NTS Annual Report 2011-2012

Page 1

53 annuAl rEport RD


DISAPPEARED


NATIONAL THEATRE SCHOOL OF CANADA

TRANSFORM YOUR PASSION INTO A PROFESSION The National Theatre School of Canada (NTS) stands out as one of the few conservatory-

THE SCHOOL

type arts training establishments in the world that unites all the theatre disciplines

NATIONAL THEATRE SCHOOL

in Acting, Playwriting, Directing, Set and Costume Design, and Production – in both

5030 St. Denis Street

The NTS is a private, non-profit institution. It is funded mainly through government

Canada

including its fundraising campaigns. The School determines its own training programs

Phone: 514 842-7954 or

under one roof. Established in 1960 and located in Montreal, the School offers training

OF CANADA

English and French.

Montreal, Quebec, H2J 2L8

grants, but also counts on a portion of the revenue generated by its own activities, and management strategies.

EXPERIENCING THEATRE AS A Collaborative ART Theatre is a naturally collaborative art form. The School focuses its training on the practical experience of mounting a production by building on the interdependence

of the different theatrical disciplines. Students work hand in hand with their colleagues in other training programs, thereby developing a keener understanding

and respect for all the artists implicated in the making of theatre. Classes and

performances take place at both the School and its public performance venue, the

Monument-National – an impressive multi-level heritage building with four different theatre spaces and a rehearsal hall.

TRAINING FOR TODAY’S THEATRE Some 160 students receive, in large part, individualized training from the artists and creators who are shaping today’s theatre. Daily interactions with working

professionals help them form privileged relationships within the theatre community. These artists act as valuable contacts, mentors and resource persons, easing a

student’s transition to professional life. As a result, NTS graduates enter their field successfully upon graduation.

RENOWNED NTS ALUMNI The National Theatre School has trained about 1,900 students, most of whom have become performing and visual arts professionals. The success of this training is measured by the achievements of the many graduates whose names are renowned

on stages, on screens and behind the scenes, both in Canada and abroad. Alumni are the National Theatre School’s finest cultural asset, and many have gone on to great careers such as Chris Abraham, Morwyn Brebner, Louise Campeau, Dominic

Champagne, Susan Coyne, Henry Czerny, Claudia Dey, Roy Dupuis, Ted Dykstra,

Colm Feore, Carole Fréchette, Martha Henry, Eda Holmes, Alanis King, Diana Leblanc, Ann-Marie MacDonald, Kari Matchette, Seana McKenna, Wajdi Mouawad, Sandra Oh, Adam Pettle, Judith Thompson, Amy Sloan, David Storch, Ker Wells, and Kenneth Welsh, just to name a few. ( p . 1)

1 866 547-7328 (Canada and USA) Fax: 514 842-5661 E-mail: info@ent-nts.ca Website: ent-nts.ca


NATIONAL THEATRE SCHOOL OF CANADA

PAT RON

2011-2012

Under the distinguished patronage of His Excellency the Right Honourable David Johnston, C.C., C.M.M., C.O.M., C.D. Governor General of Canada

BOA R D OF DIR EC T ORS

BOA R D OF GOV ERNORS

A S OF J U LY 31, 2012

A S OF J U LY 31, 2012

CH A IR

MEMBER S

Bernard Amyot, QC

T R E A SUR ER

Simon Dupéré, QC

SECR E TA RY Linda Caty, QC

HONO R A RY L EG A L C OUN SEL Bernard A. Roy, QC

M A N AGEMENT COMMIT T EE CEO Simon Brault, O.C., O.Q.

A R T I S T IC DIR EC T O R O F T HE ENG L I SH SEC T ION Sherry Bie

A R T I S T IC DIR EC T O R O F T HE F R ENCH SEC T ION Denise Guilbault

A DMINI S T R AT I V E DIR EC T O R

MEMBER S Alan Bleviss, USA Richard Brott, ON Kathryn Brownlie, ON J. Edward Johnson, QC Brenda Jones Kinsella, BC Kaaren Hawkins, MB Caroline Mulroney Lapham, ON Paul Robillard, QC Jodi White, ON

Luc Pelletier

David Appel, ON * Herbert C. Auerbach, BC Marcia Babineau, NB * Jean Pol Britte John E. Carstairs, MB Tullio Cedraschi, QC Gil Desautels, QC * James de B. Domville, QC Gordon P. Jones, NF Pamela Kendel-Goodale, SK * Marie Lambert, C.M., QC Robert E. Landry, C.M., QC Sheila Martin, QC Margaret Martinello Magner, PE * Monique Mercure, C.C., G.O.Q, QC Guy Mignault, ON William Millerd, C.M., BC Patricia M. Moore, AB Marissa Nuss, QC Glenn O’Farrell, ON Thomas Peacocke, C.M., AB Eleanore Romanow, SK * Jean-Louis Roux, C.C., QC Patricia S. Rubin, ON Jeff Sims, BC Jay Alan Smith, ON * Samuel Sniderman, C.M., ON Nalini Stewart, ON Patrick D.M. Stewart, BC * Yvon Turcot, QC

* Life Governor PUBLIC FUNDERS FROM AUGUST 1, 2011 TO JULY 31, 2012

T HE N ATION A L T HE AT RE SCHOOL OF CA N A DA RECEIV ES OPER ATING GR A N T S FROM GOV ERNMEN T SOURCES ACROS S CA N A DA . T HE Y REFLECT T HE IN T ERES T A ND FIRM L E V EL OF SUPPORT T HE SCHOOL CON TINUES TO ELICIT FROM COA S T TO COA S T. W E T H A NK :

( p. 2)


NATIONAL THEATRE SCHOOL OF CANADA

TABLE OF CONTENTS

Message from the Chair 4 Message from the CEO 6 Programs, candidates, students and 2012 Graduates 11 Revealing Talent Major Campaign 16 Community Foundation Accounts 18 Bursary Funds 19 Message from the Minister of Canadian Heritage and Official Languages 24 Financial Statements 25 A QUICK LOOK AT OUR 50TH ANNIVERSARY CELEBRATIONS 51

Annual Report 2011-2012 Coordination : Maureen Veilly TRANSL ATION (MESSAGES FROM THE CHAIR AND THE CEO) : Andrée McNamara-Tait Copy Editing : Jeremy Taylor ( Play writing, 2010 ) Photos : M A XIME CÔTÉ ( PAGES 6, 11 TO 15, 23, AND 51), CHRISTIAN BL AIS ( PAGES 4, 10, 51, 52, AND 53), ANDRÉE L AN THIER ( PAGE 50 ), DAVID CHA N ( PAGE 50 ), A ND M AUREEN VEILLY ( SQUARE PICTURES PAGES 14 AND 15) Illustrations : G ABRIELLE BOSSÉ-BE AL ( PAGE 18 ), EVITA K ARASEK ( PAGES 6 AND 20 ), ADAM PROVENCHER ( PAGES 1, 5 AND 12), A ND JEONG-HWA RYOO ( PAGES 9 AND 14) - ( ALL SE T & COSTUME DESIGN, 2012) Graphic Design : L aurent Pinabel Printing : Quadriscan Printed in October 2012

FSC

( p. 3)


NATIONAL THEATRE SCHOOL OF CANADA

Message FROM THE CHAIR

Renewal in Continuity

Bernard Amyot Chair of the Board of Directors

Needless to say, I was honoured, delighted and pleasantly surprised when the Board of Directors, at the behest of three of its former Chairs (Bernard Roy, Ted Johnson and Jodi White), whose respective tenures at the helm of the School span over 20 years, asked me to succeed Marc Blondeau, who had recently been appointed President and CEO of the Société de la Place des Arts in Montreal. Honoured, because I have always had great admiration and deep respect for the National Theatre School of Canada and its profound impact on our country’s culture. Delighted, as well, to pursue the work of visionary founders and all who have followed in their footsteps for over 50 years.

and the Board of Governors

I am confident in our ability to continue the School’s tradition of excellence with the unfailing support of our staff and my colleagues on the Board of Directors and Board of Governors. Indeed, the successes and renewal of the past few years have allowed us to face the future with serenity. Strengthened by what we have learned, we are all determined to reinvent the School so that it can continue to be a unique place for every person who studies here, while remaining at the cutting edge of new trends. Consequently, we will undertake a strategic planning exercise to ensure that the School’s original mission, still current today, is adapted to the constant challenges facing theatre in Canada and around the world. In short, our wish is to remain relevant for another 50 years and beyond! The huge success and numerous achievements of our School, which plays a significant role in revealing some of the best talent in Canada, in its two official languages, deserves a stronger national profile. As such, the School is often too well-kept a secret. Performing arts professionals naturally recognize it as a leading institution, among the most prestigious and respected. Nevertheless, we have a duty to focus all of our energy towards strengthening ties with our alumni, friends, donors, partners, and the general public. The 50th anniversary festivities enabled us to see how crucial it is to be present in all regions of Canada to not only promote but also raise public awareness of

( p. 4)


NATIONAL THEATRE SCHOOL OF CANADA

Message FROM THE CHAIR

the School. Thus, I made a commitment to my fellow Board members to ensure a countrywide presence. CEO Simon Brault and I intend to organize events to bring together Canada’s theatre community, notably in Toronto, Vancouver and Calgary. Already, we have attended Toronto’s Summerworks Festival last August, where we saw many School alumni and students, from all programs, who created, performed, produced, and directed innovative plays in a unique environment. Celebrating our alumni’s accomplishments in this manner, and letting them know how proud we are to be associated with their successes, gives us an opportunity to make the School’s vital role better known within their own communities. We intend to do this assiduously in the years to come. Lastly, I wish to express my pleasure in being able to work with a CEO as exceptional as Simon Brault. His steadfast commitment and insightful observations and actions make him an extraordinary ambassador for the School and for culture in Canada. I also wish to extend my sincere thanks to all the members of the Board of Governors and Board of Directors for their unfailing trust and cooperation. I look forward with enthusiasm to participating in the School’s renewal, as it carries on a tradition of excellence that started more than 50 years ago.

