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The outstanding U.S. credit facilities increased from US$68.9 million at December 31, 2002 to US$83.9 million at December 31, 2003 due to net additional borrowing of US$15 million. The decrease in the U.S. exchange rate from $1.58 at December 31, 2002 to $1.30 at December 31, 2003 is offset by the increased borrowing of the U.S. credit facilities resulting in no change in the value of U.S. credit facilities measured in Canadian dollars. 

The Company attempts to manage its long-term debt by spreading maturity dates in order to mitigate against short-term volatility in the debt markets. At December 31, 2003, the Company had mortgages and credit facilities aggregating $69.5 million coming due in 2004, of which $7.9 million were fixed rate mortgages at an average interest rate of 5% and $22.2 million representing amortization of principal balances during the year. The remaining $39.4 million of floating rate mortgages and credit facilities maturing in 2004 are being used to primarily finance development and redevelopment activities. As these projects are completed, Management intends to arrange long- term permanent financing against these projects. 

The Company’s debt maturity profile is summarized as follows: 

<img src='content_image/375.jpg'>

## Debentures Payable 

In December 2003, the Company paid the $14.7 million outstanding principal balance of the 7.5% debentures on maturity. Prior to maturity, $0.2 million of the debentures were converted to 7.25% convertible debentures, and $0.3 million were purchased and cancelled by the Company. 

## Convertible Debentures 

The following table summarizes the components of the Company’s convertible debentures. 

<img src='content_image/376.jpg'>

