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Gi. V4 G, Wy ( ie St. John's Halifax Saint Jonn Quebec Montreal
Olarhsen, SAAN IC. Ottawa Toronto Hamilton Kitchener London
y Windsor Thunder Bay Winnipeg Regina Calgary
Chiaened, Secountants Edmonton Vancouver Victoria

Arthur Young, Clarkson, Gordon & Co.

ROVE MIN Vanier United States—Brazil

P.O. Box 251, Toronto-Dominion Centre
Toronto, Canada, M5K 1J7 Telephone 864-1234 (Area Code 416)

AUDITORS ' REPORT

To the Shareholders of
Cassiar Asbestos Corporation Limited:

We have examined the consolidated balance sheet of Cassiar
Asbestos Corporation Limited and its subsidiaries as at December 31, 1973 and the
statements of consolidated operations and retained earnings and consolidated
source and application of funds for the year then ended. Our examination included
a general review of the accounting procedures and such tests of accounting records
and other supporting evidence as we considered necessary in the circumstances.

In our opinion these consolidated financial statements present
fairly the financial position of the companies as at December 31, 1973 and the
results of their operations and the source and application of their funds for the
year then ended, in accordance with generally accepted accounting principles

applied on a basis consistent with that of the preceding year.

Toronto, Canada, CLA Looe Ge :

March 11, 1974.
Chartered Accountants

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