Financial Report Yr Ending 3.. - SHARKIES | Cronulla Sutherland ...

FINANCIAL REPORT FOR THE YEAR ENDED 31ST OCTOBER 2011
The Directors present their report, together with the financial statements on the company and its Controlled Entity for the year ended
31 October 2011.
The following persons were Directors of the company during the whole of the financial year and up to the date of this report, unless
otherwise stated:
DIRECTORS
Damian Irvine
Keith Ward
Ricky Surace
Paul Walker
Craig Douglas
Jenny Reynolds (Resigned 23 August 2011)
Denise Aldous (Resigned 23 August 2011)
James Barnett
Gregory Holland (Resigned 23 August 2011)
Jonathan Docking (Appointed 23 August 2011)
Peter Kerr (Appointed 23 August 2011)
Phillip Tiernan (Appointed 23 August 2011)
DIRECTORS REPORT
OBJECTIVES
The short-term objectives of the company are to:
• Optimise the Clubs net cashflows from its operations.
• Pursue the Part 3A Development Application over the Clubs properties.
• Ensure compliance with the finance facility, entered into with St George Bank.
• In the forthcoming year realise value created by the Part 3A process from the Clubs surplus property assets such as to allow
the club to reduce its total debt level to a more sustainable level.
• To continue to provide the benefits of a social club to its members.
• To continue to provide financial and non-financial support to the Football Club.
The Long-term objectives of the company are to:
• Improve the value of the Clubs property holdings through the completion of the Part 3A Application process.
• Realise value from some or all of the Clubs surplus property assets such as to allow the club to:
- Reduce and ultimately eliminate all banking and excess trading debts.
- Construct a social club venue which is attractive to members and is a benchmark for all entertainment venues in the Clubs
catchment area.
- Produce a financial return from the Clubs operations and from its property investments commensurate with maintaining
the competiveness of the Clubs operations and sustainable funding to the football club.
The short-term objectives of the Cronulla-Sutherland District Rugby League Football Club Limited (a controlled entity) are:
• To conduct its operations at the lowest viable cost structures whilst maintaining a competitive NRL squad with maximum
permissible NRL salary cap spend.
• To operate at a cash flow neutral or positive position.
The Long-term objectives of the Cronulla-Sutherland District Rugby League Football Club Limited (a controlled entity) are:
• To create a self-funding business model which requires no Leagues Club grants.
• To be a dominant force in the NRL with regular participation in the finals series.
STRATEGY FOR ACHIEVING THE OBJECTIVES
The company has adopted the following strategies:
• Securing ongoing financial funding from bankers through until the anticipated realisation of a part 3A development application
on the Club’s property holdings.
• The ultimate realisation of the property holdings is anticipated to allow the Club to eliminate its bank debts, improve its
trading revenues and the underlying cashflows.
• Continuing management focus on improving net revenues derived from all sources including pursuing promotional activities
designed to retain and build support from members and patrons.
• To build revenue opportunities for this Club through the Clubs association with the Football Club, the Rugby League and wider
sporting communities and Football Club sponsors.
2 CRONULLA-SUTHERLAND LEAGUES CLUB LIMITED & CONTROLLED ENTITY ABN 54 000 202 826