ASIAL Annual Report 2008-2009

ANNUAL & FINANCIAL REPORT 2009 ABN 91 000 813 365

VIsion

Mission

We are the leading security

To support our

association where membership

members, promote

is a mark

of distinction

and is valued by the members, public and government.

standards and safeguard public interests.

Contents President’s Message ������������������������������������������������������������������������������������������������������������������������������������������������������������������������ 2 Secretary’s Report ���������������������������������������������������������������������������������������������������������������������������������������������������������������������������� 5 The Year in Review ��������������������������������������������������������������������������������������������������������������������������������������������������������������������������� 6 Directors’ Profiles ���������������������������������������������������������������������������������������������������������������������������������������������������������������������������� 14 Directors’ Report ����������������������������������������������������������������������������������������������������������������������������������������������������������������������������� 16 Directors’ Declaration ������������������������������������������������������������������������������������������������������������������������������������������������������������������� 18 Auditors’ Report ������������������������������������������������������������������������������������������������������������������������������������������������������������������������������ 19 Income Statement ������������������������������������������������������������������������������������������������������������������������������������������������������������������������� 20 Balance Sheet ���������������������������������������������������������������������������������������������������������������������������������������������������������������������������������� 21 Cash Flow Statement �������������������������������������������������������������������������������������������������������������������������������������������������������������������� 22 Notes to the Financial Statements �������������������������������������������������������������������������������������������������������������������������������������������� 23 ASIAL Professional Code of Conduct ��������������������������������������������������������������������������������������������������������������������������������������� 32

Board of Directors

Secretariat

President

Ged Byrnes

Chief Executive Officer

Bryan de Caires

Vice President

Fraser Duff

Manager, Membership

Tania Laird

Directors

Bob Bruce, Antony Elliott, Peter Johnson, Chris Luhrmann, Kevin McDonald, Tom Roche

Membership Marketing Officer

Belinda Allen

Membership Officer

Alia Moroff

National Council (in addition to board)

Paul Corson, Michael Dyson, Neville Kiely, Neil Mclean

Membership Co‑ordinator

Aleisha Collis

Past President

Antony Elliott

Membership Assistant

Katrina Campbell

Auditors

Foster Raffan

Membership Development Co‑ordinator

Laraine Sutton, QLD

Solicitors/Attorney

Alexander & Associates

Marketing & Business Development Officer

Belinda Harris

Website & Database Co‑ordinator

Nadine Keady

Consultants Monitoring Centre Certification Inspection

ATSC

Finance & Administration Officer

Fran Meem

Industrial Relations

Chris Delaney

Accounts Assistant

Vesna Kovac

Special Consultant

Damien Smith

Manager, Complicance & Regulatory Affairs

Craig Murray

Regulatory Affairs Advisor (QLD)

Terry Bennett

Cabling & Compliance Officer

Richard Rolls

ASIAL Annual & Financial Report 2009

“The association has continued to maintain its position as the industry’s premier representative body throughout Australia and has enjoyed strong membership growth for the year, with members exceeding 3,000.”

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ASIAL Annual & Financial Report 2009

Message from the President It is my pleasure to introduce you to the Australian Security Industry Association’s 2009 Annual report. This year in line with environmental, financial and technological best practice your annual report is provided in an electronic format (hard copies are available on request).

I am pleased to advise that the association has continued to maintain its position as the industry’s premier representative body throughout Australia and has enjoyed strong membership growth for the year, with members exceeding 3,000. The last year has seen the culmination of years of work and vision by your Association.

Security Industry House ‑ After 40 years the Association finally took ownership of its own building with the purchase of Security Industry House. The Association’s new home on Sydney’s lower north shore provides 450m2 of office space over 4 levels, with parking for 11 vehicles.

ASIAL 40th Anniversary ‑ In 2009 the Association celebrated its 40th anniversary.

During the course of the year a series of articles were published reflecting on the Association’s progress since its formation in 1969 and a special 40th anniversary dinner was held at Crown Melbourne.

Life members ‑ Three new life members were honored with the Association’s highest accolade, that of life membership. Larry Circosta, Arthur McIntyre and Peter Rae were recognised for their outstanding contribution to the growth and development of the Association.

National consumer awareness campaign ‑ Building on the success of last year’s national consumer awareness campaign, further campaigns went to air during December and April.

Application to become an Employer Registered Industrial Organisation ‑ A Registered Industrial Organisation of Employers is a formally registered body allowing for the representation of members in the Australian Industrial Relations Commission. After considerable discussion, the Board unanimously decided to lodge an application to become registered. To satisfy the requirements of registration, the Association will need to move from registration under the Corporations Act 2001 to registration under the Workplace Relations Act 1996. This will require amendments to the ASIAL Constitution. An Explanatory Memorandum will be circulated to Members outlining the proposed changes and a ballot will be taken at the National AGM in October on whether to adopt the proposed changes to the Constitution.

ASIAL Annual & Financial Report 2009

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Message from the President In preparing this report and revisiting the activities of the association over the past year, I am reminded of the hundreds of voluntary hours that are contributed by branch Chairmen, special interest group convenors and members, and security industry council members.

These people in combination with our secretariat are the foundation of our association and continue to drive it forward.

In closing I would like to give my thanks and gratitude for the continued contribution and effort exerted by the ASIAL team led by Chief Executive Officer Bryan de Caires, fellow directors, Branch Chairmen special interest and working groups, without whom the continued success and growth of this association would not be possible.

Ged Byrnes

Ged Byrnes President

“After 40 years the Association finally took ownership of its own building with the purchase of Security Industry House.”

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ASIAL Annual & Financial Report 2009

SECRETARY’s REPORT Despite a challenging economic environment the Association has managed to post a strong performance over the past year.

Due to careful management of expenditure levels and steady revenue growth, the Association has generated a pre‑tax surplus of $65,758 for the year.

One of the most significant events of the past year was the purchase of Security Industry House by the Association. The 2 storey, 4 level commercial property on Sydney’s lower north shore represents a major milestone for the Association. In addition to housing the Association’s secretariat, the property also provides an opportunity for the Association to generate additional revenue through tenanted offices.

The Association has continued to promote members through its ongoing consumer awareness campaign (investing $131,396 over the year) and directed additional resources to develop a range of new member services.

Two of the key drivers for revenue growth over the year were membership subscriptions and Security Insider.

Other areas that performed well included seminars, the cabling registry and special events. The Association’s annual conference performed below expectation due to lower than expected delegate registrations.

Membership Revenue & Accumulated Reserves 2004-2009 $2,500,000

$2,000,000

$1,500,000

$1,000,000

$500,000

Membership breakdown by turnover at 30 June 2009 2004

2005

2006

Accumulated Reserves

2007

2008

2009

Membership Revenue

Membership breakdown by turnover at Individual

Accumulated reserves have risen to $2,158,539, Associate positioning the Association well or tomore deliver a greater $20 million range of services and support to its $2.5 million to $20 millionmembers.

