Table of Contents Table of Contents
Previous Page  57 / 80 Next Page
Information
Show Menu
Previous Page 57 / 80 Next Page
Page Background

55

12. FINANCE LEASE OBLIGATION

On December 23, 2004, SIGA entered into an agreement with STC Casino Holdings Limited Partnership for the lease of Dakota

Dunes Casino on Whitecap Dakota First Nation. Beginning in April 2007, SIGA leased the property from that Partnership for

approximately 20 years at an annual cost of $2,248,477. In 2011, there was an addition to this capital lease, for16 years, at

an annual cost of $380,969. In 2012, there was a further addition to this lease for approximately 15 years, at an annual cost

of $60,571.

On October 26, 2005, SIGA entered into an agreement with PHC Holdings Limited Partnership for the lease of Painted Hand

Casino in Yorkton. Beginning in February 2009, SIGA leased the property from that Partnership for 19 years at an annual cost

of $1,646,400.

On January 26, 2006, SIGA entered into an agreement with FHQ Casino Holdings Limited Partnership for the lease of Living Sky

Casino in Swift Current. Beginning in December 2008, SIGA leased the property from the Partnership for 19 years at an annual

cost of $2,195,200.

On April 1, 2014 SIGA entered into an agreement with FNH Development Limited Partnership for the lease of Gold Eagle Casino

in North Battleford. SIGA will lease the property from the Partnership for 13 years at an annual cost of $1,441,496.

On April 1, 2014 SIGA entered into an agreement with BATC Investments Limited Partnership for the lease of an expansion

at Gold Eagle Casino in North Battleford. Beginning September 1, 2015, SIGA leased the property from the Partnership for

13 years at an annual cost of $404,280.

STC Casino Holdings Limited Partnership, PHC Holdings Limited Partnership, FHQ Casino Holdings Limited Partnership, FNH

Development Limited Partnership, BATC Investments Limited Partnership are related to SIGA as they are owned by Class A

membership holders of SIGA.

Interest rates underlying all obligations under finance leases are fixed at respective contract dates ranging from 3.0% to 12.5%

(2015 – 3.0% to 12.5%) per annum.

The minimum lease payments under the finance lease obligation are as follows:

March 31, 2016

March 31, 2015

Total future minimum lease payments

$ 95,352,259

$

94,893,526

Less future finance charges on finance leases

(36,907,354)

(38,223,432)

Present value of finance lease obligation

58,444,905

56,670,094

Less current portion of finance lease obligation

(3,076,821)

(2,956,909)

Finance lease obligation

$ 55,368,084

$

53,713,185

As at March 31, 2016, scheduled future minimum lease payments of the finance lease obligation are as follows:

1 Year

1–5 Years

More Than

5 Years

Future minimum lease payments

$

8,401,992 $

33,831,207

$ 53,119,060

Present value of finance lease obligation

3,076,821

15,580,828

39,787,256

Due to the related party nature of the finance lease obligation, fair value information has not been disclosed as fair value cannot

be reliably measured.

NOTES TO THE FINANCIAL STATEMENTS

Year Ended March 31, 2016