UNITED
        STATES
 SECURITIESANDEXCHANGE
        COMMISSION
 WASHINGTON,D.C.20549
 
 FORM10-Q/A
 
 (Mark
                  One)x
              Quarterly
                  Report pursuant to
                  Section 13 or 15(d) of the Securities Exchange Act of
                  1934
 
 For
        the quarterly period ended:September
        30, 2006
 
 or
 
 o
              Transition
                  report pursuant to
                  Section 13 or 15(d) of the Securities Exchange Act of
                  1934
 
 For
        the transition period from
        ______________ to _______________
 
 Commission
        file number:001-15035
 
 ABLEENERGY,
        INC.
 (An
        exact name of registrant as
        specified in its charter)
 
 Delaware
              22-3520840(State
                  or other jurisdiction
                  of
              (I.R.S.
                  employerincorporation
                  or
                  organization)
              identification
                  No.)
 
 
 
 198
                  Green Pond
                  Road
                Rockaway,
                  NJ
              07866(Address
                  of principal
                  executive
                  offices)
              (Zip
                  code)
 
 Registrant's
        telephone number, including
        area code:(973)625-1012
 
 
 Not
        Applicable
 (Former
        name, former address and former
        fiscal year, if changed since last report)
 
 Indicate
        by check mark whether the
        registrant (1) has filed allreports required to
        be filed by Section
        13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12
        months (or for such shorter period that registrant was required to file such
        reports), and (2) has been subject to such filing requirementsfor
        the past 90
        days.
 oYesxNo
 
 Indicate
        by check mark whether the
        registrant is a large accelerated filer, an accelerated filer, or a
        non-accelerated filer:
  Large
                accelerated
                filer  o
              Accelerated
                filer  o
              Non-accelerated
                filer  x
  Indicate
        by check mark whether the
        registrant is a shell
        company (as defined in Rule 12b-2 of the Exchange Act).
 oYesxNo
 
 As
        of January 29, 2008,
        14,808,090shares of common stock,
        $.001 Par value per share, of Able Energy, Inc. were issued and
        outstanding.
  
 
 
 
 EXPLANATORY
        NOTE
 
 
 Able
        Energy, Inc. ("the Company") is filing this Amendment No. 1 (the “Amendment”) to
        its Quarterly Report on Form 10-Q/A for the quarter ended September 30, 2006
        (the "Report"), which Report was previously filed on July 24, 2007, because
        the
        Company’s former independent registered public accounting firm, Marcum &
Kliegman LLP, withdrew its review of the Report subsequent to their dismissal
        by
        the Company on August 13, 2007.  The financial statements listed under
        Part I Financial Information Item 1 have been reviewed in accordance with
        SAS
        #100 by Lazar Levine & Felix LLP, the Company’s new independent registered
        public accounting firm, who commenced its engagement on September 21,
        2007.  In the Amendment, there were no major changes made to the body or
        disclosures in the Report as a result of Lazar Levine & Felix’s review,
        except for an amortization cost increase of $540,000 reflected throughout
        the
        financial statements and applicable note disclosures as a result of not
        obtaining the financing, Note 2 (Going Concern, Liquidity and Capital Resources
        and Management’s Plans) where the Company updated balances through the date of
        the filing and  Extension dates and compliance filings and Note 20
        (Subsequent Events) to the financial statements regarding subsequent events
        that
        occurred since July 24, 2007, in which the Company discloses (i) changes
        in
        officers, (ii) additional loans under and refinancing of various loan and
        agreements of the Company (including financing agreements of All American
        Plazas, Inc. (now known as All American Properties, Inc.) (“AAP”) that were
        assumed by a subsidiary of the Company in the acquisition of assets of AAP
        which
        closed as of May 30, 2007), (iii) updates of litigation matters (including
        the
        commencement of arbitration proceedings by the Company and AAP against Manns
        Haggerskjold of North America, Ltd. to recover fees paid to Manns to obtain
        financing for the Company and AAP, the settlement of an action against Summit
        Ventures, Inc., a second subpoena issued to the Company by the SEC for the
        production of documents and a summons and complaint served on the Company
        and
        others which inter alia
        seeks class action status filed by the shareholders of CCI Group Inc.), (iv)
        entry into a consulting agreement with a related party, (v) the dismissal
        of
        Marcum & Kliegman as the Company’s independent registered public accounting
        firm and the engagement of Lazar Levine & Felix as the Company’s new
        independent registered public accounting firm, (vi) the law suit the Company
        filed against Marcum & Kliegman for breach of contract, gross negligence and
        defamation and (vii) various other narrative changes throughout form
        10-Q/A.
 
 
 
 
 
 
 
 ABLEENERGY,
        INC.ANDSUBSIDIARIES
 FORM10-Q/A
 
 For
        the Quarter EndedSeptember
        30, 2006
 
 INDEX
 
 
 
 PagePart
                  I.
              Financial
                  InformationItem
                  1.
              Financial
                  StatementsCondensed
                  Consolidated Balance
                  Sheets as ofSeptember
                  30, 2006(Unaudited)
                  andJune 30,
                  2006
              1Condensed
                  Consolidated Statements of
                  Operations for the Three Months Ended September30,2006(Unaudited)and
                  2005
                  (Unaudited)
              2Condensed
                  Consolidated Statements
                  of Changes in Stockholders' Equityand Comprehensive
                  Lossfor the Three
                  Months
                  Ended
                  September 30, 2006 (Unaudited)EndedSeptember
                  30, 2006(Unaudited)
              3Condensed
                  Consolidated Statements
                  of Cash Flows for the Three Months Ended September 30, 2006(Unaudited)and 2005
                  (Unaudited)
              4Notes
                  to Condensed
                  Consolidated
                  Financial Statements (Unaudited)
              5Item
                  2.
              Management's
                  Discussion and
                  Analysis of Financial Condition and Results of
                  Operations
              27Item
                  3.
              Quantitative
                  and Qualitative
                  Disclosures About Market Risk
              37Item
                  4.
              Controls
                  and
                  Procedures
              38Part
                  II
              Other
                  InformationItem
                  1.
              Legal
                  Proceedings
              38Item
                  2.
              Unregistered
                  Sales of Equity
                  Securities and Use of Proceeds
              38Item
                  3.
              Default
                  on Senior
                  Securities
              39Item
                  4.
              Submission
                  of Matters to a
                  Voteof
                  Security
                  Holders
              39Item
                  5.
              Other
                  Information
              40Item
                  6.
              Exhibits
              40Signatures
              
              41Certifications
              
              42-44
 
 
 
 PART
                    I. FINANCIAL
                    INFORMATIONItem
                    1. Condensed Consolidated
                    Financial StatementsABLE
                    ENERGY, INC. AND
                    SUBSIDIARIESCONDENSED
                    CONSOLIDATED BALANCE
                    SHEETSSEPTEMBER
                    30,
                
                
                JUNE
                    30,2006
                
                
                2006(Unaudited)(Restated)ASSETS
                
                (Note
                    11)Current
                    Assets:Cash
                
                $
                3,920,999
                
                
                $
                2,144,729Accounts
                    receivable, net
                    of  allowance for doubtful accounts
                    of$516,315
                    and $462,086, at
                    September 30, 2006 andJune
                    30,
                    2006,  respectively
                
                
                3,178,157
                
                
                
                3,414,894Due
                    from
                    broker
                
                
                881,173
                
                
                
                -Inventories
                
                
                1,008,027
                
                
                
                675,987Notes
                    receivable - current
                    portion
                
                
                400,579
                
                
                
                400,579Prepaid
                    expenses and other current
                    assets
                
                
                634,214
                
                
                
                528,788Total
                    Current
                    Assets
                
                
                10,023,149
                
                
                
                7,164,977Property
                    and equipment,
                    net
                
                
                4,507,654
                
                
                
                4,414,051Notes
                    receivable - less current
                    portion
                
                
                725,000
                
                
                
                725,000Intangible
                    assets,
                    net
                
                
                304,144
                
                
                
                326,658Deferred
                    financing costs,
                    net
                
                
                308,934
                
                
                
                150,264Prepaid
                    acquisition
                    costs
                
                
                225,000
                
                
                
                225,000Security
                    deposits
                
                
                84,918
                
                
                
                84,918Total
                    Assets
                
                $
                16,178,799
                
                
                $
                13,090,868LIABILITIES
&
STOCKHOLDERS'
                    EQUITYCurrent
                    Liabilities:Line
                    of
                    credit
                
                $
                1,017,816
                
                
                $
                1,231,640Notes
                    payable, current
                    portion
                
                
                77,430
                
                
                
                76,181Capital
                    leases payable, current
                    portion
                
                
                304,215
                
                
                
                314,145Convertible
                    debentures and notes
                    payable, net of unamortizeddebt
                    discounts of $2,703,676 and
                    $70,368 as of September 30, 2006and
                    June 30, 2006,
                    respectively
                
                
                258,041
                
                
                
                62,132Accounts
                    payable and accrued
                    expenses
                
                
                2,878,394
                
                
                
                2,298,937Fuel
                    derivative
                    contracts
                
                
                562,753
                
                
                
                -Customer
                    pre-purchase
                    payments
                
                
                5,927,361
                
                
                
                3,336,833Unearned
                    revenue
                
                
                261,266
                
                
                
                277,426Total
                    Current
                    Liabilities
                
                
                11,287,276
                
                
                
                7,597,294Notes
                    payable, less current
                    portion
                
                
                3,156,343
                
                
                
                3,176,175Capital
                    leases payable, less
                    current portion
                
                
                573,572
                
                
                
                645,313Total
                    Long Term
                    Liabilities
                
                
                3,729,915
                
                
                
                3,821,488Total
                    Liabilities
                
                
                15,017,191
                
                
                
                11,418,782COMMITMENTS
                    AND
                    CONTINGENCIESStockholders'
                    Equity:Preferred
                    Stock; par value $.001,
                    authorized 10,000,000 shares;issued
                    -
                    none
                
                
                -
                
                
                
                -Common
                    Stock; $.001 par value;
                    75,000,000 and 10,000,000 shares authorized;at
                    September 30, 2006 and June 30,
                    2006, respectively3,141,423
                    and 3,128,923 shares
                    issued and outstandingat
                    September 30, 2006 and June 30,
                    2006, respectively
                
                
                3,141
                
                
                
                3,129Additional
                    paid in
                    capital
                
                
                17,885,048
                
                
                
                14,812,723Accumulated
                    deficit
                
                
                (13,218,836
                )
                
                
                (11,038,961
                )Accumulated
                    other comprehensive
                    loss
                
                
                (562,753
                )
                
                
                -Notes
                    and loans receivable -
                    related parties
                
                
                (2,944,992
                )
                
                
                (2,104,805
                )Total
                    Stockholders'
                    Equity
                
                
                1,161,608
                
                
                
                1,672,086Total
                    Liabilities and
                    Stockholders' Equity
                
                $
                16,178,799
                
                
                $
                13,090,868
 
  See
        accompanying notes to these
        condensedconsolidated
        financial statements.
 
 1
 
 ABLE
                    ENERGY, INC. AND
                    SUBSIDIARIESCONDENSED
                    CONSOLIDATED STATEMENTS
                    OF OPERATIONS(Unaudited)For
                  the Three Months
                  EndedSeptember
                    30,2006
                
                
                2005(Restated)
                
                
                (Restated)(Note
                    11)
                
                
                (Note
                    5)Net
                    Sales
                
                $
                12,835,553
                
                
                $
                13,133,065Cost
                    of Sales(exclusive
                    of
                    depreciation and amortizationshown
                    separately below)
                
                
                11,641,623
                
                
                
                12,009,574Gross
                    Profit
                
                
                1,193,930
                
                
                
                1,123,491Operating
                    Expenses:Selling,
                    general
                    and administrative
                
                
                2,287,109
                
                
                
                1,877,822Depreciation
                    and
                    amortization
                
                
                171,337
                
                
                
                272,155Total
                    Operating Expenses
                
                
                2,458,446
                
                
                
                2,149,977Loss
                    from
                    Operations
                
                
                (1,264,516
                )
                
                
                (1,026,486
                )Other
                    Income
                    (Expenses)Interest
                    and
                    other income
                
                
                148,821
                
                
                
                32,691Interest
                    income
                    - related parties
                
                
                71,878
                
                
                
                13,295Interest
                    expense
                
                
                (178,421
                )
                
                
                (152,391
                )Interest
                    expense
                    - related parties
                
                
                -
                
                
                
                (17,500
                )Amortization
                    of
                    deferred financing costs
                
                
                (561,128
                )
                
                
                (33,568
                )Amortization
                    of
                    debt discounts on convertible debenturesand
                    note
                    payable
                
                
                (195,909
                )
                
                
                (278,533
                )Registration
                    rights penalty
                
                
                (200,600
                )
                
                
                -Total
                    Other Expenses, Net
                
                
                (915,359
                )
                
                
                (436,006
                )Net
                    Loss
                
                $
                (2,179,875
                )
                
                $
                (1,462,492
                )Basic
                    and diluted loss per common
                    share
                
                $
                (0.70
                )
                
                $
                (0.60
                )Weighted
                    average number of common
                    shares outstanding-basic and diluted
                
                
                3,133,731
                
                
                
                2,445,441
 
 See
        accompanying notes to these
        condensed consolidated financial statements.
  2
 
 ABLE
                        ENERGY, INC. AND
                        SUBSIDIARIESCONDENSED
                        CONSOLIDATED STATEMENT
                        OF CHANGES IN STOCKHOLDERS' EQUITY AND COMPREHENSIVE
                        LOSSFor
                        The Three Months Ended
                        September 30, 2006(Uaudited)(Restated)(Note
                        11)Common
                        Stock
                    
                    
                    Additional
                      Paid
                        - in
                    
                    
                    Accumulated
                    
                    
                    Accumulated
                        Other
                        Comprehensive
                    
                    
                    Notes
                        and
                      Loans
                      Receivable
                      Related
                    
                    
                    Total
                      Stockholders'
                    
                    
                    ComprehensiveShares
                    
                    
                    Amount
                    
                    
                    Capital
                    
                    
                    Deficit
                    
                    
                    Loss
                    
                    
                    Parties
                    
                    
                    Equity
                    
                    
                    LossBalance
                        July 1,
                        2006
                    
                    
                    3,128,923
                    
                    
                    $
                    3,129
                    
                    
                    $
                    14,812,723
                    
                    
                    $
                    (11,038,961
                    )
                    
                    $
                    -
                    
                    
                    $
                    (2,104,805
                    )
                    
                    $
                    1,672,086
                    
                    
                    $
                    -Common
                        stock issued in
                        connectionwith
                        option
                        exercise
                    
                    
                    12,500
                    
                    
                    
                    12
                    
                    
                    
                    54,488
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    54,500
                    
                    
                    
                    -Discounts
                        on
                        convertibledebentures
                        and notes
                        payable
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    3,000,000
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    3,000,000
                    
                    
                    
                    -Amortization
                        of deferred
                        compensation
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    17,837
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    17,837
                    
                    
                    
                    -Notes
                        receivable from related
                        partiesfor
                        reimbursement of certain
                        fees
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    (415,000
                    )
                    
                    
                    (415,000
                    )
                    
                    
                    -Issuance
                        of notes
                        receivableand
                        related accrued
                        interestreceivable
                        upon advance
                        tostockholder
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    (425,187
                    )
                    
                    
                    (425,187
                    )
                    
                    
                    -Net
                        loss
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    (2,179,875
                    )
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    (2,179,875
                    )
                    
                    
                    (2,179,875
                    )Other
                        comprehensive loss -
                        Unrealizedloss
                        on fuel derivative
                        contracts
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    -
                    
                    
                    
                    (562,753
                    )
                    
                    
                    -
                    
                    
                    
                    (562,753
                    )
                    
                    
                    (562,753
                    )Balance
                        September 30,
                        2006
                    
                    
                    3,141,423
                    
                    
                    $
                    3,141
                    
                    
                    $
                    17,885,048
                    
                    
                    $
                    (13,218,836
                    )
                    
                    $
                    (562,753
                    )
                    
                    $
                    (2,944,992
                    )
                    
                    $
                    1,161,608
                    
                    
                    $
                    (2,742,628
                    )
 
 
 
 See
        accompanying notes to these
        condensed consolidated financial statements.
  3
 ABLE
                    ENERGY, INC. AND
                    SUBSIDIARIESCONDENSED
                    CONSOLIDATED STATEMENTS
                    OF CASH FLOWS(Unaudited)For
                    the Three Months
                    EndedSeptember
                    30,2006
                
                
                2005(Restated)
                
                
                (Restated)(Note
                    11)
                
                
                (Note
                    5)Cash
                    flow from operating
                    activities:Net
                    loss
                
                $
                (2,179,875
                )
                
                $
                (1,462,492
                )Adjustments
                    to reconcile net loss
                    to net cashprovided
                    by operating
                    activities:Depreciation
                    and
                    amortization
                
                
                171,337
                
                
                
                272,155Provision
                    for bad
                    debts
                
                
                27,130
                
                
                
                49,505Amortization
                    of discounts on
                    convertible debentures and notes payable
                
                
                195,909
                
                
                
                278,533Amortization
                    of deferred financing
                    costs
                
                
                561,128
                
                
                
                33,568Stock-based
                    compensation
                
                
                17,837
                
                
                
                -Gain
                    on sale of property and
                    equipment
                
                
                (12,594
                )
                
                
                -(Increase)
                    decrease in operating
                    assets:Accounts
                    receivable
                
                
                209,607
                
                
                
                (232,952
                )Inventories
                
                
                (332,040
                )
                
                
                (909,472
                )Prepaid
                    expenses and other current
                    assets
                
                
                (105,426
                )
                
                
                51,015Due
                    from
                    broker
                
                
                (881,173
                )
                
                
                -Security
                    deposits
                
                
                -
                
                
                
                (5,000
                )Increase
                    (decrease) in operating
                    liabilities:Accounts
                    payable and accrued
                    expenses
                
                
                579,457
                
                
                
                121,299Customer
                    pre-purchase
                    payments
                
                
                2,590,528
                
                
                
                3,624,342Unearned
                    revenue
                
                
                (16,160
                )
                
                
                (3,997
                )Net
                    cash provided by operating
                    activities
                
                
                825,665
                
                
                
                1,816,504Cash
                    flows from investing
                    activities:Purchases
                    of property and
                    equipment
                
                
                (243,718
                )
                
                
                (158,098
                )Advances
                    to related
                    parties
                
                
                (840,187
                )
                
                
                (1,897,500
                )Deferred
                    financing
                    costs
                
                
                (540,000
                )
                
                
                -Prepaid
                    acquisition
                    costs
                
                
                -
                
                
                
                (155,565
                )Cash
                    received on sale of property
                    and equipment
                
                
                13,886
                
                
                
                -Net
                    cash used in investing
                    activities
                
                
                (1,610,019
                )
                
                
                (2,211,163
                )Cash
                    flows from financing
                    activities:Net
                    (repayments) borrowings under
                    line of credit
                
                
                (213,824
                )
                
                
                51,022Repayment
                    of notes
                    payable
                
                
                (18,583
                )
                
                
                (17,390
                )Repayment
                    of capital leases
                    payable
                
                
                (81,671
                )
                
                
                (70,300
                )Proceeds
                    from exercise of
                    options
                
                
                54,500
                
                
                
                968,001Deferred
                    financing
                    costs
                
                
                (179,798
                )
                
                
                (122,499
                )Proceeds
                    from sale of convertible
                    debentures and notes payable
                
                
                3,000,000
                
                
                
                2,500,000Net
                    cash provided by financing
                    activities
                
                
                2,560,624
                
                
                
                3,308,834Net
                    increase in
                    cash
                
                
                1,776,270
                
                
                
                2,914,175Cash
                    at beginning of
                    period
                
                
                2,144,729
                
                
                
                1,754,318Cash
                    at end of
                    period
                
                $
                3,920,999
                
                
                $
                4,668,493Supplemental
                    disclosure of cash
                    flow information:Cash
                    paid during the quarter for
                    interest
                
                $
                229,574
                
                
                $
                128,741
  See
          accompanying notes to these
          condensed consolidated financial statements.
 4
 
 ABLE
        ENERGY, INC.AND
        SUBSIDIARIES
 NOTES
        TO CONDENSED CONSOLIDATED
        FINANCIAL STATEMENTS
 
 Note
        1 - Basis of
        Presentation
 
 The
        accompanying unaudited condensed
        consolidated financial statements of Able Energy, Inc. and Subsidiaries(the "Company") have
        been
        prepared in accordance withUnited Statesgenerally
        accepted accounting principles
        applicable for interim financial information. Accordingly, these condensed
        consolidated financial statements do not include all of the
        informationand
        footnotes required byUnited Statesgenerally
        accepted accounting
        principles. In the opinion of management, all adjustments (consisting of
        normal
        recurring accruals) considered necessary for a fair presentation have been
        included. Operating results forthe
        three months endedSeptember 30, 2006are
        not necessarily indicative of the
        results that may be expected for the year endingJune 30, 2007.
        These condensed consolidated financial
        statements include the accounts of Able Energy, Inc. and its wholly
        owned
        subsidiaries (Able Oil Company, Able
        Oil Melbourne, Inc., Able Energy New York, Inc., Able Energy Terminal LLC
        and
        Price Energy Franchising L.L.C.) and majority owned (70.6%) subsidiary
        (PriceEnergy.com, Inc.Financial
        results are considered to be
        of animmaterial nature as
        of September 30, 2006 as they relate to the minority interest portion and
        therefore are not disclosed). These condensed
        consolidated
        financial statements should be read in conjunction with the consolidated
        financial statements and footnotes there to included
        in the Company's
        Annual Report on Form 10-K filed onApril 12, 2007for
        the year endedJune 30, 2006.
 
 Note
        2 - Going
        Concern, Liquidity and Capital Resources and Management’s
        Plans
 .
 The
        Company has incurred a loss from
        continuing operations
        during the year ended June 30, 2006 of approximately $6,242,000.
        Net cash used in operations during the
        year ended June 30, 2006was$1,712,000.
        During the three months ended
        September 30, 2006, the Company incurred a net loss ofapproximately $2.2
        million. Thesefactors raise
        substantial doubt about the Company's ability to continue as a going concern.
        These condensed consolidated financial statements do not include any adjustments
        relating to the recoverability of the recorded assets or theclassification of
        the liabilities that
        may be necessary should the Company be unable to continue as a going
        concern.
 
 As
        ofNovember
        30, 2007, the Company
        had a cash balance
        of approximately $1.2millionand
        has approximately $1.6million
        of obligations for funds received in
        advance under a
        customer pre-purchase fuel program. The Company had available borrowings
        through
        its credit line facility ofapproximately $270,000 as of November 30,
        2007. In order to meet its liquidity requirements, the Company is negotiating
        a
        second mortgage on its oil terminal located on Route 46 in Rockaway, New
        Jersey,
        through which the Company believes it may borrow additional funds.
 
