Table of ContentsHistory

Boards of Directors and Executive Team

Governments and Associated Organizations

A Word from the School’s Chairman of the Board

Executive Director’s Report

Programs in Summary

Applicants and Admissions 1999 to 2006

Class of 2006 - Higher Education in Circus Arts

Class of 2006 - Instructors and Trainers in Circus Arts

Students by Program 1999 to 2006

Financial Statements 2005-2006

Board of Directors’ Code of Ethics and Deontology

Annual Report of the National Circus School Foundation

Foundation Mission

Chairman of the Board’s Report

Fundraising Campaign 2002-2006

Campaign Donors 2002-2006

Benefit Evening Donors 2006

Foundation Financial Statements 2005-200643

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The School at 25

The National Circus School was founded in 1981 by Guy Caron,actor and circus artist, and eminent gymnast Pierre Leclerc. In anera when contemporary circus companies were virtually unknownin Canada, and nearly all great circus schools were located inEastern Europe or Asia, establishing a centre for circus artstraining represented a formidable challenge. The first studentsand trainers soon regrouped at the Centre Immaculée-Conception. Even before Cirque du Soleil, the guiding light in thefield had made its debut, the School was becoming a national institution with an international reputation.

Following a move to Dalhousie Station in Old Montreal, theSchool further developed and refined its training programs, whichcame to be recognized by the Quebec ministries of Educationand Culture and by Heritage Canada. The School began to offerprofessional training programs of the arts-academic type at thesecondary level in 1991, adding college-level circus arts programsin 1995.

By 2003, the School had outgrown its quarters. It then took upresidence in a new space designed specifically for training professional circus artists in the heart of Tohu, the Cité des arts ducirque, in Montreal. The School is now able to provide optimum

conditions for a greater number of students. It also offers newprograms such as the Attestation of Collegial Studies in CircusArts for instructors and trainers in circus arts and a range ofservices for professional circus artists.

Since its founding 25 years ago, the National Circus School hasplayed a crucial role in the development of circus arts in Canadaand around the world. Impelled by a continual quest for excellence,the School has remained a world leader in training professionalcircus artists. It is a place of research, study, creation andexperimentation in circus arts. In addition to financial assistancefrom the governments of Canada and Quebec, the School alsoreceives the support of professionals and businesses in the circusarts milieu, as well as from the business community at large.

The School has prepared nearly three hundred circus artists forprofessional careers. The School’s students and graduates havegarnered numerous prizes and distinctions through participationin prestigious world festivals, including those of Paris, Wuqiao inChina and Tournai in Belgium. As a pioneer of the circusrenaissance in Canada and North America, the School has alsocontributed to the emergence of such circus companies as Cirquedu Soleil, Cirque Éloize and The 7 Fingers.

History

6

National Circus School

Chairman

Bruno DuguayVice-President, General Counsel & SecretaryJTI-MACDONALD

Treasurer

Jacques CotéPresident and Chief Executive OfficerSOCIÉTÉ DU HAVRE DE MONTRÉAL

Secretary

Jovette DemersManager, Marketing CommunicationsIBM CANADA

Jocelyn L. Beaudoin, C.M.Secretary Assistant and Representative, QuébecBUREAU DU QUÉBEC À TORONTO

Marc GagnonExecutive Vice President - Corporate ServicesCIRQUE DU SOLEIL

Marc LalondeExecutive DirectorNATIONAL CIRCUS SCHOOL

Monique LefebvrePsychologist, Executive Coaching and Corporate Director

Pierre CarrierTrainers' RepresentativeNATIONAL CIRCUS SCHOOL

Patrick LegrisParents' Representative, High School ProgramNATIONAL CIRCUS SCHOOL

National Circus School Foundation

Chairman

David McAuslandExecutive Vice-President, Corporate Developmentand Chief Legal OfficerALCAN

Vice Presidents

Lili de GrandpréSenior PartnerCENCEO CONSEIL

David A. GilmourPresidentJIG-A-LOO WORLD

Treasurer

Luc MartinPartnerSAMSON BÉLAIR/DELOITTE & TOUCHE

Secretary

Suzanne DurandExecutive DirectorNATIONAL CIRCUS SCHOOL FOUNDATION

Patrice DrouinCorporate Director

Bruno DuguayVice-President, General Counsel & SecretaryJTI-MACDONALD

Marc LalondeExecutive DirectorNATIONAL CIRCUS SCHOOL

Robert C. NadeauPartner, Managing DirectorSPENCER STUART

André St-JeanTrainerNATIONAL CIRCUS SCHOOL

Pierre VézinaPresident & CEO, Marketing & SalesVÉZINA DUFAULT

Boards of Directors

Executive DirectorMarc Lalonde

Director of StudiesDaniela Arendasova

Director of CreationHoward Richard

Administrative DirectorYves Rocray

Director of CommunicationsChristophe Rousseau

Technical and Production DirectorMartin Saintonge

Executive Director of the FoundationSuzanne Durand

Executive Team

7

The National Circus School receives financial support from the ministère de la Culture et des Communications du Québec through theProgramme d’aide au fonctionnement pour les organismes de formation supérieure en arts as well as from the Department of CanadianHeritage through the National Arts Training Contribution Program and the Canadian Arts and Heritage Sustainability Program.

