CORNING NATURAL GAS CORPORATION AND SUBSIDIARY

Consolidated Statements of Stockholders' Equity

For the Years Ended September 30, 2000 and 1999

Accumulated

Additional

Other

Common

Paid in

Retained

Comprehensive

Stock

Capital

Earnings

Income

Total

Balances at September 30, 1998

$2,300,000

$653,346

$2,403,489

$39,644

$5,396,479

Comprehensive Income:

Change in unrealized gain on

securities available for sale, net of

income taxes of $13,002

---

---

---

25,239

25,239

Net income

---

---

437,948

---

437,948

Total comprehensive income

---

---

437,948

25,239

463,187

Dividends - $1.63 per share

---

---

(747,500)

---

(747,500)

Balances at September 30, 1999

2,300,000

653,346

2,093,937

64,883

5,112,166

Comprehensive Income:

Change in unrealized gain on

securities available for sale, net of

income taxes of $33,952

---

---

---

65,907

65,907

Net Income

---

---

471,452

---

471,452

Total comprehensive income

---

---

471,452

65,907

537,359

Dividends - $1.30 per share

---

---

(598,000)

---

(598,000)

Balances at September 30, 2000

$2,300,000

$653,346

$1,967,389

$130,790

$5,051,525

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See accompanying notes to consolidated financial statements.