BMC Buckbee-Mears St. Paul

 

May 4, 2001 

 

Mr. Henry Zaidan President GMT Corporation245 E. Sixth StreetSt. Paul, MN 55101-1918

Dear Henry:

I would like to update GMT on the status of ourfacilities plan and introduce our formal notice for another facility givebackin 2001.

Prior Notification Updates:Fire barn
| -- | Per your request, we will giveback - 7,000 sq.  ft. as described in our October 6, 2000 letter.  Buckbee-Mears. St Paul will retain first floor rooms F101,  F102, F103, F105 and F107 for out shipping/receiving operations. |
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| -- | We expect this project to be completed July  2001.                                                                                                                                                                                 |
| -- | GMT funds any costs  associated with revamping utilities and modifying the facilities.                                                                                                                                             |

5thFloor Park Square
| -- | In our letter dated 14-Jun-00 Buckbee-Mears,  St. Paul requested to giveback -7,000 sq. ft. of Park Square 5th  floor- space which included room P502, P508 and P509.  Assuming the giveback ofthe fire  barn is completed, we need to retain room P502 for material storage space. |
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| -- | We expect this project to be completed by  I-July-0l.                                                                                                                                                                                                                                    |
| -- | GMT funds any costs  associated with revamping utilities.                                                                                                                                                                                                                                |

New Business: 6th Floor Park Square
| -- | Due to an unusuallylow sa1es forecast, we have reduced our staffing levels at  BMSP.  Therefore, we are providing  notice that we will giveback all office space on the 6th floor  Park Square Building.  Per our  contract, we will vacate the space in 5 months from the date of this  letter.  This area covers  approximatc1y 2,700 sq. ft. |
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Please contact me atyour earliest convenience to discuss.

Sincerely,

/s/Dennis Malacek 

Dennis Ma1acekDirector of Manufacturing