 The
        Company has been funding its
        operations through an asset-based line of credit(See Note 12),the issuance of convertible
        debentures
        and notes payable(See Note 15),and the proceeds from
        the exercise of
        options (See Note 16).During the three months endedSeptember 30, 2006,
        the Company has secured financings ofapproximately $3 millionfrom theproceeds of
        convertible debentures and notes payable and approximately $55,000 in proceeds
        from option exercises. Other than for the day to day operations of the
        Company,approximately $2 millionwas expended forrepayment
        ofloans,purchase
        ofinvestments,
        and hedgingtransactions
        during the three months ended September 30, 2006 (See Notes 9 and
        18).
 
 On
        May
        30, 2007 the Company completed a business combination with All American Plazas
        Inc. now known as All American Properties, Inc. (“All American”) (See Note
        18).  The Company is pursuing sales initiatives, cost savings and
        other benefits as contemplated in the business combination including
        consolidation of business operations where management of the Company deems
        appropriate for the combined entity. In order to conserve its capital
        resources andto provide
        incentives for the Company’s
        employees and other service vendors,
        the Company expects to continue to issue, from time to time, common stock
        and
        stock options to compensate employees and non-employees for services
        rendered. The Company is focusing
        on expanding its distribution
        programs and new customer relationships to increase demand for its products.
        In
        addition, the Company is pursuing other lines of business, which include
        expansion of its current commercial business into other products andservices
        such as bio-diesel, solar
        energy, and other energy related home services. The Company is also evaluating,
        on a combined basis, all of its product lines for cost reductions, consolidation
        of facilities and efficiency improvements. There can be no assurance,
        however, that the Company will
        be successful in its efforts to enhance its liquidity
        situation.
 
 During
        the three months ended September 30, 2006, the Company advanced monies and
        loans
        totaling $840,000 to All American a stockholder in the Company prior to the
        business combination. In addition, the Company accrued interest on those
        and
        other notes with All American in the amount of $57,654 (See Note 18). As
        of
        September 30, 2006, a note receivable plus accrued interest in the amount
        of
        $1,842,000 was due January 15, 2008, which is in the process of being extended,
        and a note and accrued interest in the amount of $921,000 is due in July
        2008.  The Company has granted to All American a series of extensions
        of the maturity of the note that was due on January 15, 2008. The business
        combination with All American was structured as an asset acquisition and
        the
        note obligations of All American to the Company were not assumed in connection
        with the business combination. Therefore, the notes receivable, as well as
        other
        amounts due from All American, survive the business combination and are recorded
        as contra - equity within these condensed consolidated financial statements.
        All
        American, the surviving entity, has notified the Company that its ability
        to
        repay its note and other obligations to the Company will be dependent upon
        it
        successfully securing financing from a third party.
  5
 
 The
        Company will require some
        combination of the sales, cost savings andotherbenefits
        originally contemplated from
        the business combination
        and some combination of the collection of All American notes receivable,
        new
        financing, restructuring of existing financing, improved receivable collections
        and/or improved operating results in order to maintain adequate liquidityduring
        the year endingJune 30, 2008.
        The Company expects to establish and
        maintain compliance with the reporting requirements of the Securities and
        Exchange Act of 1934, as amended, which include the filing of this Form 10-Q
        for
        the quarter endedSeptember30,
        2006, and the quarterly
        reports on Form 10-Q
        for the quarters ended December 31, 2006,March
        31, 2007and September 30, 2007
        as well as Form
        10-K for the year ended June 30, 2007.
 
 There
        can be no assurance that the
        financing or the cost saving measures as identified above
        will be
        satisfactory in addressing the short-term liquidity needs of the Company.
        In the
        event that these plans cannot be effectively realized, there can be no assurance
        that the Company will be able to continue as a going
        concern.
 
 Note
        3 - Summary of
        Significant Accounting Policies
 
 Revenue
        Recognition
 Sales
        of fuel and heating equipment are
        recognized at the time of delivery to the customer, and sales of equipmentnot related to service
        contractsare recognized at
        the time of installation.
        Revenue from repairs and maintenance service is recognized upon completion
        of
        the service. Payments received from customers for heating equipment service
        contracts are deferred and amortized into income over the term of the respective
        service contracts,
        on a straight-line basis, which
        generally do not exceed one year. Payment received from customers for the
        pre-purchase of fuel is recorded as a current liability until the fuel is
        delivered to the customer, at which time it is recognized as revenue
        by the Company.
 
 Reclassifications
 Certain
        reclassifications have been made
        to prior period's condensed consolidated financial statements in order to
        conform to the current period presentation.
 Derivative
        Contracts
 The
        Company uses derivative
        instruments (futures
        contracts) to manage the commodity price risk inherent in the purchase and
        sale
        of #2 heating oil. Derivative instruments are required to be marked to market
        under SFAS No. 133,  "Accounting for Derivative Instruments and Hedging
        Activities" (“SFAS
        133”), as amended. These
        contracts are
        designated as cash flow hedges in accordance with SFAS 133 and were recorded
        at
        fair value as a liability entitled “fuel derivative contracts”on
        the Company's condensed consolidated
        balance sheet atSeptember
        30,2006.
 
 The
        Company believes that these futures
        contracts for fuel oil have been effective during their term to offset changes
        in cash flow attributable to the hedged risk. The Company performs a prospective
        and retrospective assessment of the effectiveness of the futures
        contracts at least on
        a quarterly basis. All realized and unrealized gains or losses on the futures
        contracts at each reporting date are included in accumulated other comprehensive
        loss in the equity section of the condensed consolidatedbalance
        sheet and in comprehensive loss
        (See Note 9) until the related fuel purchases being hedged are sold at which
        time such gains or losses are recorded in cost of goods sold in the condensed
        consolidated statements of operations. However, if the Company
        expects at any time that continued
        reporting of a loss in accumulated other comprehensive income would lead
        to
        recognizing a net loss on the combination of the futures contracts and the
        hedged transaction in one or more future periods, a loss is reclassified
        immediately into cost of goods
        sold for the amount that is not expected to be recovered. As a result of
        the
        Company’s
        effectiveness assessment atSeptember 30,
        2006, the Company believes
        that all open futures contracts will continue to be highly effective
        in achieving offsetting changes in
        future cash flows.
  Note
        4 - Recently Issued Accounting
        Pronouncements
 
 In
        June 2005, the Financial Accounting
        Standards Board (FASB) published Statement of Financial Accounting Standards
        No.
        154, “Accounting
        Changes and Error
        Corrections”(“SFAS
        154”). SFAS 154 establishes
        new standards on
        accounting for changes in accounting principles. Pursuant to the new rules,
        all
        such changes must be accounted for by retrospective application to the financial
        statements of prior
        periods unless it is impracticable
        to do so. SFAS 154 completely replaces Accounting Principles Bulletin No.
        20 and
        SFAS 3, though it carries forward the guidance in those pronouncements with
        respect to accounting for changes in estimates, changes inthe
        reporting entity, and the correction
        of errors. The requirements in SFAS 154 are effective for accounting changes
        made in fiscal years beginning afterDecember 15, 2005.
        The Company will apply these
        requirements to any accounting changes after the implementation
        date. The application of this
        pronouncement did not have an impact on the Company's condensed consolidated
        financial position, results of operations, or cash flows.
  6
  EITF
        Issue No. 05-4 “The Effect of a Liquidated
        Damages
        Clause on aFreestanding
        Financial Instrument Subject to EITF Issue No. 00-19, "Accounting for Derivative
        Financial Instruments Indexed to, and Potentially Settled in, a Company's
        Own
        Stock”(“EITF
        No. 05-4”) addresses financial
        instruments, such
        as stock purchase warrants,
        which are accounted for under
        EITF 00-19 that may be issued at the same time and in contemplation of a
        registration rights agreement that includes a liquidated damages clause.
        The
        consensus of EITF No. 05-4 has not been finalized. In July and August
        2006, the Company entered into two
        private placement agreements for convertible debentures and a note payable,
        a
        registration rights agreement and issued warrants in connection with the
        private
        placement. Based on the interpretive guidance in EITF IssueNo.
        05-4, view C, since the registration
        rights agreement includes provisions for uncapped liquidated damages, the
        Company determined that the registration rights are a derivative
        liability(See
        Note 15).The
        Company has measured this liability
        in accordance with SFAS No.
        5.
 
 In
        February 2006, the FASB issued SFAS
        No. 155, "Accounting for Certain Hybrid Financial Instruments", which
        eliminates the exemption from applying SFAS 133 to interests in securitized
        financial assets so that similar instruments are accounted for similarly
        regardless of the
        form of the instruments. SFAS 155 also allows the election of fair value
        measurement at acquisition, at issuance, orwhen
        a previously recognized financial
        instrument is subject to a remeasurement event. Adoption is effective for all financial
        instruments
        acquired or issued after the beginning of the first fiscal year that begins
        afterSeptember 15,
        2006. Early adoption is
        permitted. The adoption of SFAS 155 is not expected to have a material effect
        on
        the Company's consolidated
        financial position, results of
        operations or cash flows.
 
 In
        March 2006, the FASB issued SFAS No.
        156, “Accountingfor
        Servicing of Financial
        Assets”, which amended SFAS
        No. 140, “Accounting for
        Transfers and Servicing of Financial Assets and Extinguishments of Liabilities”,
        with respect to the accounting for
        separately recognized servicing assets and servicing
        liabilities.  SFAS 156 permits an entity to choose either the
        amortization method or the fair value measurement method for each class of
        separately
        recognized servicing assets or
        servicing liabilities.  The application of this statement is not
        expected to have an impact on the Company’s
        consolidated financial
        statements.
 
 In
        July 2006, the FASB issued FASB
        Interpretation No. 48, "Accountingfor Uncertainty in
        Income Taxes - an
        interpretation, of FASB Statement No. 109" ("FIN 48"), which clarifies the
        accounting for uncertainty in tax positions. This interpretation requires
        that
        the Company recognize in its consolidated financial statements the
        impact of a tax position, if that
        position is more likely than not of being sustained on audit, based on the
        technical merits of the position. The provisions of FIN 48 are effective
        as ofJuly 1, 2007,
        with the cumulative effect of the
        change in accounting
        principle recorded as an adjustment
        to opening retained earnings. The Company is currently evaluating the impact
        of
        adopting FIN 48 on its consolidated financial statements.
 
 In
        September 2006, the FASB issued SFAS
        No. 157, "Fair Value Measurements", which defines fair value,
        establishes a
        framework for measuring fair value inUnited Statesgenerally
        accepted accounting
        principles, and expands disclosures about fair value measurements. Adoption
        is
        required for fiscal years beginning afterNovember 15, 2007,
        and interim periods within those
        fiscal years. Early adoption of SFAS 157 is encouraged. The Company is currently
        evaluating the impact of SFAS 157 and the Company will adopt SFAS 157 in
        the
        fiscal year beginningJuly
        1, 2008.
 
 In
        September 2006, the staff of theSECissued
        Staff Accounting Bulletin
        ("SAB")
        No. 108, which provides interpretive
        guidance on how the effects of the carryover or reversal of prior year
        misstatements should be considered in quantifying a current year misstatement.SAB108
        becomes
        effective in fiscal 2007. Adoption ofSAB108
        did not have a material impact on
        the Company's consolidated financial position, results of operations or cash
        flows.
 
 In
        September 2006, the FASB issued SFAS
        No. 158, “EmployersAccountingfor
        Defined Pension and Other Post Retirement
        Plans an
        amendment of FASB No.’s
        87, 88, 106 and 132(R).”SFAS 158 requires an
        employer andsponsors
        of one or more single employer
        defined plans to recognizethe funded status ofa
        benefitplan; recognize as
        a component of
        other comprehensive income,
        net of tax, the gain or losses and prior service costs or credits that may
        arise
        during the period; measure defined benefit plan assets and obligations as
        of the
        employer’s
        fiscal year; and, enhance footnote
        disclosure.  For fiscalyears
        ending after December 15, 2006,
        employers with equity securities that trade on a public market are required
        to
        initially recognize the funded status of a defined benefit post retirement
        plan
        and to provide the enhanced footnote disclosures.  For fiscal
        years ending after December 15, 2008,
        employers are required to measure plan assets and benefit
        obligations.  Management of the Company is currently evaluating the
        impact of adopting this pronouncement on the consolidated financial
        statements.
 
 In
        December 2006, the FASB
        issued FASB Staff
        Position ("FSP") EITF 00-19-2 "Accounting for Registration Payment Arrangements"
        ("FSP EITF 00-19-2") which specifies that the contingent obligation to make
        future payments or otherwise transfer consideration under a registration
        payment arrangement should be
        separately recognized and measured in accordance with SFAS No. 5, "Accounting
        for Contingencies." Adoption of FSP EITF 00-19-02 is required for fiscal
        years
        beginning afterDecember
        15, 2006, and is not
        expected tohave
        a material impact on the Company's
        consolidated financial position, results of operations or cash
        flows.
 
 7
 
 In
        February 2007, the FASB issued SFAS No. 159 "The Fair Value Option for Financial
        Assets and Financial Liabilities - Including an amendment of FASB Statement
        No.
        115", which permits entities to choose to measure many financial instruments
        and
        certain other items at fair value. The fair value option established by this
        Statement permits all entities to choose to measure eligible items at fair
        value
        at specified election dates. A business entity shall report unrealized gains
        and
        losses on items for which the fair value option has been elected in earnings
        at
        each subsequent reporting date. Adoption is required for fiscal years beginning
        after November 15, 2007. Early
        adoption is permitted as of the
        beginning of a fiscal year that begins on or before November 15, 2007, provided
        the entity also elects to apply the provisions of SFAS Statement No. 157,
        Fair
        Value Measurements. The Company is currently evaluating the
        expected effect of
        SFAS 159 on its consolidated financial statements and is currently not yet
        in a
        position to determine such effects.
 
 In
        December 2007, the FASB issued SFAS
        No. 160. “Noncontrolling
        Interests in Consolidated Financial Statements–an
        amendment of ARB no. 51.”SFAS 160 establishes
        accounting and reporting standards pertaining to ownership interests in
        subsidiaries held by parties other than the parent, the amount of net
        income attributable
        to the parent and to the noncontrolling interest,
        changes in a
        parent’s
        ownership interest, and the valuation
        of any retained noncontrolling equity investment when a subsidiary is
        deconsolidated.  This statement also establishes disclosure
        requirements that clearlyidentifyand
        distinguish between the
        interests of the
        parent and the interests of the noncontrolling owners.  SFAS 160 is
        effective for fiscal years beginning on or after December 15,
        2008.  The Company is in the process ofevaluatingthe
        effect that the adoption of SFAS
        160 will have on
        it’s
        consolidated results of operations,
        financial position and cash flows.
 
 In
        December 2007, the FASBissued No.
        141 (revised2007),
“Business
        Combinations”(SFAS 141R).  SFAS 141R
        establishes principles and requirements for how an acquirerrecognizes
        andmeasuresin
        its financial statements
        the identifiable
        assets acquired, the liabilities assumed, any noncontrolling interest in
        theacquireeand
        the goodwill
        acquired.  SFAS 141R also establishes disclosure requirements to
        enable the evaluation of
        the nature and financial effects ofthe businesscombination.  SFAS
        141R is
        effective for financial statements issued for fiscal years beginning after
        December 15, 2008.The Company is currently
        evaluating the potential impact of adoption of SFAS 141R on it’s
        consolidated financial
        statements.
  Note
        5 - Restatement of Quarterly
        Financial Data as ofSeptember 30, 2005and
        for the Three Months Then
        Ended
 
 The
        quarterly financial data as of and
        for the three months endedSeptember 30, 2005,
        as presented in the condensed
        consolidated
        financial statements, have been restated and corrected for errors relating
        to (1) the amortization of a customer list; (2) the deferral of revenue
        recognition associated with certain twelve month service contracts;
        (3)the
        improper accrual of audit fees; (4)
        the issuance and cancellation of common stock in regard to non-performance
        by a
        consultant under its consulting agreement with the Company; (5) the timing
        of
        the recording of directors' fees; (6) the timing of the recording
        of bad debt expense; and (7) the
        deferral of previously recorded revenue.
 
 Customer
        List Amortization
 The
        Company was amortizing customer
        lists aggregating approximately, $611,000 (which were purchased in various
        acquisitions) over estimated usefullives of 10-15 years
        until July 2001,
        when the net book value was $422,728, at which time the Company stopped
        amortizing the same. The Company has reassessed its position and has determined
        that the customer lists should have continued to be amortized, inaccordance
        with SFAS No. 142, "Goodwill
        and Other Intangible Assets", which states that intangible assets must be
        amortized over their estimated useful life unless that useful life is determined
        to be indefinite. Accordingly, the Company has recognized additional
        amortization expense of $10,513
        during the three months endedSeptember 30, 2005.
 
 Service
        Contract Revenue Deferral
 In
        the ordinary course of business, the
        Company offers a twelve month service contract related to residential customers'
        heatingequipment. The
        Company's policy is to defer the revenue associated with these contracts,
        recognizing the revenue over the life of the respective contracts. However,
        the
        Company's policy was not applied correctly. The Company has recorded the
        deferrals required
        at the various reporting dates and
        the impact has been to increase revenue by $3,996 for the three months endedSeptember 30,
        2005.
 
 Audit
        Fee
        Accrual
 Previously,
        the Company recorded an
        accrual for audit fees that it estimated would be incurred subsequent to the date of
        the consolidated
        financial statements as ofJune 30, 2005.
        The Company subsequently determined
        that the accrual for the audit services which had not yet been performed
        was
        improper. The $31,337 of audit fees that were reversed as ofJune
        30, 2005, was recorded during
        the three months
        endedSeptember 30,
        2005.
 
 Cancellation
        of Stock Due to Non Performance by Consultant
 During
        March 2005, the Company issued
        common stock to a consultant pursuant to the terms of a consulting agreement.Subsequently, the Company
        determined that the consultant did not perform in accordance with the consulting
        agreement and the Company has filed suit demanding that the shares be returned.
        The Company's position is that the share issuance has been cancelledab
        initio, as if the shares were never
        issued. Accordingly, selling, general and administrative expense was reduced
        by
        $9,740 during the three months endedSeptember 30, 2005.
        Previously, the 142,857 shares issued
        to the consultant were treated as cancelled
        as of October 1, 2005 (See Note 17)(Also see Note 20
        subsequent events).
  8
  Timing
        of
        the Recording of Directors’Fees
 During
        the quarterly period endedMarch 31, 2006,
        the Company recorded a charge for
        Directors' fees, a portion of which it subsequently determined
        should have been
        recorded in prior periods. Accordingly, adjustments have been reflected to
        record a charge of $42,886 during the three months endedSeptember 30, 2005.
 
 Timing
        of
        Recording of Bad Debt Expense
 During
        the quarterly period endedDecember
        31, 2005, the Company recorded
        a charge for bad
        debt expense; a portion of which it subsequently determined should have been
        recorded in a prior period. Accordingly, an adjustment has been reflected
        to
        record a charge of $49,461 duringthe
        three months endedSeptember 30, 2005with
        an offsetting $49,461 credit to the
        charge previously recorded during the quarterly period endedDecember 31, 2005.
 
 The
        adjustments reflected in the restated quarterly financial data for
        the period
        endedSeptember
        30, 2005, as presented in the
        condensed
        consolidated financial statements also correct the condensed consolidated
        balance sheet as ofSeptember 30, 2005which is not presented in these
        condensed consolidated financial statements.
 
 Cumulative
        Effectof
        the
        Adjustments Described Above on Accumulated Deficit
 The
        cumulative effect of the adjustments described above increased the accumulated
        deficit as of June 30, 2005 in the amount of $371,978.The
        restatement resulted in the recording of an additional loss of $120,460 during
        the three months ended September 30, 2006.
 
 Reclassification
        of Related
        Party Receivables
 Related
        party receivables in the amount
        of $1,997,500 were reclassified from assets to notes and loans
        receivable–related
        parties, a contra- equity account.
 
 Cancellation
        of Stock Issued for Consulting Services
 In
        addition to the effect included in the adjustments to the accumulated deficit
        account above, the cancellation of stock issued for consulting services
        decreased additional paid-in capital and prepaid expenses and other current
        assets by $71,448.
 
 Note
        Payable
        Conversion
 The
        Company recorded the conversion of a $500,000 note payable into common stock
        as
        of September 30, 2005. Subsequently, the conversion of the note was deemed
        to
        not be effected until October 13, 2005. As a result, current liabilities
        have
        been increased by $500,000 and stockholders equity has been decreased by
        $500,000 as of September 30, 2005.
 
 Impact
 The
        following summarizes the effect of
        the adjustments discussed
        above on the previously reported condensed consolidated balance sheet and
        statement of operations as of and for the three months endedSeptember 30, 2005:
  Total
                    assets as previously
                    reported
                
                $
                18,959,068Adjustments
                
                
                (2,433,693
                )Restated
                    total
                    assets
                
                $
                16,525,375Total
                    liabilities as previously
                    reported
                
                $
                14,174,984Adjustments
                
                
                627,655Restated
                    total
                    liabilities
                
                $
                14,802,639Total
                    stockholders'
                    equityas
                    previously
                    reported
                
                $
                4,784,084Cumulative
                    Effect of the
                    Adjustment
                
                
                (492,438
                )Adjustments
                    for Notes Receivables,
                    Notes Payable and Stock
                
                
                (2,568,910
                )Restated
                    total stockholders'
                    equity
                
                $
                1,722,736
 9
  For
                    TheThree
                    MonthsEnded
                    September30,
                    2005Total
                    revenues as previously
                    reported
                
                $
                13,131,413Adjustments
                
                
                1,652Restated
                    total
                    revenues
                
                $
                13,133,065Gross
                    profit as previously
                    reported
                
                $
                923,169Adjustments
                
                
                200,322Restated
                    gross
                    profit
                
                $
                1,123,491Operating
                    expenses as previously
                    reported
                
                $
                1,797,355Adjustments
                
                
                352,622Restated
                    operating
                    expenses
                
                $
                2,149,977Other
                    income (expenses) as
                    previously reported
                
                $
                (464,511
                )Adjustments
                
                
                28,505Restated
                    other
                    income(expenses)
                
                $
                (436,006
                )Net
                    loss as previously
                    reported
                
                $
                (1,342,032
                )Adjustments
                
                
                (120,460
                )Restated
                    net
                    loss
                
                $
                (1,462,492
                )Basic
                    and diluted loss per
                    share:As
                    previously
                    reported
                
                $
                (0.59
                )Adjustments
                
                
                (0.01
                )As
                    restated
                
                $
                (0.60
                )
  Note
        6 - Net Loss per
        Share
 
 Basic
        net
        loss per common share is computed based on the weighted average number of
        shares
        outstanding during the periods presented. Common stock equivalents, consisting
        of stock options, warrants, and convertible debentures and notes payable
        as
        further discussed in the notes to the condensed consolidated financial
        statements, were not included in the calculation of diluted loss per share
        because their inclusion would have been anti-dilutive.
 
 The
        total
        common shares issuable upon the exercise of stock options and warrants, and
        conversion of convertible debentures and note payable (along with related
        accrued interest) was 6,760,346 and 621,386 for the three months ended September
        30, 2006 and 2005, respectively.
 
