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Annual General Meeting 2012

THE ALICE SMITH SCHOOLS ASSOCIATION (1923-A) Report of the Governors and Statement of Accounts for the year ended 31 August 2011 To be considered at the Annual General Meeting held on Wednesday, 11 January 2012 in the School Hall, Jalan Bellamy, Kuala Lumpur at 7:30pm


Front cover:

Chloe-Primary

Back cover:

Simone Standen


Contents Notice of Annual General Meeting

1

Director of School’s Report

2

Governors’ Report

6

Statement by Governors

11

Statutory Declaration

11

Independent Auditors’ Report

12

Statement of Comprehensive Income

14

Statement of Financial Position

15

Statement of Changes in Equity

16

Statement of Cash Flows

17

Notes to the Financial Statements

19

Statement of Comprehensive Income

50

Statistics

51

Parent Teacher Association’s Financial Statements

52

Form of Proxy

55

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notice of Annual General Meeting The Sixty-second Annual General Meeting of the Association will be held on Wednesday, 11 January 2012 in the School Hall, Jalan Bellamy, Kuala Lumpur, Malaysia, at 7:30 p.m.

Agenda 1.

To receive the Governors’ Report and adopt the Statement of Accounts for the year ended 31 August 2011.

2.

To fill vacant Ordinary Governor positions by election.

3.

To elect the new Parent/Teachers Committee Members.

4.

To appoint Auditors to hold office until the conclusion of the next Annual General and to fix their remuneration.

5.

To consider any other business.

By order of the Council of Governors

Chan Sock Gnoh Secretary Dated: 24 November 2011

Note: A member of the Association entitled to attend and vote at the General Meeting is entitled to appoint a proxy to attend and vote in his stead. A proxy need not be a member of the Association. All forms of proxy must be deposited at the Registered Office of the Association, No. 2 Jalan Bellamy, 50460 Kuala Lumpur, not less than forty-eight (48) hours before the time of holding the meeting or adjourned meeting.

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Director of School’s Report 2012 I am pleased with the progress and development of the Alice Smith School during the course of the year since our last AGM and would like to outline the main achievements for you here. As you know, the school’s mission is to ‘provide young people with an outstanding British education, preparing them for a successful international future.’ The vision of the school is to be ‘a consistently outstanding school which provides high quality learning experiences and opportunities, maximizing the potential of every learner.’ The school’s focus on its vision has continued unabated during the course of the year and underpins all of our improvement strategies. In 2011 we took further steps towards becoming a consistently outstanding school. Our commitment to being inspected regularly, on a rolling three year basis, resulted in the school taking part in an OfSTED inspection which was carried out by four inspectors from Tribal Education as part of the accreditation process by the Department for Education (DfE) for British schools overseas. The overall purpose of such an inspection is to provide information to parents, prospective parents, teachers, senior managers and the school’s owners on the overall effectiveness of the school and the standard of education it provides. Standards in UK independent schools are used as the measure. As you will be aware the school passed the inspection with flying colours and is now an accredited British School. The Secondary Campus at Equine Park was assessed as being Excellent, Grade 1 and our Primary Campus at Jalan Bellamy was assessed as being Good, Grade 2. The inspectors commented very favourably upon the enormous improvements at Equine Park over the course of the last 3 years. I am sure that you will be pleased to hear that the behavior of students on both campuses was recorded by the inspectors as being exemplary. The inspection also indicated three areas for further improvement and the campus principals are now working on action plans to ensure that these are addressed. The full report of the inspection can be found on Frog, our VLE, and also on the DFE website. The inspectors also commented upon our facilities and the developments that have been taking place to enhance the delivery of the curriculum. The newly opened the Steve Warry Centre at Equine Park offers a state-of-the-art Media Studies floor including a sound and television studio. With dedicated Business Studies and Economics teaching spaces, new ICT suites and a Careers & Further Education room, students have ample opportunity to further develop independent learning skills in a technology rich environment. The next project at Equine Park will be the refurbishment and extension of our Science Laboratories. Many of our students opt to study the sciences at A-level and the provision of a top notch learning environment can only further enhance the outstanding teaching that they receive in this department.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

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Director of School’s Report 2012 (cont’d)

Building developments and refurbishment have also taken place at our Jalan Bellamy Campus. A new Pre-School classroom has been opened to accommodate the high demand for places in our Foundation Stage, which has further increased the number of classes in the Foundation Stage to 5 in Foundation 2 (Reception) and 2 in Foundation 1 (Pre-school). A sorely needed refurbishment of the Year One shared area also took place over the summer break and repairs were made to the concrete flooring in Year 2 during Deepavali. We have been working with the renowned ‘eduplanner’ (education architecture specialist) Kenn Fisher to plan for the future development of both campuses. His input has been both interesting and enlightening and we will share with parents our longer term plans for the school buildings later in the academic year. Our school improvement plan for the last academic year was successfully implemented and our target to develop a continuous curriculum for Foundation to Year 13 was completed. Work is continuing on the other areas of focus including further developing our ‘Gifted and Talented’ provision and also further developing ‘Thinking Skills’ across the school. Michael Pohl conducted more workshops on ‘Thinking Skills’ across both campuses during our training days prior to the school opening for the new academic year, building on the work he had completed with the teachers last year. Wendy Simmons, an education consultant from the UK, also worked with the Middle Leaders of the school in a series of workshops in late August. The focus of this training was peer observation, developing in the middle leaders the ability to make judgments regarding the quality of teaching in their departments and year groups and how to use this information to further increase the quality of teaching and learning on a day to day basis. A new priority was added to our improvement plan this year which is that of becoming a ‘green school’ through taking part in the ‘green schools programme’, an initiative from the UK. Our Virtual Learning Platform, Frog, has been further developed this year and most of our students and teachers are now using it on a daily basis. Parent access was enabled at the beginning of the academic year, following a short trial during the summer term with a selected group of parents. The school is continuing to populate the VLE with data which will make communication between home and school much easier and more efficient. Another area that has seen further progress this year is policy development and review. The school now has a revised Health and Safety Policy, a new Equal Opportunities Policy and a new Monitoring and Evaluation Policy. A regular cycle for full policy review has been established and, by the end of the academic year the intention is that policies will be available on Frog for parents to view.

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Director of School’s Report 2012 (cont’d) One of the aims of the school is to be the employer of choice in the region for both teaching and non-teaching staff. The recent inspection commented on the excellent subject knowledge of the teachers and also praised their commitment and dedication. We have once again had a low staff turnover this year and as a school have continued with our commitment to focused, high quality continuing professional development (CPD). Our involvement with the Middle Leadership Programme continues and the Alice Smith School is at the forefront of delivering CPD opportunities with other schools in Kuala Lumpur and in the Federation of British International Schools in Southeast Asia (FOBISSEA). We have been involved in the annual SEASIMS conference (initiated by us in 2009) and also are hosting the first SEAFrog Conference in the region. The progress that students make in school is one of the most obvious indicators of success. The inspection report states the following regarding the progress that children make at the Alice Smith School: ‘Children make a good start to their learning in the pre-school and Reception classes. Students’ learning is good throughout the rest of the primary phase. The rate of students’ progress accelerates as they move through the secondary phase to become outstanding by the end of Year 11 and Year 13’ Our examination results at GCSE and A-level confirm the above judgment as we continue to reach a very high level with our ‘value added’ scores, placing us alongside the top schools worldwide. Our results also place us on a par with good independent schools in the UK. At GCE A-level 72% of all our results were at grades A*, A or B level - an increase from 69% in 2010. 17% of all results were the new top A* grade and overall, these results are historically the second best A-level grades in the school’s history with 99% of all results being a pass grade. Also this year ten students achieved all straight A* / A grades, with five of these students achieving two or more A* grades - a wonderful achievement. Achievement at the highest grade level bands of A* - B continues to be consistently high with a three year rolling average of 70%, supported by an exceptional pass rate. The majority of graduating students from Year 13 had confirmed first choice placements in top flight universities, with most students choosing the UK as their destination. At GCSE level 60% of all grades achieved in Year 11 at GCSE level were A* or A, historically the second best GCSE grades in the school’s history with 97% of all results being a pass grade. Also this year 18 students achieved all straight A* / A grades which was also a wonderful achievement.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

4


Director of School’s Report 2012 (cont’d) At the Primary Campus, the results of the Year 6 National Curriculum Tests maintained the high attainment levels achieved historically. All students achieved Level 4 in English and Science and 96 percent of students achieved Level 4 in Maths. The number of Level 5s achieved in English was 46%, slightly down on the results of previous years. The percentage achieving Level 5 in the writing aspect of the assessment was 33%, which shows a significant improvement on the 21% achieved in 2009. In Mathematics, 64% of students achieved Level 5. 31 students scored above 90% in the Mathematics assessment. It goes without saying that the Alice Smith is about much more than just examinations. A key component of preparing our students ‘for a successful international future’ is involvement in our extensive extra-curricular activity programmes, and this is an area where Alice Smith excels. The OfSTED inspection report comments most positively on this aspect of the school stating that: ‘The highly extensive range of additional activities over and above the taught curriculum is a key factor in their enjoyment, achievement and attainment and their pride in being a student at Alice Smith School.’ Around 80 after-school activities run at the Primary Campus, and more than 100 are run at the Secondary Campus. This year, Alice Smith students once again participated in many SEASAC and FOBISSEA music and sporting events in the region. The off-curriculum ‘Activity Week’ at Jalan Bellamy focused on ‘Atlas of Arts’, with both a Geography and an Arts theme at its core. We have also kept up Community Work, on both campuses, raising several thousand Ringgit for various needy causes, continued with our scholarship programme for bright Malaysian students who would be otherwise unable to afford the school and developed a bursary scheme to recognise the most highly achieving of our Year 11 students moving into Year 12. At Equine Park ‘Trips Week’ saw a plethora of residential activities for students to become involved in. From the choir tour to the UK, a cultural visit to China and working with a school in Chiang Mai, each separate ‘trip’ has to incorporate at least 2 of 3 essential elements; community service, personal development and educational development. Both campuses once again saw a wide range of performances during the course of the year ranging from the Reception ‘Nativity’ to ‘Blood Brothers’, a hard hitting, high quality performance by students at Equine Park which moved many in the audience. Each performance, at whichever level, showed off the talent of our students to the full. I am pleased to report that the school has had another very positive year, building on its strengths and focusing on providing the students at the school with the best quality of education possible.

