Annual report 2014

Annual Report 2014 WAIRARAPA MOANA INCORPORATION WAIRARAPA MOANA TRUST

Annual Report 2014

WAIRARAPA MOANA INCORPORATION

Message from the Chairperson Tukua te wairua kia rere ki ngā taumata Hei ārahi i ā tātou mahi Me tā tātou whai i ngā tikanga a rātou mā Kia mau kia ita, kia kore ai e ngaro Kia pupuri, kia whakamaua Kia tina! TINA! Hui e! TĀIKI E!

Tēnā koutou katoa.

This year we have changed our annual report format based on your feedback at last year’s AGM. Hopefully this new format will be easy to understand and keeps you well informed of our progress.

WMI and Miraka have both had an outstanding record year of profits in 2014. The net profit after tax for WMI was $15,017,000 compared with a loss of $87,000 in 2013.

This has been due to high dairy prices, significant cost reductions in key farm input costs and improved productivity and management of the farms by all of our team. Once again our investment in irrigation provided another major payback with drought conditions during the season probably worse than last year. This resulted in many farms in our region being ‘dry’ by the end of March.

Also assisting the ‘cultural change’ in WMI is a clear focus on the Vision and Values that were established last year with our team and shareholders which provide the basis for the expected behaviour in our business.

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annual report 2014

The planned capital expenditure programme for the building of two new 54 bale rotaries is scheduled for completion in July and September this year. This budget totalled approximately $6 million. In addition, a dairy support block was purchased for $4.5 million which will help underpin our ability to feed and winter all of our cows. This was also acquired for $2 million under valuation, a very pleasing result.

Miraka has also had another strong year with dairy prices for wholemilk powder reaching unprecedented levels earlier in the year. In addition the Government regulations allow Fonterra to manipulate this price and so they were able to arbitrarily reduce the milk price by up to 55 cents a kgMS. This year this was beneficial for Miraka being able to pay a reduced price also.

The new UHT plant was completed on time and within budget in March of this year. Unfortunately Shanghai Pengxin has deferred its product launch until September 2014,

the delay has no financial impact on Miraka.

Since the middle of this year wholemilk powder prices have collapsed and the US exchange rate has been at its highest levels. As a result Fonterra has forecast the opening milk price of $6 per kgMS which is significantly reduced from last year at $8.40 per kgMS. There is still some downside to this forecast.

Our budget for 2015 at the $6 price is a forecast of approximately $3.53 million for the net profit after tax, a fourfold decrease compared with this year.

The regulatory framework for farming continues to increase significantly the costs of compliance and this will be an ongoing challenge. This particularly applies to water quality, water use and nutrient limits. We are currently preparing a strategic environmental plan to ensure that WMI is well positioned to address these challenges.

The committee has approved the following dividend and special

Marae grants for this year: Regular Dividend Special Dividend

$400,000 $1,600,000

Total Dividends

$2,000,000

A special Marae development grant of $30,000 each for all those Marae supported by WMI total grants $180,000.

The shareholders cash dividend represents 25% of available net profit after tax after making allowances for non-cash profits and the purchase of the dairy support block.

Finally, can I particularly acknowledge the support of the committee members, Arawhetu Gray and Te Horipo Karaitiana. The great assistance provided by Dr Gavin Sheath and our Business Advisory Group, our new General Manager and Finance Director Nick Hume as well as all of our staff. All have made a significant contribution to this year’s achievements.

Kingi Winiata Smiler chairman wairarapa moana incorporation

WAIRARAPA MOANA INCORPORATION

3

Our Vision

To nurture our people, our place, our future Our Values

4

VALUE

BEHAVIOUR

OUTCOME

Tika / Integrity

People behave in an open, honest and respectful way.

They do the right thing and build trust.

Trusted Relationships

Whanaungatanga / Communication

Effective communication is encouraged throughout all levels of WMI and is accurate, informative and timely.

Everyone is on the same page

Rangatiratanga / Courage

Provides vision and leadership to achieve excellence in everything we do for our collective whānau.

