2015_LCC Annual Report

PRINCE EDWARD ISLAND LIQUOR CONTROL COMMISSION Notes to Financial Statements March 31, 2015

15.

Related Party Transactions

These financial statements include the results of normal operating transactions with various provincial departments, Crown corporations, and agencies with which the Commission is related. Operating transactions with related parties, such as insurance and property taxes of $202,020 (2014 - $177,452) and interest on debentures of $70,633 (2014 - $78,074), are recorded at rates as determined by the Province of Prince Edward Island. $578,699) during the year for salaries and benefits. Long-term benefits such as pensions and senior management compensation plan are the responsibility of the province and are not included in these financial statements. Key management received $561,397 (2014 -

The Commission’s employee salaries and benefits are paid by

the province and

subsequently reimbursed by the Commission.

Comprehensive income earned during the period is payable to the province. The outstanding amount due to the province at year-end is $12,279,437 (2014- $12,180,649).

16.

Other Operating Expenses

Other operating expenses include debit and credit card fees, consulting, legal, vehicle, and security expenses.

17.

Subsequent Event

Subsequent to year-end, the Prince Edward Island Liquor Control Commission renewed their lease at the Oaktree location for an additional ten years under similar terms and conditions as the previous lease.