Andover Ventures Inc.
TSX VENTURE : AOX
FRANKFURT : R2X

Andover Ventures Inc.

February 29, 2008 13:55 ET

Andover Announces Results for the Period Ended December 31, 2007

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 29, 2008) - ANDOVER VENTURES INC. ("Andover") (TSX VENTURE:AOX)(FRANKFURT:R2X) today announced results for the nine month period ended December 31, 2007. During the period Andover continued to explore its portfolio of properties, primarily its flagship property, SUN, the Bulk Gold Property and its Joint Ventured properties, the Kamishak Property and the Bristol Bay Properties.

See attached balance sheet, income statement and statement of cash flows for more information. Full financial statements and Management's Discussion & Analysis are available on SEDAR at http://www.sedar.com and on Andover's website at www.andoverventures.com.



ANDOVER VENTURES INC.
Consolidated Balance Sheets
(In Canadian Dollars)
As at December 31, 2007

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December 31, March 31,
2007 2007
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ASSETS

Current Assets
Cash and cash equivalents $ 127,800 $ 83,422
Deferred share issuance costs - 19,128
Marketable securities 287,500 -
GST recoverable (1,412) 27,300
Deposits 32,900 55,900
Prepaid expense 12,000 -
Advance on exploration work program 94,810 174,147
------------ ------------
553,598 359,897

Long-Term Deposit - 7,000

Fixed Assets 79,581 -
Mineral Properties 18,798,188 14,322,043
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18,877,769 14,322,043
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$ 19,431,367 $ 14,688,940
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LIABILITIES

Current Liabilities
Accounts payable and accrued liabilities $ 766,679 $ 1,998,076
Due to related party - 14,284
------------ ------------
766,679 2,012,360

SHAREHOLDERS' EQUITY

Liability to Issue Shares - 8,337,498
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Capital Stock
Authorized: 200,000,000 common shares without
par value; 50,000 Class A preferred shares
without par value; and 50,000 Class B
preferred shares without par value
Issued and fully paid: 41,812,286 common
shares 12,424,103 3,270,210
Contributed surplus 9,724,838 2,947,914
Deficit, accumulated during the development
stage (3,484,253) (1,879,042)
------------ ------------
18,664,688 4,339,082

$ 19,431,367 $ 14,688,940
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ANDOVER VENTURES INC.
Consolidated Statement of Loss and Deficit
(In Canadian Dollars)
Three and Nine Month Periods Ended December 31, 2007

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Three Months Ended Nine Months Ended
December 31, December 30,
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2007 2006 2007 2006
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GENERAL AND ADMINISTRATIVE
EXPENSES
Accounting and legal 25,654 59,362 87,408 125,882
Consulting fees 35,656 83,802 205,391 172,084
Depreciation and
amortization 5,536 - 11,504 -
Foreign exchange 94,954 (343) 111,423 (343)
Interest and bank charges (177) 499 1,544 1,603
Management and
professional fees 63,000 24,000 168,000 39,000
Office expense 48,330 10,118 107,306 24,263
Salaries 17,155 - 28,794 -
Stock-based compensation 65,620 168,812 632,826 386,312
Telephone and utilities 3,326 1,865 7,585 4,366
Transfer agent and
filing fees 4,935 37,921 32,524 66,453
Travel and promotion 91,537 65,375 238,381 132,917
---------- ---------- ---------- ----------

LOSS BEFORE OTHER ITEMS (455,526) (451,411) (1,632,686) (952,537)
---------- ---------- ---------- ----------

OTHER ITEMS
Interest income 409 2,464 27,475 10,751
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409 2,464 27,475 10,751
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NET INCOME FOR THE
PERIOD (455,117) (448,947) (1,605,211) (941,786)

DEFICIT, BEGINNING
OF PERIOD (3,029,136) (1,079,003) (1,879,042) (586,164)
---------- ---------- ---------- ----------

DEFICIT, END OF PERIOD (3,484,253) (1,527,950) (3,484,253) (1,527,950)
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BASIC LOSS PER SHARE $ (0.01) $ (0.03) $ (0.04) $ (0.06)
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DILUTED LOSS PER SHARE $ (0.01) $ (0.03) $ (0.04) $ (0.06)
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WEIGHTED AVERAGE
NUMBER OF COMMON
SHARES OUTSTANDING
Basic 41,654,863 16,858,178 39,794,825 16,811,190
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Diluted 41,968,090 16,858,178 40,582,095 16,811,190


ANDOVER VENTURES INC.
Consolidated Statement of Cash Flows
(In Canadian Dollars)
Three and Nine Month Periods Ended December 31, 2007

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Three Months Ended Nine Months Ended
December 31, December 30,
2007 2006 2007 2006
CASH PROVIDED BY (USED
FOR):

OPERATING ACTIVITIES
Loss for the period (455,117) (448,947) (1,605,211) (941,786)
Items not affecting
cash:
Depreciation and
amortization 5,536 - 11,504 -
Stock-based
compensation 65,620 168,812 632,826 386,312
Changes in non-cash
working capital items:
(Increase) decrease
accounts receivable 34,741 (9,517) 28,712 (18,086)
(Increase) decrease
deposits & prepaid
expenses 24,500 - 11,000 -
(Increase) decrease
in long-term deposits - - 7,000 -
Increase (decrease) in
accounts payable &
accrued liabilities (243,666) (25,017) (1,233,931) (24,475)
---------- ---------- ---------- ----------

Cash used for
operating activities (568,386) (314,669) (2,148,100) (598,035)
---------- ---------- ---------- ----------

FINANCING ACTIVITIES
Shares issued for
cash, net of issue
costs 311,281 4,199,500 6,894,232 4,869,000
Shares subscribed but
not issued - 29,000 - 29,000
Share subscription
receivables - (722,500) - (364,000)
Due to related parties - - (14,284) -
Deferred share
issuance costs (19,128) - - -
---------- ---------- ---------- ----------

Cash provided by
financing activities 292,153 3,506,000 6,879,948 4,534,000
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INVESTING ACTIVITIES
Purchase of fixed
assets (30,446) - (92,085) -
Marketable securities (200,000) - (200,000) 1,075
Mineral property
expenditures (1,126,136) (3,709,834) (4,476,145) (4,097,479)
Advance on
exploration work
program 939,442 406,933 80,760 -
---------- ---------- ---------- ----------

Cash provided by
(used for) investing
activities (417,140) (3,302,901) (4,687,470) (4,096,404)
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INCREASE (DECREASE)
IN CASH & EQUIVALENTS (693,373) (111,570) 44,378 (160,439)

CASH & CASH EQUIVALENTS
BEGINNING OF PERIOD 821,173 210,043 83,422 258,912
---------- ---------- ---------- ----------

CASH & CASH EQUIVALENTS
END OF PERIOD $ 127,800 $ 98,473 $ 127,800 $ 98,473
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The TSX Venture Exchange has not reviewed nor does it accept responsibility for the adequacy or accuracy of this press release.

Contact Information

  • Andover Ventures Inc.
    Wayne Moorhouse
    Chief Financial Officer
    (604) 682-2168 or International Toll Free: 1-800-266-4484
    or
    Andover Ventures Inc.
    Richard Martens
    Investor Relations
    (604) 682-2168 or International Toll Free: 1-800-266-4484
    (604) 682-2169 (FAX)
    Website: www.andoverventures.com