Ātihau Whanganui Incorporation Annual Report 2017

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H U-W ANGA

AT I

I NU

HA

IN

CO

RPORATI

ON

Toi tu te whenua

ANNUAL REPORT 2017


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Matua Te Mana te tū mai Ngā wai o huka ka rewa Whāngaihia te kiri o Papatūānuku Kia matomato ai te tupu o tēnei me te ora Te ora ā-whenua, te ora ā-rau, te ora ā-kararehe Te ora ā-tāngata, tērā i heke mai hei uri Ka ora, ka mate Ka tangihia ai, ka whakahokia ai ki te whenua Kia rere tōna wairua ki Te Turi o Murimotu Ki runga i a koe anō e Te Pari i te Tai Tonga Kia riporipo mai Te Wai ā-Moe Haere, haere, haere. E te ora ā-tāngata te noho tonu nei ki te ao tūroa Nei rā a mihi te tukuna atu i runga i te hari me te koa Haere mai, haere mai, ki Whanganui tātau katoa hui ai Tēnā tātau katoa

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CONTENTS TOITŪ TE MANA 6 Ātihau Whanganui Incorporation Chairperson's Report 8 Board Members 9 Strategic Overview 10 Partnership Grows From Common Ground TOITŪ TE WHENUA 12 CEO Report 17 Summary of Key Financial Information TOITŪ TE TANGATA 18 Te Āti Hau Trust Chairperson's Report 20 Trustee Members 21 Long History Brings New Opportunity 22 2016/17 Trust Grant Recipients ĀTIHAU-WHANGANUI INCORPORATION FINANCIAL STATEMENTS 38 Contents 39 Shareholding and Committee of Management Disclosures 40 Statement of Comprehensive Income 41 Statement of Changes in Equity 42 Balance Sheet 43 Statement of Cash Flows 44 Notes to and forming part of the Financial Statements 60 Auditors' Report TE ĀTI HAU TRUST FINANCIAL STATEMENTS 62 Contents 63 Entity Information 64 Statement of Service Performance 65 Statement of Financial Performance 66 Statement of Financial Position 67 Statement of Cash Flows 68 Notes to and forming part of the Performance Report 72 Auditors' Report APPENDIX 74 Glossary of Terms 75 Notes

Cover: Kevin McDonnell (Ngāti Rangi) is a Senior Beekeeper working as part of the AWHI Apairy Team.

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Ātihau-Whanganui Incorporation CHAIRPERSON'S REPORT

AS A BOARD, WE ENSURE THAT EVERY DISCUSSION, EVERY PROPOSAL AND EVERY DECISION IS REFERENCED TO THOSE GUIDING PRINCIPLES TOITŪ TE WHENUA, TOITŪ TE TANGATA, TOITŪ TE MANA.

Ko te kupu, te kupu Ko to atua, te atua Ko Ranginui ki runga Ko Papatūānuku ki raro Ka mate ai te tangata Ka pō, Ka ao, Ka awatea Tihei mauriora As I take a moment to think back over the year just past, I find it is marked by a sense of purpose, with a sharper focus on what we want to achieve. On behalf of your Board, I am proud to present to you this 47th annual report, as a reflection of the work programme completed over the past year. In 2016, we shared our strategic overview with goals, values and priorities and these continue to be the lighthouse we follow. As a Board, we ensure that every discussion, every proposal and every decision is referenced to those guiding principles Toitū te whenua, Toitū te tangata, Toitū te mana.

Toitū te Whenua Although by law we are only required to report on our financial results, our

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purpose of ‘productive land’ goes so very much further than the dollar bottom line. While financial success is important, we are challenging ourselves to be so much more than that. We look forward to unveiling, at this Annual General Meeting, our first effort to report to a consistent Quadruple Bottom Line model. Not only will you be presented with financial results, but also key performance indicators from; • Farm and Environmental outputs, • Social impact outputs, and • Tikanga activities. An important component of this reporting is to ensure that we have balance, that we are not being driven purely for financial gain. Tikanga is just, if not more, important as dollar value as it is about the essence of who we


Ātihau-Whanganui Incorporation CHAIRPERSON'S REPORT

are, so it makes sense that we should consistently report on this in a more formal manner. The same goes for our social outputs through Te Āti Hau Trust. In the past our farm outputs have been reported within the financial report. We will now report farm and environmental outputs separately. We hope this makes as much sense to you as it does to the Board. We look forward to your feedback and thoughts.

Toitū te Tangata Becoming a high performing organisation has required a shift in both our processes and our culture. These changes are not always easy and it has been a transitional period for many of us, as our CEO Andrew Beijeman realigns and refocuses his team. We acknowledge Andrew and his team as they work through the organisational culture change to enable us to keep taking these steps forward. The board is pleased with the actions of management, as current and new staff receive reo lessons to get some basic fundamentals right. It is an empowering time when we have our non Māori staff nail the kōrero. Our associate directors and the independent trustees for Te Āti Hau Trust have made valuable contributions, and we are very pleased with the results these initiatives are delivering. From a strategic perspective, we are delighted to be delivering on a strategic goal to grow leadership. This is succession planning to ensure our future endeavours remain strategically focused for all of Ātihau Whanganui Incorporation (AWHI). Communications through the AWHI magazine continues to be well received. It is a thrill to profile our whānau and their activities. If you are

Toitū Te Mana

a budding journalist, please come and talk to us as we collect stories and histories. You will find all copies on our website www.atihau.com

Toitū te Mana Part of our work plan has been to position our land products closer to the end customer. This has been a great strategy and is working well. On a personal note, I have spent time engaging with the chairs and boards of some of our key clients, service providers and colleagues to ensure AWHI is well represented. I was invited to and attended a forum of 30 NZ Business and Public Leaders to share and consider our collective role in the restoration and preservation of our natural resources. It was a pleasure to attend the Ahuwhenua Awards and celebrate one of our own being recognised as a finalist of the Young Māori Farmer of the Year. It has been a busy year. I would like to take this opportunity to acknowledge Andrew, Sarah and their lovely new addition Belle. To the AWHI team, whether in the offices or on farm, the board extends its appreciation. To my fellow Board members, I express my sincere thanks for the efforts, dedication and passion you bring to our table. And, finally, to our AWHI whānau, thank you for the continued faith you hold in us all. It is our pleasure and privilege to serve you.

Toitū te Whenua Productive Land

Toitū te Tangata Prosperous People

Toitū te Mana Passionate Customers

Kia tau te rangimārie

Mavis Mullins Chairperson

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Ātihau-Whanganui Incorporation BOARD MEMBERS

Ātihau-Whanganui Incorporation Board Members (Back row, left to right): Shar Amner, Keria Ponga, Brendon Te Tiwha Puketapu, Francene Wineti, Che Wilson. Front row, left to right): Toni Waho, Whatarangi Murphy-Peehi, Mavis Mullins (Chair).

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Toitū Te Mana

OUR PURPOSE. TOITŪ TE WHENUA PRODUCTIVE LAND

TOITŪ TE TANGATA PROSPEROUS PEOPLE

TOITŪ TE MANA PASSIONATE CUSTOMERS

OUR PRIORITIES. OUR PEOPLE THE ENVIRONMENT PROFITABILITY VALUE DIVERSIFICATION SHAREHOLDER CONNECTIVITY

OUR VALUES.

ONE FARM, ONE TEAM PROVIDING MANAAKI FOR LAND, ANIMALS, RESOURCES AND PEOPLE. SEEKING CONTINUOUS IMPROVEMENT. DELIVERING CUSTOMER VALUE. ACTING WITH INTEGRITY. SHAPING A BETTER FUTURE FOR MOKOPUNA.

STRATEGIC OUTCOMES. OPERATIONS WE ARE THE BEST AT WHAT WE DO.

CUSTOMERS WE HAVE PASSIONATE AND SATISFIED CUSTOMERS.

WEALTH WE HAVE SUSTAINED ECONOMIC GROWTH.

ENVIRONMENT WE LOVE AND NURTURE OUR ENVIRONMENT.

SHAREHOLDERS WE BENEFIT AND ENGAGE WITH URI IN MEANINGFUL WAYS.

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Partnership grows from common ground Speak to Gary Bowick, Ravensdown’s National Customer Relationships Manager, and you’re left in no doubt that the company is about much more than just selling fertiliser.

“There is a perception that is all we do,” Gary laughs. “And, of course, providing the nutritional requirement the land needs to be productive is an important part of our business. “But we firmly believe in enabling smarter farming for a better New Zealand and that means working closely with our customers, forming strong partnerships with them, to create the best outcomes in many diverse areas.” Being sensitive to environmental needs and respecting the land is a central tenet to Ravensdown’s desire to support farmers to be long-term stewards of the land they care for, enabling them to create a legacy for future generations. The company is also firmly committed to supporting and nurturing people, providing a quality product that customers value and continually striving to be the best it can be. “Ravensdown’s purpose and goals resonate with us because they are so closely aligned with our own strategic values and outcomes,” says Andrew Beijeman, CEO, Ātihau Whanganui Incorporation (AWHI). “This common ground has provided a very strong foundation on which to grow our partnership, which is going from strength to strength.” Ravensdown has been working with AHWI’s operations staff and farm managers to help them better

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understand what the land they are responsible for needs.

more importantly, nothing of what it doesn’t.”

“We bring considerable expertise when it comes to optimising the value out of land,” says Gary. “Technology enables us to examine the soil and analyse it so we can diagnose what it needs and when it is best to make that provision.”

But the work doesn’t stop there. Ravensdown also plays a huge role in enabling the land’s response to those nutrients to be measured and assessed.

Samples of soil and plant tissue are sent to Ravensdown’s laboratory in Napier where they are tested and recommendations are made to restore any nutrient inbalances. AWHI’s more rugged terrain can be challenging to access and manage but Ravensdown will be bringing in similar aerial scanning technology used by NASA to map and analyse the surface of Mars so a comprehensive plan can be laid down of where nutrients need to go and, just as importantly, where they are not needed. “We can clearly indentify waterways, for example, where we do not want products to go,” Gary explains. “Our aerial spreading fleet is becoming more precise about where distribution happens. Our technology takes all the guesswork out of what is needed, in what quantities and where. “This means that our customers can be sure that every dollar off the bottom line is being used in the most efficient way possible, giving them more bang for their buck, if you like. There is minimal wastage and the environment is getting exactly what it needs and,

“It is important that our customers get the results they want and we can’t achieve that without monitoring and measuring,” says Gary. “Knowledge is power - we work together to make sure decisions are made from a basis of fact.” That knowledge extends to the provision of animal health products, agrichemicals and seeds through the Cropmark brand. Passing on knowledge is also a vital part of what Ravensdown does – and that is not restricted to its own people. The partnership includes a training agreement where Ravensdown enables AWHI staff to complete courses, administered by Massey University, where they can gain skills and learning that is brought back to the farm. Financial support for education is also available. The Ātihau Ravensdown Scholarship was established in 2011 and reflects the shared commitment the partnership holds to support the next generation of Māori involvement and contribution to the agircultual sector. Its current recipient, Clay Langford, is in his first year of study


towards a Bachelor of Agriculture at Lincoln University. Clay has a whakapapa relationship back to AWHI through his grandmother. It is clear that the partnership between Ravensdown and AWHI is very much more than that of supply and demand. Both organisations have a vested interest in working together for the betterment of the land, the people who care for it and the future of those to come. The relationship made it ideal to be part of the Primary Growth Partnership (PGP), a joint venture between government and industry that invests in long-term innovation programmes to increase the market success of the primary industries.

“We are a complete agribusiness that is continually pushing the boundaries of what can be achieved and the legacies we can leave for future generations.” says Gary. “And when we find a partner like Ātihau Whanganui Incorporation which shares that passion, great things can happen.”

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Ātihau-Whanganui Incorporation CEO REPORT

THE STRATEGIC OVERVIEW ALSO LAYS DOWN THE VALUES WE HOLD OF PROVIDING MANAAKI FOR OUR LAND, ANIMALS, RESOURCES AND PEOPLE, SEEKING CONTINUOUS IMPROVEMENT, DELIVERING CUSTOMER VALUE, ACTING WITH INTEGRITY AND SHAPING A BETTER FUTURE FOR OUR MOKOPUNA.

Keeping a clear focus on our

process and are providing a solid

organisation’s priorities, as set out in

foundation for everything we do across

the Ātihau Whanganui Incorporation

our growing organisation.

(AWHI) strategic overview, has proved to be a successful formula for our business over the last year. We have seen progress in each of those areas of: 1. Our People, 2. The Environment, 3. Profitability,

The greatest resource AWHI has is our people. The organisation will succeed or founder on the skills and attitude of those working for us, at every level. Therefore, it makes good sense to invest in our people, to give them the tools to be the best they can be.

4. Value,

We have made a concerted effort

5. Diversification and

this year to grow the people skills

6. Shareholder Connectivity,

of our team so each individual can communicate freely and effectively,

and I am pleased to be able to report

manage conflict positively, collaborate

on the steps we are taking to move our

to find solutions to challenges and

business forward together.

bring the ability to motivate and inspire

The strategic overview also lays

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People

those they work with every day.

down the values we hold of providing

We wanted to change our managers

manaaki for our land, animals,

into great team leaders that stepped

resources and people, seeking

up without leaving their team behind.

continuous improvement, delivering

To this end, each manager received

customer value, acting with integrity

leadership training with follow-

and shaping a better future for our

up coaching to ensure that the

mokopuna. These values have been

lessons learned were being put into

at the core of our decision-making

practice. This training included how


Ä€tihau-Whanganui Incorporation CEO REPORT

to communicate and motivate, how

A drugs and alcohol policy has also

to coach, and how to delegate and

been introduced. This makes our

empower staff. Managers were taught

expectation of our staff very clear that

that people are individuals that behave

they are able to carry out their work in

differently and given the skills to be

a clear-headed and safe fashion.

able to respond to achieve positive outcomes. We also gave all our staff the opportunity to learn more about themselves, how to manage their own behaviour and relate to their colleagues so the whole team can work better together. Our shepherds also received training from Lloyd Smith, one of New Zealand’s best-known and respected sheep dog trainers and trialists. The one-on-one time each staff member spent with him was extremely instructive and the follow-up session a few months later invaluable. Seeing how things are done by others is never a wasted experience and so all our farm managers visited stations and farms in the South Island to look at processes and people-management in different contexts. These training investments are already paying dividends as we now have a more engaged and committed workforce who are determined to continue their growth on both a professional and personal level. Keeping our people safe at their work is hugely important and health and safety continues to be a priority. With this in mind, we held a health and safety training day for all staff to bring

ToitĹŤ Te Whenua

Farm Angel, a world-first technology system that tracks vehicles, enables communication and automatically alerts key people when there has been accident, has been rolled out across all our farms. While there have been several false alarms as we bed the system in, it is providing a level of confidence for team members and managers that no matter how remote someone may be, help is not far away should they need it. Our emphasis on health and safety has been not been restricted to our own staff as it is vital our contractors are also aware of the role they have to play in keeping work place incidents to a minimum. We held a successful health and safety event to engage with our contractors where Mike Cosman from Cosman Parkes, a health and safety expert, was invited along to outline how new legislation affects them. Mike also provided invaluable information on what steps to take to develop a health and safety plan. Part of our policy of setting high standards for ourselves in this area included commissioning an external

17.8kg Average lamb carcass weight

1,200 Hives wholly owned by AWHI

10km Fencing installed, protecting 7km of waterways & 1,000 ha nature bush

health and safety audit across the organisation which was completed

them up-to-date with new legislation

earlier this year. While it was gratifying

and their responsibilities to it. Key

to receive positive feedback about

health and safety risks were also

work we have already done, it was our

indentified and we worked with staff

intention to find out where we could do

to develop safe work procedures to

more and that information has proved

mitigate each one.

to be invaluable for our health and

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Ātihau-Whanganui Incorporation CEO REPORT

safety planning moving forward. Our Awhiwhenua training programme continues to be successful with every member of the class of 2016 either finding employment or taking the opportunity to continue with a second year, being placed on an AWHI farm so cadets can continue to learn practical skills while completing further study. The opening of a residential block at Te Pā, where the first year of the practical training is based, with the capacity to house six cadets and a kaiawhi has been a big step forward in the development of Awhiwhenua. Running the residential programme is a new experience for AWHI and we have met many challenges along the way. But it is clear that we are learning and improving all the time and the future of this programme, and what it means for the organisation as a whole, is an exciting one.

