----

----

----

----

----

| A.   | KTB Holdings      Ltd. ("Sherri      Holdco") is the legal and beneficial owner of all the issued and      outstanding common shares in the capital of SLD (the “SLD Shares”) and Sherri      is the legal and beneficial owner of all of the issued and outstanding      common  shares in the capital of Sherri Holdco. 542085 B.C. Ltd.      ("Dean Holdco") is      the legal and beneficial owner of all of the issued and outstanding common      shares in the capital of 3631 and Dean is the legal and beneficial owner      of all of the shares of DeanHoldco. |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| B.   | SLD, 3631 and      522 are partners of partnerships (which are herein defined as the “Partnerships”) which      carry on the business of Sprott-Shaw Community Colleges in locations      identified herein. |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| C.   | 505918 B.C.      Ltd., Sprott-Shaw Community College Ltd. (“SSCC”), 522, Sprott-Shaw      College of Business (Victoria) Ltd. (“VictoriaCo”), and 523657      B.C. Ltd. (“523657”) (together the      “Target      Subsidiaries”) are wholly owned subsidiaries of SLD and      3631. |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| D.   | The Purchaser      wishes to purchase and the Vendors wish to sell to the Purchaser, the      Purchased Assets (as defined herein) on the terms and subject to the      conditions set forth in thisAgreement. |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 1.1   | Defined      Terms |
|-----------------|--------------------|

| (a)   | “Accounts Receivable”      means all accounts receivable, book debts and other debts due or accruing      due to the Group; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | “Act” means the Business Corporations      Act (British Columbia); |
|-----------------|--------------------------------------------------------------------------------|

| (c)   | “Affiliate” has the      meaning ascribed thereto in theAct; |
|-----------------|--------------------------------------------------------------------------|

| (d)   | “Approvals” means all      required approvals for this transaction from all British Columbia      regulatory and governing bodies currently having authority over the      Business including without limitation Approvals from the British Columbia      Ministry of Advanced Education and the Private Career Training      Institutions Agency; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | “arm’s length” shall have      the meaning normally ascribed to such a term under the  ITA; |
|-----------------|---------------------------------------------------------------------------------------------------------------|

| (f)   | “Assumed Liabilities”      means only the liabilities and obligations of the Vendors and the Group      relating to the operations of the Business in the Ordinary Course      excluding long term debt and any current portion of long term      debt  except as set out in the calculations of Negative Working      Capital attached hereto as Schedule 1.1(mmm), Government Charges arising      from any event or matter prior to Closing and all other liabilities or      obligations except as otherwise expressly set forth herein and expressly      assumed by the Purchaser; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)   | “Authorization” means,      with respect to any Person, any filing with or notification to, or order,      permit, approval, consent, waiver, license, registration, clearance or      similar authorization of any Government Agency having jurisdiction over      the Person; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h)   | “Business” means the      business and undertaking of the Vendors and the Group consisting of the      operations of the Sprott-Shaw campuses by the Partnerships as shown on      Schedule 1.1(ggg) and the operations of CCS which provides employment      assistance programs; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | “Business Day” means any      day other than a day which is a Saturday, a Sunday or a day on which banks      in Vancouver, British Columbia are not generally open for      business; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (j)   | “Claims” means, in      respect of any matter, all claims, liabilities, demands, costs, damages,      assessments, expenses, losses, suits, orders, actions, proceedings      (governmental, administrative or otherwise), judgments, reviews,      inquiries, investigations, audits, obligations and debts, including      interest, penalties, fines, court costs and legal and other professional      fees and disbursements, arising directly or indirectly as a consequence of      such matter; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (k)   | “Closing” has the meaning      ascribed thereto in Section 5.1; |
|-----------------|-----------------------------------------------------------------------------|

| (l)   | “Closing Date”      means  December 17, 2007 or such other date as the parties may      agree upon in writing; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------|

----

| (m)   | “Closing Date      Statements” means the      unaudited consolidated financial statements of the Group prepared by the      Vendors according to notice to reader standard covering the period from      August 31, 2007 to the Closing Date;  |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (n)   | “Closing Time” means      11:00 a.m. (Vancouver time) on the Closing Date or such other time on the      Closing Date as the parties mayagree; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (o)   | “Condition” means, with      respect to any Person, the condition of the assets, liabilities,      operations, activities, earnings, prospects, affairs and financial      position of the Person; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (p)   | “Contract” means any      agreement, indenture, contract, lease, deed of trust, license, option,      certificate, instrument or other commitment, whether written or      oral; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (q)   | “Contractors” means all      persons providing services to the Vendors, the Group or any Person forming      part of the Group, under an oral or written Contract for services which      has been disclosed in writing to thePurchaser; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (r)   | “Dispute” has the meaning      ascribed thereto in Section 7.1; |
|-----------------|-----------------------------------------------------------------------------|

| (s)   | “Earn Out” has the      meaning ascribed thereto in Section2.4(c); |
|-----------------|--------------------------------------------------------------------------------|

| (t)   | “EBITDA” means net income      or loss calculated in accordance with GAAP before interest, taxes,      depreciation and amortization from the operations of the Business between      September 1, 2007 and the Closing Date (the “Closing EBITDA”) and      thereafter net income or loss calculated in accordance with GAAP from the      operations of the business of the Purchaser, all of which shall be      calculated from financial statements prepared in accordance with GAAP and      subject to Section 2.10; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (u)   | “Employee Plans” means      all oral or written plans, arrangements, agreements, programs, policies,      practices or undertakings, formal or informal, with respect to all of the      current and/or former directors, officers, Employees, Contractors or      agents of the Group or any person forming part of the Group which provide      for or relate to: |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | bonus, profit      sharing or deferred profit sharing, performance compensation, deferred or      incentive compensation, share compensation, share purchase or share option      purchase, share appreciation rights, phantom stock, vacation or vacation      pay, sick pay, employee loans, or any other compensation in addition to      salary (“Incentive      Plans”); |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | retirement or      retirement savings, including, without limitation, registered or      unregistered pension plans, pensions, supplemental pensions, registered      retirement savings plans and retirement compensation arrangements (“Pension Plans”);      or |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | insured or      self-insured benefits for or relating to income continuation or other      benefits during absence from work (including short term disability, long      term disability and workers compensation), hospitalization, health,      welfare, legal costs or expenses, medical or dental treatments or      expenses, life insurance, accident, death or survivor’s benefits,      supplementary employment insurance, day care, tuition or professional      commitments or expenses or similar employment benefits (“Benefit      Plans”); |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | “Employees” means all      employees of the Vendors, the Group or any Person forming part of the      Group as disclosed in writing to the Purchaser other than changes      occurring in the Ordinary Course after November 30,  2007; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (w)   | “Encumbrances” means      mortgages, charges, pledges, security interests, liens, encumbrances,      actions, rights and claims, adverse interests, acquisition rights of third      parties, demands and equities of any nature, whatsoever or howsoever      arising, and any rights or privileges capable of becoming any of the      foregoing; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (x)   | “Environment” has the      meaning ascribed thereto in Section3.1(s); |
|-----------------|-----------------------------------------------------------------------------------|

| (y)   | “Environmental Laws” has      the meaning ascribed thereto in Section3.1(s); |
|-----------------|------------------------------------------------------------------------------------------|

----

| (z)   | “Environmental Permits”      has the meaning ascribed thereto in Section  3.1(s); |
|-----------------|-----------------------------------------------------------------------------------------------|

| (aa)   | “Equipment Contracts”      means motor vehicle leases, equipment leases, conditional sales contracts,      title retention agreements and other similar agreements binding upon the      Group relating to equipment and/orvehicles; |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (bb)   | “Escrow” means monies to      be held by the Escrow Agent; |
|------------------|------------------------------------------------------------------------|

| (cc)   | “Escrow Agent” means the      Purchaser’s Counsel, the escrow agent set out in the Escrow      Agreement; |
|------------------|----------------------------------------------------------------------------------------------------------------------------------|

| (dd)   | “Escrow Agreement” means an      agreement to be dated as of the Closing Date, executed by Purchaser, the      Vendors and the Escrow Agent in the form attached hereto as Schedule      1.1(dd); |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ee)   | “Escrow Money” has the      meaning ascribed thereto in Section2.4(b); |
|------------------|------------------------------------------------------------------------------------|

| (ff)   | “Financial Statements”      means, collectively, the Group Statements and the Closing Date      Statements; |
|------------------|-------------------------------------------------------------------------------------------------------------------------|

| (gg)   | “generally accepted accounting      principles” or “GAAP” means the      accounting principles so prescribed, recommended or promulgated from time      to time by the Canadian Institute of Chartered Accountants as contained in      the CICA Handbook, which are applicable as at the date on which any      calculation made hereunder is to be effective or as at the date of any      financial statements referred to herein, as the case may be, and in the      absence of a specific recommendation contained in the CICA Handbook, such      accounting principles as are generally accepted in    practice; |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (hh)   | “Government Agencies”      means any federal, provincial, state, municipal, local or other government      or governmental agency, board, commission or authority, domestic or      foreign; |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | “Government Assistance      Programs” has the meaning ascribed thereto in Section      3.1(mm); |
|------------------|-------------------------------------------------------------------------------------------------------------|

| (jj)   | “Governmental Charges”      has the meaning ascribed thereto in Section  3.1(q); |
|------------------|----------------------------------------------------------------------------------------------|

| (kk)   | “Group” means the Target      Subsidiaries and the Partnerships and, as used herein, means any one or      more of the Persons forming theGroup; |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ll)   | “Group Interim      Statements” means unaudited consolidated financial statements for      the Group commencing September 1, 2007 and ending November 23,      2007; |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (mm)   | “Group Statements” means      the audited consolidated financial statements of the Group together with      all related notes thereto; |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| (nn)   | “Hazardous Substance” has      the meaning ascribed thereto in Section3.1(s); |
|------------------|-------------------------------------------------------------------------------------------|

| (oo)   | “Indemnification Event”      has the meaning ascribed thereto in Section6.2; |
|------------------|------------------------------------------------------------------------------------------|

| (pp)   | “Indemnified Party” has      the meaning ascribed thereto in Section6.2; |
|------------------|--------------------------------------------------------------------------------------|

----

| (qq)   | “Indemnifying Party” has      the meaning ascribed thereto in Section6.2; |
|------------------|---------------------------------------------------------------------------------------|

| (rr)   | “Independent Accountants”      means Ernst & Young LLP or such other Canadian Chartered Accountants      as may be retained by the Purchaser from time to time on behalf of the      Group; |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ss)   | “Insurance Benefits” has      the meaning ascribed thereto in Section  6.5(a)(i); |
|------------------|-----------------------------------------------------------------------------------------------|

| (tt)   | “IP Assets”      means: |
|------------------|-------------------------------------|

| (i)   | any and all      IP Rights as set out in Part I of Schedule 3.1(x) (the “Owned IP”),      and |
|-----------------|-----------------------------------------------------------------------------------------------------------|

| (ii)   | the rights of      the Vendors and the Group in IP Rights that are not owned by the Vendors      or the Group and that are used in the operation, conduct or maintenance of      the Business, as it is currently and has historically been operated,      conducted or maintained as set out in Part II of Schedule 3.1(x) (the      “Licensed      IP”), |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (uu)   | “IP Rights” means any and      all industrial or intellectual property (whether foreign or domestic,      registered or unregistered) including without limitation: (i) all      inventions (whether patentable or unpatentable and whether or not reduced      to practice), and all patents, patent applications and patent disclosures,      together with all reissuances, continuations, continuations-in-part,      revisions, extensions and re-examinations thereof; (ii) all trade-marks,      trade-names, trade dress, logos, business names, corporate names, domain      names, uniform resource locators (URL’s) and the internet websites related      thereto, and including all goodwill associated therewith and all      applications, registrations and renewals in connection therewith; (iii)      all copyrightable works, all copyrights and all applications,      registrations and renewals in connection therewith; (iv) all industrial      designs and all applications, registrations and renewals in connection      therewith; (v) all proprietary, technical or confidential information,      including all trade secrets, processes, procedures, know-how, show-how,      formulae, methods, data, compilations, databases and the information      contained therein; (vi) all computer software (including all source code,      object code and related documentation); and (vii) any industrial or      intellectual property that may exist, arise or be embodied in those items      set out in Schedule 3.1(x) together with: (a) all copies and tangible      embodiments of the foregoing (in whatever form or medium); (b) all      improvements, modifications, translations, adaptations, refinements,      derivations and combinations thereof; and (c) all intellectual property      rights related thereto; |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vv)   | “ITA” means the Income Tax Act      (Canada), as amended; |
|------------------|-----------------------------------------------------------------------|

| (ww)   | “Labour Representatives”      has the meaning ascribed thereto in Section  3.1(ii); |
|------------------|-------------------------------------------------------------------------------------------------|

| (xx)   | “Laws” means any and all      applicable laws including all statutes, codes, ordinances, decrees, rules,      regulations, municipal by-laws, judicial or arbitral or administrative or      ministerial or departmental or regulatory judgments, orders, decisions,      rulings or awards, policies, guidelines, and general principles of common      and civil law and equity, binding on or affecting the Person referred to      in the context in which the word isused; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (yy)   | “Leases” has the meaning      ascribed thereto in Section 3.1(t); |
|------------------|-------------------------------------------------------------------------------|

| (zz)   | “Leased Premises” has the      meaning ascribed thereto in Section3.1(t); |
|------------------|---------------------------------------------------------------------------------------|

| (aaa)   | “Letter of Intent” means      the letter of intent dated September 27, 2007 between Dean, Sherri and      CIBT as amended or extended from time totime; |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (bbb)   | “Licenses” means all      licenses, permits, Authorizations, registrations, certificates, franchises      and qualifications required to own properties and assets and carry on the      business as presently conducted; |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ccc)   | “Losses” means any and      all net financial losses, damages, liabilities, obligations, penalties,      encumbrances, assessments, costs and expenses sustained, suffered or      incurred by the Party seeking indemnification as a direct result of any      Indemnification Event; |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ddd)   | “MAE Accreditation” means      the accreditation by the British Columbia Ministry of Advanced Education      (“MAE”) permitting      the Group to offer the MAE Degree; |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (eee)   | “MAE Approvals” means      approvals granted by MAE permitting the Group to offer the MAE Courses and      to grant the MAE Degree; |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| (fff)   | “MAE Courses” means those      courses offered by Persons within the Group set out on Schedule      1.1(fff); |
|-------------------|---------------------------------------------------------------------------------------------------------------------------|

| (ggg)   | “MAE Degree” means the      degree referred to on Schedule1.1(ggg); |
|-------------------|---------------------------------------------------------------------------------|

| (hhh)   | “Material Adverse Change”      or “Material Adverse      Effect” means, with respect to any Person, any change or effect (or      any condition, event or development involving a prospective change or      effect) in the business, operations, results of operations, assets,      capitalization, financial condition, licenses, permits, concessions,      rights, liabilities, prospects or privileges, whether contractual or      otherwise, of a Person which is materially adverse to the business of that      Person; |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | “Material Contract” means      a written Contract that would reasonably be expected to result in revenues      or expenditures to the Group in any twelve month period after the Closing      of $50,000 or      more and which cannot be terminated with less than three months notice on      a without penalty basis but excluding employment  Contracts; |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (jjj)   | “Minority Partners” means      the minority partners of the Minority Partnerships as set forth in Section      3.4; |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------|

| (kkk)   | “Minority Partners      Rights” means the rights of the Minority Partners pursuant to the      Minority Partnerships and the breach of any provision of the Minority      Partnerships arising out of thisAgreement; |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (lll)   | “Minority Partnerships”      has the meaning ascribed thereto in Section3.4; |
|-------------------|------------------------------------------------------------------------------------------|

| (mmm)   | “Negative Working      Capital” means the amount by which the current liabilities,      excluding the current portion of long term debt and capital leases,      exceeds current assets, an example calculation of which is set forth in      Schedule 1.1(mmm);   |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (nnn)   | “Non-Competition and      Confidentiality Agreement” means the non-competition and      confidentiality agreement to be entered into on Closing Date by Sherri as      the same may be amended, restated or otherwise modified from time to      time; |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ooo)   | “Ordinary Course”, in      relation to any Person, refers to the business of such Person carried on      in the regular and ordinary course, consistent with past      practice. |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ppp)   | “Parties” means the      Purchaser, each of the Vendors, Dean, Sherri and CIBT, and “Party” means any one of      them; |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| (qqq)   | “Partnerships” means the      partnerships set out on Schedule1.1(qqq); |
|-------------------|-------------------------------------------------------------------------------------|

| (rrr)   | “PCTIA Accreditation”      means accreditation by Private Career Training Institutions Agency (“PCTIA”) permitting the      Group to offer the PCTIA Courses; |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (sss)   | “PCTIA Approvals” means      the approvals granted by PCTIA to the Group to offer the PCTIA      Courses; |
|-------------------|-----------------------------------------------------------------------------------------------------------------------|

| (ttt)   | “PCTIA Courses” means      those courses offered by Persons within the Group set out on      1.1(ttt); |
|-------------------|--------------------------------------------------------------------------------------------------------------------|

| (uuu)   | “Permitted Encumbrances”      means the Encumbrances set forth in Schedule 1.1(uuu) and Encumbrances      which are not of such nature as to materially , individually or in the      aggregate, adversely effect the use of the property subject      thereto; |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vvv)   | “Person” includes any      individual, corporation, limited liability company, unlimited liability      company, body corporate, partnership, limited liability partnership, firm,      joint venture, syndicate, association, capital venture fund, trust,      trustee, executor, administrator, legal personal representative, estate,      government, Government Agency or board or commission or authority and any      other form of entity or organization, whether or not having legal      status; |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (www)   | “Personal Data” means      information about an identifiable individual, customer or employee that is      in the custody or under the control of the Vendors or the      Group; |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (xxx)   | “Purchase Price” has the      meaning ascribed thereto in Section2.2; |
|-------------------|-----------------------------------------------------------------------------------|

| (yyy)   | “Purchased Assets ” means      those assets set out in Schedule1.1(yyy); |
|-------------------|--------------------------------------------------------------------------------------|

| (zzz)   | “Purchaser Earn Out      Statements” means the statements prepared by the Purchaser’s      auditor showing the annual calculation of EBITDA for the periods September      1, 2007 to August 29, 2008 (including the Closing EBITDA) and August 30,      2008 to August 28, 2009 and August 29, 2009 to August 27, 2010,      respectively; |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (aaaa)   | “Purchaser’s Counsel”      means Alexander Holburn Beaudin & LangLLP; |
|--------------------|---------------------------------------------------------------------------------------------|

| (bbbb)   | “Release” has the meaning      ascribed thereto in Section3.1(s)(i)E; |
|--------------------|-----------------------------------------------------------------------------------|

| (cccc)   | “Schedules” means      collectively the schedules attached to and forming part of this      Agreement; |
|--------------------|--------------------------------------------------------------------------------------------------------------------|

| (dddd)   | “Subsidiaries” has the      meaning attributed to such term in theAct; |
|--------------------|------------------------------------------------------------------------------------|

| (eeee)   | “Third Party” means any      Person other than the Purchaser, CIBT, the Vendors, the Covenantors or the      Group; |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------|

| (ffff)   | “Trust Agreement” means      the trust agreement to be entered into on the Closing in the form attached      hereto as Schedule 1.1(ffff); and |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (gggg)   |  “Vendors’ Counsel” means      McCarthy Tétrault LLP. |
|--------------------|-----------------------------------------------------------------------------------|

