ATRIUM FY24 ANNUAL REPORT

2024 ANNUAL REPORT

with FY24 Atrium Group Audited Financials Produced by OnPoint! Strategy on behalf of the Owners of the SP11104 ATRIUM GROUP OF COMPANIES

ATRIUM GROUP OF COMPANIES Owners of the Atrium Strata Plan 11104 Managed Investment Scheme Atrium Hotel Mandurah Pty Ltd The FY24 Annual Report is a Special Consolidated Report written and produced by Donna Bates, OnPoint! Strategy for the Owners of the Strata Plan 11104.

Contributions to this report were made by: Mr Jamie Trawinski - Chairperson - Strata Council of Owners & MIS Board of Directors Mrs Kerry Lee - Company Secretary - Strata Council of Owners & MIS Board of Directors Mrs Donna Bates - Strategic Planning Consultant - CEO - OnPoint! Strategy Mr Jake Kneebone - Strata Manager - ESM Strata Management Mr Andrew Bullock - CEO - 1834 Hotel Management Mr Sam Parker - Director of Finance - 1834 Hotel Management Ms Vicki Mountain - Owner & Senior Solicitor - Mountains Lawyers Legal Solutions

PLEASE NOTE: This is a controlled document and holds privileged company information regarding the audited financial position and strategic direction of the Atrium Group and as such cannot be forwarded or re-distributed outside of the Owner Group without the express permission of the Authors.

This report has been produced for the Owners of SP11104 and does not constitute advice and is of a general nature only. It is the individual owner’s responsibility to seek investment advice from a suitably qualified professional.

CORPORATE VISION, MISSION & VALUES Vision - What we are aiming to achieve Our Vision is to help families create experiences that exceed their expectations and make memories they will treasure for a lifetime, whilst creating profitable returns for owners.

Mission - How we will do that Our Mission is to be the first choice for accommodation in the Peel Region for corporate, families, and seniors, as well as a bespoke function specialist. We aim to create a profit for the hotel to be disbursed back to owners. We will do this through good governance, strategically directed cost rationalisation, non-tourism-related growth strategies, excellent team training and development, well-managed strata, and agility when dealing with industry-related challenges.

Values - What we believe We have a passionate team of people from our Owners, Council of Owners and Hotel Board, 1834 Management team, and staff who are dedicated to ensuring that our values are not only maintained but lived out every day when providing excellent hospitality in service to our guests.

FAMILY We reflect our community and embrace the history and tradition of our role in the Peel region.

HOSPITALITY We believe in providing hospitality through both our attitudes and actions towards our guests, members & owners.

TEAMWORK We ensure that every staff member, management team member, Board Member, and Owner supports and encourages each other.

INTEGRITY We believe in acting with the highest of integrity.

EXCELLENCE We perform at the highest levels of service, language, behaviour, and appearance

CONTENTS 2024 ATRIUM GROUP ANNUAL REPORT 1 CHAIRPERSON’S REPORT - Council of Owners and MIS

2

2

Atrium Group Company Reports

4

2.1 Atrium Hotel - 1834 Hotel Management Report 2.3 Key Result Areas

5 8 10

Atrium Hotel Mandurah - Results Analysis

11

3.1 Hotel Trading Income by Department FY24

12

3.2 Hotel Occupancy Analysis

13

3.3 Hotel 8-year Profit-Loss Comparison to 30 June 2024 3.5 MIS HEALTH - Owner Distributions Historical & Forecast to FY25

14 15 15

Corporate Strategic Direction FY21-FY25

16

4.1 Corporate Strategic Update FY21-FY25

18

4.2 Corporate Strategic Objectives Achieved to 30 June 2024

19

5

Auditor's Reports & Audited Financial Statements to 30 June 2024

20

6

Appendices

2.2 Strata Plan 11104 - ESM Strata Management Report

3

3.4 REVPAR and ADR Comparison 8-years to 30 June 2024

4

6.1 Introduction to Consultants & 1834 Hotel Management 6.2 Approved Corporate Governance Model 6.3 Project Phases & Implementation Plan 6.4 Corporate Structure

1

1 CHAIRPERSON'S REPORT 1 JULY 2023 TO 30 JUNE 2024 1.1 FY24 Review Welcome to the Atrium Annual Report for the 2024 Financial Year. I am proud to announce that 2024 has seen our most successful results in the last 17 years, with more to come.

Thank you to all owners who attended our successful Annual General Meeting (AGM) in November 2023 and for your continued support. 1834 Hotels Management had its first full 12 months of operational results with the Atrium Hotel (FY24). During this time, we were able to analyse results against the previous 12 months (which included 8 months owner-managed) with 4 months of management by 1834 Hotels implementing new systems from February 2023.

This financial year has been both exciting and challenging, with 1834 Hotels striving to achieve the required strategic objectives as set out in our Strategic Plan. I am delighted to share that we have achieved our strategic outcomes for FY24. Our General Manager, Kristy Coates is an asset to our company. She is employed by the Atrium Hotel, but works under the management of 1834 Hotels, and we are delighted with Kristy’s drive and commitment to achieve our goals and has flourished in the process. .

We are grateful for our entire team, the Council of Owners, Consultants, Staff and our amazing, supportive owner group, we’re excited to see the positive changes happening in our companies.

It's encouraging to see the Owner’s loans paid out (for those who have provided their payment details), and achieving our deadline to pay out all the old historical debt as a priority. As promised, cash distributions have begun flowing back into the hands of our valued owner group from October 2024.

Thank you to Kerry Lee, our Company Secretary, Donna Bates, our Strategic Planning & Governance Consultant, Jake Kneebone for Strata Management and Andrew Bullock and the entire team from 1834 Hotels who have been consistent and unfailing in their efforts creating the next evolution of growth.

2

1 CHAIRPERSON'S REPORT /CONT.

It's very exciting to see things coming to fruition, especially the debt payout by the end of FY24 as promised, owner distributions being paid (the first time in over a decade) and achieving our milestones in our Strategic Plan, along with the recommendations of the Management Modality Project being delivered in its entirety.

To you all, may you have a safe and Happy Christmas and New Year. If you would like to discuss anything in this report, please do not hesitate to contact us directly.

Yours sincerely

Jamie Trawinski Chairperson - Council of Owners Director - Atrium Hotel Mandurah

3

2

ATRIUM GROUP COMPANY REPORTS

2.1 HOTEL REPORT - 1834 HOTELS 1 JULY 2023 TO 30 JUNE 2024 We are delighted to share the pleasing uplift in trade that Atrium Hotel has experienced over the past year. This strong performance is a testament to the onsite dedicated team's efforts and the strategic initiatives that have been implemented. The positive trends in our key financial metrics and performance indicators are particularly encouraging, as they not only reflect our current success but also provide a solid foundation for future growth.

Looking ahead, we are confident that the strong base we have established will support continued improvements and growth. The onsite team’s commitment to excellence and customer satisfaction remains unwavering as we set our sights on achieving even greater heights in the coming year. Of note I would like to thank Kristy Coates the Atrium General Manager – her work to achieve the results we have in the last 12 months has been extremely important to the success of the Atrium.

Occupancy and Revenue Per Available Room (RevPAR) Occupancy: The full year occupancy was 71.7%, which exceeded both the budgeted 60.1% and last year’s 50.8%. This increase in occupancy positively impacted revenue.

RevPAR: Improved significantly, reaching $131.59 for the year, well above both the budgeted $100.36 and last year's $81.90. This reflects better room utilisation and pricing strategies.

Average Daily Rate (ADR): The full-year ADR was $183.66, surpassing last year’s ADR of $161.26.

While slightly below budget, this still indicates improved pricing compared to previous periods, reflecting a shift toward higher room rates.

Total Operating Revenue: Full-year revenue reached approximately $6.28 million, exceeding the budget by $1.42 million and last year’s revenue by $1.79 million. Accommodation was the largest contributor, with additional revenue from room hire and beverages also showing growth.

Gross Operating Profit (GOP): The hotel achieved a full-year GOP of $2.55 million, significantly above both the budget and last year’s figures. GOP as a percentage of total operating revenue increased to 40.5%, reflecting efficient cost management and operational improvements.

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA): Full-year EBITDA was recorded at $1.78 million, which is an impressive improvement of $787,585 over budget. This reflects a 28.3% EBITDA margin, showing strong cost controls and effective revenue management.

5

2.1 HOTEL REPORT - 1834 HOTELS cont.

1 FEBRUARY 2023 TO 30 JUNE 2024 Departmental Performance Rooms Department: The rooms department was a strong performer, achieving a departmental profit margin of 65.2%. Total rooms revenue exceeded budget by over $1 million, primarily due to higher-than-expected occupancy rates and RevPAR growth. Of note this year has been the ongoing focus of increasing distribution channels for the hotel. Historically it was quite reliant on limited channels, however we have actively moved that distribution network.

Below is the chart of distribution for the full year showing a very healthy distribution spread.

Chart 1 Chart 1 shows: The Global Distribution System whilst only in its infancy produced over $70k in revenue for the year – this is growing already into the new financial year.

Direct property website bookings were more than $650k for the year and other direct business was more than $1.4 million in revenue for the year. Particularly important as these are commission-free and very good for profitability versus OTAs (online travel agents) where much of the historical booking traction had been achieved.

OTAs still provided a very important revenue source with more than $2.1 million coming from booking.com alone.

Food and Beverage (F&B) Department: F&B faced challenges, recording a low-profit margin of 1.6%. Both food and beverage revenue were below budget, with food showing a deficit of approximately $272,000. Although beverage revenue exceeded budget, costs were high, which reduced profitability. This is an area that will have a focus for improvement in the current financial year.

6

2.1 HOTEL REPORT - 1834 HOTELS cont.

1 FEBRUARY 2023 TO 30 JUNE 2024

Cost Control and Expense Management Employment Expenses: Total employment expenses for full-year were $1.99 million, slightly over budget but lower as a percentage of operating revenue compared to last year. This improvement reflects better management of staffing costs in line with increased revenue.

Undistributed Expenses: Expenses in categories such as utilities and maintenance were generally within budget. Property operations and maintenance were well-controlled, with overall expenses coming in under budget.

Strategic Insights Revenue Growth through Higher Occupancy and RevPAR: The Atrium Hotel’s strategy to increase occupancy and optimize room rates through increased distribution options has resulted in strong revenue growth. This approach has significantly improved the hotel’s financial standing compared to last year.

F&B Strategy: With F&B profits under pressure industry-wide, revisiting pricing, procurement, and menu optimisation has helped the department improve its profit margins. This is further being driven by a focus on conference and function trade into the current financial year.

Cost Control Measures: Effective cost management, particularly in employment, has played a crucial role in achieving higher profitability. Continuation of these efforts, especially in areas with high seasonal demand, could further enhance financial stability.

Overall Financial Health & Financial Year Atrium Hotel’s 2024 full-year results demonstrate positive growth in both revenue and profitability metrics, with robust occupancy rates driving financial success. This has also delivered on the modality project recommendations implemented by Donna Bates of OnPoint!

Strategy and the Board - Jamie Trawinski & Kerry-Anne Lee. We are looking forward to a strong year of trade with some healthy owner cash returns projected into the 2025 financial year.

Andrew Bullock CEO - 1834 Hotel Management

7

2.2 STRATA MANAGEMENT REPORT 1 JULY 2023 TO 30 JUNE 2024 Strata levies were maintained at a reduced level in FY24, which is testimony to the work that had been completed in FY21-FY23. The building is being well maintained by the hotel management maintenance team who are utilising state of the art applications to manage the compliance of WHS requirements.

The Council of Owners and Strata Manager worked through many of the building maintenance and projects for the Strata Company in FY24.

Thank you again to Councillor, Elizabeth

Zabrevski for her on-going input and liaison with engineers, building advisors, suppliers and Strategist, Donna Bates for her liaison support with the project manager and Structural Engineer (NRM) for working through the issues that presented themselves in FY24, with the Strata Company.

PROJECTS COMPLETED IN 2024: A detailed structural report was undertaken by NRM Structural Engineering Consultants along with several other project assessments to update the 10-year maintenance plan: Fire Safety and System Upgrades in line with agreed DFES through Scavenger Fire Safety Services. An updated safety report was completed during this period. Work is continuing for this project on an on-going basis.

Asbestos Risk Mitigation and Remediation: Asbestos Fire Doors are continuing to be replaced as per the replacement schedule.

Water Ingress Issue (Basement & Roof Leaks): Phase 1: Basement water leak remediation plan (Peppers): Investigated by hydrologists, plumbers, roof plumbers and structural engineers in FY23-4 who collaboratively identified the necessary issues and best solution to deal with this problem proactively.

A remediation and repair plan was identified under special

projects for 2024, and work commenced in September 2024 to allow this area to be reopened. This was approved in the FY24 budget at the Strata AGM. Phase 2: Roof works - the exterior roof and parapets + Internal Ceiling & Acoustic Panelling: As noted in FY23, the external roof project and parapets were inspected by NRM Consultants, PRC Construction and the repair work completed; Storm damage to the external roof in 2024, was fixed through insurance, along with the subsequent internal water damage to the rooms, meant that these rooms were able to be refurbished through the same insurance claim.

Internal ceiling acoustic panels and debris capture netting was inspected by Skywalker. This project was deferred due to the cost and complex nature of the solution.

8

2.2 STRATA REPORT cont/ 1 JULY 2023 TO 30 JUNE 2024 Roof Leaks due to Optus Tower: cracks have been appearing around the towers where they are attached to the building and have caused water ingress issues.

Warranty and Repair

Inspections have taken place by the Optus maintenance company who ensured that a repair team visited the Atrium to assess the damage and is currently fixing the issues.

Property Maintenance: a high level of building and property maintenance has been attended to reducing complaints, including on-going pothole fixes for the carpark area. Into the future, it is recommended that the entirety of the carpark be regraded and re-surfaced.

Move of pool & spa heater and ventilation to pump room - This project is due for completion at the end of November/December 2024. (FY24 Budget) WORKS TO BE COMPLETED As in all Strata projects the ongoing maintenance or work, health and safety priorities are being managed on an ongoing basis, and are currently compliant.

