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Csa Pavco Oipc
Csa Pavco Oipc
Bob Mackin
18-1073 Lynn Valley Road
North Vancouver, BC
V7J1Z6
Re: Inquiry under Part 5 of the Freedom of Information and Protection of Privacy Act
("FIPPA") between An Applicant and BC Pavilion Corporation ("Public Body") -
OIPC File No.: F13-53152 - Public Body File NO.: BCPC - 306
LOVETT WESTMACOTT
Deborah K. Lovett, QC
End.
J _
2. On January 15, 2013, the Applicant asked for access to the following PavCo
record:
The lease contract, agreement or letter of intent (whichever is the most current)
between BC Pavilion Corporation and the Canadian Soccer Association,
CONCACAF and FIFA for use of BC Place Stadium for games, practices and
other events between Jan. 1, 2011 and present day.
3. PavCo located one responsive record - a License Agreement dated July 12,
2011, between PavCo and the Canadian Soccer Association (the License Agreement).
The License Agreement was for the use of the Full Amphitheatre of the BC Place
Stadium for the purposes of the CONCACAF Women's Olympic Qualifying 2012 event
for the period starting January 15, 2012 and ending January 29, 2012.
4. By letter dated April 16, 2013, PavCo released all but a very small amount of
information in the License Agreement to the Applicant, which information it withheld
under section 17 of FIPPA. A copy of this letter is attached as Appendix 1 to these
submissions. The Applicant asked for a review of PavCo's decision to withhold this
information by the IPC on May 23, 2013.
PAGE 2 OF 14
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
Schedule B - the individual basic rent charges for each of the days starting
January 15, 2012 and ending January 29, 2012. The Basic Rent Subtotal was
released.
IV OVERVIEW OF PAVCO
6. PavCo was formed on April 1, 2008 under the British Columbia Business
Corporations Act, RSBC 1996, c. 35 following the amalgamation of the former BC
Pavilion Corporation and Vancouver Convention Centre Expansion Project Ltd. PavCo
is a Provincial Crown Corporation and an agent of the government under the British
Columbia Enterprise Corporation Act. It reports to the Legislative Assembly through the
Minister of Transportation and Infrastructure.
PAGE 3 OF 14
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
10. BC Place is now the largest sports, exhibition and entertainment venue of its kind
in British Columbia and ranks in the top 100 stadiums in North America for capacity,
with seating for 54,500 or more based on event configuration: Cretney Affidavit, Annual
Report.
11. The Letter of Expectations between the government and PavCo for 2013/2014
provides government's annual direction to this Crown Corporation and sets out the
parties' respective accountabilities, roles and responsibilities. It confirms PavCo's
mandate and priority actions, articulates the key performance expectations as
documented in the government's Expectations Manual for British Columbia Crown
Agencies and forms the basis for the development of the Corporation's Service Plan
and Annual Service Plan Report. Under this Agreement, and among other things,
PavCo is directed by the government to report back on marketing plans for the
revitalized BC Place Stadium that support increasing attendance and economic benefits
and to continue to explore options and maximize private sector revenue for its two
public facilities: Government's Letter of Expectations between the Minister of Energy,
Mines and Natural Gas (as representative of the Government of British Columbia)1 and
1 The Minister responsible at the time. Responsibility now lies with the Minister of Transportation and
Infrastructure.
PAGE 4 OF 14
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
the Chair of the BC Pavilion Corporation (as representative of the Corporation) for 2013-
2014 (the Letter of Expectations), which is attached as Schedule 3 to these
Submissions.
12. Key strategies for meeting PavCo's main goal - maximizing revenues and
economic growth and use of funding in a manner that provides optimum return to the
government - include seeking events from out-of-province which will generate the
maximum amount of economic benefits to the community and seeking and creating
high-profile events that will promote growth and support for British Columbia's business
base: Annual Report, Schedule 2.
