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2001 Annnual Report

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Crawford/Garden City Group Canada

47. Crawford/Garden City Group Canada Adjusters Canada Incorporated/Expertises Crawford/Garden City Group Canada Canada Incorporée and The Garden City Group Inc. ("Crawford/Garden City Group Canada") were appointed by the Courts as Administrator of the Plans for a 5 year term.

48. The Courts approved a budget for Crawford/Garden City Group Canada which provided for an annual payment to Crawford/Garden City Group Canada of $4,551,347.00 to be paid on a monthly basis at the rate of $405,828.46 inclusive of GST.

49. The total expenses of Crawford/Garden City Group Canada in the year ended March 31, 2002, were $4,267,151.00 for an under budget of 284,196.00. Attached as Schedule "R"* is a chart setting out the expenses of Crawford/Garden City Group Canada.

50. As is discussed in paragraph 21 above, Deloitte & Touche were asked to review the expenses of Crawford/Garden City Group Canada and the report on the cost review of the expenses of Crawford/Garden City Group Canada is attached as Schedule "F".

51. Additionally, Deloitte & Touche was asked to conduct an audit as at September 30, 2000 and as at March 31, 2001 of the disbursements to Class Members by Crawford/Garden City Group Canada and those audits are attached as Schedules "B" and "C".

52. Attached as Schedule "S" is a brief description from Crawford/Garden City Group Canada of its activities in the period prior to March 31, 2000.

53. Crawford/Garden City Group Canada proposes and the Joint Committee recommends a budget for the year commencing April 1, 2001 of $4,510,305.87 plus GST. Attached hereto as Schedule "T"* is a detailed budget proposal prepared by Crawford/Garden City Group Canada. The cost increase over the prior year is as a result of increased staffing which the Joint Committee requested and recommends in anticipation of faster and better service to Class Members by Crawford/Garden City Group Canada.

54. The Joint Committee recommends that Crawford/Garden City Group Canada be paid in monthly instalments of $399,541.82 plus GST. The first payment will be for an amount equal to $20,262.89 plus GST in order that the Trust Fund recover the overpayment from the past year and payment as per the budget set out in paragraph 53 above for the months of March and April, 2001 which months had been paid at the previously approved rate.

* this Schedule was modified as the original version contains commercially confidential information

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