Success in what we do

Wānanga / Knowledge

Explore, encourage and lead in an environment that shares knowledge at all levels of WMI.

Talented Team

Kotahitanga / Working Together

The working environment is positive and collaborative so that all people are valued and have pride in themselves and WMI.

Proud People

annual report 2014

Key Performance Measures

$15.01

7.28

million

5.96

percentage

percentage

Net profit after tax

Return on equity

Return on Assets

Was up enormously by some 150 times from a loss of $87,000 in 2013.

Increased 6.75 percentage points from the 2013 year.

Increased from .43% in 2013.

Growth and Risk Measures

$6.21

16.4

million

$32

percentage

million

Net Cashflows

Bank Debt

Farm operating activities were $831,000 less than in 2013.

As a percentage of total assets was improved by 1.6 percentage points from 18.0% in 2013.

Increase in net equity from 2013

Net Profit (Loss) After Tax

As a result of increase in earnings, land values and our investment in Miraka.

Shareholder Dividends Paid

16 2.0

15

14 12

1.5

10 8 5.5

5.5

2 0 -2

1.2

1.0

6 4

2

0.5 0.4

-0.1

1.6

1.1

0.4

0.4

0.4

0.0

2015 2014 2013 2012 2011 2010

2015 2014 2013 2012 2011 2010

Values in million’s of dollars

Values in million’s of dollars

WAIRARAPA MOANA INCORPORATION

5

Nick Hume

General Manager’s Report

Wairarapa Moana Incorporation farming operations are now at top of the industry results for profitability.

Focus going forward is to ensure this can be done season upon season under a system 3.

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annual report 2014

Performance and Growth Wairarapa Moana Farms Financially it has been a good season for the business although this year’s farm results were hindered by yet another drought.

This drought was worse than 2013 due to the prolonged dry. However, with a higher payout and the irrigation system being in place the farms were able to capitalise and milked right to the end of the season (31 May) unlike other farmers in the region. The focus this season was the implementation of system 3 (10-20% of imported feed), moving away from the system 4 (20-40% of imported feed). There was a focus on grazing management, cost control and hedging some of our major expenses like bought in feed which was locked in under contract at favourable prices in March 2013 for the season.

The owner operator farms have delivered above the benchmark for the industry and are in the top 10%. This was a goal of the Board when it set its strategic direction for the group. The owner operator farms delivered an Economic Farm Surplus (EFS) of $5,347 per Hectare (Ha). $3,910 per Ha was the average for Bay of Plenty and South Waikato. This is an amazing result considering the size and scale of the farm operation. Majority of the farms in Waikato operate a

2014 EFS/Costs Comparisons Owner Operator Farms

Wairarapa Moana Forests The benchmarked returns from the forestry are above average when compared with typical stumpage returns. Chandler Fraser Keating Limited (Forestry consultants) did some analysis on the options.

The lease is above other market leases and has a built-in inflation adjustment that protects WMI, the lease equates to $347 per Ha while industry average sits between $40 and $150 per Ha.

6000

$ per Ha

5000 4000 3000 2000 1000 0

EFS

Feed Costs

WMI Taupo

Enabling Costs

Other Enabling

Total Costs

Waikato Bay of Plenty

Source: Dairy New Zealand

2014 Sharemilker Comparisons Scale – $, MS per Cow or MS per Ha

system 2 (5-10% of imported feed). This system does not allow for much bought in feed and relies on grass. Many farms found it difficult to milk past the end of March this year due to the drought. They are also your smaller sole operator business in those regions. Per cow WMI produces more milksolids (MS) than the benchmark. The number of cows per hectare was also higher delivering more MS per Ha. Feed costs are higher due to the system difference. The focus is on being more profitable (EFS) per Ha of land than the benchmark and being flexible to adjust to market and climatic conditions. Our sharemilker farms are performing above the benchmark as well.

The main point of difference is the reduced costs. EFS per Ha was $2464 and the North Island average was $2,234.

