PHGC Annual Report 2018-2019

PENNANT HILLS GOLF CLUB LIMITED

ABN 12 000 037 856

OFFICE BEARERS

President: Mr.StephenWalker

Vice-President: Vacant

Captain: Mr.ChrisPragnell

Hon.Treasurer: Mr.DavidLeach

Directors: Mrs.MargieDearlove,Mrs.AnneGoodrick,Mr.RossHowarth, Mr.MichaelRowan,Mr.PhillipStanton&Mr.GregWinters.

COMMITTEES

Planning&Finance: DavidLeach(Chairperson),AnneGoodrick,ChrisPragnell, MichaelRowan&SteveWalker

Course&Playing: ChrisPragnell(Chairperson),ChrisAllen,AnneGoodrick,SallyMoffat, GregWinters&SteveWalker

Membership: MichaelRowan(Chairperson),MargieDearlove,DavidLeach, PhilStanton&SteveWalker

Clubhouse: RossHowarth(Chairperson),MargieDearlove,AnnElsley, SusieNicholas,PhilStanton,GregWinters&SteveWalker

ClubhouseProject: RossHowarth(Chairperson),GarrettDwyer,AnneGoodrick, RobinHosking,DavidLeach,PhillipStanton,RobStevenson &SteveWalker

LadiesCommittee: SueNicholas(President),SallyMoffat(Captain),SandraMurphy (Secretary),SallyGooley(CompetitionManager),JennyHarvey, JanetShand,LynToohey&JudyTrickett

LifeMembers: Men:TonyGresham Ladies:MollieSutherland

DelegatetoGolfNSW: Mr.ChrisAllen

Auditor: BDHAuditandAssurancePtyLtd

GeneralManager: Mr.BarnabySumner

PRESIDENT'S REPORT

Wehaveseensomesignificantchangesinpersonnelthisyear,andthanksareduetomanytoacknowledge theirefforts.

AmeasureofanoutstandingClubhasalwaysbeenthewaywerecognisecontribution.AllanWatsoninlast year’sAnnualReporttalkedaboutotherretiringdirectorsbut,characteristically,saidnothingabouthimself.

AllanmadeasignificantcontributiontothisCluboversomeyears.HejoinedtheBoardasTreasurer2011, and took on thejob as President 2014 to 2018. He worked tirelessly on the Clubhouse project, and after steppingdownasPresidentlastyearhascontinuedtoassistbypreparingtheClub’sclaimtorecoverlosses resulting from the failure in early detection of asbestos in the Clubhouse roof. That work is ongoing. We thankAllanforhisunstintingeffortsonbehalfoftheClub.

Chris Allenretiredas adirectorinMaythis year.Itisdifficulttodojusticeinthis reporttothecontribution ChrishasmadetotheClubovermanyyears,andtogolfinNewSouthWalesingeneral.Heservedasa PHGCdirectorfornearly10yearsinall,including5yearsasCaptain,2asTreasurer,andmostrecentlyas VicePresident.Evenafter retirementfrom theBoard, hehascontinuedtoserve ontheCourse&Playing Committee,andofcoursetheKendalBinnsFoundation.Heisahighlyaccreditedrulesofficialandreferee, and gives countless hours of his time refereeingClub and externalevents.He was adirector of the New SouthWalesGolfAssociationfor 8 years,and Presidentof its successor GolfNSW forafurther 5 years. He was made a Life Member of Golf NSW in 2016. He is a former board member of the Jack Newton Foundation, and member of the GA Rules Committee. The list goes on and on, and we owe him a great debtofgratitude.OnbehalfofthemembersofthisClub,andgolfersthroughouttheState,thankyouChris.

Threeotherdirectorsarenotstandingforre-electionthisyear,RossHowarth(9yrs),PhilStanton(4yrs)and AnneGoodrick(3yrs).WethankthemallfortheircontributionstotheBoard.Rosshasbeencentraltothe Clubhouse Project from go to whoa, and his ongoing commitment has been important to the successful completion of the project. He very generously agreed also to continue as Chair of House despite heavy demandsonhistimethisyear.

Former General Manager Robin Taylor moved on to bigger and better things at theWyongRace Club in March,andwewishhimwellinhisnewrole.

