IN THE COURT OF COMMON PLEAS OF PHILADELPHIA COUNTY

                          FIRST JUDICIAL DISTRICT OF PENNSYLVANIA

                                    CIVIL TRIAL DIVISION


                                           - - -

                  LEROY AND CAROL STOUT, H/W     :  OCTOBER TERM, 1998

                      VS.

                  PORTEC, INC., AND LABOR READY, :  NO. 653
                  INC., AND MORRISVILLE SUPPLY CORP.

                                           - - -

                                 COURTROOM 253, CITY HALL
                                 PHILADELPHIA, PENNSYLVANIA

                                           - - -

                                       MAY 2, 2001

                                           - - -

                  BEFORE:  HONORABLE VICTOR J. DI NUBILE
                                         AND A JURY

                                           - - -





                       GEORGE D'ANGELIS, RPR, OFFICIAL COURT REPORTER
                                    LAND TITLE BUILDING
                                    100 S. BROAD STREET
                                        SECOND FLOOR
                             PHILADELPHIA, PENNSYLVANIA, 19110
                                       (215) 683-8056


                                           - - -
 









                  APPEARANCES:


                               BY: FRANK D. BRANELLA, ESQUIRE
                               MARC SYKEN, ESQUIRE
                               COUNSEL FOR THE PLAINTIFFS



                               LAW FIRM: POST AND SCHELL, P.C.
                               BY:  GLENN M. CAMPBELL, ESQUIRE
                               COUNSEL FOR LABOR READY INC.



                               LAW FIRM:  EISEMAN, MYERS & LIERO
                               BY:  STEVEN LIERO, ESQUIRE
                               COUNSEL FOR MORRISVILLE SUPPLY CORP.



                               STRADLEY RONON STEVENS & YOUNG, LLP
                               BY:  JEFFREY A. LUTSKY, ESQUIRE
                               HOUSE COUNSEL FOR PORTEC, INC.


                               CHAMBLISS, BAHNER AND STOPHEL
                               WILLIAM DEARING, ESQUIRE
                               COUNSEL FOR PORTEC, INC.
 







                                           INDEX
                                           _____

                  WITNESSES:

                                      DIRECT   CROSS   REDIRECT  RECROSS

                  EMIL MATARESE         5        83       207
                                                197
                                                205

                  TIMOTHY MICHALS     211       227       246      247
 
                                                                             4




         1

         2                         MORNING_SESSION
                                   _______ _______

         3

         4

         5                          (THE FOLLOWING TRANSPIRED IN

         6               OPEN COURT, IN THE PRESENCE OF THE JURY:)

         7                           THE COURT:  NOW, MR. BRANELLA,

         8               YOU MAY PROCEED.

         9                           MR. BRANELLA:  AT THIS TIME I

        10               WOULD CALL DR. MATARESE.

        11                           COURT CRIER:  PLEASE STATE YOUR

        12               NAME FOR THE RECORD.

        13                           THE WITNESS:  EMIL L. MATARESE,

        14               M.D.

        15                           COURT CRIER:  PLACE YOUR RIGHT

        16               HAND ON THE BIBLE.

        17                     DO YOU SWEAR THAT YOU WILL ANSWER

        18               TRUTHFULLY ALL QUESTIONS PUT TO YOU

        19               TOUCHING THE MATTER NOW BEFORE THIS COURT

        20               SO HELP YOU GOD?

        21                           THE WITNESS:   I DO.

        22

        23

        24                         -      -      -
 
                                                                             5




         1                        DIRECT EXAMINATION

         2                         -      -      -

         3        BY MR. BRANELLA:

         4        Q.     COULD YOU PLEASE INTRODUCE YOURSELF TO THE

         5        LADIES AND GENTLEMEN OF THE JURY?

         6        A.     MY NAME EMIL MATARESE.  I AM A NEUROLOGIST

         7        IN PRIVATE PRACTICE IN BUCKS COUNTY, PENNSYLVANIA.

         8        Q.     COULD YOU PLEASE TELL US WHAT YOUR

         9        EDUCATIONAL BACKGROUND IS?

        10        A.     MY UNDERGRADUATE STUDIES WERE AT RUTGERS

        11        UNIVERSITY IN NEW BRUNSWICK WHERE I GRADUATED WITH