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Message Consolidated Financial Statements ofAQAMAnd Independent Auditor's Report thereonYear ended March 31, 2025

KPMG LLP200-3200 Richter StreetKelowna BC V1W 5K9CanadaTelephone (250) 979 7150Fax (250) 763 0044INDEPENDENT AUDITORS' REPORTTo Nasukin and Council and Members of aqamOpinionWe have audited the consolidated financial statements of aqam, which comprise: the consolidated statement of financial position as at March 31, 2025 the consolidated statement of operations and accumulated surplus for the year then ended the consolidated statement of changes in net financial assets for the year then ended the consolidated statement of remeasurement gains and losses for the year then ended the consolidated statement of cash flows for the year then ended and notes to the consolidated financial statements, including a summary of significant accountingpolicies(Hereinafter referred to as the “financial statements”).In our opinion, the accompanying financial statements present fairly, in all material respects, theconsolidated financial position of aqam as at March 31, 2025, and its consolidated results of operations,its consolidated changes in net financial assets, its consolidated remeasurement gains and losses and itsconsolidated cash flows for the year then ended in accordance with Canadian public sector accountingstandards. Basis for OpinionWe conducted our audit in accordance with Canadian generally accepted auditing standards. Ourresponsibilities under those standards are further described in the “Auditors’ Responsibilities for theAudit of the Financial Statements” section of our auditors’ report.We are independent of aqam in accordance with the ethical requirements that are relevant to our audit ofthe financial statements in Canada and we have fulfilled our other ethical responsibilities in accordancewith these requirements.We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis forour opinion.KPMG LLP, is an Ontario limited liability partnership and member firm of the KPMG global organization of independent member firms affiliated with KPMG InternationalLimited, a private English company limited by guarantee KPMG Canada provides services to KPMG LLP

Page 2Responsibilities of Management and Those Charged with Governance for the Financial StatementsManagement is responsible for the preparation and fair presentation of these consolidated financialstatements in accordance with Canadian public sector accounting standards, and for such internal controlas management determines is necessary to enable the preparation of consolidated financial statementsthat are free from material misstatement, whether due to fraud or error.In preparing the financial statements, management is responsible for assessing aqam’s ability to continueas a going concern, disclosing, as applicable, matters related to going concern and using the goingconcern basis of accounting unless management either intends to liquidate or to cease operations, or hasno realistic alternative to do so. Those charged with governance are responsible for overseeing aqam’s financial reporting process.Auditors’ Responsibilities for the Audit of the Financial StatementsOur objectives are to obtain reasonable assurance about whether the financial statements as a whole arefree material misstatement, whether due to fraud or error, and to issue an auditors’ report that includes ouropinion.Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted inaccordance with Canadian generally accepted auditing standards will always detect a materialmisstatement when it exists.Misstatements can arise from fraud or error and are considered material if, individually or in theaggregate, they could reasonably be expected to influence the economic decisions of users taken on thebasis of the financial statements. As part of an audit in accordance with Canadian generally accepted auditing standards, we exerciseprofessional judgment and maintain professional skepticism throughout the audit.We also: Identify and assess the risks of material misstatement of the financial statements, whether due tofraud or error, design and perform audit procedures responsive to those risks, and obtain auditevidence that is sufficient and appropriate to provide a basis for our opinion.The risk of not detecting a material misstatement resulting from fraud is higher than for oneresulting from error, as fraud may involve collusion, forgery, intentional omissions,misrepresentations, or the override of internal control. Obtain an understanding of internal control relevant to the audit in order to design auditprocedures that are appropriate in the circumstances, but not for the purpose of expressing anopinion on the effectiveness of aqam’s internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accountingestimates and related disclosures made by management.

Page 3 Conclude on the appropriateness of management’s use of the going concern basis of accountingand, based on the audit evidence obtained, whether a material uncertainty exists related to eventsor conditions that may cast a significant doubt on aqam’s ability to continue as a going concern. Ifwe conclude that a material uncertainty exists, we are required to draw attention in our auditors’report to the related disclosures in the financial statements or, if such disclosures are inadequate,to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date ofour auditors’ report. However, future events or conditions may cause aqam to cease to continueas a going concern. Evaluate the overall presentation, structure and content of the financial statements, including thedisclosures, and whether the financial statements represent the underlying transactions andevents in a manner that achieves fair presentation. Communicate with those charged with governance regarding, among other matters, the plannedscope and timing of the audit and significant audit findings, including any significant deficiencies ininternal control that we identify during our audit. Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding thefinancial information of the entities or business units within the group as a basis for forming anopinion on the group financial statements. We are responsible for the direction, supervision andreview of the audit work performed for the purposes of the group audit. We remain solelyresponsible for our audit opinion.Chartered Professional AccountantsKelowna, CanadaJune 17, 2025

