FOR AGE ORBIT INC. CONSOLID A TED ST A TEMENTS OF RET AINED EARNINGS (DEFICIT) Y ears ended January 31, 2007 and 2006 2007 2006 $$ BALANCE, BEGINNING OF YEAR .................................. 1,138,434 (291,136) NET EARNINGS ................................................. 6,138,526 1,429,570 REFUND ABLE T A XES RECO VERED ................................. 23,625 — 7,300,585 1,138,434 REFUND ABLE T A XES P A Y ABLE .................................... 18,173 — RELA TED P A R TY TR ANS A CTIONS ADJUSTMENTS (Note 13) ............. 171,393 — INCREA SE OF P AID -UP CAPIT AL (Note 9) Class B shares .................................................. 6,808,510 — DIVIDEND ON CLA SS B SHARES ................................... 351,005 — 7,349,081 — BALANCE, END OF YEAR ......................................... (48,496) 1,138,434 F-30