2018 Annual Report
social DINING & BAR ASIAN RESTAURANT Photography by Meg Gibb SS&A | 2018 ANNUAL REPORT 2 In This Report
About SS&A Albury...... 2
About This Report...... 3
Key Achievements...... 4
Member Focus...... 5
Redevelopment News...... 6
The Year That Was...... 7
SS&A Fun Facts...... 8
Employee Focus...... 10
Sports Sponsorship Focus...... 11
Community Focus...... 12
Executives' Report...... 17
Directors' Report...... 19
Finance Report...... 25
Auditor’s Declaration...... 40
SS&A | 2018 ANNUAL REPORT 1 This was to be not merely for RSL men who had served About SS&A Albury overseas, but for many ex-servicemen who had not The origins of the Albury Sailors, Soldiers and Airmen’s left Australia. Club Ltd may be traced back to the Albury and District Using the Memorial Hall Fund, the RSL bought the War Services Hall Appeal Committee. This group of buildings at 611 Dean Street, which had been a service World War I diggers, service groups and parents of rest room throughout the war and up to February men serving in World War II set out in 1944 to raise 1946. SS&A was formally opened in October 1946 and 14,000 pounds for a Services Memorial Hall. was registered under the Liquor Act in 1947. In 1954, After the war ended, the Memorial Hall Fund was far the club bought land in Olive Street and a new club short of its target. Also, different attitudes prevailed headquarters, independent of the RSL, was opened when the boys came home. Instead of a memorial hall, there in July 1960. the idea of a licensed club gained favour. Source - SS&A Club: A History, by Howard C. Jones, 1994
Today, SS&A Albury is a premium entertainment venue in the heart of the Albury CBD. The venue has two restaurants catering for small to large groups. Social Dining & Bar features your favourite club classics including succulent steaks, schnitzels and burgers as well as an extensive kid’s menu and enclosed kid’s play area. Zhúzi Asian Restaurant offers authentic Asian flavours in traditional dishes that are sure to please.
The venue features three bars, each with their own With an outdoor courtyard, plenty of convenient identity, creating three distinct destinations in parking plus conferencing and function facilities the one place. The Studio boasts the best free live available, SS&A Albury is the place for Albury entertainment on Friday and Saturday nights; enjoy Wodonga locals and visitors to eat, drink and play. the Aurum Lounge for an upmarket experience; while The Locker Room is the region’s best sports bar with giant screens and betting facilities.
SS&A | 2018 ANNUAL REPORT 2 Our Mission To be regional Australia’s best entertainment experience
About This Report The 2018 Annual Report provides a comprehensive account of the venue’s performance from 1 June 2017 to Our Promise 31 May 2018. The report is presented We promise to give our customers an experience as a commitment to transparent they’ll never forget and an experience they’ll want financial reporting, good corporate to share. We promise to exceed their expectations on the quality of food and beverage, entertainment governance and clear strategic and customer service. We promise to give them planning for future sustainability. more reasons to keep coming back. The Annual Report demonstrates initiatives undertaken throughout the 2017/18 period to strive toward our mission of regional Australia’s best entertainment experience, to maintain our brand identity as a Our Brand community-orientated hospitality We are a community-oriented hospitality venue and to deliver on our customer venue that is welcoming and down-to-earth first promise. while also being dynamic and entertaining for our wide range of customers. Finally, this publication reflects our commitment to improving member equity, to serving our community and to enhancing the working life of our employees.
Our Values Customer First Entertain Exceed Expectations Teamwork Clever Dicks
SS&A | 2018 ANNUAL REPORT 3 Key Achievements In the past five years, SS&A Albury has been committed to a strategic plan of ensuring financial stability. Through that time it has continued to experience a period of financial growth and development that has seen the introduction of the brands that make up the identity of SS&A Albury today. $6,500,000 $140,000+ wages and other staff benefits training costs or $1,300 per staff member
$355,000 SS&A partnered with 197 in direct community grants, businesses including 88 local businesses donations and sponsorship
Membership Growth Five Year Growth 2013 15,386 2014 17,671 Revenue...... +15%
2015 18,578 2016 20,809 Food, Beverage and Gaming Revenue. . . +36%
2017 21,092 2018 23,748 Food and Beverage ...... +37%
EBITDA...... +40%
Net Profit...... +150%
Development Timeline Development investment into the facilities at SS&A Albury for the past five years has exceeded $5,185,000.
2014 2015 Zhúzi Asian Restaurant, The Locker Room + The Studio X-Golf + Aurum Alfresco
ASIAN RESTAURANT
March September December September December
2016 2017 2018 Lush Bar Albury Street Food & Bar Social Dining & Bar ALBURY STREET FOOD + BAR social DINING & BAR
SS&A | 2018 ANNUAL REPORT 4 Member Focus Pat’s Lifetime Commitment Recognised “I went to TAFE to do a computing course for the bowls, and also went there to use a lathe and do some A former Director of five years and woodwork. I made lounge chairs for the club to raffle, foundation secretary of the SS&A Women’s made all the shields for their championships and also Bowling Club, Pat Flynn has been the ones for the Riverina District, which they still play for today.” honoured with a Life Membership of SS&A. It’s the first time a female member of SS&A has received the accolade.
Her involvement with SS&A came largely through her husband Des, who was also a long-time member, going on to also become a Club Director and Life Member. “I’ve had such a long attachment to the club really, through my husband Des, early on in 1969 when it was a men’s only club,” Pat said. Pat held numerous roles at the SS&A Women’s Bowling Club, including 25 years as Secretary, but perhaps her greatest memory is when women were allowed to be full members of SS&A. While it’s difficult to sum up the years of voluntary work and commitment to SS&A, Chief Executive “Probably my best thoughts were when they told us Officer Gerard Darmody says Pat’s honour as a Life we could be full members, because we thought it Member is well deserved. would never happen,” Pat said. “I think its excellent, from the board’s perspective and Pat’s five years as a Club Director was also an accolade the members who nominated her,” Gerard said. “It’s a that only came about through encouragement once great reward and recognition for all her time and effort husband Des stepped down due to ill health. put into the Club over many years. We’re very proud, Pat’s trailblazing ways for women were forged early it’s a great achievement.” when she pursued a career in the Airforce. As the first female awarded a Life Membership, it’s Pat even turned her hand at creating many of the clear Pat’s trailblazing ways are still making an impact. trophies for the bowling club. Source – Border Café, article by Kylie King, October 2018 | Photography by TruPics
We Celebrate Our Life Members Bert Braddy 1951 Merv Burke 1978 George Spurr 1982 Fred Scott 1987 Eric Foley 1952 Jack Phillips 1978 Col Fraser 1984 Pat Cain 1997 Clarrie Bowring 1952 Ted Easton 1978 Eric Shields 1987 Paul Packham 2006 Doug Milham 1973 Roy Maloney 1982 Des Flynn 1987 Graham Garvie 2016
SS&A | 2018 ANNUAL REPORT 5 Redevelopment News The period of Financial Year 2017/2018 was a year where SS&A Albury lived and breathed our promise to give members and guests more reasons to keep coming back.
Lush Bar was altered into one of the trendiest cocktail During the summer period, SS&A Albury was the place bars in the region. With value for money cocktails to be with the launch of Albury Street Food & Bar – the featuring premium spirits, Cocktails @ Lush Bar gave region’s first and only outdoor street food eatery. A patrons an intimate setting to meet up with friends section of the venue’s carpark was transformed into for an after-work tempter, a pre-dinner palette a casual dining experience where different cuisines cleanser or a post-band refresher. After extensive rotated weekly, creating a new experience each week. training with SouthTrade International, the supplier The colourful furniture, twinkly lights and revamped of the premium spirits and mixers, our staff came up kid’s room created a fantastic atmosphere. Local with their own creations which featured each week vendors traded alongside our own Justin’s Josper and for just $10 between 5pm and 9pm. These fun and The Shack, sending delicious fragrances wafting into colourful cocktails complemented the extensive list the balmy summer air. Crowds flocked to try out the and gave our patrons a reason to visit each week to try new concept, with the opening night seeing over something new. 500 patrons through the doors. Hundreds of new members were joined up as we introduced the venue to a brand-new audience. Anticipation continues to build for the next stage of redevelopment at SS&A Albury, Social Dining & Bar. The period of 2017 to 2018 ended with hoarding around what was previously known as The Café. Shortly after, a refurbishment of the Bistro took place, with the new precinct opening to members and guests in early September. The builders continue to work behind the scenes, transforming the kitchen, with works due for completion at the end of 2018.
