Annual Report and Statement of Accounts Year ended 31 December 2015 Incorporating Notice of the Annual General Meeting on 6 April 2016

Annual Report and Statement of Accounts

Notice of Annual General Meeting The Annual General Meeting of Essex County Club Limited will be held in the Woodland Group Pavilion Marquee, The Essex County Ground, New Writtle Street, Chelmsford on Wednesday 6 April 2016 at 7pm. AGENDA 1. Apologies for absence

2. Introduction by President

3. Minutes of the Annual General Meeting held on 16 April 2015

4. Presentation and Adoption of Annual Report and Statement of Accounts

5. Election of the President and Honorary Vice Presidents N.B. In accordance with the Constitution and Rules 9.1 and 10.2, nominations for the office of President had to be deposited by 1 February 2016 and the only nomination was received for Mr D J Insole CBE.

6. Result of General Committee Ballot

7. Appointment of Auditors

8. Ground Development update

9. Any other business

Please note it will be necessary to show your 2016 Member’s pass to gain admission to the Annual General Meeting on Wednesday 6 April 2016.

The bar will be open from 6:15pm. Refreshments will also be available.

D W BOWDEN Company Secretary 14 March 2016

VOTING MEMBERS OF THE CLUB In accordance with Rule 8.13, only Members who have paid their current 2016 subscriptions are eligible to vote at the meeting.

Junior Members, Clubs and Corporate Patrons are Associates and are not entitled to vote.

Essex Cricket is the trading name of Essex Club Limited.

www.essexcricket.org.uk 3 Annual Report and Statement of Accounts

The Club Officers and Committee

President: D J Insole CBE

Acting / Deputy Chairman: J L Faragher Treasurer: D L Acfield

Chief Executive: D W Bowden

HONORARY LIFE VICE PRESIDENTS: D L Acfield Mrs S Downing G F Harries B R Kemp B Taylor J F Barker D E East Sir Alan Haselhurst MP J R Lucas Miss C Ward K C Brown OBE Mrs S Edwards N R A Hilliard T W Newton D Wilson P R Butler J L Faragher N Hussain OBE C G J Porter Mrs J Carman K W R Fletcher OBE D J Insole CBE R J Poulter F Clark OAM G A Gooch OBE R C Irani P J Prichard B M Crawford M Gordon J Jarvis P T Roberts A F Debenham R J Greig P Keith G J Saville

Auditors: RSM UK Audit LLP, Chartered Accountants, Marlborough House, Victoria Road South, Chelmsford, Essex CM1 1LN

Club Captain: R N ten Doeschate. Limited Overs Captain: R S Bopara

GENERAL COMMITTEE: Retire 2016 Retire 2017 Retire 2018 D L Acfield R J Greig K Bailey J L Faragher R C Irani J F Barker M Smith P Northfield P R Butler D Wilson G J Saville N R A Hilliard W Haq B Solanki J Parke

COMMITTEES AND PANELS: General Executive Cricket Membership Audit & Investment

J L Faragher (Acting J L Faragher (Acting G J Saville (Chairman P Northfield D L Acfield (Chairman) Chairman) Chairman) to July 2015) (Chairman) P R Butler D L Acfield (Treasurer) D L Acfield (Treasurer) R C Irani (Chairman M Smith J L Faragher K Bailey P Northfield from Aug 2015) (Vice Chairman) N R A Hilliard J F Barker (Membership Chairman) D L Acfield (Vice D L Acfield (to Jan 2016) P R Butler P R Butler Chairman) J F Barker + D W Bowden R J Greig N R A Hilliard J L Faragher P R Butler W Haq (to Jan 2016) R J Greig J L Faragher N R A Hilliard G J Saville (Cricket N R A Hilliard R J Greig D J Insole (President) Chairman to July 2015) D J Insole N R A Hilliard R C Irani R C Irani (Cricket D Wilson J Parke P Northfield Chairman from Aug 2015) * K W R Fletcher B Solanki J Parke + D W Bowden * G A Gooch * P Faragher G J Saville + D W Bowden + D W Bowden M Smith + J S Foster (to Dec 2015) B Solanki + R N ten Doeschate D Wilson (from Feb 2016) * A Kennedy + A P Grayson + D W Bowden (to Sept 2015) + C E W Silverwood (from Dec 2015)

The President is an ex-officio member of the Committee and the Chairman, Deputy Chairman and Treasurer are ex-officio members of all Committees where they are not formally appointed members.

* Indicates a co-opted member of the Committee. + Indicates staff attending Committees who have no voting rights.

SENIOR MANAGEMENT: D W Bowden (Chief Executive), B W Elliott (Finance Director), G A Childs (Stadium Operations Director), D Feist (Head of Cricket Operations).

