Royal LePage Real EstateRoyal LePage Real Estate

Brokers MeetingBrokers MeetingJuly 2004July 2004

Summary of CanadianSummary of CanadianReal Estate Real Estate

Franchising ActivityFranchising ActivityJanuary 1 – June 30 2004January 1 – June 30 2004

Source: Real Estate Magazine (REM)

• 0 New Franchises– Lost 1 Franchise to ReMax – Broker Peter Mueller- 31 Agents in Scarborough

• Master Franchisor Completed a Going-Private Initiative

Re-Flagging, M&A’sRe-Flagging, M&A’s

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Mississauga, Ontario– Added 3 Sales Associates, – Broker Ann Huynh

– Lost 3 offices -Royal LePage, Prudential & Coldwell Banker

• Prince George, British Columbia– Broker Sid Doucette– 8 Sales Associates– Formerly Century 21

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• 1 New Office in Edmonton, Alberta– Added 8 Sales Associates– Emailed letter to offices

“We are actively searching for a Broker(s) /Partner(s) in the Brantford, Cambridge and London areas. We would like to determine your current status and future interest. If you are Broker certified, and in a position to consider owning / managing a potentially fantastic real estate franchise, we would like to hear from you. Please reply so that we may record your interest. “

• Parksville British Columbia (Vancouver Island)

– Added 8 Sales Associates (announcement 14)– Brokers Wayne Drumbell & Howard Story– Formerly Homelife – Lost 2 offices- Royal LePage & GMAC

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Greenwood Nova Scotia, – Added 8 Sales Associates– Broker Ron Fleming– Formerly Coldwell Banker

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Halifax Nova Scotia, – Added 9 Sales Associates– Broker Francis MacDonald & Davis Sala– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Scarborough, Ontario– Acquired 31 Sales Associates and a new location– Broker Frank Colatosti– Total 6 office’s Toronto Area– Formerly Sutton

• ReMax lost 2 offices – Royal LePage

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Woodbridge, Ontario– Added 1 Sales Associate– Broker Rajendra Sagar– Formerly Independent

• Lost 1 Office - Independent

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Toronto, Ontario– Added 9 Sales Associates– Broker Vivendra Srivastava– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Kelowna, British Columbia– Added 2 Sales Associates– Brokers Ken & Grant Weibe– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Penticton British Columbia– Added 4 Sales Associates– Broker Bill Binfet– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Kamloops, British Columbia– Added 7 Sales Associates– Broker Craig McIntyre– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Edmonton, Alberta– Added 6 Sales Associates– Broker Tom Stratton– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Grand Falls, Newfoundland– Added 2 Sales Associates– Broker Colin Power– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Calgary, Alberta– Added 41 Sales Associates (75 Listings 2003 Per IMS)– Broker Tim Crough– Formerly Independent Toole Peet

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Steinbach, Manitoba– Added 17 Sales Associates– Broker Bob Schinkel– Formerly Homelife

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Red Deer, Alberta– Added 5 Sales Associates – Broker Darryl Sim– Formerly Independent

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Charlottetown, Prince Edward Island– Added 14 Sales Associates– Brokers Jim Matheson & Blair Fraser– Start-up

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Toronto, Ontario– Added 40 Sales Associates– Broker Jim Sturino– Formerly Coldwell Banker

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Fernie, British Columbia– Added 7 Sales Associates – Broker Candace Grey– Formerly Homelife – # 1 Market Share

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Bancroft, Ontario– Added 7 Sales Associates – Broker Sharon White– Formerly Independent

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Nakusp & Revelstoke British Columbia– Added 6 Sales Associates– Broker Ken Marshall– Formerly Independent

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Jasper, Alberta– Added 1 Sales Associate– Broker Richard Potter– Formerly ReMax– # 1 Market Share

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Campbellton New Brunswick– Added 5 Sales Associates– Broker Dudley Clark – # 1 Market Share

