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NOTICE OF TRUSTEE'S SALE

| June 5, 2006 9:00 PM

NOTICE IS HEREBY GIVEN that on September 11, 2006, at 11:00 a.m. the office of Catherine L. Dullea, Attorney at Law, as Successor Trustee, 101 N. Fourth Avenue Suite 204, Sandpoint, ID, will sell at public auction to the highest bidder, for cash in lawful money of the United States of America, all payable at the time of sale, the following real property situated in the County of Bonner, State of Idaho, described as follows:

The portion of the South Half of Section 22, Township 59 North, Range 1 West, Boise Meridian, Bonner County, Idaho, described as follows:

The North 169.75 feet to the following described tract:

Beginning at a point which is North a distance of 2220.9 feet; thence East a distance of 2621.6 feet from the Southwest corner of said Section 22; thence West a distance of 676.7 feet to the centerline of the public road; thence Southwesterly along said centerline around a curve to the right with a radius of 200.0 feet a distance of 6.7 feet; thence South 14o06'45" West a distance of 332.0 feet; thence around a curve to the left with a radius of 200.0 feet a distance of 1.6 feet; thence East a distance of 759.6 feet; thence North a distance of 330.0 feet to the point of beginning. Also known as the Northerly one half portion of Lot 17C of Sand Creek Estates unrecorded Plat.

The Trustee has no knowledge of a more particular description of the above-described real property, but for purposes of compliance with Idaho Code S60-113, information may be obtained from Catherine L. Dullea, Attorney at Law, Telephone (208)265-2276.

Said sale will be made, without covenant or warranty regarding title, possession or encumbrances, to satisfy the obligations secured by and pursuant to the power of sale conferred in the Deed of Trust executed by KATHLEEN SHIPPY, a single woman, as Grantor to Sandpoint Title Insurance, as Trustee, and said Trustee having resigned and the Beneficiary having appointed Catherine L. Dullea, Attorney at Law, as Successor Trustee, for the benefit and security of BETTY HEINE, an unmarried woman, as Beneficiary, said Deed of Trust having been recorded on May 2, 2000, as Instrument No. 563157, official records of Bonner County, Idaho.

THE ABOVE GRANTOR IS NAMED TO COMPLY WITH S45-1506(4)(a) IDAHO CODE. NO REPRESENTATION IS MADE THAT SHE IS, OR IS NOT, PRESENTLY RESPONSIBLE FOR THIS OBLIGATION.

The default for which the sale is to be made is the failure of the Grantor and/or assumptive Grantor(s) to make monthly payments of $519.50, each, for the months of June, July, August, September, October, November, December, 2002, the full year of 2003, 2004, 2005, January, February, March and April, 2006, failure to pay late fees of $100.00, each, for the same months, failure to pay escrow fees of $5.00, each, for the same months, failure to pay attorney fees of $60.06, and failure to pay the 2003, 2004 and the first 1/2 of 2005 real property taxes.

The balance owing as of the date hereof on the obligation secured by said Deed of Trust is the amount of $29,966.71, plus accrued interest at the rate of 13.50% per annum from May 14, 2002, plus any other costs or expenses associated with this obligation or foreclosure as provided by the Deed of Trust or Deed of Trust Note or by Idaho law.

DATED this 4th day of May, 2006.

CATHERINE L. DULLEA, CHTD.

Successor Trustee

Attorney at Law

101 N. Fourth Avenue, Suite 204

Sandpoint, Idaho 83864

PHONE: (208) 265-2276

FAX: (208) 265-1556

Legal SNP# 7846

May 16, 23, 30, June 6, 2006