|CORNING NATURAL GAS CORPORATION AND SUBSIDIARY               |                                                      |            |           
|------------------------------------------------------------ | ---------------------------------------------------- | ---------- | ----------
|Consolidated Statements of Stockholders' Equity              |                                                      |            |           
|For the Years Ended September 30, 2000 and 1999              |                                                      |            |           
|                                                             |                                                      |            |           
|                                                             |                                                      |            |           
|                                                             |                                                      | Additional |           
|                                                             | Common                                               | Paid in    | Retained  
|                                                             | Stock                                                | Capital    | Earnings  
|                                                             |                                                      |            |           
|Balances at September 30, 1998                               | $2,300,000                                           | $653,346   | $2,403,489
|                                                             |                                                      |            |           
|Comprehensive Income:                                        |                                                      |            |           
|Change in unrealized gain on                                 |                                                      |            |           
|securities available for sale, net of                        |                                                      |            |           
|income taxes of $13,002                                      | ---                                                  | ---        | ---       
|Net income                                                   | ---                                                  | ---        | 437,948   
|                                                             |                                                      |           
|                                                             |                                                      |            |           
|Total comprehensive income                                   | ---                                                  | ---        | 437,948   
|Dividends - $1.63 per share                                  | ---                                                  | ---        | (747,500) 
|                                                             |                                                      |           
|Balances at September 30, 1999                               | 2,300,000                                            | 653,346    | 2,093,937 
|                                                             |                                                      |            |           
|Comprehensive Income:                                        |                                                      |            |           
|Change in unrealized gain on                                 |                                                      |            |           
|securities available for sale, net of                        |                                                      |            |           
|income taxes of $33,952                                      | ---                                                  | ---        | ---       
|Net Income                                                   | ---                                                  | ---        | 471,452   
|                                                             |                                                      |           
|                                                             |                                                      |            |           
|Total comprehensive income                                   | ---                                                  | ---        | 471,452   
|Dividends - $1.30 per share                                  | ---                                                  | ---        | (598,000) 
|                                                             |                                                      |           
|Balances at September 30, 2000                               | $2,300,000                                           | $653,346   | $1,967,389
|                                                             | ====================================================
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|See accompanying notes to consolidated financial statements. |                                                      |            |           
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