Changerooms to the South side of the pool area (DEFERRED) - Deferred due to cost and other facilities available near pool.

Due to the damage to the changerooms and old saunas, an inspection was undertaken by the structural engineer, and maintenance team.

Quotes were collected and presented to the

Council of Owners, and 1834 Hotels. The hotel management team advised that there was no real requirement to refurbish the changerooms at this stage due to the significant cost. This project was deferred to FY25.

Laundry (1834 Hotels Project) Install - November 2024 Reducing after-hours break-ins to the laundry and manual handling, new security was installed for this area; 3 new washers and 3 new dryers via Dependable Laundry Solutions for installation in the guest laundry in November 2024; These are on a 25% commission with EFT payment facilities, 1834 will monitor the revenue stream and adjust pricing accordingly, if required.

9

2.3 KEY RESULT AREAS ACROSS GROUP 1July to 30 June 2024 [Results noted in financials & strategic plan results] Diagram 1 Managed Investment Scheme (Drives Returns) HOTEL OPERATIONS

Governance - Board (Directors) Oversight & Strategy Hotel Operations (now managed by 1834 Hotels) Debt Reduction (Historical Body Corporate Debt) Investor Returns (Profit Distribution)

INCREASE PROFITABILITY

Strata (Looks after Asset) Governance - Executive Committee (Council of Owners) Oversight & Strategy Building Maintenance OH&S including Fire Safety, Strata Maintenance

BUILDING MAINTENANCE

GOVERNANCE

DEBT REDUCTION

INVESTOR RETURNS

STRATA

MAINTENANCE

Key result areas across the group were identified as outlined in Diagram 1 above. At the heart of everything absolute, consistent governance and adherence to the strategic plan at all times generates results.

This governance must be maintained continuously for the

plans to work and the activity currently being undertaken to be fruitful.

STRATA GOALS: Ensure the strata company is well governed and the strata manager ensures the hotel manager can operate 'unhindered'.

Ensure a well-kept and well-maintained building that meets or exceeds health & safety standards that doesn't pose a risk to owners, hotel management and staff, or the public in order to support the managed investment scheme to generate returns for owners.

HOTEL GOALS: Ensure the highest possible profitability through innovative and market-leading technology and management; Ensure the customer experience meets our goals and that the hotel is managed and presented to the highest standards as outlined in the Hotel Standards documentation; Liaise with the strata manager to ensure building and common property issues don't adversely affect hotel operations and ultimately profit; Increase the value of the property through presentation and refurbishment; Ensure the Management team drives results, achieving returns for owners.

10

3

ATRIUM HOTEL MANDURAH RESULTS ANALYSIS 30 JUNE 2024 (WITH FORECAST TO NOV 2024)

3 ATRIUM HOTEL MANDURAH RESULTS TO 30 JUNE 2024 3.1 HOTEL TRADING INCOME BY DEPARTMENT

FIGURE 1

FIGURE 2

Key result areas across the group were identified as outlined in Figure 1 above.

This

summary demonstrates the consistent and considerable growth since late FY21, culminating with the huge 41% growth from FY24 over FY23, representing a significant 145% increase when compared with FY17.

The green dotted line which can be seen in Figure 2 above, shows the implementation of the new strategic plan and the successful implementation of initiatives as voted in by owners at the subsequent Extraordinary and Annual General Meetings. The green arrow pointing from FY21 to FY24 indicates the significant growth trajectory for the hotel, growing exponentially from FY23 to FY24 with accommodation revenue exceeding expectations over this period.

[Further Analysis can be seen on Pages 5 through 7].

12

3.2 HOTEL OCCUPANCY ANALYSIS

FIGURE 3

Figure 3 demonstrates the hotel's occupancy has continued on its upward trajectory as reported in the 1834 Hotels report. As seen in the graph in Figure 4 above, analysis of the last 8 years has indicated a consistently higher occupancy up to a high in January 2024 of 81.99%. The red line indicates the start of the Strategic Planning project implementation by OnPoint! Strategy. With the implementation of sophisticated pricing systems utilising marketdriven algorithms we have seen an increase in the bookings and access to the Global Distribution Systems and networks of new customers through the 1834 Hotels networks.

[Please see more analysis of this in the 1834 Hotel Management Report on Page 9.]. Figure 4 below demonstrates the significant upswing in Revenue per available room (REVPAR) to an annual average for FY24 at $131.59 [See 1834 Hotel Report pg5]. In this same graph, a similar upswing has been delivered for the Average Daily Rate (ADR) [See 1834 Hotels Report pg5]. The trendline for both steepens post-1834 hotel management takeover which can be seen from July 2023 onwards.

FIGURE 4

13

3 ATRIUM HOTEL MANDURAH RESULTS TO 30 JUNE 2024 3.3 HOTEL 8-YEAR PROFIT & LOSS COMPARISON TO 30 JUNE 2024 AND FY25 YEAR TO DATE (NOVEMBER 2024)

External Professional Hotel Management Council of Owner change OnPoint! Strategy Project Begins

FIGURE 5

Figure 5 identifies the profit comparison year on year from 2017 - 2024 and a budget forecast for FY25.

The 30 June 2024 result of +$1,631,623 was an incredible result, with distributions paid to the Body Corporate as a Special Levy on behalf of owners to pay the historical debt, and finalise the Modality Management Project recommendations, particularly with the move away from being an Owner Managed site.

The hotel is currently sitting at October 2024 net profit of $511K which is up $159K on same time year and is very slightly behind budget by $37K. November is tracking to be in line with last year. We are forecasting achieving budget for the balance of the 2025 year. The FY25 end of year profit is projected to be $2,132,000 and once realised, will be an incredible result for the hotel/Managed Investment Scheme.

**Owners are reminded that now the Managed Investment Scheme is delivering profits, and the Management Modality Project debt repayment schedule is complete, profits will be distributed direct to owners as quarterly cash deposits into owner-nominated bank accounts. It is encumbant on owners to seek their own independent tax advice.**

14

3 ATRIUM HOTEL MANDURAH RESULTS TO 30 JUNE 2024 3.4 REVPAR AND ADR COMPARISON 8-YEARS TO 30 JUNE 2024

FIGURE 6

Figure 6 shows the comparison to historical figures, the Average Daily Rate (ADR) and the Revenue per available room (REVPAR) in the FY24 year, delivering some of the strongest and most consistent increases of recent years. [Please see the 1834 Hotel Reports Pages 5-7].

3.5 MIS HEALTH - OWNER DISTRIBUTIONS HISTORICAL & FORECAST TO FY25 Following on from actions taken in FY21-23, a key strategic objective for FY24 was the repayment of the Lannock Loan debt and delivery of quarterly cash distributions to owners.

This began in October 2024, and it is an extremely positive position to see the forecast for the FY25 year, at $1.77M or $272 per Unit Entitlement, as shown below in Figure 7.

FIGURE 7

15

4

CORPORATE STRATEGIC DIRECTION STRATEGIC PLAN (2021-2025)

Diagram 2 showing future Corporate Strategic Direction for the Atrium Group

17

4.1

CORPORATE STRATEGIC UPDATE (FY21 - FY25)

PROJECT PHASE 1-2 CRISIS CONTAINMENT FOUNDATIONS 11 Jan 21 - 30 June 21 Project Illumination/EGM

90 days crisis management and Hotel Operations resstructure Corporate Strategic Plan Robust Governance Structure & Reporting

PROJECT PHASE 3 REINVIGORATE Transition => Profitability 1 July 21 - 30 June 22 2021 AGM's

Companies separated Accounting separated On-going review & reporting Hotel Mgt Modality Project Gap Analysis

PHASE 1 (This report) ACCELERATE 1 July 22 - 30 June 23 2022 AGM's

PHASE 2 (CURRENT) GROW 1 Jul 23 - 30 June 24 2023 AGM's

Future-proof sustainable model Reviewed annually Monthly reporting Profitability Modelling

Growth Activity Profitability Modelling Reviewed Monthly

Figure 8: months to June 30, 2023 and chart showing Accelerate and Grow Phasing of the Strategic Plan

The Corporate Strategic Plan was implemented in early 2021, and encompassed the findings and recommendations from the Crisis Containment Project Illumination with the findings of this project presented at the June 27, 2021 EGM with a resolution passed to turn the Atrium Group around and bring the companies back into profit.

The Atrium Group of Companies is now well into the Growth Phase of the Strategic Plan in FY25.

MIS returns as noted in the 2023 Annual report, and presented as part of the Management Modality Project were forecast to be in the vicinity of $153 per unit entitlement at 30 June 2024. In actuality, $1.6M or $245.89 per UE was delivered through Owner Distributions paid into the Body Corporate as a Special Levy to pay out the historical debt in the Body Corporate.

[For explanation see Special Levy Income

Page 21]

Update to Strategic Plan FY21-25 => FY25-FY30 In October each year, a Strategic review is undertaken by our Strategic Consultant and the Council of Owners and MIS Board. The outcome of this review is to ensure the companies are on track to deliver as per the previous years AGM’s, and to set out a planning schedule for February 2025, at which the Council of Owners and the MIS board will work with the Strategic Consultant and 1834 team to create a strategic plan to deliver results for the owner group.

Owner’s feedback will be sought in early 2025, to consolidate information and final planning to update the FY25-30 Strategic Plan.

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4.2 CORPORATE STRATEGIC OBJECTIVES ACHIEVED TO 30 JUNE 2024 Debt Repayment Schedule (Strategic Objective Achieved as at 30th June 2024) The entirety of the Lannock Loans held in the old Body Corporate entity, was paid out as per the Strategic Modality Project recommendations as voted on and presented in the Debt Reduction strategy. These loans were closed out in their entirety as at 30th June 2024.

Special Levy Income (Strategic Objective Achieved as at 30th June 2024) A motion will be presented at the 2024 Atrium Strata AGM to ensure that the resolution is finalised in the FY24 accounting policy for special levy income.

The special levy was

established to facilitate the repayment of the significant historical debts (pre-2021) incurred by the Body Corporate.

The repayment of these historical debts has now been fully realised.

Distributed profits to owners from the unit trust will be applied against the special levy for the 2024 financial year.

Outstanding Tax & Super Debt (Strategic Objective Achieved as at 30th June 2024) All historical tax debt has been paid out. The hotel is awaiting the ATO to respond to the Atrium regarding a Superannuation payment query, where the hotel proved it had paid all pre-FY21 employee’s historical superannuation when it paid out all historical unpaid super in FY22 (approx $550K), but the ATO was showing a $35K discrepancy on their portal. This is with the ATO for response.

Unit Secondary Sales Notices Owners are reminded that should they wish to sell their units they must register the sale with the Company Secretary (Kerry Lee and ESM Strata). Prospective buyers must receive a video and information on how the companies (Strata Managed Investment Scheme) work. To ensure owners understand what they have purchased, with full disclosure and explanation, the process of a Secondary Sale notice was re-introduced in FY22, and is still in place today. **Please note: Should you choose to ignore this information given to you, please be aware that this could leave the door open for future legal action against you from the purchaser.

Governance Review (Finalised October 2024) A governance document review has been on-going since late 2021, and relevant document review and actions have been completed up to October 2024.

Work in Progress (Current) An updated Unitholder Management Agreement is with legal and currently being drafted to finalise the deliverables as promised in governance document review from FY21-24. An updated constitution for the Atrium Hotel Mandurah Pty Ltd is also being drafted, to ensure we remain compliant with all current Corporations Act and Strata Titles Act (WA) and other relevant legislation. These will be presented to owners in early 2025.

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5&

AUDITOR'S REPORT AUDITED FINANCIAL STATEMENTS Audited Financials The Trustee for Atrium Resort Hotel - Managed Investment Scheme ABN 87 208 464 910 Atrium Body Corporate ABN 83 733 720 581 Atrium Hotel Mandurah Pty Ltd (Lot 1) ABN 96 102 783 942

Unaudited Financials Atrium Resort Hotel Group Consolidated Accounts (Group Report)

The Trustee for Atrium Resort Hotel - Managed Investment Scheme ARSN 87 208 464 910

Financial Report - 30 June 2024

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Contents 30 June 2024 Directors' report 2 Auditor's independence declaration 4 Statement of profit or loss and other comprehensive income 5 Statement of financial position 6 Statement of changes in equity 7 Statement of cash flows 8 Notes to the financial statements 9 Directors' declaration 15 Independent auditor's report to the unitholders of The Trustee for Atrium Resort Hotel - Managed Investment Scheme 16

1

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Directors' report 30 June 2024 The directors present their report, together with the financial statements, on the unit trust for the year ended 30 June 2024.

Directors The following persons were directors of the responsible entity during the whole of the financial year and up to the date of this report, unless otherwise stated: Mr. Jamie Trawinski Ms. Kerry Lee Review of operations The profit for the unit trust after providing for distribution to unitholders amounted to $nil (30 June 2023: $60,201).

Principal activities The principal activity of the unit trust during the financial year was the provision of accommodation and hospitality.

Significant changes in the state of affairs There were no significant changes in the state of affairs of the unit trust during the financial year.

Matters subsequent to the end of the financial year No matter or circumstance has arisen since 30 June 2024 that has significantly affected or may significantly affect the unit trust's operations, the results of those operations, or the unit trust's state of affairs in future financial years.

Likely developments and expected results of operations No matter, circumstance or likely development in operations has arisen during or since the end of the financial year that has significantly affected or may significantly affect the operations of the unit trust, the results of those operations or the state of affairs of the unit trust.

Environmental regulation The unit trust is not subject to any significant environmental regulation under Australian Commonwealth or State law.

Indemnity and insurance of directors and officers The unit trust has indemnified all directors and management in respect of liabilities to other persons (other than the unit trust or related body corporate) that may arise from their position as directors or manager of the unit trust except where the liability arises out of conduct involving the lack of good faith.

Disclosure of the nature of the liability and the amount of the premium is prohibited by the confidentiality clause of the contract of insurance.

Proceedings on behalf of the unit trust No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the unit trust, or to intervene in any proceedings to which the unit trust is a party for the purpose of taking responsibility on behalf of the unit trust for all or part of those proceedings.

