AnyWhere, Ontario, FTTH							Copyright © 2005, Maxwell J. Toms
	FTTH & FTTB OPERATIONS P&L MODEL						100% Open System, any supplier to any client.
		Network Development Size:
			Number of Dwellings:				928
			Number of Commercial & MUSH Connections:				139
		Total Clients:					1067	Assumes a 100% build, so Telephone and Cable could be distributed on the new network.
		Network Construction Estimate :
			Total Engineering				$98,382	Labour
			Total Management & Procurement				$282,296	Labour
			Total Construction Sub Contracts & Support				$2,927,676	Material & Labour
			Total CPE Installation Sub Contracts & Support				$1,830,204	Material & Labour
		Total Build Cost					$5,138,558
	OPERATIONS REVENUE MODEL:
		RESIDENTIAL SERVICE:			Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
		One-Time Hook-up Fee:			$150	$150	$150	$150	$150	$150	$150	$150	$150	$150
				Uptake Rate:	35%	45%	55%	65%	75%	85%	95%	100%	100%	100%
		Total Clients:			325	418	510	603	696	789	882	928	928	928
		Sales:
			Internet Revenue		$50	$50	$50	$50	$50	$50	$50	$50	$50	$50
			Video Revenue		$40	$40	$40	$40	$40	$40	$40	$40	$40	$40
			Video On Demand		$0	$5	$15	$15	$15	$15	$15	$15	$15	$15
			Voice-Over IP		$0	$10	$10	$10	$10	$10	$10	$10	$10	$10
			Water Meter Records		$0	$2	$2	$2	$2	$2	$2	$2	$2	$2
			Electric Meter Records		$0	$2	$2	$2	$2	$2	$2	$2	$2	$2
			Security System Access		$0	$0	$2	$2	$2	$2	$2	$2	$2	$2
			Game System Access		$2	$2	$2	$2	$2	$2	$2	$2	$2	$2
			Software Server		$0	$0	$2	$2	$2	$2	$2	$2	$2	$2
		Monthly Sales Average /Client			$92	$111	$125	$125	$125	$125	$125	$125	$125	$125
		Total Income from Residential:			$29,900	$46,398	$63,750	$75,375	$87,000	$98,625	$110,250	$116,000	$116,000	$116,000
		BUSINESS SERVICE:			Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
		One-Time Hook-up Fee			$250	$250	$250	$250	$250	$250	$250	$250	$250	$250
				Uptake Rate:	45%	55%	65%	75%	85%	95%	97%	99%	100%	100%
		Total Clients			63	76	90	104	118	132	135	138	139	139
		Monthly Sales Average /Client			$235	$235	$235	$235	$235	$235	$235	$235	$235	$235
		Total Business Income:			$14,805	$17,860	$21,150	$24,440	$27,730	$31,020	$31,725	$32,430	$32,665	$32,665
		NETWORK SERVICES:			Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
		One-Time Hook-up /mo			$       5,296	$       6,713	$       8,138	$       9,574	$     11,011	$     12,448	$     13,669	$     14,303	$     14,322	$     14,322
				Inflation:	0%	2%	2%	2%	2%	2%	2%	2%	2%	2%
				Service Call Fee:	$75	$77	$78	$80	$81	$83	$84	$86	$88	$90
				Clients:	388	494	600	707	814	921	1017	1066	1067	1067
				Billable Service Take-up Rate:	5%	5%	5%	5%	5%	5%	5%	5%	5%	5%
		Client Service Calls:			$1,455	$1,890	$2,341	$2,814	$3,304	$3,813	$4,295	$4,592	$4,688	$4,782
		Total Network Services Income:			$6,751	$8,603	$10,478	$12,388	$14,315	$16,261	$17,964	$18,894	$19,010	$19,104
		ISP SERVICES:			Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
				Web Service Take-up Rate:	20%	30%	40%	50%	52.00%	54.00%	56.00%	58.00%	60.00%	62.00%
		Web Service Revenue:		$20	$1,552	$2,964	$4,800	$7,070	$8,466	$9,947	$11,390	$12,366	$12,804	$13,231
				Inflation:	0%	2%	2%	2%	2%	2%	2%	2%	2%	2%
		Other Services Revenue:			$200	$204	$208	$212	$216	$221	$225	$230	$234	$239
