BRITISH-AMERICAN TOBACCO COMPANY LTD
A mernbcrofthe B-A-T Indutrics Group
AUVSC Registered Office:
PO Box 492 Westminster House
7.%fiflbank London SWt P 3JE
Telephone: o-, t-= z222
9th August, 1990 Telex: 27384 BATTOB G
Facsimile '40: 071-222 36 59
or. P. Dann,
in)erial Tbbacco Ltd.,
Montreal,
Dear Pat,
cw-adian Contrihition to Fundamental Ressaxch/SFIG
since our talwhone conversation on Tuesday I have had several Aiscussions;
with Accounts Dept. millbank and I think I now have a clear pceition. on the
funds required from Cwmda for LM. I can also relate these to the three
irri/oices uftub you have already received to data for 1990.
miere is one detail which I mmad lilm to clear cut of the way at the start
and that refers to Project awrx3at.
wl-ien origm-ally set up, there was an agreement with Canada to pay its 19%
contribution of the actual expenditure an Greendct and thus this item has
always been kept separate. In the restruabaring in March 1990, the major
creendot cost-- associated with the Product &Na1cP=,ft- activity which you
knour as NAM, are removed from CAC funding and are d=VW strictly to
BkTCU. The research elements of aventict should remain an intiegral part of
the fundamental research Programme, and I see no reason for any continuing
need to isolate these costs. I trust you agree this.
look3rq at the total position, I think the follwing table will help:
1990 Bxknt
Revised Original
E000s E000s
Fundamental 665 459.2
3.32.6 Greendat est.
70
751 661.8
C>
CD
CaEc, Vchmularl-orWonS'Wt
BATCo document for Province of BritiSh Columbia 14 April 1999

MIS figure of C665,000 shown for Rucbmwtal Pasearch in the new L"O
proposals is composed of 2 parts; MA first quarter is based on 19%
pwYment of E3.115 mn. total budget, and the fir-I tbree quartem of 1990
being based an new total , I of FRC of C3.63 M., again factored by 3.9%
for Canada. 9= this is a transiticrAl year before we reach the fir-3
annualised rate of 0-63 m.
'The invoices you have received to date are based on the colum hire 1990
original. Imn- you ban received invoices as follms:
TagitigMI Rrdauo*al Research
29.3.90 ist Quarter (Wool. Greendot) M4,8W
1.4.90 2rd Quarter E114,8W
1.7.90 3rd Quarter E114,8W
1.10.90 4th Quarter El"'800
B:gject Greery3ot
3.5-90 Costs to March C32,395
31.7.90 Coots to June Ell, 343
Sn*dm Fasearch go=
29.3.90 C70,000
To elaborate, the jumices. that you have received represent fo= quarters
of 459,200 shown in the original ODIUM Plus the actual GrOwIdOt costs to
June.
you will see that there are Greendat charges shown fron April to JIum
Much will be =xh re*xmd cotVared to Ithe pxwicus period and I bays yet
to resolve whether they are strictly CAC charges. If not, we will make a
correction later.
or=a you have agreed the row t- we will I the irrmices covering
tI-A pulcid 0= April ist in line with the 665,000 total owftibution
required for Furi&umstal rasearch from Canada in L990. We *4-11 also make
a swl I ccrrectim for the SEG UrzIer-charge Which has ban node f= thAtS
Year-
I trust that this I - all your queries and that I= can now agree the
total LM omtributim of E665,000 plus E86,000 f= the Smoking PAsearch
Group. T know
.f ycu mti II hwe queries, please let we so that I can clear
then before r. see ymi en 21st Axxju@t-
With kind regards,
Yours sinceraly,
CIA
A. L. Fbard
C)
L-4
BATCo document for Province of BritiSh Columbia 14 April 1999