I would like to thank and acknowledge the ASIAL Board, Branch Chairmen and Secretariat staff for their to $2.5over million support and$500,001 commitment the past year. $500, 000 or

$500, 000 or less

$20 million or more

$500,001 to $2.5 million

Associate

$2.5 million to $20 million

Individual

Bryan de Caires Secretary

ASIAL Annual & Financial Report 2009

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“The industry’s premier annual event held in Sydney at the end of August attracted over 4,000 participants. The event once again provided an excellent showcase for the industry.”

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ASIAL Annual & Financial Report 2009

THE YEAR IN REVIEW The 2008/2009 year marked another year of significant achievement and profound change for the association.

Membership applications were up 23% over the previous year, with 480 applications received for the year. Applications peaked in the month of November 2008, with 63 new applications received. Of the applications received, 88% were successful in attaining membership.

Security Industry House After 40 years the Association took ownership of its own permanent base with the purchase of Security Industry House. The Association’s new home on Sydney’s lower north shore provides 450m2 of office space over 4 levels, with parking for 11 vehicles.

ASIAL 40th Anniversary In 2009 the Association celebrated its 40th anniversary. During the course of the year a series of articles were published reflecting on the Associations progress since its formation in 1969. A special 40th anniversary dinner was held at Crown Melbourne and attended by almost 300 industry leaders. To mark the occasion a special 40th Anniversary video was prepared.

www.asial.com.au/ASIAL40thAnniversary

ASIAL Annual & Financial Report 2009

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The Year in Review Life members

National consumer awareness campaign

Three new life members were announced at the Association’s 40th Anniversary celebrations for their contribution to the growth and development of the Association.

Building on the success of last year’s national consumer awareness campaign, further campaigns were aired during the months of December and April.

Larry Circosta ‑ Larry served as Director, Secretary and President of the Association. As the architect of the Association’s uniform and consistent national approach to industry licensing, Larry has been a tireless advocate and ambassador for the Association and industry.

The television adverts once again featured broadcaster and journalist Bob Hughes and urged consumers to always use appropriately licensed security personnel and to ensure that they are members of ASIAL.

www.asial.com.au/consumerinformation

The combined campaigns reached an audience of 19 million (comprising 12.5 million in metro areas and 6.5 million in regional areas) through 775 spots (323 airing in metro areas and 452 in regional areas).

Larry Circosta accepts his award for lifetime membership with ASIAL.

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Peter Rae ‑ as a Director and Secretary, Peter provided astute advice and stewardship of the Association’s finances. In his acceptance speech, Larry Circosta acknowledged that without Peter’s support, integrity and candid counsel he would not have been able to achieve what he did. Together Peter and Larry provided a formidable partnership in steering the association towards what it has become today.

Arthur McIntyre ‑ as a Director and Vice President, Arthur was heavily involved in the formative years of the Association’s Annual Conference and Exhibition, including a period as Chair of the Board Committee managing the conference and exhibition. He was also a key driver in the development of Security Insider magazine.

ASIAL Annual & Financial Report 2009

The metropolitan markets reached included Sydney, Melbourne, Brisbane, Adelaide and Perth. The regional markets reached included Queensland, Northern NSW, Southern NSW, Victoria, Mildura, Western Australia, Central Australia, Darwin, Riverland SA, Mt Gambier SA, SGT Net SA and Tasmania.

To complement the advertising campaign, a series of video presentations targeting domestic and commercial users of security were prepared by the Association to outline the services provided by the industry and to promote the use of ASIAL member companies. www.asial.com.au/ASIALVideoLibrary

The Year in Review the Australian Industrial Relations Commission to become an Employer Registered Industrial Organisation (a formally registered body allowing for the representation of members in the Australian Industrial Relations Commission hearings both individually and collectively by officers of the registered organisation).

www.asial.com.au/SecurityForYourHome

As a registered organisation ASIAL would be entitled to carry out representation of its members in the AIRC, Federal Court and the Federal Magistrates Court.

In order to satisfy the requirements of registration as an Industrial Organisation of Employers under the Workplace Relations Act 1996, the Association will need to move from registration under the Corporations Act 2001 to registration under the Workplace Relations Act 1996.

www.asial.com.au/SecurityForYourBusiness

Award modernisation Over the past year, following extensive consultation with members and other peak industry bodies, ASIAL through its Industrial Relations advisor Chris Delaney, provided leadership in framing and developing a national award for the security industry.

The National Employment Standards and modern awards will commence on 1 January 2010. Employers who are constitutional corporations will be bound by new modern industry based awards covering all employees in an industry throughout Australia. A single award covering the manpower sector throughout Australia will come into effect from 1 January 2010.

Application to become an Employer Registered Industrial Organisation With the introduction of the Fair Work Australia legislation and the significant changes to the industrial relations landscape, the Association has sought to ensure that it is able to continue to provide professional representation for its members.

After several years of discussion, the ASIAL Board unanimously decided to lodge an application with

This means that there will need to be amendments made to the ASIAL Constitution. An Explanatory Memorandum will be sent out to Members outlining the proposed changes. A ballot will then be taken at the National AGM in October on whether to adopt the proposed changes to the Constitution.

If ASIAL’s application is successful, it will provide formal recognition as the peak body for the security industry and an opportunity to expand and improve the range of IR services provided to members.

Forging partnerships The Association has worked hard to forge stronger partnerships with law enforcement and regulatory agencies around the country. This included a high level crisis management exercise with Tasmania Police. The exercise provided an opportunity for the Tasmanian private security industry and Tasmania Police to assess their respective capabilities and to work together in removing potential barriers to their effective inter‑operability in the event of a major crisis. Other activities included ASIAL’s participation in a Project Griffin briefing conducted by South Australian Police, participation at the national Armed Robbery Monitoring program facilitated by the Australian Institute of Criminology and discussions with the Australian Federal Police.

The Association initiated and assisted in the review of the Australian Standard for Guards and Patrols (AS4421), with a revised document shortly to be put out for public comment.

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The Year in Review Member services ASIAL membership continues to grow as improved and more tailored benefits and services are brought on stream. Amongst some of the improvements made to services include:

Online jobs and careers resource ‑ further enhancements have been developed for the Association’s online jobs and careers resource for the security industry. ASIAL’s online career industry resource was shortlisted as a finalist in the 2008 Employer of the Year awards conducted by the Career Development Association of Australia. www.asial.com.au/jobs

“Through participation on the various Branch Working Groups members have had the opportunity to contribute to the important work of the Association.”

www.asial.com.au ‑ the ASIAL web site has undergone further developments to ensure that it remains relevant and easy to use.