Bernard Amyot

( p. 5)


NATIONAL THEATRE SCHOOL OF CANADA

MESSAGE FROM the ceo

LIFE AFTER FIFTY Turning Point The School’s 50th anniversary marked a turning point towards a cycle of renewal that will involve and mobilize, now more than ever, all of our institution’s stakeholders. SIMON BRAULT, O.C., O.Q. CEO

Last October, during the closing festivities at the Monument-National, I came to this realization with astounding clarity that the nine following months simply amplified. The Alumni Homecoming celebrations, attended by graduates from all regions of the country and even from abroad, showed that the delicate passage between the dream of working in theatre and a career as a professional artist has been and will always remain the School’s fundamental purpose. Added to the joyous tumult of the alumni and teachers who made the School what it is today was the distinctive voice of our 2012 graduating students. They were totally committed to staging an epic, postmodern, bilingual, provocative, and technological theatrical fresco that was as unconventional as it was demanding. Entitled En français comme en anglais, it’s easy to criticize, this very first effort at combining all of the design, acting and production capacities of both the English and French sections took shape under the co-direction of two of our most inventive Directing program alumni, Chris Abraham and Christian Lapointe. I also salute the vision and determination of our Artistic Directors, Sherry Bie and Denise Guilbault, who established the initial framework of the project with a desire to break away from our usual way of operating. I applaud the directors of the English and French Production programs, Andrea Lundy and Louise Roussel, and the Director of the Set and Costume Design program, Danièle Lévesque, who went beyond expectations as they guided their students in mastering and integrating new stage technologies that we had decided to explore on a greater scale during this production.

( p. 6)


NATIONAL THEATRE SCHOOL OF CANADA

Beyond the subject matter and esthetic choices that shaped it, this emblematic show echoed the School’s stance on the primacy of the learning process over the final outcome, without, however, downplaying the importance of performance. It confirmed our desire to explore new territories in order to seek out early indicators of what the future might hold for the theatre, with those who are on the cusp of shaping it. Even though it may not soon be repeated, this experience will undoubtedly be seen as a benchmark because it broke barriers by focusing on exchanges of expertise and perspectives between the two sections of the School. It questioned habits that have become almost ingrained, not only in terms of training and production, but also in our internal and external communications. We faced challenges regarding creation, performance and relationship-building with the audience that are currently preoccupying the global theatre community. During the fall of 2011, I made a point of participating in this great adventure on an almost daily basis. It enabled me to better determine the competencies, attitudes and values that we will need to seek out and promote, within both our student body and our teams, in order for the School to remain an incubator for artists willing and able to take on leadership roles.

Financial Report Card Our government partners have all renewed their operating grants in the wake of the 50th anniversary and we are very grateful to them. The future looks bright. Last February, the Honourable James Moore, Minister of Canadian Heritage and Official Languages, came to meet our students and the School’s personnel and announced, to hearty applause, the total renewal of our largest grant for a period of two years. While public funding is stable, the tangible support of private corporations, foundations and donors has continued to increase during 2011-2012. Consequently, we have reached 88% of the total $12 M objective of our Revealing Talent Campaign, which ends on July 31, 2013. We have been able to carry out all of our activities within the framework of a balanced budget. The 3.2% decline in our revenues over last year can be explained, firstly, by the fact that we only had three months of special 50th anniversary activities to fund and, secondly, by a significant decrease in our Monument-National rental income, a market phenomenon further accentuated by our 50th anniversary closing activities.

( p. 7 )

MESSAGE FROM the ceo


NATIONAL THEATRE SCHOOL OF CANADA

MESSAGE FROM the ceo

Our salary expenditures, mainly for teachers, increased by nearly 5%, in conformity with commitments we had made. Obviously, production and communications expenses related to the 50th decreased, since that spending ended as of November 2011. Furthermore, we continued to increase the private contributions to our endowment fund, held and managed by the School to support our student bursary program. We also created the Creation and Technology Fund thanks to the generosity of the Cirque du Soleil and other donors. We also directed a significant portion of the donations collected within the Revealing Talent Campaign to seven Canadian community foundations, in dedicated funds to support our bursary, diversity and community involvement programs and to finance special projects. In short, the School’s resources are administered in a spirit of sustainable development. We are managing the present in a rigorous and disciplined manner while building, thanks to private donations and the investment revenue they generate, permanent funding tools that will enable us to meet future challenges related to access to training (bursaries), diversity, the renewal of theatre audiences, and the use of new technologies as a theatrical language. However, a cloud has slowly drifted over our clear financial sky: the growing deterioration and obsolescence of the two buildings on our main campus, located on St. Denis Street. Indeed, despite yearly maintenance, many of these buildings’ systems and components are reaching the end of their useful lives. Major work must be undertaken in the very near future for security, health and functionality reasons. Requests for financial aid have been submitted to Canadian Heritage and to the Quebec Minister of Culture, Communications and the Status of Women.

The Human Adventure Continues The cycle of renewal in which we are engaged also leads to arrivals and departures of highly valued women and men at all levels of the organization. Thus, Bernard Amyot became Chair of the School a few months ago. He brings with him a sense of duty, energy and infectious enthusiasm. I am honoured by his confidence and feel privileged to be at his side as he completes the modernization of the School’s governance, begun four years ago by Jodi White with the support of our Governors and the commitment of a renewed and rejuvenated board of directors. As our demographic curve illustrates, many changes in the School’s permanent staff have recently taken place or are on the verge of happening. Every person leaving or joining us will influence, in his or her own way, the trajectory of the position, team or sector of activity of this arts school. This is the beauty of

( p. 8 )


NATIONAL THEATRE SCHOOL OF CANADA

working within an organization of this size. We are all actors in a human adventure whose web is woven by the passages, epiphanies, transformations, and trepidations that characterize the start of the school year and the explosions of joy that mark the graduation ceremonies. Our role ennobles us every day because it consists in sowing with great care, knowing that the harvest is uncertain and will take place beyond the School’s walls. Consequently, we need to occasionally stop and contemplate the theatre horizon, and our country’s entire cultural landscape, in order to evaluate our efforts and feel legitimate pride in seeing all that is growing, blossoming and flourishing. The School has achieved its half-century mark. The journey has been invigorating. T he next chapter of our histor y looks to be just as exciting, if not more. Thank you for aspiring to play a role in this unfolding story.

Simon Brault, O.C., O.Q., FCPA, FCGA

( p. 9)

MESSAGE FROM the ceo


NATIONAL THEATRE SCHOOL OF CANADA

ALLAN HAWCO (ACTING, 2000) AND CLAUDE POISSANT, RECIPIENTS OF THE 2011 GASCON-THOMAS AWARD. Introduced by Zoe Cleland (2012 Graduating Acting student) and Jade Bruneau (3rd year Interprétation student in October 2011).

( p. 10 )


NATIONAL THEATRE SCHOOL OF CANADA

PROGRAMS, CANDIDATES, STUDENTS AND 2012 GRADUATES

Workshop with Ravi Jain

::: 1. ACTING

Under the direction of Sherry Bie

The Acting program offers the committed young actor a classical conservatory training informed by contemporary theatre processes. The program provides a practical approach to acting through intensive classes, workshops, rehearsals, and studio and mainstage productions. In January 2012, 348 candidates applied to the Acting program. In September 2012, 34 students were registered in the Acting program.

2 012 G raduates : BOJANOWSKI, Krystina CLELAND, Zoe FANNING, Conor HEINS, Sébastien JOFFE, Stephen KOEHLER, Tara MADOL, Justin MERCER, Colin QUINTUS, Flóra RACICOT, Nico TRUONG, Lisa

Burnaby Toronto Vancouver Toronto Toronto Edmonton Conception Bay Toronto Budapest Montréal Edmonton

British Columbia Ontario British Columbia Ontario Ontario Alberta Newfoundland and Labrador Ontario Hungary Québec Alberta

Laval Montréal Lasalle Sherbrooke Rimouski Montréal Québec Boucherville Québec Granby Montréal

Québec Québec Québec Québec Québec Québec Québec Québec Québec Québec Québec

INTERPRÉTATION (FRENCH ACTING PROGRAM) Under the direction of Denise Guilbault ARCHAMBAULT, Marie Line ARCOUETTE, Charli AUBRY, Béatrice BOUTIN, Félix-Antoine DESROSIERS LAVOIE, Juliane LABRÈCHE-DOR, Léane LARIVIÈRE, Patricia LEMAY, Frédéric MAILLOUX, Maxime PERRAS, Jean-Philippe PRONOVOST, Jean-François

( p . 11)


NATIONAL THEATRE SCHOOL OF CANADA

PROGRAMS, CANDIDATES, STUDENTS AND 2012 GRADUATES

DISAPPEARED

::: 2. PLAYWRITING

Under the direction of Brian Drader

The Playwriting program aims to reveal and shape each writer’s unique voice, with a low teacher-to-student ratio that allows for an exceptional response to individual interests, needs, strengths and challenges. In January 2012, 28 candidates applied to the Playwriting program. In September 2012, 6 students were registered in the Playwriting program.

2 012 G raduate S : ESAU, Leah Jane GUALTIERI, Maureen

Winnipeg Toronto

Manitoba Ontario

ÉCRITURE DRAMATIQUE (FRENCH PLAYWRITING PROGRAM) Under the direction of Diane Pavlovic HÉROUX, Mathieu LAROSE-TRUCHON, Marie-Hélène

( p. 12)

Montréal Laval

Québec Québec


NATIONAL THEATRE SCHOOL OF CANADA

PROGRAMS, CANDIDATES, STUDENTS AND 2012 GRADUATES

THE GREEN MAN

::: 3. DIRECTING

Under the artistic direction of Sherry Bie Director: Yael Farber Associate Director: Kelly Thornton

The Directing program offers experienced theatre artists the opportunity to further their knowledge of the craft of directing. Students explore and refine their vision through hands-on work, study, observation and dialogue with leading directors. Auditioning for this program is biennial. In January 2012, 32 candidates applied to the Directing program. In September 2012, 2 students were registered in the Directing program.