The School is also accredited for subsidies by the ministère de l’Éducation, du Loisir et du Sport du Québec.

The National Circus School is a member of the following organizations:

• TOHU - La Cité des arts du cirque• En Piste - The National Circus Arts Network• ADESAM - Montreal’s Professional Arts Schools Association• FEDEC - European Circus Schools Federation• FEEP - Fédération des établissements d'enseignement privés• ACPQ - Association des collèges privés du Québec

Governments and Associated Organizations

8

How very fortuitous that this, the 25th birthday of the NationalCircus School, should coincide with the year the institutionpublishes its first annual report. For it was indeed in 1981 that theSchool’s co-founders, Pierre Leclerc and Guy Caron, inauguratedone of the first circus schools in the western world, todayrenowned around the globe.

The 2005-2006 school year marks the conclusion of thefirst quarter century of contemporary circus inCanada. But it has also meant the School must setits sights anew and launch new projects.

I headed the board of directors when in2000 we decided to relocate the School tothe heart of the Cité des arts du cirque, atthe time yet to be built. This project wasbased on well-elaborated needs, foundedon coherent and realistic developmentprospects. I cannot help but fail to besurprised at the claims we are able to maketoday: of wide-spectrum programming, a student body that has more than doubled,a record fleet of graduates, and an unequalledlevel of admission applications, each the fulfilmentof a development promise.

Since the School has contributed to the incubation and developmentof this country’s major circus companies, I cannot remain indifferentto the School’s continuing impact on the evolution of the circus aspractised here. I recently attended for the opening night of a newshow by the Montreal company The 7 Fingers. I was quite simplytotally charmed, even captivated, by the performances of fivedebutante artists, all recent graduates of the School. Could thereexist anywhere else in the world another quintet of circus artistsso astoundingly talented and accomplished as the youngacrobats appearing in Traces?

The 2005-2006 school year was the first in a quadrennial that is thefocus of a strategic plan adopted by the board. For the first time,Àthe School’s major partner, the Quebec’s ministère de la Culture etdes Communications, has made a commitment to us in the form ofa three-year agreement. Unfortunately, the Department of CanadianHeritage, a partner of the School for 15 years, has deferred any commitment pending a re-evaluation of its National Arts TrainingContribution Program with regards to multi-year agreementshigher-education arts institutions. This scrutiny has, of course,nothing negative to say about the School, especially given the lastindependent evaluation commissioned by the Department ofCanadian Heritage, as with the preceding one of 2003, clearly laudsthe excellence in both training and management at the NationalCircus School. There is also the report of Quebec’s Commission d’évaluation de l’enseignement collégial which for the first time singled out the School’s DEC program. Its conclusions areunequivocal on the relevance, coherence and effectiveness of boththe program and its management.

Fortunately over the past years, the School successfully ramped upfundraising aimed at private sources, thanks to the efforts of alladministrators, particularly those of the National Circus SchoolFoundation, chaired by David McAusland. Due to his efforts andthose of his volunteer team, to whom I extend warmest thanks, theFoundation has donated ample funds for the construction of theSchool’s new building and will be able to support the development

projects of the School.

Financial balance and the perennial need forfinancing are a board of directors’ regular

concerns. In this respect, the School’sfinancial statements and those of theFoundation testify to prudent and rationalmanagement. The board also ensures themeasures it adopts are respected andconducts regular follow-up on theresulting action plan. The reader of thisreport will note that the School hasdeveloped considerably over the past

years and the results are convincing.

It is necessary to thank the availability,generosity and rigour of the School’s board

members, particularly the members of the executiveand construction committees, who unstintingly supported

the direction of the School within the framework of the largestproject of its history, the construction of its new building.

This annual report, legally required by the Loi sur le Conseilexécutif du Québec any private college receiving subsidies,serves to certify that the board of directors has not noted anyinstance of real or apparent conflict of interest in which anymember would have been placed during 2005-2006, nor over any preceding period.

Bruno Duguay

A Word from the School’s Chairman of the Board

9

The National Circus School (NCS) is now firmly encamped in theheart of Tohu, the Cité des arts du cirque, in new facilities it hasoccupied since November 2003. The School can and should lookback with pride over its history. The 2005-2006 school year was abanner occasion, a salute to the first quarter century of an artsschool without parallel in Quebec, Canada and the rest of the world. But before however modestly celebrating this raremilestone in the very young world of circus schools, we mustpause to take the measure of how far we have indeed come. An institutional annual report generally covers only the past fiscalyear; please indulge us as in this, our first such report, we cast oureyes beyond the accountant-defined period.

When Dalhousie Station, housing the School from 1989, reached fullcapacity, there were 52 students. Since then the total number of students enrolled in professional training programs has more thandoubled, to 118 for the 2005-2006 school year. Even though this fulfills one of the School’s objectives in relocating, this growth inclientele is not a result of the proportional increase in physical spacealone. It is the fruit of another vast undertaking: the development ofa spectrum of programs offered by the School with the intent ofextending the training continuum of circus artists, and including thetraining of instructors and the trainers. The number of professionaltraining programs, formerly limited to the Circus and High SchoolStudies (CES) and Collegial Studies in Circus Arts (DEC-DEE), hastripled over the last seven years.

