Exhibit 99.0



DiVall Insured Income Properties 2, L.P.



QUARTERLY NEWS



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|A publication of The Provo Group, Inc. |  | THIRD QUARTER 2003
|-------------------------------------- |  | ------------------



SOLID, STABLE, and
PREDICTABLE

PERFORMANCE SEEN FOR 2004



Based on our successes in 2003 toward resolving substantially all litigation matters and selling properties with perceived future risk; we are delighted
to report that most of the partnerships issues have been put behind us. We see the year ahead, 2004, as operating smoothly with stable cash flow. Weve always hoped to get to the point where our Quarterly Newsletter is boring
.. . . and we think weve accomplished our objective.



We
are also pleased to note that original investors have received cumulative cash distributions in excess of their original investment, with remaining assets still producing strong returns in todays interest rate environment.



DISTRIBUTION HIGHLIGHTS



| |  | $2,430,000 total amount distributed for the Third Quarter 2003 which is $1,987,000 higher than originally projected primarily because of the sale of three properties during
the Third Quarter. |  |  |  | $1,218 to $1,068 range of distributions per unit from the first unit sold to the last unit sold before the offering closed (3/90) respectively. (Distributions
are from both cash flow from operations and net cash activity from financing and investing activities).
|- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | - |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|  |  |                                                                                                                                                                                                 | 
| |  | $52.50 per unit (approx.) for the Third Quarter 2003, of this approximately $42.93 is return of capital. The annualized operating
return (net of the return of capital) is 8%.              |  |   |  |                                                                                                                                                                                                                                                                         



SEE
INSIDE



|Property Sales      |  | 2
|------------------- |  | -
|Litigation Issues   |  | 2
|Questions & Answers |  | 2



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PROPERTY HIGHLIGHTS



Property Sales



| |  | Hardees (Fond du Lac, WI).The sale with Milwaukee Street Partners, LLC closed on July 30, 2003. The net sales proceeds of $700,000 will be distributed with the
November 15, 2003 distribution.
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  | Omega Restaurants (Milwaukee, WI).The sale of this property with the tenant closed on July 28, 2003. The net sales proceeds of $800,000 will be distributed with the
November 15, 2003 distribution.
| | - | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| |  | Former Fiesta Time (Twin Falls, ID). The sale of this property closed on August 22, 2003. The net sales proceeds of $520,000, will be distributed with the November 15, 2003
distribution.
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



Litigation Issues



| |  | Popeyes (Park Forest, IL)This tenant was delinquent at September 30, 2003 in the amount of $145,927. The delinquent amount represents 2001 and 2002 percentage rents as
well as the related late fees. Although this tenant is in default they remain current with their fixed rent. We are actively pursuing the collection of the past due balance. This tenant continues to seek a settlement which is not in the best
interest of the partnership. We have changed our strategy to seek rent and possession of this property rather than simply a suit for collection.
| | - | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



Rents Receivable



| |  | Miami Subs (Palm Beach, FL)was delinquent $10,122 in rent and late fees as of September 30, 2003. This tenant has agreed to make double payments to get caught
up.
| | - | -------------------------------------------------------------------------------------------------------------------------------------------------------------------



QUESTIONS &
ANSWERS



| |  | When can I expect my next distribution mailing?
| | - | -----------------------------------------------



Your distribution correspondence for the Fourth Quarter of 2003 is scheduled to be mailed on February 13, 2004.



| |  | If I have questions or comments, how can I reach your office?
| | - | -------------------------------------------------------------



|MAIL:   |  | Investor Relations, 101 W. 11thStreet, Suite
1110
|------- |  | -------------------------------------------------
|        |  | Kansas City, MO 64105                            
|PHONE:  |  | 800-547-7686 OR (816) 421-7444 EXTENSION 224     
|FAX:    |  | (816) 221-2130                                   
|E-MAIL: |  | mevans@theprovogroup.com                         



PAGE 2



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DIVALL INSURED INCOME PROPERTIES 2 L.P.

