Province Of Manitoba 18-K/A Annual report (foreign governments) (amended)

Province of Manitoba

Opportunity and Stability
Moving Forward on Manitobans’ Priorities

2008/09 Quarterly Financial Report
April to December 2008

CONTENTS

Introduction
Third Quarter Financial Results
Economic Performance and Outlook

INTRODUCTION

Budget 2008 provided a financial overview of the Government Reporting Entity (GRE), which is comprised of core government and other reporting entities. The core government component of the GRE represents the operations, programs and services delivered by government departments. Other reporting entities include Crown organizations, government business entities and public sector organizations such as regional health authorities, school divisions, universities and colleges that are directly or indirectly controlled by the Government, as prescribed by the Public Sector Accounting Board (PSAB).

The financial information in the quarterly financial report is being presented in the same format as the budget. This will allow for a smooth transition of quarterly financial reporting to a summary basis and, as recommended by the Office of the Auditor General, to be consistent with Generally Accepted Accounting Principles (GAAP). This transition is expected to be complete by the end of 2009/10.

The third quarter financial report continues to move forward on reporting financial results for the GRE. For the first time, as planned, it includes an operating statement with the financial results of the GRE for the nine months ending December 31, 2008. The report also contains an updated financial forecast for the GRE for the current fiscal year and an economic performance and outlook.

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

SUMMARY NET INCOME

Forecast
The forecast at the end of the third quarter for fiscal year 2008/09 projects Summary Net Income for the GRE at $316 million, an improvement of $220 million over the $96 million projected in Budget 2008 and a decrease of $34 million from the $350 million net income projected at the end of the second quarter.

The $490 million improvement in revenues from budget is comprised of a $229 million increase from other reporting entities and a $261 million increase in core government projections. The increase in other reporting entities is primarily due to higher net results from Manitoba Hydro, Manitoba Agricultural Services Corporation (MASC) and Manitoba Public Insurance. The increase in core government revenue reflects higher than anticipated Individual and Corporation Income Tax — $201 million and Corporation Capital Tax — $40 million; a $39 million increase in the Canada Health and Social Transfers based on revised projections from Canada, $21 million more in retail sales taxes, $16 million from water power rentals and a $15 million increase in Tobacco Tax resulting from successful efforts to reduce the smuggling of illegal tobacco products. Partially offsetting the projected increases are decreases of $63 million in Mining Tax and $18 million as a result of timing of floodway expansion project expenditures.

Expenditures are projected to be $270 million higher than budget. This forecast reflects continuing cost pressures in core government operations, comprised of $94 million in Health and Healthy Living, primarily for nurses’ and doctors’ wage agreements, as well as additional funding for equipment replacement; $40 million in Family Services and Housing for programming related to child protection and housing initiatives; $31 million in Agriculture, Food and Rural Initiatives, primarily for agricultural income stabilization programs; $24 million in Justice for the operation of correctional institutions; and $19 million for forest fire suppression costs in Emergency Expenditures.

The province is accelerating the transfer of $40 million in infrastructure funding to the City of Winnipeg in response to current economic conditions. In addition, as a result of higher than budgeted income taxes, funding for municipalities under the Building Manitoba Fund has been increased.

Projection of Summary Net Income
For the Fiscal Year Ending March 31, 2009
UNAUDITED

	2008/09 Third Quarter Forecast								2008/09 Budget
				Consolidation								Consolidation
	Core			Impacts and Other					Core			Impacts and Other					Summary
(Millions of Dollars)	Government			Reporting Entities			Summary		Government			Reporting Entities			Summary		Variance
Revenue		10,113			2,700			12,813		9,851			2,472			12,323		490
Expenditure		10,099			2,398			12,497		9,799			2,428			12,227		270
Net Result for the Year		14			302			316		52			44			96		220
Transfer to Debt Retirement Account		(110	)		110			—		(110	)		110			—		—
Transfer from/(to) Fiscal Stabilization Account		98			(98	)		—		60			(60	)		—		—
Net Income		2			314			316		2			94			96		220

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

Compliance with Balanced Budget Legislation
The Balanced Budget, Fiscal Management and Taxpayer Accountability Act requires the government’s third quarter financial report to include a statement of the projected balance as at the end of the fiscal year. For the purposes of the Act, balance is the average of the net results for the fiscal years within the four-year period ending at that time. The results of applying this formula for the year ending March 31, 2009, is a projected balance of $424 million, therefore the government will be in compliance with the Act.

