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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549



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Form 10-QSB



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|x | Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.
|- | ----------------------------------------------------------------------------------------

For the quarterly period ended June 30, 2006



| ̈ | Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.
|- | -----------------------------------------------------------------------------------------

For the transition period from  to

Commission File number 000-23842



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ATEL Cash Distribution Fund V,
L.P.

(Exact name of registrant as specified in its charter)



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|                                                               |  |                                       
|-------------------------------------------------------------- |  | --------------------------------------
|California                                                     |  | 94-3165807                            
|(State or other jurisdiction of Incorporation or organization) |  | (I. R. S. Employer Identification No.)

600 California Street, 6th Floor, San Francisco, California 94108

(Address of principal executive offices)

Registrants telephone number, including area code (415) 989-8800



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Securities registered pursuant to section 12(b) of the Act: None

Securities registered pursuant to section 12(g) of the Act: Limited Partnership Units



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Indicate by a 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 ̈No  x

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

Indicate by
check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).    Yes ̈No  x

State the issuers revenues for the most recent
fiscal year: $3,158,637

The number of Limited Liability Company Units outstanding as of June 30, 2007: 12,471,600



DOCUMENTS INCORPORATED BY REFERENCE

None



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Table of Contents

ATEL CASH DISTRIBUTION FUND V, L.P.

Index



|         |  |                                                                                                                            |  |     
|-------- |  | -------------------------------------------------------------------------------------------------------------------------- |  | ----
|         |  |                                                                                                                            |  | Page
|Part I.  |  | Financial Information                                                                                                      |  | 3   
|         |  |                                                                                                                           
|Item 1.  |  | Financial Statements (Unaudited)                                                                                           |  | 3   
|         |  |                                                                                                                           
|         |  | Balance Sheet, June 30, 2006.                                                                                              |  | 3   
|         |  |                                                                                                                           
|         |  | Statements of Operations for the three and six months ended June 30, 2006 and 2005.                                        |  | 4   
|         |  |                                                                                                                           
|         |  | Statement of Changes in Partners Capital for the year ended December 31, 2005 and for the six months ended June 30, 2006. |  | 5   
|         |  |                                                                                                                           
|         |  | Statements of Cash Flows for the three and six months ended June 30, 2006 and 2005.                                        |  | 6   
|         |  |                                                                                                                           
|         |  | Notes to the Financial Statements                                                                                          |  | 7   
|         |  |                                                                                                                           
|Item 2.  |  | Managements Discussion and Analysis of Financial Condition and Results of Operations                                      |  | 14  
|         |  |                                                                                                                           
|Item 3.  |  | Controls and Procedures                                                                                                    |  | 17  
|         |  |                                                                                                                           
|Part II. |  | Other Information                                                                                                          |  | 18  
|         |  |                                                                                                                           
|Item 1.  |  | Legal Proceedings                                                                                                          |  | 18  
|         |  |                                                                                                                           
|Item 2.  |  | Unregistered Sales of Equity Securities and Use of Proceeds                                                                |  | 18  
|         |  |                                                                                                                           
|Item 3.  |  | Defaults Upon Senior Securities                                                                                            |  | 18  
|         |  |                                                                                                                           
|Item 4.  |  | Submission of Matters to a Vote of Security Holders                                                                        |  | 18  
|         |  |                                                                                                                           
|Item 5.  |  | Other Information                                                                                                          |  | 18  
|         |  |                                                                                                                           
|Item 6.  |  | Exhibits                                                                                                                   |  | 18  



2



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##### Table of Contents

Part I. FINANCIAL INFORMATION



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

ATEL CASH DISTRIBUTION FUND V, L.P.

BALANCE SHEET

JUNE 30, 2006

(Unaudited)



|                                                                                    |  |   |           
|----------------------------------------------------------------------------------- |  | - | ----------
|ASSETS                                                                              |  |   |           
|Cash and cash equivalents                                                           |  | $ | 1,067,240 
|Accounts receivable, net of allowance for doubtful accounts of $110,649             |  |   | 228,656   
|Prepaid expenses                                                                    |  |   | 3,308     
|Investments in equipment and leases, net of accumulated depreciation of $11,566,426 |  |   | 9,663,767 
|                                                                                    |  |   |           
|Total assets                                                                        |  | $ | 10,962,971
|                                                                                    |  |   |           
|                                                                                    | 
|LIABILITIES AND PARTNERS CAPITAL                                                   |  |   |           
|                                                                                    | 
|Accounts payable and accruals:                                                      |  |   |           
|General Partner                                                                     |  | $ | 165,464   
|Other                                                                               |  |   | 190,470   
|Accrued interest payable                                                            |  |   | 12,597    
|Non-recourse debt                                                                   |  |   | 2,994,478 
|Unearned operating lease income                                                     |  |   | 22,422    
|                                                                                    |  |   |           
|Total liabilities                                                                   |  |   | 3,385,431 
|                                                                                    | 
|Commitments and contingencies                                                       |  |   |           
|                                                                                    | 
|Partners capital:                                                                  |  |   |           
|General Partner                                                                     |  |   | 196,149   
|Limited Partners                                                                    |  |   | 7,381,391 
|                                                                                    |  |   |           
|Total Partners capital                                                             |  |   | 7,577,540 
|                                                                                    |  |   |           
|Total liabilities and Partners capital                                             |  | $ | 10,962,971
|                                                                                    |  |   |           

See accompanying notes.



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ATEL CASH DISTRIBUTION FUND V, L.P.

STATEMENTS OF OPERATIONS

THREE AND SIX MONTH PERIODS ENDED

JUNE 30, 2006 AND 2005

(Unaudited)