The first step in renovating the curriculum of the School was theaddition in 2000 of a true Preparation for Advanced Training (PFS)program. Downstream from full professional training, it is open toyoung people 9 years and older, most often attending an outsideprimary or secondary school. This new program sought to improvethe acrobatic, physical and artistic preparation seen in some youngcandidates applying for professional training who came fromrecreational schools or sports programs. Contrary to an art-studiestype program, the PFS is extra-curricular and, in a sense, complemen-tary. Indeed, for any young person between 9 and 17 years andhis or her parents, the decision to devote oneself to full-time andprofessional-level, if unconventional, training involved in circusarts cannot be undertaken lightly. History teaches us, however,that this additional two-year program proved good strategy; it hasshaped a significant proportion of the Canadian candidatesadmitted to the CES and DEC programs, nearly 27 percent.Finally this program, recognized by Quebec’s ministère de laCulture et des Communications, now serves as a model forpreparatory training centres.

Formerly offered in partnership with a Montreal-area schoolcommission, since 2000 the CES program has come under theSchool’s full auspices. We are now licensed to provide secondary-level academic subjects by Quebec’s ministère de l’Éducation, duLoisir et du Sport. This makes NCS one of the few arts schools inthe country able to offer a complete secondary education up to

the college level, while remaining autonomous. At DalhousieStation, classes were small, of fewer than 10 pupils spread overfive levels, and were held in the basement. The CES program has grown to nearly a score of 20 pupils divided into two more homogeneous classes, taught by two full-time teachers. General academic education has integrated seamlessly with theobjectives of Quebec’s education reforms. The proof is in theiracademic success: over the past five years the pass rate for ministerial examinations averages 98.5 percent, with 100 percentof the School’s students graduating high school. Circus training isbetter structured to meet DEC program requirements with an eyeto instituting more gradual and prolonged training.

The DEC program established in 1995 has not escaped this“renovation fervour”. The School has indeed benefited from thewider vision of Quebec’s education department when it revisedcollegial program standards and requirements. NCS conducted anin-depth scrutiny of its Diploma in Circus Arts (DEC) program takinginto account the realities and stringent demands of a professionalcareer for circus artists. It also sought to have the ministère de l’Éducation, du Loisir et du Sport recognize educationalactivities outside the established program. The new DEC program,expanded by 10 percent, is in its second year of operation.

Among the major changes brought to training regimes since 1999are the addition of two calendar months of additional training forfirst-year college students, and an added month for other college-level students and CES pupils. As well, the number of creativeactivities has increased in all programs, as has the diversity of aes-thetic and artistic approaches to which students are now exposed.This gradual program evolution and the rigour of the teachingstaff in evaluating students’ training and development also madeit possible to raise pass and graduation standards for college students, in particular regarding mastering specialties, and developing creative and performing skills as well as overall versatility.

In tandem with college-level programs, the School in 2004 undertookan experiment in supplemental training in the form of aprofessional internship for young graduates. This pilot project ledto the creation in summer 2006 of the Research and CreativeWorkshop for Graduates, an intensive creative experience forgraduates under a professional director. It emphasizes thecomplete range of performance and creative qualities to beexplored beyond their individual specialties. At the end of theprogram the result of their efforts, a work still in progress, is performed in front of an audience of professionals.

The training continuum for circus artists at the School is now one oflengthiest and most comprehensive extant. The NCS is indeed the onlycircus school in the western world to have extended the continuum ofprofessional education from preparatory training up to the graduatelevel, extending on to professional internships for graduates.

Executive Director’s Report

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The aspiring circus artist now completes an entire training programbefore leaving the School for real life. Enriched by numerouscreative and performance opportunities on stage and in the ring,they are prepared to take on the challenges of professional life –usually within a few months of leaving, if the average placementrate of more than 95 percent is any indication.

In 2005-2006, the School was the subject of two separate evaluationsby several independent experts. They were mandated by theDepartment of Canadian Heritage and by Quebec’s Commissiond’évaluation de l’enseignement collégial (CEEC). The resultingreports could not be more favourable, and help consolidate the future efforts and direction taken by ourteaching staff. The report published by the CEEC,soon accessible via the Commission’s Internet site(www.ceec.gouv.qc.ca) was unsparing in its praise,as evidenced in the following extract (translated by the School):

"The Commission commends the School’s concernfor providing training that responds to both thestudents’ needs and those of the professionalworld; this commitment was shared by a consensusof interveners, and serves as the wellspring of initiativethat feeds the program. The Commission also underlinesthe quality of the teaching staff and methods employed, such asthe personalized training the students enjoy. Moreover, theybenefit from very high-quality facilities. Lastly, the selectionprocess for applicants and the support provided to new studentscontribute to the program’s effectiveness, demonstrated by highgraduate rates and the success of a syncretic approach thatintegrates the program’s essential elements. (…) The School benefits from quality human resources;personnel is qualified and devoted. (…) The Commission has noted an exceptionaldialogue within the management of theprograms. It considers that the programs’management is of high quality, and itpoints to the devotion of the pedagog-ical director in this regard."

