Cinch Energy Corp., Annual General Meeting, May 12, 2010

Cinch Energy Corp. reported audited earnings results for the full year ended December 31, 2009. For the period, total revenue was $17,844,854 against $30,439,110 a year ago. Income loss before income taxes was $12,073,587 against income before income taxes of $2,192,648 a year ago. Net loss and comprehensive loss for the year was $8,903,987 or $0.16 per basic and diluted share against net income and comprehensive income for the year of $1,166,727 or $0.02 per basic and diluted share a year ago. Cash provided by operating activities was $7,503,606 against $22,496,161 a year ago. Additions to property, plant and equipment was $10,971,263 against $32,013,808 a year ago. The company's funds from operations for the three months and year ended December 31, 2009, decreased by 52% and 56%, respectively, over the same periods of 2008. Funds from operations in 2009 were lower due to decreased revenue primarily attributable to lower realized commodity prices, partially offset by increased production year over year. As at December 31, 2009, net debt was $29,444,000 against $35,308,000 a year ago.

Cinch Energy Corp. reported earnings results for the fourth quarter and full year ended December 31, 2009. The company reported that loss for the three-month period ended Dec. 31 was $1.5 million compared with $1.4 million in the prior-year period. Both losses amounted to three cents a share. Quarterly revenue fell to $5.8 million from $9.7 million as production fell to the equivalent of 2,065 barrels of oil per day compared with 2,501 in the 2008 quarter. Apart from the drop in sales, Cinch it blamed the bigger loss on higher corporate expenses. The company saw its 2009 fourth-quarter loss widen only slightly despite a 40% drop in revenue. Full-year revenues dropped to $22.1 million from $40.6 million amid lower commodity prices. The company provided capital expenditure guidance for the full year 2010. The company has budgeted $60 million for its 2010 capital program.