STATEMENTS OF INCOME AND CASH FLOW CHANGES

FOR THE THREE MONTH PERIOD ENDED
SEPTEMBER 30, 2003



|                                                                     |  | PROJECTED            |            |   | ACTUAL               |   |            | VARIANCE      | 
|-------------------------------------------------------------------- |  | -------------------- | ---------- | - | -------------------- | - | ---------- | ------------- | 
|                                                                     |  | 3RDQUARTER09/30/2003 |            |   | 3RDQUARTER09/30/2003 |   |            | BETTER(WORSE) | 
|OPERATING REVENUES                                                   |  |                      |            |   |                      |   |            |               | 
|Rental income                                                        |  | $                    | 744,051    |   |                      | $ | 699,736    |               | 
|Interest income                                                      |  |                      | 4,500      |   |                      |   | 4,117      |               | 
|Net gain on sale of properties                                       |  |                      |            |   |                      |   | 304,373    |               | 
|Other income                                                         |  |                      | 0          |   |                      |   | 1,130      |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|TOTAL OPERATING REVENUES                                             |  | $                    | 748,551    |   |                      | $ | 1,009,355  |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|OPERATING EXPENSES                                                   |  |                      |            |   |                      |   |            |               | 
|Insurance                                                            |  | $                    | 8,685      |   |                      | $ | 8,682      |               | 
|Management fees                                                      |  |                      | 50,919     |   |                      |   | 50,664     |               | 
|Overhead allowance                                                   |  |                      | 4,110      |   |                      |   | 4,091      |               | 
|Advisory Board                                                       |  |                      | 2,189      |   |                      |   | 2,188      |               | 
|Administrative                                                       |  |                      | 13,944     |   |                      |   | 8,163      |               | 
|Professional services                                                |  |                      | 11,300     |   |                      |   | 14,254     |               | 
|Auditing                                                             |  |                      | 18,000     |   |                      |   | 18,000     |               | 
|Legal                                                                |  |                      | 12,000     |   |                      |   | 3,680      |               | 
|Property Expenses                                                    |  |                      | 10,329     |   |                      |   | 5,978      |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|TOTAL OPERATING EXPENSES                                             |  | $                    | 131,476    |   |                      | $ | 115,699    |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|INVESTIGATION AND RESTORATION EXPENSES                               |  | $                    | 0          |   |                      | $ | 45         |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|NON-OPERATING EXPENSES                                               |  |                      |            |   |                      |   |            |               | 
|Uncollectible Receivable                                             |  | $                    | 24,150     |   |                      | $ | 0          |               | 
|Depreciation                                                         |  |                      | 76,659     |   |                      |   | 66,144     |               | 
|Amortization                                                         |  |                      | 3,990      |   |                      |   | 3,807      |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|TOTAL NON-OPERATING EXPENSES                                         |  | $                    | 104,799    |   |                      | $ | 69,951     |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|TOTAL EXPENSES                                                       |  | $                    | 236,274    |   |                      | $ | 185,695    |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|NET INCOME                                                           |  | $                    | 512,277    |   |                      | $ | 823,660    |               | 
|                                                                     |  |                      |           