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Governors’ Report The Governors hereby present their report together with the audited financial statements of the Association for the financial year ended 31 August 2011. Principal activity The principal activity of the Association is the provision of a British Education in an international context. There has been no significant change in the nature of this activity during the financial year.

Results

RM

Net deficit for the year (2,276,153) There were no material transfers to or from reserves or provisions during the financial year other than disclosed in the financial statements. In the opinion of the Governors, the results of the operations of the Association during the financial year were not substantially affected by any item, transaction or event of a material and unusual nature, other than as disclosed in the financial statements.

Governors The names of the Governors of the Association in office since the date of the last report and at the date of this report are: Suzanne Marie Bamford (Trustee for MANZA and Chair) Irene Khoo Gaik Suan (Trustee for St. Andrew’s Presbyterian Church) Neil Shaw Macleod (Trustee for St. Andrew’s Society, resigned on 1 November 2010) Ivanka Jeffery (Trustee for St. Andrew’s Society, appointed on 1 November 2010) Francis Chukuemeka Minah (Trustee for St. Patrick’s Society, resigned on 13 January 2011) Rory Doyle (Trustee for St. Patrick’s Society, appointed on 13 January 2011) Tina Yeung (Trustee for the Malaysian International Chamber of Commerce and Industry) Andrew William Robinson (Trustee for Royal Society of St. George) Bronagh Lorien Louise Holland (Trustee for St. Mary’s Cathedral)

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

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Governors’ Report (cont’d) Governors (cont’d) The names of the Governors of the Association in office since the date of the last report and at the date of this report are (cont’d): John William Collins (Vice-Chair) David Chapplow Marjetica McAuley Kaharudin Bin Mohd Kassim Noor Aishah Strong (PTA Chair) Arie van der Horst (Appointed on 27 January 2011) Guy Francis Perring (Appointed on 27 January 2011) Shahryn Yong Azmi (Appointed on 27 January 2011) Sony Shrivastava (Appointed on 27 January 2011) Andrew John Barber (Retired on 27 January 2011) William Tseng Wen-Yu (Resigned on 13 January 2011) Alaster Malcolm Allum (Resigned on 13 January 2011) Deborah Ildiko Willsher (Resigned on 23 June 2011) Andrea Pavletic-Birtley (Resigned on 27 June 2011)

Governors’ benefits Neither at the end of the financial year, nor at any time during that year, did there subsist any arrangement to which the Association was a party, whereby the Governors might acquire benefits by means of the acquisition of shares in or debentures of the Association or any other body corporate. Since the end of the previous financial year, no Governor has received or become entitled to receive a benefit by reason of a contract made by the Association with any Governor or with a firm of which the Governor is a member or with a company in which the Governor has a substantial financial interest.

Governors’ attendance records

The Governors held thirteen (13) meetings during the financial year ended 31 August 2011 and the attendance record is as follows: Suzanne Marie Bamford 13/13 Irene Khoo Gaik Suan 10/13 Neil Shaw Macleod 1/1 Ivanka Jeffery 9/12 Francis Chukuemeka Minah 0/3 Rory Doyle 7/10

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Governors’ Report (cont’d)

Governors’ attendance records (cont’d) The Governors held thirteen (13) meetings during the financial year ended 31 August 2011 and the attendance record is as follows (cont’d): Tina Yeung Andrew William Robinson Bronagh Lorien Louise Holland John William Collins David Chapplow Marjetica McAuley Kaharudin Bin Mohd Kassim Noor Aishah Strong Andrew John Barber Deborah Ildiko Willsher Andrea Pavletic-Birtley William Tseng Wen-Yu Alaster Malcolm Allum Arie van der Horst Shahryn Yong Azmi Guy Francis Perring Sony Shrivastava

9/13 12/13 12/13 11/13 11/13 13/13 11/13 10/13 3/4 12/12 9/12 1/3 2/3 7/9 8/9 9/9 7/9

Working sub-committees The Governors are involved in the following working sub-committees: Suzanne Marie Bamford Finance, Strategy, Development Irene Khoo Gaik Suan Finance Neil Shaw Macleod Finance Ivanka Jeffery Human Resources, Marketing Francis Chukuemeka Minah Infrastructure, Finance Rory Doyle Finance, Marketing Tina Yeung Education and Standards, Communications, Infrastructure Andrew William Robinson Human Resources, Communications, Marketing, Development Bronagh Lorien Louise Holland Education and Standards, Communications, Infrastructure, Development John William Collins Strategy, Human Resources, Infrastructure, Development David Chapplow Infrastructure, Finance, Human Resources Marjetica McAuley Infrastructure, Education and Standards, Development Kaharudin Bin Mohd Kassim Finance, Communications, Development

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

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Governors’ Report (cont’d) Working sub-committees (cont’d) The Governors are involved in the following working sub-committees (cont’d): Noor Aishah Strong Infrastructure, Communications, Education and Standards Andrew John Barber Human Resources, Communications Deborah Ildiko Willsher Human Resources, Strategy, Development Andrea Pavletic-Birtley Communications, Infrastructure, Strategy, Marketing, Development William Tseng Wen-Yu Finance, Communications Alaster Malcolm Allum Education and Standards, Strategy Arie van der Horst Infrastructure Shahryn Yong Azmi Finance, Human Resources Guy Francis Perring Education and Standards, Marketing Sony Shrivastava Finance, Education and Standards, Marketing Other statutory information (a) Before the statement of comprehensive income and statement of financial position of the Association were made out, the Governors took reasonable steps: (i) to ascertain that proper action had been taken in relation to the writing off of bad debts and the making of provision for doubtful debts and satisfied themselves that all known bad debts have been written off and that no provision for doubtful debts was necessary; and (ii) to ensure that any current assets which were unlikely to realise their value as shown in the accounting records in the ordinary course of business had been written down to an amount which they might be expected to realise. (b) At the date of this report, the Governors are not aware of any circumstances which would render: (i) the amounts written off for bad debts inadequate to any substantial extent or to make any provision for doubtful debts in respect of the financial statements of the Association; and (ii) the values attributed to current assets in the financial statements of the Association misleading. (c) At the date of this report, the Governors are not aware of any circumstances which have arisen which render adherence to the existing method of valuation of assets or liabilities of the Association misleading or inappropriate.

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Governors’ Report (cont’d) Other statutory information (cont’d) (d) At the date of this report, the Governors are not aware of any circumstances not otherwise dealt with in this report or financial statements of the Association which would render any amount stated in the financial statements misleading. (e) At the date of this report, there does not exist: (i) any charge on the assets of the Association which has arisen since the end of the financial year which secures the liabilities of any other person; or (ii) any contingent liability in respect of the Association which has arisen since the end of the financial year. (f) In the opinion of the Governors: (i) no contingent or other liability has become enforceable or is likely to become enforceable within the period of twelve months after the end of the financial year which will or may affect the ability of the Association to meet its obligations as and when they fall due; and (ii) no item, transaction or event of a material and unusual nature has arisen in the interval between the end of the financial year and the date of this report which is likely to affect substantially the results of the operations of the Association for the financial year in which this report is made. Auditors The auditors, Ernst & Young, have expressed their willingness to continue in office. Signed on behalf of the Council in accordance with a resolution of the Governors dated 24 November 2011. Suzanne Marie Bamford John Collins

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

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Statement by Governors

Pursuant to Section 169(15) of the Companies Act, 1965 We, Suzanne Marie Bamford and John Collins, being two of the Governors of The Alice Smith Schools Association, do hereby state that, in the opinion of the Governors, the accompanying financial statements set out on pages 14 to 49 are drawn up in accordance with applicable Financial Reporting Standards in Malaysia so as to give a true and fair view of the financial position of the Association as at 31 August 2011 and of the results and the cash flows of the Association for the year then ended. Signed on behalf of the Council in accordance with a resolution of the Governors dated 24 November 2011. Suzanne Marie Bamford John Collins

Statutory Declaration

Pursuant to Section 169(16) of the Companies Act, 1965

I, Chang Yoke Wan, being the officer primarily responsible for the financial management of The Alice Smith Schools Association, do solemnly and sincerely declare that the financial statements set out on pages 14 to 49 are in my opinion correct, and I make this solemn declaration conscientiously believing the same to be true and by virtue of the provisions of the Statutory Declarations Act, 1960. Subscribed and solemnly declared by the abovenamed Chang Yoke Wan at Federal Territory on 24 November 2011. Chang Yoke Wan Before me,

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Independent Auditors’ Report

to the members of The Alice Smith Schools Association (Limited by Guarantee)

Report on the financial statements We have audited the financial statements of The Alice Smith Schools Association, which comprise the statement of financial position as at 31 August 2011, and statement of comprehensive income, statement of changes in equity and statement of cash flows for the year then ended, and a summary of significant accounting policies and other explanatory notes, as set out on pages 14 to 49.

