Western Australian Greyhound Racing Association

ANNUAL REPORT 2005/06 Greyhounds WA Cannington Corner Station Street and Albany Highway CANNINGTON WA 6107 Telephone: (08) 9458 4600 Fax: (08) 9458 5695

Greyhounds WA Mandurah Gordon Road MANDURAH WA 6210 Telephone: (08) 9581 7188 Fax: (08) 9581 7778

Greyhounds WA Northam Burwood Park NORTHAM WA 6401 Telephone: (08) 9458 4600 Fax: (08) 9458 5695

Page ii Contents

Charter...... 1 Information Technology ...... 28 Mission Statement ...... 1 Risk Management...... 28 WAGRA Committee ...... 2 Greyhounds As Pets ...... 29 Aims & Objectives ...... 3 Profi le of Employees by Category ...... 30 Chairman's Report ...... 4 Five Year Statistical Summary ...... 30 Chief Executive Offi cer's Summary ...... 6 Output Measures ...... 31 Organisation Chart as at 31 July 2006 ...... 8 Compliance Statements ...... 32 Functional Statement of Senior Offi cers ...... 9 Advertising Expenditure ...... 32 Public Sector Standards...... 32 Review of Operations ...... 10 Public Interest Disclosure...... 32 Oncourse Turnover ...... 10 Plan for Young People...... 32 Noise Simulator ...... 10 Waste Paper Recycling ...... 32 Dimmer Switches installed at Cannington ...... 10 Equal Employment Opportunity ...... 33 Cannington Club Lounge Roof ...... 10 Disability Services ...... 33 Starting Box Shelters...... 11 Freedome of Information ...... 33 Wednesday Punters Club ...... 11 Anti Corruption Commission ...... 33 WAGRA Consultative Committee ...... 12 State Records Act, Recordkeeping Plan ...... 33 RWWA Greyhound Racing Consultative Group ...... 12 Income Statement for year ended 31 July 2006 ...... 34 RWWA Grading Review Panel ...... 12 Balance Sheet for year ended 31 July 2006...... 35 WAGBOTA ...... 12 Cash Flow Statement for year ended 31 July 2006...... 36 RWWA Board Representation ...... 12 Notes to and forminig part of the Financial Statements Cannington Highlights ...... 13 for year ended 31 July 2006 ...... 37 Appealathon Cup ...... 13 Reconciliation of Income Statement for year ended 31 July 2005 Canning Show ...... 13 GAAP July 2004 ...... 52 Carols at Cannington ...... 13 GAAP July 2005 ...... 53 New Year's Eve ...... 14 Note to the opening balance sheet Autumn Chasing Carnival ...... 15 for year ended 30 June 2006...... 54 Cannington Awards 2005 ...... 15 Reconciliation of Equity for year ended 31 July 2005...... 55 Mandurah Awards 2005 ...... 15 Reconciliation of Cash Flow Statement Northam Awards 2005 ...... 15 for year ended 31 July 2005 ...... 56 Sky Channel Perth Cup Night ...... 16 Sky Channel Perth Galaxy...... 16 Certifi cation of Financial Statements ...... 57 Schweppes WA Greyhound Of The Year...... 17 Auditor General's Scope & Opinion ...... 58 Key Performance Indicators ...... 59 Schweppes WA Oaks Final ...... 18 Attendance at Race Meetings...... 59 Britton's Formal Wear WA Derby ...... 18 Oncourse Totalisator Turnover ...... 60 Lew Dorsa Memorial Trophy...... 18 Offcourse Totalisator Turnover ...... 60 Paradise Street Trophy ...... 18 Racing Opportunities ...... 61 Puppy Club ...... 19 Average Stakemoney Paid/Meeting ...... 61 Nova 93.6FM Greyhound Pup ...... 19 WAGRA Costs per $000 of Betting Turnover ...... 62 Schweppes Western Shootout II ...... 20 Certifi cation of Performance Indicators ...... 63 Sales & Marketing ...... 21 Auditor General's Scope & Opinion ...... 64 Mandurah Operations ...... 22 Wheels For Shane ...... 23 Mandurah Highlights...... 24 "The Schweppes" ...... 24 Mandurah Oaks ...... 24 Mandurah Derby ...... 24 Mandurah Redevelopment ...... 25 New Mandurah Kennel Block ...... 25 New Broadcast Facility ...... 25 New Mandurah Track...... 26 Avon Valley Greyhound Racing Association ...... 27 Northam Anniversary Cup...... 27 Change of Race Days...... 27

Page iii Western Australian Greyhound Racing Association Annual Report 2005/2006

Charter Mission Statement

The Western Australian Greyhound Racing Association WAGRA’s stated mission is to: (WAGRA) is established under the provisions of the West- ern Australian Greyhound Racing Association Act 1981 and • Achieve sustainable profi t to invest in the development is a body corporate. of greyhound racing facilities in Western Australia.

With the inception of controlling authority Racing & Wager- • Be affordable and accessible for industry participants, ing Western Australia (RWWA) and for the purpose of its patrons and members. role in the state’s racing industry, WAGRA assumes the status as “designated greyhound racing club”. • Provide an exciting entertainment product.

The functions of WAGRA are to: WAGRA’s present tasks are to:

• Provide for the optimum level of facilities as well as • Ensure the operation and development of Greyhounds racing and trialling opportunities for the Association's WA venues are recognised as premier racing facilities industry participants. within Australia.

• Consult with the controlling authority on all issues • Raise the profi le of the sport and the industry. relative to greyhound racing inclusive of the racing programme and the review of stakemoney levels. • Provide convenience and comfort to patrons.

• Provide an optimum level of facilities for the Associa- • Focus on the delivery of quality service and standards tion's oncourse patrons. to both internal and external customers.

• Exercise and discharge such powers, functions and • Maximise sustainable growth in returns from the duties as are conferred on the WAGRA by this Act or RWWA Distribution, food & beverage sales and on- any other Act. course wagering and gaming operations.

• Explore and develop additional revenue streams.

Page 1 Western Australian Greyhound Racing Association Annual Report 2005/2006

WAGRA Committee

CHAIRMAN Patricia Tassell Managing Director Appointed to WAGRA Committee 31 August 2004 (Chairman from 28 April 2005) for a term expiring 31 December 2006.

DEPUTY CHAIRMAN COMMITTEE Ray Whitby MEMBER Semi-retired/Importer Michael D Penson Appointed to the WAGRA FCMA FCPA FCIS Committee 27 April 2004 Accountant (Deputy Chairman from 21 Appointed to the WAGRA August 2004) for a term ex- Committee 28 April 2005 for piring 31 December 2006. a term expiring 31 Decem- ber 2007.

COMMITTEE COMMITTEE MEMBER MEMBER Margaret Choules Tony Glenny Long-term greyhound Long-term greyhound industry participant. industry participant. Re-appointed to the Appointed to the WAGRA WAGRA Committee 2 June Committee 1 June 2005 for a 2006 for a term expiring term expiring 31 December 1 June 2008. 2007.

Page 2 Western Australian Greyhound Racing Association Annual Report 2005/2006

Aims & Objectives

• In consultation with RWWA, develop and imple- ment strategies to ensure the long-term growth and continued success of greyhound racing in Western Australia.

• Provide and maintain an effi cient administration to service and support the needs of participants within greyhound racing and the general public.

• Ensure appropriate mechanisms are in place and fo- rums established to allow input into the club’s conduct of greyhound racing.

• Provide a range of services and facilities for the benefi t of industry participants and the general public.

• Provide training for all WAGRA personnel to ensure continuously improving delivery of customer service.

Page 3 Western Australian Greyhound Racing Association Annual Report 2005/2006

Chairman's Report

As Chairman of the Western Australian Grey- tomer service focus, the number of repeat patrons hound Racing Association it is my pleasure on is just as heartening as the many new faces, behalf of fellow Committee members to report young and old, that are experiencing greyhound a profi t of $7,347 for the year ended 31 July racing for the fi rst time. 2006. The exciting prospect of racing at the redevel- Although the Association’s profi t is moderate it oped Mandurah venue within three months of does represent a signifi cant turnaround from the next season with its ultra-modern racetrack and previous 12 months. It will be the Association’s state of the art kennel facility must also broaden continuing task to make our operations more our appeal in a fast growing and entertainment effi cient and cost effective so as to best position hungry location. us in a competitive racing and entertainment The new 603m circumference track will feature marketplace. the starting distances of 302m, 405m and 492m I have been particularly pleased with progress made in and a stayer’s journey of 647m making it the showpiece many areas of our core business and the improved fi nan- track of Australian racing. cial result has largely been made possible by continuing upward trend of TAB turnover and growing on-course The 15 bay kennel block became operational in February revenues. We also acknowledge the wonderful support allowing for an increased number of races to be held, fur- that Racing and Wagering Western Australia has provided ther boosting turnover and making it more cost effective for the Association both fi nancially and operationally. Greyhounds WA to conduct race meetings. In the period under review, off-course wagering on local The project also includes a new vet's and stewards' room, greyhound events eclipsed $50 million - a fi gure that repre- trainers' car park, associated roads and paths, new en- sents a 27% increase over the past two years - with almost trances, semaphore board, raised stir-up and undercover $20m invested on Cannington, $27.3 m on Mandurah and wash bays. The upper level grandstand has been extended nearly $3m on Northam chasing. On-course fi gures also to accommodate a new judge’s box, commentary area, refl ected the growing popularity of greyhounds as a betting lure driver’s room, camera and chief steward’s position. product with $7.9m invested across our three venues - up Most of the project has been funded from the Association’s from $6.95m in 2004/05 and $6.13m in 2003/04. reserves however we were approved for a RWWA grant totalling $750,000, of which $500,000 will be forthcoming The impressive betting fi gures are indicative of growth on completion of the track in late October 2006. that has occurred throughout all sections of our industry. In 2005/06 we witnessed evidence of an industry bursting My Committee remains very conscious of the demands that at the seams, with record stakes accompanying record a booming industry places upon existing resources and it participation levels. will remain one of our primary focuses to best manage such a robust and rapid expansion. At the same time we are In the year more than $6.59m was paid in prizemoney excited about the untapped potential that exists in the mar- across the 260 race meetings held representing an av- ketplace and opportunities this provides for the future. erage of more than $25,000. This fi gure is 20% greater than average stakes paid in the corresponding 12 months I would like to take this opportunity to thank chief executive across all three WA venues. offi cer David Simonette, his Management team and staff for the enthusiasm and expertise they have displayed during The number of litters registered (112), pups born (609), the past year. They have worked diligently to capitalise on greyhounds that raced (1732), starters (24,468), number a buoyant economy and resurgence in all codes of racing of greyhounds in training (1607) and number of racing as evidenced by another record turnover for Racing and opportunities (3,118 races) are at all-time highs. Wagering Western Australia. Attendances to our venues at Cannington and Mandurah The RWWA Board and Management have continually are likewise on the increase with a change of Cannington shown their willingness to understand and assist our grey- race nights from Thursday to Wednesday, and the provi- hound industry whenever possible. In particular my grati- sion of free entry for midweek race meetings among the tude is extended to Chairman Mr Ross Bowe and his Board, reasons for this. chief executive Mr Ray Bennett and senior executives Mr Supported by an attractive food and beverage and cus- Ken Norquay and Mr Mark Bottcher. RWWA members

Page 4 Western Australian Greyhound Racing Association Annual Report 2005/2006

Chairman's Report Continued ...

Messrs Geoffrey Martin (Board Member), Lindsay Archer (Alternative Member) and Ted Karasek (Selection Panel) were re-elected by the greyhound industry July 2006 and have provided advice and support throughout the year. I would also like to acknowledge Minister for Racing and Gaming, Mr Mark McGowan and senior offi cers of his department on the signifi cant role they have played in facilitating the regeneration of the whole of racing industry in WA. My thanks to Director General of the Department of Racing, Gaming and Liquor Mr Barry Sargeant and his personnel for their advice, support and guidance offered to our As- sociation. I wish also to recognise the valuable contribution of the WAGRA Consultative Committee, West Australian Grey- hound Breeders Owners Trainers' Association and Avon Valley Racing Greyhound Association, along with the wonderful co-operation of the greyhound racing industry participants throughout the past year.