|                                                                     |  |                      |            |   |                      |   |            | VARIANCE      | 
|OPERATING CASH RECONCILIATION:                                       |  |                      |            |   |                      |   |            |               | 
|Depreciation and amortization                                        |  |                      | 80,649     |   |                      |   | 69,951     |               | 
|Recovery of amounts previously written off                           |  |                      | 0          |   |                      |   | (1,115     | )             | 
|Net gain on sale of properties                                       |  |                      | 0          |   |                      |   | (304,373   | )             | 
|(Increase) Decrease in current assets                                |  |                      | (230,585   | ) |                      |   | (252,110   | )             | 
|Increase (Decrease) in current liabilities                           |  |                      | 17,975     |   |                      |   | 87,133     |               | 
|(Increase) Decrease in cash reserved for payables                    |  |                      | (20,024    | ) |                      |   | (90,428    | )             | 
|Current cash flows advanced from (reserved for) future distributions |  |                      | 83,660     |   |                      |   | 91,160     |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|Net Cash Provided From Operating Activities                          |  | $                    | 443,952    |   |                      | $ | 423,879    |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|CASH FLOWS (USED IN) FROM INVESTING AND FINANCING ACTIVITIES         |  |                      |            |   |                      |   |            |               | 
|Indemnification Trust (Interest earnings reinvested)                 |  |                      | (1,500     | ) |                      |   | (876       | )             | 
|Security deposits applied                                            |  |                      | 0          |   |                      |   | (14,500    | )             | 
|Net sale proceeds from sale of properties                            |  |                      | 0          |   |                      |   | 2,018,936  |               | 
|Recovery of amounts previously written off                           |  |                      | 0          |   |                      |   | 1,115      |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|Net Cash (Used In) From Investing And Financing Activities           |  | $                    | (1,500     | ) |                      | $ | 2,004,674  |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|Total Cash Flow For Quarter                                          |  | $                    | 442,452    |   |                      | $ | 2,428,553  |               | 
|Cash Balance Beginning of Period                                     |  |                      | 902,709    |   |                      |   | 1,199,596  |               | 
|Less 2nd quarter distributions paid 8/03                             |  |                      | (443,000   | ) |                      |   | (845,000   | )             | 
|Change in cash reserved for payables or future distributions         |  |                      | (63,636    | ) |                      |   | (732       | )             | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|Cash Balance End of Period                                           |  | $                    | 838,526    |   |                      | $ | 2,782,417  |               | 
|Cash reserved for 3rd quarter 2003 L.P. distributions                |  |                      | (443,000   | ) |                      |   | (2,430,000 | )             | 
|Cash reserved for payment of accrued expenses                        |  |                      | (242,875   | ) |                      |   | (199,923   | )             | 
|Cash advanced from (reserved for) future distributions               |  |                      | (101,075   | ) |                      |   | (101,075   | )             | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|Unrestricted Cash Balance End of Period                              |  | $                    | 51,576     |   |                      | $ | 51,419     |               | 
|                                                                     |  |                      |            |   |                      |   |            |               | 
|                                                                     |  |                      |           
|                                                                     |  | PROJECTED            |            |   | ACTUAL               |   |            | VARIANCE      | 
|*  Quarterly Distribution                                            |  | $                    | 443,000    |   |                      | $ | 2,430,000  |               | 
|Mailing Date                                                         |  |                      | 11/14/2003 |   |                      |   | (enclosed  | )             | 