3000 2500 2000 1500 1000 500 0

EFS per Ha

Costs per Ha

MS per Cow

MS per Ha

WMI North Island Source: Dairy New Zealand

WAIRARAPA MOANA INCORPORATION

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Amount Rent ($) Stumpage ($/m3)

WMI Returns vs Industry Stumpage Returns

200 180 160 140 120 100 80 60 40 20 0

WMI Rent / 10000 Linear (Rent / 10000)

Stumpage Linear (Stumpage)

The lease earns more per Ha than a stumpage agreement would. Since their analysis was done we have seen a rapid reduction in log price as the export market struggles.

Miraka

1999

2001

2003

2005

2007

2009

2011

2013

Source: Chandler Fraser Keating Limited – based on gross rental had 655Ha not been taken out for dairy support in 2007 (to compare trends)

Miraka returned an imputed dividend of $763,500 plus a value add return of 10 cents per kilogram of milk solid (kgMS) of $409,431.

The return equates to a 9.40% return before capital appreciation. The projections for the 2015 season look positive with cash dividends budgeted to be received of $1,000,000 (net of tax credits) plus the value add of 10c per kgMS. The total cash investment prior to the Ultra Heat Treatment (UHT) expansion was $12.65m, the current book value of the investment is $23.25m (excluding shares bought for the UHT plant).

That is a $10.6m growth on the original investment which is an 83.8% capital appreciation.

The share value of Fonterra at 31st May 2013 was $7.60 per share and had fallen to $6.12 as at 31st May 2014.

Miraka’s milk payout still remains competitive and is still 10 cents per kgMS higher than Fonterra’s.

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annual report 2014

5 Year Trend Summary

Looking forward we will continue to see the volatility in the commodity markets.

We need to have a sustainable business plan to adapt to the market. Those who adapt to change will be successful in what they do.

The 2014 results show an increase not only in bottom line profit but also net equity. Profit before dividends was $15m compared with $926k the prior year. Farming income was the main contributor to this increase the payout was $8.40 compared with $5.80 in 2013. That difference added $8m to the bottom-line result. The $4m balance of farming increase was from improved production from better utilisation of feed sources and tight control over costs.

Investment income and Forestry income were both up.

WAIRARAPA MOANA INCORPORATION

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It is expected the market price for grazing will increase as land is converted to new dairy farms across the country.

The development of the farms still continues. The Lambert lease returned to the Incorporation on 1st June and the redevelopment of Farms 3, 4 and 5 in conjunction with that lease returning started in April this year.

Ford Road is also under a development plan. There are a number of unproductive areas due to stump piles. Once developed this will allow for more grazable and mowable land. The dairy support function is strategically important to the business and owning support land ensures the growth of animals is controlled by WMI rather than relying on external graziers. In addition price is controlled, it is expected the market price for grazing will increase as land is converted to new dairy farms across the country.

The acquisition of a summer safe block just north of Rotorua in Kaharoa that settled on 30th June 2014 was not only a great financial investment (acquired $2,000,000 under valuation) it is also a strategic one to hedge against dry summers. 2015 the farms are budgeted to spend $2m on capital development. That work includes effluent system upgrades, water system upgrades and equipment replacements. Much of this work is required to remain ahead of environmental regulation change.

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annual report 2014

Net Equity WMI has seen the value of its lands increase. In addition other assets have held or grown in value. Miraka being the main increase in other assets and together with a net surplus of $14.6m this year there has been an overall increase of $32m in net equity from 2013 and 2014.

The value of each (one) Share in WMI at 31st May 2014 is assessed by Crowe Horwath at $3.97.

The Debt Position The debt position has increased during the year to fund the capital expansion of the UHT plant at Miraka. It was budgeted that WMI would borrow for the Lambert lease/ Farms 3, 4 and 5 redevelopment. The strong result for the year means that L345 and Kaharoa purchase will be paid from cashflow and not require additional borrowing.