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Farming

wet weather did mean lambs could

Previous years have seen us dealing

be carried to higher weights, making

with dry conditions over the summer

the average carcass weight 17.8kg

months but this was certainly not the

(up from 17.6 kg in 2016). A total of

case in 2016/2017! We experienced

55,329 lambs were sold directly to the

high levels of rain across every

works, with an average price per lamb

season which affected all our farming

of $96.97.

concerns.

Birth numbers of beef calves was on

Lamb numbers were down on previous

a par with previous years at 3,880.

years due to a combination of a lower

Due to a record kill last year and the

birth rate − attributed to facial eczema

decision to take more steers over

affecting conception rates – and the

winter, steer sales were down on

wet weather contributing to greater

2016. The two-year-olds that did go to

lamb losses.

slaughter received an average price of

The decision was taken to sell store

$1,795.77.

lambs at both the start and the end of

Our dairy production followed the

the season this year, which enabled

downward trend experienced across

us to take advantage of points in

the country caused by wet spring

the store schedule when prices are

weather. We continued to follow our

higher. It also meant we could move

strategy to remove costs from our dairy

on stock that would have traditionally

business by wintering all our cows in

impacted on breeding performance

Ohākune, rather than trucking them

by taking pasture away from ewes,

to warmer climates for the duration.

both before and during pregnancy. The

We also installed an in-shed feeding


Ātihau-Whanganui Incorporation CEO REPORT

system which drastically reduced feed

the trend found in many areas of the

wastage and cut tractor costs.

country who suffered a terrible honey

Early in the year we future-mapped all our farms, identifying what each station required in terms of fencing, housing, tracks, water provision, yards and soil fertility to be fully developed. This exercise was essential to enable us to deliver customer satisfaction,

season. A delay in the flowering season aligned perfectly with a stretch of good weather, allowing the bees to harvest plenty of nectar. The late season did mean, however, that we as we had originally planned in the autumn. Despite this, hives owned

well increasing productivity while being

wholly by the organisation have

better stewards of the land.

increased to 1,200, meaning that 35%

plan has been implemented with $1.4million being spent directly on farms. We are now working in phase 2 and I look forward to reporting on these developments in future editions of AWHI magazine.

Some honey payments have been delayed into the 2018 financial year as a change in labelling standards for mānuka honey caused disruption in the industry.

were unable to split as many hives

as laid down in our value strategy, as

The first phase of the development

of the honey shed being built.

of the 3,100 hives currently on AWHI

Te Hou

The development focus that has been on Te Hou, as part of our diversification strategy, is beginning to pay dividends with an increased and more consistent

land belong to us.

production output. That focus has

A further 100 hives were placed on

upgrades to the dairy effluent system

land owned by others, and the apiary team contract-managed a further 100 hives under a profit-share agreement. The team itself was doubled with the employment of two more beekeepers

Apiary

and capital investment in this area

Production of 80,760 kg of honey (at

continues with the purchase of a

an average of $69.50 per kg) bucked

specialised apiary truck and stage one

continued this year with significant and extension of the irrigation system on the dry stock block. This work means that 320 ha on the dry stock block is now fully irrigated – double that of last year. Preparations have also been made on another 53 ha so it can be irrigated next year. This increase in irrigation has meant

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Ātihau-Whanganui Incorporation CEO REPORT

THIS REPORT HAS HIGHLIGHTED SOME OF THE GREAT ACHIEVEMENTS WE HAVE MADE THIS PAST YEAR.

crop sales have doubled to $600,000

protecting almost 7 km of waterways

this past year. It has taken the passion,

as more area is available for cropping.

and and nearly 1,000 ha of native

commitment and skill of every single

bush.

member of the AWHI team to continue

Dairy production increased by

to make the vision we have for our

36,000 kgMS from 422,000 kgMS to 458,000 kgMS as more cows were being milked. However, the numbers were not sustainable and have been since reduced so this will be reflected in future production rates. Looking to the future, an improved

As at 30 June 2017 our borrowings stood at $30.7m. This number includes $1.1m of trade (e.g delayed honey sale income) and other receivables. Cost of finance is down $100,000 on last year

dairy payout is likely to have a flow-on

to $1.68m.

effect to increased grain prices which

A decline in revenues from wool and

will have a positive impact on next year’s income.

Environment

One of our strategic priorities is the environment and Atihāu Whanganui

livestock were offset by increases from

thank everyone for their efforts. I look forward to seeing the continued growth across AWHI as we work on our programme of continuous improvement and development. Enabling our people to be the best they can be for themselves and the business, revising internal processes to ensure they work for the benefit of our strategic aims and never forgetting

resulted in our total revenue increasing

our purpose of toitū te whenua, toitū te

from $19.1m to $19.3m.

tangata and toitū te mana will ensure

Our total equity increased to $132m (a gain of $3.9m) due to an increase in livestock values.

in partnership with Horizons Regional

Our net surplus (before finance costs

preserve and protect native bushland

organisation into a reality and I wish to

our honey and dairy operations which

Incorpration is proud to be working Council and Ngā Whenua Rāhui to

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Financial Results

us of another successful year. Ngā mihi

and non-operating revaluations) stands at $2.1m, up considerably on the

and waterways on AWHI land.

$1.7m AWHI achieved last year.

Nearly 10 km of fencing has been

This report has highlighted some of

installed across all our stations

the great achievements we have made

Andrew Beijeman CEO


Ä€tihau-Whanganui Incorporation SUMMARY OF KEY FINANCIAL INFORMATION For the Year Ended 30 June 2017 AT A GLANCE

2017 $'000

2016 $'000

Total Revenue

19,290

19,139

Livestock

13,156

13,582

Milk

1,263

930

Wool

1,705

2,240

Apiary

2,716

1,490

17,231

17,430

2,059

1,709

Total Expenses Net surplus before finance costs and non operating revaluations

Apiary

Te Hou

Farming

80,760kg Honey

Total 458,000kgMS

17.8kg average CW

$69.50 PER kg AVERAGE PRICE

DAIRY PRODUCTION UP BY 36,000kgMS

$96.97 PER LAMB AVERAGE PRICE

Total Revenue

Total Equity

Net Surplus*

$19.3M

$132M

$2.1M

$0.2M increase on 2016

$3.9M increase on 2016

$0.4M increase on 2016*

* Before finance costs and non-operating revaluations.

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Te Āti Hau Trust CHAIRPERSON'S REPORT

OUR GRANTS HAVE HELPED PEOPLE TO REPRESENT THEIR COUNTRY, REGION, COMMUNITY OR SCHOOL IN A HUGE RANGE OF SPORTS, ENABLED KAUMĀTUA TO LIVE MORE COMFORTABLY, SUPPORTED THE EDUCATION OF YOUNG AND NOT SO YOUNG PEOPLE IN A WIDE RANGE OF SUBJECTS AND PROVIDED VITAL SUPPORT FOR PROJECTS THAT BENEFIT OUR COMMUNITIES.

Tēnā kautau e ngā uri nō whenua morehu. Nā ō tātau tupuna ēnei taonga i tuku iho mai ki ao āpōpō. He tika te whakaaro kia kore e warewaretia nā ā rātau mahi i ahei ai ngā kawai hekenga ki te tū hei mana reo mō te whenua mai i te kahui hukapapa ki te wai mirimiri ō mātua tūpuna. Oti atu te po tango, nau mai aotea ki mua. Ānei nā te purongo ā tau 2017 e whakaatu nei i ngā painga me ngā rawenga mō te putea tautoko i tuaina atu ai ki ngā tauira, ki ngā pahake, ki ngā tāngata hākinakina, ki ngā marae, ara noa atu. Heoi ano, kore mutu ai te mihi kau atu ki ngā reo o te Kopereihana. Nā kautau i karanga ai ki te awhiawhi, ki te manaaki i te iti me te rahi. Tēnā tātau katoa.

STRATEGIC PARTNERSHIP The purpose of the Te Āti Hau Trust is to assist our shareholders, and their whānau, kaumātua, tamariki and mokopuna, in the pursuit of their

year. We are pleased to have supported, contributed and shared in the stories of our people seeking to achieve their goals and succeed with

aspirations and goals with grants for

their initiatives.

a variety of purposes including sport,

Our grants have helped people

education, health and wellbeing, and marae initiatives. On behalf of Te Āti Hau Trust Board

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applications we received this financial

to represent their country, region, community or school in a huge range of sports, enabled kaumātua to live

members - Jenny Tamakehu, Anton

more comfortably, supported the

McKay, Shar Amner and Keria Ponga, I

education of young and not so young

wish to thank our shareholders for your

people in a wide range of subjects and

ongoing support and endorsement

provided vital support for projects that

of the education and general grant

benefit our communities.


Te Āti Hau Trust CHAIRPERSON'S REPORT EDUCATION GRANTS The great majority of our grants are to support study and learning. We continue to help new generations of medical professionals, lawyers, teachers, artists, farmers, engineers

Toitū Te Tangata

are standing on the world stage and doing us proud. The Trust distributed $18,700 in this area. Interestingly, 50% of all applications received for general grants were for sport, art and travel interests.

and many more to go out into the world and make their mark. This year the Trust approved 416 education grant applications to distribute a total of $265,200 (an increase of $65,000 from last year). The trustees always appreciate the acknowledgement the Trust receives about the difference a grant has made to a recipient and how they are progressing and achieving on their chosen path. It has been a pleasure to assist

Culture

The Trust approved and distributed $19,700 to projects and activities that promote and support cultural activities. In total, the funds received by successful applicants made up 26% of the total available for general grants. Successful applications received funding for the restoration of a church, support for the annual Hui Aranga gathering and help to promote Te Reo.

our people no matter what their circumstances to strive forward and achieve educational success. The

Kaumātua

The kaumātua grant policy is intended

list of education recipients makes for

to offer support to improve quality of

interesting reading when identifying

life, health and well-being. Applications

connections and seeing some of the

ranged from personal needs such as

more interesting education activities people are involved in.

GENERAL GRANTS Our general grants cover sport, art and travel, cultural activities, kaumātua health and well-being and marae

and kaumatua grants have been available and it is exciting to see more applicants taking up the opportunity.

Sport, Art and Travel

Our tamariki are travelling the world

Approved

healthy teeth and hearing disabilities, to assisting with the warmth of the home. In this category, $12,949 was distributed. On behalf of our shareholders, many of whom are our kaumātua, the Trust is pleased to provide assistance for kaumātua activities and their general well-being.

initiatives. This is the second year that marae

416 Education Grants

Marae

In this financial year the Trust has

$265,200 Total Education Grants Distributed

$76,849 Total General Grants Distributed

been able to support three marae applications. While we received a relatively small number of applications in comparison to other grant categories, total funds approved for distribution in this area totalled

achieving great things in a wide

$25,500. These funds are supporting

variety of sports. From trampolining to

the restoration and conservation of the

taekwondo and netball to dance. They

wharepuni Akerautangi, improving the

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Te Āti Hau Trust CHAIRPERSON'S REPORT stormwater drainage at Maungarongo

continue to respond to the needs of

Finally, I would encourage all those

Marae and supporting the provision

our shareholders and their whānau.

who wish to make an application

of a ride-on lawn mower for Te

No doubt, this will be an important

to carefully complete the details

Upoko o Te Whenua Marae. The

focus for Trust activities in the coming

required and ensure it is accompanied

Trust recognises that our marae are

year.

with supporting evidence. The

important to us all for our gatherings and shared interests and invites applications for projects and initiatives that support the home people who look after our marae for the rest of us.

approval process is usually a

I would also like to take this opportunity to acknowledge Frances Te Porana’s years of service, in-depth knowledge and responsiveness to our shareholders and beneficaries while

straightforward one, aided by the revised administrative procedures for the receiving and processing of applications. Our staff, Keri and Charmaine, are available at the office

With the completion of this AGM

she enjoys retirement. In her time

report, the trustees thank the Ātihau

with the Incorporation and the Trust

Whanganui Incorporation (AWHI)

she supported many visitors to the

shareholders for your ongoing trust

office with information and assistance.

and confidence in our work. I have

Many of us know that her wealth of

appreciated my time as the chair

experience and understanding of

for the Trust and now look forward

the shareholder register was well

to the incoming chair, Keria Ponga,

recognised. She has passed the

Dr Brendon Te Tiwha Puketapu

continuing the Trust’s positive activities.

baton into the capable hands of Keri

Chair, Te Āti Hau Trust

As the shareholders of the AWHI and

and Charmaine, however, we may

beneficiaries of Te Āti Hau Trust, you

have the opportunity to call upon

can be assured that the trustees will

Frances’s skills in the future.

to assist you. Nāku iti nei,

Te Āti Hau Trust TRUSTEES

Brendon Te Tiwha Puketapu (Chair)

20

Shar Amner

Keria Ponga

Anton McKay Independent Trustee

Jenny Tamakehu Independent Trustee


Long history brings new opportunity A new scholarship launched this year

he says “The long history of the

operations. The recipient of this

stands as a testament to the strength

partnership and a deep understanding

scholarship will spend time learning

of the relationship between Ātihau

of the goals and aspirations of Te Āti

about aspects of our business,

Hau Trust led to a desire to further

providing them with valuable

help and assist AWHI. We created

knowledge and experience as they go

this new and exciting scholarship with

forward on their chosen path.”

Whanganui Incorporation (AWHI), Balance Chartered Accountants (Balance) and Deloitte. Whanganui based Balance has been providing AWHI with accounting, secretarial and governance support services for more than 50 years. The partnership was further enhanced in 2015 when Balance came to enjoy the support of Deloitte, the multinational professional services firm, in what Balance’s Chairperson Russell Bell describes as a ‘modern and dynamic partnership which gives AWHI and its team access to advice and expertise that is second to none’. Russell is also Balance’s Lead Partner for Ātihau Whanganui Incorporation and Te Āti Hau Trust and has been working closely with AWHI for the past year.

this in mind and are excited by the possibilities the opportunity presents to the AWHI shareholders and their uri in supporting an individual to expand their capabilities.” The Accounting Scholarship is one of four special scholarships offered by the Trust and will provide $1000 per year for three years along with the valuable offer of eight weeks’ work experience at Balance and Deloitte.

Tiwha Puketapu, Chairman of the Te Āti Hau Trust Board, is pleased that the partnership is able to help shareholders, and their whānau, tamariki and mokopuna, pursue their aspirations and goals. “Assisting people to build their knowledge, their skills and their capability not only benefits the individual, it helps our community to grow and succeed.” he says. “The

“I think accountants suffer a bit of an

Board is delighted to have been able

image problem,” laughs Russell.

to work with Balance and Deloitte to

“We are much, much more than musty

provide this scholarship for our future

bean counters sitting in an office full of

business managers, consultants and

ledgers! I spend almost all of my time

financial experts and look forward to

consulting and helping people make

seeing what rewards it will reap.”

their businesses better.”

Prospective applicants are encouraged

“We provide advice and insight to

to contact Keri in the AWHI office

Committed to finding opportunities

help businesses to make decisive

to receive advice about how best to

to add value to the work of the Trust,

and focused decisions about their

present their application.

