MI 1ST RDI STATEN VAN CURACAO DESAROYO EKON6MI 0. OnN. CT. Presidente di Parlamento di Korsou Senor M. Franco Wilhelmina plein 4 Presente

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1 MI 1ST RDI DESAROYO EKON6MI 0 STATEN VAN CURACAO OnN. CT Presidente di Parlamento di Korsou Senor M. Franco Wilhelmina plein 4 Presente Fecha Persona di kontaklo 29 di september 2014 Ludwig von Hoop Ludwig.vanhoop@gobiernu.cw Number di dokumento Topiko Pogina Anek50 Preguntanan durante reunion I 3 di Komishon Sentral di 25 di september 2014 Number di koso I '10\ ~ I0 ~ b 4 51 Apresiable SenOr Franco, Durante tratamentu di e konsepto di presupuesto 2015 den Komishon Sentral di Parlamento di K6rsou riba 25 di september 2014, mi a keda pendiente di bini bek riba sierto pregunta. Referiendo no esaki mi kier duna aki e respektivo kontestanan i entrega e respektivo dokumentonan (kaminda ku esakinan to disponibelj. Preguntanan miembro di Parlamento senor G. Schotte 1. Minister por entrega kopia di e kuenta anual 2013 i presupuesto 2015 di CTB? 2. Minister por entrega kopia di e kuenta anual2013 i presupuesto 2015 di Curinde NV? Kontesta 1. Po e kuenta anual2013 mi kier referi no e anekso. E presupuesto 2015 di CTB no e momentonan aki ainda no a ser akord6 po e hunta di komisario. Asina esaki to e koso mi 10 mi entrega kopia no Parlamento. Kontesta 2. E kuenta anual 2013 i e presupuesto 2015 di Curinde NV no e momentonan aki ainda no a ser akord6 po e hunta di komisario. Asina esaki to e koso mi 10 mi entrega kopia no Parlamento. Preguntanan miembro di Parlamento senor A. Thode 1. Minister por entrega kopia di e statutonan di CINEX? 2. Minister por entrega kopia di e ekstrakto di Komara di Komersio di CINEX? Kontesta 1. Po e statutonan di CINEX mi kier referi no e anekso. Kontesta 2. Po e ekstrakto di Komara di Komersio di ClNEX mi kier referf no e anekso. esaroyo Ekon6miko MIDas BUILDING, PLEnE IJ EG 43 I ILL" ESTAD, CURAC;AO IT. (+5999) F WW.GOBrERNU.

2 CURACAO TOURISM DEVELOPMENT FOUNDATION FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 1013

3 CURACAO TOURISM DEVELOPMENT FOUNDATION FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER TABLE OF CONTENTS 2013 FINANCIAL STATEMENTS: Statement offinancial position as of December 31, 2013 Statement ofcomprehensive income for the year ended December 31, 2013 Statement ofchanges in equity for the year ended December 31,2013 Statement ofcash flows for the year ended December 31, 2013 Notes to the financial statements Independent auditor's report OTHER INFORMATION: Exploitatierekening Activiteitenverslag

4 CURACAO TOURISM DEVELOPMENT FOUNDATION STATEMENT OF FINANCIAL POSmON AS OF DECEMBER 31, 2013 (Stated in Netherlands Antilles Guilders) December 31, ASSETS CURRENT ASSETS Cash and cash equivalents 3 6,803,567 5,241,463 Trade- and other receivables 4 984,567 3,161,205 *, ?.'!~-~!!~~ ,402,668 NON-CURRENT ASSETS Property, plant and equipment ) -'!~-~!~~~-! J~~~~9~9_ TOTAL ASSETS 9573,938 10,237,708 LIABILITIES AND EQUITY CURRENT LIABILITIES Trade- and other payables 6?.~~_~!9~?_ 9,663,350 * _._ NON-CURRENT LIABILITIES Deferred income - Fixed assets 7 1,425,000 1,525,000 Long term loans 8 3,882,953 2,422,633..?!?'9'?!?~~_.--}!~~?!~?~ - TOTAL LIABILITIES 12,548,958 13,610,983 EQUITY Foundation capital Accumulated losses (3,373,375) (1,247,606) Result book year 398,250 {2,125,769) TOTAL EQUITY._. (?J~? _~ ~9~?)' "<~J??~,_?!?t TOTAL LIABILITIES AND EQUITY 9,573,933 10,237,708 * Adjustment to 2012 balances relates to the reclassification of the APNA pension receivable from trade-and other payables to trade-and other receivables. See note 4. - The accompanying notes are an integral part ofthe financial statements - 1

