2017 Annual Report

90 City of Chilliwack 2017 Annual Report TOURISM CHILLIWACK INC. Notes to Consolidated Financial Statements (continued) Year ended December 31, 2017 10. Contingency: The Company entered into an agreement in 2011 with the City of Chilliwack which took into effect on January 1, 2012. The agreement has been renewed for an additional five years starting January 1, 2017. The agreement outlines the management and operation of Chilliwack Heritage Park. As a condition of the agreement with the City, the Company issued a non-revocable Letter of Credit in the amount of $50,000 as a guarantee for the due and faithful performance of the agreement. 11. Distribution to City of Chilliwack: In accordance with an agreement between the Company and the City of Chilliwack, a distribution of funds derived from the operation of Chilliwack Heritage Park is returned to the City and put into a building reserve fund, specifically for future use at Chilliwack Heritage Park. 12. Segmented information: The Company is a diversified other government organization that provides a range of services, including: Tourism Services Tourism Services includes all activities associated with the operation of the Chilliwack Visitor Centre including co-coordinating and delivering tourism marketing programs aimed at promoting Chilliwack as a tourist destination. Retail Services Retail Services includes all activities associated with operation of the Flag Shop including selling various national and international flags and other souvenir items. Facility Management Facility Management includes all activities associated with the operation of Chilliwack Heritage Park including renting the facility for various events. 10 Tourism Chilliwack Inc. Financial Statements