|                                                           |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|---------------------------------------------------------- |  | --------------------------- | ---------- | - | ------------------------- | - | ---------- | ---- |  | - | ---------- | - |  | - | ----------
|                                                           |  | Three months ended June 30, |            |   | Six months ended June 30,
|                                                           |  | 2006                        |            |   | 2005                      |   |            | 2006 |  |   | 2005      
|Revenues:                                                  |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|Leasing activities:                                        |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|Operating leases                                           |  | $                           | 737,181    |   |                           | $ | 702,164    |      |  | $ | 1,444,827  |   |  | $ | 1,409,106 
|(Loss) gain on sales of assets                             |  |                             | (4,114     | ) |                           |   | 67,403     |      |  |   | (37,679    | ) |  |   | 136,622   
|Interest income                                            |  |                             | 8,404      |   |                           |   | 6,026      |      |  |   | 17,758     |   |  |   | 17,226    
|Other                                                      |  |                             | 3,242      |   |                           |   | 4,759      |      |  |   | 4,863      |   |  |   | 6,001     
|                                                           |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|                                                           |  |                             | 744,713    |   |                           |   | 780,352    |      |  |   | 1,429,769  |   |  |   | 1,568,955 
|                                                           |  |                             |            |  
|Expenses:                                                  |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|Depreciation of operating lease assets                     |  |                             | 298,744    |   |                           |   | 295,751    |      |  |   | 622,138    |   |  |   | 574,760   
|Cost reimbursements to General Partner                     |  |                             | 141,911    |   |                           |   | 132,234    |      |  |   | 274,391    |   |  |   | 251,837   
|Professional fees                                          |  |                             | 53,599     |   |                           |   | 76,398     |      |  |   | 103,793    |   |  |   | 204,533   
|Railcar maintenance                                        |  |                             | 118,926    |   |                           |   | 66,714     |      |  |   | 132,481    |   |  |   | 104,901   
|Interest expense                                           |  |                             | 38,515     |   |                           |   | 48,891     |      |  |   | 79,886     |   |  |   | 100,117   
|Equipment and incentive management fees to General Partner |  |                             | 29,013     |   |                           |   | 24,980     |      |  |   | 54,970     |   |  |   | 52,563    
|Other management fees                                      |  |                             | 29,630     |   |                           |   | 3,631      |      |  |   | 45,990     |   |  |   | 31,065    
|Outside services                                           |  |                             | 42,400     |   |                           |   |           |      |  |   | 55,615     |   |  |   |          
|Other                                                      |  |                             | 46,132     |   |                           |   | 137,070    |      |  |   | 92,842     |   |  |   | 174,001   
|                                                           |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|                                                           |  |                             | 798,870    |   |                           |   | 785,669    |      |  |   | 1,462,106  |   |  |   | 1,493,777 
|                                                           |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|Net (loss) income                                          |  | $                           | (54,157    | ) |                           | $ | (5,317     | )    |  | $ | (32,337    | ) |  | $ | 75,178    
|                                                           |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|Net (loss) income                                          |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|General Partner                                            |  | $                           | (541       | ) |                           | $ | (53        | )    |  | $ | (323       | ) |  | $ | 752       
|Limited Partners                                           |  |                             | (53,616    | ) |                           |   | (5,264     | )    |  |   | (32,014    | ) |  |   | 74,426    
|                                                           |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|                                                           |  | $                           | (54,157    | ) |                           | $ | (5,317     | )    |  | $ | (32,337    | ) |  | $ | 75,178    
|                                                           |  |                             |            |   |                           |   |            |      |  |   |            |   |  |   |           
|                                                           |  |                             |            |  
|Net (loss) income per Limited Partnership Unit             |  | $                           | (0.00      | ) |                           | $ | (0.00      | )    |  | $ | (0.00      | ) |  | $ | 0.01      
|Weighted average number of Units outstanding               |  |                             | 12,471,600 |   |                           |   | 12,471,600 |      |  |   | 12,471,600 |   |  |   | 12,471,600

See accompanying notes.



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ATEL CASH DISTRIBUTION FUND V, L.P.

STATEMENTS OF CHANGES IN PARTNERS CAPITAL

FOR THE YEAR ENDED DECEMBER 31, 2005

AND FOR THE SIX MONTH PERIOD

ENDED JUNE 30, 2006

(Unaudited)



|                                                   |  |                  |  |        |                 |   |  |       |         |   |  |   |            |  
|-------------------------------------------------- |  | ---------------- |  | ------ | --------------- | - |  | ----- | ------- | - |  | - | ---------- | -
|                                                   |  | Limited Partners |  |        | General Partner |   |  | Total |        
|                                                   |  | Units            |  | Amount |                 |   | 
|Balance December 31, 2004                          |  | 12,471,600       |  | $      | 11,228,245      |   |  | $     | 197,222 |   |  | $ | 11,425,467 |  
|Distributions to Limited Partners ($0.20 per Unit) |  |                 |  |        | (2,493,720      | ) |  |       |        |   |  |   | (2,493,720 | )
|Net loss                                           |  |                 |  |        | (74,260         | ) |  |       | (750    | ) |  |   | (75,010    | )
|                                                   |  |                  |  |        |                 |   |  |       |         |   |  |   |            |  
|Balance December 31, 2005                          |  | 12,471,600       |  |        | 8,660,265       |   |  |       | 196,472 |   |  |   | 8,856,737  |  
|Distributions to Limited Partners ($0.10 per Unit) |  |                 |  |        | (1,246,860      | ) |  |       |        |   |  |   | (1,246,860 | )
|Net loss                                           |  |                 |  |        | (32,014         | ) |  |       | (323    | ) |  |   | (32,337    | )
|                                                   |  |                  |  |        |                 |   |  |       |         |   |  |   |            |  
|Balance June 30, 2006                              |  | 12,471,600       |  | $      | 7,381,391       |   |  | $     | 196,149 |   |  | $ | 7,577,540  |  
|                                                   |  |                  |  |        |                 |   |  |       |         |   |  |   |            |  

See accompanying notes.



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ATEL CASH DISTRIBUTION FUND V, L.P.

STATEMENTS OF CASH FLOWS

THREE AND SIX MONTH PERIODS ENDED

JUNE 30, 2006 AND 2005

(Unaudited)