4 www.essexcricket.org.uk Annual Report and Statement of Accounts

Acting Chairman’s Report You will have read that in January this consistently have a majority of Essex bred Mark Pettini and Reece Topley, despite the year, after nearly fifteen years as our players. In parallel with this process, we offer of new contracts, decided to leave Chairman, Nigel Hilliard decided it must ensure that we have the necessary the Club at the end of the season. Mark, was the right time to step down and balance and experience within the squad, who made his debut in 2001, has joined let someone else lead the Committee. and I firmly believe that with the recent Leicestershire, where he was offered a three I know this was a difficult decision for signings, we have the squad ready to take year deal and the prospect of playing all Nigel to take, but he realised that with his our game to the next level. There is no three formats. Mark has been a loyal servant increasing business commitments, coupled better feeling than watching a young 17 to the County, and under his captaincy with numerous personal assignments, it year old Essex batsman score his maiden Essex won the was proving impossible for him to find First Class century, a young, novice Essex in 2008, and a promotion to Division I the time required to handle the role of bowler take 50 , or a young Essex in 2009. Reece has left the Club to join Chairman. Nigel has been an outstanding opening batsman score two unbeaten Hampshire, in order to further his Chairman, not only in his leadership of centuries in one game. ambitions. Reece made his First Class our Committee, but in representing Essex debut in 2011. His appearances for Essex at the ECB. His reputation with the other For 2016, will take have been somewhat limited since a stress County Chairmen was one of immense over from James Foster as Club Captain fracture in 2013 and again in 2014. This respect and this was clearly evident when and will lead the four day side. Since his year he has been carefully managed by he was elected to serve on the Board. debut in 2003, Ryan has been a firm our medical team to prevent a recurrence He has devoted his time, energy, and favourite at Chelmsford, and his all-round of the injury. We wish Mark and Reece support for Essex in so many ways; it’s skills, developed in both the domestic and every success with their new Clubs, but not quite amazing that he had the stamina international game, will ensure the Club against Essex I hasten to add! to maintain this level of commitment Captaincy is in the right hands. In James over such a long period. On behalf of the Foster we have the best wicketkeeper in At the end of the season the Club Committee and everybody associated with First Class Cricket – he’s not a bad batsman dispensed with the services of Monty Essex Cricket, a special thank you, it has either! We thank James for his tireless work Panesar, Matt Salisbury and Greg Smith as been a pleasure working with you. You will and efforts in leading the side for the past none had been able to hold a regular place be pleased to know that Nigel remains a 5 years, and we are pleased that James has in our side. We wish them every success in member of the General Committee. committed himself for two more seasons, the future. and we look forward to him continuing There is no doubt that 2015 has been to display his skills across all formats of Although the Club has reported a profit a year of change and transformation. the game. will lead the one for the year, we are still heavily dependent Unfortunately the year has passed without day side. Ravi, another firm favourite at on funding from the ECB. However, the trophies, despite some high quality and Chelmsford, brings a wealth of knowledge announcement of future international entertaining cricket. I think it is fair to and experience to the position, and we tournaments and venues has increased our say we lacked consistency across all three know he will lead the teams in his unique confidence that funding from the ECB will disciplines of , and fielding. style. Exciting times. continue for the foreseeable future. Income Our aim at the start of the season was to generation for us, as well as the other gain promotion to Division I. Finishing In September, Paul Grayson left the Club non-Test Match grounds is still dependent third, again, in Division II and two Quarter after 19 years as both player and Head on one day cricket, in particular the T20. Finals in the Limited Overs competitions Coach. He joined the County in 1996 Although hold the exclusive was a major disappointment. However, and played in 138 First Class matches. He rights until 2019, income from the T20 the key to our future success will be how became Head Coach in 2007, and led the currently comes through the gate and not we learn from past experiences and move team to the Friends Provident Trophy in from television. Rumours of an England forward. And move forward we will. 2008 and promotion to Division I in 2009. Premier League and franchised teams Essex Cricket thanks Paul for all his hard continue to appear in the media, but this is Our aim for this season is the same as work and support over 19 years and we something we do not support. The revenue 2015, to gain promotion to Division I. We wish him well in his new role at Durham generated from the T20 tournament is vital know that you need to be promoted with a University. for the future of our business, and must young, talented and continually improving not be lost to the fairytale dream of a city squad, and right now we have a group of Former England pace bowler Chris franchise. young players who are in this category, all Silverwood, Paul Grayson’s Assistant since hungry for success. Everyone associated January 2014, took control of the side for You will have read that the ECB has with the Club is hungry for success. the last few games of the season. One of announced a number of changes to Supported by our excellent Academy five on a short list, Chris was unanimously the structure of the domestic game for and Junior structure, we will continue to appointed Head Coach by the selection 2017. The main change in the County look for this through the development of panel in December. We wish him all the Championship will be Division 1 our own players, as our First Class sides very best in his new position at the Club. comprising of eight sides and the second

www.essexcricket.org.uk 5 Annual Report and Statement of Accounts

Acting Chairman’s Report (continued) Division consisting of ten, after one county During the season, Graham Saville, after 27 the season necessitated a complete has been promoted and two relegated this years relinquished the position of Chairman re-organisation of the Commercial year, before reverting to two-up, two-down. of the Cricket Committee. As Chairman, Department. Derek ensured that this It does mean one less home championship Graham, through his thorough knowledge was a seamless process, and the whole match for us. For the record we did not and awareness of the professional game, department is to be congratulated on support this change. However, the Club his understanding and skill in all aspects their performance in 2015 in growing our supports the need to evolve cricket in this of coaching and his passion and devotion revenue streams and continually improving country and as it’s an ECB decision, it is for the success of the Club, was able to lay our IT functions. I would like to thank our responsibility to implement the new the foundations and then build the style Stuart Kerrison and his team for all their structure as successfully as we can. of cricket that became the envy of the hard work, often in very challenging other counties around the country. He can situations, in preparing and maintaining our Members who visited the ground this past look back at what he has achieved with playing arena. Also Graham Childs and his summer will have seen the completion of pride and satisfaction. Although no longer team in the preparation and maintenance the first phase of the development, with Chairman of the Cricket Committee of the ground. A special thank you to John the apartments now ready for occupancy. he will continue to serve as member of With regard to the second phase, following Childs our Academy Director and Barry the General Committee. On behalf of a number of meetings with the developer, Hyam the leader of our Second XI, who everybody associated with Essex Cricket this will be placed on hold for another continue to recognise and develop our stars I would like to express our sincere thanks season. For the time being it is business as of the future, and to all members of the for all your time and effort in supporting usual. This gives us time to re-design the Committee, who willingly give their time, Club’s facilities in line with the revenue this Club. free of charge in serving our Club. generated by the sale of the apartments. Ronnie Irani was elected as Chairman of I know that every one of us, the players, We recognise that parts of the ground are the Cricket Committee. Ronnie needs the staff and our members are looking tired, and the facilities in the Pavilion are little introduction. He is remembered as forward to the new season with a sense outdated, and we know that this situation an outstanding Captain of the Club, a true of anticipation and excitement. I am must be addressed. However, before we leader in every sense of the word. In his sure we will be watching a successful agree to move forward we must ensure new role, Ronnie brings that same passion, Championship and Limited Over that financially, the project adds up. We commitment and desire to win, and I’m campaign, with our squad playing the kind will not place your Club at risk, we will sure the playing side of the Club’s business of entertaining cricket that is associated certainly not enter into loan agreements to will develop further under his direction. with Essex Cricket. finance any part of the development and then face the possibility of financial disaster I would like to place on record my later in the programme. Your Committee sincere thanks to our Chief Executive, will ensure that the Club does not take on Derek Bowden. The ground development any debt as a result of this work. We will project occupies much of his time, and J L Faragher provide regular updates on this topic. the resignation of Danny Macklin during Acting Chairman