Aware Furniture Takes Pride of Place at New Venue While there is excitement among casual foodies about the new Albury Street Food & Bar precinct at the SS&A, one group of locals is particularly looking forward to enjoying the outdoor venue. Aware Employment furniture builders were commissioned to build bar stools, tables and chairs from recycled pallets, as part of the precinct’s fit-out. Aware Production Supervisor Dylan Muggivan says it’s one of the biggest projects his team has undertaken. “We haven’t done an order probably that big before, but it was a good challenge and the guys did really well,” he said. Furniture builder Roland Touzel says there was great pride in putting this order together. “Starting the job was a bit nervous, because our work is going to be looked at by a lot of people, but also could bring more business for us, which is great in the long run,” Roland said. Sharon Preiss from Aware says there’s been a lot of ‘chatter’ about the project. “They’re very excited and definitely can’t wait to have a look at it – even the people who don’t work on the furniture,” Sharon said. “It’s a great opportunity for our guys and very morale building. They love being part of the community and knowing the furniture they made is being seen here with our logos on is really exciting. Everything we do we focus on sustainability, but also providing really good jobs and opportunity for growth for people with disability.”
Source – Border Café, article by Kylie King, December 2017 | Photography by TruPics
SS&A | 2018 ANNUAL REPORT 6 The Year That Was Bliss N Eso One of the biggest names in the music industry, Bliss N Eso, appeared in the SS&A Auditorium on Friday 16 June to a sell-out crowd. Tickets were sold out within 48 hours, making them the hottest tickets in town. The successful event was soon followed by another massive act, Illy, that also sold out.
Win a Car or Cash Promotion In one of the biggest promotions that SS&A Albury has seen, a Volkswagen Amarok from Wodonga Prestige was up for grabs on Sunday 18 June. One lucky winner was given the choice between the vehicle valued at $$47,250 or $20,000 cash. Of course, the winner chose the car, who wouldn’t?
Star Rewards Loyalty & Membership Program The card is governed by the Star Rewards Terms & Conditions and must JOHN SMITH Thebe presented onStar request. Rewards program was refreshed and relaunched to members ORDINARY MEMBER 00 / 00 / 0000 with a new look on Friday WAY THIS INSERT 23 June. A stylish new white membership card 0 82 Oli e Street, Al ury, New South Wales
wasTHIN ABOUT YOURintroduced CHOICES Gam ling Help 1800 8 8 8 8 www gam linghelp nsw go au with a series of promotions to celebrate. Star Pay eftpos 00000 program was also relaunched a few months later in October. www ssaclu com au
Mayweather vs McGregor Lorem ipsum dolor sit amet, consectetuer adipiscing elit, sed diam nonummy nibh euismod tincidunt ut laoreet dolore magna aliquam erat volutpat. Ut wisi enim ad minim veniam, quis Arguably the biggest sporting event for thenostrud year exerci tation ullamcorper in suscipitThe lobortis nislLocker ut aliquip Room ex ea commodo consequat. Duis autem vel eum iriure dolor in hendrerit in vulputate velit esse molestie consequat, vel illum was the much-hyped bout between boxer, doloreFloyd eu feugiat nulla facilisis Mayweather, and UFC fighter, Conor McGregor,ELECTRONIC USE ONLY on Sunday 27 August. Hundreds gathered in
The Locker Room with overflow throughout the venue, including 200 in
The card is governed by the Star Rewards Terms & Conditions and must the Auditorium,JOHN SMITH to manage the capacity. be presented on request. DIAMOND MEMBER
00 / 00 / 0000 INSERT THIS WAY WAY THIS INSERT
0 82 Oli e Street, Al ury, New South Wales
THIN ABOUT YOUR CHOICES Gam ling Help 1800 8 8 8 8 www gam linghelp nsw go au 00000 The Locker Room Chilli Challenge The ultimate tribute to chilli took place in August. Patrons were invited to take on the chilli challenge – a bowl of super hot wings. 30 competitors made it through and were invited back to compete to see who was the toughest of all on Friday 31 August. The winners were declared chilli champions and shared in $500 cash.
Win a Camper or Cash Promotion A Coolibah Camper CC-W, from Camper Trailers Albury Wodonga, was on display in the lead up to the promotion on Friday 29 September. In one of the busiest nights all year, one lucky winner was given the choice to take the camper or $15,000 cash. The camper was the choice.
Caulfield Cup Calcutta Sweepstakes On Friday 20 October, hundreds gathered in The Locker Room to compete in the Caulfield Cup Calcutta Sweepstakes, in partnership with Wangaratta Turf Club. With the prize pool starting at $1,500, it soon reached over $9,000 and was shared between four lucky winners, including (in the interest of good sportsmanship) 5% for the last horse.
SS&A | 2018 ANNUAL REPORT 7 The Year That Was SS&A Fun Facts Pillar of Gold Promotion Membership In October, a massive pillar of gold coins was erected in the David Street entrance. Over $30,000 in gold 23,748 members coins were used to fill the structure. The generous promotion was held to celebrate SS&A Albury’s 71st 169,130 visitors through our doors birthday with one lucky member taking home $10,000 on Tuesday 31 October. $12,350 Star Rewards points given in Daily Rewards
2,500+ members & guests attended on ANZAC Day
550 attended the region’s biggest 2 up game
Studio Game Show The inaugural Studio Game Show was hosted by Steve Murphy on Wednesday 25 October. Contestants are invited to participate in SS&A variations of classic games shows such as Family Feud, Wheel of Fortune, Deal or No Deal and The Price is Right. Winners have the chance to win a Showcase valued up to $10,000.