Looking Ahead In June this year, at the first WMI Induction day, 65 staff, including sharemilkers, got together at Pouakani Marae at Mangakino. It was an opportunity to present to the team the history of WMI, the operational structure, investment direction and vision for the future. Team members had the opportunity to introduce themselves and their families, indicate which farm they worked on, discuss their roles and, most importantly, discuss how they saw the values being demonstrated in their daily work activities. This process gave the team a clear focus on the year ahead.

The budget set in April 2014 for the next season sees a projected profit of $5.5m before dividends. This is at a payout of $6.00 and based on an average production year. Fonterra announced the 2015 season milk price was to be $6.90 in early July and by the end of July downgraded that to $6.00. All indicators in the market place suggest it could go lower and could actually be lower than 2013 level of $5.80. This unpredictability in milk price only reinforces the need for WMI to have a farming plan that is flexible enough to react to these changes. The system 3 that WMI implemented during 2013 allows the management team to react by either increasing feed input at higher payouts or reducing in lower years. For every dollar increase or decrease in milk price the profit before dividends increases or decreases by approximately $3m. The volatility in the payout can be seen in the 5 year trend of WMI presented and we expect this to continue as it does across all commodity markets.

WMI will continue to strive for success and to be seen as an industry leader in all aspects of the dairy industry.

WAIRARAPA MOANA INCORPORATION

11

Financial Report Results in Brief WAIRARAPA MOANA INCORPORATION

Commodity Milk Price per kg milk solids

Revenue from Dairy Farming Operations Less: Costs of Production Gross Profit From Dairy Farming Operations

Net Forest Income Net Township Income Net Investment Income

6.00

8.40

5.80

6.05

7.59

6.10

28,854 35,347 24,081 30,654 30,445 21,166 22,212 21,128 22,080 26,310 21,997 17,387 6,642 14,219

2,001

4,344

8,449

3,779

1,445 (84) 1,433

2,215 (78) 1,000

1,417 (65) 483

1,410 (41) 537

1,321 (2) 50

1,281 (4) 300

9,436 17,356

3,835

6,250

9,818

5,356

Add: Income from Equity Accounted Investment Less: Administration Expenses Less: Governance and Secretarial Costs

2,000 482 475

2,845 392 430

1,126 677 351

– 522 411

– 493 449

– 491 341

10,479 19,379

3,934

5,316

8,875

4,524

Earnings Before Interest, Tax and Depreciation (EBITDA)

Interest Expense Depreciation

2,710 1,680

2,380 1,548

2,596 1,425

2,197 1,547

2,157 1,217

2,271 1,120

Net Profit/ (Loss) Before Tax

6,089 15,451 554 434

(87) –

1,573 –

5,501 –

1,133 –

5,534 15,017 – 96

(87) 1,101

1,573 (82)

5,501 1,961

1,133 1,024

104

87

64

75

71

Less: Dividends Paid

5,254 15,008 2,000 400

926 400

1,427 1,200

7,387 400

2,086 400

Net Profit For The period

3,254 14,608

526

227

6,987

1,686

Income Tax Expense Net Profit/ (Loss) After Tax

Livestock Holding Gain (Loss) Less: Distributions to Wairarapa Moana Trust Total Profit Before Dividends

12

2015 2014 2013 2012 2011 2010 Forecast Actual Actual Actual Actual Actual 12 Mths 11 Mths 12 Mths 12 Mths 12 Mths 12 Mths $000s $000s $000s $000s $000s $000s

annual report 2014

280

Results in Brief WAIRARAPA MOANA INCORPORATION continued

2015 2014 2013 2012 2011 2010

Forecast Actual Actual Actual Actual Actual 12 Mths 11 Mths 12 Mths 12 Mths 12 Mths 12 Mths $000s $000s $000s $000s $000s $000s

Current Assets Wairarapa Moana Farms Wairarapa Moana Forest Township and Other Wairarapa Moana House Investments

22,350 24,963 17,339 21,531 18,481 17,526 173,479 166,142 150,334 147,756 139,671 117,633 27,300 27,296 25,417 25,149 24,021 20,741 3,700 3,490 3,674 4,124 4,339 3,929 685 503 504 498 502 441 27,500 29,625 19,927 20,674 20,735 22,197