The Association continues to provide a leadership role in representing the interests of members through participation on security industry councils in NSW, VIC and WA, along with numerous industry liaison and advisory groups across all states and territories. The Association is also an active participant on the Board of the Australian Communications and Electrical Alliance.

The Association engaged in ongoing dialogue with the Office of Fair Trading (QLD), Office of Consumer & Business Affairs (SA), Security Industry Registry (NSW), Consumer Affairs and Fair Trading, (TAS), Licensing Enforcement Division (WA), Licensing Services Division (VIC) and Department of Fair Trading (ACT).

In addition, submissions were provided in response to the COAG Harmonisation of the Private Security Industry Working Group, Victorian Review of the Private Security Act 2004 and Private Security Regulations 2005 and the Victorian Law Reform Commission’s Consultation Paper ‘Surveillance in Public Places.’

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ASIAL Annual & Financial Report 2009

www.asial.com.au

Online newsletters ‑ the Association’s monthly email newsletter, First Alert, continues to provide timely updates on industry issues of local and national importance. The number of subscribers rose from an average of 3,553 in 2007/08 to 4,854 in 2008/2009, a growth of 27%.

Breakfast briefings ‑ the number of registrants increased by 25% on the previous year.

Speakers included: The Hon. Robert Johnson, Western Australia Minister for Police and Emergency Services; Commander Tony Mulder, Tasmanian State Security Unit; Lieutenant General Peter Leahy, Director, National Security Institute; Detective‑Superintendent Des Bray, Crime Gangs Task Force, SA Police; and representatives from the Victorian Department of Justice, AUSTRAC, UNISYS, Telstra, the Workplace Ombudsman, the South Australian Metropolitan Fire Service, and industry regulators.

The Year in Review

ASIAL seminars/workshops ‑ more than 250 people attended ASIAL’s workshops throughout the year, a 70% increase on previous years. Workshops were facilitated in most states and included topics such as The New Modern Award, Security Business Health Check, Fitness for Work, Collective Bargaining and Rights and Responsibilities of Employees and Employers.

Branch Working Groups ‑ through participation on the various Branch Working Groups members have had the opportunity to contribute to the important work of the Association.

Annual Conference, Exhibition and Gala Dinner ‑ the industry’s premier annual event held in Sydney at the end of August attracted over 4,000 participants. The event once again provided an excellent showcase for the industry.

Special Interest Groups ‑ the National Electronic Security Special Interest Group continues to provide input and direction on a range of technical issues confronting the industry.

Among the many issues addressed include input on the development of new guidelines by the NSW Police Force to alarm responses.

Over the course of the year, ASIAL also facilitated a series of forums involving representatives from manufacturers of alarm transmission systems to discuss issues relating to the Australian Standard.

Publications ‑ a growing number of members are taking advantage of a practical range of publications that the Association now offers.

Security Insider, the Association’s magazine continues to provide articles on topical issues and generate strong revenue for the association.

“With the introduction of the Fair Work Australia legislation and the significant changes to the industrial relations landscape, the Association has sought to ensure that it is able to continue to provide professional representation for its members.”

ASIAL Annual & Financial Report 2009

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The Year in Review

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Research ‑ the 3‑year ARC‑funded benchmark research project conducted by Rick Sarre, Professor of Law & Criminal Justice, School of Commerce, University of South Australia and Professor Tim Prenzler, School of Criminology & Criminal Justice, Griffith University will come to a conclusion later this year.

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Industry certification ‑ the reputation of the Association’s monitoring centre certification program continues to grow, with 39 centres now certified. To build on this, a new monitoring centre certification logo was developed and distributed for use by certified monitoring centres.

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www.asial.com.au/CPD

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Professional development ‑ through the Centre for Compliance a comprehensive range of tailored professional development courses are now available to members. ASIAL’s professional development program reflects the Association’s commitment to ongoing learning to improve the knowledge of licensed security practitioners.

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www.asial.com.au/MonitoringCentreCertification

Member promotional materials ‑ as part of membership fees, members were given access to three different sizes of member decal stickers to promote their membership of the Association.

“ASIAL’s professional development program reflects the Association’s commitment to ongoing learning to improve the knowledge of licensed security practitioners.“ 12

ASIAL Annual & Financial Report 2009

The Year in Review Awards for Excellence The 14th Annual Australian Security Industry Awards for Excellence were presented at Crown Melbourne on the 30th April 2009. The awards recognised outstanding organisations within the security industry and serve as an independent benchmark of the quality of their work. Winners of this year’s awards included:

In House Security Team ‑ Melbourne Cricket Club and Westpac Banking Corporation.

Integrated Security Solution ‑ Wilson Security.

Training ‑ Australian Institute of Public Safety.

ASIAL Cabling Registry ASIAL’s Cabling Registry registered a growth of 3.58% over the past year, with the total number of ASIAL registrations rising from 5,138 to 5,322.

The most significant growth was experienced in the ‘Open’ category which encompasses cablers at the higher end of technology, and in either the commercial building or the so called ‘smart’ home. They include the contemporary monitored security alarm, surveillance or access control installation, which in its present‑day complexity and precision calls for increasingly higher levels of competency and knowledge from the technician.

Besides confirming, in a technician, a higher level of formal cabling training and, in many cases, superior industrial experience, Open registration is now also the cabling qualification of choice, with the Restricted level becoming increasingly inadequate to allow technicians to complete projects without supervision.

When less than a decade ago the security industry would have predicted its requirements for cabling training and registration to be at the lower end, it is now accepted that the skill sets recognised by the holding of a Restricted registration are insufficient for most of the work involved in electronic security today. New ASIAL Open registrations now outstrip Restricted registrations by well over three to one, while the long established trend of many cablers to upgrade their recognised skills and qualifications from the level at which they initially registered to the highest available is also increasing ‑ in some cases with additional specialist training being undertaken by cablers to secure for themselves a further point of differentiation on the landscape.

“Through the Centre for Compliance a comprehensive range of tailored professional development courses are now available to members.”

The ACMA has yet to finalise its proposed change to the time period for which a cabler’s registration may be permitted to lapse without requirement for them to request the Authority’s dispensation to renew their registration. The proposed change had been to increase this ‘grace period’ from one to 12 months, with ACMA estimating that nearly 100% of cablers who request dispensation whilst not having been in expiry more than 12 months, currently receive the concession.

As at June 2009 an updated edition of the Cabling Competency Pathways document was still out for public comment, however it is not expected that any of the logical but fairly minor changes it contains will attract controversy. The document, which in its successive previous editions has proved very helpful in assisting prospective ASIAL registrants, is the joint product of work by training providers, skills councils, collective industry bodies, Registrars, major industry players (such as carriers) and ACMA.