 Note
        7 - Inventories
  Inventories
        consisted of the following
        at:
  September
                    30,
                    2006
                
                
                June
                    30,
                    2006#2
                    heating
                    oil
                
                $
                676,615
                
                
                $
                335,485Diesel
                    fuel
                
                
                
                54,094
                
                
                
                42,567Kerosene
                
                
                
                26,541
                
                
                
                9,125Propane
                
                
                
                46,201
                
                
                
                33,444Parts,
                    supplies and
                    equipment
                
                
                204,576
                
                
                
                255,366Total
                
                
                $
                1,008,027
                
                
                $
                675,987
 
 
 10
  Note
        8 - Notes
        Receivable
 
 OnMarch
        1, 2004, the Company entered
        into two notes
        receivable totaling $1.4 million related to the sale of its subsidiary, Able
        Propane LLC. The notes are securedby substantially all
        the assets of Able
        Propane LLC. One note for $500,000 bears interest at a rate of 6% per annum
        and
        the other note for $900,000 is non-interest bearing. Principal payments on
        the
        $900,000 are payable in four annual installments which began
        on the first anniversary of the
        note. Principal payment on the $500,000 note is due onMarch 1, 2008.
        Interest on such note is being paid in
        quarterly installments through the maturity date. The balance outstanding
        of
        these two notes as ofSeptember 30,
        2006was $950,000.
 
 The
        Company had a note from Able Oil
        Montgomery, Inc. ("Able Montgomery") and Andrew Schmidt (the owner of Able
        Montgomery) related to the sale of Able Montgomery and certain assets to
        Mr.
        Schmidt. The note was datedJune 15, 2000for$170,000.
        The note bore interest at 9.5%
        per annum and payments commencedOctober 1, 2000.
        The note was secured by the stock of
        Able Montgomery, Able Montgomery's assets, as well as a personal guarantee
        of
        Mr. Schmidt. The note balance outstanding atSeptember
        30, 2006was$168,701.OnDecember 13, 2006, the
        Company purchased the assets of Able Montgomery and the note was applied
        against
        a portion of the purchase price (See Note 20).
 
 The
        Company has a note receivable
        related to the sale of oil delivery trucks to an independent
        driver. This
        independent driver also delivers oil for the Company. The note bears interest
        at
        the rate of 12% per annum. This note was issued in February 1999 and is payable
        in eight monthly installments each year during the periodfrom
        September through April, through
        April 2007, the oil delivery season. The balance on this note atSeptember 30, 2006was$6,878.
 
 Maturities
        of the notes receivable atSeptember 30, 2006are as
        follows:
  For
                    the
                    Year
                
                PrincipalEnding
                    September
                    30,
                
                Amount2007
                
                $
                400,5792008
                
                
                725,000Total
                
                $
                1,125,579
  Note
        9–Derivative
        Instruments
 
 During
        the period fromJuly
        28, 2006toAugust
        15, 2006, the Company entered
        into futures
        contracts for #2 heating oil (“fuel derivative contracts”)
        to hedge a portion of its forecasted
        heating season requirements. The Company purchased 40 contracts with a series
        ofmaturities
        between October 2006 and April
        2007. The contracts total 1,680,000 gallons of #2 heating oil at an average
        call
        price of $2.20 per gallon. In accordance with SFAS 133, the Company is
        accounting for the contracts as a cash flow hedge.  ThroughSeptember
        30, 2006, the Company has deposited
        a totalof $948,133in margin
        requirements with the broker. The Company has a realized loss on 4 of the
        40
        contracts in the amount of $68,262.
        The net amount on deposit with the
        broker atSeptember 30,
        2006of $881,173
        is included in due from broker and
        the $68,262of
        realized losses is recorded in cost
        of goods sold in these condensed consolidated financial statements since
        such
        loss is not expected to be recovered in the applicable future period. The
        estimated fair value of
        open futures contracts as ofSeptember 30, 2006indicated an unrealized loss of
        $562,753 which is recorded as fuel derivative contracts with a corresponding
        amount recorded in accumulated other comprehensive loss in these condensed
        consolidatedfinancial statements (See Note
        16). During the period from October 1, 2006 through March 31, 2007, the Company
        had realized a loss of $856,057 on the remaining 36 contracts.
 
 11
  Note
        10 - Property and
        Equipment
 
 Property
        and equipmentwas comprised of the
        following:
 
 September
                    30,
                    2006
                
                
                June
                    30,
                    2006Land
                
                $
                479,346
                
                
                $
                479,346Buildings
                
                
                1,656,106
                
                
                
                1,656,106Bulding
                    improvements
                
                
                411,259
                
                
                
                251,401Trucks
                
                
                3,777,706
                
                
                
                3,826,414Machinery
                    and
                    equipment
                
                
                1,028,768
                
                
                
                1,028,769Office
                    furniture,
                    fixturesand
                    equipment
                
                
                219,779
                
                
                
                219,778Fuel
                    tanks
                
                
                922,886
                
                
                
                872,096Cylinders
                    -
                    propane
                
                
                408,937
                
                
                
                385,4508,904,787
                
                
                
                8,719,360Less:
                    accumulated
                    depreciation
                
                
                (4,397,133
                )
                
                
                (4,305,309
                )Property
                    and equipment,
                    net
                
                $
                4,507,654
                
                
                $
                4,414,051
  AtSeptember
        30, 2006, the Company has equipment
        under
        capital leases with a net book value of approximately$1,009,000.
 
 Depreciation
        and amortization expense of property and equipment was $148,823 and $151,616
        forthe three months endedSeptember
        30,
        2006and 2005,
        respectively.
 
 Note
        11–Deferred
        Financing Costs and Debt
        Discounts
 
 The
        Company incurred deferred financing
        costs in conjunction with the sale of convertible debentures on July12, 2005 and August
        8, 2006
        (See Note 15), notes payable on May 13, 2005 (See Note 13), a line of credit
        on
        May 13, 2005 (See Note 12),a
        convertible note payable
        on July 5, 2006 (See Note 15), and due diligence
        fees related to
        potential financing (See Note 18).These
        costs were capitalized to deferred
        financing costs and are being amortized over the term of the related debt.
        Amortization of deferred financing costs was $561,128(this
        amount includes $540,000 that was
        reclassed/restated to amortization of deferred financing costs originally
        presented as
        part of contra equity since the financing did not occur)and $33,568 for the
        three months ended
        September 30, 2006, and 2005, respectively.
 
 In
        accordance with EITF 00-27,
        "Application of Issue 98-5 to Certain Convertible Instruments", the
        Convertible Debentures
        issued onJuly 12, 2005andAugust
        8, 2006, as well as a convertible
        note issuedJuly 5, 2006(See
        Note 15) were considered to have a
        beneficial conversion premium feature. The Company recorded debt discounts
        of
        $5,500,000 related to the beneficial
        conversion features and warrants
        issued in connection with the financings. The Company amortized $195,909
        and
        $278,533 of the debt discounts during the three months endedSeptember 30, 2006and
        2005,
        respectively.
 
 Note
        12 - Line Of
        Credit
 
 OnMay
        13, 2005,
        the Company entered into a $1,750,000
        line-of-credit agreementdue on demandwith
        Entrepreneur Growth Capital, LLC.
        The loan is secured by accounts receivable, inventory and certain other assets
        as defined in the agreement. The line carries interest at Citibank's prime
        rate, plus 4% perannum (11.25% atSeptember
        30, 2006) not to exceed 24%
        with a minimum
        interest of $11,000 per month. The line also requires an annual facility
        fee of
        2% of the total available facility limit and monthly collateral management fees equal
        to .025%. The
        outstanding balance fluctuates over time. The balance due as ofSeptember 30, 2006was$1,017,816and approximately$732,000was available under this credit
        line.
 
 Note
        13 - Notes
        Payable
 
 OnMay
        13, 2005, the Company entered
        into a term loan with Northfield
        Savings Bank for $3,250,000. Principal and interest are payable in monthly
        installments of approximately $21,400 which commencedJuly 1, 2005.
        The initial interest rate is 6.25% per
        annum on the unpaid principal balance
        for the first five years, to be reset
        every fifth anniversary date at 3% over the five year treasury rate, but
        not
        lower than the initial rate; at that time the monthly payment will be reset.
        The
        interest rate on default is 4% per annum above the interest
        rate then in effect. The note is
        secured by Company-owned real property located in Rockaway,New Jerseyand
        an assignment of leases and rents at
        such location. At the maturity date ofJune 1, 2030,
        all remaining amounts are due. The
        balance outstandingon
        this note atSeptember 30, 2006wasapproximately
        $3,180,000.
  12
 
 On
        August 27, 1999, the Company entered
        into a note related to the purchase of equipment and facilities from B & B
        Fuels Inc. The total principal of the note originally was $145,000.The note is payable
        in the monthly
        amount of principal and interest of $1,721 with an interest rate of 7.5%
        per
        year throughAugust 27,
        2009. The note is secured
        by a mortgage granted by Able Energy New York, Inc. on properties at 2 and
        4
        Green Terrace and4
        Horicon Avenue, Town ofWarrensburg,
        Warren County, New York. The balance
        due on this note atSeptember 30, 2006was
        approximately $54,000.
 
 Maturities
        of the notes payable as ofSeptember 30, 2006are as
        follows:
  For
                    the Year
                    EndingSeptember
                    30,
                
                Amount2007
                
                $
                77,4302008
                
                
                82,6402009
                
                
                86,4802010
                
                
                72,6282011
                
                
                77,299Thereafter
                
                
                2,837,296$
                3,233,773
  Note
        14 - Capital Leases
        Payable
 
 TheCompany
        has entered into various capital
        leases for equipment expiring through November 2010, with aggregate monthly
        payments of approximately $33,000.
 
 The
        following is a schedule by years of
        future minimum lease payments under capital leases together with the present value
        of the net minimum
        lease payments as ofSeptember 30, 2006:
  For
                    the
                    YearEnding
                    September
                    30,
                
                Amount2007
                
                $
                364,1782008
                
                
                331,3142009
                
                
                214,8562010
                
                
                72,6602011
                
                
                7,561Total
                    minimum lease
                    payments
                
                
                990,569Less:
                    amounts representing
                    interest (from 8% to 12%)
                
                
                112,782Present
                    value of net minimum lease
                    payments
                
                
                877,787Less:
                    current
                    portion
                
                
                304,215Long
                    term
                    portion
                
                $
                573,572
 
 Note
        15 - Convertible Debentures and
        Convertible Notes Payable
 
 Convertible
        Debentures–July
        2005
 OnJuly
        12, 2005, the Company consummated
        a
        financing in the amount
        of
        $2.5 million. Under such financing, the Company sold debentures evidenced
        by a
        Variable Rate Convertible Debenture (the "Convertible Debentures"). During
        the
        year endedJune 30, 2006$2,367,500
        of principal
        plus accrued interestof
        $49,563 were converted into 371,856
        shares of the Company’s
        common shares. As ofSeptember 30, 2006,
        the remaining outstanding balance of
        Convertible Debentures totaled $132,500 plus accrued interest of
        $57,243.The
        amortization of discounts on these Convertible Debentures was $15,883for the three months
        ended
        September 30, 2006 and the unamortized portion was $54,485 at September 30,
        2006.
 
 13
 
 Convertible
        Note Payable to Laurus
 OnJuly
        5, 2006, the Company closed
        a Securities
        Purchase Agreement entered
        into onJune 30, 2006whereby
        it sold a
        $1,000,000 convertible term note to The Laurus Master Trust Fund, Ltd.
        (“Laurus”).The
        note is for two years.The
        Company paid fees of $49,000 to
        Laurus and received net proceeds of $951,000. The Company incurred escrow fees
        of $1,500.
        Thereafter, the Company loaned $849,500 of the Laurus proceeds to All American
        in exchange for a note receivable in the amount of $905,000, which included
        reimbursement of $50,500 of transaction fees.  All American loaned
        thenet
        proceeds received from Able to CCI
        Group, Inc. ("CCIG") (a 70% ownedinvestmentofAll
        American) who utilized such
        funds toward the
        development and operation of a project operated by CCIG’s
        subsidiary Beach Properties Barbuda
        Limited (“BPBL”).
 
 CommencingAugust
        1,2006,
        the Company was required to pay
        interest on the note monthly in arrears at a rate equal to the prime rate
        published in the Wall Street Journal plus 2%, calculated as of the last business
        day of the calendar month. Amortizing payments of the principal
        amount of the note shall be made by
        the Company commencing onJune 30, 2007and
        on the first business day of each
        succeeding month thereafter in the amount of $27,778 through the maturity
        date
        of the note onJune 30,
        2009. The note is
        convertible at theoption
        of Laurus into shares of the
        Company's common stock, at an initial fixed conversion price of $6.50 per
        share.
        The conversion rate of the note is subject to certain adjustments and
        limitations as set forth in the note.
 
 In
        connection with Laurus'
        purchase of the note,
        the
        Company granted Laurus a warrant exercisable throughJune 30, 2011to
        purchase 160,000 shares of the
        Company's common stock at a price of $5.57 per share, subject to the adjustments
        and limitations set forth in the warrant. These warrants
        were valued at approximately
        $986,000, using the Black-Scholes model, applying an interest rate of 5.19%,
        volatility of 98.4%, dividends of $0 and a contractual term of five
        years.
 
 In
        accordance with EITF 00-27“Application
        of Issue 98-5 to CertainConvertible Instruments”and
        EITF 98-5, "Accounting
        for Convertible Securities with Beneficial Conversion Features or Contingently
        Adjusted Conversion Ratios", on a relative fair value basis, the warrants
        were
        recorded at a value of approximately $472,000.The
        conversion feature, utilizing an
        effective conversion price and market price of the common stock on the date
        of
        issuance of $3.00 and $7.70, per share, respectively, was valued at
        approximately $723,000 which was then limited to $528,000, the
        remaining
        undiscounted value of the proceeds of
        the convertible term note. Accordingly, the Company has recorded a debt discount
        related to the warrants of $472,000 and the beneficial conversion feature
        of the
        convertible term note of $528,000, which amounts areamortizable
        utilizing the interest method
        over the three year term of the convertible term note. Amortization of debt
        discounts on this convertible note payable amounted to $79,743 for the three
        months endedSeptember 30,
        2006and the unamortized
        portion of thesedebt
        discounts was $920,257 atSeptember 30, 2006.
 
 The
        Company agreed that within sixty days from the date of issuance of the note
        (September 3, 2006) and warrant that it would file a registration statement
        with
        the SEC covering the resale of the shares of the Company's stock issuable
        upon
        conversion of the note and the exercise of the warrant. This registration
        statement would also cover any additional shares of stock issuable to Laurus
        as
        a result of any adjustment to the fixed conversion price of the note or the
        exercise price of the warrant.  As of November 30, 2007, the Company
        was not able to file a registration statement and Laurus has not yet waived
        its
        rights under this agreement. As a result of its failure to comply with the
        registration rights provision, the Company has included all the amounts due
        for
        the convertible term note as a current liability in the condensed consolidated
        balance sheet as of September 30, 2006. There are no stipulated liquidated
        damages outlined in the Registration Rights Agreement. Under the Agreement,
        the
        holder is entitled to exercise all rights granted by law, including recovery
        of
        damages, and will be entitled to specific performance of its rights under
        this
        agreement.  Mr. Frank Nocito, an officer and a stockholder and Mr.
        Stephen Chalk, a director, have each provided a personal guarantee, of up
        to
        $425,000 each, in connection with this financing.
 
 The
        Company received from Laurus a
        notice of a claim of default datedJanuary 10, 2007.
        Laurus claimed default
        under section 4.1(a) of
        the
        Term Note as a result of non-payment of interest and fees in the amount of
        $8,826 that were due onJanuary 5, 2007,
        and a default under sections 6.17 and
        6.18 of the Securities Purchase Agreement for failure to use best efforts
        (i)to
        cause CCIG to provide Laurus on an
        ongoing basis with evidence that any and all obligations in respect of accounts
        payable of  the project operated by CCIG’s
        subsidiary BPBL, have been met; and
        (ii) cause CCIG to provide within 15 days after the end ofeach
        calendar month, unaudited/internal
        financial statements (balance sheet, statements of income and cash flow)
        of BPBL
        and evidence that BPBL is current in all of their ongoing operational
        needs. OnMarch 7,
        2007, Laurus notified the
        Company that it waived
        the event of default and that Laurus
        had waived the requirement for the Company to make the default payment of
        $154,000.
   14
  Convertible
        Debentures–August
        2006
 OnAugust
        8, 2006, the Company issued
        $2,000,000 of
        convertible debentures to certain investors which are due onAugust
        8, 2008. The convertible debentures
        are
        convertible into shares of the Company's common stock at a conversion price
        of
        $6.00 per share, which was the market value of the Company's common stock
        on the
        date of issuance. The Company received netproceeds
        of $1,820,000 and incurred
        expenses of legal fees of $40,000 and broker fees of $140,000 in connection
        with
        this financing that were recorded as deferred financing costs and amortized
        on a
        straight-line basis over the two year term of the convertible
        debentures. The convertible
        debentures bear interest at the greater of either LIBOR (5.4% as ofSeptember 30, 2006)  plus
        6.0%, or 12.5%, per
        annum, and such interest is payable quarterly to the holder at the option
        of the
        Company either in cash or inadditional
        convertible
        debentures.
 
 At
        any time, the holder may convert the
        convertible debenture into shares of common stock at $6.00 per share, or
        into
        333,333 shares of common stock which represents a conversion at the face
        value
        of the convertible debenture.
 
 OnMay
        30, 2007, upon consummation
        by the Company of
        the business combination transaction with All American (See Note 18), the
        Company may redeem the convertible debentures at a price of 120% of the face
        amount, plus any accrued but unpaid interest and any unpaid liquidated
        damages or
        under certain conditions, the Company may redeem the amount at 120% of the
        face
        amount in cash, or redeem through the issuance of shares of common stock at the
        lower of the existing conversion price or 90% of the volume
        weighted average price, as
        stipulated in the agreement.
 
 The
        investors may elect to participate
        in up to 50% of any subsequent financing of the Company by providing written
        notice of intention to the Company.
 
 The
        investors also were issued 333,333,
        166,667 and 172,667
        five-year warrants to purchase additional shares of the Company's common
        stock
        at $4.00, $6.00 and $7.00 per share, respectively. These warrants were valued
        at
        $3,143,000 using the Black-Scholes model, applying an interest rate of
        4.85%,volatility
        of 98.4%, dividendsof 0%
        and a term of five years. In
        accordance with EITF 00-27 and EITF 98-5, on a relative fair value basis,
        the
        warrants were recorded at a value of approximately
        $1,222,000.
 
 The
        beneficial conversion feature,
        utilizing aneffective
        conversion price and market price of the common stock on the date of issuance
        of
        $2.00 and $6.00, per share, respectively, was valued at approximately $1,333,000
        which was then limited to $778,000, the remaining undiscounted value of the
        convertible
        term note. Accordingly, the Company
        has recorded a debt discount related to the warrants of $1,222,000, the
        beneficial conversion feature of the convertible term note of $778,000, which
        amounts are amortizable over the two year term of the convertibledebentures.  Amortization
        of
        these debt discounts was $100,284 for the three months endedSeptember 30, 2006and
        the unamortized portion was
        $1,899,716 atSeptember 30,
        2006.
 
 The
        Company had agreed to file a
        registration statement within forty-five daysorSeptember
        22, 2006, covering the resale
        of the shares of
        common stock underlying the convertible debentures and warrants issued to
        the
        investors, and byOctober
        15, 2006, to have such
        registration statement declared effective. The registration rights agreement
        with the investors provides for
        partial liquidated damages in the case that these registration requirements
        are
        not met. From the date of violation, the Company is obligated to pay liquidated
        damages of 2% per month of the outstanding amount of theconvertible
        debentures, up to a total
        obligation of 24% of such obligation. The Company has not yet filed a
        registration statement regarding these securities.As a result of its
        failure to comply with the registration rights provision, the Company has
        included all amounts due on the convertible debentures as a current liability
        in
        the condensed consolidated balance sheet as of September 30, 2006. Also, as ofSeptember 30,
        2006,the Company has estimated
        the fair value of the liquidated damages obligation including interest of
        approximately $200,000. The expense is included as registration rights
        penalty on the condensed consolidated statement of operations and the corresponding liability
        in
        accounts payable and accrued expenses on the condensed consolidatedbalance sheet. The
        Company isobligated to continue to pay 18% interest per annum on any damage
        amount
        not paid in full within 7 (seven) days. As of December 31, 2007, theCompany was not able to file
        a
        registration statement and the holder has not yet waived its rights under
        this agreement and
        the Company had not received a default notice from the lender on these matters.
        EITF 05-04 view (C) allows the Company to account for the value of the warrants
        as equity and separately record the fair value ofthe registration right as a derivative
        liability. Until these liquidated damages are cured, the incurred liquidated
        damages and an estimate of future amount will be accounted for as a derivative
        liability by the Companyunder view (C).
 
 The
        obligations of the Company in this
        financing
        transaction are secured by a first mortgage on certain property owned by
        the
        Company inWarrensburg,New
        York, a pledge of certain
        rights the Company
        has in securities of CCIG, guarantees by the Company's subsidiaries and
        liens
        on certain other
        property.
  15
  Note
        16-Stockholders’Equity
 
 Increase
        in
        Common Shares Authorized
 OnAugust
        29, 2006, the stockholders
        approved an increase
        in authorized shares of common stock from 10,000,000 to 75,000,000
        shares.
 
 Accumulatedother
        comprehensive loss
 The
        Accumulated other comprehensive
        loss of
        $562,753 represents changes in the effective portion of the Company’s
        open fuel contracts (See Note
        9).
 
 Stock
        options
 A
        summary of the Company's stock option
        activity, and related information for the three
        months endedSeptember 30, 2006is as
        follows:
  Number
                      of
                    Options
                  
                  
                  
                  Weighted
                    Average
                    Exercise
                      PriceOutstanding,
                      June 30,
                      2006
                  
                  
                  91,500
                  
                  
                  $
                  5.92Granted
                  
                  
                  50,000
                  
                  
                  
                  4.55Cancelled
                  
                  
                  (50,000
                  )
                  
                  
                  4.55Exercised
                  
                  
                  (12,500
                  )
                  
                  
                  4.36Outstanding,
                      September 30,
                      2006
                  
                  
                  79,000
                  
                  
                  $
                  6.17
 
 OnJuly
        31, 2006, an option was granted
        toFrank Nocito,
        a Vice President and stockholder of
        the Company, to purchase 50,000 shares of common stock of the Company at a price of $4.55
        per share.
        Thereafter, in error, the Company issued the shares to Mr. Nocito. Mr. Nocito
        had not formally exercised the option, nor had he paid Able the cash
        consideration for the shares. Mr. Nocito returned the stock certificatesto
        the Company and the shares were
        cancelled by the transfer agent.  OnOctober 7, 2006,
        Mr. Nocito and the Company agreed to
        cancel the option and further, Mr. Nocito agreed in writing to waive any
        and all
        rights that he had to the option. The option wasthen
        cancelled and deemed null and void
        and the statements reflect no expense related to the cancelled
        grant.
 
