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BULLETIN

TO:              All Company Locations and Agency Managers

FROM:         Jim Uecker

                   John Cleaveland

DATE:          August 15, 2002

SUBJECT:    LENDER ALERT

As you may be aware, Conseco, Inc., the parent of Conseco Finance Corp. (“CFC”), has been experiencing significant financial difficulties.  Although the potential impact of these problems on CFC is uncertain, it is recommended that from this date forward each transaction involving CFC be monitored closely.  Prior to disbursing funds on a CFC transaction, please make sure all appropriate “good funds” procedures have been closely followed or that you have received a wire transfer or cashiers check.

If any questions should arise or if you experience any difficulties with the settlement of a CFC transaction, please contact your manager or state counsel immediately.