No proceedings have been brought or intervened in on behalf of the unit trust with leave of the Court under section 237 of the Corporations Act 2001.

Indemnity and insurance of auditor During the financial year, the unit trust has not paid a premium in respect of a contract to insure the auditor of the unit trust or any related entity.

Auditor's independence declaration A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this directors' report.

2

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Directors' report 30 June 2024 This report is made in accordance with a resolution of directors, pursuant to section 298(2)(a) of the Corporations Act 2001.

On behalf of the directors

___________________________ Jamie Trawinski Director

___________________________ Kerry Lee Director

21 November 2024

3

Lead auditor’s independence declaration to the Directors of The Trustee for Atrium Resort Hotel - Managed Investment Scheme As lead auditor for the audit of The Trustee for Atrium Resort Hotel - Managed Investment Scheme for the year ended 30 June 2024, I declare that, to the best of my knowledge and belief, there have been: i) no contraventions of the auditor independence requirements in relation to the audit, and ii) no contraventions of any applicable code of professional conduct in relation to the audit.

Andrew Frewin Stewart 61 Bull Street, Bendigo Vic 3550 Dated 21 November 2024

Adrian Downing Lead Auditor

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Statement of profit or loss and other comprehensive income For the year ended 30 June 2024 Note

2024 $

2023 $

3

6,279,046

4,453,452

Other income Cost of sales Gross profit from trading

8,853 (624,459) 5,663,440

52,809 (697,183) 3,809,078

Expenses Accounting and audit fees Insurance fees Employee benefits expense Occupancy costs Depreciation and amortisation expense Commission and merchant fees Consulting fees Equipment Hire - Body Corp Legal fees Repairs and maintenance Unit holder fees Distribution to unitholders Other expenses Finance costs Total expenses

(54,325) (126,862) (1,848,729) (229,552) (67,153) (442,982) (450,908) (302,500) (49,377) (62,992) (28,332) (1,631,623) (354,380) (13,725) (5,663,440)

(129,414) (101,090) (1,906,719) (313,297) (58,166) (284,862) (220,511) (330,493) (36,393) (88,057) (263,792) (16,083) (3,748,877)

Profit for the year

-

60,201

Other comprehensive income for the year

-

-

Total comprehensive income for the year

-

60,201

Total revenue from contracts with customers

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes 5

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Statement of financial position As at 30 June 2024 Note

2024 $

2023 $

4 5

501,380 1,482,887 24,550 47,980 2,056,797

156,857 187,419 25,852 61,929 432,057

7 6

80,636 112,116 192,752

26,330 166,673 193,003

2,249,549

625,060

235,356 1,631,623 56,717 39,803 217,479 2,180,978

243,040 33,957 54,567 31,643 136,565 499,772

53,948 53,948

110,665 110,665

2,234,926

610,437

Net assets attributable to unitholders

14,623

14,623

Equity Retained earnings

14,623

14,623

Total equity

14,623

14,623

Assets Current assets Cash and cash equivalents Trade and other receivables Inventories Other assets Total current assets Non-current assets Property, plant and equipment Right-of-use assets Total non-current assets Total assets Liabilities Current liabilities Trade and other payables Distribution to unitholders Borrowings Lease liabilities Employee benefits Other liabilities Total current liabilities

8 9 10 11

Non-current liabilities Lease liabilities Total non-current liabilities

10

Total liabilities

The above statement of financial position should be read in conjunction with the accompanying notes 6

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Statement of changes in equity For the year ended 30 June 2024 Retained earnings $ Balance at 1 July 2022

(45,578)

Profit for the year Other comprehensive income for the year

60,201 -

Total comprehensive income for the year

60,201

Balance at 30 June 2023

14,623 Retained earnings $

Balance at 1 July 2023

14,623

Profit for the year Other comprehensive income for the year

-

Total comprehensive income for the year

-

Balance at 30 June 2024

14,623

The above statement of changes in equity should be read in conjunction with the accompanying notes 7

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Statement of cash flows For the year ended 30 June 2024 Note Cash flows from operating activities Receipts from customers (inclusive of GST) Payments to suppliers and employees (inclusive of GST) Interest and other finance costs paid

2024 $

2023 $

6,355,455 (4,573,811) (8,292)

4,351,460 (4,410,785) (12,080)

Net cash from/(used in) operating activities

15

1,773,352

(71,405)

Cash flows from investing activities Payments for property, plant and equipment

7

(66,902)

(29,939)

(66,902)

(29,939)

Cash flows from financing activities Repayment of lease liabilities Loans from/(to) related and other parties

(60,000) (1,301,927)

59,916

Net cash from/(used in) financing activities

(1,361,927)

59,916

344,523 156,857

(41,428) 198,285

501,380

156,857

Net cash used in investing activities

Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year

4

The above statement of cash flows should be read in conjunction with the accompanying notes 6

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information The financial statements cover the trust as an individual entity. The trust is a for-profit entity, established and domiciled in Australia.

Basis of preparation These general purpose financial statements have been prepared in accordance with the Australian Accounting Standards Simplified Disclosures issued by the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate for for-profit oriented entities.

Statement of compliance The unit trust does not have 'public accountability' as defined in AASB 1053: Application of Tiers of Australian Accounting Standards and is therefore eligible to apply the 'Tier 2' reporting framework under Australian Accounting Standards.

The financial statements comply with the recognition and measurement requirements of Australian Accounting Standards, the presentation requirements in those Standards as modified by AASB 1060: General Purpose Financial Statements - Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities (AASB 1060) and the disclosure requirements in AASB 1060.

Accordingly, the financial statements comply with Australian Accounting Standards – Simplified Disclosures.

Historical cost convention The financial statements have been prepared under the historical cost convention.

Critical accounting estimates The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the unit trust's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 2.

Going concern The financial statements have been prepared on a going concern basis, which contemplates continuity of normal business activities and the realisation of assets and the settlement of liabilities in the ordinary course of business.

Income tax The entity is structured as a unit trust and is therefore not subject to income tax under the Income Tax Assessment Act. Instead, all income and gains generated by the Trust are attributed to unit holders based on their proportionate share of distributions. Each unit holder is then taxed on their share of the Trust's distributable income at their respective marginal tax rates. As a result, the Trust itself does not incur a tax liability, and no income tax expense is recognised in these financial statements.

Functional and presentation currency and rounding The financial statements are presented in Australian dollars, which is the unit trust's functional and presentation currency, and are rounded to the nearest dollar.

Adoption of new and revised accounting standards The unit trust has adopted all of the new or amended Accounting Standards and Interpretations issued by the AASB that are mandatory for the current financial year. A description of the impact of new or amended Accounting Standards and Interpretations that have had a material impact on the unit trust during the current financial year is outlined below: AASB 2021-2 Amendments to Australian Accounting Standards – Disclosure of Accounting Policies and Definition of Accounting Estimates is mandatory for annual reporting periods beginning on or after 1 January 2023 and was adopted by the unit trust in the preparation of the 30 June 2024 financial statements.

AASB 2021-2 includes amendments to AASB 101 Presentation of Financial Statements, requiring the unit trust to disclose material accounting policy information in its financial statements rather than significant accounting policies which was required in previous financial years. Accounting policy information is material if it, when considered with other information, could reasonably be expected to influence decisions of primary users based on the financial statements.

Adoption of AASB 2021-2 has had no impact on the numerical information disclosed in the unit trust’s financial statements.

Rather, adoption has required the unit trust to remove significant accounting policy information from the notes to the financial statements that is not considered material.

9

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information (continued) Accounting standards issued but not yet effective An assessment of accounting standards and interpretations issued by the AASB that are not yet mandatorily applicable to the unit trust has been performed. No new or amended Accounting Standards or Interpretations that are not mandatory have been early adopted, nor are they expected to have a material impact on the unit trust in future financial years.

Current and non-current classification Assets and liabilities are presented in the statement of financial position based on current and non-current classification.

Impairment of non-financial assets Non-financial assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount.

Recoverable amount is the higher of an asset's fair value less costs of disposal and value-in-use. The value-in-use is the present value of the estimated future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cash-generating unit to which the asset belongs. Assets that do not have independent cash flows are grouped together to form a cash-generating unit.

Under current legislation, the unit trust is not subject to income tax provided it attributes the entirety of its taxable income, including realised capital gains, to its unit holders.

Note 2. Critical accounting judgements, estimates and assumptions Estimation of useful lives of assets The unit trust determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.

Lease term The lease term is a significant component in the measurement of both the right-of-use asset and lease liability. Judgement is exercised in determining whether there is reasonable certainty that an option to extend the lease or purchase the underlying asset will be exercised, or an option to terminate the lease will not be exercised, when ascertaining the periods to be included in the lease term. In determining the lease term, all facts and circumstances that create an economical incentive to exercise an extension option, or not to exercise a termination option, are considered at the lease commencement date. Factors considered may include the importance of the asset to the unit trust's operations; comparison of terms and conditions to prevailing market rates; incurrence of significant penalties; existence of significant leasehold improvements; and the costs and disruption to replace the asset. The unit trust reassesses whether it is reasonably certain to exercise an extension option, or not exercise a termination option, if there is a significant event or significant change in circumstances.

Borrowing rate under AASB 16 Where necessary, lease payments are discounted using the interest rate implicit in the lease. If that rate cannot be readily determined, which is generally the case for the corporation's leases, the corporation's incremental borrowing rate is used, being the rate that the corporation would have to pay to borrow the funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic environment with similar terms, security and conditions.

10

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Notes to the financial statements 30 June 2024 Note 3. Income 2024 $

2023 $

Sales - Accommodation Sales - Food Sales - Beverages Event revenue Room hire

5,635,112 231,040 303,005 90,661 19,228

3,497,743 311,382 357,216 282,760 4,351

Total revenue from contracts with customers

6,279,046

4,453,452

2024 $

2023 $

6,259,818 19,228

4,449,101 4,351

6,279,046

4,453,452

Disaggregation of revenue The disaggregation of revenue from contracts with customers is as follows:

Timing of revenue recognition Goods and services transferred at a point in time Services transferred over time

Accounting policy for income recognition Revenue from hotel services, such as room bookings, food, and beverages, is recognised at the point in time when the customer obtains control over the service or goods. For room bookings, revenue is recognised when the guest checks in and gains access to the room. For food and beverages, revenue is typically recognised at the point of sale or delivery, when the customer receives their order.

Note 4. Cash and cash equivalents

Current assets Cash at bank

2024 $

2023 $

501,380

156,857

2024 $

2023 $

10,624 1,444,551 27,712

5,047 176,581 5,791

1,482,887

187,419

Note 5. Trade and other receivables

Current assets Trade receivables Loans - related parties Other receivables

Loans - related parties The related party loans relate to interest free loans to Atrium Body Corporate.

11

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Notes to the financial statements 30 June 2024 Note 6. Right-of-use assets

Non-current assets Land and buildings - right-of-use Less: Accumulated depreciation

2024 $

2023 $

221,230 (109,114)

221,230 (54,557)

112,116

166,673

2024 $

2023 $

162,289 (86,638) 75,651

95,387 (80,512) 14,875

13,021 (8,036) 4,985

13,021 (1,566) 11,455

80,636

26,330

Note 7. Property, plant and equipment

Non-current assets Plant and equipment - at cost Less: Accumulated depreciation Office furniture and equipment - at cost Less: Accumulated depreciation

Reconciliations Reconciliations of the written down values at the beginning and end of the current financial year are set out below: Plant and equipment $

Office furniture and equipment $

Total $

Balance at 1 July 2023 Additions Depreciation expense

14,875 66,902 (6,126)

11,455 (6,470)

26,330 66,902 (12,596)

Balance at 30 June 2024

75,651

4,985

80,636

Accounting policy for property, plant and equipment Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Depreciation is calculated to write off the net cost of each item of property, plant and equipment over their expected useful lives as follows: Office furniture and equipment Plant and equipment

5 years 5 years

12

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Notes to the financial statements 30 June 2024 Note 8. Trade and other payables

Current liabilities Trade payables Amounts payable to the ATO GST payable

2024 $

2023 $

209,529 301 25,526

165,037 67,283 10,720

235,356

243,040

2024 $

2023 $

Note 9. Distribution to unitholders

Current liabilities Distribution to unitholders

1,631,623

-

Accounting policy for distribution to unitholders At year-end, the trust has allocated the entirety of its distributable profit to unitholders. This distribution represents the full profit generated for the period and is payable in accordance with the trust deed. The distribution to unitholders is calculated based on the net profit for the period, after accounting for all relevant expenses, and is intended to be paid in full within the upcoming financial period.

Note 10. Lease liabilities 2024 $

2023 $

Current liabilities Lease liability

56,717

54,567

Non-current liabilities Lease liability

53,948

110,665

110,665

165,232

Accounting policy for lease liabilities The above lease liability is for the commercial lease of the property, 1/65 Ormsby Terrace, Mandurah, WA 6210, between Atrium Hotel Mandurah Pty Ltd and the trust.

Note 11. Other liabilities 2024 $ Current liabilities Accrued expenses Revenue received in advance

2023 $

66,670 150,809

75,979 60,586

217,479

136,565

Accounting policy for other liabilities Revenue received in advance from hotel bookings represents payments collected before the guest’s stay begins. This amount is initially recorded as a liability and is recognised as revenue when the guest checks in and control of the room is transferred.

13

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Notes to the financial statements 30 June 2024 Note 12. Key management personnel disclosures The following persons were directors of the unit trust during the financial year and/or up to the date of signing of these Financial Statements: Mr. Jamie Trawinski Ms. Kerry Lee No director of the unit trust receives remuneration for services as a director.

There are no executives within the unit trust whose remuneration is required to be disclosed.

Note 13. Remuneration of auditors During the financial year the following fees were paid or payable for services provided by the auditor of the unit trust: 2024 $ Audit services Audit of the financial statements

2023 $

26,000

25,375

Note 14. Related party transactions Transactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.

No director or related entity has entered into a material contract with the unit trust. No director's fees have been paid.