6 www.essexcricket.org.uk Annual Report and Statement of Accounts

Treasurer’s Report After two years of losses, it makes a pleasant Profits from corporate hospitality rose year of £28K in keeping with the world’s change to report that the Club recorded a significantly compared to 2014 with stock markets but it is a well balanced profit in 2015. Australia and T20 accounting for the portfolio which continues to provide us lion’s share, as income rose from £407K to with a healthy income in this low interest Operating profit and investment income £530K. The increase in income is almost rate environment. As mentioned last year, it generated a profit before tax of£ 56,905 entirely down to the Australia match. is possible a small part of the capital may be compared to a loss last year of £286,495 – The same can be said for ticket sales. T20 used to bolster the playing staff but at least, an improvement of £343K. In both years income remained roughly the same as in unlike most other counties, we do have we have recorded profits on the disposal of other years but that is to be expected, given some reserves on which to fall back. the accumulated ground development costs, that most matches are sold out. together with the proceeds of the lease. The progress of the ground development The profits recognised in the accounts are Income from our catering joint will be covered in more detail in the Acting £210,899 this year and £130,757 last year. venture increased by over 70% to Chairman’s and Chief Executive’s reports £229K highlighting both the important but it needs to be repeated here that your These accounts represent the first prepared contribution of catering and hospitality Committee is still determined that we under the Financial Reporting Standard to our match day experience but also the should remain free of debt. FRS 102. The effect of this new standard potential that could be achieved in new is that our investments are now recognised improved facilities. There was a slight rise in On the surface, therefore, 2015 was a in the accounts at fair value, whereas the contribution from retail but, conversely, reasonably successful year with regard to previously they were recognised at historic that from the Cricket Centre declined, the Club’s finances. But for many years costs less provisions for losses on individual partly as a result of more internal use additional, unbudgeted grants or loans from holdings. The comparative figures have restricting the opportunities for generating the ECB have papered over substantial also been restated as required under FRS income from external use. cracks. Even in an Australian year and 102. The fair value loss on investments at excluding the profit from that match, just the year end date was £28,126. Any future Last year’s Report highlighted the over £300,000 was made available as one- increase or decrease in market conditions ever increasing cost of maintaining a off payments, increased payments in 2015 at the year end date will be recognised competitive squad of players, coaches and and also England representative payments, through the income and expenditure back room staff. It is no coincidence that which will not be repeated in 2016 so we account. Division I is now populated largely by the are looking at a substantial loss next year. big metropolitan counties who have far There are, however, encouraging signs that Once again the team maintained interest greater resources than the smaller, shire the loss may be reduced from the original in all three competitions without quite clubs. Test matches, ODIs and the ability budget and it is of course possible that achieving the all important promotion or to fill large grounds for the domestic history will repeat itself and the ECB will trophy and the efforts of our commercial one day competitions has resulted in the ride to the rescue but it would be unwise team continued to ensure that every rich growing richer. Keeping costs under to bank on it. opportunity to make money was grasped. control and living within our means yet at The key factors in this reversal of fortunes, the same time trying to bring success to the Finally, my thanks again to our Finance however, was the four day match versus Club becomes ever more challenging. Director, Bernard Elliott and his team for Australia which produced significant their excellent day to day management improvement in our results and also Administration costs were kept to a similar of the Club’s finances which continually additional ECB distributions. level as in the previous year and the provides your Committee with a clear increase in buildings and maintenance is picture in difficult times. The “Australia” effect may well have as a result of an increase in depreciation accounted for an increase in the income charges, together with an increase in utility from Membership compared with previous costs. Whilst the Ground will be rebuilt in years and it remains to be seen whether the the future, providing decent facilities and long term decline, discussed in last year’s an enjoyable experience for our spectators report, has been arrested. remains extremely important in this David Acfield seemingly endless limbo period. Net income from sponsorship and advertising showed a significant increase, As reported above, the accounting up £53K and we are still without a Ground treatment of our investments has changed Naming Sponsor which will, in future, add under the new FRS 102 and in 2015 our to the contribution from this area. investments showed a small loss over the

www.essexcricket.org.uk 7 Annual Report and Statement of Accounts

Statement of the Committee of Management’s Responsibilities

The Committee of Management are In preparing these financial statements, the The Committee of Management is responsible for preparing the Annual Committee of Management are required to: responsible for keeping proper accounting Report and the financial statements records that are sufficient to show and a. Select suitable accounting policies and in accordance with applicable law and explain the Society’s transactions and disclose then apply them consistently regulations. with reasonable accuracy at any time the b. Make judgements and accounting financial position of the Society and enable The Co-operative and Community Benefit estimates that are reasonable and them to ensure that the financial statements Societies Act 2014 requires the Committee prudent; comply with the Co-operative and of Management to prepare financial Community Benefit Societies Act 2014. They statements for each financial year which give c. Prepare the financial statements on the are also responsible for safeguarding the assets a true and fair view of the state of affairs of going concern unless it is inappropriate of the Society and hence taking reasonable the Society and of the profit or loss of the to presume that the Society will steps for the prevention and detection of Society for that period. continue in business. fraud and other irregularities.