----

| 1.2   | Knowledge |
|-----------------|-----------|

| 1.3   | Including |
|-----------------|-----------|

| 1.4   | Schedules |
|-----------------|-----------|

| 1.5   | Currency |
|-----------------|----------|

| 1.6   | Choice      of Law |
|-----------------|--------------------|

| 1.7   | Interpretation      Not Affected by Headings or PartyDrafting |
|-----------------|---------------------------------------------------------------|

| 1.8   | Number      and Gender |
|-----------------|------------------------|

| (a)   | words      importing the singular number include the plural and vice versa;      and |
|-----------------|--------------------------------------------------------------------------------------|

| (b)   | words      importing the use of any gender shall include all  genders. |
|-----------------|------------------------------------------------------------------------|

| 1.9   | Time      of Essence |
|-----------------|----------------------|

| 1.10   | Statutes |
|------------------|----------|

----

| 2.1   | Purchase      and Sale |
|-----------------|------------------------|

| 2.2   | Purchase      Price |
|-----------------|---------------------|

| 2.3   | Allocation      of the Purchase Price |
|-----------------|---------------------------------------|

| 2.4   | Payment      of Purchase Price |
|-----------------|--------------------------------|

| (a)   | $11,000,000,      subject to the adjustment for Negative Working Capital in accordance with      Section 2.8, paid in cash at ClosingDate; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | $1,000,000      (the “Escrow      Money”) to the Escrow Agent to be paid out in accordance with the      Escrow Agreement; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | A maximum of      $2,159,000 (the “Earn      Out”) calculated as the sum of the  following: |
|-----------------|---------------------------------------------------------------------------------------------------------|

| (i)   | for the      period September 1, 2007 to August 29, 2008, the sum of the following: (A)      the greater of: (1) nil; and (2) $500,000 minus 1⁄2 of the amount by which      $2,300,000 exceeds EBITDA; plus (B) the greater of: (1) nil; and (2) 1⁄2 of      the amount by which EBITDA exceeds $2,300,000 for such period to a maximum      of $386,333.33; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | for the      period August 30, 2008 to August 28, 2009, the sum of the following: (A)      the greater of: (1) nil; and (2) $500,000 minus 1⁄2 of the amount by which      $2,300,000 exceeds EBITDA; plus (B) the greater of: (1) nil; and (2) 1⁄2 of      the amount by which EBITDA exceeds $2,300,000 for such period to a maximum      of $386,333.33; and |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | for the      period August 29, 2009 to August 27, 2010, the greater  of: |
|-------------------|--------------------------------------------------------------------------|

| A.   | nil;      and |
|----------------|---------------|

| B.   | 1⁄2 of the      amount by which EBITDA exceeds $2,300,000 in such period to a maximum of      $386,333.33. |
|----------------|---------------------------------------------------------------------------------------------------------------|

| 2.5   | Assumed      Liabilities |
|-----------------|--------------------------|

----

| 2.6   | Non-Compete      Filing |
|-----------------|-------------------------|

| 2.7   | Deposit |
|-----------------|---------|

| (a)   | on the      Closing Date to the Vendors as part delivery of the Purchase Price;      or |
|-----------------|-----------------------------------------------------------------------------------------|

| (b)   | if the      Purchaser breaches its obligations in this Agreement, to the Vendors as      liquidated damages in full and final settlement of any claim by the      Vendors and/or the Covenantors for any and all breaches of the Purchaser      and the release of deposit monies to the Vendors will be the Vendors’ and      the Covenantors sole and exclusive remedy;or |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | if the      Vendors wrongfully fail to complete the sale of the Assets on the Closing      Date or the Purchaser has the right not to complete this transaction as      set forth in Section 5.5, to the Purchaser together with all accrued      interest thereon without limitation of any remedies the Purchaser may have      against the Vendors and/or Dean with respect to such    failure. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.8   | Adjustment      based on Negative Working Capital |
|-----------------|---------------------------------------------------|

| 2.9   | Post      Closing Payments |
|-----------------|----------------------------|

----

| 2.10   | Calculation      of EBITDA |
|------------------|----------------------------|

| (a)   | any negative      non-recurring and extraordinary items incurred following Closing,      including: (i) any charges or expenses reasonably related to the Purchaser      commencing operations or which would not reasonably have been incurred if      the Business had been carried on substantially as aan operating concern by the Vendors and the      Group unless Dean has agreed in writing with a specific reference to this      Section 2.10 to a business decision of the Purchaser which may result in      negative non-recurring or extraordinary items ; (ii) any charges or      expenses related to the wind-up of the Partnerships; (iii) any charges or      expenses related to Section 2.11 of this Agreement; (iv) any charges or      expenses related to preparing the Purchaser Earn Out Statements; and (v)      any losses on the sale of capitalassets; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | any charges      or expenses related to the Purchaser being a subsidiary of a public      company; |
|-----------------|----------------------------------------------------------------------------------------------------|

| (c)   | any charges      or expenses for any services provided by CIBT or any Affiliate thereof for      any services utilized by the Group or the business of the Purchaser in      excess of the fair market value of such services;  and |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | any charges      related to review or dispute of the Closing Date    Statements. |
|-----------------|----------------------------------------------------------------------------------|

|   | In      calculating EBITDA for the Earn Out, the Purchaser will use substantially      the same accounting methods and policies as were used in      the  preparation of the Group Statements for the year ended Aug.      31, 2007 in the calculation of netincome. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.11   | Audit      of Post Closing Group Statements |
|------------------|---------------------------------------------|

| 2.12   | Audit      of Closing Date Statements |
|------------------|---------------------------------------|

| 2.13   | Employees      and Contractors |
|------------------|--------------------------------|

| (a)   | offer      continuing employment to all of the Employees, effective on the Closing,      on the same or substantially the same terms as the terms under which such      Employees were employed immediately before the Closing Date, and with full      recognition of their length of service with the Vendors, the Group or any      Person forming part of the Group; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | offer      continuing contracts for services to all of the Contractors, effective on      the Closing, on the same or substantially the same terms as contained in      their respective Contracts; and |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | effective on      the Closing, the Purchaser shall assume all obligations to the Employees      and the Contractors, including all obligations under the Employee and      Contractor Contracts set out in Schedules 3.1(gg) and    3.1(hh). |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 2.14   | Non-Assignable      Contracts and Licenses |
|------------------|--------------------------------------------|

| 2.15   | PCTIA      REQUIREMENTS |
|------------------|-------------------------|

----

| 3.1   | Representations      and Warranties of the Vendors and the  Covenantors |
|-----------------|-------------------------------------------------------------------------|

| (a)   | Status of the      Corporations.  Each corporation comprising the Vendors is      duly incorporated and validly existing under the Laws of its jurisdiction      of incorporation. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Contractual and Regulatory      Approvals.  The Vendors and each Person in the Group have      obtained all contractual and regulatory approvals required to carry on the      Business except to the extent that any failure to obtain such contractual      and regulatory approvals could not reasonably be expected to have a      Material Adverse Effect on the operations of the Business as they are      presently conducted. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | Execution and Binding      Obligation.  This Agreement has been duly executed and      delivered by each of the Vendors, as applicable, and constitutes legal,      valid and binding obligations of each of the Vendors enforceable against      each of the Vendors, as applicable, in accordance with their respective      terms, except as enforcement of may be limited  by: |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | bankruptcy,      insolvency, moratorium, reorganization and other Laws relating to or      affecting the enforcement of creditors’ rights generally;    and |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | general      principles of equity, including that equitable remedies, such as the      remedies of specific performance and injunctive relief, may only be      granted in the discretion of acourt; |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | No Other Agreements to      Purchase.  Except for the Purchaser’s rights under this      Agreement, no Person has any written or oral agreement, option or warrant      or any right or privilege (whether by Law or Contract, including any right      of first refusal) capable of becoming a right for the purchase or      acquisition from the Vendors of any interest in the Purchased Assets      except for the purchase or sale of inventory in the normal course of the      Business or assets, including curriculum and training processes, in      connection with the Contracts specified in Schedule 3.1(aa); if the      Closing is occurring, on the Closing Date the Purchaser will receive by      transfer and  or assignment marketable title to and a complete      and absolute interest in the Purchased Assets free and clear of all liens,      claims or encumbrances whatsoever, subject only to the covenants required      as disclosed herein and the Permitted  Encumbrances. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | Corporate Authority and Binding      Obligation.  Provided that the Closing is occurring, on      Closing, the Vendors and their shareholders and boards of directors will      have taken all necessary actions, steps and corporate proceedings to      transfer the Purchased Assets to thePurchaser. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)   | Residence.  None      of the Vendors is a non-resident of Canada within the meaning of the      ITA. |
|-----------------|----------------------------------------------------------------------------------------------------------------|

| (g)   | Partnerships or Joint      Ventures.  No Person in the Group, nor the Vendors, are a      partner or participant in any partnership, joint venture, profit-sharing      arrangement or other similar association of any kind nor are they a party      to any agreement under which they agree to carry on any part of a business      or any other activity in such manner or by which they agree to share any      revenue or profit with any other Person, other than as set out herein,      including Schedule  3.1(g) and the Schedules    hereto. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h)   | Status, Constating Documents      and Licenses. |
|-----------------|-------------------------------------------------|

| (i)   | Each Person      in the Group and the Vendors are duly licensed, registered and qualified      as corporations or partnerships, as the case may be, to carry on their      respective businesses as they are now being conducted and are up-to-date      in the filing of all required corporate returns and other notices and      filings and they are otherwise in good standing in their jurisdiction of      incorporation and in each jurisdiction inwhich: |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| A.   | they own or      lease property; or |
|----------------|-------------------------------------|

| B.   | the nature or      conduct of their business or any part thereof, or the nature of their      property or any part thereof, makes such qualification necessary or      desirable to enable their business to be carried on as now conducted or to      enable their property and assets to be owned, leased and operated by      them.  Schedule 3.1(h)(i) describes all of the jurisdictions in      which the Group carries onbusiness. |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | The Licenses      of the Vendors and of Group listed in Schedule 3.1(h)(i) are all of the      Licences that are material to the operation of the Business and are valid      and subsisting.  True and complete copies of the Licenses have      been delivered to the Purchaser prior to the date hereof.  The      Vendors and each Person in the Group are in compliance with in all      material respects with all terms and conditions of their respective      Licenses.  Except as disclosed in Schedule 3.1(h)(i), there are      no proceedings in progress, or the knowledge of the Vendors or Covenantors      pending or threatened, that could result in the revocation, cancellation      or suspension of any of the Licenses other than any impact arising out of      the Trust Agreement. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (i)   | Compliance with Constating      Documents, Agreements and Laws.  The execution, delivery      and performance of this Agreement and each of the other Contracts      contemplated by this Agreement by the Vendors, and the completion of the      transactions contemplated hereby and thereby, will not constitute or      result in a violation or breach of or default under, or cause the      acceleration of any obligations of the Group or any of the Vendors      under: |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | their      articles, by-laws, declaration of trust or other constating or      organizational documents, as and ifapplicable; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | subject to      obtaining the contractual consents referred to in Schedule 3.1(i), the      terms of any Contract or other obligation or restriction to which the      Group or the Vendors are a party or by which any of them is bound;      or |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | subject to      obtaining the regulatory consents referred to in Schedule 3.1(i), any term      or provision of any License or Authorization or any order or judgment of      any court, governmental authority or regulatory body or any      Laws, |
|-------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (j)   | Financial      Records. |
|-----------------|-------------------------|

| (i)   | all financial      transactions of the Group have in all material respects been accurately      recorded in the financial books and records of the  Group; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | no      information, records or systems pertaining to the operations or      administration of the Business or the affairs of the Group are in the      possession of, recorded, stored, maintained or otherwise dependent upon      any other Person except for information or records in the possession of      Employees, consultants, Contractors, banks, Government Agencies and      professional advisors which the Vendors will use reasonable commercial      efforts to make available to the Purchaser before and, to the extent the      Vendors and Covenantors are reasonably able to do so, after Closing as      reasonably requested by the Purchaser;and |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | the financial      books and records fairly and accurately reflect in all material respects      the financial position ofthe  Group. |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| (k)   | Financial      Statements. |
|-----------------|----------------------------|

| (i)   | The Group      Statements for the last 3 fiscal years of the Group, copies of which have      been provided to the Purchaser, have been prepared in accordance with GAAP      applied on a basis consistent with previous fiscal years, are true,      correct and complete in all material respects and present fairly the      assets, liabilities and financial condition of the Group as at the      respective dates thereof and the results of operations for the period to      which such financial statementsrelate. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | To the      Vendors’ and Covenantors’ knowledge, the Group Interim Statements,      unaudited, are substantially true in all material respects and present      fairly the assets, liabilities and financial condition of the      Group. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | The Closing      Date Statements, when delivered to the Purchaser in accordance with this      Agreement will have been prepared in a manner consistent with the      preparation of the Group Statements, and will be true, correct and      complete in all material respects and present fairly the assets,      liabilities and financial condition of the Group at the Closing Date and      the results of operations for the periods to which such financial      statements relate. |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (l)   | Title to      Assets.  Except with respect to (i) the IP Assets (which      are dealt with separately in Section 3.1(x)) or any rights held under      license, (ii) the Leased Premises which are leased pursuant to the Leases,      or (iii) equipment that is subject to Equipment Contracts, the Vendors      have good and marketable title to all property used or required for the      ordinary operation of their business (the “Business Assets”) free      of any Encumbrance other than Permitted  Encumbrances. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (m)   | Condition of      Assets.  The Business Assets and equipment leased under      the Equipment Contracts are in good operating order and in a state of good      maintenance and repair for the purposes of ongoing operation of the      Business, reasonable wear and tearexcepted. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (n)   | Group Accounts      Receivable.  The accounts receivable of the Group      reflected in the Group Interim Statements arose from bona fide transactions      in the Ordinary Course and are valid, enforceable and fully collectable      accounts (subject to a reasonable allowance, generally consistent with      past practice, for doubtful accounts or as previously disclosed in writing      to the Purchaser).  Such accounts receivable are not subject to      any set-off or counterclaim. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (o)   | Absence of Certain Changes or      Events.  Except as disclosed in the Group      Interim  Statements or in Schedule 3.1(o), neither the Group nor      the Vendors have in the period from September 1, 2007 to the Closing Date      and with respect to the Business and/or the Purchased    Assets: |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | incurred any      material obligation or liability (whether accrued, absolute, contingent or      otherwise), except normal trade or business obligations incurred in the      Ordinary Course; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | paid or      satisfied any material obligation or liability (whether accrued, absolute,      contingent or otherwise), except: |
|------------------|--------------------------------------------------------------------------------------------------------------------------------|

| A.   | current      liabilities included in the Group Statements or the Closing Date      Statements; |
|----------------|------------------------------------------------------------------------------------------------|

| B.   | scheduled      payments pursuant to obligations under loan agreements or other contracts      or commitments described in this Agreement, including the Schedules;      and |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| C.   | scheduled      payments pursuant to obligations under capital  leases. |
|----------------|------------------------------------------------------------------------|

| (iii)   | created any      Encumbrance other than a Permitted Encumbrance upon any of its capital      assets, except in the Ordinary Course or as described in Schedule      3.1(o); |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | sold,      assigned, transferred, leased or otherwise disposed of any of its      properties or assets material to the operation of the Business, except in      the Ordinary Course; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | purchased,      leased or otherwise acquired any properties or assets material to the      operation of the Business, except in the Ordinary  Course; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vi)   | waived,      cancelled or written-off any rights, claims, accounts receivable or any      amounts payable thereto, except in the Ordinary  Course; |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| (vii)   | entered into      a Material Contract; |
|-------------------|----------------------------------------|

| (viii)   | other than is      required by, or agreed to by the Purchaser, terminated, discontinued,      closed or disposed of any facility or business operation material to the      operation of the Business; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ix)   | made any      material change with respect to any method of management, operation or      accounting in respect of theBusiness; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------|

| (x)   | increased any      form of compensation or other benefits payable or to become payable to any      of their directors, officers, Contractors or Employees, including any      improvements to severance or termination pay, Benefit Plans or Employee      Plans, other than in the OrdinaryCourse; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (xi)   | suffered any      damage, destruction or loss (whether or not covered by insurance) having a      Material Adverse Effect; |
|------------------|----------------------------------------------------------------------------------------------------------------------------|

| (xii)   | suffered any      extraordinary loss relating to theirbusiness; |
|-------------------|-----------------------------------------------------------------|

| (xiii)   | made or      suffered any Material Adverse Change in, or become aware of any event or      condition which singly or in aggregate has or would reasonably be expected      to result in a Material AdverseChange; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (xiv)   | authorized,      agreed or otherwise become committed to do any of the      foregoing. |
|-------------------|----------------------------------------------------------------------------------------|

