Moriah College Foundation Limited and Its Controlled Entities for the Year Ended 31 December 2016

Moriah College Foundation Limited and its controlled entities For the year ended 31 December 2016

Moriah College Foundation Limited

ACN 162 505 722

Financial report for the year ended 31 December 2016

y Moriah College Scholarship Fund - ABN 53 701 605 442 y Moriah College Building Fund No.2 – ABN 77 419 506 763 y Moriah College Library – ABN 72 300 620 783 y Moriah College Foundation – ABN 53 670 925 736

Contents

Responsible Entities’ Report 1

Auditor’s Independence Declaration 7

Consolidated Statement of Profit or Loss and Other Comprehensive Income 8

Consolidated Statement of Financial Position 9

Consolidated Statement of Changes in Equity 10

Consolidated Statement of Cash Flows 11 Notes to the Consolidated Financial Statements 12

Responsible Entities’ Declaration 19

Independent Auditor’s Report 20 Moriah College Foundation Limited and its controlled entities 1 For the year ended 31 December 2016

Responsible Entities’ Report

The Responsible Entities’ of Moriah College Foundation Limited (‘the Foundation’) present their Consolidated Report together with the financial statements for the year ended 31 December 2016 and the Independent Audit Report thereon.

Responsible Entities details The following persons were Responsible Entities of the Foundation during or since the end of the financial year.

Brian Schwartz AM Stephen Jankelowitz FCA, FAICD BComm, CA, MAICD ŚĂŝƌŵĂŶĂŶĚ/ŶĚĞƉĞŶĚĞŶƚEŽŶͲǆĞĐƵƚŝǀĞ EŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ ŝƌĞĐƚŽƌ ,ŽŶŽƌĂƌǇdƌĞĂƐƵƌĞƌ Director and Chairman since June 2013 &ŝŶĂŶĐĞΘZŝƐŬŽŵŵŝƚƚĞĞŚĂŝƌ Director since June 2013 Brian is the non-executive chairman of Scentre Group and a non-executive director Stephen is a founding director of Ageis and deputy chairman of Westfield Advisors, a boutique multi-disciplined Corporation. Previously he was chairman of financial services firm specialising in IAG and Insurance Manufacturers of accounting, tax, legal, and family office for Australia Pty Limited from 2010 to 2016, private clients and their entities. Previously non-executive director of Brambles Limited, Stephen was a Director and CEO of a CBD and deputy chairman of Football Federation based Chartered Accounting and Tax Australia Limited for 11 years to end 2015. Advisory practice, where he was employed Brian was chief executive of Investec Bank for 16 years. Stephen is currently the Deputy (Australia) Ltd from 2005 to 2009 and Ernst President of Moriah College, having & Young from 1998 to 2004. Brian was previously served as its Treasurer for 6 years. appointed a Member of the Order of Australia in 2004 and in 2001 he was named Giora Friede Leading CEO for the Advancement of BEconSc Women by the Equal Opportunity for EŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ Women in the Workplace Agency. ŽůůĞŐĞWƌĞƐŝĚĞŶƚ Director since June 2013 Judy Lowy BA Giora’s career spans over 30 years in the EŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ technology and property fields. He is &ŽƵŶĚĂƚŝŽŶWƌĞƐŝĚĞŶƚ currently chairman of the privately-held Invespro Pty Ltd and Ultimate Football Pty ĂŶǀĂƐƐŝŶŐŽŵŵŝƚƚĞĞŚĂŝƌ Ltd. He also serves as a Non-Executive tŝůůƐΘĞƋƵĞƐƚŽŵŵŝƚƚĞĞŚĂŝƌ Director of Zeetings Pty Ltd, ScribblePost Director since June 2013 Pty Ltd, Ramp RFID Pty Ltd and is a Judy is the Founding President of The member of the Advisory Council of Edrolo Pty Ltd. Since November 2012 Giora has Moriah Foundation and a Director of Moriah served as the President of Moriah College and College since 2008. Judy has been involved in has been a Director of the College since 1999. Sydney’s Jewish community for over 25 years in both leadership and fundraising roles and has chaired several highly successful appeals.