Patricia Tassell Chairman

Page 5 Western Australian Greyhound Racing Association Annual Report 2005/2006

Chief Executive Offi cer's Summary

Media support through print, television and radio has played a major role in this perception change led by The West Aus- tralian, Channel Ten, Nova 93.7, Community Newspapers and Racing Radio 1206. This has translated into greater patronage of our venues and assisted event promotions such as Western Front, Carols at Cannington and the Schweppes Western Shoot- Out to reach a primarily non- racing market. The record at- tendance experienced on the evening of the SKY Channel It gives me great pleasure to present the Chief Executive’s Perth Cup when more than 5,000 people of all ages came Summary on behalf of the Western Australian Greyhound to Cannington was refreshing in the fact that greyhound Racing Association for 2005/06. racing showed it retained the ability to recapture big crowds The year will be viewed as a most positive period with of the past if the product is good and the offer is adequately momentum in all areas of the greyhound industry. Growth conveyed. in stakemoney, improvements in infrastructure, increased Last March, SKY Channel secured the naming rights until racing opportunities, growing attendances and revenues 2010 of our two richest sprint and distance events, the Perth have all contributed to a buoyant mood among participants Cup (530m) and Galaxy series (715m), in a deal that is and a willingness to commit and reinvest into the future. fi nancially lucrative and certainly a great promotional boost Racing and Wagering Western Australia (RWWA) should to future Autumn Chasing Carnivals. be applauded for their efforts in laying the foundations Our Sales and Marketing Department have done extremely for much of this confi dence and the provision of a clear well during the past year, achieved without the assistance of directional path for all stakeholders. Since the formation an outside professional marketing and advertising agency of RWWA and their responsibility for controlling authority as had been the case for the past 15 years. Manager aspects, Greyhounds WA has greater energy and resources Fernando Spensieri and his team should be congratulated to concentrate on venue and event management, and the on some bold initiatives that have paid handsome dividends delivery of customer service. and with some further fi ne-tuning in the areas of advertis- Record fi gures in attendances, food and beverage, and on- ing expenditure and event provision I expect next year to and off-course tote turnover has given Greyhounds WA the be even better. revenues to build a strong platform for future growth. And The growth of the Puppy Club, continuation of charity- while incomes are strong it will remain among WAGRA’s related programmes and more tailored marketing about primary objectives to keep costs under control and to ex- how we get people to the track will continue to be areas plore other possible income streams. of focus. Issues surrounding Cannington’s increasing operating We will also continue to put plenty of energy into improving overheads (rent, depreciation, maintenance, rates etc) may our brand. not be solved in the short term but critical steps towards fi nding a solution, namely the Cannington Facility Study to The blue collar portrayal of our industry does not sit comfort- commence in August 2006, will help provide the solution. ably and a “smart casual” image with a friendly family-feel is probably where we should aim. The Kadmos Group, headed by Mr John O’Donnell, will thoroughly investigate options available to Greyhounds WA On Perth Cup night, despite inclement weather, 1,450 prior to the expiry of the Cannington Lease in July 2011, a children came along to enjoy Puppy Club activities which report which will be delivered by February 2007. included carnival rides, face painting, showbags, fairy- fl oss, giant music video screen, greyhound pups to pat There is reason for great optimism, with greyhound racing and giveaways etc. becoming increasingly popular in the wider community. Rarely in our 32-year history have we received such wide- Our image will largely determine who will want to come to spread public recognition outside our traditional core areas our venues, what advertisers and sponsors we will attract, of acceptance. and broadly speaking how greyhound racing is perceived

Page 6 Western Australian Greyhound Racing Association Annual Report 2005/2006

Chief Executive Offi cer's Summary Continued ...

in the wider community. The better the image the better Operationally 2005/06 has seen the installation of dimmer respect we will command. lights at Cannington, a new roof for the Club Lounge at Cannington, new signage billboards (Cannington), noise Progressively we will be changing our advertising focus to simulators (lure) at Cannington, Mandurah and Northam, refl ect that the “photo-shop” dog, in various theme night starting box shelters, introduction of SUREpick ratings, new garbs, will disappear. Ling the greyhound has served us parade and kennel fencing at Cannington. The shift of the well but it is time for a change. The decision to utilise com- Marketing Department to the main offi ce building freed up munity papers (and target non-traditional areas not just space near the Club Lounge for a sports betting operation, suburbs close to the track) rather than the more expensive West Coast Sports Betting, which is beginning to provide a television medium to communicate our changed offer of small but steady income stream to the Association. free entry and fi reworks for Perth Cup night have results that speak for themselves. The Northam season also enjoyed records across all ar- eas with nominations and off-course betting turnovers at a This year we combined the Industry Awards night with the peak. A much better rapport now exists between WAGRA offi cial Box Draws for the SKY Channel Perth Cup and and AVGRA with the consequence of healthier dealings Galaxy Finals. This event, known as the ACC Celebration between all parties. Much of the credit must go to Manager Evening, took place on Sunday 19 March in the Canning Business and Finance Basil Sealey, and AVGRA President Exhibition Centre, exactly one week before the 2005 Bill Choules and Treasurer Maureen Hunter. The AVGRA Schweppes WA Greyhound of the Year presentation at the willingly accepted a restructuring of their fi nances to ensure Government House Ballroom. that the Northam Club not only survives but consolidates The addition to the staff of Publications Offi cer Tanya Lan- its position of importance within the industry in what is their gan substantially improved the presentation of our product tenth year. Greyhounds WA increased their funding by across all printed material including racebooks, and the $25,000 per year and will purchase two sets of new start- leasing of additional printing equipment has equally aided ing boxes in November 2007 as a show of the WAGRA's our capabilities and effi ciencies in the Print Shop area. commitment to chasing in the Avon, a sentiment which has From a racing perspective, the gaining of SKY Channel been occasionally challenged in the past. coverage of Wednesday night racing, and the readiness The West Australian Greyhound Breeders Owners and of the public to come on-course despite the late starts, has Trainers' Association (WAGBOTA) continues to build in been a real positive. The addition of Tuesday night coverage numbers and importance within our industry. The President from Mandurah to the SKY roster and CFM Channel 12 for and Committee are most professional in their dealings and Northam should also ensure further records in 2006/07. are always open to easy communication and co-operation Substantial stakemoney increases effective 1 August 2006 with the Administration will continue to build confi dence and participation numbers In the next 12 months Greyhounds WA can look forward to even though this may cause issues in terms of growth many positives including a greatly improved website with management and high demand for facility use by way of the availability of race replays, a new branding identity (logo trials, vets, kennel land availability etc. and style guide), a fantastic track at Mandurah, and the The Mandurah track redevelopment will provide plenty of result of the Cannington Facility Study which will provide enthusiasm amongst the industry when it is open for racing us with a better sense of direction and certainty. in mid-October. Delays with the completion of the project I would like to sincerely thank the WAGRA Chairman Ms have been disappointing but the end result will certainly Patricia Tassell and her Committee for the support extended more than compensate. Staff led by Mandurah Manager to me during the past 12 months, my fi rst full year as Chief Russ Clark and Graeme Collins (WAGRA Project Co-ordi- Executive Offi cer. nator) have coped admirably with a racetrack situated on a construction site for the last year. The new 603m circumference track will magnifi cently com- David Simonette plement our new kennel facility and improved amenities Chief Executive Offi cer throughout the venue and will no doubt add to our enhanced reputation as a national leader in our fi eld.

Page 7 Western Australian Greyhound Racing Association Annual Report 2005/2006

Organisation Chart - 31 July 2006 Russell CLARK Russell FOREMAN FOREMAN ASSISTANT HEAD CHEF Bryan STOCK John ECKETT Sue AGNEW * AGNEW Sue Brian WILLIAMSBrian Ron McLENNAN Ron Wayne SELKIRKWayne Sharon WILSON * GROUNDS STAFF ADMINISTRATION OFFICE MANAGER Brendan McDONALD Brendan MANDURAH GROUNDS MANDURAH MANAGER MANDURAH MANDURAH MANAGER CHEF MARKETING MARKETING Ian RYAN FUNCTION MANAGER ASSISTANT Kim BUTLER Fernando SPENSIERI Tanya Langan Tanya Langan PUBLICATIONS PUBLICATIONS RESTAURANT CANNINGTON SALES OFFICE Kelly MICHAEL MICHAEL Kelly Claire PORTER * PORTER Claire CO-ORDINATOR Shelly PASCOE Shelly * CO-ORDINATOR Kelly FRAMPTONKelly MANAGER SALES & & SALES MANAGER EXECUTIVE CHEF FFICER –FFICER MARKETING F&B OPERATIONS Augusto RADA COSTA SALES EXECUTIVE O Lesley ROBERTS Lesley PERSONAL ASSISTANT ASSISTANT PERSONAL MANAGER MANAGER Basil SEALEY SEALEY Basil RENTON g OFFICER NETWORK FINANCE & EXECUTIVE David BUCK Eileen BENDA Eileen Peta HARBEN OPERATIONS ACCOUNTING Crai TELEPHONIST RECEPTIONIST/ Lynette CRINGLE AMINISTRATOR BUSINESS & FINANCE PAYROLL OFFICER & GAMING David SIMONETTE WAGRA COMMITTEE CHIEF EXECUTIVE OFFICER MINISTER FOR RACING FOR RACING MINISTER Michael DAILLY Michael GROUNDS NORTHAM Graeme LEE Simon DAILLY Denis NEWEYDenis * Sean DOHERTYSean Phil ROHRLACH ROHRLACH Phil GROUNDS STAFF MANAGER TRACK & TRACK MANAGER GROUNDS CANNINGTON David SHORTTE MANAGER RACING MANAGER ORGANISATION CHART – 31 July 2006 Liaison Function Function Liaison Part-Time Part-Time Reporting Relationship MANAGER MANAGER Western Australian Greyhound Racing Association PRINTER OPERATOR Liam NORRIS Peter SCRAFTON Peter TOTE & PRINT AUDIO VISUAL Richard SUCH * * LEGEND:

Page 8 Western Australian Greyhound Racing Association Annual Report 2005/2006

Functional Statements of Senior Offi cers

Senior Offi cers

Responsible to the WAGRA Committee for CHIEF EXECUTIVE OFFICER the effective performance of the Association's David Simonette functions and duties.

Generates fi nancial management information MANAGER BUSINESS & FINANCE and accounting reports to the Committee and Basil Sealey Management. Determines and interprets operating results and establishes accounting policies and practices.

Responsible for the administration and super- MANAGER SALES & MARKETING vision of the Association's Sales & Marketing Fernando Spensieri division at Cannington.

Responsible for the general operational MANAGER MANDURAH management of the Mandurah venue and Russell Clark its administration.

Ensures the effectiveness of the Associa- MANAGER RACING tion's racing product, including programmed David Shortte race meetings, trials, racenight casuals presentation and roster control.

Responsible for the operations of totalisators MANAGER TOTALISATOR & PRINT and gaming at Cannington and Mandurah, Peter Scrafton and CCTV at all three venues. Manages the Association's inhouse print shop.

Manages track preparation and maintenance MANAGER TRACK & GROUNDS for the effi cient conduct of greyhound rac- CANNINGTON Michael Dailly ing. Manages and co-ordinates all grounds maintenance including attention to buildings, plant and equipment.

Page 9 Western Australian Greyhound Racing Association Annual Report 2005/2006

Review of Operations Oncourse Turnover Oncourse turnover for Cannington was during the 2005/06 fi nancial year, with Saturdays totalling a record $3,291,921, and mid-week $1,660,240.

Noise Simulator A noise simulator was developed October 2005 and tested at Cannington Monday night Public Trials for several weeks with no operational problems.

The noise simulator is an electronic squeaker, attached to the lure, which turns on briefl y as the lure accelerates.

Industry feedback to the trials was overwhelmingly positive and the December WAGRA Consultative Committee meet- ing agreed the noise simulator be used at all Cannington public trials, qualifying trials and races effective Saturday 10 December 2005.

Dimmer Switches installed at Cannington

In early December C-Bus dimmer switches were added to lights in the Club Lounge and Checkers restaurant at Can- ningon to enhance the restaurant atmosphere and focus patrons' attention on the track.

The dimmer switches operate similar to those in Mandu- rah's restaurant, where the lights are lowered just prior to greyhounds arriving at the starting boxes.

Cannington Club Lounge Roof Work commenced on the Club Lounge roof January 2006 and took a total of three weeks.

The old, rusting evaporative airconditioners were removed from the roof and the damaged roof resheeted. The ceil- ing inside the Club Lounge was lowered to accommodate reverse cycle airconditioners, and ceiling panels were upgraded.

In July 2006 the timber fl oor in the Club Lounge was re- paired and strengthened.

Page 10 Western Australian Greyhound Racing Association Annual Report 2005/2006

Wednesday Punters Club The Wednesday Night Punters Club continued at Can- nington each week throughout the year, with CEO David Simonette and Manager Racing David Shortte taking turns to host the evening in Checkers restaurant. Shares for this venture were $25 (buffet meal included) with an enhanced dividend being posted most weeks.

The popularity of this punters club, especially in conjunc- tion with the Butt Of Beef value buffet introduced January 2006, greatly increased Wednesday night patronage and oncourse totalisator turnover.

A Saturday Night Punters Club also commenced at Can- nington September 2005. It initially proved popular and had good starting pools, but support dwindled and in July 2006 it was eventually discontinued.

Starting Box Shelters In July 2006 shelters were constructed over the 297m and 430m starting boxes at Cannington. This was a result of a requested made through the WAGRA Consultative Com- mittee aimed at providing protection from the weather for handlers and greyhounds.

