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## MANAGEMENT’S DISCUSSION & ANALYSIS (CONT’D) 

The following table shows the impact of foreign currency on the conversion of our Canadian parent company’s sales and Adjusted EBITDA into USD. 

<img src='content_image/154868.jpg'>

Our Canadian operations had external sales in Domestic currency of $79.6 million, compared to $79.3 million for the same period last year. Sales volume decreased by 4.3% during the quarter to 17.7 million pounds compared to the fourth quarter of last year. 

Our U.S. operations, including American Pride, had sales in the fourth quarter of 2013 of $174.8 million, compared to $138.2 million for the same period last year. The American Pride Acquisition added $39.7 million in sales. U.S. operations’ sales volume, including American Pride, in the fourth quarter increased by 28.8% to 56.8 million, compared to the fourth quarter of last year. 

Excluding American Pride, U.S. operations’ sales increased by $3.1 million and pounds sold increased by 0.1 million in the fourth quarter of 2013 compared to the same period in 2012. 

Our consolidated Adjusted EBITDA in the fourth quarter of 2013, including the American Pride Acquisition, was $22.7 million compared to $22.1 million for the same period in 2012. The American Pride Acquisition added $1.5 million in Adjusted EBITDA in the fourth quarter of 2013. Excluding the American Pride Acquisition, Adjusted EBITDA in the fourth quarter of 2013 decreased by $0.9 million ($0.4 million in Domestic currency). 