Moriah College Foundation Limited and its controlled entities 2 For the year ended 31 December 2016

Cheryl Bart AO Bruce Fink BComm, LL.B, FAICD BBus /ŶĚĞƉĞŶĚĞŶƚEŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ /ŶĚĞƉĞŶĚĞŶƚEŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ ,ŽŶŽƌĂƌǇ^ĞĐƌĞƚĂƌǇ Director since June 2013 ůƵŵŶŝĞǀĞůŽƉŵĞŶƚŽŵŵŝƚƚĞĞŚĂŝƌ Director since June 2013 Bruce’s career spans over 30 years across various fields in the media and entertainment Cheryl is a lawyer and is currently a Non- industries, including out of home advertising, Executive Director of ME Bank, Football cinema exhibition and television production. Federation Australia, SG Fleet Ltd, Audio He is chair of the privately-held Bickham Pixels Holdings Ltd, TEDxSydney, Invictus Court Group of Companies that has a Games Sydney 2018, Prince's Charities diversified portfolio of investments. Bruce is Australia and the Australian Himalayan the Executive Chairman of Executive Foundation. Cheryl has previously served as Channel Holdings which he co-founded after Independent Non-Executive Chairman of successfully completing the sale of the group’s ANZ Trustees, the Foundation for Alcohol Australian operations in 2016. Executive Research and Education, and the South Channel is a digital communication business Australian Film Corporation. She has also with screens in office towers operating in the served as a Non-Executive Director on the UK, France, Germany, Belgium and Boards of the Australian Broadcasting Holland. Bruce’s philanthropic interests span Corporation, Spark Infrastructure Holdings both health and education in Australia and Ltd, South Australian Power Networks, and a abroad. He is an independent Non-Executive range of corporate, non-profit, and Director of the Children’s Medical Research government business enterprises. She is a Institute serving on several of its sub- member of CEW and YPO-WPO and Patron committees including Finance & Investment, of SportsConnect. Cheryl was appointed an Building Foundation, and Audit & Risk. Officer of the Order of Australia for her Bruce is a Chairman's Council Member of the services to business, cultural development, Australian Chamber Orchestra and he also the community and to sport. serves as the Immediate Past President of the United Israel Appeal NSW.

Jeremy Dunkel BComm, GradDipAppFin Ariane Fuchs /ŶĚĞƉĞŶĚĞŶƚEŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ BAppSc Director since June 2013 /ŶĚĞƉĞŶĚĞŶƚEŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ Director since February 2016 Jeremy is the Executive Director of the Orion Foundation, the chairman of Youth to Israel, Ariane’s fundraising and development a Director of the Education Heritage experience includes event, marketing and Foundation, a Director of AIJAC, and a sponsorship management at the Children’s Director of Australian Jewish Funders. He is Cancer Institute Australia and for the United a Non-Executive Director of Pengana Israel Appeal NSW. In a voluntary capacity, Capital. Jeremy’s accounting and finance experience includes working for Chase she has served as a Solicitation Chair for the Manhattan Bank, Price Waterhouse, and Annual Benefactors Dinner at The Heschel Taurus Capital. School, New York. Ariane is currently an independent Non-Executive Director of Youth to Israel.

Jonathan Gavshon BComm, MBA (INSEAD) Robert Gavshon /ŶĚĞƉĞŶĚĞŶƚEŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ BComm, LL.B DĂƌŬĞƚŝŶŐΘŽŵŵƵŶŝĐĂƚŝŽŶƐŽŵŵŝƚƚĞĞ EŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ ŚĂŝƌ ŽƌƉŽƌĂƚĞ^ƵƉƉŽƌƚĞƌƐŽŵŵŝƚƚĞĞŚĂŝƌ Director since February 2016 Director since June 2013