|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|----------------------------------------------------------------------------------- |  | --------------------------- | --------- | - | ------------------------- | - | --------- | ---- |  | - | ---------- | - |  | - | ---------- | -
|                                                                                    |  | Three months ended June 30, |           |   | Six months ended June 30, |  
|                                                                                    |  | 2006                        |           |   | 2005                      |   |           | 2006 |  |   | 2005       |  
|Operating activities:                                                               |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Net (loss) income                                                                   |  | $                           | (54,157   | ) |                           | $ | (5,317    | )    |  | $ | (32,337    | ) |  | $ | 75,178     |  
|Adjustment to reconcile net (loss) income to cash provided by operating activities: |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Depreciation of operating lease assets                                              |  |                             | 298,744   |   |                           |   | 297,038   |      |  |   | 622,138    |   |  |   | 577,332    |  
|Loss (gain) on sales of assets                                                      |  |                             | 4,114     |   |                           |   | (67,403   | )    |  |   | 37,679     |   |  |   | (136,622   | )
|(Recovery of) provision for doubtful accounts                                       |  |                             | (384      | ) |                           |   | 26,033    |      |  |   | (384       | ) |  |   | 26,033     |  
|Changes in operating assets and liabilities:                                        |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Accounts receivable                                                                 |  |                             | 102,051   |   |                           |   | (5,068    | )    |  |   | (42,097    | ) |  |   | 96,863     |  
|Prepaid expenses                                                                    |  |                             | 18,170    |   |                           |   | (544      | )    |  |   | 42,326     |   |  |   | (9,877     | )
|Accounts payable and accruals:                                                      |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|General Partner                                                                     |  |                             | 121,411   |   |                           |   | (36,715   | )    |  |   | 34,890     |   |  |   | (29,909    | )
|Other                                                                               |  |                             | 141,301   |   |                           |   | (50,973   | )    |  |   | (27,509    | ) |  |   | (159,717   | )
|Accrued interest payable                                                            |  |                             | (723      | ) |                           |   | (818      | )    |  |   | (1,436     | ) |  |   | (1,572     | )
|Unearned operating lease income                                                     |  |                             | (108      | ) |                           |   | (3,349    | )    |  |   | (4,351     | ) |  |   | 33,476     |  
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Net cash provided by operating activities                                           |  |                             | 630,419   |   |                           |   | 152,884   |      |  |   | 628,919    |   |  |   | 471,185    |  
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|                                                                                    |  |                             |           |  
|Investing activities:                                                               |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Proceeds from sales of lease assets                                                 |  |                             | 66,925    |   |                           |   | 178,131   |      |  |   | 209,229    |   |  |   | 343,772    |  
|Improvements of equipment on operating leases                                       |  |                             | (12,000   | ) |                           |   | (198,166  | )    |  |   | (156,000   | ) |  |   | (234,495   | )
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Net cash provided by (used in) investing activities                                 |  |                             | 54,925    |   |                           |   | (20,035   | )    |  |   | 53,229     |   |  |   | 109,277    |  
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|                                                                                    |  |                             |           |  
|Financing activities:                                                               |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Repayments of non-recourse debt                                                     |  |                             | (171,817  | ) |                           |   | (178,132  | )    |  |   | (341,483   | ) |  |   | (341,201   | )
|Distributions to Limited Partners                                                   |  |                             |          |   |                           |   |          |      |  |   | (1,246,860 | ) |  |   | (2,493,720 | )
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Net cash used in financing activities                                               |  |                             | (171,817  | ) |                           |   | (178,132  | )    |  |   | (1,588,343 | ) |  |   | (2,834,921 | )
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|                                                                                    |  |                             |           |  
|Net increase (decrease) in cash and cash equivalents                                |  |                             | 513,527   |   |                           |   | (45,283   | )    |  |   | (906,195   | ) |  |   | (2,254,459 | )
|Cash and cash equivalents at beginning of period                                    |  |                             | 553,713   |   |                           |   | 1,212,750 |      |  |   | 1,973,435  |   |  |   | 3,421,926  |  
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Cash and cash equivalents at end of period                                          |  | $                           | 1,067,240 |   |                           | $ | 1,167,467 |      |  | $ | 1,067,240  |   |  | $ | 1,167,467  |  
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|                                                                                    |  |                             |           |  
|Supplemental disclosures of cash flow information:                                  |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Cash paid during the period for taxes                                               |  | $                           | 24,450    |   |                           | $ |          |      |  | $ | 24,450     |   |  | $ |           |  
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  
|Cash paid during the period for interest                                            |  | $                           | 38,525    |   |                           | $ | 49,709    |      |  | $ | 80,609     |   |  | $ | 101,689    |  
|                                                                                    |  |                             |           |   |                           |   |           |      |  |   |            |   |  |   |            |  

See accompanying notes.



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##### Table of Contents

ATEL CASH DISTRIBUTION FUND V, L.P.

NOTES TO FINANCIAL STATEMENTS

1. Organization and partnership matters:

ATEL Cash Distribution Fund
V, L.P. (the Partnership) was formed under the laws of the State of California in September 1992. The Partnership was formed for the purpose of engaging in the sale of limited partnership investment units and acquiring equipment to
engage in equipment leasing and sales activities. The General Partner of the Partnership is ATEL Financial Services, LLC (AFS), a California limited liability Partnership. Prior to converting to a limited liability Partnership structure,
AFS was formerly known as ATEL Financial Corporation.

The Partnership conducted a public offering of 12,500,000 Limited Partnership Units
(Units) at a price of $10 per Unit. On March 19, 1993, subscriptions for the minimum number of Units, 120,000, or $1,200,000, had been received. On that date, the Partnership commenced operations in its primary business (leasing
activities). As of November 15, 1994, the Partnership had received and accepted subscriptions for 12,500,000, or $125,000,000 in addition to the Initial Limited Partners Units and the offering was terminated. As of June 30, 2006,
12,471,600 Units were issued and outstanding.

The Partnerships principal objectives are to invest in a diversified portfolio of equipment that:
(i) preserve, protect and return the Partnerships invested capital; (ii) generate distributions to the partners of cash from operations and cash from sales or refinancing, with any balance remaining after certain minimum
distributions to be used to purchase additional equipment during the reinvestment period (Reinvestment Period) which ended December 31, 2000; and (iii) provide significant distributions following the Reinvestment Period and
until all equipment has been sold. The Partnership is governed by its Limited Partnership Agreement.

As of June 30, 2006, the Partnership is in the
final stages of its liquidation phase as defined by the Limited Partnership Agreement.

2. Summary of significant accounting policies:

Basis of presentation:

The accompanying unaudited financial
statements have been prepared in accordance with accounting principles generally accepted in the United States (GAAP) for interim financial information and with instructions to Form 10-QSB and Item 310(b) of Regulation S-B. The
unaudited interim financial statements reflect all adjustments which are, in the opinion of the General Partner, necessary for a fair statement of financial position and results of operations for the interim periods presented. All such adjustments
are of a normal recurring nature. The preparation of financial statements in accordance with GAAP requires management to make estimates and assumptions that effect reported amounts in the financial statements and accompanying notes. Therefore,
actual results could differ from those estimates. Operating results for the six months ended June 30, 2006 are not necessarily indicative of the results for the year ended December 31, 2006. Certain prior year amounts have been
reclassified to conform to the current year presentation.

Use of estimates:

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Such estimates primarily relate to the determination of residual
values at the end of the lease term, expected future cash flows used for impairment analysis purposes, and determination of provisions for doubtful accounts.

Cash and cash equivalents:

Cash and cash equivalents include cash in banks and cash equivalent investments with original maturities of
three months or less.



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ATEL CASH DISTRIBUTION FUND V, L.P.

NOTES TO FINANCIAL STATEMENTS



2. Summary of significant accounting policies (continued):



Credit risk:

Financial instruments that potentially subject the Partnership to concentrations of credit risk include cash and cash equivalents, and accounts receivable. The Partnership places its cash deposits and temporary cash investments with
creditworthy, high quality financial institutions and therefore, believes that the concentration of such deposits and temporary cash investments is not deemed to create a significant risk to the Partnership. Accounts receivable represent amounts due
from lessees in various industries, related to equipment on operating leases.

Accounts receivable:

Accounts receivable represent the amounts billed under operating lease contracts which are currently due to the Partnership. Allowances for doubtful accounts are
typically established based on historical charge offs and collection experience and are usually determined by specifically identified lessees and invoiced amounts. Accounts receivable are charged off to expense on specific identification basis.
Amounts recovered that were previously written-off are recorded as other income in the period received.

Equipment on operating leases and related
revenue recognition:

Equipment subject to operating leases is stated at cost. Depreciation is being recognized on a straight-line method over the terms
of the related leases to the equipments estimated residual values at the end of the leases.

Operating lease revenue is recognized on a straight-line
basis over the term of the underlying leases. The initial lease terms will vary as to the type of equipment subject to the leases, the needs of the lessees and the terms to be negotiated, but initial leases are generally between 36 to 84 months. The
difference between rent received and rental revenue recognized is recorded as unearned operating lease income on the balance sheet.