The evaluator mandated by theDepartment of Canadian Heritage wasBoris Verkhovsky, Training Director andSenior Head Coach for the Cirque du Soleil. He concludes his report as follows :

"This is truly a one-of-a-kind program inCanada that is serving as a leader and inspirationfor a number of aspiring organizations in Quebec,Ontario and British Columbia. From that perspectivethe School is very well positioned internationally aswell. (...) The international community has a great respect forthe quality of the artistic direction at the School, which developed theprograms that produced the very impressive results demonstratedby their students at numerous international festivals. Based on thequality of leadership, facilities and programs in place, it is fair andsafe to say that the National Circus School is rated as one of thebest institutions of its kind in the world."

Developments in the programming spectrum were not limited totraining artists. It also evolved along a complementary axis toencompass training teachers of circus arts. Certificate programs

for circus arts instructors and trainers, Attestation of CollegialStudies (AEC), were instituted some three years ago to counterany weakness in the availability of recreational circus arts trainingin Canada. Given this sector is essential in forming a solid baseof candidates from which to recruit for preparatory and highertraining, the School embraced the training of these professionals.AEC program graduates are best trained to initiate youngerpeople into circus arts within the context of recreation or physicaland artistic education, intervene with youth at risk or in difficultythrough the vehicle of circus arts, or dedicate themselves to

preparatory training for young people who wish to becomecircus artists. These new, truly innovative programs

already serve as reference points for the world.

The School now recruits a greater number of stu-dents who meet its admission criteria than everbefore. This feat is not achieved without someeffort and creativity, however. The initiatory andpreparatory circus arts training infrastructureremains underdeveloped in this country. Despite

this fact, the School’s candidate recruitment volumewithin Canada is proportionally quite higher than

those of European professional schools within their ownjurisdiction. NCS’s ability to recruit on foreign shores

continues, and it now attracts a greater number of the best candidates from preparatory schools in Western Europe and theAmericas to its advanced training programs.

It is necessary, of course, to salute a number of organizations servingto facilitate the promotion of the School to potential candidates.

These include the numerous acrobatic sports federations andrecreation centres offering circus training in Canada,

as well as the preparatory circus schools ofVerdun and Quebec City. The School must

also thank the circus schools that haveserved as hosts during NCS national

audition tours: Cirkids of Vancouver,Velocity Motion Werks of Calgary, theToronto School of Circus Arts andAtlantic Cirque of Halifax. Their complicity means that today morethan 30 percent of Canadian students entering college-levelprograms come from outside theprovince of Quebec, unthinkablestatistics even five years ago.

From a troop of nine professional circusartists in 2000, the contribution of the

School to the circus arts sector has grownsignificantly. In June 2006, graduation time,

they totaled 28 young professionals, including 17 circus artists, 8 instructors and 3 circus arts trainers.

Indirectly the School also contributes to the development of otherkey human resources for the circus arts sector, those involved inthe creative production side. Thus within the framework of existingprograms, the School now grants creative production mandatesto experienced circus artists as well as to choreographers ortheatre directors. In 2005-2006, the School entrusted 13 suchmandates to 11 different artists.

“The Commission hasnoted an exceptionaldialogue within the

management of the programs.”

11

Growth in both the range of programs and number of studentscould not have been possible without a radical increase in theSchool’s physical capacity. The project of relocating the School tothe heart of the Cité des arts du Cirque resulted in the spaceavailable to the School increasing by approximately 300 percent.The impact was enormous, since the new building comprises7,200 square metres. Nearly thee years after the School moved,we are happy to confirm again the efficiency and quality of thefacilities designed by the firm Lapointe Magne & Associates. Theirproposed vertical architecture for a circus school was daring. Atthe time tenders for architects were issued, there were no exampleof a circus school built on such a concept existed; all other schoolsoccupied spaces originally conceived for other purposes. Nowthat the dust has settled on construction, we are gratified to havenot only respected the architectural plan for our new home, butalso the budget. Especially since the costs of realizing it exceededforecasts by only 1 percent, and this despite escalating inflationand construction expenses during the building phase.

Throughout the rapid growth enjoyed over the past few years,NCS’s financial position has remained healthy, as the auditedfinancial statements presented in this report will show. We owethis fact, among other reasons, to rigorous and careful managementby our administrative team. But in order for the School’s budgetto have risen from approximately $2 million in 1999-2000 to closeto $4 million in 2005-2006, increased support was needed fromthe Quebec’s ministère de la Culture et des Communications, andthe Department of Canadian Heritage, which have both recognizedthe School’s needs and provided assurances of increasingassistance at the right moment. Fortunately, the private collegestatus granted us in 1995 by the ministère de l’Éducation duQuébec and its approval for ongoing means of support, insurethat the School can always count on financing.

Today, more than ever, the National Circus School is a world leaderin the training of circus artists. Twenty-five years ago no major circusschools existed outside eastern Europe and Asia. Yet the vision of

the School’s founders remains relevant, the philosophy on which it isbased today still viable, and the values embraced by those who builtthis institution continue to be sound ones.

Our continuing success and progress is due to people, the caringand demanding teachers working as a team as well as the adminis-trative, technical and educational support staff, all highly motivatedand dedicated to our students’ growth and well-being. These people should be proud of the School’s accomplishments as shouldthe members of our management team, my close colleagues, whoare fully devoted to the School, and whom I sincerely congratulate.