Quarterly Financial Results
As previously noted, for the first time this report includes the results of the GRE as at December 31, 2008. The unaudited net result of the GRE for the first nine months of the fiscal year is $465 million or $104 million higher than estimated. This is the net result of higher than estimated revenue — $127 million and expenditure — $23 million.

Government Reporting Entity Operating Statement
UNAUDITED

	Year-to-Date to December 31
	2008/09
($000s)	Actual		Estimated		Variance
Revenue
Income Taxes		1,969,670		1,931,220		38,450
Other Taxes		2,405,768		2,388,186		17,582
Fees and Other Revenue		1,186,186		1,169,847		16,339
Federal Transfers		2,888,787		2,879,008		9,779
Net Income of Government Business Enterprises		594,583		560,087		34,496
Sinking Funds and Other Earnings		225,504		214,711		10,793
Total Revenue		9,270,498		9,143,059		127,439
Expenditure
Health and Healthy Living		3,368,432		3,290,186		78,246
Education		2,262,291		2,276,984		(14,693	)
Family Services and Housing		980,636		992,399		(11,763	)
Community, Economic and Resource Development		939,423		970,114		(30,691	)
Justice and Other Expenditures		659,867		667,196		(7,329	)
Debt Servicing Costs		595,133		585,729		9,404
Total Expenditure		8,805,782		8,782,608		23,174
Net Result		464,716		360,451		104,265

The nine-month revenue variance primarily reflects higher than anticipated income taxes and better than projected results from Manitoba Hydro. The nine-month expenditure variance mainly results from higher than estimated expenditures of core government operations primarily from timing of payments.

Core Government revenue and expenditure details are provided in Appendix I and II on pages 9 and 10.

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

Infrastructure and Capital Asset Renewal
The province is continuing its commitment to invest over $1.0 billion in infrastructure in 2008/09. Current forecasts include investments for updating Manitoba’s highway system and wastewater treatment plants, expanding health facilities across the province and modernizing schools and post-secondary institutions.

Investing in tangible capital assets is key in order to continue providing vital services into the future. Budget 2008 indicated that renewal and expansion of these assets continues to be a priority for government but that the renewal will be costly as it is estimated that the insured or replacement value of these investments is more than $31 billion.

As borrowings may be used to finance capital related projects, investment in the new tangible capital assets may increase net debt from time to time. As tangible capital assets such as buildings, equipment, roads and dams are essential for the economy and for delivering government services, it is important to measure change in net debt against the overall performance of the economy. Net debt to GDP declined from 29.6% in 2003/04 to 21.1% at the end of fiscal year 2007/08. For fiscal year 2008/09, net debt to GDP is forecast to be 21.7%, unchanged from the projection in Budget 2008.

Core government expenditures for general and infrastructure assets in the third quarter were $306 million, $54 million less than estimated, reflecting unfavorable weather conditions resulting in construction delays for the Manitoba Floodway Expansion and highway related activities. While the delays impact the cash flow in the current year and result in a projected expenditure of $498 million, $81 million lower than budgeted, affected projects will be completed as soon as conditions allow.

Core Government capital investment details are provided in Appendix III on page 11.

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

SPECIAL ACCOUNTS

Fiscal Stabilization
The opening balance of the Fiscal Stabilization Account for 2008/09 was $818 million. The total anticipated draw for 2008/09 is $98 million. Draws include funds advanced by the Government of Canada for health programming of $47 million and $13 million for requirements related to ecoTrust funds. The balance of the draw reflects government’s decision to accelerate capital grants to the City of Winnipeg.

