ORBIT GAR ANT DRILLING INC CONSOLID A TED BALANCE SHEET March 31 June 30 2008 2007 unaudited AS SETS CURRENT A SSETS Cash 788082 Cash in trust 188556 A ccounts receivable 18961715 12510821 Inventories 17376352 10518346 P repaid expenses 654656 249402 37780805 23467125 LONG TERM INVESTMENTS Note 5 740158 402116 CAPIT AL A SSETS Note 6 20225622 18612212 GOOD WILL Note 7 18572965 17422044 INT ANGIBLE A SSETS Note 7 9228564 12245065 86548114 72148562 LIABILITIES CURRENT LIABILITIES Bank overdraft Note 8 488422 1494525 Bank loan Note 8 6700000 1500000 A ccounts payable and accrued liabilities 12715949 7228104 Client deposits 988151 469355 Earnout payable noninterest bearing 1125000 2000000 A dvances from shareholders noninterest bearing no specific term of repayment 965632 631198 Income taxes payable 1163285 2049122 Current portion of longterm debt Note 9 4593114 3596702 Current portion of obligations under capital leases Note 10 38873 28778426 18969006 LONG TERM DEBT Note 9 19176757 20877193 OBLIG A TIONS UNDER CAPIT AL LEA SES Note 10 195118 FUTURE INCOME T A XES Note 12 4914772 6707193 53065073 46553392 COMMITMENTS Note 3 and 14 SHAREHOLDERS EQUITY Share capital Note 11 23791436 23726436 R etained earnings 9726129 1899093 A ccumulated other comprehensive loss 34524 30359 9691605 1868734 33483041 25595170 86548114 72148562 APPRO VED B Y THE BO ARD Signed E RIC A LEXANDRE Signed J AMES C J OHNSON Director Director F8