During the year ended 30 June 2024 the unit trust entered into the following transactions with related parties: ●

The unit trust recorded a loan receivable to Atrium Body Corporate at 30 June 2024 equal to $1,427,780. The loan was provided on interest free terms and is repayable on demand.

Note 15. Commitments The unit trust has no commitments contracted for which would be provided for in future reporting periods.

Note 16. Contingencies There were no contingent liabilities or contingent assets at the date of this report.

Note 17. Events after the reporting period No matter or circumstance has arisen since 30 June 2024 that has significantly affected, or may significantly affect the unit trust's operations, the results of those operations, or the unit trust's state of affairs in future financial years.

14

The Trustee for Atrium Resort Hotel - Managed Investment Scheme Directors' declaration 30 June 2024 In the opinion of the directors of the responsible entity: ●

the attached financial statements and notes comply with the Australian Accounting Standards - Simplified Disclosures.

●

the attached financial statements and notes give a true and fair view of the unit trust's financial position as at 30 June 2024 and of its performance for the financial year ended on that date; and

●

there are reasonable grounds to believe that the unit trust will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of directors made pursuant to section 295(5)(a) of the Corporations Act 2001.

On behalf of the directors

___________________________ Jamie Trawinski Director

___________________________ Kerry Lee Director

21 November 2024

15

Independent auditor’s report to the Directors of The Trustee for Atrium Resort Hotel - Managed Investment Scheme Report on the audit of the financial statements Opinion We have audited the financial report of The Trustee for Atrium Resort Hotel - Managed Investment Scheme (the unit trust), which comprises: ▪ ▪ ▪ ▪ ▪ ▪

Statement of financial position as at 30 June 2024 Statement of profit or loss and other comprehensive income for the year then ended Statement of changes in equity for the year then ended Statement of cash flows for the year then ended Notes comprising a summary of significant accounting policies and other explanatory notes The directors' declaration of the unit trust.

In our opinion, the financial report of the unit trust is in accordance with the Corporations Act 2001, including: i.

giving a true and fair view of the unit trust’s financial position as at 30 June 2024 and of its financial performance for the year ended on that date, and ii. complying with Australian Accounting Standards – Simplified Disclosures.

Basis for opinion We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of our report.

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

Independence We are independent of the unit trust in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board's APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

Directors’ responsibility for the financial report The directors of the unit trust are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards – Simplified Disclosures and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the directors are responsible for assessing the unit trust’s ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the unit trust or cease operations, or have no realistic alternative but to do so.

Auditor’s responsibility for the audit of the financial report Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatement can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. We also: ▪

Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

▪

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the unit trust’s internal control.

▪

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.

▪

Conclude on the appropriateness of the directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the unit trust’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the unit trust to cease to continue as a going concern.

▪

Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.

▪

Communicate with the directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Andrew Frewin Stewart 61 Bull Street, Bendigo, 3550 Dated this 21st day of November 2024

Adrian Downing Lead Auditor

Atrium Body Corporate ABN 83 733 720 581

Financial Report - 30 June 2024

Atrium Body Corporate Contents 30 June 2024 Council of owners' report Statement of profit or loss and other comprehensive income Statement of financial position Statement of changes in equity Statement of cash flows Notes to the financial statements Council of owners' declaration Independent auditor's report to the members of Atrium Body Corporate

1

2 3 4 5 6 7 13 14

Atrium Body Corporate Council of owners' report 30 June 2024 The council of owners present their report, together with the financial statements, on the body corporate for the year ended 30 June 2024.

Council of owners The following persons were council of owners of the body corporate during the whole of the financial year and up to the date of this report, unless otherwise stated: Mr. Jamie Trawinski Ms. Kerry Lee Review of operations The profit for the body corporate after providing for income tax amounted to $1,890,993 (30 June 2023: $101,048).

Principal activities The principal activity of the body corporate during the financial year was the provision of accommodation.

Significant changes in the state of affairs There were no significant changes in the state of affairs of the body corporate during the financial year.

Matters subsequent to the end of the financial year No matter or circumstance has arisen since 30 June 2024 that has significantly affected or may significantly affect the body corporate's operations, the results of those operations, or the body corporate's state of affairs in future financial years.

Likely developments and expected results of operations No matter, circumstance or likely development in operations has arisen during or since the end of the financial year that has significantly affected or may significantly affect the operations of the body corporate, the results of those operations or the state of affairs of the body corporate.

Environmental regulation The body corporate is not subject to any significant environmental regulation under Australian Commonwealth or State law.

Indemnity and insurance of Council of Owners and officers Disclosure of the nature of the liability and the amount of the premium is prohibited by the confidentiality clause of the contract of insurance.

Proceedings on behalf of the body corporate No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the body corporate, or to intervene in any proceedings to which the body corporate is a party for the purpose of taking responsibility on behalf of the body corporate for all or part of those proceedings.

No proceedings have been brought or intervened in on behalf of the body corporate with leave of the Court under section 237 of the Corporations Act 2001.

Indemnity and insurance of auditor During the financial year, the body corporate has not paid a premium in respect of a contract to insure the auditor of the body corporate or any related entity.

On behalf of the council of owners

___________________________ Jamie Trawinski

___________________________ Kerry Lee

21 November 2024

2

Atrium Body Corporate Statement of profit or loss and other comprehensive income For the year ended 30 June 2024 Note

2024 $

2023 $

984,277

1,192,909

13,580 168,463 1,454,545 2,620,865

19,740 46,763 37,675 1,297,087

Expenses Insurance fees Depreciation and amortisation expense Management fees Occupancy expense Professional fees Repairs and maintenance Finance costs Other expenses Total expenses

(15,198) (60,318) (34,380) (207,478) (30,061) (173,489) (92,972) (115,976) (729,872)

(60,817) (75,644) (36,214) (204,579) (90,653) (300,576) (137,020) (290,536) (1,196,039)

Profit before income tax expense

1,890,993

101,048

-

-

1,890,993

101,048

-

-

1,890,993

101,048

Total revenue from contracts with customers

3

Interest revenue Other income Special levy income Gross profit from trading

4

Income tax expense Profit after income tax expense for the year Other comprehensive income for the year, net of tax Total comprehensive income for the year

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes 3

Atrium Body Corporate Statement of financial position As at 30 June 2024 Note

2024 $

2023 $

Assets Current assets Cash and cash equivalents Trade and other receivables Total current assets

5 6

405,361 1,727,397 2,132,758

70,419 221,941 292,360

Non-current assets Trade and other receivables Investments Property, plant and equipment Total non-current assets

6 7 8

523,715 1 308,925 832,641

523,715 1 368,026 891,742

2,965,399

1,184,102

Total assets Liabilities Current liabilities Trade and other payables Borrowings Total current liabilities

9 10

447,806 1,477,044 1,924,850

573,479 485,536 1,059,015

Non-current liabilities Borrowings Total non-current liabilities

10

-

975,531 975,531

Total liabilities

1,924,850

2,034,546

Net assets/(liabilities)

1,040,549

(850,444)

Equity Retained earnings

1,040,549

(850,444)

Total equity/(deficiency)

1,040,549

(850,444)

The above statement of financial position should be read in conjunction with the accompanying notes 4

Atrium Body Corporate Statement of changes in equity For the year ended 30 June 2024 Retained earnings $ Balance at 1 July 2022

(951,492)

Profit after income tax expense for the year Other comprehensive income for the year, net of tax

101,048 -

Total comprehensive income for the year

101,048

Balance at 30 June 2023

(850,444) Retained earnings $

Balance at 1 July 2023

(850,444)

Profit after income tax expense for the year Other comprehensive income for the year, net of tax

1,890,993 -

Total comprehensive income for the year

1,890,993

Balance at 30 June 2024

1,040,549

The above statement of changes in equity should be read in conjunction with the accompanying notes 5

Atrium Body Corporate Statement of cash flows For the year ended 30 June 2024 Note Cash flows from operating activities Receipts from customers (inclusive of GST) Payments to suppliers (inclusive of GST) Interest received Interest and other finance costs paid

2024 $

2023 $

1,075,422 (675,849) 13,580 (92,972)

1,433,848 (1,260,165) 19,740 (137,020)

Net cash from operating activities

13

320,181

56,403

Cash flows from investing activities Payments for property, plant and equipment

8

(1,217)

-

Net cash used in investing activities

(1,217)

-

Cash flows from financing activities Proceeds from borrowings Repayment of borrowings

15,978 -

(193,109)

Net cash from/(used in) financing activities

15,978

(193,109)

Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year

334,942 70,419

(136,706) 207,125

405,361

70,419

Cash and cash equivalents at the end of the financial year

5

The above statement of cash flows should be read in conjunction with the accompanying notes 6

Atrium Body Corporate Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information The financial statements cover Atrium Body Corporate as an individual entity. Atrium Body Corporate is a for-profit entity, established and domiciled in Australia.

Basis of preparation These general purpose financial statements have been prepared in accordance with the Australian Accounting Standards Simplified Disclosures issued by the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate for for-profit oriented entities.

Statement of compliance The body corporate does not have 'public accountability' as defined in AASB 1053: Application of Tiers of Australian Accounting Standards and is therefore eligible to apply the 'Tier 2' reporting framework under Australian Accounting Standards.

The financial statements comply with the recognition and measurement requirements of Australian Accounting Standards, the presentation requirements in those Standards as modified by AASB 1060: General Purpose Financial Statements - Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities (AASB 1060) and the disclosure requirements in AASB 1060.

Accordingly, the financial statements comply with Australian Accounting Standards – Simplified Disclosures.

Income tax As a body corporate, the principle of mutuality is applied and mutual income derived by the body corporate is exempt from income tax. As such, no provision has been made in the financial statements for income tax expense or income tax payable.

Historical cost convention The financial statements have been prepared under the historical cost convention.

Critical accounting estimates The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the body corporate's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 2.

Going concern The financial statements have been prepared on a going concern basis, which contemplates continuity of normal business activities and the realisation of assets and the settlement of liabilities in the ordinary course of business.

Functional and presentation currency and rounding The financial statements are presented in Australian dollars, which is the body corporate's functional and presentation currency, and are rounded to the nearest dollar.

Adoption of new and revised accounting standards The body corporate has adopted all of the new or amended Accounting Standards and Interpretations issued by the AASB that are mandatory for the current financial year. A description of the impact of new or amended Accounting Standards and Interpretations that have had a material impact on the body corporate during the current financial year is outlined below: AASB 2021-2 Amendments to Australian Accounting Standards – Disclosure of Accounting Policies and Definition of Accounting Estimates is mandatory for annual reporting periods beginning on or after 1 January 2023 and was adopted by the body corporate in the preparation of the 30 June 2024 financial statements.

AASB 2021-2 includes amendments to AASB 101 Presentation of Financial Statements, requiring the body corporate to disclose material accounting policy information in its financial statements rather than significant accounting policies which was required in previous financial years. Accounting policy information is material if it, when considered with other information, could reasonably be expected to influence decisions of primary users based on the financial statements.

Adoption of AASB 2021-2 has had no impact on the numerical information disclosed in the body corporate’s financial statements. Rather, adoption has required the body corporate to remove significant accounting policy information from the notes to the financial statements that is not considered material.

7

Atrium Body Corporate Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information (continued) Accounting standards issued but not yet effective An assessment of accounting standards and interpretations issued by the AASB that are not yet mandatorily applicable to the body corporate has been performed. No new or amended Accounting Standards or Interpretations that are not mandatory have been early adopted, nor are they expected to have a material impact on the body corporate in future financial years.

Current and non-current classification Assets and liabilities are presented in the statement of financial position based on current and non-current classification.

Impairment of non-financial assets Non-financial assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount.

Recoverable amount is the higher of an asset's fair value less costs of disposal and value-in-use. The value-in-use is the present value of the estimated future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cash-generating unit to which the asset belongs. Assets that do not have independent cash flows are grouped together to form a cash-generating unit.

Note 2. Critical accounting judgements, estimates and assumptions Identifying performance obligations under AASB 15 To identify a performance obligation under AASB 15: Revenue from Contracts with Customers, the promise must be sufficiently specific to be able to determine when the obligation is satisfied. Management exercises judgement to determine whether the promise is sufficiently specific by taking into account any conditions specified in the arrangement, explicit or implicit, regarding the promised goods or services. In making this assessment, management includes the nature/‐type, cost/‐value, quantity and the period of transfer related to the goods or services promised.

Determination and timing of revenue recognition under AASB 15 For each revenue stream, the owners corporation applies significant judgement to determine when a performance obligation has been satisfied and the transaction price that is to be allocated to each performance obligation.

Allowance for expected credit losses The allowance for expected credit losses assessment requires a degree of estimation and judgement. It is based on the lifetime expected credit loss, grouped based on days overdue, and makes assumptions to allocate an overall expected credit loss rate for each group. These assumptions include recent sales experience and historical collection rates. The body corporate do not consider the provision for expected credit losses to be material to the financial statements.

Estimation of useful lives of assets The body corporate determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.

Note 3. Revenue 2024 $

2023 $

Strata levies Utilities Equipment lease hire

433,888 247,889 302,500

502,579 304,837 385,493

Total revenue from contracts with customers

984,277

1,192,909

8

Atrium Body Corporate Notes to the financial statements 30 June 2024 Note 3. Revenue (continued) Disaggregation of revenue The disaggregation of revenue from contracts with customers is as follows:

Timing of revenue recognition Goods and services transferred at a point in time Services transferred over time

2024 $

2023 $

247,889 736,388

304,837 888,072

984,277

1,192,909

Accounting policy for revenue recognition Revenue is recognised as income when the right to receive payment is established, and it is probable that economic benefits associated with the transaction will flow to the entity.

Note 4. Special levy income 2024 $ Special levy income

1,454,545

2023 $ 37,675

Accounting policy for special levy income The special levy was established to facilitate the repayment of historical debts incurred by the Body Corporate. The repayment of these historical debts has now been fully completed. Distributed profits to owners from the unit trust will be applied against the special levy during the 2025 financial year.