21


Te Āti Hau Trust GENERAL GRANTS LIST Sport, Art and Travel Recipients

General Grant Categories

$

Anika Robinson

2017 Waka Ama Nationals

100

Connor Dobbyn

Under 14 Representative Rugby League

250

Faith McCallum

Waka Ama

250

Steele Spence

Under 14 Representative Rugby League

250

Maia Ramis

Attending NZ Basketball Academy

400

Summah Hartley

Course Fees

450

Adalene Hay

Representing region at Bowls Nationals

500

Alicia Colledge

Representing NZ mixed Indoor Netball

500

Awatere McLean Wano

Australia - Representing Basketball

500

Belinda Kimiora Katene (on behalf of her son Karepa Wiremu Heke Kaiawha)

2017 UCI BMX World Championships

500

Benet Kumeroa

Representing School at Junior World Weightlifting Champinships in Thailand

500

Caleb Akapita

Representing school at NZ National Secondary School Rowing Championships

500

Donovan Thompson

Representing school at NZ National Secondary School Rowing Championships

500

Eliza Muldrock

Representing NZ National Cheer-leading

500

Janae Whakarau

NZ Representing Taekwondo World Championships in Ireland

500

Jaqiya2k Kora

NZ U17 Mixed Indoor Netball Team

500

Jaxon Waters

Representing NZ overseas in NZ Trampoline Team

500

Kayzia Goss

NZ U15 Girls Indoor Netball Team

500

Laticia-Leigh Transom

Represent NZ at 2017 Youth Commonwealth Games in Nassau - Bahamas

500

Latrell Teka

Australia - Representing Basketball

500

Liam Goodhall

NZ Judo Team

500

Rangi Kui

Representing school at Under 16 Boys Whanganui Touch Nationals

500

Sharnay Leef

Representing NZ U17 Mixed iIndoor Netball Team

500

Shenea Whakarau

NZ Representing Taekwondo World Championships in Ireland

500

Mitchell Millar

Representing NZ U20 Mixed Touch Team

1,000

Tirorangi Marae

Taonga restoration

1,000

Benet Kumeroa

Olympic Weightlifting

1,500

Bryan Nuku

NZ Team Marathon

1,500

Shenaragh Nemani

Representing NZ in World Latin Dance Cup in Miami

2,000

Whanganui Hunting & Fishing Festival

Support community project

2,500

Ruapehu College

Support and develop youth CACTUS programme

2,500 18,700

22


Te Āti Hau Trust GENERAL GRANTS LIST Cultural $

Recipients

General Grant Categories

Bayley Mihaka

Te Reo - Manu Korero competition

200

Kids Foundation

Delivering of vital services to our families

500

Pakaitore Ruapehu Māori Catholic Club

Support annual Pakaitore celebrations Hui Aranga 2017

1,000 1,000

St Peter Chanel Catholic Club

Hui Aranga 2017

1,000

St Vincent’s Māori Club

Hui Aranga 2017

1,000

Te Roopu O Parikino

Hui Aranga 2017

1,000

Te Roopu O Te Whiti Māori Culture Club Whangarei Ki Hokianga

Hui Aranga 2017

1,000

Te Roopu Kapahaka o Te Matapihi

2017 National Kapahaka - Te Matatini

1,000

Ruapehu College

CACTUS Scheme

2,500

Te Takanga o Materoa

Re-erect memorial

4,500

Te Reo Whakamoemiti

Church Restoration

5,000 19,700

Kaumatua $

Recipients

General Grant Categories

Adelaide Kellett

Kaumatua

150

Evelyn Myrtle Takarangi

Kaumatua

849

Hohepa Kotuku

Kaumatua

950

Aloha Tamihana-Gray

Kaumatua

1,000

Georgie Wardlaw

Kaumatua

1,000

Geraldine Taurerewa

Kaumatua

1,000

Howard Brooks

Kaumatua

1,000

Lorraine Lewis

Kaumatua

1,000

Makarita Smallman

Kaumatua

1,000

Mary Te Haara

Kaumatua

1,000

Rangi Bristol

Kaumatua

1,000

Tamaohungia Te Patu

Kaumatua

1,000

Te Rangatapu Wirihana Wilson

Kaumatua

1,000

Terence Hikaka

Kaumatua

1,000

Te Reo Whakamoemiti

Church Restoration

5,000 12,949

Marae

$

Recipients

General Grant Categories

Nathan Pari Maungarongo Marae Trustees

Ride-on Lawnmower -Te Upoko o Te Whenua Marae Marae - Stormwater drainage

Te Ao Marama Whakaihuwaka C3A Marae repairs - Restoration & conservation of the Wharepuni Akerautangi

3,500 7,000 15,000 25,500

Net General Grants

76,849

23


Te Āti Hau Trust EDUCATION GRANTS LIST

Secondary School (Yr 10-11)

24

$

Recipients

School

Aaliyah Ranginui

Whanganui High School

250

Akaylah Ranginui

Whanganui High School

250

Ani Waitai-Ngatuere

Whanganui High School

250

Anika Read

Kamo High School

250

Anika Robinson

Whanganui Girls College

250

Arama Waitai-Ngatuere

Cullinane College

250

Ariana Potaka

St. Josephs MÄ ori Girls College

250

Arielle O'Keefe

2016 Napier Girls High School

250

Arielle O'Keefe

2017 Napier Girls High School

250

Ashleigh Naomi Edwards

Wanganui Girls College

250

Beau Hourigan

Wanganui Collegiate

250

Braxton Whale

Cullinane College

250

Brayden Tyson

Whanganui City College

250

Caleb Akapita

Hamilton Boys High School

250

Chelsea Haami-Heron

Tararua College

250

Collis McNaughton

Onslow College

250

Connor Dobbyn

Rotorua Boys High School

250

Connor Matenga

Feilding High School

250

Connor Pauro

Whanganui City College

250

Cruz Pauro

Whanganui City College

250

Cymfani-Dawn Waters

Rosehill College

250

Dakota Ratana

Hato Paora College

250

Danielle Tahana

Whanganui City College

250

Danika Hawira

Whanganui City College

250

Daysha Maniapoto

Hastings Girls High School

250

Dean Christensen

Hamilton Boys High School

250

Devon Malcolm

Whanganui High School

250

Dryden Mihaka

Western Heights High School

250

Epic Tuirirangi-Rapana

Wanganui City College

250

Erana Pei-Aati

Cullinane College

250

Falcon Neilson

Mairehau High School Christchurch

250

Haize Mihaka

Opotiki College

250

Hana Gussey

2016 Carmel College

250

Hana Gussey

2017 Carmel College

250

Harlen Awhitu

St. Johns College

250


Te Āti Hau Trust EDUCATION GRANTS LIST

Secondary School (Yr 10-11) $

Recipients

School

Harmony Ngatoa-Wallace

Cullinane College

250

Heavenly Mihaka

Western Heights High School

250

Herena Taylor-Heke

Wanganui High School

250

Hunter Morrison

Wanganui Collegiate

250

Isaiah Teki

Cullinane College

250

Jade Johnson

2016 Wanganui High School

250

Jade Johnson

2017 Whanganui High School

250

Jardyn Tamati

PN Boys High School

250

Jayden Williams

Western Springs College

250

Jaysire Hura

Whanganui High School

250

Jessie Haami-Heron

Tararua College

250

Jhavanni Allen

Cullinane College

250

Joey Richards-Wiari

Ruapehu College

250

John Benjamin Richards

Ruapehu College

250

Jorja Stout

Taupo Nui A Tia College

250

Joshua Fortuin-Tiraha

Aotea College

250

Joshua Korewha

Wanganui High School

250

Kairon Repia

Hato Paora College

250

Kenayla Edwards

Te Puke High School

250

Kiana Millar

Cullinane College

250

Kuramaiki Whana

Hukarere Girls College

250

Latrell Teka

New Plymouth Boys High

250

Lilli Hammond

Wanganui Collegiate

250

Logan Kumeroa

Gore High School

250

Lyric Bishop

Whanganui Girls College

250

Manea-Mabel Hawke

St. Josephs MÄ ori Girls College

250

Matthew Oberdries

Mt. Albert Grammar School

250

Merenia Ratana-Peina

Manukura

250

Mikaylah Macdonald

Wanganui High School

250

Monika Hough

Wanganui Girls College

250

Natalia Healey-Forde

Rotorua Girls High School

250

Natalia Ranginui

Wanganui City College

250

Paige Taiaroa

Feilding High School

250

Paris Urwin

Tauranga Boys High

250

Patrick Hourigan

Wanganui Collegiate

250

25


Te Āti Hau Trust EDUCATION GRANTS LIST

Secondary School (Yr 10-11) $

Recipients

School

Petera Haami

Tararua College

250

Phoenix Neilson

Mairehau High School Christchurch

250

Pita Townsend

Whanganui High School

250

Rangi Kui

2016 Wanganui City College

250

Rangi Kui

2017 Wanganui City College

250

Rata Puru

Flaxmere College

250

Rawiri Winikerei

St. Johns College

250

Rayarn Mataora Tamati

Trident High School

250

Riley Haenga

Whanganui High School

250

Rongomai McLean-Wanoa

Cullinane College

250

Rukuwai Te Weri

Manukura

250

Shantala Mitchell

Upper Hutt High School

250

Skyelah-Breez' Te Ua Wright

Cullinane College

250

Steele Spence

Rotorua Boys High

250

Summah Hartley

Te Puke High School

250

Tangata Kee Matenga

Taita College

250

Tauri Maniapoto-Cheer

Central Hawkes Bay College

250

Tayla Ataerihia Kuiti

Manawatu College Foxton

250

Te Aratu Ngaire Maihi

Newlands College

250

Te Atawhai Wanihi Quirke

Whanganui High School

250

Te Hau Bhreeeze Maihi-Fore

Cullinane College

250

Te KaoKao Kairimu

Ruapehu College

250

Te Paea Rogers

2016 Wanganui High School

250

Te Paea Rogers

2017 Hukarere Girls College

250

Toni Tutemahurangi

Kapiti College

250

Tumanako Te Awhe

Cullinane College

250

Tyra-Jade Alexander

Manukura

250

Uenuku Maru-Patea

St. Josephs Māori Girls College

250

Wharewaiata Rolls

2016 Hato Paora College

250

Wharewaiata Rolls

2017 Hato Paora College

250

Wikitoria Marshall

Whanganui Girls College

250

Wyllow Machin-Clark

St. Josephs Māori Girls College

250

Zachary Campbell-Smith

Rongotai College

250 Net Secondary Grants

26

25,750


Te Āti Hau Trust EDUCATION GRANTS LIST

Tertiary - General $

Recipients

Qualification

Dylan Karamaena

Bachelor of Business Studies

250

Camilla Allen

Bachelor of Applied Business Studies

300

Olivia O'Neil-Cockburn

Bachelor of Science

300

Paul Baker

International Diploma in Cheffing

300

Pirihira Waitai

Te Tohu Paetahi Diploma in Te Reo Māori

300

Pita Taylor-Heke

Conjoint Bachelors Degree in Design Innovation and Commerce

300

Decadia Pakinga

NZ Law Society Legal Executive Diploma Level 6

350

Janelle Gray

Bachelor of Social Studies

350

Joella Tahi

Marketing Research

350

Kristy Byres

National Certificate in Business Administration & Computing Level 3

350

Ngahina Peeti-Green

NZ Certificate in Apiculture

350

Sharon Marshall

Bachelor of Social Work

350

Te Rangi Peeti-Green

NZ Certificate in Apiculture

350

Charles Simon

Certificate in Apiculture Level 3

400

Faith Tioro (McCallum)

Heke Kaitiakitanga Putaiao

400

Gipsy Alysha Foster

Bachelor of Nursing

400

Hamish Nicoll

Bachelor of Engineering

400

Jaymie Kate Wardlaw

Bachelor of Law

400

Jesse Lee Rihia

Bachelor of Science

400

Karli Selwyn

Bachelor of Health Science in Oral Health

400

Kelsi Jackson

Bachelor of Teaching (Early Childcare)

400

Melissa Hiroti

Toi Paematua Diploma in Māori Art

400

Natalie Ngamotu-Healey

Bachelor of Laws

400

Nikita Hiroti

Bachelor of Arts

400

Alexandra Brooks

Bachelor of Teaching (Primary)

500

Anahera Faith Sheehy

Bachelor of Health (Occupational Therapy)

500

Awhina Haenga

Bachelor of Social Work Year 3

500

Ayalla Buchanan

Bachelor of Applied Arts

500

Blake Matthew Akapita

Bachelor of Computing and Mathematical Sciences

500

Jacob Hiroti

Certificate in Carpentry Level 4

500

Karamea Graham-Ratana

Bachelor of Health Science (Health Promotion)

500

Kayana Tahana-Hopkins

Bachelor of Business (Property)

500

Nova Lindsay

Te Tohu Paetahi Nga Poutoko Whakarara Oranga

500

Penelope Wiari

Te Tahu Paetahinga Poutoko Whakarara Oranga

500

Tibet Ranginui

Bachelor of Fine Arts with Honours

500

Trina Paewai

Bachelor of Business

500

27


Te Āti Hau Trust EDUCATION GRANTS LIST

Tertiary - General

28

$

Recipients

Qualification

Taara Green

Apiculture Course

600

Ahlia-Mei Ta'ala

Architecture

600

Samuel Wright

Bachelor of Applied Science

600

Rachel O'Halloran

Bachelor of Applied Management

600

Dakota Lawrence

Bachelor of Arts

600

Madison Durston

Bachelor of Arts

600

Sidney Taku

Bachelor of Arts

600

Rachael MM Reihana

Bachelor of Arts and Social Services

600

Shaqkinem Stebbing

Bachelor of Arts in Criminology & Education

600

Kealyn Marshall-Nyman

Bachelor of Arts, Teaching

600

Kayla Wareham

Bachelor of Business

600

Ana Allen

Bachelor of Business Studies

600

Kaylin Huwyler-Hunia

Bachelor of Commerce and PE

600

Sonny Houpapa

Bachelor of Creative Enterprises

600

Kristie Rose Rihia

Bachelor of Education

600

Michael Stewart

Bachelor of Engineering (Honours)

600

Tania Pirikahu

Bachelor of MÄ ori Visual Arts

600

Angeline Walters

Bachelor of Science

600

Maggie Tapa

Bachelor of Science

600

Fiona Nicoll

Bachelor of Science

600

Cortenay Durston

Bachelor of Social Sciences

600

Grant Te Patu

Bachelor of Social Work

600

Maddiesen Ratten

Bachelor of Sport and Recreation

600

Kahutianui Lawrence

Bachelor of Sport, Health and Human Performance

600

Rangitarewa Woon

Bachelors of Law and Art

600

Christina-Rose Malcolm

Certificate in Agriculture Level 3

600

Cameron Tawaroa

Certificate in Apiculture Level 3

600

Mahinarangi Richards

Certificate in Beauty Services

600

Lonnie Kwocksun

Certificate in Engineering Level 3

600

Teresa Peeti

Cookery Level 5 Diploma

600

Jordan Makatea

Diploma in Exercise Science Level 6

600

Monique Haami-Heron

Diploma in Hotel Management

600

Diane Wildermoth

Diploma in Tertiary Teaching

600

Paul Hallett

Diploma Forest Manage Level 6

600


Te Āti Hau Trust EDUCATION GRANTS LIST

Tertiary - General $

Recipients

Qualification

Connor Hourigan

Electrical Apprenticeship

600

Elizabeth Namana

Kawai Ruapapa Level 4

600

Tawhiao McMaster

LLB & BA

600

Hinepuaraurangi Hawira

NZ cert in Art & Design Level 3

600

Rena Akapita

NZ Diploma Travel & Tourism Level 5

600

Chontelle Wallace

Post Grad Diploma in Teaching

600

Valencia Poutini

Poutuarongo Kaiwhakaako

600

Klay Pukutohe

Sport and Recreation

600

Shaia Twomey

Te Aho Tatairangi

600

Aleisha Amohia

Bachelors of Computer Science and Commerce

700

Alice Poutini

Hospitality

700

Angela Johnson

Bachelor of Arts/Bachelor of Business

700

Anita Clay

Bachelor of Education

700

Ariaana Osborne

Bachelor of Performing Arts

700

Ariana Joseph

Matauranga MÄ ori

700

Arthur John Takiari

Certificate in Apiculture

700

Ashleigh Aldworth

Bachelor of Science

700

Ashley Te Weri

Certificate in Health and Science Level 3

700

Autumn-Leigh Ratana

Bachelor of Arts and Design

700

Awhina Piripi

Diploma in Freight and Shipping

700

Baileigh Rameka

National Certificate in Security

700

Bernard Matthews

Certificate in Exercise and Sport Performance Level 4

700

Billie Mills

Certificate in Business Level 4

700

Caitlin Macdonald

Bachelor of Electronic Commerce

700

Capryce Taurerewa

NZQA National Certificate Emerging Stylist

700

Casey Jones

Heke Rongoa

700

Celine Selwyn

Bachelor of Sport & Exercise Science

700

Chaana Morgan

Diploma in Waka (Level 5)