AQAMConsolidated Statement of Operations and Accumulated SurplusYear ended March 31, 2025, with comparative information for 2024 2025Budget20252024(note 1(h))Revenue:Transfers from other governments:Government of Canada $ 5,920,465 $ 4,539,206 $ 12,366,034Province of British Columbia 2,422,865 3,604,740 2,752,528First Nations Health Authority 1,026,106 964,612 950,797Ktunaxa Nation Council 52,890 52,890 52,889First Nations Goods and Service Tax 234,000 366,289 272,146Grants2,253,7391,685,6291,573,018Impact Management and Benefit Agreement(IMBA) and Economic and CommunityDevelopment Agreement (ECDA)30,000,00023,916,50912,728,558Columbia River Treaty revenue sharing 5,500,0004,172,3779,255,719British Columbia First Nations GamingRevenue Sharing Limited Partnership385,465343,904431,137Property taxation 79,819 62,702 78,239User fees 203,488 198,077 206,661Rent and lease 123,600 119,940 143,389Interest and investment 1,411,500 4,052,538 2,537,801Other1,112,666 6,214,127 1,014,221Equity in earnings (loss) of businessenterprises (note 5)89,040(375,230)254,69550,815,64349,918,31044,617,832Expenses (Schedule 1):Administration7,312,8618,811,8671,392,482Education541,628480,693546,805Elementary School1,905,7632,064,6641,889,129Social Development450,848488,059582,641Maintenance of Facilities1,769,7741,252,5301,964,228aqamnik Daycare605,964529,167344,061Community Services1,395,5831,255,1901,111,109Taxation3,2763,5283,199Lands and Natural Resources2,234,1952,959,8131,021,556Water System101,96361,27692,389Language, Culture and Community1,292,306859,469862,005Capital 816,7961,049,093571,46418,430,95719,815,34910,381,068Surplus$32,384,68630,102,96134,236,764Accumulated operating surplus, beginning of year 83,792,70149,555,937Accumulated operating surplus, end of year$113,895,662$83,792,701See accompanying notes to consolidated financial statements.2

AQAM Consolidated Statement of Changes in Net Financial AssetsYear ended March 31, 2025, with comparative information for 20242025Budget20252024(note 1(h))Surplus $32,384,686$30,102,961$34,236,764Changes to non-financial assets:Acquisition of tangible capital assets(2,213,973)(1,241,238)(750,736)Amortization of tangible capital assets517,045609,870604,192Net book value of tangible capital assetsdisposed or expensed-147,91436,700(1,696,928)(483,454)(109,844)Acquisition of prepaid expenses anddeposits-(228,571)(288,152)Use of prepaid expenses and deposits-288,152251,769- 59,581(36,383)Net remeasurement gain1,079,04026,660Increase in net financial assets$30,687,75830,758,12834,117,197Net financial assets, beginning of year70,313,28036,196,083Net financial assets, end of year$101,071,408$70,313,280See accompanying notes to consolidated financial statements. 3

AQAMConsolidated Statement of Remeasurement Gains and Losses Year ended March 31, 2025, with comparative information for 202420252024Portfolio investments:Accumulated remeasurement gain, beginning of year$26,660$-Net unrealized gain1,079,04026,660Accumulated remeasurement gain, end of year$1,105,700$26,660See accompanying notes to consolidated financial statements. 4

AQAMConsolidated Statement of Cash FlowsYear ended March 31, 2025, with comparative information for 202420252024Cash provided by (used in):Operating activities:Cash received from the Government of Canada$4,016,711$11,058,079Cash received from transfers, grants and contractualrights35,965,60327,396,664Cash received from taxes, user fees, rent, and otherrevenue5,196,8432,133,474Cash paid to employees and suppliers(19,143,000)(8,073,372)Interest received 4,052,5382,537,80130,088,69535,052,646Financing activities:Loan proceeds132,809-Capital activities:Acquisition of tangible capital assets(1,241,238)(750,736)Proceeds on disposal of tangible capital assets7,00080,000(1,234,238)(670,736)Investing activities:Increase in restricted cash, cash equivalents andinvestments(29,966,993)(33,862,976)Decrease in investments60,55050,000Contributions to business enterprises(150,000)-(30,056,443)(33,812,976)Increase (decrease) in cash and cash equivalents(1,069,177)568,934Cash and cash equivalents, beginning of year2,116,4991,547,565Cash and cash equivalents, end of year$1,047,322$2,116,499Non-cash financing, capital and investing activities:Equity in earnings (loss) of business enterprises$(375,230)$254,695Net remeasurement gain1,079,04026,660See accompanying notes to consolidated financial statements. 5

AQAMNotes to Consolidated Financial StatementsYear ended March 31, 2025aqam provides local government, education, and social development services to its members. aqam isorganized under the Indian Act of Canada. 1. Basis of presentation and significant accounting policies:These consolidated financial statements include the assets, liabilities, and results of operationsof aqam and all related entities and organizations subject to control by aqam's Nasukin andCouncil. No inclusion has been made of assets, liabilities, revenue or expenses of aqammembers, individually or collectively, incorporated or unincorporated, that are not controlled byor the responsibility of aqam's Nasukin and Council.These consolidated financial statements have been prepared in accordance with Canadiangenerally accepted accounting principles for local governments, as established by the PublicSector Accounting Board, which encompasses the following principles:(a) Fund accounting:aqam uses fund accounting procedures which result in a self-balancing set of accounts foreach fund established by legal, contractual or voluntary actions. The various funds havebeen combined for the purpose of presentation in the consolidated financial statements. (b) Reporting entity and basis of consolidation:aqam's reporting entity includes aqam community government and all related entities andorganizations which are accountable for the administration of their financial affairs andresources to aqam and are either owned or controlled by aqam.6

