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INDEPENDENT AUDITOR'S REPORT
<br />To the Board of Directors of
<br />BERGLUND CONSTRUCTION COMPANY AND AFFILIATES
<br />Chicago, Illinois
<br />We have audited the accompanying combined financial statements of BERGLUND CONSTRUCTION
<br />COMPANY and combined entities, ENDURANCE, LLC and SOUTH CHICAGO HOLDINGS, LLC (the
<br />"Company"), which comprise the combined balance sheets as of December 31, 2019 and 2018, and the
<br />related combined statements of income, equity and cash flows for the years then ended, and the related
<br />combined notes to the financial statements.
<br />Management's Responsibility for the Financial Statements
<br />Management is responsible for the preparation and fair presentation of these combined financial
<br />statements in accordance with accounting principles generally accepted in the United States of America;
<br />this includes the design, implementation, and maintenance of internal control relevant to the preparation
<br />and fair presentation of combined financial statements that are free from material misstatement, whether
<br />due to fraud or error.
<br />Auditor's Responsibility
<br />Our responsibility is to express an opinion on these combined financial statements based on our audit.
<br />We did not audit the Investment —American Contractors Insurance Group, Ltd. (ACIG). This was audited by
<br />other auditors. This investment was reported in the combined balance sheets at $1,875,140 and
<br />$1,605,164 at December 31, 2019 and 2018, respectively. We also did not audit the associated change in
<br />this investment, which decreased cost of earned revenues $269,976 and increased cost of earned revenues
<br />$241,483 in the years ended December 31, 2019 and 2018, respectively. These investment amounts are
<br />valued using an allocated portion of ACIG shareholders' equity, which the Company believes is the best
<br />measurement of fair value. The ACIG shareholder equity amounts and changes in value were audited by
<br />another auditor, and their report was provided to us. Our opinion, insofar as it relates to the amounts
<br />related to these investments, is based solely on the report of the other auditors.
<br />We conducted our audit in accordance with auditing standards generally accepted in the United States of
<br />America. Those standards require that we plan and perform the audit to obtain reasonable assurance about
<br />whether the combined financial statements are free from material misstatement.
<br />An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in
<br />the combined financial statements. The procedures selected depend on the auditor's judgment, including
<br />the assessment of the risks of material misstatement of the combined financial statements, whether due
<br />to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the
<br />Company's preparation and fair presentation of the combined financial statements in order to design audit
<br />procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on
<br />the effectiveness of the Company's internal control. Accordingly, we express no such opinion. An audit
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