here - Kelvin Grove Club

1.CONTENT2 CHAIRMAN’S REPORT3 GENERAL MANAGER’S REPORT4 FINANCE AND ADMINISTRATION- Chairman’s Report5 - 7 NOTICE TO MEMBERS7 MEMBERSHIP ANALYSISfor the Year ended 28 February 20138 BALANCE SHEETas at 28 February 20138 RESTAURANT COVERS9 INCOME STATEMENTfor the Year ended 28 February 201310 CASH FLOW STATEMENTfor the Year ended 28 February 2013MAIN COMMITTEE 2012 / 2013PaulKramerJonEagarGuyMurcottDaveReynoldsRichardGildenhuysHeinrichGerstnerRuthGrunderGrahamMorrison

5.NOTICE TO MEMBERSIn terms of Rule 29, the Annual General Meeting isheld during the month of June to review the affairsof the Club, to consider any resolutions or motionsand to elect Members of the Committee.Members are warmly invited to attend the 88 th AnnualGeneral Meeting of Kelvin Grove Club, which willbe held in the Ballroom on Monday 3 June 2013 at18:00.PLEASE NOTE:MEMBERS WILL BE REQUIRED TO PRODUCETHEIR VALID MEMBERSHIP CARD TO GAINADMISSION TO THE MEETING.ANNUAL GENERAL MEETINGAGENDA1. The reports of the Club's Chairman will be receivedand discussed.2. An election will be held to fill two (2) vacancieson the Committee:Mr Heinrich Gerstner and Mrs Ruth Grunder,being the two longest serving members of theCommittee, will retire from office at the meetingin terms of Rule 2 (ii).Both Mr Gerstner and Mrs Grunder have madethemselves eligible for re-election withoutnomination (Rule 2(ii).3. No Resolutions concerning the affairs of the Clubhave been proposed or received.EXTRAORDINARY GENERAL MEETINGIn terms of Rule 29, the Committee hereby give noticethat an Extraordinary General Meeting will followimmediately after the Annual General Meeting hasbeen concluded.The object for which the meeting is being called isto consider and, where required, to vote on thefollowing motions:Please note: The following Motions have beenpublished in the exact wording as they werereceived from Members.Motions are set out as follows:AMENDMENT TO RULES1. RULE 24 - SUBSCRIPTIONS:1.Paragraph (iv) is similar in wording toparagraph (v).We would like to propose the deletion ofparagraph (iv) entirely and also delete thewording "on application in writing" inclause (v)Paragraph (iv) currently reads as follows:“On application in writing of any Ordinary orCountry Member who has been a Member ingood standing for:(a) Not less than 25 years and has attained theage of 65 years or(b) Not less than 20 years and has attained theage of 70 years(c) Has been a Member in good standing fornot less than 10 years and has attained theage of 75 yearsthe amount of the annual subscription payableby such Member shall be the Senior Membershiprate laid down in Appendix B to these Rulesand this will be an automatic processimplemented by Club Management relatingto (a), (b) and (c) above.”MOTIVATION:As both paragraph (iv) and paragraph (v) are