Assets

255,014 252,019 217,195 219,732 207,750 182,467

Current Liabilities Term Liabilities

3,050

4,434

3,928

6,549

5,009

3,708

38,683 41,320 39,156 38,379 27,178 30,056

Shareholders’ Equity

213,280 206,265 174,110 174,804 175,563 148,704

Key Performance Indicators Growth/(Reduction) in net worth on opening balance $

7,015 32,155

(694)

(759) 26,859 (1,222)

Growth/(Reduction) in net worth on opening balance %

3.40% 18.47% -0.40% -0.43% 18.06% -0.82%

Return on Equity

2.46% 7.28% 0.53% 0.90% 4.21% 1.40%

Return on Assets Debt as a % of total assets

2.06% 5.96% 0.43% 0.65% 3.56% 1.14% 15.17% 16.40% 18.03% 17.47% 13.08% 16.47%

This summary financial report includes extracts from the Statutory Financial Statements of Wairarapa Moana Incorporation for the Year ending 31st May 2014. The Statutory accounts have been audited by Crowe Horwath and they have issued a clean audit report.

Full reports can be obtained by contacting the Wairarapa Moana office in Masterton.

WAIRARAPA MOANA INCORPORATION

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Disclosures RELATED PARTY TRANSACTION (extract from Financial Statements) During the year the Incorporation supplied milk to Miraka Limited, a company partly owned by Wairarapa Moana Incorporation.

These sales accounted for 83% of Wairarapa Moana Incorporation’s revenue.

Fees actually paid during the year are as follows:

The Incorporation owns 27% of Miraka Limited. Miraka Limited is in the business of processing milk. The company balance date is 31 July. At Balance date Miraka owed $2,753,457 (April milk proceeds) and $5,444,053 in respective payments for the season. $967,840 and $1,503,523 in 2013 respectively.

Ron Mark

– 10,812

Mark Rutene

–

5,970

Te Rangi Samuels

–

1,800

During the year the Incorporation paid funding to Whai Hua of $325,450.

The amount payable to Whai Hua at 31 May 2014 is $27,424.The Incorporation’s interest in Whai Hua is 33%.

Whai Hua is in the business of research and development of milk proteins. The Whai Hua Limited Partnership balance date is 30 June.

The Incorporation’s appointed Committee have charged fees in relation to their contractual responsibilities carried out.

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annual report 2014

2014 2013

Paora Ammunson

–

5,125

Arawhetu Gray

–

10,800

4,703

6,500

Te Horipo Karaitiana

Kingi Smiler*

172,500 150,977

*Kingi Smiler, Chairman of Wairarapa Moana Incorporation, is also the Chairman of the Board for Miraka Limited. Mr Smiler is a director of Whai Hua General Partner Limited.

There are no amounts owing (receivable) to committee members.

Committee of Management Meetings Attended for the year to the date of the AGM

2014 2013

Paora Ammunson

–

5

Arawhetu Gray

6

N/A

Te Horipo Karaitiana

6

8

Ron Mark

–

6

N/A

4

6

8

Mark Rutene Kingi Smiler

The Committee of Management has, in the 2014 year, appointed sub-committees for the following responsibilities: Audit and Risk, Remuneration and Recruitment.

Annual Report 2014

WAIRARAPA MOANA TRUST

Message from the Chairperson He mihi ki ngā whānau o Te Rau Aroha Davidson rāua ko Rangitahia Manaena, i mate rāua i te marama o Hurae. Moe mai e koro i tō moengaroa. Moe mai e kui i tō moengaroa. Apiti hono tatai hono te hunga mate ki te hunga mate, apiti hono tatai hono te hunga ora ki te hunga ora.

Kei te mihi atu ki a koutou te whānau o Wairarapa Moana.

It is my pleasure to bring this report to you on behalf of the Wairarapa Moana trustees 2014. I was elected as Chairperson this year and have been working alongside Rutu Namana, Deborah Davidson, Justina Webster and Helen Morris to provide oversight of the core business of the Trust: Education – Future Leaders; Marae Development; Wairarapa Moanatanga; and Bridging Fund (New).