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• Sherbrooke, Quebec– Added 4 Sales Associates– Broker Jean-Francois Toutant – Formerly ReMax

Re-Flagging, M&A’s Re-Flagging, M&A’s Cont…Cont…

• No announcements in REM

• 9 Offices in Canada• 297 sales associates

Summary of Agents Added Y-T-D By Franchise SystemSummary of Agents Added Y-T-D By Franchise System (Without Trans-Action) (Without Trans-Action)

77

66

31 31

17 148 8 3

00

10

20

30

40

50

60

70

80

PrudentialRLPCentury 21 ReMaxGMACColdwell BankerRealty ExecsIndependentHomelifeSutton

Conversion update:Conversion update:Le Groupe Trans-ActionLe Groupe Trans-Action

Le Groupe Trans-Action on Le Groupe Trans-Action on acquisition day acquisition day

• Quebec franchisor founded 20 years ago• 3 owners :

– Marcel Imbeault (still Executive vice president of Le Groupe Trans-Action)

– Jean Limoges (RLP Limoges)– Pierre Tanguay (RLP Multi-Services)

• 360 agents in 53 franchises• 75 locations• Gross revenue of 23.8 millions for 2002

Exposure toExposure to many many new markets new markets

• Montreal region: Ahuntsic, Villeray/Rosemont, Repentigny/Le Gardeur, Verdun, Pierrefonds, Mercier, Rivière-des-Prairies

• North Shore: Rosemère, Mont-Laurier• South shore: St-Basile-le-Grand, St-Hyacinthe, Mont

St-Hilaire, St-Denis, Farnham• Other: Joliette, Rivière-du-Loup, Charlevoix, Beauce

Following acquisition day Following acquisition day

• Dominic St-Pierre (Director of franchise services for the Quebec region) and Marcel Imbeault (Executive Vice President of Le Groupe Trans-Action) visited every TA offices.

• 3 options were presented to them:– Become a RLP franchisee– Remain with TA– Merge with one of our existing franchisee

Offices who converted Offices who converted to RLPto RLP

TA Name New Name Date of conversion Main Location

Other Locations

Number of location

Number of agents at time of conversion

Number of agents now

Trans-Action Le Riche RLP Innovations November 24, 2003 Ahuntsic NA 1 9 15

Trans-Action CM Inc RLP Premier Choix November 26, 2003 Joliette NA 1 3 4

Trans-Action Plus RLP Plus November 27, 2003 Saint-Basile-Le-Grand

NA 1 2 4

Trans-Action Mauricie Inc RLP Services-Conseils December 1, 2003 Trois-Rivières NA 1 14 18

Trans-Action Limoges & Ass. RLP Limoges & Ass. December 4, 2003 Rouyn-Noranda

Amos, Ville-Marie, Chibougameau, Val-D'Or, Temiscaming

6 21 22

Trans-Action En Or RLP Expert December 4, 2003 St-Hubert NA 1 2 2

Trans-Action Mon Toit RLP Mon Toit December 8, 2003 Riviere-du-Loup

NA 1 3 3

Trans-Action Multi-Sevices Inc. RLP Multi-Services December 15, 2003 St-Hyacinthe NA 1 29 29

Trans-Action La Jemmerais RLP Tradition December 16, 2003 Boucherville Ste-Julie, Varennes

3 40 43

Trans-Action Outaouais 2000 Inc RLP Renaissance January 15, 2004 Gatineau Hull 2 46 56Trans-Action du Nord enr RLP Excellence February 2, 2004 Sept-Iles NA 1 4 4

Offices who converted Offices who converted to RLPto RLP

TA Name New Name Date of conversion Main Location Other Locations

Number of location

Number of agents at time of conversion

Number of agents now

Trans-Action C.V.N. RLP Pro-Action February 3, 2004 Baie-Comeau NA 1 9 11Trans-Action 2000.com RLP Selection February 11, 2004 Sherbrooke NA 1 7 12

