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2000 October Report of the Auditor General of Canada

October 2000 Report—Chapter 10

Exhibit 10.14—Definition of Financeability

In assessing an entity's going-concern value, it is important to have the value tested in the financial markets. In this case, because the corporation was intended to be financed entirely through debt, the test of that market was to help determine the amounts investors were willing to risk in the venture. This test of the market, known as assessing the financeability of the entity, provides an additional indication of whether the assessed value is reasonable.

Source: Auditor General's October 1997 Report, Chapter 19, Transport Canada - The Commercialization of the Air Navigation System.