2 012 G raduate S : FALKOVICH, Yevgeniya GEE, Sophie

Kiev Fort McMurray

Ukraine Alberta

MISE EN SCÈNE (FRENCH DIRECTING PROGRAM) Under the direction of Denise Guilbault Coordinator: Robert Bellefeuille One-year Directing Residency DUFORT, Bruno

( p. 13)

Montréal

Québec


NATIONAL THEATRE SCHOOL OF CANADA

PROGRAMS, CANDIDATES, STUDENTS AND 2012 GRADUATES

EVERYTHING IN THE GARDEN

::: 4. SET AND COSTUME DESIGN – SCÉNOGRAPHIE

This program trains future set, costume and props designers for professional theatre, dance and opera as well as in other fields such as film, television, circus, and museums. In January 2012, 25 English-speaking candidates and 31 French-speaking candidates applied to the Set and Costume Design – Scénographie program. In September 2012, 10 English-speaking students and 12 French-speaking students were registered in the Set and Costume Design – Scénographie program.

2 012 G raduates : BOSSÉ-BEAL, Gabrielle KARASEK, Evita PÉLOQUIN, Joëlle PROVENCHER, Adam RYOO, Jeong Hwa

( p. 14)

Montréal New York Montréal Baie-Comeau Seoul

Québec United States Québec Québec South Korea


NATIONAL THEATRE SCHOOL OF CANADA

PROGRAMS, CANDIDATES, STUDENTS AND 2012 GRADUATES

EN FRANÇAIS COMME EN ANGLAIS, IT’S EASY TO CRITICIZE

::: 5. PRODUCTION

Under the direction of Andrea Lundy

Train and practice with seasoned professionals and learn the foundations of production management, technical direction, stage management, stage electrics/lighting design, sound and company management. In January 2012, 23 candidates applied to the Production program. In September 2012, 24 students were registered in the Production program.

2 012 G raduates : CALLAGHAN, Linsey COSTELLO, Ian Michael LALONDE, Jacynthe ST. AMOUR, Angeline THORNE, Emily

North Bay Charlottetown Dollard-des-Ormeaux Kentville Oakville

Ontario Prince Edward Island Québec Nova Scotia Ontario

Sainte-Anne-des-Monts Caraquet Montréal Québec Beauharnois Montréal Valleyfield

Québec New Brunswick Québec Québec Québec Québec Québec

PRODUCTION (FRENCH PRODUCTION PROGRAM) Under the direction of Louise Roussel BÉRUBÉ, Émilie BLANCHARD, Eric Pierre BOUCHER, Jérémie D’ANJOU DROUIN, Gabriel GENDRON, Émilie GERMAIN, Catherine MERCIER, Marie-Ève

( p. 15)


NATIONAL THEATRE SCHOOL OF CANADA

REVEALING TALENT MA JOR CAMPAIGN

In August 2008, the National Theatre School of Canada launched its five-year, major fundraising campaign, Revealing Talent. This campaign is generating support for Students, Teachers, Special Projects, Creation and Technology and TEC (Theatre Engaging Communities). The following is a list of the supporters of the Revealing Talent major campaign as of July 31st, 2012 - cumulative gifts of a minimum of $5,000. Cumulative gifts of $1,000 to $4,999 are listed on our website at www.ent-nts.ca.

$1,0 0 0,0 0 0 and up BE L L M E DI A CI RQ U E DU S O L EI L J.W. M C C O N N E L L FA M I LY FO U N DAT I O N

Q U É BEC O R M É DI A I N C. RI O T I N TO A LC A N PAT RI C K D. M . S T E W A R T TELUS LO U I S VA CH O N

$ 5 0 0,0 0 0 to $ 9 9 9,9 9 9 CI BC N AT I O N A L B A N K S L A I G H T FA M I LY FO U N DAT I O N / A DA S L A I G H T

$ 2 5 0,0 0 0 to $ 4 9 9,9 9 9 A S T R A L M E DI A C A N W E S T M E DI A H O N O U RI N G S UZ A N N E G RO S S M A N N H Y D RO - Q U É BEC P O W E R C O RP O R AT I O N O F C A N A DA RBC FO U N DAT I O N S U N L I F E F I N A N CI A L

$10 0,0 0 0 to $ 24 9,9 9 9 A G F M A N A G E M E N T LT D. B M O F I N A N CI A L G RO U P C A I S S E D E D É P ÔT E T P L A CE M E N T D U Q U É BEC CB C / R A DI O - C A N A DA I N D U S T RI A L A L L I A N CE M O U V E M E N T D E S J A RDI N S B A RB A R A P O O L E S C OT I A B A N K TD

$ 5 0,0 0 0 to $ 9 9,9 9 9 ANONYMOUS ART V A L A N BL E V I S S E J L B FO U N DAT I O N E N BRI D G E E S TAT E O F P H I L I P P E C A S G R A I N L E T KO, BRO S S E A U & A S S O C. I N C. M CL E A N FO U N DAT I O N

$ 2 5,0 0 0 to $ 4 9,9 9 9 BE RN A RD A M YOT DAV I D & C A RO L A P P E L S . M . BL A I R FA M I LY FO U N DAT I O N S I M O N BR A U LT & LO U I S E S I CU RO C A N A DA C O U N CI L FO R T H E A R T S T U L L I O CE D R A S CH I CE N T RE N AT I O N A L D E RECH E RCH E E T D E DI F F U S I O N D U C O S T U M E I N C. C O G EC O S I M O N D U P É RÉ N O RM A N & M A RG A RE T J E W I S O N CH A RI TA BL E FO U N DAT I O N M U S A G E T E S FO U N DAT I O N O L D P O R T O F M O N T RE A L C O RP O R AT I O N O N E X C O RP O R AT I O N RO G E R S C O M M U N I C AT I O N S I N C. S TA N DA RD L I F E

$15,0 0 0 to $ 24 ,9 9 9 B C LO T T E RY C O M M I S S I O N RI CH A RD BRO T T BU RRO W E S I N S U R A N CE BRO K E R S C O L E FO U N DAT I O N FO U N DAT I O N O F G RE AT E R M O N T RE A L BRE N DA J O N E S K I N S E L L A PAT RI CI A M . M O O RE LUC PL AMONDON BE RN A RD A . ROY SOCIÉTÉ DE TRANSPORT DE MONTRÉAL (STM) W. G A RF I E L D W E S TO N FO U N DAT I O N J O DI W H I T E ( p. 16 )

$ 5,0 0 0 to $14 ,9 9 9 H E RBE R T C. A U E RB A CH F R A N Ç O I S B A RBE A U J E A N - CL A U D E B A U DI N E T BI RK S FA M I LY FO U N DAT I O N M A RC BLO N D E A U K AT H RY N & BRI A N BRO W N L I E C A I S S E D E S J A RDI N S D E L A CU LT U RE L I N DA C AT Y J O A N M . CL E AT H E R GIL DESAUTELS FA I RM O N T H O T E L S ( Q U E E N E L IZ A BE T H ) HÉLÈNE GIGNAC J A N & BI L L H ATA N A K A FA M I LY F U N D K A A RE N & K E RRY H AW K I N S H VA C RE N TA L S I O D E - T H E N AT I O N A L CH A P T E R O F C A N A DA J. E D W A RD J O H N S O N & S H A RO N VA N CE PA M E L A K E N D E L- G O O DA L E RO BE R T E . L A N D RY LO U E- F RO I D A D RI A N M A CD O N A L D M A RG A RE T M A G N E R SHEIL A MARTIN N A N CY M O RRI S O N W O L FG A N G N O E T H L I CH S T H O M A S P E A C O C K E , C. M . CAT HERIN E RIDEOU T & S T EPHEN HUDDA RT PA U L RO BI L L A RD DAV I D RO F F E Y ROT M A N FA M I LY FO U N DAT I O N PAT RI CI A S . RU BI N J E F F & L A U RE N CE S I M S J AY A L A N S M I T H NALINI STEWART Y VO N T U RC OT


NATIONAL THEATRE SCHOOL OF CANADA

The following data reflects total gifts, gifts in kind and pledges to the Revealing Talent major campaign, from August 1, 2008 to July 31st, 2012. Revealing Talent has now raised $10,352,174 of its total goal of $12 million.

REVEALING TALENT MA JOR CAMPAIGN

PRIVATE FUNDING : DONATIONS & SPONSORSHIPS − $10,352,174 Gifts : R ecei v ed & Outstanding

Gi v ing : Designation

recei v ed

C reation and T echnology

S tudents

( in cluding gi f t s in - k ind

$ 1,975, 3 0 6

$ 1, 5 0 9, 879

and sp o ns o r ship s )

19 %

15%

Special P rojects

T heatre E ngaging

$ 1,9 6 4, 5 57

C ommunities ( T E C )

19 %

$ 1, 361,0 4 0

$ 6 ,187, 474 67%

O utstanding

13 %

$ 4,16 4,70 0

S ponsorships and

33%

T eaching

G ifts in - K ind $ 1, 8 67, 5 0 8

G reatest N eeds

18 %

$ 5 6 5,0 9 9

$ 1,10 8 ,78 5 11%

5%

MATCHING PUBLIC FUNDING − $1,413,565 A portion of donations realized – donations that have been invested in NTS endowed accounts housed at community foundations across Canada – resulted in additional matching funds provided by the Government of Canada (Endowment Incentives) and the Government of Quebec (Mécénat Placements Culture). Since the beginning of the Revealing Talent major campaign, over $1.4 million in matching funds has been confirmed for the National Theatre School of Canada.