Disciplinary Matters ASIAL’s Disciplinary Committee met once during the course of the year.

In accordance with the ASIAL Constitution, during the course of the year 188 members were expelled from the Association.

ASIAL Annual & Financial Report 2009

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DIRECTORS’ PROFILES Ged Byrnes

Fraser Duff

Bryan de Caires

President

Vice President

Chief Executive Officer & Secretary

Ged is a Director of Protection Pacific Security, a Melbourne based company, which has been operating since 1992. The Company provides Security Services including Alarm installation, Access control, CCTV, guards and Patrols.

The Company also operates its own 24‑hour Control Room. Ged can draw from a broad range of experience across all facets of the industry and offer an understanding of issues that affect ASIAL Members. He has worked in the security industry for 26 years and his experience includes all aspects of design, installation and monitoring of intruder detection systems and associated devices such as access control and CCTV systems. Ged is a member of the Institute of Security Management and Past Victorian Chairman of ASIAL, a position he held for seven years. He has an Associate Diploma of Security Management and Certificate of Security Management.

He represented ASIAL on the National Executive Council from 1995‑2002 and represented ASIAL on the Victorian Police Security Liaison Group, Control Room Operators Group and Alarm Response Consultative Committee.

He was re‑elected to the National Executive Council in 2003 and elected as Vice President in 2004. Ged was elected to the position of President in 2006. He presently represents ASIAL on the Victorian Security Industry Advisory Council and is Chairman of the VSIAC electronics committee.

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Fraser is the Managing Director of Passmore Duff Pty Ltd a corporate risk management advisory and training company. The firm has been successfully operating since 1996 and has more recently been recognised for specialising in the development of interactive online safety and security e‑learning training programs, delivered under their international brand “CARM Training.”

Fraser’s qualifications include an MBA from the Australian Graduate School of Management (AGSM), Advanced Diploma in Security Risk Management from CIT and Diploma in Adult Education from UTS. Fraser is also a counsellor on the main council of NSW Business Chamber formally known as Australian Business Limited (ABL).

Fraser has been a Director of ASIAL since 2000 at which time he established and chaired the National Training Committee for a period of 2 years. In 2002 he was elected to the position of ASIAL Honorary Secretary and since taking on that position established and chaired the ASIAL Investment and Finance Committee up until 2007. At the 2006 ASIAL AGM Fraser was elected to the position of Vice President of the Association.

Bryan de Caires has over 20 years business management experience.

His early career was as a senior editor with Euromoney Publication Plc ‑ a leading global finance and business publisher based in London.

In 1990 he moved to Australia to take up a position as General Manager of AIC (later renamed Terrapinn) ‑ a business media company. In 1997 he was appointed Managing Director of the company’s exhibition business. In 1999 he joined the Australian Human Resources Institute as the National Manager responsible for events and professional development.

He joined ASIAL as Commercial Services Manager in March 2000, before being appointed Chief Executive Officer and Secretary in 2006. Bryan is Deputy Chairman of Crime Stoppers NSW and holds a Bachelor of Arts Honours degree.

Directors’ Profiles Bob Bruce Bob’s career in the security industry has spanned more than a quarter of a century. He began as a plain clothes investigator with the Military Police and became directly involved and worked closely with the Victoria Police Criminal Investigation Branch. Bob joined Mayne Nickless Ltd as a Security Officer and over 20 years ago took up the role of National Security Manager ‑ Armaguard. Following the acquisition of Armaguard by Linfox in February 2003, Bob has taken on the role as General Manager, Security, Armaguard. Bob is Chair of ASIAL’s Cash in Transit Special Interest Group. He is also a founding member of the Crime Stoppers Board of Management in Victoria, recently stepping down from the position of Deputy Chairman after 20 years service and currently holds the title of Life Member.

Kevin McDonald Kevin has been involved in the security industry for over 26 years.

His career started with Wormald Security in the 1970s and he has extensive experience in electronic security, sales, contracting, operations and monitoring. He has held sales and operational management positions in a number of Nationally based security companies and now holds the position of NSW General Manager for the Signature Security Group.

Kevin is currently the New South Wales Branch Chairman, a position he has held since 2000, and is a member of the National Electronic Security Group. Kevin is a licensed security consultant and has a Diploma in Marketing Management.

Peter Johnson Peter brings experience within the Security and associated industries having gained broad industry and commercial experience through holding senior management roles in both the private and public sectors. Throughout his career, Peter has had extensive training and significant involvement in operational management, personnel management, staff assessment, risk management, investigations, training and recruitment.

Peter’s qualifications include: Advanced Diploma in Security (Risk Management), Certificate IV in Workplace Training & Assessing, and Certificate IV in Investigative Services.

Before joining the private sector, Peter was the Officer in Charge Crime Scene Section at the Victorian Police Forensic Science Laboratory, specialising in the collection, examination and evidence presentation for major criminal investigations.

During his sixteen and a half years with the Police service, Peter also performed duties within the Communication and Prosecution Divisions and gained considerable experience whilst attached to the Coroner’s Office as Coroner’s Assistant.

Antony Elliott Antony was first appointed to the National Executive in 1994. He held the position of NSW Branch Chairman for many years and was Individual Member Division Chairman.

He was elected President in 2001 and remained in that position until 2006.

He has served on the board as a director since standing down as President and is committed to assisting with the future direction of the Association.

Antony played a crucial role in ensuring industry acceptance of the Cabling Provider Rules and has contributed to preserving the security industry’s interest in this area since. Antony is the Managing Director of E & C Security Systems Pty Ltd, an electronics based security company, where he has been involved with the General Management of the company for over 25 years.

Tom Roche Tom has worked in the Security Industry for over 20 years including 18 months secondment to Securicor in the UK in the early 1990’s.

Since assuming leadership of SNP in 1995, he has been responsible for the strategic management and financial performance of the company.

Tom is a current Board Member of ASIAL, and CPSISC (Construction & Property Services Industry Skills Council). In addition, he chaired the Property Services Industry Training Advisory Board NSW (PSITAB) during 2007/08 and reviewed licensing and training requirements for the NSW Security Industry.

Tom has a Bachelor of Arts degree majoring in Economics and also holds a Master of Management degree.

He additionally holds a Certificate IV in Risk Management.

Christopher Luhrmann Chris is the founder and principal of SIA Security. He has 20 years’ experience in Law Enforcement and the private security and investigation industries. He has served with the New South Wales and Queensland Police Services, holding positions as an investigator, intelligence analyst/officer, officer in charge and team leader in both local and specialist squads. Since 1990, he has been involved in specialist weapons and tactical teams and has trained police in firearms and operational skills and tactics. He is also a qualified electrical technician experienced in the use, installation, and repair of security and electronic equipment.