This year we disbursed education scholarships for future leaders which included tertiary education and trades training. Each year we continue to be slightly disappointed at the small number of applications for those undertaking apprenticeship or trade training. We spent some time last year preparing a comprehensive paper on trades and training and have highlighted the benefits of undertaking a trade in various editions of the Wairarapa Moana Mailer. We ask our stakeholders to consider the issue of trades, apprenticeships and training, and to send us any suggestions about how we might better attract more applicants. Currently any underspend of the allocated budget for Trades and Apprenticeships is assigned to cover applications for education scholarships.

This year each of our Marae has received a disbursement from the Trust to be used towards capital expenditure with a focus on projects highlighted in the five year capital assessment plans developed for each Marae. There is

16

annual report 2014

a lot of work taking place on our Marae and the disbursements have been received as a welcome assistance to capital expenditure budgets.

This year we support our Wairarapa Moana Marae with the inaugural Whakakaha Paepae programme. Twelve wāhine recommended by the Marae are participating in a two-year programme to learn the art of karanga.

Also within the Wairarapa Moanatanga portfolio this year we are progressing a contemporary album of waiata to follow Nau Mai Taku Kura Mokopuna which focused on waiata, tauparapara, karakia and mōteatea.

The trustees agreed the terms and conditions of a new Bridging Fund this year. Each application will be treated on merit. The fund is specifically to provide a hand-up to people wanting to take an important step in their jobs or careers and/or to improve their employment prospects.

Audit outcomes have shown that Wairarapa Moana Trust finances are in good health and that there are no issues. A full financial report can be obtained from the Wairarapa Moana office in Masterton.

Te Miha Ua-Cookson chairman wairarapa moana trust

WAIRARAPA MOANA TRUST

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Wairarapa Moanatanga Wairarapa Moana embraced its philosophy of ‘supporting the pursuit of excellence’ by continuing to be proud sponsors of the 2014 Golden Shears Māori vs Pakeha team event. This provided an opportunity to support shareholders and whānau within the industry who compete and those who provide voluntary support to this highly recognised event.

In April, the Mangakino Hunt 4 Easter, a hunting and fishing competition for children held over three days of Easter was sponsored by the Trust. The outcomes were beneficial to the community by raising awareness of pests, looking after the environment, promoting family and enjoying the outdoors.

The Trust is progressing a contemporary album of waiata to follow the very successful Nau Mai Taku Kura Mokopuna which was dedicated to tauparapara, karakia and mōteatea.

The publication, Wairarapa Moana: The Lake and its People, is still available for purchase from the Wairarapa Moana office in Masterton.

It’s an amazing history which includes writings about division and dissent; and the relocation and separation as a people from the lake and from each other.

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annual report 2014

The Trust has initiated the first programme in its strategy aiming on strengthening the paepae on each of our Marae. The ‘whakakaha paepae’ initiative embraces the Trust’s values by providing a platform for paepae leaders to perform whaikōrero and karanga; perform appropriate waiata; understand Marae history and tikanga; and to strengthen the knowledge of whakapapa.

This programme concentrates on the sacred art of karanga and consists of three components with the first year (June 2014-2015) seeing the completion of Te Kākano and Te Puawai – delivered by Te Raina Ferris.

The third component will embrace the return to our Wairarapa and Pouakani Marae to increase the knowledge of the hau kainga and ahi kaa aspects. The twelve wāhine who commenced the programme in June were selected by our Marae and will provide support back to the paepae of our Marae. On completion of the inaugural programme a succession plan will be initiated to enable more wāhine to learn the art form of karanga.

Marae Development Over the last two years the Trust has focused on supporting the outcomes of a Five Year Capital Asset Management Plan for each of the tī puna Marae.

The initial assessments were carried out by Ricci Maniapoto of Te Timatanga Property Management and representatives of each Marae. At the completion each Marae was presented with its respective assessment report.