Trans-Action Horizon 2000 RLP Horizon 2000 February 26, 2004 Pierrefonds NA 1 2 2Trans-Action Estrie Joined RLP Avantages February 27, 2004 Orford NA 0 1 NATA Clober Inc RLP Express March 17, 2004 Villeray NA 1 15 17Trans-Action Montréal RLP Acacia April 22, 2004 Verdun NA 1 2 3Trans-Action Pro/2000 Inc RLP Pro-Action May 12, 2004 Brossard NA 1 15 15Trans-Action Avantage RLP Patrimoine May 26, 2004 Repentigny NA 1 2 2

Trans-Action GMN RLP Des monts June 2, 2004 Mont-St-Hilaire NA 1 2 2

Trans-Action Sélect RLP Select June 7, 2004 Blainville St-Jerome 2 2 2Trans-Action Uni BG RLP Uni June 9, 2004 Rosemere NA 1 3 3Trans-Action Dynamique Joined RLP Meritas du

SuroitJuly 1st Valleyfield NA 0 1 NA

Trans-Action Charlevoix RLP Satisfaction July 1st La Malbaie NA 1 5 5Total 31 239 275

Percentage 0.70710059

Offices who signed Offices who signed a letter of intenta letter of intent

Offices with signed letter of intent

Main Location Number of location

Number of agents

Trans-Action Signature Montreal-Mercier 1 3

Trans-Action Prestige Inc. Rosemont 1 2

Trans-Action Vallee du Richelieu Saint-Denis-sur-le-Richelieu

1 1

Trans- Action Des Prairies Enr Riviere-des-Prairies 1 13

Total 19Percentage 5.571847507

Offices who have Offices who have not committednot committed

Offices who have not committed

Main Location Number of location

Number of agents

Trans-Action Carrefour Beauport 2 10

Trans-Action Capitale Québec 1 5

TA des 2 rives Levis 1 3

Trans-Action Professionnel Québec 1 5

Trans-Action Globale Charlesbourg 1 12

Trans-Action Unique Sainte-Foy 1 1

Trans-Action Quatre Saisons St-Étienne-de-Lauzon 1 1

Trans-Action Royale Val-Bélair 1 3

Trans-Action Lessard Immobilier Charlesbourg 1 1

Trans-Action Missisquoi Cowansville 1 8

Trans-Action Yves Côté Beauport 1 1

Trans-Action De Choix Enr Québec 1 3

Trans-Action 2000 Qc St-Romuald 1 1

Trans-Action Superieur Mont-Laurier 6 4

Trans-Action Expert Beauharnois 1 1

TA Premier Choix Enr. Mercier 1 5

Trans-Action Dynamique Inc Coteau-du-Lac 1 2

Trans-Action Immeubles N & M Inc Chateauguay 1 6

Trans-Action Chaudiere-Appalaches St-Georges-de-Beauce 1 6

Trans-Action Immeubles Durivage Farnham 1 2

Trans-Action Immeubles Rive-Nord Inc

Le Gardeur (Repentigny)

1 3

Trans-Action Excel Inc. Longueuil 1 1

Total 28 84

Percentage 24.63343109

Offices who left TAOffices who left TA

Offices who have terminated their contract

Main Location Number of location

Number of agents

Trans-Action Immeubles Vendex Inc Iberville 1 2

Trans-Action Futur Ste-Dorothée 1 1

Trans-Action Conseil Sainte-Foy 1 4

Trans-Action Laval Laval des Rapides 1 2

Total 9

Summary Summary

• 22 new franchises with 31 locations• 3 mergers• Converted 239 agents• Hired a net amount of 36 agents since

converted• RLP exposure in 17 new markets• 19 agents in 4 offices are committed to

convert

0

50

100

150

200

250

300

350

RLPPrudentialCentury 21RemaxGMACColdwell BankerRealty ExecutivesIndependentHomelifeSutton

Summary of Agents Added Y-T-D By Franchise SystemSummary of Agents Added Y-T-D By Franchise System (With Trans-Action) (With Trans-Action)