Jonathan is the General Manager of Group Robert migrated to Australia from South Homes Australia, a provider of care and Africa in 1978 where he was a partner in one accommodation for people living with of the largest law firms in that country. He is dementia. Previously Jonathan was Vice a Founder and Director of Quartet Ventures, President in J.P. Morgan's Equity Capital a private equity investor. Robert was a Markets division in New York and an significant shareholder of a number of private Investment Manager at Allegro Funds in and public companies including Barbeques Australia. Jonathan’s community experience Galore, Rebel Sport and Hi-Pages. In the last includes the development, launch and project decade he has been primarily involved in the management of The Shabbat Project in education sector and was a founding NSW/ACT, Executive Committee Member shareholder and chairman of Think: of Jewish Communal Appeal NSW/ACT Education Group and Open Colleges. (JCA), current Co-Chair of Jumpstart and Robert has extensive community experience. Founder and Chairman of The Observership Currently he is a Trustee of the Moriah Program. College Building Fund and a Past President of Moriah College.

Ian Fischl /ŶĚĞƉĞŶĚĞŶƚEŽŶͲǆĞĐƵƚŝǀĞŝƌĞĐƚŽƌ Director since June 2013 Resigned 31 December 2016

Ex-Officio Officers John Hamey BEd, MEd (Lead) ŽůůĞŐĞWƌŝŶĐŝƉĂů Appointed in February 2012

Rabbi Benji Levy BA (MediaComm) (Hons) DipEd ĞĂŶŽĨ:ĞǁŝƐŚ>ŝĨĞΘ>ĞĂƌŶŝŶŐ Appointed in March 2013

Joseph Herschel EMFIA, MAICD, MEd.Plus &ŽƵŶĚĂƚŝŽŶŝƌĞĐƚŽƌΘŽŵƉĂŶǇ^ĞĐƌĞƚĂƌǇ Appointed in February 2014

Principal activities The Foundation was incorporated on 6 June 2013 and began operating on 1 January 2015. The Foundation is a public company limited by guarantee incorporated under the Corporations Act 2001. The sole purpose of the Foundation is to act as trustee of the following entities (“the Foundation”): y Moriah College Scholarship Fund - ABN 53 701 605 442 y Moriah College Building Fund No.2 – ABN 77 419 506 763 y Moriah College Library – ABN 72 300 620 783 y Moriah College Foundation – ABN 53 670 925 736

The four entities where the Foundation acts as trustee were registered as charities with the Australia Charities and Not-for-Profits Commission (“ACNC”) between 24 November 2014 and 23 April 2015. The Foundation has been approved to prepare and file a joint financial report with the ACNC. The Foundation operates in New South Wales and holds a fundraising licence held under licence number CFN/23549. The four entities where the Foundation acts as trustee were endorsed as a Deductible Gift Recipient by the Australian Taxation Office between 28 July 2014 and 17 February 2015. During the year, the principal activities of the entities within the Foundation were to provide the resources through fund raising and development activities to assist Moriah College to achieve its vision as a modern orthodox Jewish Zionist day school. Such activities included appeals for buildings and facilities, scholarships, bursaries and financial assistance, library resources, and campaigns for bequests, endowment funds and corporate supporters. There have been no significant changes in the nature of these activities during the year.

Short-term objectives The Foundation’s short-term objectives are to provide funding for means-tested educational bursaries and financial assistance, scholarships, and additional funding to enrich students’ Moriah education.

Long-term objectives The Foundation’s long term objective is to assist in sustaining the future of Moriah College, including reduction in the College’s long term debt, so that future generations of Jewish students may benefit from a Moriah education.

Strategy for achieving these objectives To achieve these objectives, the Foundation had adopted the following strategies: y funding is sought from non-government sources using a diverse fundraising portfolio and applied to the benefit of students at Moriah College; y attracting, building and retaining a community of supporters as friends of Moriah College including past students, future, current and past parents, grandparents, families, friends, corporate and communal organisations; y the Foundation strives to attract and retain quality staff and volunteers who are committed to working to support the Foundation’s objectives, and this is evidenced by low staff and volunteer Moriah College Foundation Limited and its controlled entities 5 For the year ended 31 December 2016