Page 11 Western Australian Greyhound Racing Association Annual Report 2005/2006

WAGRA Consultative RWWA Committee Grading Review Panel The WAGRA Consultative Committee provides industry RWWA's Grading Review Panel comprises: input on issues important to the conduct and promotion of greyhound racing in Western Australia. As at 31 July 2006 Mr Mark Bottcher RWWA the Consultative Committee comprised: Mr Tyrone Alberti RWWA Mr David Shortte WAGRA Mr Allen Kinnish (WAGBOTA representative) Mr Tony Glenny Industry representative Mr Chris Godfrey (AVGRA representative) Mr Dean Starkie Industry representative Mr Dean Starkie (representing other licensees) Mrs Daryl Neilsen (representing Mandurah & South West) This forum discusses aspects pertinent to the grading Mr Michael Pollard (WAGRA Members' representative) of greyhounds and makes recommendations to RWWA Integrity Assurance Committee Mr Nathan Iwanyk attends the meetings as an observer for RWWA's Greyhound Racing Consultative Group. Western Australian Grey- Oncourse veterinary surgeon and former board member Dr Peter Thomas, and RWWA Chief Steward Greyhounds hound Breeders, Owners Mr Carlos Martins attended meetings when invited to offer & Trainers' advice in their specialist areas. Association It has been an informative year on the Consultative Com- mittee with industry issues from all levels discussed and Elected at the WAGBOTA AGM 19 February 2006: many matters addressed. President: Sam Celenza Vice-President: Ann Brown The forum continues to provide Consultative Committee Vice-President/Treasurer: Fred Maller members with an opportunity to express points of view on a Secretary: Mal Brown range of industry-related matters to WAGRA Management Committee: Derrick Smith, Allen Kinnish and and offi cials. Many topicswere forwarded for discussion at Betty Maller. the RWWA Greyhound Racing Consultative Group. Affi liated to the Australian Federation of Greyhound Breed- ers, Owners & Trainers Association (AFGBOTA) based in NSW. RWWA Greyhound Racing RWWA Board Consultative Group Representation The RWWA Greyhound Racing Consultative Group comprises: It is a requirement of the RWWA Act 2003 for the RWWA eligible greyhound racing bodies to nominate a Mr Geoff Martin Director (Meeting Chairman) member and an alternative member of the RWWA Mr Ray Bennett Chief Executive Offi cer Board of Directors, and a member of the RWWA Mr Ken Norquay Executive General Manager Operations Selection Panel, for a term not exceeding three Mr Mark Bottcher Manager Greyhound Racing years. WAGRA Ms Patricia Tassell WAGRA Chairman The eligible greyhound racing bodies, WAGRA, Mr David Simonette WAGRA CEO Avon Valley Greyhound Racing Association Mr Russell Clark WAGRA Manager Mandurah (AVGRA) and WAGBOTA, provided joint nomi- Mr David Shortte WAGRA Manager Racing nations. WAGBOTA RWWA members Mr Geoffrey Martin (Board Mem- Mr Tony Glenny WAGBOTA Member (representing WAGBOTA) ber), Mr Lindsay Archer (Alternative Member) and Mr Allen Kinnish WAGBOTA Member (Owner) Mr Ted Karasek (Selection Panel) were re-elected Mr Nathan Iwanyk WAGBOTA Member (Trainer/Breeder) July 2006.

Page 12 Western Australian Greyhound Racing Association Annual Report 2005/2006

Cannington Highlights Appealathon Cup Saturday 8 October 2005

It was heartening to see such a big crowd at Cannington for the running of the 2005 Channel 9 / 6PR Appealathon Cup. All gate takings went to this worthwhile local charity which over the past 31 years has raised more than $54 million. A record on-course turnover ($62,000) was achieved for this race meeting, our best since the event's inception in 1996. The Kathie Glenny-trained EVIL DEEDS took home the $5,000 winner's cheque.

Canning Show Cup Saturday 5 November 2005

The Group 3, 715m $20,000 to-the-winner, Canning Show Cup was won by NSW greyhound ROYAL RIDDLE. Spon- sored by the Canning Agricultural Horticultural & Recrea- tional Society, the race was the culmination of two evenings of carnival side-show entertainment at the venue.

Carols At Cannington Saturday 3 December 2005

Six primary schools competed on-course for a $2,000 fi rst prize in the 2005 Community Newspapers Carols At Can- nington Competition.

The Huntingdale Primary School choir won the event, with Applecross Primary and Kewdale Primary taking home $1,000 and $500 respectively for their efforts.

Other schools highly commended were Grovelands, Clifton Hills and Campbell Primary.

Attendance for the evening was signifi cantly boosted by the carols and it is intended that the occasion becomes an annual event.

Page 13 Western Australian Greyhound Racing Association Annual Report 2005/2006

New Year's Eve Saturday 31 December 2005

A record of more than 3,700 people attended Cannington for the New Year's Eve race meeting. (Three months later this record number was surpassed by attendances at the SKY Channel Perth Cup Night.)

Food & Beverage and betting turnover fi gures were also well up on previous years - rounding off a strong fi nish to 2005.

A spectacular fi reworks display complemented an evening of great entertainment both on and off the race track, which included band Hot Plate Heaven, roving Connie The Clown, kids activities and the running of the Claude Powell Memo- rial won by SICKABILLS.

The honour of taking out the last event of the year went to Jimmy Lee when his greyhound DIMPLES AND ICE did best in a three-way fi nish.

Page 14 Western Australian Greyhound Racing Association Annual Report 2005/2006

Autumn Chasing Carnival Celebration Evening Sunday 19 March 2006

This year the SKY Channel Perth Galaxy and Perth Cup offi cal box draws and the annual Industry Awards were combined in the Autumn Chasing Carnival Celebration held at Cannington Exhibition Centre on Sunday 19 March. The Egyptian-themed evening was attended by more than 200 guests, with greyhound caller Craig Evans as Master of Ceremonies.

During the evening the 2005 Industry Awards were pre- sented to winners of various premiership categories in- cluding Leading Trainer, Leading Owner, Track Star, Sire and Dam.

Connections of SKY Channel's 2006 Perth Galaxy and Perth Cup fi nalists were also invited to seal their greyhound's fate by drawing a box number. Channel 10 sports presenter Tim Gossage helped RWWA Greyhound Stewards with the draw.

Cannington Awards 2005

Leading Trainer: Linda Britton (second picture) Leading Owner: Lindsay Archer (third picture) Track Star: FOOLISH GIRL Leading Sire: SPRINGBOK BALE and JENNEV Leading Dam: ENRAPTURE

Mandurah Awards 2005

Leading Trainer: Lexia Isaac (fourth picture) Leading Owner: Jodie Harding Track Star: BLACK WATCH Leading Sire: LACONIC BALE Leading Dam: GOLDIE'S ANGEL

Northam Awards 2005

Leading Trainer: Mark Simpson Leading Owner: Mike & Michelle Quinsee Track Star: PUMA MONELLI Leading Sire: LACONIC BALE and PROPER OSTI Leading Dam: DAZZLING DOLLY

Page 15 Western Australian Greyhound Racing Association Annual Report 2005/2006

SKY Channel Perth Cup Night Saturday 25 March 2006

Cannington's crowd for the evening was 5,338; easily eclipsing the previous best set last New Year's eve of 3,700. More than $157,000 was invested on-course, and $327,000 in TABs around WA.

Perth Cup Cannington 530 metre track record-holder SUPERMAN confi rmed his status as one of the rising stars of Australian greyhound racing with a commanding win in the Group 1 $150,000 SKY Channel Perth Cup on Saturday evening 25 March 2006. Trained by Emin Aydemir, the son of boom sire BRETT LEE won by three lengths running 30.18, just a length outside of the record he set in the previous week's heats. It was the sixth year in a row Victorian sprinters have won the Cup after wins by SUN HERO, KILBY SUPREME, MODERN ASSASSIN, ELGRANDO and SAMMY MINT.

Perth Galaxy Earlier in the evening the WA owned and trained RONRAY DANCER was successful in the $60,000 Group 2 Galaxy Final over 715m. RONRAY DANCER took up the running mid-race and kicked away for an easy six length victory over CHIEF TANGA and ROYAL RIDDLE in a new personal best time of 41.72. The bitch made a clean sweep of the distance events after success in the Group 3 Swan Draught Interstate Stayers challenge just a fortnight ago. "The people involved with RONRAY DANCER are fi rst-time owners and to win two group races in a fortnight is unbeliev- able," trainer Barry McPherson said after the event. The good times continued later for McPherson when new- comer ZUKO won the Group 3 SKY Channel Perth Cup Consolation over 530m. The former Queensland sprinter defeated FOOLISH GIRL and LOUIS BROOKER by just under three lengths in 30.60. The other feature fi nal, the $15,025 SKY Channel Perth Cup Consolation (2), saw John Carmody share in the spoils when promising GOLDERN EAGLE made the most of his rails-draw for a 30.80 win over TOPAZ MONELLI and DIMPLES AND ICE.

Page 16 Western Australian Greyhound Racing Association Annual Report 2005/2006

Schweppes WA Greyhound Of The Year Sunday 26 March 2006

FOOLISH GIRL was named the 2005 Schweppes WA Greyhound Of The Year at Government House Ballroom Sunday evening 26 March 2006.

Owned by Mike & Michelle Quinsee and trained by John Iwanyk (pictured second-right), FOOLISH GIRL'S 18 wins included success in the 2005 Lew Dorsa Memorial fi nal, WA Sprint Championship and "The Schweppes".

Linda Britton (pictured below with MC Craig Evans) was named RWWA Leading Trainer.

Sean Kavanagh (Youth Encouragement) and Joe Mulder (Gerry O'Keefe Medal) were other award winners. Joe, with his wife and daughter, is picture fourth-right.

The enjoyable evening, organised by RWWA, had a cabaret and gangster theme.

The voting panel for the 2005 Greyhound Of The Year com- prised Mark Bottcher, David Simonette, Craig Evans, David Shortte, Robert Edwards, Craig Parnham, Ryan Levitzke, Richard Bell and Peter O'Neill.

Page 17 Western Australian Greyhound Racing Association Annual Report 2005/2006

Schweppes WA Oaks Final Saturday 5 May 2006

LEPRECHAUN KATE claimed the bulk of the $50,000 on offer when she won a unforgettable Schweppes WA Oaks at Greyhounds WA Cannington for Oakford trainer Peter Sayer. (Pictured right: LEPRECHAUN KATE with Samara Thomp- son and Glen & Casey Price.)

Britton's Formal Wear WA Derby Saturday 27 May 2006

SPITFIRE JET became the fourth Victorian trained grey- hound in succession to win the prestigious Brittons WA Derby when he fi nished powerfully to claim the $50,000 Group 2 classic at Cannington. (Pictured right: Part-owner Lisa Kenny with handler Brent Williams, trainer Daryl Williams and SPITFIRE JET.)

Lew Dorsa Memorial Trophy Saturday 24 June 2006

The $8,000 to-the-winner Lew Dorsa Memorial Trophy was won by the Brad Keel-trained REGAL BRETT. The race, fi rst run in 1980, recognises the contribution to the sport of the fi rst manager/secretary of greyhounds in WA, and over the years has developed an "aura" greater than most other feature races.

Paradise Street Trophy Saturday 29 July 2006

RONRAY DANCER secured her third feature fi nal for the year when she comfortably won the Paradise Street Trophy Final over 642m. The Barry McPherson trained bitch led all the way winning by six lengths in a new race record time of 37.17, just a length and a half outside the track record.

Page 18 Western Australian Greyhound Racing Association Annual Report 2005/2006

Puppy Club

The revamped Puppy Club continued to develop as a popular attraction for its young members, with events well attended. Membership as at 31 July 2006 was 1,400. The mix of free entertainment for children, special prices for food and soft drinks, a variety of activities and mer- chandise, offers junior members great fun and amusement on special Puppy Club days, usually the last Saturday of every month. Merchandise branded with the Greyhounds WA logo, such as pencils, pencil cases, erasers, rulers and yoyos, bal- loons, temporary tattoos and stickers, have been given to Puppy Club members in new-look show bags. WAGRA Sales & Marketing team recently negotiated with the Wildcats, Oreols and footy clubs to have representa- tives conduct competitions with the children on Puppy Club nights.

Nova 93.7FM Greyhound Pup

Popular morning radio hosts Nathan and Nat from Nova 93.7FM became greyhound owners in March 2006 when they acquired a half share in an eight month old pup by BOMBASTIC SHIRAZ and ENRAPTURE.

The unnamed pup, a half-sister to CRAZY CRITTER, was intro- duced to Nathan, Nat and Tim Gossage on their program .

Breeder Peter Sayer is rearing and training the pup, generously donating the rearing free of charge.

Page 19 Western Australian Greyhound Racing Association Annual Report 2005/2006

Schweppes Western Shootout II Saturday 24 June 2006 The Schweppes Western Shootout II proved to be a sen- sational evening with the Dockerland-backed Desert Black charging home to claim bragging rights for the "anchor" fans for the second year running, defeating the gallant Lindale Roxy (Eagles backed) by half a length. A near 3,000-strong crowd witnessed the exciting fi nish which saw Desert “Heath” Black overhaul Roxy in the last few strides of the event. Checkers restaurant was fully booked and every seat taken in the grandstand. Oncourse turnover for the evening was a very healthy $96,000. MC Tim Gossage hosted the evening. The crowd was kept entertained by music from Hot Plate Heaven and there were plenty of give-aways and children's activities. Amost $20,000 was raised for the Cerebral Palsy Associa- tion of WA and Food Bank WA through auctions, raffl es and sponsorship. Auction Items were sold as follows: • 1 x autographed and framed West Coast Eagles jumper 2006 squad ($1,200) • 1 x autographed and framed West Coast Eagles jumper 2006 squad ($1,300) • 1 x autographed offi cial AFL football fully signed by 2006 West Coast Eagles squad members ($650) • 1 x 11 week old pup by Trendy Leigh out of Rosedale Zoe (donated by Brookton Hounds) ($2,050) • 1 x 6 week pup by Token Royale out of Western Front ($1,550) • 2 x Robbie Williams concert tickets plus before and after party ($1,200) Special thanks to: • Peter Sayer (Desert Black’s trainer) and Rod Price (owner) • Colin Bainbridge (Lindale Roxy’s trainer) and Lindsay Archer (owner) • Tim Gossage and the team from Channel Ten, "The Western Front" • Nova 93.7FM • Peter O’Neill and the team at Racing Radio • Nadia and the team from the West Coast Eagles • www.dockerland.com and Greg Dwyer • Rod Price and his staff at Prime Trophies (who do- nated the 12 mini trophies presented to connections of all race winners on the Schweppes Western Shootout II program); and • Schweppes (who were once again very generous in their support of the evening - their sponsorship helped raise a sizeable portion of the donation to charity).

