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Surwin

05/20/15 6:02 PM

#2356 RE: Surwin #2355

and also this:

8. Related party transactions

Included in 10% senior convertible notes payable (note 3) is $568,762 (December 31, 2014 – $575,887) payable to a director and to a company controlled by a director, and $47,558 (December 31, 2014 – $47,558) payable to an individual related to a director and a company controlled by an individual related to a director.

$321,876 (December 31, 2014 – $306,564) in accrued interest charges relating to the 10% senior convertible notes and promissory notes is included in accrued liabilities at March 31, 2015. $15,312 (2014: $15,759) is included in interest and financing costs for the three months ended March 31, 2015.