turnover. The Foundation believes that attracting and retaining quality staff and volunteers will assist with its success in both the short and long term; y staff and volunteers work in partnership with a range of community stakeholders, and this is evidenced by ongoing support of the Foundation’s projects and initiatives. Together with Moriah College, the Foundation ensures community stakeholders understand and are committed to Moriah’s objectives through ongoing education in order for the projects to succeed; y the Foundation strives to effectively communicate to Sydney’s Jewish community and beyond the important role that Moriah College plays in upholding Jewish values and hence, Jewish continuity; y staff and volunteers are committed to creating new and maintaining existing programs that benefit the students of Moriah College. Committed staff and volunteers allow the Foundation the ability to engage in continuous improvement; y the Foundation’s staff and volunteers strive to meet consistent standards of best practice and provide clear expectations of professional accountabilities and responsibilities to all stakeholders. This is evidenced by the performance of staff and volunteers, being assessed based on these accountabilities, and ensures staff are operating in the best interests of Moriah College and its students; and y funds gifted are managed prudently in order to optimise long-term growth and security, ensuring that the funds are applied towards their designated purposes.

Meetings of Directors During the financial year, four (4) meetings of Directors were held. Attendances by each Director during the year were as follows:

Schedule of attendances at Board meetings during 2016

Name Eligible to attend Attended Brian Schwartz AM 4 4 Judy Lowy 4 4 Giora Friede 4 4 Stephen Jankelowitz 4 4 Cheryl Bart AO 4 3 Jeremy Dunkel 4 3 Bruce Fink 4 4 Ian Fischl 4 3 Ariane Fuchs 4 4 Jonathan Gavshon 4 4 Robert Gavshon 4 2

Operating results The Foundation made a net profit for the year of $1,132,624 (2015: $1,283,481)

Review of operations A detailed review of the operations of the Foundation is contained in the Chairman’s Report included in the full annual report of the Moriah War Memorial College.

Significant changes in state of affairs There were no significant changes in the state of affairs of the Foundation that occurred during the year.

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Level 17, 383 Kent Street Sydney NSW 2000

Correspondence to: Locked Bag Q800 QVB Post Office Sydney NSW 1230

T +61 2 8297 2400 F +61 2 9299 4445 E [email protected] W www.grantthornton.com.au

Auditor’s Independence Declaration To the Directors of Moriah College Foundation Limited

In accordance with the requirements of section 60-40 of the Australian Charities and Not- for-profits Commission Act 2012, as lead auditor for the audit of Moriah College Foundation Limited for the year ended 31 December 2016, I declare that, to the best of my knowledge and belief, there have been no contraventions of any applicable code of professional conduct in relation to the audit.

GRANT THORNTON AUDIT PTY LTD Chartered Accountants

A L Spowart Partner - Audit & Assurance

Sydney, 28 March 2017

Grant Thornton Audit Pty Ltd ACN 130 913 594 a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

‘Grant Thornton’ refers to the brand under which the Grant Thornton member firms provide assurance, tax and advisory services to their clients and/or refers to one or more member firms, as the context requires. Grant Thornton Australia Ltd is a member firm of Grant Thornton International Ltd (GTIL). GTIL and the member firms are not a worldwide partnership. GTIL and each member firm is a separate legal entity. Services are delivered by the member firms. GTIL does not provide services to clients. GTIL and its member firms are not agents of, and do not obligate one another and are not liable for one another’s acts or omissions. In the Australian context only, the use of the term ‘Grant Thornton’ may refer to Grant Thornton Australia Limited ABN 41 127 556 389 and its Australian subsidiaries and related entities. GTIL is not an Australian related entity to Grant Thornton Australia Limited.

Liability limited by a scheme approved under Professional Standards Legislation. Liability is limited in those States where a current scheme applies. Moriah College Foundation Limited and its controlled entities 8 For the year ended 31 December 2016

Consolidated Statement of Profit or Loss and Other Comprehensive Income

For the year ended 31 December 2016

Notes 2016 2015

Revenue 4 2,890,587 2,878,423 Bursaries awarded (1,562,945) (1,533,020) Prizes awarded (1,949) (11,039) Fundraising expenses (106,094) (43,615) Other expenses (86,975) (7,268) Surplus for the year 1,132,624 1,283,481 Other comprehensive income - - Total comprehensive income attributable to the members of the entity 1,132,624 1,283,481

This statement should be read in conjunction with the notes to the financial statements.