----

| (p)   | Commitments for Capital      Expenditures.  Except as disclosed in the Group      Statements and/or the Group Interim Statements or as set out in Schedule      3.1(p), neither the Vendors nor the Group have made or committed to make      any capital expenditures, or authorized any capital expenditures at any      time since July 31, 2007, other than in the Ordinary    Course. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (q)   | Tax      Matters. |
|-----------------|-------------------|

| (i)   | For purposes      of this Agreement, the term “Governmental Charges”      means and includes all taxes, customs duties, rates, levies, assessments,      reassessments and other charges, together with all penalties, interest and      fines with respect thereto, payable to any governmental agency, domestic      or foreign. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | Except as      disclosed in Schedule 3.1(q), the Vendors and the Group will have up to      the Closing Date duly and on a timely basis prepared and filed, in all      applicable jurisdictions, all tax returns and other documents required to      be filed by it and/or them by the Closing Date in respect of all      Governmental Charges and such returns and documents are complete and      correct in all material respects.  Complete and correct copies      of all such returns (for greater certainty including both income tax      returns and goods and services tax returns) and other documents filed in      respect of the last six fiscal years ending prior to the date hereof have      been provided to the Purchaser prior to the date  hereof. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | The Vendors      and the Group have paid, and on the Closing Date will have paid, all      Governmental Charges which are due and payable by it and/or them on or      before the date hereof and the Closing Date,      respectively.  Adequate provision was made by the Group,      respectively, in the most recent Group Statements for all Governmental      Charges for all periods up to the date of the balance sheet comprising      part of the most recent Group Statements.  All Governmental      Charges which may accrue between the end of the most recent fiscal year of      the Group and the Closing will be included in the Closing Date      Statements. |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | Canadian      federal income tax assessments have been issued to the Vendors and the      Group, respectively, covering all past periods up to and including the      fiscal year ended July 31, 2006, and August 26, 2006,      respectively. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | There are no      agreements, waivers or other arrangements providing for any extension of      time with respect to the filing of any tax return or other document or the      payment of any Governmental Charges by the Vendors or the Group for the      period for any assessment or reassessment of Governmental      Charges. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vi)   | The Vendors      and the Group have and on the Closing Date will have withheld or collected      from each Person the amount to be paid or credited in respect of such      Person the amount of Governmental Charges required to be withheld or      collected there from and has and on the Closing Date will have remitted      such Governmental Charges to the proper tax or other receiving authorities      within the time periods required under applicable    legislation. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (r)   | Litigation and Other      Proceedings.  Except as set out in Schedule 3.1(r): there      is no court, administrative, regulatory or similar proceeding (whether      civil, quasi-criminal or criminal); arbitration or other dispute      settlement procedure; to the knowledge of the Vendors and the Covenantors,      investigation or inquiry by any governmental, administrative, regulatory      or similar body, or any similar matter or proceeding (collectively “Proceedings”) against or      involving the Vendors and/or the Group (whether in progress or      threatened); and to the knowledge of the Vendors and the Covenantors, no      event has occurred which might give rise to any proceedings and there is      no judgment, decree, injunction, rule, award or order of any court,      government department, board, commission, agency, arbitrator or similar      body outstanding against the Vendors and/or the Group.  Except      as set out in Schedule 3.1(r), no complaint, grievance, claim, work order      or investigation is outstanding, pending or to the knowledge of the      Vendors or the Covenantors, threatened, has been filed, made or commenced      against the Vendors and/or the Group pursuant to the Employment Standards Act      (British Columbia), Workers Compensation Act      (British Columbia) British Columbia Human Rights      Code or any similar legislation of Canada, the Province of British      Columbia or of any otherjurisdiction; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (s)   | Environmental      Matters. |
|-----------------|-----------------------------|

| (i)   | For the      purposes of this Agreement, the following terms and expressions shall have      the indicated meanings: |
|-----------------|----------------------------------------------------------------------------------------------------------------------|

| A.   | “Environment” means the      air, all layers of the atmosphere, surface water, underground water, all      land, all living organisms and the interacting natural systems that      include components of air, land, water, organic and inorganic matter and      living organisms, and includes indoorspaces; |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| B.   | “Environmental Laws”      means all applicable statutes, regulations, ordinances, by-laws,      guidelines, policies, standards, permits and codes, now or hereafter in      force or existence in Canada, the United States and elsewhere (whether      federal, state, provincial, municipal or local), or arising under the      common law, relating to the protection, preservation or remediation of the      Environment, occupational health and safety, product safety, product      liability, transportation of dangerous goods or Hazardous Substances,      including, without limitation, the Waste Management or the      Canadian Environmental      Protection Act (1999) (Canada), U.S. Comprehensive      Environmental Response, Compensation, and Liability Act; U.S. Resource Conservation and      Recovery Act; and Washington Model Toxic Control      Act in      each case, including any regulations promulgated thereunder and as amended      from time to time. |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| C.   | “Environmental Permits”      includes all Licenses issued by or provided to any Governmental Agency of      competent jurisdiction under EnvironmentalLaws. |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| D.   | “Hazardous Substance”      means any contaminant, pollutant or waste (or source thereof), hazardous      substance, toxic, deleterious or caustic substance, hazardous waste or      dangerous goods as defined under any Environmental Laws, or any other      substance which when released to the Environment is likely to cause, at      some immediate or future time, material harm or degradation to the      Environment or material risk to humanhealth. |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| E.   | “Release” means any      release, spill, leak, emission, discharge, deposit, leach, dumping, escape      or other disposal, which is or has been made in contravention of any      Environmental Laws. |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | Except as      disclosed in Schedule 3.1(s), the operation of the Business, the Leased      Premises and other property and assets owned or used by the Vendors and/or      the Group and the use, maintenance and operation thereof by the Vendors      and/or the Group has been and are in compliance with all Environmental      Laws.  The Vendors and the Group have complied with all      reporting and monitoring requirements under all Environmental      Laws.  Neither the Vendors nor the Group have received any      notice of any non-compliance with any Environmental Laws, nor have they      been convicted of an offence for non-compliance with any Environmental      Laws or been fined or otherwise sentenced or settled such prosecution      short of conviction.  Neither the Vendors nor the Group have      received any claim or demand from any Person or authority regarding breach      or alleged breach by them of any Environmental Laws or non-compliance with      the conditions of any Environmental Permit by them or costs of clean up or      Release of any Hazardous Substance by them or notice of any such claim or      demand; there are no proceedings against or involving the Vendors, Group      or any of the Vendors in progress, pending or, to the knowledge of the      Vendors and the Covenantors, threatened in this regard; and, to the      knowledge of the Vendors and the Covenantors, there are no grounds on      which any such claim or demand could be made with any reasonable      likelihood of success. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | The Vendors      and the Group have obtained all Environmental Permits necessary to conduct      their business and to own, use and operate the Leased Premises and their      other properties and assets and the operation of such business, the Leased      Premises and their other properties and assets owned by them and the use,      maintenance and operation thereof have been and are in compliance with all      such Environmental Permits.  All such Environmental Permits are      listed in Schedule 3.1(s) and complete and correct copies thereof have      been provided to the Purchaser prior to the date hereof.  The      Vendors and the Group are in compliance with all such Environmental      Permits and all such Environmental Permits are valid and in full force and      effect.  No proceeding is pending or to the knowledge of the      Vendors and the Covenantors threatened, to revoke, modify or limit any of      such Environmental Permits. |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | Except as      disclosed in Schedule 3.1(s), to the knowledge of the Vendors, there are      no Hazardous Substances located in, under, on or emanating from the Leased      Premises or any of the properties or assets owned or used by, or      previously owned or used by the Vendors or the Group.  Neither      the Vendors, nor the Group, nor any Affiliate thereof, has Released or      caused or knowingly permitted to be Released any Hazardous Substance and      to the knowledge of the Vendors and the Covenantors, no Release has      occurred in, under, on or from such properties or assets or has resulted      from the operation of the Business or the conduct of any other activities      of the Vendors or the Group nor any Affiliate thereof.  Except      as disclosed in Schedule 3.1(s), neither the Vendors nor the Group have      used, or knowingly allowed any Person to use, the Leased Premises or any      of its properties or assets to produce, generate, store, handle, transport      or dispose of any Hazardous Substances except in compliance with      Environmental Laws.  None of the Leased Premises or previously      owned or leased properties has been or is being used by the Vendors and/or      the Group or, to the knowledge of the Vendors, any other Person as a      landfill or waste disposal site. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | Without      limiting the generality of the foregoing, except as disclosed in Schedule      3.1(s), to the knowledge of the Vendors and the Covenantors, there are no      underground or surface storage tanks and no lead, urea formaldehyde foam      insulation, asbestos, polychlorinated biphenyls (PCBs) or radioactive      substances located on, in or under any of the properties or assets owned      or used by the Vendors or the Group, including without limitation the      Leased Premises.  The Vendors or the Group are not, and to the      knowledge of the Vendors, there is no factual basis upon which they could      become, responsible for any clean-up or corrective action under any      Environmental Laws.  Neither the Vendors nor the Group have      conducted or caused to be conducted an environmental audit, assessment or      study of any of its properties or assets, other than such audits,      assessments or studies which have been disclosed to the Purchaser in      Schedule 3.1(s) and copies of which have been provided to the      Purchaser. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (t)   | Leased      Premises.  Schedule 3.1(t) describes all leases and      agreements (the “Leases”) to lease under      which the Vendors and/or the Group leases any real property (the “Leased      Premises”).  Except as set out in Schedule 3.1(t),      neither the Vendors nor the Group are party to or bound by any lease of      real property, or any agreement in the nature of a lease, whether as      lessor or lessee.  Complete and correct copies of the Leases      have been provided to the Purchaser prior to the date      hereof.  The Vendors or the Group, as the case may be, are      exclusively entitled to all rights and benefits as lessee under the Leases      and neither the Vendors nor the Group have sublet, assigned, licensed or      otherwise conveyed any rights in the Leased Premises or in the Leases to      any Person.  The uses by the Vendors and/or the Group of the      Leased Premises are to the knowledge of the Vendors and the Covenantors      not in breach of any building, zoning or other statute, by law, ordinance,      regulation, covenant, restriction or official plan.  Other than      the leasehold interest in the Leased Premises, neither the Vendors nor the      Group have any title or interest in real property.  Except as      disclosed in Schedule 3.1(t), neither the Vendors nor the Group is in      default in meeting any of its obligations under any of the Leases, other      than a default which does not have a Material Adverse Effect, and, to the      knowledge of Vendors and the Covenantors, no other party to a Lease is in      material default under any such Lease.  Each Lease is in full      force and effect. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (u)   | Work Orders and      Deficiencies.  To the knowledge of the Vendors and the      Covenantors, there are no outstanding work orders, non-compliance orders,      deficiency notices or other such notices relating to the Leased Premises,      the other properties and assets of the Group or the Business that have      been issued by any regulatory authority, police or fire department,      sanitation, environment, labour, health or other governmental authorities      or Governmental Agencies.  To the knowledge of the Vendors and      the Covenantors, there are no matters under discussion with any such      department, authority or Governmental Agency relating to work orders,      non-compliance orders, deficiency notices or other such      notices.  The Business is not being carried on, and none of the      Leased Premises or the other properties or assets of the Vendors and/or      Group are being operated, in a manner that is in contravention of any      statute, regulation, rule, code, standard or policy, except for      contraventions which are not, in the aggregate, materially adverse to the      Business.  No material amounts are owing by the Group in respect      of the Leased Premises to any Governmental Agency or public utility, other      than current accounts, which are not inarrears. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | Condition of Properties and      Equipment.  The buildings and structures comprising the      Leased Premises are to the knowledge of the Vendors and the Covenantors      free of any material structural defect. The heating, ventilating,      plumbing, drainage, electrical and air conditioning systems and all other      systems used in the Leased Premises and all machinery, equipment, tools,      furniture, furnishings, materials and other physical assets used in the      Business or by the Vendors and/or the Group are in material compliance      with applicable laws, in good working order, fully operational and free of      any defect, except for normal wear and tear having regard to the use and      age of such assets. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (w)   | Leases of Personal      Property.  Except as set out in Schedule 3.1(w), neither      the Vendors nor the Group are a lessee or lessor under any lease of      personal property.   |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (x)   | Intellectual      Property. Except as      otherwise already previously disclosed by the Vendors to the      Purchaser: |
|-----------------|------------------------------------------------------------------------------------------------------------------------------|

| (i)   | Schedule      3.1(x) contains a complete list of all (i) all patents and patent      applications, registered copyrights, and registered or applied for      trade-marks that are included in the Owned IP (the “Registered IP”),      together with the details of any registrations and applications for      registration with respect thereto, and (ii) all other IP Assets that are      material to the Business, but excluding in any event commercially      available software that is available for purchase or licensed in the      Ordinary Course. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | The      registrations and applications for registration of the Registered IP      listed in Schedule 3.1(x) are, valid and subsisting, in good standing, and      enforceable against third parties and are recorded, maintained and renewed      in the name of the pertinent Vendors or Person in the Group in the      appropriate registries or government offices to preserve the rights of the      pertinent Vendors or Person in the Group thereof and    thereto. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | To the      knowledge of the Vendors and the Covenantors there exist no facts which      would materially affect the validity, enforceability, scope or      registerability of any of the OwnedIP. |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (iv)   | The pertinent      Vendors or Person in the Group own or have the necessary rights in the IP      Assets as is necessary for the operation, conduct and maintenance of the      Business as such Business is currently and has historically been operated,      conducted or maintained and each item of the IP Assets will be owned or,      in respect of the Licensed IP, held by license rights by the pertinent      Vendors or Person in the Group immediately after, and after giving effect      to, the Closing without the need for any further Authorization, License or      any consent, license, right or permission from any Person in respect      thereof and the consummation of the transactions contemplated herein will      not impair, alter or limit in any way such ownership or      rights. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | Except as      disclosed in Schedule 3.1(x), the pertinent Vendors or Person in the Group      owns and have a legal and beneficial right, title and interest in and to      the Owned IP in its own name, free and clear of any Encumbrances, and none      of the Owned IP has been licensed from or to a Third  Party. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vi)   | Except as      disclosed in Schedule 3.1(x), the pertinent Vendors or Person in the Group      has the exclusive right to use and otherwise exploit the Owned IP (other      than trademarks and trade names), and there are no prohibitions or      restrictions on the use or other exploitation by the pertinent Vendors or      Person in the Group of the IP Assets, in all jurisdictions in which it is      currently or has historically been used or otherwise      exploited. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vii)   | Neither (a)      the operation, conduct and maintenance by the Vendors or the Group of the      Business as it is currently and has historically been operated, conducted      and maintained, nor (b) the use by the pertinent Vendors or the Group of      the IP Assets in respect thereto, infringes, misappropriates, misuses or      violates the IP Rights, or any other rights, of any Third Party or      breaches any duty or obligation owed to any Third  Party. |
|-------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (viii)   | None of the      Vendors, Group or any of the Vendors have received any notice, complaint,      threat or claim alleging: the infringement, misappropriation, misuse or      violation of any IP Rights of any Third Party or breach of any duty or      obligation owed to any Third Party; or, that the pertinent Vendors or the      Group, as the case may be, do not own the Owned IP or, in the case of the      Licensed IP, that the Vendors or the Group, as the case may be, do not      have the right (unless otherwise stated in Schedule 3.1(x)) to use the IP      Assets in the conduct of the Business as it is currently and has      historically been operated, conducted and  maintained. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ix)   | To the      knowledge of the Vendors and the Covenantors, there is and there has been      no material past or present infringement, misappropriation, misuse, or      violation of, breach of any obligations with respect to, or other      impairment of any of the Owned IP. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (x)   | No claims      have been asserted by any Third Party with respect to, or challenging or      questioning, the ownership, validity, enforceability or use of, the IP      Assets and to the knowledge of the Vendors and the Covenantors there is no      valid basis for any such claim except as set out in Schedule      3.1(x). |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (xi)   | No claim has      been asserted (nor is likely to be asserted) by the Vendors or the Group,      as the case may be, with respect to the IP Assets nor have the Vendors or      the Group, as the case may be, issued, filed or made (nor is it likely to      issue, file or make) any notice, complaint, threat or claim against a      Third Party alleging infringement of the IP Assets or any IP Assets right      or other right of the Vendors or the Group, as the case may be, by such      Third Party except as set out in Schedule  3.1(x). |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (xii)   | No      proceeding, opposition, office action or claim has been asserted (nor, to      the knowledge of the Vendors and the Covenantors, is likely to be      asserted) by the Vendors or the Group, as the case may be, challenging or      questioning the ownership, validity, enforceability or right to use any      intellectual property of a Third Party, or in respect of any registration      or application for registration in respect  thereof. |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (xiii)   | Each of the      Vendors, the Vendors and the Group have undertaken and maintained, and      continues to undertake and maintain, reasonable security measures to      protect the secrecy, confidentiality and value of the IP Assets, including      without limitation, all proprietary, technical, or confidential      information related thereto, and all proprietary, technical, or      confidential information of any Third Party provided to it in confidence      by a Third Party and, in the case of the Vendors, relating directly or      indirectly, to the Vendors and the Group or the Business, and neither the      Group nor any of the Vendors have breached any agreements or obligations      of non-disclosure or confidentiality in respect  thereof. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (xiv)   | None of the      Vendors or any Affiliate thereof or any Related Party of the Vendors or      the Group (other than the Vendors or the Group themselves) owns or has any      rights in or to any of the OwnedIP. |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (y)   | Restrictions on Doing      Business.  To the knowledge of the Vendors, neither the      Vendors nor the Group are a party to or bound by any agreement that would      restrict or limit any right to carry on any business or activity or to      solicit business from any Person or in any geographical area or otherwise      to continue to conduct the Business as presently conducted other than as      provided in the Contracts listed in Schedule  3.1(aa). |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (z)   | Guarantees.  Except      as described in Schedule 3.1(z): |
|-----------------|---------------------------------------------------------------------|