Page 20 Western Australian Greyhound Racing Association Annual Report 2005/2006

Sales & Marketing

Greyhounds WA Sales & Marketing team continued to produce excellent results in encouraging patrons to Grey- hounds WA venues. In August 2005 Greyhounds WA took on the role of produc- ing its own graphic design and printing for both Cannington and Mandurah's marketing material, and for publications such as racebook and the Puppy Club. A dedicated graphic designer was recruited allowing greater fl exibility of design, and inhouse printing was supplemented by the acquistion of a colour laser copier/printer. Also in August 2005 a new marketing plan GOSSIP was created to appeal to the younger market. GOSSIP is a monthly email newsletter listing upcoming events at Greyhounds WA Cannington and around Perth. The initial launch was in Xpress Magazine with an advertisement advising readers how to join. Community Newspapers signed as the major sponsor in October 2005 for the new concept Carols at Cannington, indicating they would like to make this an annual event. During January 2006 the Butt Of Beef was introduced in Checkers restaurant Wednesday nights. This initiative, combined with the Wednesday night Punters Club, sig- nifi cantly increased attendances, tote turnover and food & beverage sales compared to mid-week race nights previous years. The 2005-2006 sponsorship contract with Healthway was not renewed, creating an opportunity for alternative spon- sorsip of feature events. SKY Channel took over sponsor- ship of the prestigous Perth Cup and Galaxy Final. The Appealathon Cup, New Year's Eve, Perth Cup and the Western Shootout were particulary successful nights organised and promoted by the Sales & Marketing team. Press and radio advertising was used effectively throughout the year:

Page 21 Western Australian Greyhound Racing Association Annual Report 2005/2006

Mandurah Operations

During the year attendances at the Mandurah venue have risen well above fi gures recorded for previous years. Chas- ers restaurant was regularly fully booked, with the public area also enjoying popularity.

Friday oncourse turnover achieved excellent fi gures with a record of $1,573,157 for the year.

In February 2006 the new kennel building became op- erational, allowing for 15 races on Fridays; a catalyst for increased turnover.

Sky Channel offered uninterrupted racing at Mandurah on Tuesdays from 4 July. This was achieved by moving Northam's season to a Thursday afternoon timeslot, com- mencing 4 May.

A direct mail delivery to 28,000 homes in the Peel region was successful in improving public awareness of the new mid-week race day. After a slow start in the fi rst week, Tues- day attendance in Chasers restaurant began to climb.

Mid-week oncourse turnover totalled $1,164,650 for the year.

Page 22 Western Australian Greyhound Racing Association Annual Report 2005/2006

Greyhounds WA Mandurah Wheels For Shane Night

Greyhounds WA Mandurah was host to a very special fund- raising function on Friday 16 December 2006, the culmina- tion of months of very hard work by Mandurah Manager Russell Clark and his staff.

The function was to raise funds to buy a specially modifi ed car for Shane Agnew which would take his wheelchair and allow him and his carers to be transported from Shenton Park Rehabilitation Hospital to various necessary appoint- ments, especially allowing him to travel home to Mandu- rah. Shane is the son of Mandurah Offi ce Manager Sue Agnew. Until 27 February 2005, Shane was an active, fun-loving boy who was full of plans for his future. He had a trail bike accident that afternoon and has not taken another natural breath since. The venue was completely sold out. There was not a single dry eye as the 400 strong crowd in the restaurant gave a standing ovation to Shane as he arrived with his family to the sound of Queen's We Are The Champions. The evening's race names were sold to 13 sponsors at a cost of $1,000 each The goal was to raise $35,000 towards the vehicle. Every- one was stunned when the fi nal fi gure announced for the evening was in fact $40,109.50. As this excellent fi gure was still below the full cost of the vehicle and its running costs, an auction was held on Sunday afternoon 26 February 2006 at Greyhounds WA Mandurah. The auction proved a big successs and raised $9,686 to take the total to $49,796.

Page 23 Western Australian Greyhound Racing Association Annual Report 2005/2006

Mandurah Highlights "The Schweppes" Friday 14 October 2005

FOOLISH GIRL, purchased by Michael & Michelle Quin- see earlier in 2005, was the $30,000 winner of "The Schweppes" Final. (Pictured right: FOOLISH GIRL with (l to r) Minister for Rac- ing & Gaming Hon. Mark McGowan, trainer John Iwanyk, and sponsor Price Grey from Schweppes.

Mandurah Holden Mandurah Oaks Friday 21 April 2006

DIMPLES AND ICE gave Nambeelup trainer Jimmy Lee his second victory in the Mandurah Holden Mandurah Oaks. DIMPLES AND ICE arrived in Lee's kennel late 2005 and won seven of her fi rst 14 starts at Cannington before racing consistently against tougher opposition during the Autumn Chasing Carnival. The Mandurah Oaks boosted DIMPLES AND ICE's WA earnings by $5,000 to $23,000, with nine wins from 23 starts. (Pictured right: DIMPLES AND ICE with Jimmy Lee and connections.)

Swan Draught Mandurah Derby Friday 12 May 2006

Victorian chaser WHISTLE BY won the Swan Draught Mandurah Derby after surviving the hustle and bustle of a bruising fi rst corner in the restricted age classic. WHISTLE BY gave Linda Britton her second win in the race after UTAH BALE scored in 2000. (Pictured right: WHISTLE BY with handler Nicola Hind and Mark Phillips from the Swan Brewery.)

Page 24 Western Australian Greyhound Racing Association Annual Report 2005/2006

Mandurah Redevelopment

New Kennel Block

The new kennel block at Mandurah was used for Qualifying Trials for the fi rst time on Monday 30 January, with its fi rst race meeting taking place the next day.

The larger kennel capacity allowed Greyhounds WA Man- durah to extend Friday night race meetings to 15 races, maximising turnover and operational effi ciencies.

Demoliton of the old kennel block began the following Mon- day, allowing eathworks to continue laying the foundation for the new track.

The new Mandurah Kennel facility was offi cially opened Friday evening 17 March 2006 by the Hon. Mark McGowan, Minister for Racing and Gaming (pictured below-right). A number of special guests including RWWA Board Mem- bers and senior management attended the ceremony and received the news that a $750,000 grant would be made on behalf of the Government towards the completion of the Mandurah Track and Kennel redevelopment project.

New Broadcast Facility

In November 2005 work commenced on relocating the Judge's Box, Stewards' Box and Broadcast Facility above the existing grandstand (pictured below). The lure driver location was also moved from the backstraight to an area within the superseded Judge's Box.

This work was to allow for the wider radius of the new track.

Page 25 Western Australian Greyhound Racing Association Annual Report 2005/2006

New Mandurah Track

Mr Brian Barrington and his team arrived in Western Australia Sunday 12 March 2006 for the fi rst phase of the Mandurah track redevelopment. They brought with them two semi-trailers containing new starting boxes, lure rail and posts, external fencing and track-base materials. Their fi rst task was to put in the internal rail posts prior to installing the new lure rail and external rails (pictured below). At Easter Mr Barrington and his team fl ew to NSW to fulfi ll a prior commitment at Dapto. They returned to Mandurah mid-August for the second phase of the track construction work. In Mr Barrington's absence, WAGRA sourced and pur- chased a suitable semaphore and timing system for the track, and fi nalised requirements with Pierlite for the in- stallation of track lighting. Sand from WAGRA's supplier at Greenbushes was trucked to Mandurah and stockpiled in readiness. The transportable kennels were returned to Cannington (pictured below), which allowed Greyhounds WA Canning- ton the fl exibility to conduct additional Qualifying Trials.

Page 26 Western Australian Greyhound Racing Association Annual Report 2005/2006

Avon Valley Greyhound Racing Association

From 17 December 2005 the AVGRA Committee Thursday racemeetings proved to be particularly good comprised: wagering days for Northam, Producing excellent results in President: Mr Bill Choules May and June with in excess of $145,000 being wagered Vice-President: Mr Brian Banes regularly via the on and offcourse totes. Deputy Vice-President: Mrs May Leach The annual dual greyhound/harness meeting took place Secretary/Treasurer: Mrs Maureen Hunt on Sunday 28 May 2006 with nine greyhound races and Committee Members: Sam Celenza, Chris Godfrey, Neil seven pacing events. Goldsworthy, Mark Claxton, Jeff Hunter, Bob Kidd, Vince Caruana and Neil Smith.

Be Active Northam Anniversary Cup Monday 26 September 2005

The 2005 Be Active Northam Anniversary Cup race meet- ing attracted plenty of interest which translated into good turnover (combined $112,000) and attendance fi gures. STYLISH SPEED, trained by Nathan Iwanyk, won the event, running the 509m journey in 29.68 seconds, one- hundredth inside the previous race record set in 2001.

Northam 2006 Season Change of Race Days

In April 2006 RWWA and Greyhounds WA received confi r- mation of year-round SKY Channel coverage of Tuesday race meetings at Mandurah commencing 4 July 2006. The contract provided SKY broadcast of WA greyhound racing in the timeslots of summer 4 p.m. to 8 p.m. and winter 5 p.m. to 9 p.m.

To accommodate uninterrupted racing at Mandurah on Tuesdays, Northam's season was moved to a Thursday afternoon timeslot beginning 4 May. This timeslot saw Northam's betting fi gures improve further with the advan- tage of Thursday being a stronger wagering day.

May to October (winter) Tuesday and Friday - Mandurah Thursday - Northam Wednesday and Saturday - Cannington

November to April (summer) Tuesday, Thursday & Friday - Mandurah Wednesday and Saturday - Cannington

Page 27 Western Australian Greyhound Racing Association Annual Report 2005/2006

Information Technology performance and reliability. The previous fi nance server was deployed elsewhere to support disaster recovery IT services for the year included: operations. • New email server installed A trial race-replay system was also implemented in conjunc- • New desk-top computers installed throughout most of tion with Best Bookies/Greyhounds Online allowing WAGRA the organisation, and others upgraded to Windows XP staff members to support their day to day duties by replaying operating system. greyhound races on their desk-top computers. • Technical assistance to support the new colour Canon printer in the Printshop. IT projects for the next twelve months include replacing • Replacement of main printers in Finance and Adminis- the video editing system with new specialised workstation tration. hardware to allow improved video processing performance, revising the disaster recovery and security plans and opera- Software upgrades installed included: tions further, and upgrading older IT network equipment and • Offi ce 2003. UPS systems to further improve reliability. • Adobe InDesign CS2 software. • StockPro system. • Backup software to provide more disaster recovery options. Risk Management Extensive IT and telecommunications expertise was also provided to facilitate: WAGRA continued its proactive approach to risk manage- ment as part of day-to-day decision making in administra- • Start of operations by specialised bookmakers based tive and operational functions. at Cannington, • Commissioning of new telstra mobile phones for manag- During the year management personnel were assigned ers, with email forwarded from WAGRA's email system to identify and assess existing and potential safety and at Cannington out to the managers when not onsite. welfare risks to club patrons and staff, before implementing strategies to minimise or eliminate these risks. The web and email fi ltering system was updated on an ongoing basis to safeguard the integrity of WAGRA IT infra- First 5 Minutes Pty Ltd continued to provide fi re and emer- structure, and a new Windows Update system implemented gency response procedures and training to ensure staff to improve the software update requirements. education and compliance. The fi nance server running the SUN fi nance system was An updated risk management program and implementation updated with modern server hardware to offer improved plan is due to be completed within the next year.

Page 28 Western Australian Greyhound Racing Association Annual Report 2005/2006

Greyhounds As Pets

Greyhounds As Pets (GAP) is a not-for-profi t program RSPCA Million Paw Walk funded by Racing & Wagering Western Australia and the Western Australian Greyhound Racing Association. Greyhounds As Pets won the perpetual trophy as the win- ners of the biggest corporate team in the 2006 RSPCA The primary objectives of GAP is to fi nd responsible per- Million Paws Walk (2 kilometre & 5 kilometre walks) held manent homes for retired racing greyhounds, to provide for Sunday morning 30 April at Sir James Mitchell Park, South their health and welfare and to educate people about the Perth. The GAP team numbered more than 100 people, 50 availability and absolute suitability of greyhounds as pets. In retired greyhounds and about two dozen other dog breeds. turn, GAP seeks to dispel the misconceptions surrounding The publicity generated a number of enquiries from pro- the nature of the breed. spective adoptee families. GAP has been growing in size and awareness since its inception in 1997. Forty-eight greyhounds were success- fully re-homed in the fi nancial year 2005/6. To date over 200 greyhounds have been successfully adopted into loving families within the community. Promoting public awareness of the true nature of greyhounds as a breed and develop- ing a reputation for adopting quality animals and providing strong support are of prime importance to both the GAP program and the Greyhound Racing Industry. GAP evaluates each greyhound's suitability to be a companion animal. A major part of the adoption process involves matching each greyhound with the most suitable family and environment. This means that the adoption process can sometimes be a lengthy one for families while prospective dogs spend time at various "foster homes" who can introduce the dog to different scenarios to ensure there is minimal likelihood of any aggressive behaviour or other untoward characteristics. GAP provides ongoing support to the new owners in the form of mailed information, telephone calls, emails and, when required, visits.

