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Competition Tribunal Tribunal de la Concurrence Reference: Commissioner of Competition v. Trilogy Retail Enterprises L.P., 2001 Comp. Trib. 6 File no.: CT2001003 Registry document no.: 3

IN THE MATTER of an application by the Commissioner of Competition for a consent order pursuant to sections 92 and 105 of the Competition Act, R.S.C. 1985, c. C-34;

AND IN THE MATTER of the acquisition of a majority share of Chapters Inc. by Trilogy Retail Enterprises L.P. and the proposed merger of Indigo Books & Music Inc. and Chapters Inc. and their respective affiliates, Indigo Online Inc. and Chapters Online Inc.

B E T W E E N: The Commissioner of Competition (applicant)

and Trilogy Retail Enterprises L.P. Chapters Inc. Indigo Books & Music Inc. (respondents)

Date of hearing by conference call: 20010419 Member: McKeown J. (Chairman) Date of order: 20010419 Order signed by: McKeown J.

ORDER REGARDING COMMENTS AND INTERVENTION

[1] FURTHER TO the application brought by the Commissioner of Competition (the "Commissioner") pursuant to sections 92 and 105 of the Competition Act, R.S.C. 1985, c. C-34 for a consent order directing the divestiture of certain assets and certain other remedies in respect of the acquisition of a majority share of Chapters Inc. by Trilogy Retail Enterprises L.P. and the proposed merger of Indigo Books & Music Inc. and Chapters Inc. and their respective affiliates, Indigo Online Inc. and Chapters Online Inc.;

[2] AND FURTHER TO the motion brought by the respondents, Trilogy Retail Enterprises L.P., Chapters Inc. and Indigo Books & Music Inc. for an order shortening the time period for filing comments and requests for leave to intervene from the 21 clear days specified in paragraph 65(2)(f) of the Competition Tribunal Rules to 10 clear days after publication of the consent application in the Canada Gazette;

[3] AND ON READING the notice of motion, the memorandum of argument and the affidavit of Ian Young dated April 17, 2001;

[4] AND ON HEARING the submissions of counsel for the respondents and for the Commissioner on Thursday, April 19, 2001, regarding the need for an expeditious disposition of the consent application.

[5] AND ON BEING SATISFIED that the present order should be rendered in this case; [6] AND FOR THE REASONS to follow shortly; THE TRIBUNAL ORDERS THAT: [7] The time period for filing comments and requests for leave to intervene stated at paragraph 65(2)(f) of the Competition Tribunal Rules is hereby waived. Any comments or request for leave to intervene in this matter shall be filed by 5:00 p.m. (EDT) on Tuesday, May 8, 2001.

[8] The time period for serving and filing a reply on the person who filed the comments stated at section 85 of the Competition Tribunal Rules is hereby waived. A party served with comments may serve a reply on the person making the comments and on each of the parties by 5:00 p.m. (EDT) on Friday, May 11, 2001. Any reply shall be filed with proof of service within the same time period.

[9] The time period for serving and filing a response on the person who filed a request for leave to intervene stated at section 87 of the Competition Tribunal Rules is hereby waived. A party served with a request for leave to intervene may serve a response on the person making the request and on each of the parties by 5:00 p.m. (EDT) on Friday, May 11, 2001. Any response shall be filed with proof of service within the same time period.

[10] A pre-hearing conference shall take place on May 15, 2001 at 10:00 a.m. at 600-90 Sparks Street, Ottawa, Ontario, to deal with any comments or requests for leave to intervene.

DATED at Ottawa, this 19 th day of April, 2001. (s) W.P. McKeown

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