
    (Principal Executive Officer) |  | August 22, 2003
|                                    
|/s/ GARY B. HORTONGary B. Horton     |  | Treasurer
    (Principal Financial and Accounting Officer)            |  | August 22, 2003
|                                    
|/s/ WILLIAM E. CARTYWilliam E. Carty |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ JAMES P. SHOENJames P. Shoen     |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ CHARLES J. BAYERCharles J. Bayer |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ JOHN M. DODDSJohn M. Dodds       |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ JAMES J. GROGANJames J. Grogan   |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ JOHN P. BROGANJohn P. Brogan     |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ M. FRANK LYONSM. Frank Lyons     |  | Director                                                              |  | August 22, 2003

115



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##### Table of Contents



SIGNATURES

Pursuant to the requirements of Section 13
or 15(d) 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.



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



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

| |                                    
| | -----------------------------------
| |                                    
| | Edward J. Shoen                    
| | Chairman of the Board and President

Dated: August 22, 2003

POWER OF ATTORNEY

KNOW ALL MEN BY THESE
PRESENTS,that each person whose
signature appears below constitutes and appoints Edward J. Shoen
his true and lawful attorney-in-fact and agent, with full power
of substitution and resubstitution, for him and in his name,
place and stead, in any and all capacities, to sign any and all
amendments to this Form 10-K Annual Report, and to file the
same, with all exhibits thereto and other documents in
connection therewith with the Securities and Exchange
Commission, granting unto said attorney-in-fact and agent, full
power and authority to do and perform each and every act or
things requisite and necessary to be done in and about the
premises, as fully and to all intents and purposes as he might
or could do in person hereby ratifying and confirming all that
said attorney-in-fact and agent, or his substitute or
substitutes, may lawfully do or cause to be done by virtue
hereof.

Pursuant to the requirements of the Securities
Exchange Act of 1934, this report has been signed below by the
following persons on behalf of the registrant and in the
capacities and on the dates indicated.

|                                     |  |                                                                       |  |                 |  | 
|------------------------------------ |  | --------------------------------------------------------------------- |  | --------------- |  | 
|                                     |  |                                                                       |  |                
|Signature                            |  | Title                                                                 |  | Date           
|                                     |  |                                                                       |  |                
|                                    
|/s/ EDWARD J. SHOENEdward J. Shoen   |  | Chairman of the Board and President
    (Principal Executive Officer) |  | August 22, 2003
|                                    
|/s/ GARY B. HORTONGary B. Horton     |  | Assistant Treasurer
    (Principal Financial and Accounting Officer)  |  | August 22, 2003
|                                    
|/s/ WILLIAM E. CARTYWilliam E. Carty |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ JOHN M. DODDSJohn M. Dodds       |  | Director                                                              |  | August 22, 2003
|                                    
|/s/ JOHN C. TAYLORJohn C. Taylor     |  | Director                                                              |  | August 22, 2003

116



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##### Table of Contents



CERTIFICATIONS

I, Edward J. Shoen, certify that:



| |                                                                                                                                                                                                                                                                                                                                                        
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 1.     I have reviewed
    this annual report on Form 10-K of AMERCO and U-Haul
    International, Inc. (together, the registrant);                                                                                                                                                                                                                  
|
| | 2.     Based on my
    knowledge, this annual report does not contain any untrue
    statement of a material fact or omit to state a material fact
    necessary to make the statements made, in light of the
    circumstances under which such statements were made, not
    misleading with respect to the period covered by this annual
    report;
|
| | 3.     Based on my
    knowledge, the financial statements, and other financial
    information included in this annual report, fairly present in
    all material respects the financial condition, results of
    operations and cash flows of the registrant as of, and for, the
    periods presented in this annual report;                       
|
| | 4.     The
    registrants other certifying officers and I are
    responsible for establishing and maintaining disclosure controls
    and procedures (as defined in Exchange Act Rules 13a-14 and
    15d-14) for the registrant and have:                                                                                                          



| |                                                                                                                                                                                                                                                                                                                
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a) Designed such disclosure controls and
    procedures to ensure that material information relating to the
    registrant, including its consolidated subsidiaries, is made
    known to us by others within those entities, particularly during
    the period in which this annual report is being prepared;
|
| | b) Evaluated the effectiveness of the
    registrants disclosure controls and procedures as of a
    date within 90 days prior to the filing date of this annual
    report (the Evaluation Date); and                                                                                                      
|
| | c) Presented in this annual report our
    conclusions about the effectiveness of the disclosure controls
    and procedures based on our evaluation as of the Evaluation Date;                                                                                                                                