Petition for the Removal of Muzzles in Public Places of Adoption Greyhounds In recent months the WA GAP program has circulated a petition in relation to Section 33 of The Dog Act 1976. The peititon was addressed to the Honourable the Speaker and Members of the Legislative Assembly of the Parliament of Western Australia in Parliament assembled. The petition called for greyhounds who had successfully completed the GAP program to be legally allowed to have their muzzles removed in a public place, wearing instead a special collar to identify the fact that they had been through the program. The Dog Act 1976 states that all greyhounds must wear a muzzle when in a public place, despite not being named amongst the dangerous dog breeds. To date over 2,000 people have signed the petition and it will be delivered to Parliament later in 2006.

Page 29 Western Australian Greyhound Racing Association Annual Report 2005/2006

Profi le of Employees Five Year by Category Statistical Summary

For years ended 31 July: 22005/6005/6 22004/5004/5 22003/4003/4 22006006 22005005 22004004 22003003 22002002

Category M F T M F T M F T Racing

Permanent Full-Time Race Meetings: Level 1 1 1 2 0 1 1 1 2 3 Cannington 105 105 95 104 105 Level 2 1 2 3 2 4 6 2 3 5 Mandurah 129 128 143 125 113 Level 3 2 4 6 2 1 3 2 2 4 Northam 26 26 22 27 26 Level 4 5 0 4 6 0 6 5 1 6 TOTAL 260 259 260 256 244 Level 5 0 0 0 0 0 0 2 0 2 Level 6 2 0 2 2 0 2 1 0 1 Races 3,118 3,109 2,858 2,761 2,667 Level 7 1 0 1 1 0 1 0 0 0 Starters 24,468 23,826 22,395 21,805 20,875 Level 8 1 0 1 1 0 1 0 0 0 Average Starters 7.8 7.7 7.8 7.9 7.8 Level 9 0 0 0 0 0 0 0 0 0 per Race Class 2 1 0 1 1 0 1 2 0 2 Attendance 144,071 124,785 118,961 105,930 103,351 Track & 9010808707 Grounds Financials $000 SUB 23 7 30 23 6 29 22 8 30 Operating 14 (547) 662 588 973 TOTAL Surplus/(Defi cit) Net Cash 813 1,099 232 1,084 1,341 Permanent Part-Time Provided/(Used) by Level 1 0 0 0 1 1 2 1 2 3 Operating Activities Level 2 0 5 5 0 1 1 0 0 0 TAB Distribution * 10,315 8,863 8,237 9,438 8,734 Level 3 1 0 1 0 0 0 0 0 0 Grants (Offcourse) 900 820 1,033 954 847 Level 4 0 0 0 0 0 0 0 0 0 Stakes/Trophies & 6,968 5,319 4,939 4,529 4,062 BOIS Level 5 0 0 0 0 0 0 0 0 0 Stakes/TAB 67.6% 60.0% 60.0% 48.0% 46.5% Track & 101000101 Distribution % Grounds Betting Turnover $000 SUB 25 12 37 24 8 32 24 10 34 TOTAL Oncourse Turnover 7,907 6,845 6,260 5,194 5,372 Casual 81 93 174 78 102 180 89 89 178 (Tote) TOTAL 106 105 211 102 110 212 113 99 212 Bookmakers 0 0 0 92 83 TAB on WAGRA 50,123 44,100 39,429 36,635 32,418 meetings Membership

Total Members 119 127 118 113 145

* Includes Tax rebates and Discretionary TAB payments

Page 30 Western Australian Greyhound Racing Association Annual Report 2005/2006

Output Measures

2005/06 2005/06 Reason for Actual Target Signifi cant Variance Quantity Oncourse Totalisator Profi t $928,681 $842,000 Oncourse commission revenue increased by 14% Offcourse commission* $10,315,443 $10,215,194 Stakemoney** $6,593,310 $6,465,121 Quality Oncourse Totalisator Profi t: Number of racing oppor- 12.00 12.00 tunies for on-course investment (average number of races held/meeting). Offcourse Commission: Number of meetings where 234 234 live off-track vision was made possible through MDS or satellite services. Stakemoney: Number of feature races conducted 50 50 as opportunity for higher stakemoney and continued quality of programme. Timeliness Oncourse Totalisator Profi t: Number of meetings con- 260 260 ducted in accordance with programme. Offcourse Commission:***. N/A N/A Stakemoney: % stakemoney payments available 100% 100% (excludes swabs) within 4 working days of entitle- ment). Cost Oncourse Totalisator Profi t ***: Average profi t/meeting $3,572 $3,238 Increased on-course attendances with Commission Increases with minimal additional cost. Offcourse Commission ***: Ratio of offcourse commis- sion to offcourse turnover 14-88 13-50 Stakemoney: Average stakemoney/meeting $25,359 $24,866 Notes * 2005/6 offcourse commission was earned on turnover of $50,123,455 for greyhounds racing in WA. The target turnover is estimated from the budgeted offcourse commission in conjunction with the forecast net return per investment dollar. ** Exludes trophies and Breeders & Owners Incentive Scheme (BOIS) *** Offcourse commission is net distribution by RWWA to WAGRA on a monthly basis. Timeliness is therefore beyond the control of WAGRA's operation.

Page 31 Western Australian Greyhound Racing Association Annual Report 2005/2006

Compliance Statements Advertising Expenditure Public Sector Standards In accordance with the Public Sector Management Act The following information pertains to WAGRA’s advertising 1994, S31 (1), WAGRA has complied with the Public Sector and market research expenditure incurred during 2005/06 Standards in Human Resource Management and Ethical and is listed in accordance with the provisions of Section Codes. During the reporting period, no grievances were 175ZE of The Electoral Act 1907: lodged relating to non-compliance with the standards.

Expenditure Amount $ Public Interest Disclosure WA Newspapers 43,470 In accordance with S23 (1) (f) of the Public Interest Disclo- Community Newspapers 106,889 sure Act 2003 WAGRA has complied with its obligations Radio West Network 2,390 to annually report to the Commissioner for Public Sector Standards. WAGRA has produced ‘Guidelines on Internal Rural Press 20,299 Procedures’ and its Manager Operations is appointed as West Club Directory 800 the person responsible for disclosures of public interest Radio 6IX 19,600 information. There were no public interest disclosures made Australian Chinese Times 2,037 during the reporting period. Concept Media 5,375 Columbia Press 4,037 Cockburn Business Directory 845 Plan for Young People Construction Worker Magazine 3,920 WAGRA is committed to having a workforce that refl ects Examiner Newspapers 14,573 the profi le of the local community including the employment and development of young Western Australians. It employs Fremantle Herald 28,969 students and other youths in many casual racenight activi- Media Today 1,337 ties, which encourage their active involvement in a safe Mix 94.5 15,040 and well supervised environment. Nova 93.7 16,054 WAGRA also conducts a very successful and free initiative Oriental Post 4,284 for children aged under 16 and offers them free entry to Red Wave Media 19.003 regular Puppy Club meetings with an array of free enter- Southern Cross Radio 51,080 tainment, products and activities. Sunday Times 22,000 Scoop Publishing 13,260 Waste Paper Recycling Spotlight Cinema Advertising 7,620 The Wheel 4,720 WAGRA maintains its commitment to waste paper recycling by continuing to separate recyclable material from general West Coast Visitors Guide 360 waste. Staff are encouraged to minimise and recycle paper West Regional Sales 7,582 within the administrative operations, the restaurant and TOTAL 415,544 kitchen areas, and also within our racebook printing opera- tions. Discarded racebooks and other surplus papers are provided to a charitable organisation to assist with disabled persons employment.

Page 32 Western Australian Greyhound Racing Association Annual Report 2005/2006

Equal Employment Anti Corruption Opportunity Commission - WAGRA continues to support and develop the principles Corruption and Crime and practice of equal employment opportunity and diversity in the workplace. Equal Employment Opportunity principles Commission are applied in the development of the organisation’s human WAGRA is required to report any matter suspected to resources management. concern corrupt conduct. All Government Agencies represented on the Strategic In respect to provisions of the Anti Corruption Act 1988, Management Council are required to report on their com- no matters were referred to the Commission during the mitment to implement the Policy Framework for Substan- reporting period. tive Equality. WAGRA is not represented on the Strategic Management Council, and therefore is not required to report In a proactive manner, WAGRA continues to focus on on its commitment. identifying potential areas of risk with a view to developing treatment plans to minimise exposure. Disability Services In accordance with the Disability’s Services Act 1993, WAGRA continues to ensure, wherever possible, that State Records Act, services and facilities are provided in accordance with Recordkeeping Plan the principles of universal access to all members of the community. In accordance with the State Records Act 2000, S61, and Consideration of the needs of disabled persons, both the State Record Commission Standards, Standard 2 : general public and employees, is included in routine build- Principle 6; WAGRA reviewed its recordkeeping systems ing maintenance, capital works projects and information in September 2003 and is currently preparing a fi nal plan technology improvements.WAGRA is committed to develop to be approved by the State Records Commission. Subse- and promote the aspirations and potential of people with a quent recordkeeping training will be provided to staff and disability within the community. contractors to emphasise their role and responsibilities and to ensure their compliance. Freedom of Information WAGRA complies with its obligations under the Freedom of Information Act 1992. There were no applications for re- lease of information received during the reporting period.

Page 33 Western Australian Greyhound Racing Association Annual Report 2005/2006

Income Statement for year ended 31 July 2006

2005/06 2004/05 Income Note $ $ Revenue Racing: RWWA Distribution 2 10,315,443 8,862,926 Oncourse Totalisator 4 1,311,921 1,143,392 Food & Beverage Sales 5 3,018,845 2,474,696 Admissions 108,876 118,311 Sponsorship 146,764 158,850 Other Racing Income 6 621,943 396,142 Total Racing Income 15,523,791 13,154,317

Administration: Interest Revenue 123,207 187,652 Other Administration Revenue 8 216,465 260,200 Total Administration Revenue 339,672 447,852

Gains: Gains on Disposal of Non Current Assets 7 3,077 3,235 Total Income 15,866,541 13,605,404

Expenses Expenses Racing: Stakemoney & Trophies 9 6,968,256 5,319,427 Employee Benefits 10 2,397,488 2,315,998 Marketing, Advertising and Promotions 620,768 938,348 C.C.T.V., Photo & Telecasting Link 5,242 4,047 Food & Beverage Cost of Sales 5 1,291,788 1,102,955 Other Racing Expenses 11 1,552,377 1,178,962 Total Racing Expenses 12,835,918 10,859,738

Administration: Employee Benefits 12 1,689,137 1,578,381 Depreciation and Amortisation Expense 13 666,911 583,945 Corporate Utilities and Services 288,631 267,182 Lease 15 325,000 325,000 Maintenance 225,117 272,212 Borrowing Costs 23,387 71,781 Other Administration Expenses 14 832,334 1,125,267 Total Administration Expenses 4,050,515 4,223,769

Total Expenses 16,886,433 15,083,506

Profit/(Loss) Before Grants and Subsidies from (1,019,893) (1,478,102) State Government

Grants and subsidies from State Government GST Recoup from State Government 4 127,240 110,994 RWWA Grants 3 900,000 820,000

Profit/(Loss) for the Period 7,347 (547,108) The Income Statement should be read in conjunction with the accompanying notes.

Page 34 Western Australian Greyhound Racing Association Annual Report 2005/2006

Balance Sheet for year ended 31 July 2006

2005/06 2004/05 Note $ $ Current Assets Cash And Cash Equivalents 16 2,041,619 2,715,397 Inventories 17 127,420 114,175 Receivables and Prepayments 18 621,614 829,108 External Loans 21 3,000 3,000 Total Current Assets 2,793,653 3,661,680

Non Current Assets Property, Plant & Equipment 19 6,834,697 6,350,302 Intangible Assets 19 28,732 11,339 External Loans 20 111,876 117,876 Total Non Current Assets 6,975,305 6,479,517

Total Assets 9,768,958 10,141,197

Current Liabilities Payables 21 916,253 1,004,147 Provisions 22 496,303 366,312 Borrowings 23 - 66,305 Total Current Liabilities 1,412,557 1,436,764

Non-Current Liabilities Provisions 22 117,010 83,844 Borrowings 23 - 388,547 Total Non Current Liabilities 117,010 472,391

Total Liabilities 1,529,567 1,909,155

Net Assets 8,239,392 8,232,044

Equity Reserves 34 825,930 825,930 Retained Profits 35 7,413,462 7,406,114

Total Equity 8,239,392 8,232,044 The Balance Sheet should be read in conjunction with the accompanying notes.