Gi v ing By T ype of Gift E ndowments

Sponsorships and G ifts in - K ind

$ 5,0 8 3,10 2

$ 1, 8 67, 5 0 8

43%

15%

D irect G ifts $ 3, 4 01, 5 6 4 30%

M atching F unds ( P u b lic & E ndowed ) $ 1, 413, 5 6 5 12 %

T O TA L P R I VAT E D ON AT ION S R A I SED T O TA L P UBL IC M AT CHING F UND S R A I SED

$10,3 5 2,174 $1, 413,5 6 5

JULY 31ST 2012 GRAND TOTAL FOR REVEALING TALENT $11,76 5,73 9 ( p . 17 )


NATIONAL THEATRE SCHOOL OF CANADA

Foundation of G reater M ontreal Edmonton Community Foundation Toronto Community Foundation Vancouver Foundation Foundation of N e w foundland and L abrador S outh S askatche wan Community Foundation Winnipeg Foundation T otal

( p. 18 )

P ayout to N T S 2 0 11 - 2 0 1 2 ($)

The following reflects the market value of our endowed funds held at community foundations across the country.

M arket Value D ec . 3 1, 2 0 11 ($)

COMMUNIT Y FOUNDATION ACCOUNTS

2,14 0,325 4 89,5 81 250,598 233,85 4 102,705 4 8,720 4 5,914

36,928 9,502 1,398 3,6 4 4 0 0 1,087

3,311,6 9 7

5 2,5 5 9


Joseph Bleviss Memorial Cirque du Soleil J.W. McConnell Family Foundation Honorable Pauline-McGibbon Power Corporation Canada Mortgage and Housing Corporation TransCanada PipeLines Alumni Eric Steiner Québec Bruno Gerussi BMO Financial Group Barbara & John Poole RBC Royal Bank Hydro-Québec TD G.R.A.-Rice Enbridge Carol & David Appel Michel & Suria Saint-Denis Rogers Communications Alberta Kahanoff Foundation Bram & Bluma Appel Barrick Heart of Gold Caisse centrale Desjardins Canada Post Corporation CIBC Cliff-Minshull Gaz Métro Onex Corporation Solomon Jack Safian Simon Brault & Louise Sicuro Eaton Foundation Cogeco Ada Slaight Nova Scotia Burrowes Family National Bank Michel Tremblay

( p. 19)

272,873 260,125 200,000 189,343 175,000 150,000 140,000 132,419 125,650 118,340 102,045 100,000 100,000 100,000 96,000 90,000 67,500 65,900 62,605 62,000 60,000 59,950 55,000 51,323 50,000 50,000 50,000 50,000 50,000 50,000 50,000 50,000 48,602 46,141 45,500 45,357 36,000 35,000 35,000 34,078

Bursaries allocated ( $ )

ACCUMUL AT ED DON AT IONS as of J uly 3 1, 2 0 1 2 ( $ )

F und

NATIONAL THEATRE SCHOOL OF CANADA

10,500 9,600 8,000 7,600 7,000 6,000 5,600 5,300 5,000 4,700 4,000 4,000 4,000 4,000 3,800 3,600 2,700 1,600 2,500 2,500 2,400 2,400 2,200 2,100 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 1,700 1,800 1,500 1,800 1,400 1,400 1,400 1,400

Bursary Funds


Walter Carsen Denise Pelletier Donald & Murray Davis Robert E. Landry Imperial Tobacco Canada Ltd. Monique Mercure S.M. Blair Family Foundation American Express Craig Foundation Seagram Company Ltd. Saskatchewan Nalini Stewart & Family Arthur & Esther Gelber 25th Anniversary Gala Petro-Canada Birks Family Foundation George Wesley Sam Sniderman & Janet Mays Manitoba Desjardins Allard Foundation Axor Monument-National Chawkers Foundation J.A. DeSève Luc Plamondon Patricia & David Rubin Family Norman & Margaret Jewison Charitable Foundation Britte-Moreno Cleather Family Patricia M. Moore Somer Alberg Jean Besré Jodi White Jean-Louis Roux TNM J. Edward Johnson & Sharon Vance Family J. Armand Bombardier Foundation Fednav Ltd. Metro Paterson Foundation Pratt & Whitney Canada SNC-Lavalin

( p. 20 )

33,000 31,000 30,000 29,600 29,000 28,048 27,950 25,500 25,000 25,000 24,706 24,618 24,500 22,500 22,500 22,000 22,000 21,650 21,000 20,743 20,000 20,000 20,000 20,000 19,976 19,300 19,000 18,675 18,600 18,200 17,150 16,606 16,535 16,200 15,340 15,000 15,000 15,000 15,000 15,000 15,000

Bursaries allocated ( $ )

F und

Bursary Funds

ACCUMUL AT ED DON AT IONS as of J uly 3 1, 2 0 1 2 ( $ )

NATIONAL THEATRE SCHOOL OF CANADA

1,300 1,200 1,200 1,100 1,200 1,100 1,100 1,000 1,000 1,000 1,000 900 900 900 900 800 900 800 800 800 800 800 800 800 800 700 600 800 700 600 700 600 700 700 600 600 600 600 600 600 600


Donald Sutherland & Francine Racette 15,000 Tecolote Foundation 15,000 Adrian Merchant Macdonald & Donald S. Macdonald 14,640 Peter & Shelagh Godsoe 14,427 Gil Desautels 13,970 Yvon Turcot 13,400 Rothmans Benson & Hedges Inc. 13,000 Johanna & Cameron Mitchell 12,200 Jacqueline & Derek Oland 12,200 Tom Carew 11,830 Hayden/Sime 11,700 Jean Claude & Penelope Baudinet 11,500 Eleanore Romanow 11,200 New Brunswick 11,049 Laura Elsie MacMillan 11,000 Assia De Vreeze 10,825 IPSCO 10,700 Mary & Herb Auerbach 10,600 Kaaren & Kerry Hawkins 10,600 John Codner 10,107 Atomic Energy of Canada Ltd. 10,000 Bell Mobility 10,000 Canadian Pacific 10,000 Celanese Canada 10,000 CN 10,000 Bernard G. Côté 10,000 Emera 10,000 Empire Life Insurance Company 10,000 Ernst & Young 10,000 Luba Goy 10,000 Hamber Foundation 10,000 Hunt Oil Company of Canada 10,000 J.D. Irving Ltd. 10,000 Henry White Kinnear Foundation 10,000 Brenda Jones Kinsella 10,000 John Labatt Foundation 10,000 Lévesque Beaubien Geoffrion 10,000 McLean Foundation 10,000 George Cedric Metcalf Charitable Foundation 10,000 Moosehead 10,000 Nova Chemicals Inc. 10,000

( p . 2 1)

Bursaries allocated ( $ )

ACCUMUL AT ED DON AT IONS as of J uly 3 1, 2 0 1 2 ( $ )

F und

NATIONAL THEATRE SCHOOL OF CANADA

600 600 600 600 500 500 500 500 500 500 500 500 500 400 400 400 400 0 400 400 400 400 400 400 400 0 400 400 400 400 400 400 400 400 0 400 400 400 400 400 400

Bursary Funds


David Peacock Nancy G. Power Productions Benoit Brière inc. George Gibbons Ronalds Harris RSA Diana & Irving Schwartz Shaw Communications Kayla Shoctor Sunwapta Broadcasting Universal Studios Canada Velan Paul Robillard Bernard Roy Yves-Étienne Banville Kathryn & Brian Brownlie Invested – Restricted externally

10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000 8,538 3,000 2,500 2,180 5,018,814

National Theatre School of Canada NTS Governors & Members Invested – Restricted internally

504,252 706,765 1,211,017

Total Endowed Bursary Funds

( p. 22)

Bursaries allocated ( $ )

F und

Bursary Funds

ACCUMUL AT ED DON AT IONS as of J uly 3 1, 2 0 1 2 ( $ )

NATIONAL THEATRE SCHOOL OF CANADA

6,229,831

400 400 400 400 400 400 400 400 400 400 400 0 0 0 0 195,000

15,868 27,800 43,668

238,668


Awards Ada Slaight Prize Tullio Cedraschi Award Sims Family Prize for Teaching

N ew D onations ( $ )

Direct Bursaries from Community Foundation Accounts Foundation of Greater Montreal Vancouver Foundation Toronto Community Foundation Sub-Total – Community Foundation Bursaries

5,000 300 400

TOTAL Bursaries & Awards

( p. 2 3)

20,000 10,000 10,000 0 0 4,200 3,000 1,720 1,040 1,000 1,000 1,000 780 758 0 54,498

41,138 1,506 1,398 44,042

A warded ( $ )

Direct Bursaries The W. Garfield Weston Foundation 20,000 Peter Dwyer/Canada Council 10,000 Ada Slaight 10,000 BMO Financial Group 5,000 ScotiaBank 5,000 Luc Plamondon 4,200 IODE 3,000 Various 1,740 Luc Pelletier 1,040 Peter Eldred 1,000 Norman & Margaret Jewison Charitable Foundation 1,000 Pépiphonie Inc. 1,000 Wolfgang Noethlichs 780 Leo Ciceri 758 Marc Deschamps 600 Sub-total – Direct Bursaries 65,118

Bursaries allocated ( $ )

A NNUA L DON AT IONS as of J uly 3 1, 2 0 1 2 ( $ )

NATIONAL THEATRE SCHOOL OF CANADA

5,000 2,500 400

345,108

Bursary Funds


NATIONAL THEATRE SCHOOL OF CANADA

( p. 24)


National Theatre School of Canada Financial Statements July 31, 2012

Independent Auditor's Report

2-3

Financial Statements Revenues and Expenses

4

Changes in Fund Balances

5

Cash Flows

6

Balance Sheet

7

Notes to Financial Statements

8 - 25


Independent Auditor's Report

To the Board of Directors of National Theatre School of Canada

Raymond Chabot Grant Thornton LLP Suite 2000 National Bank Tower 600 De La Gauchetière Street West Montréal, Quebec H3B 4L8 Telephone: 514-878-2691 Fax: 514-878-2127 www.rcgt.com

We have audited the accompanying financial statements of National Theatre School of Canada, which comprise the balance sheet as at July 31, 2012 and the statements of revenues and expenses, changes in fund balances and cash flows for the year then ended, and a summary of significant accounting policies and other explanatory information. Management’s responsibility for the financial statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with Canadian generally accepted accounting principles and for such internal control as management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with Canadian generally accepted auditing standards. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

Chartered Professional Accountants Member of Grant Thornton International Ltd


3 We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion, the financial statements present fairly, in all material respects, the financial position of National Theatre School of Canada as at July 31, 2012 and the results of its operations and its cash flows for the year then ended in accordance with Canadian generally accepted accounting principles.

