May 2006

Dear Valued Customer:

We look forward to working with you and would like to offer you the most cost efficient quality products and services for your plumbing, heating, cooling and energy needs.

This letter is to inform you about the current oil market, the direction heating oil prices are moving and how Total Fuel will manage your costs for the next heating season.

Current Market Conditions: Crude oil is currently trading over $70 a barrel. This is $25 above last year’s price. The price of heating oil in Westchester County is now between $2.89 and $3.09 per gallon. This price is much higher than the same time last year.

World oil disruptions in Iran, Nigeria and Iraq, nuclear arms fears and the prediction of a severe U.S. hurricane season are all forcing global prices higher. In addition, market greed is sustaining these high costs in spite of current abundant oil supplies.

Where is The Price of Heating Oil Headed? As of today, it appears higher.

How Will Total Fuel Protect Your Heating Oil Price? We are working closely with UBS AB, one of the world’s largest financial institutions, to monitor and plot trends in the heating market. This allows Total Fuel to hedge the market and ensures that our customers will have a protected heating oil price for next year. During this past year our customers saved an average of 60 cents per gallon.

In addition to hedging we are making a significant investment in an alternative heating fuel call Bio-Fuel. This is a U.S.-made vegetable byproduct that is both accepted and certified by state and federal governments to run in your boiler and diesel engines.

How can you lower you oil-heating bill? The best strategy continues to be conservation. An older heating system is less efficient and replacing it is often a good strategy.

Is your heating system more than 20 years old? The National Oil Heat Research Alliance estimates that the replacement of an older boiler or furnace that is burning 1,200 gallons of oil per year could save nearly one-third of the oil consumed and brings oil usage down to the national average of 800 gallons per year! What if heating oil hits $3.00 per gallon or more next winter? Installing a new system could instantly save you over $1,000/year on your oil bills. Best of all, with our 100% Fannie Mae-backed financing, the savings on your oil bill can pay for the upgrade. Some people feel this is like getting a new, more efficient heating system for free. The money they had budgeted for the heating oil now goes towards paying off the new equipment.

At the end of 5 years the new system will have paid for itself in savings. Go to www.totalfuel.com or call us for information about the Energy Loan Program. No closing costs, no payments for 90 days and 100% financing available.

For customers on fixed incomes or experiencing financial hardship we suggest you contact HEAP (for NY residents) or CEAP (for CT residents) for assistance.

Westchester County Residents: 914-592-5600

NYC/Bronx Residents: 1-800-342-3009

CT Residents: 1-800-842-1132

Total Fuel is working hard to contain run-away fuel costs but an increase in price may be necessary. We will strive to minimize any increase and will announce our heating oil prices by early summer. Please call us with any questions.

Best regards,

Total Fuel Services Corp.

President: James Cowen                                                      Treasurer: Dominic Falcone

Vice-President: Daniel Falcone                                              Secretary: William Schultz

Operations Mgr: John DiCairano                                           Office Mgr: Lisa Mariakakis