Page 35 Western Australian Greyhound Racing Association Annual Report 2005/2006

Cash Flow Statement for year ended 31 July 2006

2005/06 2004/05 Note $ $ Cash Flows from Operating Activities Receipts: Receipts from RWWA Distribution 11,839,391 10,117,315 Receipts from Customers 2,804,275 3,012,871 Interest Received 123,207 187,652 GST Collected on Sales 637,022 527,212

Payments: Payments to Stakemonies (6,968,256) (5,319,427) Payments to Suppliers (3,598,523) (2,926,866) Payments to Employees (3,936,301) (3,990,091) Payments for Rent (325,000) (325,000) GST Payments on Purchases (638,975) (710,164)

Net Cash Provided by Operating Activities 26(b) (63,159) 573,502

Cash Flows from Investing Activities Payments for Property, Plant & Equipment (1,163,082) (2,031,064) Payments for Intangible Assets (17,393) (8,245) Proceeds from Sale of Plant & Equipment 14,854 91,232

Net Cash Used in Investing Activities (1,165,621) (1,948,077)

Cash Flows from Financing Activities Proceeds from Non Government Loan Repayments 6,000 Borrowing Costs (23,387) (103,362) Repayment of WA Treasury Corporation Borrowings (454,852) (19,277)

Net Cash used for Financing Activities (472,239) (122,639)

Cash Flows from State Government RWWA Grants 900,000 820,000 GST Reimbursements 127,240 110,994 1,027,240 930,994

Net Increase (Decrease) in Cash Held (673,778) (566,220)

Cash Assets at Beginning of Year 2,715,397 3,281,617

Cash Assets at End of Year 26(a) 2,041,619 2,715,397 The Statement of Cash Flows should be read in conjunction with the accompanying notes.

Page 36 Western Australian Greyhound Racing Association Annual Report 2005/2006

Notes to and forming part of the Financial Statements for year ended 31 July 2006 1.1 First time adoption of Australian equivalents to International Financial Reporting Standards (A) General This is the Association's first published financial statements prepared under Australian equivalents to International Financial Reporting Standards (AIFRS)

Accounting Standards AASB 1 'First time Adoption of Australian Equivalents to International Financial Reporting Standards' has been applied in preparing these financial statements. Until 31 July 2005, the financial statements of the Association had been prepared under the previous Australian Generally Accepted Accounting Principles (AGAAP).

The Australian Accounting Standards Board (AASB) adopted the Standards of International Accounting Standards Board (IASB) for application to reporting periods beginning on or after 1 January 2005 by AIRFS which comprise a Framework for the Preparation and Presentation of Financial Statements, Australian Accounting Standards and the Urgent Issues Group (UIG) Interpretations.

In accordance with the option provided by AASB 1 paragraph 36A and exercised by Treasurer's Instruction 1101'Application of Australian Accounting Standards and Other Pronouncements', financial instrument information prepared under AASB 132 and AASB139 will apply from 1 August 2005 and consequently comparative information for financial instruments is presented on the previous AGAAP basis. All other comparative information has been prepared under the AIFRS basis.

(B) Early adoption of standards The Association cannot early adopt an Australian Accounting Standard or UIG Interpretation unless specifically permitted by TI 1101 'Application of Australian Accounting Standards and Other Pronouncements'. This TI requires the early adoption of revised AASB 119 Employee Benefits' as issued in December 2004, AASB 2004-3 'Amendments to Australian Accounting Standards [AASB 119]', AASB 2005-4 'Amendments to Australian Accounting Standard [AASB 139,AASB 132, AASB 1,AASB 1023 and AASB 1038]' and AASB 2005-6 Amendments to Australian Accounting Standards [AASB 3]' to the annual reporting period beginning 1 August 2005.AASB 2005-4 amends AASB 139 'Financial Instruments: Recognition and Measurement' so that the ability to designate financial assets and financial liabilities at fair value is restricted.

1.2 Summary of significant accounting policies

(C) General Statement The financial statements constitute a general purpose financial report which has been prepared in accordance with the Australian Accounting Standards, the Framework, Statements of Accounting Concepts and other authoritative pronouncements of the Australian Accounting Standards Board as applied by the Treasurer's Instructions. Several of these are modified by the Treasurer's Instructions to vary application, disclosure, format and wording.

The Financial Administration and Audit Act and the Treasurer's Instructions are legislative provisions governing the preparation of financial statements and take precedence over the Accounting Standards, the Framework, Statements of Accounting Concepts and other authoritative pronouncements of the Australian Accounting Standards Board.

Where modification is required and has a material or significant financial effect upon the reported results, details of that modification and the resulting financial effect are disclosed in the notes to the financial statements.

(D) Basis of Preparation The financial statements have been prepared on the accrual basis of accounting using the historical cost convention, modified by the revaluation of land, buildings and infrastructure which has been measured at fair value. The accounting policies adopted in the preparation of the financial statements have been consistently applied throughout all periods presented unless otherwise stated. The financial statements are presented in Australian dollars rounded to the nearest dollar.

Page 37 Western Australian Greyhound Racing Association Annual Report 2005/2006

( E ) Reporting Entity The reporting entity comprises the Association and entities listed at note 32 'Related bodies'.

(F) Depreciation of Non-current Assets Property and Plant and Equipment represent the capital works and plant required for the Association's operations and except where stated otherwise are recorded at historical cost. Depreciation of non current assets is calculated using the straight line method with the exception of motor vehicles which employ the diminishing value method based on a depreciation rate of 18.75%. Buildings and improvements and major leasehold improvements are generally depreciated over 20 years or the unexpired portion of leased premises whichever is the lesser, in the case of leasehold improvements. With respect to Furniture, Equipment and Software, depreciation rates ranging from 6% to 33% are utilised. Capital acquisitions are those having a minimum value of $1,000 with a life expectancy of more than 2 years. Software, furniture and equipment of lesser value are fully expensed in the year of purchase.

(G) Valuation of Non-current Assets In accordance with AASB 1041, the Association elects to report non current assets at cost except for Freehold Land and Buildings. These asset classes were independently valued in February 2004 by John Garmony & Associates, 9 Hardy St. South Perth, Western Australia The freehold land valuation was based on adopting similar alternative use, while the buildings valuation was based on depreciated capital replacement value.

(H) Capital Works in Progress Capital works in progress represents costs associated with incomplete capital projects as at reporting date. Note 31 specifies capital works in progress by project, as at reporting date.

(I) Investments All investments relate to fixed term deposits held with Bank West on an at call basis. Consequently, all fixed term deposits are classified as current assets. (J) Inventory Inventory is valued at the lower of cost or net realisable value.

(K) Changes in Comparative Figures Where necessary, comparative figures for 2004/05 have been adjusted to conform with changes in presentation made in 2005/06. Any material changes are supported by note.

Page 38 Western Australian Greyhound Racing Association Annual Report 2005/2006

(L) Provisions - Employee Benefits Annual Leave and Long Service Leave The liability for annual and long service leave expected to be settled within 12 months after the end of the reporting date is recognised and measured at the undiscounted amounts expected to be paid when liabilities are settled. Annual and Long service leave expected to be settled more than 12 months after the end of the reporting date is measured at the present value of amounts expected to be paid when the liabilities are settled. Leave liabilities are in respect of services provided by employees up to the reporting date. When assessing expected future payments consideration is given to expected future salary levels including non-salary components such as employer superannuation contributions. In addition, the long service leave liability also considers the experience of employee departures and period of service. The expected future payments are discounted using market yields at the reporting date on national government bonds with terms to maturity that match, as closely as possible, the estimated future cash outflows. All annual leave and unconditional long service provisions are classified as current liabilities as the Association does not have an unconditional right to defer settlement of the liability for at least 12 months after the reporting date. A liability for long service leave is recognised after a salary employee has completed 4 years of service and wages staff have completed 7 years of service. An actuarial assessment of long service leave and annual leave undertaken by PriceWaterhouseCoopers Actuaries as at 31 July 2006. Superannuation The Association has no liabilities under the Pension or GSS Schemes. In joining the contributory Government Employees Superannuation Scheme in 1995, WAGRA has no liabilities for unfunded superannuation. Under current arrangements the liability for superannuation charges incurred under the Government Employees Superannuation Act is extinguished by fortnightly payment of employer contributions to the Government Employees Superannuation Board. (M) Provisions - Other Employment On-Costs Employment On-Costs, including workers' compensation insurance, are not employee benefits and are recognised separately as liabilities and expenses when the employment to which they relate has occurred. Employment on-costs are included as part of 'Other expenses' and are not included as part of the Association's' Employee benefits expense'.

(N) Revenue Sales revenue represents revenue earned from the sale of goods and services net of returns, allowances expenses and GST. Other revenue is fully described in the Income Statement. Distribution from RWWA is based on an agreed formula taking into account the performance of Greyhound Racing both On and Offcourse in WA. Reimbursement of expenses from external entities is accounted for as revenue in the Income Statement and not netted off against expenditure.

(O) Receivables, Payables, Accrued Salaries and Interest Bearing Liabilities Receivables are recognised at the amounts receivable and are due for settlement no more than 30 days from the date of recognition. Collectability of trade debtors is reviewed on an ongoing basis. Debts which are known to be uncollectible are written off. A provision for doubtful debts is raised where some doubt as to collection exists, providing that no known dispute exists as to the amount raised. Payables, including accruals not yet billed, are recognised when the economic entity becomes obliged to make future payments as a result of a purchase of assets or services. Payables are generally settled according to the terms of payment specified. Interest bearing liabilities are recognised and carried at the amount of net proceeds received. Interest is recognised as it becomes payable. Accrued salaries and wages represent the amount due to staff but unpaid at the end of the financial year as the end of the last pay period for that financial year does not coincide with the end of the financial year. The Association considers the carrying amount approximates net fair value.

(P) Net Fair Values of Financial Assets and Liabilities Net Fair Values of financial instruments are determined on the following bases: Monetary financial assets and liabilities not traded in an organised financial market - cost approximates net market value; Leave liabilities are recorded at current entitlements as at reporting date.

Page 39 Western Australian Greyhound Racing Association Annual Report 2005/2006

2005/06 2004/05 2. RWWA Distribution $$

RWWA Distribution 10,315,443 8,862,926 10,315,443 8,862,926

3. Grants from RWWA

Grants received from RWWA -Operating 650,000 820,000 Grants received from RWWA - Mandurah Redevelopment 250,000 - 900,000 820,000

4. On Course Totalisator

Oncourse Commission 1,398,837 1,221,773 Unclaimed Dividends 40,324 32,613 Goods and Services Tax (127,240) (110,994) Trading Income 1,311,921 1,143,392

The Goods and Services Tax (GST) is not applied to the consumption of gambling services. It is however, applied to the operators margin defined as the subscription wagering less sales commission) less the amount of prizes(dividends). The State provides reimbursement to gaming operators(includingWAGRA) for GST paid on the operator's margin. The GST paid on the operator's margin is disclosed as a cost of On Course Tote operation's(as above). Treasurer's Instruction 1102, however, requires the reimbursement of the GST to be disclosed as a grant from the State Government rather than offset against the cost to which it applies.

5. Food & Beverage

Sales 3,018,845 2,474,696 Less Cost of Goods Sold: Opening Stock 114,175 85,569 Purchases 1,305,033 1,131,561 Closing Stock (127,420) (114,175) 1,291,788 1,102,955 Trading Income 1,727,057 1,371,742

6. Other Racing Income

Trial Income 76,295 65,086 Gaming Income 107,904 97,108 Racebook Sales 59,071 61,880 Sundry Racing Income 378,673 172,068 621,943 396,142

Page 40 Western Australian Greyhound Racing Association Annual Report 2005/2006

7. Net Profit / (Loss) on Disposal of Non Current Assets 2005/06 2004/05 Proceeds from Disposal of Non Current Assets: $$

Furniture and Equipment 1,908 5,777 Motor Vehicles 12,946 85,455

14,854 91,232 Carrying Amount of Assets Sold:

Motor Vehicles 11,777 87,997

11,777 87,997

Profit/(Loss) on Disposal of Non-Current Assets 3,077 3,235

8. Other Administration Income

Venue Hire 37,562 51,813 Sundry Administration Income 178,903 208,387 216,465 260,200

9. Stakemoney & Trophies

Stakemoney 6,593,310 5,152,640 Breeders Bonus 354,700 127,600 Trophies 20,246 39,187 6,968,256 5,319,427

10. Employee Benefits Expense

Salaries and Wages - Oncourse Totalisator 358,428 337,224 Salaries and Wages - Food and Beverage 1,006,468 966,287 Salaries and Wages - Gaming 36,202 31,569 Salaries and Wages - Printing 95,016 104,017 Other Casual Wages 901,374 876,902 2,397,488 2,315,998

11. Other Racing Expenses

Direct Expenses - Oncourse Totalisator 152,053 137,119 Direct Expenses - Food and Beverage 161,125 278,043 Direct Expenses - Gaming 18,678 19,180 Veterinary Fees 138,373 159,182 Printing Expense 123,307 97,323 Security 83,638 68,963 Cleaning and Laundry 240,346 152,470 Sundry Racing Expenses 634,858 266,682 1,552,377 1,178,962

Page 41 Western Australian Greyhound Racing Association Annual Report 2005/2006

2005/06 2004/05 12. Employee Benefits Expense $

Salaries 802,447 802,670 Ground Staff Wages 329,563 282,031 Annual Leave 153,185 140,167 Long Service Leave 66,858 89,370 Fringe Benefit Tax 10,601 3,590 Training - Salaries & Wages 1,460 955 Training - Other 3,039 4,930 Employee Benefits 3,922 2,249 Admin Temp/Contract Staff 18,226 - Superannuation 299,838 252,420 1,689,137 1,578,381

13. Depreciation & Amortisation Expense Amortisation 13,969 8,328 Furniture and Equipment 236,505 212,904 Motor Vehicles 42,819 32,738 Buildings, Structures and Leasehold Improvements 373,618 329,975 666,911 583,945

14. Other Administration Expenses

Insurance 176,029 191,514 Motor Vehicle Expenses 44,366 43,889 Travel, Accommodation & Conferences 18,633 64,821 Legal & Appeal Expenses 871 3,192 Postage and Stationery 61,967 46,655 Rates and Taxes 79,601 53,700 Payroll Tax 181,002 186,361 Staff Recruitment Expenses 2,521 11,228 Sundry Administration Expenses 267,344 523,907 832,334 1,125,267

15. Leases

Lease expenses for period 325,000 325,000 CANNINGTON: The Western Australian Greyhound Racing Association has a lease with the Canning Agricultural, Horticultural and Recreational Society (Inc) for the lease of the Cannington Racecourse for a period of 30 years from 27th July 1981 with options of renewal for two further periods of 30 years each. Lease payments totalling $325,000pa are applicable to the 5 year period ending on 27th July 2006.