Debt Retirement
As required by balanced budget legislation an allocation committee determines the share of funds to be directed to pensions and general purpose debt. For the current year, the allocation committee determined $55 million is to be directed to pensions and $55 million is to be directed to general purpose debt. The debt repayment amount of $110 million remains unchanged from budget.

Pension Assets
For the current year, in addition to the contribution determined by the debt allocation committee, the government will be providing $350 million to reduce the province’s unfunded liability for the Civil Service Superannuation Fund. Action on this commitment will result in an increase in the pension assets held in 2008/09.

Although current market volatility will have a negative impact on the market value of the pension assets held, these market losses will be recognized over a period of time in accordance with GAAP. Under GAAP, changes in pension assets and liabilities are accounted for using actuarial estimates. The difference between actual gains and losses and the actuarial estimates are recognized over the employee average remaining service life (EARSL) and not in the year in which they are incurred.

PROVINCIAL BORROWINGS, GUARANTEES AND OBLIGATIONS
The original estimate of borrowing requirements identified in the 2008 Budget was $2.8 billion including refinancing of maturing debt, the partial funding of the Civil Service Superannuation Plan, funding for Manitoba Hydro, Capital Investments, Health’s capital programs and new self sustaining requirements. This has been revised to $3.1 billion as at December 31, 2008 primarily as a result of issues being called prior to maturity.

For the period April 1, 2008 to December 31, 2008, $36 million was raised through the issue of Manitoba Hydro Savings Bonds and $2.6 billion was raised in the public market.

The total outstanding borrowings, guarantees and obligations reflect the province’s gross borrowing obligations, but it does not take into consideration liquid assets available to pay down those obligations. While the total of outstanding provincial borrowings fluctuates during the fiscal year as a result of the timing of borrowing activities of the province, the year end forecast differs only slightly from that stated in the budget as shown in the table on the following page.

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

Provincial Borrowings, Guarantees and Obligations

	2008/09 Forecast					March 31, 2008
Provincial Borrowings, Guarantees and Obligations	$ millions			$ Per Capita*		$ millions			$ Per Capita*
General Government Programs		6,316			5,218		6,531			5,459
Manitoba Hydro		7,556			6,242		7,488			6,259
Other Crown Organizations		1,291			1,067		1,269			1,061
Health Facilities		892			737		833			696
Federal Government1		79			65		92			77
Capital Investments		1,411			1,166		1,084			906
Subtotal		17,545			14,494		17,297			14,459
General Government Programs — Pensions2		1,850			1,528		1,500			1,254
Subtotal3		19,395			16,022		18,797			15,713
Other Obligations
Pension Liability		4,834					4,451
Pension Asset Fund		(2,870	)				(2,242	)
Net Pension Liability		1,964					2,209
Debt incurred for and repayable by the Manitoba Hydro Electric Board and Manitoba Lotteries Corporation		(7,320	)				(7,322	)
Education and Health Debt held by Government Enterprises		388					416
Other Debt of Crown Organizations		495					508
Subtotal		(4,473	)				(4,189	)
Total Provincial Borrowings, Guarantees and Obligations		14,922					14,608
Adjustments to arrive at Summary Net Debt
Guarantees		(402	)				(352	)
Net Financial Assets4		(3,420	)				(4,068	)
Summary Net Debt		11,100			9,170		10,188			8,516
Summary Net Debt as a percentage of GDP		21.7	%4				21.1	%