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20251. Basis of presentation and significant accounting policies (continued):(b) Reporting entity and basis of consolidation (continued):i) Investment in business enterprises:aqam accounts for its investments in government business enterprises (GBE) andgovernment business partnerships (GBP) on a modified equity basis. Under the modifiedequity basis, the GBE's and GBP's accounting policies are not adjusted to conform withthose of aqam and inter-organizational transactions and balances are not eliminated.aqam recognizes its equity interest in the annual earnings or loss of the GBE's and GBP'sin its consolidated statement of operations with a corresponding increase or decrease inits investment asset account. Any distributions that aqam may provide to or receive fromthe GBE's and GBP's will be reflected as an increase or decrease in the investment assetaccount.aqam's government business enterprises investments consist of the following:aqam Trading Ltd. - 100% interest aqam Resources Ltd. - 100% interest aqam Community Enterprises Ltd. - 100% interestaqam's government business partnerships consist of aqam's 99.9% interest in thefollowing partnerships:aqam Trading Limited Partnership aqam Resources Limited Partnership aqam Community Enterprises Limited Partnershipii) Investments:Investments in entities in which aqam does not control individually or jointly are recordedat acquisition cost. If there has been an other than temporary decline in the value of aninvestment, the investment is written down to its net realizable value.iii) Trust funds:Trust funds and their related operations administered by aqam (note 15) are notincluded in these consolidated financial statements.(c) Cash and cash equivalents:Cash and cash equivalents includes, cash and investments in highly liquid money marketfunds, and which are readily convertible to known amounts of cash.7

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20251. Basis of presentation and significant accounting policies (continued):(d) Revenue recognition:Government transfers and grants are recognized as aqam becomes entitled to the fundingunder the terms of applicable funding agreements and is recorded in the period in which theresources are used for the purpose specified in the agreements. Restricted funding receivedwhich relates to a subsequent fiscal period or which stipulations that give rise to an obligationare reported as deferred revenue until the resources are used for the purpose or purposesspecified and/or the stipulations giving rise to an obligation have been met.Rent, lease, interest and user fee revenue is recognized on a monthly basis as income isearned and when collection is reasonably assured. Property and First Nation Goods andService tax revenues are recognized at the time the taxes are levied.Other revenue, including sales of goods, provision of services, or other contributions arerecognized in the period the goods or services are provided, any contribution stipulationshave been met, and the related proceeds are received or receivable. aqam accounts for revenue received form contractual arrangements, such IMBA, ECDA,British Columbia First Nations Gaming revenue sharing and Columbia River Treaty revenuesharing in the year the proceeds are received or considered receivable and the amount canbe reasonably estimated.8

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20251. Basis of presentation and significant accounting policies (continued):(e) Tangible capital assets:Tangible capital assets are recorded at cost less accumulated amortization. Cost includes allcosts directly attributable to acquisition or construction of the tangible capital asset includingtransportation costs, installation costs, design and engineering fees, legal fees and sitepreparation costs. Contributed tangible capital assets are recorded at fair value at the time ofthe donation with a corresponding amount recorded as revenue. Tangible capital assetsunder construction are not amortized until the asset is available for use.Tangible capital assets are amortized over their expected useful lives as follows:Asset Basis AmountBuildingsStraight-line2.5 - 5%InfrastructureStraight-line2 - 8%EquipmentStraight-line and20 to 25%Declining balance6.67 - 20%AutomotiveDeclining balance10 - 16.67%When management determines that a tangible capital asset no longer contributes to aqam'sability to provide goods and services or that the value of future benefits associated with thetangible capital asset is less than its net book value, the cost of the tangible capital asset iswritten down to its net recoverable amount.All intangible assets and items inherited by right of aqam, such as land, forests, water,natural resources and cultural and historic assets, are not recognized in aqam's consolidatedfinancial statements.(f) Use of estimates:The preparation of financial statements requires management to make estimates andassumptions that affect the reported amounts of financial and non-financial assets andliabilities and disclosure of contingent assets and liabilities at the date of the financialstatements and the reported amounts of revenue and expenses during the reporting period.Actual results could differ from those estimates.Areas requiring management estimates include the recoverable amount of accountsreceivable and investments and the useful lives of and net future economic benefitsassociated with tangible capital assets. Management reviews these estimates on a periodicbasis and at least annually. Where necessary, management makes adjustments to thesebenefits prospectively.9

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20251. Basis of presentation and significant accounting policies (continued):(g) Financial instruments:Financial instruments are initially classified upon initial recognition as a fair value or anamortized cost instrument. Instruments classified as fair value instruments includeinvestments in equity instruments that are quoted in an active market, and any other itemselected by aqam to be recorded at fair value. All other financial instruments are recorded atamortized cost. Transaction costs directly attributable to the acquisition or issue of a financialinstrument are added to the amortized cost or expensed if related to instruments recorded ona fair value basis. The effective interest rate method is used to measure interest for financialinstruments recorded at amortized cost.All financial assets are assessed for impairment on an annual basis. When a decline isdetermined to be other than temporary, the amount of the loss is reported in the statement ofoperations. For instruments measured at fair value, unrealized gains or losses are adjustedthrough the statement of remeasurement gains and losses. When the asset is sold, theunrealized gains and losses previously recognized in the statement of remeasurement gainsand losses are reversed and recognized in the statement of operations. (h) Budget data:The budget data presented in these consolidated financial statements have been derivedfrom the budget approved by aqam's Nasukin and Council on March 12, 2024 and a budgetamendment approved by aqam's Nasukin and Council on November 5, 2024.Initial budget Adjustments Amended budgetRevenue $ 24,655,268 $ 26,160,375 $ 50,815,643Expenses (10,620,882) (7,810,075) (18,430,957)Surplus $ 14,034,386 $ 18,350,300 $ 32,384,686Adjustments to the initial budget consists of significant adjustments to revenue related toanticipated capital funding, other adjustments in revenue and expenses, and the refinementof allocation between accounts. 10

