See Accompanying Notes to the Financial Statements  COMMANDER RESOURCES LTD.  Statements of Income For the Years Ended December 31 (An Exploration Stage Company) (Expressed in Canadian dollars) Note 2012 2011 Expenses Accounting and audit  $ 91,735  $ 156,420 Administration and others 161,484 208,909 Amortization 4,266 6,587 Consulting 68,900 127,313 Investor relations and promotion  152,287 192,673 Legal 21,559  31,671  Salaries and benefits 209,448 242,365 Share-based payments 14(c) 100,002 425,121 (809,681) (1,391,059) Other items Exchange loss (10,811) (14,082) Royalty income  9(g)(iii)  15,476 - Loss on investment in securities - (73,885) Impairment loss on available-for-sale marketable securities 6 (471,486) - Write-down of exploration and evaluation assets 9(h) (916,789) (3,958,279) Share of loss and dilution loss in associate 10 (264,852) - Gain on disposal of subsidiary 10 3,186,676 - Income (loss) before income taxes 728,533 (5,437,305) Deferred tax recovery 195,938 1,462,492 Net income (loss) for the year $ 924,471  $ (3,974,813) Income (loss) for the year attributable to: Non-controlling interest $ (19,955) $ (29,936) Common shareholders 944,426 (3,944,877) $ 924,471  $ (3,974,813) Earnings (loss) per share - basic and diluted $ 0.009  $ (0.041) Weighted average number of common shares outstanding  99,972,056  96,681,645  - 2 - 