XnE Releases Letter to Shareholders

* Reuters is not responsible for the content in this press release.

Mon Nov 9, 2009 8:01am EST

  SAN JUAN CAPISTRANO, CA, Nov 09 (MARKET WIRE) -- 
XnE, Inc. (PINKSHEETS: XNEZ)

    Dear Shareholder and Interested Party,

    I hope this communication finds you well. As announced recently, XnE,
Inc. has entered into a Stock Purchase Agreement with The Triple Play
Group, LLC. The Triple Play Group, LLC owns and operates the St. George
Roadrunners, which is a professional independent minor league baseball
team located in St. George, Utah. The Roadrunners are one of nine teams
currently playing in the Golden Baseball League. The 2009 season is the
third year of operations for the Roadrunners who play at Bruce Hurst
Field located on the campus of Dixie State College.

    Furthermore, XnE, Inc. and The Golden Baseball League have agreed to
terms for the acquisition of Operating Rights, which would allow XnE to
form 4 new teams throughout the Hawaiian Islands. Our 1st team will be
located on the Island of Maui and we will throw out the first pitch in
the upcoming season of 2010. XnE has signed a lease with the County of
Maui to play at War Memorial Complex and will announce our new name and
management team shortly. We are also in talks with the other Islands
regarding securing a Stadium for 3 more teams.

    Recently, our management team has received communication from several
shareholders inquiring about our 2008 10k and the 2009 10Q's. The
management team would like to convey our apologies for the late filings
and assure our shareholders that we are working diligently with the SEC
and in the process of signing an agreement with a PCAOB auditor. Our
delay is due to past filings prior to the new management team and will
soon come to terms with the SEC, so that all filings are current and our
shareholders will be better informed.

    XnE, Inc. is focused on expanding its portfolio throughout the United
States, but will grow at a rate that allows us to be financially secure.
XnE, Inc. intends to develop within three years a nationally recognized
company with 4-5 teams in strategic market areas of the United States with
combined annual sales revenues exceeding approximately $25 million. Our
website address is: www.xneinc.com

    The following is a three year projection. These financial projections are
based on information currently available and are subject to important
assumptions, risks and uncertainties, which are difficult to predict.
Therefore, the actual results may be materially difference from those
presented. No assurances can be given that such revenues or net earnings
will be achieved. All statements in this press release, including the
financial projections, are based on the objectives of management using
various assumptions relating to the future condition of outside variables
such as the operating environment, economies and market in which we
operate. These statements are subject to a number of risks, uncertainties
and other factors including our growth expectations, ongoing funding
capital requirements and specifically our growth prospects within the
industry that we operate. Other risks include our limited operating
history, history of operating losses, the perceived acceptance by the
community of our teams, the need for financing and the risk of increased
competition. Moreover, in preparation of our financial outlook, management
has made certain specific assumptions as to the overall industry. These
assumptions, although considered reasonable by us at the date of this
press release, may prove to be inaccurate and consequently results could
differ materially from our expectations as set forth. We caution you to
not place undue reliance on the financial projections contained in this
release.




Three Year Profit Projection
XnE, Inc.

               2010        %         2011        %         2012        %
Annual
 Sales    $2,239,503.40 100.00% $4,611,492.00 100.00% $7,315,000.00 100.00%
Corporate
 Sales     $ 500,000.00  22.33% $  750,000.00  16.26% $  950,000.00  12.99%
St. George
 Sales     $ 801,257.40  35.78% $  885,000.00  19.19% $  925,000.00  12.65%

Maui Sales $ 938,246.00  41.90% $1,100,000.00  23.85% $1,250,000.00  17.09%

Team 3              N/A         $  938,246.00  20.35% $1,100,000.00  15.04%

Team 4              N/A         $  938,246.00  20.35% $1,100,000.00  15.04%
Team 5                                                $1,050,000.00  14.35%
Team 6                                                $  940,000.00  12.85%
Cost/Goods
 Sold(COGS)$ 257,858.48  11.51% $  527,800.08  11.45% $  847,683.20  11.59%
           ------------ ------  ------------- ------  -------------  -----
Gross
 Profit   $1,981,644.92  88.49% $4,083,691.92  88.55% $6,467,316.80  88.41%
           ------------ ------  ------------- ------  -------------  -----

Operating
 Expenses
Corporate
 Expenses $1,072,339.63  47.88% $1,859,845.89  40.33% $2,647,352.15  36.19%
Game
 Operations
 Expenses  $ 479,898.70  21.43% $  959,797.40  20.81% $1,433,242.60  19.59%
Team
 Expenses  $ 489,598.00  21.86% $  979,196.00  21.23% $1,521,194.00  20.80%
           ------------ ------   ------------ ------  -------------  -----
Total
 Expenses $2,041,836.33  91.17% $3,798,839.29  82.38% $5,601,788.75  76.58%
           ============ ======  ============= ======  =============  =====

Net Profit
 Before
 Tax       $ (60,191.41)        $  284,852.63         $  865,528.05
Income
 Taxes                -                     -                     -
Net Profit
 After
 Tax       $ (60,191.41)        $  284,852.63         $  865,528.05
Owner
 Draw/
 Dividends            -                     -                     -
           ------------         -------------         -------------
Adj. to
 Retained
 Earnings  $ (60,191.41)        $  284,852.63         $  865,528.05
           ============         =============         =============

    
Michael Cummings

    CEO/Chairman

    About XnE, Inc.

    XnE, Inc. is part of the "FASTEST GROWING FAMILY SPORT IN AMERICA and
that is MINOR LEAGUE BASEBALL." Over 50 million people attend minor
league baseball games each season. In 2004 through 2008, minor league
baseball drew more total fans to their games than the NBA, NFL and NHL
combined and minor league teams are now in or near 100% of the top 50 US
cities.

    Minor league baseball appeals to families who appreciate its ability to
entertain at a reasonable price. A family of four can go to the game
including tickets, snacks and parking for around $40. Minors' average
ticket price is $6, Major League Baseball is $18, NBA is over $41 and the
NFL is over $50. In a recent survey, 81% of respondents said they want to
spend more time with family and 51% said baseball is the way to do it.

    http://www.xneinc.com/investor_relations.htm?b=1970&1=1

    FORWARD-LOOKING STATEMENT: This press release contains forward-looking
statements, including expected industry patterns and other financial and
business results that involve known and unknown risks, uncertainties and
other factors that may cause our actual results, levels of activity,
performance or achievements to differ materially from results expressed or
implied by this press release. Such risk factors include, among others:
the sustainability of recent growth rates in the Sports and Entertainment
industry; the positioning of XnE in the market; ability to integrate
acquired companies and technology; ability to retain key employees;
ability to successfully combine product offerings and customer acceptance
of combined products; general market conditions, fluctuations in currency
exchange rates, changes to operating systems and product strategy by
vendors of operating systems; and whether XnE can successfully gain market
acceptance. Actual results may differ materially from those contained in
the forward-looking statements in this press release.

    

Contact:
Michael Cummings
949-429-3705
Email Contact

Copyright 2009, Market Wire, All rights reserved.

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