2003 Annual Report - Enerflex

auditors’ reportTo the Shareholders of Enerflex Systems Ltd. We have audited theconsolidated balance sheets of Enerflex Systems Ltd. as at December31, 2003 and 2002 and the consolidated statements of income, retainedearnings and cash flows for the years then ended. These financial statementsare the responsibility of the Company's management. Our responsibility is toexpress an opinion on these financial statements based on our audits.We conducted our audits in accordance with Canadian generally acceptedauditing standards. Those standards require that we plan and perform an auditto obtain reasonable assurance whether the financial statements are free ofmaterial misstatement. An audit includes examining, on a test basis, evidencesupporting the amounts and disclosures in the financial statements. An auditalso includes assessing the accounting principles used and significantestimates made by management, as well as evaluating the overall financialstatement presentation.In our opinion, these consolidated financial statements present fairly, in allmaterial respects, the financial position of the Company as at December 31,2003 and 2002 and the results of its operations and its cash flows for the yearsthen ended in accordance with Canadian generally accepted accountingprinciples.(signed)Deloitte & Touche LLPChartered AccountantsCalgary, AlbertaFebruary 2, 2004Enerflex 2003 Annual Report54