700

Chaye Tawaka

Dip. Professional Scuba Instruction & Certificate Medic First Aid Career Instruction

700

Chelsea Walsh

2016 Bachelor of Architecture

700

Chelsea Walsh

2017 Bachelor of Architecture

700

Chevy-Lee Winterburn

NZ Certificate Food & Beverages Level 3

700

Chontelle Wallace

Poutuarongo Whare Tapere

700

29


Te Āti Hau Trust EDUCATION GRANTS LIST

Tertiary - General

30

$

Recipients

Qualification

Claudia Raupita

Diploma of Arts - Psychology

700

Corinna Goff

National Certificate in Security

700

Dakota Lawrence

Bachelor of Arts - Anthropology

700

Damien Rowe

Heke Te Rangakura-Kaiwhakaako

700

Damon Taura

Bachelor of Social Work Level 7

700

Daniel Tauru

Electrical Engineering

700

Dariann Sigley

2016 Bachelor of Arts Majoring in English Literature

700

Dariann Sigley

2017 Bachelor of Arts Majoring in English Literature

700

Dave Hori Pauro

Certificate in Apiculture Level 3

700

Dhinisti Patea

Poutuarongo Whare Tapere

700

Diane Wildemoth

Bachelor of Māori Art

700

Faith Taputoro

Certificate in Tourism Level 3

700

Florence McDonald

Bachelor of Arts majoring in Social Policy

700

Gemma Fore

Bachelor of Social Work

700

Grace Pokiha

Bachelor of Arts - Psychology

700

Haarangi Harrison

Bachelor of Sport and Leisure

700

Hanna Wheller

Foundation Education Health Science

700

Hinetiki Karaitiana

Bachelors of Education

700

Hope Tioro

Bachelor of Arts

700

Huiariki Ratana-Waho

Heke Matauranga Māori

700

Jaan Turia

Bachelor of Commerce

700

Jack Potaka

2016 Bachelor of Law

700

Jack Potaka

2017 Bachelor of Arts/Bachelor of Laws Conjoint Degree

700

Jacon McGregor

Bachelor of Arts International Relations and Political Science

700

Jade Hohepa

Certificate in Hospitality

700

James Tuipea

Bachelor of Sport and Recreation

700

Jesse-Lee Kingi

Bachelor of Science

700

Joanne Piripi

Diploma in Māori Arts L5

700

Kaha Mai O Te Rangi Simon

Bachelor of Teaching Māori Medium/Diploma Māori Education

700

Kahumoerangi Te Kani

Bachelor of Science

700

Kahutianui Lawrence

Bachelor of Sport and Leisure

700

Kataraina Ngairo

Bachelors of Education

700

Katrina Daly

Poutuarongo Whakaakoranga

700

Kauri Neilson

Bachelor of Computer Graphic Design

700


Te Āti Hau Trust EDUCATION GRANTS LIST

Tertiary - General $

Recipients

Qualification

Keith Phillips

Apiculture

700

Kelly Kingi

Bachelor of Arts Majoring in Māori Resource Management

700

Kimberly Kawau

Cookery Level 5 Diploma

700

Kupe Timmo Renata

Bachelor of Musical Arts

700

Leah Marumaru-Flynn

Graduate Diploma of Teaching (Secondary)

700

Leanne Hiroti

NZ Diploma in business

700

Luke Whanarere

Poutuarongo Whare Tapere

700

Mahirini Whale

Apprencticeship Plumbing and Drainlaying Level 4

700

Maihi Potaka

Bachelor of Māori Visual Arts

700

Mako Osborne

Bachelor of Commerce

700

Manaia Ratana

Poutuarongo Whare Tapere

700

Mani Rameka

National Certificate in Security

700

Mary Whanarere

Poutuarongo Whare Tapere

700

Meisha Wallace

Diploma in Interior Design Level 5

700

Michael Robert Thompson

Toi Whakarakai/Carving

700

Mike Hina

National Certificate of Security

700

Moewai Gilsenan

Heke Te Rangakura - Kaiwhakaako

700

Monique Taylor

Bachelor of Social Practice

700

Natalia Green

Māori Natural Resource Management

700

Naumai Kairimu

Poutuarongo Te Rangakura

700

Nicola Walsh

Bachelor of Law, Criminology & Psychology

700

Nicole Woon

NZ Certificate in Animal Technology (Vet Nursing)

700

Nooti Waho

Chinese Language Course

700

Odette Edmonds

Level 4 Early Childhood Practice

700

Paddy Tawaka

Certificate in Cookery Level 4

700

Pania Hemopo

NZ Diploma in Business

700

Patricia Mareikura

Bachelor of Arts Te Reo Māori 7 Tikanga Māori

700

Poutama Taiaroa

Bachelor of Sport and Exercise

700

Quentin Tawaka

Certificate In Hospitality Level 3

700

Rachel O'Halloran

Bachelor of Business Studies

700

Racquel McKenzie

Poutuarongo Whare Tapere

700

Rangimarie Teki

Bachelor of Sport, Health and Human Performance

700

Rangipai Kawau

Bachelor of Teaching

700

Raukura Hoerara-Smith

Bachelor of Commerce and Admin

700

31


Te Āti Hau Trust EDUCATION GRANTS LIST

Tertiary - General

32

$

Recipients

Qualification

Raungohi Skye Grace

Rumaki Reo - Certificate of Proficiency in Māori Language

700

Rawiri Kapea

Bachelor of Arts

700

Rawiri Kerehoma Hoerara

Bachelor of Law and Management Studies

700

Reihana Wiari

Diploma in Contemporary Music Performance

700

Rhys Ngatuere

Ag Challenge

700

Rikki-Leigh Madams

Certificate Business Studies

700

Roimata Harding

Certificate in Beauty Specialist & Electrical Epilation

700

Ruaturia Marshall-Ponga

Diploma in Applied Sport & Exercise Leadership

700

Ruby August

Bachelor of Teaching

700

Sarah Wallace

Bachelor of Arts (Criminology)

700

Severen Rameka

National Certificate in Security

700

Shane Tawhitapou

Certificate in Apiculture Level 3

700

Shannon Baker

Certificate in Health and Science Level 3

700

Sharnarose Pehi

Poutuarongo Whare Tapere

700

Shayna Te Riaki

2016 Certificate in Agriculture Level 3

700

Shayna Te Riaki

2017 Diploma in Waka

700

Sidney Taku

Bachelor of Arts Classical Studies

700

Simone Graham

Heke Reo

700

Slade Rehu-Hill

NZ Institute of Sports

700

Sonny Nepia

Bachelor of Business

700

Stephanie Potaka - Osborne

Bachelors Degree in Accounting

700

Taine Julian

Bachelor of Commerce

700

Tamahauiti Potaka

Bachelor Commerce & Science

700

Tamahina Sheridan

Bachelor of Arts

700

Tameka Solomon

Bachelor of Teaching ECE

700

Tania-Rose Taitoko

Bachelor of Business - Accounting

700

Tawhiao McMaster

Bachelor of Law and Arts - Māori

700

Taylor Barnett

Bachelor of Science - Computers

700

Te Amorangi Karaitiana

Matauranga Māori

700

Te Autiti Gilsenan-Hikaka-Jones

Bachelor of Design with Honours

700

Te Mana-o-Tawhaki Huwyler

Bachelor of Design Innovation

700

Te Ngaahere Peeti

Certificate in Health and Science Level 3

700

Te Ngauora Kerehoma Hoerara

Bachelor of Business Studies

700


Te Āti Hau Trust EDUCATION GRANTS LIST

Tertiary - General $

Recipients

Qualification

Te Oranga Whanarere

Poutuarongo Whare Tapere

700

Te Puawai Wilson-Leahy

Bachelor of Arts and Bachelor of Laws (Māori & Indigenous Studies)

700

Te Raurangi Tamakehu

Certificate in Health and Science Level 3

700

Te Rehia Kendrick

Certificate in Health and Science Level 3

700

Te-Awhina Plumridge

Bachelor of Law and Bachelor of Arts

700

Tess Kora

Heke Rongoa Diploma

700

Time Patea

Certificate in Contemporary Music

700

Titaha Townsend

Certificate in Business Studies Level 4

700

Tukariri Dryden

Bachelor of Electronic Commerce

700

Tukotahi Phillips

Bachelor of Business Administration and Māori

700

Tyson Christopher Prince

Bachelor of Musical Arts

700

Waimiha Maniapoto-Love

Bachelor of Fine Arts with Honours

700

Whare Te Riaki

Diploma in Waka Level 5

700 Net Tertiary General Grants

137,000

33


Te Āti Hau Trust EDUCATION GRANTS LIST

Medical

34

$

Recipients

Qualification

Darinee Ratana

Bachelor of Nursing

300

Pounamu Tawaroa

Certificate in Health Science

350

Jamie Blackett

Bachelor of Occupational Therapy

400

Karen Butler

Bachelor of Nursing

400

Mathew John Brownbridge

Bachelor of Medicine & Bachelor of Surgery

400

Alexandra Kumeroa

Bachelor of Nursing

500

Claire Enright

Bachelor of Midwifery

500

Dayna Stevenson

Bachelor of Science Majoring in Pharmacology

500

Jhonelle Richards

Bachelor in Nursing

500

Mikaere Teki

Health Science First Year

500

Tara Ngatai-Broughton

Bachelor of Nursing

500

Brittany Lambert

Bachelor of Midwifery

600

Jessica Hamilton

Bachelor of Nursing

600

Lace Neilson

2016 Bachelor of Nursing

600

Leilani Fonotoe

Bachelor of Nursing

600

Paris Butters

Health Sciences First Year (Dental Surgery)

600

Sandy Mitchell

Diploma in Nursing

600

Selena Wallace

Bachelor of Nursing

600

Symmone Yates

Bachelor of Nursing

600

Taini Te Awhe

Health Science

600

Waimarama Bartlett

Bachelor of Nursing

600

Alicia Barrett

Bachelor of nursing

700

Ashleigh Tahiwi

Certificate in Foundation Health Science

700

Awhina Dixon

2017 Bachelor of Nursing

700

Awhina Dixon

2016 Certificate in Health Science

700

Freeman Apou

Bachelor of Medicine and Surgery

700

Hanna Mei Wheeler

Bachelor of Nursing (First Year)

700

Hayley Robinson

Bachelor of Nursing 500 Level

700

Jesse-Lee Kingi

Bachelor of Science

700

Jocelyn Arahanga

2016 Bachelor of Nursing

700

Jocelyn Arahanga

2017 Bachelor of Nursing

700

Kama Whatu

Bachelor of Nursing

700

Lace Neilson

2017 Bachelor of Nursing

700

Louise Jansen

Bachelor of Physiotherapy

700

Marcia Apatu

Bachelor of Nursing Level 7

700


Te Āti Hau Trust EDUCATION GRANTS LIST

Medical $

Recipients

Qualification

Rachel Pirere

Certificate in Science & Health

700

Ranee Nikora-Rehu

Certificate in Science & Health Level 3

700

Rayden Huwyler-Hunia

Health Science First Year

700

Rylee Dudley

Health Sciences First Year

700

Sarah Cornes

Bachelor of Medicine and Surgery

700

Talia Poutini Lawrence

Heke Kawa Oranga

700

Waimarama Matena

Bachelor of Medicine & Surgery

1,000

Hoani MacFater

Bachelor of Medicine & Bachelor of Surgery

1,000

Malachi Ropata

Bachelor of Medicine & Bachelor of Surgery

1,100

Katie Scorringe

Bachelor of Medicine & Bachelor of Surgery

1,100

Kelli-Ann Tyson

Professional Nursing Practice

1,300

Kelly Harper-Waho

Physiology & Pathophysiology Post Graduate

1,300

Dr Wiremu McFater

PhD in Philosophy in Surgery Department

1,400

Layne Neil Kay

Bachelor of Science Majoring in Genetics

1,500

Deshannon Matthews

Applied Patho Physiology - Post Graduate

1,500

Siobhan Wooding

Bachelor of Medicine & Bachelor of Surgery

1,500 Net Medical Grants

36,750

High Performance $

Recipients

Qualification

Julia Meriana Wikeepa

Bachelor of Social Sciences

1,000

Lara Amy Takarangi

Bachelor of Health Science in Nursing

1,000

Maia Maniapoto-Cheer

Bachelor of Tourism Management

1,000

Manaia Ratana

Heke Matauranga MÄ ori and Heke Toi Whakarakai

1,000

Natarsha Johnson

Bachelor of Arts

1,000

Samantha Farrell

Bachelor of Health Science (Physiotherapy)

1,000

Net High Performance Grants

6,000

35


Te Āti Hau Trust EDUCATION GRANTS LIST

Overseas $

Recipients

Qualification

Jacob McGregor

BA in Political Science and International Relations

700

Stephanie Osborne

2016 Degree in Business & Technology

700

Kayla Tyson-Tahana

Bachelor of Midwifery

2,000

Sarah Reo

Executive Masters in Business Administration

2,000 Net Overseas Grants

5,400

Agriculture $

Recipients

Qualification

Jacob Robinson

PhD - Earth Sciences

3,000

James Coogan

Bachelor of Agriculture

3,000 Net Agricultural Grants

6,000

Music $

Recipients

Qualification

Liam Wooding

Master of Music & Professional Performance Programme Net Music Grants

36

6,000 6,000


Te Āti Hau Trust EDUCATION GRANTS LIST

Post Graduate $

Recipients

Qualification

Casper'Rose Marama

Business Management

700

Jordan Hoerara

Post Grad Diploma in Arts majoring in Psychology

750

Kylie Takarangi

Masters in Sports Physiotherapy (Part time)

750

Mary TK Jones

Masters of Māori & Pacific Development

800

Kayla Gray

Post grad Diploma of Arts (Psychology)

900

Vasilios Kostidis

Bachelor of Screen Arts - Acting

900

Kevin Haunui

Doctor of Philosophy in Education

1,100

Joel Rudolph

Masters in Fine Art

1,200

Leanne Kerehoma

Master of Philospophy (Humanities & Social Science)

1,200

Simon Miles

Bachelor of Engineering with Honours

1,200

Gabriel Baron

Masters of Arts in Māori Development

1,300

Mahinarangi Kerehoma-Torrey

Te Aho Paerewa - Post graduate Diploma in Māori Medium Teaching

1,300

Marama Cameron

Masters in Management - Health Service)

1,300

Stephanie Osborne

2017 Masters of Business Administration in Technology

1,300

Te Herekiekie Herewini

PhD in Māori Studies

1,300

Te Rangimarie Stanley

Post Grad Diploma in Teaching

1,300

Tutakangahau Williams

Masters in Indigenous Studies

1,300

Dinah Vette

Masters in Public Management

1,400

Maehe Thompson

Post Grad Diploma in Furniture Making and Design

1,400

Rama Ashford

Tahuhu Matauranga Māori

1,400

Annie Ball

Grad Diploma in Science

1,500

Barbara Murdoch

Masters of Business & Administration

1,500

Belinda Katene

Postgraduate Diploma in Business Administration

1,500

Dylan Knapp

Masters of Applied Information Technology

1,500

Geoffrey Hipango

Masters in Indigenous Studies

1,500

Jason Love

Post Grad Diploma of Education

1,500

Kevin Haunui

Doctor of Philosophy in Education

1,500

Leslie Hoerara

Masters in Education - last paper

1,500

Maria Bound-Gussey

Masters in Specialist Teaching

1,500

Ngawai Hooker

Masters of Education

1,500

Ricky Cribb

Masters in Māori Visual Arts

1,500

Charlotte Connell

PhD Exercise Sciences

3,000 Net Post Graduate Grants

42,300

37


Ä€tihau-Whanganui Incorporation FINANCIAL STATEMENTS 2017

CONTENTS

38

39

Shareholding and Committee of Management Disclosures

40

Statement of Comprehensive Income

41

Statement of Changes in Equity

42

Balance Sheet

43

Statement of Cash Flows

44

Notes to and forming part of the Financial Statements

60

Auditors' Report


Ä€tihau-Whanganui Incorporation SHAREHOLDING & COMMITTEE OF MANAGEMENT DISCLOSURES For the Year Ended 30 June 2017 Shareholding Information

Greater than 5,000 shares Between 1,000 and 5,000 shares Between 500 and 1,000 shares Between 100 and 500 shares Between 5 and 100 shares Between 1 and 5 shares Under 1 share Totals

No. of Shareholders 12 238 305 1,436 3,905 1,507 1,166 8,569

0.15% 2.85% 3.70% 16.98% 46.06% 17.33% 12.93% 100%

No. of Shares Held

111,973.40 458,476.54 215,669.83 340,109.82 125,926.75 3,936.77 435.89 1,256,529

8.91% 36.49% 17.16% 27.07% 10.02% 0.32% 0.03% 100%

Committee of Management - Shareholding CoM members have the following shares in the Incorporation registered in their names as at 30 Sept 2017. Che Wilson Keria Ponga Mavis Mullins (Chairperson) Shar Amner Te Tiwha Puketapu Toni Waho Whatarangi Murphy-Peehi

61.05 1,000.00 274.28 2,640.76

This schedule does not include shareholdings registered in the name of Trusts of which a CoM member may be a beneficiary. Committee of Management - Meeting Attendance There were eleven monthly meetings and one AGM of the Committee during the year. Member's attendance was as follows: Che Wilson Jim Edmonds (To 2 December 2016) Keria Ponga Mavis Mullins (Chairperson) Shar Amner (From 2 December 2016) Te Tiwha Puketapu Toni Waho Whatarangi Murphy-Peehi

Ordinary 9 5 10 11 6 9 10 10

AGM 1 1 1 1 N/A 1 1 1

Committee of Management Associate - Meeting Attendance Francene Wineti

10

1

Committee of Management - Remuneration Members were paid fees and travel allowances during the financial year.