5 CURACAO TOURISM DEVELOPMENT FOUNDAnON STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED DECEMBER 31, 2013 (Stated in Netherlands Antilles Guilders) Notes January 1 - December 31, REVENUES Revenue from Government (Grant) Revenue room tax collection Other revenue EXPENSES ,097,600 10,602, , ~.q!~.47.,.4~.~. 20,900,000 9,388,086 72,808 PA ROLL AND OPERATING EXPENSES Personnel expenses Operating expenses Depreciation ,857,202 1,669, ,010 6,498,795 2,028, ,684 SALES AND MARKETING EXPENSES OTHER TOURISM PROJECTS Cruise tourism Market research Third party initiative contributions Product Development Strategic Tourism Management OPERATING PROFIT (LOSS) Financing costs - net _~!7.q?,~?~.._. -~.~!?_~7.'.~~ 41, , ,805 1,171,860 1,393,640 2,988,582 --_ ~~?,.4~.~. 227,185.. ~!~.~?',~?J.. J.~}~?}?'? 40, , , ,243 3,587,658 5,330,206.~L?~~:,j~~f 142,009 PROFIT (LOSS) FOR THE YEAR 398,250 (2,125,769) OTHER COMPREHENSIVE INCOME FOR THE YEAR COMPREHENSIVE INCOME (LOSS) FOR THE YEAR 398,250 (2,125,769) - The accompanying notes are an integral part of the financial statements - See independent auditor's report and accompanying notes to the financial statements -2

6 CURACAO TOURISM DEVELOPMENT FOUNDATION STATEMENTS OF CHANGES IN EOUITY FOR THE YEAR ENDED DECEMBER 31, 2013 (Stated in Netherlands Antilles Guilders) Foundation Accumulated Result book Total Capital losses year_ Equity Balance at January 1, (1,247,606) -- (1,247,506) Total comprehensive income for the year -- (2, 125,769} {2,125,769} Balance at December 31, (3,373,375) -- (3,373,275) Total comprehensive income for the year 398, ,250 Balance at December 31, (3.373,375) 398,250 (2,975,025) - The accompanying notes are an integral part ofthe financial statements - 3

7 CURACAO TOURISM DEVELOPMENT FOUNDAnON STATEMENT OF CASH FLOWS FOR THE YEAR ENDEDJlECEMBER CASH FLOWS FROM OPERATING ACTIVITIES: Profit for the year Adjustments for: Depreciation Amortization ofdeferred income Finance cost -net Changes in working capital: Decrease in trade and other receivables Decrease in trade and other payab1es (Stated in Netherlands Antilles Guilders) Years ended December 31, , ,010 (100,000) (33,216) 2,176,638 (2,125,769) 171,684 (100,000) (32,979) 1,108,104 1,213,399 Net cash provided by operating activities 198, ,439 CASH FLOWS FROM INVESTING ACTIVITIES: Acquisition of fixed assets (129,774) (54.470) Net cash used in investing activities (129,774) (54.470) CASH FLOWS FROM FINANCING ACTNITIES: Net change in long-tenn loans Net cash used In fmancing activities NET CHANGE IN CASH AND CASH EQUNALENTS CASH AND CASH EQUNALENTS - BEGINNING OF YEAR Exchange gains/(losses) on cash and cash equivalents 1,615,948 5,241,464 (23,655) 179,969 5,126,922 (65,427) CASH AND CASH EQUNALENTS - END OF YEAR 6,803,563 5,241,464 SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: Cash paid during the year for: - Interest - The accompanying notes are an integral part of the financial statements - 4