Notes: Provincial Borrowings, Guarantees and Obligations

1.	Amounts owed relating to federal accounting errors in prior years. See Note 10, page 92 of the 2007/08 public accounts for additional information.
2.	In 2007/08, the Government allocated $1.5 billion to the Teachers’ Retirement Allowances Fund (TRAF) increasing overall funding of the outstanding TRAF pension liability to 75%. In 2008/09, the Government will allocate $350 million to the Civil Service Superannuation Plan.
3.	Provincial Borrowings and Guarantees are payable in Canadian and U.S. dollars. As at December 31, 2008 total provincial borrowings and guarantees were payable 88% in Canadian dollars and 12% in U.S. dollars. Of this total, General Government Programs borrowing and Other Crown Organizations borrowings was 100% payable in Canadian dollars. Manitoba Hydro borrowings were payable 64% in Canadian dollars (64% at March 31, 2008) and 36% in U.S. dollars (36% at March 31, 2008) which is fully hedged by U.S. dollar revenue.

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

4.

Net financial assets and Summary Net Debt as a percentage of GDP include the projected impact of changes in other comprehensive income (OCI). Changes in OCI are based upon market value measurements at year-end and can have a significant impact on the net debt to GDP ratio. The year-end forecast for OCI includes market losses on investments held by government business enterprises and a weakening of the value of the Canadian dollar against the US dollar on US debt held by Manitoba Hydro. The negative OCI forecast reflects a change to the book value of these investments but does not impact summary net income.

*

The 2008/09 Forecast Per Capita data is based upon population figures at October 1, 2008, the March 31, 2008 Per Capita data is based upon population figures at April 1, 2008 as reported by Statistics Canada.

ECONOMIC PERFORMANCE AND OUTLOOK
(Manitoba Economic Highlights — as of March 13, 2009)

Manitoba’s economy grew 2.2% in 2008, above Canada’s increase of 0.5% and below the 2.7% growth projected at the time of the 2008 Manitoba Budget. This is the third consecutive year in which Manitoba’s economic growth surpassed Canada’s.

In late 2008, Canada’s economy followed the U.S. into recession. Most private sector forecasters project that international financial and economic instability will continue on into the latter part of 2009 or early 2010. The Manitoba Finance survey of economic forecasters conducted March 11 estimates that Manitoba’s 2009 real GDP will remain flat at the 2008 level, better than the projected national decline of 1.6%.

In 2008, Manitoba’s employment increased by 10,200, up 1.7% relative to 2007 and above the national increase. For the second consecutive year, full-time employment accounted for virtually all jobs growth in Manitoba. Over this same period, Manitoba’s unemployment rate averaged 4.2%, down from 4.4% in 2007 and below the national rate of 6.1%. Manitoba’s unemployment rate in 2008 was the lowest in over 30 years. In February 2009, Manitoba’s employment increased by 700 from January, a 0.1% increase, while Canada’s employment declined by 0.5%.

Although retail sales growth slowed near the end of the year, Manitoba’s retail sales increased 7.1% in 2008. Manitoba’s increase was third-best among provinces and well above the national increase of 3.2%.

Manitoba led all provinces in private capital investment growth last year with a 15.2% increase to a record-high level of $7.2 billion. This was well above the national increase of 1.6%. Public capital investment grew 20.1%, bringing overall capital investment up 16.7% in 2008. With the weakening economic prospects for the global economy this year, most economic forecasters predict a widespread slowdown in private capital spending. For 2009, Statistics Canada’s survey of investment intentions estimates that Manitoba’s private capital investment will decline 6.8% (9.3% decline for Canada) while public capital investment will increase 7.0% (Canada up 9.5%). Overall, Manitoba capital investment spending is expected to be down 2.6% (Canada down 5.4%).

Manitoba housing starts fell 3.5% in 2008. Single family units declined by 4.3% while multiple units slipped 1.8%. Housing starts in Canada also declined in 2008, dropping 7.6%. In 2007, Manitoba housing starts were up 14.1% to 5,738, the highest level in 20 years.

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

Manitoba’s 2008 manufacturing sales increased by 1.6% to $16.4 billion. Canadian sales declined 0.5%. Manufacturing is Manitoba’s largest industry, accounting for approximately 12% of GDP.