Governors’ responsibility for the financial statements

The Governors of the Association are responsible for the preparation of financial statements that give a true and fair view in accordance with Financial Reporting Standards and the Companies Act, 1965 in Malaysia, and for such internal controls as the Governors determine are necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditors’ responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with approved standards on auditing in Malaysia. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amount and disclosures in the financial statements. The procedures selected depend on our judgement, including the assessment of risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we consider internal controls relevant to the Association’s preparation of the financial statements that give a true and fair value 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 Association’s internal controls. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of accounting estimates made by the Governors, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

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Independent Auditors’ Report (cont’d)

to the members of The Alice Smith Schools Association (Limited by Guarantee)

Opinion In our opinion, the financial statements have been properly drawn up in accordance with Financial Reporting Standards and the Companies Act, 1965 in Malaysia so as to give a true and fair view of the financial position of the Association as at 31 August 2011 and of its financial performance and cash flows for the year then ended.

Report on other legal and regulatory requirements In accordance with the requirements of the Companies Act, 1965 in Malaysia, we also report that in our opinion, the accounting and other records and the registers required by the Act to be kept by the Association have been properly kept in accordance with the provisions of the Act.

Other matters This report is made solely to the members of the Association, as a body, in accordance with Section 174 of the Companies Act, 1965 in Malaysia and for no other purpose. We do not assume responsibility to any other person for the content of this report.

Ernst & Young Loke Siew Heng AF: 0039 No. 2871/07/13(J) Chartered Accountants Chartered Accountant Kuala Lumpur, Malaysia 24 November 2011

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Statement of comprehensive income for the year ended 31 August 2011

2011

2010

RM

RM

4

54,735,083

53,267,486

5

7,940,330

8,464,012

62,675,413

61,731,498

(58,040,781)

(53,304,875)

(6,359,096)

(5,774,196)

Note

Revenue Other income

Administrative expenses Other expenses

(1,724,464) (Deficit)/surplus before finance cost

2,652,427

(324,099)

(381,185)

(2,048,563) 6 (Deficit)/surplus before taxation

2,271,242

(227,590)

(186,305)

(2,276,153)

2,084,937

Finance costs Taxation (Deficit)/surplus for the year, representing

8

total comprehensive (deficit)/surplus for the year

The accompanying notes form an integral part of the financial statements.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

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Statement of financial position as at 31 August 2011

Note Non-current asset Property, plant and equipment Current assets Inventories Other receivables Prepayments Cash and bank balances Total assets

2011

2010

RM

RM

2009 RM

Restated

Restated

9

58,842,183

53,023,999

50,085,285

10 11

623,088 1,909,970 658,803 38,172,169 41,364,030 100,206,213

536,036 2,320,162 659,670 33,271,955 36,787,823 89,811,822

515,081 1,595,765 1,369,204 28,211,248 31,691,298 81,776,583

17

45,720,460 (3,839,609) 41,880,851

42,793,973 (1,563,456) 41,230,517

40,115,478 (3,648,393) 36,467,085

15 14

2,402,371 531,014 2,933,385

3,050,226 538,248 3,588,474

3,651,410 511,748 4,163,158

13 14

29,639,689 114,846 39,512 9,418,446 16,179,484 55,391,977 58,325,362 100,206,213

18,175,476 75,893 58,992 9,454,119 17,228,351 44,992,831 48,581,305 89,811,822

15,347,141 82,338 34,769 10,211,422 15,470,670 41,146,340 45,309,498 81,776,583

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Equity and liabilities Equity attributable to members of the Association

Members accumulated funds Income and expenditure account Total equity Non-current liabilities Loans and borrowings Retirement benefits Current liabilities Other payables Retirement benefits Tax payable Loans and borrowings Parents’ deposits

Total liabilities Total equity and liabilities

15 18

The accompanying notes form an integral part of the financial statements.

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


The Alice Smith Schools Association (Company No. 1923-A)

(Limited by Guarantee)

Statement of changes in equity for the year ended 31 August 2011

Building fund

Debenture redemption reserve

General reserve

Sinking fund

(Note 17) RM

(Note 17) RM

(Note 17) RM

(Note 17) RM

39,175,623 155,700 3,166,755 Additions during the year Withdrawals during the year Transfer from surplus for the year 42,342,378 155,700 At 31 August 2010 2,926,487 Additions during the year Transfer from deficit for the year 45,268,865 155,700 At 31 August 2011

247,115 -

At 1 September 2009

The accompanying notes form an integral part of the financial statements.

Income and expenditure account

Total

RM

RM

537,040 (488,260) -

(3,648,393) 2,084,937

36,467,085 3,166,755 (488,260) 2,084,937

247,115 -

48,780 -

(1,563,456) (2,276,153)

41,230,517 2,926,487 (2,276,153)

247,115

48,780

(3,839,609)

41,880,851

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Statement of cash flows for the year ended 31 August 2011

2011 RM

2010 RM

Restated

Cash flows from operating activities (Deficit)/surplus before taxation Adjustments for: Depreciation of property, plant and equipment Interest expense Bad debts written off (Gain)/loss on disposal of property, plant and equipment Provision for retirement benefits Interest income Operating surplus before working capital changes Inventories Receivables Payables Cash generated from operations Taxes paid Retirement benefits paid Interest paid Net cash generated from operating activities

(2,048,563)

2,271,242

4,794,538 253,469 (81,818) 110,580 (941,132) 2,087,074 (87,052) 411,059 11,464,213 13,875,294 (247,070) (78,861) (253,469) 13,295,894

4,222,223 296,778 22,788 1,473 102,393 (794,436) 6,122,461 (20,955) (37,651) 2,828,335 8,892,190 (162,082) (82,338) (296,778) 8,350,992

140,127 (10,671,031) 941,132 (9,589,772)

93,424 (7,255,834) 794,436 (6,367,974)

(1,048,867) (683,528) 2,926,487 (81,000) 1,113,092

1,757,681 (800,612) (557,875) 3,166,755 (488,260) (80,000) 2,997,689

Cash flows from investing activities

Proceeds from disposal of property, plant and equipment Purchase of property, plant and equipment (Note (a)) Interest received Net cash used in investing activities

Cash flows from financing activities Parents’ deposits, net of refunds Term loans refunded Repayment of long term loans Building fund Sinking fund Placement of fixed deposit pledged Net cash generated from financing activities

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The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Statement of cash flows for the year ended 31 August 2011 (cont’d)

2011 RM

Net increase in cash and cash equivalents 4,819,214 Cash and cash equivalents at the beginning of the year 33,071,955 Cash and cash equivalents at 37,891,169 the end of the year (Note 12) Note (a) Acquisition of the property, plant and equipment comprises: 2011 RM Cash 8,814,001 Payables 1,857,030 10,671,031

2010 RM

Restated 4,980,707 28,091,248 33,071,955

2010 RM 6,299,615 956,219 7,255,834

The accompanying notes form an integral part of the financial statements.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

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Notes to the financial statements 31 August 2011

1. Corporate information

The principal activity of the Association is the provision of a British Education in an international context. There has been no significant change in the nature of this activity during the financial year.

The Association is limited by guarantee and is incorporated and domiciled in Malaysia. The registered office and principal place of business of the Association is located at No. 2, Jalan Bellamy, 50460 Kuala Lumpur.

The number of employees in the Association employed during the year was 318 (2010: 311).

The financial statements were authorised for issue by the Board of Governors in accordance with a resolution of the Governors on 24 November 2011.

2. Summary of significant accounting policies

2.1 Basis of preparation The financial statements have been prepared under the historical cost convention unless otherwise indicated in the accounting policies below and comply with the provisions of the Companies Act, 1965 and applicable Financial Reporting Standards (“FRS”) in Malaysia as described fully in Note 2.2. The financial statements are presented in Ringgit Malaysia (RM). 2.2 Changes in accounting policies The accounting policies adopted are consistent with those of the previous year except as follows:

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On 1 September 2010, the Association adopted the following new and amended FRS and IC Interpretations mandatory for annual financial periods beginning on or after 1 January 2010.