6.similar in wording, this causes confusion. TheCRM system automatically amends membershipcategories to reflect the Senior Member's rate onceall the above criteria has been achieved. It istherefore not necessary to receive application inwriting from a Member.2.Rule 24 - Paragraph (vi):Paragraph (vi) currently reads as follows:“On application in writing by a member whohas been a member for 50 years or more, theamount of the annual subscription payable bysuch a Member shall be frozen at the rate thenprevailing.”We propose this paragraph to read as follows:“A member who has been a member for 50 yearsor more, shall have the amount of their annualsubscription fee, frozen at the rate then prevailing.”MOTIVATION:The Club's CRM system freezes the Gold Cardrate automatically on the subscription fee of aMember who has been a Member for 50 years ormore. It is therefore not necessary to receiveapplication in writing from a Member.Proposer: # 3990 Mr Dave ReynoldsSeconder: # 10055 Mr Paul Kramer2. RULE 27 (v) - DISCIPLINE:Clause (v) currently reads:"A Member who is requested to resign or who isexpelled in terms of this rule shall be ineligiblefor re-election as a Member of the club"To be replaced as follows:"Any Member who has been requested to resignor who has been expelled may apply to the GeneralManager and/or the Committee for re-admissionas a Member of the Club and such person shallbecome a Member of the Club unless, theCommittee shall refuse such application only ongood cause shown, which consent shall not beunreasonably withheld and such person who hasso applied for re-admission shall be entitled towritten reasons from the Committee in this regard."MOTIVATION:1.This rule was framed in terms contrary to theConstitution 1996 because it provides for anabsolute prohibition on persons who have beenrequested to resign or expelled from everbecoming members again.2.The most fundamental purpose of the Bill ofRights in SA's new Constitution was to renderit unconstitutional for any provisions, even innational legislation, from having summaryprocedures applicable on procedures in of whichthe person who is the subject matter thereof nothaving any ability to influence the outcome.3.The advantage of this rule change is that:1. It brings this rule into line with theConstitution2. It preserves the ability of the committee torefuse re-entry to undesirable persons; and3. It affords the former member an opportunityto provide reasons to the committee whyhe/she should be re-admitted4. In this way the question of admission and/orre-admission will be based on objectivereasoning. It replaces non transparencywith constitutionally based transparency.Proposer: # 11317Seconder: # 8336Mr I D BainMr G L Carver3. RULE 42 - STAFF GRATUITIES:Proposal: That Rule 42 relating to "Staff Gratuities"be deleted entirely.In place of Rule 42, it is proposed that KelvinGrove Club adopts a policy whereby the voluntarytipping of serving staff is not prohibited in theBars and Restaurants of the Club.MOTIVATION:It will allow Members to directly express theirappreciation of the service provided by the staff,to the individual concerned. The amount of thevoluntary gratuity will be entirely at the discretionof the Member.

7.NOTICE TO MEMBERS(...continued)It will provide spontaneous and immediaterecognition for good service and will motivatethose staff members to "go the extra mile" in theperformance of their duties.Experience in the hospitality sector has shownthat service standards tend to improve and staffwill compete for the busiest shifts if the monetaryrecognition they receive makes it worthwhile.It will place the Club in a more competitive positionto attract high quality staff members if voluntarygratuities are allowed and the retention of the bestperforming staff would be enhanced.At present, tipping does take place and althoughit is punishable in terms of Rule 42, it is virtuallyimpossible to control. This proposal simply seeksto "de-criminalise" the practice.The F&B Committee to investigate theadministration logistics and the distribution of thetip.Proposer: # 3164 Mr Graham MorrisonSeconder: # 1631 Mr Colin BoyesMEMBERSHIP ANALYSISfor the Year ended 28 February 2013LOCAL GENDER AGE 2013 2012 Share 2013 ChangeLocal Member Adult 3,188 3,215 45% -27Senior 919 969 13% -50Local Total 4,107 4,184 58% -77Country/Absentee Member Adult 1,500 1,560 21% -60Country Total 1,500 1,560 21% -60Mixed Category Mixed Other 49 59 1% -10Under 30 1,103 1,080 16% 23Gold Card 267 264 4% 3Mixed Category Total 1,419 1,403 20% 16Summary by Age Senior 1,186 1,233 17% -47Adult 4,737 4,834 67% -97Under 30 1,103 1,080 16% 23GRAND TOTAL 7,026 7,147 100% -121

8.BALANCE SHEETas at 28 February 2013AssetsNon - Current AssetsProperty, plant and equipmentOther financial assetsCurrent AssetsInventoriesTrade and other receivablesCash and cash equivalentsTotal AssetsEquity and LiabilitiesReservesRetained incomeLiabilitiesCurrent LiabilitiesTrade and Other PayablesProvisionsTotal LiabilitiesTotal Equity and LiabilitiesRAND - 2013RAND - 2012000’s 000’s19,394,359 19,270,1884,040,052 4,469,89823,434,411 23,740,086800,199 737,2161,571,154 1,802,028974,572 626,1723,345,925 3,165,41626,780,336 26,905,502992,128 650,00016,900,515 16,578,48617,892,643 17,228,4868,688,230 9,421,023199,463 255,9938,887,693 9,677,0168,887,693 9,677,01626,780,336 26,905,502RESTAURANT COVERSActual2011/12Actual2012/13Budget2012/13Budget2013/14The Barn Restaurant 48 356 42 226 48 500 45 000The Terrace (including Sushi Bar) 28 340 26 756 28 350 28 350The Waterside 32 906 33 875 32 960 33 200The Coffee Shop 29 606 33 774 29 600 35 098TOTAL COVERS 139 208 136 631 139 370 141 628