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* Refer to distribution letter for detail of
quarterly distribution.



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PROJECTIONS FOR

DISCUSSION PURPOSES



DIVALL INSURED INCOME PROPERTIES 2 LP

2003 PROPERTY SUMMARY

AND RELATED RECEIPTS

AS OF SEPTEMBER 30,2003



|PORTFOLIO                   |  | (Note 1)         |  | REAL ESTATE |  |                | EQUIPMENT |        |   | TOTALS |                    
|--------------------------- |  | ---------------- |  | ----------- |  | -------------- | --------- | ------ | - | ------ | -------------------
|CONCEPT                     |  | LOCATION         |  | COST        |  | ANNUALBASERENT |           | %YIELD |   |        | LEASEEXPIRATIONDATE
|APPLEBEES                  |  | COLUMBUS, OH     |  | 1,059,465   |  | 135,780        |           | 12.82  | % |        |                    
|BLOCKBUSTER                 |  | OGDEN, UT        |  | 646,425     |  | 104,500        |           | 16.17  | % |        |                    
|DENNYS                     |  | PHOENIX, AZ      |  | 972,726     |  | 65,000         |           | 6.68   | % |        |                    
|CHINESE SUPER BUFFET (4)    |  | PHOENIX, AZ      |  | 865,900     |  | 64,371         |           | 7.43   | % |        |                    
|VACANT (7)                  |  | TWIN FALLS, ID   |  | 0           |  | 30,000         |           | 4.29   | % |        |                    
|VACANT (9)                  |  | S. MILWAUKEE, WI |  |             |  |                |           |        |   |        |                    
|HARDEES (2)                |  | FOND DU LAC, WI  |  |             |  | 57,720         |           | 6.79   | % |        |                    
|HOOTERS                    |  | R. HILLS, TX     |  | 1,246,719   |  | 95,000         |           | 7.62   | % |        |                    
|DAYTONAS BAR AND GRILL (6) |  | DES MOINES, IA   |  | 845,000     |  | 60,000         |           | 7.10   | % |        |                    
|KFC                         |  | SANTA FE, NM     |  | 451,230     |  | 60,000         |           | 13.30  | % |        |                    
|MIAMI SUBS (9)              |  | PALM BEACH, FL   |  | 743,625     |  | 55,000         |           | 7.40   | % |        |                    



|Note | 1: This property summary includes only property and equipment held by the Partnership during 2003.
|---- | --------------------------------------------------------------------------------------------------

| | 2: | These leases were assumed by Hardees Food Systems at a reduced rental rate from that stated in the original leases. The property was sold in July 2003 at a sales price of
$720,000.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 3: | Village Inn vacated the property in February 2002; however, Village Inn was charged monthly rent until a lease termination and settlement agreement was executed in June 2003. (The
charges were not recorded for accounting purposes beginning January 2003.) The Partnership received a $50,000 lease termination fee from Village Inn. The property was leased to a new tenant, Panda Buffet, in February 2003 and rent commenced in July
2003.
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 4: | Chinese Super Buffet obtained possession of the property in August 2002 and rent commenced in January 2003.
| | -- | -----------------------------------------------------------------------------------------------------------

| | 5: | Tenant, Paul Bouraxis, executed agreement to purchase property at a price of $825,000. Closing was July 28, 2003.
| | -- | -----------------------------------------------------------------------------------------------------------------

| | 6: | Hickory Parks lease expired on December 31, 2002; however, Management executed a 5 year lease directly with the subtenant, Daytonas Bar and Grill.
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------

| | 7: | The Partnership received $30,000 in past rent upon eviction of Fiesta Time from the property in February 2003. Management executed a contract to sell the property in the Third
Quarter of 2003 for $555,000. The closing date was August 2003.
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 8: | Although the property continues to operate as a Miami Subs restaurant a new lease was executed in the Fourth Quarter of 2002.
| | -- | -----------------------------------------------------------------------------------------------------------------------------

| | 9: | The property was sold in April 2003 for a sales price of $450,000.
| | -- | ------------------------------------------------------------------



