ORBIT GAR ANT DRILLING INC NOTES TO THE CONSOLID A TED FINANCIAL ST A TEMENTS Continued Amounts as at March 31 2008 and for the nine and three months ended March 31 2008 and for the six and three months ended March 31 2007 are unaudited 3 BUSINES S ACQUISITIONS Continued Acquisition of the shares of Drift Exploration Drilling Inc US and Drift de Mexico SA De CV and assets of PhylDon Holdi ngs and Management Ltd On April 16 2007 the company acquired all issued and outstanding shares of Drift Exploration Drilling Inc a US company and Drift de Mexico SA De CV for a total cash consideration of 140713 excluding acquisition costs and all operating inventories a nd capital assets of PhylDon Holdings and Management Ltd for a cash consideration of 1460000 The results of operations of the respec tive entities are included in the consolidated financial statements from the effective date of acquisitions Acquisition of 91169300 Qu ebec Inc Soudure R oyale Concept On May 31 2007 the company acquired 25 of the outstanding common shares of 91169300 Qu ebec Inc for a consideration of 165000 excluding acquisition costs payable through the issuance of 109870 common shares of the company W ith this transaction the company holds 100 of the issued and outstanding shares of 91169300 Qu ebec Inc The purchase price of the above transactions was allocated to the net assets acquired on the basis of their estimated fair valu es as follows A ccounts receivable 9094988 Inventories 8781160 P repaid expenses 53225 Capital assets 18086530 Investment in a company subject to significant influence 128788 L ongterm investments 310000 Intangible assets Customer relationship 12600000 Noncompete agreement 2110000 Goodwill 15466324 Bank overdraft 156634 A ccounts payable and accrued liabilities 6570050 Client deposits 570845 Income taxes payable 702403 L ongterm debt 5396230 F uture income taxes 7612105 Purchase price 45622748 Consideration Cash including acquisition costs of 2295069 31419748 Issuance of common shares 14203000 T otal consideration 45622748 Contingent consideration The purchase price of F orages Garant F r eres Inc was subject to an adjustment of an amount of up to 2000000 calculated on the achievement of specified earnings targets during the ninemonth period ended June 30 2007 The specified earnings have been achieved and a payable amount of 2000000 has been accounted for as an increase of goodwill and was paid on September 30 200 7 The purchase price of Orbit is subject to an adjustment of an amount up to 2250000 calculated on the achievement of specifie d earnings levels over the periods ended January 31 2008 2009 and 2010 When the specified earnings are achieved a payable amo unt will be accounted for as an increase of goodwill The specified earnings have been achieved for the period ended January 31 20 08 and a payable amount of 1125000 has been accounted for during the ninemonth period ended March 31 2008 as an increase of goodwil l see Note 18 b During the ninemonth period ended March 31 2008 an amount of 25921 was accounted for as an increase in goodwill representi ng additional acquisition costs related to these acquisitions F11