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L ' <br /> OPERATING AGREEMENT <br /> OF <br /> PHAT FREDDIES, LLC <br /> DATE: Effective 08/31/2007 <br /> PARTY: RICK A. MAURMANN ("Member") <br /> RECITAL <br /> The party to this agreement(the"Member")is signing this agreement for the <br /> purpose of forming a limited liability company under the Limited Liability Company Act <br /> of the State of Oregon(the"Act"). <br /> AGREEMENTS: <br /> 1. FORMATION <br /> 1.1 Name. The name of the limited liability company (the"Company")is <br /> Phat Freddies,LLC. <br /> 1.2 Articles of Organization. Articles of Organization for the Company <br /> were filed with Secretary of the State of Oregon on 08/31/07. <br /> 1.3 Duration. The Company will exist until dissolved as provided in this <br /> agreement. <br /> 1.4 Principal Office. The Company's principal office will initially be at <br /> 3469 Broken Arrow Loop NW,Salem,OR 97304 but may be relocated by <br /> the Manager at any time. <br /> 1.5 Designated Office and Agent for Service of Process. The Company's <br /> initial designated office will be same as principal office and the name of its <br /> initial agent for service of process at that address will be the Member. The <br /> Company's designated office and its agent for service of process may only <br /> be changed by filing notice of the change with the Secretary of State of the <br /> State of Oregon. <br /> Page 1—OPERATING AGREEMENT <br /> 1.6 Purposes and Powers. The Company is formed for the purpose of <br /> engaging in the business of real estate investment. The Company has the <br />