ASIAL Annual & Financial Report 2009

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DIRECTORS’ REPORT Your directors submit this report for the year ended 30 June 2009. The names of the company’s directors in office during the financial year and until the date of this report are as follows. Directors were in office for this entire period unless otherwise stated. Their qualifications, experience and special responsibilities are set out in the Annual Report.

Director Robert Bruce Ged Byrnes

for when they are needed. To assist in funding the Association’s consumer awareness campaign, a member marketing fee was introduced.

Over the past year continued improvements have been made to the Association’s web site and electronic newsletter service, First Alert. Additionally, resources have been directed towards developing new member services. To mark the Association’s 40th anniversary, a special video presentation was prepared for members.

Total expenses for the year rose 5.7%, whilst revenue grew by 6%.

Fraser Duff Antony Elliott

Significant Changes in the State of Affairs

Peter Johnson

During the course of the year the Association purchased a property to accommodate the needs of the Secretariat and to provide an ongoing revenue stream from tenants.

Chris Luhrmann Kevin McDonald Thomas Roche

Corporate Structure The Company is limited by guarantee. The liability of each member in respect of liabilities of the company, as specified in the Constitution, is limited to $100.

Nature of operations and principal activities The principal activity of the Company during the financial year was as an Industry Association within the Australian Security Industry.

No significant change in the nature of this activity occurred during the year.

Employees The company employed 13 employees as at 30 June 2009 (2008: 12 employees).

Operating Results for the Period and Review of Operations The Association earned a net profit before tax for the year of $65,758 (2008: $55,243). The Association’s reserves rose to $2,158,539.

The Association remains committed to its policy of reinvesting a significant proportion of prior year surpluses into improving services to members nationally and promoting the use to consumers of member companies, whilst using the balance in building reserves 16

ASIAL Annual & Financial Report 2009

Significant Events After Balance Date No significant events have taken place after the balance date.

Likely Developments and Expected Results Directors have budgeted on a small surplus for the coming year. Depending on the results of non‑mutual activities, tax may again be payable.

At the end of June 2009, following several years of discussion, the Board lodged an application with the Australian Industrial Relations Commission (AIRC) to become an Employer Registered Industrial Organisation.

If successful, as a registered organisation, ASIAL will be entitled to carry out representation of its members in the AIRC, Federal Court and the Federal Magistrates Court.

The Association continues to build on its consumer awareness campaign to promote the use of ASIAL member companies.

Compliance remains a key priority for the Association, with a range of initiatives planned. The balance in the fund established for the Centre of Compliance is expected to be sufficient to cover this. The association continues to benefit from the support of AON and Liberty in raising standards and the compliance monitoring of members.

The Association’s obligations under State legislation for compliance and continuing professional development have been provided for in the budget.

The Association is in the process of developing an industry certification and assessment scheme to further raise the level of professionalism within the industry.

Australian Security Industry Association Limited ABN 91 000 813 365

Directors’ Report Indemnification and Insurance of Directors and Officers During the year, the company has paid a premium in respect of a contract insuring directors and officers against: (a) liability arising from wrongful acts committed in their capacity as directors and officers of the company, but excluding dishonesty, fraud, malicious conduct or wilful breach of duty; and (b) the costs of legal representation in relation to such liabilities.

The premium paid was $6,132, which also includes cover for the company in respect of loss it suffers as a result of wrongful, wilful or fraudulent acts of its directors, officers and employees. This contract complies with Section 199B of the Corporations Act 2001.

Director

Attendance at Board meetings

Bob Bruce

3 (6)

Ged Byrnes

6 (6)

Fraser Duff

4 (6)

Antony Elliott

6 (6)

Peter Johnson

6 (6)

Chris Luhrmann

6 (6)

Kevin McDonald

5 (6)

Thomas Roche

4 (6)

National Council

Attendance at Council meetings

Arthur Barker

1 (1)

Colin Bird

1 (1)

Bob Bruce

1 (2)

Ged Byrnes

2 (2)

Chris Cubbage

1 (1)

Fraser Duff

1 (2)

Michael Dyson

1 (1)

Antony Elliott

2 (2)

Peter Johnson

2 (2)

Auditors

Neville Kiely

1 (2)

Foster Raffan continues to act as auditors in accordance with Section 327 of the Corporations Act 2001.

Chris Luhrmann

2 (2)

Kevin McDonald

2 (2)

Neil McLean

1 (1)

Thomas Roche

2 (2)

Proceedings on Behalf of The Company No person has applied for leave of Court to bring proceedings on behalf of the company or intervene in any proceedings to which the company is a party for the purpose of taking responsibility on behalf of the company for all or any part of those proceedings.

Directors’ Emoluments and Transactions No emoluments have been received or are due and receivable by Directors from the company or any related body corporate.

Following the purchase of Security Industry House, the Association engaged E&C Security Systems Pty Ltd, a company controlled by a director, to install a new security system.

A copy of the auditors’ independence declaration, as required under section 307C of the Corporations Act 2001, is set out on page 18.

This report is made in accordance with a resolution of the Directors.

Directors Meetings Attendance by each director at board and board committee meetings, held during the period each director held office this year, is shown in the table below. The number of meetings is in brackets.

Ged Byrnes Director

Fraser Duff Director

Crows Nest, 19 August 2009.

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

17

Directors’ Declaration In accordance with a resolution of the directors of Australian Security Industry Association Limited, we state that: (a) The financial statements and notes set out on pages 20 to 31 are in accordance with the Corporations Act 2001 and: (i) comply with Accounting Standards and the Corporations Regulations 2001; and (ii) give a true and fair view of the company’s financial position as at 30 June 2009 and of its performance for the year ended on that date; (b) in the opinion of the directors there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable.

On behalf of the Board

Fraser Duff Director

Ged Byrnes Director Crows Nest, 19 August 2009.

Auditor’s Independence Declaration I declare, to the best of my knowledge and belief that during the year ended 30 June 2009 there have been: (i) no contraventions of the auditor independence requirements as set out in the Corporations Act 2001 in relation to the audit; and (ii) no contraventions of any applicable code of professional conduct in relation to the audit.

Foster Raffan Chartered Accountants G.D.D. Raffan Partner North Sydney, 19 August 2009

18

ASIAL Annual & Financial Report 2009

Australian Security Industry Association Limited ABN 91 000 813 365

Independent Audit Report to Members Report on the Financial Report We have audited the accompanying financial report of Australian Security Industry Association Limited which comprises the balance sheet as at 30 June 2009 and the income statement, statement of changes in equity and cash flow statement for the year ended on that date, a summary of significant accounting policies, other explanatory notes and the directors’ declaration.