8 CURACAO TOURISM DEVELOPMENT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS 1. GENERAL CURACAO TOURISM DEVELOPMENT FOUNDATION The Cura~ao Tourism Development Foundation (the "Foundation") was incorporated on February 24, The address of its registered office is Pieterrnaaiweg 19. The purpose of the Foundation is to promote the development of tourism on the island of Cura~. The Board of the Foundation (the "Board") oversees the activities of the Tourism Development Bureau. Operations may include providing contributions, loans or other amounts to entities that promote or participate in tourism development. The Foundation's activities in the overseas regional markets are carried out by the Foundation's overseas offices in the following cities (together with representatives in Germany, Colombia, Venezuela and Brazil): The Hague Miami The Foundation's funding can be obtained through loans, credits, advances and contributions granted by the Island Territory of Curacao, other persons and institutions, or other operating activities. Expenditure budgets of the Foundation are developed by the Board and are approved by the Island Government of Cura~ao. These Financial Statements were approved and authorized for issue by the Board of the Foundation on May 27,2013. Financial position of the Foundation The income statement for the year ended December 31, 2013 shows a positive result of ANG 398,250. The total equity, including result book year, as per December 31, 2013 amounts to ANG 2,975,025 negative. Midyear 2012 it was communicated to the CTDF that the total subsidy including room tax for 2012 would be ANG 29,1 million and not ANG 35 million as previously indicated. This resulted in an equity deficit of ANG 3,373,275 in The positive result of2013 has improved the equity for the CTDF. For the year 2013, the Government ofcur~ao has approved a basic grant of ANG 20,097, and ANG 10,602, for room tax revenue for a total amount of ANG 30,700, There is no indication that the grants for the years hereafter will be significantly reduced. Based on the above-mentioned, management believes that the Foundation will be able to continue its operating activities. - 5

9 CURACAO TOURISM DEVELOPMENT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS 2. SUMMARY OF SIGNIFICANT ACCOUNTING PRINCIPLES The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated. Basis o/preparation The financial statements of Curacao Tourism Development Foundation have been prepared in accordance with International Financial Reporting Standards ("IFRS"). The consolidated financial statements have been prepared under the historical cost convention. The preparation of these financial statements in conformity with IFRS resulted in the use of certain critical accounting estimates and assumptions that affect the reported amounts of assets and liabilities. Actual results seldom equal the related estimates. It also requires management to exercise its judgment in the process of applying the accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed in the notes if applicable. Changes in accounting policy and disclosures (a) New and amended standards adopted by the Foundation Amendment to las 1, 'Financial statement presentation' regarding other comprehensive income. The main change resulting from these amendments is a requirement for entities to group items presented in 'other comprehensive income'(oci) on the basis of whether they are potentially reclassifiable to profit or loss subsequently (reclassification adjustments). There are no other IFRSs or IFRIC interpretations that are effective for the first time for the fmancial year beginning on or after 1 January 2013 that would be expected to have a material impact on the Foundation. (b) New standards, amendments and interpretations issued but not effective/or the financial year beginning 1 January 2013 and not early adopted las 19, 'Employee benefits' was amended in June The impact on the Foundation will be as follows: to immediately recognize all past service costs; and to replace interest cost and expected return on plan assets with a net interest amount that is calculated by applying the discount rate to the net defined benefit liability (asset). - 6

10 CURACAO TOURISM DEVELOPMENT FOUNDATION IFRS 9, 'Financial instruments', addresses the classification, measurement and recognition of financial assets and financial liabilities. IFRS 9 was issued in November 2009 and October It replaces the parts of las 39 that relate to the classification and measurement offinancial instruments. IFRS 9 requires financial assets to be classified into two measurement categories: those measured as at fair value and those measured at amortized cost. The determination is made at initial recognition. The classification depends on the entity's business model for managing its fmancial instrwnents and the contractual cash flow characteristics of the instrument. For financial liabilities, the standard retains most of the las 39 requirements. The main change is that, in cases where the fair value option is taken for financial liabilities, the part of a fair value change due to an entity's own credit risk is recorded in other comprehensive income rather than the income statement, unless this creates an accounting mismatch. The Foundation is yet to assess IFRS 9's full impact and intends to adopt IFRS 9 no later than the accounting period beginning on or after I January However, initial indications are that it may not affect the Foundation's accounting. IFRS 13, 'Fair value measurement', aims to improve consistency and reduce complexity by providing a precise definition of fair value and a single source of fair value measurement and disclosure requirements for use across IFRSs. The requirements, which are largely aligned between IFRSs and US GAAP, do not extend the use of fair value accounting but provide guidance on how it should be applied where its use is already required or permitted by other standards within IFRSs. The Foundation is yet to assess IFRS l3's full impact and intends to adopt IFRS 13 no later than the accounting period beginning on or after I January However, initial indications are that it may not affect the Foundation's accounting. There are no other IFRSs or IFRIC interpretations that are not yet effective that would be expected to have a material impact on the Foundation. Foreign currency translation (a) Functional and presentation currency Items included in the financial statements of Foundation are measured using the currency ofthe primary economic environment in which the Foundation operates ('the functional currency'). The financial statements are presented in Netherlands Antillean Guilders (ANG), which is the Foundation's functional and presentation currency. (b) Transactions and balances Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at yearend exchange rates of monetary assets and liabilities denominated in foreign currencies are recognized in the income statement. -7