Che Wilson Jim Edmonds Keria Ponga Mavis Mullins (Chairperson) Shar Amner Te Tiwha Puketapu Toni Waho Whatarangi Murphy-Peehi

Fees $

25,000 10,753 25,000 45,000 14,247 25,000 25,000 25,000

Travel $ 1,438 683 564 893 3,470 2,666 1,030

Comment

Vehicle Provided

39


Ä€tihau-Whanganui Incorporation STATEMENT OF COMPREHENSIVE INCOME For the Year Ended 30 June 2017 Note REVENUE Livestock

2

2017 $

2016 $

13,156,037

13,582,084

Milk

1,263,198

930,200

Wool

1,704,685

2,240,428

Apiary

2,716,428

1,490,563

18,840,347

18,243,275

(36,000)

315,691

Other gains and losses

3

Finance income

4

Rental income Other income

50,289

73,483

325,819

394,593

109,606

111,800

19,290,060

19,138,842

Farm working expenses

8,661,258

9,041,364

Personnel

3,562,834

3,149,924

1,990,284

2,425,314

Repairs and maintenance

946,218

789,027

Governance and shareholder expenses

633,852

559,107

TOTAL REVENUE EXPENSES

Depreciation and loss on sale

5

Donations and scholarships Other operating expenses

6

TOTAL EXPENSES NET SURPLUS BEFORE FINANCE COSTS AND NON OPERATING REVALUATIONS

362,000

384,000

1,074,623

1,081,082

17,231,069

17,429,818

2,058,991

1,709,024

(1,675,699)

(1,774,741)

FINANCE COSTS Interest

REVALUATION GAINS / (LOSSES) Gain / (loss) from equity accounted investments

(444,513)

85,951

Gain / (loss) due to price changes on livestock

4,928,913

387,975

NET SURPLUS / (DEFICIT) BEFORE INCOME TAX

4,867,692

408,209

-

-

4,867,692

408,209

Income tax expense

7

8

NET SURPLUS / (DEFICIT) AFTER INCOME TAX OTHER COMPREHENSIVE INCOME Revaluation of available-for sale-investments

40

18,633

159,369

Revaluation of emission trading units

(165,558)

3,509,562

TOTAL OTHER COMPREHENSIVE INCOME

(146,925)

3,668,931

TOTAL COMPREHENSIVE INCOME / (DEFICIT)

4,720,767

4,077,140

These financial statements are to be read in conjunction with the accompanying notes


Ä€tihau-Whanganui Incorporation STATEMENT OF CHANGES IN EQUITY For the Year Ended 30 June 2017 Capital PPE Reval Reserves Reserve $ $

BALANCE AT 1 JULY 2016

Retained Earnings $

30,098,776 72,260,903 19,398,566

ETU AFS Share Reserve Reserve $ $

Total Equity $

6,192,656

369,030

128,319,931

Dividends paid

-

-

(691,089)

-

-

(691,089)

Transactions with owners

-

-

(691,089)

-

-

(691,089)

Net Surplus after Income tax

-

-

4,867,692

-

-

4,867,692

- Revaluation of emission trading units

-

-

-

(165,558)

-

(165,558)

- Revaluation of available-for-sale financial assets

-

-

-

-

18,633

18,633

Total Comprehensive Income for the Year

-

-

4,867,692

(165,558)

18,633

4,720,766

Transfer to Retained Earnings

-

-

1,996,748 (1,996,748)

-

-

Other Comprehensive Income

BALANCE AT 30 JUNE 2017

30,098,776 72,260,903 25,571,917

4,030,350

387,663

132,349,608

BALANCE AT 1 JULY 2015

30,098,776 72,260,903 19,679,641

2,683,094

211,466

124,933,880

Dividends paid

-

-

(691,089)

-

-

(691,089)

Transactions with owners

-

-

(691,089)

-

-

(691,089)

Net Surplus after Income tax

-

-

408,209

-

-

408,209

- Revaluation of emission trading units

-

-

-

3,509,562

-

3,509,562

- Reclassification of AFS financial assets on sale

-

-

1,805

-

(1,805)

-

- Revaluation of available-for-sale financial assets

-

-

-

-

159,369

159,369

Total Comprehensive Income for the Year

-

-

410,014

3,509,562

157,564

4,077,140

30,098,776 72,260,903 19,398,566

6,192,656

369,030

128,319,931

Other Comprehensive Income

BALANCE AT 30 JUNE 2016

A description of the nature and purpose of each reserve is stated in note 27. These financial statements are to be read in conjunction with the accompanying notes

41


Ātihau-Whanganui Incorporation BALANCE SHEET As at 30 June 2017 Note

2017 $

2016 $

Cash and cash equivalents

7,119

140,432

Trade and other receivables

2,909,158

1,780,323

Stock on hand

1,050,818

466,243

31,980,408

26,959,951

35,947,503

29,346,949

1,635,473

-

37,582,976

29,346,949

CURRENT ASSETS

Biological assets

9

Investments classified as held for sale

11

TOTAL CURRENT ASSETS NON CURRENT ASSETS Property, plant & equipment

14

112,097,446

110,935,686

Investment property

10

7,871,400

7,871,400

Investments in associates and joint ventures

11

6,284,224

7,965,630

Share Investments

12

1,552,168

1,378,971

Intangibles

13

4,032,529

5,440,588

TOTAL NON CURRENT ASSETS

131,837,767

133,592,275

TOTAL ASSETS

169,420,743

162,939,224

1,385,650

1,087,490

GST payable

401,718

303,999

Te Āti Hau Trust

100,000

40,000

265,970

257,255

-

-

2,153,338

1,688,744

CURRENT LIABILITIES Trade and other payables

Employee entitlements Provisions

15

TOTAL CURRENT LIABILITIES NON CURRENT LIABILITIES Borrowings

16

30,731,208

28,891,208

Unclaimed Dividends

17

2,119,923

1,972,675

Limited Partnership deferred capital contribution

18

2,066,666

2,066,666

TOTAL NON CURRENT LIABILITIES

34,917,797

32,930,549

TOTAL LIABILITIES

37,071,135

34,619,293

132,349,608

128,319,931

NET ASSETS EQUITY Retained Earnings Reserves TOTAL EQUITY

27

25,571,917

19,398,566

26 & 27

106,777,692

108,921,365

132,349,608

128,319,931

The Committee of Management of Ātihau-Whanganui Incorporation authorised the financial statements for issue on 20 October 2017. Signed for and on behalf of the Committee of Management:

Mavis Mullins Chairperson 20 October 2017

42

Whatarangi Murphy-Peehi Chairman of the Audit and Risk Committee 20 October 2017 These financial statements are to be read in conjunction with the accompanying notes


Ä€tihau-Whanganui Incorporation STATEMENT OF CASH FLOWS For the Year Ended 30 June 2017

CASH FLOWS FROM OPERATING ACTIVITIES

2017 $

2016 $

19,044,085

18,856,943

50,289

73,483

19,094,374

18,930,426

14,651,308

14,374,263

1,675,699

1,774,741

67,610

117,806

16,394,617

16,266,810

2,699,757

2,663,616

1,840,000

-

Cash was provided from: Receipts from operations Interest & Dividends Received Cash was disbursed to: Payments to suppliers and employees Interest Paid Net GST Paid

NET CASH FLOWS FROM OPERATING ACTIVITIES CASH FLOWS FROM INVESTING ACTIVITIES Cash was provided from: Proceeds from borrowings Proceeds from disposals of property, plant & equipment

272,655

179,458

2,112,655

179,458

3,503,710

1,471,883

Cash was disbursed to: Acquisition of property, plant & equipment Purchase of Investments

536,175

173,758

4,039,885

1,645,641

(1,927,230)

(1,466,183)

Repayment of Borrowings

-

921,759

Distributions & donations

905,840

949,746

905,840

1,871,505

NET CASH FLOWS FROM FINANCIAL ACTIVITIES

(905,840)

(1,871,505)

Net Increase / (Decrease) in Cash Held

(133,313)

(674,072)

140,432

814,504

7,119

140,432

NET CASH FLOWS FROM INVESTING ACTIVITIES CASH FLOWS FROM FINANCIAL ACTIVITIES Cash was disbursed to:

Cash at the Beginning of the Year CASH AT THE END OF THE YEAR

These financial statements are to be read in conjunction with the accompanying notes

43


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

1. REPORTING ENTITY Ātihau-Whanganui Incorporation (AWHI) is registered under the Te Ture Whenua Māori Act 1993 and is incorporated in New Zealand. Statement of Compliance and Basis of Preparation The financial statements for the Ātihau-Whanganui Incorporation have been prepared in accordance with Generally Accepted Accounting Practice in New Zealand (NZ GAAP) under the requirements of the Financial Reporting Act 2013 and the Te Ture Whenua Māori Act 1993. Ātihau-Whanganui Incorporation is a for-profit entity for the purposes of complying with NZ GAAP. AWHI qualifies for NZ IFRS (RDR) as it is not a large for-profit entity. The Incorporation is eligible for and has elected to report in accordance with Tier 2 For Profit accounting standards and has applied disclosure concessions. The preparation of financial statements in conformity with NZ IFRS (RDR) requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the Incorporation's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant are disclosed at the end of the accounting policies. Basis of Preparation The financial statements have been prepared under the historical cost basis except for biological assets and some financial instruments that are measured at revalued amounts or fair values at the end of each reporting period, as explained in the accounting policies below. Historic cost is generally based on the fair value of the consideration given in exchange for goods and services. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation technique. The information is presented in New Zealand Dollars and all values are rounded to the nearest dollar. The financial statements have been prepared using the significant account policies and measurement basis that are in effect at 30 June 2017 as summarised below. These were used throughout all periods presented in the financial statements. Specific Accounting Policies The following specific accounting policies which materially affect the measurement of the Statement of Comprehensive

44

Income and Balance Sheet have been applied: (a) Revenue Recognition Revenue is measured at the fair value of the consideration received or receivable. Sales of livestock and other agricultural produce are recognised upon receipt by the customer and when the significant risks and rewards of ownership of the goods have been transferred. Rental income is recognised on a straight line basis over the term of the lease. Dividends received are recognised on receipt, net of nonrefundable tax credits. Milk proceeds are recognised in alignment with the processor Fonterra, recorded on a per dollar per kilogram of milk solid production basis. (b) Expenses Expenses are recognised on a functional basis in the period in which they are incurred. Operating lease payments are recognised as an expense on a straight-line basis over the lease term. (c) Trade Receivables Trade Receivables are recognised initially at fair value and subsequently measured at amortised cost using the effective interest method, less an allowance for any uncollectable amounts. Individual debts that are known to be uncollectable are written off in the period that they are identified. (d) Property, Plant & Equipment Items of property, plant and equipment, except for land, are measured on the cost basis and are therefore carried at cost less accumulated depreciation and any accumulated impairment losses. In the event the carrying amount of property, plant and equipment is greater than its estimated recoverable amount, the carrying amount is written down immediately to its estimated recoverable amount and impairment losses recognised either in profit or loss or as a revaluation decrease if the impairment losses relate to a revalued asset. A formal assessment of recoverable amount is made when impairment indicators are present. Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the entity and the cost of the item can be measured reliably.


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

Land is revalued every three years to the most recent rateable value consistent with the Te Ture Whenua Māori Act 1993. Revaluations are reflected through Other Comprehensive Income and cumulative revaluations reflected in the PPE Revaluation Reserve.

have been classified as available-for-sale. At balance date shares are revalued to fair value and any gains or losses reflected through other comprehensive income.

All other repairs and maintenance are recognised as expenses in the Statement of Comprehensive Income in the financial period in which they are incurred.

Emission trading units have been purchased and earned off growing forestry.

The depreciable amount of all fixed assets, including buildings and capitalised lease assets but excluding freehold land, is depreciated on a straight-line or diminishing value basis over the asset's useful life to the entity commencing from the time the asset is held ready for use. Leasehold improvements are depreciated over the shorter of either the unexpired period of the lease or the estimated useful lives of the improvements. Depreciation rates applied to classes of assets are: Class Land Buildings Bridges Development Improvements Plant & Machinery Furniture & Fittings Motor Vehicles

From To 0% 0% 0% 20% DV 2% SL 20% DV 5% DV 25% SL 0% 40% DV 6% DV 36% DV 8% DV 40% DV 6% DV 36% DV

Gains and losses on disposal are determined by comparing proceeds with carrying amount. These are included in the Statement of Comprehensive Income. (e) Investment Property Investment properties are properties held to earn rentals and/or for capital appreciation. Investment properties are measured initially at cost, including transaction costs. Revaluations are performed every three years to rateable value in accordance with the Te Ture Whenua Māori Act 1993. Gains and losses on revaluation are reflected through net surplus. (f) Income Tax The Incorporation is registered as a Māori Authority for income tax purposes. Income tax expense for the year comprises current income tax expense and deferred tax expense. Where there is a deferred tax asset an assessment is performed annually as to whether recognition is required. (g) Investments Investments in shares can be categorised as held-fortrading, held-to-maturity or available-for-sale. Shares held

(h) Intangible Assets (Emission Trading Units)

Pre-1990 Forest Land Ātihau-Whanganui Incorporation land contains pre-1990 forest land subject to the provision of the NZ emissions trading scheme (ETS). If the land is deforested the owner is required to surrender NZ Emission Trading Units (NZU's) and any shortfall not held by the owner must be purchased for surrender. As there is no intention to change the land use (native forest) Ātihau-Whanganui Incorporation recognises them initially at cost and revalues them at reporting date through other comprehensive income and reserves. Post-1989 Forest Land Ātihau-Whanganui Incorporation chose to enter the ETS for post-1989 forest land and earns NZUs as forests grow and carbon is stored in the forest from a 2008 baseline. NZUs are required to be returned to the Crown if the carbon stored in the specified area reduces. NZUs are initially recognised at cost and revalued to market value at reporting date. If the obligation to return units arises this obligation is recognised on the Balance Sheet. Net proceeds relating to the trading of NZUs are reflected in Net Surplus. (i) Financial Instruments Financial assets and financial liabilities are recognised when Ātihau-Whanganui Incorporation becomes a party to the contractual provisions of the instruments. Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through net surplus) are added to or deducted from the fair value of the financial assets or financial liabilities, as approriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair value through net surplus are recognised immediately in net surplus. Financial Assets Financial assets are classified into specified categories: financial assets "at fair value through net surplus", "held to maturity" investments, "available-for-sale" (AFS) financial assets and "loans and receivables". The classification depends on the nature and purpose of the financial assets

45


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

and is determined at the time of initial recognition. All transactions are recognised (or derecognised) on a trade date basis. Ātihau-Whanganui Incorporation does not currently hold any held for trading financial assets or held-to-maturity investments. Available-for-sale financial assets are non-derivatives that are either designated as AFS or are not classified as loans and receivables, held-to-maturity investments or financial assets at fair value through net surplus. AFS financial assets held by Ātihau-Whanganui Incorporation include supplier shares which are issued at $1 and if surrendered are repaid at $1. Where shares are able to be traded on the listed or unlisted exchange these are reflected at market value. They also hold shares for which there are value changes, including Fonterra shares. These are reflected at values advised by Fonterra. Dividends on AFS equity instruments are recognised in net surplus when Ātihau-Whanganui Incorporation's right to receive the dividends is established. Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted on an active market. Loans and recievables (includes trade and other receivables, and cash and cash equivalents) are measured at amortised cost using the effective interest rate, less any impairment. Interest income is recognised by applying the effective interest rate, except for short-term receivables when the effect of discounting is immaterial. Impairment of financial assets: Financial assets are assessed for indicators of impairment at the end of each reporting period. Financial assets are considered to be impaired when there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows of the investment have been effected.