The directors of the company are responsible for the preparation and fair presentation of the financial report and have determined that the accounting policies described in Note 1 to the financial statements, which form part of the financial report, are appropriate to meet the requirements of the Corporations Act 2001 and are appropriate to meet the needs of the members. The directors’ responsibility also includes establishing and maintaining internal control relevant to the preparation and fair presentation of the financial report that is free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

Our responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards. These Auditing Standards require that we comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial report 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. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the directors, as well as evaluating the overall presentation of the financial report.

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

In conducting our audit, we have complied with the independence requirements of the Corporations Act 2001.

In our opinion the financial report of Australian Security Industry Association Limited is in accordance with the Corporations Act 2001, including: (a) giving a true and fair view of the company’s financial position as at 30 June 2009 and of its performance for the year ended on that date; and (b) complying with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Regulations 2001.

Foster Raffan Chartered Accountants

G.D.D. Raffan Partner Level 6 8 West Street, North Sydney, NSW, 2060.

19 August 2009

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

19

Income Statement for the year ended 30 June 2009 Note

2009 $

2008 $

2,552,091

2,407,300

(763,200)

(623,746)

(961,662)

(835,105)

(745,851)

(893,206)

(15,620)

‑

65,758

55,243

(20,634)

(42,692)

45,124

12,551

REVENUE Ordinary activities

2

Expenses directly related to operating activities (excluding salaries) Salaries and related costs Overhead expenses

3

Finance costs

PROFIT/(LOSS) BEFORE INCOME TAX EXPENSE Income tax expense

4

NET PROFIT/(LOSS) The accompanying notes form part of these financial statements.

20

ASIAL Annual & Financial Report 2009

Australian Security Industry Association Limited ABN 91 000 813 365

Balance Sheet as at 30 June 2009 Note

2009 $

2008 $

CURRENT ASSETS Cash and cash equivalents

7

854,246

2,721,928

Trade and other receivables

8

126,793

115,142

Other current assets

9

49,035

74,403

4,101

‑

1,034,175

2,911,473

2,368,637

52,621

3,402,812

2,964,094

605,604

Current tax receivable

TOTAL CURRENT ASSETS NON‑CURRENT ASSETS Property, plant and equipment

10

TOTAL ASSETS CURRENT LIABILITIES Trade and other payables

11

558,233

Borrowings

12

20,833

‑

‑

61,468

Current tax liabilities Provisions

13

65,118

46,900

Centre for Compliance fund

14

70,347

88,484

714,531

802,456

TOTAL CURRENT LIABILITIES NON CURRENT LIABILITIES Borrowings

12

479,167

‑

Provisions

13

50,575

48,223

529,742

48,223

TOTAL LIABILITIES

1,244,273

850,679

NET ASSETS

2,158,539

2,113,415

2,158,539

2,113,415

2,158,539

2,113,415

TOTAL NON‑CURRENT LIABILITIES

EQUITY Retained profits

TOTAL EQUITY

15

Statement of Changes in Equity for the year ended 30 June 2009 RETAINED PROFITS AT 1 July 2008 NET PROFIT RETAINED PROFITS AT 30 June 2009

2,113,415

2,100,864

45,124

12,551

2,158,539

2,113,415

The accompanying notes form part of these financial statements.

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

21

Cash Flow Statement for the year ended 30 June 2009 Note

2009 $

2008 $

CASH FLOWS FROM OPERATING ACTIVITIES: Receipts from members & others

2,376,702

2,057,098

(2,418,859)

(2,208,651)

Interest received

134,479

209,821

Finance costs

(15,620)

‑

Income tax paid

(86,204)

(127,918)

(9,502)

(69,650)

(2,340,043)

(19,939)

‑

5,163

(2,340,043)

(14,776)

Centre for Compliance

(18,137)

(11,891)

Bank loan

500,000

‑

481,863

(11,891)

(1,867,682)

(96,317)

2,721,928

2,818,245

854,246

2,721,928

Payments to suppliers & employees

18

NET CASH FLOWS FROM OPERATING ACTIVITIES CASH FLOWS FROM INVESTING ACTIVITIES Purchase/disposal of property, plant & equipment Purchase/disposal of shares

NET CASH FLOWS FROM INVESTING ACTIVITIES CASH FLOWS FROM FINANCING ACTIVITIES:

NET INCREASE/(DECREASE) IN CASH HELD Cash ‑ 1 July 2008 7

CASH ‑ 30 June 2009 The accompanying notes form part of these financial statements.

22

ASIAL Annual & Financial Report 2009

Australian Security Industry Association Limited ABN 91 000 813 365

Notes to the Financial Statements

for the year ended 30 June 2009

1. Statement of Significant Accounting Policies The financial report is a general purpose financial report that has been prepared in accordance with Australian Accounting Standards (including Australian Accounting Interpretations), of the Australian Accounting Standards Board and the Corporations Act 2001.

The following is a summary of the material accounting policies adopted by the company in the preparation of the financial report. The accounting policies have been consistently applied unless otherwise stated.

Reporting Basis and Conventions The financial report has been prepared on the accruals basis and in accordance with the historical cost convention and does not take into account changing money values or, except where stated, current valuations of non‑current assets.

Cost is based on the fair values of the consideration given in exchange for assets.

Accounting Policies (a) Revenue Recognition

Members’ and other subscriptions or fees are accounted for when invoiced and taken to profit in equal quarterly amounts over the period to which they apply.

Income in respect of the various activities of the company, with the exception of special events/functions, is accounted for when invoiced. Income in respect of special events/functions is accounted for when received.

Income received and expenses incurred in advance of activities are carried in the balance sheet as unearned income and prepayments respectively until the relevant activity is completed, when all the profit is taken up.

If a loss is expected, a provision for the likely loss is made as soon as it becomes apparent.

Costs of developing new services are expensed as incurred.

(b) Income Tax

Income tax expense (revenue) for the year comprises current tax expense (income) and deferred tax expense (income).

Current income tax expense is based on the profit from non‑mutual activities for the year adjusted for any non‑assessable or disallowed items. It is calculated using tax rates that have been enacted or are substantively enacted by the balance sheet date.

Deferred tax is accounted for using the balance sheet liability method in respect of temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements.

No deferred income tax will be recognised from the initial recognition of an asset or liability, excluding a business combination, where there is no effect on accounting or taxable profit or loss.

Deferred tax is calculated at the tax rates that are expected to apply to the period when the asset is realised or liability is settled. Deferred tax is credited in the income statement except where it relates to items that may be credited directly to equity, in which case the deferred tax is adjusted directly against equity.

Deferred income tax assets are recognised only to the extent that it is probable that future tax profits will be available against which the benefits of the deferred tax asset can be utilised.