11 CURACAO TOURISM DEVELOPMENT FOUNDATION Cash and cash equivalents Cash and cash equivalents comprise cash balances and are stated at nominal value. Trade- and other receivables Trade receivables are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, less provision for impairment. Property, plant and equipment Fixed assets are stated at historical cost less accumulated depreciation. Historical cost includes expenditure that is directly attributable to the acquisition of the items. Subsequent costs are included in the asset's carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Foundation and the cost of the item can be measured reliably. All other repairs and maintenance are charged to the income statement during the financial period in which they are incurred. Depreciation on other assets is cal!culated using the straight-line method to allocate their cost or revalued amounts to their residual values over their estimated useful lives, as follows: Per annum: Buildings 5% Office furniture 20% Office equipment 33.3% Other fixed assets 25% The assets' residual values and useful lives are reviewed, and adjusted if appropriate, at each balance sheet date. An asset carrying amount is written down immediately to its recoverable amount if the assets carrying amount is greater than its estimated recoverable amount. Gains and losses on disposals are detennined by comparing proceeds with carrying amount. These are included in the income statement. When revalued assets are sold, the amounts included in other reserves are transferred to retained earnings. Impairment of assets Fixed assets and other assets are reviewed for impairment losses whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognized for the amount by which the carrying amount of the asset exceeds its recoverable amount, which is the higher of an asset's net selling price and the value in usc. For purpose of assessing impainnent, assets are grouped at the lowest levels for which there are separately identifiable cash flows. If an asset suffers a permanent loss of value, the loss is charged to the income statement. The permanent loss of value ("impairment") is accounted for as soon as the purchase cost (net of any redemption of capital, depreciation and/or amortization) of an asset exceeds its recoverable value. Any decreases in impairment losses on assets are booked to the income statement. - 8

12 CURACAO TOURISM DEVELOPMENT FOUNDATION Other assets and liabilities Other assets and liabilities are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, unless otherwise mentioned. Pension plan As per September 1, 2003 the pension provision was transferred to Algemene Pensioenfonds van de Nederlandse Antillen (APNA). The pension plan administered by APNA is a multi employer defined benefit plan giving right to the participant to a pension calculated as a fixed percentage ofthe average salaries of the last two years of service taking into account a franchise. At the balance sheet date there was no information available regarding a possible liability of the company resulting from possible increases of the premiums in the future. Since the administrators were unable to provide information on the Foundation's proportionate share of the defined benefit obligation, the plan is accounted for as if it were a defined contribution plan. The last settlement received from APNA is for the fiscal year Revenues and expenditures Revenues and expenditures are allocated to the reporting period to which they relate. Government grants Grants from the government are recognized at their fair value where there is a reasonable assurance that the grant will be received and the Company will comply with all conditions. Non-monetary grants are initially accounted for at fair value and is being deferred and recognized in the income statement over the period necessary to match with costs that they are intended to compensate. Tax provisions Tax provisions are not required since the Foundation has a tax exempt status. -9

13 Financial risk management CURACAO TOURISM DEVELOPMENT FOUNDATION The Foundation's activities are exposed to a variety of financial risks, including effects of: foreign exchange risk, interest rate risk, credit risk and liquidity risk. The Foundation's overall risk management program focuses on mineralization of potential adverse effects on the financial perfonnance of the Foundation. There has been no significant change during the financial year in the types of financial.risks faced by the Foundation or in the Foundation's approach to financial risk management. (a) Market Risk Foreign exchange risk The Foundation operates mainly in the USAand European markets. For the market in the USA the Foundation is not significantly exposed to foreign exchange risk since most transactions are concluded in United States Dollars. For the European market the Foundation is exposed to foreign exchange risk as most transactions are concluded in Euro's. As a result of the high exchange rate we have a weaker purchasing power in Europe. Interest rate risk Interest rate risk is not considered to be significant since the Foundation's loans payable to third parties have fixed rates of 1%. (b) Credit risk The credit risk of the Foundation's assets is not considered to be significant since all deposits are placed with highly reputable institutions and accounts receivable and prepaid expenses are fully perfonning or are past due and provided for. December 31, 2013 Total Fully Past due but Past due and perfonning not impaired impaired ANG ANG ANG ANG Current assets Trade and other 984, ,567 receivables December 31, 2012 Total Fully Past due but Past due ANG perfonning not impaired and impaired ANG ANG ANG Current assets Trade and other receivables 3,161,205 3,147,965 13,240-10