Lease Commitments: Commitments in relation to the lease contracted for at the reporting date but not recognised as liabilities, are payable as follows: Within one year 325,000 325,000 Later than one year and not later than five years 1,300,000 1,300,000 Later than five years - 325,000 1,625,000 1,950,000

Representing: Non-cancellable operating lease 1,625,000 1,950,000

Page 42 Western Australian Greyhound Racing Association Annual Report 2005/2006

16 Cash & Investments

All investments held by the Association at balance date were short term deposits held with Bank West on an at call basis. 2005/06 2004/05 $$ Short Term Deposits 1,675,207 2,549,498 Cash at Bank 219,322 45,454 Cash on Hand 147,091 120,445 2,041,619 2,715,397

17 Inventories

As at balance date inventories held by the Association were: Restaurant food stocks 43,067 35,293 Restaurant beverage stocks 84,353 78,882 127,420 114,175

18 Receivables & Prepayments

Accounts receivable for goods and services supplied 444,501 598,413 Prepayments 175,463 225,754 Accrued Income 1,650 4,941 621,613 829,108

Significant Terms and Conditions: (i) Sundry debtors are either seven or thirty day accounts. (ii) Credit Risk Exposure: The Association does not have any significant exposure to any individual customer or counterparty. (iii) Net Fair Values The Association considers the carrying amounts of accounts receivable approximate their net fair values.

Page 43 Western Australian Greyhound Racing Association Annual Report 2005/2006

2005/06 2004/05 19 Property, Plant & Equipment $$

Furniture, Equipment and Software at Cost 3,648,780 3,473,531 less accumulated depreciation (3,049,811) (2,813,306) 598,968 660,224

Intangible Assets 80,896 49,534 less accumulated amortisation (52,164) (38,195) 28,732 11,339

Motor Vehicles at Cost 254,593 255,234 less accumulated depreciation (90,263) (49,253) 164,330 205,980

Leasehold Improvements at Cost 4,222,354 4,037,686 less accumulated depreciation (2,546,620) (2,262,700) 1,675,734 1,774,986

Buildings, Structures and Improvements at Cost - Buildings, Structures and Improvements at Valuation 3,461,802 1,297,885 less accumulated depreciation (197,744) (108,047) 3,264,058 1,189,838

Land at Valuation 992,492 992,492 Work in Progress 139,115 1,526,782 1,131,607 2,519,274

6,863,429 6,361,641

Page 44 Western Australian Greyhound Racing Association Annual Report 2005/2006 0 0 $ (11,777) (666,911) Total 6,863,429 6,361,640 1,180,477 (1,387,667) (11,777) $$$$$ 175,249 31,362 12,946598,968 195,440 2,153,147 28,732 164,330 1,675,734 3,264,058 1,131,607 660,223 11,339 205,980 1,774,986 1,189,838 2,519,274 (236,504) (13,969) (42,819) (294,692) (78,927) Equipment Assets Vehicles Improvements Improvements WIP Furniture & Intangible Motor Leasehold Buildings and Land and Depreciation Revaluation depreciation adjustment Carrying amount at end of the year In accordance AASB 1041 the following reconciliation of carrying amounts of property, plant and equipment vehicles at the beginning and end of current financial year is set out below. Additions Net Disposals Carrying amount at start of the year of year plus Increments in asset class due to revaluation less

Page 45 Western Australian Greyhound Racing Association Annual Report 2005/2006

20 Loans to Affiliated Clubs

Two separate unsecured, interest free loans capped at an overall total of $144,878 are provided to Avon Valley Greyhound Racing Association for the financing of the Northam greyhound racing facility. Loan 1 ($58,140) and Loan 2 ($86,737) financed the racetrack and kennel block respectively. Whilst Loan 1 is repayable over 20 years commencing 1997/98, repayment of the second loan is not envisaged until such time as the operation becomes self supporting. Outstanding loans to AVGRA totalled $111,876 as at 31 July 2006

2005/06 2004/05 21 Payables $$

Accounts Payable 379,703 518,346 Accrued Expenses 74,336 94,508 Other Payables: Fees in Advance 462,213 391,293

916,253 1,004,147 All financial liabilities are unsecured. The Association considers the carrying amounts of creditors, accrued expenses and other payables approximate to their net fair values.

22 Provisions

Current Provisions: Annual Leave 280,173 197,187 Long Service Leave 187,931 146,138 On Costs Annual Leave and Long Service Leave 28,199 22,987 496,303 366,312 Non Current Provisions: Long Service Leave 110,268 78,393 On Costs Long Service Leave 6,742 5,450 117,010 83,843 613,313 450,155

23 Borrowings

(i) Significant Terms and Conditions: Total borrowings of $1.0m were secured by mortgage over real property by the WA Treasury Corporation. (ii) The Loan from WA Treasury Corporation was finalised in November 2005.

Opening Balance 1 August 454,852 172,170 add Revision of Balance 301,959 less Repayments (454,852) (19,277) equals Closing Balance 31 July 0 454,852

Represented by: Current Liability 0 66,305 Non-Current Liability 0 388,547 0 454,852

Page 46 Western Australian Greyhound Racing Association Annual Report 2005/2006

24 Auditors Remuneration 2005/06 2004/05 The total of fees paid or due and payable for the financial $$ year is as follows: Fees for External Audit (Excluding GST) 50,000 36,000

25 Remuneration of members of the Accountable Association and Senior Officers

(i) The total fees, salaries, superannuation and other benefits received or due and receivable for the financial year by Members of the Accountable Association, from the Statutory Association or any related body. 31,980 24,313

No members of the Accountable Association are members of the Pension Scheme.

The number of Members of the Accountable Association whose total of fees, salaries, superannuation and other benefits received or due and receivable for the financial year, falls within the following bands: $0 - $10,000 55

(ii) The total fees, salaries, superannuation and other benefits received or due and receivable for the financial year, by Senior Officers other than Members of the Accountable Association, from the Statutory Association or any related body. 524,609 633,194

The number of Senior Officers other than Members of the Accountable Association whose total of fees, salaries, superannuation and other benefits received or due and receivable for the financial year, falls within the following bands: 2005/06 2004/05 $ 40,001 - $50,000 $ 50,001 - $60,000 1 2 $ 60,001 - $70,000 2 $ 70,001 - $80,000 2 1 $ 80,001 - $90,000 1 1 $ 90,001 - $100,000 1 $100,001 - $120,000 1 $130,001 - $140,000 1

No Senior Officers are members of the Pension Scheme.

Page 47 Western Australian Greyhound Racing Association Annual Report 2005/2006

26 Notes to the Statement of Cash Flows

(a) Reconciliation of Cash For the purposes of the Statement of Cash Flows, cash includes cash on hand, cash at bank and investments in money market instruments. Cash at the end of the financial year as shown in the Statement of Cash Flows is reconciled to the related items in the Statement of Financial Position as follows: 2005/06 2004/05 $$

Cash at Bank 219,322 45,454 Investments 1,675,207 2,549,498 Cash on Hand 147,091 120,445 2,041,619 2,715,397

(b) Reconciliation of Operating Profit from Ordinary Activities to Net cash Flows Provided by Operating Activities

Net Operating Profit (1,019,893) (1,478,102) Non Cash items: Depreciation 666,911 583,945 WATC Loan Adjustment 301,959 Proceeds on Disposal of Non Current Assets (14,854) (91,232) Carrying Value of Non Current Assets Disposed 11,777 87,997 - Changes in Assets and Liabilities: Decrease in Receivables and Prepayments 207,494 707,631 Increase (Decrease) in Stock (13,245) (28,607) Net increase in GST Collected on Sales 7,010 (71,958) increase in Payables -87,895 500,092 Decrease in Employees Leave Entitlements (Current) 144,596 6,763 Increase in Employees Leave Entitlements (Non Current) 34,941 55,013 Increase in GST Payments on Purchases Net Cash Provided From Operating Activities (63,159) 573,502

Page 48 Western Australian Greyhound Racing Association Annual Report 2005/2006

27 Explanatory Statement Significant variations between actual results for 2004/2005 and 2005/2006 for income and expenses are shown below. Significant variations between budget estimates and actual results for 2005/2006 for income and expenses are shown below.

Significant variations are considered to be those greater than $100,000.

(i) Comparison of Actual Results of 2005/06 with those of the Preceding Year: 2005/06 2004/05 Actual Actual Variation ($'000) ($'000) ($'000)

RWWA Distribution 10,315 8,863 1,452 On-Course Totalisator 1,312 1,143 169 Food & Beverage 3,019 2,475 544 Other Racing Income 622 396 226

Stakemoney & Trophies 6,968 5319 (1,649) Marketing, Advertising and Promotions 621 938 317 Food & Beverage Cost of Sales 1292 1103 (189) Other Racing Expenses 1552 1179 (373) Other Admin Expenses 832 1125 293

Significant variations between and actual results for 2004/2005 and 2005/2006.

Income

(a) RWWA Distribution Variance due to payments of Stakemoney having increased by $1,440,670 (28%) and Breeders Bonus which has also increased

(b) On-Course Totalisator: An rise of 14% in on-course betting turnover on which this commission revenue is based is the primary factor for the positive result. Higher attendance on course is a direct result of increased Food & Beverage patronage for 2005/2006

(c) Food & Beverage: Revised marketing and promotional strategies for the Food and Beverage operation proved successful in generating a 22% increase in revenue for 2005/2006.

(d) Other Racing Income Increase in revenue due to the commencement of The Exotica Punter's Club in February 2006.

Expenses

(e) Stakemoney & Trophies: Stakemoney & Breeders Bonus increased due to RWWA policy and the offsetting revenue appears as RWWA Distribution at note 2 and item (a) above.

(f) Marketing, Advertising and Promotions: Reduction in expenses due to refocus of major advertising to Newspaper and radio for improved results.

Page 49 Western Australian Greyhound Racing Association Annual Report 2005/2006

(g) Food & Beverage Cost of Sales Refer note (c) above for Sales increase of $544,000 with resulting cost of goods increase.

(h) Other Racing Expenses Major variation was costs associated with Exotica Punter's Club which commenced in February 2006.Refer note (d) above. To cater for increased attendances on course the cost of on course entertainment increased accordingly.

(i) Other Admin Expenses In 2004/2005 an adjustment of $301,959 was made to increase the liability of the WA Treasury Corporation Loan which has now been. settled.

(ii) Comparison of Estimates and Actual Results: Significant variations are considered to be those over $100,000.

2005/06 2005/06 Budget Actual Variation ($'000) ($'000) ($'000)

RWWA Distribution 10,215 10,315 100 Food & Beverage Sales 2,492 3,019 527 Other Racing Income 244 622 378

Food & Beverage Cost of Sales 1098 1292 194 Depreciation and Amortisation Expense 530 667 137

Income

(a) RWWA Distribution: Actual revenue recorded for the period was $10.315 million against an estimate of $10.215 million. The majority of this variance is due to the increase in stakemoney paid and hence Distribution increased accordingly

(b) Food & Beverage Sales: Due to increased Restaurant attendance food and beverage sales were 21% higher than the budget based on previous year.

(c) Other Racing Income: Exotica Punter's Club commenced in February 2006 with income of $347k with no budget allowed.

Expenses

(d) Food & Beverage Cost of Sales: Due to increased Restaurant attendance food and beverage sales were 21% higher than the budget based on previous year with a corresponding increase in cost of goods sold.

(e) Depreciation and Amortisation Expense The Actual in 2005/2006 was$137k greater than budget due to prior year spend post budget preparation

Page 50 Western Australian Greyhound Racing Association Annual Report 2005/2006

29 Supplementary Financial Information

No assets were written off due to obsolescence or irreparable condition.

30 Capital Works in Progress As at 31 July, 2006 a total of 139,115 being capitalised costs associated with the Redevelopment of the Mandurah track and kennels.

31 Capital Commitments As at 31 July 2006 the Association had capital commitments of $1,445,686. These commitments are in relation to building work in progress with the Mandurah track and kennel complex.

32 Related Bodies There are no related bodies with respect to the Association's operation.

33 Affiliated Bodies Avon Valley Greyhound Racing Association is considered an affiliated body of the Association, operating from the Northam venue. Whilst WAGRA, through its Charter, holds the licence to conduct greyhound racing in this State, loans have been made available to AVGRA for the development of facilities at that site. Note 20 outlines the nature of all loans made by WAGRA to AVGRA and indicates that repayments on the first loan have commenced.