13. In 2012/13, following completion of its renovations, the stadium welcomed more
than 1.2 million guests to events including: Vancouver Whitecaps FC, BC Lions football,
Paul McCartney's "On the Run" concert, Roger Waters' "The Wall" performance,
Vancouver Home & Design Show, BC Home & Garden Show, Vancouver International
Boat Show, Vancouver International Auto Show, EAT! Vancouver Food and Cooking
Festival, the Vancouver Sun Run, Monster Jam Monster Trucks, PlayDome Carnival
and BC High School Football: Cretney Affidavit; Annual Report, Schedule 2.
14. The Roger Waters' "The Wall" performance (promoted by Live Nation Worldwide,
Inc. (Live Nation)) was BC Place's first major concert since renovations to the facility,
including upgraded acoustical treatments and sound system. It was attended by more
than 37,000 guests and generated an estimated $9.8 million in economic activity in the
Province (direct and indirect economic benefits). This was followed by the Paul
McCartney concert (also promoted by Live Nation), which generated an estimated $13
million in economic activity for BC. These concerts have had the effect of renewing
interest in BC Place as a desirable concert tour venue for the live entertainment
industry: Cretney Affidavit; Annual Report, Schedule 2.
PAGE 5 OF 14
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
16. BC Place is also in direct competition with two privately owned venues in nearby
Seattle, Washington; namely, Century Link Field and Safeco Field. Century Link Field is
a multi-purpose stadium which serves as the home field for the Seattle Seahawks
football team and the Seattle Sounders soccer team. It has a seating capacity of
67,000. Safeco Field is a retractable roof baseball stadium which has a seating capacity
of 54,097 and which serves as the home field for the Seattle Mariners: Cretney Affidavit;
Wikipedia extracts, Appendix 5.
17. As a publicly owned facility with no private financial investment, BC place works
within a unique operating environment. Given the additional pressure of competing with
18. If PavCo's competitors know the details of PavCo's license agreement terms,
those competitors would be able to undercut any bid that PavCo may make. All things
being equal, PavCo couldl lose clients to the underbidding competitor and thus
PAGE 6 OF 14
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
experience revenue loss. Similarly, if PavCo's current and prospective clients know
those details, PavCo's future ability to negotiate the most favorable license agreement
terms will be seriously compromised: Cretney Affidavit.
19. PavCo enters into license agreements with a broad range of clients for the use of
BC Place for sports events, entertainment events, consumer shows, special events,
corporate events and the like. These license agreements include elements that
collectively create a value proposition and revenue flow to BC Place and PavCo. In
respect of each license agreement, one or two authorized executives of PavCo
negotiate with the particular client. The key elements or terms of contract negotiation
include the facility fees, requirements and revenues related to: (a) rent; (b) food and
beverage sales; (c) advertising; (d) merchandise sales; (e) ticket sales; (f)
complimentary ticket allocation and use of suites; and (g) insurance: Cretney Affidavit.
20. Although PavCo's license agreements vary from client to client and event to
event, there are a limited number of variables that collectively constitute the negotiated
deal. In approaching those limited number of variables, the contracting parties seek
opposite results. Each client seeks to minimize costs while PavCo seeks to maximize its
revenue: Cretney Affidavit.
21. PavCo regards all of its license agreements for the use of BC Place as
confidential documents. Because these agreements are the primary manner by which
PavCo is able to maximize its BC Place revenue, the key elements or terms of those
contracts are among the most sensitive financial information in its commercial
operations. PavCo's copies of its license agreements are kept in a secure location
within PavCo's offices and are available only to a small number of authorized PavCo
PAGE 7 OF 14
^H
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
22. While all of the agreements are called license agreements, some are much more
detailed than others. For example, the contracts between BC Place and its anchor
tenants (BC Lions Football and Vancouver Whitecaps) are more detailed and provide
for different kinds of concessions than one-off events. Typically the license agreements
for one-off events are much more condensed, as is the case with the License
Agreement at issue in this Inquiry: Cretney Affidavit.
V. I S S U E
23. The only issue is whether PavCo is authorized to withhold the disputed
information under section 17(1) and/or 17(1)(f) of FIPPA. PavCo accepts that it has the
burden of proving that the information is properly withheld.
24. Section 17(1) of FIPPA provides in part that the head of a public body may refuse
to disclose information if its disclosure could reasonably be expected to harm the
financial or economic interests of a public body or the government of British Columbia.