8 www.essexcricket.org.uk Annual Report and Statement of Accounts

Chief Executive’s Report To quote Yogi Berra, a legend of US contractors to finalise plans for the next the London Stadium. Meetings between Baseball, “it’s like déjà vu, all over again”. phase of our development which, if all goes ourselves and the owners of the stadium well, will commence in October 2016. The have indicated a high level of interest As you are all aware, our performance last basic principles that we outlined last year to in creating a ‘Festival of Cricket’ at the season was remarkably like the year before Members still hold true, in that we wish the London Stadium. It is unlikely that this and indeed, the year before that. We once development to be completed in one phase will take place before 2017, but from a again came very close to promotion to without the requirement for the Club to commercial and profile point of view it is Division 1 and success, in at least one of leave the ground and that we wish the club something that we as a Club are extremely the two white ball competitions. However to remain debt-free. We are all working keen to make happen. This doesn’t detract sadly, as will have been commented on towards this objective. from our ambitions to develop the ground elsewhere in this report, we narrowly at Chelmsford, quite the reverse, it will missed out once again. As a result the Clearly, much has been written in the enhance it. Club decided that it was time to make media about the future of cricket in this some changes, and last year saw a major country. At the time of writing, a decision To conclude, we know we need to do restructuring of both cricket administration has just been made regarding the 2017 better but are hopeful that the changes and coaching here at the Club. As of today, cricket calendar. As expected, we have we have made will enable us to achieve we have a new Chairman of Cricket, a seen a decision to schedule ‘red ball’ and our objectives both on-field and off-field new Head Coach, a new Assistant Head ‘white ball’ cricket into distinct periods in during 2016. Thanks to you, our Members, Coach and two new Captains. We have the cricket calendar. This will see the 50 for your continued support. also been successful in attracting new Over competition running in April and players to the County to strengthen the May, the T20 Blast in July and August and STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS squad and are particularly pleased with four-day cricket spread across the season. the contract extensions committed to by The primary focus for these changes has The Committee members who were in key players. Whilst it’s clearly early days, been cricket driven, in that there is a desire office on the date of approval of these we are confident that the changes we have from the England Management to see financial statements have confirmed, as far made will improve our performance for focus on white ball and red ball cricket at as they are aware, that there is no relevant the season ahead. Time will tell, but I hope different times of the year combined with audit information of which the auditors that Members will appreciate that the Club a need to increase the amount of rest and are unaware. The Committee members has taken steps to increase our chances of recuperation that players get during the have confirmed that they have taken all success in achieving our stated aims. season. The big change for Members will the steps that they ought to have taken as Meanwhile, off-field, the Club continues be the change in structure driven by a Committee members in order to make to perform extremely well. Despite ‘two-down, one-up’ themselves aware of any relevant audit fluctuations in income from the ECB, our in 2016 leading to a first division of 8, and information and to establish that it has been Commercial revenues are moving in the a second division of 10 teams. This will communicated to the auditors. right direction. Whilst we don’t have the also result in fewer games being played AUDITORS advantage of an Australia game in 2016 as across the competition as a whole. I know we did in 2015, we are hosting Sri Lanka, this doesn’t sit well with many Members, A resolution to reappoint RSM UK Audit a Women’s T20 International and the Final but is a direct consequence of the need LLP (formerly Baker Tilly UK Audit LLP) for the newly created Women’s Super to play less cricket during a busy summer Chartered Accountants, as auditors will be League T20 Competition. This is testament schedule. It is expected that there will be put to the members at the Annual General to the respect in which the ECB hold the further changes to the T20 competition Meeting. Club, its Groundstaff and our ability to sell perhaps resulting in two divisions based out key competitions, thereby creating the on merit, rather that geography. We await atmosphere that SKY TV love to broadcast the outcome of further analysis by the and players love to play in. ECB designed to produce a competition that broadcasters wish to broadcast and 2015 saw the completion of the first phase supporters wish to watch. of our ground redevelopment here at the Essex County Ground. Block A is now Linked to initiatives taken by the game occupied and we are working closely with as a whole, we also continue to pursue Derek Bowden the developer, architects and building the idea of playing cricket in Stratford at Chief Executive

www.essexcricket.org.uk 9 Annual Report and Statement of Accounts

Independent Auditor’s Report to the Members of Essex County Cricket Club Limited

We have audited the financial statements on pages 11 to 26. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”. This report is made solely to the Society’s members, as a body, in accordance with the provisions of section 87 of the Co-operative and Community Benefit Societies Act 2014. Our audit work has been undertaken so that we might state to the Society’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept responsibility to anyone other than the Society and the Society’s members as a body, for our audit work, for this report or for the opinion we have formed.

Respective responsibilities of the Committee of Management and auditor As explained more fully in the Statement of the Committee of Management’s Responsibilities set out on page 8, the committee is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board’s (APB’s) Ethical Standards for Auditors.

Scope of the audit of the financial statements A description of the scope of an audit of financial statements is provided on the Financial Reporting Council’s website at http://www.frc.org.uk/auditscopeukprivate.

Opinion on financial statements In our opinion the financial statements: • give a true and fair view, in accordance with United Kingdom Generally Accepted Accounting Practice, of the state of the Society’s affairs as at 31 December 2015 and of its income and expenditure for the year then ended; and • comply with the requirements of the Co-operative and Community Benefit Societies Act 2014.

Opinion on other matters under the Co-operative and Community Benefit Societies Act 2014 In our opinion, the following continued to apply throughout the year of account: • the reason given by the Society’s Committee of Management in respect of a previous year of account for all subsidiaries listed in note 8 to the financial statements to not be dealt with in the financial statements (having been approved by the FCA under section 99, subsection (3)); and • the grounds given by the Society’s Committee of Management for that reason.

Matters on which we are required to report by exception We have nothing to report in respect of the following matters where the Co-operative and Community Benefit Societies Act 2014 requires us to report to you if, in our opinion: • proper books of account have not been kept by the Society in accordance with section 75; or • a satisfactory system of control over transactions has not been maintained by the Society in accordance with section 75; or • the income and expenditure account and the balance sheet are not in agreement with the books of account of the Society; or • we have not obtained all the information and explanations which, to the best of our knowledge and belief, we consider necessary for the purposes of our audit.

RSM UK Audit LLP (formerly Baker Tilly UK Audit LLP) Statutory Auditor Chartered Accountants Marlborough House Victoria Road South Chelmsford Essex CM1 1LN 15 March 2016

10 www.essexcricket.org.uk Annual Report and Statement of Accounts

Essex County Cricket Club Limited Income and Expenditure Account for the year ended 31 December 2015 2015 2014 NOTES £ £ £ £

Trading income 2 5,405,566 4,768,550

Expenditure 2 (5,382,917) (5,092,098)

Operating profit / (loss) 22,649 (323,548)

Interest receivable and similar income 3 34,256 37,053

Loss on sale of investments - (1,772)

Profit on sale of fixed assets 210,899 130,757

Fair value (loss) / gain 8b (28,126) 18,232 on fixed asset investments 217,029 184,270

Profit / (loss) on ordinary activities 4 239,678 (139,278) before taxation

Taxation 6 (118,521) 58,212

Retained profit / (loss) 16 121,157 (81,066) for the financial year

Total comprehensive income for the year 121,157 (81,066)

The income and expenditure account has been prepared on the basis that all operations are continuing.

www.essexcricket.org.uk 11 Annual Report and Statement of Accounts

Essex County Cricket Club Limited Balance Sheet as at 31 December 2015 2015 2014 NOTES £ £ £ £

Fixed assets

Tangible assets 7 1,716,204 1,851,514

Investments 8 1,246,445 1,274,571

2,962,649 3,126,085 Current assets

Stock 9 38,073 37,081

Debtors 10 1,022,606 757,083

Cash in hand and at bank 307,871 192,312

1,368,550 986,476

Current liabilities

Subscriptions and fees paid in advance 67,504 33,220

Creditors due within one year 11 791,998 1,194,031

859,502 1,227,251

Net current assets / (liabilities) 509,048 (240,775)