Note 5. Cash and cash equivalents 2024 $ Current assets Cash at bank

405,361

2023 $ 70,419

Note 6. Trade and other receivables

Current assets Trade receivables Levies and utilities receivable Special levy receivable

Non-current assets Loans - related parties

2024 $

2023 $

38,016 89,381 1,600,000

35,288 186,653 -

1,727,397

221,941

523,715

523,715

2,251,112

745,656

Levies and utilities receivable Levies and utilities receivables are initially recognised at fair value and subsequently measured at amortized cost. They represent amounts due from property owners for shared property expenses and are generally due within the specified levy payment period. The body corporate may assess collectability as needed to ensure accurate valuation.

9

Atrium Body Corporate Notes to the financial statements 30 June 2024 Note 6. Trade and other receivables (continued) Special levy receivable Refer to note 4 for further details.

Loans - related parties The related party loans relate to interest free loans to Atrium Hotel Mandurah Pty Ltd. Note 7. Investments 2024 $ Non-current assets Shares in Atrium Hotel Mandurah Pty Ltd

2023 $ 1

1

Note 8. Property, plant and equipment 2024 $ Non-current assets Plant and equipment - at cost Less: Accumulated depreciation

2023 $

1,313,525 (1,004,600)

1,312,308 (944,282)

308,925

368,026

Reconciliations Reconciliations of the written down values at the beginning and end of the current financial year are set out below: Plant and equipment $

Total $

Balance at 1 July 2023 Additions Depreciation expense

368,026 1,217 (60,318)

368,026 1,217 (60,318)

Balance at 30 June 2024

308,925

308,925

Accounting policy for property, plant and equipment Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Depreciation is calculated on a diminishing basis to write off the net cost of each item of property, plant and equipment over their expected useful lives as follows: Plant and equipment

1 - 5 years

10

Atrium Body Corporate Notes to the financial statements 30 June 2024 Note 9. Trade and other payables 2024 $

2023 $

92,555 200,517 3,822 150,912

66,387 211,341 3,822 250,906 41,023

447,806

573,479

2024 $

2023 $

Current liabilities Loans - related parties

1,477,044

485,536

Non-current liabilities Bank loans

-

975,531

1,477,044

1,461,067

Current liabilities Trade payables Income in advance Accrued expenses Amounts payable to the ATO GST payable

Note 10. Borrowings

Accounting policy for borrowings Loans and borrowings are initially recognised at the fair value of the consideration received, net of transaction costs. They are subsequently measured at amortised cost using the effective interest method.

Loans to related parties The related party loans relate to interest free loans from owners and The Trustee for Atrium Resort Hotel - Managed Investment Scheme.

Note 11. Key management personnel disclosures The following persons were members of the council of owners of the body corporate during the financial year and/or up to the date of signing of these Financial Statements: Mr. Jamie Trawinski Ms. Kerry Lee No member of the body corporate receives remuneration for services.

There are no executives within the body corporate whose remuneration is required to be disclosed.

Note 12. Related party transactions Transactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.

No member of the council of owners or related entity has entered into a material contract with the body corporate. No council of owner's fees have been paid.

During the year ended 30 June 2024 the body corporate entered into the following transactions with related parties:

11

Atrium Body Corporate Notes to the financial statements 30 June 2024 Note 12. Related party transactions (continued) ● ● ●

The body corporate recorded a loan payable to Atrium Hotel MIS - Unit Trust at 30 June 2024 equal to $1,427,781. The loan was provided on interest free terms and is repayable on demand.

The body corporate recorded a loan receivable from Atrium Hotel Mandurah Pty Ltd at 30 June 2024 equal to $523,715.

The loan was provided on interest free terms and is repayable on demand.

The body corporate recorded a loan payable to owners of the Body Corporate at 30 June 2024 equal to $49,263. The loan was provided on interest free terms and is repayable on demand.

Note 13. Cash flow information

Profit after income tax expense for the year Adjustments for: Depreciation and amortisation Change in operating assets and liabilities: Decrease/(increase) in trade and other receivables Decrease in trade and other payables Net cash from operating activities

2024 $

2023 $

1,890,993

101,048

60,318

75,644

(1,505,456) (125,674)

108,124 (228,413)

320,181

56,403

Note 14. Commitments The body corporate has no commitments contracted for which would be provided for in future reporting periods.

Note 15. Contingencies The body corporate is currently involved in a legal dispute regarding an alleged loan claimed by David Evans. In 2020, David Evans, who previously served as Chairperson and Director of Atrium Hotel Mandurah, claimed he had provided three payments of $50,000 each to the body corporate over a span of several years. David Evans is pursuing legal action to recover these alleged loans. During the reporting year, the alleged loan has been recorded as forgiven in the financial statements, as its resolution is contingent upon the outcome of an ongoing court case and potential settlement. Management is monitoring the legal proceedings closely and will adjust the accounting treatment as necessary, depending on the final outcome of the case.

There were no other contingent liabilities or contingent assets at the date of this report.

Note 16. Events after the reporting period No matter or circumstance has arisen since 30 June 2024 that has significantly affected, or may significantly affect the body corporate's operations, the results of those operations, or the body corporate's state of affairs in future financial years.

Note 17. Remuneration of auditors Audit fees for all entities have been recorded within the The Trustee for Atrium Resort Hotel - Managed Investment Scheme accounts.

12

Atrium Body Corporate Council of owners' declaration 30 June 2024 In the council of owners' opinion: ●

the attached financial statements and notes comply with the Australian Accounting Standards - Simplified Disclosures.

●

the attached financial statements and notes give a true and fair view of the body corporate's financial position as at 30 June 2024 and of its performance for the financial year ended on that date; and

●

there are reasonable grounds to believe that the body corporate will be able to pay its debts as and when they become due and payable.

On behalf of the council of owners

___________________________ Jamie Trawinski

___________________________ Kerry Lee

21 November 2024

13

Independent auditor’s report to the council of owners of Atrium Body Corporate Report on the audit of the financial statements Opinion We have audited the financial report of Atrium Body Corporate (the body corporate), which comprises: ▪ ▪ ▪ ▪ ▪ ▪

Statement of financial position as at 30 June 2024 Statement of profit or loss and other comprehensive income for the year then ended Statement of changes in equity for the year then ended Statement of cash flows for the year then ended Notes comprising a summary of significant accounting policies and other explanatory notes The council of owners' declaration of the body corporate.

In our opinion, the financial report of the body corporate is in accordance with the Corporations Act 2001, including: i.

giving a true and fair view of the body corporate’s financial position as at 30 June 2024 and of its financial performance for the year ended on that date, and ii. complying with Australian Accounting Standards – Simplified Disclosures.

Basis for opinion We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of our report.

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

Independence We are independent of the body corporate in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board's APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

Council of owners’ responsibility for the financial report The council of owners of the body corporate are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards – Simplified Disclosures and the Corporations Act 2001 and for such internal control as the council of owners determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the council of owners are responsible for assessing the body corporate’s ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless the council of owners either intend to liquidate the body corporate or cease operations, or have no realistic alternative but to do so.

Auditor’s responsibility for the audit of the financial report Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatement can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. We also: ▪

Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

▪

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the body corporate’s internal control.

▪

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the council of owners.

▪

Conclude on the appropriateness of the council of owners’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the body corporate’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the body corporate to cease to continue as a going concern.

▪

Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.

▪

Communicate with the council of owners regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Andrew Frewin Stewart 61 Bull Street, Bendigo, 3550 Dated this 21st day of November 2024

Adrian Downing Lead Auditor

Atrium Hotel Mandurah Pty Ltd ABN 96 102 783 942

Financial Report - 30 June 2024

Atrium Hotel Mandurah Pty Ltd Contents 30 June 2024 Directors' report Auditor's independence declaration Statement of profit or loss and other comprehensive income Statement of financial position Statement of changes in equity Statement of cash flows Notes to the financial statements Directors' declaration Independent auditor's report to the members of Atrium Hotel Mandurah Pty Ltd

1

2 4 5 6 7 8 9 14 15

Atrium Hotel Mandurah Pty Ltd Directors' report 30 June 2024 The directors present their report, together with the financial statements, on the company for the year ended 30 June 2024.

Directors The following persons were directors of the company during the whole of the financial year and up to the date of this report, unless otherwise stated: Mr. Jamie Trawinski Ms. Kerry Lee Review of operations The profit for the company after providing for income tax amounted to $17,718 (30 June 2023: $12,357).

Operations have continued to perform in line with expectations.

Principal activities The principal activity of the company during the financial year was the provision of accommodation and hospitality.

Significant changes in the state of affairs There were no significant changes in the state of affairs of the company during the financial year.

Matters subsequent to the end of the financial year No matter or circumstance has arisen since 30 June 2024 that has significantly affected or may significantly affect the company's operations, the results of those operations, or the company's state of affairs in future financial years.

Likely developments and expected results of operations No matter, circumstance or likely development in operations has arisen during or since the end of the financial year that has significantly affected or may significantly affect the operations of the company, the results of those operations or the state of affairs of the company.

Environmental regulation The company is not subject to any significant environmental regulation under Australian Commonwealth or State law.

Indemnity and insurance of directors and officers Disclosure of the nature of the liability and the amount of the premium is prohibited by the confidentiality clause of the contract of insurance.

Proceedings on behalf of the company No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the company, or to intervene in any proceedings to which the company is a party for the purpose of taking responsibility on behalf of the company for all or part of those proceedings.

No proceedings have been brought or intervened in on behalf of the company with leave of the Court under section 237 of the Corporations Act 2001.

Indemnity and insurance of auditor During the financial year, the company has not paid a premium in respect of a contract to insure the auditor of the company or any related entity.

Auditor's independence declaration A copy of the auditor's independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after this directors' report.

2

Atrium Hotel Mandurah Pty Ltd Directors' report 30 June 2024 This report is made in accordance with a resolution of directors, pursuant to section 298(2)(a) of the Corporations Act 2001.

On behalf of the directors

___________________________ Jamie Trawinski Director

___________________________ Kerry Lee Director

21 November 2024

3

Lead auditor’s independence declaration to the Directors of Atrium Hotel Mandurah Pty Ltd As lead auditor for the audit of Atrium Hotel Mandurah Pty Ltd for the year ended 30 June 2024, I declare that, to the best of my knowledge and belief, there have been: i) no contraventions of the auditor independence requirements in relation to the audit, and ii) no contraventions of any applicable code of professional conduct in relation to the audit.

Andrew Frewin Stewart 61 Bull Street, Bendigo Vic 3550 Dated 21 November 2024

Adrian Downing Lead Auditor

Atrium Hotel Mandurah Pty Ltd Statement of profit or loss and other comprehensive income For the year ended 30 June 2024 Note Total revenue from contracts with customers

3

2024 $

2023 $

80,164

165,495

Finance income Gross profit from trading

33 80,197

159 165,654

Expenses Repairs and maintenance Finance costs Strata levies Depreciation and amortisation expense Other expenses Total expenses

(30,452) (23,406) (30,909) (12,182) (966) (97,915)

(85,137) (23,065) (31,333) (12,394) (1,368) (153,297)

Profit/(loss) before income tax expense

(17,718)

12,357

-

-

Profit/(loss) after income tax expense for the year

(17,718)

12,357

Other comprehensive income for the year, net of tax

-

-

(17,718)

12,357

Income tax expense

Total comprehensive income for the year

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes 5

Atrium Hotel Mandurah Pty Ltd Statement of financial position As at 30 June 2024 Note

2024 $

2023 $

Assets Current assets Cash and cash equivalents Trade and other receivables Total current assets

4 5

1,028 7,226 8,254

8,261 63,545 71,806

Non-current assets Property, plant and equipment Total non-current assets

6

763,614 763,614

775,796 775,796

771,868

847,602

Total assets Liabilities Current liabilities Trade and other payables Borrowings Total current liabilities

7 8

4,217 604,372 608,589

50,821 581,615 632,436

Non-current liabilities Borrowings Total non-current liabilities

8

214,758 214,758

248,927 248,927

Total liabilities

823,347

881,363

Net liabilities

(51,479)

(33,761)

Equity Issued capital Retained earnings

1 (51,480)

1 (33,762)

Total deficiency in equity

(51,479)

(33,761)

The above statement of financial position should be read in conjunction with the accompanying notes 6

Atrium Hotel Mandurah Pty Ltd Statement of changes in equity For the year ended 30 June 2024 Issued

Retained

capital $

earnings $

Total deficiency in equity $

Balance at 1 July 2022

1

(46,119)

(46,118)

Profit after income tax expense for the year Other comprehensive income for the year, net of tax

-

12,357 -

12,357 -

Total comprehensive income for the year

-

12,357

12,357

Balance at 30 June 2023

1

(33,762)

(33,761)

Issued

Retained

Capital $

earnings $

Total deficiency in equity $

Balance at 1 July 2023

1

(33,762)

(33,761)

Loss after income tax expense for the year Other comprehensive income for the year, net of tax

-

(17,718) -

(17,718) -

Total comprehensive income for the year

-

(17,718)

(17,718)

Balance at 30 June 2024

1

(51,480)

(51,479)

The above statement of changes in equity should be read in conjunction with the accompanying notes 7

Atrium Hotel Mandurah Pty Ltd Statement of cash flows For the year ended 30 June 2024 Note

2024 $

2023 $

144,499 (116,947) 33 (23,406)

88,180 (23,573) 159 (23,065)

4,179

41,701

Cash flows from financing activities Net proceeds/(repayment) of bank loans Net loans from/(to) related parties

214,758 (226,170)

(40,900) 669

Net cash used in financing activities

(11,412)

(40,231)

Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year

(7,233) 8,261

1,470 6,791

1,028

8,261

Cash flows from operating activities Receipts from customers (inclusive of GST) Payments to suppliers and employees (inclusive of GST) Interest received Interest and other finance costs paid Net cash from operating activities

11

Cash and cash equivalents at the end of the financial year

4

The above statement of cash flows should be read in conjunction with the accompanying notes 6

Atrium Hotel Mandurah Pty Ltd Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information The financial statements cover Atrium Hotel Mandurah Pty. Ltd. as an individual entity. Atrium Hotel Mandurah Pty. Ltd. is a trustee and for-profit company, established and domiciled in Australia.