| (i)   | neither the      Vendors nor the Group are a party to or bound by any material agreement of      guarantee, support, indemnification, assumption or endorsement or any      other like commitment of the obligations, liabilities (whether accrued,      absolute, contingent or otherwise) or indebtedness of any Person which      would affect the Purchaser or attach in any way to any of the Purchased      Assets; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | neither the      Vendors nor the Group have given any material guarantee or warranty in      respect of any of the products sold or serviced by them;    and |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | neither the      Vendors nor the Group are required to provide any letters of credit, bonds      or other financial security arrangements in connection with any      transactions with its respective suppliers or  customers. |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (aa)   | Licenses, Agency, Distribution      and Royalty Agreements.  Schedule 3.1(aa) lists all      material agreements to which the Group are a party or by which they are      bound, under which the right to manufacture, use or market any product,      service, IP Assets, technology, information, data, computer hardware or      other property has been granted, licensed or otherwise provided to or by      any other Person, or pursuant to which a royalty, license fee or other      amount is paid by or to the Vendors and/or the Group, or under which the      Vendors and/or the Group have been appointed, or any Person has been      appointed by the Vendors and/or the Group, as an agent, distributor,      licensee or franchisee for any of the foregoing.  Complete and      correct copies of all of the agreements listed in Schedule 3.1(aa) have      been provided to the Purchaser prior to the date hereof.  Except      as may be provided therein, none of the agreements listed in Schedule      3.1(aa) grant to any Person any authority to incur any liability or      obligation or to enter into any agreement on behalf of the Vendors and/or      the Group. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (bb)   | Educational Accreditations and      Approvals. |
|------------------|------------------------------------------------|

| (i)   | MAE has      issued the MAE Accreditations and the MAE Approvals for all of the degree      courses offered by the Group; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------|

| (ii)   | all MAE      Accreditations and MAE Approvals are in good standing and permit the Group      to carry on the Business as it currently does and to confer the degrees      referred to therein in accordance with the requirements      thereof; |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | the Group has      not violated any term or provision of the MAE Accreditations and/or MAE      Approvals and all operations of the Group are in material compliance      therewith; |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | the Group has      not received any notice containing reference to any matter or event which      may threaten or lead to the termination or suspension of the MAE      Accreditations and/or MAEApprovals; |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | PCTIA has      issued the PCTIA Accreditations and the PCTIA Approvals set forth on      Schedule 3.1(bb) for all of the PCTIA courses offered by the      Group; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vi)   | all PCTIA      Accreditations and PCTIA Approvals are in good standing and unamended and      permit the Group to carry on the Business as it currently does and to      confer the certificates and/or degrees referred to therein in accordance      with the requirements thereof; |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vii)   | except as      disclosed in Schedule 3.1(bb), the Group has not violated any term or      provision of the PCTIA Accreditations and/or PCTIA Approvals and all      operations of the Group are in material compliance therewith;      and |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (viii)   | the Group has      not received any notice containing any reference to any matter or event      which may threaten or lead to the termination or suspension of the PCTIA      Accreditations and/or PCTIAApprovals. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (cc)   | Student      Information.  The Group has taken precautions to keep      their students’ personal information confidential and to restrict the      public distribution of such information.  In particular, the      Group’s practices are in compliance with the Personal Information      Protection Act (British Columbia) and all other applicable privacy      legislation of applicablejurisdictions. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (dd)   | Student      Loans.  Attached as Schedule 3.1(dd) is a list as of July      31, 2007 outlining the current repayment rate for Canada student loans      with respect to the Group, which list is true and correct in all material      respects as of July 31, 2007.  No additional loans have been      made to students except in the Ordinary Course from July 31, 2007 to      Closing. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ee)   | Outstanding      Agreements.  Neither the Vendors nor the Group are a      party to or bound by any outstanding or executory Material Contract,      except for: |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | Material      Contracts described, or referred to, in this Agreement, including the      Schedules; and |
|-----------------|---------------------------------------------------------------------------------------------------------|

| (ii)   | other      Material Contracts described in Schedule  3.1(ee). |
|------------------|---------------------------------------------------------------|

| (ff)   | Good Standing of Material      Agreements.  None of the Vendors and the Group are in      default or breach of any of their obligations under any Material Contract      to which they are a party or by which they are bound and there exists no      state of facts which, after notice or lapse of time or both, would      constitute such a default or breach provided that the consents to      assignment contemplated in Section 4.1(e) are obtained.  All      such Material Contracts are now in good standing and in full force and      effect.  The Vendors and/or the Group, as the case may be, are      entitled to all benefits, rights and privileges under all such Material      Contracts and, to the knowledge of the Vendors, no other party to such      Material Contracts is in default or breach of any of its obligations      thereunder.  Except as provided in Schedule 3.1(ee), there are      no Material Contracts under which the rights of the Vendors and/or the      Group, as the case may be, or the performance of their obligations are      dependent upon or supported by the guarantee of or any security provided      by any other Person.  The Vendors and/or the Group, as the case      may be, and, to the knowledge of the Vendors, the other parties to all      Material Contracts to which the Vendors and/or the Group, as the case may      be, are party, have the capacity to perform all of their respective      obligations under such Contracts. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (gg)   | Employees and      Contractors.  Schedule 3.1(gg) sets forth the name and      rate of remuneration (excluding specifics of bonus and commission      entitlement ) of each Employee, and lists each Contractor.  The      Vendors have provided to the Purchaser information with respect to each      Employee’s job title, duration of employment, vacation entitlement,      employee benefit entitlement, bonus and commission entitlement and the      names of all Employees who are now on disability, maternity or other      authorized leave or who are receiving workers’ compensation or short-term      or long-term disability benefits and all Employees and Contractors who      have given notice of termination or expressed an intention to seek changes      to their contract of employment. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (hh)   | Employment and Contractor      Agreements.  Except as set out in Schedule 3.1(hh),      neither the Vendors nor the Group are a party to, nor bound by,      any: |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | oral or      written Contract or commitment for the employment or retainer of any      individual, including, for greater certainty, any Contract or commitment      with any Employee or Contractor, other than Contracts of indefinite hire      terminable by the Vendors or Person who is a member of the Group without      cause on reasonable notice and without any special arrangement or      commitments with respect to the continuation of employment or payment of      any particular amount upon termination;or |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | oral or      written Contract or commitment providing for severance, termination or      similar payments, including on a change of control of the Vendors or      Person who is a member of theGroup. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (ii)   | Labour      Matters and Employment Standards. |
|------------------|-----------------------------------------------|

| (i)   | None of the      Vendors or Group are party to any collective agreement with or commitment      to any labour union, trade union, council of trade unions, employee      bargaining agent or affiliated bargaining agent or employee association      (collectively, “Labour      Representatives”) nor have they conducted negotiations with respect      to any future such collective agreement or  commitment. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | No Labour      Representative has any bargaining rights acquired by either certification      or voluntary recognition with respect to any of the Employees or      Contractors. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | To the      knowledge of the Vendors and Covenantors, there are no current attempts by      any Labour Representative to organize any of the Employees or      Contractors. |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | To the      knowledge of the Vendors and Covenantors, no Labour Representative has      applied to have the Vendors or Group or any Person who forms part thereof      declared a common employer or related employer pursuant to the applicable      labour relations Laws. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (v)   | There are no      existing or, to the knowledge of the Vendors and the Covenantors,      threatened, labour strikes or labour disputes, grievances, controversies      or other labour troubles affecting, or reasonably likely to affect, the      Vendors or Group or the Business. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vi)   | The Vendors      and the Group have complied in all material respects with all Laws, rules,      regulations and orders applicable to it relating to employment, including      those relating to wages, hours of work, collective bargaining,      occupational health and safety, workplace hazardous materials, employment      standards, pay equity and workers’compensation. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (vii)   | All amounts      due and payable by the Vendors and the Group to their respective Employees      and Contractors have been paid in full up until December 17, 2007 and all      amounts accruing due to same, including vacation pay owed to Employees      will be reflected in the Closing Date  Statements. |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (viii)   | To the      knowledge of the Vendors and Covenantors, there are no outstanding charges      or complaints against the Vendors and the Group relating to unfair labour      practices or discrimination or under any legislation relating to      employees. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ix)   | The Vendors      and the Group have paid in full all amounts owing under the Workers’ Compensation      Act (British Columbia) or comparable Laws elsewhere. Where      applicable, the workers’ compensation claims experience of the Vendors and      the Group would not permit a penalty reassessment under any such      legislation. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (jj)   | Employee      Plans. |
|------------------|----------------------|

| (i)   | Except as      listed in Schedule 3.1(jj), neither the Vendors nor the Group have or are      subject to any present or future obligation or liability under any      Employee Plan out of the Ordinary Course.  Schedule 3.1(jj) also      lists the general policies, procedures and work-related rules in effect      with respect to Employees, whether written or oral, including but not      limited to, policies regarding holidays, sick leave, vacation, disability      and death benefits, termination and severance pay, automobile allowances      and rights to company-provided automobiles and expense reimbursements.      Schedule 3.1(jj) describes in reasonable detail any Incentive Plan that      will not be terminated prior to Closing including, without limitation, the      name and job title of any person entitled to compensation under such      Incentive Plan if such compensation may reasonably be expected to be in      excess of $10,000 per annum. No replacements, changes or amendments to any      Employee Plan have been promised.  Complete and correct copies      of all such Employee Plans and all related documents or, where such      Employee Plans are oral commitments, written summaries of the terms      thereof, have been provided to the Purchaser prior to the date      hereof. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | All      obligations to be performed at or prior to the Closing Date respecting      each Employee Plan (including, without limitation, those respecting the      making or payment of contributions or premiums, as applicable) have been      performed in accordance with the relevant terms of each plan and all Law,      and no Governmental Charges are owing or eligible under any Employee      Plan.  All Employee Plans required to be funded are fully      funded, and the funds in such plans are and have been invested, in      accordance with the relevant terms of each plan and all Law, and, in the      case of Pension Plans, if applicable, are fully funded on a going concern      basis and solvency basis in accordance with generally accepted actuarial      principles and actuarial methods and assumptions contained in the most      recent actuarial report of the plan based on actuarial assumptions which      are appropriate to the applicable employees.  To the knowledge      of the Vendors and Covenantors, the data respecting each Employee Plan is      correct and complete in all material respects and is sufficient for the      proper administration of each Employee Plan.  There has been no      partial or full wind-up of any Employee Plan and no event has occurred      which would entitle any Person to partially or fully wind-up, or require      the partial or full winding-up of, any Employee Plan, or which could      adversely affect the tax status of any Employee Plan.  No      changes have occurred (other than general economic or financial market      changes) since the date of the most recent actuarial report provided to      the Purchaser in respect of such pension plans which makes such report      misleading in any material respect.  No funds have been      withdrawn, and no application to withdraw funds has been made, by the      Vendors in the Group from any EmployeePlans. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | To the      knowledge of the Vendors and Covenantors, except for claims provided in      Schedule 3.1(r), there are no pending claims by any Employee or former      employee covered under the Employee Plans or by any other person which      allege a breach of fiduciary duties or violation of Law or which may      result in liability to the Vendors or the Group and, to the knowledge of      the Vendors and the Covenantors there is no basis for such a      claim.  There are no participants or other individuals entitled      to participate in any Employee Plan other than current or former      employees, directors or officers of the Vendors or the      Group.  Except as disclosed in Schedule 3.1(jj), there are no      Employees or former employees or Contractors of the Vendors or the Group      who are receiving from the Vendors or the Group any pension or retirement      payments, or who are entitled to receive any such payments, not covered by      a Pension Plan to which the Vendors or the Group are a      party.  No Employee Plan provides benefits to retirees or      provides for retroactive changes or premium  increases. |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (kk)   | Insurance.  Schedule      3.1(kk) contains a true and complete list of all insurance policies      maintained by the Vendors and/or the Group or under which the Vendors      and/or the Group are covered in respect of its properties, assets,      business or personnel, as of the date hereof, including the name of the      insurer and the risks insured.  Such insurance policies are in      full force and effect and the Vendors and/or the Group are not in default      with respect to the payment of any premium or compliance with any of the      provisions contained in any such insurance policy.  To the      knowledge of the Vendors and the Covenantors, there are no circumstances      under which the Vendors and/or the Group would be required to or, in order      to maintain its coverage, should give any notice to the insurers under any      such insurance policies, which have not been given.  The Vendors      and/or the Group have not received notice from any of the insurers      regarding cancellation of such insurance policies.  The Vendors      and/or the Group have not failed to present any material claim under any      such insurance policy in due and timely fashion.  The Vendors      have no reason to believe that any of the insurance policies listed in      Schedule 3.1(kk) will not be renewed or will be renewed only as the basis      of a material increase in premiums.  The Vendors and/or the      Group have not received notice from any insurer denying or challenging any      claims made by it or on its behalf. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ll)   | Non-Arm’s Length      Matters.  Except as disclosed in Schedules 3.1(gg),      3.1(hh) or 3.1(ll), the Vendors and/or the Group are not a party to or      bound by any Contract with, is not indebted to, and no amount is owing to      the Vendors and/or the Group by any of the Vendors or any of the Vendors’      respective Affiliates, or any officers, former officers, directors, former      directors, shareholders, former shareholders, Employees or former      employees of the Vendors and/or the Group or any other Person not dealing      at arm’s length with the Vendors and/or the Group or any of the foregoing,      except for salaries and other employment compensation payable to Employees      in the Ordinary Course and at the regular rates payable to them as      otherwise disclosed herein.  Except as disclosed in Schedule      3.1(ll), the Vendors and/or the Group have not made or authorized any      payments to either of the Vendors or any of the Vendors’ respective      Affiliates, or any officers, former officers, directors, former directors,      shareholders, former shareholders, Employees or former employees of the      Vendors and/or the Group or to any other Person not dealing at arm’s      length with the Vendors and/or the Group or any of the foregoing, except      for salaries and other employment compensation payable to Employees in the      Ordinary Course and at the regular rates payable to  them. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (mm)   | Government      Assistance.  Except for the Targeted Wage Subsidies      Program by Service Canada or as disclosed in writing to the Purchaser      prior to the date hereof, there are no agreements, loans or other funding      arrangements and assistance programs (collectively called “Government Assistance      Programs”) which are outstanding in favour of the Vendors and/or      the Group from any federal, provincial, state, municipal, local or other      government or governmental agency, board, commission or authority,      domestic or foreign (collectively called “Government      Agencies”).  Complete and correct copies of all documents      relating to the Government Assistance Programs have been delivered to the      Purchaser prior to the date hereof.    The Vendors      and/or the Group have performed all of its obligations under the      Government Assistance Programs, as applicable and no basis exists for any      Government Agencies to seek payment or repayment by the Vendors and/or the      Group of any amount or benefit received thereby under any Government      Assistance Programs. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (nn)   | Disclosure.  The      Vendors and the Covenantors have no knowledge that any representation or      warranty contained in this Section 3.1 or statement contained in any      Schedule, certificate, list, summary or other disclosure document      provided, or to be provided, to the Purchaser pursuant hereto, or in      connection with the transactions contemplated hereby, contains or will      contain any untrue statement of a material fact, or omits or will omit to      state any material fact which is necessary in order to make the statements      contained therein not misleading. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (oo)   | Compliance with      Laws.  The Vendors and the Group are in substantial      compliance with all Laws, including, without limitation, any order of any      government, governmental, agency or regulatory authority, domestic or      foreign.  The Vendors and the Group have complied with all      applicable laws requiring student fees, or any part thereof, to be held in      trust.  No such funds are currently held in trust by the Vendors      or the Group. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (pp)   | Copies of      Documents.  Complete and correct copies (including all      amendments) of all Material Contracts and other documents referred to in      this Agreement or any Schedule or required to be disclosed hereby have      been delivered to the Purchaser. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (qq)   | GST.                  Each      of the Vendors is a registrant under the provisions of the Excise Tax Act and the      Vendors will provide the Purchaser their GST Registration Numbers and the      Purchaser is acquiring the ownership, possession or use under this      Agreement of all or substantially all of the property that can reasonably      be regarded as being necessary for the Purchaser to be capable of carrying      on the purchased Business as a business within the meaning of Section 167      of the said Act. |
|------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (rr)   | Assumed      Liabilities.  Except as contemplated in Schedule 3.1(ll),      the Assumed Liabilities have been incurred in the Ordinary Course in      dealings with bona fide third parties at market value and have not been      incurred to or in respect of any Person who is not at arms length to the      Vendors and/or the Covenantors. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 3.2   | Representations      and Warranties of the Purchaser |
|-----------------|------------------------------------------------------|