Foreign merchandise exports from Manitoba increased 5.3% in 2008. Exports to the United States increased by 6.4% while exports to non-US markets increased by 2.8%. Canada’s exports last year increased by 8.3%.

Manitoba farm cash receipts increased 9.1% in 2008, below the national increase of 12.9%. Receipts from crops are up 24.9%. Livestock receipts are down 3.5% due to weaker receipts for hogs. In 2007, Manitoba farm cash receipts rose 17.0%.

The Consumer Price Index rose 2.3% in both Manitoba and Canada last year. Energy and shelter were the major contributors to the increase. Manitoba’s consumer inflation has been relatively stable over the last several years, increasing by 2.0% in both 2006 and 2007.

Manitoba’s population reached 1,210,547 on October 1, 2008, an annual increase of 13,124 persons. Population grew 1.1%, from the previous year, below Canada’s increase of 1.2%. Improvements in both interprovincial and international migration were largely responsible for Manitoba’s population growth performance.

For updates and more details please see the Manitoba Economic Highlights at http://www.gov.mb.ca/finance/pdf/highlights.pdf

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

2008/09 Core Government Revenue by Source

UNAUDITED Appendix I

	Year to Date to December 31									Full Year
	2008/09									2008/09
								Actual									Actual
($000s)	Actual		Budget		Variance			2007/08		Forecast		Budget		Variance			2007/08
Income taxes
Individual Income Tax		1,742,956		1,704,885		38,071			1,632,767		2,431,900		2,312,100		119,800			2,284,669
Corporation Income Tax		226,714		226,336		378			253,216		380,100		299,200		80,900			366,818
Subtotal: Income Taxes		1,969,670		1,931,220		38,449			1,885,983		2,812,000		2,611,300		200,700			2,651,487
Other Taxes
Corporation Capital Tax		140,657		135,303		5,354			125,391		163,200		123,200		40,000			165,779
Gasoline Tax		88,345		88,828		(484	)		105,135		130,000		137,000		(7,000	)		152,472
Insurance Corporations Tax		48,080		47,748		332			46,384		63,500		63,500		—			65,233
Land Transfer Tax		42,661		40,059		2,603			37,884		48,359		43,600		4,759			44,731
Levy for Health and Education		236,285		232,351		3,934			224,654		349,400		344,400		5,000			341,383
Mining Tax		83,170		83,170					97,491		65,000		128,000		(63,000	)		99,637
Motive Fuel Tax		62,664		62,504		160			64,201		90,100		90,100		—			95,721
Retail Sales Tax		1,007,010		1,001,842		5,168			935,895		1,490,000		1,469,400		20,600			1,391,072
Tax Administration and Miscellaneous Taxes		46,153		45,051		1,101			44,845		79,900		79,900		—			81,792
Tobacco Tax		130,227		128,144		2,083			130,735		185,000		170,000		15,000			190,627
Other Taxes		12,037		12,379		(342	)		9,987		14,364		17,100		(2,736	)		13,671
Subtotal: Other Taxes		1,897,289		1,877,380		19,909			1,822,602		2,678,823		2,666,200		12,623			2,642,118
Fees and Other Revenue
Fines and Costs and Other Legal		35,867		34,044		1,823			30,878		45,061		44,091		970			39,163
Minerals and Petroleum		17,540		14,940		2,601			9,444		19,286		9,386		9,900			13,000
Automobile and Motor Carrier Licences and Fees		86,268		82,016		4,253			76,645		106,092		106,092		—			103,134
Parks: Forestry and Other Conservation		27,237		26,840		397			23,760		30,420		34,083		(3,663	)		32,252
Water Power Rentals		88,048		83,266		4,782			88,315		121,000		105,000		16,000			117,323
Service Fees and Other Miscellaneous Charges		70,440		68,251		2,188			66,199		123,225		113,854		9,371			111,979
Revenue Sharing from SOAs		15,346		15,746		(400	)		15,896		20,995		20,995		—			21,395
Subtotal: Fees and Other Revenue		340,747		325,103		15,644			311,138		466,079		433,501		32,578			438,246
Federal Transfers
Equalization		1,547,546		1,547,552		(6	)		1,359,143		2,063,394		2,063,400		(6	)		1,825,796
Canada Health Transfer (CHT)		649,093		644,446		4,647			605,137		877,249		845,800		31,449			816,684
Canada Social Transfer (CST)		289,599		287,660		1,939			255,875		385,472		378,000		7,472			347,463
Infrastructure Renewal		—		—		—			—		50,000		50,000		—			45,805
Manitoba Floodway Expansion		24,083		35,177		(11,094	)		32,000		57,703		75,233		(17,530	)		73,887
Shared Cost and Other Transfers		131,080		130,937		143			188,932		191,709		199,606		(7,897	)		273,319
Subtotal: Federal Transfers		2,641,400		2,645,771		(4,371	)		2,441,086		3,625,527		3,612,039		13,488			3,382,954
Net Income of Government
Business Enterprises (GBEs)
Manitoba Liquor Control Commission		132,000		138,000		(6,000	)		135,600		227,300		227,300		—			219,210
Manitoba Lotteries Corporation		225,900		225,900		—			211,000		303,000		301,200		1,800			296,782
Subtotal: Net Income of GBEs		357,900		363,900		(6,000	)		346,600		530,300		528,500		1,800			515,992
Sinking Funds and Other Earnings		—		—		—			—		—		—		—			—
Total Revenue		7,207,005		7,143,374		63,631			6,807,409		10,112,729		9,851,540		261,189			9,630,797