 OnAugust
        25, 2006, Steven Vella, the
        Company's former
        Chief Financial Officer, elected to exercise 12,500 options with an exercise
        price of $4.36 that were
        granted to him onJune 23,
        2006, as part of a
        negotiated severance package. As a result of the option exercise, the Company
        received proceeds of $54,500.Black Scholes variables
        used
        were 3 year term,risk freeinterest
        rate of 5.23% and
        volatility of
        86.9%.
 
 There
        were no other options granted
        during the three months endedSeptember 30, 2006.
 
 The
        Company incurred $17,837 of
        compensation expense from amortization of deferred compensation related to
        the
        issuance of options during the three months endedSeptember
        30, 2006.
  Options
        exercisable are as
        follows:
 Number
                    of
                  Options
                
                
                Weighted
                  Average
                  Exercise
                    PriceSeptember
                    30,
                    2006
                
                
                79,000
                
                
                $
                6.17
  16
 
 The
        following is a summary of stock
        options outstanding and exercisable at September 30, 2006 by exercise price
        range:
 
 Exercise
                    Price
                    Range
                
                
                Number
                    of
                  options
                
                
                Weighted
                  Average
                  Remaining
                  Contractual
                  Life
                    (Years)
                
                
                Weighted
                  Average
                  Exercise
                    Price$2.55
                    -
                    $3.16
                
                
                
                30,000
                
                
                
                2.3
                
                
                $
                2.86$8.09
                    -
                    $8.32
                
                
                
                49,000
                
                
                
                4.3
                
                
                
                8.2079,000
                
                
                
                3.5
                
                
                $
                6.17
 
 Warrants
 
 A
        Summary
        of the Company’s stock warrant activity and related information for the three
        months ended September 30, 2006 is as follows:
  Number
                    of
                  Warrants
                
                
                Weighted
                  Average
                  Exercise
                    PriceOutstanding,
                    June 30,
                    2006
                
                
                5,332,309
                
                
                $
                7.49Granted
                
                
                832,667
                
                
                
                5.32Outstanding,
                    September 30,
                    2006
                
                
                6,164,976
                
                
                $
                7.20
 
 Note
        17- Commitments and
        Contingencies
 
 Purchase
        Commitments
 The
        Company is obligatedto purchase #2 heating
        oil under various
        contracts with its suppliers. As ofSeptember 30, 2006,
        total open commitments under these
        contracts which expire at various dates through April 2007 wereapproximately $5,977,000. See Note 20 for additional contracts entered
        into subsequent to September 30, 2006.
 
 Litigation
 The
        Company is subject to laws and
        regulations relating to the protection of the environment. While it is not
        possible to quantify with certainty the potential impact of actions regarding
        environmental matters, in
        the opinion of management, compliance with the present environmental protection
        laws will not have a material adverse effect on the consolidated financial
        condition, competitive position, or capital expenditures of the
        Company.
 
 Following
        an explosion and fire that occurred
        at the Company's Facility inNewton,NJonMarch
        14, 2003, and through the subsequent
        clean up
        efforts, the Company has cooperated fully with all local, state and federal
        agencies in their investigations into the cause
        of this accident.
 
 A
        lawsuit (known asHicks
        vs.
        Able Energy, Inc.) was
        filed against the Company by residents who allegedly suffered property damages
        as a result of theMarch
        14, 2003explosion and
        fire. The Company's insurance carrier is defending theCompany as it related
        to compensatory
        damages. The Company has retained separate legal counsel to defend the Company
        against the punitive damage claim. OnJune 13, 2005,
        the Court granted a motion certifying
        a plaintiff class action which is defined as "All
        Persons and Entities that on and
        afterMarch 14,
        2003, residing within a
        1,000 yard radius of Able Oil Company's fuel depot facility and were damaged
        as
        a result of theMarch 14,
        2003explosion".  As
        ofJune 30,
        2007, this lawsuit is still
        in discovery.The
        class certification is limited to
        economic loss and specifically excludes claims for personal injury from the
        Class Certification. The Company believes that the Class Claims for compensatory
        damages is within the available limits of its insurance. OnSeptember
        13, 2006, the plaintiffs counsel
        made a
        settlement demand of $10,000,000, which the Company believes to be excessive
        and
        the methodology upon which is fundamentally flawed. The Company intends to
        vigorously defend the claim.
  17
 
 
 Relating
        tothe Hicks action, a
        total of 227 claims
        have been filed against the Company for property damages and 222 claims have
        been settled by the Company's insurance carrier. In addition to the Hicks
        action, four property owners, who were unable to reach satisfactory
        settlements with the Company's
        insurance carrier, have filed lawsuits for alleged property damages suffered
        as
        a result of theMarch 14,
        2003explosion and fire.
        The Company's insurance carrier is defending the Company as it relates to
        the
        Hicks actionand
        remaining four property damage
        claims. The Company's counsel is defendingthe remaining five(5)punitiveand
        compensatorydamage claims. The
        Company believes that
        compensatory damage claims are within the available limits of insurance and
        reserves forlosses have
        been established, as deemed appropriate, by the insurance carrier. The Company
        believes the remaining five unsettled lawsuits will not have a material adverse
        effect on the Company's consolidated financial condition or operationsbased on plaintiff’s
        interrogatories.
 
 The
        Company has been involved in non
        material lawsuits in the normal course of business. These matters are handled
        by
        the Company's insurance carrier. The Company believes that the outcome of
        the
        above mentioned legal matters willnot have a material
        effect on the
        Company's consolidated financial statements.
 
 USABiodiesel
        LLC Joint Venture
 OnAugust
        9, 2006, the Company entered
        into a joint
        venture agreement with BioEnergy of America, Inc. ("BEA"), a privately-heldDelawarecorporation,
        for the purpose of producing
        biodiesel fuel using BEA's exclusive production process at plants to be
        constructed at truck stop plazas, home heating depots and terminals used
        to
        house petroleum products for distribution or resale. The joint venturewill
        operate through USA Biodiesel LLC
        ("USA"),
        aNew Jerseylimited
        liability company in which the
        Company and BEA will each have a 50% membership interest. Each plant, when
        fully
        operational, will produce approximately 15 million gallons of biodiesel
        fuelper
        year.USAwill
        pay all of the operating,
        production and processing expenses for each plant, including an annual use
        fee
        to the Company for use of the plant in the amount of $258,000, payable
        quarterly, commencing ninety days after the plant is fullyoperational.USAwill
        operate the plants and the Company
        shall have the exclusive right to purchase all bio-diesel fuel produced at
        the
        plants.
 
 The
        Company's initial contribution to
        USA will be: (i) the costs of construction of each of the plants
        (estimated to be $1.5
        million each) and related equipment necessary for operating the plants, all
        of
        which, after construction of the plants shall be owned by the Company; (ii)
        initial capital by means of a loan to USA for funding the operations of USA;
        (iii) thefacilities
        at which the plants are to be
        constructed; and (iv) office facilities and access to office technology for
        the
        Company. BEA's initial contribution to USA will be: (i) the license design,
        engineering plans and technology and related costs and expenses
        necessary to construct and operate
        the plants at the facilities; (ii) access to equipment supplier purchase
        agreements for equipment for the plants; (iii) access to soy oil, methanol
        and
        other material purchasing agreements; (iv) for each plant constructed,
        six months of training consisting
        of three months during the  construction of each of the plants and
        three months during initial full production; and (v) exclusive territorial
        rights to the manufacturing process to be used at the plants. There wereno
        costs incurred by the Company throughNovember 30,
        2007.As of the date of this
        report the
        Company has been advised that BEA is no longer in business.
 
 Other
        Contingencies
 Related
        to its 1999 purchase of the
        property on Route 46 in Rockaway, New Jersey,the Company settled
        a lawsuit with a
        former tenant of the property and received a lump sum settlement of $397,500.
        This sum was placed in an attorney's escrow account for payment of all
        environmental remediation costs. ThroughSeptember 30, 2006,
        the Company
        has been reimbursed for approximately$290,000 of costs and another approximately $87,000 are un-reimbursed and are
        included in prepaid
        expenses and other current assets in the accompanying condensed consolidated
        balance sheet atSeptember
        30, 2006andmust
        be presented to the attorney for
        reimbursement. The environmental remediation is still in progress on this
        property. The majority of the free standing product has been extracted from
        the
        underground water table. The remainder of the remediation willbe
        completed over the course of the next
        eight to ten years using natural attenuation and possible bacterial injection
        and based upon the information available to the Companyat June 30,
        2007,in the opinion of the
        Company's management, the amount remainingavailable in the trust
        is sufficient to
        fund the remaining remediation.
 
 OnSeptember
        26, 2006, the New Jersey Department
        of
        Environmental Protection ("NJDEP") conducted a site update inspection, which
        included a review of the Route 46 site and an updateof the progress of
        the approved
        remediation. The NJDEP Northern Office director who conducted the inspection,
        concluded that the remediation progress was proceeding appropriately and
        that
        the NJDEP approved of the Company's continued plan to eliminate theremaining
        underground
        product.
 
 During
        the year ended June 30, 2006, certain officers of the Company exercised stock
        options for the purchase of 100,000 shares of the Company’s stock at an exercise
        price of $6.68 per share that would have resulted in additional compensation
        to
        them if, at the time of exercise, the stock was either not subject to a
        substantial risk of forfeiture or transferable.  The Company has
        concluded that the stock received upon exercise was subject to a substantial
        risk of forfeiture and not transferable until the time of sale. Since the
        sales
        price of the stock was less than the exercise price, the Company has further
        concluded that there is no additional compensation that would be subject
        to
        income tax withholdings for inclusion in payroll tax returns. There can be
        no
        assurance that the Internal Revenue Service (“IRS”) will agree with the
        Company’s position.  In the event that the IRS does not agree, the
        Company estimates that its maximum exposure for income tax withholdings will
        not
        exceed approximately $85,000 excluding any potential interest and
        penalties.  In addition, the Company has not yet filed certain SEC
        filings related to these option exercises.
  18
 
 On
        December 8, 2006, the Company commenced an action in the Superior Court of
        California, for the County of Los Angeles against Summit Ventures, Inc.
        (“Summit”), Mark Roy Anderson (“Anderson”), the principal of Summit and four
        other companies controlled by Anderson, Camden Holdings, Inc., Summit Oil
        and
        Gas, Inc. d/b/a Nevada Summit Oil and Gas, Harvest Worldwide LLC and Harvest
        Worldwide, Inc. seeking to compel the return of 142,857 shares (the “Shares”) of
        the Company’s common stock issued to Summit.  The shares were issued
        to Summit in connection with a consulting agreement the Company had entered
        into
        with Summit in January 2005 (also See Note 5). The complaint also sought
        damages
        as a result of Summit’s and Anderson’s breach of contract, fraud, and
        misrepresentation with respect to the consulting agreement.  On June
        28, 2007, Summit and Anderson interposed a cross-complaint against the Company,
        Greg Frost, the Company’s Chief Executive Officer and Chairman, Chris Westad,
        the Company’s President, Frank Nocito, Vice President of Business Development
        for the Company, Stephen Chalk, a Director of the Company and Timothy
        Harrington, the former Chief Executive Officer of the Company.  The
        Company has recently settled the Anderson Litigation (see Note 20).
 
 SECFormal
        Order
        of Private Investigation
 OnSeptember
        7, 2006, the Company received
        a copy of a Formal Order from theSECpursuant
        to which the Company, certain
        of its officers and a director were served with subpoenas requesting certain
        documents and information. The Formal Order authorizes an investigation of
        possible violationsof
        the anti-fraud provisions of the
        federal securities laws with respect to the offer, purchase and sale of the
        Company's securities and the Company's disclosures or failures to disclose
        material information. The Company believes that it did not violate
        anysecurities
        laws and intends to cooperate
        fully with and assist the Commission in its inquiry. The scope, focus and
        subject matter of theSECinvestigation
        may change
        from time to time and the Company may be unaware of matters under consideration
        by theSEC.
        The Company has produced and continues
        to produce responsive documents and intends to continue cooperating with
        theSECin
        connection with the
        investigation.
  Note
        18 - Related Party
        Transactions
 
 Acquisition
        of Assets of All American
 The
        Company entered into an Asset Purchase
        Agreement
        dated as of June 16, 2005 (which was originally contemplated as a stock purchase
        agreement) ("Purchase Agreement") with all of the stockholders (and then
        with
        All American with respect to the Purchase Agreement) (the "Sellers")
        of All American in connection
        with the Company's acquisition of substantially all the operating assets
        (not
        including real estate properties) of All American. This transaction was approved
        onAugust 29, 2006at
        a special meeting of the
        Company's stockholders
        and was consummated onMay 30, 2007.
        In accordance with applicableDelawarelaw,
        the transaction was approved by at
        least two-thirds (2/3) of the disinterested stockholders of the
        Company.  Under the terms of the Purchase Agreement, upon
        closing,
        the Company issued an aggregate of
        11,666,667 shares of the Company’s,
        unregistered and restricted common
        stock.   Of the approximately 11.67 million shares, 10 million
        shares were issued directly to All American and the remaining 1,666,667 shares
        wereissued
        in the name of All American in
        escrow pending the decision by the Company’s
        Board of Directors relating to the All
        American Secured Debentures described in the paragraph below. The Companypurchased the operating
        businesses of eleven truck stop plazas owned and operated
        by All American.
        The acquisition included all assets comprising the eleven truck plazas other
        than the underlying real estate and the buildings thereon.The Company also assumed
        all liabilities
        related to the operations of those truckstops. The Company
        did not assume any
        liabilities related to the underlying real estate. In addition, the obligations
        of All American to the Company relating to the notes and other amounts as
        described in these condensed consolidated financial statementssurvive
        the business combination. The
        financial information related to the assets acquired and liabilities assumed
        isnot
        yet available.  The shares
        of the Company were valued at a price of $3.00 per sharedetermined
        on the date the parties reached
        agreement and when the
        transaction was announcedfor purposes of the
        Purchase
        Agreement.  The share price of the Company’s
        common stock as ofMay 30, 2007as
        listed on the Pink Sheets was
        $1.65.
 
 Please
        see Note 20 forthe unauditedproforma
        income statement
        representingconsolidated
        results of operations of
        the Company had the acquisition of All American occurred at the beginning
        of the
        earliest period presented.
  19
  All
        American
        Financing
 OnJune
        1, 2005, All American completed
        a
        financing that may impact
        the Company. Pursuant to the terms of the Securities Purchase Agreement (the
        "Agreement") among All American and certain purchasers ("Purchasers"), the
        Purchasers loaned All American an aggregate of $5,000,000, evidenced by Secured
        Debentures
        datedJune 1, 2005(the
        "Debentures"). The Debentures were
        due and payable onJune 1,
        2007, subject to the
        occurrence of an event of default, with interest payable at the rate per
        annum
        equal to LIBOR for the applicable interest period, plus 4% payable
        on a quarterly basis on April 1st,
        July 1st, October 1st and January 1st, beginning on the first such date after
        the date of issuance of the Debentures. As ofNovember30,
        2007, the Company's Board has not
        approved the transfer of the debt that would also require the transfer
        of additional
        assets from All American as consideration for the Company to assume the debt.
        Should the Company’s
        Board approve the transfer of the
        debt, theDebentures
        will be convertible into
        shares of the Company's common stock at a conversion rate
        of the lesser of (i)
        the purchase price paid by the Company for each share of All American common
        stock in the acquisition, or (ii) $3.00, subject to further adjustment as
        set
        forth in the agreement.
 
 The
        loan is secured by real estateproperty owned by All
        American inPennsylvaniaandNew
        Hampshire. Pursuant to the Agreement,
        these
        Debentures are in default, as All American did not complete the merger with
        the
        Company prior to the expiration of the 12-month anniversary of the
        Agreement.Pursuant
        to the Additional Investment
        Right (the "AIRAgreement")
        among All
        American and the Purchasers, the Purchasers may loan All American up to an
        additional $5,000,000 of secured convertible debentures on the same terms
        and
        conditions as the initial$5,000,000
        loan, except that the
        conversion price will be $4.00.
 
 If
        the Company’s
        Board approves the transfer of the
        debt, upon such assumption the Company will assume the obligations of All
        American under the Agreement, the Debentures and theAIRAgreement
        through the execution of a
        Securities Assumption, Amendment and Issuance Agreement, Registration Rights
        Agreement, Common Stock Purchase Warrant Agreement and Variable Rate Secured
        Convertible Debenture Agreement, each between the Purchasers and the
        Company
        (the "Able Energy Transaction
        Documents"). Such documents provide that All American shall cause the real
        estate collateral to continue to secure the loan, until the earlier of full
        repayment of the loan upon expiration of the Debentures or conversionby
        the Purchasers of the Debentures into
        shares of the Company's common stock at a conversion rate of the lesser of
        (i)
        the purchase price paid by the Company for each share of All American common
        stock in the acquisition, or (ii) $3.00, (the "ConversionPrice"),
        subject to further adjustment
        as set forth in the Able Energy Transaction Documents. However, the Conversion
        Price with respect to theAIRAgreement
        shall be $4.00. In addition,
        the Purchasers shall have the right to receive five-year warrants topurchase
        2,500,000 of the Company's
        common stock at an exercise price of $3.75 per share.
 
 In
        the event the Company’s
        Board of Directors does approve the
        transfer of debt and  pursuant to the Able Energy Transaction
        Documents, the Company shall also have an optional redemption
        right (which right
        shall be mandatory upon the occurrence of an event of default) to repurchase
        all
        of the Debentures for 125% of the face amount of the Debentures plus all
        accrued
        and outstanding interest, as well as a right to repurchase
        all of the Debentures in the event
        of the consummation of a new financing in which the Company sells securities
        at
        a purchase price that is below the Conversion Price. The stockholders of
        All
        American have placed 1,666,667 shares of Able common stockin
        escrow shares  to satisfy
        the conversion of the $5,000,000 in outstanding Debentures in full should
        the
        Company’s
        Board approve the transfer of the
        debt.
 
 Note
        Receivable–Related
        Party
 In
        connection with two loans entered
        into by the Company in May2005, fees in the amount
        of $167,500
        were paid to Unison Capital Corporation ("Unison"), a company controlled
        by Mr.
        Nocito, an officer of the Company. This individual also has a related-party
        interest in All American. Subsequent to the payments being madeand based on discussions with Unison,
        it was determined the $167,500 was aninappropriatepayment
        and Unison agreed to reimburse
        this amount to the Company over a twelve month period beginning in October
        2005.
        As ofSeptember 30,
        2006, no payments have
        been made and this note
        is
        still outstanding.The maturity date of the note was extended to January
        15, 2008, which is in the process of being extended, and was personally
        guaranteed by Mr. Nocito.  Interest income related to this note for
        the three months ended September 30, 2006 was $2,533 and accrued interest
        receivable as of that date is $14,263. The note and accrued interest
        in the
        amount of $181,763 have been classified as contra-equity in the accompanying
        condensed consolidated balance sheetas of September 30,
        2006.
 
 Notes
        and
        Loans to All American
 The
        Company loaned All American
        $1,730,000 as evidenced by a promissory note datedJuly 27, 2005.
        As of September 30, 2006, this note is
        still outstandingwhich
        hada maturity date ofJanuary
        15, 2008,
        which is currently in
        process of being
        extended. Interest income
        related to this note for the three months endedSeptember 30, 2006was
        $41,425 and accrued interest
        receivable as of that date is $112,000.The
        note and accrued interest receivable
        in the amountof $1,842,000
        have been classified as contra-equity on the Company's condensed consolidated
        balance sheet asof
        September 30,
        2006.
  20
 
 On
        May 19, 2006, the Company entered
        into a letter of interest agreement withManns Haggerskjoldof North American,
        Ltd. ("Manns"), for a bridge
        loan to the Company in the amount of $35,000,000 and a possible loan in the
        amount of $50million based upon the business
        combination with All American ("Manns Agreement"). The terms of the letter
        of
        interest provided for the
        payment of a commitment fee of $750,000, which was non-refundable to cover
        the
        due-diligence cost incurred by Manns. OnJune 23, 2006,
        the Company advanced to Manns $125,000
        toward the Manns Agreement due diligence fee. During the periodfrom July
        7, 2006 through November 17, 2006, the Company advanced an additional $590,000
        toward the Manns Agreement due diligence fee.The
        amountexpensedrelating
        to these advances as of
        September 30, 2006,was$540,000, as a result of not
        obtaining the
        financing.
 
 As
        a result of the Company receiving a
        Formal Order from theSEConSeptember
        22, 2006, the Company and Manns
        agreed that the
        commitment to fund being sought under the Manns Agreement would be issued
        to All
        American, since the stockholders had approved anacquisition of All
        American by Able and
        since the collateral for the financing by Manns would be collateralized by
        real
        estate owned by All American. Accordingly, onSeptember 22, 2006,
        All American agreed that in the event
        Manns funds a credit facilityto
        All American rather than the Company,
        upon such funds being received by All American, it will immediately reimburse
        the Company for all expenses incurred and all fees paid to Manns in connection
        with the proposed credit facility from Manns to the Company.
        On or aboutFebruary 2, 2007,
        All American received a term sheet
        fromUBSReal
        Estate Investments, Inc.
        (“UBS”)
        requested by Manns as co-lender to All
        American. All American rejected theUBSoffer
        as not consistent with the
        Manns’commitment
        ofSeptember14,
        2006. All American subsequently
        demanded
        that Manns refund all fees paid to Manns by Able and All American. In order
        to
        enforce its rights in this regard All American has retained legal counsel.
        The
        Company and All Americanhave commenced an arbitration
        proceeding against Manns and its
        principals to pursue their remedies.All recoveries and
        fees and costs of the
        litigation will be allocated between the Company and All American in proportion
        to the amount of the Manns due diligence fees paid.
 
 OnJuly
        5, 2006,
        the Company loaned $905,000 of the
        Laurus proceeds to All American (See Note 15).  Interest income on the
        note for the three months endedSeptember 30,2006 was
        $25,055.The note and
        accrued interest of $16,229 have been classified as contra-equityon the Company's
        condensed
        consolidated balance sheet as of September 30, 2006.
 
 In
        consideration for the loan, All American has granted the Company an option,
        ("the Option") exercisable in the Company's sole discretion, to acquire 80%
        of
        the CCIG stock All American acquired from CCIG pursuant to a Share Exchange
        Agreement. In addition, in the event that the Company exercises the Option,
        80%
        of the outstanding principal amount of the All American note will be cancelled
        and shall be deemed fully paid and satisfied. The remaining principal balance
        of
        the All American note and all outstanding and accrued interest on the loan
        shall
        be due and payable one year from the exercise of the Option. The Option must
        be
        exercised in whole and not in part and the Option expires on July 5, 2008.
        In
        the event the Company does not exercise the Option, the All American note
        shall
        be due in two years, on July 6, 2008, unless the Company has issued a
        declaration of intent not to exercise the Option, in which case the All American
        note shall be due one year from such declaration. The Company has determined,
        that given the lack of liquidity in the shares of CCIG and the lack of
        information in regard to the financial condition of CCIG, that this option
        has
        no value and has not been recorded by the Company.
 