Basis of preparation These general purpose financial statements have been prepared in accordance with the Australian Accounting Standards Simplified Disclosures issued by the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate for for-profit oriented entities.

Statement of compliance The company does not have 'public accountability' as defined in AASB 1053: Application of Tiers of Australian Accounting Standards and is therefore eligible to apply the 'Tier 2' reporting framework under Australian Accounting Standards.

The financial statements comply with the recognition and measurement requirements of Australian Accounting Standards, the presentation requirements in those Standards as modified by AASB 1060: General Purpose Financial Statements - Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities (AASB 1060) and the disclosure requirements in AASB 1060.

Accordingly, the financial statements comply with Australian Accounting Standards – Simplified Disclosures.

Historical cost convention The financial statements have been prepared under the historical cost convention.

Critical accounting estimates The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the company's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 2.

Going concern The financial statements have been prepared on a going concern basis, which contemplates continuity of normal business activities and the realisation of assets and the settlement of liabilities in the ordinary course of business.

The company incurred a deficit of $17,718 during the financial year, and recorded a working capital deficiency at 30 June 2024, with current liabilities of $608,589 exceeding its current assets of $8,254. These conditions raise doubt about the company’s ability to continue as a going concern, however it is noted the unit trust has agreed to support the company as required for the foreseeable future. As such, the financial statements have been prepared on the going concern basis.

Functional and presentation currency and rounding The financial statements are presented in Australian dollars, which is the company's functional and presentation currency, and are rounded to the nearest dollar.

Adoption of new and revised accounting standards The company has adopted all of the new or amended Accounting Standards and Interpretations issued by the AASB that are mandatory for the current financial year. A description of the impact of new or amended Accounting Standards and Interpretations that have had a material impact on the company during the current financial year is outlined below: AASB 2021-2 Amendments to Australian Accounting Standards – Disclosure of Accounting Policies and Definition of Accounting Estimates is mandatory for annual reporting periods beginning on or after 1 January 2023 and was adopted by the company in the preparation of the 30 June 2024 financial statements.

AASB 2021-2 includes amendments to AASB 101 Presentation of Financial Statements, requiring the company to disclose material accounting policy information in its financial statements rather than significant accounting policies which was required in previous financial years. Accounting policy information is material if it, when considered with other information, could reasonably be expected to influence decisions of primary users based on the financial statements.

Adoption of AASB 2021-2 has had no impact on the numerical information disclosed in the company’s financial statements.

Rather, adoption has required the company to remove significant accounting policy information from the notes to the financial statements that is not considered material.

9

Atrium Hotel Mandurah Pty Ltd Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information (continued) Accounting standards issued but not yet effective An assessment of accounting standards and interpretations issued by the AASB that are not yet mandatorily applicable to the company has been performed. No new or amended Accounting Standards or Interpretations that are not mandatory have been early adopted, nor are they expected to have a material impact on the company in future financial years.

Current and non-current classification Assets and liabilities are presented in the statement of financial position based on current and non-current classification.

Impairment of non-financial assets Non-financial assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount.

Recoverable amount is the higher of an asset's fair value less costs of disposal and value-in-use. The value-in-use is the present value of the estimated future cash flows relating to the asset using a pre-tax discount rate specific to the asset or cash-generating unit to which the asset belongs. Assets that do not have independent cash flows are grouped together to form a cash-generating unit.

Economic dependence The company is economically dependent on related parties, specifically the unit trust, for the majority of its revenue required to operate the business. At the date of this report, the directors have no reason to believe that the support from the unit trust will not continue to sustain the association and its operations.

Note 2. Critical accounting judgements, estimates and assumptions Estimation of useful lives of assets The company determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.

Identifying performance obligations under AASB 15 To identify a performance obligation under AASB 15: Revenue from Contracts with Customers, the promise must be sufficiently specific to be able to determine when the obligation is satisfied. Management exercises judgement to determine whether the promise is sufficiently specific by taking into account any conditions specified in the arrangement, explicit or implicit, regarding the promised goods or services. In making this assessment, management includes the nature/-type, cost/value, quantity and the period of transfer related to the goods or services promised.

Determination and timing of revenue recognition under AASB 15 For each revenue stream, the company applies significant judgement to determine when a performance obligation has been satisfied and the transaction price that is to be allocated to each performance obligation. The output method is used to recognise revenue once performance obligations are satisfied and goods/services are transferred to a customer.

Note 3. Revenue 2024 $

2023 $

Rental revenue Variable outgoings - MIS

60,000 20,164

60,000 105,495

Total revenue from contracts with customers

80,164

165,495

10

Atrium Hotel Mandurah Pty Ltd Notes to the financial statements 30 June 2024 Note 3. Revenue (continued) Disaggregation of revenue The disaggregation of revenue from contracts with customers is as follows: 2024 $ Timing of revenue recognition Goods and services transferred at a point in time Services transferred over time

2023 $

20,164 60,000

105,495 60,000

80,164

165,495

Rent Rent revenue from investment properties is recognised on a straight-line basis over the lease term. Lease incentives granted are recognised as part of the rental revenue. Contingent rentals are recognised as income in the period when earned.

Note 4. Cash and cash equivalents 2024 $ Current assets Cash at bank

1,028

2023 $ 8,261

Note 5. Trade and other receivables 2024 $ Current assets Trade receivables Loans - related parties GST receivable Amounts receivable from the ATO Prepayments

2023 $

3,657 3,569

24,473 33,957 5,115 -

7,226

63,545

Note 6. Property, plant and equipment 2024 $

2023 $

500,000

500,000

Buildings - at cost Less: Accumulated depreciation

411,343 (164,818) 246,525

411,343 (154,534) 256,809

Furniture and fittings - at cost Less: Accumulated depreciation

36,006 (18,917) 17,089

36,006 (17,019) 18,987

763,614

775,796

Non-current assets Land - at cost

11

Atrium Hotel Mandurah Pty Ltd Notes to the financial statements 30 June 2024 Note 6. Property, plant and equipment (continued) Reconciliations Reconciliations of the written down values at the beginning and end of the current financial year are set out below: Land $

Buildings $

Furniture and fittings $

Total $

Balance at 1 July 2023 Depreciation expense

500,000 -

256,809 (10,284)

18,987 (1,898)

775,796 (12,182)

Balance at 30 June 2024

500,000

246,525

17,089

763,614

Accounting policy for property, plant and equipment Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Depreciation is calculated to write off the net cost of each item of property, plant and equipment (excluding land) over their expected useful lives as follows: Buildings Furniture and fittings

40 years 10 years

Note 7. Trade and other payables 2024 $ Current liabilities Trade payables GST payable

2023 $

3,575 642

50,821 -

4,217

50,821

Note 8. Borrowings

Current liabilities Bank loans Loans - related parties

Non-current liabilities Bank loans

2024 $

2023 $

57,900 546,472

57,900 523,715

604,372

581,615

214,758

248,927

819,130

830,542

Accounting policy for borrowings Loans and borrowings are initially recognised at the fair value of the consideration received, net of transaction costs. They are subsequently measured at amortised cost using the effective interest method.

Loans - related parties The related party loan relates to an interest free loan from Atrium Body Corporate and The Trustee for Atrium Resort Hotel Managed Investment Scheme.

12

Atrium Hotel Mandurah Pty Ltd Notes to the financial statements 30 June 2024 Note 9. Key management personnel disclosures The following persons were directors of the company during the financial year and/or up to the date of signing of these Financial Statements: Mr. Jamie Trawinski Ms. Kerry Lee No director of the company receives remuneration for services as a director.

There are no executives within the company whose remuneration is required to be disclosed.

Note 10. Related party transactions Transactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.

No director or related entity has entered into a material contract with the company. No director's fees have been paid.

During the year ended 30 June 2024 the company entered into the following transactions with related parties: ● ●

The company recorded a loan payable to Atrium Body Corporate at 30 June 2024 equal to $523,716. The loan was provided on interest free terms and is repayable on demand.

The company recorded a loan payable from The Trustee for Atrium Resort Hotel - Managed Investment Scheme at 30 June 2024 equal to $22,756. The loan was provided on interest free terms and is repayable on demand.

Note 11. Commitments The company has no commitments contracted for which would be provided for in future reporting periods.

Note 12. Contingencies There were no contingent liabilities or contingent assets at the date of this report.

Note 13. Events after the reporting period No matter or circumstance has arisen since 30 June 2024 that has significantly affected, or may significantly affect the company's operations, the results of those operations, or the company's state of affairs in future financial years.

Note 14. Remuneration of auditors Audit fees for all entities have been recorded within the The Trustee for Atrium Resort Hotel - Managed Investment Scheme accounts.

13

Atrium Hotel Mandurah Pty Ltd Directors' declaration 30 June 2024 In the directors' opinion: ●

the attached financial statements and notes comply with the Australian Accounting Standards - Simplified Disclosures.

●

the attached financial statements and notes give a true and fair view of the company's financial position as at 30 June 2024 and of its performance for the financial year ended on that date; and

●

there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of directors made pursuant to section 295(5)(a) of the Corporations Act 2001.

On behalf of the directors

___________________________ Jamie Trawinski Director

___________________________ Kerry Lee Director

21 November 2024

14

Independent auditor’s report to the Directors of Atrium Hotel Mandurah Pty Ltd Report on the audit of the financial statements Opinion We have audited the financial report of Atrium Hotel Mandurah Pty Ltd’s (the company), which comprises: ▪ ▪ ▪ ▪ ▪ ▪

Statement of financial position as at 30 June 2024 Statement of profit or loss and other comprehensive income for the year then ended Statement of changes in equity for the year then ended Statement of cash flows for the year then ended Notes comprising a summary of significant accounting policies and other explanatory notes The directors' declaration of the company.

In our opinion, the financial report of the company is in accordance with the Corporations Act 2001, including: i.

giving a true and fair view of the company’s financial position as at 30 June 2024 and of its financial performance for the year ended on that date, and ii. complying with Australian Accounting Standards – Simplified Disclosures.

Basis for opinion We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Report section of our report.

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

Independence We are independent of the company in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board's APES 110 Code of Ethics for Professional Accountants (including Independence Standards) (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code.

Material uncertainty related to going concern We draw attention to Note 1 in the financial report, which indicates that the company incurred a deficit of $17,718 during the year ended 30 June 2024, further reducing the company’s net assets to ($51,479). The company recorded a working capital deficiency, with current liabilities of $608,589 exceeding is current assets of $8,254. These conditions, along with other matters as set forth in Note 1, indicate the existence of a material uncertainty that may cast doubt over the company’s ability to continue as a going concern and therefore, the company may be unable to realise its assets and discharge its liabilities in the normal course of business.

Directors’ responsibility for the financial report The directors of the company are responsible for the preparation of the financial report that gives a true and fair view in accordance with Australian Accounting Standards – Simplified Disclosures and the Corporations Act 2001 and for such internal control as the directors determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error.

In preparing the financial report, the directors are responsible for assessing the company’s ability to continue as a going concern, disclosing as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or cease operations, or have no realistic alternative but to do so.

Auditor’s responsibility for the audit of the financial report Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatement can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report.

As part of an audit in accordance with the Australian Auditing Standards, we exercise professional judgement and maintain professional scepticism throughout the audit. We also: ▪

Identify and assess the risks of material misstatement of the financial report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

▪

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal control.

▪

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.

▪

Conclude on the appropriateness of the directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern.

▪

Evaluate the overall presentation, structure and content of the financial report, including the disclosures, and whether the financial report represents the underlying transactions and events in a manner that achieves fair presentation.

▪

Communicate with the directors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Andrew Frewin Stewart 61 Bull Street, Bendigo, 3550 Dated this 21st day of November 2024

Adrian Downing Lead Auditor

Atrium Resort Hotel Group

Financial Report - 30 June 2024

Atrium Resort Hotel Group Contents 30 June 2024 Directors' report Statement of profit or loss and other comprehensive income Statement of financial position Statement of changes in equity Statement of cash flows Notes to the financial statements Directors' declaration Compilation report to the members of Atrium Resort Hotel Group

1

2 3 4 5 6 7 14 15

Atrium Resort Hotel Group Directors' report 30 June 2024 The directors present their report, together with the financial statements, on the consolidated entity (referred to hereafter as the 'group') consisting of Atrium Resort Hotel Group (referred to hereafter as the 'company' or 'parent entity') and the entities it controlled at the end of, or during, the year ended 30 June 2024.

Directors The following persons were directors of the group during the whole of the financial year and up to the date of this report, unless otherwise stated: Mr. Jamie Trawinski Ms. Kerry Lee Review of operations The profit for the group after providing for income tax amounted to $1,883,467 (30 June 2023: $173,602).

Principal activities The principal activity of the group during the financial year was the provision of accommodation and hospitality.

Significant changes in the state of affairs There were no significant changes in the state of affairs of the group during the financial year.

Matters subsequent to the end of the financial year No matter or circumstance has arisen since 30 June 2024 that has significantly affected or may significantly affect the group's operations, the results of those operations, or the group's state of affairs in future financial years.

Likely developments and expected results of operations No matter, circumstance or likely development in operations has arisen during or since the end of the financial year that has significantly affected or may significantly affect the operations of the group, the results of those operations or the state of affairs of the group.

Environmental regulation The group is not subject to any significant environmental regulation under Australian Commonwealth or State law.

Indemnity and insurance of officers The company has indemnified the directors and executives of the company for costs incurred, in their capacity as a director or executive, for which they may be held personally liable, except where there is a lack of good faith.

During the financial year, the company paid a premium in respect of a contract to insure the directors and executives of the company against a liability to the extent permitted by the Corporations Act 2001. The contract of insurance prohibits disclosure of the nature of the liability and the amount of the premium.

Proceedings on behalf of the company No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the company, or to intervene in any proceedings to which the company is a party for the purpose of taking responsibility on behalf of the company for all or part of those proceedings.

This report is made in accordance with a resolution of directors, pursuant to section 298(2)(a) of the Corporations Act 2001.