3,471,697 2,885,310

Deferred income 12 (465,491) (98,903)

Provision for liabilities and charges 14 (110,958) (12,323)

Net assets 2,895,248 2,774,084

Financed By:

Share capital 15 185 178

Accumulated fund 16 2,895,063 2,773,906

Shareholders’ funds 2,895,248 2,774,084

The Financial Statements on pages 11 to 26 were approved by the General Committee and authorised for issue on 14 March 2016 and are signed on it’s behalf by:

D W Bowden J L Faragher D L Acfield Company Secretary Acting Chairman Treasurer

12 www.essexcricket.org.uk Annual Report and Statement of Accounts

Statement of Changes in Equity Ordinary Accumulated share fund Total capital

£ £ £

Balance at 1 January 2014 186 2,854,972 2,855,158 Loss and total comprehensive income for the year - (81,066) (81,066) Transactions with members in their capacity as members Issue of shares 18 - 18 Redemption of shares (26) - (26) Total transactions with members in their capacity as members (8) - (8) Balance at 31 December 2014 178 2,773,906 2,774,084 Profit and total comprehensive income for the year - 121,157 121,157 Transactions with members in their capacity as members Issue of shares 30 - 30 Redemption of shares (23) - (23) Total transactions with members in their capacity as members 7 - 7 Balance at 31 December 2015 185 2,895,063 2,895,248

www.essexcricket.org.uk 13 Annual Report and Statement of Accounts

Essex County Cricket Club Limited Statement of Cash Flows for the year ended 31 December 2015 2015 2014 £ £

Cash flows from operating activities

Profit / (loss) for the financial year 121,157 (81,066) Adjustments for: Depreciation of tangible assets 153,722 90,140 Profit on disposal of fixed assets (210,899) (132,757) Loss on disposal of investments - 1,772 Amounts released from deferred income (33,412) (3,664) Fair value (loss) / gain on fixed asset investments 28,126 (18,232) Interest received (263) (351) Dividends received from fixed asset investments (33,993) (36,702) Taxation 118,521 (58,212) 142,959 (239,072) Increase in stock (992) (1,911) Decrease / (increase) in debtors 331,296 (178,929) Increase in creditors 15,955 93,568 Cash generated from / (used in) operations 489,218 (326,344) Corporation tax paid (409) 2,625

Net cash generated from / (used in) operating activities 488,809 (323,719)

Cash flows from investing activities Proceeds from sale of tangible assets - 177,000 Purchases of tangible assets (407,513) (272,352) Receipts from sale of fixed asset investments - 279,823 Payments to acquire fixed asset investments - (200,000) Interest received 263 351 Dividends received from fixed asset investments 33,993 36,702

Net cash (used in) / generated from investing activities (373,257) 21,524

Cash flows from financing activities Issue of ordinary share capital 30 18 Redemption of ordinary share capital (23) (26) ECB loan repayments - (110,000) ECB loan - 400,000

Net cash generated from financing activities 7 289,992

Net increase / (decrease) in cash and cash equivalents 115,559 (12,203)

Cash and cash equivalents at the beginning of the year 192,312 204,515

Cash and cash equivalents at the end of the year 307,871 192,312

14 www.essexcricket.org.uk Annual Report and Statement of Accounts

Essex County Cricket Club Limited Notes to the Accounts for the year ended 31 December 2015

1 ACCOUNTING POLICIES 1.1 GENERAL INFORMATION Essex County Cricket Club Limited (“the Company”) is a limited company registered under the Co-operative and Community Benefit Societies Act 2014. The Company is domiciled and registered in England. The address of the Company’s registered office and principal place of business is The County Ground, New Writtle Street, Chelmsford, Essex CM2 0PG. The Company’s principal activity is the operation of a professional cricket club and is one of the eighteen first class counties that compete in league and cup competitions in England by the England and Cricket Board (“The ECB”).

1.2 BASIS OF PREPARATION These financial statements have been prepared in accordance with FRS 102 ‘ The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (‘FRS 102’) and the requirements of the Co-operative and Community Benefit Societies Act 2014. The financial statements have been prepared on the historical cost basis except for the modification to a fair value basis for listed investments. These financial statements are the first financial statements of Essex County Cricket Club Limited prepared in accordance with Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (FRS 102). Some of the FRS 102 recognition, measurement, presentation and disclosure requirements and accounting policy choices differ from UK GAAP. Consequently, the Committee of Management have amended certain accounting policies to comply with FRS 102. The Committee of Management have also taken advantage of certain exemptions from the requirements of FRS 102 permitted by FRS 102 ‘Chapter 35 Transition to this FRS’. Comparative figures have been restated to reflect the adjustments made.

The financial statements are presented in sterling £( ), which is also the functional currency of the Company. The financial statements present information about the Society as an individual entity and not about its group. The Society has previously obtained permission under section 99, subsection (3) of the Co-operative and Community Benefit Societies Act 2014 not to prepare group accounts on the basis that the subsidiaries are dormant and not material for the purpose of giving a true and fair view. The Committee of Management believe that it is entitled to continue to apply that exemption in the current year.

1.3 GOING CONCERN After reviewing the Company’s forecasts and projections, the Committee of Management have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. The Company therefore continues to adopt the going concern basis in preparing its financial statements.

1.4 TANGIBLE FIXED ASSETS Tangible fixed assets are stated at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost of each asset to its estimated residual value on a straight line basis over its expected useful life, as follows: Freehold properties 2% - 10% on cost Other equipment 10% - 25% of additions at cost (based on estimated useful life of the asset) Motor vehicles 25% on net book value

All individual items under £1,000 are treated as revenue costs. No depreciation was provided on freehold buildings prior to 30 September 1980.

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1.5 IMPAIRMENT OF FIXED ASSETS An assessment is made at each reporting date of whether there are indications that a fixed asset may be impaired or that an impairment loss previously recognised has fully or partially reversed. If such indications exist, the Company estimates the recoverable amount of the asset. Shortfalls between the carrying value of fixed assets and their recoverable amounts, being the higher of fair value less costs to sell and value-in-use, are recognised as impairment losses. Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Reversals of impairment losses are recognised in profit and loss. On reversal of an impairment loss, the depreciation is adjusted to allocate the assets revised carrying amount over its remaining useful life.