Asset valuation:

Recorded values of the Partnerships asset portfolio are periodically reviewed for impairment in accordance with Statement of Financial Accounting
Standards (SFAS) No. 144, Accounting for the Impairment or Disposal of Long-Lived Assets. An impairment loss is measured and recognized only if the estimated undiscounted future cash flows of the asset are less than
their net book value. The estimated undiscounted future cash flows are the sum of the estimated residual value of the asset at the end of the assets expected holding period and estimates of undiscounted future rents. The residual value
assumes, among other things, that the asset is utilized normally in an open, unrestricted and stable market. Short-term fluctuations in the market place are disregarded and it is assumed that there is no necessity either to dispose of a significant
number of the assets, if held in quantity simultaneously, or to dispose of the asset quickly. Impairment is measured as the difference between the fair value (as determined by a valuation method using discounted estimated future cash flows) of the
asset and its carrying value on the measurement date.

Segment reporting:

The Partnership adopted the provisions of SFAS No. 131, Disclosures about Segments of an Enterprise and Related Information. SFAS No. 131 establishes annual and interim standards for operating
segments of a company. It also requires entity-wide disclosures about the products and services an entity provides, the material countries in which it holds assets and reports revenue, and its major customers. The Partnership is not organized by
multiple operating segments for the purpose of making operating decisions or assessing performance. Accordingly the Partnership operates in one reportable operating segment in the United States.

The Partnerships chief operating decision makers are the General Partnerships Chief Operating Officer and its Chief Executive Officer. The Partnership
believes that its equipment leasing business operates as one reportable segment because: a) the Partnership measures profit and loss at the equipment portfolio level as a whole; b) the chief operating decision makers do not review information based
on any operating segment other than the equipment leasing transaction



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##### Table of Contents

ATEL CASH DISTRIBUTION FUND V, L.P.

NOTES TO FINANCIAL STATEMENTS



2. Summary of significant accounting policies (continued):



portfolio; c) the Partnership does not maintain discrete financial information on any specific segment other than its equipment financing operations; d) the
Partnership has not chosen to organize its business around different products and services other than equipment lease financing; and e) the Partnership has not chosen to organize its business around geographic areas.

However, certain of the Partnerships lessee customers have international operations. In these instances, the Partnership is aware that certain equipment, primarily
rail and transportation, may periodically exit the country. However, these lessee customers are US-based, and it is impractical for the Partnership to track, on an asset-by-asset, day-by-day basis, where these assets are deployed.

The primary geographic region in which the Partnership seeks leasing opportunities is North America and Europe. Currently, 100% of the Partnerships operating
revenues are from customers domiciled in North America.

Unearned operating lease income:

The Partnership records prepayments on operating leases as a liability, unearned operating lease income. The liability is recorded when the prepayments are received and
recognized as operating lease revenue ratably over the period to which the prepayments relate.

Income taxes:

The Partnership is treated as a partnership for federal income tax purposes. Pursuant to the provisions of Section 701 of the Internal Revenue Code, a partnership is
not subject to federal income taxes. Accordingly, the Partnership has provided current income and franchise taxes for only those states which levy taxes on partnerships.

Per unit data:

Net income (loss) and distributions per unit are based upon the weighted average number of Limited
Partners Units outstanding during the period.

Recent accounting pronouncements:

In February 2007, the Financial Accounting Standards Board (FASB) issued Statement No. 159, The Fair Value Option for Financial Assets and Financial Liabilitiesincluding an amendment of FASB Statement No.
115. This Statement permits entities to choose to measure many financial instruments and certain other items at fair value. The objective is to improve financial reporting by providing entities with the opportunity to mitigate volatility in
reported earnings caused by measuring related assets and liabilities differently without having to apply complex hedge accounting provisions. This Statement is expected to expand the use of fair value measurement, which is consistent with the
Boards long-term measurement objectives for accounting for financial instruments. SFAS 159 is effective as of the beginning of an entitys first fiscal year that begins after November 15, 2007, with early adoption permitted as
of the beginning of a fiscal year that begins on or before November 15, 2007, provided the entity also elects to apply the provisions of FASB Statement No. 157, Fair Value Measurements. The Partnership does not presently anticipate any
significant impact on its financial position, results of operations or cash flows.

During September 2006, the Securities and Exchange Commission
(SEC) issued Staff Accounting Bulletin (SAB) No. 108. This Bulletin provides the Staffs views on the consideration of the effects of prior year misstatements in quantifying current year misstatements for the purpose of
a materiality assessment. The guidance in SAB No. 108 is effective for financial statements of fiscal years ending after November 15, 2006. Adoption of this guidance did not materially impact the Partnerships financial statements.

In September 2006, the Financial Accounting Standards Board (FASB) issued Statement on Financial Accounting Standards No. 157, Fair
Value Measurements (SFAS 157). This standard clarifies the definition of fair value for financial reporting, establishes a framework for measuring fair value and requires additional disclosures about the use of fair value measurements.
SFAS 157 is effective for financial statements issued for fiscal years beginning after November 15, 2007 and interim periods within those fiscal years. As of June 30, 2006, the Fund does not believe the adoption of SFAS 157 will impact the
amounts reported in the financial statements, however, additional disclosures will be required about the inputs used to develop the measurements of fair value and the effect of certain of the measurements reported in the statement of operations for
a fiscal period.

In June 2006, the FASB issued Interpretation No. 48, Accounting for Uncertainty in Income Taxes, an interpretation of FAS 109,
Accounting for Income Taxes (FIN 48), to create a single model to address accounting for uncertainty in tax positions. FIN 48 clarifies the accounting for income taxes by prescribing a minimum recognition threshold a tax
position is required to meet before being recognized in the financial statements. FIN 48 also provides guidance on deregulation, measurement, classification, interest and penalties, accounting in interim periods, disclosure and transition. FIN 48 is
effective for fiscal years beginning after December 15, 2006. The Partnership adopted the provisions of FIN 48 on January 1, 2007. The adoption of FIN 48 did not have a significant effect on the Partnerships financial position and results
of operations.



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##### Table of Contents

ATEL CASH DISTRIBUTION FUND V, L.P.

NOTES TO FINANCIAL STATEMENTS



3. Investment in equipment and leases, net:

The Partnerships Investments in equipment and leases consists of the following:



|                                                                                                      |  |                         |            |                                            |   |         |                                                                |  |   |                     |   |  |   |          
|----------------------------------------------------------------------------------------------------- |  | ----------------------- | ---------- | ------------------------------------------ | - | ------- | -------------------------------------------------------------- |  | - | ------------------- | - |  | - | ---------
|                                                                                                      |  | BalanceDecember 31,2005 |            | Reclassifications& Additions /Dispositions |   |         | Depreciation/AmortizationExpense orAmortizationof DirectLeases |  |   | BalanceJune 30,2006
|Net investment in operating leases                                                                    |  | $                       | 10,350,454 |                                            | $ | (80,509 | )                                                              |  | $ | (621,960            | ) |  | $ | 9,647,985
|Assets held for sale or lease, net of accumulated depreciation of $19,481 in 2006 and $97,629 in 2005 |  |                         | 26,359     |                                            |   | (10,399 | )                                                              |  |   | (178                | ) |  |   | 15,782   
|                                                                                                      |  |                         |            |                                            |   |         |                                                                |  |   |                     |   |  |   |          
|Total                                                                                                 |  | $                       | 10,376,813 |                                            | $ | (90,908 | )                                                              |  | $ | (622,138            | ) |  | $ | 9,663,767
|                                                                                                      |  |                         |            |                                            |   |         |                                                                |  |   |                     |   |  |   |          

Impairment of investments in leases and assets held for sale or lease:

Management periodically reviews the carrying values of its assets on leases and assets held for sale or lease. Impairment losses are recorded as an addition to
accumulated depreciation of the impaired assets. No impairment losses have been recognized for the three and six month periods ending June 30, 2006 and 2005.