On behalf of the directors

___________________________ Jamie Trawinski Director

___________________________ Kerry Lee Director

21 November 2024

2

Atrium Resort Hotel Group Statement of profit or loss and other comprehensive income For the year ended 30 June 2024 Note Revenue

3

Consolidated 2024 2023 $ $ 6,945,483

5,121,526

13,613 247,889 24,930 (624,459) 1,454,545 8,062,001

19,896 304,837 154,572 (697,183) 37,675 4,941,323

Expenses Accounting and audit fees Insurance fees Employee benefits expense Management fees Depreciation and amortisation expense Strata levies Legal expenses Commission and merchant fees Consulting fees Occupancy expenses Professional fees Unit holder fees Repairs and maintenance Distribution to unitholders Finance costs Other expenses Total expenses

(90,325) (142,060) (1,848,729) (381,990) (139,653) (30,909) (49,377) (442,982) (67,298) (467,481) (30,061) (28,332) (182,405) (1,631,623) (130,103) (515,206) (6,178,534)

(195,526) (161,907) (1,906,719) (36,214) (146,204) (31,333) (36,393) (284,862) (154,399) (603,013) (90,653) (349,483) (176,167) (594,848) (4,767,721)

Profit before income tax expense

1,883,467

173,602

-

-

1,883,467

173,602

-

-

1,883,467

173,602

Interest revenue Utilities income Other income Cost of sales Special levy income Gross profit from trading

4

Income tax expense Profit after income tax expense for the year Other comprehensive income for the year, net of tax Total comprehensive income for the year

The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes 3

Atrium Resort Hotel Group Statement of financial position As at 30 June 2024 Note

Consolidated 2024 2023 $ $

Assets Current assets Cash and cash equivalents Trade and other receivables Inventories Special levy receivable Other Total current assets

5 6

907,770 169,379 24,550 1,600,000 61,745 2,763,444

235,538 262,352 25,852 61,932 585,674

112,116 1,153,176 1,265,292

166,673 1,170,153 1,336,826

4,028,736

1,922,500

904,857 113,150 56,717 39,803 1,631,623 2,746,150

1,003,899 366,855 54,567 31,643 1,456,964

214,758 53,949 268,707

1,224,458 110,666 1,335,124

Total liabilities

3,014,857

2,792,088

Net assets/(liabilities)

1,013,879

(869,588)

Equity Retained profits/(accumulated losses)

1,013,879

(869,588)

Total equity/(deficiency)

1,013,879

(869,588)

7

Non-current assets Right-of-use assets Property, plant and equipment Total non-current assets

8 9

Total assets Liabilities Current liabilities Trade and other payables Borrowings Lease liabilities Employee benefits Distribution to unitholders Total current liabilities

10 11 12 13

Non-current liabilities Borrowings Lease liabilities Total non-current liabilities

11 12

The above statement of financial position should be read in conjunction with the accompanying notes 4

Atrium Resort Hotel Group Statement of changes in equity For the year ended 30 June 2024 Retained Consolidated

profits $

Total deficiency in equity $

Balance at 1 July 2022

(1,043,190)

(1,043,190)

Profit after income tax expense for the year Other comprehensive income for the year, net of tax

173,602 -

173,602 -

Total comprehensive income for the year

173,602

173,602

Balance at 30 June 2023

(869,588)

(869,588)

Retained profits $

Consolidated

Total equity $

Balance at 1 July 2023

(869,588)

(869,588)

Profit after income tax expense for the year Other comprehensive income for the year, net of tax

1,883,467 -

1,883,467 -

Total comprehensive income for the year

1,883,467

1,883,467

Balance at 30 June 2024

1,013,879

1,013,879

The above statement of changes in equity should be read in conjunction with the accompanying notes 5

Atrium Resort Hotel Group Statement of cash flows For the year ended 30 June 2024 Note

Consolidated 2024 $

Cash flows from operating activities Receipts from customers (inclusive of GST) Payments to suppliers (inclusive of GST) Interest received Interest and other finance costs paid

7,189,550 (5,066,605) 13,613 (130,103)

-

Net cash from operating activities

2,006,455

-

66,902

-

66,902

-

Cash flows from financing activities Repayment of borrowings Repayment of lease liabilities

(1,111,020) (54,567)

-

Net cash used in financing activities

(1,165,587)

-

907,770 -

-

907,770

-

Cash flows from investing activities Payments for property, plant and equipment

9

Net cash from investing activities

Net increase in cash and cash equivalents Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year

5

The above statement of cash flows should be read in conjunction with the accompanying notes 6

Atrium Resort Hotel Group Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information Basis of preparation These general purpose financial statements have been prepared in accordance with the Australian Accounting Standards Simplified Disclosures issued by the Australian Accounting Standards Board ('AASB') and the Corporations Act 2001, as appropriate for for profit oriented entities.

Statement of compliance The group does not have 'public accountability' as defined in AASB 1053: Application of Tiers of Australian Accounting Standards and is therefore eligible to apply the 'Tier 2' reporting framework under Australian Accounting Standards.

The financial statements comply with the recognition and measurement requirements of Australian Accounting Standards, the presentation requirements in those Standards as modified by AASB 1060: General Purpose Financial Statements - Simplified Disclosures for For-Profit and Not-for-Profit Tier 2 Entities (AASB 1060) and the disclosure requirements in AASB 1060.

Accordingly, the financial statements comply with Australian Accounting Standards – Simplified Disclosures.

Historical cost convention The financial statements have been prepared under the historical cost convention.

Critical accounting estimates The preparation of the financial statements requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the group's accounting policies. The areas involving a higher degree of judgement or complexity, or areas where assumptions and estimates are significant to the financial statements, are disclosed in note 2.

Going concern The financial statements have been prepared on a going concern basis, which contemplates continuity of normal business activities and the realisation of assets and the settlement of liabilities in the ordinary course of business.

Functional and presentation currency and rounding The financial statements are presented in Australian dollars, which is the group's functional and presentation currency, and are rounded to the nearest dollar.

New or amended Accounting Standards and Interpretations adopted The group has adopted all of the new or amended Accounting Standards and Interpretations issued by the AASB that are mandatory for the current financial year. A description of the impact of new or amended Accounting Standards and Interpretations that have had a material impact on the group during the current financial year is outlined below: AASB 2021-2 Amendments to Australian Accounting Standards – Disclosure of Accounting Policies and Definition of Accounting Estimates is mandatory for annual reporting periods beginning on or after 1 January 2023 and was adopted by the group in the preparation of the 30 June 2024 financial statements.

AASB 2021-2 includes amendments to AASB 101 Presentation of Financial Statements, requiring the group to disclose material accounting policy information in its financial statements rather than significant accounting policies which was required in previous financial years. Accounting policy information is material if it, when considered with other information, could reasonably be expected to influence decisions of primary users based on the financial statements.

Adoption of AASB 2021-2 has had no impact on the numerical information disclosed in the group's financial statements.

Rather, adoption has required the group to remove significant accounting policy information from the notes to the financial statements that is not considered material.

Principles of consolidation The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of Atrium Resort Hotel Group ('company' or 'parent entity') as at 30 June 2024 and the results of all subsidiaries for the year then ended. Atrium Resort Hotel Group and its subsidiaries together are referred to in these financial statements as the 'group'.

Subsidiaries are all those entities over which the group has control. The group controls an entity when the group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the group. They are de-consolidated from the date that control ceases.

7

Atrium Resort Hotel Group Notes to the financial statements 30 June 2024 Note 1. Material accounting policy information (continued) Intercompany transactions, balances and unrealised gains on transactions between entities in the group are eliminated.

Unrealised losses are also eliminated unless the transaction provides evidence of the impairment of the asset transferred.

Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the group.

Current and non-current classification Assets and liabilities are presented in the statement of financial position based on current and non-current classification.

Goods and Services Tax ('GST') and other similar taxes Revenues, expenses and assets are recognised net of the amount of associated GST, unless the GST incurred is not recoverable from the tax authority. In this case it is recognised as part of the cost of the acquisition of the asset or as part of the expense.

Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST recoverable from, or payable to, the tax authority is included in other receivables or other payables in the statement of financial position.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing activities which are recoverable from, or payable to the tax authority, are presented as operating cash flows.

Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the tax authority.

Note 2. Critical accounting judgements, estimates and assumptions Allowance for expected credit losses The allowance for expected credit losses assessment requires a degree of estimation and judgement. It is based on the lifetime expected credit loss, grouped based on days overdue, and makes assumptions to allocate an overall expected credit loss rate for each group. These assumptions include recent sales experience and historical collection rates.

Estimation of useful lives of assets The group determines the estimated useful lives and related depreciation and amortisation charges for its property, plant and equipment and finite life intangible assets. The useful lives could change significantly as a result of technical innovations or some other event. The depreciation and amortisation charge will increase where the useful lives are less than previously estimated lives, or technically obsolete or non-strategic assets that have been abandoned or sold will be written off or written down.

Lease term The lease term is a significant component in the measurement of both the right-of-use asset and lease liability. Judgement is exercised in determining whether there is reasonable certainty that an option to extend the lease or purchase the underlying asset will be exercised, or an option to terminate the lease will not be exercised, when ascertaining the periods to be included in the lease term. In determining the lease term, all facts and circumstances that create an economical incentive to exercise an extension option, or not to exercise a termination option, are considered at the lease commencement date. Factors considered may include the importance of the asset to the group's operations; comparison of terms and conditions to prevailing market rates; incurrence of significant penalties; existence of significant leasehold improvements; and the costs and disruption to replace the asset. The group reassesses whether it is reasonably certain to exercise an extension option, or not exercise a termination option, if there is a significant event or significant change in circumstances.

8

Atrium Resort Hotel Group Notes to the financial statements 30 June 2024 Note 3. Revenue Consolidated 2024 2023 $ $ Sales - Accommodation Sales - Food Sales - Beverages Event revenue Room hire Rent Variable outgoings - MIS Strata levies

5,635,112 231,040 303,005 90,661 19,228 212,385 20,164 433,888

3,497,743 311,382 357,216 282,760 4,351 60,000 105,495 502,579

6,945,483

5,121,526

Accounting policy for revenue recognition Sales Revenue from hotel services, such as room bookings, food, and beverages, is recognised at the point in time when the customer obtains control over the service or goods. For room bookings, revenue is recognised when the guest checks in and gains access to the room. For food and beverages, revenue is typically recognised at the point of sale or delivery, when the customer receives their order.

Strata levies Revenue from strata levies is recognised as income when the right to receive payment is established, and it is probable that economic benefits associated with the transaction will flow to the entity.

Note 4. Special levy income Consolidated 2024 2023 $ $ Special levy income

1,454,545

37,675

Accounting policy for special levy income The special levy was established to facilitate the repayment of historical debts incurred by the Body Corporate. The repayment of these historical debts has now been fully completed. Distributed profits to owners from the unit trust will be applied against the special levy during the 2025 financial year.

Note 5. Cash and cash equivalents Consolidated 2024 2023 $ $ Current assets Cash at bank

907,770

9

235,538

Atrium Resort Hotel Group Notes to the financial statements 30 June 2024 Note 6. Trade and other receivables Consolidated 2024 2023 $ $ Current assets Trade receivables Levies and utilities receivable GST receivable ATO integrated client account Other receivables

48,629 89,381 3,657 27,712

64,799 186,653 5,109 5,791

169,379

262,352

Note 7. Special levy receivable Consolidated 2024 2023 $ $ Current assets Special levy receivable

1,600,000

-

Refer to note 4 for further details.

Note 8. Right-of-use assets Consolidated 2024 2023 $ $ Non-current assets Land and buildings - right-of-use Less: Accumulated depreciation

10

221,230 (109,114)

221,230 (54,557)

112,116

166,673

Atrium Resort Hotel Group Notes to the financial statements 30 June 2024 Note 9. Property, plant and equipment Consolidated 2024 2023 $ $ Non-current assets Land - at cost

500,000

500,000

Buildings - at cost Less: Accumulated depreciation

411,343 (164,818) 246,525

411,343 (154,534) 256,809

Plant and equipment - at cost Less: Accumulated depreciation

1,475,815 (1,091,238) 384,577

1,407,696 (1,024,794) 382,902

Furniture and fittings - at cost Less: Accumulated depreciation

36,006 (18,917) 17,089

36,006 (17,019) 18,987

Office equipment - at cost Less: Accumulated depreciation

13,021 (8,036) 4,985

13,021 (1,566) 11,455

1,153,176

1,170,153

Accounting policy for property, plant and equipment Plant and equipment is stated at historical cost less accumulated depreciation and impairment. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Depreciation is calculated on a straight-line basis to write off the net cost of each item of property, plant and equipment (excluding land) over their expected useful lives as follows: Buildings Plant and equipment Furniture and fittings Office equipment

40 years 5 years 5 years 5 years

The residual values, useful lives and depreciation methods are reviewed, and adjusted if appropriate, at each reporting date.

An item of property, plant and equipment is derecognised upon disposal or when there is no future economic benefit to the group. Gains and losses between the carrying amount and the disposal proceeds are taken to profit or loss.

Note 10. Trade and other payables Consolidated 2024 2023 $ $ Current liabilities Trade payables Income in advance Accrued expenses ATO integrated client account GST payable

11

305,659 351,325 70,492 301 177,080

282,239 271,927 79,801 318,189 51,743

904,857

1,003,899

Atrium Resort Hotel Group Notes to the financial statements 30 June 2024 Note 11. Borrowings Consolidated 2024 2023 $ $ Current liabilities Bank loans Loans - related parties

Non-current liabilities Bank loans

57,900 55,250

57,900 308,955

113,150

366,855

214,758

1,224,458

327,908

1,591,313

Accounting policy for borrowings The related party loans relate to interest free loans from owners.

Note 12. Lease liabilities Consolidated 2024 2023 $ $ Current liabilities Lease liability

56,717

54,567

Non-current liabilities Lease liability

53,949

110,666

110,666

165,233

Accounting policy for lease liabilities The above lease liability is for the commercial lease of the property, 1/65 Ormsby Terrace, Mandurah, WA 6210, between Atrium Hotel Mandurah Pty Ltd and the trust.