| (a)   | Corporate Authority and Binding      Obligation.  The Purchaser is a corporation duly      incorporated and validly subsisting under the Laws of its jurisdiction of      incorporation.  The Purchaser has the corporate power and      capacity to enter into this Agreement, the Escrow Agreement and all other      agreements or instruments contemplated hereby and thereby and to purchase      the Purchased Assets from the Vendors in the manner contemplated herein      and to perform all of its obligations under this Agreement, the Escrow      Agreement and all other agreements or instruments contemplated herein or      therein.  The Purchaser and its board of directors has or will      have taken all necessary or desirable actions, steps and corporate and      other proceedings to approve or authorize, validly and effectively, the      entering into, and the execution, delivery and performance of, this      Agreement, the Escrow Agreement and all other agreements and instruments      contemplated hereby and thereby and the purchase of the Purchased Assets      from the Vendors.  This Agreement, the Escrow Agreement and all      agreements and instruments contemplated herein and therein constitute      legal, valid and binding obligations of the Purchaser, enforceable against      it in accordance with the terms hereof and thereof, except as enforcement      of may be limited by: |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | bankruptcy,      insolvency, moratorium, reorganization and other Laws relating to or      affecting the enforcement of creditors’ rights generally;    and |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | general      principles of equity, including that equitable remedies, such as the      remedies of specific performance and injunctive relief, may only be      granted in the discretion of acourt. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Contractual and Regulatory      Approvals.  The Purchaser is not under any obligation,      contractual or otherwise, to request or obtain the consent of any person,      and no Licenses or Authorizations are required to be obtained by the      Purchaser in connection with the execution, delivery or performance by the      Purchaser of this Agreement, the Escrow Agreement or any other agreement      or instrument contemplated herein or therein or the completion of any of      the transactions contemplated herein ortherein. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | Compliance with Constating      Documents, Agreements and Laws.  The execution, delivery      and performance of this Agreement, the Escrow Agreement and each of the      other agreements or instruments contemplated or referred to herein or      therein by the Purchaser, and the completion of the transactions      contemplated hereby and thereby, will not constitute or result in a      violation or breach of or defaultunder: |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | any term or      provision of any of the articles, by-laws or other constating documents of      the Purchaser; |
|-----------------|-----------------------------------------------------------------------------------------------------------------|

| (ii)   | the terms of      any Contract to which the Purchaser is a party or by which it is bound;      or |
|------------------|---------------------------------------------------------------------------------------------------|

| (iii)   | any term or      provision of any License or Authorization of the Purchaser or any order of      any court, governmental authority or regulatory body or any applicable      Law. |
|-------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | GST.  The      Purchaser is registered under Part IX of the Excise Tax Act (Canada)      with registration number 830255212. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------|

----

| 3.3   | Survival      of Representations and Warranties |
|-----------------|-------------------------------------------------|

| (a)   | no claim      which is based upon or relates to the tax representations and warranties      made in Section 3.1(p) may be made or brought after the date which is six      (6) years following the ClosingDate; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | no claim      which is based upon or relates to title to Purchased Assets may be made or      brought after the date which is eight (8) years following the Closing      Date; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | no claim      which is based upon or relates to all other representations or warranties      other than those referenced in Section 3.3(a) and 3.3(b) may be made or      brought after the date which is eighteen (18) months following the Closing      Date; and |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | any such      claim as aforesaid shall be made in accordance with the provisions set      forth in Article 6. |
|-----------------|---------------------------------------------------------------------------------------------------------------|

| 3.4   | Minority      Partnerships |
|-----------------|----------------------------|

| (a)   | Sprott-Shaw College      of Business (Surrey) – Minority Partner – 460033 B.C.  Ltd.; |
|-----------------|--------------------------------------------------------------------------------------------------------|

| (b)   | Sprott-Shaw      Language Centre – Minority Partner – Nava International Education Inc.      (“SSLC”);      and |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | Sprott-Shaw College      of Business (Chilliwack) – Minority Partner – D. Fichter Holdings Ltd.      (“Chilliwack”). |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 4.1   | Vendors’      Obligations |
|-----------------|---------------------------------|

| (a)   | The Vendors      shall provide to the Purchaser all financial and other information on the      Group and the Vendors attached hereto as Schedule 4.1(a) in order to      facilitate joint development of a forecast of performance for the Group      for three years commencing September 1, 2007 and ending August 31, 2010      and the Vendors and Dean shall use reasonable commercial efforts to assist      the Purchaser to prepare suchforecast. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | On or before      the date of this Agreement, the Vendors shall      provide Purchaser with the Group Statements and the Group Interim      Statements. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | The Vendors,      its Subsidiaries and the Group shall provide to the Purchaser, on request,      such authorizations for completing due diligence inquiries that are deemed      appropriate by the Purchaser, acting reasonably.  From the date      hereof until the Closing: |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | the Vendors      shall cause the Group to permit the Purchaser and it representatives      access to the Leased Premises and all other facilities of the Vendors and      the Group, provided that the Purchaser and/or its representatives shall      use reasonable efforts to minimize any disturbance caused by such access;      and |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | the Purchaser      shall have the right to discuss all financial matters with the accountants      for the Vendors, the Vendors and/or the Group relating to activities of      the Group and shall further have access to senior management of the Group      to discuss key employee agreements and other matters pertinent to this      purchase. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | Prior to the      Closing Date, the Vendors will use reasonable commercial efforts to assist      the Purchaser to obtain the Approvals in form and substance satisfactory      to the Purchaser, acting reasonably, provided that the Purchaser uses      reasonable commercial efforts in obtaining such  Approvals. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | Prior to the      Closing Date, the Vendors will use reasonable commercial efforts to assist      the Purchaser to obtain consents to this transaction from all landlords      and any other Third Parties (excluding Third Parties to the Partnerships)      whose consent is required under any Material Contracts in form and      substance satisfactory to the Purchaser, acting reasonably, provided that      the Purchaser uses reasonable commercial efforts in obtaining such      consents. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 5.1   | Closing |
|-----------------|---------|

| 5.2   | Delivery      of Documents |
|-----------------|----------------------------|

| (a)   | a general      conveyance for the Purchased Assets (the “General      Conveyance”); |
|-----------------|-------------------------------------------------------------------------------------------------|

| (b)   | an assignment      of trademarks the “Assignment ofTrademarks”); |
|-----------------|------------------------------------------------------------------------------|

| (c)   | certified      copy of directors resolution of each of the Vendors authorizing this      transaction and transfer of the Purchased Assets to the      Purchaser; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | certified      copy of special resolution of each of the Vendors authorizing this      transaction and transfer of the Purchaser Assets to the      Purchaser; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | certificate      of Vendors and the Covenantors certifying the truth and correctness at the      Closing of the representations and warranties of the      Vendors  and theCovenantors; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)   | release by      Sherri to the Purchaser in respect of any and all obligations of the      Purchaser save and except for the Purchaser’s obligations to Sherri herein      and in the Non-Competition and Confidentiality Agreement and resignation      of all positions which she may hold in the  Group; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)   | an opinion of      Vendors’ Counsel in a form and content satisfactory to the Purchaser,      acting reasonably; |
|-----------------|------------------------------------------------------------------------------------------------------------------------|

| (h)   | an employment      agreement with Dean in the form attached hereto as Schedule 5.2(h) signed      by Dean (the “Employment      Agreement”); |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | the      Non-Competition and ConfidentialityAgreement; |
|-----------------|--------------------------------------------------------|

| (j)   | the Escrow      Agreement signed by the Vendors; |
|-----------------|--------------------------------------------------|

| (k)   | the Trust      Agreement signed by the Vendors; |
|-----------------|-------------------------------------------------|

| (l)   | all of the      books and records relating to the operations of the Business including      without limitation financial records, employee files, material contracts,      suppliers lists, contacts lists for students, faculty and Governmental      Agencies and all other documentation in all formats including electronic      in the possession or control of the Vendors relating to the operation of      the Business but excluding all books and records relating to taxes of the      Vendors; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (m)   | physical      possession of the Leased Premises and keys to the Leased      Premises; |
|-----------------|---------------------------------------------------------------------------------------|

| (n)   | GST Election      under Section 167 of the Excise Tax Act executed      by each of the Vendors and the elections referred to in Section 5.7      hereof; |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

| (o)   | documents in      registrable form changing all companies in the Group and/or controlled by      the Vendors to a name which does not include “Sprott”, “Shaw”,      “Sprott-Shaw” or any variation thereof (which the Vendors shall file with      the Registrar of Companies immediately following  closing); |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (p)   | comfort      letter from CIBC that CIBC has no claim or financial interest in the      Purchased Assets; and |
|-----------------|--------------------------------------------------------------------------------------------------------------|

| (q)   | such other      documentation as the Purchaser’s Counsel reasonably    requires. |
|-----------------|----------------------------------------------------------------------------------------|

----

| 5.3   | Preparation      of Documents |
|-----------------|-------------------------------|

| 5.4   | Deliver      to Escrow Agent |
|-----------------|------------------------------|

| 5.5   | Purchaser’s      Obligation to Close |
|-----------------|--------------------------------------------|

| (a)   | The      representations and warranties of the Vendors and the Covenantors in      Section 3.1 shall be true and correct in all material respects at the      Closing; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | The Vendors      shall have performed and complied with all of the terms and conditions in      this Agreement on their part to be performed or complied with at or before      Closing and shall have executed and delivered or caused to have been      executed and delivered to the Purchaser at the Closing all the documents      contemplated in Article 5 or elsewhere in this Agreement;    and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | refuse to      complete the transactions contemplated herein by notice to the Vendors and      in such event the Purchaser shall be released from all obligations      hereunder provided that the Purchaser shall have the right to be      indemnified in accordance with Article 6 for all Losses if such refusal is      made due to circumstances referred to in Section 5.5(a) or 5.5(b);      or |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | complete the      transactions contemplated herein provided that the Purchaser should not      have waived or be deemed to have waived any rights it may have to be      indemnified in accordance with Section6.1(a). |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.6   | Conditions      for the Benefit of the Vendors |
|-----------------|------------------------------------------------|

| (a)   | the      representations and warranties of the Purchaser set forth in Section 3.2      will be true and correct in all material respects;  and |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | the Purchaser      will have performed or complied with all of the obligations and covenants      and conditions of this Agreement to be performed or complied with by the      Purchaser at or  before Closing and shall have executed and      delivered or caused to have been executed and delivered to the Vendors at      the Closing all documentation and opinions as the Vendors’ Counsel      reasonably requires. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 5.7   | Elections |
|-----------------|-----------|

| (a)   | Except as may      be required under the Excise Tax Act, the      Purchaser shall not be obliged to pay GST to the Vendors provided that the      Purchaser is registered under the Excise Tax Act and      executes and properly files, on a timely basis, the pertinent election      with all required GovernmentalAgencies. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | The Vendors      and the Purchaser will execute and file, on a timely basis and using the      prescribed form, a joint election under Section 22 of the ITA as to the      sale of the accounts receivable of the Vendors to be purchased under this      Agreement, and prepare their respective tax returns in a manner consistent      with such joint election.  For purposes of such joint election,      the elected amount in respect of the accounts receivable will be      consistent with the Purchase Price allocation as determined pursuant to      Section 2.3 with respect to the accounts  receivable. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | The Vendors      and the Purchaser will execute and file, on at timely basis and using any      prescribed form, a joint election under subsection 20(24) of the ITA as to      the assumption of prepaid obligations of the Vendors as determined      pursuant to Section 2.3, and prepare their respective tax returns in a      manner consistent with such jointelection. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.8   | Provincial      Sales Tax |
|-----------------|---------------------------|

| 5.9   | Vendors’      and Dean’s Cooperation FollowingClosing |
|-----------------|-------------------------------------------------------------------|

| (a)   | to apply for      new Approvals and accreditations referred to  herein; |
|-----------------|-------------------------------------------------------------------------|

| (b)   | to complete      arrangements with the Minority Partners as contemplated in Section      3.4; |
|-----------------|-----------------------------------------------------------------------------------------------|

| (c)   | to obtain      consent from the Landlords of the Leased Premises to the assignment of the      Leases; and |
|-----------------|------------------------------------------------------------------------------------------------------------|

| (d)   | to obtain all      other consents and approvals contemplated herein to transfer the Business      to the Purchaser;, |
|-----------------|----------------------------------------------------------------------------------------------------------------------|

|   | provided that      none of the Vendors nor Dean shall be required to incur any costs to do so      and the Purchaser shall indemnify the Vendors and Dean from all Losses      related thereto. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 6.1   | Indemnity |
|-----------------|-----------|

| (a)   | If the      Closing shall occur, and subject to the provisions of this Article 6, the      Vendors and the Covenantors hereby agree, jointly and severally, to      indemnify and save the Purchaser harmless from and against all Losses      incurred by the Purchaser as a resultof: |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | any      non-performance or non-fulfillment of any covenant or agreement on the      part of the Vendors contained in this Agreement or in any document      executed pursuant to, or contemplated by, this Agreement in order to carry      out the transactions contemplated hereby;and |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | any      misrepresentation, inaccuracy, incorrectness or breach of any      representation or warranty made by the Vendors contained in this Agreement      or contained in any document or certificate given in order to carry out      the transactions contemplated hereby except that the Vendors shall not be      required to indemnify or save harmless the Purchaser in respect of any      such failure unless the Purchaser shall have provided notice thereof to      the Vendors in accordance with Section 6.2 on or prior to the expiration      of the survival period for that representation and warranty set out in      Section 3.3. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | If the      Closing shall occur, and subject to the provisions of this Article 6, the      Purchaser hereby agrees, jointly and severally, to indemnify and save the      Vendors harmless from and against all Losses incurred by the Vendors as a      result of: |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | any      non-performance or non-fulfillment of any covenant or agreement on the      part of the Purchaser contained in this Agreement or in any document      executed pursuant to, or contemplated by, this Agreement in order to carry      out the transactions contemplatedhereby; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | any claim      made against the Vendors, the Group or any Person forming part of the      Group, by any Employee orContractor; |
|------------------|--------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | any non      performance or non fulfillment of any covenant or agreement on the part of      the Purchaser contained in the Trust Agreement or in any document executed      pursuant to, or contemplated by, the Trust  Agreement; |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iv)   | the Minority      Partners Rights; and |
|------------------|----------------------------------------|

| (v)   | any      misrepresentation, inaccuracy, incorrectness or breach of any      representation or warranty made by the Purchaser contained in this      Agreement or contained in any document or certificate given in order to      carry out the transactions contemplated hereby except that the Purchaser      shall not be required to indemnify or save harmless the Vendors in respect      of any such failure unless the Vendors shall have provided notice thereof      to the Purchaser in accordance with Section 6.2 on or prior to the      expiration of the survival period for that representation and warranty set      out in Section 3.3. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | The Vendors      shall not be required to indemnify the Purchaser, and neither the      Purchaser shall be entitled to recover from the Vendors, any amount for      any claims described in Section 6.1(a) until and unless the amount which      the Purchaser and the Guarantor are entitled to recover in respect of the      Losses exceeds, in the aggregate, an amount equal to $100,000 (the “Deductible”), but if in      excess of such amount, then for the entire amount of such Losses without      deduction. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | The maximum      aggregate amount recoverable by the Purchaser, in respect of all Losses      incurred by the Purchaser against Sherri and SLD together shall be an      amount equal to 25% of the portion of the Purchase Price received by SLD      under this Agreement and in no event shall Sherri or SLD, either      individually or together, be liable for any Losses in excess of such      amount. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | The maximum      aggregate amount recoverable by the Purchaser, in respect of all Losses      incurred by the Purchaser against Dean and 3631 together shall be an      amount equal to 50% of the portion of the Purchase Price received by 3631      under this Agreement and in no event shall Dean or 3631, either      individually or together, be liable for any Losses in excess of such      amount. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 6.2   | Procedures      Relating to Indemnity Claims |
|-----------------|----------------------------------------------|

