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Flagship announces termination of proposed business combination and stock returning to trade

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 TRADING SYMBOL: TSX-V: FII VANCOUVER, Aug. 12 /CNW/ - Flagship Industries Inc. (TSXV: FII) ("Flagship" or the "Company") announces that it has terminated its letter agreement dated April 7, 2009 with respect to the proposed business combination with Charonga Financial Corp. ("Charonga"), originally announced April 8, 2009. The transaction has been cancelled through the mutual agreement by the parties, and the stock which was previously halted will come back to trade at market open on Friday August 14th, 2009. The Company will continue to pursue opportunities in the natural resource sector. Further information concerning Flagship can be found on Flagship's SEDAR profile at [ www.sedar.com ]. 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. 
For further information: Gordon Keep, President and Director, Suite 3123, 595 Burrard Street, Vancouver, BC, V7X 1J1, Tel: (604) 609-6110