Capstock Terminates Proposed Qualifying Transaction and Will Hold a Special Meeting of Sharesholders

CAPSTOCK FINANCIAL INC.

6975 Balaclava Street Vancouver, B.C. V6N 1M4 Telephone: (604) 689-4733 Fax: (604) 251-1721

NEWS RELEASE

CAPSTOCK TERMINATES PROPOSED QUALIFYING TRANSACTION AND WILL HOLD A SPECIAL MEETING OF SHARESHOLDERS

Vancouver, B.C., May 11, 2010 – CAPSTOCK FINANCIAL INC. (TSX-V: CPK.P) (“Capstock” or the “Company”) announces that further to the Company’s news release of March 8, 2010, the Company will not be proceeding with the proposed acquisition by Capstock of all the issued and outstanding shares of Instream Energy Systems Corp. (the “Transaction”).

The Company is designated as a Capital Pool Company by the TSX Venture Exchange (the “TSXV”). The Company has until June 30, 2010 to either complete its Qualifying Transaction or file all of the documentation required in order to transfer to NEX. If the Company does not complete its Qualifying Transaction or transfer to NEX by June 30, 2010, the TSXV will proceed to delist the securities of the Company without further notice.

In order to avoid a delisting, the directors of the Company scheduled a special meeting of shareholders to be held on June 11, 2010 (the “Special Meeting”) and have fixed May 3, 2010 as the record date for the Special Meeting. At the Special Meeting, the Company will ask for shareholder approval to list its Common shares on NEX. NEX is a separate board of the TSXV that provides a trading forum for listed companies that have fallen below the TSXV’s ongoing listing standards. As a condition of the Company listing on NEX, the Company will also seek shareholder approval at the Special Meeting to approve the cancellation of 1,150,000 common shares in the capital of the Company which represents one-half of the seed shares held in escrow by non-arms length parties.

The Company will continue to search for a target business to acquire in order to satisfy listing requirements of the TSXV.

About Capstock Financial Inc.

The Company is designated as a Capital Pool Company by the TSXV. The Company has not commenced commercial operations and has no assets other than cash. Any proposed Qualifying Transaction must be approved by the TSXV and, in the case of a non-arm’s length Qualifying Transaction, must also receive majority approval of the minority shareholders. Until the completion of a Qualifying Transaction, the Company will not carry on any business other than the identification and evaluation of businesses or assets with a view to completing a proposed Qualifying Transaction. For further information regarding the Company and the Company’s management team, see the Prospectus filed with the Company’s disclosure documents on SEDAR at www.sedar.com.

ON BEHALF OF THE BOARD

“R.A. Bruce McDonald”

R.A. Bruce McDonald President, Chief Executive Officer and a Director

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For further information, please contact:

Capstock Financial Inc.

R.A. Bruce McDonald, President and Chief Executive Officer Tel: (604) 689-4733

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.