Communication 17,470 social media followers Albury Street Food & Bar The region’s first and only outdoor street food eatery 1,695,395 opened on Thursday 21 December to rave reviews. total Facebook reach for the year “The food tonight was great. Tacos platter and the best
damn chicken wings I have had in a long time. Nice 11,600 people reached with most vibe with some soft mellow tunes.” popular Facebook post
180,640 emails & 28,995 SMS sent
SS&A | 2018 ANNUAL REPORT 8 Promotions Food & Beverage
$1,253,065 in jackpots won 7,604 steaks $332,200 in cash & prizes won by members
$325,800 won in bingo prizes 2,592,785 raffle numbers sold 8,636 $265,815 worth of Landslide prizes cheesy garlic bread won
5,500 meat trays won 9,020 kid’s meals
279,540 schooners
Entertainment 8,243 48 hours for Bliss N Eso Off The Grid bowls of rice Tour to sell out 600 tickets 1,050 attended biggest live & free for Shannon Noll on 3 November
$154,250 invested in local bands 17,484 roast of the day $182,500 to bring international guests to Albury
$64,600 spent on local accommodation for bands 9,668 tickets sold to live shows 2,385 Zhúzi lunch specials
SS&A | 2018 ANNUAL REPORT 9 Employee Focus SS&A Albury are proudly a major employer Jane has worked as Gaming Team Leader, Gaming in the local region. Whether a casual job Supervisor and in various roles within accounts. She is currently full-time and has returned for the fourth while studying or a full-time career, our time to the role of Cash Management Office. In this employees are crucial to the continued busy and important role, Jane manages the cash flow success of SS&A Albury. We strive to create through the venue. In 20 years, Jane has reported to just two managers, current CEO, Gerard and current a culture of teamwork by demonstrating Finance Manager, Julian. Jane is involved in softball ANZAC spirit; working as a team, showing with North Albury Bears in her spare time. respect, working hard and maintaining a Karen Jones – 20 years good humour. Karen Jones joined SS&A in October 1997, reaching a milestone of 20 years in 2017. Karen started as a Lorraine Wetmore – 30 years kitchen hand in a casual capacity and later added laundry to her role, increasing her hours to part-time. Lorraine Wetmore has been a feature of SS&A since The opportunity to work in the laundry came up only October 1987, making October 2017 a milestone of when the previous employee retired. Karen has seen a 30 years. Lorraine started in the venue in a customer lot of change in 20 years and is excited to be working service role in catering, coming on in a part-time as part of the Social Dining & Bar team. When not at capacity and quickly moving into a full-time role. SS&A, Karen is heavily involved in different sports, When not serving our members and guests coffees particularly softball. Karen is Life Member of Lavington and lunches in our café, Lorraine raced greyhounds Comets, is a level three coach and has some of her six having as many as four at one time. She’s now the grandkids involved as well. face that will greet you in our new Social Dining & Bar during the day. Lorraine is most proud of her two 20 years 5 years grandchildren, aged 15 and 17 years. Lindsay O’Neill Nathan Collins Jane Gallagher – 20 years 10 years Susan Neave Tracy McCormack Krista Schulz Jane Gallagher has been with SS&A for a milestone Celenina Stojanovic of 20 years, after joining as a casual Gaming and Bar Bruce Whitting Phillip Williams Rhiannon Taylor attendant in October 1997. In those two decades, Zachary White
126 Current staff employed for a combined total of employees venue-wide 201,473 days / 551 years
1,431,837 40 new starters hours worked June 2017 to May 2018
77 female l 49 male | 62 permanent employees l 64 casuals
SS&A | 2018 ANNUAL REPORT 10 Sports Sponsorship Focus In 2017/18, SS&A Albury donated over $130,000 to sporting leagues and clubs in the local region including SS&A Ovens & Murray Football Netball League, Murray United Football Club, Lavington Panthers Football Netball Club, St Pats Football Club, Murray Masters Football Club, Tallangatta Football Netball Club and Wodonga Bulldogs Football Netball Club. Board and management of SS&A Albury are proud to donate these essential funds and recognise that it couldn’t be achieved without the continued support of members, guests and staff.
SS&A Ovens & Murray Football Netball League Murray United Football Club The Ovens & Murray is the premier football and netball Murray United FC has teams competing in Football league in regional Australia. They deliver a sustainable, Federation Australia’s (FFA) National Premier Leagues competitive and innovative league that engages competition. Murray United is committed to with the local community. The league includes clubs ensuring football players in the region have the best across Albury, Wodonga, Lavington, Wangaratta, opportunity to develop the skills and knowledge Yarrawonga, Myrtleford and Corowa-Rutherglen. SS&A required to compete at the elite level. With teams is the naming rights sponsor of the Ovens & Murray competing in under 12 through to senior divisions, Football Netball league and the partnership is 18 both males and females have the opportunity to years old, with contributions exceeding over a million regularly compete at the elite level, bridging gaps in dollars, representing one of the strongest sponsor talented player pathways. SS&A Albury has sponsored partnerships in regional sport. Murray United FC since 2015.
Ovens & Murray Murray United Lavington Panthers Murray Masters Football Netall League Football Club Football Netball Club Football Club
St Pats Football Club Tallangatta Football Wodonga Bulldogs Netball Club Football Netball Club
SS&A | 2018 ANNUAL REPORT 11 Community Focus In 2017/18, SS&A Albury donated over $135,000 to community groups in the local region including Albury Wodonga Regional Cancer Centre, Upper Murray Family Care, YES Unlimited, Albury Wodonga Regional Foodshare, Fight MND, Albury RSL, Albury Legacy, Boys to the Bush, Border Ovarian Cancer Awareness Group, Albury Wodonga Pipes & Drums, Belvoir Special School, Lavington East Public School, St Anne’s Primary School. Board and management of SS&A Albury are proud to donate these essential funds and recognise that it couldn’t be achieved without the continued support of members, guests and staff.
Albury Wodonga Regional Cancer Centre been delivering a range of services and support in $40,000 donated Albury and surrounding areas for more than 35 years, including accommodation and homelessness services, Albury Wodonga Regional Cancer Centre is a unique therapeutic services and a youth resource centre. service that was established in 2009. It is the first cross Their team of over 30 staff are passionate about our border public health service to exist in Australia and community, and believe that everyone should have operates under an agreement between NSW and access to the resources, knowledge and support they Victoria governments to provide the largest regional need to thrive. health care services between Sydney and Melbourne. It supports a catchment population of 250,000, Bluearth Active Schools Program covering North East Victoria and southern NSW. They $10,000 donated to three schools have over 2,100 staff and over 200 volunteers working at two public hospitals, two rehabilitation centres, a Bluearth Active Schools Program delivers programs dental clinic and mental health services to meet the throughout Australia in urban, rural and remote needs of our diverse regional community. communities to show the value of movement and create positive experiences in activity. Their work with Upper Murray Family Care schools, teachers, parents and carers highlights how $30,000 donated in first of three instalments they can encourage and nurture children to be active every day, enabling them to reach their full potential. From humble beginnings in 1979, Upper Murray This year, SS&A Albury donated $5,000 to St Anne’s Family Care has grown into a vibrant and diverse Primary School, $2,500 to Lavington East Public School organisation, with a primary goal of strengthening, and $2,500 to Belvoir Special School to enable them to nurturing and caring for children and families secure the program. throughout North East Victoria and the Upper Murray. They are an independent, non-government, Albury Wodonga Regional Food Share community managed agency, offering a range of $20,000 donated quality services that are responsive to the varying Albury Wodonga Regional Food Share is the logistical needs of communities extending from the cities solution to food insecurity in our region. They of Albury, Wodonga, Wangaratta and Benalla, to work collaboratively to maximise the volume and townships throughout the Towong, Mansfield, nutritional quality of food for local people in need. Alpine and Indigo shires. They rescue food on a mass scale by operating a Albury Wodonga Youth Emergency Services first-class warehouse in Wodonga that receives, sorts, (YES Unlimited) stores and distributes rescued food with the help of $20,000 donated a growing team of volunteers. They share rescued food and meals with welfare agencies, schools and YES Unlimited is all about investing in people and neighbourhood houses in the Albury Wodonga region building better communities. They are a not-for- to give to people that would otherwise go hungry. profit, community-based organisation and have
SS&A | 2018 ANNUAL REPORT 12 Why Food Share Matters For those of us complaining about the choices “With the ‘war on waste’ publicity, supermarkets, who surrounding the daily question ‘what are we going are our main source of food, have responded and to have for dinner tonight?’ spare a thought for the changed their systems, so there’s less excess food people in our region who have no choices, and simply available in the system.” run out of food every day. This is where generous corporate and community Albury Wodonga Regional Food Share is making good organisations are helping to fill the short fall with in-roads into emergency food relief, but manager Peter precious cash donations, including an annual Matthews concedes there’s still a long way to go. donation of $20,000 over the past three years from the SS&A, which has just been renewed for another three “It’s quite concerning and more common than years. anybody realises,” Peter said. “Running out of food is a consequence of running out of cash. Many people can “Their generosity has been fantastic,” Peter said. “One go from having a comfortable middle-class existence, of the things we want to do is ensure we get that but a medical emergency, for example, can clean out balanced diet, so we purchase about $20,000 worth of the cash reserves of these families really quickly.” fresh food annually just to fill those gaps.” Albury Wodonga Regional Food Share acts as a While Albury Wodonga Regional Food Share is clearly warehouse hub for donated or rescued food across a much-needed resource, there’s still plenty of work to the region. Volunteers then spend their time packing be done. and assembling orders for collection or distribution to Source – Border Café, article by Kylie King, June 2018 | Photography by TruPics service agencies who deal directly with people in need.