(j) Provisions Provisions are recognised when the entity has an obligation which can be reliably measured at balance date as a result of a past event and it is probable that the entity will be required to settle the obligation. Where the entity expects some or all of a provision to be reimbursed, the reimbursement is recognised as a separate asset only when the reimbursement is virtually certain. The expense relating to any provision is presented in the Statement of Comprehensive Income net of any reimbursement. Provisions are measured at the present value of management’s best estimate of the expenditure required to settle the obligation at balance date. Movements in the best estimate are recorded in the Net Surplus (Statement of Comprehensive Income). (k) Development Expenditure Development costs are deferred where expenditure is carried out on Ātihau-Whanganui Incorporation's farming property over and above normal maintenance and future benefits are expected to exceed those costs. Deferred development costs are amortised over future periods in relation to expected future revenue in each period. Unamortised costs are reviewed at each balance date to determine the amount (if any) that is no longer recoverable, and any amount so identified is written off. Deferred development expenditure is reflected within property, plant and equipment.

Impairments are assessed on an individual basis.

(l) Goods and Services Taxation (GST)

Financial Liabilities Financial liabilities are classified as either financial liabilities at fair value through net surplus or other financial liabilities.

All amounts are stated exclusive of goods and services tax (GST) except for accounts payable and accounts receivable which are stated inclusive of GST.

No financial liabiliites are held at fair value through net surplus.

(m) Investments in Associates and Joint Ventures

Other financial liabilities (including borrowings and trade and other payables) are initally recorded at cost and

46

subsequently measured at amortised cost using the effective interest method. Due to the short term nature of trade and other payables these are not discounted. Borrowings are subsequently measured at amortised cost using the effective interest method. All borrowing costs are recognised as an expense in the period they are incurred.

Associates are those entities over which Ātihau-Whanganui Incorporation is able to exert significant influence but which are not subsidiaries.


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

A joint venture is an arrangement that Ātihau-Whanganui Incorporation controls jointly with one or more other investors and over which Ātihau-Whanganui Incorporation has rights to a share of the arrangement's net assets rather than direct rights to underlying assets and obligations for underlying liabilities.

(p) Dividends

The Incorporation's investment in associates and joint ventures are accounted for using the equity method of accounting in the financial statements.

The provision for employee entitlements is recognised as a liability in the Balance Sheet. These benefits include salaries, wages and annual leave.

Under the equity method, investments in associates and joint ventures are carried in the Balance Sheet at cost plus post-acquisition changes in the share of net assets of the associates and joint ventures.

(r) Stock feed and Inventory

The carrying amount of the investment in associates and joint ventures is increased or decreased to recognise Ātihau-Whanganui Incorporation's share of the net surplus and other comprehensive income of the associate and joint venture, adjusted where necessary to ensure consistency with Ātihau-Whanganui Incorporation's accounting policies. (n) Non-current assets held for sale Non-current assets and disposal groups are classified as held for sale if their carrying amount will be recovered principally through a sale transaction rather than through continuing use. This condition is met when the asset (or disposal group) is available for immediate sale in present condition and the sale is highly probable. Management is committed to the sale which is expected to be completed within one year from the date of classification. Non-current assets and disposal groups classified as held for sale are measured at the lower of carrying amount and fair value less costs to sell. (o) Biological Assets Livestock are valued at their fair market value. Changes in the value of livestock are recognised in the Statement of Comprehensive Income. Value changes that form part of Ātihau-Whanganui Incorporation livestock management policies including animal growth and changes in livestock numbers are recognised in the Statement of Comprehensive Income within Revenue. Changes in value due to general livestock price movements are beyond Ātihau-Whanganui Incorporation control. These value changes are recognised in the Statement of Comprehensive Income as gain/loss due to price changes on livestock.

Provision is made for the amount of any dividend declared on or before the end of the financial year but not distributed at balance date. (q) Employee Benefit

Stock feed on hand and other inventories are stated at the lower of cost and net realisable value. (s) Critical Judgements in Applying Accounting Policies Valuation of Livestock Ātihau-Whanganui Incorporation values livestock using market values provided by PGG Wrightson Ltd. These market values reflect livestock of similar age, breed and genetic merit throughout New Zealand. Depreciation Rates Assessments are made of appropriate depreciation rates to be applied to property, plant and equipment based on useful lives and residual values of the assets. (t) Changes in Accounting Policies and Disclosures The Incorporation has changed the accounting policy for recording livestock value changes due to price change in the 2017 year. Changes in value resulting from general livestock price change are now recognised in the Statement of Comprehensive Income within "Other Comprehensive Income" whereas previously they were shown in the Statement of Comprehensive Income within "Revenue". Comparatives have been restated to reflect this change in policy. All other accounting policies are consistent with the prior year.

47


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

2. LIVESTOCK REVENUE

Sales Sheep Cattle

2017 $

2016 $

8,859,937

8,904,382

5,324,112

6,846,344

14,184,049

15,750,726

Sheep

(207,779)

(386,700)

Cattle

(631,412)

(676,176)

(3,000)

-

Total Purchases

(842,191)

(1,062,876)

Increase / (Decrease) in value due to change of numbers

(185,822)

(1,105,766)

13,156,037

13,582,084

2017 $

2016 $

Total Sales Purchases

Horses

Total Livestock Revenue

3. OTHER GAINS AND LOSSES

Gain on disposal of property, plant and equipment Gain on disposal of investments

-

37,136

-

1,805

Gain / (loss) on disposal of emission trading units

(36,000)

276,750

Total Gains and (Losses)

(36,000)

315,691

2017 $

2016 $

4. FINANCE INCOME

Dividends received Interest income Total Finance Income

48

49,953

67,058

336

6,425

50,289

73,483


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

5. DEPRECIATION & LOSS ON SALE

Depreciation Loss on sale of property, plant and equipment Total Depreciation & Loss on Sale

2017 $

2016 $

1,953,754

2,368,490

36,530

56,824

1,990,284

2,425,314

2017 $

2016 $

6. OTHER OPERATING EXPENSES

Audit Fees

64,215

30,285

Accountancy, legal and consultancy

365,488

581,509

Administration expenses

463,312

369,047

Project expenses

115,678

94,661

65,931

5,580

1,074,623

1,081,082

2017 $

2016 $

Other operating expenses Total Operating Expenses

7. EQUITY ACCOUNTED INVESTMENTS

Share of surplus / (deficit) after tax Revaluations and other movements Total increase / (decrease) in Equity Accounted Investments

(444,513)

(750,503)

-

836,454

(444,513)

85,951

49


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

8. INCOME TAX

a) Tax Expense

Net Surplus / (deficit) before income tax Tax at the New Zealand tax rate applicable to MÄ ori Authorities (17.5%)

2017 $

2016 $

4,867,692

408,209

851,846

71,437

(932,176)

206,001

In calculating taxable income the following adjustments were made: Temporary differences - livestock

- depreciation - other temporary differences Permanent differences - livestock

268,845 (222,057)

-

(373,171)

- other permanent differences

(60,855)

48,946

Increase in tax losses to carry forward

114,715

-

-

-

2017 $

2016 $

9,942,193

12,670,292

(159,551)

2,075,742

Net tax expense

b) Deferred tax liabilities and assets

Taxation losses available for offset against future income Deductible temporary differences not recognised in the Balance Sheet

Net deferred tax (liability) or benefit including the benefit of the taxation losses above which have not been recognised (due to uncertainties about timing and certainty).

50

38,943 (12,473)


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

9. BIOLOGICAL ASSETS

Sheep

Balance at the beginning of the year Increase due to purchases Decrease due to sales Biological transformations Changes in fair value Total sheep on hand Cattle (Dairy & Beef)

Balance at the beginning of the year Increase due to purchases Decrease due to sales Biological transformations

2017 $

2016 $

12,846,725

12,326,880

207,779

386,700

(8,859,937)

(8,904,382)

7,767,690

7,741,699

2,335,580

1,295,828

14,297,837

12,846,725

14,106,014

15,343,650

631,412

676,176

(5,324,112)

(6,846,344)

4,948,230

4,724,778

Changes in fair value

3,036,449

207,754

Total cattle on hand

17,397,993

14,106,014

Horses on hand Bees on hand

Total Livestock

7,212

7,212

277,366

-

31,980,408

26,959,951

2017 $

2016 $

10. INVESTMENT PROPERTY

Balance at beginning of the year Revaluations Balance at end of the year

7,871,400

7,871,400

-

-

7,871,400

7,871,400

51


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

11. INVESTMENTS IN ASSOCIATES & JOINT VENTURES

Ātihau-Whanganui Incorporation has the following investments in associates & joint ventures:

Papahau Forestry Partnership

Ownership & Voting

Basis

2017 $

2016 $

50%

Valuation

1,635,473

1,645,136

Te Hou Limited Partnership

33.33%

Cost

6,284,224

6,320,494

Te Hou GP Limited

33.33%

Cost

-

-

7,919,697

7,965,630

1,645,136

799,107

Te Hou Limited Partnership is based on audited financial statements. Papahau forestry partnership accounts are unaudited. Ātihau-Whanganui Incorporation intends to dispose of the Papahau investment hence the investment in Papahau has been classed as an investment held for sale. Management believe the fair value less costs to sell is higher than the carrying value. Papahau Forestry Partnership

Balance at the beginning of the year Share of surplus / (deficit)

Note 7

Capital contributions Revaluations

Note 7

Balance at the end of the year Te Hou Limited Partnership

Balance at the beginning of the year Share of surplus / (deficit)

Note 7

Development capital contributions Revaluations

52

Note 7

(26,455)

(503)

16,792

10,078

-

836,454

1,635,473

1,645,136

6,320,494

6,152,253

(418,058)

(750,000)

381,788

918,241

-

-

Balance at the end of the year

6,284,224

6,320,494

Classified as held for sale

1,635,473

-

Classified as non current assets

6,284,224

7,965,630

Total Investments in Associates & Joint Ventures

7,919,697

7,965,630


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

12. SHARE INVESTMENTS 2017

2016

2017 $

2016 $

500,000

500,000

500,000

148,021

1,044,864

871,844

-

7,304

7,127

1,552,168

1,378,971

2016

2017 $

2016 $

Number of Shares

Number of Shares

Ravensdown

500,000

Fontera Co-operative Group

174,144 -

Available for Sale Investments

Other share investments Total Share Investments

13. INTANGIBLES (EMISSION TRADING UNITS) All units are NZUs

2017

Number of Units

Number of Units 426,512

5,440,588

2,687,026

Additions

-

-

-

-

Disposals

(70,000)

(120,000) -

(1,242,500)

(756,000)

-

(165,559)

3,509,562

236,512

306,512

4,032,529

5,440,588

Balance at beginning of the year

Revaluations Balance at end of the year

306,512

53


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017 14. PROPERTY, PLANT & EQUIPMENT As at 30 June 2017 OPENING Acc Dep

Cost

Class

Freehold Land

87,119,700

Improvements

As at 30 June 2016

-

Cost

87,119,700

87,119,700

Bk Value

-

87,119,700

4,934,359

773,031

4,161,328

4,934,359

719,288

4,215,071

14,151,192

1,976,344

12,174,848

14,063,793

1,919,062

12,144,731

Plant & Machinery

1,971,896

1,184,890

787,006

1,679,944

1,055,711

624,233

Motor Vehicles

2,600,182

1,207,007

1,393,175

1,999,766

901,218

1,098,548

750,993

487,586

263,407

677,333

440,346

236,987

20,143,531

15,186,323

4,957,211

19,904,533

13,411,066

6,493,469

20,815,181 110,856,675

130,379,428

18,446,691

111,932,739

79,011

-

-

-

20,815,181 110,935,686

130,379,428

18,446,691

111,932,739

Buildings & Bridges

Furniture & Fittings Development

131,671,853 Uncompleted Capital Works Total Property, Plant & Equipment

79,011

-

131,750,864

As at 30 June 2017 Class

Additions

Disposals

Freehold Land

-

-

Improvements

-

-

Buildings & Bridges

As at 30 June 2016

Revaluations

Depn & Amort

Additions

Disposals

-

-

-

-

-

44,960

-

-

Revaluations

Depn & Amort

-

-

-

53,743

1,172,873

-

-

73,223

87,399

-

-

57,282

Plant & Machinery

352,856

77,440

-

129,611

371,526

79,574

-

129,179

Motor Vehicles

875,857

231,745

-

382,359

719,988

119,572

-

305,789

76,676

-

-

50,842

73,660

-

-

47,240

1,025,448

-

-

1,272,760

238,998

-

-

1,775,257

3,503,710

309,185

-

1,953,754

1,491,571

199,146

-

2,368,490

-

79,011

-

-

79,011

-

-

-

3,503,710

388,196

-

1,953,754

1,570,582

199,146

-

2,368,490

Furniture & Fittings Development

Uncompleted Capital Works Total Property, Plant & Equipment

As at 30 June 2017 Class

As at 30 June 2016

CLOSING Acc Dep

Cost

Bk Value

Cost

CLOSING Acc Dep

Bk Value

Freehold Land

87,119,700

-

87,119,700

87,119,700

-

87,119,700

Improvements

4,934,359

817,991

4,116,368

4,934,359

773,031

4,161,328

Buildings & Bridges

15,324,065

2,049,567

13,274,499

14,151,192

1,976,344

12,174,848

Plant & Machinery

2,247,312

1,314,501

932,811

1,971,896

1,184,890

787,006

Motor Vehicles

3,244,294

1,589,366

1,654,928

2,600,182

1,207,007

1,393,175

827,669

538,428

289,241

750,993

487,586

263,407

21,168,979

16,459,083

4,709,899

20,143,531

15,186,323

4,957,211

22,768,936 112,097,446

131,671,853

20,815,181

110,856,675

-

79,011

-

79,011

22,768,936 112,097,446

131,750,864

20,815,181

110,935,686

Furniture & Fittings Development

134,866,378 Uncompleted Capital Works Total Property, Plant & Equipment

54

OPENING Acc Dep

Bk Value

134,866,378

-


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

15. PROVISIONS 2017 $

2016 $

Balance at the beginning of the year

-

438,492

Amounts charged to the provision

-

-

Amounts used

-

(438,492)

Balance at the end of the year

-

-

Balance at the beginning of the year

-

39,993

Amounts used

-

(39,993)

Balance at the end of the year

-

-

Total Provisions

-

-

2017 $

2016 $

-

-

Non-Current

30,731,208

28,891,208

Total Borrowings

30,731,208

28,891,208

Provision for storm damage

Provision for future forestry expenses

16. BORROWINGS

Secured Current

Secured liabilities and assets pledged as security The BNZ borrowings are secured by a registered first mortgage over specific land and a charge over all livestock owned by Ātihau-Whanganui Incorporation. Alienation of such Māori freehold land is subject to Te Ture Whenua Māori Act 1993 requirements. The carrying value of assets pledged as security for borrowings are: Certificate WN7D/391 Livestock Total pledged assets

117,091,866 116,290,345 31,980,408

26,959,951

149,072,274 143,250,296

55


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

17. UNCLAIMED DIVIDENDS

Balance at the beginning of the year Dividend declared

2017 Cents per share

2016 Cents per share

55

55

Dividends paid Total Unclaimed Dividends

2017 $

2016 $

1,972,675

1,847,104

691,089

691,089

(543,841)

(565,518)

2,119,923

1,972,675

2017 $

2016 $

18. LIMITED PARTNERSHIP DEFERRED CAPITAL CONTRIBUTIONS

Capital Contribution Liability

2,066,666

2,066,666

On 26 May 2014 Ātihau-Whanganui Incorporation entered into a Limited Partnership which operates an arable, dairy and dry stock operation with forestry. The agreement includes the requirement to contribute capital to the limited partnership. This is due in 2019. There is also an obligation to contribute development capital contributions which are contingent on cash requirements of the Limited Partnership and these amounts are included in contingent liabilities.