Effective for financial periods beginning on or after 1 January 2010 • • • • •

FRS FRS FRS FRS FRS

7 Financial Instruments: Disclosures 8 Operating Segments 101 Presentation of Financial Statements (Revised) 123 Borrowing Costs 139 Financial Instruments: Recognition and Measurement

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d)

2.2 Changes in accounting policies (cont’d)

Effective for financial periods beginning on or after 1 January 2010 (cont’d) • Amendments to FRS 1 First-time Adoption of Financial Reporting Standards and FRS 127 Consolidated and Separate Financial Statements: Cost of an Investment in a Subsidiary, Jointly Controlled Entity or Associate • Amendments to FRS 2 Share-based Payment: Vesting Conditions and Cancellations • Amendments to FRS 132 Financial Instruments: Presentation • Amendments to FRS 139 Financial Instruments: Recognition and Measurement, FRS 7 Financial Instruments: Disclosures and IC Interpretation 9 Reassessment of Embedded Derivatives • Improvements to FRS issued in 2009 • IC Interpretation 9 Reassessment of Embedded Derivatives • IC Interpretation 10 Interim Financial Reporting and Impairment • IC Interpretation 11 FRS 2 – Group and Treasury Share Transactions • IC Interpretation 13 Customer Loyalty Programmes • IC Interpretation 14 FRS 119 – The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction

Effective for financial periods beginning on or after 1 March 2010: • Amendments to FRS 132: Classification of Right Issues

Effective for financial periods beginning on or after 1 July 2010: • • • • • • • • • • •

FRS 1 First-time Adoption of Financial Reporting Standards FRS 3 Business Combinations (Revised) Amendments to FRS 2 Share-based Payment Amendments to FRS 5 Non-current Assets Held for Sale and Discontinued Operations Amendments to FRS 127 Consolidated and Separate Financial Statements Amendments to FRS 138 Intangible Assets Amendments to IC Interpretation 9 Reassessment of Embedded Derivatives IC Interpretation 12 Service Concession Arrangements IC Interpretation 15 Agreements for the Construction of Real Estate IC Interpretation 16 Hedges of a Net Investment in a Foreign Operation IC Interpretation 17 Distributions of Non-cash Assets to Owners

FRS 4 Insurance Contracts and TR i-3 Presentatation of Financial Statements of Islamic Financial Institutions will also be effective for annual periods beginning on or after 1 January 2010. These FRS are, however, not applicable to the Association.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

20


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.2 Changes in accounting policies (cont’d) Adoption of the above standards and interpretations did not have effect on the financial performance or position of the Association except for those discussed below. FRS 7 Financial Instruments: Disclosures Prior to 1 September 2010, information about financial instruments were disclosed in accordance with the requirements of FRS 132 Financial Instruments: Disclosure and Presentation. FRS 7 introduces new disclosures to improve the information about financial instruments. It requires the disclosure of qualitative and quantitative information about exposure to risks arising from financial instruments, including specified minimum disclosures about credit risk, liquidity risk and market risk, including sensitivity analysis to market risk. The Association has applied FRS 7 prospectively in accordance with the transitional provisions. Hence, the new disclosures have not been applied to the comparatives. The new disclosures are included throughout the Association’s financial statements for the year ended 31 August 2011. Amendments to FRS 117 Leases The amendments to FRS 117 requires entity with existing leases and of land and building (combined) to reassess the classification of land as a finance or operating leases. The Association has reassessed and determined that all leasehold land of the Association are in substance finance leases and has reclassified the leasehold land to property, plant and equipment. These changes in presentation have been applied retrospectively and have no impact on the Association’s financial statements. The following comparatives figures have been restated.

21

Effect of As Amendment previously to FRS 117 (Leases) stated RM RM Statement of financial position as at 31 August 2009 Non-current assets 35,293,069 14,792,216 Property, plant and equipment 14,792,216 (14,792,216) Prepaid land lease payments

As restated RM

50,085,285 -

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.2 Changes in accounting policies (cont’d) Amendments to FRS 117 Leases (cont’d)

Effect of As Amendment previously to FRS 117 (Leases) stated

RM

As restated

RM

RM

Statement of financial position as at 31 August 2010 Non-current assets Property, plant and equipment 38,407,486 14,616,513 Prepaid lease payments 14,616,513 (14,616,513)

53,023,999 -

FRS 101 Presentation of Financial Statements (Revised) The revised FRS 101 introduces changes in the presentation and disclosures of financial statements. The revised Standard seperates owner and non-owner changes in equity. The statement of changes in equity includes only details of transactions with owners, with all non-owner changes in equity presented as a single line. The Standard also introduces the statement of comprehensive income, with all items of income and expense recognised directly in equity, either in one single statement, or in two linked statements.The Association has elected to present this statement as one single statement.

The revised FRS 101 was adopted retrospectively by the Association.

FRS 139 establishes principles for recognising the measuring financial assets, financial liabilities and some contracts to buy and sell non-financial items. The Association has adopted FRS 139 prospectively on 1 January 2010 in accordance with the transitional provisions. The effects arising from the adoption of this Standard has been accounted for by adjusting the opening balance of retained earnings as at 1 January 2010. Comparatives are not restated. The details of the changes in accounting policies and the effects arising from the adoption of FRS 139 are discussed below:

FRS 139 Financial Instruments: Recognition and Measurement

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

22


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.2 Changes in accounting pol icies (cont’d) FRS 139 Financial Instruments: Recognition and Measurement (cont’d) • Impairment of trade receivables Prior to 1 September 2010, provision for doubtful debts were recognised when it was considered uncollectible. Upon the adoption of FRS 139, an impairment loss is recognised when there is objective evidence that an impairment loss has been incurred. The amount of the loss is measured as the difference between the receivable’s carrying amount and the present value of the estimated future cash flows discounted at the receivable’s original effective interest rate. As at 1 September 2010, the Association has remeasured the allowance for impairment losses as at that date in accordance with FRS 139. There is no effect on the financial performance or position of the Association. The Association has not adopted the following standards and interpretations that have been issued but not yet effective: Effective for financial periods beginning on or after 1 January 2011: • Amendments to FRS 1: Limited Exemption from Comparative FRS 7 Disclosures for First-time Adopters • Amendments to FRS 1: Additional Exemptions for First-time Adopters • Amendments to FRS 1: First-time Adoption of Financing Reporting Standards [Improvements to FRS (2010)] • Amendments to FRS 2: Group Cash-settled Share-based Payment Transactions • Amendments to FRS 3: Business Combinations [Improvements to FRS (2010)] • Amendments to FRS 7: Improving Disclosures about Financial Instruments • Amendments to FRS 7: Financial Instruments: Disclosures [Improvement to FRS (2010)] • Amendments to FRS 101: Presentation of Financial Statements [Improvements to FRS (2010)] • Amendments to FRS 121: The Effects of Changes in Foreign Exchange Rates [Improvements to FRS (2010)] • Amendments to FRS 128: [Imp rovements to FRS (2010)] • Amendments to FRS 134: Interim Financial Reporting [Improvements to FRS (2010)] • Amendments to FRS 139: Financial Instruments: Recognition and Measurement [Improvements to FRS (2010)] • IC Interpretation 4: Determining whether an Arrangement contains a Lease

23

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d)

2.2 Changes in accounting policies (cont’d)

Effective for financial periods beginning on or after 1 January 2011 (cont’d):

• Amendments to IC Interpretation 13: Customer Loyalty Programme [Improvements to FRS (2010)] • IC Interpretation 18: Transfer of Assets from Customers

Effective for financial periods beginning on or after 1 July 2011:

• Amendments to IC Interpretation 14: Prepayments of a Minimum Funding Requirement • IC Interpretation 19: Extinguishing Financial Liabilities with Equity Instruments

• IC Interpretation 15: Agreements for Construction of Real Estate • Amendments to FRS 124: Related Party Disclosure

Effective for financial periods beginning on or after 1 January 2012:

The governors expect that the adoption of the standards and interpretations above will have no material impact on the financial statements in the period of initial recognition.

2.3 Property, plant and equipment

All items of property, plant and equipment are initially recorded at cost. Subsequent costs are included in the carrying amount of the asset 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 Association and the cost of the item can be measured reliably. The carrying amount of the replaced part is derecognised. All other repairs and maintenance are charged to the income and expenditure account during the financial period in which they are incurred.

Freehold land has an unlimited useful life and therefore is not depreciated. Depreciation of other property, plant and equipment is provided for on a straight-line basis over the estimated useful lives of the assets as follows:

The estimated useful lives are as follows: New school buildings 50 years Jalan Bellamy’s old school buildings and swimming pool 50 years Air-conditioning plant 8 years Motor vehicles 5 years Computers 3 years Office equipment 3 years

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

24


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d)

2.3 Property, plant and equipment (cont’d)

The estimated useful lives are as follows (cont’d): Cabins 3 years Old school furniture and equipment 1 year New school furniture and equipment 3 years Kitchen equipment 3 years Pumps and equipment 5 years Security features 5 years

Assets under construction included in property, plant and equipment are not depreciated as these assets are not yet available for use.

The carrying values of property, plant and equipment are reviewed for impairment when events or changes in circumstances indicate that the carrying value may not be recoverable.

An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected from its use or disposal. The difference between the net disposal proceeds, if any and the net carrying amount is recognised in income and expenditure account.

2.4 Land use right

2.5 Impairment of non-financial assets

The Association assesses at each reporting date whether there is an indication that an asset may be impaired. If any such indication exists, or when an annual impairment assessment for an asset is required, the Association makes an estimate of the asset’s recoverable amount.