| |                                                                                                                                                                                                                                                                               
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 5.     The
    registrants other certifying officers and I have
    disclosed, based on our most recent evaluation, to the
    registrants auditors and the audit committee of the
    registrants board of directors (or persons performing the
    equivalent functions):



| |                                                                                                                                                                                                                                                                                                                      
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a) All significant deficiencies in the
    design or operation of internal controls which could adversely
    affect the registrants ability to record, process,
    summarize and report financial data and have identified for the
    registrants auditors any material weaknesses in internal
    controls; and
|
| | b) Any fraud, whether or not material, that
    involves management or other employees who have a significant
    role in the registrants internal controls; and                                                                                                                                                    



| |                                                                                                                                                                                                                                                                                                                                                                                                               
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 6.     The
    registrants other certifying officers and I have indicated
    in this annual report whether there were significant changes in
    internal controls or in other factors that could significantly
    affect internal controls subsequent to the date of our most
    recent evaluation, including any corrective actions with regard
    to significant deficiencies and material weaknesses.



| |                               
| | ------------------------------
| | /s/ EDWARD J. SHOEN           
| |                               
| | Edward J. Shoen               
| | Chairman of the Board         
| | and U-Haul International, Inc.

Date: August 22, 2003

117



---



##### Table of Contents



I, Gary B. Horton, certify that:



| |                                                                                                                                                                                                                                                                                                                                                        
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 1.     I have reviewed
    this annual report on Form 10-K of AMERCO and U-Haul
    International, Inc. (together, the registrant);                                                                                                                                                                                                                  
|
| | 2.     Based on my
    knowledge, this annual report does not contain any untrue
    statement of a material fact or omit to state a material fact
    necessary to make the statements made, in light of the
    circumstances under which such statements were made, not
    misleading with respect to the period covered by this annual
    report;
|
| | 3.     Based on my
    knowledge, the financial statements, and other financial
    information included in this annual report, fairly present in
    all material respects the financial condition, results of
    operations and cash flows of the registrant as of, and for, the
    periods presented in this annual report;                       
|
| | 4.     The
    registrants other certifying officers and I are
    responsible for establishing and maintaining disclosure controls
    and procedures (as defined in Exchange Act Rules 13a-14 and
    15d-14) for the registrant and have:                                                                                                          



| |                                                                                                                                                                                                                                                                                                                
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a) Designed such disclosure controls and
    procedures to ensure that material information relating to the
    registrant, including its consolidated subsidiaries, is made
    known to us by others within those entities, particularly during
    the period in which this annual report is being prepared;
|
| | b) Evaluated the effectiveness of the
    registrants disclosure controls and procedures as of a
    date within 90 days prior to the filing date of this annual
    report (the Evaluation Date); and                                                                                                      
|
| | c) Presented in this annual report our
    conclusions about the effectiveness of the disclosure controls
    and procedures based on our evaluation as of the Evaluation Date;                                                                                                                                



| |                                                                                                                                                                                                                                                                               
| | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 5.     The
    registrants other certifying officers and I have
    disclosed, based on our most recent evaluation, to the
    registrants auditors and the audit committee of the
    registrants board of directors (or persons performing the
    equivalent functions):



| |                                                                                                                                                                                                                                                                                                                      
| | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | a) All significant deficiencies in the
    design or operation of internal controls which could adversely
    affect the registrants ability to record, process,
    summarize and report financial data and have identified for the
    registrants auditors any material weaknesses in internal
    controls; and
|
| | b) Any fraud, whether or not material, that
    involves management or other employees who have a significant
    role in the registrants internal controls; and                                                                                                                                                    



| |                                                                                                                                                                                                                                                                                                                                                                                                               
| | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| | 6.     The
    registrants other certifying officers and I have indicated
    in this annual report whether there were significant changes in
    internal controls or in other factors that could significantly
    affect internal controls subsequent to the date of our most
    recent evaluation, including any corrective actions with regard
    to significant deficiencies and material weaknesses.



| |                                                      
| | -----------------------------------------------------
| | /s/ GARY B. HORTON                                   
| |                                                      
| | Gary B. Horton                                       
| | Treasurer of AMERCO and                              
| | Assistant Treasurer of U-Haul International,
    Inc.