1.6 GRANTS Grants received towards the construction costs of the Cricket School have been treated as deferred income. This is credited to the income and expenditure account on a straight line basis over 50 years, in line with the depreciation policy for this asset. Grants received from the ECB towards capital investment are credited to a deferred income account and released to profit or loss in line with the depreciation policy relating to the assets purchased, as disclosed under note 1.13. Amounts released to the profit or loss are disclosed in notes 4 and 12 to these accounts.

1.7 SUBSCRIPTIONS Subscriptions are credited in the year to which they apply. Life subscriptions are credited in their first year.

1.8 INCOME Income is stated excluding value added tax as appropriate. Income from marketing, matches, cricket operations and cricket centre are recognised when the substantial risks and rewards have been transferred.

1.9 BARTER TRANSACTIONS Turnover and costs in respect of barter transactions are recognised only where there is persuasive evidence of the value at which, if it had not been exchanged, the items would have been sold for cash in a similar situation.

1.10 TAXATION The tax expense represents the sum of the current tax expense and deferred tax expense. Current tax assets are recognised when tax paid exceeds the tax payable. Current tax is based on the taxable profit for the year. Taxable profit differs from the income and expenditure account because it excludes items of income or expense that are taxable or deductible in other periods. Current tax assets and liabilities are measured using tax rates that have been enacted or substantively enacted by the reporting date. Deferred tax is calculated at the tax rates that are expected to apply to the period when the asset is realised or the liability is settled based on the tax rates that have been enacted or substantively enacted by the reporting date. Deferred tax liabilities are recognised in respect of all timing differences that exist at the reporting date. Timing differences are differences between taxable profits and the income and expenditure account that arise from the inclusion of income and expenses in tax assessments in different periods from their recognition in the financial statements. Deferred tax assets are recognised only to the extent that it is probable that they will be recovered by the reversal of deferred tax liabilities or other future taxable profits. Current tax assets and current tax liabilities and deferred tax assets and deferred tax liabilities are offset, if and only if, there is a legally enforceable right to set off the amounts and the Company intends either to settle on a net basis or to realise the asset and settle the liability simultaneously.

1.11 RETIREMENT BENEFITS Defined contribution plans For defined contribution schemes the amount charged to income and expenditure is the contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments.

1.12 INVESTMENTS Investments held as fixed assets are classified as financial instruments and accounted for in accordance with the accounting policy at fair value through profit and loss as set out in accounting policy 1.17.

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1.13 ENGLAND AND WALES CRICKET BOARD (ECB) The Club accounts for income from the ECB on an accruals basis. Capital grants received are credited to a deferred income account and released to profit or loss in line with the depreciation policy relating to the assets purchased.

1.14 DONATIONS AND LEGACIES Donations and legacies are accounted for on a receivable basis.

1.15 OPERATING LEASES Rentals payable under operating leases are charged to the income and expenditure account on a straight line basis over the period of the lease.

1.16 STOCK Stock is valued at the lower of cost and net realisable value. Net realisable value is based upon estimated selling price less further costs expected to be incurred to completion and disposal. Provision is made for obsolete and slow-moving items.

1.17 FINANCIAL INSTRUMENTS The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘ Other Financial Instruments Issues’ of FRS 102, in full, to all of its financial instruments. Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument, and are offset only when the Company currently has a legally enforceable right to set off the recognised amounts and intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously. Financial assets Trade debtors Trade debtors which are receivable within one year and which do not constitute a financing transaction are initially measured at the transaction price. Trade debtors are subsequently measured at amortised cost, being the transaction price less any amounts settled and any impairment losses. Where the arrangement with a trade debtor constitutes a financing transaction, the debtor is initially and subsequently measured at the present value of future payments discounted at a market rate of interest for a similar debt instrument. A provision for impairment of trade debtors is established when there is objective evidence that the amounts due will not be collected according to the original terms of the contract. Impairment losses are recognised in profit and loss for the excess of the carrying value of the trade debtor over the present value of the future cash flows discounted using the original effective interest rate. Subsequent reversals of an impairment loss that objectively relate to an event occurring after the impairment loss was recognised, are recognised in profit or loss. Listed investments Listed investments are equity investments over which the Company has no significant influence, joint control or control and are initially measured at transaction price. Transaction price includes transaction costs, except where trade investments are measured at fair value through profit or loss when transaction costs are expenses to profit or loss as incurred. The fair value of listed investments quoted on a recognised stock exchange is the quoted bid price. Financial liabilities and equity Financial instruments are classified as liabilities and equity instruments according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities. Trade creditors Trade creditors payable within one year that do not constitute a financing transaction are initially measured at the transaction price and subsequently measured at amortised cost, being the transaction price less any amounts settled. Where the arrangement with a trade creditor constitutes a financing transaction, the creditor is initially and subsequently measured at the present value of future payments discounted at a market rate of interest for a similar instrument.

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1.18 CRITICAL ACCOUNTING ESTIMATES AND AREAS OF JUDGEMENT Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Critical accounting estimates and assumptions The Company makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. The only critical accounting estimates and assumptions made within these accounts relates to the carrying value of the ground development costs and the carrying value of assets that will have to be written off if the development goes ahead. The effect of these assumptions are disclosed in note 7 to these accounts. Critical areas of judgement The only critical area of judgement made in the preparation of these accounts, is that there is reasonable expectation that the ground development will take place, and as disclosed above and in note 7 to these accounts, costs have been capitalised on this basis and also disclosure made of the affect on current carrying values of fixed assets.

2 TURNOVER AND EXPENDITURE All turnover was generated within the United Kingdom. An analysis of the Company’s turnover by class of business is as follows:

2015 2014

£ £ £ £

INCOME COSTS NET NET

Membership 416,832 134,023 282,809 228,745 Marketing 761,938 414,503 347,435 217,365 Matches 1,384,994 551,509 833,485 624,461 Cricket operations 2,473,257 2,875,728 (402,471) (492,771) Cricket Centre 154,603 109,261 45,342 54,087 Retail shop 156,470 146,719 9,751 8,192 Rents receivable 52,239 - 52,239 28,416 Buildings - 519,282 (519,282) (423,625) Other Items 5,233 631,892 (626,659) (568,418) Total 5,405,566 5,382,917 22,649 (323,548)

3 INTEREST RECEIVABLE AND SIMILAR INCOME 2015 2014

£ £

Dividend income from fixed asset investments 33,993 36,702 Interest on bank deposits 263 351 34,256 37,053

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4 PROFIT / (LOSS) ON ORDINARY ACTIVITIES BEFORE TAXATION Profit / (loss) on ordinary activities before taxation is stated after charging / (crediting) the following:

2015 2014

£ £

Auditors remuneration - audit fee 15,100 15,100 Auditors remuneration - non audit fees 3,185 2,635 Depreciation of tangible fixed assets 153,722 90,140 Amounts released from deferred income (33,412) (3,664) Profit on disposal of tangible fixed assets - land and buildings (210,899) (130,757) Profit on disposal of tangible fixed assets within operating profit - (2,000) Loss on disposal of fixed asset investments - 1,772 Fair value loss / (gain) on fixed asset investments 28,126 (18,232) Stock: - amounts expensed to cost of sales 94,039 111,321

Other fees amounting to £2,700 (2014: £9,780) were paid to the auditors in connection with consultancy work relating to the ground development project and have been capitalised. See Note 7.