| (a)   | In the event      that a Party shall incur or suffer any Losses (or shall reasonably      anticipate that it shall suffer any Losses), in respect of which      indemnification may be sought by such Party (an “Indemnified Party”)      pursuant to the provisions of this Article 6 from the other Party (each,      an “Indemnifying      Party”), the Indemnified Party shall promptly submit to the      Indemnifying Party an Indemnification Notice stating the nature and basis      of such claim including, to the extent it is then known, a description in      reasonable detail of the facts giving rise to the claim for      indemnification hereunder and (if known) the amount or the method of      computation of the amount of such claim, and a reference to the provisions      of this Agreement upon which such claim is based; provided, however, that      the failure of the Indemnified Party to give the Indemnification Notice      promptly shall not relieve the Indemnifying Party of any liability that      the Indemnifying Party may have to the Indemnified Party, except to the      extent that the Indemnifying Party is prejudiced thereby.  In      the case of Losses arising by reason of any third party claim, the      Indemnification Notice shall be given within 14 days after receipt by the      Indemnified Party of the filing or other written assertion of any such      claim against the Indemnified Party, but the failure of the Indemnified      Party to give the Indemnification Notice within such time period shall not      relieve the Indemnifying Party of any liability that the Indemnifying      Party may have to the Indemnified Party, except to the extent that the      Indemnifying Party is prejudiced thereby.  Thereafter, the      Indemnified Party shall deliver to the Indemnifying Party, within seven      calendar days after the Indemnified Party’s receipt thereof, copies of all      notices and documents (including court papers) received by the Indemnified      Party relating to the third partyclaim. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | The      Indemnified Party shall provide to the Indemnifying Party on request all      reasonable information and documentation in the Indemnified Party’s      possession: |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | that is not      privileged and is reasonably necessary;and |
|-----------------|-------------------------------------------------------------|

| (ii)   | that is      critical (whether or notprivileged), |
|------------------|---------------------------------------------------|

| (iii)   | in each case,      to support and verify any Losses which the Indemnified Party believes give      rise to a claim for indemnification hereunder and shall give the      Indemnifying Party reasonable access to all books, records and personnel      in the possession or under the control of the Indemnified Party which      would have bearing on such claim. |
|-------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | In the case      of third party claims with respect to which an Indemnification Notice is      given, the Indemnifying Party shall have the option, at its own      expense: |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | to conduct      any proceedings or negotiations in connection  therewith; |
|-----------------|---------------------------------------------------------------------------|

| (ii)   | to take all      other steps to settle or defend any such claim;  and |
|------------------|-----------------------------------------------------------------------|

| (iii)   | to employ      counsel of the Indemnifying Party’s choosing and approved by the      Indemnified Party, acting reasonably, to contest any such claim in the      name of the Indemnified Party orotherwise. |
|-------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | The      Indemnifying Party may not compromise or settle any claim without the      Indemnified Party’s prior written consent, which may not be unreasonably      withheld or delayed.  Should the Indemnifying Party provide      written notice of its desire to settle any third party claim but the      Indemnified Party does not provide written consent within a reasonable      period of time, the Indemnified Party shall be responsible for any      incremental costs and expenses incurred beyond the proposed settlement      amount.  The Indemnified Party shall be entitled to participate      at its own expense and by its own counsel in any proceedings relating to      any third party claim and the Indemnified Party shall be entitled to      participate with counsel of its own choice at the expense of the      Indemnifying Party if, on the written advice of legal counsel,      representation of both Parties by the same counsel presents a conflict of      interest or is otherwise inappropriate under applicable standards of      professional conduct, provided that in no event shall the Indemnifying      Party be responsible for the expense of more than one set of such counsel      in all events.  The Indemnifying Party shall, within 20 days of      receipt of the Indemnification Notice, notify the Indemnified Party of its      intention to assume the defense of any such claim.  Until the      Indemnified Party has received notice of the Indemnifying Party’s      intention to defend any such claim, the Indemnified Party shall take      reasonable steps to defend (but may not settle) such      claim.  |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | If the      Indemnifying Party shall decline to assume the defense of any claim, or      shall fail to notify the Indemnified Party within 20 days after receipt of      the Indemnification Notice of the Indemnifying Party’s election to defend      such claim or fails to diligently defend such claim after electing to      assume conduct, the Indemnified Party, at its discretion, may assume      carriage of the settlement or of any legal, administrative or other      proceedings relating to the third party claim and may defend or settle the      third party claim on such terms as the Indemnified Party, acting in good      faith, considers advisable and any Loss suffered by the Indemnified Party      in the settlement of such third party claim or the conduct of any legal,      administrative or other proceedings shall be added to the amount of the      indemnity claim.  |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (f)   | If a claim      relates to an alleged liability of the Vendors and/or Group to any other      Person including without limitation any governmental or regulatory body or      any taxing authority, which is of a nature such that the Vendors and/or      Group are required by Law to make a payment to a third party before the      relevant procedure for challenging the existence or quantum of the alleged      liability can be implemented or completed, then the Purchaser or the      Vendors and/or Group may, notwithstanding the provisions of paragraphs      (a), (b), (c), (d)(b) and (e) of this Section 6.2, make such payment and      forthwith demand reimbursement for such payment from the Vendors in      accordance with this Agreement; provided that, if the alleged third party      claim, as finally determined upon completion of settlement negotiations or      related legal proceedings, is less than the amount which is paid by the      Vendors in respect of the related claim, then the Vendors and/or Group or      the Purchaser, as the case may be, shall, forthwith following such final      determination, pay to the Vendors the amount by which the amount of the      liability as finally determined is less than the amount which was so paid      by the Vendors. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.3   | Right      to Contest |
|-----------------|-----------------------|

| 6.4   | Exclusive      Remedy |
|-----------------|-----------------------|

| 6.5   | Calculation      and Adjustments |
|-----------------|----------------------------------|

| (a)   | Notwithstanding      anything contained herein to the contrary, the amount of any Losses      incurred or suffered by an Indemnified Party shall be calculated after      giving effect to: |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | any insurance      proceeds received by or otherwise payable to the Indemnified Party (or any      of its Affiliates) with respect to such Losses (collectively, “Insurance Benefits”);      and |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | any      recoveries obtained by the Indemnified Party (or any of its Affiliates)      from any party other than the Indemnifying  Party. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | The Purchaser      agrees to maintain the insurance coverage that a prudent operator of a      business similar to the Business would maintain following      Closing.  Each Indemnified Party shall exercise commercially      reasonable efforts to obtain such proceeds, benefits and      recoveries.  If any such proceeds, benefits or recoveries are      received by an Indemnified Party (or any of its Affiliates) with respect      to any Losses after an Indemnifying Party has made a payment to the      Indemnified Party with respect thereto, the Indemnified Party (or such      Affiliate) shall pay to the Indemnifying Party the amount of such      proceeds, benefits or recoveries (up to the amount of the Indemnifying      Party’s payment). |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 6.6   | Subrogation |
|-----------------|-------------|

----

| 6.7   | Mitigation |
|-----------------|------------|

| 6.8   | Limitations      on Indemnity |
|-----------------|-------------------------------|

| (a)   | In no event shall      the Vendors or the Covenantors be required to indemnify the Purchaser, and      the Vendors and the Covenantors shall not have any liability to the      Purchaser: |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | for any Loss      or matter to the extent resulting from a change in Laws that becomes      effective after the Closing Date;or |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------|

| (ii)   | for any Loss      or matter to the extent arising from any material change in the accounting      policies or practices of the Vendors or the Group after the      Closing. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Notwithstanding      anything contained herein to the contrary, neither the Vendors nor the      Covenantors shall have any liability for a breach of or inaccuracy in any      representation or warranty if the Purchaser had knowledge, at or before      the Time of Closing, of the facts as a result of which such      representation or warranty was materially breached or materially      inaccurate. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 7.1   | Reasonable      Commercial Efforts to SettleDisputes. |
|-----------------|-------------------------------------------------------|

| 7.2   | Arbitration. |
|-----------------|--------------|

| (a)   | the      arbitration tribunal shall consist of one arbitrator appointed by mutual      agreement of the Parties, or in the event of failure to agree within 10      Business Days following delivery of the written notice to arbitrate, any      Party may apply to a judge of the Supreme Court of British Columbia to      appoint an arbitrator.  The arbitrator shall be qualified by      education and training to pass upon the particular matter to be      decided; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | the      arbitrator shall be instructed that time is of the essence in the      arbitration proceeding and, in any event, the arbitration award must be      made within 30 days of the appointment of the  arbitrator; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | after written      notice is given to refer any Dispute to arbitration, the Parties will meet      within 15 Business Days of delivery of the notice to arbitrate and will      negotiate in good faith to agree upon the rules and procedures for the      arbitration, in an effort to expedite the process and otherwise ensure      that the process is appropriate given the nature of the Dispute and the      values at risk, failing which, the rules and procedures for the      arbitration shall be determined by the  arbitrator; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | the      arbitration shall take place in Vancouver, British    Columbia; |
|-----------------|--------------------------------------------------------------------------|

| (e)   | except as      otherwise provided in this Agreement or otherwise decided by the      arbitrator, the fees and other costs associated with the arbitrator shall      be shared equally by the Purchaser on the one hand and the Vendors on the      other hand and each Party shall be responsible for its own      costs; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)   | the      arbitration award shall be given in writing shall provide reasons for the      decision, and shall be final and binding on the Parties, not subject to      any appeal except under Section 31 of the CAA, and shall deal with the      question of costs of arbitration and all related  matters; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)   | judgment upon      any award may be entered in any Court having jurisdiction or application      may be made to the Court for a judicial recognition of the award or an      order of enforcement, as the case maybe; |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h)   | all Disputes      referred to arbitration (including without limitation the scope of the      agreement to arbitrate, any statute of limitations, conflict of laws      rules, tort claims and interest claims) shall be governed by the      substantive Law of British Columbia and the federal laws of Canada      applicable therein; and |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | the Parties      agree that the arbitration shall be kept confidential and that the      existence of the proceeding and any element of it (including any      pleadings, briefs or other documents submitted or exchanged, any testimony      or other oral submissions and any awards) shall not be disclosed beyond      the arbitrator, the Parties, their counsel and any person necessary to the      conduct of the proceeding, except as may lawfully be required in judicial      proceedings relating to the arbitration or  otherwise. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 8.1   | Public      Disclosure |
|-----------------|------------------------|

| 8.2   | Further      Assurances |
|-----------------|-------------------------|

| 8.3   | Remedies      Cumulative |
|-----------------|--------------------------|

| 8.4   | Notices |
|-----------------|---------|

| (a)   | Any notice,      designation, communication, request, demand or other document, required or      permitted to be given or sent or delivered hereunder to any party hereto      shall be in writing and shall be sufficiently given or sent or delivered      if it is: |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | delivered      personally to such party or to an officer or director of such      party; |
|-----------------|------------------------------------------------------------------------------------------|

| (ii)   | sent to the      party entitled to receive it by registered mail, postage prepaid, mailed      in Canada; or |
|------------------|--------------------------------------------------------------------------------------------------------------|

| (iii)   | if to the      Purchaser, Purchaser’s Counsel or Vendors’ Counsel sent by      facsimile. |
|-------------------|-------------------------------------------------------------------------------------------------------|

| (b)   | Notices shall      be sent to the following addresses or facsimile  numbers: |
|-----------------|------------------------------------------------------------------------------|

| (i)   |   To      the Purchaser or CIBT: |
|-----------------|--------------------------------------------|

----

| (ii)   |   To      the Vendors or the Covenantors: |
|------------------|-----------------------------------------------------|

|   | or to such      other address or facsimile number as the party entitled to or receiving      such notice, designation, communication, request, demand or other document      shall, by a notice given in accordance with this Section, have      communicated to the party giving or sending or delivering such notice,      designation, communication, request, demand or other    document. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | Any notice,      designation, communication, request, demand or other document given or      sent or delivered as aforesaidshall: |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------|

| (i)   | if delivered      as aforesaid, be deemed to have been given, sent, delivered and received      on the date of delivery; |
|-----------------|--------------------------------------------------------------------------------------------------------------------------|

| (ii)   | if sent by      mail as aforesaid, be deemed to have been given, sent, delivered and      received on the fourth Business Day following the date of mailing, unless      at any time between the date of mailing and the fourth Business Day      thereafter there is a discontinuance or interruption of regular postal      service, whether due to strike or lockout or work slowdown, affecting      postal service at the point of dispatch or delivery or any intermediate      point, in which case the same shall be deemed to have been given, sent,      delivered and received in the ordinary course of the mails, allowing for      such discontinuance or interruption of regular postal service;      and |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (iii)   | if sent by      facsimile, be deemed to have been given, sent, delivered and received on      the Business Day following the date the sender receives the confirmation      of transmission. |
|-------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 8.5   | Counterparts |
|-----------------|--------------|

| 8.6   | Legal      and Other Professional Fees |
|-----------------|----------------------------------------|

| 8.7   | Assignment |
|-----------------|------------|

| 8.8   | Personal      Data |
|-----------------|--------------------|

| (a)   | prior to the      Closing, to use the Personal Data solely for purposes relating to the      transactions contemplated by this Agreement;and |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | to the extent      required by applicable Laws, any Person whose Personal Data has been      disclosed to the Purchaser will be notified by the Purchaser that the      transactions contemplated by this Agreement have taken place and that such      Personal Data was disclosed to the Purchaser as a consequent of such      transactions. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 8.9   | Successors      and Assigns |
|-----------------|-----------------------------|

| 8.10   | Entire      Agreement |
|------------------|-----------------------|

----

| 8.11   | Waiver |
|------------------|--------|

| 8.12   | Amendments |
|------------------|------------|

| 8.13   | Survival |
|------------------|----------|

| 8.14   | Guarantee      by CIBT |
|------------------|------------------------|

----

----

----

----

| 1.   | Partnership      Agreement (Calgary) dated August 1,2003 |
|----------------|----------------------------------------------------------|

| 2.   | Partnership      Agreement (Burnaby) dated August 19,2004 |
|----------------|-----------------------------------------------------------|

| 3.   | Partnership      Agreement (Courtenay) dated April 1, 2002, as amended August 28,      2004 |
|----------------|---------------------------------------------------------------------------------------------|

| 4.   | Partnership      Agreement (Chilliwack) dated September 8, 1992, as amended August 28, 2004      and August 25, 2005, respectively |
|----------------|------------------------------------------------------------------------------------------------------------------------------------|

| 5.   | Partnership      Agreement (Delta) dated July 1, 2002, as amended August 28,      2004 |
|----------------|----------------------------------------------------------------------------------------|

| 6.   | Partnership      Agreement (Duncan) dated September 1, 2002, as amended August 28,      2004 |
|----------------|----------------------------------------------------------------------------------------------|

| 7.   | Partnership      Agreement (East Vancouver) dated May 1, 2001, as amended August 24, 2004      and August 25, 2005, respectively |
|----------------|----------------------------------------------------------------------------------------------------------------------------------|

| 8.   | Partnership      Interest Purchase Agreement (East Vancouver) dated September 18,      2007 |
|----------------|---------------------------------------------------------------------------------------------|

| 9.   | Partnership      Agreement (Kamloops) dated September 1, 2001, as amended August 28,      2004 |
|----------------|------------------------------------------------------------------------------------------------|

| 10.   | Partnership      Agreement (Kelowna) dated September 1, 2002, as amended August 28,      2004 |
|-----------------|-----------------------------------------------------------------------------------------------|

| 11.   | Partnership      Agreement (Langley) dated October 1, 2001, as amended August 28,      2004 |
|-----------------|---------------------------------------------------------------------------------------------|

| 12.   | Partnership      Agreement (Language Centre) dated July 6, 2004, as amended August 28, 2004      and August 25, 2005, respectively |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------|

| 13.   | Partnership      Agreement (Maple Ridge) dated July 1, 2002, as amended August 28,      2004 |
|-----------------|----------------------------------------------------------------------------------------------|

| 14.   | Partnership      Agreement (Nanaimo) dated September 1, 2002, as amended August 28,      2004 |
|-----------------|-----------------------------------------------------------------------------------------------|

| 15.   | Partnership      Agreement (New Westminster) dated December 1, 1993, as amended August 28,      2004 |
|-----------------|------------------------------------------------------------------------------------------------------|

| 16.   | Partnership      Agreement (Penticton) dated September 1, 2002, as amended August 28,      2004 |
|-----------------|-------------------------------------------------------------------------------------------------|

| 17.   | Partnership      Agreement (Prince George) dated August 1, 2002, as amended August 28,      2004 |
|-----------------|--------------------------------------------------------------------------------------------------|

| 18.   | Partnership      Agreement (Saanich) dated June 1, 2002, as amended August 28,      2004 |
|-----------------|------------------------------------------------------------------------------------------|

| 19.   | Partnership      Agreement (Surrey) dated January 1, 1994, as amended August 28, 2004 and      August 25, 2005, respectively |
|-----------------|------------------------------------------------------------------------------------------------------------------------------|

| 20.   | Partnership      Agreement (Vancouver) dated September 30, 1991, as amended August 28,      2004 |
|-----------------|--------------------------------------------------------------------------------------------------|

| 21.   | Partnership      Agreement (Vernon) dated October 1, 2001, as amended August 28,      2004 |
|-----------------|--------------------------------------------------------------------------------------------|

| 22.   | Partnership      Agreement (Victoria) dated July 15, 1996, as amended August 28,      2004 |
|-----------------|--------------------------------------------------------------------------------------------|

| 23.   | Partnership      Agreement (Cranbrook) dated December 1,2004 |
|-----------------|--------------------------------------------------------------|

| 24.   | Partnership      Agreement (Pitman Vancouver) dated December 1,  2004 |
|-----------------|-----------------------------------------------------------------------|

| 25.   | Partnership      Agreement (Edmonton) dated May 1,2005 |
|-----------------|--------------------------------------------------------|

| 26.   | Partnership      Agreement (Pitman Victoria) dated August 15,  2005 |
|-----------------|---------------------------------------------------------------------|