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20251. Basis of presentation and significant accounting policies (continued):(i) Contaminated site liabilities:Contaminated sites are a result of contamination being introduced into air, soil, water orsediment of a chemical, organic or radioactive material or live organism that exceeds anenvironmental standard. A liability for remediation of contaminated sites is recognized whenan environmental standard exists, contamination exceeds the environmental standard, aqamis directly responsible and accepts responsibility, future economic benefits will be given upand a reasonable estimate can be made. The liability includes all costs directly attributableto remediation activities including post remediation operations, maintenance and monitoring.An expected recoveries from other parties, including other governments, are recorded as areduction of the liability. As at March 31, 2025, aqam did not have any significantcontaminated site liabilities. (j) Asset retirement obligations:An asset retirement obligation is recognized when there is a legal obligation to incurretirement costs in relation to a tangible capital asset, the transaction giving rise to theobligation has occurred, cash or other economic benefits are expected to be given up in thefuture and a reasonable estimate of the obligation can be made. As at March 31, 2025, aqamdid not have any significant asset retirement obligations. (k) Segmented disclosures:A segment is defined as a distinguishable activity or group of activities of a government forwhich it is appropriate to separately report financial information to achieve the objectives ofthe standard. aqam has determined the most appropriate basis for classifying segments isby program. Segmented disclosures are provided in (note 19) and Schedule 2 to theconsolidated financial statements. 11

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20252. Restricted cash, cash equivalents and investments:aqam maintains its cash balances in several financial institutions in British Columbia. TheCanada Deposit Insurance Corporation (CDIC) insures each of these accounts. The aggregatefunds held in each institution may exceed the CDIC insured limit from time to time and specificfunds held by each institution may not be covered by CDIC Insurance. Management does notanticipate any material effect on the consolidated financial position of aqam as a result of theseconcentrations.Certain cash, cash equivalents and investments have been internally restricted by aqam orexternally restricted by federal or provincial government authorities for the following specificpurposes. Restricted cash, cash equivalents and investments includes cash and cashequivalents (with interest rates from 0.04% to 4.15%) and portfolio investments that are quoted inan active market. Restricted cash, cash equivalents and investments balances include thefollowing:2025 2024Cash and cash equivalents $ 77,106,874 $ 56,747,906Bonds and other fixed income 9,963,201 4,764,320Canadian equities 4,241,216 2,107,167Foreign equities 6,184,842 2,830,707$ 97,496,133 $ 66,450,100As at March 31, 2025, the total unrealized gain for aqam's portfolio investments was $1,105,700(2024 - $26,660), which has been reflected in the statement of remeasurement gains and losses.12

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20252. Restricted cash, cash equivalents and investments (continued):Restricted cash, cash equivalents and investments consist of the following reserves.20252024Internally restricted reserves: (note 11)IMBA and ECDA$65,485,074$37,455,401Columbia River Treaty13,428,0969,255,719British Columbia First Nation (BCFN) shared gaming942,643959,424Church restoration6,0466,046Community development823,627916,222Community health633,670552,854Education1,649,8021,649,802Relationship Agreements1,800,000-Lands10,735,3838,030,327Water248,082227,619Daycare23,54123,541Specific claims1,363,5387,067,507Member loan8,6108,410Capital278,832228,832Emergency planning2,0002,00097,428,94466,383,704Externally restricted: (note 13)Trust Funds on deposit with Indigenous ServicesCanada 67,18966,396$97,496,133$66,450,10013

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20253. Accounts receivable:20252024Government of Canada$867,550$799,474Province of British Columbia46,2971,463,940Columbia River Treaty revenue sharing1,652,975-First Nations Goods and Services Tax278,110181,280Ktunaxa Nation Council15,1171,123Columbia Basin Trust15,000169,000aq'am Community Enterprises Limited Partnership1,852-aq'am Trading Limited Partnership7162,922Members50,34235,653Other1,272,896142,3694,200,8552,795,761Less allowance for doubtful accounts (46,189)(28,146)$4,154,666$2,767,615aqam's allowance for doubtful accounts is based on an assessment of the nature of theoutstanding balance, the debtor circumstances and the number days the respective account hasbeen receivable.14

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20254. Investments:20252024Ktunaxa Nation entities:Ktunaxa Holdings Limited Partnership ("KHLP"), limitedpartnership interest$339,451$400,001Ktunaxa Enterprises Ltd. ("KEL"), shares, at cost11SEM Holdings Ltd. ("SHL"), shares and advances1,000,0011,000,001St. Eugene Mission Holdings Ltd. ("SEMHL"), shares, at cost 11St. Eugene Mission Development Corporation ("SDC"),shares, at cost11BCFN Gaming Revenue Sharing entities:BCFN Gaming Revenue Sharing General Partner Inc. ("BCFNGR GP"),shares, at cost1010BCFN Gaming Revenue Sharing Limited Partnership ("BCFNGR LP"), limited partnership interest, at cost100100$1,339,565$1,400,115aqam holds 20% limited partnership interest in KHLP, in which KEL is the general partner. KHLPholds a 99.99% interest in Nupqu Development Limited Partnership ("NDLP"). NDLP's generalpartner is Nupqu Development Corporation, in which KEL holds a 100% interest. aqam'sinvestment in KEL consists of 20% beneficial interest in one common share. aqam's investmentin KHLP and KEL are recorded at cost as aqam does not control or jointly control KHLP's or KEL'soperations or assets. aqam records earnings from its investment in KHLP based on cashdistributions of limited partnership earnings received. aqam's investment consists of its initial costof $39,010, an additional investment of $500,000, by way of a partnership contribution, in KHLP,less an impairment provision of $39,009. During the year ended March 31, 2025, aqam received acapital distribution of $30,275 (2024 - $50,000) recorded as a decrease in aqam's investment, andan earnings distribution of $35,577 (2024- $12,500) which is recorded in other revenue.aqam's investment in SHL consists of 20% beneficial interest in one common share. SHL'sassets, at March 31, 2025, include a 33% share of the SEM Resort Limited Partnership. As aqam,through its investment, does not control or jointly control SHL, the investment has been recordedusing the cost method. During the year-ended March 31, 2023, aqam advanced SHL $1,000,000,by was of an interest bearing loan. The loan bears interest at Bank of Montreal's prime rate plus1.5%, is repayable in monthly installments over a 25 year term, commencing July 2024, and issecured by a general security agreement. Interest revenue includes $84,458 (2024 - $88,589) ofinterest from this loan.aqam's investment in SEMHL consists of 20% beneficial interest in one common share. SEMHL'sprimary assets, at March 31, 2025 include a 100% share of the SHL. As aqam, through itsinvestment, does not control or jointly control SHL, the investment has been recorded using thecost method. 15