MontrĂŠal September 28, 2012

1

CPA auditor, CA public accountancy permit no. A110569


$

383,556 43,350 200,024 1,522,782 665,063 140,561 26,832

292,120 7,528,426

383,556 43,350 200,024 1,522,782

665,063 140,561 26,832

292,120 7,528,426 33,928

207,062 34,953 108,896

207,062 34,953 108,896

1,969

50,978 143,559

50,978 143,559

31,959

75,771 350,575 39,774 116,260 122,863

75,771 350,575 39,774 116,260 122,863

–

2,833,770 169,677

6,246 56,920 7,562,354

6,246

54,951 7,560,385

2,833,770 169,677

2,128,739 251,449

1,969 1,969

5,119,000

$

Total

2,128,739 251,449

$

Loan Fund

2012

225,593

447,800 7,608,970

615,017 133,222 30,144

356,651 28,574 449,456 1,538,234

196,747 33,061 42,135

48,315 114,895

68,837 376,617 26,717 145,108 142,982

2,675,957 138,501

43,642 7,834,563

13,164

2,267,196 219,561

5,291,000

$

Total

2011

General Administration

5,119,000

General Fund

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

Excess (deficiency) of revenues over expenses

Expenses Teaching staff Salaries and employee benefits Allowances Building Salaries and employee benefits Operating expenses Teaching equipment Special projects Public performances Stores Salaries and employee benefits Supplies Library Salaries and employee benefits Books and supplies Training initiatives Auditions and communications Salaries and employee benefits Audition tours Communications Monument-National (Note 6) Administrative Salaries and employee benefits Other Other Amortization of buildings Amortization of furniture, equipment, automotive equipment and computer equipment Disposal of funds in favour of community foundations (Note 5) Bursaries and funds allocated Expense relating to the actuarial deficit (Notes 16 and 17)

Revenues Operating grants (Note 3) Other grants Self-generated (Note 4) Private donations Investments income from community foundations (Note 5) Changes in fair value of held-for-trading investments

Year ended July 31, 2012

National Theatre School of Canada Revenues and Expenses

2,250

2,805 2,805

$

PhilippeCasgrain Fund

32,682

12,744 118,344

105,600

$

–

2,473 11,709

9,236

$

252,533 452,317

15,577

184,207

$

Total

(730,098)

799,313

(131,222)

345,108

459

3,400

6,593

25,906

555

2,250

85,662

32,682

11,709

(756,342)

1,208,659

409,346

306,739 25,906

32,499 32,499

$

Directing Chair Fund

306,739 3,400

3,859 3,859

$

Playwriting Chair Fund

492,574

345,108

128,938 213,886

15,577

69,371

$

Bursary Fund

SuzanneGrossmann Fund

492,574

69,215 69,215

$

Capital Assets Fund

Creation and Technology Fund

2012

(130,783)

1,147,955

346,352

309,029

492,574

932,253 1,017,172

42,841

32,138

9,940

$

Total

2011

Restricted

2011

717,551

120,000

120,000

837,551

837,551

$

Total

175,545

989,284

989,284

1,164,829

1,164,829

$

Total

Endowment (Note 15)

2012

4


–

(31,959)

31,959

$

Unrestricted

$

1,640,716

21,241

1,619,475

General Fund Restricted

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

Balance, beginning of year Excess (deficiency) of revenues over expenses Interfund transfer (Note 7) Balance, end of year

Year ended July 31, 2012

National Theatre School of Canada Changes in Fund Balances

147,001

33,928

1,969

1,787,717

(10,718)

1,764,507

$

Total

145,032

$

Loan Fund

2012

1,764,507

(17,085)

225,593

1,555,999

$

Total

2011

General Administration

22,274,780

(730,098)

23,004,878

$

Capital Assets Fund

1,185,392

(131,222)

1,316,614

$

Bursary Fund

100,957

459

100,498

$

Playwriting Chair Fund

685,567

6,593

678,974

$

Directing Chair Fund

4,806

555

4,251

$

PhilippeCasgrain Fund

85,662

85,662

$

Creation and Technology Fund

11,709

11,709

$

Grossmann Fund

Suzanne-

24,348,873

(756,342)

25,105,215

$

Total

2012

25,105,215

(130,783)

25,235,998

$

Total

2011

Restricted

2011

8,268,100

10,718

717,551

7,539,831

$

Total

$

7,539,831

17,085

175,545

7,347,201

Total

Endowment (Note 15)

2012

5


6

National Theatre School of Canada Cash Flows

Year ended July 31, 2012

OPERATING ACTIVITIES Excess (deficiency) of revenues over expenses of the general administration fund and restricted fund Non-cash items Amortization of capital assets Unrealized changes in fair value of investments Net gains realized on investments Changes in working capital items Net cash generated INVESTING ACTIVITIES Disposal of investments Acquisition of investments Disposal of funds in favour of community foundations Capital assets Net cash used FINANCING ACTIVITIES Repayment of long-term debt Private donations to endowment Government grants receivable Net cash generated Decrease in cash Cash, beginning of year Cash, end of year

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

2012 $

2011 $

(722,414)

94,810

799,313 317,589 (184,195) 1,355,490 1,565,783

801,603 (932,734)

7,899,613 (10,814,862) (120,000) (61,137) (3,096,386)

14,372,848 (14,669,895) (989,284) (94,625) (1,380,956)

(773,594) 837,551 1,265,894 1,329,851 (200,752) 315,590

(739,077) 1,164,829 783,277 1,209,029 (148,310) 463,900

114,838

315,590

59,938 23,617


Director

On behalf of the Board,

147,013

4,311,376

Director

23,355,135

22,274,780

147,001

1,640,716 1,640,716

802,266 805,105 275,250 1,080,355

2,839

23,355,135

802,266 812,802 3,902,227 18,364,856 275,250

10,536

$

18,364,856 3,909,924

12

12

12

147,013

147,013

$

Capital Assets Fund

147,001

26,778 1,194,292 7,638 2,666,840 3,820 2,670,660

499

3,689

16,054 6,117

418,595 22,155 971,023

4,311,376

3,820

12 2,839 7,638 217,255 4,090,301

114,838 83,633 8,295

$

Loan Fund

General Administration

General Fund

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

FUND BALANCES Invested in capital assets Externally restricted Internally restricted (Notes 15 and 16)

Long-term debt (Note 14)

LIABILITIES Current liabilities Accounts payable Refundable deposits Government grants received in advance (Note 12) Advance from General Administration Fund, without interest Advance from Bursary Fund, without interest Advance to Playwriting Chair Fund, without interest Advance from Playwriting Chair Fund, without interest Advance from Philippe-Casgrain Fund, without interest Advance to Creation and Technology Fund, without interest Contributions and deferred revenue (Note 13) Instalments on long-term debt

Portfolio investments (Note 9) Capital assets (Note 10) Government grants receivable (Note 14)

ASSETS Current assets Cash Accounts receivable (Note 8) Prepaid expenses Advance to General Fund, without interest Advance to Loan Fund, without interest Advance to Capital Assets Fund, without interest Government grants receivable (Note 14)

July 31, 2012

National Theatre School of Canada Balance Sheet

1,185,392

1,018,814 166,578 1,185,392

1,185,392

40,966 1,144,426

100,957

100,957

100,957

100,957

6,117 94,840

685,567

685,567

685,567

685,567

10,925 674,642

3,689

16,054

$

7,236 6,117

$

Directing Chair Fund

24,912

$

Bursary Fund

Playwriting Chair Fund

4,806

4,806

4,806

4,806

499 4,307

499

$

PhilippeCasgrain Fund

85,662

85,662

85,662

85,662

26,778 58,884

26,778

$

Creation and Technology Fund

11,709

11,709

11,709

11,709

– 11,709

$

Restricted SuzanneGrossmann Fund

8,268,100

6,756,475 1,511,625 8,268,100

8,268,100

– 8,268,100

$

Endowment

38,099,729

18,364,856 12,720,915 3,318,919 34,404,690

1,194,292 809,904 3,415,969 279,070 3,695,039

418,595 22,155 971,023

809,904 1,059,354 18,396,449 18,364,856 279,070 38,099,729

114,838 126,317 8,295

$

Total

2012

$

Total

2011

37,645,892

19,103,033 11,984,919 3,321,601 34,409,553

919,156 773,593 2,147,364 1,088,975 3,236,339

337,542 22,114 94,959

37,645,892

1,265,893 1,839,291 15,614,594 19,103,032 1,088,975

315,590 166,092 91,716

7


8

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

1 - GOVERNING STATUTES AND PURPOSE OF THE ORGANIZATION National Theatre School of Canada, incorporated under Part III of the Companies Act (QuÊbec), offers professional training in English and French in theatre arts: acting, directing, playwriting, set and costume design and technical production. The Organization is a non-profit organization under the Income Tax Act. 2 - SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The financial statements are prepared using the historical cost method, except for certain financial instruments that are recognized at fair value. No information on fair value is presented when the carrying amount corresponds to a reasonable approximation of the fair value. Accounting estimates The preparation of financial statements in accordance with Canadian generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts recorded in the financial statements and notes to financial statements. These estimates are based on management's best knowledge of current events and actions that the Organization may undertake in the future. Actual results may differ from these estimates. Financial assets and liabilities The Organization has chosen to apply the recommendations of Section 3861, "Financial Instruments – Disclosure and Presentation", of the Canadian Institute of Chartered Accountants' Handbook with respect to the presentation and disclosure of financial statements. On initial recognition, all financial assets and liabilities are measured and recognized at their fair value, except for financial assets and liabilities resulting from certain related party transactions. Transaction costs from held-for-trading financial assets and liabilities are recognized in revenues and expenses and presented under other administrative expenses. Transaction costs of other financial liabilities other than long-term debt reduce the carrying amount of the related financial liabilities. Transaction costs for the arrangement of long-term debt are recognized as other administrative expenses of the related fund when they are incurred. Regular-way purchases or disposals of financial assets are recognized at the transaction date. Subsequently, financial assets and liabilities are measured and recognized as follows.