No member of the Committee received any remuneration or expenses for the performance of their duties.

5 STAFF COSTS Average number of people employed by the club, both full and part time, was as follows: 2015 2014

£ £

Playing staff 21 19 Coaches and scorers 6 6 Cricket operations and stewards 22 22 Ground operations and buildings 11 10 Marketing and sales 10 11 Cricket centre 16 16 Cricket Academy 4 4 Retail shop 5 5 Administration 10 11 Membership 3 3 108 107

Aggregate payroll costs

2015 2014

£ £

Wages and salaries 2,621,518 2,566,049 Social security costs 274,017 289,078 Other pension costs 160,144 149,460 Other costs 80,342 80,089 3,136,021 3,084,676

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6 TAXATION 2015 2014

£ £

Current Tax: UK corporation tax on profit / (loss) for the period 19,886 - Adjustments in respect of previous periods - (6,751) Total current tax 19,886 (6,751)

Deferred Tax: Origination and reversal of timing differences 72,483 (51,384) Prior year movement 26,152 (77) Total deferred tax 98,635 (51,461) Total tax on profit / (loss) on ordinary activities 118,521 (58,212)

Factors affecting tax charge for the period The tax assessed for the period is lower than the standard rate of corporation tax in the UK (20%). The differences are explained below:

Profit / (loss) on ordinary activities before tax 239,678 (139,278) Profit / (loss) on ordinary activities multiplied by the standard rate of corporation tax in the UK of 20% (2014:20%) 47,936 (27,856)

Effects of: Expenses not deductible / (income not taxable) for tax purposes 4,224 (31,267) Depreciation in excess of capital allowances (57,126) (11,602) Other short term timing differences (1,699) 5,770 Fixed asset timing differences 13,796 13,571 Chargeable gain 81,379 - Adjustment to tax charge in respect of previous periods 26,152 (6,822) Tax losses utilised 3,859 - Current tax charge / (credit) for the period 118,521 (58,212)

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7 FIXED ASSETS Freehold Land and Property

Stadium Cricket School Equipment Motor Vehicles Total £ £ £ £ £

Cost

Opening balance 1 January 2015 2,663,677 351,809 641,324 158,717 3,815,527 Additions 193,430 - 214,083 - 407,513 Disposals (389,101) - - - (389,101) Closing balance 31 December 2015 2,468,006 351,809 855,407 158,717 3,833,939

Depreciation

Opening balance 1 January 2015 1,173,744 194,270 469,724 126,275 1,964,013 Charge for year 39,659 6,644 99,308 8,111 153,722 Closing balance 31 December 2015 1,213,403 200,914 569,032 134,386 2,117,735

Net Book Value

31 December 2015 1,254,603 150,895 286,375 24,331 1,716,204

31 December 2014 1,489,933 157,539 171,600 32,442 1,851,514

The capitalised costs of the Ground Development Project were £184,720 in 2015, (2014 - £77,155) and costs disposed of were £389,101 (2014: £241,243) making a total of £207,065 (2014 - £411,446) which is included in Stadium. These capitalised costs are not being depreciated as they relate to assets not currently in use. The Club Committee understand that the current value of fixed assets,£ 747,353 (net of grants received of £95,239), will have to be written off if the development goes ahead. In view of the value of the new facilities being well in excess of this, the Club Committee consider it is not a necessity to make an impairment provision until contracts for development have been signed. Included in Stadium / Cricket School is freehold land of £355,841 (2014: £355,841) which is not depreciated.

8 INVESTMENTS 2015 2014

£ £

(a) INVESTMENTS IN SUBSIDIARIES (UNLISTED) 6 6

At 31 December 2015 the company held a 100% interest in the following subsidiaries, all incorporated in England and non trading: Class of Share Capital and Reserves (£) The Essex Shop Limited Ordinary 2 Essex County Cricket Club Nominees Limited* Ordinary 4 Essex Cricket Limited Ordinary 2 ECCC Limited Ordinary 2 Essex Eagles Limited Ordinary 2 Essex County Cricket Promotions Limited Ordinary 8 Essex County Cricket Club Enterprises Limited Ordinary 2

* Holds investments on behalf of Essex County Cricket Club Limited

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b) LISTED INVESTMENTS 2015 2014

£ £

Valuation

At 1 January 2015 1,274,565 1,337,928 Additions - 200,000 Change in value during the year (28,126) 18,232 Disposals - (281,595) Closing balance at 31 December 2015 1,246,439 1,274,565

TOTAL INVESTMENTS 1,246,445 1,274,571

The fair values of the listed equity investments are based on quoted market prices for the equity shares using the current bid price. If listed investments were stated on an historical cost basis rather than a fair value basis, the amounts would have been included as follows:

Cost

At 1 January 2015 1,033,691 1,043,862 Additions - 200,000 Disposals - (210,171) Closing balance 31 December 2015 1,033,691 1,033,691

Accumulated impairment

At 1 January 2015 10,515 14,493 Increase / (decrease) in impairment provision 8,478 (3,978) Closing balance 31 December 2015 18,993 10,515

Net book value at 31 December 2015 1,014,698 1,023,176

9 STOCKS 2015 2014

£ £

Goods for resale 38,073 37,081

10 DEBTORS 2015 2014

£ £

Trade debtors 185,982 262,291 Other debtors 778,745 421,156 Prepayments and accrued income 57,879 73,636 1,022,606 757,083

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11 CREDITORS DUE WITHIN ONE YEAR 2015 2014

£ £

Trade creditors 221,701 269,815 Other creditors 47,358 37,607 Corporation tax 16,296 - Other taxes and social security 134,015 166,774 Accruals 372,628 319,835 ECB loan - 400,000 791,998 1,194,031

The ECB loan does not bear any interest and the repayments are made by deductions from future ECB distributions. The loan was repaid on 14 January 2015.