Date: August 22, 2003

118



---



##### Table of Contents



EXHIBIT INDEX

|        |    |             |  |                                                                                                                                                                             
|------- | -- | ----------- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit |    |            
|No.     |    | Description
|        |    |            
|        | 2  | .1          |  | Order Confirming Plan(1)                                                                                                                                                    
|        | 2  | .2          |  | Second Amended and Restated Debtors Plan of
    Reorganization Proposed by Edward J. Shoen(1)                                                                              
|        | 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.                                                                                                        
|        | 3  | .4          |  | Bylaws of U-Haul International, Inc.                                                                                                                                        
|        | 4  | .1          |  | Debt Securities Indenture dated May 1,
    1996(1)                                                                                                                          
|        | 4  | .2          |  | First Supplemental Indenture, dated as of
    May 6, 1996(4)                                                                                                                
|        | 4  | .3          |  | Rights Agreement, dated as of August 7,
    1998(13)                                                                                                                        
|        | 4  | .5          |  | Second Supplemental Indenture, dated as of
    October 22, 1997(11)                                                                                                         
|        | 4  | .6          |  | Calculation Agency Agreement(11)                                                                                                                                            
|        | 4  | .7          |  | 6.65%-AMERCO Series 1997 A Bond Backed
    Asset Trust Certificates (BATs) due October 15,
    2000(11)                                                                   
|        | 4  | .8          |  | Indenture dated September 10, 1996(9)                                                                                                                                       
|        | 4  | .9          |  | First Supplemental Indenture dated
    September 10, 1996(9)                                                                                                                
|        | 4  | .10         |  | Senior Indenture dated April 1, 1999(14)                                                                                                                                    
|        | 4  | .11         |  | First Supplemental Indenture dated April 5,
    1999(14)                                                                                                                    
|        | 4  | .12         |  | Second Supplemental Indenture dated
    February 4, 2000(15)                                                                                                                
|        | 10 | .1*         |  | AMERCO Employee Savings, Profit Sharing and
    Employee Stock Ownership Plan(5)                                                                                            
|        | 10 | .1A*        |  | First Amendment to the AMERCO Employee Savings,
    Profit Sharing and Employee Stock Ownership Plan(16)                                                                    
|        | 10 | .2          |  | U-Haul Dealership Contract(5)                                                                                                                                               
|        | 10 | .3          |  | Share Repurchase and Registration Rights
    Agreement with Paul F. Shoen(5)                                                                                                
|        | 10 | .5          |  | ESOP Loan Credit Agreement(6)                                                                                                                                               
|        | 10 | .6          |  | ESOP Loan Agreement(6)                                                                                                                                                      
|        | 10 | .7          |  | Trust Agreement for the AMERCO Employee Savings,
    Profit Sharing and Employee Stock Ownership Plan(6)                                                                    
|        | 10 | .8          |  | Amended Indemnification Agreement(6)                                                                                                                                        
|        | 10 | .9          |  | Indemnification Trust Agreement(6)                                                                                                                                          
|        | 10 | .10         |  | Promissory Note between SAC Holding Corporation
    and a subsidiary of AMERCO(12)                                                                                          
|        | 10 | .10A        |  | Addendum to Promissory Note between SAC Holding
    Corporation and a subsidiary of AMERCO(20)                                                                              
|        | 10 | .11         |  | Promissory Notes between Four SAC Self-Storage
    Corporation and a subsidiary of AMERCO(12)                                                                               
|        | 10 | .11A        |  | Amendment and Addendum to Promissory Note between
    Four SAC Self-Storage Corporation and Nationwide Commercial
    Co.(20)                                               
|        | 10 | .12         |  | Management Agreement between Three SAC
    Self-Storage Corporation and a subsidiary of AMERCO(12)                                                                          
|        | 10 | .13         |  | Management Agreement between Four SAC
    Self-Storage Corporation and a subsidiary of AMERC(12)                                                                            
|        | 10 | .14         |  | Agreement, dated October 17, 1995, among
    AMERCO, Edward J. Shoen, James P. Shoen, Aubrey K. Johnson, John
    M. Dodds and William E. Carty(8)                          
|        | 10 | .15         |  | Directors Release, dated October 17,
    1995, executed by Edward J. Shoen, James P. Shoen, Aubrey K.
    Johnson, John M. Dodds and William E. Carty in favor of AMERCO(8)
|        | 10 | .16         |  | AMERCO Release, dated October 17, 1995,
    executed by AMERCO in favor of Edward J. Shoen, James P. Shoen,
    Aubrey K. Johnson, John M. Dodds and William E. Carty(8)    