An asset’s recoverable amount is the higher of an asset’s fair value less costs to sell and its value in use. For the purpose of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (cash-generating units (“CGU”)).

In assessing value in use, the estimated future cash flows expected to be generated by the asset are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. Where the carrying amount of an asset exceeds its recoverable amount, the asset is written down to its recoverable amount.

25

Land use rights are initially measured at cost. Following initial recognition, land use rights are measured at cost less accumulated amortisation and accumulated impairment losses. The land use rights are amortised over their lease terms.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.5 Impairment of non-financial assets (cont’d) Impairment losses are recognised in income and expenditure account except for assets that are previously revalued where the revaluation was taken to other comprehensive income. In this case the impairment is also recognised in other comprehensive income up to the amount of any previous revaluation. An assessment is made at each reporting date as to whether there is any indication that previously recognised impairment losses may no longer exist or may have decreased. A previously recognised impairment loss is reversed only if there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognised. If that is the case, the carrying amount of the asset is increased to its recoverable amount. That increase cannot exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognised previously. Such reversal is recognised in income and expenditure account unless the asset is measured at revalued amount, in which case the reversal is treated as a revaluation increase. 2.6 Financial assets Financial assets are recognised in the statements of financial position when, and only when, the Association become a party to the contractual provisions of the financial instrument.

When financial assets are recognised initially, they are measured at fair value, plus, in the case of financial assets not at fair value through income and expenditure account, directly attributable transaction costs.

The Association determine the classification of their financial assets at initial recognition, and the categories include financial assets at fair value through the income and expenditure account, loans and receivables, held-to-maturity investments and available-for-sale financial assets.

Loans and receivables

Financial assets with fixed or determinable payments that are not quoted in an active market are classified as loans and receivables.

Loans and receivables are classified as current assets, except for those having maturity dates later than 12 months after the reporting date which are classified as non-current.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

26


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.7 Cash and cash equivalents Cash and cash equivalents comprise cash at bank and on hand, demand deposits, and short-term, highly liquid investments that are readily convertible to known amount of cash and which are subject to an insignificant risk of changes in value. These also include bank overdrafts that form an integral part of the Association’s cash management.

2.8 Inventories

Inventories which comprise uniforms, stationery and bags are stated at the lower of cost and net realisable value and is determined on a first-in first-out basis. 2.9 Provisions

Provisions are recognised when the Association has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of economic resources will be required to settle the obligation and the amount of the obligation can be estimated reliably.

Provisions are reviewed at each reporting date and adjusted to reflect the current best estimate. If it is no longer probable that an outflow of economic resources will be required to settle the obligation, the provision is reversed. If the effect of the time value of money is material, provisions are discounted using a current pre tax rate that reflects, where appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

2.10 Financial liabilities

Financial liabilities are classified according to the substance of the contractual arrangements entered into and the definitions of a financial liability.

Financial liabilities, within the scope of FRS 139, are recognised in income and expenditure account when, and only when, the Association become a party to the contractual provisions of the financial instrument. Financial liabilities are classified as either financial liabilities at fair value through income and expenditure account or other financial liabilities.

Other financial liabilities The Association other financial liabilities include trade payables, other payables and loans and borrowings.

27

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d)

2.10 Financial liabilities (cont’d)

Other financial liabilities (cont’d) Trade and other payables are recognised initially at fair value plus directly attributable transaction costs and subsequently measured at amortised cost using the effective interest method.

Loans and borrowings are recognised initially at fair value, net of transaction costs incurred, and subsequently measured at amortised cost using the effective interest method. Borrowings are classified as current liabilities unless the Association has an unconditional right to defer settlement of the liability for at least 12 months after the reporting date.

For other financial liabilities, gains and losses are recognised in income and expenditure account when the liabilities are derecognised, and through the amortisation process.

A financial liability is derecognised when the obligation under the liability is extinguished. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a derecognition of the original liability and the recognition of a new liability, and the difference in the respective carrying amounts is recognised in income and expenditure account.

2.11 Borrowing costs All other borrowing costs are recognised in income and expenditure account in the period they are incurred. Borrowing costs consist of interest and other costs that the Association incurred in connection with the borrowing of funds. 2.12 Employee benefits (a) Defined contribution plans The Association participates in the national pension schemes as defined by the laws of the countries in which it has operations. The Association make contributions to the Employee Provident Fund in Malaysia, a defined contribution pension scheme. Contributions to defined contribution pension schemes are recognised as an expense in the period in which the related service is performed.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

28


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.12 Borrowing costs (cont’d) (b) Employee benefits (cont’d)

The Association operates an unfunded, defined benefit Retirement Benefit Scheme (“the Scheme”) for its eligible employees. The Association’s obligation under the Scheme, calculated using the Projected Unit Credit Method, is determined based on triennial actuarial computations by independent actuaries, through which the amount of benefit that employees have earned in return for their service in the current and prior years is estimated. That benefit is discounted in order to determine its present value.

Actuarial gains and losses are recognised as income or expense over the expected average remaining working lives of the participating employees when the cumulative unrecognised actuarial gains or losses for the Scheme exceed 10% of the higher of the present value of the defined benefit obligation and the fair value of plan assets. Past service costs are recognised immediately to the extent that the benefits are already vested, and otherwise are amortised on a straight-line basis over the average period until the amended benefits become vested.

(c) Termination benefits

29

Termination benefits are payable when employment is terminated before the normal retirement date or whenever an employee accepts voluntary redundancy in exchange for these benefits. The Association recognises termination benefits as a liability or expense when it is demonstrably committed to either terminate the employment of current employees according to a detailed plan without possibility of withdrawal or providing termination benefits as a result of an offer made to encourage voluntary redundancy, the measurement of termination benefits is based on the number of employees expected to accept the offer. Benefits falling due more than twelve months after the balance sheet date are discounted to present value.

2.13 Leases

Operating lease payments are recognised as an expense in income and expenditure account on a straight-line basis over the lease term. The aggregate benefit of incentives provided by the lessor is recognised as a reduction of rental expense over the lease term on a straight-line basis.

Amortisation of leasehold land ranges between 95 to 99 years.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.14 Revenue Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Association and the revenue can be reliably measured. Revenue is measured at the fair value of consideration received or receivable. Revenue represents tuition fees received and receivable net of discount.

2.15 Income taxes

(a) Current taxes

Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted by the reporting date.

Current taxes are recognised in income and expenditure account except to the extent that the tax relates to items recognised outside income and expenditure account, either in other comprehensive income or directly in equity. (b) Deferred tax Deferred tax is provided using the liability method on temporary differences at the reporting date between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes. Deferred tax liabilities are recognised for all temporary differences, except: -

where the deferred tax liability arises from the initial recognition of goodwill or of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss; and

-

in respect of taxable temporary differences associated with investments in subsidiaries, associates and interests in joint ventures, where the timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences will not reverse in the foreseeable future.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

30


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.15 Income taxes (cont’d) (b) Deferred tax (cont’d) Deferred tax assets are recognised for all deductible temporary differences, carry forward of unused tax credits and unused tax losses, to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, and the carry forward of unused tax credits and unused tax losses can be utilised except: - where the deferred tax asset relating to the deductible temporary difference arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss; and - in respect of deductible temporary differences associated with investments in subsidiaries, associates and interests in joint ventures, deferred tax assets are recognised only to the extent that it is probable that the temporary differences will reverse in the foreseeable future and taxable profit will be available against which the temporary differences can be utilised.

31

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Unrecognised deferred tax assets are reassessed at each reporting date and are recognised to the extent that it has become probable that future taxable profit will allow the deferred tax assets to be utilised.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the year when the asset is realised or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted at the reporting date.

Deferred tax relating to items recognised outside income and expenditure account is recognised outside income and expenditure account. Deferred tax items are recognised in correlation to the underlying transaction either in other comprehensive income or directly in equity and deferred tax arising from a business combination is adjusted against goodwill on acquisition.

Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

2. Summary of significant accounting policies (cont’d) 2.16 Foreign currencies (a) Functional and presentation currency The financial statements of the Association are measured using the currency of the primary economic environment in which the entity operates (“the functional currency”). The financial statements are presented in Ringgit Malaysia (RM), which is also the Association’s functional currency.

(b) Foreign currency transactions

Transactions in foreign currencies are recorded in Ringgit Malaysia at the rates of exchange ruling at the date of transaction or at contracted rates and where settlement has not taken place at the balance sheet date, at the approximate rates ruling at that date or at contracted rates, as applicable. All exchange differences are dealt with in the income and expenditure account.

3. Significant accounting judgements and estimates

3.1 Judgements made in applying accounting policies

There are no critical judgements made by management in the process of applying the Association’s accounting policies that have the most significant effect on the amounts recognised in the financial statements.