 OnAugust
        14, 2006, the Company loaned
        All American
        $600,000. OnAugust 30,
        2006, All American repaid
        the $600,000 plus interest in the amount of $2,684.
 
 Note
        Payable
        Related Party
 On
        February 22, 2005, the Company
        borrowed $500,000 from Able
        IncomeFund,LLC("Able
        Income"), which is
        partially-owned by the Company's former CEO, Timothy Harrington. The loan
        from
        Able Income bore interest at the rate of 14% per annum payable interest only
        in
        the amount of $5,833 per month withthe principal balance
        and any accrued
        unpaid interest due and payable onMay 22, 2005.
        The Note was secured by a mortgage on
        property located in Warrensburg Industrial Park, Warrensburg, New York, owned
        by
        Able Energy New York, Inc. Able Income agreed tosurrender
        the note onOctober 14, 2005representing
        this loan in exchange for
        57,604 shares of Able common stock (based on a conversion price equal to
        80% of
        the average closing price of our common stock during the periodOctober 3, 2005toOctober
        14, 2005).  Interest
        expense related
        to the note payable paid to Able Income during the three months endedSeptember 30, 2005was
        $17,500.
 
 Change
        in
        Officers Status
 On
        September 28, 2006, Gregory Frost, gave notice to the Board of Directors
        that he was taking an indefinite leave of absence as Chief Executive Officer
        of
        the Company and resigned as Chairman of the Board.  Mr. Christopher P.
        Westad, the acting Chief Financial Officer of the Company, was designated
        by the
        Board to serve as acting Chief Executive Officer. In connection with Mr.
        Westad's service as acting Chief Executive Officer, Mr. Westad stepped down,
        temporarily, as acting Chief Financial Officer. The Board designated Jeffrey
        S.
        Feld, the Company's Controller, as the acting Chief Financial Officer. Mr.
        Feld
        has been with the Company since September 1999. Mr. Frost resumed his duties
        as
        Chief Executive Officer effective May 24, 2007.  The Company had
        further management changes on September 24, 2007 (See Note 20).
  21
 
 Note
        19 - Product Information
 
 The
        Company sells several types of
        products and provides services. The following are revenues by product groups
        and
        services for the three months endedSeptember 30, 2005and
        2006.
  Three
                    Months
                    EndedSeptember
                    30,2006
                
                
                2005#
                    2 heating
                    oil
                
                $
                6,107,271
                
                
                $
                5,810,897Gasoline,
                    diesel
                    fuel,kerosene,
                    propane and
                    lubricants
                
                
                6,111,720
                
                
                
                6,606,451Equipmentsales,
                    services and
                    installation
                
                
                616,562
                
                
                
                715,717Net
                    Sales
                
                $
                12,835,553
                
                
                $
                13,133,065
 
 Note
        20 - Subsequent
        Events
 
 VoluntaryNASDAQ
        Delisting
 OnOctober
        4, 2006, the Company announced
        its intention to
        voluntarily delist the Company's common stock from the NASDAQ Capital Market,
        effective as of the start of trading onOctober 13, 2006.
        The Company's common stock is
        currently quoted on the
        Pink Sheets. The management of the Company has indicated that the Company
        will
        apply for listing on the OTC Bulletin Board as soon aspracticablefollowingits
        being in filing compliance as to all
        outstandingSECreports.
 
 Purchase
        of
        Horsham Franchise
 OnDecember
        13, 2006, the Company purchased
        the assets of
        its Horsham franchise from Able Oil Montgomery, Inc., a non-related party,
        for
        $764,175. Able Oil Montgomery is a full service retail fuel oil and service
        companylocated
        inHorsham,Pennsylvania,
        which until said acquisition, was a
        franchise operation of the Company.
 
 The
        purchase priceof the Horsham franchisewas
        allocated as shown below. This
        purchase price allocation has not been finalized and represents management's
        best estimate.
  Description
                
                AmountHVAC
                    parts and
                    tools
                
                $
                28,000Furniture
                    and
                    fixtures
                
                
                5,000Vehicles
                
                
                
                34,000Customer
                    list - fuel
                    distribution
                
                
                500,000Customer
                    list - HVAC
                    business
                
                
                197,175Total
                
                
                $
                764,175The
                    purchase price was paid as
                    follows:Down
                    payment
                
                $
                128,000Note
                    to
                    seller
                
                
                345,615Note
                    payable to
                    seller
                
                
                269,480Accounts
                    receiveable from
                    seller
                
                
                21,080Total
                
                
                $
                764,175
  22
 
 Subsequent
        events continued
 
 The
        Customer lists are included in the intangible assets on the condensed
        consolidated balance sheet as of December 31, 2006 and will be amortized
        over a
        15 year period.
 
 The
        purchase agreement called
        fora down payment by
        the
        Company of $128,000, a 5 year, 7.0% per annum note in favor of the seller
        in the
        amount of $345,615 and the offset of money owed by the seller to the buyer
        of
        $290,560. Separately, the sellers paid to the Company $237,539 of
        monies
        collected in advance by Able Oil
        Montgomery.
 
 In
        addition, Able entered into a
        consulting agreement with Drew Schmidt, the owner of Able Oil Montgomery
        Inc.,
        to assist Able with the transition and on going development of the Horsham
        business. The term of the
        consulting agreement was fromDecember 13, 2006toApril
        14, 2007at a rate of $6,000
        per
        month.
 
 The
        following unaudited proforma income
        statement represents consolidated results of operations of the Company had
        the
        acquisition of All American Plazas and Able Oil Montgomery
        Inc. occurred
        at the beginning of the earliest period presented:
  Three
                    months
                    ended
                
                
                Three
                    months
                    endedSeptember
                    30,
                    2006
                
                
                September
                    30,
                    2005Net
                    Revenue
                
                $
                67,619,435
                
                
                $
                55,690,120Net
                    loss
                
                $
                (5,209,791
                )
                
                $
                (3,895,262
                )Basic
                    and Diluted Earnings (loss)
                    per Share
                
                
                (0.35
                )
                
                
                (0.28
                )
  The
        above proforma information does not
        purport to be indicative of what would have occurred had the acquisitions
        been
        made as of suchdate or the
        results which may occur in the future.
 
 Capital
        Leases
 OnSeptember
        8, 2006, the Company entered
        into a five year
        capital lease for five new oil delivery trucks for an aggregate purchase
        price
        of approximately $506,000. One truck was deliveredand placed into service
        in December
        2006, two in January 2007 and two in February 2007.
 
 Fuel
        Supply
        Contract
 In
        December 2006, the Company entered
        into a Fuel Purchase agreement with All American. Under the agreement the
        Company pre-paid $350,000 to AllAmerican in exchange
        for fuel purchased
        pursuant to this agreement to be provided by All American at a $.05 per gallon
        discount from theNewark,New
        Jersey Dailyspot market price.
        A pre-paid balance
        of$11,058remains
        under this agreement as ofNovember30,
        2007.
 
 Change
        of
        Officers
 On
        September 24, 2007, the Company’s Board of Directors appointed (i) Richard A.
        Mitstifer, the former President of  All American as President of the
        Company; (ii) William Roger Roberts, the former Chief Operating Officer of
        All
        American, as the Company’s Chief Operating Officer; (iii) Daniel L. Johnston,
        the former Controller of All American, as Chief Financial Officer of the
        Company; and (iv) Louis Aponte, the President of All American Industries,
        Inc.
        and all American Realty and Construction Corp., which are affiliates
        of  All American specializing in real estate development and
        construction, as the Company’s Vice-President of Special Projects. The Board
        also promoted Frank Nocito, the Company’s Vice-President of Business
        Development, to Executive Vice President and expanded his duties to include
        heading the Company’s expansion into alternative and clean energy fuels and
        products. Mr. Nocito is the controlling person of the Cheldnick Family Trust,
        the largest shareholder of the Company. Messrs. Mitstifer, Roberts and Aponte
        were officers of All American in June 2005 when the Company entered into
        an
        asset purchase agreement with All American, pursuant to which the Company
        agreed
        to acquire substantially all of All American’s assets and assume all liabilities
        of All American other than mortgage debt liabilities. They were also officers
        of
        All American at the time the transaction closed in May 2007. Effective September
        24, 2007, Christopher P. Westad stepped down as President of the Company
        and
        Jeffrey Feld stepped down as Acting Chief Financial Officer of the Company.
        The
        Board subsequently appointed Mr. Westad as the President of the Company’s home
        heating oil subsidiaries, namely Able Oil, Inc., Able Energy New York, Inc.
        and
        Able Oil Melbourne, Inc.
 
 Credit
        Card
        Receivable Financing
 OnMarch
        20, 2007, the Company entered
        into a credit card
        receivable advance agreement with Credit Cash, LLC ("Credit Cash") whereby
        Credit Cash agreed to loan the Company $1.2 million. The loan issecured by the Company's
        existing and
        future credit card collections. Terms of the loan call for a repayment of
        $1,284,000, which includes the one-time finance charge of $84,000, which
        is
        payable over a seven-month period. This finance charge payment will
        be accomplished through Credit Cash
        withholding 18% of credit card collections of Able Oil Company and 10% of
        credit
        card collections of PriceEnergy.com, Inc. over the seven-month period beginningMarch 21, 2007.
        There are certain provisions in the
        agreement
        which allows Credit Cash to
        increase the withholding, if the amount withheld by Credit Cash over the
        seven-month period is not sufficient to satisfy the required repayment of
        $1,284,000.
 
 23
  Subsequent
        events
        continued
 
 On
        July
        18, 2007, August 3, 2007, November 9, 2007, December 28, 2007 and January
        18,
        2008, the Company, in accordance with its agreement with Credit Cash, refinanced
        the loan in the amounts of $250,000, $300,000, $1,100,000, $250,000 and
        $500,000 respectively. The outstanding Credit Cash loan as of the date of
        January 18, 2008 was $997,315.
 
 Prior
        to
        the business combination between the Company and All American, (now known
        as All
        American Properties, Inc.).  All American entered into a loan agreement
        with Credit Cash, which was an advance against credit card receivables at
        the
        truck stop plazas then operated by All American.  As a result of the
        business combination this obligation was assumed by the Company’s wholly-owned
        subsidiary, All American Plazas, Inc. (“Plazas”) as it became the operator of
        the truck stop plazas. Credit Cash, while acknowledging the business
        combination, has continued to obligate both Properties and Plazas in their
        loan
        documents as obligors of the loan. Accordingly, on July 16, 2007, Credit
        Cash
        agreed to extend further credit of $400,000 secured by the credit card
        receivables at the truck stops operated by All American.
 
 This
        July
        16, 2007 extension of credit agreement was in addition to and supplemented
        all
        previous agreements with Credit Cash. Terms of the original loan and extensions
        called for repayment of $1,010,933 plus accrued interest which will be repaid
        through Credit Cash withholding 15% of credit card collections from the
        operations of the truck stop plazas until the loan balance is paid in full.
        The
        interest rate is prime plus 3.75% (12% at September 30, 2006). There are
        certain
        provisions in the agreement, which allows the Lender to increase the
        withholding, if the amount it is withholding is not sufficient to satisfy
        the
        loan in a timely manner. The outstanding balance of the loan as of October
        31,
        2007 was $321,433 plus accrued interest. However, on November 2, 2007, and
        again
        on January 18, 2008, Credit Cash again agreed to extend an additional credit
        in
        the amount of $1,100,000 and $600,000 respectively. Terms of the agreement
        are
        the same as the prior July 16, 2007 financing.  The Credit Cash loan
        balance as of January 18, 2008 was $1,376,804.
 
 Accounts
        Receivable
        Financing
 On
        January 8, 2007, All American entered into an Account Purchase Agreement
        with
        Crown Financial (“Crown”) whereby Crown advanced $1,275,000 to All American in
        exchange for certain existing accounts receivables and taking ownership of
        new
        accounts originated by All American.
 
 Repayment
        of the loan is to be made from the direct payments to Crown from the accounts
        it
        purchased from All American and a fee equal to 2.5% of the outstanding advance
        for the preceding period payable on the 15th
        and
        30th
        day of each month.
 
 The
        Crown
        loan is secured by the mortgages on the real property and improvements thereon
        owned by All American known as the Strattanville and Frystown Gables truck
        stop
        plazas and a personal guarantee by Frank Nocito.
 
 Subsequent
        to the May 2007 closing of the business combination between the Company and
        All
        American, on July 1, 2007 the Account Purchase Agreement between All American
        and Crown Financial has been amended and modified from “Eligible Accounts having
        a 60 day aging” to a “90 day aging that are not reasonably deemed to be doubtful
        for collections” and the fee of 2.5% payable on the 15th
        and
        30th day
        of each month has been modified to 1.375%. The Company has assumed this
        obligation based on the business combination; however, All American has agreed
        to continue to secure this financing with the aforementioned real estate
        mortgages.
 
 Related
        Party Transactions
 
 On
        December 10, 2007, All American Properties Inc, concluded a refinancing allowing
        them to repay approximately$910,000
        on their
        note to the Company (see Note 18 on related party
        note)
 
 Purchase
        Commitments
 The
        Company is obligated to
        purchase #2 heating oil
        under various contracts with its suppliers.  Subsequent toSeptember 30,
        2006, the Company entered
        into additional contracts in the amount of approximately $3,299,000, through
        May
        2008.
  Fuel
        Financing
 On
        October 17, 2007, the Company entered into a loan agreement with S&S NY
        Holdings, Inc. for $500,000 to purchase #2 heating fuel. The term of the
        agreement is for 90 days with an option to refinance at the end of the 90
        day
        period for an additional 90 days. The repayment of the principal amount will
        be
        $.10 cents per gallon of fuel sold to the Company’s customers excluding
        pre-purchase gallons. An additional $.075 per gallon will be paid as interest.
        The agreement also provides that in each 30 day period the interest amount
        can
        be no less than $37,500.00. As of January 17, 2008 the Company had repaid
        approximately $100,000 and exercised its right to refinance the amount until
        March 31, 2008.  The company is still negotiating the final terms of
        this refinancing.
  24
 
 Subsequent
        events
        continued
  On
        December 20, 2007, the Company entered in to a second loan agreement with
        S&S NY Holdings, Inc for $500,000 to purchase #2 heating
        fuel.  The term of the agreement is thru March 31,
        2008.  The repayment of principle is not due until the maturity
        date.  An additional $.075 per gallon will be paid as interest. The
        agreement also provides that in each 30 day period the interest amount can
        be no
        less than $37,500.00.
  On
        October 5, 2007, All American reclassified all outstanding trade payables
        with
        Transmontagine, a supplier of fuel to a note payable in the amount of
        approximately $15,000,000.  Interest at the rate of 8% is being
        accrued on all past due amounts as of October 5, 2007.  In addition,
        an amount of $1,550,000.00 was added to the note to begin a prepaid purchase
        program whereby All American will prepay for its fuel prior to delivery.
        Repayment of this note is to commence on or about March 15, 2008 with a 25
        year
        amortization schedule with a maturity of November 15, 2009. If a threshold
        payment is made on or before March 15, 2008 and before August 15, 2008 (after
        initial 25 year amortization begins) in the amount of  $3,000,000 then
        a new 25 year amortization schedule will commence effective July 31, 2009
        and
        mature on March 31, 2011.  Collateral on this note are certain
        properties owned by All American.
 
 Litigation
 On
        June
        26, 2007, the Company and its affiliate, All American (together with the
        Company
        the “Claimants”), filed a Demand for Arbitration and Statement of Claim in the
        Denver, Colorado office of the American Arbitration Association against Manns
        Haggerskjold of North America, Ltd. (“Manns”), Scott Smith and Shannon Coe
        (collectively the “Respondents”), Arbitration Case No. 77 148 Y 00236 07 MAV.
        The Statement of Claim filed seeks to recover fees of $1.2 million paid to
        Manns
        to obtain financing for the Company and All American. The Claimants commenced
        the Arbitration proceeding based upon the Respondents breach of the September
        14, 2006 Commitment letter from Manns to All American that required Manns
        to
        loan All American $150 million. The Statement of Claim sets forth claims
        for
        breach of contract, fraud and misrepresentation and lender liability. On
        July
        23, 2007, Respondents filed their answer to the Statement of Claim substantially
        denying the allegations asserted therein and interposing counterclaims setting
        forth claims against the Company for breach of the Non-Circumvention Clause,
        breach of the Exclusivity Clause and unpaid expenses. Respondents also assert
        counterclaims for fraudulent misrepresentation and unjust enrichment. On
        Respondents’ counterclaim for breach of the Non-Circumvention Clause,
        Respondents claim damages of $6,402,500. On their counterclaim for breach
        of the
        Exclusivity Clause, Respondents claim damages of $3,693,750, plus an unspecified
        amount related to fees on loans exceeding $2,000,000 closed by All American
        or
        the Company over the next five years. Respondents do not specify damages
        relative to their other counterclaims.
 
 On
        August
        7, 2007, the Claimants filed their reply to counterclaims denying all of
        Respondents material allegations therein. Respondents’ counterclaims were based
        on the false statement that the Claimants had, in fact, received the financing
        agreed to be provided by Manns from a third party.
 
 The
        parties have selected an Arbitrator and are presently engaged in discovery
        exchanging documents, which will be followed by the taking of a limited number
        of depositions. The hearing of the parties’ claims is scheduled to commence
        before the Arbitrator on April 7, 2008.
 
 On
        October 10, 2007, the Company entered into a Stipulation settling the action
        it
        had commenced against Mark Roy Anderson, Camden Holdings, Inc., Summit Oil
        and
        Gas, Inc., Summit Ventures, Inc., Harvest Worldwide, LLC and Harvest Worldwide,
        Inc. in the Superior Court of California for the County of Los Angeles, Case
        No.
        BC363149, as well as the counterclaims asserted therein by Summit Ventures,
        Inc.
        and Mark Anderson against the Company and certain of its present and former
        directors and officers, Gregory Frost, Tim Harrington, Christopher Westad,
        Timothy Harrington and Frank Nocito. The Stipulation provides that in
        consideration of the parties discontinuing with prejudice all their claims
        against each other, Summit Ventures, Inc. will return its stock certificate
        evidencing its ownership of 142,857 shares of the Company’s common stock and
        upon such return it will be issued a new certificate for such shares free
        of any
        restrictive legend. Upon execution of the Stipulation of Settlement the parties
        exchanged general releases of all claims they had or may have had against
        each
        other to the date of the releases.
 
 On
        October 1, 2007, the Company and its Chief Executive Officer (“CEO”) filed an
        action in New York state court against Marcum & Kliegman, LLP (the Company’s
        former auditors) and several of its partners for numerous claims, including
        breach of contract, gross negligence and defamation.  The Company and
        its CEO are seeking compensatory damages in the amount of at least $1 million
        and punitive damages of at least $20 million. The claims asserted by the
        Company
        and its CEO arise out of Marcum & Kliegman’s conduct with respect to the
        preparation and filing of the Company’s SEC reports.  On November 26,
        2007, Marcum & Kliegman and its partners filed a motion to dismiss the
        complaint on the ground that it fails to state a claim for relief as a matter
        of
        law.  As of the date of this report, the court has not ruled on this
        motion to dismiss.
  25
 
 Subsequent
        events continued
 
 Consulting
        Agreement
 On
        August
        27, 2007 the Company entered into a service agreement with Axis Consulting
        Services LLC. The agreement calls for Axis Consulting to develop a marketing
        plan (phase 1) and manage (phase 2) “The Energy Store” (an e-commerce retail
        sales portal for energy products and services). During phase 1 the terms
        are
        $2,750 per month and once phase 2 commences an amount of $5,600 per month.
        This
        agreement ends on December 31, 2008.  Axis Consulting’s President (Joe
        Nocito) has a direct relationship as the son of the Company’s Executive Vice
        President Frank Nocito.
 
 SEC
        FormalOrder of
        Private Investigation
 On
        August
        31, 2007, the Company was served with a second subpoena duces tecum (the
“Second
        Subpoena”) from the Securities and Exchange Commission (“SEC”) pursuant to the
        Formal Order of Investigation issued by the SEC on September 7, 2006 (see
        note
        17). The Company continues to gather, review and produce documents to the
        SEC
        and is cooperating fully with the SEC in complying with the Second Subpoena.
        As
        of November 30, 2007, the Company has produced documents in response to the
        Second Subpoena and the Company expects to produce additional documents in
        response to the Second Subpoena as soon as practicable. As of the date of
        this
        report, the Company is not aware of any information that has been discovered
        pursuant to the Formal Order of Investigation which would indicate that the
        Company or any of its officers and directors was guilty of any
        wrongdoing.
  Changes
        in
        Registrant's Certifying Account
 On
        August 13, 2007, the Company
        dismissed Marcum & Kliegman LLP as its independent registered public
        accounting firm. The report ofMarcum & Kliegman LLPon
        the Company's financial statements
        for the fiscal year endedJune 30, 2006(“FY
        2006”) was modified as to
        uncertainty
        regarding (1) the Company’s
        ability to continue as a going concern
        as a result of, among other factors, a working capital deficiencyas
        ofJune 30, 2006and
        possible failure to meet its short
        and long-term liquidity needs, and (2) the impact on the Company’s
        financial statements as a result of a
        pending investigation by theSECof
        possible federal securities law
        violations with respectto
        the offer, purchase and sale of the
        Company’s
        securities and the Company’s
        disclosures or failures to disclose
        material information.
 
 The
        Company’s
        Audit Committee unanimously
        recommended and approved the decision to change independent registered public
        accountingfirms
 
 In
        connection with the audit of the
        Company’s
        financial statements for FY 2006, and
        throughAugust 13,
        2007, there have been no
        disagreements withMarcum
& KliegmanLLP
        on
        anymatter of accounting
        principles or practices, financial statement disclosure or
        auditing scope or
        procedure, which disagreements, if not resolved to the satisfaction ofMarcum & KliegmanLLP
        would havecaused it to make
        reference to the
        subject matter of such disagreements in connection with its audit report.
        Therewere no reportable
        events
        as defined in Item 304(a)(1)(v) of Regulation S-K.On
        August 24, 2007, Marcum &
Kliegman LLP sent a responsive letter to the Current Report on Form 8-K datedAugust13,
        2007,filed by the Company,which
        discussed the Company’s
        termination of Marcum
        and Kliegman LLP as
        its auditors.This
        responsive letter claimed that there were two reportable
        events.The
        Company filed an amended Form 8-K report acknowledgingone
        reportableevent that Marcum
        and Kliegman LLP had
        advised the Companyof material
        weaknesses in
        the Company’s internal controls over financial reporting. The Company added
        disclosure in the Amended 8-K to reflect this reportable event. This reportable
        event occurred in conjunction with Marcum & Kliegman’s audit of the
        consolidated financial statements for the year ended June 30, 2006 and not,
        as
        stated in the Auditor’s Letter, in conjunction with Marcum & Kliegman’s
“subsequent reviews of the Company’s condensed consolidated financial statements
        for the quarterly periods ended September 30, 2006 and December 31, 2006.” In
        June 2007, when Marcum & Kliegman began its review of the Company quarterly
        financial statements for the periods ended September 30, 2006 and December
        31,
        2006, the Company had already disclosed the material weakness in its internal
        controls over financial reporting in the Company’s annual report on Form 10-K
        for the year ended June 30, 2006 (filed on April 12, 2007). Further, no such
        advice of these material weaknesses over internal controls was discussed,
        in
        writing or orally, with the Company by representatives of Marcum & Kliegman
        during the review of such quarterly financial statements.
 