Moriah College Foundation Limited and its controlled entities 9 For the year ended 31 December 2016

Consolidated Statement of Financial Position

As at 31 December 2016

Assets Notes 2016 2015

Current assets Cash and cash equivalents 5 4,374,727 2,724,654 Trade and other receivables 6 16,215 3,897 Total current assets 4,390,942 2,728,551 Total assets 4,390,942 2,728,551 Current liabilities Trade and other payables 7 1,204,310 763,208 Other liabilities 8 350,471 571,612 Total current liabilities 1,554,781 1,334,820 Non-current liabilities Other creditors and accruals 7 - 110,250 Other liabilities 8 420,056 - Total non-current liabilities 420,056 110,250 Total liabilities 1,974,837 1,445,070 Net assets 2,416,105 1,283,481 Equity Bursary endowment reserve 9 1,151,000 500,000 Retained earnings 1,265,105 783,481 Total equity 2,416,105 1,283,481

This statement should be read in conjunction with the notes to the financial statements.

Consolidated Statement of Changes in Equity

For the year ended 31 December 2016

Bursary endowment Retained earnings reserve Total equity

Balance at 1 January 2016 1,283,481 500,000 1,283,481 Total comprehensive income for the year 1,132,624 - 1,132,624 Transfer (to)/from reserves (651,000) 651,000 - Balance as 31 December 2016 1,265,105 1,151,000 2,416,105 Balance at 1 January 2015 - - Total comprehensive income for the year 1,283,481 1,283,481 Transfer (to)/from reserves (500,000) 500,000 - Balance at 31 December 2015 783,481 500,000 1,283,481

This statement should be read in conjunction with the notes to the financial statements.

Consolidated Statement of Cash Flows

For the year ended 31 December 2016

Notes 2016 2015

Operating activities Receipts from: y fundraising 2,982,861 3,734,165 y other income 94,323 12,466 Payments to clients, suppliers and employees (1,427,111) (1,021,977) Net cash provided by operating activities 1,650,073 2,724,654 Net change in cash and cash equivalents 1,650,073 2,724,654 Cash and cash equivalents, beginning of year 2,724,654 - Cash and cash equivalents, end of year 5 4,374,727 2,724,654

Cash and cash equivalents 5 General cash balances 3,223,727 2,264,654 Endowment cash balances 1,151,000 500,000 Cash and cash equivalents, end of year 4,374,727 2,724,654

This statement should be read in conjunction with the notes to the financial statements.

Notes to the Financial Statements

1 General information and statement of compliance The financial report includes the financial statements and notes of Moriah College Foundation Limited (‘the Foundation’) and its controlled entities.

These financial statements are general purpose financial statements that have been prepared in accordance with Australian Accounting Standards – Reduced Disclosure Requirements and the Australian Charities and Not-for-profits Commission Act 2012. The Foundation is a not-for-profit entity for the purpose of preparing the financial statements.

The following entities are included within the consolidated group:

- Moriah College Scholarship Fund

- Moriah College Building Fund No.2

- Moriah College Library

- Moriah College Foundation

The consolidated financial statements for the year ended 31 December 2016 were approved and authorised for issue by the Board of Responsible Entities on 28 March 2017.

2 Changes in accounting policies 2.1 New and revised standards that are effective for these financial statements A number of new and revised standards are effective for annual periods beginning on or after 1 January 2016. The Foundation has considered all new Australian Accounting Standards issued up to the current reporting date and believe that they have no significant impact. The AASB has issued new and amended accounting standards and interpretations that have mandatory application dates for future reporting periods. The Foundation has decided against early adoption of these standards. At the date of authorisation of the financial report the Foundation has reviewed the standards and interpretations that were in issue but not yet effective and have concluded that they are not relevant to the financial report of the Foundation and therefore would have no impact.

3 Summary of accounting policies 3.1 Overall considerations The significant accounting policies that have been used in the preparation of these consolidated financial statements are summarised below.

