CONSOLIDATED BALANCE SHEET (Unaudited)
(In thousands of Canadian dollars)
As at As at
June 30, December 31,
2004 2003
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Current assets
Cash and cash equivalents $297,593 $1,408
Temporary investments (Note 3) 83,473 383,143
Investment in Canbras (Note 5) 15,000 15,000
Interest receivable on cash equivalents
and temporary investments 484 5,809
Prepaid expenses and other current assets 1,473 2,713
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$398,023 $408,073
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Current liabilities
Accounts payable and accrued liabilities $21,013 $22,422
Long-term debt due within one year 160,000 160,000
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$181,013 182,422
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Contingencies (Note 8)
Shareholders' equity
Stated capital (Note 6) 10,000 10,000
Contributed surplus (Note 6) 1,941,560 1,941,560
Deficit (1,734,550) (1,725,909)
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217,010 225,651
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$398,023 $408,073
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CONSOLIDATED STATEMENTS OF LOSSES (Unaudited)
(In thousands of Canadian dollars, except per share amounts)
Three months ended Six months ended
June 30, June 30,
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2004 2003 2004 2003
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Interest expense $(4,622) $(4,622) $(9,243) (9,243)
General and
administrative
expenses (2,123) (3,179) (3,775) (5,627)
Interest income 1,981 3,121 4,436 4,609
Loss on investments - (1,442) - (1,442)
Provision for Vesper
guarantees - (27,336) - (27,336)
Foreign exchange loss
and other (44) (1,951) (59) (11,743)
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Net loss $(4,808) $(35,409) $(8,641) $(50,782)
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Net loss applicable
to common shares $(4,808) $(35,409) $(8,641) $(50,782)
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Net loss per common
share - basic and
diluted (Note 6) $(0.12) $(0.89) $(0.22) $(1.27)
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Consolidated Statements of Deficit (Unaudited)
(In thousands of Canadian dollars)
Three months ended Six months ended
June 30, June 30,
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2004 2003 2004 2003
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Deficit, beginning
of period $(1,729,742) $(1,703,005) $(1,725,909) $(1,687,632)
Net loss (4,808) (35,409) (8,641) (50,782)
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Deficit, end of
Period $(1,734,550) $(1,738,414) $(1,734,550) $(1,738,414)
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Consolidated Statements of Cash Flows (Unaudited)
(In thousands of Canadian dollars)
Three months ended Six months ended
June 30, June 30,
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2004 2003 2004 2003
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Operations
Net loss $(4,808) $(35,409) $(8,641) $(50,782)
Items not affecting
cash
Provision for Vesper
loan guarantees - 27,336 - 27,336
Loss on investments - 1,442 - 1,442
Depreciation and
amortization 5 19 12 44
Loss on foreign
exchange 2 1,921 21 11,726
Amortization of
deferred financing
costs 222 222 443 444
Amortization of
premium on temporary
investments - 289 35 627
Changes in working
capital items 5,264 4,147 4,621 (912)
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Cash provided by
(used for) operations 685 (33) (3,509) (10,075)
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Investing activities
Notes receivable,
including exercise of
foreign currency option
(Note 4) - 1,530 - 265,540
Capital expenditures 5 (2) 5 22
Temporary investments (39,231) (161,589) 299,635 (67,401)
Proceeds from Axtel
Disposition - 3,821 - 3,821
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Cash (used for) provided
by investing
activities (39,226) (156,240) 299,640 201,982
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Foreign exchange gain
(loss) on cash held
in foreign
currencies 15 (2,007) 54 (3,759)
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Net (decrease) increase
in cash and cash
equivalents (38,526) (158,280) 296,185 188,148
Cash and cash
equivalents,
beginning of
period 336,119 349,045 1,408 2,617
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Cash and cash
equivalents, end
of period $297,593 $190,765 $297,593 $190,765
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(All tabular amounts are in thousands of Canadian dollars, unless otherwise noted and except per share amounts)