---



##### Table of Contents



|        |    |             |  |                                                                                                                               
|------- | -- | ----------- |  | ------------------------------------------------------------------------------------------------------------------------------
|Exhibit |    |            
|No.     |    | Description
|        |    |            
|        | 10 | .21         |  | Management Agreement between Five SAC
    Self-Storage Corporation and a subsidiary of AMERCO(10)                             
|        | 10 | .22         |  | Management Agreement between Eight SAC
    Self-Storage Corporation and a subsidiary of AMERCO(10)                            
|        | 10 | .23         |  | Management Agreement between Nine SAC
    Self-Storage Corporation and a subsidiary of AMERCO(10)                             
|        | 10 | .24         |  | Management Agreement between Ten SAC Self-Storage
    Corporation and a subsidiary of AMERCO(10)                              
|        | 10 | .25         |  | Management Agreement between Six-A SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                            
|        | 10 | .26         |  | Management Agreement between Six-B SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                            
|        | 10 | .27         |  | Management Agreement between Six-C SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                            
|        | 10 | .28         |  | Management Agreement between Eleven SAC
    Self-Storage Corporation and a subsidiary of AMERCO(16)                           
|        | 10 | .29         |  | Management Agreement between Twelve SAC
    Self-Storage Corporation and a subsidiary of AMERCO(18)                           
|        | 10 | .30         |  | Management Agreement between Thirteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(18)                         
|        | 10 | .31         |  | Management Agreement between Fourteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(18)                         
|        | 10 | .32         |  | Management Agreement between Fifteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(19)                          
|        | 10 | .33         |  | Management Agreement between Sixteen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(19)                          
|        | 10 | .34         |  | Management Agreement between Seventeen SAC
    Self-Storage Corporation and a subsidiary of AMERCO(17)                        
|        | 10 | .35         |  | Management Agreement between Eighteen SAC
    Self-Storage Corporation and U-Haul(20)                                         
|        | 10 | .36         |  | Management Agreement between Nineteen SAC
    Self-Storage Limited Partnership and U-Haul(20)                                 
|        | 10 | .37         |  | Management Agreement between Twenty SAC
    Self-Storage Corporation and U-Haul(20)                                           
|        | 10 | .38         |  | Management Agreement between Twenty-One SAC
    Self-Storage Corporation and U-Haul(20)                                       
|        | 10 | .39         |  | Management Agreement between Twenty-Two SAC
    Self-Storage Corporations and U-Haul(20)                                      
|        | 10 | .40         |  | Management Agreement between Twenty-Three SAC
    Self-Storage Corporation and U-Haul(20)                                     
|        | 10 | .41         |  | Management Agreement between Twenty-Four SAC
    Self-Storage Limited Partnership and U-Haul(20)                              
|        | 10 | .42         |  | Management Agreement between Twenty-Five SAC
    Self-Storage Limited Partnership and U-Haul(20)                              
|        | 10 | .43         |  | Management Agreement between Twenty-Six SAC
    Self-Storage Limited Partnership and U-Haul(20)                               
|        | 10 | .44         |  | Management Agreement between Twenty-Seven SAC
    Self-Storage Limited Partnership and U-Haul(20)                             
|        | 10 | .45         |  | 3-Year Credit Agreement with certain lenders
    named therein(20)                                                            
|        | 10 | .46         |  | Promissory Note between Four SAC Self-Storage
    Corporation and U-Haul International, Inc.(20)                              
|        | 10 | .46A        |  | Amendment and Addendum to Promissory Note between
    Four SAC Self-Storage Corporation and U-Haul International,
    Inc.(20)
|        | 10 | .47         |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                         
|        | 10 | .48         |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                         