All of the leased property was acquired in the years 1993 through 2004.

Operating leases:

Equipment on operating leases consists of the following:



|                              |  |                         |             |   |           |   |          |                                  |  |   |                     |   |  |   |             |  
|----------------------------- |  | ----------------------- | ----------- | - | --------- | - | -------- | -------------------------------- |  | - | ------------------- | - |  | - | ----------- | -
|                              |  | BalanceDecember 31,2005 |             |   | Additions |   |          | Reclassificationsor Dispositions |  |   | BalanceJune 30,2006 |  
|Transportation, rail          |  | $                       | 20,482,914  |   |           | $ | 156,000  |                                  |  | $ | (484,458            | ) |  | $ | 20,154,456  |  
|Containers                    |  |                         | 1,040,474   |   |           |   |         |                                  |  |   |                    |   |  |   | 1,040,474   |  
|                              |  |                         |             |   |           |   |          |                                  |  |   |                     |   |  |   |             |  
|                              |  |                         | 21,523,388  |   |           |   | 156,000  |                                  |  |   | (484,458            | ) |  |   | 21,194,930  |  
|Less accumulated depreciation |  |                         | (11,172,934 | ) |           |   | (621,960 | )                                |  |   | 247,949             |   |  |   | (11,546,945 | )
|                              |  |                         |             |   |           |   |          |                                  |  |   |                     |   |  |   |             |  
|Total                         |  | $                       | 10,350,454  |   |           | $ | (465,960 | )                                |  | $ | (236,509            | ) |  | $ | 9,647,985   |  
|                              |  |                         |             |   |           |   |          |                                  |  |   |                     |   |  |   |             |  

At June 30, 2006, the aggregate amounts of future minimum lease payments under operating leases are as
follows:



|                                    |  |  |  |                 |          
|----------------------------------- |  |  |  | --------------- | ---------
|                                    |  |  |  | OperatingLeases
|Six months ending December 31, 2006 |  |  |  | $               | 1,230,130
|Year ending December 31, 2007       |  |  |  |                 | 2,109,769
|2008                                |  |  |  |                 | 1,619,014
|2019                                |  |  |  |                 | 1,220,509
|2010                                |  |  |  |                 | 548,498  
|                                    |  |  |  |                 |          
|                                    |  |  |  | $               | 6,727,920
|                                    |  |  |  |                 |          

The Partnership utilizes the straight line depreciation method for equipment in all the following categories over
the following useful lives (in years):



|                     |  |            
|-------------------- |  | -----------
|Equipment category   |  | Useful Life
|Transportation, rail |  | 30 - 35    
|Containers           |  | 7 - 10     



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##### Table of Contents

ATEL CASH DISTRIBUTION FUND V, L.P.

NOTES TO FINANCIAL STATEMENTS



4. Related party transactions:

The terms of the Limited Partnership Agreement provide that AFS and/or affiliates are entitled to receive certain fees for equipment management and resale and for management of the Partnership.

The Limited Partnership Agreement allows for the reimbursement of costs incurred by AFS in providing administrative services to the Partnership. Administrative services
provided include Partnership accounting, investor relations, legal counsel and lease and equipment documentation. AFS is not reimbursed for services where it is entitled to receive a separate fee as compensation for such services, such as management
of equipment. Reimbursable costs incurred by AFS are allocated to the Partnership based upon actual time incurred by employees working on Partnership business and an allocation of rent and other costs based on utilization studies. The Partnership is
contingently liable for certain future costs to be incurred by AFS to manage the administrative services provided to the Partnership.

Each of ATEL Leasing
Corporation (ALC), ATEL Equipment Corporation (AEC), ATEL Investor Services (AIS) and AFS is a wholly-owned subsidiary of ATEL Capital Group and performs services for the Partnership. Acquisition services are
performed for the Partnership by ALC, equipment management, lease administration and asset disposition services are performed by AEC, investor relations and communications services are performed by AIS and general administrative services for the
Partnership are performed by AFS.

Cost reimbursements to the General Partner are based on its costs incurred in performing administrative services for the
Partnership. These costs are allocated to each managed entity based on certain criteria such as existing or new leases, number of investors or equity depending upon the type of cost incurred.

Incentive management fees are computed as 5.0% of distributions of cash from operations, as defined in the Limited Partnership Agreement and equipment management fees
are computed as 5% of gross revenues from operating leases, as defined in the Limited Partnership Agreement plus 2% of gross revenues from full payout leases, as defined in the Limited Partnership Agreement.

During the three and six month periods ended June 30, 2006 and 2005, AFS and/or affiliates earned fees, commissions and reimbursements, pursuant to the Limited
Partnership Agreement, as follows:



|                                                           |  |                            |         |                          |   |         |  |      |         |  |   |        
|---------------------------------------------------------- |  | -------------------------- | ------- | ------------------------ | - | ------- |  | ---- | ------- |  | - | -------
|                                                           |  | Three Months EndedJune 30, |         | Six Months EndedJune 30,
|                                                           |  | 2006                       |         | 2005                     |   | 2006    |  | 2005
|Cost reimbursements to General Partner                     |  | $                          | 141,911 |                          | $ | 132,234 |  | $    | 274,391 |  | $ | 251,837
|Equipment and incentive management fees to General Partner |  |                            | 29,013  |                          |   | 24,980  |  |      | 54,970  |  |   | 52,563 
|                                                           |  |                            |         |                          |   |         |  |      |         |  |   |        
|                                                           |  | $                          | 170,924 |                          | $ | 157,214 |  | $    | 329,361 |  | $ | 304,400
|                                                           |  |                            |         |                          |   |         |  |      |         |  |   |        

The General Partner makes certain payments to third parties on behalf of the Partnership for convenience purposes.
During the three month periods ended June 30, 2006 and 2005, the General Partner made such payments of $97,192 and $46,957, respectively. During the six month periods ended June 30, 2006 and 2005, the General Partner made such payments of
$242,654 and $92,667 respectively.



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##### Table of Contents

ATEL CASH DISTRIBUTION FUND V, L.P.

NOTES TO FINANCIAL STATEMENTS



5. Non-recourse debt:

At June 30, 2006, non-recourse debt consists of a note payable to a financial institution. The note is due in monthly installments. Interest on the note is at a fixed rate of 5.0%. The note is secured by assignments of lease payments
and pledges of assets. At June 30, 2006, the carrying value of the pledged assets is approximately $3,262,056. The note matures in 2010.