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

2008/09 Core Government Expenditure by Sector/Department

UNAUDITED Appendix II

	Year to Date to December 31									Full Year
	2008/09									2008/09
								Actual											Actual
($000s)	Actual		Budget		Variance			2007/08		Forecast			Budget1			Variance			2007/08
Health and Healthy Living		3,102,295		3,005,979		96,316			2,911,007		4,263,969			4,170,022			93,947			3,932,214
Education
Advanced Education and Literacy		431,017		432,742		(1,725	)		397,027		575,843			577,181			(1,338	)		560,263
Education, Citizenship and Youth		1,063,717		1,076,592		(12,875	)		991,861		1,404,689			1,409,264			(4,575	)		1,322,084
Total Education		1,494,734		1,509,334		(14,600	)		1,388,888		1,980,532			1,986,445			(5,913	)		1,882,347
Family Services and Housing		882,472		893,374		(10,902	)		807,105		1,239,514			1,199,753			39,761			1,135,009
Community, Economic and Resource Development
Aboriginal and Northern Affairs		29,386		30,916		(1,530	)		27,168		41,453			41,379			74			39,511
Agriculture, Food and Rural Initiatives		124,345		134,083		(9,738	)		94,978		248,618			217,926			30,692			243,638
Competitiveness, Training and Trade		74,235		83,771		(9,536	)		66,778		133,323			127,541			5,782			110,696
Conservation		90,196		91,915		(1,719	)		88,704		129,149			124,139			5,010			117,162
Infrastructure and Transportation		373,755		371,841		1,914			350,208		548,724			547,194			1,530			502,615
Intergovernmental Affairs		181,330		186,807		(5,477	)		161,214		334,862			274,048			60,814			251,345
Science, Technology, Energy and Mines		61,681		64,622		(2,941	)		58,561		88,032			90,365			(2,333	)		89,961
Water Stewardship		22,011		23,150		(1,139	)		19,686		33,425			34,141			(716	)		28,705
Total Community, Economic and Resource Development		956,939		987,105		(30,166	)		867,297		1,557,586			1,456,733			100,853			1,383,633
Justice and Other Expenditures
Legislative Assembly		23,148		24,613		(1,465	)		30,773		34,319			35,283			(964	)		40,093
Executive Council		2,512		2,547		(35	)		2,338		3,618			3,748			(130	)		3,316
Civil Service Commission		4,388		4,589		(201	)		3,965		6,191			6,435			(244	)		5,660
Culture, Heritage, Tourism and Sport		68,272		68,714		(442	)		66,840		95,304			91,373			3,931			126,392
Employee Pensions and Other Costs		47,808		48,119		(311	)		57,594		79,604			79,604			—			91,694
Finance		80,285		82,267		(1,982	)		82,313		100,846			103,766			(2,920	)		96,512
Healthy Child Manitoba		16,183		18,952		(2,769	)		17,799		26,876			27,180			(304	)		25,331
Justice		242,950		241,920		1,030			213,901		374,501			350,102			24,399			335,592
Labour and Immigration		33,105		36,888		(3,783	)		27,310		55,375			51,400			3,975			44,491
Manitoba Seniors and Healthy Aging Secretariat		897		1,085		(188	)		719		1,692			1,765			(73	)		1,232
Enabling Appropriations		2,108		1,785		323			1,459		8,682			11,559			(2,877	)		3,370
Other Appropriations		26,781		32,126		(5,345	)		25,497		45,193			26,377			18,816			34,475
Total Justice and Other Expenditures		548,437		563,605		(15,168	)		530,508		832,201			788,592			43,609			808,158
Less: Year-End Lapse		—		—		—			—		(16,250	)		(65,000	)		48,750			—
Debt Servicing Costs		196,034		183,124		12,910			199,373		241,000			262,500			(21,500	)		251,033
Total Expenditure		7,180,911		7,142,521		38,390			6,704,178		10,098,552			9,799,045			299,507			9,392,394
Subtract: Total Expenditure Estimates (above) from Total Revenue Estimate (Appendix I)		7,207,005		7,143,374		63,631			6,807,409		10,112,729			9,851,540			261,189			9,630,797
Net Result for the Year (before transfers)		26,094		853		25,241			103,231		14,176			52,495			(38,319	)		238,403
Transfer to Debt Retirement		—		—		—			—		(110,495	)		(110,495	)		—			(110,495	)
Transfer from / (to) Fiscal Stabilization		—		—		—			—		98,000			60,000			38,000			(127,928	)
Net Result for the Year		26,094		853		25,241			103,231		1,681			2,000			(319	)		—