SS&A | 2018 ANNUAL REPORT 13 Community Focus Treatment Close to Home Makes a Difference One of the features of the equipment funded by the SS&A allows those children receiving treatment A mega donation of $80,000 from the who are very sick and unable to fight off bugs, to be SS&A has helped replace and upgrade placed in isolation, yet remain connected to high-tech much-needed monitoring equipment for monitors, allowing nurses to keep a close eye on them the children’s cancer treatment space at whilst not in the room. Albury Hospital. Sally Wildon says having the latest monitoring technology locally gives families like her peace of mind. One local family with a child who has been receiving “Archie often would have zero immunity so he would ongoing treatment for a rare form of cancer says local have to be in isolation,” Sally said. fundraising through the Albury Wodonga Regional “Children on the ward might be coming in with Cancer Centre Trust Fund has helped make the illnesses such as chest infections and that would kill treatment journey less challenging. him, so it’s really important.” Sally Wildon’s five-year-old son Archie has had three Nurse Unit Manager of Paediatrics Samantha Peet says and a half years of intensive chemotherapy, mostly the upgraded technology makes caring for children in Melbourne, and has just finished 12 months of much easier and effective. maintenance treatment at Albury Hospital.
SS&A | 2018 ANNUAL REPORT 14 “It is very exciting to have the newest version of the “But we’re getting better and better as we’re getting equipment which includes seven monitors that are more funding which is making a huge difference to beside the patient’s bed, a monitor in the treatment lots of families. And when we do have treatment here, room and a central monitor at the nurse’s station. we keep the family together, as we have three other children,” Sally said. “The new equipment also allows us to transfer the patient’s data from the ED department and to the “Anything that we can do to help a family through a ICU department if it is required that the children very difficult time is of upmost importance,” added get moved. This allows for consistent treatment and Samantha. streamlined care for all our patients.” “With the support of the SS&A, it ensures that we Perhaps the greatest benefit of adding new have state of the art equipment to do this and it also technology to the children’s cancer treatment space makes the nurses job so much easier when we have is giving families confidence, and an ability to keep equipment that facilitates our care.” “ families together during challenging times. Source – Border Café, article by Kylie King, July 2018 | Photography by TruPics “When Archie was first diagnosed and was 18 months old we were in Melbourne and they said, ‘we’ll try and get you back home’ and I was a bit scared, because locally we couldn’t compare to the ward at the Royal Children’s with their equipment and isolation rooms.
SS&A | 2018 ANNUAL REPORT 15 SS&A | 2018 ANNUAL REPORT 16 Executives' Report It is our pleasure to present the Annual Report of the Albury Sailors, Solders & Airman’s Club Ltd for the Financial Year ending 31st May 2018. The Financial Year in Review The Albury Sailors, Solders & Airman’s Club has recorded a Net Profit of: $1,503,593 for the year (2017 - $1,500,793). The continued strong financial performance of the business has enabled the Club to improve member’s facilities as referenced below, whilst at the same time reducing non-core debt. We have also been able to re-negotiate several contracts with key business partners, which will deliver improved financial performance into the future. The Club contributed $4,026,338 in taxes to all levels of government, whilst donations and sponsorships to local charities and sporting bodies totaled $482,786. Community The Club is very proud of the continued support we have been able to provide for many local community and sporting organisations. Some of their stories and the great work that they do have been highlighted in this Annual Report. These groups include: • Upper Murray Family Care, Albury Wodonga Regional Cancer Centre, Albury Wodonga Regional Food Share, Albury Wodonga Regional Youth Emergency Services, Albury RSL, Albury Legacy, Red Cross, Fight MND, Belvoir Special School, Border Ovarian Awareness, Boys to the Bush, Blue Active Schools Program. Around our Club We continued to upgrade and improve member’s facilities throughout the year. One highlight was the introduction of our street food precinct during the summer months. This saw the introduction of several new food options for customers and a great alfresco dinning atmosphere. This was followed by the commencement of major works to our ageing Kitchen, Bistro & Café area. These works will be fully completed by November 2018. We thank everyone for their understanding whilst these works were ongoing, and as the finished results start to come on line we are extremely proud and excited to introduce the all new Social Dining & Bar. Thanks Much appreciation and thanks must go to all staff of the SS&A. Positive financial results and operational stability don’t happen without the dedication and efforts of staffing giving their best, both front line and behind the scenes. Your daily commitment and energies to deliver positive customer outcomes is never taken for granted and greatly appreciated. Thanks to the Board of Directors for their counsel, decision making and guidance throughout the year. The valuable time and resources that you contribute to the SS&A are appreciated and demonstrate your commitment to the Club. Many thanks to our Members for their loyal support over the past twelve months. We continually strive to deliver a venue and customer service that exceeds your expectations and hope you enjoy your venue.
Eddie Dunlop Gerard Darmody President CEO
SS&A | 2018 ANNUAL REPORT 17 The Albury Sailors, Soldiers and Airmen’s Club Ltd ACN 001 042 397
Financial Statements For the year ended 31 May 2018
Contents
Directors’ report...... 19
Directors’ declaration ...... 23
Statement of Profit or Loss and Other Comprehensive Income...... 24
Statement of Financial Position ...... 25
Statement of Changes in Equity ...... 26 . .
Statement of Cash Flows ...... 27
Notes to and forming part of the financial statements ...... 28
Independent auditor's report to the members ...... 39
SS&A | 2018 ANNUAL REPORT 18 Directors’ Report
The Albury Sailors, Soldiers and Airmen’s Club Ltd Your directors present the financial statements of The Albury Sailors, Soldiers ACN 001 042 397 and Airmen’s Club Ltd (the Company) for the year ended 31 May 2018. Directors TheE. namesDunlop of - thePresident directors in office at any time during orM. since Chapman the end – Vice of the President financial year are: Board Member since 27 October 2010 Board Member since 31 October 2012 Company Director at Dunlop Drilling Retired school principal
J. Walpole OAM M. Leman – Vice President Board Member since 27 October 2010 Board Member since 27 October 2010 Retired Army Major Catering and Hotel Services Manager at Albury Wodonga Private Hospital
C. Darts M. Ashcroft
Board Member since 27 October 2010 Board Member since 31 October 2012 Retired serviceman Insurance representative at Elders Insurance
M. Fowler M. Dando Board Member since 27 October 2010 Board Member since 29 October 2014 Retired serviceman in the Australian Defence Force Retired Army Major
M. Randall Board Member since 29 October 2014 Director at Dutch Media
Directors have been in office since the start of the financial year to the date of this report unless otherwise stated.
Company secretary Short term and long term objectives The Company’s secretary is Mr Gerard Darmody, who The Club’s short term objectives are to provide for was appointed on 29 February 2017. Mr Darmody is members and guests a safe environment and to the Company’s Chief Executive Officer. continue to provide members and guests the best service possible. Principal activities In the long term, the company has adopted the The principal activities of the Company during following strategies: the year were management of licensed social club facilities with associated sporting activities for • To become financially secure; members of the club. • To grow the club operations in accordance with members interests; and Review of operations • To trade profitably to enable updating of The operating profit of the club for the year before amenities and guarantee future growth. income tax and result from discontinued operations was $1,503,593 (2017: $1,500,793). Income tax expense is nil (2017: nil).
