J. MARK ARIAIL
REDACTED
REDACTED
April 18, 2007
Board of Directors
Apollo Resources International, Inc.
RE: Resignation
Fellow Members of the Board:
It is only after much deliberation and with regret that I feel compelled to tender my
immediate resignation as CFO and a member of the Board of Directors (the “Board”) of Apollo
Resources International, Inc. (“Apollo”). Reaching this decision had been difficult and I am sad
to leave the good people at Apollo behind.
Unfortunately, as time has passed the list of issues facing Apollo continues to multiply
rather than diminish creating professional and personal liabilities with which I am no longer
comfortable. I do not believe Apollo is moving in the direction of alleviating my concerns;
therefore, I am left with no choice but to resign. In the interest of the remaining members of the
Board of Directors, Officers of Apollo and Apollo’s shareholders I discuss some of my concerns
below.
REDACTED PORTION
I am perhaps most troubled by my ability to move Apollo in a direction toward better internal
controls, fiscal responsibility and basic corporate governance. REDACTED PORTION. During my
tenure at Apollo I have tried to impress upon management and the Board the need for sound corporate
governance and internal controls, I have come to the conclusion that my efforts are futile. The
lack of ability of Apollo’s directors and officers to improve and solidify Apollo’s internal
controls is particularly troubling REDACTED PORTION.
Board of Directors
April 18, 2007
Page 2
REDACTED PORTION
It is my sincere hope that the comments contained in this letter encourage Apollo to embrace
the standards of corporate governance expected from a publicly traded company. Once again, I am
saddened by the circumstances but feel compelled to resign as CFO and member of the Board of Apollo
in light of the continued lack of attention to internal controls, fiscal responsibility, basic
corporate governance REDACTED PORTION.
I believe that each of you understand why reached this decision. I hope each of you will
respect my decision. I remind you that pursuant to the Utah Revised Business Corporations Act, Par
9 § 16-10a-903 and Apollo’s Articles of Incorporation. REDACTED PORTION
Board of Directors
April 18, 2007
Page 3
I wish everyone at Apollo the best.
Very truly yours,
| |
/s/ J. Mark Ariail |
|
J. Mark Ariail |