 The
        Company engaged Lazar Levine & Felix LLP (“LLF”) as its new independent
        registered public accounting firm as of September 21, 2007. Prior to its
        engagement, LLF had been and continues to act as independent auditors for
        All
        American, an affiliate and the largest stockholder of the Company.
 
 On
        Monday, January 7, 2008, the Company, its Chief Executive Officer, Gregory
        D.
        Frost, and its Vice-President of Business Development, Frank Nocito, were
        served
        with a summons and complaint in a purported class action complaint filed
        in the
        United States District Court, District of New Jersey. This action, which
        seeks
        class certification, was brought by shareholders of CCI Group, Inc. (“CCIG”).
        The complaint relates to a Share Exchange Agreement (the “Share Exchange
        Agreement”), dated July 7, 2006, between All American Properties (f/k/a All
        American Plazas, Inc.) (“All American”) with CCIG, pursuant to which seventy
        percent (70%) of the outstanding and issued shares of CCIG were exchanged
        into
        618,557 shares of the Company which were owned by All American of which 250,378
        shares were to be distributed to the shareholders of CCIG and the balance
        of the
        shares were to be used to pay debts of CCIG.  Neither the Company nor
        Messrs. Frost or Nocito were parties to the Share Exchange Agreement. All
        American remains the largest shareholder of the Company. The Share Exchange
        Agreement was previously disclosed by the Company in its Current Report on
        Form
        8-K filed with the SEC on July 7, 2006 as part of a disclosure of a loan
        by the
        Company to All American.
  26
  Each
        of
        the Company and Messrs. Frost and Nocito believes it/he has defenses against
        the
        alleged claims and intends to vigorously defend itself/himself against this
        action.
  ITEM
        2. MANAGEMENT'S DISCUSSIONAND ANALYSISOF FINANCIAL CONDITIONAND RESULTSOF OPERATIONS.
 
 Statements
        in this Quarterly Report on
        Form10-Q/Aconcerning
        the Company's outlook or
        future economic performance, anticipated profitability, gross billings, expenses
        or other financial items, and statements concerning assumptions made or
        exceptions to any future events, conditions, performance orother matters are "forward
        looking
        statements," as that term is defined under the Federal Securities Laws.
        Forward-looking statements are subject to risks, uncertainties, and other
        factors that would cause actual results to differ materially from those
        stated
        in such statements. Such risks, and
        uncertainties and factors include, but are not limited to: (i) changes in
        external competitive market factors or trends in the Company's results of
        operation; (ii) unanticipated working capital or other cash requirements
        and (iii) changes in the Company's
        business strategy or an inability to execute its competitive factors that
        may
        prevent the Company from competing successfully in the
        marketplace.
 
 OVERVIEW
 
 Able
        Energy Inc. ("Able") was
        incorporated inDelawarein
        1997. Able Oil, a wholly-owned
        subsidiary
        of Able, was established in 1989 and sells both residential and commercial
        heating oil and complete HVAC service to its heating oil customers. Able
        Energy
        NY, a wholly-owned subsidiary of Able, sells residential andcommercial heating
        oil, propane, diesel
        fuel, and kerosene to customers around the Warrensburg, NY area. AbleMelbourne,
        a wholly-owned subsidiary of Able, was
        established in 1996 and sells various grades of diesel fuel around theCape Canaveral,
        Floridaarea. PriceEnergy.com,
        Inc., a majority
        owned subsidiary of Able, was established in 1999 and has developed an internet
        platform that has extended the Company's ability to sell and deliver liquid
        fuels and related energy products.
 
 
 Management's
        Discussion and Analysis of Financial
        Condition
        and Results of Operation contain forward-looking statements, which are based
        upon current expectations and involve a number of risks and uncertainties.
        In
        order for us to utilize the "safe harbor" provisions of the Private
        Securities Litigation Reform Act of
        1995, investors are hereby cautioned that these statements may be affected
        by
        the important factors, among others, set forth below, and consequently, actual
        operations and results may differ materially from those expressed
        in these forward-looking
        statements. The important factors include:
 
 §
              Commodity
                  Supply
 
 §
              Commodity
                  Pricing
 
 §
              Customers
                  Converting to Natural
                  Gas
 
 §
              Alternative
                  Energy
                  Sources
 
 §
              Winter
                  Temperature Variations
                  (Degree Days)
 
 §
              Customers
                  Moving Out of The
                  Area
 
 §
              Legislative
                  Changes
 
 §
              The
                  Availability(Or Lack
                  of) Acquisition
                  Candidates
 
 §
              The
                  Success of Our Risk Management
                  Activities
 
 §
              The
                  Effects of
                  Competition
 
 §
              Changes
                  in Environmental
                  Law
 
 §
              General
                  Economic, Market, or
                  Business Conditions
 
 We
        undertake no obligation to update or
        revise any such
        forward-looking statements.
 
 27
  CRITICAL
        ACCOUNTING
        POLICIES
 
 We
        consider the following policies to be
        the most critical in understanding the judgments involved in preparing the
        condensed consolidated financial statements and the uncertainties that could
        impact our results
        of operations, financial condition and cash flows.
 
 REVENUE
        RECOGNITION, UNEARNED REVENUEAND CUSTOMERPRE-PURCHASE
        PAYMENTS
 
 Sales
        of fuel and heating equipment are
        recognized at the time of delivery to the customer, and sales of equipment,
        not related to service contracts,are recognized at the
        time
        of installation. Revenue from repairs and maintenance service is recognized
        upon
        completion of the service. Payments received from customers for heating
        equipment service contracts
        are deferred and amortized into income over the term of the respective service
        contracts, on a straight-line basis, which generally do not exceed one year.
        Payments received from customers for the pre-purchase of fuel is recorded
        as a
        currentliability
        until the fuel is delivered to
        the customer, at which time it is recognized as revenue by the
        Company.
 
 DEPRECIATION,
        AMORTIZATIONAND IMPAIRMENTOF LONG-LIVED
        ASSETS
 
 We
        calculate our depreciation and
        amortization based on estimated useful livesand salvage values
        of our assets. When
        assets are put into service, we make estimates with respect to useful lives
        that
        we believe are reasonable. However, subsequent events could cause us to change
        our estimates, thus impacting the future calculation ofdepreciation
        and
        amortization.
 
 Additionally,
        we assess our long-lived
        assets for possible impairment whenever events or changes in circumstances
        indicate that the carrying value of the assets may not be recoverable. Such
        indicators include changes in our business plans, a change
        in the extent or
        manner in which a long-lived asset is being used or in its physical condition,
        or a current expectation that, more likely than not, a long-lived asset that
        will be sold or otherwise disposed of significantly beforethe
        end of its previously estimated
        useful life. If the carrying value of an asset exceeds the future undiscounted
        cash flows expected from the asset, an impairment charge would be recorded
        for
        the excess of the carrying value of the asset over its fair value.
        Determination as to whether and how
        much an asset is impaired would necessarily involve numerous management
        estimates. Any impairment reviews and calculations would be based on
        assumptionsthat
        are consistent with our business
        plans and long-term investment decisions.
 
 ALLOWANCE
        FOR DOUBTFUL
        ACCOUNTS
 
 We
        routinely review our receivable
        balances to identify past due amounts and analyze the reasons such amounts
        have
        not been collected. In many instances, such uncollected amounts involve billing
        delays and discrepancies or
        disputes as to the appropriate price or volumes of oil delivered, received
        or
        exchanged. We also attempt to monitor changes in the credit worthiness of
        our
        customers as aresult
        of developments related to each
        customer, the industry as awhole, and the general
        economy. Based on
        these analyses, we have established an allowance for doubtful accounts that
        we
        consider being adequate, however, there is no assurance that actual amounts
        will
        not vary significantly from estimated amounts.
 
 INCOMETAXES
 
 As
        part of the process of preparing
        consolidated financial statements, the Company is required to estimate income
        taxes in each of the jurisdictions in which it operates. Significant judgment
        is
        required in determining the income tax expense provision. The Company recognizes
        deferred tax
        assets and liabilities based on differences between the financial reporting
        and
        tax bases of assets and liabilities using the enacted tax rates and laws
        that
        are expected to be in effect when the differences are expected
        to be recovered. The
        Companyassesses
        the likelihood of our deferred
        tax assets being recovered from future taxable income. The Company then provides
        a valuation allowance for deferred tax assets when the Company does not consider
        realization of suchassets
        to be more likely than not. The Company considers future taxable income and
        ongoing prudent and feasible tax planning strategies in assessing the valuation
        allowance. Any decrease in the valuation allowance could have a material
        impact
        on net income inthe year
        in which such determination is made.
 
 RECENT
        ACCOUNTING
        PRONOUNCEMENTS
 
 In
        June 2005, the Financial Accounting
        Standards Board (FASB) published Statement of Financial Accounting Standards
        No.
        154, “Accounting Changes
        and Error Corrections”(“SFAS
        154”). SFAS 154 establishes
        new standards on
        accounting for changes in accounting principles. Pursuant to the new rules,
        all
        such changes must be accounted for by retrospective application to the financial
        statements of prior periods unless it is impracticable
        to do so. SFAS 154 completely
        replaces Accounting Principles Bulletin No. 20 and SFAS 3, though it carries
        forward the guidance in those pronouncements with respect to accounting for
        changes in estimates, changes in the reporting entity, and thecorrection
        of errors. The requirements in
        SFAS 154 are effective for accounting changes made in fiscal years beginning
        afterDecember 15,
        2005. The Company will
        apply these requirements to any accounting changes after the implementation
        date. The application
        of this pronouncement did not have an
        impact on the Company's condensed consolidated financial position, results
        of
        operations, or cash flows.
  28
 
 EITF
        Issue No. 05-4 “The Effect of a Liquidated
        Damages
        Clause on a Freestanding Financial Instrument Subjectto EITF Issue No.
        00-19, "Accounting
        for Derivative Financial Instruments Indexed to, and Potentially Settled
        in, a
        Company's Own Stock”(“EITF
        No. 05-4”) addresses financial
        instruments, such
        as stock purchase warrants, which are accounted for under
        EITF 00-19 that may be issued at the
        same time and in contemplation of a registration rights agreement that includes
        a liquidated damages clause. The consensus of EITF No. 05-4 has not been
        finalized. In July and August 2006, the Company entered intotwo
        private placement agreements for
        convertible debentures and note payable, a registration rights agreement
        and
        issued warrants in connection with the private placement (See Note 15). Based
        on
        the interpretive guidance in EITF Issue No. 05-4, view C, since
        the registration rights agreement
        includes provisions for uncapped liquidated damages, the Company determined
        that
        the registration rights is a derivative liability(See Note 15). The
        Company has measured
        this liability in accordance with SFAS No. 5.
 
 InFebruary
        2006, the FASB issued SFAS No.
        155 - "Accounting for Certain Hybrid Financial Instruments", which eliminates
        the exemption from applying SFAS 133 to interests in securitized financial
        assets so that similar instruments are accounted for similarly regardless
        of the form of the instruments.
        SFAS 155 also allows the election of fair value measurement at acquisition,
        at
        issuance, orwhen
        a previously recognized financial
        instrument is subject to a remeasurement event. Adoption is effective for
        all
        financial instruments
        acquired or issued after the beginning of the first fiscal year that begins
        afterSeptember 15,
        2006. Early adoption is
        permitted. The adoption of SFAS 155 is not expected to have a material effect
        on
        the Company's consolidated financial position,
        results of operations or cash
        flows.
 
 In
        March 2006 the FASB issued SFAS No.
        156, “Accounting for
        Servicing of Financial Assets”, which amended SFAS
        No. 140,
“Accounting for Transfers
        and Servicing of Financial Assets and Extinguishments of Liabilities”,
        with respect to the accounting for
        separately recognized servicing assets and servicing
        liabilities.  SFAS 156 permits an entity to choose either the
        amortization method or the fair value measurement method for each class of
        separately recognized servicing
        assets or servicing
        liabilities.  The application of this statement is not expected to
        have an impact on the Company’s
        consolidated financial
        statements.
 
 In
        July 2006, the FASB issued FASB
        Interpretation No. 48, "Accounting for Uncertainty in Income Taxes - an interpretation
        of FASB
        Statement No. 109" ("FIN 48"), which clarifies the accounting for uncertainty
        in
        tax positions. This interpretation requires that the Company recognize in
        its
        consolidated financial statements, the impact of a tax position,
        if that position is more likely
        than not of being sustained on audit, based on the technical merits of the
        position. The provisions of FIN 48 are effective as ofJuly 1, 2007,
        with the cumulative effect of the
        change in accounting principle recordedas
        an adjustment to opening retained
        earnings. The Company is currently evaluating the impact of adopting FIN
        48 on
        its consolidated financial statements.
 
 In
        September 2006, the FASB issued SFAS
        No.157, "Fair Value Measurements", which defines fair value,establishes a framework
        for measuring
        fair value inUnited Statesgenerally
        accepted
        accounting principles, and expands disclosures about fair value measurements.
        Adoption is required for fiscal years beginning afterNovember 15, 2007,
        and interim periodswithin
        those fiscal years. Early
        adoption of SFAS 157 is encouraged. The Company is currently evaluating the
        impact of SFAS 157 and the Company will adopt SFAS 157 in the fiscal year
        beginningJuly 1,
        2008.
 
 In
        September 2006, the staff of the
        Securities and Exchange
        Commission (“SEC”)
        issued Staff Accounting Bulletin
        ("SAB")
        No. 108, which provides interpretive
        guidance on how the effects of the carryover or reversal of prior year
        misstatements should be considered in quantifying a current year
        misstatement.SAB108
        becomes effective in fiscal 2007.
        Adoption ofSAB108
        did not have a material impact on
        the Company's condensed consolidated financial position, results of operations
        or cash flows.
 
 In
        September 2006, the FASB issued SFAS
        no. 158, “Employers
        Accounting for Defined
        Pension and Other Postretirement Plans-an amendment of FASB No.’s
        87, 88, 106 and 132(R).”SFAS 158 requires an
        employer and sponsors of one or more single employer defined plans to recognize
        the funded status of a benefit plan; recognize
        as a component of other
        comprehensive income, net of tax, the gain or losses and prior service costs
        or
        credits that may arise during the period; measure defined benefit plan assets
        and obligations as of the employer’s
        fiscal year; and, enhance
        footnote
        disclosure.  For fiscal
        years ending after December 15, 2006, employers with equity securities that
        trade on a public market are required to initially recognize the funded status
        of a defined benefit postretirement plan and to provide the enhanced
        footnote
        disclosures.  For fiscal
        years ending after December 15, 2008, employers are required to measure plan
        assets and benefit obligations.  Management of the Company is
        currently evaluating the impact of adopting this pronouncement on the
        consolidated financial
        statements.
 
 In
        December 2006, the FASB issued FASB
        Staff Position ("FSP") EITF 00-19-2 "Accounting for Registration Payment
        Arrangements" ("FSP EITF 00-19-2") which specifies that the contingent
        obligation to make future payments or otherwise transfer consideration under
        a registration
        payment arrangement should be separately recognized and measured in accordance
        with SFAS No. 5, "Accounting for Contingencies." Adoption of FSP EITF 00-19-02
        is required for fiscal years beginning afterDecember 15, 2006,
        and is not expected to have a material
        impact on the Company's condensed consolidated financial position, results
        of
        operations or cash flows.
 
 29
 
 In
        February 2007, the FASB issued SFAS
        No. 159 "The Fair Value Option for Financial Assets and Financial Liabilities -
        Including an
        amendment of FASB Statement No. 115", which permits entities to choose to
        measure many financial instruments and certain other items at fair value.
        The
        fair value option established by this Statement permits all entities to
        chooseto measure eligible
        items at fair value at specified election dates. A business entity shall
        report
        unrealized gains and losses on items for which the fair value option has
        been
        elected in earnings at each subsequent reporting date. Adoption is
        required
        for fiscal years beginning afterNovember 15,
        2007. Early adoption is
        permitted as of the beginning of a fiscal year that begins on or beforeNovember 15,
        2007, provided the entity
        also elects to apply the provisions of SFAS Statement No. 157, FairValue
        Measurements. The Company is
        currently evaluating the expected effect of SFAS 159 on its condensed
        consolidated financial statements and is currently not yet in a position
        to
        determine such effects.
 
 In
        December 2007, the FASB issued SFAS
        no. 160. “Noncontrolling
        Interests in Consolidated
        Financial Statements–and
        amendment of ARB no.
        51.”SFAS 160
        establishes accounting and reporting standards pertaining to ownership interests
        in subsidiaries held by parties other than the parent, the amount of
        netincome
        attributable to the parent and to
        the noncontrolling interest, changes in a parent’s
        ownership interest, and the valuation
        of any retained noncontrolling equity investment when a subsidiary is
        deconsolidated.  This statement also establishes disclosure
        requirements that clearly identify
        and distinguish between the interests of the parent and the interests of
        the
        noncontrolling owners.  SFAS 160 is effective for fiscal years
        beginning on or after December 15, 2008.  The Company is in the
        process of evaluating
        the effect that the adoption of
        SFAS 160 will have on it’s
        consolidated results of operations,
        financial position and cash flows.
 
 In
        December 2007, the FASBissued No.
        141 (revised 2007), “Business Combinations”(SFAS
        141R).  SFAS 141R
        establishes principlesand
        requirements for how an acquirer recognizes and measures in it’s
        financial statements the identifiable
        assets acquired, the liabilities assumed, any noncontrolling interest in
        the
        acquiree and the goodwill acquired.  SFAS 141R also
        establishes
        disclosure requirements to enable
        the evaluation of the nature and financial effects of the business
        combination.  SFAS 141R is effective for financial statements issued
        for fiscal years beginning after December 15, 2008.  The Company is
        currently evaluating
        the potential impact of adoption
        of SFAS 141R on it’s
        consolidated financial
        statements.
 
 RESULTS
        OF
        OPERATIONS
 
 Three
        Months EndedSeptember 30, 2006Compared
        To Three Months EndedSeptember 30,
        2005
 
 Revenue
        for the three months endedSeptember 30,
        2006decreased approximately
        $300,000 or 2.3%
        compared to the three months endedSeptember 30, 2005.
        This decrease can be attributed
        primarily to the reduction in on road diesel fuel sales.
 
 Gross
        profit margin for the three months
        endedSeptember 30,
        2006increased
        by $70,000 from the three
        months endedSeptember 30,
        2005. The increase in gross
        profit margin was primarily the result of an increase in gross margins on
        #2
        heating oil of approximately $120,000 or 2% partially offset by a loss on
        future  contracts
        for #2 Heating Fuel of
        approximately $68,000.
 
 Selling,
        general and administrative
        expenses for the three months ended September 30, 2006 increased by
        approximately $409,000or
        21.8% compared to the three
        months ended September 30, 2005. The Company attributes this primarily
        to an
        increase in professional fees of approximately $326,000 related to audit
        and
        legal expenses.
 
 Depreciation
        and amortization expense
        for the three months endedSeptember 30, 2006decreased
        by approximately $101,000or 37%compared
        to the three months endedSeptember 30,
        2005. This decrease was
        primarily related to the reduction of $100,000 in website development
        amortization for the Price Energy platform.
  Operating
        loss for the three months
        endedSeptember 30, 2006was approximately
        $1.3 million compared to
        approximately $1.0 million for the three months endedSeptember 30, 2005.
        The net increase in the operating loss
        for the current period was directly related to increased selling, general
        and
        administrative expenses offset
        by a decrease in depreciation and
        amortization.
 
 Otherincome
        (expense)increasedto
        a net expense of approximately
        $915,359in
        the three months ended September 30,
        2006 from approximately $436,000 in the three months ended September 30,
        2005.
        Theincrease inother expense net is primarily related
        toanincrease
        in amortization of deferred
        financing costs of $540,000, and decreasein net interest income
        of approximately
        $125,000.
 
 Net
        loss for the three months ended
        September 30, 2006 was approximately$2.2million
        compared to approximately $1.5
        million for the three months ended September 30, 2005. These results are
        directly related to an increase in selling, general and administrativeexpensesand
        an increase in amortization expense
        anddecrease in
        other
        income.
  30
 
 LIQUIDITYANDCAPITAL
        RESOURCES
 
 During
        the three months ended September
        30, 2006, we incurred a net loss of approximately $2.2million
        but had cash provided by
        operating activities of approximately $0.8 million. Our principal
        sources of working capital
        have been the proceeds from public and private placements of securities,
        primarily consisting of convertible debentures and notes payable. During
        the
        three months endedSeptember 30, 2006,
        the Company has secured financings ofapproximately $3 millionfrom the proceeds of convertible debentures and note payable and approximately
        $55,000 in proceeds from option exercises. Other than for the
        daytoday
        operations of the Company,approximately $2 millionwas expendedforrepayment
        of loans, purchase ofinvestments
        and hedgingtransactions during the three months ended September 30,
        2006.
 
 We
        had a working capital deficiency of
        approximately $1.3 million atSeptember 30, 2006compared
        to a working capital deficiency
        of approximately $400,000
        atJune 30,
        2006. The working capital
        decrease of approximately $900,000 was primarily due to an increase in customer
        pre purchase payment liability of $2.6 million and an accounts payable increase
        of $400,000 offset by an increase in cash of $1.8 million.
 
 As
        ofNovember30,
        2007, the Company had a cash balance
        of approximately$1.2
        million andhasapproximately$1.5million
        of obligations for funds
        received in advance under the pre-purchase fuel program. AtNovember 30,
        2007, the Company had available
        borrowings through its credit line
        facility of approximately$270,000.  In
        order to meet our
        liquidity requirements, the Company is negotiating a second mortgage on our
        oil
        terminal located on Route 46 in Rockaway,New Jersey,
        through which the Company
        believes it may borrow
        an
        additional funds.
 
