Laidlaw Energy Group, Inc.(fka LLEG)

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4/10/08 Laidlaw Energy Group, Inc. Issues Shareholder Update

NEW YORK--(BUSINESS WIRE)--Laidlaw Energy Group, Inc. (Ticker Symbol “LLEG”) is pleased to provide its shareholders with the following update.

Dear Laidlaw Energy Shareholders and Friends:

As we start the second quarter of 2008, I feel this is a good time to update you on our progress and recent events, as well as future opportunities.

First among our recent accomplishments is the execution of the Sale and Leaseback Agreement with HH Capital Advisors, LLC (www.HHCapital.com) for the financing of our Berlin, NH biomass-energy project. A news story from the Dow Jones Clean Tech Investor Newsletter discussing some of the details of the proposed transaction can be found on our web site at http://www.laidlawenergy.com/breaking-news.html.

We have received several questions from shareholders as to why we chose to finance the Berlin project in this manner as opposed to a more traditional approach involving project debt and equity. The primary reason we decided to go in this direction is that, subject to the terms of the Agreement, it is expected to provide us with all of the requisite financing for the project on terms we feel are advantageous and leave us with the majority of the equity cash flows from the project.

Though we received offers for financing from several major investment banks, the financing was limited to the development stage of the project, exposing us to the risk of obtaining construction and permanent financing for the project and the unknown factor as to what those terms would be 12 months hence - particularly in light of the current uncertainty in the credit markets. Rather, we felt it was in the best interest of the Company to define financing terms now in an agreement with a party that is willing to meet our funding requirements and we believe the Agreement with HH Capital accomplishes this goal. We are particularly encouraged that HH Capital is willing to invest in the project at this stage and assume the development risk. Typically, the developer bears all of the costs of development and the associated risks until all requisite permits and material contracts are in place. We feel the fact that we have been able to diverge from this typical format speaks highly of the project and the development team.

On a separate but related topic, we have received a number of inquiries from shareholders as to whether any constraints on the Berlin Project to export its power to the grid once construction has been completed. There have been a number of stories in the local media that describe a “transmission problem” in the Northern part of New Hampshire, but we feel they do not have a complete understanding of the situation.

There is a strong desire by numerous parties in New Hampshire to increase the transmission capacity in the Northern part of the state in order to encourage development of renewable energy projects and we support these efforts, though we believe any such upgrades should be based on a realistic assessment of how much generation can actually be put into commercial operation in the area.

In the near term, we believe that there currently exists sufficient resources to handle the output of our project, as well as the proposed 100 megawatt wind project. This is based on significant research on our part on this issue and discussions with parties who have significant knowledge in this area.

The suggestions in the press that transmission upgrades in Northern New Hampshire will cost $200 million and take many years is predicated on the assumption that over 400 megawatts of generation will be developed. We believe this is a flawed assumption, as all of the proposed projects are unlikely to come to fruition. When the focus is put on viable projects, we feel the issue of transmission becomes significantly more manageable.

Continuing our progress toward obtaining an Interconnection Agreement, we have recently entered into an agreement with ISO New England to move forward with a transmission feasibility study for the project, which is the next step in the process. This is a $50,000 commitment on the part of the Company and we continue to fund these development costs pending the completion of the proposed financing.

With respect to future prospects for the company, we have spent considerable time developing a pipeline of opportunities to fuel the growth of the Company. Like many things in life, some things that seem promising initially do not work out, and others that seem less attractive become more viable as we peel back the layers and learn more. As a matter of course, we often spend considerable time negotiating deals, as we always want to obtain the most favorable terms and have no problem walking away if we feel the terms are not right. We feel that certain of the promising opportunities that we have been working on for some time are close to resulting in one or more new projects and we are optimistic that we will have further updates on this very soon.

With respect to our New York project, we are awaiting a decision from the Court on the motion argued on March 4th and we expect that consistent with the guidelines of the NY courts, a decision can be expected within 60 days.

With respect to the trading of the Company's shares, we continue to believe that becoming a fully reporting company and listing our shares for trading on the OTCBB is the next logical step for us and we continue to work in furtherance of this objective, which also includes evaluating possible opportunities to acquire a listed company.

In closing, I feel we have made significant progress during the first quarter of 2008. I believe things are really coming together for Laidlaw Energy and we will see the Company's growth accelerate over the coming months.
Very truly yours,

Michael B. Bartoszek
President & CEO

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