CORRESP 1 filename1.htm

      Tengasco, Inc. and Subsidiaries

Consolidated Statements of Loss

Years ended December 31,			2004			2003			2002
Revenues and other income
Oil and gas revenues			$	6,013,374		$	6,040,872		$	5,437,723
Pipeline transportation revenues				92,599			163,393			259,677
Interest Income				3,501			985			3,078
Total revenues and other income				6,109,474			6,205,250			5,700,478
Costs and expenses
Production costs and taxes				3,364,429			3,412,201			3,094,731
Depreciation, depletion and amortization
(Notes 4, 5 and 6)				2,067,566			2,308,007			2,413,597
General and administrative				1,177,183			1,486,280			1,868,141
Interest expense (Notes 9, 10 and 13)				1,367,180			1,120,738			578,039
Public relations				35,347			31,183			193,229
Professional fees				779,180			549,503			707,296
Loss on impairment of long-lived asset				-			495,000			-
Loss on sale of equipment, net				107,744			-			-
Total costs and expenses				8,898,629			9,402,912			8,855,033
Operating loss				(2,789,155	)		(3,197,662	)		(3,154,555	)
Gain from extinguishment of debt (Note 16)				336,820			-			-
Gain on Preferred Stock (Note 9)				458,310			-			-
Net loss attributable to common stockholders before
cumulative effects of a changes in accounting principle				(1,994,025	)		(3,197,662	)		(3,154,555	)
Cumulative effect of a change in accounting principle (Note 10)				-			(351,204	)		-
Cumulative effect of a change in accounting principle (Note 9)				-			365,675			-
Net loss				(1,994,025	)		(3,183,191	)		(3,154,555	)
Dividends on preferred stock (Note 9)				-			(268,389	)		(506,789	)
Net loss attributable to common stockholders			$	(1,994,025	)	$	(3,451,580	)	$	(3,661,344	)
Net loss attributable to common stockholders per shares
Basic and diluted:
Operations			$	(0.05	)	$	(0.27	)	$	(0.29	)
Cumulative effect of a change in accounting principle (Note 10)				-			(0.03	)		-
Cumulative effect of a change in accounting principle (Note 9)							0.03			-
Dividends on preferred stock							(.02	)		(.04	)
Total			$	(0.05	)	$	(0.29	)	$	(0.33	)
Weighted average shares outstanding				40,855,972			11,956,135			11,062,436