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20254. Investments (continued):aqam's investment in SDC consists of 20% beneficial interest in one common share. SDC'sprimary asset is the head lease for the SEM Resort Limited Partnership. As aqam, through itsinvestment, does not control or jointly control SDC, the investment has been recorded using thecost method.aqam's investment in BCFN GR GP consists in a share in the capital of the General Partner byway of $10 capital contribution. As aqam, through its investment, does not control or jointly controlBCFN GR GP, the investment has been recorded using the cost method. aqam's investment in BCFN GR LP subscribes for an interest in the Partnership, by way of a $100capital contribution. As aqam, through its investment, does not control or jointly control BCFN GRLP, the investment has been recorded using the cost method. Total BCFN gaming revenuesharing contributions for the year totaled $343,904 (2024 - $431,137).5. Investments in business enterprises:20252024Government business enterprises$775,021$775,059Government business limited partnerships 2,665,5272,890,719$3,440,548$3,665,778The change in aqam's investment in government business enterprises and partnerships consistsof the following:2025 2024Equity in earnings (loss) of business enterprises $ (375,230) $ 254,695Contributions to business enterprises 150,000 -$(225,230)$254,69516

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20255. Investments in business enterprises (continued):(a) Government business enterprises (GBE): (i) aqam has made investments in wholly-owned incorporated entities, summarized as follows: 20252024aqam Trading Ltd.:Investment in shares, at cost$1$1Accumulated loss(48)(28)(47)(27)aqam Resources Ltd.:Investment in shares, at cost11Advances775,000775,000Accumulated equity185169775,186775,170aqam Community Enterprises Ltd.:Investment in shares, at cost11Accumulated loss(119)(85)(118)(84)$775,021$775,05917

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20255. Investments in business enterprises (continued):(a) Government business enterprises (GBE) (continued):aqam Resources Ltd., aqam Community Enterprises Ltd., and aqam Trading Ltd. are generalpartners for aqam Resources Limited Partnership, aqam Community Enterprises LimitedPartnership, and aqam Trading Limited Partnership, respectively. The fiscal year end of theGBE's is December 31 and the financial information provided below is as at and for the yearsended December 31, 2024 with comparative information for the years ended December 31,2023. No material changes in the GBE balances and operations from their fiscal year end dateto March 31, 2025 were identified.(ii) Financial information for wholly-owned incorporated entities is summarized as follows:aqamaqamaqam CommunityDecember 31, 2024Trading Ltd.Resources Ltd.Enterprises Ltd.Balance sheet information:Assets$(46)$775,186$(118)Liabilities-775,000-Shareholder's equity(46)186(118)Results of operations:Net earnings (loss)(19)16(35) aqamaqamaqam CommunityDecember 31, 2023Trading Ltd.Resources Ltd.Enterprises Ltd.Balance sheet information:Assets$(27)$775,170$(84)Liabilities-775,000-Shareholder's equity(27)170(84)Results of operations:Net earnings (loss)(13)66(26) 18

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20255. Investments in business enterprises (continued):(b) Government business partnerships (GBP):(i) aqam's investment in GBP's consists of the following:20252024aqam Trading Limited Partnership:Partnership equity interest$1,654,286$1,696,800aqam Resources Limited Partnership:Partnership equity interest1,669,1941,506,827aqam Community Enterprises Limited Partnership:Partnership equity interest(657,953)(312,908)$2,665,527$2,890,719aqam Trading Limited Partnership (aqam Trading LP):aqam Trading LP, in which aqam is a limited partner holding 99.99% of units, operates agas station and convenience store.aqam Resources Limited Partnership (aqam Resources LP):aqam Resources LP, in which aqam is a limited partner holding 99.99% of units, managesvarious resources projects, such as forestry, mineral or gravel extraction and renewableenergy. aqam Community Enterprises Limited Partnership (aqam Community Enterprises LP):aqam Community Enterprises LP, in which aqam is a limited partner holding 99.99% ofunits, operates and invests in other community economic opportunities.The fiscal year end of the GBP's is December 31 and the financial information provided belowis as at and for the years ended December 31, 2024, with comparative information for theyears ended December 31, 2023. There were no material changes in the GBP operations fromtheir fiscal year end date to March 31, 202519

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20255. Investments in business enterprises (continued):(b) Government business partnerships (GBP) (continued):(ii) Financial information relating to aqam's GBP investments is as follows:aqam Communityaqam Tradingaqam ResourcesEnterprisesDecember 31, 2024LPLPLPBalance sheet information:Assets$1,665,299$2,871,181$584,337Bank loans72,784834,750-Other liabilities88,276358,0511,242,409Partnership equity1,504,2391,678,380(658,072)Results of operations:Revenues2,063,637813,981193,270Expenses2,256,171651,598538,350Net earnings (loss)(192,534)162,383(345,080)aqam Communityaqam Tradingaqam ResourcesEnterprisesDecember 31, 2023LPLPLPBalance sheet information:Assets$1,786,198$1,981,066$443,376Liabilities89,425474,069756,368Partnership equity1,696,7731,506,997(312,992)Results of operations:Revenues2,152,729910,21162,282Expenses2,295,620249,025325,882Net earnings (loss)(142,891)661,186(263,600)6. Accounts payable and accrued liabilities:20252024Trade accounts payable and accrued liabilities$364,147$361,112Wages and benefits320,499349,619Government remittances77,18226,646Wildfire Emergency Management1,481,6841,662,194$2,243,512$2,399,57120