9

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

2 - SIGNIFICANT ACCOUNTING POLICIES (Continued) Held-for-trading financial assets Cash is classified as held-for-trading financial assets and portfolio investments as well as the related interest receivable are designated as held for trading. They are measured at fair value and changes in fair value are recognized in the statement of revenues and expenses. Changes in fair value that are recognized in the statement of revenues and expenses include interest and dividend income, exchange gains or losses and realized and unrealized gains or losses, and are presented under changes in fair value of held-for-trading investments. The fair value of Treasury bills, money market securities and bonds is measured at the market rate, the fair value of mutual fund units is measured using values obtained from the fund trustees and the fair value of shares is measured using the current bid price. On initial recognition, the Organization designates portfolio investments as held for trading because it considers that the financial information generated by this classification is more relevant for decision-making and provides a better means for evaluating the Organization's performance. Loans and receivables Accounts receivable and government grants receivable are classified as loans and receivables. They are measured at amortized cost using the effective interest method, which is generally the initially recognized amount, less any allowance for doubtful accounts. Other financial liabilities Accounts payable, refundable deposits and the long-term debt are classified as other financial liabilities and are measured at amortized cost using the effective interest method. The fair value of the variable interest mortgage loan is approximately equivalent to the carrying amount, given that the rate represents the rate that the Organization could actually obtain for a loan with similar terms and conditions. The fair value of fixed rate long-term debt is determined by discounting future cash flows using rates that the Organization can use for loans with similar terms and conditions and maturity dates. Fund accounting Assets, liabilities, revenues and expenses relating to the Organization's general activities are reported in the General Fund. Assets, liabilities, revenues and expenses to provide financial assistance through emergency loans to students of the Organization who need short-term financial support are reported in the Loan Fund. These loans are without interest and payable in 90 days. Assets, liabilities, revenues and expenses relating to capital assets are reported in the Capital Assets Fund. Assets, liabilities, revenues and expenses to provide financial assistance through bursaries to students who are facing financial difficulties which could jeopardize the completion of their training at the Organization are reported in the Bursary Fund. This financial assistance is complementary to the government assistance programs.


10

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

2 - SIGNIFICANT ACCOUNTING POLICIES (Continued) Assets, liabilities, revenues and expenses relating to invited playwrights in residence at the Organization in order to promote the development of new English-language Canadian plays are reported in the Playwriting Chair Fund. Assets, liabilities, revenues and expenses relating to support activities of research, production and training in the area of directing are reported in the Directing Chair Fund. Assets, liabilities, revenues and expenses relating to enrich the teaching and voice coaching for the students through the recruitment of specialists who will provide vocal technique and diction Master classes and intensive workshops are reported in the Philippe-Casgrain Fund. Assets, liabilities, revenues and expenses relating to invited specialists, partnerships or purchases and rentals required for an increasingly advanced integration of new stage technologies for training students in show production are reported in the Creation and Technology Fund. Assets, liabilities, revenues and expenses relating the cultural and theatre outings offered to the students, namely, visits to the Stratford Shakespeare Festival and the Shaw Festival, are reported in the Suzanne-Grossmann Fund. The Endowment Fund presents resources received as endowments. Revenue recognition The Organization follows the restricted fund method of accounting for contributions. Contributions restricted for operating activities are recognized as revenue of the General Fund, using the deferral method, in the year in which the related expenses are incurred. Restricted contributions for which the Organization does not present corresponding restricted funds are recognized in the General Fund using the deferral method. All other restricted contributions are recognized as revenue of the appropriate restricted fund. Unrestricted contributions are recognized as revenue of the General Fund when received or receivable if the amount to be received can be reasonably estimated and collection is reasonably assured. Endowment contributions received are recognized as revenue in the Endowment Fund. Investment income from Endowment Fund resources is presented in the Bursary Fund, the Playwriting Chair Fund, the Directing Chair Fund or the Philippe-Casgrain Fund according to the nature of the donor designation. Investment income from fund resources is recognized in the related restricted funds. Other investment income is recognized as General Fund revenue when it is earned.


11

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

2 - SIGNIFICANT ACCOUNTING POLICIES (Continued) Investment income from community foundations is presented in the Bursary Fund, the Playwriting Chair Fund, the Directing Chair Fund or the Philippe-Casgrain Fund according to the nature of the donor designation. Investment income from fund resources is recognized in the related restricted funds. Other investment income is recognized as General Fund revenue when it is earned. Self-generated revenue is recognized when there is an agreement between the parties, the amount of the transaction is determinable, collection is reasonably assured and the services have been rendered. The liability related to the portion of self-generated revenue that is invoiced but not pledged is recognized as deferred revenues. Amortization Capital assets are amortized on a straight-line basis over their estimated useful lives at the following annual rates: Rates Buildings Furniture, equipment and automotive equipment Computer equipment

2% 25% 50%

Pension plan Defined contribution plan accounting is applied to a multi-employer defined benefit plan for which the Organization has insufficient information to apply defined benefit plan accounting. Foreign currency translation Monetary assets and liabilities in foreign currency are translated at the exchange rate in effect at the balance sheet date, whereas other assets and liabilities are translated at the exchange rate in effect at the transaction date. Revenue and expenses in foreign currency are translated at the transaction date, with the exception of expenses relating to non-monetary assets and liabilities, which are translated at the historical rate. Exchange gains or losses on financial assets and liabilities are recognized in the excess (deficiency) of revenues over expenses. Exchange gains or losses on held-for-trading financial instruments are included in changes in fair value of held-for-trading investments presented in the statement of revenues and expenses.


12

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

3 - OPERATING GRANTS Department of Canadian Heritage Ministère de la Culture, des Communications et de la Condition féminine du Québec Ontario Ministry of Culture Conseil des arts de Montréal Alberta Ministry of Culture and Community Spirit British Columbia Arts Council Saskatchewan Ministry of Tourism, Parks, Culture and Sport Department of Culture, Tourism and Healthy Living of New Brunswick Prince Edward Island Ministry of Tourism and Culture Manitoba Arts Council

4 - SELF-GENERATED REVENUE Monument-National (Note 6) Student fees Audition fees Library subscriptions Rentals Other

2012 $ 4,600,000

2011 $ 4,700,000

440,000 50,000 20,000

510,000 50,000 20,000 5,000 3,000

3,000 2,000 2,000 1,000 1,000

2,000 1,000

5,119,000

5,291,000

2012 $ 1,238,906 720,400 54,060 36,615 27,937 50,821

2011 $ 1,352,764 729,550 57,957 40,535 40,127 46,263

2,128,739

2,267,196

5 - COMMUNITY FOUNDATIONS As of July 31, 2012, various community foundations were managing endowment funds which benefit the Organization. These funds are provided directly to a community foundation in the name of the Organization, or come from donations that the Organization has transferred to the community foundation with the agreement of the donors. Investment in endowments held in community foundations allows for the realization of matching endowment funding through government sources. During the fiscal year, the Organization transferred $120,000 to community foundation funds. Additionally, the Organization recognized $21,823 ($50,161 in 2011) as investment income from these endowment funds managed by the community foundations to benefit the Organization. These funds are held at community foundations in perpetuity. The assets belong to the community foundations and the fund capital is kept permanently and increased in accordance with each community foundation's investment policies. Income from the endowment fund will be paid to the Organization at least once a year. Should the Organization discontinue its operations, ownership of the fund will remain with the community foundation which will use the fund to benefit other charitable organizations with similar objectives.


13

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

5 - COMMUNITY FOUNDATIONS (Continued) These funds have not been presented in the Organization’s financial statements because ownership lies with the community foundations. The Organization is only entitled to the investment income that is recognized annually. Details of amounts transferred in the year to the community foundations:

Foundation of Greater MontrĂŠal Edmonton Community Foundation Vancouver Foundation Toronto Community Foundation Foundation of Newfoundland and Labrador Winnipeg Community Foundation South Saskatchewan Community

6 - MONUMENT-NATIONAL Revenues Rental of theatres and sales of goods and services Sponsorships Expenses Buildings Salaries Operating expenses Operations Salaries Events and front of house Services to the public Services to the producers Deficiency of revenues over expenses before amortization (a)

2012 $ 120,000

2011 $ 214,284 150,000 200,000 225,000 100,000 50,000 50,000

120,000

989,284

2012 $

2011 $

1,044,141 194,765 1,238,906

1,266,711 86,053 1,352,764

147,714 364,543

155,375 376,725

406,255 154,805 92,058 357,407 1,522,782

424,030 97,596 110,018 374,490 1,538,234

(283,876)

(185,470)

(a) This deficiency of revenues over expenses before amortization represents the cost for the use of the Monument-National for training purposes. The expenses of the Monument-National are included in the General Administration Fund expenses. 7 - INTERFUND TRANSFER In accordance with a Board of Directors' resolution, an amount of $10,718 was transferred from the General Fund to the Endowment Fund restricted to the Bursary Fund ($17,085 in 2011).