----

| (a)   | Encumbrances      arising in the Ordinary Course or by operation of law or other      Encumbrances arising under sales contracts with title retention provisions      or equipment leases with third parties entered into the Ordinary      Course. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | The Minority      Partners Rights. |
|-----------------|------------------------------------|

| (c)   | Registrations      made by CIBC against the assets of the Vendors and the Group in the      British Columbia personal property registry and the equivalent thereof in      Alberta. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | accounts      receivable; |
|-----------------|---------------------------|

| (b)   | inventories; |
|-----------------|--------------|

| (c)   | prepaid      expenses; |
|-----------------|------------------------|

| (d)   | material      contracts; |
|-----------------|--------------------------|

| (e)   | IP      Assets; |
|-----------------|-----------------|

| (f)   | deposits; |
|-----------------|-----------|

| (g)   | property and      equipment, including property and equipment included under capital leases;      and |
|-----------------|-------------------------------------------------------------------------------------------------------|

| (h)   | goodwill of      the Business including without limitation the goodwill associated with all      licenses, approvals and accreditations referred to in this      Agreement, |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 27.   | Discussions      have been held with Stephen Murgatroyd and Charles McCaffray about giving      them a minority interest in the future business venture involving      Middlesex University listed in Schedule3.1(o). |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 28.   | See      Schedule 1.1(qqq) |
|-----------------|---------------------------------|

| 29.   | See Schedule      3.1(aa). |
|-----------------|----------------------------|

----

| 30.   | The Group      carries on business in British Columbia and  Alberta. |
|-----------------|----------------------------------------------------------------------|

| 31.   | 2007 Business      Licenses for the following: |
|-----------------|------------------------------------------------|

| 32.   | Alberta      Advanced Education License – Sprott-Shaw College of Business Ltd. o/a      Sprott-Shaw Community College. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------|

| 33.   | Approval      granted by the Ministry of Children and Family Development for the certain      campuses to offer a basic early childhood education training      program. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 34.   | College of      Licensed Practical Nurses of British Columbia recognition for the Generic      Practical Nurse program for certaincampuses. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------|

| 35.   | MAE      Accreditation, PCTIA Accreditation and accreditation in Alberta, all of      which expire in the OrdinaryCourse. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------|

----

| 36.   | Certain of      the Contracts listed in the Schedules, including leases listed in      Schedule 3.1(t), require consent to  assignment. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------|

| 37.   | The Purchaser      will need to obtain Licenses comparable to the Approvals and the existing      approval in Alberta. |
|-----------------|------------------------------------------------------------------------------------------------------------------------|

| 38.   | Consent from      CIBC to the sale of the PurchasedAssets. |
|-----------------|------------------------------------------------------------|

| 39.   | Consents of      the Minority Partners. |
|-----------------|-----------------------------------------|

| 40.   | Memorandum of      Intent between Middlesex University and the Group dated November 15,      2007. |
|-----------------|----------------------------------------------------------------------------------------------------|

| 41.   | Locations      were closed in Chilliwack, Langley andEdmonton. |
|-----------------|----------------------------------------------------------------|

| 42.   | The Group has      transferred or is transferring to Dean or a Person designated by him the      beneficial interest of a life insurance policy on Dean’s    life. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 43.   | There was a      change in the Blue Cross benefit package included in Schedule      3.1(jj). |
|-----------------|----------------------------------------------------------------------------------------------|

| 44.   | The entering      into of this Agreement and matters in connection with the sale      contemplated herein. |
|-----------------|------------------------------------------------------------------------------------------------------------|

| 45.   | Partnership      Interest Purchase Agreement (East Vancouver) dated September 18,      2007. |
|-----------------|----------------------------------------------------------------------------------------------|

| 46.   | See Schedule      1.1(qqq). |
|-----------------|-----------------------------|

| 47.   | See Schedule      3.1(h)(i). |
|-----------------|------------------------------|

| 48.   | See Schedule      3.1(t). |
|-----------------|---------------------------|

| 49.   | See Schedule      1.1(mmm). |
|-----------------|-----------------------------|

----

| Tenant      Improvements – Vancouver Campus       | $50,000  |
|---------------------------------------------------------|----------|
| Tenant      Improvements – other campuses         | $55,000  |
| Computer –      New Equipment                     | $40,000  |
| Campus      Repairs and upgrades (chairs, tables, etc.) | $25,000  |
| Total      Investment:                                  | $170,000 |

| 50.   | See      attached. |
|-----------------|--------------------|

| 51.   | See Schedule      3.1(q). |
|-----------------|---------------------------|

| 52.   | Demand letter      regarding termination of IreneVallis. |
|-----------------|----------------------------------------------------------|

| 53.   | Grijalva v.      Guiang & Grijalva v. ICBC. |
|-----------------|-------------------------------------------------|

| 54.   | Canada      Revenue Agency has initiated audits against SLD and  522. |
|-----------------|-----------------------------------------------------------------------|

----

| 55.   | Lease      Amending Agreement between Sprott-Shaw College of Business Ltd. and 624656      BC Ltd. dated September 18, 2007. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------|

| 56.   | Lease between      Sprott-Shaw Community College and Dunsmuir & Hornby Ltd. dated March      2, 2007. |
|-----------------|-----------------------------------------------------------------------------------------------------------|

| 57.   | Modification      and Renewal of Lease Agreement between Sprott-Shaw Business College Ltd.      and IWA Canada, Local 1-3567 Society dated February 22,    2007. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 58.   | Lease between      Sprott-Shaw College of Business Ltd. dba Sprott Shaw College and 676617      B.C. Ltd. dated February 1, 2006. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------|

| 59.   | Lease between      Sprott-Shaw College of Business Ltd. and Vern-View Developments Ltd. dated      October 25, 2006. |
|-----------------|----------------------------------------------------------------------------------------------------------------------|

| 60.   | Lease between      Sprott-Shaw College of Business Ltd. and M-119 Holdings Ltd. dated August      17, 2006. |
|-----------------|-------------------------------------------------------------------------------------------------------------|

| 61.   | Lease between      Sprott-Shaw College of Business Ltd. and 573019 B.C. Limited dated June      26, 2006. |
|-----------------|-----------------------------------------------------------------------------------------------------------|

| 62.   | Assignment      and Modification of Lease and Landlord’s Consent between 3631 Investments      Ltd., School District No. 43 (Coquitlam), Westlo Financial Corp. and D.      Fichter Holdings Ltd. and S.L.D. Enterprises Ltd. and Canadian College      Credit Inc. dated June 6, 2007. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 63.   | Indenture      between Sprott-Shaw College of Business Ltd. and 0739843 Ltd. dated March      13, 2007. |
|-----------------|---------------------------------------------------------------------------------------------------------|

| 64.   | Lease between      Sprott-Shaw College of Business Ltd. and Market Square Investments Ltd.      dated October 11, 2007. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------|

| 65.   | Lease between      Sprott-Shaw College of Business Ltd. and Boardwalk Equities (B.C.) Inc.      dated June 15, 2005. |
|-----------------|----------------------------------------------------------------------------------------------------------------------|

| 66.   | Lease between      Sprott-Shaw Business College Ltd. and Anthem Heritage Hill Ltd. dated      September 30, 2004. |
|-----------------|-------------------------------------------------------------------------------------------------------------------|

| 67.   | Lease      Agreement between Sprott-Shaw Colege of Business Ltd. and 505918 B.C. Ltd.      and Westland Properties Ltd. and 3631 Investments Ltd. dated September 30,      2004. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 68.   | Lease between      Sprott-Shaw College of Business Ltd. and 505918 B.C. Ltd. and Terry Burak      dated September 8, 2006. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------|

| 69.   | Indenture      between Sprott-Shaw Business College Ltd. and Andres Construction Ltd.      dated August 6, 2004. |
|-----------------|------------------------------------------------------------------------------------------------------------------|

| 70.   | Lease between      Head Office Holdings Ltd. and Sprott-Shaw College of Business Ltd. dated      December 1, 2004. |
|-----------------|--------------------------------------------------------------------------------------------------------------------|

| 71.   | Lease      Amending Agreement between Sprott-Shaw College of Business Ltd. and Sun      Life Assurance Company of Canada dated August 26,  2003. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| 72.   | Lease between      Sprott-Shaw College Ltd. and Fernco Development Ltd., Lenco Development      and Norco Development Ltd. carrying on business as Noort Investments dated      February 21, 2003. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 73.   | Lease between      Sprott-Shaw College of Business Ltd. and K&L Holdings Co. Ltd. dated      June 27, 2007. |
|-----------------|-----------------------------------------------------------------------------------------------------------------|

| 74.   | Indenture      between Sprott-Shaw College of Business Ltd. and Vanac Development Corp.      and Madison Development Corporation dated September 6,    2001. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 75.   | Lease between      Sprott-Shaw College Ltd. and Yenik Enterprises Ltd., acting as Agent’s for      George Yen & Associates Ltd., Robco Enterprises Ltd., Yen Hoy      Enterprises Ltd., James Lee, Lily Lee and Book Wing Yip dated January      2000. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 76.   | Lease between      Sprott-Shaw College of Business Ltd. and 150275 Canada Inc. dated May 26,      1999. |
|-----------------|---------------------------------------------------------------------------------------------------------|

| 77.   | Lease between      Sprott-Shaw Business College Ltd. and Bucci Investment Corporation dated      May 2, 2002. |
|-----------------|---------------------------------------------------------------------------------------------------------------|

| 78.   | Commercial      Sublease Agreement between Sprott-Shaw Community College and Rocky Cross      Construction (Calgary) Limited dated July 12,  2007. |
|-----------------|----------------------------------------------------------------------------------------------------------------------------------------------------|

| 79.   | The Group has      abandoned the property governed by the lease for the Chilliwack      location. |
|-----------------|---------------------------------------------------------------------------------------------------|

| 80.   | Lease between      0522645 B.C. Ltd. and 421099 B.C. Ltd. dated November 15,      2007. |
|-----------------|-----------------------------------------------------------------------------------------|

| 81.   | Lease between      Sprott-Shaw College of Business Ltd. and Novak Bros. Contracting Ltd.      dated November, 2005. |
|-----------------|---------------------------------------------------------------------------------------------------------------------|

| 82.   | Lease between      CCS – The Career Coaching Centre Inc. and Boardwalk Equities (B.C.)      Inc. |
|-----------------|--------------------------------------------------------------------------------------------------------|

----

| 1.   | Photocopies      in the Ordinary Course. |
|----------------|------------------------------------------|

| 2.   | Signs in the      Ordinary Course. |
|----------------|------------------------------------|

| Domain      Name                                               | Registrant | Registrar                   | Expiry      Date    |
|----------------------------------------------------------------|------------|-----------------------------|---------------------|
| SPROTT-SHAW.MOBI                                               | [] | Tucows      Inc.            | Oct. 12,      2008  |
| SSILC.COM                                                      | 0522645    | Network      Solutions, LLC | Aug. 24,      2014  |
| SPROTTSHAW.MOBI                                                | [] | Tucows      Inc.            | Oct. 12,      2008  |
| SPROTTSHAW.CA                                                  | [] | Tucows.com      Co.         | Sep. 14,      2011  |
| SPROTT-SHAW.COM                                                | 0522645    | Network      Solutions, LLC | Aug. 13,      2013  |
| SPROTTSHAW.ORG                                                 | 0522645    | Network      Solutions, LLC | Jan. 11,      2013  |
| SPROTT-SHAW.NET                                                | 0522645    | Network      Solutions, LLC | Jan. 11,      2013  |
| SSILC.NET                                                      | 0522645    | Network      Solutions, LLC | Aug. 24,      2014  |
| SSILC.ORG                                                      | 0522645    | Network      Solutions, LLC | Aug. 24,      2014  |
| SSILC.INFO                                                     | 0522645    | Network      Solutions      | Aug. 24,      2014  |
| SPROTTSHAW.COM                                                 | 0522645    | Network      Solutions, LLC | Sept. 25,      2013 |
| SPROTTSHAW.NET                                                 | 0522645    | Network      Solutions, LLC | Jan. 11,      2013  |
| SPROTT-SHAW.ORG                                                | 0522645    | Network      Solutions, LLC | Jan. 11,      2013  |
| [NOTE:      list of additional domain names is being compiled] |       |                        |                |