SS&A | 2018 ANNUAL REPORT 19 Directors’ Report
Events subsequent to reporting date Core and Non-core Property There has not arisen in the period between the end In accordance with Section 41 of the Registered Clubs of the financial year and the date of this report any Act 1976, core property of a registered club means item, transaction or event of a material and unusual any real property owned or occupied by the club that nature likely, in the opinion of the Directors of the Club, comprises: to affect significantly the operations of the Club, the a. the defined premises of the club, or results of those operations, or the state of affairs of the Club, in future financial years. b. any facility provided by the club for the use of its members and their guests, or Meetings of directors c. any other property declared, by a resolution The number of meetings of the Company’s directors passed by a majority of the members present held during the year ended 31 May 2018, and the at a general meeting of the ordinary members numbers of meetings attended by each director were: of the club, to be core property of the club, but does not include any property referred Number of Number of to in paragraphs (a) - (b) that is declared, Meetings Attended Meetings Held* by a resolution passed by a majority of the E. Dunlop 13 13 members present at a general meeting of the ordinary members of the club, not to be core M. Fowler 12 13 property of the club. M. Leman 13 13 The following is a breakdown of the club’s core and J. Walpole 13 13 non-core real property: C. Darts 6 13 Core Real Property M. Ashcroft 12 13 570-580 Olive Street, Albury (main club, with the M. Chapman 11 13 exception of car park, refer below).
M. Dando 11 13 Non-core Real Property M. Randall 11 13 Lot 2 in Deposited Plan 1090460 * reflects the number of meetings held during the time the director held office (land comprising Olive Street car park). during the year.
Member Liability The Company is incorporated as a Company limited by guarantee. In accordance with the Memorandum of Association of the Company, every member of the Company undertakes to contribute an amount limited to $1 per member in the event of winding up the Company during the time he or she is a member or within one year thereafter. The number of members at 31 May 2018 was 23,748 (2017: 21,092).
SS&A | 2018 ANNUAL REPORT 20 Directors’ Report
Auditor’s independence The lead auditor’s independence declaration for the year ended 31 May 2018 has been received and can be found on page 22 of the financial report within this Annual Report. This report is signed in accordance with a resolution of the directors.
President Vice President Edward Dunlop Mark Leman
Albury 28 August 2018
SS&A | 2018 ANNUAL REPORT 21 Directors’ Report
Auditors’ Independence Declaration As lead auditor for the audit of The Albury Sailors, Soldiers and Airmen’s Club Ltd for the year ended 31 May 2018, I declare that, to the best of my knowledge and belief, there have been: a. No contraventions of the auditor independence requirements of the Corporations Act 2001 in relation to the audit; and b. No contraventions of any applicable code of professional conduct in relation to the audit.
Johnsons MME Chartered Accountants
Stephen Clarke Albury Director 28 August 2018
SS&A | 2018 ANNUAL REPORT 22 Directors’ Declaration
The directors declare that the financial statements and notes set out on pages 24 to 38 in the Annual Report: a. comply with Accounting Standards – Reduced Disclosure Requirements, the Corporations Regulations 2001 and other mandatory professional reporting requirements; and b. give a true and fair view of the Company’s financial position as at 31 May 2018 and of its performance, as represented by the results of its operations and its cash flows, for the financial year ended on that date. In the director’s opinion: a. the financial statements and notes are in accordance with the Corporations Act 2001; and b. there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable. This declaration is made in accordance with a resolution of the directors.
President Edward Dunlop
Vice President Mark Leman
Albury 28 August 2018
SS&A | 2018 ANNUAL REPORT 23 Statement of Profit or Loss and Other Comprehensive Income
Note 2018 2017 $ $ Revenue 2 23,771,544 23,953,713
Cost of goods sold 3 2,564,326 2,550,277
Employee related expense 6,585,619 6,334,402
Poker machines taxes and monitoring fees 3,955,721 4,023,800
Advertising, promotion and marketing expense 3,030,759 3,171,388
Depreciation and amortisation 3 2,049,264 2,223,606
Utilities and Rent 971,705 1,074,549
Repairs and maintenance 480,052 475,345
Security expenses 456,998 404,516
Professional fees 264,730 318,679
Finance costs 3 205,777 359,158
IT and communications 482,337 428,691
Insurance 162,229 153,459
Gifts and donations 360,343 253,317
Borrowing costs 44,843 38,362
Travel and accommodation 19,028 18,307
Other expenses 634,220 625,064
Profit before income tax 1,503,593 1,500,793
Income tax expense 1(b),4 - -
Net Profit for the year 1,503,593 1,500,793
Other Comprehensive Income - -
Total Comprehensive Result for the year 1,503,593 1,500,793
The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes.
SS&A | 2018 ANNUAL REPORT 24 Statement of Financial Position
Note 2018 2017 $ $ ASSETS Current Assets Cash and cash equivalents 5 695,535 537,082 Trade and other receivables 6 128,251 75,637 Inventories 7 237,202 217,328 Other 8 119,406 207,225 Total Current Assets 1,180,394 1,037,272
Non-Current Assets Other financial assets 206 206 Property, plant and equipment 9 29,978,773 28,593,107 Intangible assets 10 5,299 9,991 Total Non-Current Assets 29,984,278 28,603,304
Total Assets 31,164,672 29,640,576
LIABILITIES Current Liabilities Trade and other payables 11 1,682,750 1,536,790 Borrowings 12 1,760,283 1,103,098 Provisions 13 632,092 822,898 Other liabilities 14 169,449 160,472 Total Current Liabilities 4,244,574 3,623,258
Non-current liabilities Borrowings 15 2,729,637 3,328,180 Provisions 16 46,359 48,629 Total Non-Current Liabilities 2,775,996 3,376,809
Total Liabilities 7,020,570 7,000,067 NET ASSETS 24,144,102 22,640,509
EQUITY Revaluation Reserve 3,950,000 3,950,000 Retained earnings 20,194,102 18,690,509 TOTAL EQUITY 24,144,102 22,640,509
The above statement of financial position should be read in conjunction with the accompanying notes.
SS&A | 2018 ANNUAL REPORT 25 Statement of Changes in Equity
Retained Revaluation Note Profits Reserve Total
Balance at 1 June 2016 17,189,716 3,950,000 21,139,716
Net profit for the year 1,500,793 - 1,500,793
Balance at 31 May 2017 18,690,509 3,950,000 22,640,509
Net profit for the year 1,503,593 - 1,503,593
Balance at 31 May 2018 20,194,102 3,950,000 21,146,102
The above statement of changes in equity should be read in conjunction with the accompanying notes.
SS&A | 2018 ANNUAL REPORT 26 Statement of Cash Flows
Note 2018 2017 $ $ Cash Flows from Operating Activities Receipts from members and customers 23,652,215 25,346,963 Payments to suppliers and employees (19,924,959) (22,281,814) 3,727,266 3,065,149
Interest paid (250,620) (397,520) Interest received - 22,247 Taxes paid 14,757 - Net cash inflow/(outflow) from operating activities 3,491,393 2,689,876
Cash Flows from Investing Activities Payments for property, plant and equipment (3,532,464) (1,342,212) Payments for intangible assets - - Proceeds from the sale of property, plant and equipment 140,882 170,540 Net cash inflow/(outflow) from investing activities (3,391,582) (1,171,672)
Cash flows from Financing Activities Proceeds from borrowings 914,696 - Repayment of borrowings (856,054) (2,271,212) Net cash inflow/(outflow) from financing activities 58,642 (2,271,212)
Net Increase/(Decrease) in Cash Held 158,453 (753,008)
Cash at the beginning of the financial year 537,082 1,290,091
Cash at the End of the Financial Year 5 695,535 537,082
The above statement of cash flows should be read in conjunction with the accompanying notes.