The findings of the reports provided the Trust, and more importantly each Marae, with a schedule of repairs and maintenance needed to be planned for in the future, along with an indication of the cost of the work. This provided each Marae with a basis for a strategy to help source external funding and to stay abreast of the Management Plan.

The trustees decided not to undertake a contestable round in the 2013-14 year but instead provided a contribution to each Marae towards capital expenditure with a focus on projects highlighted in the Five Year Capital Asset Management Plans.

WAIRARAPA MOANA TRUST

19

Future Leaders Scholarships

In the 2014 academic year the Trust provided 41 scholarships at $1,000 each to tertiary, trade and apprenticeships.

A full list of scholarship recipients is listed below and is reflected in graph 1 by their fields of study.

Congratulations to the following recipients who received a Future Leaders Scholarship.

The Trust is committed to looking at ways to improve promoting, targeting and mentoring students into trades and apprenticeships.

Graph 1: Current Areas of Study for Scholarship Recipients 2014 Fields of Study

7

7

Business & Commerce

7

Arts, History & Language

8

8 6

5

5

3

3

Other Trades and Apprenticeships

2

Sciences

Law/Theology

1

2 1

Māori

1

1

Masters

2

Sport, Rec & Tourism

3

3

4

20

Education

Health

PhD

0

annual report 2014

A discussion paper was written and presented to the trustees for consideration and a strategy is being sought to increase and support the number of whānau in this industry and to further explore apprenticeship allocations under the scholarship funding structure.

Tertiary Recipients Malcolm Mulholland John James Carberry Reece Joseph Steffanie Jury Helen Morris-McTainsh Kahurangi Manaena Korina Mullins Joanne Matiaha Fiona Waititi Marlene Whaanga-Dean Josephine Te Whaiti Paige Nuku Ashley-Jayne Gibbes Hannah Johnson Samuel Governor Maddison Baker Kelsie Governor Te Ngauora Kerehoma-Hoerara Simon Dew Renata Roberts Te Nana Courtney Kete Sarah Hutana-Te Aho Rebekah Cookson Nia Baker Daniel Dew Zak Gatara Gina Lamb Brooke Gibson Marla Jury Terena Te Whaiti Sky Halford Jefferson Dew Tiana Rutene Gina Reed Te Aniwaniwa Hurihanganui Leonard Hemi Lea Godden Arama Wakefield-Sciascia

Programme of Study PhD Master of Arts Bachelor of Medicine/Bachelor of Surgery Bachelor of Medicine/Bachelor of Surgery Bachelor of Nursing Bachelor of Nursing Bachelor of Nursing Bachelor of Nursing Bachelor of Social Work Bachelor of Social Work Bachelor of Teaching Bachelor of Teaching Bachelor of Primary School Teaching Bachelor of Law/Bachelor of Commerce Bachelor of Commerce Bachelor of Commerce Bachelor of Commerce Bachelor of Business Studies Bachelor of Business Studies Bachelor of Business Studies Bachelor of Arts Bachelor of Arts Bachelor of Arts Bachelor of Arts Bachelor of Arts Bachelor of Design Innovation Bachelor of Design Bachelor of Hospitality Management Bachelor of Tourism Management Bachelor of Law Bachelor of Science Bachelor of Applied Science Bachelor of Applied Science Bachelor of Environmental Planning Bachelor of Communications Graduate Diploma in Teaching Māori Diploma in Teaching (Secondary) Diploma in Aviation

Trade Recipients Cameron Te Maari Samuel Matthews Joseph Rutene

Trade and Apprenticeship Apprenticeship/Certificate in Water Reticulation Apprenticeship/Certificate in Water Reticulation Apprenticeship in Hairdressing

WAIRARAPA MOANA TRUST

21

Other Activities The Trust received an additional $20,000 for education as approved at the 2013 Annual General Meeting. The trustees agreed to target this funding in two directions.

Bridging Fund A pilot programme was established and three case studies were implemented. The Trust is happy to move forward after the success of the case studies and advise that the Bridging Fund is available to allow members of the Wairarapa Moana whānau to undertake a course of training that will assist them to take the next step in their careers or to improve their employment prospects. These are one-off grants outside of the regular scholarships and will be assessed on their individual merit up to a maximum of $1,000 each.