		Total ISP Services Income:			$1,752	$3,168	$5,008	$7,282	$8,682	$10,168	$11,616	$12,595	$13,038	$13,470
		Monthly Gross Revenue			$53,208	$76,029	$100,386	$119,485	$137,727	$156,073	$171,554	$179,920	$180,714	$181,239
		Yearly Gross Revenue			$638,499	$912,347	$1,204,638	$1,433,819	$1,652,725	$1,872,880	$2,058,651	$2,159,036	$2,168,562	$2,174,865
	OPERATIONS COST MODEL:
		INFRASRRUCTURE:			Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
				Inflation	0%	1%	1%	1%	1%	1%	1%	1%	1%	1%
		Contracted Maintainence /month:			$       9,500	$       9,595	$       9,691	$       9,788	$       9,886	$       9,985	$     10,084	$     10,185	$     10,287	$     10,390
		Network Financing @ 10%  /mo:		13.11	$67,366	$67,366	$67,366	$67,366	$67,366	$67,366	$67,366	$67,366	$67,366	$67,366
		Sinking Fund for Network Renewal:		5%	$2,660	$3,801	$5,019	$5,974	$6,886	$7,804	$8,578	$8,996	$9,036	$9,062
		Monthly Owner Cost			$79,527	$80,763	$82,077	$83,129	$84,139	$85,155	$86,029	$86,548	$86,689	$86,818
		INTERNET SERVICES PROVIDER			Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
				Inflation	0%	-5%	-5%	-5%	-5%	-5%	-5%	-5%	-5%	-5%
				T1 Cost	$       1,650	$       1,568	$       1,489	$       1,415	$       1,344	$       1,277	$       1,213	$       1,152	$       1,095	$       1,040
		Internet Connection /month		100	$6,600	$7,838	$8,935	$9,903	$10,751	$11,491	$12,129	$12,675	$12,041	$11,439
				Services/Client:	$42	$61	$75	$75	$75	$75	$75	$75	$75	$75
				Residential Clients:	325	418	510	603	696	789	882	928	928	928
		Services Purchases /month		35%	$4,778	$8,924	$13,388	$15,829	$18,270	$20,711	$23,153	$24,360	$24,360	$24,360
				EquipmentCost	$     40,000					$     50,000
		Equipment Financing @ 10%  /mo		21.15	$846	$846	$846	$846	$846	$1,058	$1,058	$1,058	$1,058	$1,058
				Inflation	0%	1%	1%	1%	1%	1%	1%	1%	1%	1%
		Contracted Maintainence /month			$       3,000	$       3,030	$       3,060	$       3,091	$       3,122	$       3,153	$       3,185	$       3,216	$       3,249	$       3,281
		Monthly ISP Cost			$15,224	$20,638	$26,229	$29,668	$32,989	$36,412	$39,524	$41,309	$40,707	$40,138
		Total Monthly Expenses			$94,750	$101,401	$108,305	$112,797	$117,128	$121,567	$125,552	$127,856	$127,396	$126,956
		Total Yearly Cost			$1,137,005	$1,216,809	$1,299,664	$1,353,563	$1,405,535	$1,458,806	$1,506,627	$1,534,278	$1,528,758	$1,523,472
	OPERATIONS P&L
		ANNUAL PERFORMANCE:			Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
		Monthly Gross Margin:			-$41,542	-$25,372	-$7,919	$6,688	$20,599	$34,506	$46,002	$52,063	$53,317	$54,283
		Yearly Margin			-$498,506	-$304,462	-$95,026	$80,256	$247,190	$414,074	$552,025	$624,759	$639,805	$651,393
		Accumulating P&L			-$498,506	-$802,968	-$897,994	-$817,738	-$570,548	-$156,475	$395,550	$1,020,308	$1,660,113	$2,311,506
		Accumulating Finance Payments /yr			$808,398	$1,616,796	$2,425,194	$3,233,592	$4,041,990	$4,850,388	$5,658,786	$6,467,184	$7,275,582	$8,083,980
		Accumulating Sinking Fund Value /yr			$31,925	$77,542	$137,774	$209,465	$292,101	$385,745	$488,678	$596,630	$705,058	$813,801
		Accumulating Network Value /yr			$5,202,113	$5,282,673	$5,380,323	$5,495,213	$5,627,343	$5,776,713	$5,940,738	$6,112,368	$6,284,233	$6,456,098