While the categories of the types harm protected by section 17(1) are not closed, an
example of the type of information that might give rise to such a reasonable expectation
of harm is "(f) information the disclosure of which could reasonably be expected to harm
the negotiating position of a public body or the government of British Columbia". This
type of approach to the interpretation of section 17(1) was endorsed by the IPC in Order
No. F08-22, 2008 BCIPCD 40: -
PAGE 8 OF 14
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
26. The IPC has described the quality and cogency of the evidence required to be
adduced by public bodies to meet the standard of proof for FIPPA harms-based
exceptions in a number of past orders. For example, in Order No. 00-10, 2000 BCIPCD,
the IPC found that:
27. It has elsewhere been described as requiring "a confident, objective basis for
concluding that disclosure" would result in the expectation of harm; evidence that is
"detailed and convincing enough" to demonstrate the harm is reasonably expected. The
PAGE 9 OF 14
INITIAL SUBMISSIONS OF THE PUBLIC BODY OIPC File No. F13-53152
harm must not be imaginary or contrived: see Order 02-50, 2002 BCIPCD 51 at
paragraph 137;
28. The IPC has observed in many orders that the civil law balance of probabilities
standard has no place in measuring the reasonableness of an expected harm. The civil
balance of probabilities test is applied for determining what happened in the past, with
anything that is more probable than not being treated as certain. The types of harms
addressed by section 17(1) however involve hypothetical or future events; a risk of harm
which can only be estimated by the relative likelihood that they would happen. As an
exception based on risk of future harm, the chance of risk is to be assessed "according
to real and substantial possibility": Order No. F08-22, 2008 BCIPCD 40 at paragraph 44;
Order 00-41, 2000 BCIPCD 44 at paragraph 18.
29. To this, the former IPC has added the idea that in measuring reasonable
expectation of harm one must contextually consider the interests at stake and the
"nature and gravity of the harm" in each of the harms-based exceptions. In this respect,
the IPC has contrasted section 19 (risk of harm to personal safety) with section 17 and
found that:
30. If what is meant by this is that section 19 should be interpreted in such as way
that the evidentiary threshold for establishing risk of harm to public safety should be less
onerous than that established for commercial and financial interests (e.g. it is not
necessary to adduce "detailed and convincing" evidence), then this might be a
PAGE 10 OF 14
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key elements or terms in its license agreements with PavCo are made public: Cretney
Affidavit.
37. Live Nation is the world's leading live entertainment and e-commerce company
and its operating arms include Ticketmaster.com (the global event ticketing leader and
one of the world's top five e-commerce sites), Live Nation Concerts (which produces
22,000 shows annually for more than 2,300 artists globally), and Artist Nation (the
world's top artist management company, representing over 200 artists). As the evidence
reveals, Live Nation is currently promoting a number of entertainment events in other
competing venues in Vancouver, such as Rogers Arena, so it cannot be said that
PavCo's reasonable expectation of financial or economic harm through the disclosure of
this type of information is merely speculative. Nor can it be said that there is not a
detailed, confident, objectively convincing basis for PavCo's apprehensions of harm:
Cretney Affidavit.
38. For all of the reasons given, PavCo seeks an Order under section 58(2)(b) of
FIPPA confirming PavCo's decision to refuse access to the disputed information in the
License Agreement.
w_
Lovett Westmacott
(Deborah K. Lovett, Q.C.)
Counsel for PavCo
PAGE 13 OF 14
Wd01?T3DVd
PavCo
April 26,2013 File Number: BCPC - 306
Your File: 130115b
VIA EMAIL: 2010goldrush@gmail.com
BC Pavilion Corporation received your request dated January 15,2013 the Freedom of Information and Protection of
Privacy Act for.
"The lease contract, agreement or letter of intent (whichever is the most current) between B.C. Pavilion Corporation
and the Canadian Soccer Association, CONCACAF and FIFA for use ofBC Place Stadium for games, practices and
other events between Jan. 1, 2011 and present day."