Which is fortunate, because there is still so much to accomplish.To point to only some of the challenges before us: makingsecondary studies at the School available to young peoplethroughout Quebec and Canada will require in particular anintegrated residence; supporting more effectively the initiation ofyoung people to the circus arts will require more than instructors;making an even greater contribution to the discipline means notonly training creative performers, but also shaping innovators forthe circus of tomorrow.

But then, insuring that excellence is perennial also means keepingit in motion, and to never be satisfied. Which is something thatcan easily keep us occupied for another 25 years.

Marc Lalonde

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Preparation for Advanced Training The first level of professional training, this extra-curricular programis aimed at students 9 years of age or older. It is a preparatoryprogram for advanced training in the circus arts that allowsstudents to continue their primary or secondary education inanother school.

Circus and High School StudiesThis arts-academic program is offered to students in Grades 7through 11. It combines required academic subjects as outlinedby the Quebec secondary school curriculum with professionaltraining in the circus arts. After obtaining their high school diploma,students pursue higher education through the Diploma ofCollegial Studies in Circus Arts (DEC) program.

Diploma of Collegial Studies in Circus Arts DEC (560.D0)This 3-year program marks the pinnacle of higher education in thecircus arts and leads directly to a professional career. Graduatesreceive a college diploma, Diploma of Collegial Studies in CircusArts or DEC, from Quebec’s ministère de l’Éducation, duLoisir et du Sport. Intended for Canadian studentswho have completed their high school studies,the program combines specialized trainingin the circus and performing arts with ageneral college education.

Diploma of National Circus School StudiesIntended exclusively for foreign students who have completedtheir high school studies, this 3-year program constitutes the finalphase of higher education in the circus arts. Graduates receive a diploma from the School or DEE, as they prepare for aprofessional career.

Creation and Exploration Workshop for GraduatesAs a complement to its higher education programs, the Schooloffers graduates a chance to participate in a professional immersionsession. The objective of this workshop is to integrate andenhance the talents of young artists while affording them thecomplete experience of creating a contemporary circus workunder the direction of a creator and stage director.

Instructor and Trainer in Circus Arts Attestation of Collegial Studies AEC The National Circus School offers two specialized programs:Instructor in Circus Arts and Trainer in Circus Arts. The aim is to

prepare teaching professionals versed in the circus arts ableto provide high quality, safety-conscious training from

introductory to advanced levels. Both programslead to a college diploma: Attestation of

Collegial Studies (AEC - Attestationd'études collégiales) accredited by

Quebec’s ministère de l’Éducation, duLoisir et du Sport.

Programs in Summary

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Applicants and Admissions 1999 to 2006

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Class of 2006 - Higher Education in Circus Arts

Kevin O’Connor, Spanish Web

Céline Jean, Martin LalibertéHand to Hand

Kaleen McKeeman, Aerial Straps

Marie-Ève Dicaire, Balancing

Virginie Le Flaouter, Swinging Silk

Loïc Quesnel, Acrobatic Bicycle

Corine Turcotte-Latreille, Jacob SkeffingtonHand to Hand

François Gravel, Dance Trapeze

Kristina Dniprenko, German Wheel

Marie-Andrée Lemaire, Clown

David Bernbaum, Juggling

Simon Renaud, Cloud Swing

Terry Crane, Spanish Web

Tanya Burka, Aerial Hoop

Fernando Dudka, Balancing andContortion

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Instructors

Lina DamergiGuy DescheneauxCaroline LabelleLouis MontagneSteve PrimeauJocelyn RiopelYanick SavoieMartin Talbot

Trainers

Chloé FarahNicolas GermaineGeneviève Lemay

Class of 2006Instructors and Trainers in Circus ArtsAttestation of Collegial Studies

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Students by program 1999 to 2006

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Preamble

The present rules of ethics and deontology are adopted underthe terms of the Loi sur le ministère du Conseil exécutif, L.R.Q.,c. M-30, a.3.0.4. These provisions supplement the rulesgoverning ethics and deontology previously outlined in articles321 to 330 of the Quebec Civil Code.

CHAPTER I

Scope and Object of Application

1. The present code applies to members of the Board ofDirectors of the National Circus School. Moreover, any personwho ceases to be a Board Member is subject to the rules asstipulated in Chapter V.

2. The object of the present code is to elaborate the duties and obligations of Board Members in managing activities and resources of the National Circus School to (i) preserve and enhance the transparency relating to the use of publicfunds allotted to this Institution and (ii) ensure the public trust in the integrity and impartiality of the National CircusSchool administration.

3. For purposes of this document, the following terms are used:

a. Board Member: any member of the Board of Directors (orof that which may replace it) of the National Circus School;

b. Institution: the National Circus School.

CHAPTER II

Duties and Obligations

4. The Board Member must, in the performance of all functions,respect the obligations as imposed by law and regulation, andact within the limits of the positions and privileges conferredwith independence, integrity, prudence and diligence.

He or she shall also conduct him or herself in an honestmanner and demonstrate loyalty and good faith when actingin the interests of the Institution, its staff and students, andtheir parents.