The amount of benefits brought to account or which may be realised in the future is based on the assumption that no adverse change will occur in income taxation legislation and the anticipation that the economic entity will derive sufficient future assessable income to enable the benefit to be realised and comply with the conditions of deductibility imposed by the law.

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

23

Notes to the Financial Statements

for the year ended 30 June 2009 (c) Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, deposits held at call with banks, other short‑term highly liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within short‑term borrowings in current liabilities on the balance sheet.

(d) Trade and Other Receivables

Trade receivables are recognised and carried at original invoice amount less a provision for any uncollectible debts. A provision for doubtful debts is made when collection of the full amount is no longer probable.

Bad debts are written‑off as incurred.

(e) Property, Plant and Equipment

Each class of property, plant and equipment is carried at cost or fair value as indicated less, where applicable, any accumulated depreciation and impairment losses.

Property

Freehold land and buildings are shown at their fair value (being the amount for which an asset could be exchanged between knowledgeable and willing parties in an arm’s length transaction), based on periodic, but at least triennial, valuations by external independent valuers, less subsequent depreciation for buildings.

Increases in the carrying amount arising on revaluation of land and buildings are credited to a revaluation reserve in equity. Decreases that offset previous increase of the same asset are charged against the revaluation reserve directly in equity; all other decreases are charged to the income statement.

Any accumulated depreciation at the date of revaluation is eliminated against the gross carrying amount of the asset and the net amount is restated to the revalued amount of the asset.

Office Equipment

Office equipment is valued at its cost and reduced by depreciation and impairment losses. The carrying amount is reviewed annually by directors to ensure that it is not in excess of the recoverable amount from these assets.

Depreciation is calculated on either the straight line or the diminishing value basis over the useful lives of the assets to the company.

(f) Leases

24

Leases are classified at their inception as either operating or finance leases based on the economic substance of the agreement so as to reflect the risks and benefits incidental to ownership.

Operating Leases

The minimum lease payments of operating leases, where the lessor effectively retains substantially all of the risks and benefits of ownership of the leased item, are recognised as an expense on a straight‑line basis.

Finance Leases

Leases which effectively transfer substantially all of the risks and benefits incidental to ownership of the leased item to the company are capitalised at the present value of the minimum lease payments and disclosed as assets under lease. A lease liability of equal value is recognised.

ASIAL Annual & Financial Report 2009

Australian Security Industry Association Limited ABN 91 000 813 365

Notes to the Financial Statements

for the year ended 30 June 2009

Capitalised lease assets are amortised over the shorter of the estimated useful life of the assets and the lease term.

Minimum lease payments are allocated between interest expense and reduction of the lease liability with the interest expense calculated using the interest rate implicit in the lease and charged directly to the Income Statement.

The cost of improvements to or on leasehold property is capitalised, disclosed as leasehold improvements, and amortised over the unexpired period of the lease or the estimated useful lives of the improvements, whichever is the shorter.

(g) Employee entitlements

Provision is made for employee entitlement benefits accumulated as a result of employees rendering services up to the reporting date. These benefits include wages and salaries, annual leave and long service leave.

Liabilities arising in respect of wages and salaries, annual leave and any other employee entitlements expected to be settled within twelve months of the reporting date are measured at their nominal amounts. All other employee entitlement liabilities are measured at the present value of the estimated future cash outflow to be made in respect of services provided by employees up to the reporting date. In determining the present value of future cash outflows, the interest rates attaching to government guaranteed securities, which have terms to maturity approximating the terms of the related liability, are used.

(h) Provisions

Provisions are recognised when the company has a legal or constructive obligation, as a result of past events, for which it is probable that an outflow of economic benefits will result and that outflow can be reliably measured.

(i) Goods and Services Tax (GST)

Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Taxation Office. In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables in the balance sheet are shown inclusive of GST.

(j) Comparative Figures

When required by Accounting Standards, comparative figures have been adjusted to conform to changes in presentation for the current financial year.

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

25

Notes to the Financial Statements

for the year ended 30 June 2009

2.

2009 $

2008 $

1,238,255

1,170,192

Exhibition, conference and seminars

426,681

484,886

Member marketing fee

100,262

‑

Cabling providers registrations

127,661

126,234

Magazine

279,620

224,478

Branch meetings

34,297

52,956

Grading, seminars and workshops

57,082

47,780

Insurance support

45,000

50,000

Special events

57,833

‑

3,300

2,800

47,621

38,153

2,417,612

2,197,479

134,445

209,596

34

225

134,479

209,821

2,552,091

2,407,300

24,027

19,416

131,396

-

Revenue Revenue from operating activities Members’ subscriptions

Consultancy Miscellaneous income Total revenue from operating activities

Revenue from investment activities Interest Dividend Total revenue from non‑operating activities

Total revenue from ordinary activities

3.

Overhead Expenses Include: Depreciation Membership marketing expenses

26

ASIAL Annual & Financial Report 2009

Australian Security Industry Association Limited ABN 91 000 813 365

Notes to the Financial Statements

for the year ended 30 June 2009

2009 $

4.

2008 $

Tax Expense The prima facie tax at 30% (2008: 30%) on the profit/(loss) from ordinary activities before income tax differs from the income tax expense as follows: Prima facie tax on profit/(loss) from ordinary activities

19,727

16,573

3,790

53,771

(10)

‑

(16,832)

‑

‑

(30,024)

Deferred tax asset not recognised

13,959

2,372

Tax expense

20,634

42,692

20,634

72,716

‑

(30,024)

20,634

42,692

Tax effect of permanent differences: Profit/(loss) from mutual activities Rebateable fully franked dividends Investment incentive Over provision for income tax in prior year

The components of tax expense comprise: Current tax Over provision in respect of prior year

A deferred tax asset of $53,495 (2008: $39,536) has not been recognised as it is not probable that future profits will be available against which temporary deductible differences can be utilised.

5.

Key Management Personnel Compensation Short term benefits ‑ Salary ‑ Superannuation Total

6.

323,907

219,456

28,844

19,489

352,751

238,945

16,000

14,500

2,300

2,100

Auditor’s Remuneration Remuneration of the auditors for: ‑ audit of the financial report ‑ review of cabling registrar activity ‑ review of the quarterly management accounts

8,100

7,500

‑ taxation and other services

6,880

11,440

33,280

35,540

Total

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

27

Notes to the Financial Statements

for the year ended 30 June 2009

2009 $

7.

2008 $

Cash And Cash Equivalents Current Cash at bank and on hand

32,875

55,455

Short‑term bank deposits

821,371

2,666,473

854,246

2,721,928

The landlord has a lien over a short term bank deposit of $15,987 (2008: $15,987) in respect of the leased premises.

8.