14 CURACAO TOURISM DEVELOPMENT FOUNDATION (c) Liquidity,isk The Foundation is exposed to liquidity risk, which is the risk that the Foundation will not be able to meet its financial obligations as they fall due. The Foundation manages liquidity / cash flow risk by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial assets and liabilities. The risk that the Foundation will encounter difficulties in meeting obligations with financial liabilities is not considered to be significant as the cash flow for the long teno loans will be later than 5 years. December 31,2013 Total < 1 year 2-5 years > 5 years ANG ANG ANG ANG Current liabilities Trade and other payables 8,605,427 8,605,427 Non - Current Liabilities Long term loans 3,882,953 12,488, ,427 December 31,2012 Total < 1 year 2-5 years > 5 years ANG ANG ANG ANG Current liabilities Trade and other payables 9,663,350 9,663,350 Non - Current Liabilities Long term loans 2,422, , ,084 1,121,553 11,679,890 10,120, ,084 1,121,553 Capital Risk Management The purpose of the FOlmdation is to match the expenditure budgets for 2013, developed by the Board to the funding received from the Government for promoting the development of tourism on the island of Cur~ao. The rationale for government support to tourism is that it provides income, generates foreign exchange and employment through an integrated and professional approach. It's important to have a structure that makes it visible that all revenues are collected by the "Ontvanger" and that all these Room Taxes are transferred thru the "Ministerio di Finansa"to the MCB account of CTB. Cash flow statement The cash flow statement is based on the indirect method. - 11

15 CURACAO TOURISM DEVELOPMENT FOUNDATION Critical accounting estimates and judgments Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The Foundation makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. There aren't any estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the near future. 3. CASH AND CASH EOUIVALENTS Curacao The Netherlands USA ,736,988 64,439 2,140 5,204,527 28,151 8,785 6,803,567 5,241, TRADE- AND OTHER RECEIVABLES Uitvoeringsorganisatie Stichting Ontwikkeling Nederlandse Antillen (USONA) 2,966 Pension premiums receivable 182, ,093 Prepaid expenses 154,729 54,144 Personnel advances 22,676 44,350 Receivable room tax collection 11,110 1,299,210 Accounts receivable 19,642 1,187,138 Receivables others & overseas 593, , ,567 3,174,445 Less: provision for doubtful accounts (13,240) The movement in the provision for doubtful accounts over 20] 3: 984,567 3,161, Beginning balance as per January 1 13,240 13,240 Charged to income statement for the year Write~off against receivables (13,240) Ending balance of the provision as per December 31 13,240-12

16 CURACAO TOURISM DEVELOPMENT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS PROPERTY, PLANT AND EQUIPMENT COST ACCUMULATED DEPRECIATION BOOKVALUE Balance at Additions 2013 Disposals 2013 Balance at Balance at Additions 2013 Disposals 2013 Balance at Buildings Office Furniture Office Equipments Other fixed assets 2,000, ,844 1,614, ,721 45,698 72,372 11,704 41,843 93, ,000, ,699 1,592, , , ,728 1,542, , ,000 36,115 39, ,843 93,809 29, , ,000 1,488,175 72\.277 1,425,000 52, , ,525,000 43,116 72, ,046, , ,442 5,011,25_6 3,21 1, , ,442 3,225,452 1,7~5,t04 1,835,040 Depreciation is applied on the basis ofthe following percentages per annum: Buildings 5% Office Furniture 20% Office Equipments 33.3% Other fixed assets 25% Investments during the year are depreciated on a pro-rata basis. By notary's deed dated April 8, 2008, the Foundation obtained the ownership of the buildings located at Pietermaai # 19 and Prinsenstraat # 144 &146. The Island Government transferred the ownership of the buildings for the price of Nil to the Foundation. The market value of these buildings at time oftransfer has been valued at respectively ANG 1,700,000 and ANG 300,