Future
minimum payments of non-recourse debt are as follows:



|                                    |  |  |  |           |           |          |   |         |  |   |          
|----------------------------------- |  |  |  | --------- | --------- | -------- | - | ------- |  | - | ---------
|                                    |  |  |  | Principal |           | Interest |   | Total  
|Six months ending December 31, 2006 |  |  |  | $         | 350,194   |          | $ | 71,915  |  | $ | 422,109  
|Year ended December 31, 2007        |  |  |  |           | 727,412   |          |   | 116,807 |  |   | 844,219  
|2008                                |  |  |  |           | 764,993   |          |   | 79,226  |  |   | 844,219  
|2009                                |  |  |  |           | 804,517   |          |   | 39,702  |  |   | 844,219  
|2010                                |  |  |  |           | 347,362   |          |   | 4,396   |  |   | 351,758  
|                                    |  |  |  |           |           |          |   |         |  |   |          
|                                    |  |  |  | $         | 2,994,478 |          | $ | 312,046 |  | $ | 3,306,524
|                                    |  |  |  |           |           |          |   |         |  |   |          

6. Commitments:

As of June 30, 2006, the Partnership had no commitments to purchase lease assets.

7. Guarantees:

The Partnership enters into contracts that contain a variety of indemnifications. The Partnerships maximum exposure under these arrangements is unknown. However,
the Partnership has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

In the normal course of
business, the Partnership enters into contracts of various types, including lease contracts, contracts for the sale or purchase of lease assets, management contracts, loan agreements, credit lines and other debt facilities. It is prevalent industry
practice for most contracts of any significant value to include provisions that each of the contracting partiesin addition to assuming liability for breaches of the representations, warranties, and covenants that are part of the underlying
contractual obligationsalso assume an obligation to indemnify and hold the other contracting party harmless for such breaches, for harm caused by such partys gross negligence and willful misconduct, including, in certain instances,
certain costs and expenses arising from the contract. The General Partner has substantial experience in managing similar leasing programs subject to similar contractual commitments in similar transactions, and the losses and claims arising from
these commitments have been insignificant, if any. Generally, to the extent these contracts are performed in the ordinary course of business under the reasonable business judgment of the General Partner, no liability will arise as a result of these
provisions. The General Partner has no reason to believe that the facts and circumstances relating to the Partnerships contractual commitments differ from those it has entered into on behalf of the prior programs it has managed. The General
Partner knows of no facts or circumstances that would make the Partnerships contractual commitments outside standard mutual covenants applicable to commercial transactions between businesses. Accordingly, the Partnership believes that these
indemnification obligations are made in the ordinary course of business as part of standard commercial and industry practice, and that any potential liability under the Partnerships similar commitments is remote. Should any such
indemnification obligation become payable, the Partnership would separately record and/or disclose such liability in accordance with GAAP.



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##### Table of Contents

ATEL CASH DISTRIBUTION FUND V, L.P.

NOTES TO FINANCIAL STATEMENTS



8. Partners Capital:

As of June 30, 2006, 12,471,600 Units were issued and outstanding (including the 50 Units issued to the Initial Limited Partners).

As defined in the Limited Partnership Agreement, the Partnerships Net Income, Net Losses, and Tax Credits are to be allocated 99% to the Limited Partners and 1% to AFS.

Available Cash from Operations and Cash from Sales and Refinancing are to be distributed as follows:

First, 5% of Distributions of Cash from Operations to AFS as Incentive Management Fee;

Second, the balance
to the Limited Partners until the Limited Partners have received Aggregate Distributions in an amount equal to their Original Invested Capital, as defined, plus a 10% per annum cumulative (compounded daily) return on their Adjusted Invested
Capital;

Third, AFS will receive as Incentive Management Compensation, the following:



| | (A) | 10% of remaining Cash from Operations and
| | --- | -----------------------------------------



| | (B) | 15% of remaining Cash from Sales or Refinancing; and
| | --- | ----------------------------------------------------

Fourth, the
balance to the Limited Partners.

Distributions to the Limited Partners were as follows:



|                                             |  |                             |            |                           |   |            |  |      |            |  |   |           
|-------------------------------------------- |  | --------------------------- | ---------- | ------------------------- | - | ---------- |  | ---- | ---------- |  | - | ----------
|                                             |  | Three Months Ended June 30, |            | Six Months Ended June 30,
|                                             |  | 2006                        |            | 2005                      |   | 2006       |  | 2005
|Distributions declared                       |  | $                           |           |                           | $ |           |  | $    | 1,246,860  |  | $ | 2,493,720 
|Weighted average number of Units outstanding |  |                             | 12,471,600 |                           |   | 12,471,600 |  |      | 12,471,600 |  |   | 12,471,600
|                                             |  |                             |            |                           |   |            |  |      |            |  |   |           
|Weighted average distributions per Unit      |  | $                           |           |                           | $ |           |  | $    | 0.10       |  | $ | 0.20      
|                                             |  |                             |            |                           |   |            |  |      |            |  |   |           



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##### Table of Contents

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

Statements contained in this Item 2, Managements Discussion and Analysis of Financial Condition and Results of Operations, (MD&A) and elsewhere in this and elsewhere in this Form
10-QSB, which are not historical facts, may be forward-looking statements. Such statements are subject to risks and uncertainties that could cause actual results to differ materially from those projected. In particular, economic recession and
changes in general economic conditions, including, fluctuations in demand for equipment, lease rates, and interest rates, may result in delays in investment and reinvestment, delays in leasing, re-leasing, and disposition of equipment, and reduced
returns on invested capital. The Partnerships performance is subject to risks relating to lessee defaults and the creditworthiness of its lessees. The Partnerships performance is also subject to risks relating to the value of its
equipment at the end of its leases, which may be affected by the condition of the equipment, technological obsolescence and the markets for new and used equipment at the end of lease terms. Investors are cautioned not to attribute undue certainty to
these forward-looking statements, which speak only as of the date of this Form 10-QSB. We undertake no obligation to publicly release any revisions to these forward- looking statements to reflect events or circumstances after the date of this Form
10-QSB or to reflect the occurrence of unanticipated events, other than as required by law.

Capital Resources and Liquidity

The Partnerships public offering provided for a total maximum capitalization of $125,000,000. On March 19, 1993, the Partnership commenced operations in its
primary business (leasing activities). As of November 15, 1994, subscriptions for 12,500,000 Units or $125,000,000 in addition to the Initial Limited Partners Units have been received and the offering was concluded. The Reinvestment
Period ended December 31, 2000 and the Partnership is now in the final stages of its liquidation phase.

The liquidity of the Partnership will vary in
the future, increasing to the extent cash flows from leases and proceeds from asset sales exceed expenses, and decreasing as distributions are made to the limited partners and to the extent expenses exceed cash flows from leases and proceeds from
sales of assets.

The Partnership currently has available adequate reserves to meet contingencies, but in the event those reserves were found to be
inadequate, the Partnership would likely be in a position to borrow against its current portfolio to meet such requirements. The General Partner envisions no such requirements for operating purposes.

If inflation in the general economy becomes significant, it may affect the Partnership inasmuch as the residual (resale) values and rates on re-leases of the
Partnerships leased assets may increase as the costs of similar assets increase. However, the Partnerships revenues from existing leases would not increase; as such rates are generally fixed for the terms of the leases without adjustment
for inflation.

