SROI Report Card: Year Ending July

Inner City Renovation: Social Mission Overview SROI Report Card: Year End 2007 Hire majority of ICR employees from low – income, inner city neighbourhoods Contribute to the revitalization of Winnipeg’s inner city Provide ‘quality’ jobs to target employee group Provide opportunities for skill development and internal career laddering Establish an ICR employee ownership plan once the enterprise has stabilized and reached profitability Recruit at least 60% of employees from low- income, inner city neighborhoods Dedicate significant proportion of contract opportunities to inner city projects Pay market wages and employee benefits Establish apprenticeship program, participatory management training and career laddering structure Retain Employee Social Support Worker Develop employee steering committees and regular staff social and educational events ICR maintains a 60% employee average from the target population Current and past target employees are able to lessen or eliminate need for government financial assistance Tangible progress made regarding individual target employee sustainable livelihood asset development ICR retains majority of target employees while reaching profitability GoalsMethodsSuccess Metrics

Enterprise: Inner City Renovations Location: Winnipeg MBDate of Inception: August 2002 Overview of Target Population 67% aboriginal Average age is 42 6% female 75% have not finished high school 50% have criminal records 46% of original target employee base recruited in Year 1 are still with ICR Employment Outcomes Maintained average 66% target/non target employee ratio throughout Years 4 & 5 Average target employee wage of $13.56 and average hourly wage for all staff of $14.51 over the past two years. As of July 31, 2007 average hourly wage for all staff was $15.29 This wage increase for target employees is a 27% increase over the average wage calculated in 2005 Career building opportunities have resulted in a target employee moving from entry level employee with few job skills to journeyman supervisor Target employees continue to enjoy their work at ICR and most view ICR as a good career opportunity Long term employees noted an improvement in their technical skills Overview of Business Increased total sales revenues by an average of 13.5% per year over the past five years Completed more than 175 projects since start-up Generated more than $6.5 million in earned revenue since start-up Paid out more than $2.5 million in wages and benefits to its employees SROI Report Card: Two year period ending July 2007 Sustainable Livelihoods Outcomes Four target employees were registered in the Apprenticeship Carpentry training program Six employees participated in savings program in 2006 Employees at ICR are recognizing the benefits of secure employment and a regular pay check. ICR continues to provide a social calendar of events in order to encourage social connections for staff and their families e.g. spring retreat, staff Christmas party, family picnic etc. In addition to the normal health plan covering extended health benefits ICR ‘s upgraded health plan now includes life insurance and long term disability. One employee has accessed this long term disability due to a health challenge. Direct payroll deposit ensured that all employees are utilizing bank accounts Hep C vaccinations were provided to all employees in 2006 One employee has obtained a valid driver’s licence which he did not previously have. Financial Performance Total Sales Revenue:$3,146,259 Total Grants and Subsidies $296,892 Total Sales Revenue and Grants $ 3,443,151 Total Operating Profit (Loss) $(2,812) Additional Social Support Infrastructure$7,837 Total Investment for Years Four & Five$307,541 Total Investment Required to Date $1,149,541 Social Return On Investment Average Change in Societal Contribution (Target Employees)$11,932 Average Number of Target Employees16.5 Number of Target employees in Sample Group10 Current Year Cost Savings to Society Cumulative Cost Savings (yrs 1-3) $196,878 $397,752 Total Cost Savings to Date $594,630 Cumulative SROI52%

Definitions and Methodology Total Investment Required to Date Represents all cash injections in the business Change in Societal Contribution (Target Employees) Difference between the direct societal “cost” or “benefit” contributed by the employee before hire versus after hire Ongoing Portion of Societal Contribution The component of the change in financial position that can be measured beyond year one Annuity Multiplier Projected value of ongoing new income tax contributions generated by target employee in the future Current Year SROI Return on investment generated by the current year change in target employee financial position Projected Long Term SROI SROI generated by extrapolating the ongoing portion of the change in employee financial position into the future Total operating losses + Grants and Subsidies + Additional Support Infrastructure = Total Investment Required Annual Social Assistance Before Hire - Annual Income Tax Paid Before Hire + Annual Income Tax Paid After Hire = Change in Societal Contribution Annual Income Tax Paid After Hire - Annual Income Tax Before Hire = Ongoing Portion of Societal Contribution Total Change in Societal Contribution / Total Investment Required =Current Year SROI Ongoing Portion of Societal Contribution * Annuity Multiplier / Total investment Required =Projected Long Term SROI Data Gathering Process Target employees are interviewed to obtain a baseline socioeconomic data Data is gathered regarding employment and sustainable livelihood status prior at hire A second survey is taken at the end of each year to determine changes for target employees Only target employees who are employed for more than three months are considered for SROI calculations Community Ownership Solutions – developer and joint venture partner of ICR - put this SROI Report together SROI Report Card: Year End 2007