Page 1 of 2



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PROJECTIONS FOR

DISCUSSION PURPOSES



DIVALL INSURED INCOME PROPERTIES 2 LP

2002 PROPERTY SUMMARY

AND RELATED RECEIPTS



|PORTFOLIO                                   |  | (Note 1)           |  | REAL ESTATE |  |                | EQUIPMENT |        |   | TOTALS |                    
|------------------------------------------- |  | ------------------ |  | ----------- |  | -------------- | --------- | ------ | - | ------ | -------------------
|CONCEPT                                     |  | LOCATION           |  | COST        |  | ANNUALBASERENT |           | %YIELD |   |        | LEASEEXPIRATIONDATE
|OMEGA RESTAURANT (5)                        |  | MILWAUKEE, WI      |  |             |  | 56,361         |           | 5.58   | % |        |                    
|                                      
   |  |                  |  |             |  |                |           |        |   |        |                    
|                                      
   |  |                  |  |             |  |                |           |        |   |        |                    
|POPEYES                                    |  | PARK FOREST, IL    |  | 580,938     |  | 77,280         |           | 13.30  | % |        |                    
|SUNRISE PRESCHOOL                           |  | PHOENIX, AZ        |  | 1,084,503   |  | 123,318        |           | 11.37  | % |        |                    
|                                            |  |                    |  |             |  |                |           |        |   |        |                    
|PANDA BUFFET ( FORMERLY VILLAGE INN) (3)    |  | GRAND FORKS, ND    |  | 739,375     |  | 16,250         |           | 2.20   | % |        |                    
|                                            |  |                    |  |             |  |                |           |        |   |        |                    
|WENDYS                                     |  | AIKEN, SC          |  | 633,750     |  | 90,480         |           | 14.28  | % |        |                    
|WENDYS                                     |  | CHARLESTION, SC    |  | 580,938     |  | 77,280         |           | 13.30  | % |        |                    
|WENDYS                                     |  | N. AUGUSTA, SC     |  | 660,156     |  | 87,780         |           | 13.30  | % |        |                    
|WENDYS                                     |  | AUGUSTA, GA        |  | 728,813     |  | 96,780         |           | 13.28  | % |        |                    
|WENDYS                                     |  | CHARLESTON, SC     |  | 596,781     |  | 76,920         |           | 12.89  | % |        |                    
|WENDYS                                     |  | AIKEN, SC          |  | 776,344     |  | 96,780         |           | 12.47  | % |        |                    
|WENDYS                                     |  | AUGUSTA, GA        |  | 649,594     |  | 86,160         |           | 13.26  | % |        |                    
|WENDYS                                     |  | CHARLESTON, SC     |  | 528,125     |  | 70,200         |           | 13.29  | % |        |                    
|WENDYS                                     |  | MT. PLEASANT, SC   |  | 580,938     |  | 77,280         |           | 13.30  | % |        |                    
|WENDYS                                     |  | MARTINEZ, GA       |  | 633,750     |  | 84,120         |           | 13.27  | % |        |                    
|                                            |  |                    |  |             |  |                |           |        |   |        |                    
|PORTFOLIO TOTALS                            |  |                    |  | 15,605,095  |  | 1,844,361      |           | 11.82  | % |        |                    
|                                            |  |                    |  |             |  |                |           |        |   |        |                    



|Note | 1: This property summary includes only property and equipment held by the Partnership during 2003.
|---- | --------------------------------------------------------------------------------------------------

| | 2: | These leases were assumed by Hardees Food Systems at a reduced rental rate from that stated in the original leases. The property was sold in July 2003 at a sales price of
$720,000.
| | -- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 3: | Village Inn vacated the property in February 2002; however, Village Inn was charged monthly rent until a lease termination and settlement agreement was executed in June 2003. (The
charges were not recorded for accounting purposes beginning January 2003.) The Partnership received a $50,000 lease termination fee from Village Inn. The property was leased to a new tenant, Panda Buffet, in February 2003 and rent commenced in July
2003.
| | -- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 4: | Chinese Super Buffet obtained possession of the property in August 2002 and rent commenced in January 2003.
| | -- | -----------------------------------------------------------------------------------------------------------

| | 5: | Tenant, Paul Bouraxis, executed agreement to purchase property at a price of $825,000. Closing was July 28, 2003.
| | -- | -----------------------------------------------------------------------------------------------------------------

| | 6: | Hickory Parks lease expired on December 31, 2002; however, Management executed a 5 year lease directly with the subtenant, Daytonas Bar and Grill.
| | -- | ----------------------------------------------------------------------------------------------------------------------------------------------------

| | 7: | The Partnership received $30,000 in past rent upon eviction of Fiesta Time from the property in February 2003. Management executed a contract to sell the property in the Third
Quarter of 2003 for $555,000. The closing date was August 2003.
| | -- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| | 8: | Although the property continues to operate as a Miami Subs restaurant a new lease was executed in the Fourth Quarter of 2002.
| | -- | -----------------------------------------------------------------------------------------------------------------------------

| | 9: | The property was sold in April 2003 for a sales price of $450,000.
| | -- | ------------------------------------------------------------------



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