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20257. Deferred revenue:Deferred revenue represents contributions received of which the funds are restricted for specificprojects or programs and of which the expenses have not yet been incurred.20252024Government of Canada$1,752,880$2,207,299Province of British Columbia123,716300,240Columbia Basin Trust791,342555,571First Nation Health Authority559,380265,376Grants and other803,187358,770$4,030,505$3,687,256The net change in deferred revenue for the year was as follows:20252024Balance beginning of year $ 3,687,256 $ 3,756,740Contributions received 4,218,938 3,996,050Amounts recorded in revenue (3,875,689) (4,065,534)Balance, end of year$4,030,505$3,687,2568. Loan:20252024Interim loan, non-interest bearing and repayable on the earlierof aqam's receipt of proceeds from its specific claim with theGovernment of Canada or March 31, 2029$132,809$-Scheduled principal payments are as follows:2029$132,80921

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 20259. Tangible capital assets:Equipment & ConstructionMarch 31, 2025 BuildingsInfrastructureAutomotivein ProgressTotalCost:Beginning of year$13,014,843$4,593,035$2,329,612$997,645$20,935,135Acquisitions--625,842615,3961,241,238Expensed--- (144,550) (144,550)Disposals --(81,644)-(81,644)End of year13,014,8434,593,0352,873,8101,468,49121,950,179Accumulated amortization:Beginning of year4,439,1701,699,3681,578,668- 7,717,206Amortization343,834109,405156,631- 609,870Disposals--(78,280)- (78,280)End of year4,783,0041,808,7731,657,019-8,248,796Net book value, end of year$8,231,839$2,784,262$1,216,791$1,468,491$13,701,383Construction in progress includes $832,510 in relation to a backup well, $460,654 in relation tohousing and $175,327 in relation to road construction. Equipment & ConstructionMarch 31, 2024 BuildingsInfrastructureAutomotivein ProgressTotalCost:Beginning of year$13,014,843$4,593,035$1,834,616$833,883$20,276,377Acquisitions --586,974163,762750,736Disposals--(91,978)-(91,978)End of year13,014,8434,593,0352,329,612997,64520,935,135Accumulated amortization:Beginning of year4,095,3361,589,9631,482,993-7,168,292Amortization343,834109,405150,953-604,192Disposals--(55,278)-(55,278)End of year4,439,1701,699,3681,578,668-7,717,206Net book value, end of year$8,575,673$2,893,667$750,944$997,645$13,217,92922

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202510. Accumulated surplus:20252024 Unrestricted operating surplus$3,803,846$4,151,332Internally restricted surplus (note 11)97,428,94466,383,704101,232,79070,535,036Invested in tangible capital assets (note 12)13,701,38313,217,929Externally restricted surplus (note 13)67,18966,396$115,001,362$83,819,36111. Internally restricted surplus:BeginningbalanceContributionsInvestmentrevenueApprovedexpensesEndingbalanceIMBA and ECDA$37,455,401$24,677,359$3,352,314$-$65,485,074Columbia RiverTreaty 9,255,7194,172,377--13,428,096BCFN gaming959,424343,904-(360,685)942,643Church restoration6,046---6,046Communitydevelopment916,22272,904-(165,499)823,627Community health552,85480,816--633,670Education1,649,802---1,649,802RelationshipAgreements-1,800,000--1,800,000Lands8,030,3272,705,056--10,735,383Water227,61920,463--248,082Daycare23,541---23,541Specific claims7,067,507-45,028(5,748,997)1,363,538Member loans8,410-200-8,610Capital 228,83250,000--278,832Emergency planning2,000---2,000$66,383,704$33,922,879$3,397,542$(6,275,181)$97,428,944.23

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202512. Invested in tangible capital assets:(a) Investment in tangible capital assets:20252024Tangible capital assets$13,701,383$13,217,929(b) Change in invested in tangible capital assets:20252024Balance, beginning of year$13,217,929$13,108,085Acquisition of tangible capital assets1,241,238750,736Amortization of tangible capital assets(609,870)(604,192)Net book value of tangible capital assetsdisposed or expensed(147,914)(36,700)Balance, end of year$13,701,383$13,217,92913. Externally restricted surplus:Trust funds on deposit with Indigenous Services Canada consist of the following:BeginningbalanceContributionsInterestApprovedTransfersEndingBalanceCapital$65,275$-$-$-$65,275Revenue1,1218272,188(2,222)1,914$66,396$827$2,188$(2,222)$67,189The Trust accounts arise from capital or revenue sources as outlined in Section 62 of the IndianAct. These funds are held in trust in the Consolidated Revenue Fund of the Government ofCanada. These funds are restricted in their use, of which aqam is generally permitted to use for apurpose that will promote the general progress and welfare of aqam and aqam members. Themanagement of the funds is primarily governed by the sections of the Indian Act.24