3.2 Key sources of estimation uncertainty

The key assumptions concerning the future and other key sources of estimation uncertainty at the balance sheet date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

(a) Useful lives of property, plant and equipment

The useful lives and residual values of the components of property, plant and equipment are also estimated based on common life expectancies and commercial factors applied in the industry. Changes in the expected level of usage and technological developments could impact the economic useful lives and the residual values of these assets, therefore future depreciation charges could be revised.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

32


Notes to the financial statements (cont’d) 31 August 2011

3. Significant accounting judgements and estimates (cont’d) 3.2 Key sources of estimation uncertainty (cont’d) (b) Income taxes Significant estimation is involved in determining the Association’s provision for income taxes. There are certain transactions and computations for which the ultimate tax determination is uncertain during the ordinary course of business. The Association recognises liabilities for expected tax issues based on estimates of whether additional taxes will be due. Where the final tax outcome of these matters is different from the amounts that were initially recognised, such differences will impact the income tax and deferred tax provisions in the period in which such determinations are made.

4. Revenue

Revenue represents tuition fees received and receivable net of discount.

Tuition fees Less: Discounts

2011

2010

RM

RM

58,619,682 (3,884,599) 54,735,083

56,715,021 (3,447,535) 53,267,486

2011

2010

RM

RM

5. Other income

Other operating income comprises: 8,200 4,100 Entrance fees 5,493,210 5,899,000 Enrolment fees 574,319 514,335 Application fees 941,132 794,436 Interest income 566,119 873,230 Forfeited deposits 104,564 29,179 Penalty on tuition fees 252,786 349,732 Sundry receipts 7,940,330 8,464,012

33

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

6. (Deficit)/surplus before taxation

2011

2010

RM RM This is arrived at after charging: 30,000 21,000 Auditors’ remuneration 4,794,538 4,222,223 Depreciation of property, plant and equipment (Note 9) 253,469 296,778 Interest expense on term loan 43,956,100 Employee Benefit Expenses (Note 7) 47,608,193 80,030 84,240 Rental of land 22,788 Bad debts written off (81,818) 1,473 (Gain)/loss on disposal of property, plant and equipment

7. Employee benefits expense

Salaries Social security costs Pension costs - defined contributions plans Pension cost - defined benefit plan Other staff related expenses 8. Taxation

2011

2010

RM

RM

31,574,673 78,869 5,142,860 110,580 10,701,211 47,608,193

28,665,509 74,620 4,737,389 102,393 10,376,189 43,956,100

2011

2010

RM

RM

233,019 (5,429) 227,590

197,521 (11,216) 186,305

Malaysian income tax Tax expense for the year Overprovision in prior years

The Association was granted income tax exemption pursuant to Income Tax Exemption (No. 20) Order 2006, of the Income Tax Act, 1967. Accordingly, the Association is exempted from the income tax in respect of business income arising from the provisions of education services.

Provision for taxation during the year is in respect of tax on interest income.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

34


Notes to the financial statements (cont’d) 31 August 2011

8. Taxation (cont’d)

The Association’s tax payable is based on the scale tax rate, pursuant to Section 53 of Income Tax Act, 1967.

A reconciliation of income tax expense applicable to (deficit)/surplus before taxation at the statutory income tax rate to income tax expense at the effective income tax rate of the Association is as follows:

2011

2010

RM

RM

2,271,242 (Deficit)/surplus before taxation (2,048,563) Taxation at Malaysian statutory tax rate of 26% (532,626) 590,523 (2010: 26%) (9,032) Effects of scaled tax rates (11,675) 290,897 252,806 Expenses not deductible for tax purposes (437,812) Income not subject to tax 486,423 Deferred tax assets not recognised Utilisation of previously unrecognised temporary (198,964) differences arising from others (5,429) (11,216) Overprovision in prior years 227,590 186,305 Tax expense for the year Deferred tax assets have not been recognised in respect of the following items: 1,538,325 Unabsorbed capital allowance 378,826 711,360 Others 2,249,685 378,826

35

The unabsorbed capital allowance of the Association is available for offset against future profits subject to guidelines issued by the tax authority.

Deferred tax assets have not been recognised in respect of the above item as it is not probable that future taxable profits will be available against which they may be utilised.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements

(cont’d)

31 August 2011

9. Property, plant and equipment

Cost

Freehold land RM

RM

RM

At 1 September 2009 1,231,436 43,239,801 As previously stated Change in accounting - 16,782,323 policy 1,231,436 43,239,801 16,782,323 As restated - 2,034,240 Additions (98,900) Disposals At 31 August 2010 1,231,436 45,175,141 16,782,323 (restated)

Office School Long term Airequipment Capital furniture School leasehold conditionand Motor and Swimming Other Security work-in buildings land ing plant vehicles computers equipment pool equipment features progress

At 1 September 2010 1,231,436 45,175,141 As previously stated Change in accounting - 16,782,323 policy 1,231,436 45,175,141 16,782,323 As restated - 6,649,249 Additions Disposals 45,420 Transfer 1,231,436 51,869,810 16,782,323 At 31 August 2011

RM

Total

RM

RM

RM

RM

RM

RM

RM

RM

2,439,728

846,525

6,347,974

8,665,884

361,065

708,862

920,659

- 64,761,934

2,439,728 284,550 -

846,525 -

6,347,974 3,489,557 (25,890)

8,665,884 1,118,307 -

361,065 -

708,862 116,550 -

920,659 -

- 16,782,323 - 81,544,257 212,630 7,255,834 - (124,790)

2,724,278

846,525

9,811,641

9,784,191

361,065

825,412

920,659

212,630 88,675,301

2,724,278

846,525

9,811,641

9,784,191

361,065

825,412

920,659

212,630 71,892,978

2,724,278 846,525 223,005 261,615 - (141,545) 2,947,283 966,595

9,811,641 2,372,543 (105,082) 12,079,102

9,784,191 1,162,972 (8,300) 10,938,863

361,065 361,065

825,412 1,647 827,059

920,659 920,659

- 16,782,323 212,630 88,675,301 10,671,031 - (254,927) (45,420) 167,210 99,091,405

36


37 Notes to the financial statements

(cont’d)

31 August 2011

9. Property, plant and equipment (cont’d) Freehold land

At 1 September 2009 As previously stated Change in accounting policy As restated Charge for the year (Note 6) Disposals At 31 August 2010 (restated)

At 1 September 2010 As previously stated Change in accounting policy As restated Charge for the year (Note 6) Disposals At 31 August 2011

Office School equipment furniture Capital Motor and and Swimming Other Security work-in vehicles computers equipment pool equipment features progress

Total

RM

RM

RM

RM

RM

RM

RM

RM

RM

- 11,922,382

-

2,113,996

663,170

5,259,093

7,966,850

312,653

678,325

552,396

- 29,468,865

- 11,922,382 795,370 (21,263) -

1,990,107 1,990,107 175,703 -

2,113,996 94,469 -

663,170 83,112 -

5,259,093 1,931,395 (8,630)

7,966,850 919,582 -

312,653 1,030 -

678,325 37,430 -

552,396 184,132 -

- 1,990,107 - 31,458,972 - 4,222,223 (29,893) -

- 12,696,489

2,165,810

2,208,465

746,282

7,181,858

8,886,432

313,683

715,755

736,528

- 35,651,302

- 12,696,489

-

2,208,465

746,282

7,181,858

8,886,432

313,683

715,755

736,528

- 33,485,492

- 12,696,489 924,100 - 13,620,589

2,165,810 2,165,810 174,166 2,339,976

2,208,465 746,282 115,774 122,091 - (141,545) 2,324,239 726,828

7,181,858 2,202,438 (48,944) 9,335,352

8,886,432 1,032,920 (6,129) 9,913,223

313,683 1,030 314,713

715,755 37,888 753,643

736,528 184,131 920,659

- 2,165,810 - 35,651,302 - 4,794,538 (196,618) - 40,249,222

RM

Accumulated depreciation

AirLong term School leasehold conditioning buildings plant land

RM

RM

Net carrying amount

At 31 August 2009

1,231,436 31,317,419 14,792,216

325,732

183,355

1,088,881

699,034

48,412

30,537

368,263

- 50,085,285

At 31 August 2010

1,231,436 32,478,652 14,616,513

515,813

100,243

2,629,783

897,759

47,382

109,657

184,131

212,630 53,023,999

At 31 August 2011

1,231,436 38,249,221 14,442,347

623,044

239,767

2,743,750

1,025,640

46,352

73,416

-

167,210 58,842,183


Notes to the financial statements (cont’d) 31 August 2011

9. Property, plant and equipment (cont’d) Other equipment comprise pumps and kitchen equipment at net book value amounting to RM70,301 (2010: RM102,396) and RM3,115 (2010: RM7,261) respectively.

10. Inventories

Inventories which comprise uniforms, stationery and bags are stated at the lower of cost and net realisable value and is determined on a first-in first-out basis.

2011

11. Other receivables

2010

RM 795,135 Receivables 529,350 Advances to teachers 585,485 Sundry deposits 1,909,970 Total receivable

RM 631,215 504,140 1,184,807 2,320,162

1,909,970 Total receivables Add: Cash and cash equivalents (Note 12) 37,891,169 39,801,139 Total loans and receivables

2,320,162 33,071,955 35,392,117

The Association’s normal credit term granted to students is 30 (2010: 30) days. The advances given to the teachers are repayable upon demand.

The Association has no significant concentration of credit risk that may arise from exposures to a single debtor or to groups of debtors.