If interest rates increase significantly, the lease rates that the Partnership can obtain on future leases will be expected to increase as
the cost of capital is a significant factor in the pricing of lease financing. Leases already in place, for the most part, would not be affected by changes in interest rates.

As another source of liquidity, the Partnership has contractual obligations with a diversified group of lessees for fixed lease terms at fixed rental amounts. As the initial lease terms expire, the Partnership will
re-lease or sell the equipment. The future liquidity beyond the contractual minimum rentals will depend on AFSs success in re-leasing or selling the equipment as it comes off lease.

As of June 30, 2006, the Partnership had cumulatively borrowed $62,498,578 on a non-recourse basis with a remaining unpaid balance of $2,994,478. Non-recourse debt
payments match the rental income received from the underlying leases and therefore do not represent cash outflows for the Partnership. Borrowings are generally non-recourse to the Partnership, that is, the only recourse of the lender upon a default
by the lessee on the underlying lease will be to the equipment or corresponding lease acquired with the loan proceeds. AFS does not anticipate any future non-recourse borrowings on behalf of the Partnership.

The Partnership commenced regular distributions, based on cash flows from operations, beginning with the second quarter of 1993. At June 30, 2006, the Partnership
had no commitments to purchase leased assets.



14



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##### Table of Contents

Cash Flows

The three months ended June 30, 2006 versus the three months ended June 30, 2005

During the three months ended June 30, 2006 and
2005, the primary source of cash from operations was rents from operating leases. In addition, cash flows were impacted by changes in certain assets and liabilities. Cash flows from operations increased by $477,535 from $152,884 for the three months
ended June 30, 2005 to $630,419 for the same period in 2006. The increase was primarily a result of an increase in accounts payable and accrued liabilities as well as an increase in payments received on accounts receivable. Net cash inflow
related to the increase in accounts payable and accrued liabilities was $262,712 for the three months ended June 30, 2006 versus a cash outflow of related to payments made against accounts payable and accrued liabilities of $87,688 for the same
period in 2005. The net cash inflow related to the increase in payments received on account was $102,051 for the three months ended June 30, 2006 compared to a cash outflow related to an increase in accounts receivable of $5,068 for the same
period in 2005.

During the three months ended June 30, 2006 and 2005, the main sources of cash flow from investing activities were proceeds from
sales of lease assets while the main use of cash during the same timeframe was improvements to operating lease equipment. Proceeds from sales of lease assets are not expected to be consistent from one period to another as the sales of lease assets
are subject to various factors such as the timing of lease terminations, market demand and the condition and uniqueness of the assets subject to sale. Cash provided by investing activities totaled $54,925 for the three months ended June 30,
2006 compared to cash used of $20,035 for the same period in 2005. The increase was primarily due to a decrease in cash used to refurbish rail cars partially offset by a decline in proceeds from sales of assets. Cash used related to capitalized
costs of refurbishing rail cars decreased by $186,166 from $198,166 for the three months ended June 30, 2005 to $12,000 for the same period in 2006. Proceeds from sales of assets decreased by $111,206 from $178,131 for the three months ended
June 30, 2005 to $66,925 for the same period in 2006.

Cash used in financing activities totaled $171,817 and $178,132 for the three months ended
June 30, 2006 and 2005, respectively, representing repayments of non-recourse debt for the respective periods.

The six months ended June 30,
2006 versus the six months ended June 30, 2005

During the six months ended June 30, 2006 and 2005, the primary source of cash from operations
was rents from operating leases. In addition, cash flows were impacted by changes in certain assets and liabilities. Cash flows from operations increased by $157,734 from $471,185 for the six months ended June 30, 2005 to $628,919 for the same
period in 2006. The increase was primarily a result of (1) an increase in accounts payable and accrued liabilities and (2) a decrease in other expenses offset, in part, by (3) increased levels of accounts receivable. The growth in
accounts payable and accrued liabilities generated cash flows of $7,381 for the six months ended June 30, 2006 compared to cash used of $189,626 for the same period in 2005. The decrease in other expenses, primarily due to declines in
miscellaneous expenses and provision for doubtful accounts, increased cash inflow by $81,159 for the six months ended June 30, 2006 when compared to the same period in 2005. The net cash outflow related to the increase in accounts receivable
was $42,097 for the six months ended June 30, 2006 compared to a cash inflow related to payments received on account totaling $96,863 for the same period in 2005.

During the six months ended June 30, 2006 and 2005, the main sources of cash flow from investing activities were proceeds from sales of lease assets while the main use of cash during the same timeframe was
improvements to operating lease equipment. Cash provided by investing activities totaled $53,229 and $109,277 for the six months ended June 30, 2006 and 2005, respectively. The decrease was primarily a result of a decline in proceeds from sales
of assets partially offset by a decrease in cash used to refurbish rail cars. Proceeds from sales of assets decreased by $134,543 from $343,772 for the three months ended June 30, 2005 to $209,229 for the same period in 2006. Cash used to
refurbish rail cars decreased by $78,495 from $234,495 for the three months ended June 30, 2005 to $156,000 for the same period in 2006.

During the
six months ended June 30, 2006 and 2005, the Partnerships financing activities were limited to repayment of debt and distributions to Limited Partners. Cash used in financing activities totaled $1,588,343 and $2,834,921 for the six months
ended June 30, 2006 and 2005, respectively. The decrease in cash used was due to a decline in distributions paid to Limited Partners which totaled $1,246,860 for the six months ended June 30, 2006 compared to $2,493,720 for the same period
in 2005.



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##### Table of Contents

Results of operations

Cost reimbursements to the General Partner are based on its costs incurred in performing administrative services for the Partnership. These costs are allocated to each managed entity based on certain criteria such as existing or new leases,
number of investors or equity depending upon the type of cost incurred.

The three months ended June 30, 2006 versus the three months ended
June 30, 2005

The Partnership incurred net losses of $54,157 and $5,317 for the three months ended June 30, 2006 and 2005, respectively. The
increase reflected a $35,639 decrease in total revenues and a $13,201 increase in operating expenses.

Total revenues were $744,713 and $780,352 for the
three months ended June 30, 2006 and 2005, respectively. The decrease in revenues was driven by a decline in gains on sales of assets partially offset by an increase in operating lease revenue. During the three months ended June 30, 2006,
gains on sales of assets decreased by $71,517 to a loss of $4,114 from a gain of $67,403 during the same period in 2005. Operating lease revenues increased by $35,017 to $737,181 for the three months ended June 30, 2006 from $702,164 for the
same period in 2005, on higher rents from increased railcar activity.

Total expenses were $798,870 and $785,669 for the three months ended June 30,
2006 and 2005, respectively. The increase in total expenses was primarily due to increases in maintenance expense and outside services, partially offset by a decrease in other expenses and professional fees.

Maintenance expense increased by $52,212 from $66,714 for the three months ended March 31, 2005 to $118,926 for the same period in 2006 primarily due to the timing
of required repairs in the second quarter of 2006 versus 2005. Outside services expense totaled $42,400 for the three months ended March 31, 2006 and none for the same period in 2005. Outside services expense reflects costs related to the
Partnerships restatement effort and the audit of prior period financial statements.