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202514. Commitments and contingencies:(a) Contractual commitments:aqam has an outstanding equipment operating leases with annual payments totaling of$1,896, expiring May 2026 and August 2026. aqam has an outstanding garbage removalcontract with annual payments of $32,200, expiring March 2026.aqam has entered into contractual obligations for ongoing construction projects, with aremaining commitment of $336,173 as at March 31, 2025.The total commitments described above for the next two years is as follows:2026$370,2692027484$370,753(b) Housing loan guarantees:aqam is contingently liable as a guarantor of housing loans for aqam members ofapproximately $240,000 under the BMO on Reserve Residential Mortgage Housing LoanProgram. 15. Trust funds:Funds held in trust and administered by aqam, in the amount of $149,871 (2024 - $120,987) arenot included within the financial statements.25

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202516. Related party transactions:In the normal course of its operations, aq'am incurs transactions with related parties, includingwith aq'am's GBEs and GBPs (note 5), the Ktunaxa Nation Council and with other Ktunaxa Nationcommunities and Ktunaxa Nation entities. The transactions were recorded at the exchangeamount, which is the amount agreed upon by the parties.Transactions with GBEs and GBPs including the following:20252024aqam Trading LP:Other revenue - maintenance, financial andoperations support$34,577$45,034Programming expense - included in Lands andNatural Resources, Maintenance of Facilities andCommunity Services25,10033,334aqam Community Enterprises LP:Rent revenue-9,450Other revenue - financial and operations support8,42928,721Programming expense - included in Communityservices34,00012,711aqam Resources LP:Other revenue - financial and operations support2,000- aqam Flagging and Safety Ltd.: Other revenue - financial and operations support5,597-Miscellaneous expenses8137,758Transactions with the Ktunaxa Nation Council and with other Ktunaxa Nation communities andKtunaxa Nation entities including the following:20252024Ktunaxa Nation Council:Funding received$11,631$52,889Administration and programming expense - includedin Administration, Elementary School and Daycare3,0216,457St. Eugene Mission Resort:User fees revenue147,035136,351Miscellaneous expense - included in Administration,Language and culture , Daycare and Capital51,78939,341Nupqu Resources Limited Partnership:Property taxation, rent and lease and user feerevenue17,89047,461Programming expense - included in Lands andNatural Resources197,07227,59526

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202516. Related party transactions (continued):20252024Ktunaxa Kinbasket Child and Family Social Services:Rent revenue171,258120,216Yaqitaknuqti'it:Programming expense - included in Lands andResource Management95,699-SEM Holdings Limited :Interest revenue122,52214,49217. Employee future benefits:aqam matches employee contributions to a defined contribution plan, which is administered byGreat West Life. The total pension expense, representing employer contributions to the plan, forthe year was $240,425 (2024 - $148,050).18. Financial risks and concentration of risks:(a) Credit and market risk:Credit risk refers to the risk that counterparty may default on its contractual obligationsresulting in a financial loss. As disclosed in note 2, aqam holds its cash with federallyregulated chartered banks. Cash equivalents are held in interest bearing cash accounts ormoney market funds readily convertible to cash. Investments are held as disclosed in note 2and are subject to credit and market risk.(b) Interest rate and cash flow risk:Interest rate risk relates to the impact of changes in interest rates on aqam's future cashinflows from its investments and future cash outflows on its term debt. aqam's cash andcash equivalents are held in cash or short term money market instruments, accordingly,aqam is not subject to significant interest rate risk in regards to these financial assets. aqam is subject to interest rate and cash flow risk with respect to its restricted cash, cashequivalents and investments (note 2).27

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202518. Financial risks and concentration of risks (continued):(c) Liquidity risk:Liquidity risk is the risk that aqam will not be able to meet its financial obligations as theybecome due. aqam monitors the maturity of its financial liabilities and assesses whether ithas sufficient cash to settle these financial obligations when due.The following table summarizes the contractual maturities of aqam's financial liabilities:March 31, 2025 On demand Up to 1 year Over 1 year TotalAccounts payable andaccrued liabilities$2,243,512$-$-$2,243,512Loan--132,809132,809$2,243,512$-$132,809$2,376,321March 31, 2024 On demand Up to 1 year Over 1 year TotalAccounts payable andaccrued liabilities$2,399,571$-$-$2,399,571(d) Economic dependence and market conditions:aqam receives a major portion of its revenue from the Government of Canada pursuant tofunding agreements with Indigenous Services Canada. Any disruption in this funding couldhave a negative effect on aqam's operations.28

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202519. Segmented information:Segmented information has been identified based upon lines of service provided by aqam.aqam's services are provided by departments and its activities are reported by functional area inthe body of the financial statements. Certain lines of service that have been separately disclosedand are summarized below, with activity for the year ended March 31, 2025 summarized inSchedule 2.(a) AdministrationAdministration provides the functions of corporate administration, finance, human resources,legislative services, and elected officials.(b) EducationEducation is responsible for administering and facilitating education programs such assecondary education, university qualifying credit courses and community educationprograms.(c) Elementary SchoolElementary school is responsible for administering and facilitating on-reserve educationprograms and services from kindergarten to grade seven.(d) Social DevelopmentSocial development provides social programs to aqam members.(e) Maintenance of FacilitiesMaintenance of facilities includes funding for and expenses related to the repair andmaintenance of aqam’s land, community water systems, roads, equipment, and buildings.(f) aqamnik Daycareaqamnik Daycare relates to the operation of a daycare for pre-school aged children underProvince of British Columbia licensing.(g) Community ServicesCommunity services includes salaries and expenses related to the operation of a communityhealth and wellness programs to aqam members.29

