CUT Annual Report 2011
The Annual Report is a premier publication that reports on institutional development and successes.
The Annual Report is a premier publication that reports on institutional development and successes.
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<strong>CUT</strong> ANNUAL REPORT <strong>2011</strong> | 79<br />
FINANCIAL HEALTH OF THE UNIVERSITY<br />
During <strong>2011</strong>, the University managed to operate within the expenditure guidelines set by <strong>CUT</strong> Council. As a<br />
result, <strong>CUT</strong> has been able to accumulate R 59.303 million to be reinvested in other items of expenditure, for<br />
instance in the academic sector.<br />
The cost of the salary bill has been a concern for several years. The restructuring of middle management, which took place in 2009, was<br />
intended to address this by having a positive impact on the salary budget. The budget proportion for salaries was increased from 61.74%<br />
in 2010 to 62.23% in <strong>2011</strong>. The reorganisation of all other staff levels will be finalised in the course of 2012 when all savings brought<br />
about by the restructuring will be realised.<br />
For <strong>2011</strong> the University was thus able to generate a surplus of R 59.303 million (2010: R76.040 million) due mainly to investment returns<br />
of R36.562 million and income from contracts of R19.762 million.<br />
Long-term investments grew by R6.453 million to R 169.781 million, while cash and cash equivalents decreased by R21.582 million to R<br />
202.699 million million for the year ending 31 December <strong>2011</strong>.This decrease in fund are attributable to payments to contractors on the<br />
DHET Infrastructure development project.<br />
The net asset position improved with an amount of R 86.046 million. Moreover, an unqualified audit report was received from the<br />
external auditors.
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