2011

2010

RM

RM

1,891,169 Cash on hand and at banks Short term deposits with licensed banks 36,281,000 38,172,169 Cash and bank balances (281,000) Less: Fixed deposit pledged 37,891,169 Cash and cash equivalents

871,955 32,400,000 33,271,955 (200,000) 33,071,955

A fixed deposit of RM281,000 (2010: RM200,000) has been pledged to a bank for certain bank facilities.

12. Cash and cash equivalents

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

38


Notes to the financial statements (cont’d) 31 August 2011

12. Cash and cash equivalents (cont’d) The deposits placed with licensed banks bear interest rates ranging from 2.30% to 3.05% (2010: 1.95% to 2.80%) per annum. Average fixed deposits placement is from 30 to 180 (2010: 30 to 180) days.

13. Other payables

2011

2010

RM

RM

22,347,368 School fees in advance 1,732,926 Accruals 5,559,395 Sundry payables 29,639,689 Total payables 29,639,689 Total payables Add: Loans and borrowings (Note 15) 11,820,817 Total financial liabilities carried at 41,460,506

12,199,781 894,166 5,081,529 18,175,476

18,175,476 12,504,345 30,679,821

amortised costs

The normal credit terms granted to the Association range from 30 to 90 (2010: 30 to 90 days).

14. Retirement benefits The amounts recognised in the balance sheet are determined as follows: 2011 2010 RM RM 614,141 Present value of unfunded defined benefits obligations 645,860 Analysed as: 114,846 75,893 Current Non-current: 12,938 33,362 Later than 1 year but not later than 2 years 115,084 79,739 Later than 2 years but not later than 5 years 402,992 425,147 Later than 5 years 531,014 538,248 645,86 614,141

39

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

14. Retirement benefits (cont’d)

The amounts recognised in the income statements are as follows: 2011 2010 RM RM 69,422 65,071 Current service cost 41,158 37,322 Interest cost 102,393 Total, included in employee benefits expense 110,580 Movements in the net liability in the current year were as follows: 2011 2010 RM RM At 1 January Provision for the year Benefits paid At 31 December Principal actuarial assumptions used: Discount rate Expected rate of salary increases

15. Loans and borrowings Short term borrowings Secured: Term financing (Note 16) Unsecured: Parents’ loans (Note 19) Total: Term financing (Note 16) Parents’ loan (Note 19)

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

614,141 110,580 (78,861) 645,860

594,086 102,393 (82,338) 614,141

6.75% 6.75% 5.00% 5.00%

2011

2010

RM

RM

647,855

601,184

8,770,591

8,852,935

647,855 8,770,591 9,418,446

601,184 8,852,935 9,454,119

40


Notes to the financial statements (cont’d) 31 August 2011

15. Loans and borrowings (cont’d)

2011 RM Long term borrowings Secured: Term financing (Note 16) 2,402,371 Total borrowings: Term financing (Note 16) 3,050,226 Parents’ loans (Note 19) 8,770,591 11,820,817 Analysed as: Due within 12 months 9,418,446 Due after 12 months 2,402,371 11,820,817

16. Term financing

41

RM

3,050,226

3,651,410 8,852,935 12,504,345

9,454,119 3,050,226 12,504,345

2011 RM Secured: Term loan (Note 15) 3,050,226 Less: Amount due within 12 months (Note 15) (647,855) 2,402,371 Term financing is further disclosed as follows: Within one year 647,855 More than 1 year and less than 2 years 698,150 More than 2 years and less than 5 years 1,704,221 More than 5 years 3,050,226

2010

2010 RM 3,651,410 (601,184) 3,050,226

601,184 647,855 2,261,254 141,117 3,651,410

Term financing is in respect of a ten year fixed rate term loan of RM6,000,000 under the Syariah principle of Al-Bai Bithaman Ajil Term Financing. The loan bears interest at 7.5% per annum calculated on a monthly basis and is to be repaid in 120 monthly instalments of RM71,221 each for a period of 10 years ending 2015. This loan is secured against a piece of land located at HS (D) 10884 PT 39626, Mukim Petaling.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

17. Members accumulated funds 2011 RM Building Fund 206,545 - existing school 44,899,660 - new school 27,310 - tree sponsorship 135,350 - other sponsorship 45,268,865 155,700 Debenture Redemption Reserve 247,115 General Reserve 48,780 Sinking Fund 45,720,460 Total members accumulated funds

2010 RM

206,545 41,973,173 27,310 135,350 42,342,378 155,700 247,115 48,780 42,793,973

Building Fund contributions for the new school are levied per child per term commencing September 1995 and are non-refundable.

The debenture redemption reserve was created on redemption of loan debentures issued to fund the construction of the school building in 1955.

The sinking fund which was created for the purpose of upkeep of school building.

18. Parents’ deposits

Balance as at 1 September Additions during the year Refunds during the year Balance as at 31 August

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

2011

2010

RM

RM

17,228,351 6,421,209 (7,470,076) 16,179,484

15,470,670 5,660,714 (3,903,033) 17,228,351

42


Notes to the financial statements (cont’d) 31 August 2011

19. Other loans (unsecured) 2011 2010

Parents’ loans (Note 15)

RM

RM

8,770,591

8,852,935

Parents’ loans which are interest free and repayable on demand when the child leaves the school are obtained as follows: (a) RM10,000 per child for new intakes from September 1995. (b) RM8,000 per child for new intakes from May 1998. (c) RM5,000 per child for new intakes from September 2008.

20. Operating lease arrangement - Association as lessee

Future minimum rental payments: Not later than 1 year Later than 1 year and not later than 2 years

2010

RM

RM

81,600 44,300

50,830 -

In 2007, the Association entered into a non-cancellable operating lease agreement for the primary campus car parks. The leases were for tenures of 1 to 2 years.

During the previous financial year, the Association has renewed these agreements and these agreements are all cancellable operating lease agreements for the primary campus car parks.

21. Capital commitment

43

2011

Approved and contracted for: Capital expenditure

2011

2010

RM

RM

700,000

5,488,340


Notes to the financial statements (cont’d) 31 August 2011

22. Related party disclosures

(a) Significant related party transactions There were no related party transaction since previous financial years. (b) Compensation of key management personnel The remuneration of key management personnel during the year was as follows:

Wages and salaries Defined contribution plan Benefit-in-kind

2011

2010

RM

RM

2,542,885 351,848 453,279 3,348,012

1,825,513 283,112 269,560 2,378,185

23. Financial instruments Financial risk management objectives and policies The Association is exposed to a variety of financial risks, including interest rate, credit, liquidity and foreign exchange risks. The Association’s overall financial risk management objective is to ensure that the Association creates value for its members while minimising the potential adverse effects on the performance of the Association. The association operates within clearly defined guidelines that are approved by the Council and the Association’s policy is not to engage in speculative transactions. The Board of Governors reviews and agrees policies and procedures for the management of these risks, which are executed by the Finance and Administration Director. (a) Interest rate risk The Association’s primary interest rate risk relates to interest-bearing debts. The investments in financial assets are mainly short term in nature and they are not held for speculative purposes but have been mostly placed in fixed deposits. The Association manages its interest rate exposure by maintaining a fixed rate borrowings. The Association actively reviews its debt portfolio, taking into account the investment holding period and nature of its assets.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

44


Notes to the financial statements (cont’d) 31 August 2011

23. Financial instruments (cont’d)

Financial risk management objectives and policies (cont’d)

(a) Interest rate risk (cont’d)

The information on maturity dates and effective interest rates of financial assets and liabilities are disclosed in Note 12 and Note 16 to the financial statements. (b) Liquidity risk and cash flow

Liquidity risk is the risk that the Association will encounter difficulty in meeting financial obligations due to shortage of funds. The Association’s exposure to liquidity risk arises principally from its various payables, loans and borrowings.

The Association maintains a level of cash and cash equivalents and bank facilities deemed adequate by the management to ensure as far as possible, that it will have sufficient liquidity to meet its liability when they fall due.

Analysis of financial instruments by remaining contractual maturities

The table below summarises the maturity profile of the Association’s liabilities at the reporting date based on contractual undiscounted repayment obligations.

On demand or within one year Financial liabilities Other payables (Note 13) Loans and borrowings Total undiscounted financial liabilities

29,639,689 9,625,244 39,264,933

2011 One to five years

Total

2,706,401 2,706,401

29,639,689 12,331,645 41,971,334

(c) Credit risk Credit risk is the risk of loss that may arise on outstanding financial instruments should a counterparty default on its obligations. The Association’s exposure to credit risk arises primarily from trade and other receivables. For other financial assets such as cash and bank balances, the Association minimise credit risk by dealing with high credit rating counterparties.

45

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

Financial risk management objectives and policies (cont’d)

(c) Credit risk (cont’d)

The Association seeks to invest cash assets safely and profitably. The Association also seeks to control credit risk by setting counterparty limits, obtaining bank guarantees where appropriate; and ensuring that sale of products and services are made to customers with an appropriate credit history, and monitoring customers’ financial standing through periodic review and credit checks at point of sales. The Association considers the risk of material loss in the event of non-performance by a financial counterparty to be unlikely.

At 31 August 2011, the maximum exposure to credit risk for the Association is the carrying amount of each financial asset.