The increases in maintenance expense and outside services were
partially offset by a $90,938 and $22,799 decrease in other expenses and professional fees, respectively. Other expenses totaled $46,132 and $137,070 for the three months ended June 30, 2006 and 2005, respectively. The decrease was due to lower
provision for doubtful accounts, printing and photocopy expenses, storage fees and miscellaneous expenses. Professional fees totaled $53,599 and $76,398 for the same respective periods. The decrease was primarily the result of a decline in legal
fees.

The six months ended June 30, 2006 versus the six months ended June 30, 2005

The Partnership incurred a net loss of $32,337 for the six months ended June 30, 2006 compared to net income of $75,178 for the same period in 2005. The increase
reflected a $139,186 decrease in total revenues partially offset by a $31,671 decrease in operating expenses.

Total revenues were $1,429,769 and
$1,568,955 for the first six months of 2006 and 2005, respectively. The decrease in revenues was driven by a decline in gains on sales of assets partially offset by an increase in operating lease revenue. The Partnership had a loss on sales of
assets totaling $37,679 for the first six months of 2006 compared to a gain of $136,622 from assets sold during the first six months of 2005, a decrease of $174,301. Operating lease revenues increased by $35,721 to $1,444,827 for the six months
ended June 30, 2006 from $1,409,106 for the same period in 2005, on higher rents from increased railcar activity.

Total expenses were $1,462,106 and
$1,493,777 for the six months ended June 30, 2006 and 2005, respectively. The decrease in total expenses was primarily due to decreases in professional fees and other expenses offset, in part, by increases in depreciation and outside services.

Professional fees decreased by $100,740 to $103,793 for the six months ended June 30, 2006 from $204,533 for the same period in 2005 on lower legal
fees. Other expenses decreased by $81,159 to $92,842 for the first six months of 2006 from $174,001 for the same period in 2005 on lower provision for doubtful accounts, printing and photocopy expenses, storage fees and miscellaneous expenses.



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The decreases in professional fees and other expenses were partially offset by a $55,615 increase in outside services
expense related to the Partnerships restatement effort as noted above and a $47,378 increase in depreciation expense related to adjustments to recorded residual values to values associated with railcars under lease renewals.



|Item 3. | Controls and procedures.
|------- | ------------------------

Evaluation of disclosure
controls and procedures

The Partnerships General Partners Chief Executive Officer, and Executive Vice President and Chief Financial and
Operating Officer, evaluated the effectiveness of the Partnerships disclosure controls and procedures (as defined in Exchange Act Rule 13a-15(e)) during and as of the end of the period covered by this report. Based on this evaluation, the
Chief Executive Officer and Executive Vice President and Chief Financial and Operating Officer concluded that at June 30, 2006, certain material weaknesses existed in the Partnerships internal control over financial reporting.

The Partnership does not control the financial reporting process, and is dependent on the General Partner, who is responsible for providing the Partnership with
financial statements in accordance with generally accepted accounting principles. The General Partners disclosure controls and procedures over the: a) application of generally accepted accounting principles for leasing transactions b)
allocation of costs incurred by the General Partner on behalf of the Partnership; c) process of identifying and estimating liabilities in the correct period; and d) financial statement close process, including evaluating the relative significance of
misstatements and preparation of financial statements and related disclosures, were determined to be ineffective and constitute material weaknesses in internal control over financial reporting.

Changes in internal control

The General Partner has reviewed
the material weaknesses and believes that the following corrective actions taken as a whole will address the material weaknesses in its disclosure controls and procedures described above. These corrective actions are as follows:



| |  |  | With regard to the allocations of costs and expenses incurred by the General Partner, the allocation process has been reviewed and the costs and expenses have been
properly allocated in accordance with the Partnership Agreement.
| | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | With regard to identifying and estimating liabilities in the correct periods, the General Partner has performed a detailed review to identify and record the
liabilities, in the correct period. A standardized quarterly review process has been implemented to ensure the identification and estimation of the liabilities.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  |  | The General Partner has taken the following steps to mitigate the weakness regarding its financial statement close process: a Chief Accounting Officer and an SEC
reporting manager have been hired, and the controller position has been split into two separate roles to ensure proper management of the Managing Member and the managed Funds accounting operations. Controls and job functions are being
redesigned to increase the documentation of processes and transparency of procedures going forward.
| | - |  | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



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PART II. OTHER INFORMATION



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

In the ordinary course of conducting
business, there may be certain claims, suits, and complaints filed against the Partnership. In the opinion of management, the outcome of such matters, if any, will not have a material impact on the Partnerships financial position or results of
operations.



|Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds
|------- | -----------------------------------------------------------

Not applicable.



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

Not
applicable.



|Item 4. | Submission Of Matters To A Vote Of Security Holders.
|------- | ----------------------------------------------------

Not applicable.



|Item 5. | Other Information.
|------- | ------------------

Not applicable.



|Item 6. | Exhibits.
|------- | ---------

Documents filed as a part of this report



| | 1. | Financial Statement Schedules
| | -- | -----------------------------

All other schedules for
which provision is made in the applicable accounting regulations of the Securities and Exchange Commission are not required under the related instructions or are not applicable, and therefore have been omitted.



| | 2. | Other Exhibits
| | -- | --------------



|     |  |                                                                       
|---- |  | ----------------------------------------------------------------------
|31.1 |  | Rule 13a-14(a)/ 15d-14(a) Certification of Dean L. Cash               
|31.2 |  | Rule 13a-14(a)/ 15d-14(a) Certification of Paritosh K. Choksi         
|32.1 |  | Certification Pursuant to 18 U.S.C. section 1350 of Dean L. Cash      
|32.2 |  | Certification Pursuant to 18 U.S.C. section 1350 of Paritosh K. Choksi



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SIGNATURES

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

Date: August 7, 2007



|    |  |                               |  |                                     |  |                                                                                                                     
|--- |  | ----------------------------- |  | ----------------------------------- |  | --------------------------------------------------------------------------------------------------------------------
|    |  |                               |  | ATEL Cash Distribution Fund V, L.P.
|    |  |                               |  | (Registrant)                       
|    |  |                               | 
|By: |  | ATEL Financial Services, LLC  |  |                                     |  |                                                                                                                     
|    |  | General Partner of Registrant |  |                                     |  |                                                                                                                     
|    |  |                               | 
|    |  |                               |  | By:                                 |  | /s/ Dean Cash                                                                                                       
|    |  |                               |  |                                     |  | Dean Cash,                                                                                                          
|    |  |                               |  |                                     |  | President and Chief Executive Officer of ATEL Financial Services, LLC (General Partner)                             
|    |  |                               | 
|    |  |                               |  | By:                                 |  | /s/ Paritosh K. Choksi                                                                                              
|    |  |                               |  |                                     |  | Paritosh K. Choksi,                                                                                                 
|    |  |                               |  |                                     |  | Executive Vice President and Chief Financial and Operating Officer of ATEL Financial Services, LLC (General Partner)



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