---



##### Table of Contents



|        |    |             |  |                                                                                                                                                
|------- | -- | ----------- |  | -----------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit |    |            
|No.     |    | Description
|        |    |            
|        | 10 | .48A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)                                
|        | 10 | .49         |  | Promissory Note between Five SAC Self-Storage
    Corporation and Nationwide Commercial Co.(20)                                                
|        | 10 | .50         |  | Promissory Note between Five SAC Self-Storage
    Corporation and Nationwide Commercial Co.(20)                                                
|        | 10 | .50A        |  | Amendment and Addendum to Promissory Note between
    Five SAC Self-Storage Corporation and Nationwide Commercial
    Co.(20)                  
|        | 10 | .51         |  | Promissory Note between Five SAC Self-Storage
    Corporation and U-Haul International, Inc.(20)                                               
|        | 10 | .52         |  | Promissory Note between SAC Holding Corporation
    and Oxford Life Insurance Company(20)                                                      
|        | 10 | .52A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Oxford Life Insurance Company(20)                            
|        | 10 | .53         |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Company(20)                                                      
|        | 10 | .53A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)                                
|        | 10 | .54         |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                                         
|        | 10 | .54A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and U-Haul International, Inc.(20)                               
|        | 10 | .55         |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                                         
|        | 10 | .55A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and U-Haul International, Inc.(20)                               
|        | 10 | .56         |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                                         
|        | 10 | .56A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and U-Haul International, Inc.(20)                               
|        | 10 | .57         |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                                          
|        | 10 | .57A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)                                
|        | 10 | .58         |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                                          
|        | 10 | .58A        |  | Amendment and Addendum to Promissory Note between
    SAC Holding Corporation and Nationwide Commercial Co.(20)                                
|        | 10 | .59         |  | Promissory Note between SAC Holding Corporation
    and Nationwide Commercial Co.(20)                                                          
|        | 10 | .60         |  | Junior Promissory Note between SAC Holding
    Corporation and Nationwide Commercial Co.(20)                                                   
|        | 10 | .61         |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                                         
|        | 10 | .62         |  | Promissory Note between SAC Holding Corporation
    and U-Haul International, Inc.(20)                                                         
|        | 10 | .63         |  | Promissory Note between SAC Financial Corporation
    and U-Haul International, Inc.(20)                                                       
|        | 10 | .64         |  | 1997 AMERCO Support Party Agreement                                                                                                            
|        | 10 | .65         |  | Private Mini Storage Realty, L.P. Non-Exoneration
    Agreement                                                                                
|        | 10 | .66         |  | 2003 AMERCO Support Party Agreement for the
    benefit of GMAC Commercial Holding Capital Corp.                                               
|        | 10 | .67         |  | Engagement Letter with Alvarez & Marsal, Inc.
    dated May 22, 2003                                                                           
|        | 10 | .68         |  | Wells Fargo Foothill, Inc. Commitment Letter
    dated June 19, 2003                                                                           
|        | 10 | .69         |  | State of Arizona Department of Insurance Notice
    of Determination, Order for Supervision and Consent Thereto                                
|        | 21 |             |  | Subsidiaries of AMERCO                                                                                                                         
|        | 23 | .1          |  | Consent of Independent Certified Public
    Accountants                                                                                        
|        | 23 | .2          |  | Report of Independent Certified Public Accountants                                                                                             
|        | 99 | .1          |  | Certificate of Edward J. Shoen, Chairman of the
    Board and President of AMERCO pursuant to Section 906 of
    the Sarbanes-Oxley Act of 2002



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##### Table of Contents



|        |    |             |  |                                                                                                                                                                    
|------- | -- | ----------- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit |    |            
|No.     |    | Description
|        |    |            
|        | 99 | .2          |  | Certificate of Gary B. Horton, Treasurer of
    AMERCO pursuant to Section 906 of the Sarbanes-Oxley Act of
    2002                                               
|        | 99 | .3          |  | Certificate of Edward J. Shoen, Chairman of the
    Board and President of U-Haul International, Inc. pursuant to
    Section 906 of the Sarbanes-Oxley Act of 2002
|        | 99 | .4          |  | Certificate of Gary B. Horton, Assistant
    Treasurer of U-Haul International, Inc. pursuant to
    Section 906 of the Sarbanes-Oxley Act of 2002                 



---



| |   |                                        
| | - | ---------------------------------------
| | * | Indicates compensatory plan arrangement



| |     |                                                                                                                                        
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------
| | (1) | Incorporated by reference to AMERCOs
    Registration Statement on Form S-3, Registration
    no. 333-1195.                           
|
| | (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
    Current Report on Form 8-K, dated May 6, 1996, file
    no. 1-11255.                         
|
| | (5) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1993,
    file no. 1-11255.          
|
| | (6) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1990,
    file no. 1-11255.          
|
| | (8) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 1995, file no. 1-11255.
|
| | (9) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K dated September 6, 1996,
    file no. 1-11255.                    



|     |                                                                                                                                        
|---- | ---------------------------------------------------------------------------------------------------------------------------------------
|(10) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1999,
    file no. 1-11255.          
|    
|(11) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    December 31, 1997, file no. 1-11255. 
|    
|(12) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 1997,
    file no. 1-11255.          
|    
|(13) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    June 30, 1998, file no. 1-11255.     
|    
|(14) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K dated April 5, 1999, file
    no. 1-11255.                        
|    
|(15) | Incorporated by reference to AMERCOs
    Current Report on Form 8-K dated February 4, 2000,
    file no. 1-11255.                     
|    
|(16) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 2000,
    file no. 1-11255.          
|    
|(17) | Incorporated by reference to AMERCOs Annual
    Report on Form 10-K for the year ended March 31, 2001,
    file no. 1-11255.          
|    
|(18) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 2001, file no. 1-11255.
|    
|(19) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    December 31, 2000, file no. 1-11255. 
|    
|(20) | Incorporated by reference to AMERCOs
    Quarterly Report on Form 10-Q for the quarter ended
    September 30, 2002.