AQAMNotes to Consolidated Financial Statements (continued)Year ended March 31, 202519. Segmented information (continued):(h) TaxationTaxation includes revenues from property tax levies, goods and services tax and fundsreceived from impact benefits and costs related to the administration of the property taxationdepartment.(i) Lands and Natural ResourcesLands and natural resources includes revenue and expenses related to the management andplanning of aqam’s land and resources.(j) Water SystemWater system includes revenue and expenses related to the operation of aqam’s Lot 10water system.(k) Language, Culture and CommunityLanguage, Culture and Community includes grant and other funding and expenses related tothe advancement of aqam's language and culture.(l) CapitalCapital includes grant and other funding and related expenses for the upgrade and additionto aqam’s tangible capital assets.(m) Economic DevelopmentEconomic Development includes aqam's interest in GBEs, GBPs and other investments.20. Comparative figures:Certain comparative figures have been reclassified to conform with the financial statementpresentation adopted for the current year.30

AQAMSchedule 1 - Consolidated Expenses by ObjectYear ended March 31, 2025, with comparative information for 2024 20252024 Accounting and legal$355,725$217,666Amortization609,870604,192Automotive64,66369,905Bad debts (recovery)18,043(5,942)Education334,460407,630Grants and bursaries (education and other)512,579624,734Honoraria306,192228,649Insurance209,419166,493Gain on disposal of tangible capital assets(3,636)(43,300)Member distributions5,748,997-Office and miscellaneous328,668116,113Programming3,707,123977,926Repairs and maintenance827,8991,164,302Social health and child benefits460,057479,216Supplies571,738499,991Training131,71199,734Travel53,92752,605Utilities179,208211,659Wages and benefits5,398,7064,509,495 $19,815,349$10,381,06831

AQAMSchedule 2 - Segmented InformationYear ended March 31, 2025, with comparative information for 2024Year ended March 31, 2025Contributions toAmortizationGovernment Contractual(from) Other and loss (gain)Wages and Surplusof CanadaArrangements Other Programs Total on disposal ProgrammingBenefits Other Total(deficit)Administration 388,162$ 28,432,790$ 6,683,759$ (754,440)$ 34,750,271$ -$ 1,058,085$ 1,006,313$ 6,747,469$ 8,811,867$ 25,938,404$ Education 533,073 - - 52,380 585,453 - - - 480,693 480,693 104,760 Elementary School 1,154,578 - 1,126,974 216,888 2,498,440 - 131,456 1,564,475 368,733 2,064,664 433,776 Social Development 533,059 - - 45,000 578,059 - 120 77,271 410,668 488,059 90,000 Maintenance of Facilities 485,531 - 204,431 (562,568) 127,394 - 73,112 650,809 528,609 1,252,530 (1,125,136) aq'amnik Daycare - - 549,167 20,000 569,167 - - 449,098 80,069 529,167 40,000 Community Services 343,263 - 1,289,225 246,482 1,878,970 - 84,032 876,368 294,790 1,255,190 623,780 Taxation - - 458,060 381,627 839,687 - - - 3,528 3,528 836,159 Lands and Natural Resources 360,818 - 5,667,788 363,737 6,392,343 - 1,841,192 463,455 655,166 2,959,813 3,432,530 Water System 71,713 - 146,953 136,927 355,593 - - - 61,276 61,276 294,317 Language, Culture and Community18,361 - 880,798 3,886 903,045 - 519,126 310,917 29,426 859,469 43,576 Capital 650,648 - 194,355 (149,919) 695,084 606,233 - - 442,860 1,049,093 (354,009) Economic Development - - (255,196) - (255,196) - - - - - (255,196) 4,539,206$ 28,432,790$ 16,946,314$ -$ 49,918,310$ 606,233$ 3,707,123$ 5,398,706$ 10,103,287$ 19,815,349$ 30,102,961$ Year ended March 31, 2024Contributions toAmortizationGovernment Contractual(from) Other and loss (gain)Wages and Surplusof CanadaArrangements Other Programs Total on disposal ProgrammingBenefits Other Total(deficit)Administration 7,455,272$ 22,415,414$ 2,358,978$ (598,210)$ 31,631,454 -$ -$ 846,606$ 545,876$ 1,392,482$ 30,238,972$ Education 549,862 - 450 52,380 602,692 - - - 546,805 546,805 55,887 Elementary School 1,892,489 - 937,756 327,923 3,158,168 - 111,864 1,459,744 317,521 1,889,129 1,269,039 Social Development 652,641 - - 70,000 722,641 - 105,151 70,373 407,117 582,641 140,000 Maintenance of Facilities 1,092,908 - 309,904 (601,706) 801,106 - 52,023 553,919 1,358,286 1,964,228 (1,163,122) aq'amnik Daycare - - 307,907 16,735 324,642 - - 281,600 62,461 344,061 (19,419) Community Services 158,736 - 1,211,154 258,781 1,628,671 - 29,036 787,674 294,399 1,111,109 517,562 Taxation - - 384,703 344,080 728,783 - - - 3,199 3,199 725,584 Lands and Natural Resources 353,815 - 2,977,146 335,478 3,666,439 - 70,028 269,071 682,457 1,021,556 2,644,883 Water System 69,597 - 143,911 136,176 349,684 - - - 92,389 92,389 257,295 Language, Culture and Community- - 581,991 13,441 595,432 - 599,285 240,508 22,212 862,005 (266,573) Capital 140,714 - 266,700 (355,078) 52,336 560,892 10,539 - 33 571,464 (519,128) Economic Development - - 355,784 - 355,784 - - - - - 355,784 12,366,034$ 22,415,414$ 9,836,384$ -$ 44,617,832$ 560,892$ 977,926$ 4,509,495$ 4,332,755$ 10,381,068$ 34,236,764$ RevenueExpensesRevenue Expenses32