Trade and Other Receivables Current Trade debtors

132,213

121,702

Less: provision for doubtful debts

(30,000)

(30,000)

102,213

91,702

24,580

23,440

126,793

115,142

49,035

74,403

2,224,559

‑

(539)

‑

2,224,020

‑

286,969

171,485

(142,352)

(118,864)

144,617

52,621

2,368,637

52,621

GST receivable

9.

Other Assets Current Prepayments

10.

Property, Plant & Equipment Freehold land and building ‑ at cost Less: accumulated deprecation

Office equipment, furniture & fittings ‑ at cost Less: accumulated depreciation

Total Property, plant & equipment A first mortgage is registered over the land and building (see note 12).

28

ASIAL Annual & Financial Report 2009

Australian Security Industry Association Limited ABN 91 000 813 365

Notes to the Financial Statements

for the year ended 30 June 2009

11.

2009 $

2008 $

Trade and Other Payables Current Unearned income ‑

Events income

84,350

129,398

Cablers registration

160,966

196,996

Membership subscriptions

184,484

91,605

Advertising

15,216

57,416

Trade payables

83,971

113,351

Sundry payables and accrued expenses

12.

29,246

16,838

558,233

605,604

20,833

‑

479,167

‑

65,118

46,900

50,575

48,223

Balance at 1 July 2008

88,484

100,375

Contribution received

‑

Borrowings Current Bank loan

Non‑Current Bank loan The bank loan is secured by a first mortgage over the land and building.

13.

Provisions Current Provision for staff entitlement

Non‑Current Provision for staff entitlement

14.

Centre for Compliance Current Movement in Centre for Compliance fund:

Less: expenditure Balance at 30 June 2009

15.

(18,137)

(11,891)

70,347

88,484

Share Capital There are no issued shares. The company is limited by guarantee. The liability of each member in respect of liabilities of the company is limited to $100.

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

29

Notes to the Financial Statements

for the year ended 30 June 2009

16.

2009 $

2008 $

‑

35,688

Lease Commitments Operating lease ‑ premises Payable ‑ minimum lease payments ‑ not later than 6 months

17.

Segment Information Segment locations The Company operates in one business and geographical segment being a not‑for‑profit industry association within the Security Industry throughout Australia.

18.

Cash Flow Information Reconciliation of the profit from ordinary activities after tax to the net cash flows from operating activities Profit/(loss) from ordinary activities after tax

45,124

12,551

Depreciation of non‑current assets

24,027

19,416

(Decrease)/increase in employee provisions

20,570

14,403

Non‑cash items

Profit on sale of shares

(5,163)

Loss on disposal of fixed assets

2,150

Other

2,242

Changes in assets and liabilities Decrease/(increase) in prepayments

25,368

129,844

Increase/(decrease) in receipts in advance

(30,399)

(148,878)

Increase/(decrease) in trade creditors

(16,972)

(13,546)

Decrease/(increase) in trade receivables

(10,511)

8,498

(1,140)

(5,940)

(65,569)

(85,227)

(9,502)

(69,650)

Decrease/(increase) in other debtors Increase/(decrease) in income tax provision

Net cash flow from operating activities

19.

Related Party Disclosures It is the nature of the organisation to elect directors who are also members of the organisation.

These directors deal with the company on the same terms as all other members and do not receive any remuneration. Other transactions between related parties are on normal arm’s length commercial terms and conditions unless otherwise stated.

During the year a company controlled by a director, Antony Elliott, charged $8,977 (excluding GST) for installing a security system at the company’s premises. This excludes the cost of the equipment ($8,203) which that company acquired from a third party and charged on at its cost.

30

ASIAL Annual & Financial Report 2009

Australian Security Industry Association Limited ABN 91 000 813 365

Notes to the Financial Statements

for the year ended 30 June 2009

20.

Interest Rate Risk Exposures The company’s exposure to interest rate risks and the effective interest rates of financial assets and liabilities, both recognised and unrecognised, at the balance date are as follows:

Financial Instruments

Floating interest rate

Fixed interest rate maturing in 1 year or less

Non Interest bearing

Total

Cash

‑

821,371

32,875

854,246

Trade and Other receivables

‑

‑

102,213

102,213

‑

821,371

135,088

956,459

‑

3%

N/A

Trade creditors

‑

‑

113,217

113,217

Other creditors

‑

‑

445,016

445,016

500,000

‑

‑

500,000

500,000

‑

558,233

1,058,233

8.8%

N/A

N/A

Cash

‑

2,666,473

55,455

2,721,928

Trade and Other receivables

‑

‑

91,702

91,702

‑

2,666,473

147,157

2,813,630

‑

7.2%

N/A

Trade creditors

‑

‑

130,189

130,189

Other creditors

‑

‑

475,415

475,415

‑

‑

605,604

605,604

‑

‑

N/A

2009 (i) Financial assets

Weighted average effective interest rate

(ii) Financial liabilities

Bank loan Weighted average effective interest rate

2008 (i) Financial assets

Weighted average effective interest rate

(ii) Financial liabilities

Weighted average effective interest rate

21.

Company Details The registered office and principal place of business of the company is 41 Hume Street, Crows Nest NSW 2065.

Australian Security Industry Association Limited ABN 91 000 813 365

ASIAL Annual & Financial Report 2009

31

ASIAL Professional Code of Conduct 1. Members shall conduct their professional activities with respect for the public interest.

2. Members shall at all times act with integrity in dealing with clients or employees, past and present, with their fellow members and with the general public.

3. Members shall not intentionally disseminate false or misleading information, whether written, spoken or implied, nor conceal any relevant fact. They have a duty to maintain truth, accuracy and good taste in advertising and sales promotion.

4. Members shall not represent conflicting or competing interests except with the express consent of those concerned given only after full disclosure of the facts to all interested parties.

5. Members shall refrain from knowingly associating with any enterprise, which uses improper or illegal methods for obtaining business.

6. Members shall not intentionally injure the professional reputation or practice of another member.

7. If a member has evidence that another member has been guilty of unethical practices, it shall be their duty to inform the Association.

8. Members shall help to improve the body of knowledge of the profession by exchanging information and experience with fellow members and by applying their special skill and training for the benefit of others.

9. Members shall refrain from using their relationship with the Association in such a manner as to state or imply an official accreditation or approval beyond the scope of membership of the Association and its aims, rules and policies.

10. Members shall cooperate with fellow members in upholding and enforcing the code.

32

ASIAL Annual & Financial Report 2009

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Australian Security Industry Association ABN 91 000 813 365

Security Industry House 41 Hume Street Crows Nest NSW 2065 PO Box 1338, Crows Nest NSW 1585 Phone: (02) 8425 4300 Fax: (02) 8425 4343 Email: security@asial.com.au

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www.asial.com.au