17 CURACAO TOURISM DEVELOPMENT FOUNDATION 6. TRADE- AND OTHER PAYABLES At December 31, 2013 accounts payable and accrued expenses consist of the following items: Trade accounts payable 6,498,154 7,322,188 Auditing and consultancy fees 46,954 33,597 ED funds payable 1,403,449 Payroll taxes payable 87, ,528 Island Government of Curacao 575, ,000 Other expenses payable 33,239 25,588 7,241,005 9,663,350 The amount mentioned in ED funds payable refers to the short time part ofthe long term loans including interests accrued over the years. 7. DEFEERRED INCOME - FIXED ASSETS This item refers to the non-monetary grant received from the Island Government of Curacao in the form of transfer of the buildings to the Foundation in the year The value of the buildings at time of transfer was ANG 2,000,000. This amount is being amortized to income over the useful life ofthe buildings. The movement in the deferred income account over 2013 can be specified as follows: Beginning balance as per January 1 1,525,000 1,625,000 Addition for the year Amortization for the year (100,000) (100,000) Ending balance of the deferred income as per December 31 1,425,000 1,525,000-14

18 8. LONG TERM LOANS CURACAO TOURISM DEVELOPMENT FOUNDATION The long-tenn loans consist of various contracts dating back to 1993 through 1998 between the Government of the Netherlands Antilles and other entities financed by the European Development Fund with the Foundation as beneficiary. The Foundation had undertaken to repay the loans (plus interest of 1% per year) over a period of 40 year with a grace period of 10 years. TIuough date, no repayments have been made or demanded despite efforts made by the Foundation. Therefore, the Board of Supervisory Directors passed a resolution to classify the the entire loan balance including accrued interest through December 31, 2013, as a subordinated loan. The entire balance is therefore classified as long-term with no expected re-payments. As of January 1,2014, no additional interest will be accrued. A reclassification of the loan balance to equity will be considered depending on future developments. Beginning balance Effect exchange rate Interest charges Repayments Ending balance Current portion ,826,081 3,781,577 23,656 11,525 33,216 32,979 3,882,953 3,882,953 3,826,081 1,403,449 2,422,632-15

19 CURACAO TOURISM DEVELOPMENT FOUNDATION 9. REVENUE The revenue from the Government is based on a budget prepared by the Foundation that has to be approved by the "Staten" of the Government of Curacao. For 2012 the Government has approved a basic subsidy amount of ANG 20,097,600,00. In addition to this, on April 20, 2009 the Island Government of Curacao approved the proposal "Eilandsverordening Logeergastenbelasting" whereby the Foundation will be collecting the tourist tax on accommodation. This tourist room tax collected by the Island Government in 2013, being ANG 10,602,400 is completely allocated as income to the Foundation. 10. OTHER REVENUE Amortization deferred income - fixed assets Other income /(expenses) 11. PERSONNEL EXPENSES 100,000 47, , ,000 (27,192) 72,808 The following is a summary ofpersonnelexpenses classified by office: Curacao office Miami office The Hague office Total 2013 Total 2012 Gross salaries and fees 4,050, , ,474 4,732,746 4,896,149 Social benefits 708,153 19,935 5, , ,508 Pension plan 1,068,271 3,418 1,071, ,681 Other personnel expenses 158, ,807 2,694 3[8, ,457 5,958, , ,339 6,857,202 6,498,795 As for the pension plan for the US office, their expenses are part of the pension plan expenses for the Curacao office Number ofemployees ~ - 16

20 12. OPERATING EXPENSES CURACAO TQURISM DEVELOPMENT FOUNDATION Office operations 207, ,355 Telephone and postage 363, ,635 Repair and maintenance 115, ,426 Utility expenses 157, ,709 Professional fees 208, ,636 Rent and lease expenses 189, ,288 IT expenses 195, ,727 Transportation expenses 70,973 65,285 Room tax expenses 47,133 15,617 Miscellaneous expenses 114, , SALES AND MARKETING EXPENSES The following is a summary of sales and marketing expenses classified by area: 1,669,243 2,028,592 Local Caribbean South Europe USA Total 2013 Total 2012 (Curacao) America Advertising 471, ,988 1,043, , ,243 3,551,549 5,828,580 Travel expenses 104,285 53, , ,498 60, , ,352 Co-operative advertising 144, ,828 6,257,310 1,463,155 8,564,142 5,308,463 Entertainment 25,346 25,346 34,664 Giveaways ,676 97,096 91,672 84, , ,803 Trade shows and presentations 38, , , ,789 1,566,294 1,658,291 Public relations 321,074 48, , , ,213 1,620,725 2,526,897 Marketing Projects 463, ,141 Familiarization trips 39, , , , , ,198 Area representation fee 459, ,300 65, , ,652 General promotion 212, , ,490 Internet developments 13, ,860 71,726 46,987 1,684, ,124 3,304,882 9,053,998 3,979,788 18,527,944 18,315,377-17