----

| Domain      Name                     | Registrant | Registrar          | Expiry      Date |
|--------------------------------------|------------|--------------------|------------------|
| CALGARYFILMSCHOOL.COM                | 0522645    |               |             |
| SPROTT-SHAWSEX.COM                   | 0522645    |               |             |
| SPROTTSHAWCOLLEGE.COM                | 0522645    |               |             |
| SPROTTSHAWCOLLEGE.NET                | 0522645    |               |             |
| SPROTTSHAWCOLLEGE.ORG                | 0522645    |               |             |
| SPROTTSHAWCOLLEGESEX.COM             | 0522645    |               |             |
| SPROTTSHAWFOUNDATION.COM             | 0522645    |               |             |
| SPROTTSHAWSEX.COM                    | 0522645    |               |             |
| TCCCENTRE.COM                        | 0522645    |               |             |
| THECAREERCOACHINGCENTRE.COM          | 0522645    |               |             |
| SPROTTSHAWCOLLEGE.CA                 |       |               |             |
| PITMANCOLLEGE.COM                    |       | Think      Profits |             |
| SPROTT-SHAW.CA                       |       |               |             |
| ASSISTED-LIVING.CA                   |       |               |             |
| ASSISTEDLIVINGTRAINING.CA            |       |               |             |
| ASSISTED-LIVING-TRAINING.CA          |       |               |             |
| BCINSTITUTEOFTECHNOLOGY.CA           |       |               |             |
| BUSINESSADMINISTRATION.CA            |       |               |             |
| BUSINESS-ADMINISTRATION.CA           |       |               |             |
| BUSINESSCOURSE.CA                    |       |               |             |
| BUSINESS-COURSE.CA                   |       |               |             |
| BUSINESSMANAGEMENT.CA                |       |               |             |
| BUSINESS-MANAGEMENT.CA               |       |               |             |
| BUSINESSMANAGEMENTCOURSE.CA          |       |               |             |
| BUSINESS-MANAGEMENT-COURSE.CA        |       |               |             |
| CANADACOLLEGES.CA                    |       |               |             |
| CANADA-COLLEGES.CA                   |       |               |             |
| CAPILANO-COLLEGE.CA                  |       |               |             |
| CAREERCOLLEGE.CA                     |       |               |             |
| CAREER-COLLEGE.CA                    |       |               |             |
| CENTURY-COLLEGE.CA                   |       |               |             |
| CLINICALPHARMACYTECHNICIAN.CA        |       |               |             |
| CLINICAL-PHARMACY-TECHNICIAN.CA      |       |               |             |
| COLLEGE-CANADA.CA                    |       |               |             |
| COLLEGESCANADA.CA                    |       |               |             |
| COMMUNITYCOLLEGEVANCOUVER.CA         |       |               |             |
| COMMUNITYSUPPORTWORKER.CA            |       |               |             |
| COMMUNITYSUPPORTWORKERTRAINING.CA    |       |               |             |
| COMPU-COLLEGE.CA                     |       |               |             |
| COQUITLAM-COLLEGE.CA                 |       |               |             |
| DORSET-COLLEGE.CA                    |       |               |             |
| ECOMMERCECOURSE.CA                   |       |               |             |
| ECOMMERCE-COURSE.CA                  |       |               |             |
| GRANTMACEWAN.CA                      |       |               |             |
| GRANTMACEWANCOLLEGE.CA               |       |               |             |
| HIGHSCHOOLGRADS.CA                   |       |               |             |
| HIGH-SCHOOL-GRADS.CA                 |       |               |             |
| HOMECAREAIDE.CA                      |       |               |             |
| HOME-CARE-AIDE.CA                    |       |               |             |
| HOSPITALITYANDTOURISM.CA             |       |               |             |
| HOSPITALITY-AND-TOURISM.CA           |       |               |             |
| HOSPITALITYTOURISMTRAINING.CA        |       |               |             |
| HOSPITALITY-TOURISM-TRAINING.CA      |       |               |             |
| IHATESPROTTSHAW.CA                   |       |               |             |
| INSTITUTEOFTECHNOLOGY.CA             |       |               |             |
| INTERNATIONALTRADECOURSE.CA          |       |               |             |
| INTERNATIONAL-TRADE-COURSE.CA        |       |               |             |
| INTERNATIONALTRADETRAINING.CA        |       |               |             |
| INTERNETMARKETINGCOURSE.CA           |       |               |             |
| INTERNET-MARKETING-COURSE.CA         |       |               |             |
| INTERNETMARKETINGPROGRAM.CA          |       |               |             |
| INTERNET-MARKETING-PROGRAM.CA        |       |               |             |
| JOB-TRAINING.CA                      |       |               |             |
| LEGALADMINISTRATION.CA               |       |               |             |
| LEGAL-ADMINISTRATION.CA              |       |               |             |
| LEGALSECRETARY.CA                    |       |               |             |
| LEGAL-SECRETARY.CA                   |       |               |             |
| LEGALSECRETARYCOURSE.CA              |       |               |             |
| LEGAL-SECRETARY-COURSE.CA            |       |               |             |
| MARKETING-AND-ECOMMERCE.CA           |       |               |             |
| MARKETINGCOURSE.CA                   |       |               |             |
| MARKETING-COURSE.CA                  |       |               |             |
| MARKETINGPROGRAM.CA                  |       |               |             |
| MARKETING-PROGRAM.CA                 |       |               |             |
| MASSAGESPATHERAPY.CA                 |       |               |             |
| MASSAGE-SPA-THERAPY.CA               |       |               |             |
| MEDICALOFFICEASSISTANT.CA            |       |               |             |
| MEDICAL-OFFICE-ASSISTANT.CA          |       |               |             |
| MEDICALOFFICETRAINING.CA             |       |               |             |
| MEDICAL-OFFICE-TRAINING.CA           |       |               |             |
| NIGHT-SCHOOL.CA                      |       |               |             |
| NURSINGCOURSE.CA                     |       |               |             |
| PERSONAL-CARE.CA                     |       |               |             |
| PERSONALCAREAIDE.CA                  |       |               |             |
| PERSONAL-CARE-AIDE.CA                |       |               |             |
| PERSONALCAREATTENDANT.CA             |       |               |             |
| PERSONAL-CARE-ATTENDANT.CA           |       |               |             |
| PHARMACYTECHNICIAN.CA                |       |               |             |
| PHARMACY-TECHNICIAN.CA               |       |               |             |
| PHARMACYTECHNICIANCERTIFICATION.CA   |       |               |             |
| PHARMACY-TECHNICIAN-CERTIFICATION.CA |       |               |             |
| PHARMACYTECHNICIANSCHOOL.CA          |       |               |             |
| PHARMACY-TECHNICIAN-SCHOOL.CA        |       |               |             |
| PHARMACYTECHNICIANTRAINING.CA        |       |               |             |
| PHARMACY-TECHNICIAN-TRAINING.CA      |       |               |             |
| PRACTICALNURSING.CA                  |       |               |             |
| PRACTICAL-NURSING.CA                 |       |               |             |
| PRACTICALNURSINGPROGRAM.CA           |       |               |             |
| PRACTICAL-NURSING-PROGRAM.CA         |       |               |             |
| PRACTICALNURSINGSCHOOL.CA            |       |               |             |
| PRACTICAL-NURSING-SCHOOL.CA          |       |               |             |
| PRACTICALNURSINGTRAINING.CA          |       |               |             |
| PRACTICAL-NURSING-TRAINING.CA        |       |               |             |
| RE-TRAIN.CA                          |       |               |             |
| SALESTRAININGCOURSE.CA               |       |               |             |
| SALES-TRAINING-COURSE.CA             |       |               |             |
| SIMON-FRASER.CA                      |       |               |             |
| SIMON-FRASER-UNIVERSITY.CA           |       |               |             |
| SOCIALSERVICEJOB.CA                  |       |               |             |
| SOCIAL-SERVICE-JOB.CA                |       |               |             |
| SOCIALSERVICEWORKER.CA               |       |               |             |
| SOCIAL-SERVICE-WORKER.CA             |       |               |             |
| SPATHERAPY.CA                        |       |               |             |
| SPA-THERAPY.CA                       |       |               |             |
| SPATHERAPYTRAINING.CA                |       |               |             |
| SPROTTSHAWCOMMUNITYCOLLEGE.CA        |       |               |             |
| SPROTTSHAWISARIPOFF.CA               |       |               |             |
| SPROTTSHAWSTINKS.CA                  |       |               |             |
| SPROTTSHAWSUCKS.CA                   |       |               |             |
| TOURISMANDHOSPITALITY.CA             |       |               |             |
| TOURISM-AND-HOSPITALITY.CA           |       |               |             |
| TOURISMANDHOSPITALITYTRAINING.CA     |       |               |             |
| TOURISM-TRAINING.CA                  |       |               |             |
| TRAVELTOURISMCOURSE.CA               |       |               |             |
| TRAVEL-TOURISM-COURSE.CA             |       |               |             |
| UNIVERSITYOFPHEONIX.CA               |       |               |             |
| VANCOUVER-COLLEGE.CA                 |       |               |             |

----

| 83.   | Contracts      with CIBC. |
|-----------------|---------------------------|

| 84.   | See Schedule      3.1(t). |
|-----------------|---------------------------|

| 85.   | See Schedule      3.1(ee). |
|-----------------|----------------------------|

| 86.   | Letters of      credit with respect to courses in Alberta, MAE Courses and MAE      Degree. |
|-----------------|---------------------------------------------------------------------------------------------|

| 87.   | See      attached. |
|-----------------|--------------------|

| 88.   | License      Agreement between Sprott-Shaw College of Business Ltd. and Success      Solutions Career Training School dated October 23,  2006. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------|

| 89.   | License      Agreement between Sprott-Shaw Community College and Canedex Management      Inc. dated March 3, 2006. |
|-----------------|--------------------------------------------------------------------------------------------------------------------|

| 90.   | License      Agreement made on August 8, 2005 between Forum for International Trust      Training (FITT) Inc. and the Group. |
|-----------------|------------------------------------------------------------------------------------------------------------------------------|

| 91.   | License      Agreement between Sprott-Shaw Community College and ONKAR Care Giver      Training Institute Inc. dated August 5,2005. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------|

| 92.   | License      Agreement between Sprott-Shaw Community College and The Jordanian Canadian      College dated August 30, 2004. |
|-----------------|-----------------------------------------------------------------------------------------------------------------------------|

| 93.   | License      Agreement between Dr. Nancy Cochrane and the Group dated April 21, 2004      and a related Mutual Release. |
|-----------------|-------------------------------------------------------------------------------------------------------------------------|

| 94.   | License      Agreement between Sprott-Shaw Community College and ONKAR Care Giver      Training Institute Inc. dated December 1,2004. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------|

| 95.   | There are      third partners in the followingPartnerships: |
|-----------------|-------------------------------------------------------------|

| 96.   | Agency      Contracts in the Ordinary Course. |
|-----------------|-----------------------------------------------|

----

| 97.   | PPSEC      Accreditation Certificates for thefollowing: |
|-----------------|---------------------------------------------------------|

| (a)   | Sprott-Shaw      Community College (Prince George); |
|-----------------|-----------------------------------------------------|

| (b)   | Sprott-Shaw      Community College (Vancouver); |
|-----------------|-------------------------------------------------|

| (c)   | Sprott-Shaw      Community College (Duncan); |
|-----------------|----------------------------------------------|

| (d)   | Sprott-Shaw      Community College (Maple Ridge); |
|-----------------|---------------------------------------------------|

| (e)   | Sprott-Shaw      Community College (Surrey); |
|-----------------|----------------------------------------------|

| (f)   | Sprott-Shaw      Community College (Kelowna); |
|-----------------|-----------------------------------------------|

| (g)   | Sprott-Shaw      Community College (Port Coquitlam); |
|-----------------|------------------------------------------------------|

| (h)   | Sprott-Shaw      Community College (Abbotsford); |
|-----------------|--------------------------------------------------|

| (i)   | Sprott-Shaw      Community College (Burnaby); |
|-----------------|-----------------------------------------------|

| (j)   | Sprott-Shaw      Community College (Victoria); |
|-----------------|------------------------------------------------|

| (k)   | Sprott-Shaw      Community College (Kamloops); |
|-----------------|------------------------------------------------|

| (l)   | Sprott-Shaw      Community College (NewWestminster); |
|-----------------|------------------------------------------------------|

| (m)   | Sprott-Shaw      Community College (Nanaimo); |
|-----------------|-----------------------------------------------|

| (n)   | Sprott-Shaw      Community College (Vernon); |
|-----------------|----------------------------------------------|

| (o)   | Sprott-Shaw      Community College (East Vancouver); |
|-----------------|------------------------------------------------------|

| (p)   | Sprott-Shaw      Community College (Courtenay); and |
|-----------------|-----------------------------------------------------|

| (q)   | Sprott-Shaw      Community College (Penticton). |
|-----------------|-------------------------------------------------|

| 98.   | The Group has      received two fines from PCTIA over the last  year. |
|-----------------|-----------------------------------------------------------------------|

| 99.   | PCTIA      registration certificates for thefollowing: |
|-----------------|--------------------------------------------------------|

| (a)   | Sprott-Shaw      International Language College(Vancouver); |
|-----------------|-------------------------------------------------------------|

| (b)   | Sprott-Shaw      International Language College(Victoria); |
|-----------------|------------------------------------------------------------|

| (c)   | Sprott-Shaw      International Language College(Kamloops). |
|-----------------|------------------------------------------------------------|

----

| 100.   | Education      Funding Agreement between Sprott-Shaw Community College and Fraser Health      Authority dated September 25, 2007. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------|

| 101.   | Retiring      Partners Agreement Settlement Terms dated April 1, 2006, which is not      being assigned to the Purchaser. |
|------------------|---------------------------------------------------------------------------------------------------------------------------|

| 102.   | Contribution      Agreement between Sprott-Shaw Community College Ltd. and Industry Training      Authority dated April 24, 2007. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------|

| 103.   | Contract      between Sprott-Shaw Community College and Her Majesty the Queen in Right      of the Province of British Columbia, represented by the Minister of      Alberta Employment, Immigration and Industry dated February 26,      2007. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 104.   | Community      Assistance Program Services Agreement between Sprott-Shaw Community      College and Her Majesty the Queen in Right of the Province of British      Columbia, represented by the Minister of Employment and Income Assistance      undated (“Vancouver”). |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 105.   | Community      Assistance Program Services Agreement between Sprott-Shaw Community      College and Her Majesty the Queen in Right of the Province of British      Columbia, represented by the Minister of Employment and Income Assistance      dated September 21, 2006 (“VancouverIsland). |
|------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 106.   | Consulting/Professional      Service Agreement between Sprott-Shaw and Vancouver Island Health      Authority dated September 24, 2007. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| 107.   | Agreement for      the Exchange of Repayment Information between the Government of Canada and      Sprott-Shaw Community College. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------|

| 108.   | Memorandum of      Understanding between Sprott-Shaw Community College and Xi’an Fanyi      University (China) dated May 16,2006. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------------|

| 109.   | Academic      Partnership Agreement with the Educational Institute American Hotel and      Motel Association. |
|------------------|---------------------------------------------------------------------------------------------------------------|

| 110.   | Agreement      between Human Resources and Skills Development and The Career Coaching      Centre dated August 1, 2007. |
|------------------|-------------------------------------------------------------------------------------------------------------------------|

| 111.   | Memorandum of      Intent between Middlesex University and Sprott-Shaw Community      College. |
|------------------|------------------------------------------------------------------------------------------------|

| 112.   | City      University and Sprott-Shaw Community College effective Fall      2004/05. |
|------------------|-------------------------------------------------------------------------------------|

| 113.   | The Industry      Training Authority Contribution Agreement for Training Services dated for      reference April 24, 2007 with Industry Training  Authority. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 114.   | The      Evaluation Agreement dated effective October 5, 2007 with Dell Computer      Corporation. |
|------------------|----------------------------------------------------------------------------------------------------|

| 115.   | The Agreement      with IBM Canada Limited . |
|------------------|----------------------------------------------|

| 116.   | The Campus      Subscription Enrollment Agreement with Microsoft Licensing,      GP. |
|------------------|--------------------------------------------------------------------------------------|

| 117.   | Other      Material Contracts listed in theSchedules. |
|------------------|-------------------------------------------------------|

----

| 118.   | The Group      enters into employment contracts with employees in the Ordinary      Course. |
|------------------|---------------------------------------------------------------------------------------------|

| 119.   | Director’s      Revenue Quota and Incentive Assignment with Bruce Wilbee effective      November 24, 2007 to August 31,2008. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------|

| 120.   | Business Plan      and Regional Incentive Assignment Plan with John Predyk effective      September 1, 2007 to August 31,2008. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------|

| 121.   | Business Plan      and Regional Incentive Assignment Plan with Margaret Harvie effective      September 1, 2007 to August 31,2008. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------|

| 122.   | Business Plan      and Regional Incentive Assignment Plan with Russ Kada effective September      1, 2007 to August 31, 2008. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------|

| 123.   | Director’s      Revenue Quota and Incentive Assignment with Scot Sorenson effective      September 1, 2007 to August 31,2008. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------|

| 124.   | Director’s      Revenue Quota and Incentive Assignment with Dianne Girard effective      September 1, 2007 to August 31,2008. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------|

| 125.   | Director’s      Revenue Quota and Incentive Assignment with Kelly Ewaski effective      September 1, 2007 to August 31,2008. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------|

| 126.   | Director’s      Revenue Quota and Incentive Assignment with Rick Pasin effective September      1, 2007 to August 31, 2008. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------|

| 127.   | Director’s      Revenue Quota and Incentive Assignment with Anne Wilkes effective      September 1, 2007 to August 31,2008. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------|

| 128.   | Director’s      Revenue Quota and Incentive Assignment with Robert Ragiste effective      September 1, 2007 to August 31,2008. |
|------------------|--------------------------------------------------------------------------------------------------------------------------------------|

| 129.   | Director’s      Revenue Quota and Incentive Assignment with Cindy Stevens effective      September 1, 2007 to August 31,2008. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------|

| 130.   | Director’s      Revenue Quota and Incentive Assignment with Ken Monroe effective September      1, 2007 to August 31, 2008. |
|------------------|-----------------------------------------------------------------------------------------------------------------------------------|

| 131.   | Director’s      Revenue Quota and Incentive Assignment with Norbert Ruimy effective      September 1, 2007 to August 31,2008. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------|

| 132.   | Director’s      Revenue Quota and Incentive Assignment with Sandra Bogardis effective      September 1, 2007 to August 31,2008. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------|

| 133.   | Director’s      Revenue Quota and Incentive Assignment with Delores Fichter effective      September 1, 2007 to August 31,2008. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------|

| 134.   | Director’s      Revenue Quota and Incentive Assignment with Karen Isenor effective      September 1, 2007 to August 31,2008. |
|------------------|------------------------------------------------------------------------------------------------------------------------------------|

| 135.   | Director’s      Revenue Quota and Incentive Assignment with Philip Hannis effective      September 1, 2007 to August 31,2008. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------|

| 136.   | Director’s      Revenue Quota and Incentive Assignment with Doug  Beveridge. |
|------------------|------------------------------------------------------------------------------------|

| 137.   | Agreement      with Cal Purcell dated August 29,2007. |
|------------------|-------------------------------------------------------|

| 138.   | Agreement      with Victor Tesan dated January 17,2006. |
|------------------|---------------------------------------------------------|

| 139.   | The group      offers an Incentive Plan including an annual retreat called Club. The      typical cost is less than $50,000 Canadian per  year. |
|------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 140.   | Material for      this Schedule was e-mailed by the Vendors’ Counsel to the Purchaser’s      Counsel on December 5, 2007. |
|------------------|---------------------------------------------------------------------------------------------------------------------------------------|

| 141.   | Dean’s mother      receives a pension from the Group in the amount of $1,000 per      month. |
|------------------|----------------------------------------------------------------------------------------------------|

| 142.   | See Schedule      3.1(hh). |
|------------------|----------------------------|

| Name of Insurer                                  | Type of Insurance                                                                                                          | Expiry Date                      |
|--------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------|----------------------------------|
| Lombard      General Insurance Company of Canada | Property,      Business Income Coverage, Commercial General Liability, Non-Owned Auto,      Crime and Additional Coverages | March 6,      2008               |
| Blue      Cross                                  | Employee      Benefit Plans                                                                                                | July 1, 2007      (reissue date) |
| RBC      Insurance                               | Group      Insurance Plan                                                                                                  | Unknown                          |
| Unum      Provident                              | Disability      Insurance Plan                                                                                             | Unknown                          |

----

| 143.   | See      attached. |
|------------------|--------------------|

| 144.   | Lease from      Head Office Holdings Ltd. |
|------------------|-------------------------------------------|

| 145.   | Pension to      Dean’s mother listed in Schedule3.1(jj). |
|------------------|----------------------------------------------------------------|