The consolidated financial statements have been prepared using the measurement bases specified by Australian Accounting Standards for each type of asset, liability, income and expense. The measurement bases are more fully described in the accounting policies below. Moriah College Foundation Limited and its controlled entities 13 For the year ended 31 December 2016

3.2 Basis of consolidation The Foundation financial statements consolidate those of the parent company and all of its subsidiaries as of 31 December 2016. The Parent controls a subsidiary if it is exposed, or has rights, to variable returns from its involvement with the subsidiary and has the ability to affect those returns through its power over the subsidiary. All subsidiaries have a reporting date of 31 December. All transactions and balances between Foundation entities are eliminated on consolidation, including unrealised gains and losses on transactions between Foundation entities. Where unrealised losses on intra-group asset sales are reversed on consolidation, the underlying asset is also tested for impairment from a group perspective. Amounts reported in the financial statements of subsidiaries have been adjusted where necessary to ensure consistency with the accounting policies adopted by the Foundation. Profit or loss and other comprehensive income of subsidiaries acquired or disposed of during the year are recognised from the effective date of acquisition, or up to the effective date of disposal, as applicable. Non-controlling interests, presented as part of equity, represent the portion of a subsidiary’s profit or loss and net assets that is not held by the Foundation. The Foundation attributes total comprehensive income or loss of subsidiaries between the owners of the Parent and the non- controlling interests based on their respective ownership interests.

3.3 Revenue Revenue is recognised when the amount of revenue can be measured reliably, collection is probable, the costs incurred or to be incurred can be measured reliably, and when the criteria for each of the Foundation’s different activities have been met. Details of the activity-specific recognition criteria are described below.

Donations and bequests Donations collected, including cash and goods for re-sale, are recognised as revenue when the Foundation gains control, economic benefits are probable and the amount of the donation can be measured reliably.

Bequests are recognised when the legacy is received. Revenue from legacies comprising bequests of shares or other property are recognised at fair value, being the market value of the shares or property at the date the Foundation becomes legally entitled to the shares or property.

Interest and dividend income Interest income is recognised on an accrual basis using the effective interest method. Dividend income are recognised at the time the right to receive payment is established. All revenue is stated net of the amount of goods and services tax (GST).

3.4 Operating expenses Operating expenses are recognised in profit or loss upon utilisation of the service or at the date of their origin.

Salaries, wages and related on-costs for the Foundation during the financial year were paid by Moriah College and its controlled entities.

3.5 Income taxes The Foundation is registered with the Australian Charities and Not for Profits Commission and is thus a charity exempt from paying income tax.

3.6 Cash and cash equivalents Cash and cash equivalents comprise cash on hand and demand deposits, together with other short- term, highly liquid investments that are readily convertible into known amounts of cash and which are subject to an insignificant risk of changes in value.

3.7 Deferred income The liability for deferred income is the unutilised amounts of grants received on the condition that specified services are delivered or conditions are fulfilled. The services are usually provided or the conditions usually fulfilled within twelve (12) months of receipt of the grant. Where the amount received is in respect of services to be provided over a period that exceeds twelve (12) months after the reporting date or the conditions will only be satisfied more than twelve (12) months after the reporting date, the liability is discounted and presented as non-current.

3.8 Goods and Services Tax (GST) Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Tax Office. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the statement of financial position are shown inclusive of GST. Cash flows are presented in the statement of cash flows on a gross basis, except for the GST components of investing and financing activities, which are disclosed as operating cash flows.

3.9 Economic dependence The Foundation is dependent upon the ongoing receipt of Federal and State Government grants and community and corporate donations to ensure the ongoing continuance of its programs. At the date of this report management has no reason to believe that this financial support will not continue.

3.10 Critical accounting estimates and judgements The responsible entities estimates and judgements incorporated into the financial report are based on historical results and the best available current information. Estimates assume a reasonable expectation of future events and are based on current trends and economic data from internal and external sources. There are no significant estimates or judgements that are material and warrant disclosure.