14

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

8 - ACCOUNTS RECEIVABLE

2012 $ 56,846 49,995 400

Accounts receivable of the Monument-National (a) Interest Student loans, without interest Goods and services tax and Quebec sales tax Other

19,076

2011 $ 103,805 50,848 2,100 1,621 7,718

126,317

166,092

(a) Amounts owing from two customers represent 84% of total accounts receivable (one client represented 51% in 2011). 9 - PORTFOLIO INVESTMENTS Cash Treasury bills, 0.24% (0.39% to 1.02% in 2011), maturing in September 2012 Money market securities, 0.12% to 1.27% (0.72% to 1.15% in 2011), maturing from August 2012 to July 2013 Mutual fund units Bonds (33% governmental, 56% as at July 31, 2011), 0.5% to 10.95% (0.5% to 11% in 2011), maturing from December 2012 to December 2025 Shares

2012 $ 546,633

2011 $ 238,998

59,857

139,546

2,601,141 1,183,867

1,239,222 532,119

7,025,650 6,979,301

6,598,721 6,865,988

18,396,449

15,614,594

Shares Allocation by industry segments Energy Telecommunications Finances Industries Consummation discretionary Consumer goods Material Health Information technology Community service Other

$ 972,463 957,656 903,470 893,115 883,790 738,388 590,852 531,568 338,117 84,609 85,273 6,979,301

2012 % 13.93 13.72 12.94 12.80 12.66 10.58 8.47 7.62 4.84 1.21 1.22 100.00

$ 912,166 881,617 994,441 910,910 959,160 639,220 561,230 448,161 432,902 97,297 28,884 6,865,988

2011 % 13.29 12.84 14.48 13.27 13.97 9.31 8.17 6.53 6.31 1.42 0.42 100.00


15

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

9 - PORTFOLIO INVESTMENTS (Continued) Allocation by geographic sectors $ 2,211,909 1,786,499 523,711 500,477 1,956,705

Canada United States United Kingdom France Other

6,979,301

2012 % 31.69 25.60 7.50 7.17 28.04 100.00

$ 2,227,191 1,494,768 502,508 490,975 2,150,546 6,865,988

2011 % 32.44 21.77 7.32 7.15 31.32 100.00

Bonds Bond investment concentration 2012 Less than one year

Supranational Other federal institutions Provincial Other provincial institutions Municipal Corporate

$ 288,055

From 1 to 5 years

$

178,857

171,012 1,327,201

55,765

809,660

76,524 599,201

Maturity More than 5 years

$

$ 288,055

Total

% 4.10

835,244

171,012 2,341,302

2.43 33.33

2,615,778

354,978 112,677 199,899

1,220,403 112,677 2,892,201

17.37 1.60 41.17

4,923,651

1,502,798

7,025,650

100.00 2011

Less than one year

Supranational Federal Other federal institutions Provincial Other provincial institutions Municipal Corporate

$

135,037

From 1 to 5 years

$ 385,193 227,691 1,598,533 350,113

26,968 162,005

1,631,940 4,193,470

Maturity More than 5 years

$

570,465

$ 385,193 705,502

Total

% 5.84 10.69

1,004,659

227,691 2,603,192

3.45 39.45

393,905 64,247 209,970 2,243,246

744,018 64,247 1,868,878 6,598,721

11.28 0.97 28.32 100.00


16

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

9 - PORTFOLIO INVESTMENTS (Continued) Weighted average yield

2012 Less than one year

Supranational Other federal institutions Provincial Other provincial institutions Municipal Corporate Weighted average

% 2.50 0.73 0.36

From 1 to 5 years

%

1.42 4.04 3.01

Maturity More than 5 years

%

4.41

5.21

5.60 6.70 4.22 5.46

2.02

4.40

5.74

Total

% 2.50 1.42 4.34 3.96 4.22 5.21 4.48

2011 Less than one year

Supranational Federal Other federal institutions Provincial Other provincial institutions Municipal Corporate Weighted average

%

6.00

5.15 5.86

Mutual fund units Asset class Shares Bonds

$

From 1 to 5 years

% 2.29 1.90 4.08 3.86

3.65 3.61

2012 %

Maturity More than 5 years

%

3.74 5.11 5.50 4.76 5.49 4.86

$

Total

% 2.29 4.17 1.90 4.48 4.73 4.76 3.88 4.09

2011 %

792,881 390,986

66.97 33.03

306,144 225,975

57.53 42.47

1,183,867

100.00

532,119

100.00


17

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

10 - CAPITAL ASSETS

2012 Cost

Land School buildings Monument-National building Furniture and equipment Automotive equipment Computer equipment

$ 2,968,676 5,780,766 18,847,954 2,245,532 22,595 441,986 30,307,509

Accumulated amortization

$

Net

2,251,974 7,377,818 1,868,951 16,946 426,964

$ 2,968,676 3,528,792 11,470,136 376,581 5,649 15,022

11,942,653

18,364,856 2011

Cost

Land School buildings Monument-National building Furniture and equipment Automotive equipment Computer equipment

Accumulated amortization

$

Net

$ 2,968,676 5,780,766 18,847,954 2,198,051 22,595 428,330

2,136,358 7,000,859 1,586,701 11,298 408,124

$ 2,968,676 3,644,408 11,847,095 611,350 11,297 20,206

30,246,372

11,143,340

19,103,032

11 - BANK LOAN The bank loan for an authorized amount of $100,000 ($100,000 in 2011) is unsecured, bears interest at prime rate plus 1.5% (1.5% in 2011) (4.5%; 4.5% in 2011) and is renegotiable in March 2013.


18

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

12 - GOVERNMENT GRANTS RECEIVED IN ADVANCE Government grants received in advance represent unused resources which, as a result of external restrictions, are intended to cover the General Fund's operating expenses for the coming year.

Balance, beginning of year Recognized as earnings during the year Received relating to the following year Department of Canadian Heritage Ministère de la Culture, des Communications et de la Condition féminine du Québec Ontario Ministry of Culture Conseil des arts de Montréal Department of Culture, Tourism and Healthy Living of New Brunswick Saskatchewan Ministry of Tourism, Parks, Culture and Sport Manitoba Arts Council Nunavut Prince Edward Island Ministry of Tourism and Culture Balance, end of year

2012 $ 94,959 (94,959)

2011 $ 309,258 (309,258)

694,273 220,000 33,750 18,000 2,000 1,000 1,000 1,000 971,023

40,209 33,750 18,000 2,000 1,000 94,959

13 - CONTRIBUTIONS AND DEFERRED REVENUE Contributions and deferred revenue are unexpended resources to be used to cover operating expenses in the coming year. Changes in the balance of these contributions and deferred revenue are as follows: 2012 2011 $ $ Deferred revenue Tuition fees 9,700 14,802 Balance, beginning of year (9,700) (14,802) Recognized as earnings during the year 23,710 9,700 Received relating to the following year 23,710 9,700 Balance, end of year


19

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

13 - CONTRIBUTIONS AND DEFERRED REVENUE (Continued) Deferred contributions Leadership Program Balance, beginning of year Recognized as earnings during the year Received relating to the following year Balance, end of year Theatre visit Balance, beginning of year Received relating to the following year Recognized as earnings during the year Balance, end of year Other deferred contributions Balance, beginning of year Recognized as earnings during the year Received relating to the following year Balance, end of year

2012 $

2011 $

63,705 (35,504) 138,120 166,321

47,838 (35,642) 51,509 63,705

52,503 (14,000) 59,462 97,965

51,858 (1,858) 2,503 52,503

793,248 (507,743) 620,791 906,296

476,324 (313,208) 630,132 793,248

1,194,292

919,156

14 - GOVERNMENT GRANTS RECEIVABLE AND LONG-TERM DEBT

Total grants receivable Long-term grants receivable related to the long-term debt Current portion Other grants receivable Current portion of grants receivable related to the long-term debt

2012 $ 1,088,974 (279,070) 809,904 809,904

2011 $ 2,354,868 (1,088,975) 1,265,893 (492,300) 773,593

A grant was awarded in 1993 by the Ministère de la Culture, des Communications et de la Condition féminine du Québec with respect to the financing of 50% of the restoration costs of the Monument-National in the form of an undertaking of the reimbursement of principal and interest of an original mortgage loan of $8,800,000 contracted by the Organization, bearing interest at the lender's cost plus 0.75%, repayable in semi-annual instalments, maturing on June 8, 2013 and secured by a first-rank mortgage and by the assignment of the promise of this grant. As at July 31, 2012, the outstanding balance on this mortgage loan and the grant by way of undertaking of payment totals $733,784 ($1,431,258 in 2011).


20

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

14 - GOVERNMENT GRANTS RECEIVABLE AND LONG-TERM DEBT (Continued) In 2002, a subsidy was received from the Ministère de la Culture, des Communications et de la Condition féminine du Québec under the "Soutien aux équipements culturels" program in connection with the "Agir en culture et en communication" action plan for the financing of 95% of the maintenance cost of assets, the purchase and installation of special movable equipment and computer equipment. This subsidy consists in assumption of the payment of principal and interest on a term loan for an original amount of $323,000. The loan, contracted by the Organization, is secured by a comfort letter signed by the Ministère de la Culture, des Communications et de la Condition féminine du Québec, bears interest at 5% and is payable in semi-annual instalments until September 2013. As at July 31, 2012, the outstanding balance on this term loan and the grant by way of undertaking of payment totals $48,450 ($80,750 in 2011). A grant from the Ministère de la Culture, des Communications et de la Condition féminine du Québec was obtained during the year ended July 31, 2009 under the "Aide aux immobilisations" program relating to the financing of a portion of the costs to increase the population's access to the property, services and activities in the cultural field, through the implementation of quality cultural equipment that complies with current professionalism criteria. This grant is by way of undertaking of payment of capital and interest of a term loan of an original amount of $438,200. This loan, contracted by the Organization, is secured by a comfort letter signed by the Ministère de la Culture, des Communications et de la Condition féminine du Québec, bears interest at a rate of 6.8% and is repayable in quarterly instalments of $21,910 from January 2010 to January 2014 and by a final instalment of $241,010 in July 2014. As at July 31, 2012, the balance of this term loan and the grant by way of undertaking of payment totals $306,740 ($350,560 in 2011). The fair value of these term loans as at July 31, 2012 is $304,688 ($381,627 as at July 31, 2011). The instalments on long-term debt for the next years are $809,905 in 2013 and $279,070 in 2014. These instalments are covered by subsidies from the Ministère de la Culture, des Communications et de la Condition féminine du Québec.