 On
        May 30, 2007, the Company completed
        its previously announced business combination between All Americanand the Company whereby
        the Company in
        exchange for an aggregate of 11,666,667 shares of the Company’s
        restricted common stock purchased the
        operating businesses of eleven truck stop plazas owned and operated by All
        American. The acquisition included all assets comprising the eleven truck
        plazas
        other than the underlying real estate
        and the buildings thereon. The
        Company anticipates that the business combination will result in greater
        net
        revenue and reduce overall operational expenses by consolidating positions
        and
        overlapping expenses.   The Company also expects that the
        combination
        will result in the expansion of the
        Company’s
        home heating business by utilizing
        certain of the truck plazas as additional distribution points for the sale
        of
        the Company’s
        products. Additionally, the Company
        expects that the business combination willlessen
        the impact on seasonality on the
        Company’s
        cash flow since the combined Company
        will generate year-around revenues. The Company also plans to utilize certain
        of
        the truck plazas for the construction of bio-diesel producing facilities
        and the
        distribution
        of those fuels which should
        further increase the Company’s
        revenues.
 
 In
        order to conserve its capital
        resources as well as to provide an incentive for the Company’s
        employees and other service vendors,
        the Company will continue to issue, from time to time, common
        stock and stock
        options to compensate employees and non-employees for services
        rendered. The Company is also focusing on its home heating-oil business by
        expanding distribution programs and developing new customer relationships
        to
        increase
        demand for its products. In addition,
        the Company is pursuing other lines of business, which include expansion
        of its
        current commercial business into other products and services such as bio-diesel,
        solar energy, and other energy related home services.The
        Company is also evaluating all of
        its product lines on a combined basis for cost reductions, consolidation
        of
        facilities and efficiency improvements.
 
 On
        July 5, 2006, the Company closed a
        Securities Purchase Agreement entered into on June 30, 2006 whereby it sold a $1,000,000
        convertible
        term note to Laurus Master Fund, Ltd. ("Laurus"). The Company paid fees of
        $49,000 to Laurus and received net proceeds of $951,000, of which $905,000
        was
        advanced in the form of a note to All American. The Company incurred
        escrow fees of $1,500 which in the
        aggregate will be capitalized as deferred financing costs and amortized on
        a
        straight-line basis over the three year term of the convertible term note.
        The
        Company will pay interest on the note monthly in arrearscommencing
        onAugust 1, 2006at
        a rate equal to the prime rate
        published in the Wall Street Journal plus two percent (2.0%), calculated
        as of
        the last business day of the calendar month. Amortizing payments of the
        principal amount of the note shall be madeby
        the Company commencing onJune 30, 2007and
        on the first business day of each
        succeeding month thereafter in the amount of $27,778 through the maturity
        dateof
        the note on June 30,
        2009.
 
 The
        note is convertible at the option of
        Laurus into shares of the
        Company's common stock, at an initial fixed conversion price of $6.50 per
        share.
        The conversion rate of the note is subject to certain adjustments and
        limitations as set forth in the note. In connection with Laurus' purchase
        of the
        note, the Company granted
        Laurus a warrant exercisable throughJune 30, 2011to
        purchase 160,000 shares of the
        Company's common stock at a price of $5.57 per share, subject to the adjustments
        and limitations set forth in the warrant.
  31
  The
        Company agreed that within sixty days from the date of issuance of the note
        (September 3, 2006) and warrant that it would file a registration statement
        with
        the SEC covering the resale of the shares of the Company's stock issuable
        upon
        conversion of the note and the exercise of the warrant. This registration
        statement would also cover any additional shares of stock issuable to Laurus
        as
        a result of any adjustment to the fixed conversion price of the note or the
        exercise price of the warrant.  As of June 30, 2007, the Company is
        not able to file a registration statement and Laurus has not yet waived its
        rights under this agreement. There are no stipulated liquidated damages outlined
        in the Registration Rights Agreement. Under the agreement, the holder is
        entitled to exercise all rights granted by law, including recovery of damages,
        and will be entitled to specific performance of its rights under this agreement.
        Mr. Frank Nocito, an officer and a stockholder and Mr. Stephen Chalk, a director
        have each provided a personal guarantee, of up to $425,000 each, in connection
        with this financing.
 
 The
        Company's obligations to Laurus
        under the Securities Purchase Agreement, the convertible term note and other
        related agreements are guaranteed by the following subsidiaries of the Company:
        Able Oil Co.; Able Propane
        Co, LLC; Able Energy New York, Inc.; Able Oil Melbourne, Inc.; Able Energy
        Terminal, Inc.; Priceenergy.com, Inc.; and, Priceenergy.com Franchising,
        LLC.
 
 As
        discussed above, onJuly 5, 2006,
        the Company loaned to All American the
        sum of $905,000 from the
        $1
        million the Company received for the sale of the convertible term note to
        Laurus. All American subsequently loaned the $905,000 received from Able
        to
        CCIG, (a 70% owned subsidiary of all American), who utilized such funds toward
        the development and
        operation of a project operated by CCIG's subsidiary, Beach Properties Barbuda
        Limited ("BPBL”).
 
 OnJanuary
        10, 2007, the Company received
        from Laurus a
        notice of a claim of default. Laurus claimed default under section 4.1(a)
        of the
        convertible term note as
        a
        result of non-payment of interest and fees in the amount of $8,826 that were
        due
        onJanuary 5,
        2007, and a default under
        sections 6.17 and 6.18 of the Securities Purchase Agreement for "failure
        to use
        best efforts”(i) to cause
        CCIGto
        provide Laurus on an ongoing basis
        with evidence that any and all obligations in respect of accounts payable
        of the
        project operated by BPBL, have been met; and (ii) cause CCIG to provide within
        15 days after the end of each calendar month, unaudited/internal
        financial statements (balance
        sheet, statements of income and cash flow) of the Beach House and evidence
        that
        BPBL and the Beach House are current in all of their ongoing operational
        needs.
        In connection with the claim of default, Laurus claimed anacceleration
        of maturity of the
        principal amount of the note of $1,000,000 and approximately $154,000 default
        payment ("Default Payment") as well as accrued interest and fees of
        approximately $12,000.
 
 The
        aforementioned interest and fees
        were paid by theCompany on
        January 11, 2007. Further, the Company has attempted to cause CCIG to provide
        reports and information to Laurus as provided for in the Securities Purchase
        Agreement. OnMarch 7,
        2007, Laurus notified the
        Company that it waived the event of default
        and that Laurus had waived the
        requirement for the Company to make the default payment.
  OnAugust
        8, 2006, the Company issued
        $2,000,000 of
        convertible debentures to certain investors which are due onAugust 8, 2008.
        The convertible debentures are
        convertible into shares of the Company's common stock at a conversion price
        of
        $6.00 per share, which was
        the market value of the Company's common stock on the date of issuance. The
        Company received net proceeds of $1,820,000 and incurred expenses of legal
        fees
        of $40,000 and broker fees of $140,000 in connection with this financing
        that
        will be chargedto deferred
        issuance costs and amortized on a straight-line basis over the two year term
        of
        the convertible debenture. The debentures bear interest at the greater of
        either
        LIBOR (5.4% atSeptember
        30, 2006) plus 6.0%, or
        12.5%, per annum, and such
        interest is payable quarterly to the
        holder either in cash or in additional convertible
        debentures.
 
 The
        investors also were issued 333,333,
        166,667 and 172,667 five-year warrants to purchase additional shares of the
        Company's common stock at $4.00, $6.00 and $7.00 per share,
        respectively.
 
 32
  At
        any time, the holder may convert the
        convertible debenture into shares of common stock at a conversion price of
        $6.00
        per share, or into 333,333 shares of common stock which represents a conversion
        atthe face value of
        the
        convertible debenture. These warrants were valued at $3,143,000, using the
        Black-Scholes model, applying an interest rate of 4.85%, volatility of 98.4%
        dividends of 0% and a term of five years. The Company has recorded a debt
        discount
        related to the value of the
        beneficial conversion feature of the convertible term note of $778,000 which
        is
        amortizable on the interest method over the two year term of the debenture.
        In
        accordance with EITF 98-5, "Accounting for Convertible Securities
        with Beneficial Conversion Features or
        Contingently Adjustable Conversion Ratios" ("EITF 98-5") and EITF 00-27,
        "Application of Issue NO. 98-5 to Certain Convertible Instruments" ("EITF
        00-27"), on a relative fair value basis, the warrants were recordedat
        a value of approximately $1,222,000.
        The conversion feature, utilizing an effective conversion price and market
        price
        of the common stock on the date of issuance of $2.00 and $6.00, per share,
        respectively, were valued at approximately $1,333,000 whichwas
        then limited to $778,000, the
        remaining undiscounted value of the proceeds from the convertible term note.
        Accordingly, the Company has recorded a debt discount related to the warrants
        of
        $1,222,000, the beneficial conversion feature of the convertible
        termnote of $778,000 and
        for issuance costs of $140,000, which amounts are amortizable utilizing the
        interest method over the two year term of the convertible term
        note.  The amortization of debt discounts and deferred financing costs
        related to the convertible
        debentures for the quarter endedSeptember 30, 2006were $100,284 and $9,015,
        respectively.
 
 The
        Company had agreed to file a
        registration statement within forty-five days which wasSeptember 22, 2006,
        covering the resale of the shares of
        common stock underlying the
        convertible debentures and warrants issued to the investors, and byOctober 15, 2006,
        to have such registration statement
        declared effective. The registration rights agreement with the investors
        provides for partial liquidated damages in thecase that these registration
        requirements are not met. From the date of violation, the Company is obligated
        to pay liquidated damages of 2.0% per month of the outstanding amount of
        the
        convertible debentures, up to a total obligation of 24.0% of suchobligation.
        The Company has not yet
        filed a registration statement regarding these securities. Accordingly, throughJune 30, 2007,
        the Company has estimated the fair
        value of the liquidated damages obligation to be approximately $450,000,
        none of
        which has beenpaid. The
        Company is obligated to pay 18.0% interest per annum on any liquidated damages
        amount not paid in full within 7 (seven) days.  As ofJune 30, 2007,
        the Company is not able to file a
        registration statement and the holder has not yet waivedits
        rights under this agreement. However,
        the Company, as ofJune 30,
        2007, has not received
        a
        notice of default regarding these matters. EITF 05-04, The Effect of a
        Liquidated Damages Clause on a Freestanding Financial Instrument Subject
        to EITF
        Issue No.00-19,
        "Accounting for Derivative
        Financial Instruments Indexed to, and Potentially Settled in, a Company's
        Own
        Stock" ("EITF 05-4"), view (C) allows Able to account for the value of the
        warrants as equity and separately record the fair value of the
        registration
        right as a derivative liability.
        Accordingly, in determining whether the transaction was recorded properly,
        Able
        followed view (C) to measure the amount of the registration rights derivative
        liability. Unless these liquidated damages are cured, theincurred
        liquidated damages and an
        estimate of future amount will be accounted for as a derivative liability
        by the
        Company.
 
 The
        obligations of the Company in this
        financing transaction are secured by a first mortgage on certain property
        owned
        by the Company inWarrensburg,New
        York, a pledge of certain
        rights the Company
        has in securities of CCIG, guarantees by the Company's subsidiaries and liens
        on
        certain other property.
 
 OnSeptember
        8, 2006, the Company entered
        into a five year
        lease, treated as a capital
        lease, for five new oil delivery trucks, that were delivered during December
        2006, for an aggregate purchase price of approximately
        $506,000.
 
 On
        December 13, 2006, the Company
        purchased the assets of its Horsham franchise from Able Oil Montgomery,
        Inc., a non-related party,
        for $764,175. Able Oil Montgomery is a full service retail fuel oil and service
        company located inHorsham,Pennsylvania.
        Pursuant to the agreement, the Company
        paid cash at closing of $128,000, issued a 5 year note payable bearing
        interest at a rate of 7% per annum in
        the amount of $345,615 and forgave an amount of $290,560 due from the seller
        to
        the Company. Separately, the seller paid to the Company $237,359 for monies
        collected in advance by Able Oil Montgomery from its customers.
 
 OnMarch
        20, 2007, the Company entered
        into a credit card
        receivable advance agreement with Credit Cash, LLC ("Credit Cash") whereby
        Credit Cash agreed to loan the Company $1.2 million. The loan is secured
        by the
        Company's existing and future credit card collections.
 
 Terms
        of the loan call for a repayment
        of $1,284,000, which includes the one-time finance charge of $84,000, over
        a
        seven-month period. This will be accomplished through Credit Cash withholding
        18% of Credit Card collections of Able Oil Company and 10% of Credit
        Card
        collections of PriceEnergy.com, Inc. over the seven-month period beginningMarch 21, 2007.
        There are certain provisions in the
        agreement which allow Credit Cash to increase the withholding, if the amount
        withheld by Credit Cash
        over the seven-month period is not
        sufficient to satisfy the required repayment of $1,284,000.
 
 On
        July
        18, 2007, August 3, 2007, November 9, 2007, December 28, 2007 and January
        18, 2008, the Company, in accordance with its agreement with Credit Cash,
        refinanced the loan in the amounts of $250,000, $300,000, $1,100,000,
        $250,000 and $500,000 respectively. The outstanding Credit Cash loan as of
        January 18, 2008 was $997,315.
  33
 
 Prior
        to
        the business combination between the Company and All American, (now known
        as All
        American Properties, Inc.) All American entered into a loan agreement with
        Credit Cash, which was an advance against credit card receivables at the
        truck
        stop plazas then operated by All American.  As a result of the
        business combination this obligation was assumed by the Company’s newly formed,
        wholly-owned subsidiary, All American Plazas, Inc. (“Plazas”), as it became the
        operator of the truck stop plazas. Credit Cash, while acknowledging the business
        combination, has continued to obligate both All American and Plazas in their
        loan documents as obligors of the loan. Accordingly, on July 16, 2007, Credit
        Cash agreed to extend further credit of $400,000 secured by the credit card
        receivables at the truck stops operated by Plazas.
 
 This
        July
        16, 2007 extension of credit agreement was in addition to and supplemented
        all
        previous agreements with Credit Cash. Terms of the original loan and extensions
        called for repayment of $1,010,933 plus accrued interest which will be repaid
        through Credit Cash withholding 15% of credit card collections from the
        operations of the truck stop plazas until the loan balance is paid in full.
        The
        interest rate is prime plus 3.75%. There are certain provisions in the
        agreement, which allows the Lender to increase the withholding, if the amount
        it
        is withholding is not sufficient to satisfy the loan in a timely manner.
        The
        outstanding balance of the loan as of October 31, 2007 was $321,433 plus
        accrued
        interest. However, on November 2, 2007 and again on January 18, 2008, Credit
        Cash again agreed to extend an additional credit in the amount of $1,100,000
        and
        $600,000 respectively. Terms of the agreement are the same as the prior July
        16,
        2007 financing.  The Credit Cash Loan balance as of January 18, 2008
        was $1,376,804.
 
 Our
        net loss for the quarter endedSeptember 30, 2006
        was
        approximately $2,180,000,
        including non-cash charges totaling
        approximately $400,000. The Company has been funding its operations through
        an
        asset-based line of credit, the issuance of convertible debentures and a
        note
        payable and the proceeds
        from the exercise of options and warrants. The Company will need some
        combination of the collection of All American notes receivable, new financing,
        restructuring of existing financing, improved receivable collections and/or
        improved operatingresults
        in order to maintain adequate
        liquidity over the course of the 2008 fiscal year.
  The
        Company is pursuing other lines of
        business, which include expansion of its current commercial business into
        other
        products and services such as bio-diesel, solar energy, and other energy
        related home
        services. The Company is also evaluating all of its business segments for
        cost
        reductions, consolidation of facilities and efficiency improvements. There
        can
        be no assurance that we will be successful in our effortsto
        enhance our liquidity
        situation.
 
 The
        Company has incurred a loss from continuing operations during the year ended
        June 30, 2006 of approximately $6,242,000.  Net cash used in
        operations during the year ended June 30, 2006 was approximately $1,712,000.
        During the three months ended September 30, 2006, the Company incurred a
        net
        loss of approximately $2.2 million and had a working capital deficiency of
        approximately $1.3 million.  These factors raise substantial doubt
        about the Company's ability to continue as a going concern. These condensed
        consolidated financial statements do not include any adjustments relating
        to the
        recoverability of the recorded assets or the classification of the liabilities
        that may be necessary should the Company be unable to continue as a going
        concern.
 
 On
        June
        1, 2005, All American completed a financing that may impact the Company.
        Pursuant to the terms of the Securities Purchase Agreement (the "Agreement")
        among All American and certain purchasers ("Purchasers"), the Purchasers
        loaned
        All American an aggregate of $5,000,000, evidenced by secured debentures
        dated
        June 1, 2005 (the "Debentures"). The Debentures were due and payable on June
        1,
        2007, subject to the occurrence of an event of default, with interest payable
        at
        the rate per annum equal to LIBOR for the applicable interest period, plus
        4%
        payable on a quarterly basis on April 1st, July 1st, October 1st and January
        1st, beginning on the first such date after the date of issuance of the
        Debentures. As of June 30, 2007, the Company's board has not approved the
        transfer of the debt that would also require the transfer of additional assets
        from All American as consideration for the Company to assume the debt. Should
        the Company’s Board approve the transfer of the debt, the Debentures will be
        convertible into shares of the Company's common stock at a conversion rate
        of
        the lesser of (i) the purchase price paid by the Company for each share of
        All
        American common stock in the acquisition, or (ii) $3.00, subject to further
        adjustment as set forth in the agreement.
 
 The
        loan is secured by real estate
        property owned by All American inPennsylvaniaandNew
        Hampshire. Pursuant to the Agreement,
        these
        Debentures are in default, as All American did not complete the merger with
        the
        Company prior to the
        expiration of the 12-month anniversary of the Agreement. Pursuant to the
        Additional Investment Right Agreement (the "AIRAgreement")
        among All American and the
        Purchasers, the Purchasers may loan All American up to an additional $5,000,000of
        secured convertible debentures on the
        same terms and conditions as the initial $5,000,000 loan, except that the
        conversion price will be $4.00.
 
 If
        the Company assumes the
        obligations of All American under the Agreement, the Debentures and theAIRAgreement
        through the execution of a
        Securities Assumption, Amendment and Issuance Agreement, Registration Rights
        Agreement, Common Stock Purchase Warrant Agreement and Variable Rate Secured
        Convertible Debenture Agreement, each between the Purchasers and theCompany
        (the "Able Energy Transaction
        Documents"). Such documents provide that All American shall cause the real
        estate collateral to continue to secure the loan, until the earlier of full
        repayment of the loan upon expiration of the Debentures or conversion
        by the Purchasers of the Debentures
        into shares of the Company's common stock at a conversion rate of the lesser
        of
        (i) the purchase price paid by the Company for each share of All American
        common
        stock in the acquisition, or (ii) $3.00, (the "Conversion Price"), subject to further
        adjustment as set
        forth in the Able Energy Transaction Documents. However, the Conversion Price
        with respect to theAIRAgreement
        shall be $4.00.
        In addition, the Purchasers shall have the right to receive five-year warrants
        topurchase
        2,500,000 of the Company's
        common stock at an exercise price of $3.75 per share.
  34
 
 In
        the event the Company’s
        Board of Directors does approve the
        transfer of debt and  pursuant to the Able Energy Transaction
        Documents, the Company shall also havean optional redemption
        right (which
        right shall be mandatory upon the occurrence of an event of default) to
        repurchase all of the Debentures for 125% of the face amount of the Debentures
        plus all accrued and outstanding interest, as well as a rightto
        repurchase all of the Debentures in
        the event of the consummation of a new financing in which the Company sells
        securities at a purchase price that is below the Conversion Price. The
        stockholders of All American have placed 1,666,667 shares of Able
        common
        stock in escrow shares  to
        satisfy the conversion of the $5,000,000 in outstanding Debentures in full
        should the Company’s
        Board approve the transfer of the
        debt.
 
 OnMay
        19, 2006, the Company entered
        into a letter of
        interest agreement withManns Haggerskjoldof North American,
        Ltd. ("Manns"), for
        a bridge loan to the Company in the amount of $35,000,000 and a possible
        loan in
        the amount of $50million based upon the business
        combination with All American ("Manns Agreement"). The terms of the letter
        of
        interest provided for
        the
        payment of a commitment fee of $750,000, which was non-refundable to cover
        the
        due-diligence cost incurred by Manns. OnJune 23, 2006,
        the Company advanced to Manns $125,000
        toward the Manns Agreement due diligence fee. During theperiodJuly
        7, 2006 through
        November 17, 2006, the Company advanced an additional $590,000 toward the
        Manns
        Agreement due diligence fee.
        Amounts out standing relating to these advances as of September 30, 2006
        were
        $540,000 and have beenexpensedon
        the Company's condensed consolidatedincome
        statementas of September
        30, 2006, as a result of
        not obtaining the financing.
 
 As
        a result of the Company receiving a
        Formal Order of Investigation from theSEConSeptember
        22, 2006, the Company and Manns
        agreed
        that the commitment to
        fund
        being sought under the Manns Agreement would be issued to All American, since
        the stockholders had approved an acquisition of All American by Able and
        since
        the collateral for the financing by Manns would be collateralized by real
        estateowned by All
        American. Accordingly, onSeptember 22, 2006,
        All American agreed that in the event
        Manns funds a credit facility to All American rather than the Company, upon
        such
        funds being received by All American, it will immediately reimburse
        the
        Company for all expenses incurred and
        all fees paid to Manns in connection with the proposed credit facility from
        Manns to the Company.  On or aboutFebruary 2, 2007,
        All American received a Term Sheet
        fromUBSReal
        Estate Investments, Inc.
        (“UBS”)
        requested
        by Manns as co-lender to All
        American. All American rejected theUBSoffer
        as it was not consistent with the
        Manns’commitment
        ofSeptember 14, 2006.
        All American subsequently demanded
        that Manns refund all fees paid to Manns by Able and All American.
  On
        June
        26, 2007, the Company and its affiliate, All American (together with the
        Company
        the “Claimants”), filed a Demand for Arbitration and Statement of Claim in the
        Denver, Colorado office of the American Arbitration Association against Manns
        Haggerskjold of North America, Ltd. (“Manns”), Scott Smith and Shannon Coe
        (collectively the “Respondents”), Arbitration Case No. 77 148 Y 00236 07 MAV.
        The Statement of Claim filed seeks to recover fees of $1.2 million paid to
        Manns
        to obtain financing for the Company and All American. The Claimants commenced
        the Arbitration proceeding based upon the Respondents breach of the September
        14, 2006 Commitment letter from Manns to All American that required Manns
        to
        loan All American $150 million. The Statement of Claim sets forth claims
        for
        breach of contract, fraud and misrepresentation and lender liability. On
        July
        23, 2007, Respondents filed their answer to the Statement of Claim substantially
        denying the allegations asserted therein and interposing counterclaims setting
        forth claims against the Company for breach of the Non-Circumvention Clause,
        breach of the Exclusivity Clause and unpaid expenses. Respondents also assert
        counterclaims for fraudulent misrepresentation and unjust enrichment. On
        Respondents’ counterclaim for breach of the Non-Circumvention Clause,
        Respondents claim damages of $6,402,500. On their counterclaim for breach
        of the
        Exclusivity Clause, Respondents claim damages of $3,693,750, plus an unspecified
        amount related to fees on loans exceeding $2,000,000 closed by All American
        or
        the Company over the next five years. Respondents do not specify damages
        relative to their other counterclaims.
 