5. The Board Member may not confuse any goods placed atthe disposal of the Institution with his or her own, nor can theBoard Member use any such for his or her own benefit or thatof a third party.

6. The Board Member may not use for his or her own benefitor that of a third party any information concerning theInstitution that he or she obtains while carrying out his or herduties, unless he or she is authorized to do so or is permittedby law.

7. The Board Member is constrained to be discreet regarding allknowledge concerning the Institution gained in the execution orduring the execution of his or her duties and shall be held, continually, to respect the confidentiality of all information thusreceived.

8. The Board Member may not use his position in order to obtainfor him or herself or a third party any services or privileges towhich he or she does not have the right.

CHAPTER III

Conflict of Interest

9. The Board Member must avoid placing him or herself in anysituation in which his or her personal interests conflict withthose of the Institution.

A conflict of interest situation shall constitute any real, apparentor potential situation that is objectively of a nature likely tocompromise or make susceptible to compromise theindependence and impartiality necessary to carrying out thefunction of the Board Member, or at the time of which the Board Member uses or seeks to use the attributes of his orher position to derive undue advantage or procure such undueadvantage for a third party.

10. The Board Member must disclose in writing to the Board ofDirectors any direct or indirect interest he or she has in a companythat is likely to place him or her in a conflict of interest situation,abstain from voting on any matter concerning the company,and avoid influencing any decision relating to it. He or shemoreover must withdraw from the meeting for the duration ofany deliberations and vote relating to this question.

The requisite disclosure in the first subparagraph shall beconducted in a manner as predetermined by the Board ofDirectors at the time of the first board meeting:

1o At the time any person having such an interest becomesa Board Member;

2o At the time the Board Member acquires such an interest;

3o When the question is addressed.

11. Any Board Member who is a staff member of the Institutionmust abstain from voting on any question concerning his or herbond of employment, remuneration, benefits or workingconditions, or those of any employee belonging to the samedivision. Moreover, he or she must, after having the opportunityto present his or her views, withdraw from the session for the dura-tion of deliberations, and for any vote relating to this question.

The first subparagraph applies likewise to all staff members,expect the Institution’s director (director, executive director),for any question concerning remuneration, benefits and otherworking conditions of other categories of employees.

Board of Directors’ Code of Ethics and Deontology

33

CHAPTER IV

Remuneration

12. The Board Member who is not a member of the Institution’sstaff may receive for the exercise of his function, only theremuneration determined by the Board of Directors.

He or she may not accept any gift, offer of hospitality or otherfavors other than those of normal use or modest value, unlessauthorized by the Board of Directors.

Any other gift, offer of hospitality or other favor received mustbe returned to the giver or the Institution.

13. The Board Member may not accept any offer of employment,services, or goods from a person having or seeking to obtain acontract or any other favor from the Institution.

He or she must avoid being influenced by any such offer.

He or she must furthermore disclose to the Board of Directorsany such offer of employment, services or goods.

CHAPTER V

Cessation of Function

14. The Board Member who ceases to execute his or her functionsmust relinquish to the Institution any monies, documents orother objects in his or her possession which belong to theInstitution.

15. The Board Member who ceases to execute his or her functionsmust conduct him or herself so as to not derive undue advan-tage from his former position in the service of the Institution.

16. The Board Member who ceases to execute his functionsmay not divulge any confidential information concerning theInstitution that he or she obtained in the performance of or atthe time of execution of his or duties, nor give to anyonewhatsoever advice based on confidential information regardingthe Institution.

It is forbidden for him or her, during the year following his or herposition, to act in the name of or on account of any matter relating to a procedure, negotiation or operation to which theInstitution is party and to which he or she holds confidentialinformation.

CHAPTER VI

Application Mechanisms

17. The Board of Directors shall establish an examinationcommittee comprised of three of its members, of which oneshall be the Board’s chairman, which shall be charged withexamining or conducting an investigation relating to anysituation or allegation of behavior likely to be contrary to thepresent code.

Should it be a committee member who is to be questioned,the Board of Directors shall replace him or her with another ofits members whom it shall appoint to the examinationcommittee.

18. Any complaint relative to behavior contrary to the presentcode must be submitted and justified in writing. It mustsummarily indicate the nature and circumstances of the behaviorlikely to be contrary to the present code.

The person designated by the Board of Directors shall receivethe complaint, and a copy shall be transmitted to the BoardMember in question, who will be invited to communicate inwriting and within 10 days any observations.

19. The complaint accompanied by the observations of theBoard Member in question, if necessary, shall be submitted tothe examination committee.

20. In the 15 days following communication of the complaintand the related documents, the committee shall meet with theBoard Member in question and the plaintiff to seek to establishwhether or not the complaint is founded.

If it is determined the complaint is founded, it will transmit itsconclusions to the Board of Directors accompanied by itsrecommendations relating to sanctions.

If it is rejected, it shall transmit a copy of its conclusions to theBoard of Directors, to the plaintiff and the Board Member inquestion.

21. Should the committee consider the complaint to be entirelyfounded or if the Board Member in question recognizes thathis or her behavior is contrary to the present code, the Boardof Directors shall impose sanctions on him or her.

