Dear Shareholders

1. Biomass: Renewable Energy, Lower Electrical Costs and a Self Sustaining Capability in our borough are vital. Everybody understands the high costs of living in Yakutat. Our Biomass project represents an exciting opportunity to address our high costs of energy head –on. Also, through effective use of biomass resources we will reduce our dependence on fossil fuel, improve our land, protect our environment and stimulate our local economy. YTK is taking the lead in the development of renewable energy sources and creating the innovate paths of emerging electrical/heat generation. In synchronization with the city, tribe and the forest service, YKT is leading a biomass project. Although still in its infancy, we have reached major benchmarks in definition and are out fundraising for further development. An acre of energy crops has been planted for research. I will post progress of this development on our new web site.