Texasgulf Inc. and Subsidiaries, as Successor in Interest to Texasgulf Inc. and Subsidiaries - Page 13

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                                (Thousands of Can$)                                   
          Financial                                                                   
          OMT     Statement      OMT       Nonrecoverable  Processing                 
          Year    Profit   Net Income  Depreciation    Expenses     Allowance         
          1968    56,814     68,843      11,710         8,712         10,026          
          1969    47,423     61,049      12,384        10,793          8,368          
          1970    46,834     62,730      14,509        10,203          8,264          
          1971    32,033     49,479      16,057        11,705          6,032          
          1972    33,559     43,844       9,100        23,000         17,843          
          1973    99,548    109,706       9,591        31,809         22,985          
          1974   109,383    162,537      32,503        32,400         37,973          
          1975    34,737     90,809      30,081        21,042         42,622          
          1976    32,529     79,506      16,296        25,545         60,411          
          1977       100     39,515      54,147        27,245            185          
          1978     6,521     38,610      57,843        38,378         12,111          
          1979    51,742    130,249       6,755        39,827         96,092          
          1980    78,181    199,546      14,636        60,128        145,194          
          Total  629,404  1,136,423     285,612       340,787        468,106          
               The nonrecoverable expenses are as follows:                            
                    Financial                          Other Non-                     
                    Statement           Private       recoverable                     
          Year      Depreciation   Interest  Royalties   Expenses      Total          
          1968      5,188          -0-      3,249        275        8,712             
          1969      5,589          -0-      2,959      2,245       10,793             
          1970      4,213          146     5,425        419       10,203              
          1971      4,089          4,031     3,074        511       11,705            
          1972      6,757          12,072     2,787      1,384       23,000           
          1973      9,577          15,590     5,011      1,631       31,809           
          1974      8,246          11,879     8,639      3,636       32,400           
          1975      6,553          8,289     5,037      1,163       21,042            
          1976      8,221          10,769     3,428      3,127       25,545           
          1977      7,771          14,820       485      4,169       27,245           
          1978      10,993         21,521     2,451      3,413       38,378           
          1979      8,321          24,009     2,569      4,928       39,827           
          1980         9,937       30,688    10,743      8,760       60,128           
          Total     95,455         153,814    55,857     35,661      340,787          
          F.   Comparison of Processing Allowances and Nonrecoverable                 
               Expenses for Other OMT Taxpayers                                       
               From 1968 to 1980, the processing allowance exceeded                   
          nonrecoverable expenses for most OMT taxpayers.  For those years,           
          total processing allowances claimed by OMT taxpayers were more              
          than three times greater than nonrecoverable expenses.  Total               





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