GDG ENVIRONMENT GROUP - The Company Today Announced its Financial and Operating Results for 2009 and Outlines Strategic

TROIS-RIVIERES, QUEBEC, Apr 22 (MARKET WIRE) --
April 22, 2010 - GDG Environment Group (TSX VENTURE: GDG) (the
"Company" or "GDG") specializing in environmental
protection response strategies, today announced its financial and
operating results for the year ended December 31, 2009. Despite difficult
economic conditions, the Company nevertheless maintained its Research and
Development (R&D) investments, which contributed to record a loss of
$525,000, compared to earnings of $701,000 (adjusted net earnings of
126,000$ if we exclude a non-recurring life insurance product of
$575,000) in fiscal year ending 2008. The Company generated revenue in
the amount of $7,078,000 being a decrease of 8.8 % compared to the same
period in 2008. Earnings per share, basic and diluted, have ended with a
negative outcome of $0.01 compared to a positive outcome of $0.02 in 2008.

In the context of the economic slump and of uncertainties caused by the
economic crisis among its main clients, GDG has reinforced its growth
plan. GDG has re-assigned resources towards its new activity sectors,
namely R&D programs and market development, with the objective of
creating new business lines and of exporting its know-how. In the course
of this financial year, GDG Environment Group has also reinforced its
position in the mainstream of its business sectors, with a foresight of
the economic upturn.

GDG Environment Group has set forth two primary objectives to sustain its
growth. First, it has set its sights on capturing the dominant market
position in Canada in the integrated biorational control of biting flies
and disease vectors. Its second primary objective is to diversify its
operations in new markets in an effort to offset the seasonality of its
cash inflows by setting up an R&D program in the complementary sector of
the real-time detection and biological control of blue-green algae in
aquatic environments.

2009 Highlights

-- Registration by Pest Management Regulatory Agency (PMRA) of the
Company's product "RagWeed Off", and launching of large scale
operations
for the ecological control of ragweed.

-- Hiring, as R&D Director, of a prominent researcher and expert in
nanotechnology and biosensor development.

-- Partnership with a firm specialized in the control of ragweed, allowing
the Company to be awarded the majority of contracts the first year of
its product homologation ("RagWeed Off").

The following table is an extract from the consolidated financial
statements:

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GDG ENVIRONMENT GROUP LTD. DATA EXTRACTED FROM CONSOLIDATED
FINANCIAL STATEMENTS - EARNINGS
--------------------------------------------------------------
--------------------------------------------------------------
Fiscal year Fiscal year
ended December ended December
(In thousands of dollars) 31 31
009 2008
==============================----------------================
Sales $7,078 $7,762
--------------------------------------------------------------
Cost of sales $4,694 $5,159
--------------------------------------------------------------
--------------------------------------------------------------
Gross margin $2,384 $2,603
--------------------------------------------------------------
--------------------------------------------------------------
33.7% 33.5%
--------------------------------------------------------------
Selling and administrative $1,914 $1,783
--------------------------------------------------------------
Research and development costs $225 $33
--------------------------------------------------------------
Tax credits on research and
development ($148) -
--------------------------------------------------------------
--------------------------------------------------------------
EBITDA (1) $392 $787
--------------------------------------------------------------
--------------------------------------------------------------
Financial expenses (Note 17) $712 $463
--------------------------------------------------------------
Depreciation of fixed assets $294 $274
--------------------------------------------------------------
--------------------------------------------------------------
Total operating expenses $2,998 $2,553
--------------------------------------------------------------
--------------------------------------------------------------
Earnings (Loss) before the
following items : $(614) $50
--------------------------------------------------------------
Other expense (revenue) (Note
18) $2 $(588)
--------------------------------------------------------------
Earnings (Loss) before income
taxes $(616) $638
--------------------------------------------------------------
Income taxes recovered $91 $63
--------------------------------------------------------------
--------------------------------------------------------------
Net earnings (Net loss) $(525) $701
--------------------------------------------------------------
--------------------------------------------------------------
Earnings (Loss) per share -
Basic and Diluted (Note 26) $(0.01) $0.02
--------------------------------------------------------------
--------------------------------------------------------------
(1) The Company uses only one financial measure that is not consistent
with Canadian GAAP, namely earnings before interest, income taxes,
depreciation and amortization (EBITDA). Such a measure is used because
management believes that it provides meaningful information about the
Company's performance and operating results. Such a non-GAAP measure has
no standardized meaning as prescribed by GAAP and is not necessarily
comparable to similarly titled measures presented by other companies.
Accordingly, it should not be considered independently of other figures.

