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<br /> <br /> <br />Of'. ,w; <br />l~'!!; ':> <br />'hl.~p <br /> <br /> <br />Equipment Replacement Plan <br /> <br />BACKGROUND <br /> <br />The following is an equipment rep.acement plan intended to be implemented, funding <br />permitting, over the five-year pericd from 2001-2005. <br /> <br />It has been organized in three pans: <br />· A general overview of the major directions we are moving with respect to equipment. <br />· A spncific breakdown of the equipment we feel should be purchased in 2001. <br />· A general breakdown of th(3 equipment to be purchased in 2002, 2003, 2004 and <br />beyold <br /> <br />The yearly equipment purchase lists are based on our previous equipment purchases, our <br />best assessment of the condition of our current equipment, financial standing and how to best <br />continue integration of a new equipment format. <br /> <br />Several factors are considered whl3n determining what will need to be purchased, and when. <br />Equipment v/ill only be replaced when it has outlived its useful life, Useful life is determined by <br />examining the following factors. <br /> <br />· Does the equipment function reliably? <br />· Does it cost more to repair it than to replace it? <br />· Whai is the length of repair? The frequency of repairs? <br />· Are parts and support readly available? <br /> <br />The recommendations being madE for new equipment purchases are based on several <br />factors. <br /> <br />· Reliability and accessibility of the manufacturer <br />· Flexibility of use, both alone and within systems <br />· Industry standards and trends <br />· Our production needs <br />· Wha1 we can afford and when <br /> <br />8 <br />