SS&A | 2018 ANNUAL REPORT 27 Notes to and forming part of the financial statements
Note 1. Summary of significant accounting (a) Revenue policies All revenue is stated net of the amount of goods The Albury Sailors, Soldiers and Airmen’s Club Ltd and services tax (GST). applies Australian Accounting Standards – Reduced (i) Sale of goods and services Disclosure Requirements as set out in AASB 1053: Application of Tiers of Australian Accounting Revenue from the sale of food, beverage and Standards and AASB 2010–2: Amendments to other goods is recognised upon delivery of goods Australian Accounting Standards arising from Reduced to customers. Disclosure Requirements. Revenue from gaming and other services The financial statements are general purpose financial rendered is recognised upon delivery of the statements that have been prepared in accordance service to customers. with Australian Accounting Standards – Reduced (ii) Membership revenue Disclosure Requirements of the Australian Accounting Membership revenue is brought to account on Standards Board (AASB), and the Corporations a progressive basis over the period in which Act 2001. The company is a not-for-profit entity members are able to enjoy the use of the for financial reporting purposes under Australian Company’s facilities. Any subscriptions received Accounting Standards. in advance are brought to account as a liability Basis of preparation (refer note 14). The principal accounting policies adopted in the (iii) Interest presentation of the financial statements are set out Interest revenue is recognised on an accrual basis below. These policies have been consistently applied taking into account applicable interest rates. to both years presented, unless otherwise stated. (b) Income Tax Under Australian Accounting Standards, there are requirements that apply specifically to not-for-profit Income tax comprises current tax and deferred entities that are not consistent with International tax. Income tax expense is recognised in the profit Financial Reporting Standards (IFRS) requirements. or loss of the club except to the extent that it The company has analysed its purpose, objectives relates to items recognised directly in equity, in and operating philosophy and determined that it which case it is recognised in equity. does not have profit generation as a prime objective. Current tax is the expected tax payable on the Consequently, where appropriate the Company has taxable income for the year, using tax rates elected to apply options and exemptions within the enacted or substantively enacted at the reporting accounting standards which are applicable to date, and any adjustment to tax payable in not-for-profit entities. respect of previous years. Comparative information has been reclassified where The mutuality principle has been applied to the appropriate to enhance comparability. income tax calculation of the Club. The Club has applied a non-member apportionment rate for the 2018 financial year of 19.63% (2017: actual 34%).
SS&A | 2018 ANNUAL REPORT 28 Notes to and forming part of the financial statements
Note 1. Summary of significant accounting be uncollectible, are written off. A provision for policies (continued) doubtful debts is raised when some doubt as to collection of the debt exists. Deferred tax is recognised using the balance sheet method, providing for temporary differences between (g) Inventories the carrying amounts of assets and liabilities for Inventory is stated at the lower of cost and net financial reporting purposes and the amounts used realisable value. The cost of inventories is based for taxation purposes. The following temporary on the first-in first-out principle, and includes differences are not provided for: the initial recognition expenditure incurred in acquiring the inventories of goodwill, and the initial recognition of assets and bringing them to their existing location and or liabilities in a transaction that is not a business condition. combination and that affects neither accounting nor taxable profit. Deferred tax is measured at the tax (h) Property, Plant & Equipment rates that are expected to be applied to the temporary All plant and equipment is stated at cost less differences when they reverse, based on the laws that depreciation and impairment losses. Cost is have been enacted or substantively enacted by the measured as the fair value of the assets given up, reporting date. liabilities undertaken at the date of acquisition A deferred tax asset is recognised to the extent that it plus incidental costs directly attributable to the is probable that future taxable profits will be available acquisition. The purchase method of accounting against which temporary differences can be utilised. is used for all acquisitions of assets. Deferred tax assets are reviewed at each reporting Land and buildings are shown at fair value, date and are reduced to the extent that it is no longer based on periodic, at least every 3 years, probable that the related tax benefit will be realised. valuations by external independent valuers, (c) Borrowing Costs less subsequent depreciation and impairment for buildings. The valuations are undertaken Borrowing costs are recognised as expenses in the more frequently if there is a material change in period in which they are incurred. the fair value relative to the carrying amount. (d) Maintenance & Repairs Any accumulated depreciation at the date of the revaluation is eliminated against the gross Maintenance, repair costs and minor renewals are carrying amount of the asset and the net amount charged as expenses as incurred. is restated to the revalued amount of the asset. (e) Cash and Cash Equivalents Increases in the carrying amount arising on revaluation of land and buildings are credited Cash and cash equivalents includes cash on hand in other comprehensive income through to and other short term, highly liquid investments the revaluation surplus reserve in equity. Any with original maturities of three months or less revaluation that decrement are initially taken that are readily convertible to known amounts of in other comprehensive income through to the cash which are subject to an insignificant risk of revaluation surplus reserve to the extent of any changes in value. previous revaluation surplus of the same asset. (f) Trade and Other Receivables Thereafter the decrements are taken to profit or loss. All trade receivables are carried at their nominal amount. Collectability of debtors is reviewed on an ongoing basis. Debts, which are known to
SS&A | 2018 ANNUAL REPORT 29 Notes to and forming part of the financial statements
Note 1. Summary of significant accounting services up to that date, including on-costs. policies (continued) All annual leave balances are classified as a current liability. Depreciation is recognised in the statement of profit or loss and other comprehensive income on (iii) Long service leave a diminishing value basis over the estimated useful Long service leave entitlements payable are lives of each part of an item of property, plant and assessed at balance date having regard to equipment, with the exception of buildings for expected employee remuneration rates on which depreciation is recognised on a straight line settlement, employment related on-costs and basis. Land is not depreciated. All assets purchased other factors including accumulated years of from 1 June 2012 have the straight line method of employment, on settlement, and experience depreciation applied to them. of employee departure per year of service. All The estimated useful lives for the current and long service leave which the Company does not comparative periods are as follows: have an unconditional right to defer settlement of the liability for at least twelve months after 2018 2017 reporting date is disclosed as a current liability Buildings 3% 3% and is measured at nominal value based on the Plant and equipment 3-20% 3-20% amount expected to be paid when settled. Long Motor vehicles 33% 33% service leave expected to be paid later than one year has been measured at the present value of Computers 20% 20% the estimated future cash outflows to be made for Gaming machines 20-30% 20-30% these accrued entitlements. Gains and losses on disposals are determined by (j) Intangible Assets comparing proceeds with the carrying amount. These Other Intangible Assets - Software are included in the statement of profit or loss and other comprehensive income. Software acquired is measured at cost less accumulated amortisation. (i) Employee Entitlements Amortisation (i) Wages and salaries Amortisation is recognised in the statement of Liabilities for wages and salaries are recognised profit or loss and other comprehensive income and measured as the amount unpaid at the on a diminishing value basis over the estimated reporting date at current wage rates in respect of useful lives of intangible assets. employees’ service up to that date. The estimated useful lives for the current and (ii) Annual leave comparative periods are as follows: Liabilities for annual leave are recognised and are • Software 6 years measured as the amount unpaid at the reporting date at pay rates expected to apply when the obligation is settled in respect of employees’
SS&A | 2018 ANNUAL REPORT 30 Notes to and forming part of the financial statements
Note 1. Summary of significant accounting (n) Borrowings policies (continued) Borrowings are carried at their principal amounts, (k) Trade and Other Payables which is not materially different to the present value of future cash flows associated with These amounts represent liabilities for goods and servicing the debt. Any interest payable on services provided to the Company prior to the borrowings is accrued over the period it becomes end of the financial year and which are unpaid. due and is recorded as part of other creditors. These amounts are unsecured and usually paid within 30 days of recognition. (o) Goods and Services Tax (GST) (l) Impairment of Assets Revenues, expenses and assets are recognised net of the amount of GST, except where the amount Assets that have an indefinite useful life are not of GST incurred is not recoverable from the subject to amortisation and are tested annually Australian Tax Office. In these circumstances the for impairment or more frequently if events or GST is recognised as part of the cost of acquisition changes in circumstances indicate that they of the asset or as part of an item of expense. might be impaired. Assets that are subject Receivables and payables in the statement of to amortisation are reviewed for impairment financial position are shown inclusive of GST. whenever events or changes in circumstances indicate that the carrying amount may not be (p) Fair Value recoverable. An impairment loss is recognised for The Company measures some of its assets on the amount by which the asset's carrying amount a recurring basis. Fair value is the price the exceeds its recoverable amount. The recoverable Company would receive to sell an asset in an amount is the higher of an assets fair value, less orderly transaction between independent, cost to sell and value in use. knowledgeable and will market participants at (m) Critical Accounting Estimates the measurement date. As fair value is a market- based measure, the closest equivalent observable The directors evaluate estimates and judgements market pricing information is used to determine incorporated into the financial statements based fair value. Adjustments to market values may be on historical knowledge and best available made having regard to the characteristics of the current information. Estimates assume a specific asset. The fair values of assets that are reasonable expectation of future events and not traded in an active market are determined are based on current trends and economic data using one or more valuation techniques. These obtained both internally and externally. valuation techniques maximise, to the extent Key Estimates possible, the use of observable market data. The company assesses impairment at each To the extent possible, market information reporting date by evaluating conditions specific is extracted from the principal market for to the company that may lead to impairment. the asset. In the absence of such a market, Where evidence of impairment exists, the market information is extracted from the most recoverable amount of the asset is determined. advantageous market available to the The calculations performed in assessing Company at the end of the reporting period. recoverable amounts incorporate a number of For non-financial assets, the fair value estimates. No impairment has been recognised measurement also takes into account a market for the year ended 31 May 2018. participant's ability to use the asset in its highest and best use or to sell it to another market participant that would use the asset in its highest and best use.