4 Revenue The Foundation’s revenue may be analysed as follows for each major product and service category:

2016 2015

Revenue

Fundraising: y major gifts 1,445,418 1,415,259 y individuals and community groups 183,035 119,829 y charitable trusts and foundations 1,133,847 1,273,980 y corporate donors 31,500 50,000 y events 6,940 6,889 Membership fees 1,650 10,926 Interest and investment income 87,397 - Other/sundry income 800 1,540 2,890,587 2,878,423

5 Cash and cash equivalents Cash and cash equivalents consist the following:

2016 2015

Cash at bank 3,172,937 677,199 Restricted cash 1,151,000 500,000 Short term deposits 50,790 1,547,455 Cash and cash equivalents 4,374,727 2,724,654

As at 31 December 2016, cash and cash equivalents included $1,151,000 (2015: $500,000) of restricted cash in relation to The Romy Birnbaum Memorial Bursary Endowment Fund.

6 Trade and other receivables

2016 2015

Current Other receivables - 550 GST receivable 16,215 3,347 16,215 3,897

7 Trade and other payables Trade and other payables recognised consist of the following:

2016 2015

Current: y GST payable - 45 y Accrued expenses 24,990 70,496 y Payable to related entities 1,179,320 662,667 y Current liabilities - 30,000 Total current payables 1,204,310 763,208

Non Current: y other creditors and accruals - 110,250

Total trade and other payables 1,204,310 873,458

8 Other liabilities Other liabilities can be summarised as follows:

2016 2015

Deferred income 350,471 571,612 Other liabilities – current 350,471 571,612 Deferred income 420,056 - Other liabilities – non current 420,056 -

Deferred income consists of donations received in advance for bursaries and other support to be expensed by the Foundation in future years.

9 Endowment Fund Reserve Endowment funds are those funds received from donors which are restricted and remain unexpended. Investment income earned on such funds are to be used for student bursaries at the discretion of the Board.

10 Contingent liabilities There are no contingent liabilities that have been incurred by the Foundation in relation to 2016.

11 Post-reporting date events No adjusting or significant non-adjusting events have occurred between the reporting date and the date of authorisation.

12 Member’s guarantee The Foundation is incorporated under the Corporations Act 2001 and is a company limited by guarantee. If the Foundation is wound up, the constitution states that each member is required to contribute a maximum amount of $25 towards meeting any outstanding obligations of the entity. At 31 December 2016, the total amount that members of the Foundation are liable to contribute if the Foundation wound up is $50.

13 Fundraising The Foundation undertook fundraising appeals throughout the year and holds an authority to fundraise under the Charitable Fundraising Act 1991 (NSW). The Foundation has disclosed the fundraising income statement below.

Details of aggregate fundraising income and expense from fundraising appeals (from non-members)

2016 2015

Gross income from fundraising 2,885,261 2,867,497 Cost of fundraising 106,093 43,615 Net fundraising funds 2,779,168 2,823,882

Bursaries, scholarships, prizes and other distributions 1,564,894 1,544,059 Net surplus from fundraising 1,214,274 1,279,823

Salaries, wages and related on-costs for the Foundation during the financial year were paid by Moriah College and its controlled entities.

13.1 Accounting Principles and Methods adopted in Fundraising accounts The fundraising financial statements have been prepared on an accrual basis and in accordance with Australian Accounting Standards as per Note 2.

13.2 Information on Fundraising Activities The Foundation has included in the total cost of fundraising the administration expenses of the Foundation. The fundraising income only includes contributions made by non-members and hence the expense is prorated between the contributions made by members and non-members.

In the year ended 31 December 2016, the Foundation undertook a number of fundraising activities including appeals for the purposes of awarding bursaries and other means-tested financial assistance, subsidies to participate in the Israel Study Tour, maintenance of and improvements to the College’s facilities and infrastructure, awarding prizes and other merit-based awards and scholarships, and for the general purposes of providing Moriah College students with access to increased opportunities.

The Foundation has a diverse fundraising portfolio comprising many ways in which an individual, business or community group can get involved and donate. Fundraising activities included bequests, major gifts, grants from philanthropic trusts and foundations, corporate sponsorship and business donations, community fundraising and events, and gifts by individuals and families.