12 DEFERRED INCOME 2015 2014

£ £

Capital grants 380,469 98,903 Other deferred grants 85,022 - 465,491 98,903 The following amounts are expected to be released within one year: Capital grants 5,078 3,664 Other deferred grants 85,022 - 90,100 3,664

13 FINANCIAL INSTRUMENTS 2015 2014

£ £

Financial assets measured at fair value through profit or loss (note 8) 1,246,439 1,274,565

Financial assets measured at amortised cost 1,272,598 873,469

Financial liabilities measured at amortised cost 641,687 1,027,257

Financial assets includes cash in hand and at bank and debtors (excluding taxation and prepayments). Financial liabilities is creditors due within one year less taxation.

14 PROVISIONS FOR LIABILITIES AND CHARGES Provision for deferred tax has been made as follows: 2015 2014

£ £

Accelerated capital allowances 75,593 61,797 Other timing differences (3,794) (3,980) Tax losses carried forward (30,012) (64,742) Capital gain rolled over 57,145 - Fixed asset investments at fair value 12,026 19,248 110,958 12,323 Provision at 1 January 2015 12,323 63,784 Deferred tax charge for the period 98,635 (51,461)

Provision at 31 December 2015 110,958 12,323 www.essexcricket.org.uk 23 Annual Report and Statement of Accounts – Notes to the Accounts

15 SHARE CAPITAL Shares are allotted to members not to associates 2015 2014

£ £

As at 1 January 2015: 3,556 Ordinary Shares of 5p each. 178 186

Redeemed during the year 455 Ordinary Shares of 5p each (23) (26) Allotted during the year 593 Ordinary Shares of 5p each 30 18 At 31 December 2015: 3,694 Ordinary Shares of 5p each 185 178

16 ACCUMULATED FUND 2015 2014

£ £

Balance at 1 January 2015 2,773,906 2,854,972 Retained profit / (loss) for the year 121,157 (81,066) Balance at 31 December 2015 2,895,063 2,773,906

The accumulated fund of the company represents the balance of accumulated profits reported through the income and expenditure account.

17 PENSIONS

Included in staff costs for the period is £160,144 (2014: £149,460) in respect of the Club’s contributions to staff and players group personal pension schemes. Amounts accrued for at year end were £18,078 (2014: £19,896).

18 RELATED PARTY TRANSACTIONS

The Club has a close association with Essex County Cricket Board Ltd (the Board), the organisation responsible for the development and promotion of recreational cricket in the county. Six representatives from the Club sit on that Board, who may or may not be serving members of the Club’s General Committee.

The Club underwrites the activities of the Board and provides accommodation, management, technical, secretarial and overhead support at a subsidised rate which varies from year to year. This amount depends on the level of sponsorship, fundraising or other financial support the Club or the Board are able to generate for the benefit of the Board.

The amount owed by the Board at the year end was £7,135 (2014: £1,856) which is included in other debtors.

Essex Cricket Foundation (ECF), formerly Essex Cricket and Community Trust, is the official charity of Essex Cricket. Two representatives from the Club are Trustees of the ECF, together with Graham Gooch and Derek Bowden, the Club Chief Executive is also Secretary of the Foundation.

The Club received a donation of £43,500 (2014:£58,000) from ECF for sponsorship of the Academy. The Club also paid for various items during the year on behalf of ECF that will be reimbursed by ECF. The balance owing to ECF at the year end was £4,961 (2014: £8,307).

The total remuneration of the directors who are considered to be the key management personnel of the Company was £349,743 (2014 : £349,659).

19 CAPITAL COMMITMENTS

Capital commitments contracted for but not provided in the financial statements amounted to£ Nil (2014: £15,000).

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20 CONTINGENT LIABILITY

During the year ended 31 December 2007, the Club entered into two contracts relating to the proposed redevelopment of the cricket ground. The nature of the contracts gives rise to potential contingent liabilities to the Club and potential impairment of the existing fixed assets. Further details are included in the Reports and note 7 to these accounts. As part of the ground development project, the Club is liable to pay a licence fee in relation to the existing council car park of £113,363 per annum. However, there is an agreement in place that the Club will be fully reimbursed for this expense by the developer once the next phase of the development of the development starts until completion of that phase.

21 CONTROLLING PARTY

There is not a controlling party for the club.

22 TRANSITION TO FRS 102

Changes for FRS 102 adoption

Listed investments are now accounted for at fair value under FRS 102, together with any adjustment for deferred tax, whereas previously they were accounted for at cost less provisions for losses where market value was less than cost.

Reconciliations and descriptions of the effect of the transition to FRS 102 on;

(i) the company equity at the date of transition to FRS 102 (ii) the company equity at the end of the comparative period; and (iii) the company profit or loss for the comparative period reported under UK GAAP are given below.

Under FRS 102, the Statement of Cash Flows presents changes in cash and cash equivalents (which include cash in hand, deposits repayable on demand and overdrafts and short-term, highly liquid investments), showing changes arising from operating activities, investing activities and financing activities separately. Under previous UK GAAP, the Cash Flow Statement presented changes in cash (which includes cash in hand, deposits repayable on demand and overdrafts) under headings of operating activities, returns on investments and servicing of finance, taxation, capital expenditure and financial investment, acquisitions and disposals, equity dividends paid, management of liquid resources, and financing.

Reconciliation of equity 31 December 1 January

2014 2014

£ £

Original shareholders’ funds 2,541,943 2,571,511 Investments restated at fair value 251,389 308,559 Deferred tax on investments restated at fair value (19,248) (24,912) Restated shareholders’ funds under FRS 102 2,774,084 2,855,158

Restated profit or loss for the year ended 31 December 2014 £

Original loss on ordinary activities before tax (82,108) Investments restated at fair value (57,170) (139,278) Original tax on ordinary activities 52,548 Deferred tax on investments restated at fair value 5,664 Restated tax on loss on ordinary activities 58,212 Restated loss for the financial year under FRS 102 (81,066)

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The Essex County Ground, New Writtle Street, Chelmsford CM2 0PG. Tel: (01245) 252420 www.essexcricket.org.uk

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