Fiscal year ended December 31, 2009

The Company generated revenue in the amount of $7,077,639 for the fiscal
year ended December 31, 2009, compared to $7,762,302 for the same period
in 2008, being a decrease of 8.8 %.

The decrease in sales for the fiscal year ended December 31, 2009 is due
to the economic context which prevailed at the time, resulting in a
strong competition and a pressure on prices. Despite this context, the
Company maintained its strategic position in obtaining contracts.
Moreover, the Company launched large scale operations in the field of
ragweed control, following the development and registration of
"RagWeed Off".

The gross margin for the fiscal year ended December 31, 2009 is
established at $2,383,783 which represents 33.7% of sales compared to
$2,602,797 being at 33.5 % of sales for the same period in 2008. The
Company has maintained a comparable gross margin despite a decrease in
sales in 2009.

Total Research and Development expenses for the year ended December 31,
2009 amounted to $225,992 before tax credits, confirming that GDG
Environment Group's strategy is to develop new markets and export its
expertise. Expenses for the same period in 2008 amounted to $33,402.

For the fiscal year ending December 31, 2009, the net loss amounted to
$525,148 compared to a net earnings of $701,000 in December 31, 2008,
which included a non-recurring life insurance product of
$575,000.Excluding the product from the life insurance, a net earnings of
$126,000, for the 12-month period finishing on December 31, 2008 would be
recorded, compared to a net loss of $525,148 for the same period in 2009.

The Company's cash position was $1,004,582 as at December 31, 2009,
compared to $1,161,731 as at December 31, 2008.

The financial statements and the accompanying management's discussion and
analysis relating to the Company are available on SEDAR at www.sedar.com
and at www.groupegdg.com.

Outlook

Increasingly aware of environmental issues, citizens are showing an
ongoing concern for their quality of life. In a period where a sharp
upswing in emerging epidemic illnesses is becoming a major source of
anxiety on a global scale, public health has become a universal priority.
Several nuisance factors associated with the outbreak of such illnesses
can be traced to changes in wetlands, where GDG Environment Group can use
its technology to intervene effectively. As such, the demand for the
Company's services is destined for short-, medium- and long- term growth
in both Quebec and Canada, where the Company holds a third of the
Canadian market, as well as internationally.

To satisfy increasing demand, the Company has the following development
plan: growth by acquisition, by exporting its know-how, as well as by the
development of new niches, such as the detection and treatment of
cyanobacteria (blue-green algae) in aquatic environments.

Notice of Annual General Meeting:

GDG Environment Group will hold its Annual General Meeting of
Shareholders on May 25th 2010 at 14:00 at their corporate headquarters,
430 St-Laurent Street, 2nd floor, Trois-Rivieres, Quebec.

About GDG Environment Group (www.groupegdg.com)

Since 1980, GDG Environment Group, a recognized Canadian leader in the
integrated control of biting flies, offers a broad range of services
targeting the improvement of quality of life and the protection of public
health, mainly through the biological control of biting flies, vector
control and the surveillance and prevention of West Nile Virus in Canada.

GDG Environment Group operates four divisions: GDG Environnement,
front-runner in the biological control of biting flies and vector
control, GDG Aviation which manages all aerial operations for the Group
and Diamond Sylvico, a Northern Quebec subsidiary, firmly established in
the Cree Communities and Groupe Bio Services which complement GDG
Environnement's services.

GDG Environment Group relies on substantial logistics for the
realizations of its mandates: a taxonomy and molecular biology
laboratory, a modern fleet of 8 airplanes and helicopters and more than
120 road vehicles.

The Group markets its expertise throughout the country and has a strong
team of scientists and managers plus a team of nearly 200 professionals
and technicians in the summer. The Group is established as the most
important player in Canada, after more than 500 successful mandates in
the field of biological control of biting flies and in the management of
disease vectors.

Listed on the TSX Venture Exchange since April 2008, the shares of GDG
Environment Group are traded under the ticker "GDG" - (TSX
VENTURE: GDG).

Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

Contacts:
GDG ENVIRONMENT GROUP
Isabelle Martin
Vice-Presidente, Operations, Secretary and Chief of finance
819-373-3097
Isabelle.martin@gdg.ca

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