14 Related Party Disclosures The Directors of the Foundation during the financial year were:

Mrs C Bart Mr J Gavshon Mr J Dunkel Mr R Gavshon Mr B Fink Mr S Jankelowitz Mr I Fischl Mrs J Lowy Mr G Friede Mr B Schwartz Mrs A Fuchs

The following related party transactions occurred during the financial year:

Donations were received by the Foundation from the Directors of the Foundation under normal terms and conditions, amounting to $830,318.

In 2016 no directors have received or become entitled to receive a benefit, by reason of a contract made by the Entity or a Related Corporation with the Directors or with a firm of which they are a member or a director, or with a Company in which they have a substantial financial interest undertaken in the normal course of business at or less than competitive rates.

Salaries, wages and related on-costs for the Foundation during the financial year were paid by Moriah College and its controlled entities.

In 2016 the Foundation approved grants to the College, amounting to $1,589,696 (2015: $1,030,315), of which $1,179,320 was payable as at 31 December 2016 (2015: $662,667).

15 Company Details

The registered office and principal place of business of the Foundation is:

Moriah College Foundation Moriah College Queens Park Road QUEENS PARK NSW 2022

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Level 17, 383 Kent Street Sydney NSW 2000

Correspondence to: Locked Bag Q800 QVB Post Office Sydney NSW 1230

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Independent Auditor’s Report To the Members of Moriah College Foundation Limited

Auditor’s opinion We have audited the accompanying financial report of Moriah College Foundation Limited (“the Foundation”), which comprises the statement of financial position as at 31 December 2016, and the statement of profit or loss and other comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies and the Responsible Entities’ declaration.

In our opinion, the financial report of Moriah College Foundation Limited has been prepared in accordance with Division 60 of the Australian Charities and Not-for-profits Commission Act 2012, including: a giving a true and fair view of the Foundation’s financial position as at 31 December 2016 and of its financial performance for the year then ended; b complying with Australian Accounting Standards – Reduced Disclosure Requirements and Division 60 of the Australian Charities and Not-for-profits Commission Regulation 2013; c the financial report shows a true and fair view of the financial results of fundraising appeals conducted during the year; d the financial report and associated records have been properly kept during the year in accordance with the Charitable Fundraising Act 1991 and the regulations; e monies received as a result of fundraising appeals conducted during the year has been properly accounted for and applied in accordance with the Charitable Fundraising Act 1991 and its regulations; and Grant Thornton Audit Pty Ltd ACN 130 913 594 a subsidiary or related entity of Grant Thornton Australia Ltd ABN 41 127 556 389

Liability limited by a scheme approved under Professional Standards Legislation.

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f there are reasonable grounds to believe the Foundation will be able to pay its debts as and when they fall due.

Basis for auditor’s opinion We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of our report. We are independent of the Company in accordance with the auditor independence requirements of the Australian Charities and Not-for-profits Commission Act 2012 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of the Responsible Entities’ for the financial report The Responsible Entities of the Foundation are responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards – Reduced Disclosure Requirements, the Australian Charities and Not-for-profits Commission Act and the Charitable Fundraising Act 1991, and for such internal control as the Responsible Entities’ determine is necessary to enable the preparation of the financial report that is from material misstatement, whether due to fraud or error.

In preparing the financial report, the Responsible Entities are responsible for assessing the Foundation’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Responsible Entities either intend to liquidate the Foundation or to cease operations, or have no realistic alternative but to do so.

Those charged with governance are responsible for overseeing the Foundation’s financial reporting process.

Auditor’s responsibilities for the audit of the financial report Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report. Page 22

A further description of our responsibilities for the audit of the financial report is located at the Auditing and Assurance Standards Board website at: http://www.auasb.gov.au/auditors_files/ar3.pdf. This description forms part of our auditor’s report.

GRANT THORNTON AUDIT PTY LTD Chartered Accountants

A L Spowart Partner - Audit & Assurance

Sydney, 28 March 2017