22. The sanction which may be imposed on the BoardMember whose behavior is contrary to the present codecomprises the reprimand, suspension or forfeit of his or herBoard responsibilities.

The Board of Directors furthermore may, if it considers convenient,retain the Board Member in his or her position, under condi-tions which it shall determine.

23. The Board Member who receives an advantage arisingfrom a lack of ethical standards or of deontology described inthis code shall be indebted towards the Institution for the valueof the advantage received.

24. Any sanction imposed by a Board Member must be inwriting and justified

CHAPTER VII

Other Provisions

25. In the event of a divergence between the rules of ethicsand deontology proscribed by law and those of the presentcode, the most stringent rules shall apply.

26. The Board Member (indicating the effective date of thepresent code) must transmit to the Board of Directors at theearliest convenience (dated the 30th day following the effectivedate of the present code) any disclosure pertaining to article10 relative to situations likely to place him or her in a conflictof interest situation.

27. The present code shall enter into effect the 6th day ofDecember 2005.

36

Since 1993 the National Circus School Foundation, thanks to itsnumerous donors in Canada and around the world, provides theSchool with vital financial support. With it the School can pursue itsmission of educational excellence, not only furthering innovativepedagogical and artistic initiatives, but also providing talented youthfrom all regions of Canada with access to the best possible services.The School thus contributes actively to the development andadvancement of the circus arts in Canada and around the world.

National Circus School Foundation

37

The National Circus School is so unique in Canada, so trulyinternational, and such an important and original contributor toour city’s stature that I could not resist accepting to chair theNational Circus School Foundation in 2002 and advance its missionof supporting the School’s ambitious development plan.

The Foundation has held a benefit event every yearsince its creation, always in conjunction with theSchool’s Annual Show. This event is in aid ofinsuring the continuation of this essentialpedagogical and artistic student exerciseand to promote it effectively. Moreimportantly, it plays a fundamental rolein increasing community awareness ofthe School’s overall excellence and itscontribution to the cultural life of thiscountry. In June 2006, the benefitevent raised a record net amount of$203,000. We owe this feat to theefforts of the School and Foundationdirectors, as well as of the members ofsenior management from the Cirque duSoleil. The Cirque du Soleil was also generous enough to allow the Foundationaccess to its business network at the Cirque’sannual golf tournament.

In 2002, the Foundation launched a first-ever fundraising campaign. The raison d’être of this $5 million campaign was:

• to supplement funding for the School’s new building and equipmentprojects, and to institute a fund to maintain its new installation;

• to establish a student bursary fund;

• to support the School’s development projects, in particular, therecruitment and development of teachers, key human resourcesfor NCS, the development of new training programs and newstudent services, and the broadening of its community andnational initiatives.

By the end of the 2005-2006 fiscal year, the sum of agreementsthat the Foundation had concluded during the campaign totalledmore than $4.8 million, which is 97 percent of its objective. By thetime this went to press, the goal has been reached. I must congratulateand thank both campaign co-chairs, Monique Lefebvre and DanielLabrecque, who took on such a daunting challenge. They were ableto gather and inspire a wide-ranging team of volunteer solicitors.These leaders will agree with me that we must also thank the staffand administration of both the School and the Foundation for theirenormous contribution to the success of this first campaign,including lending their credibility.

What can be said about the companies and leaders from the worldof the circus, such as Cirque du Soleil and the Fondation Dufresneet Gauthier? By their exceptional gifts at the campaign’s outset,

they set the bar very high. They inspired support for the School’sexcellence from other circus professionals and companies andbrought on board businesses and foundations from other industries.We salute the vision of the governments of Canada and Quebec,both of which inaugurated cultural sector matching programs from

which the Foundation was able to benefit.

Over the past year, the Foundation’s Board ofDirectors adopted various measurements with

the aim of ensuring that all contributionsreceived and to be received are managed

with prudence and transparency. In particular, the Foundation created acentral fund to dispense bursaries tostudents in need and contribute to themaintenance of School facilities. Thefunds are invested at present with theFondation du Grand Montréal, whoseinvestment strategies respect theinvestment and conflict-of-interest

policies of our Foundation.

In 2005-2006, in accordance with its mission,the Foundation injected $175,000 toward

the production of public exercises such as theAnnual Show. It also allocated the sum of

$363,000 for the School to pursue the reimbursementof its building mortgage bringing the Foundation’s total

contribution to the new building construction project to $1.618 million. Finally the Foundation granted its first studentbursaries, making it possible for 16 students in need to continuetheir studies at the School. The Foundation is proud to ensure thatno motivated and talented student is denied access to the Schooldue to lack of financial resources.

Obviously, this campaign would not have met such resoundingsuccess without the support and involvement of the Foundation’sand School’s Boards of Directors. I am very proud to beassociated with all of them.

In closing, I must commend the energy and the perseverance ofMarc Lalonde and Suzanne Durand. They make an extraordinaryand highly professional team. It is difficult to find words to describethe breadth of the respect and admiration we have for them both.

