On 3 of August 2012, subject lot was inspected at the warehouse in Gastonia, NC. The bales had been segregated at the rear of the facility. The lot consisted of 87 bales of American Pima cotton all produced by Gin “Cross Creek Ginning Co.” and had a net weight of 43,201 Lbs. The cotton was found stowed in a dark warehouse with two groups of two tiers. All bales were in contact with each other and no slip-sheets were employed. The warehouse contained no other cotton bales but had tools and furniture stowed in near proximity. The bales were stacked on end, four across and the last row only the top tier stowed horizontally. The bales demonstrated floor stains, sampling holes and 9 bales had marker marks indicating that odor was found present in that bale. Of the 87 bales only 9 were so marked. No floor protection was noted with bales sitting directly on the dirty floor. Minimum air circulation was noted and the odor was detectable when in close proximity to the stack of bales. The exact amount of damages cannot be determined without handling. Load may have been stored in current location since December of 2011. Please see enclosed photos for depiction of lot current condition.