9.INCOME STATEMENTfor the Year ended 28 February 2013Revenue:TURNOVERFoodBeverageLESS COST OF SALESFoodBeverageGROSS PROFITFoodBeverageCOST OF SALE-% TOTALFoodBeveragePLUS OTHER INCOMEOther IncomeSundry Revenue-Service ChargePLUS MEMBERSHIP INCOMEMembership IncomeGROSS OPERATING SURPLUSNON-OPERATING INCOMEPlus Interest & InvestmentsProfit(Loss) On Sale Of AssetsLESS EXPENSESPersonnel expensesHouse & Grounds ExpensesAdministrative expensesOffice expensesEntertainment & PromotionsF&B ExpensesRepairs & MaintenancePROFIT/(LOSS) TOTALActual 2012 Actual 20132013 Budget2014 Budget000’s 000’s 000’s 000’s21,457 20,847 22,945 23,34515,213 14,979 16,325 16,7406,244 5,869 6,620 6,605(7,881) (7,616) (8,538) (8,535)(5,408) (5,202) (5,872) (5,739)(2,472) (2,413) (2,666) (2,795)13,577 13,232 14,407 14,8109,805 9,777 10,453 11,0013,772 3,455 3,954 3,81036.7% 36.5% 37.2% 36.6%35.6% 34.7% 36.0% 34.3%39.6% 41.1% 40.3% 42.3%3,693 3,227 3,830 2,5302,018 1,623 1,998 1,7021,675 1,604 1,832 82812,869 13,865 13,913 15,92012,869 13,865 13,913 15,92030,139 30,323 32,150 33,260378 316 420 345327 297 370 32050 20 50 25(29,584) (29,975) (31,821) (32,689)(17,351) (17,568) (18,360) (19,166)(3,052) (3,121) (3,475) (3,398)(2,643) (2,813) (2,782) (2,955)(797) (725) (871) (741)(290) (303) (329) (337)(3,893) (3,795) (4,272) (4,219)(1,558) (1,650) (1,732) (1,874)933 664 749 917

10.CASH FLOW STATEMENTfor the Year ended 28 February 2013Cash flows from operating activitiesCash generated from operationsInterest incomeFinance costsNet cash from operating activitiesCash flows from investing activitiesPurchase of property, plant and equipmentSale of property, plant and equipmentSale of financial assetsNet cash from investing activitiesCash from financing activitiesNet movement of the other financial liabilitiesNet cash from financing activitiesTotal cash movement for the yearCash at the beginning of the yearTotal cash at end of the yearNOTERAND - 2013RAND - 2012000’s 000’s1,263,039 3,039,258296,521 327,374-8,032 -40,2081,551,528 3,326,424-1,683,116 -3,231,60650,142 53,922429,846 535,069-1,203,128 -2,642,615- -- 0348,400 683,809626,172 -57,637974,572 626,172NOTECash Generated from operationsSurplus before taxationAdjustments for:Depreciation and amortisationProfit on sale of assetsInterest receivedFinance costsMovement in provisionsOther non-cash itemsChanges in working capital:InventoriesTrade and other receivablesTrade and other payables664,157 933,1831,528,545 1,520,909-19,742 -50,190-296,521 -327,3748,032 40,208-56,530 251,000- --62,983 -40,280230,874 33,587-732,793 678,2151,263,039 3,039,258

Tel +27 (21) 689 9161 - Fax +27 (21) 689 3740Website: www.kelvingrove.co.za144 Campground Road, Newlands 7700 - Cape Town, South Africamembership@kelvingrove.co.za - accounts@kelvingrove.co.zabanqueting@kelvingrove.co.za