Note 13. Distribution to unitholders Consolidated 2024 2023 $ $ Current liabilities Distribution to unitholders

1,631,623

-

Accounting policy for distribution to unitholders At year-end, the trust has allocated the entirety of its distributable profit to unitholders. This distribution represents the full profit generated for the period and is payable in accordance with the trust deed. The distribution to unitholders is calculated based on the net profit for the period, after accounting for all relevant expenses, and is intended to be paid in full within the upcoming financial period.

Note 14. Key management personnel disclosures The following persons were directors of the group during the financial year and/or up to the date of signing of these Financial Statements:

12

Atrium Resort Hotel Group Notes to the financial statements 30 June 2024 Note 14. Key management personnel disclosures (continued) Mr. Jamie Trawinski Ms. Kerry Lee No director of the group receives remuneration for services as a director.

There are no executives within the group whose remuneration is required to be disclosed.

Note 15. Contingencies The body corporate is currently involved in a legal dispute regarding an alleged loan claimed by David Evans. In 2020, David Evans, who previously served as Chairperson and Director of Atrium Hotel Mandurah, claimed he had provided three payments of $50,000 each to the body corporate over a span of several years. David Evans is pursuing legal action to recover these alleged loans. During the reporting year, the alleged loan has been recorded as forgiven in the financial statements, as its resolution is contingent upon the outcome of an ongoing court case and potential settlement. Management is monitoring the legal proceedings closely and will adjust the accounting treatment as necessary, depending on the final outcome of the case.

There were no other contingent liabilities or contingent assets at the date of this report.

Note 16. Commitments The group has no commitments contracted for which would be provided for in future reporting periods.

Note 17. Events after the reporting period No matter or circumstance has arisen since 30 June 2024 that has significantly affected, or may significantly affect the group's operations, the results of those operations, or the group's state of affairs in future financial years.

13

Atrium Resort Hotel Group Directors' declaration 30 June 2024 In the directors' opinion: ●

the attached financial statements and notes comply with the Australian Accounting Standards - Simplified Disclosures.

●

the attached financial statements and notes give a true and fair view of the company's financial position as at 30 June 2024 and of its performance for the financial year ended on that date; and

●

there are reasonable grounds to believe that the group will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of directors made pursuant to section 295(5)(a) of the Corporations Act 2001.

On behalf of the directors

___________________________ Jamie Trawinski Director

___________________________ Kerry Lee Director

21 November 2024

14

Compilation report to Atrium Resort Hotel Group We have compiled the accompanying general purpose financial statements of Atrium Resort Hotel Group, which comprise the statement of financial position as at 30 June 2024, the statement of profit or loss and other comprehensive income, statement of changes in equity and statement of cash flows for the period then ended, a summary of material accounting policy information and other explanatory notes.

These have been prepared in accordance with the recognition and measurement requirements of Australian Accounting Standards and the mandatory disclosure requirements applicable to the preparation of general purpose financial statements in accordance with Australian Accounting Standards – Simplified Disclosures.

The responsibility of directors The Directors of Atrium Resort Hotel Group are solely responsible for the information contained in the general purpose financial statements, the reliability, accuracy and completeness of the information and for the determination that the financial reporting framework used is appropriate to meet their needs and for the purpose that the financial statements were prepared.

Our responsibility On the basis of information provided by management of Atrium Resort Hotel Group, we have compiled the accompanying general purpose financial statements in accordance with the financial reporting framework and APES 315 Compilation of Financial Information.

We have applied our expertise in accounting and financial reporting to compile these financial statements in accordance with the financial reporting framework Australian Accounting Standards – Simplified Disclosures. We have complied with the relevant ethical requirements of APES 110 Code of Ethics for Professional Accountants (including Independence Standards).

Assurance disclaimer Since a compilation engagement is not an assurance engagement, we are not required to verify the reliability, accuracy or completeness of the information provided to us by management to compile these financial statements. Accordingly, we do not express an audit opinion or a review conclusion on these financial statements.

Basis of accounting The general purpose financial statements were compiled exclusively to meet the needs of Directors of Atrium Resort Hotel Group who are responsible for the reliability, accuracy and completeness of the information used to compile them. Accordingly, these general purpose financial statements may not be suitable for other purposes. We do not accept responsibility for the contents of the general purpose financial statements.

Jessica Ritchie AFS & Associates Pty Ltd 61 Bull Street, Bendigo, 3550 Dated: 21 November 2024

6

APPENDICES APPENDIX 6.1 INTRODUCTION TO CONSULTANTS & 1834 HOTELS TEAM APPENDIX 6.2 APPROVED CORPORATE GOVERNANCE MODEL RESOLUTION PASSED [EGM 27 JUNE 2021, IMPLEMENTED 1 JULY 2021]

APPENDIX 6.3 PROJECT PHASES & IMPLEMENTATION PLAN APPENDIX 6.4 CORPORATE STRUCTURE

APPENDIX 6.1 INTRODUCTION TO CONSULTANTS CONSULTANTS DONNA BATES – STRATEGIC PLANNING CONSULTANT Donna Bates is an Award-winning Strategic Planning Consultant and Owner of OnPoint! Strategy. She has over 28+ years’ of experience in C-Suite Executive Leadership specialising in Corporate Strategy & Restructure, Governance and Marketing. She aligns companies to their Vision designing exceptional strategies to future-proof the companies she is consulting with, maximising sustainable profitability for ongoing growth. She’s worked for some of the world’s largest and most respected brands, most notably News Corporation and the Royal Automobile Clubs where she worked on National and International projects innovating and re-imagining these companies into agile, profitable businesses. She was also a Senior Media Advisor with the Department of Defence and is currently a member of the Australian Institute for Company Directors, Fellow of the Governance Institute of Australia, Conscious Capitalism, and the Centre for Public Integrity. In late 2020, Donna was the recipient of the Australian Women in Finance Award and runner-up for Businessperson of the Year with the RKCC in 2021. In 2022, she was awarded the Peel CCI Business of the Year. In 2023, she became the Chair of the Board of the Bendigo Bank and VicePresident for the Chamber of Commerce in Rockingham-Kwinana.

BARRY MANSOM – CHARTERED ACCOUNTANT & TAX ADVISOR Barrie Manson has been providing accounting and taxation advice to the hospitality sector for more than 30 years. He is the Chairman of MC Lewan Chartered Accountants a Chartered Tax Advisor and a Fellow of the Chartered Accountants Australia and New Zealand.

Barrie holds a Diploma of Financial Planning and is an Associate of the Institute of Credit Management, and is a Justice of the Peace in and for the State of South Australia.

MC Lewan Chartered Accountants were appointed to manage the Atrium’s accounts post-FY23 with the changeover to industry-specific USALI accounting systems.

CONSULTANTS VICKI MOUNTAIN – OWNER & SENIOR SOLICITOR Vicki Mountain is the owner of one of WA's premier boutique law firms.

She has represented clients in various courts and tribunals across Australia and is an admitted Barrister and Solicitor of the High Court of Australia and Supreme Court of Western Australia. Vicki has both accounting and legal qualifications providing her clients with a complete advocacy experience specialising in trade practices, contractual disputes, mediation, and conduct of major insolvency and other commercial litigation matters. Vicki's experience with the Department of Consumer and Employment Protection, various forensic accountants, and insolvency practitioners was instrumental to her engagement with (ASIC) the Australian Securities and Investment Commission, where she provided legal advice and appeared and assisted counsel with Federal Court actions concerning entities within the "Westpoint Group". During her engagement with ASIC, the Federal Court handed down the groundbreaking decision with ramifications for accessing trust assets if a debtor is deemed to be the ultimate controller of the trust funds. In 2000, she established Mountains Lawyers, providing access to affordable justice for her business clients. She is an active member/ committee member of the Insolvency Practitioners Association and the International Women's Insolvency Committee, and a member of the Executive Committee of the Rockingham-Kwinana Chamber of Commerce.

JAKE KNEEBONE - STRATA MANAGER Jake Kneebone is the Owner of ESM Strata Pty Ltd established in 1987.

ESM Strata is one of the largest Strata Management Companies in WA and has grown over this time, to manage in excess of 850 strata companies, representing over 11,000 lot proprietors. Jake has been a councillor of the Strata Titles Institute of WA (now SCA(WA)) and held committee positioning on Professional Standard, Law Review, and Business Planning. He was vice president and treasurer for a number of years. Jake is also a consultant to the property industry.

Jakes has represented the SCA(WA) on the Community Titles Advisory Committee (CTAC), a committee appointed by the Minister of Lands to advise the minister on community titles needs, including proposed amendments to the existing strata titles legislation. Jake is in regular contact to keep up to date with current practices and procedures in the eastern states to ensure that ESM embraces the latest technologies and practices.

HOTEL MANAGEMENT

ANDREW BULLOCK Chief Executive Officer 1834 Hotels

1834 HOTEL MANAGEMENT TEAM

LEIGH KENTWELL Managing Partner 1834 Hotels

SAM PARKER Director of Finance 1834 Hotels

SHARNI KING Vice President Operations 1834 Hotels

KRISTY COATES General Manager Atrium Hotel Mandurah (Employed by AHM)

1834 Hotels is an experienced, market leading, hospitality management company and consultancy specialising in the overall management of hotels, motels, pubs and resorts within the hospitality and tourism sectors.

We offer a complete “white label” management solution for investors, 1834 Hotels facilitates the undertaking of strategic operational, finance, WHS, sales, marketing, and revenue management for hospitality businesses.

1834 Hotels is working with Atrium owners to explore the strategic direction of the business and build a highly detailed budget and map daily revenue and expense totals to achieve and exceed those budget expectations.

Which has become evident since the takeover of the hotel management in February 2023.

1834 Hotels not only focus on growing and maximising top-line sales but as crucially focuses on the controls of variable expense lines (e.g. wages, kitchen cost of goods and general expenses). We are seeing this across the figures in this Annual Report and the current YTD financials for the Atrium Hotel Mandurah. We look forward to the next evolution of growth and returns for owners.

APPENDIX 6.2: APPROVED CORPORATE GOVERNANCE MODEL

The above model was tabled and agreed upon by the Council or Owners and Board collectively at a meeting on the 27th January 2021, placing strict governance and oversight across the entirety of the Atrium Group of Companies.

This structure can only work as it should if it is upheld and used to govern the companies that have governance and oversight of the Atrium Hotel Mandurah for and on behalf of the Owners of SP11104.

It is highly recommended that the adopted model including non-owner professionals used to support the Council of Owners and Board of Directors in their capacity as Auditor, Company Accountants, Legal, Strategic Advisory, and Strata Management due to the significant complexities now in the governance and hotel operational industry. This is to ensure unbiased compliance across all levels of operations and strategic implementation is upheld.

Multi-level oversight and accountability have been implemented to ensure compliance standards are maintained, and as noted above this is only as good as the commitment of the Owner governing bodies to ensure remains in place.

Some decisions made historically (including some 10-15 years ago) were devoid of compliance, governance, or oversight putting the Owners, the Directors, and the Strata company at risk. This is no longer acceptable and the new model will ensure this not happen.

IMPORTANT FOR ALL OWNERS! New strict government regulations surrounding employment law, OH&S manslaughter laws identify the company and directors as liable for non-compliance to OH&S regulations, along with other new Corporations and Strata Act provisions, and require additional resources to support them in their volunteer capacity roles. It is also recommended that the honorariums that were paid historically to directors and council of owner members be re-instated due to the hours required to be committed to these roles.

APPENDIX 6.3 ONPOINT STRATEGY PROJECT IMPLEMENTATION PROJECT PHASES 1, 2 & 3 AND IMPLEMENTATION PLAN FY23-4

CRISIS RECOVERY TO PRODUCTIVITY PHASE ONE JAN-MAR 2021 90-day turn-around Crisis Mgt to Productivity

CRISIS MANAGEMENT

OPERATIONAL OVERSIGHT

PHASE THREE

12-18 month goals:

Board of Advisors Monthly Oversight Operational Support

Consistent Operational Tempo Strong HR & Compliance Repay debt Increase Cashflow Increase Profitability Increase Value of Owner Investment

JUL-JUN 2022

Qtr 1/FY22

Qtr 2/FY22

Qtr 3/FY22

Qtr 4/FY22

1. Project Management 2. Board Compliance 3. Strategic Planning 4. Operational PHASE TWO Effectiveness MAR-JUN 2021 5. HR Re-structure 1. Forensic Accounting 6. Ops Mgr Support 2. Financial Analysis 7. Supplier Contracts 3. Legal Documents 8. Training: Board/Ops Cost per Activity 9. Marketing/Events 10. Rebranding 11. Photography 12. Website

FOUNDATIONAL STABILITY - GROWTH 12-18 month goals:

Qtr 1/FY23 Strategic Plan

Qtr 2/FY23 Modality Project AGM FY22

Qtr 3/FY23 Owner's Loans Payouts

Qtr 4/FY23

Qtr 1/FY24

Qtr 2/FY24

MAINTAIN Operational Tempo MAINTAIN Strong HR & Compliance Repay debt MAINTAIN & INCREASE Cashflow MAINTAIN & GROW Revenue MAINTAIN & GROW Profitability INCREASE VALUE of Owner Investment PAY regular Owner Dividends PAY OUT Owner Loans PAID OUT HISTORICAL DEBT

APPENDIX 6.4 CORPORATE STRUCTURE

The above is the Structure of the Atrium Group of Companies as created in 1982.

In 2021 as part of a governance review, governance documentation was updated to ensure compliance with ASIC, the Corporations Act 2001, and the Strata Titles Act (WA) 1985. This was shared with owners and ratified through owner resolution passed at the MIS EGM in June 2021 and communicated annually at the MIS Annual General Meetings.

As required by law, the Owner Group must ensure that all necessary legislative changes are reflected in their governing documents. This program of work is on-going on behalf of owners to ensure compliance.

65 Ormsby Terrace, Mandurah WA 6172 Phone: (08) (08) 9535 6633 www.atriumhotel.com.au

Registered Address: 65 Ormsby Terrace, Mandurah WA 6172 ABN: 96 102 783 942 ACN: 102783942