SS&A | 2018 ANNUAL REPORT 31 Notes to and forming part of the financial statements
Note 1. Summary of significant accounting policies (continued) (q) New Accounting Standards and interpretations A number of Australian Accounting Standards have been issued or amended since the last reporting date and are applicable to the entity but are not yet effective. The Board has assessed the impact of these amendments and they are immaterial to the entity. They have not been adopted in the preparation of the Financial Statements at balance date.
Note 2. Revenue Note 3. Profit
2018 2017 Net gains and expenses Revenue from $ $ Profit before income tax expense includes the operating activities following expenses: Poker Machines 15,813,110 16,132,413 Expenses
Bar 3,722,696 3,291,692 Cost of goods sold
Catering 3,056,051 3,224,289 - Bar 1,355,768 1,380,850
Members subscriptions 117,077 120,071 - Catering 1,208,558 1,169,427 Marketing and raffle 343,119 295,151 2,564,326 2,550,277 takings TAB, Keno and ATM Depreciation and amortisation commissions, Bingo 475,894 408,872 - Buildings 576,481 775,522 takings 23,527,947 23,472,488 - Plant and equipment 1,472,057 1,446,975 - Amortisation of Revenue from outside the operating activities 726 1,109 software Interest - 6 2,049,264 2,223,606 Room hire, conferences Impairment of poker 49,765 28,615 - and functions machine entitlements Rent received 45,720 58,744 Finance costs 205,777 359,158
Sundry 87,177 226,643 Movement in provisions 193,077 (10,290) Profit on sale of assets 60,935 167,217
243,597 481,225 23,771,544 23,953,713
SS&A | 2018 ANNUAL REPORT 32 Notes to and forming part of the financial statements
Note 4. Income tax expense 2018 2017 $ $ Reconciliation of income tax expense to prima facie tax payable Profit before income tax 1,503,593 1,500,793 Prima facie tax payable on current year surplus before income tax 451,078 450,238 30% (2017: 30%) Add/(Less) tax effect of:
- Non-deductible expenses/ non-assessable income 198,962 203,978
- Exempt Income – Non Taxable member income (600,936) (448,480)
- Tax Losses recouped (49,104) (205,736)
Income tax expense - - Deferred tax balances
No deferred tax balances have been recognised in the financial statements on the basis that a conservative approach has been taken in relation to the probability that they will be utilised in the future.
As at 31 May 2018 the Club had unrecognised carry forward tax losses of $210,544 (2017: $374,224).
Note 5. Current assets – Cash and Cash Equivalents Cash at bank 244,035 100,203 Cash on hand 451,500 436,879 695,535 537,082 Note 6. Current assets – Trade and Other Receivables Trade debtors 86,899 69,901 Other 41,352 5,736 128,251 75,637 All debtors are considered collectible. Note 7. Current assets – Inventories Bar stocks 136,075 168,512 Catering stocks 101,127 48,816 237,202 217,328 Note 8. Current assets – Other Prepayments 119,406 207,225
SS&A | 2018 ANNUAL REPORT 33 Notes to and forming part of the financial statements
Note 9. Non-current assets – Property, Plant and Equipment
2018 2017 $ $ Land and buildings Land – at fair value 8,300,000 8,300,000 Buildings – at cost 2,318,659 1,479,554 – at fair value 20,560,086 24,108,183 Less: Accumulated depreciation (7,328,350) (10,037,896) 15,550,395 15,549,841 Total Land and Buildings 23,850,395 23,849,841 Plant and equipment Plant and Equipment – at cost 19,777,967 19,585,737 Less: Accumulated Depreciation (15,143,395) (14,868,445) 4,634,572 4,717,292 Capital works in progress 1,493,806 25,974 Total Property, Plant and Equipment 29,978,773 28,593,107 Freehold land and buildings in Olive Street Albury were independently valued by Barry Coad FAPI, Certified Practising Valuer of Nelson Partners Australia Pty Ltd on the basis of fair value at 8 April 2015.
Movements in carrying amounts: Land Buildings Plant and Capital works Total equipment in progress WDV 1 June 2016 8,300,000 14,847,017 6,274,394 25,974 29,447,385 Additions - 243,790 1,151,738 - 1,395,528 Disposals - - (27,309) - (27,309) Transfers - 1,234,556 (1,234,556) - - Depreciation - (775,522) (1,446,975) - (2,222,497) WDV 31 May 2017 8,300,000 15,549,841 4,717,292 25,974 28,593,107
Additions - 571,400 1,493,232 1,467,832 3,532,464 Disposals - (48,167) (50,092) - (98,259) Transfers - 53,802 (53,802) - - Depreciation - (576,481) (1,472,058) - (2,048,539) WDV 31 May 2018 8,300,000 15,550,395 4,634,572 1,493,806 29,978,773
Note 10. Non-current assets – Intangible Assets
2018 2017 $ $ Software 5,299 9,991
SS&A | 2018 ANNUAL REPORT 34 Notes to and forming part of the financial statements
Note 11. Current liabilities – Trade and Other Payables
2018 2017 $ $ Trade creditors 560,841 293,609 Accrued expenses 1,121,909 1,243,181 1,682,750 1,536,790
Note 12. Current liabilities – Borrowings Business market loans 1,421,601 600,000 Hire purchase liabilities 158,922 272,437 Gaming Machine Licence Commitment 179,760 230,661 1,760,283 1,103,098 Security: (i) NAB business loans are secured by registered mortgage debenture over the assets and income of the Club and transfer of the liquor licence. (ii) Hire purchase leases and equipment loans are secured against the relevant asset subject to finance.
Note 13. Current liabilities – Provisions Employee Entitlements - Annual Leave 330,992 351,540 Employee Entitlements - Long Service Leave 204,422 182,636 Points Redemption 38,967 217,957 Link Jackpots 57,711 70,765 632,092 822,898
Note 14. Current liabilities – Other liabilities Unearned revenue - Membership subscriptions 123,529 130,859 Unearned revenue - Car parking lease 16,107 29,613 Unearned revenue - Stored Value Cards 13,146 - Unearned revenue - Beverage Rebate 16,667 - 169,449 160,472
Note 15. Non-current liabilities – Borrowings Business Markets Loans 2,574,935 3,119,524 Hire purchase liabilities - 139,642 Gaming Machine Licence Commitment 154,702 69,014 2,729,637 3,328,180 Security: Refer note 13.
Note 16. Non-current liabilities – Provisions Employee Entitlements – Long Service Leave 46,359 48,629
SS&A | 2018 ANNUAL REPORT 35 Notes to and forming part of the financial statements
Note 17. Related party transactions (a) Key Management Personnel Key management personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the company either directly or indirectly. The key management personnel of the company comprise the directors and executives who are responsible for the financial and operational management of the company.