2005/06 2004/05 34 Movements in Reserves $$ Asset Revaluation Reserve: Opening Balance 1 January 825,930 825,930

- Closing Balance 825,930 825,930

35 Changes in Equity

Opening Balance 7,406,114 7,953,222 Net Profit 7,347 - 547,108 Retained Profits 7,413,461 7,406,114

Page 51 Western Australian Greyhound Racing Association Annual Report 2005/2006

Reconciliation of Income Statement for year ended 31 July 2005

GAAP AASB 116 AASB 101 AASB 119 AIFRS Income JULY 2004 JULY 2004 Revenue $$$$$ Racing: RWWA Distribution 8,237,661 8,237,661 Oncourse Totalisator 1,033,546 1,033,546 Food & Beverage Sales 1 1,178,422 915,339 2,093,761 Admissions 104,849 104,849 Sponsorship 144,974 144,974 Other Racing Income 640,684 640,684 Total Racing Income 11,340,136 915,339 12,255,475

Administration: Interest Revenue 198,565 198,565 Other Administration Revenue 823,326 823,326 Total Administration Revenue 1,021,891 - 1,021,891

Gains: Proceeds from Disposal of Non Current As 2 1,311,884 (1,311,884) 0 Gains on Disposal of Non Current Assets 2 434,091 434,091

Total Income 13,673,911 (877,793) 915,339 - 13,711,457

Expenses Expenses Racing: Stakemoney & Trophies 4,938,946 4,938,946 Employee Benefits 4 2,128,875 9,522 2,138,397 Marketing, Advertising and Promotions 646,317 646,317 C.C.T.V., Photo & Telecasting Link 285,544 285,544 Food & Beverage Cost of Sales 1 - 915,339 915,339 Other Racing Expenses 1,097,339 1,097,339 Total Racing Expenses 9,097,021 - 915,339 9,522 10,021,883

Administration: Employee Benefits 4 1,344,381 534,408 1,878,789 Payroll Costs 4 750,620 (750,620) 0 Charges to Provisions 4 1,084 (1,084) 0 Depreciation and Amortisation Expense 542,072 542,072 Corporate Utilities and Services 267,932 267,932 Lease 325,000 325,000 Maintenance 291,850 291,850 Borrowing Costs 73,079 73,079 Other Administration Expenses 4 1,450,989 (877,793) 207,774 780,969 Total Administration Expenses 5,047,007 (877,793) (9,522) 4,159,691

Total Expenses 14,144,028 (877,793) 915,339 - 14,181,574

Profit/(Loss) Before Grants and Subsidies from (470,117) - - - (470,117) State Government Net Increase in Asset Revaluation Reserve 825930 825,930 Grants and subsidies from State Government GST Recoup from State Government 99,271 99,271 RWWA Grants 1,032,759 1,032,759 Profit/(Loss) for the Period 1,487,843 - - - 1,487,843

Page 52 Western Australian Greyhound Racing Association Annual Report 2005/2006

Reconciliation of Income Statement for year ended 31 July 2005

Page 53 Western Australian Greyhound Racing Association Annual Report 2005/2006

Note to the opening balance sheet for year ended 30 June 2006

Reconciliation of equity at the date of transition: 1 July 2004

Page 54 Western Australian Greyhound Racing Association Annual Report 2005/2006

Reconciliation of Equity for year ended 31 July 2005

Page 55 Western Australian Greyhound Racing Association Annual Report 2005/2006

Reconciliation of Cash Flow Statement for year ended 31 July 2005

Page 56 Western Australian Greyhound Racing Association Annual Report 2005/2006

Page 57 Western Australian Greyhound Racing Association Annual Report 2005/2006

AUDITOR GENERAL

INDEPENDENT AUDIT OPINION

To the Parliament of Western Australia

WESTERN AUSTRALIAN GREYHOUND RACING ASSOCIATION FINANCIAL STATEMENTS AND PERFORMANCE INDICATORS FOR THE YEAR ENDED 31 JULY 2006

Audit Opinion In my opinion, (i) the financial statements are based on proper accounts and present fairly the financial position of the Western Australian Greyhound Racing Association at 31 July 2006 and its financial performance and cash flows for the year ended on that date. They are in accordance with applicable Accounting Standards and other mandatory professional reporting requirements in Australia and the Treasurer’s Instructions; (ii) the controls exercised by the Association provide reasonable assurance that the receipt, expenditure and investment of moneys, the acquisition and disposal of property, and the incurring of liabilities have been in accordance with legislative provisions; and (iii) the key effectiveness and efficiency performance indicators of the Association are relevant and appropriate to help users assess the Association’s performance and fairly represent the indicated performance for the year ended 31 July 2006.

Scope The Association is responsible for keeping proper accounts and maintaining adequate systems of internal control, for preparing the financial statements and performance indicators, and complying with the Financial Administration and Audit Act 1985 (the Act) and other relevant written law.

The financial statements consist of the Income Statement, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and the Notes to the Financial Statements.

The performance indicators consist of key indicators of effectiveness and efficiency.

Summary of my Role As required by the Act, I have independently audited the accounts, financial statements and performance indicators to express an opinion on the financial statements, controls and performance indicators. This was done by testing selected samples of the evidence. Further information on my audit approach is provided in my audit practice statement. Refer "http://www.audit.wa.gov.au/pubs/Audit-Practice-Statement.pdf".

An audit does not guarantee that every amount and disclosure in the financial statements and performance indicators is error free. The term “reasonable assurance” recognises that an audit does not examine all evidence and every transaction. However, my audit procedures should identify errors or omissions significant enough to adversely affect the decisions of users of the financial statements and performance indicators.

JOHN DOYLE ACTING AUDITOR GENERAL 16 October 2006

4th Floor Dumas House 2 Havelock Street West Perth 6005 Western Australia Tel: 08 9222 7500 Fax: 08 9322 5664

Page 58 Western Australian Greyhound Racing Association Annual Report 2005/2006

Key Performance Indicators

Desired Outcome: The effi cient administration, promotion and maintenance of greyhound racing.

Service: Entertainment and opportunity through greyhound racing.

The overall service includes the supporting activities of:

Services and Facilities: The provision of optimum quality services and facilities to encourage maximum participation in greyhound racing by participants and spectators.

Industry Promotion: The encouragement of direct participation in the greyhound racing industry by providing appropri- ate quality and quantity of infrastructure, incentives and opportunities to participate.

GRAPH 1 Attendance at Race Meetings Comparison by Venue 2002/03 to 2005/06

Effectiveness 80,000

Attendances at race meetings are prime indicators of 60,000 public support for WAGRA’s investment in oncourse services and facilities together with the performance of

40,000 oncourse totalisator profi t.

Attendances at free admittance race meetings, where No of Patrons 20,000 there are no gate records kept, are assessed on es- timate of patrons by the Manager Operations or duly 0 2002/03 2003/04 2004/05 2005/06 appointed race meeting manager. Cannington 60,335 65,232 71,149 85,471 Mandurah 42,354 50,613 50,048 54,845 Northam 3,100 3,116 3,588 3,755

Page 59 Western Australian Greyhound Racing Association Annual Report 2005/2006

GRAPH 2 Oncourse Totalisator Turnover Comparison by Venue 2002/03 to 2005/06 5,000,000 Effectiveness

4,000,000 Oncourse totalisator turnover is directly related to the Association’s oncourse tote commission and is a ma- 3,000,000 jor income source for operations. The importance of this commission also refl ects WAGRA’s commitment 2,000,000 to attract oncourse patrons. Turnover ($) Turnover

1,000,000

0 2002/03 2003/04 2004/05 2005/06 Cannington 3,398,289 3,922,022 4,459,279 4,952,161 Mandurah 1,591,793 2,073,742 2,175,195 2,737,807 Northam 203,780 204,728 210,524 216,612

GRAPH 3 Offcourse Totalisator Turnover Comparison by Venue 2002/03 to 2005/06

250,000,000 Offcourse totalisator turnover is the single most impor- tant factor to the main income source, RWWA Distribu- 200,000,000 tion. Coverage of local and interstate race meetings through TAB agencies, quality of race meetings, stake- 150,000,000 monies and the overall promotion of this racing code in ($) WA are collectively important to maximise the interest 100,000,000 of offcourse investors. The success of this business output is paramount to the achievement of the desired Turnover Turnover 50,000,000 business outcome.

0 2002/03 2003/04 2004/05 2005/06 Eastern States 173,697,340 195,792,083 223,988,488 241,546,157 Cannington 16,015,950 15,454,618 18,360,764 19,841,660 Mandurah 18,420,027 21,879,202 23,076,788 27,373,524 Northam 2,100,448 2,095,714 2,662,436 2,908,271

Page 60 Western Australian Greyhound Racing Association Annual Report 2005/2006

GRAPH 4 Racing Opportunities Comparison by Venue 2002/03 to 2005/06

150 Effectiveness

Race meetings held at the three locations provide the

100 opportunity for owners, as well as trainers, to race their greyhounds. Whilst the graph logs race meet- ings, the number of races held in 2005/06 was 3,151 as compared to 3,109 the previous year. 50 No of Race Meetings

0 2002/03 2003/04 2004/05 2005/06 Cannington 104 95 105 105 Mandurah 125 143 128 129 Northam 27 22 26 26

GRAPH 5 Average Stakemoney Paid/Meeting Comparison by Venue 2002/03 to 2005/06 Stakemonies paid in conjunction with the number of $20,000 race meetings held provide the incentive for new and

y existing owners, as well as trainers, to increase their e

n interest in the sport. In 2005/06 stakemoney totalled o

g $18,000

$6.593 million being paid over 260 race meetings

n

m

i t

e and an additional $37k was allocated in the form of

e

k e a trophies and incentives. Country stakemoney for

t $16,000

M S

/ Northam racing reduces the average stakemoney

d e

i paid per meeting.

g

a a

P $14,000

r

e

v A $12,000 2002/03 2003/04 2004/05 2005/06 Av Stakemoney $17,307 $18,259 $19,894 25,359

Page 61 Western Australian Greyhound Racing Association Annual Report 2005/2006

WAGRA Costs per $000 of Betting Turnover Operating Expenses to Betting Turnover Comparison by Venue 2002/03 to 2005/06 The table shows total operating expenses to total Audited KPI turnover for betting assessed as a global indicator TOTAL OPERATING COST/$000 for the overall operations of WAGRA, in particular the PERIOD BETTING EXPENSES BETTING output of maximum participation in greyhound racing TURNOVER $000 TURNOVER by investors and spectators. $000 The operating expenses are identifi ed as a relevant and measurable output to generate customer invest- 2005/06 299,576 15,595 52.07 ment through betting sales.

2004/05 274,933 14,069 51.17

2003/04 241,422 14,144 58.59

2002/03 215,428 12,742 59.15

Operating expense amounts above exclude expenses relating to Food and Beverage cost of sales.

Page 62 Western Australian Greyhound Racing Association Annual Report 2005/2006

Page 63 Western Australian Greyhound Racing Association Annual Report 2005/2006

AUDITOR GENERAL

INDEPENDENT AUDIT OPINION

To the Parliament of Western Australia

WESTERN AUSTRALIAN GREYHOUND RACING ASSOCIATION FINANCIAL STATEMENTS AND PERFORMANCE INDICATORS FOR THE YEAR ENDED 31 JULY 2006

Audit Opinion In my opinion, (i) the financial statements are based on proper accounts and present fairly the financial position of the Western Australian Greyhound Racing Association at 31 July 2006 and its financial performance and cash flows for the year ended on that date. They are in accordance with applicable Accounting Standards and other mandatory professional reporting requirements in Australia and the Treasurer’s Instructions; (ii) the controls exercised by the Association provide reasonable assurance that the receipt, expenditure and investment of moneys, the acquisition and disposal of property, and the incurring of liabilities have been in accordance with legislative provisions; and (iii) the key effectiveness and efficiency performance indicators of the Association are relevant and appropriate to help users assess the Association’s performance and fairly represent the indicated performance for the year ended 31 July 2006.

Scope The Association is responsible for keeping proper accounts and maintaining adequate systems of internal control, for preparing the financial statements and performance indicators, and complying with the Financial Administration and Audit Act 1985 (the Act) and other relevant written law.

The financial statements consist of the Income Statement, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and the Notes to the Financial Statements.

The performance indicators consist of key indicators of effectiveness and efficiency.

Summary of my Role As required by the Act, I have independently audited the accounts, financial statements and performance indicators to express an opinion on the financial statements, controls and performance indicators. This was done by testing selected samples of the evidence. Further information on my audit approach is provided in my audit practice statement. Refer "http://www.audit.wa.gov.au/pubs/Audit-Practice-Statement.pdf".

An audit does not guarantee that every amount and disclosure in the financial statements and performance indicators is error free. The term “reasonable assurance” recognises that an audit does not examine all evidence and every transaction. However, my audit procedures should identify errors or omissions significant enough to adversely affect the decisions of users of the financial statements and performance indicators.

JOHN DOYLE ACTING AUDITOR GENERAL 16 October 2006

4th Floor Dumas House 2 Havelock Street West Perth 6005 Western Australia Tel: 08 9222 7500 Fax: 08 9322 5664

Page 64 Western Australian Greyhound Racing Association Annual Report 2005/2006

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