Consolidated Statements of Operations and Deficit 2010 2009 Expenses Stock-based compensation (note 12(d)) 1,227,420 $ 1,416,204 $ General and administration (notes 14(c) and (d)) 1,018,132 1,168,403 Legal, accounting and audit 235,148 280,086 Shareholder communications 130,793 290,739 Travel 120,285 241,381 Regulatory compliance and filing 29,886 46,160 Amortization 18,273 13,624 2,779,937 3,456,597 Loss before other items (2,779,937) (3,456,597) Other (note 17) (162,749) (41,320) Loss from operations before income taxes (2,942,686) (3,497,917) Current income tax (801) (1,033) Future income tax recovery 6,900 - Net loss and comprehensive loss for the year (2,936,587) (3,498,950) Deficit, Beginning of the year (9,416,319) (3,380,041) Charge to Deficit on Mill Acquistion (note 14(a)) - (2,537,328) Deficit, End of the year (12,352,906) $ (9,416,319) $ Loss Per Share Basic and diluted  (0.02) $ (0.02) $ Weighted average number of common shares outstanding 156,003,110 150,492,713 For the years ended June 30, See accompanying notes to consolidated financial statements. 23 | P a g e MONUMENT MINING LIMITED