Good day ladies and gentlemen and welcome to the first quarter 2008 financial release and 2008 annual stockholders’ meeting conference call. My name is Jahida and I will be your coordinator for today. At this time all participants are in listen only mode. We will be facilitating a question and answer session towards the end of this conference. (Operator Instructions) As a reminder, this conference is being recorded for replay purposes. I would now like to turn the presentation over to your host for today’s call Mr. Mark Harding, President. Please proceed.

Good afternoon everyone. I’d like to welcome you to Pure Cycle Corporations 2008 annual stockholder meeting and first quarter ended November 30, 2007 earnings release. My name is Mark Harding and I’m the president of Pure Cycle and I will act as chairman for this meeting. I’d like to welcome the other members of the board of directors. If you could just raise your hand I’d like to welcome our chairman, Mr. Harry Augar, Mr. Mark Campbell, Mr. Art Epker, Mr. Dick Guido, Mr. Peter Howell and Mr. George Middlemas. In order to conduct this meeting in an orderly fashion we’ve adopted the order of business as noted in the agenda provided to everyone attending the meeting and on the presentation which you can access through our website at www.PureCycleWater.com on page 3 of the slide show. We ask you in all fairness to the stockholders and investors joining us, everyone please adhere to this agenda. Mr. Scott Lehman the secretary of the company will act as secretary of the meeting and I hereby appoint Mr. Patrick Hayes of Computer Share Trust Company, our transfer agent, as the inspector of elections for the meeting and I ask that he subscribe his oath of office and file it with the secretary if he’s not already done so. As I mentioned we will have a brief presentation that will outline our first quarter financial results. You can tag along with the presentation through the slide show. You’ll have to advance those slides yourself as you access that through our website. I’ll try and note the transition of the slides as we move through the presentation. The board of directors has fixed December 6, 2007 as the record date for determination of stockholders entitled to notice of and to vote at this annual meeting or any postponement or adjournment there of. Mr. Lehman, secretary of the meeting please report on the notice of this meeting the presence of the forum and the affidavit of mailing.

Mr. Chairman, I present to the meeting the following: a certified list of holders of common stock of the company as of the close of business on December 6, 2007, our record date for determining stock holders entitled to notice of and to vote at this meeting. This list has been prepared by Computer Share Trust Company, the company’s transfer agent and has been on file by the company’s office and open to inspection by any stockholder for 10 days prior to this meeting. The list is available and subject to inspection by any stock holder during the meeting. According to such list, on December 6, 2007 there were outstanding an entitled to vote at this meeting 20,206,568 shares of the company’s common stock; each entitled to one vote. Stockholders who hold a total of over 17,469,059 are present in person or represented by proxy. This represents approximately 86.45% of the outstanding shares entitled to vote at this meeting. On the basis of that report and the provisions of the company’s bylaws and certificate of incorporation which state that a quorum shall consist of the majority of the shares entitled to vote, I declare that a quorum is present. I also present an affidavit of Daniel O’Connel, a customer service represented for Bound Marketing Business Communications as to the mailing on or about December 18, 2007 of: one, the notice of this meeting; two, a proxy statement dated December 14, 2007; and three, a proxy card for all holders of record of common stock of the company for which we had a current address as of the close of business on December 6, 2007. Copies of these materials are attached as exhibits to the affidavit.

Thank you Mr. Secretary. Please file these materials with the minutes of this meeting. Having a quorum we will proceed with the business of the meeting and the first quarter earnings release. A press release has been distributed and the company’s Form 10Q has been filed with the Securities & Exchange Commission on January 9, 2008. The press release as well as the Form 10Q is available at the company’s website. If we turn to the first Slide, the first Slide is a Safe Harbor statement that says that investors are cautioned that statements are not historical facts, are forward-leaning statements that involve risks and uncertainties that could cause actual results to differ materially from projected results. As I think most of you are familiar with forward-leaning statements – as we move on we’ve kind of gone over the agenda. I’d like to highlight some of the significant events for the first quarter. Really two areas standout in terms of highlights. The most active one will be the repurchase of an additional $4.7 million of CAA interest. In October, 2007 the company issued 211,000 shares of restricted stock to the owners of those interests. From an accounting journal entry standpoint to further – if that’s affected, no good dead goes unpunished. It did result in the company taking a loss of $273,000 and that’s a function of how we account for what the balance was booked for, what we retired that out for from the value of the stock that was given in consideration. As of November 30, 2007 the remaining positions held by third party to the CAA agreement resulted in approximately $3.5 million. So, that interest started out around $36 million and we boiled that down to around $3.5 million. I think that’s a favorable aspect for the…

(Operator Instructions)

If there’s no questions and you think of something later, please feel free to give me a call. I’d be more than happy to answer any questions. Or, if you’re listening to this on a re-broadcast and you have any questions, please don’t hesitate to give me a call at the office. I’d be more than happy to address any questions you might have. If there are questions, you can chime in; otherwise we will move on to the proxy items. Thank you all. We’ll conclude this call. Moderator, thank you for your participation. We look forward to our next quarterly update in March.

Thank you for your participation in today’s conference. This concludes the presentation. You may now disconnect. Good day.