Enclosed is the responsive document. Portions of the documents have been severed in accordance with the Act as
follows:
The Legislation provides that you may ask the Information and Privacy Commissioner to review this response. The Act
allows you 30 days from the date you receive this notice to request a review by writing to:
If you request a review, please provide the Commissioner's office with the following:
1) The request number assigned to your request (found in the top right comer of this letter).
2) A copy of this letter.
3) A copy of your original request for information that you sent to B.C. Pavilion Corporation.
Sincerely,
BC PAVILION CORPORATION
^lexandraWacfner
Assistant Corporate Secretary
Manager, Freedom of Information
Suite 200-999 Canada Place, Vancouver, BC Canada V6C3C1 Phone: 604.482.2200 Fax: 604.681.9017 Website: www.bcpavco.com
PavCo - BC Pavilion Corporation
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Schedule B
Basic Rent
Date Start End Spaco use Amount
Sun, January 15. 2012 0001 2400 Full Amphitheatre Full Amphitheatre 017
Mon, January 16, 2012 0001 2400 Full Amphitheatre Full Amphitheatre
Tue, January 17,2012 0001 2400 Full Amphitheatre Full Amphitheatre
Wed. January 18,2012 0001 2400 Full Amphitheatre Full Amphitheatre
Thu, January 19,2012 0001 2400 Full Amphitheatre Event
Fri, January 20,2012 0001 2400 Full Amphitheatre Event
Sat, January 21,2012 0001 2400 Full Amphitheatre Event
Sun, January 22.2012 0001 2400 Fult Amphitheatre Full Amphitheatre
Mon, January 23, 2012 0001 2400 Full Amphitheatre Full Amphitheatre
0001 2400 Full Amphitheatre Event
Tue, January 24,2012
Wed, January 25, 2012 0001 2400 Full Amphitheatre Full Amphitheatre
0001 2400 Full Amphitheatre Event
Thu, January 26,2012
Fri. January 27,2012 0001 2400 Full Amphitheatre Full Amphitheatre
0001 2400 Full Amphitheatre Event
Sat January 28.2012
0001 2400 Full Amphitheatre Full Amphitheatre
Sun. January 29, 2012
Basic Rent Subtotal: $235,000.00
T O TA L D E P O S I T S : $ 2 6 3 , 2 0 0 . 0 0
Staff and services will be determined by the Event Manager. AH charges for staff and services are due 7 days prior to
the event.
The Licensee may use volunteers as they relate specifically to your event providing the volunteers are not performing
duties that would otherwise be assigned to BC Place Staff.
Due to the fluctuating Stadium event schedule, additional turf and building conversion costs may apply. Please consult
with your Event Manager to confirm the final costs applicable to your event.
The Licensee is responsible for tariffs payable to the Society of Composers, Authors and Music Publishers of Canada
(SOCAN). The Corporation is to withhold and remit on the Licensee's behalf pursuant to the SOCAN tariff schedule.
initials
FOI BCPC-306
Page 4 of 4
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SafQCO Field - Wikipedia, the free encyclopedia /^v^^yvU' / 6 page j of 15
14/11/2013
uu. //a. i\r'\\s\r\f*(\\n nri? /wiki/Safeco Field
Safeco Field - Wikipedia, the free encyclopedia Page 2 of V5
Contents
1 Location and transportation
2 History
3 Features
3.1 Layout
3.2 Seating capacity
3.3 Food service
3.4 Retractable roof
3.4.1 Ground rules concerning the roof
3.5 Scoreboards
3.6 Art in the park
3.7 Baseball Museum of the Pacific Northwest
3.8 Mariners Hall of Fame
3.9 Dave Niehaus statue
http://en.wikipedia.org/wiki/Safeco Field 1 / 1 / 11 / O / M - I
~ CenturyLlnk Field - Wikipedia, the free encyclopedia
Pagel of 31
http://en.wikipedia.org/wiki/CenturyLink_Field 06/02/2014
CenturyLink Field - Wikipedia, the free encyclopedia
encyclopedia Page 2 of31
Contents
1 Funding
2 Construction and layout
3 Surface
4 American football
4.1 Seahawks
4.1.1 Home field advantage
4.2 College
4.3 High school
5 Soccer
5.1 Sounders (USL)
5.2 Sounders FC
6 Other events
7 Facility contracts
8 Transportation
9 References
i 10 External links
Funding
Tbe Seahaw.s played their home ga.es at the _%^SX?