The case study recipients were:

Bridging Fund Recipients Vanessa Te Whaiti-Trueman Ashleigh Hansen-Davidson Te Waitote Smith

Programme of Study Certificate in Dairy Technology Certificate in Relaxation Massage Heavy Trade Class 2 Licence

Special Scholarships (Core Business) The Trust has given consideration to sponsor up to two students at $5,000 per annum each for the duration of their study undertaken within the area of Wairarapa Moana Incorporation’s core business.

This continues to be a work in progress.

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annual report 2014

Financial Report Results in Brief WAIRARAPA MOANA TRUST

2014 2013 $ $

Income

Interest Received 8,636 IRD use of money Grants Received 112,174 The Lake and its People Book 288 Sundry Income 398 Total Income Less Expenditure

Accountancy Audit fees Bank fees Legal fees General Sponsorship Grants Meeting expenses Scholarships

121,496

8,624 3 92,174 658 4,735 105,834

2,204 2,011 1,850 1,050 92 79 – 880 334 172 497 – 62,815 16,000 5,226 1,804 41,925 38,000

Total Expenditure

114,943

59,996

Net Surplus for the year 6,553 45,838 Current Assets

BNZ Cheque account 27,961 1,923 BNZ Call account 96,880 110,514 BNZ Education account 46,336 28,193 BNZ short term deposit 62,000 62,000 WBS short term deposit 80,000 80,000 Treaty Claims account 7,066 6,879 Accrued Interest 546 2,134 Inventories 33,150 34,475 Total Assets

353,939

326,118

Accounts Payable

GST payable

30,180 697

1,750 7,859

Total Liabilities

30,877

9,609

Current Liabilities

Equity

323,062 316,509

Total Funds Employed

353,939

326,118

This summary financial report includes extracts from the Statutory Financial Statements of Wairarapa Moana Trust for the Year ended 30 June 2014. The Statutory accounts have been audited by Moore Stephens Wairarapa Audit and they have issued a clear audit report.

The full report can be obtained by contacting the Wairarapa Moana office in Masterton WAIRARAPA MOANA TRUST

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Disclosures During the year the Trust received grants totalling $120,000 (GST incl) from Wairarapa Moana Incorporation by way of Future Leaders Education $60,000; Marae Development $30,000; and Wairarapa Moanatanga $30,000.

Restricted funds held by the Trust for Ngā Hapū Karanga o Wairarapa are $7,066.

Committed funds held by the Trust as at 30 June 2014 for Marae Development relate to Pouakani Marae $1,163; Kohunui Marae $26,667; and Hurunui-o-rangi Marae $56,667.

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annual report 2014

Board of Trustees Meetings attended

2014

2013

Lynnette Whata

N/A

3

Justina Webster

2

3

Helen Morris

4

3

Rutu Namana

6

3

Te Miha Ua-Cookson

6

2

Deborah Davidson

7

N/A

Trustees have received fees in relation to their responsibilities

2014 2013

Lynnette Whata

N/A

$309

Justina Webster

$225

$450

Helen Morris

$312

$208

Rutu Namana

$670

$268

$1,457

$450

$708

N/A

Te Miha Ua-Cookson Deborah Davidson

To contact the Wairarapa Moana Incorporation web www.wairarapamoana.org.nz email info@wairarapamoana.org.nz Masterton Office

PO Box 2019, Kuripuni, Masterton 5842 Wairarapa Moana House, 4 Park Avenue, Masterton 5810 Telephone 06 370 2608 Fax 06 370 2609 Taupo Office

PO Box 1347, Taupo 3351 Level 1, 14 Ruapehu Street, Taupo 3330 Telephone 07 213 2275 Fax 07 377 6156 Cover Photos Top: Lake Maraetai overlooking WMI Farms.

Bottom L-R: Farm 1 overlooking golf course and Lake Maraetai; Irrigation pivot on Farm 9; Farm 15.