You know what, I just found out what our local importer sells his live rock for. I stand corrected, J&L isn't dumping the rock, but they are selling too cheap. In my opinion they should sell it for a little less than the going rate and sell the remainder to other stores at wholesale prices. I do know they were coming in way too high when the first got started - they were trying to sell the stuff for more than $5.00 wholesale. With the whole $2.00 live rock in the U.S., I'll bet you it's the bottom of the barrel or it has just become too competitive down there.
I have to tell you that stores in the lower mainland do not make money on livestock. If there was money to be made, don't you think someone would have come out with a livestock only retail store? Fish die, staff need wages, rent needs to be paid, interest and depreciation have to be accounted for on product, salt needs to be used, hydro needs to be paid, etc etc etc. You have to remember that having a store front is much more expensive than manufacturing skimmers and calcium reactors out of your home. How many reactors would you have to make per month to pay off the $11 000 rent on an 8000 square foot store, let alone your own wages. How many yellow tangs, or coral beauties do you have to sell to cover just the rent on 2000 square feet of holding tanks? If I account for a

10% death rate on yellow tangs which cost $9.00 and sell for them for $24.99 you would have to sell more than 200 yellow tangs a month - just to pay the rent on this space. Take in all the other costs of running a business and I hope you can see that livestock is not a money making commodity.
I'll also agree with you on the high costs of buying marine fish on the Island, I can only attribute this to the lack of any real competition for your major retail store over there.
I should have said we have it good here in Canada. Go down to Seattle and visit some stores. After the conversion to the Canadian dollar, and if you look at how much less our american retail friends pay for their livestock you'll see we're considerably less.