2018 2017 Compensation paid to key management personnel of the $ $ company was as follows: Short-term employee benefits 299,482 300,670 Past employment benefits 31,754 31,947 331,236 332,617
(b) Transactions with related parties Director Mr M. Randall was a director of Dutch Media during the 2018 financial year. Dutch Media have provided professional services to the Albury Sailors, Soldiers and Airmen’s Club Ltd during the year. This engagement was based on normal commercial terms and conditions and the aggregate amount paid to Dutch Media for services was $90,500 (2017: $74,000).
Note 18. Financial Risk Management The company’s financial instruments consist mainly of deposits with banks, accounts receivable and payable, and leases. The totals for each category of financial instruments, measured in accordance with AASB 139 as detailed in the accounting policies to these financial statements, are as follows: (i) Financial Assets Cash on hand 5 695,535 537,082 Trade and other receivables 6 128,251 75,637 Total Financial Assets 823,786 612,719
(ii) Financial Liabilities Trade and other payables 11 1,682,750 1,536,790 Borrowings 12,15 4,489,920 4,431,278 Total Financial Liabilities 6,172,670 5,968,068
SS&A | 2018 ANNUAL REPORT 36 Notes to and forming part of the financial statements
2018 2017 $ $ Note 19. Commitments Operating Lease Commitments Commitments in relation to operating leases that are payable as follows: - Not later than 1 year - 82,709 - Between 1 year and 5 years 41,118 41,015 41,118 123,724
Hire Purchase Commitments Commitments in relation to hire purchases payments as follows: - Not later than 1 year 344,659 503,098 - Between 1 year and 5 years 152,299 258,714 Less finance charges (3,574) (50,058) 493,384 711,754 Represented by: Current (note 12) 338,682 503,098 Non-current (note 15) 154,702 208,656 493,384 711,754
Capital Commitments Commitments in relation to capital expenditure on the renovation of the Club’s bistro/café facilities are as follows: - Not later than 1 year 2,737,654 -
Note 20. Financing Arrangements Finance Facilities Available Bank overdraft 500,000 500,000 Business market loans 8,150,000 7,750,000 Master finance lease facility 2,500,000 2,500,000 Business visa facility 24,000 24,000 11,174,000 10,774,000 Finance Facilities Used Bank overdraft -- – Business market loans 3,996,536 3,719,523 Master finance lease facility 156,027 412,044 Business visa facility 3,884 11,219 4,156,447 4,142,786 Finance Facilities Unused Bank overdraft 500,000 500,000 Business market loans 4,153,464 4,030,477 Master finance lease facility 2,343,973 2,087,956 Business visa facility 20,116 12,781 7,017,553 6,631,214
SS&A | 2018 ANNUAL REPORT 37 Notes to and forming part of the financial statements
Note 21. Group Entities Ultimate parent Company The ultimate parent company is the Albury Sailors, Soldiers and Airmen’s Club Ltd
Country of incorporation Ownership interest 2018 2017 Olive Street Management Group Pty Ltd* Australia 100% 100% Tourism Information Solutions Pty Ltd* Australia 100% 100% These companies have not been consolidated into the financial statement on the basis they did not trade and there are no transactions to consolidate.
Note 22. Events Occurring after Reporting Date There were no significant events occurring after the reporting date likely to impact the affairs of the Company in future.
Note 23. Contingencies Contingent Asset The Company owns 375 gaming machine entitlements acquired at no cost. These gaming machine entitlements are a tradable commodity within the NSW licensed club industry. However, the value of these gaming machine entitlement have not been recognised as an intangible asset in the statement of financial position on the basis that their value cannot be reliably measured and an active market does not exist. Contingent liability The Company has provided a bank guarantee to the value of $155,000 in favour of the LAB/TAB in relation to its liquor and TAB operations.
Note 24. Fair Value Measurements The Company has the following assets that are measured at fair value on a recurring basis after initial recognition. The Company does not subsequently measure any liabilities at fair value on a recurring basis and has no assets or liabilities that are measured at fair value on a non-recurring basis.
2018 2017 $ $ Assets Land (i) 8,300,000 8,300,000 Buildings (i) 15,550,395 15,549,841 23,850,395 23,849,841
(i) The fair value of freehold land and buildings is based on an external independent valuation performed in April 2015 adjusted for asset additions at cost and disposals in the intervening period. Given the additions are recent their cost is assumed to approximate fair value.
SS&A | 2018 ANNUAL REPORT 38 Independent auditor’s report to the members of The Albury Sailors, Soldiers and Airmen’s Club Ltd
Opinion We confirm that the independence declaration required by the Corporations Act 2001, which has We have audited the financial statements, being been given to the directors of the Company, would general purpose financial statements – reduced be in the same terms if given to the directors as at the disclosure requirements, of The Albury Sailors, time of this auditor’s report. Soldiers and Airmen’s Club Ltd (the Company), which comprises the statement of financial position at We believe that the audit evidence we have obtained 31 May 2018, and the statement of profit or loss is sufficient and appropriate to provide a basis for our and other comprehensive income, the statement of opinion. changes in equity and the statement of cash flows for the year then ended, notes to the financial statements, Information Other than the Financial Report and including a summary of accounting policies and other Auditor’s Report explanatory notes and the directors’ declaration. The directors of the Company are responsible for the In our opinion, the accompanying financial statements other information. The other information comprises of the Company are in accordance with the the information included in the Company’s annual Corporations Act 2001, including: report for the year ended 31 May 2018, but does not include the financial report and our auditor’s report a. giving a true and fair view of the Company’s thereon. financial position as at 31 May 2018 and of its performance for the year ended on that date; Our opinion on the financial statements does not and cover the other information and accordingly we do not express any form of assurance conclusion thereon. b. complying with Australian Accounting Standards - reduced disclosure requirements In connection with our audit of the financial and the Corporations Regulations 2001. statements, our responsibility is to read the other information and, in doing so, consider whether the Basis of Opinion other information is materially inconsistent with the financial statements or our knowledge obtained in the We conducted our audit in accordance with audit or otherwise appears to be materially misstated. Australian Auditing Standards. Our responsibilities under those standards are further described in the If, based on the work we have performed, we conclude Auditor’s Responsibilities for the Audit of the Financial that there is a material misstatement of this other Statements section of our report. We are independent information, we are required to report that fact. We of the Company in accordance with the auditor have nothing to report in this regard. independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board’s APES 110 Code of Ethics for Professional Accountants (the Code) that are relevant to our audit of the financial statements in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.
SS&A | 2018 ANNUAL REPORT 39 Independent auditor’s report to the members of The Albury Sailors, Soldiers and Airmen’s Club Ltd
Independent auditor’s report to the members (continued) Directors’ Responsibility for the Financial Statements The directors of the Company are responsible for the preparation of the financial statements that give a true and fair view in accordance with Australian Accounting Standards – reduced disclosure requirements and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the financial statements that gives a true and fair view and is free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so. Auditor’s Responsibility Our objectives are to obtain reasonable assurance about whether the financial statements as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. A further description of our responsibilities for the audit of the financial report is located at the Auditing and Assurance Standards Board website at: http://www.auasb.gov.au/Home.aspx. This description forms part of our auditor’s report.
Johnsons MME Chartered Accountants
Stephen Clarke Albury Director 29 August 2018
SS&A | 2018 ANNUAL REPORT 40
THE ALBURY SAILORS, SOLDIERS & AIRMEN’S CLUB Board of Directors as at 31st May 2018
Eddie Dunlop Mark Leman Michael Chapman PRESIDENT VICE PRESIDENT VICE PRESIDENT
Murray Ashcroft Mark Dando Colin Darts DIRECTOR DIRECTOR DIRECTOR
Mick Fowler Mick Randall John Walpole OAM Gerard Darmody DIRECTOR DIRECTOR DIRECTOR CHIEF EXECUTIVE OFFICER
THE ALBURY SAILORS, SOLDIERS & AIRMEN’S CLUB LIMITED 570 - 582 Olive St Albury NSW 2640 Ph: 02 6041 2222 Fax: 02 6041 2015 Email: admin@ssaclub .com .au Web: www .ssaclub .com .au