56


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

19. FINANCIAL INSTRUMENTS

Financial Assets 2017 Cash and cash equivalents Trade and other receivables (GST excl)

Amortised Cost $

Financial Liabilities 2017 Trade and other payables (GST excl)

Fair Value through Other Comp Inc $

$

Total $

7,119

-

-

7,119

2,517,006

-

-

2,517,006

-

-

1,552,168

1,552,168

2,524,126

-

1,552,168

4,076,294

Investment in shares Total Financial Assets

Cost

Amortised Cost $

Cost

Fair Value through Other Comp Inc $

$

Total $

984,463

-

-

984,463

2,066,666

-

-

2,066,666

Borrowings

30,731,208

-

-

30,731,208

Total Financial Liabilities

33,782,337

-

-

33,782,337

Te Hou LP deferred contribution

Financial Assets 2016 Cash and cash equivalents Trade and other receivables (GST excl)

Amortised Cost $

Financial Liabilities 2016 Trade and other payables (GST excl) Te Hou LP deferred contribution

Fair Value through Other Comp Inc $

$

Total $

140,432

-

1,518,210

-

-

1,518,210

-

-

1,378,971

1,378,971

1,658,642

-

1,378,971

3,037,613

Investment in shares Total Financial Assets

Cost

Amortised Cost $

Cost

-

Fair Value through Other Comp Inc $

$

140,432

Total $

882,081

-

-

882,081

2,066,666

-

-

2,066,666

Borrowings

28,891,208

-

-

28,891,208

Total Financial Liabilities

31,839,955

-

-

31,839,955

57


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017 20. MĀORI AUTHORITY CREDIT ACCOUNT 2017 $

a) Māori Authority Credit Account balance at the end of the year b) Balance of retained earnings earned prior to 2004.

2016 $

365,097

370,516

14,912,229

15,603,318

Dividends paid from retained earnings prior to 2004 have no Māori Authority Credits attached. 21. RELATED PARTIES

a) Te Āti Hau Trust

2017 $

2016 $

Donations during the year

350,000

380,000

Year end Payable

100,000

40,000

Ātihau-Whanganui Incorporation is the settlor of Te Āti Hau Trust and appoints the trustees (3 from the Ātihau-Whanganui Incorporation Committee and 2 Independents). The results of the Trust have not been consolidated as the effect would be immaterial. b) Kaahu Estate Ltd (W Murphy-Peehi (CoM) is a Shareholder and director)

Total for the year

84,384

-

Year end Payable

84,384

-

Ātihau-Whanganui Incorporation manages hives on behalf of Kaahu Estate Ltd on their land. The income resulting from the produce of those hives is shared. Payment terms depend on when revenue is received from the purchaser of the honey. Key Management Personnel Compensation

Key management of the Incorporation are the members of the Committee of Management, the Chief Executive Officer, Farm Operations Manager and the Station Managers. Total Key Management Personnel remuneration

2017 $

2016 $

1,418,085

1,445,829

2017 $

2016 $

22. CONTINGENT LIABILITIES

a) Arising from the Emissions Trading Scheme

8,060,166

3,773,328

272,710 272,710

381,788 272,710 654,498

There is a Contingent Liability relating to the Carbon Account Record which represents the total number of units which are required to be surrendered when or if land is withdrawn from the ETS. Management have no plans to change land use at this time which would trigger such a liability. The forest on land is insured against forest fire. b) Arising from interest in a Joint Venture

The development liability to the Te Hou Limited Partnership is contingent on the future cash requirements of the Limited Partnership. Due 30/06/2017 Due 30/06/2018 Total

58


Ä€TIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017 23. SUBSEQUENT EVENTS There have been no subsequent events after year end (2016: Nil). 24. OPERATING LEASE ARRANGEMENTS

Operating leases relate to leases of offices and land. Operating lease expense (included in Farm working and Other operating expenses) Non-cancellable operating lease commitments Not later than 1 year

Later than 1 year and less than 5 years

2017 $

2016 $

49,387

59,477

70,087

70,818

160,380

212,520

Later then 5 years

-

12,658

230,467

295,996

2017 $

2016 $

25. COMMITMENTS FOR EXPENDITURE

Commitments for the acquisition of property, plant and equipment

611,808

440,382

2017 Number

2016 Number

26. CAPITAL

Number of shares (fully paid)

1,256,529

1,256,529

These shares have no par value and share equally in dividends paid. 27. RESERVES Retained Earnings Retained Earnings comprise the incorporations net profits less dividends paid. Capital Reserves Capital Reserves represent realised capital profits predominantly arising from Crown grants. Property Revaluation Reserve The property reserve arises on the revaluation of land and buildings. When revalued land and buildings are sold, the proportion of the property revaluation reserve that relates to the asset is transferred to capital reserves. ETU Reserve The Emissions Trading Units Reserve represents revaluations of Emission Trading Units. When revalued ETUs are sold, the proportion of the reserve that relate to those units are transferred to retained earnings. AFS Share Reserve The available for sale share reserve represents unrealised revaluations of share investments.

59


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF ĀTIHAU WHANGANUI INCORPORATION Qualified Opinion We have audited the financial statements of Ātihau Wanganui Incorporation, which comprise the Balance Sheet as at 30 June 2017, and the Statement of Comprehensive Income, Statement of Changes in Equity and Cash Flow Statement for the year then ended, and notes to the financial statements, including a summary of significant accounting policies. In our opinion, except for the possible effects of the matter described in the Basis for Qualified Opinion section of our report, the accompanying financial statements of the Incorporation are prepared, in all material respects, in accordance with New Zealand equivalents to International Financial Reporting standards – Reduced Disclosure Regime (“NZ IFRS RDR”). Basis for Qualified Opinion Ātihau Whanganui Incorporation’s Land and Investment Properties are revalued every 3 years at Rateable Value in accordance with the Te Ture Whenua Māori Act 1993. This constitutes a departure from New Zealand Equivalents to International Financial Reporting Standards Reduced Disclosure Regime (“NZ IFRS RDR”) which requires Land and Investment Properties to be revalued to fair value. Consequently, we were unable to determine whether any adjustment to these amounts was necessary. We conducted our audit in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of Ātihau Whanganui Incorporation in accordance with Professional and Ethical Standard 1 (Revised) Code of Ethics for Assurance Practitioners issued by the New Zealand Auditing and Assurance Standards Board, and we have fulfilled our other responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Other than in our capacity as auditor we have no relationship with, or interests in, Ātihau Whanganui Incorporation. Restriction on Responsibility This report is made solely to the members of Ātihau Whanganui Incorporation. Our audit work has been undertaken so that we might state to the members those matters which we are required to state to them in an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the members as a body for our audit work, for this report or for the opinions we have formed. Committee of Management’s Responsibility for the Financial Statements The Committee of Management is responsible on behalf of the entity for the preparation and fair presentation of the financial statements in accordance with NZ IFRS RDR, and for such internal control as the Committee of Management determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Committee of Management is responsible on behalf of the entity for the entity'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 Committee of Management either intend to liquidate the entity or to cease operations, or have no realistic alternative but to do so. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are 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 ISAs (NZ) 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 decisions of users taken on the basis of these financial statements.

60


ĀTIHAU-WHANGANUI INCORPORATION NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2017

As part of an audit in accordance with ISAs (NZ), we exercise professional judgement and maintain professional scepticism throughout the audit. We also: • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Entity’s internal control. • Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management. • Conclude on the appropriateness of the use of the going concern basis of accounting by those charged with governance and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the entity to cease to continue as a going concern. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Report on Other Legal and Regulatory Requirements • The Share Register and Index of Shareholders required by Section 263 of the Te Ture Whenua Māori Act 1993, has been compiled and correctly kept by the Incorporation. • The Incorporation’s assets have been recorded at estimated current market value in the financial statements with the latest Rateable Values used as an estimate of current market value for land and Investment Properties. Whilst this is a departure from New Zealand Equivalents to International Financial Reporting Standards Reduced Disclosure Regime (“NZ IFRS RDR”), it is consistent with Section 276A(3)(c) of the Te Ture Whenua Māori Act 1993 The engagement partner on the audit resulting in this independent auditor’s report is Brent Hood.

Spooner Hood & Redpath Ltd Chartered Accountants Whanganui, New Zealand 20 October 2017

61


Te Āti Hau Trust FINANCIAL STATEMENTS 2017

CONTENTS

62

63

Entity Information

64

Statement of Service Performance

65

Statement of Financial Performance

66

Statement of Financial Position

67

Statement of Cash Flows

68

Notes to and forming part of the Performance Report

72

Auditors' Report


Te Āti Hau Trust ENTITY INFORMATION For the Year Ended 30 June 2017

Te Āti Hau Trust is a Discretionary Trust, established by a trust deed dated 23 April 2009 and registered under the Charities Act 2005.

Entity's Purpose or Mission

The support of the educational and cultural aims of the Māori people in the District. Operations are governed by its Trust Deed that aligns to and supports the requirements of the Charities Act.

Address

c/- Balance Chartered Accountants Limited 16 Bell Street WHANGANUI 4500

Entity Structure

Te Āti Hau Trust is a Charitable Trust incorporated under the Charitable Trusts Act 1957 and is also registered under the Charities Act 2005.

Trustees

Appointed by Ātihau Whanganui Incorporation: Tiwha Puketapu (Chairperson) Keria Ponga Shar Amner Independent Trustees: Anton McKay Jenny Tamakehu (from 1/01/2017) Kapitorina Hall (ceased 1/12/2016)

Beneficiary

Ātihau Shareholders & Stakeholders

Main Source of Cash and Resources

Tribal purposes grant from Ātihau Whanganui Incorporation approved annually at the Ātihau Annual General Meeting.

GST

Not Registered

Accountants

Balance Chartered Accountants Limited 16 Bell Street Whanganui

Auditor

Spooner Hood & Redpath Limited Chartered Accountants Whanganui

Bankers

Bank of New Zealand Whanganui

Solicitors

Horsley Christie Whanganui

IRD Number

102-612-817

Registered Charity Number

CC41172

63


Te Āti Hau Trust STATEMENT OF SERVICE PERFORMANCE For the Year Ended 30 June 2017 Description of Trust Outcomes Te Āti Hau Trust was estabilished in 2009 as a charitable arm of Ātihau Whanganui Incorporation to apply funding for charitable, cultural, philanthropic, educational, recreational and other purposes, being purposes beneficial principally to the Shareholders and Stakeholders. Those grants may include Māori cultural development and support, educational and vocational development and support, social development and support, marae development and support, health and welfare development and support, and the fostering of strategic alliances with persons promoting or assisting with any of these objects. The grants are made under the following guiding principles: Matauranga Education Kotahitanga Unity of Purpose Manaakitanga Nurture and reciprocate Whanaungatanga Collaboration Rangatiratanga Leadership Wairuatanga Spirituality Mana Whenua Responsibility to the land and the people Kaitiakitanga Active stewardship Mana Tupuna Legitimacy Te Reo Identity

Actual 2017 Number

Actual 2016 Number

Actual 2017 $

Actual 2016 $

Sports Art and Travel

29

24

18,700

11,445

Cultural

12

7

19,700

14,500

General Grants

Marae Tangihanga tent Kaumatua Assistance

3

1

25,500

2,500

53

42

15,900

12,600

14

-

12,949

-

111

74

92,749

41,045

217

129

137,000

88,800

51

48

36,750

40,850

103

71

25,750

17,750

6

3

6,000

3,000

32

14

42,300

20,400

2

2

6,000

6,000

Education Grants Tertiary - Undergraduate Full Time Medical Secondary School - Year 10 and 11 High Performance Post Graduate Agriculture PHD

-

1

-

3,000

Overseas Grants

4

9

5,400

21,000

Music

64

1

-

6,000

-

416

277

265,200

200,800

These financial statements are to be read in conjunction with the accompanying Notes.


Te Āti Hau Trust STATEMENT OF FINANCIAL PERFORMANCE For the Year Ended 30 June 2017

Note

Actual 2017 $

Actual 2016 $

Donations, fundraising and other similar revenue

2

350,000

380,000

Interest, dividends and other investment revenue

3

28

103

350,028

380,103

10,178

13,987

Revenue

Total Revenue Less Expenses

Volunteer and employee related costs

4

Costs related to providing goods or services

5

52,913

65,152

Grants and donations

6

357,949

241,884

Other expenses

7

5,114

5,649

Total Expenses

426,153

326,671

(Deficit) / Surplus

(76,125)

53,432

These financial statements are to be read in conjunction with the accompanying Notes.

65


Te Āti Hau Trust STATEMENT OF FINANCIAL POSITION As at 30 June 2017

Note

2017 $

2016 $

9

391

76,516

391

76,516

13,550

43,556

Debtors and Prepayments

100,001

40,100

Total Current Assets

113,551

83,656

987

1,719

Total Assets

114,538

85,375

Current Liabilities Creditors and Accrued Expenses

114,147

8,859

Total Liabilities

114,147

8,859

391

76,516

Accumulated Funds

Trust Capital

Total Accumulated Funds Represented by: Current Assets

Cash & Bank Balances

Non Current Assets Property, Plant & Equipment

8

Net Assets

For and on behalf of the Trustees:

Brendon Te Tiwha Puketapu Chairperson 20 October 2017

66

Keria Ponga Trustee 20 October 2017

These financial statements are to be read in conjunction with the accompanying Notes.


Te Āti Hau Trust STATEMENT OF CASH FLOWS For the Year Ended 30 June 2017

Note

Cash Flows from Operating Activities Cash was received from:

Donations, fundraising and other similar revenue Interest, dividends and other investments Cash was applied to:

Payments to suppliers and employees Donations and grants paid Employee and Volunteer Costs Other Expenses

Net Cash Flows from Operating Activities Net Decrease in Cash Held

2017 $

2016 $

290,099

340,000

28

119

290,127

340,119

64,816

67,575

255,317

277,697

-

16,462

-

3,978

320,133

365,712

(30,006)

(25,593)

(30,006)

(25,593)

Cash at the Beginning of the Year

43,556

69,149

Cash at the End of the Year

13,550

43,556

13,550

43,556

This is represented by: Cash & Bank Balances

These financial statements are to be read in conjunction with the accompanying Notes.