 On
        August
        7, 2007, the Claimants filed their reply to counterclaims denying all of
        Respondents material allegations therein. Respondents’ counterclaims were based
        on the false statement that the Claimants had, in fact, received the financing
        agreed to be provided by Manns from a third party.
 
 OnAugust
        13, 2007, the Company dismissed
        Marcum &
Kliegman LLP (“M&K”)
        as its independent registered public
        accounting firm. The report of M&K on the Company's financial statements for
        the fiscal year endedJune
        30, 2006(“FY
        2006”) was modified as to
        uncertainty
        regarding (1) the Company’s
        ability to continue as a going concern
        as a result of, among other factors, a working capital deficiency as ofJune 30, 2006and
        possible failure to meet
        itsshort
        and long-term liquidity needs, and
        (2) the impact on the Company’s
        financial statements as a result of a
        pending investigation by theSECof
        possible federal securities law
        violations with respect to the offer, purchase and sale of the
        Company’s
        securities
        and the Company’s
        disclosures or failures to disclose
        material information.
 
 The
        Company’s
        Audit Committee unanimously
        recommended and approved the decision to change independent registered public
        accounting firms.
  35
 
 On
        August
        31, 2007, the Company was served with a second subpoena duces tecum (the “Second Subpoena”) from the
        Securities and Exchange Commission (“SEC”) pursuant to the Formal Order of
        Investigation issued by the SEC on September 7, 2006 (see note 17). The Company
        continues to gather, review and produce documents to the SEC and is cooperating
        fully with the SEC in complying with the Second Subpoena. As of November
        30,
        2007, the Company has produced documents in response to the Second Subpoena
        and
        the Company expects to produce additional documents in response to the Second
        Subpoena as soon as practicable. As of date of this Report, the Company is
        not
        aware of any information that has been discovered pursuant to the Formal
        Order
        of Investigation which would indicate that the Company or any of its officers
        and directors was guilty of any wrongdoing.
 
 The
        Company engaged Lazar Levine &
Felix LLP (“LLF”) as its new independent registered public accounting firm as ofSeptember 21,
        2007. Prior to its
        engagement, LLF had been and continues to act as independent auditors for
        All
        American, an affiliate and the largest stockholder of the
        Company.
 
 On
        September 24, 2007, the Company’s Board of Directors appointed (i) Richard A.
        Mitstifer, the former President of  All American as President of the
        Company; (ii) William Roger Roberts, the former Chief Operating Officer of
        All
        American, as the Company’s Chief Operating Officer; (iii) Daniel L. Johnston,
        the former Controller of All American, as Chief Financial Officer of the
        Company; and (iv) Louis Aponte, the President of All American Industries,
        Inc.
        and all American Realty and Construction Corp., which are affiliates
        of  All American specializing in real estate development and
        construction, as the Company’s Vice-President of Special Projects. The Board
        also promoted Frank Nocito, the Company’s Vice-President of Business
        Development, to Executive Vice President and expanded his duties to include
        heading the Company’s expansion into alternative and clean energy fuels and
        products. Mr. Nocito is the controlling person of the Cheldnick Family Trust,
        the largest shareholder of the Company. Messrs. Mitstifer, Roberts and Aponte
        were officers of All American in June 2005 when the Company entered into
        an
        asset purchase agreement with All American, pursuant to which the Company
        agreed
        to acquire substantially all of All American’s assets and assume all liabilities
        of All American other than mortgage debt liabilities. They were also officers
        of
        All American at the time the transaction closed in May 2007. Effective September
        24, 2007, Christopher P. Westad stepped down as President of the Company
        and
        Jeffrey Feld stepped down as Acting Chief Financial Officer of the Company.
        The
        Board subsequently appointed Mr. Westad as the President of the Company’s home
        heating oil subsidiaries, namely Able Oil, Inc., Able Energy New York, Inc.
        and
        Able Oil Melbourne, Inc.
 
 On
        January 8, 2007, All American entered into an Account Purchase Agreement
        with
        Crown Financial (“Crown”) whereby Crown advanced $1,275,000 to All American in
        exchange for certain existing accounts receivables and taking ownership of
        new
        accounts originated by All American. Repayment of the loan is to be made
        from
        the direct payments to Crown from the accounts it purchased from All American
        and a fee equal to 2.5% of the outstanding advance for the preceding period
        payable on the 15th
        and
        30th
        day of each month.
 
 The
        Crown
        loan is secured by the mortgages on the real property and improvements thereon
        owned by All American known as the Strattanville and Frystown Gables truck
        stop
        plazas and a personal guarantee by Frank Nocito.
 
 Subsequent
        to the May 2007 closing of the business combination between the Company and
        All
        American, on July 1, 2007 the Account Purchase Agreement between All American
        and Crown Financial has been amended and modified from “Eligible Accounts having
        a 60 day aging” to a “90 day aging that are not reasonably deemed to be doubtful
        for collections” and the fee of 2.5% payable on the 15th
        and
        30th
        day of each month has been modified to 1.375%. The Company has assumed this
        obligation based on the business combination; however, All American has agreed
        to continue to secure this financing with aforementioned real estate
        mortgages.
 
 On
        October 5, 2007, All American reclassified all outstanding trade payables
        with
        Transmontagine to a note payable in the amount of approximately
        $15,000,000.  Interest at the rate of 8% is being accrued on all past
        due amounts as of October 5, 2007.  In addition, an amount of
        $1,550,000 was added to the note to begin a prepaid purchase program whereby
        Plazas will prepay for its fuel prior to delivery. Repayment of this note
        is to
        commence on or about March 15, 2008 with a 25 year amortization schedule
        with a
        maturity of November 15, 2009. If a threshold payment is made on or before
        March
        15, 2008 and before August 15, 2008 (after initial 25 year amortization begins)
        in the amount of  $3,000,000 then a new 25 year amortization schedule
        will commence effective July 31, 2009 and mature on March 31,
        2011.  Collateral on this note are certain properties owned by All
        American.
 
 On
        October 17, 2007, the Company entered into a loan agreement with S&S NY
        Holdings, Inc. for $500,000 to purchase #2 heating fuel. The term of the
        agreement is for 90 days with an option to refinance at the end of the 90
        day
        period for an additional 90 days. The repayment of the principal amount will
        be
        $.10 cents per gallon of fuel sold to the Company’s customers excluding
        pre-purchase gallons. An additional $.075 per gallon will be paid as interest.
        The agreement also provides that in each 30 day period the interest amount
        can
        be no less than $37,500.00. As of January 17, 2008 the Company had repaid
        approximately $100,000 and exercised its right to refinance the amount until
        March 31, 2008.  The company is still negotiating the final terms of
        this refinancing.
 
 On
        December 20, 2007, the Company entered in to a second loan agreement with
        S&S NY Holdings, Inc for $500,000 to purchase #2 heating
        fuel.  The term of the agreement is thru March 31,
        2008.  The repayment of principle is not due until the maturity
        date.  An additional $.075 per gallon will be paid as interest. The
        agreement also provides that in each 30 day period the interest amount can
        be no
        less than $37,500.00.
 
 36
 
 The
        Company must also bring current each
        of itsSECfilings
        as part of a plan to raise
        additional capital. In addition to the filing of this Form 10-Q for the quarter
        endedSeptember
        30, 2006, the Company must
        also complete and
        file its Form 10-Q's for the quartersended December31,
        2006 and March 31, 2007and the Company’s
        Form 10-K for the year ended June 30,
        2007 and the subsequent Form 10-Q for the quarter ended September30, 2007.
 
 There
        can be no assurance that the
        financing or the cost saving measures as identified above will be satisfactory
        in addressing the short-term liquidity needs of the Company. In the event
        that
        these plans can not be effectively realized, there can be no assurance
        that the Company will
        be able to continue as a going concern.
 
 CONTRACTUAL
        OBLIGATIONS
 
 The
        following schedule summarizes our
        contractual obligations as ofSeptember 30, 2006in
        the periods
        indicated:
  Less
                    Than
                
                
                
                
                
                
                
                
                More
                    thenContractual
                    Obligations
                
                Total
                
                
                1
                    Year
                
                
                1-3
                    Years
                
                
                3-5
                    years
                
                
                5
                    yearsLong
                    term
                    debt
                
                $
                7,384,090
                
                
                $
                1,338,859
                
                
                $
                3,058,007
                
                
                $
                149,928
                
                
                $
                2,837,296Capital
                    lease
                    obligation
                
                
                877,787
                
                
                $
                304,215
                
                
                $
                496,445
                
                
                
                77,127
                
                
                
                -Operating
                    leases
                
                
                566,955
                
                
                
                242,638
                
                
                $
                324,317Unconditional
                    purchase
                    obligations
                
                
                5,976,780
                
                
                $
                5,976,780
                
                
                $
                -
                
                
                
                -
                
                
                
                -Other
                    long term
                    obligations
                
                
                469,275
                
                
                $
                469,275
                
                
                
                -
                
                
                
                -
                
                
                
                -Interest
                    on LTD and capital
                    leases
                
                
                3,733,000
                
                
                $
                604,000
                
                
                
                774,000
                
                
                
                368,000
                
                
                
                1,987,000Unconditional
                    purchase obligations
                    post September 30, 2006
                
                
                3,299,000
                
                
                $
                3,299,000Total
                    contractual
                    obligations
                
                $
                22,306,887
                
                
                $
                12,234,767
                
                
                $
                4,652,769
                
                
                $
                595,055
                
                
                $
                4,824,296
  SEASONALITY
 
 Approximately
        65% of the Company's
        revenues are earned and received from October through March, and the
        overwhelming majority of such revenues are derived from the sale of home
        heating
        oil. During the spring and summer months, revenues from the saleof diesel and gasoline
        fuels increase
        due to the increased use of automobiles and construction
        apparatus.
 
 Each
        of the Company's divisions is
        seasonal. From May through September, Able Oil experiences considerable
        reduction of retail heating oil sales.
 
 AbleEnergyNY's
        propane operation can experience up
        to 80% decrease in heating related propane sales during the months of April
        to
        September, which is offset somewhat by an increase of pool heating and cooking
        fuel.
 
 Over
        90% of Able Melbourne's revenues
        are derived from the
        sale
        of diesel fuel for construction vehicles, and commercial and recreational
        sea-going vessels duringFlorida's
        fishing season, which begins in April
        and ends in November. Only a small percentage of Able Melbourne's revenues
        are
        derived
        from the sale of home heating fuel.
        Most of these sales occur from December through March,Florida's
        cooler months.
 
 ITEM
        3. QUANTITATIVEANDQUALITATIVE
        DISCLOSURES ABOUT MARKET
        RISK
 
 The
        Company does not issue or invest in
        financial instruments or derivatives for trading
        or speculative
        purposes. All of the operations of the Company are conducted in theUnited States,
        and, as such, are not subject to
        material foreign currency exchange rate risk. AtSeptember 30, 2006,
        the Company had approximately
        $4,000,000
        of outstanding long-term debt and
        convertible debentures and notes payable. Although the Company's assets included
        approximately $3,900,000 in cash, the market rate risk associated with changing
        interest rates in theUnited States isnot material.
  37
 
 ITEM
        4. CONTROLSANDPROCEDURES
 
 Our
        management, with the participation
        of our Chief Executive Officer and Acting Chief Financial Officer, has evaluated
        the effectiveness of the design and operation of our disclosure controls
        and
        procedures(as defined in
        Rule 13a-15(e) under the Securities Exchange Act of 1934, as amended) as
        of the
        end of the period covered by this quarterly Report on Form 10-Q/A.
        Based on this evaluation, our
        Chief Executive Officer and Acting Chief Financial Officer concluded that these disclosure
        controls
        and procedures were not effective as of such date.
  a)
              Evaluation
                  of Disclosure Controls
                  and Procedures: An evaluation of the Company's disclosure controls
                  and
                  procedures (as defined in Section13a-15(e) of the Securities
                  ExchangeAct of 1934
                  (the "Act")) was carried out under the supervision and with the
                  participation of the Company's Chief Executive Officer and Acting
                  Chief
                  Financial Officer and several other members of the Company's senior
                  management at September 30, 2006.
                  Based on this evaluation, and
                  as noted below, the Company's Chief Executive Officer and Acting
                  Chief
                  Financial Officer concluded that as of September 30, 2006, the
                  Company's
                  disclosure controls and procedures were not effective, at a reasonable
                  levelof
                  assurance, in ensuring that the
                  information required to be disclosed by the Company in the reports
                  it
                  files or submits under the Act is (i) accumulated and communicated
                  to the
                  Company's management (including the Chief Executive Officer and
                  Acting
                  ChiefFinancial
                  Officer) in a timely
                  manner, and (ii) recorded, processed, summarized and reported within
                  the
                  time periods specified in the SEC's rules and
                  forms.b)
              Changes
                  in Disclosure Controls and
                  Procedures. The Company identifieda weaknessduring
                  the preparation of
                  theJune 30,
                  2006Form 10-K.The
                  weakness related tothe
                  Company’s
                  loss of its then Chief Financial
                  Officer and the appointment of an Acting Chief Financial
                  Officer.  Duringthe
                  preparation of the June 30,
                  2006 Form 10-K and duringthe quarter
                  ended September
                  30, 2006, the Companyretainedindependent
                  consultants
                  withexperience
                  in
                  public company disclosure requirements to assistthe Chief
                  Executive Officer and
                  the Chief Financial Officerin their
                  respective duties during
                  the review, preparation and disclosures
                  required in SEC
                  rules and regulations.  As of the filing of the originalSeptember
                  30, 2006Form 10-Q
                  on July 24,
                  2007,under the
                  Acting Chief Financial Officerand as of
                  the date of the filing
                  of this Form 10-Q/A,under the
                  new Chief Financial
                  Officerappointed
                  as of September
                  24,
                  2007, the Company
                  continues to engage independent consultants withexperience
                  in public company
                  disclosure requirements to assist such officers in their respective
                  duties
                  during the review, preparation and disclosures requiredin SEC rules
                  and
                  regulations.
 
 PART
        II. OTHER
        INFORMATION
 
 ITEM
        1. LEGAL
        PROCEEDINGS
  On
        December 8, 2006, the Company commenced an action in the Superior Court of
        California, for the County of Los Angeles against Summit Ventures, Inc.
        (“Summit”), Mark Roy Anderson (“Anderson”), the principal of Summit and four
        other companies controlled by Anderson, Camden Holdings, Inc., Summit Oil
        and
        Gas, Inc. d/b/a Nevada Summit Oil and Gas, Harvest Worldwide LLC and Harvest
        Worldwide, Inc. seeking to compel the return of 142,857 shares (the “Shares”) of
        the Company’s common stock issued to Summit.  The shares were issued
        to Summit in connection with a consulting agreement the Company had entered
        into
        with Summit in January 2005 (also See Note 5). The complaint also sought
        damages
        as a result of Summit’s and Anderson’s breach of contract, fraud, and
        misrepresentation with respect to the consulting agreement.  On June
        28, 2007, Summit and Anderson interposed a cross-complaint against the Company,
        Greg Frost, the Company’s Chief Executive Officer and Chairman, Chris Westad,
        the Company’s President, Frank Nocito, Vice President of Business Development
        for the Company, Stephen Chalk, a Director of the Company and Timothy
        Harrington, the former Chief Executive Officer of the Company. The Company
        has
        recently settled the Anderson litigation (See Note 20).
 
 ITEM
        2. UNREGISTERED SALES OF
        EQUITY SECURITIESANDUSE
        OF
        PROCEEDS
 
 a)
              On
                  July 5, 2006, the Company
                  closed a Securities Purchase Agreement entered into on June 30,2006 whereby
                  it sold
                  a $1,000,000 convertible term note to Laurus Master Fund, Ltd
                  ("Laurus").  The Company pays interest on the note monthly in
                  arrears commencing at a rate equal to the prime rate published
                  in the Wall
                  Street Journal plus 2%, calculated as of the last business dayof
                  the calendar month. Amortizing
                  payments of the principal amount of the note shall be made by the
                  Company
                  commencing onJune
                  30, 2007and on the
                  first business day of each succeeding month thereafter in the amount
                  of
                  $27,778 through the maturity date ofthe
                  note onJune 30,
                  2009.The note
                  is convertible at the
                  option of Laurus into shares of the Company's common stock, at
                  an initial
                  fixed conversion price of $6.50 per share. The conversion rate
                  of the note
                  is subject to certain adjustments and limitationsas
                  set forth in the note. In
                  connection with Laurus' purchase of the note, the Company granted
                  Laurus a
                  warrant exercisable through June 30, 2011 to purchase 160,000 shares
                  of
                  the Company's common stock at a price of $5.57 per share, subject
                  to the
                  adjustments
                  and limitations set forth in
                  the warrant. These warrants were valued at $986,000, using the
                  Black-Scholes model, applying an interest rate of 5.19%, volatility
                  of
                  98.4%, dividends of $0 and a contractual term of five
                  years.
  38
  On
                  August 8, 2006, the Company issued $2,000,000 of convertible debentures
                  to
                  certain investors. The convertible debentures are convertible into
                  shares
                  of the Company's common stock at a conversion price of $6.00 per
                  share,
                  which was the market value of the Company's common stock on the
                  date of
                  issuance. The debentures bear interest at the greater of either
                  LIBOR plus
                  6.0%, or 12.5%, per annum, and such interest is payable quarterly
                  to the
                  holder either in cash or in additional convertible debentures.
                  At any
                  time, the holder may convert the convertible debenture into shares
                  of
                  common stock at $6.00 per share, or into 333,333 shares of common
                  stock
                  which represents a conversion at the face value of the convertible
                  debenture. As of May 30, 2007, upon consummation by the Company
                  of
                  the  business combination transaction with All American, the
                  Company may redeem the convertible debentures at a price of 120%
                  of the
                  face amount, plus any accrued but unpaid interest and any unpaid
                  liquidated damages or under certain conditions, the Company may
                  redeem the
                  amount at 120% of the face amount in cash, or redeem through the
                  issuance
                  of shares of common stock at the lower of the existing conversion
                  price or
                  90% of the volume weighted average price, as stipulated in the
                  agreement.
                  The investors may elect to participate in up to 50% of any subsequent
                  financing of the Company by providing written notice of intention
                  to the
                  Company. The investors also were issued 333,333, 166,667 and 172,667
                  five-year warrants to purchase additional shares of the Company's
                  common
                  stock at $4.00, $6.00 and $7.00 per share,
                  respectively.b)
              Non-applicablec)
              None
  ITEM
        3.DEFAULTS
        UPON SENIOR
        SECURITIES
 
 In
        connection with a $1,000,000 convertible term note issued in July 2006, the
        Company agreed that within sixty days from the date of issuance of the note
        (September 3, 2006) and warrant that it would file a registration statement
        with
        the SEC covering the resale of the shares of the Company's stock issuable
        upon
        conversion of the note and the exercise of the warrant. This registration
        statement would also cover any additional shares of stock issuable as a result
        of any adjustment to the fixed conversion price of the note or the exercise
        price of the warrant.  As of June 30, 2007, the Company was not able
        to file a registration statement and the holder has not yet waived its rights
        under this agreement and the
        Company had not received a default notice from the lender on these matters. There
        are
        no stipulated liquidated damages outlined in the Registration Rights
        Agreement.
 
 In
        conjunction with $2,000,000 of
        convertible debentures issued on August 2006, the Company had agreed to file
        a
        registration statement within forty-five days orSeptember 22, 2006,
        covering the resale of the shares of
        common stock underlying the
        convertible debentures and warrants issued to the investors, and byOctober 15, 2006,
        to have such registration statement
        declared effective. The registration rights agreement with the investors
        provides for partial liquidated damages in the case that
        these registration requirements are
        not met. From the date of violation, the Company is obligated to pay liquidated
        damages of 2% per month of the outstanding amount of the convertible debentures,
        up to a total obligation of 24% of such obligation. TheCompany
        has not yet filed a registration
        statementregarding these securities. Accordingly, through June 30, 2007,
        the Company has estimated the fair value of the liquidated damages obligation
        including interest of approximately $450,000, none of which has been paid.
        The
        Company is obligated to continue to pay 18% interest per annum on any damage
        amount not paid in full within 7 (seven) days.  As of June 30, 2007,
        theCompany is not able to file
        a
        registration statement and the holder has not yet waived itsrights under this
        agreement. However,
        the Company has not received a default notice from the lender on these
        matters.
 
 ITEM
        4. SUBMISSION OF MATTERS TO A
        VOTE OF SECURITY HOLDERS
 
 The
        following matters were submitted to
        a vote at a special meeting ofstockholders held onAugust
        29th,
        2006
 
 Acquisition
        of All American Plazas
 Issuance
        of up to 11,666,667 shares of the Company’s common stock which will result in
        the acquisition of substantially all of the assets of All American Plazas,
        Inc.
        a Pennsylvania corporation, pursuant to the Stock Purchase Agreement, dated
        as
        of June 16, 2005, by and among the shareholders of All American and the
        Company.
 
 For
              Against
              Abstain
              No
                  Vote826,491
              26,905
              8,130
              1,000,000
  39
 
 Ratification
          and approval of shares issuable in connection with the July 2005 Debenture
          Financing
 Potential
          issue of up to 789,970 shares
          of the Company’s
          common stock through the conversion of
          certain convertible debentures the Company issued in connection with a
          $2,500,000 sale of such
          debentures which took place onJuly 12, 2005and
          5,250,000 shares pursuant to the
          exercise of warrants at $7.50 per share issued in connection with the same
          financing.
 
 For
              Against
              Abstain
              No
                  Vote1,803,538
              47,285
              10,700
              -0-
 
 Approval
        of
        Amendment
        to
        Certificate of Incorporation
 Increase
        in the number of shares of common stock authorized for issuance under the
        Company’s Certificate of Incorporation from 10,000,000 shares to 75,000,000
        shares.
 
 For
              Against
              Abstain
              No
                  Vote1,785,843
              69,076
              6,607
              -0-
  
 ITEM
        5. OTHER
        INFORMATION
 
 None
 
 
 ITEM
        6. EXHIBITS
 
 31.1
              Certification
                  of Chief Executive
                  Officer of Periodic Report pursuant to Rule 13a-14(a) and Rule
                  15d-14(a).
  31.2
              Certification
                  of Chief Financial
                  Officer of Periodic Reportpursuant
                  to Rule 13a-14(a) and
                  Rule 15d-14(a).
  32.1
              Certification
                  of Chief Executive
                  Officer and Chief Financial Officer pursuant to 18 U.S.C. Section
                  1350.
   40
  SIGNATURES
 
 Pursuant
        to the requirements of the
        Securities ExchangeAct of
        1934, the registrant has duly caused this report to be signed on its behalf
        by
        the undersigned, thereunto duly authorized.
 
 Able
        Energy, Inc.
   By:
                /s/
Gregory
                  FrostGregory
                  FrostChief
                  Executive
                  OfficerBy:
                /s/
                  Daniel L.JohnstonDaniel
                  L.
                  JohnstonChief
                  Financial
                  Officer
 
 January
        29, 2008
   41