1. Budget figures are adjusted to include Enabling Appropriations

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PROVINCE OF MANITOBA APRIL TO DECEMBER 2008

Core Government Capital Investment

UNAUDITED Appendix III

	Year-to-Date to December 31									Full Year
	2008/09									2008/09
								2007/08									Actual
($000s)	Actual		Estimated		Variance			Actual		Forecast		Budget		Variance			2007/08
General Assets
Government Services Capital Projects		56,564		60,829		(4,265	)		40,400		90,245		90,245		—			58,095
Transportation Equipment and Other Capital		4,011		5,977		(1,966	)		9,277		23,719		23,719		—			18,758
Information Technology Projects		4,531		6,605		(2,074	)		7,141		17,752		19,805		(2,053	)		15,170
Other Equipment and Buildings		688		1,195		( 507	)		1,511		3,516		4,553		(1,037	)		1,492
		65,794		74,606		(8,812	)		58,329		135,232		138,322		(3,090	)		93,515
Infrastructure Assets
Provincial Roads, Highways and Airport Infrastructure		158,208		182,876		(24,668	)		198,711		217,690		247,638		(29,948	)		231,868
Manitoba Floodway Expansion		74,577		94,580		(20,003	)		100,604		127,142		172,009		(44,867	)		155,992
Water Control Infrastructure		4,054		4,042		12			3,902		9,200		11,400		(2,200	)		7,443
Parks, Cottage and Camping Projects		3,080		3,859		(779	)		6,060		9,144		9,711		(567	)		9,516
		239,919		285,357		(45,438	)		309,277		363,176		440,758		(77,582	)		404,819
Total Capital Investment		305,713		359,963		(54,250	)		367,606		498,408		579,080		(80,672	)		498,334

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