67


TE ĀTI HAU TRUST NOTES TO AND FORMING PART OF THE PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017

1. STATEMENT OF ACCOUNTING POLICIES Statement of Compliance and Basis of Preparation Te Āti Hau Trust is eligible to apply Tier 3 PBE Accounting Standards : PBE SFR-A (NFP) Public Benefit Entity Simple Format Reporting - Accrual (Not-For-Profit), on the basis that it does not have public accountability and has total annual expenses of equal to or less than $2,000,000. The trust has elected to report in accordance with PBE SFR-A (NFP). All transactions in the Performance Report are reported using the accrual basis of accounting. The accounting principles recognised as appropriate for the measurement and reporting of the Statement of Financial Performance and Statement of Financial Position on a historical cost basis are followed by the trust, unless otherwise stated in the Specific Accounting Policies. The information is presented in New Zealand dollars. All values are rounded to the nearest $.

c) Trade Receivables Trade Receivables are recognised at estimated realisable value. d) Property, Plant & Equipment Property, plant and equipment is recognised at cost less aggregate depreciation. Historical cost includes expenditure directly attributable to the acquisition of assets, and includes the cost of replacements that are eligible for capitalisation when these are incurred. All other repairs and maintenance are recognised as expenses in the Statement of Financial Performance in the financial period in which they are incurred. Depreciation has been calculated using rates appropriate to spread the cost of the asset less any residual value over its useful life.

The Performance Report is prepared under the assumption that the entity will continue to operate in the foreseeable future.

The following estimated depreciation rates/useful lives have been used:

SPECIFIC ACCOUNTING POLICIES The following specific accounting policies which materially affect the measurement of the Statement of Financial Performance and Statement of Financial Position have been applied:

Gains and losses on disposal of fixed assets are taken into account in determining the net result for the year.

a) Revenue Recognition Grant income is received annually as a result of an agreed tribal purposes grant. Any outstanding grant income not utilised by 30 June is not returnable. Interest received is recognised as interest accrued, gross of refundable tax credits received. b) Expenses Expenses have been classified by their business function.

Office Equipment

13 - 50%

e) Income Tax The Trust has charitable status and is exempt from income tax. f) Goods and Services Taxation (GST) The amounts recorded in the performance report are inclusive of GST (if any). The trust is not registered for GST. g) Changes in Accounting Policies There have been no changes in accounting policies. All policies have been applied on a basis consistent with those from the previous performance report.

2. DONATIONS, FUNDRAISING AND OTHER SIMILAR REVENUE

68

2017 $

2016 $

Ātihau Whanganui Incorporation Tribal Purposes Distributions

350,000

380,000

Total Donations, fundraising and other similar revenue

350,000

380,000


TE ĀTI HAU TRUST NOTES TO AND FORMING PART OF THE PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017

3. INTEREST, DIVIDENDS AND OTHER INVESTMENT REVENUE Interest Received - Gross Total Interest, dividends and other investment revenue

2017 $

2016 $

28

103

2017 $

2016 $

28

103

4. VOLUNTEER AND EMPLOYEE RELATED COSTS Trustee Fees

10,178

13,987

Total Volunteer and employee related costs

10,178

13,987

2017 $

2016 $

5. COSTS RELATED TO PROVIDING GOODS OR SERVICES Administration, Accountancy & Secretarial Bank Fees & Charges

50,772

60,185

45

45

Charities Commission

-

51

Committee Expenses

2,096

1,868

-

3,003

52,913

65,152

2017 $

2016 $

Tangihanga Koha

15,900

12,600

Sport, Art & Travel

18,700

11,445

Cultural

19,700

14,500

Kaumatua Assistance

12,949

-

Marae

25,500

2,500

137,000

88,800

25,750

17,750

Grants Administrator Expenses Total Costs related to providing goods or services

6. GRANTS AND DONATIONS Awhiwhenua Training Project

Tertiary Full Time Secondary Yr 10 & Yr 11 High Performance

-

39

6,000

3,000

36,750

40,850

-

3,000

Overseas

5,400

21,000

Agriculture

6,000

6,000

42,300

20,400

6,000

-

357,949

241,884

Medical PHD

Post Graduate Music Scholarship Total Grants and Donations

69


TE ĀTI HAU TRUST NOTES TO AND FORMING PART OF THE PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017

7. OTHER EXPENSES 2017 $

Audit Fees Depreciation Loss on Sale of Fixed Assets Total Other Expenses

2016 $

4,382

3,979

732

1,429

-

241

5,114

5,649

8. PROPERTY, PLANT & EQUIPMENT

Property, Plant & Equipment 2017 Office Equipment

Purchases/ Depreciation (Sales or & Disposals) Impairment $ $

Closing Carrying Amount $

GDPro Database Software

957

-

478

479

Filing Cabinet

341

-

44

297

HP Laptop case and configuration

210

-

105

105

Microsoft Office and Remote User Networks

211

-

105

106

1,719

-

732

987

1,719

-

732

987

Purchases/ Depreciation (Sales or & Disposals) Impairment $ $

Closing Carrying Amount $

Total Property, Plant & Equipment

Property, Plant & Equipment 2016 Office Equipment

Apple iPads 32G (2)

Opening Carrying Amount $

241

(241)

-

-

1,915

-

958

957

Filing Cabinet

392

-

51

341

HP Laptop case and configuration

420

-

210

210

Microsoft Office and Remote User Networks

421

-

210

211

3,389

(241)

1,429

1,719

3,389

(241)

1,429

1,719

GDPro Database Software

Total Property, Plant & Equipment

70

Opening Carrying Amount $


TE ĀTI HAU TRUST NOTES TO AND FORMING PART OF THE PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017

9. ACCUMULATED FUNDS

Trust Capital Other Accumulated Funds

Balance at beginning of the year Surplus / (deficit) for the year

2017 $

2016 $

100

100

76,416

22,984

(76,125)

53,432

Balance at the end of the year

291

76,416

Total Accumulated Funds

391

76,516

10. RELATED PARTY INFORMATION

Related party matters arise with respect to Ātihau Whanganui Incorporation ("AWHI") in that under the terms of the Trust Deed three appointed trustees are also members of the AWHI Committee of Management and the Incorporation is the settlor of the Trust. Annual grants are received from AWHI, and AWHI previously advanced unclaimed dividends to the Trust. During the year there were no services provided to the Trust by related parties. (2016: $542). From time to time Trustees have and disclose interests in, or a relationship with individual applicants and/or grantee organisations and abstain from those decisions.

11. TRIBAL PURPOSES

Ātihau Whanganui Incorporation annually distribute funds to the Trust which is used to distribute for charitable purposes. During the year $350,000 was granted.

12. COMMITMENTS, CONTINGENT LIABILITIES AND GUARANTEES

The trust has no commitments, contingent liabilities and guarantees as at 30 June 2017, (2016: Nil).

13. EVENTS OCCURRING AFTER BALANCE DATE There have been no significant events since balance date.

71


TE ĀTI HAU TRUST NOTES TO AND FORMING PART OF THE PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017 INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF TE ĀTI HAU TRUST Report on the Performance Report We have audited the performance report of Te Āti Hau Trust, which comprises the entity information, the statement of service performance, the statement of financial performance and statement of cash flows for the year ended 30 June 2017, the statement of financial position as at 30 June 2017, and the statement of accounting policies and other explanatory information. Opinion In our opinion: a) the reported outcomes and outputs, and quantification of the outputs to the extent practicable, in the statement of service performance are suitable; b) the accompanying performance report presents fairly, in all material respects, • the entity information for the year then ended; • the service performance for the year then ended; and • the financial position of Te Āti Hau Trust as at 30 June 2017, and its financial performance and cash flows for the year then ended in accordance with Public Benefit Entity Simple Format Reporting – Accrual (Not-For-Profit) issued by the New Zealand Accounting Standards Board. Basis for Opinion We conducted our audit of the statement of financial performance, statement of financial position, statement of cash flows, statement of accounting policies and notes to the performance report in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)), and the audit of the entity information and statement of service performance in accordance with the International Standard on Assurance Engagements (New Zealand) ISAE (NZ) 3000 (Revised). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Performance Report section of our report. We are independent of Te Āti Hau Trust in accordance with Professional and Ethical Standard 1 (Revised) Code of Ethics for Assurance Practitioners issued by the New Zealand Auditing and Assurance Standards Board, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Other than in our capacity as auditor we have no relationship with, or interests in, Te Āti Hau Trust. Restriction on Responsibility This report is made solely to the Trustees, as a body, in accordance with section 42F of the Charities Act 2005. Our audit work has been undertaken so that we might state to the Trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Trustees as a body, for our audit work, for this report, or for the opinions we have formed. Trustees’ Responsibility for the Performance Report The Trustees are responsible on behalf of the Trust for: (a) identifying outcomes and outputs, and quantifying the outputs to the extent practicable, that are relevant, reliable, comparable and understandable, to report in the statement of service performance; (b) the preparation and fair presentation of the performance report which comprises: • the entity information; • the statement of service performance; and • the statement of financial performance, statement of financial position, statement of cash flows, statement of accounting policies and notes to the performance report in accordance with Public Benefit Entity Simple Format Reporting – Accrual (Not-For Profit) issued in New Zealand by the New Zealand Accounting Standards Board, and (c) such internal control as the Trustees determine is necessary to enable the preparation of a performance report that is free from material misstatement, whether due to fraud or error.

72


TE ĀTI HAU TRUST NOTES TO AND FORMING PART OF THE PERFORMANCE REPORT FOR THE YEAR ENDED 30 JUNE 2017

In preparing the performance report, the Trustees are responsible on behalf of Te Āti Hau Trust for assessing the Trust'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 Trustees either intend to liquidate the Trust or to cease operations, or have no realistic alternative but to do so. Auditor’s Responsibilities for the Audit of the Performance Report Our objectives are to obtain reasonable assurance about whether the performance report 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 ISAs (NZ) and ISAE (NZ) 3000 (Revised) 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 decisions of users taken on the basis of this performance report. As part of an audit in accordance with ISAs (NZ) and ISAE (NZ) 3000 (Revised), we exercise professional judgement and maintain professional scepticism throughout the audit. We also: • Identify and assess the risks of material misstatement of the performance report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Incorporation’s internal control. • Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management. • Conclude on the appropriateness of the use of the going concern basis of accounting by the Trustees and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Trust’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the performance report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Trust to cease to continue as a going concern. • Evaluate the overall presentation, structure and content of the performance report, including the disclosures, and whether the performance report represents the underlying transactions and events in a manner that achieves fair presentation. • Perform procedures to obtain evidence about and evaluate whether the reported outcomes and outputs, and quantification of the outputs to the extent practicable, are relevant, reliable, comparable and understandable. We communicate with the Trustees regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Spooner Hood & Redpath Ltd Chartered Accountants Whanganui, New Zealand 20 October 2017

73


GLOSSARY OF TERMS

Accounts Receivable: Money owed to AWHI from customers at year end, also known as Trade Debtors

Hogget: A young sheep between a lamb and a 2 tooth, from approx. 10 to 16 months of age

Accounts Payable: Money owed by AWHI to suppliers of goods or services at year end, also known as Trade Creditors

Interest: What AWHI needs to pay for the money it borrows from the bank

Accrued Income: Income earned by AWHI where cash has yet to be received

Meat Processing: Process of taking live animals, humanely slaughtering them and then breaking down into saleable beef or sheep meat

Accrued Expenses: Expenses incurred by AWHI where cash has yet to be paid Asset: Anything owned by AWHI to use in generating income Balance Date: Term used to describe the end of AWHI’s financial year – 30th June Brassica: The plant family which includes turnips, swedes, rape, kale, cauliflower, cabbages, etc. Capital Stock: The breeding stock on AWHI farms that produce revenue or trading stock to generate income Carbon Credits on Hand: Number of NZ units (NZU) owned at balance date under the NZ Emissions Trading Scheme valued at market value. An NZU = 1 tonne of carbon dioxide equivalent of emissions or removals. Carrying Capacity: Number of livestock a property can graze annually without importation of feed or the deterioration of the property

Liability: General term for what AWHI owes

Milk Solids (MS): The valued solid components in milk – at present, milk-fat and protein, expressed as kg MS Net Farm Income: Income earned from farm activities less the direct costs of these activities Net Operating Surplus / (Deficit): Difference between revenue and the costs incurred to earn this revenue. Prime (livestock): Term used to describe animals that are ready for slaughter Provision for Dividend: Allowance for a Dividend distribution to AWHI shareholders Revaluation of Shares: Difference in the market value of shares that AWHI holds in other companies at this balance date compared to the previous year.

Change in Livestock Numbers: Difference in livestock numbers at end of year compared to the beginning of the year at market values

Revaluation of Livestock: The livestock price movement being the livestock value at year end versus opening values less the amount attributed to change in livestock numbers

Cull: To remove animals from a breeding population generally because of physical or performance deficiencies

Soil Moisture Deficit: Deficit between the actual amount of water in a soil versus its water holding capacity

Current Asset: An asset of AWHI that is expected to be converted into cash within the next year

Statement of Cash-flow: Shows the cash movements for the year in Operating, Investing and Financing categories

Current Liability: A liability of AWHI which is generally due to be settled within 12 months of balance date

Statement of Financial Performance: Shows how well AWHI has performed in its trading activities.

Depreciation: The apportionment of cost of an asset over the useful life of the asset. An accounting method used to reflect the aging and use of an asset

Statement of Movements in Equity: Reports the change in AWHI’s ownership interest in the year

Direct Farm Expenses: Expenses incurred by AWHI’s farming operations in generating farm income

Statement of Financial Position: A snapshot” in time that reflects where the money has come from (Equity + Liabilities) and how the money has been used (Assets)

Drought: A long period of time during which there is very little or no rain Dry Matter: The plant material left after all water has been removed – using DM% comparisons can be made between different feeds such as pasture, swedes, grains, hay, etc. Employee Entitlements: Holiday pay and other leave entitlements owing to employees at balance date Equity: A measure of the shareholders’ total interest in AWHI – the amount by which the value of assets exceed the value of liabilities Feedlot: A third party location where AWHI’s cattle are fed a high protein diet over the winter months Fertility (of soil): Status of soil in terms of the amount of plant-available nutrients it can supply Finishing (livestock): The process of growing animals to a point they are considered ready for slaughter Fixed Asset: Assets held for use by AWHI rather than for sale or conversion into cash Genetics (livestock): Branch of biology concerned with trait inheritance from parents to offspring – important to use the right animals (male or female) to establish and continue AWHI’s breeding programme Greenfeed: Annual crops, usually cereals, grasses or brassicas, grown for animal feed Gross Revenue: What is earned by AWHI from selling goods and services Hectare (ha): A standard metric measurement of land, 1 ha = 10,000m2 = 2.471 acres Heifer: Term used to describe a young female cattle beast

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Stock on hand: Inventory of goods held for resale or for AWHI’s use, including livestock Stock Units: Livestock in NZ are commonly given a “stock unit” (su) value or measure. The basic unit (1 su) is one breeding ewe that weighs 55kgs; bears 1 lamb; and consumes approx. 550 kilograms of dry matter each year. A beef breeding cow is commonly given a value of 6 su. Stock units have a number of uses e.g. to determine how much feed is required; the stocking rate of a farm, etc. Store (livestock): A term used to describe animals destined for “finishing” that are sold off country, which does not have the potential to finish them, to specialist “finishing” operations on easier more productive country Supplements: Additional animal feed often in the form of conserved hay, silage fodder crops (greenfeeds and brassica crops) or concentrates such as grains or meals Term Liabilities: A liability of AWHI which is generally due to be settled more than 12 months after balance date Unclaimed Dividends Due – Te Āti Hau Trust: Funds relating to unclaimed dividends from the previous year which are advanced to Te ti Hau Trust to invest Weaner: A young animal that has been weaned from its mother’s milk, capable of living completely on pasture Yield (carcass): Proportion of useable (saleable) meat from a carcass expressed as a percentage of total carcass weight Yield (fibre): Proportion of useable fibre present in a quantity of greasy wool expressed as a percentage


NOTES

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Toi tu te whenua

16 Bell Street, Whanganui 4500, New Zealand Postal Address PO Box 4035 Whanganui 4540 New Zealand


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