David McAusland

Chairman of the Board’s Report

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Campaign Cabinet

Co-Presidents

Daniel Labrecque President and Chief Executive OfficerN.M. ROTHSCHILD & SONS CANADA

Monique LefebvrePsychologist, Executive Coaching and Corporate Director

Division Chairs

Robert Blain Senior Vice-President and Chief Financial OfficerCIRQUE DU SOLEIL

James C. Cherry President and Chief Executive OfficerAÉROPORTS DE MONTRÉAL

Jacques Duval President and Chief Executive OfficerMARKETEL

David McAusland Executive Vice-President,Corporate Development andChief Legal OfficerALCAN

Marcel Messier President and Chief Executive OfficerCONNEXIM

Robert C. Nadeau Partner, Managing DirectorSPENCER STUART

Members

Claude C. Bismuth PartnerERNST & YOUNG

Carl Gauvreau Managing Director, Investment BankingHARTCO LP

Craig J. Shannon Managing Director, Investment BankingNATIONAL BANK FINANCIAL

Honorary Committee

Micheline Bouchard

Ronald Corey Corporate Director

Guy Laliberté FounderCIRQUE DU SOLEIL

Bernard Lamarre Chairman of the Board of DirectorsOLD PORT OF MONTREAL CORPORATION

Monique F. Leroux President and Chief Executive OfficerMOUVEMENT DES CAISSES DESJARDINS

Jean-Denis Talon Chairman of the BoardAXA CANADA

Samuel Tétreault Co-Founder and ArtistTHE 7 FINGERS

Christian Trudeau President and Chief Operating OfficerCENTRIA COMMERCE

Fundraising Campaign 2002-2006

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$1,250,000

Cirque du Soleil

$750,000

Fondation Dufresne et Gauthier

$400,000 - $749,999

Canadian Heritage

$300,000 - $399,999

Alcan

$200,000 - $299,999

Gouvernement du Québec – Programme Placements CultureSamson Bélair/Deloitte & Touche

$100,000 - $199,999

Pascal JacobPower Corporation of CanadaProductions du Dragon

$75,000 - $99,999

AnonymousNational Bank of CanadaBellCirque ÉloizeMicrosoft Canada

$50,000 - $74,999

Ernst & YoungFondation J. Armand BombardierTD Bank Financial GroupIBM CanadaJTI-MacdonaldDaniel LamarreMouvement des caisses DesjardinsOgilvy RenaultQuebecor

$25,000 - $49,999

EmergisFondation J.-Louis LévesqueGlaxoSmithKlineKPMGN.M. Rothschild & Sons CanadaRonaTranscontinental

$10,000 - $24,999

Aéroports de MontréalAnonymous (2)Robert BlainBull, Housser & TupperCanadian Pacific RailwayNational Circus School Employeesde Grandpré FamilyFondation Marc BourgieGrand Prix du Canada (GPC)Luc MartinDavid McAuslandMercer, Human Resource ConsultingGaétan MorencyPratt & Whitney CanadaRaymond Chabot Grant ThorntonAndré SimardGilles Ste-Croix

$5,000 - $9,999

Bruno DuguayThe William & Nancy Turner FoundationMarc LalondeLapointe Magne et associésMac's Convenience StoresMarketelMichel NoëlPierre VézinaVézina, Dufault

$1,000 - $4,999

AXA CanadaDaniela ArendasovaJocelyn BeaudoinAlain BlaisJacques CotéYves DagenaisJovette DemersSuzanne DurandMarc GagnonDavid A. GilmourHyperion SolutionsMarie LangloisJohanne LaroseMonique LefebvreRobert C. NadeauHoward RichardYves RocrayStéphanie RoseChristophe RousseauMartin SaintongeAndré St-JeanMarie-Pier TurgeonRobert Villeneuve

December 2006

2002-2006 Fundraising Campaign$5,000,000 • Many thanks to all donors

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Donors of $5,000 and more

Cirque du Soleil Borden Ladner Gervais Ernst & Young Hunt Partners Industries Show Canada JTI-MacdonaldLerners LLP

Donors of $2,500 and more

Aéroports de Montréal Alcan BI&I Blake, Cassels & Graydon Bombardier aéronautique Caisse centrale Desjardins Caisse d'économie solidaire Desjardins Caisse populaire Desjardins de Saint-Michel CGI Claude Barry Cogeco Deeth Williams Wall Dessau Soprin DHL Execaire Farris, Vaughan, Wills & Murphy Fasken Martineau DuMoulin Hydro-QuébecGroupe Conseil GSD Imperial TobbaccoIrving Mitchell & Associates JD International Lectra Canada Léger Robic Richard s.e.n.c.r.l. The Forzani Group

Les industries Méta-For McCarthy Tétrault Mensi & Rioux Mercer, Human Ressource ConsultingMerrill Lynch Canada Microserv / IBM Pomerleau Power Corporation of CanadaPriceWaterhouseCoopers Rail-Term Admission OutletsRhô Robert Lepage Samson Bélair/Deloitte & Touche Solotech UBS SecuritiesValmont Nadon Excavation Vézina Dufault Womble Carlyle Sandridge & Rice

Sponsors

Musique PlusRythme FMIndustries LassondeMCI Canada

Product Partners

Vincent Lafleur TraiteurAeroplanImprimerie L’EmpreinteNayaSports ExpertsLes entreprises MarsolaisMcAuslan Brewery

Benefit Evening Donors 2006