(d) Fair values

Determination of fair value

Financial instruments that are not carried at fair value and whose carrying amount are reasonable approximation of fair value

The following are classes of financial instruments that are not carried at fair value of whose carrying amounts are reasonable approximation of fair value:

Other receivables Loans and borrowings (current) Loans and borrowings (non-current) Other payable

Note 11 15 15 13

The carrying amounts of these financial assets and liabilities are reasonable approximation of fair values, either due to their short-term nature or that they are floating rate instruments that are re-priced to market interest rates on or near the reporting date.

The carrying amount of the current portion of borrowings are reasonable approximations of fair values due to the insignificant impact on discounting.

The fair value of current loans and borrowings are estimated by discounting expected future cash flows at market incremental lending rate for similar types of lending or borrowing arrangements at the reporting date.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

46


Notes to the financial statements (cont’d) 31 August 2011

24. Capital Management

The primary objective of the Association’s capital management is to ensure that it maintains a strong credit rating and healthy capital ratios in order to support its business and maximise members value.

Note

2011

2010

RM 15 11,820,817 Loans and borrowings 18 16,179,484 Parent deposits 13 29,639,689 Other payables (38,172,169) Less: Cash and bank balances 12 19,467,821 Net debt Equity attributable to members of the 41,880,851 Association 61,348,672 Capital and net debts 46% Gearing ratio

RM

12,504,345 17,228,351 18,175,476 (33,271,955) 14,636,217

41,230,517 55,866,734 35%

The Association manages its capital structure and makes adjustments to it, in light of changes in economic conditions. No changes were made in the objectives, policies or processes during the years ended 31 August 2011 and 31 August 2010.

25. Comparatives

The following comparative figures have been reclassified to conform with the current year’s presentation.

As previously stated RM

Statement of financial position as at 31 August 2009 Current assets 2,965,569 Other receivables Prepayments 28,210,648 Cash and bank balances

Reclassification

As restated

RM

RM

(1,369,804) 1,369,204 600

1,595,765 1,369,204 28,211,248

47

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Notes to the financial statements (cont’d) 31 August 2011

25. Comparatives (cont’d)

The following comparative figures have been reclassified to conform with the current year’s presentation (cont’d).

As previously stated Statement of financial position as at 31 August 2009 (cont’d) Current liabilities Borrowings Loans and borrowings Parents’ deposit Non-current liabilities Borrowings Loans and borrowings Parents’ deposit Other loans (unsecured) Statement of financial position as at 31 August 2010 Current assets Other receivables Prepayment Cash and bank balances Current liabilities Borrowings Loans and borrowings Parents’ deposit Non-current liabilities Borrowings Loans and borrowings Parents’ deposit Other loans (unsecured)

Reclassification

As restated

RM

RM

557,875 -

(557,875) 10,211,422 15,470,670

10,211,422 15,470,670

3,651,410 15,470,670 9,653,547

(3,651,410) 3,651,410 (15,470,670) (9,653,547)

3,651,410 -

2,980,432 33,271,355

(660,270) 659,670 600

2,320,162 659,670 33,271,955

601,184 -

(601,184) 9,454,119 17,228,351

9,454,119 17,228,351

3,050,226 17,228,351 8,852,935

(3,050,226) 3,050,226 (17,228,351) (8,852,935)

3,050,226 -

RM

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

48


Notes to the financial statements (cont’d) 31 August 2011

25. Comparatives (cont’d)

The following comparative figures have been reclassified to conform with the current year’s presentation (cont’d).

As previously stated

Reclassification

As restated

RM

RM

RM

600

28,091,248

Statement of cash flows for the year ended 31 August 2010 Cash and cash equivalent at the beginning of the year 28,090,648

49

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Statement of comprehensive income

for the year ended 31 August 2011

2011

2010

RM

RM

54,735,083 Net tuition fees 582,519 Application and entrance fees 5,493,210 Enrolment fees 60,810,812 1,864,601 Other income 62,675,413 Expenditure 47,608,193 Salaries and other related cost 599,487 Professional development 371,116 Recruitment expenses 1,287,672 Repair and maintenance 261,724 Insurance premium 1,853,986 Electricity, water and telephone 530,651 Quit rent and assessment 623,465 School van expenses and other overheads 285,471 General administration expenses 4,794,538 Depreciation Loss on disposal of property, plant and equipment 324,099 Financial cost 417,526 Marketing expenses 1,071,861 IT expenses 3,252,507 Teaching materials Bus transportation 1,441,680 Expedition expenses 64,723,976 (2,048,563) (Deficit)/surplus before taxation (227,590) Taxation (2,276,153) (Deficit)/surplus for the year

53,267,486 518,435 5,899,000 59,684,921 2,046,577 61,731,498

Income

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

43,956,100 621,510 499,755 1,331,862 264,013 1,678,684 503,704 558,688 541,337 4,222,224 1,473 381,185 426,556 890,215 2,277,103 65,500 1,240,347 59,460,256 2,271,242 (186,305) 2,084,937

50


Statistics

Number of teaching staff

2010-2011

2009-2010

Country of origin

Australia

4

1

Canada

1

2

France

4

5

Malaysia

12

11

New Zealand

1

1

Germany

1

1

United Kingdom

105

103

Others

7

6

Total

135

130

2010-2011

2009-2010

Average number of students*

1435

1461

Student/Teacher ratio

11 : 1

11 : 1

* inclusive of teachers’ children and scholarship students.

Students’ country of origin

51

2010-2011

2009-2010

%

%

Britain, Ireland, New Zealand and Australia

50

51

Malaysia

29

28

Others

21

21

Total

100

100

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Parent Teacher Association’s financial statements Balance Sheet as at 31 August 2011

2011

2010

RM

RM

Current Assets

Stocks PTA Goods

2,229

3,290

Stocks - Refreshments

1,578

7,314

Cash at Bank

158,430

71,240

Cash in Hand

3,023

3,303

Trade Debtors

-

15,000

Ball Deposit

-

-

165,260

103,936

-

21,240

165,260

82,696

Current Liabilities TOTAL

Represented By Accumulated Funds

82,696

Donations to School

4,660

(50,150)

77,904

74,827

165,260

82,696

Excess of Income over Expenditure

58,019

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

52


Parent Teacher Association’s financial statements Income and Expenditure Account for the year ended 31 August 2011

2011

2010

RM

RM

Income

Functions and Xmas Bazaar Proceeds

44,905

55,882

Annual Fair Stalls

39,737

38,658

Annual Fair Sponsorship

16,500

6,500

Ball

103,803

-

Ball Sponsorship

19,000

-

Refreshments Income

27,887

38,309

PTA Sales

1,855

3,159

Income - Misc

1,840

-

255,527

142,508

Expenditure

53

Administration / Misc Expenses

1,186

3,428

Functions and Xmas Bazaar Expenses

21,001

14,091

Ball Expenses

106,875

-

Annual Fair Expenses

19,008

9,120

Bar Supplies

18,758

35,820

PTA Purchases

5,738

Charity Donation

5,000

-

Bank Charges

57

18

177,623

67,681

Surplus

77,904

74,827

5,204

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Parent Teacher Association’s financial statements Notes to the Accounts

1

Accounting Policies

a) Basis of accounting The Accounts were prepared under the historic cost convention. 2 Stock Stocks were valued at the lower of cost and net realisable value. 2011 2010 RM RM Refreshments stocks 1,578 7,314 PTA stocks 2,229 3,290 3 Donations to the School The details of donations paid and committed to the school were as follows: RM Purchase of Audio Mixer Amplifier for the JB Hall 1,580 Committed funds for Chemistry dept at EP (2009-10) cancelled as they have not been claimed (2,500)

Committed funds for Sports Trophies (2009-10)

cancelled as they have not been claimed

(3,740)

Total

We are awaiting claims for the new School stage at JB

4

Available funds for the School stage at JB

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)

(4,660)

RM 151,453

54


Form of Proxy THE ALICE SMITH SCHOOLS ASSOCIATION

(1923-A)

(Limited By Guarantee) (Incorporated in Malaysia)

I, of

b e i n g a m e m b e r o f T H E A L I C E S M I T H S C H O O L S A S S O C I AT I O N , h e r e b y a p p o i n t

of

as my proxy to attend and vote for me and on my behalf at the Sixty-second Annual General Meeting of the Association to be held on Wednesday, 11 January 2012 and at any adjournment thereof.

Signed this

day of

.

Note: A member of the Association entitled to attend and vote at the General Meeting is entitled to appoint

a proxy to attend and vote in his stead. A proxy need not be a member of the Association. All forms

of proxy must be deposited at the Registered Office of the Association, No. 2 Jalan Bellamy, 50460

Kuala Lumpur, not less than forty-eight (48) hours before the time of holding the meeting.

The Alice Smith Schools Association (Company No. 1923-A) (Limited by Guarantee)


Primar y Campus

No. 2 J alan Bella my 50460 K uala Lumpur , Mala ysiaE Tel +603 21 48 36 74 Fax +603 21 48 34 18 Emailk lass@alice-smith.edu. my

www.alice-smith.edu. my

Secondar y Campus

No. 3 J alan Eq uine quine Park, 433 00 Ser i Kembangan Selangor Dar ul Ehsan, Mala ysia Tel +603 9543 3688 Fax +603 9543 3788 Emailk lass2@alice-smith.edu. my

62nd annual report 31 august 2011  
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