FOR AGES GAR ANT & FR ` ERES INC. ST A TEMENTS OF EARNINGS 3-month period ended September 30, Y ears ended June 30, 2006 2006 2005 (restated) (restated) $$ $ CONTR A CT REVENUE ................................ 6,481,279 24,641,773 28,003,588 COST OF CONTR A CT REVENUE ........................ 4,557,109 21,193,043 25,145,277 GROSS PROFIT ...................................... 1,924,170 3,448,730 2,858,311 EXPENSES General and administrative ............................. 444,742 813,178 764,287 Amortization of capital assets ........................... 176,927 738,523 734,846 Gain on sale of capital assets ............................ (11,513) (4,022) (56,887) Gain on sale of long-term investments ..................... — (5,837) — Interest on long-term debt .............................. 20,136 68,482 67,702 Interest and bank charges .............................. 54,023 121,369 34,421 684,315 1,731,693 1,544,369 EARNINGS BEFORE THE FOLLOWING ITEMS ............ 1,239,855 1,717,037 1,313,942 OTHER REVENUE ................................... 4,394 25,895 185,513 INCOME BEFORE BONUSES AND INCOME T A XES ......... 1,244,249 1,742,932 1,499,455 DIRECTORS BONUSES ................................ — — 1,150,000 EARNINGS BEFORE INCOME T A XES .................... 1,244,249 1,742,932 349,455 INCOME T A XES (Note 9) Current ........................................... 440,099 578,575 54,511 F uture ............................................ (11,046) 81,550 17,175 429,053 660,125 71,686 NET EARNINGS ..................................... 815,196 1,082,807 277,769 Earnings per share (Note 8) Basic ............................................. 8,151.96 10,827.07 2,777.69 Diluted ........................................... 8,151.96 60.83 11.72 F-45