We continue the approach toward a purely combinatorial "virtual" intersection cohomology for possibly non-rational fans, based on our investigation of equivariant intersection cohomology for toric varieties (see math.AG/9904159). Fundamental objects of study are "minimal extension sheaves" on "fan spaces". These are flabby sheaves of graded modules over a sheaf of polynomial rings, satisfying three relatively simple axioms that characterize the properties of the equivariant intersection cohomology sheaf on a toric variety, endowed with the finite topology given by open invariant subsets. These sheaves are models for the "pure" objects of a "perverse category"; a "Decomposition Theorem" is shown to hold. -- Formalizing those fans that define "equivariantly formal" toric varieties (where equivariant and non-equivariant intersection cohomology determine each other by Kunneth type formulae), we study "quasi-convex" fans (including fans with convex or with "co-convex" support). For these, there is a meaningful "virtual intersection cohomology". We characterize quasi-convex fans by a topological condition on the support of their boundary fan and prove a generalization of Stanley's "Local-Global" formula realizing the intersection Poincare polynomial of a complete toric variety in terms of local data. Virtual intersection cohomology of quasi-convex fans is shown to satify Poincare duality. To describe the local data in terms of virtual intersection cohomology of lower-dimensional complete polytopal fans, one needs a "Hard Lefschetz" type theorem. It requires a vanishing condition that is known to hold for rational cones, but yet remains to be proven in the general case.

41 pages, Plain TeX ("private" macros included), submitted for publication