Quebec 18-K/A Annual report (foreign governments) (amended)

EXHIBIT 8

2003-2004 Budget                        Budget Speech

GOUVERNEMENT DU QUÉBEC
SUMMARY OF CONSOLIDATED FINANCIAL TRANSACTIONS¹
(in millions of dollars)

	2001-2002	2002-2003
	Actual results	Financial situation as at March 11, 2003	Preliminary results
Budgetary transactions
Own-source revenue	41 004	43 712	43 403
Federal transfers	9 305	9 108	9 303
Total revenue	50 309	52 820	52 706
Operating expenditure	-43 976	-45 540	-45 570
Debt service	-7 261	-7 280	-7 136
Total expenditure	-51 237	-52 820	-52 706
Budgetary reserve
Use of funds allocated to the reserve to finance spending and maintain a balanced budget	950	—	—
Budgetary surplus after reserve	22	0	0
Non-budgetary transactions
Investments, loans and advances	-1 142	-1 966	-1 801
Capital expenditures	-995	-1 642	-1 471
Retirement plans	2 089	1 987	2 007
Other accounts	-589	-306	-320
Non-budgetary requirements	-637	-1 927	-1 585
Net financial surplus (requirements)	-615	-1 927	-1 585
Financing transactions
Change in cash position2	132	-2 043	-2 279
Change in direct debt2	3 623	5 628	5 505
Retirement plans sinking fund	-3 140	-1 658	-1 641
Total financing of transactions	615	1 927	1 585

Note: A negative entry indicates a financial requirement and a positive entry, a source of financing. For the change in cash position, a negative entry indicates an increase and a positive entry, a decrease.

1

On the basis of the 2003-2004 budgetary and financial structure.

2

The preliminary results for 2002-2003 take into account borrowings of $3 945 million made in advance, whereas the actual results for 2001-2002 include $1 154 million in borrowings made in advance.

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2003-2004 Budget                        Budget Speech

GOUVERNEMENT DU QUÉBEC
SUMMARY OF CONSOLIDATED FINANCIAL TRANSACTIONS¹
2003-2004 FORECAST
(in millions of dollars)

Budgetary transactions
Revenue	54 949
Expenditure	-54 949
Budgetary surplus (deficit)	0
Non-budgetary transactions
Investments, loans and advances	-1 814
Capital expenditures	-1 334
Retirement plans	2 041
Other accounts	-716
Non-budgetary requirements	-1 823
Net financial surplus (requirements)
Consolidated Revenue Fund	-300
Consolidated organizations	-1 523
	-1 823
Financing transactions
Change in cash position	4 454
Change in direct debt	-278
Retirement plans sinking fund	-2 353
Total financing of transactions	1 823

Note: A negative entry indicates a financial requirement and a positive entry, a source of financing. For the change in cash position, a negative entry indicates an increase and a positive entry, a decrease.

1

Based on the budgetary and financial structure in effect in 2003-2004.

2

2003-2004 Budget                        Budget Speech

GOUVERNEMENT DU QUÉBEC
BUDGETARY REVENUE
2003-2004 FORECAST
(in millions of dollars)

Own-source revenue
Income and property taxes
	Personal income tax	16 891
	Contributions to the Health Services Fund	4 640
	Corporate taxes1	3 926
		25 457
Consumption taxes
	Sales	9 014
	Fuel	1 638
	Tobacco	915
		11 567
Duties and permits
	Motor vehicles	695
	Alcoholic beverages	158
	Natural resources2	128
	Other	178
		1 159
Miscellaneous
	Sales of goods and services	467
	Interest	352
	Fines, forfeitures and recoveries	386
		1 205
Revenue from government enterprises
	Société des alcools du Québec	570
	Loto-Québec	1 464
	Hydro-Québec	2 130
	Other	-222
		3 942
Consolidated organizations		2 035
Total own-source revenue		45 365
Federal transfers
Programs
	Equalization	4 145
	Canada Health and Social Transfer	4 133
	EPF and other transfers related to fiscal arrangements	15
	Other programs	895
Consolidated organizations		396
Total federal transfers		9 584
Total budgetary revenue		54 949

1

Includes tax on corporate profits, tax on capital and tax on premiums in lieu of the tax on capital for insurance companies, as well as the tax on telecommunications, gas and electricity.

2

Includes forest, mining and hydraulic resources.

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2003-2004 Budget                        Budget Speech

GOUVERNEMENT DU QUÉBEC
BUDGETARY EXPENDITURE
2003-2004 FORECAST
(in millions of dollars)

Operating expenditure
Program spending	-45 800
Consolidated organizations	-1 637
Total operating expenditure	-47 437
Debt service
Consolidated Revenue Fund	-6 862
Consolidated organizations	-650
Total debt service	-7 512
Total budgetary expenditure	-54 949

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2003-2004 Budget                        Budget Speech

GOUVERNEMENT DU QUÉBEC
NON-BUDGETARY TRANSACTIONS
2003-2004 FORECAST
(in millions of dollars)

Investments, loans and advances
Consolidated Revenue Fund		-1 513
Consolidated organizations		-301
Total investments, loans and advances		-1 814
Capital expenditures
Consolidated Revenue Fund
	Net investments	-336
	Depreciation	214
		-122
Consolidated organizations		-1 212
Total capital expenditures		-1 334
Retirement plans
Contributions		5 190
Benefits and other payments		-3 149
Total retirement plans		2 041
Other accounts
Consolidated Revenue Fund		-562
Consolidated organizations		-154
Total other accounts		-716
Total non-budgetary transactions		-1 823

Note: A negative entry indicates a financial requirement and a positive entry, a source of financing.

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2003-2004 Budget                        Budget Speech

GOUVERNEMENT DU QUÉBEC
FINANCING TRANSACTIONS
2003-2004 FORECAST
(in millions of dollars)

Change in cash position
Consolidated Revenue Fund		3 945
Consolidated organizations		509
Total change in cash position		4 454
Change in direct debt
Consolidated Revenue Fund
	New borrowings	2 608
	Repayment of borrowings	-3 900
		-1 292
Consolidated organizations
	New borrowings	2 310
	Repayment of borrowings	-1 296
		1 014
Total change in direct debt		-278
Retirement plans sinking fund		-2 353
Total financing of transactions		1 823

Note: A negative entry indicates a financial requirement and a positive entry, a source of financing. For the change in cash position, a negative entry indicates an increase and a positive entry, a decrease.

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