when determining the fair value of IPUC. These estimates are based on local market conditions existing at the reporting date. In arriving 
at their estimates of market values, the External Valuator uses their market knowledge and professional judgment and does not rely solely 
on historical transaction comparables. The critical estimates and assumptions underlying the valuation of investment properties and 
developments are set out in note 5.
Fair Value of Financial Instruments
Where the fair value of financial assets and financial liabilities recorded in the Notes to the Consolidated Financial Statements cannot be 
derived from active markets, they are determined using valuation techniques, including the discounted cash flow model. Inputs to these 
models are taken from observable markets where possible, but where this is not feasible a degree of judgment is required in establishing 
fair values. The judgments include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about 
these factors could affect the reported fair value of financial instruments.
Changes in Accounting Policies
The accounting policies applied during the year ended December 31, 2013 are consistent with those used in the audited consolidated 
financial statements for the year ended December 31, 2012, except for the following new and amended IFRS and International Financial 
Reporting Interpretations Committee (“IFRIC”) interpretations which were effective for periods beginning on or after July 1, 2012, and 
January 1, 2013:
IAS 1 ‑ Financial Statement Presentation (“IAS 1”) — Presentation of Items of Other Comprehensive Income (“OCI”)
The amendments to IAS 1 change the grouping of items presented in OCI. Items that could be reclassified (or recycled) to profit or loss 
at a future point in time (for example, upon derecognition or settlement) would be presented separately from items that will never be 
reclassified. The adoption of this standard did not have an impact on the Company’s financial position or performance.
76 Killam ProPerties inc | 2013