ANNUAL REPORT CAYMAN TURTLE FARM (1983) Ltd for the year ended 30th June 2016 Full Public edition TABLE OF CONTENTS TABLE OF CONTENTS....................................................................................................................... 2 FOREWORD FROM MANAGING DIRECTOR..................................................................................... 5 ABOUT US ........................................................................................................................................ 6 Nature and Scope of Activities ............................................................................................. 6 Customers and Location of Activities .................................................................................. 6 Activity: Conservation, Education and Research ................................................................. 7 Activity: Tourist Attraction ................................................................................................... 7 o Turtle Centre Exploration Tour (turtle exhibits only) ...................................................... 8 o Turtle Adventure Tour (Entire Park)................................................................................. 9 o Sales Channels for Tours ................................................................................................ 11 Activity: Sea Turtle Captive Breeding and Turtle Meat Production .................................. 11 o Product lines ................................................................................................................... 11 Activity: Landlord .............................................................................................................. 12 Governance ........................................................................................................................ 13 o Laws governing major activities ..................................................................................... 13 o Ministry Policy and Directives ........................................................................................ 13 o Board of Directors .......................................................................................................... 13 o Scientific Advisory Committee ....................................................................................... 14 o Senior Management Team ............................................................................................. 15 o Table of Delegated Authorities ...................................................................................... 17 Our People ......................................................................................................................... 18 o Personnel ........................................................................................................................ 18 o Pension ........................................................................................................................... 18 o Medical Insurance Coverage .......................................................................................... 18 o Headcount ...................................................................................................................... 19 o Demographics of Immigration Status ............................................................................ 19 o Strategic Management Framework ............................................................................... 19 o Strategic developments in Human Resource (“People”) management & leadership ... 20 o Resettlement Day-Release Program - collaboration with HM Prison Service (HMPS) . 20 o “Crew Members” of the Month ..................................................................................... 20 MANAGEMENT DISCUSSION AND ANALYSIS ................................................................................ 21 Highlight of Achievements ................................................................................................. 21 o Huge Strides in Conservation ......................................................................................... 21 Page | 2 o Retail revenue growth .................................................................................................... 21 o Management Recruitment ............................................................................................. 22 o TripAdvisor Certificate of Excellence ............................................................................. 22 Summary Results of Key Ownership Agreement Strategic Goals & Objectives ................ 22 AUDITED FINANCIAL STATEMENTS ............................................................................................... 27 Breakdown of Income Sources .......................................................................................... 29 Breakdown of Expenses ..................................................................................................... 30 o Equity Injections ............................................................................................................. 32 o Capital Withdrawals ....................................................................................................... 32 o Dividends or Profit Distributions .................................................................................... 32 o Loans .............................................................................................................................. 33 o Guarantees ..................................................................................................................... 33 APPENDICES .................................................................................................................................. 34 APPENDIX 1. Standard Reporting Additional Information ................................. 34 Economic Impact Assessment ........................................................................................... 34 Risk Management .............................................................................................................. 36 o Key Risks and Risks Mitigation ....................................................................................... 36 Actual Losses/Damages, Write-offs, and related Payouts ................................................. 43 Financial Performance and analysis ................................................................................... 43 Summary of Achievement of Ownership Performance Targets ................................................... 43 Financial Performance ....................................................................................................... 43 Analysis of how the Equity Injection was Utilized ............................................................. 45 Scrutiny by Parliament and the Public ............................................................................... 46 Internal and External Audit updates .................................................................................. 46 Cross-Government Commitment ....................................................................................... 47 Forward-Looking ................................................................................................................ 47 APPENDIX 2. Historical Background ................................................................... 48 History of Turtles in the Cayman Islands ........................................................................... 48 History of the Company in the Cayman Islands ................................................................. 48 Rebranding in 2010 ............................................................................................................ 50 2010 Vision Statement ....................................................................................................... 51 APPENDIX 3. Audited Financial Statements of the Company ............................ 52 APPENDIX 4. Research and Conservation at Cayman Turtle Centre .................. 53 o Turtle Conservation and Captive Breeding .................................................................... 53 Page | 3 o Releasing head-started captive-bred turtles ................................................................. 56 o Captive-bred Turtle Egg Translocations ......................................................................... 61 o Education on nature and conservation .......................................................................... 63 o Egg Production and Hatch rates ..................................................................................... 63 Hypothetical Analysis: Conservation Effect of Turtle Meat Production ............................ 65 APPENDIX 5. CTC’s Aviary Captive Breeding & Release Programs..................... 66 o White-Crowned Pigeon breeding and release programme ........................................... 66 o Cayman Parrot breeding and release program .............................................................. 69 o Rock Iguana rehabilitation in conjunction with Department of the Environment ........ 69 o Recycling ......................................................................................................................... 70 o World Turtle Day participation ...................................................................................... 70 Note: “APPENDIX 3. Audited Financial Statements of the Company” is attached