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remodeling project of the facility. The J^^^&^ta Paul Allen
Ken Behring threatened to se 1 or move J^g and said that the team could
pledged to acquire **X^^ state legislature to hold a
not be profitable until they left the Kmgtoe- Men alsQ agreed
special statewide referendum*fi^*Zg.'*pay the $4 milhon cost, the
t0 cover any cost overruns 101 ^^^SS^L 1997, but in May, a Seattle
legislature agreed. The vote was *& not have authority to call for such
resident filed a lawsuit that )^^JSS who could gain from the result. The
a vote, since it would be paid for by a **>party tQ yoters as dmg
06/02/2014
http://en.wiikipedia.org/wiki/CenturyLink_Field
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Affidavit No. 1 of Ken Cretney, dated February 2014
OIPC File No. F13-53152
Public Body File No. BCPC - 306
Between:
BOB MACKIN
Applicant
And:
Public Body
2. I was appointed Interim President and CEO of PavCo effective February 1, 2014.
Prior to that I was General Manager of the Vancouver Convention Centre between
October 2008 and May 2013 and then became PavCo's Chief Operating Officer (COO)
in May 2013.
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Page 3 of 9
BC PLACE REVITALIZATION
9. BC Place is now the largest sports, exhibition and entertainment venue of its kind
in British Columbia and ranks in the top 100 stadiums in North America for capacity,
with seating for 54,500 or more based on event configuration.
BC PLACE EVENTS
10. In 2012/13, following completion of its renovations, the stadium welcomed more
than 1.2 million guests to events including: Vancouver Whitecaps FC, BC Lions football,
Paul McCartney's "On the Run" concert, Roger Waters' "The Wall" performance,
Vancouver Home & Design Show, BC Home & Garden Show, Vancouver International
Boat Show, Vancouver International Auto Show, EAT! Vancouver Food and Cooking
Festival, the Vancouver Sun Run, Monster Jam Monster Trucks, PlayDome Carnival
and BC High School Football.
11. The Roger Waters' "The Wall" performance (promoted by Live Nation Worldwide,
Inc. (Live Nation)) was BC Place's first major concert since renovations to the facility,
including upgraded acoustical treatments and sound system. It was attended by more
than 37,000 guests and generated an estimated $9.8 million in economic activity in the
Page 4 of 9
Province (direct and indirect economic benefits). This was followed by the Paul
McCartney concert (also promoted by Live Nation), which generated an estimated $13
million in economic activity for BC. These concerts have had the effect of renewing
interest in BC Place as a desirable concert tour venue for the live entertainment
industry. Approximately 30% of the stadium's revenue is currently generated through
live entertainment. The live entertainment industry also generates a substantial profit
margin for the stadium and is a key revenue generator.
PAVCO'S COMPETITORS
13. BC Place is also in direct competition with two privately owned venues in nearby
Seattle, Washington; namely, Century Link Field and Safeco Field. Century Link Field is
a multi-purpose stadium which serves as the home field for the Seattle Seahawks
football team and the Seattle Sounders soccer team. It has a seating capacity of
67,000. Safeco Field is a retractable roof baseball stadium which has a seating capacity
of 54,097 and which serves as the home field for the Seattle Mariners.
14. As a publicly owned facility with no private financial investment, BC Place works
within a unique operating environment. Given the additional pressure of competing with
Page 5 of 9
15. PavCo enters into license agreements with a broad range of clients for the use of
BC Place for sports events, entertainment events, consumer shows, special events,
corporate events and the like. These license agreements include elements that
collectively create a value proposition and revenue flow to BC Place and PavCo. In
respect of each license agreement, one or two authorized executives of PavCo
negotiate with the particular client. The key elements or terms of contract negotiation
include the facility fees, requirements and revenues related to: (a) rent; (b) food and
beverage sales; (c) advertising; (d) merchandise sales; (e) ticket sales; (f)
complimentary ticket allocation and use of suites; and (g) insurance.