$

4,829,165 103,808 (30,250) 4,902,723

178,051

867,000

178,051

1,167,000

300,000

300,000

867,000

$ 178,051

$

Bursary Fund

$

Directing Chair Fund

Playwriting Chair Fund

– 497,433

497,433 497,433

$

99,800

300,000

93,250 6,550 99,800

$

PhilippeCasgrain Fund

Creation and Technology Fund

1,167,000

6,101,530

178,051

Total

6,239,938

Total

300,000

867,000

178,051

1,172,985 8,737 17,085 1,198,807

1,198,807 2,100 10,718 1,211,625

Internally restricted Balance, beginning of year Donations Interfund transfer (Note 7) Balance, end of year

867,000

$

Directing Chair Fund

178,051

$

Playwriting Chair Fund

Externally restricted Balance, beginning of year Donations Interfund transfer (Note 7) Balance, end of year Internally restricted Balance, beginning of year Donations Interfund transfer (Note 7) Balance, end of year

4,902,723 125,590 5,028,313

Bursary Fund

Externally restricted Balance, beginning of year Donations Balance, end of year

15 - ENDOWMENT FUND

July 31, 2012

National Theatre School of Canada Notes to Financial Statements

93,250

63,000 30,250 93,250

$

PhilippeCasgrain Fund

85,878

85,878 85,878

$

SuzanneGrossmann Fund

7,539,831

1,472,985 8,737 17,085 1,498,807

6,041,024

5,874,216 166,808

$

Total

2011

8,268,100

1,498,807 2,100 10,718 1,511,625

6,041,024 715,451 6,756,475

$

Total

2012

21


22

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

16 - INTERNAL RESTRICTION Pursuant to five resolutions of the Board of Directors in the last years, $1,640,716 of the balance of unrestricted funds in the General Fund were internally restricted. This amount is restricted to the repayment of the actuarial deficit of the interorganization defined-benefit pension plan and risks. 17 - PENSION PLAN The Organization participates with National Ballet School of Canada in a multi-employer defined benefit plan which is available to all permanent employees. The pension expense for the year amounted to $473,789 ($585,711 in 2011), including $292,120 ($447,800 in 2011) as expense relating to the actuarial deficit. The Organization is committed, based on the actuarial valuation as at January 1, 2011, to paying $325,283 with respect to the actuarial deficit, from January 1, 2011 to December 31, 2025. Payments in the coming years are $138,058 in 2013, $78,983 in 2014, $57,033 in 2015, $24,842 in 2016 and $26,367 in 2017 and subsequent years. As at January 1, 2011, National Ballet School of Canada stopped participating in the multi-employer plan and stated it intended to withdraw from the plan once it has received authorization from the Financial Services Commission of Ontario. Accordingly, the assets and liabilities relating to employees of National Ballet School of Canada will be withdrawn from the plan at the December 31, 2010 value. This withdrawal does not involve any additional costs for the Organization as all of the costs of a sponsor’s withdrawal are at the sponsor’s expense. Following the transfer, the pension plan will no longer be a multi-employer plan. National Theatre School of Canada will be the only participant. 18 - CONTRIBUTED GOODS AND SERVICES The Organization has chosen not to recognize contributed goods and services. The Organization received a number of goods and services at no cost. The fair value of these goods and services, as determined by the sponsor, is $6,032 ($140,335 in 2011). 19 - FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES, AND FINANCIAL RISKS Financial risk management objectives and policies The Organization is exposed to various financial risks resulting from both its operating and its investing activities. The Organization's management manages financial risks. The Organization does not enter into financial instrument agreements including derivative financial instruments for speculative purposes.


23

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

19 - FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES, AND FINANCIAL RISKS (Continued) Financial risks The Organization's main financial risk exposure and its financial risk management policies are as follows. Exchange risk The Organization is exposed to exchange risk due to portfolio investments denominated in foreign currencies. Portfolio investments denominated in foreign currencies as at July 31, 2012 and 2011 are as follows: 2012 2011 $ $ U.S. dollar 2,572,591 2,112,039 Euro 1,236,357 1,408,273 New Zealand dollar 136,292 338,458 Yen 270,947 356,939 Australian dollar 254,427 235,168 Pound sterling 243,226 215,841 Swiss franc 88,167 112,096 Singapore dollar 55,216 52,401 Swedish krone 160,081 48,336 Danish krone 96,985 44,004 Hong Kong dollar 17,940 25,583 Norwegian krone 16,754 16,529 5,148,983

4,965,667

Mutual fund units are also exposed, although indirectly, to exchange risk as they can include currency investments. The Organization does not enter into contracts to cover its exchange risk exposure. Interest rate risk The Treasury bills, money market securities, bonds and fixed rate term loans bear interest at a fixed rate and the Organization is, therefore, exposed to the risk of changes in fair value resulting from interest rate fluctuations. Mutual fund units are also exposed, although indirectly. The mortgage loan bears interest at a variable rate and the Organization is, therefore, exposed to the cash flow risks resulting from interest rate fluctuations. The Organization's other financial assets and liabilities do not comprise any interest rate risk since they do not bear interest. The Organization does not use derivative financial instruments to reduce its interest rate risk exposure.


24

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

19 - FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES, AND FINANCIAL RISKS (Continued) Credit risk Generally, the carrying amount on the balance sheet of the Organization's financial assets exposed to credit risk, net of any applicable provisions for losses, represents the maximum amount exposed to credit risk. – Accounts receivable and government grants receivable: The Organization's credit risk is primarily attributable to its accounts receivable and government grants receivable. The account receivable balances are managed and analyzed on an ongoing basis and, accordingly, the Organization's exposure to doubtful accounts is not significant. Government agency or government subsidies are backed by contract; – Portfolio investments: With the exception of shares, the credit risk is considered as being negligible, since it is an investment security with a good external credit rating. Nevertheless, the risk is only indirect for the mutual fund units. As at July 31, 2012, cash is held with a recognized financial institution. Liquidity risk Liquidity risk management serves to maintain a sufficient amount of cash and cash equivalents and to ensure that the Organization has financing sources such as bank loans for a sufficient authorized amount. The Organization establishes budget and cash estimates to ensure it has the necessary funds to fulfil its obligations. Price risk Mutual fund units, bonds and share investments expose the Organization to the risk of changes in fair value and a risk resulting from fluctuations in market prices. 20 - COMMITMENTS The Organization entered into long-term lease agreements expiring until October 2017, which call for lease payments of $306,963 for the rental of equipment, maintenance services and the rental of an office. Minimum lease payments for the next five years are $151,822 in 2013, $51,003 in 2014 and 2015, $47,151 in 2016 and $5,985 in 2017 and subsequent years. 21 - CAPITAL MANAGEMENT The Organization defines its capital as its fund balances and its capital management objectives are as follows: – Maintain its ability to continue as a going concern; – Fulfil its financial obligations.


25

National Theatre School of Canada Notes to Financial Statements

July 31, 2012

21 - CAPITAL MANAGEMENT (Continued) The Organization manages its capital mainly through operating grants, autonomous revenue and investment income. In order to maintain or adjust the capital structure, the Organization may adjust the expected expense to realize certain of its activities. The Organization is subject to externally imposed capital requirements regarding its endowment funds and balances of funds having an external restriction. Therefore, the Organization is required to respect the will of its donors by conserving the capital of its endowments and using income generated by the endowment capital for the purposes indicated by the donors. During the course of the year, the Organization was in compliance with these requirements. 22 - COMPARATIVE FIGURES Certain comparative figures have been reclassified to conform with the presentation adopted in the current year.


50TH ANNIVERSARY CELEBRATIONS NOVEMBER 2, 2010 – OCTOBER 30, 2011

2011 NTS Acting graduates travelled across Canada with the Revealing Talent Tour (March 2011).

Romeo & Juliet, by William Shakespeare, directed by Peter Hinton, featuring the National Arts Center English Theatre Company and the 2011 NTS Graduating Class (NAC, Ottawa, 2010). In this photo: Alexandra Ordolis and Brett Donohue (both Acting, 2011)


NATIONAL THEATRE SCHOOL OF CANADA

50th ANNIVERSARY CABARET, one of the NTS Alumni Homecoming weekend activities held on October 29 and 30, 2011. Co-Artistic Directors: ÉRIC CABANA (Interprétation, 1985) and NICK CARPENTER (Playwriting, 1998). In this photo: CARLY STREET (Acting, 1999).

( p . 51)


En français comme en anglais, it’s easy to criticize, a free adaptation of the work by Jacob Wren, co-directed by Chris Abraham (Directing, 1996) and Christian Lapointe (Mise en scène, 2005), from October 25 to 30, 2011, at the Monument-National.

50th Anniversary Cabaret, hosted by VALÉRIE BLAIS (Interprétation, 1990) and RON KLAPPHOLZ (Acting, 2010) during the NTS Alumni Homecoming weekend, held in Montreal on October 29 and 30, 2011 at the Monument-National.


Joy Coghill (Director of the Acting program, 1971-1973, and first recipient of the Gascon-Thomas Award in 1990 with Gratien GĂŠlinas) at the launch of the 50th anniversary of the NTS on November 2, 2010 at the Monument-National.


NTS 50th anniversary media campaign, created by orangetango.


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