16. Although PavCo's license agreements vary from client to client and event to
event, there are a limited number of variables that collectively constitute the negotiated
deal. In approaching those limited number of variables, the contracting parties seek
opposite results. Each client seeks to minimize costs while PavCo seeks to maximize its
revenue.
17. PavCo regards all of its license agreements for the use of BC Place as
confidential documents. Because these agreements are the primary manner by which
PavCo is able to maximize its BC Place revenue, the key elements or terms of those
contracts are among the most sensitive financial information in its commercial
operations. PavCo's copies of its license agreements are kept in a secure location
within PavCo's offices and are available only to a small number of authorized PavCo
employees.
Page 6 of 9
18. While all of the agreements are called license agreements, some are much more
detailed than others. For example, the contracts between BC Place and its anchor
tenants (BC Lions Football and Vancouver Whitecaps) are more detailed and provide
for different kinds of concessions than one-off events. Typically the license agreements
for one-off events are much more condensed, as is the case with the License
Agreement at issue in this Inquiry.
19. PavCo is in ongoing negotiation with third parties for long-term tenancy,
sponsorship and one-off events. Disclosure of the key elements or terms in individual
licensing agreements can reasonably be expected to harm PavCo's negotiating position
in respect of both current negotiations as well as future negotiations. That is because
the third parties seeking to rent the same space will want the most beneficial terms that
PavCo has thus far negotiated with other third parties.
20. PavCo's ability to freely negotiate the best or different license agreement terms is
necessarily compromised when its negotiations with a variety of third parties in respect
of varying events for the same venue are virtually transparent. Moreover, its ability to
freely negotiate the best contract terms and maximize its revenues is compromised in a
significant, not trivial, way.
21. Similarly, making this type of information public will undermine PavCo's ability to
compete in the marketplace with other privately owned venues which are not subject to
FIPPA. From an industry perspective, PavCo is uniquely disadvantaged in this respect.
If PavCo's competitors know the details of PavCo's license agreement terms, those
competitors would be able to undercut any bid that PavCo may make. All things being
equal, PavCo could lose clients to the underbidding competitor and thus experience
revenue loss.
22. These contemplated harms would not be sustained solely by PavCo. BC Place's
financial operating shortfalls are paid with public funds. The greater the return that
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Schedule B
Amount
Basic Rent Start End Space
Date Full Amphilheatre
0001 2400 Full Amphitheatre
Full Amphitheatre
Sun, January 15, 2012 Full Amphitheatre
0001 2400 Full Amphitheatre
Mon, January 16. 2012 Full Amphitheatre
0001 2400 Full Amphitheatre
Tue. January 17,2012 Full Amphitheatre
0001 2400 Event
Wed. January 18.2012 Full Amphitheatre
0001 2400 Event
Thu. January 19. 2012 Full Amphitheatre
0001 2400 Event
Fri. January 20. 2012 2400 Full Amphitheatre s17
0001 Full Amphitheatre
Sat. January 21, 2012 Full Ampnitheatre
0001 2400 Full Amphitheatre
Sun. January 22, 2012 Full Amphitheatre
0001 2400
Mon. January 23, 2012 Event
2400 Full Amphitheatre
0001 Full Amphitheatre
Tue, January 24, 2012 Full Amphitheatre
0001 2400
Wed, January 25. 2012 Event
0001 2400 Full Amphitheatre
Thu. January 26, 2012 Full Amphilheatre
0001 2400 Full Amphitheatre
Event
Fri. January 27. 2012 Full Amphitheatre
0001 2400
Sat. January 28. 2012 Full Amphitheatre
2400 Full Amphitheatre
0001 $235,000.00
Sun. January 29. 2012 Basic Rent Subtotal:
$28,200.00
Harmonized Sales Tax <#R100432764)0 2.0%)
$263,200.00
TOTAL CHARGES (with HST):
Amount
Payment Schedule Payment $ 52,640.00
Due Date
Due on Signing $105,280.00
July 30. 2011 $105,280.00
Second Payment
November 15, 2011
Final Payment
December 15, 2011
T O TA L D E P O S I T S : $ 2 6 3 , 2 0 0 . 0 0
initials:
$%