IthasbeenabaptismoffirefornewGeneralManagerBarnabySumner.Hehasalreadybeeninstrumental inliftingthequalityof our F&B, and drivingmembershiprecruitment,as wellasoverseeingourmoveinto thenewClubhouse,quiteapartfromtheothermyriaddutieshisroleencompasses.

Many thanks to Barnaby, Craig, Chef Peter, Kristen and the rest of Barnaby’s team, indeed to all our Clubhousestafffortheoutstandingwaytheyhaveperformedtheirrolesinthedifficultphysicalenvironment of a Clubhouse under reconstruction around their ears. Neil Rolfe, Rachel and the pro-shop staff have providedexcellentservice,andRichardKirkbyandthegroundsstaffhavedonetheirusualsterlingjobon thecourse.

Thank you to Ladies President Susie Nicholas and Ladies Captain SallyMoffat for your ongoing support andco-operation.

The2018/19financialyearwasexceptionalgiventhedisruptioncausedbyoperatingoutofabuildingsite mostoftheyear,withminimalcapacityformemberandexternalfunctions,corporategolfandbaroperations generally.Allthishadasubstantialimpactontrading.Itisthereforenoteasytodrawmeaningfulconclusions fromthenumbers.

Althoughwehadanoverallsurplusof$354Kduemainlytothelevy,thefinancialperformancethisyearwas asexpectedwellbelowpar,notwithstandingthatthisisinnowayarepresentativeyear.

A useful way to analyse our financial performance is to look at earnings before non-operating income. Excluding the 2018 levy, joining fees, forfeited bar levies, telecommunications tower rent and some redundant asset write-offs, from an operating perspective there was a loss of $498K, predictable in the circumstances.Ifthatisourworstyear,anditshouldbe,thingsarelookingreasonablypromising.

We did manage to contain operating costs reasonably well, with course costs rising by $67K to $1.95m (including $38K kicking off our bunker refurbishment program). Administration costs remained relatively stable.OurF&Brevenueandprofitsufferedsubstantially.Theoverallaccountingresultincludingthelevy wasadeficitof$92.5K.

The great news for the Club is that we now have secured the banking facilities we need to support our operationsthroughnextyearandbeyond.

Withourfinancing inplace,keeninterestinmembershipandour newClubhouse operational,theoutlook fortheClubisexcellent.Iaskmemberstospreadthenews!ReadmoreinTreasurerDavidLeach’sreport.

Astotheyeargenerally,wetookoverClubhouseStage1(thenewlockerrooms,barandterracearea)in February,thebalanceofthemainbarandDevlinsroominJune,withcompletionofthefunctionareasand Founders bar on 10 July. When I took over as President, I said my main focus had to be seeing the Clubhouse completed as close to time and as close to budget as was then possible. The failure of our expertstoidentifyfriableasbestoscostusdearly,withconsequentindirectcostsaddingtothe$690Kdirect decontaminationcost,butwenowhaveanexcellentclubhouse,albeitonewithaheftyprice-tag.

We may be able to recover some of the consequential losses, and Allan Watson is finalising a recovery brief.

The totalcost will be approx. $7.3M,including approx. $130Kfor furniture, and $350Kinunbudgetedbut necessaryitems such as landscaping, honour boards, AV transfer and update, communications, Terrace barbecue facilities and external lighting at the functions entrance. Inclusion of demolition of the cottage, resultingadditionalcarparkworkandtheBeecroftTerracerenovationaccountedforalittleover$100Kof this.The originalproject contingencywas consumed during Stage1, and weallocateda separate $185K forStage2.Stage2wascompletedaheadofscheduleandwithinthecontingency.Functionsresumedin July,butitwilltakealittletimetobuildexternalbookings.Someadditionalexpenditureofaround$70Kmay beneededasandwhenconditionsallow.

TheClubthanksRobStevensonforhisuntiringeffortsontheClubhouseProject,andGarrettDwyerwho agreedtostepinforStage2asshadowprojectmanagerandwhomadeadiscernibledifference.Director PhilStanton’sarchitecturalandgeneralinputthroughoutallstagesoftheprojecthasalsobeeninvaluable. ThanksareduealsotothosememberswhoservedontheClubhouseProjectCommittee,andmanyothers whoassistedwithvariousaspectsincludingGregWicks,MannyTaboneandDavidCuneen.

Onmembership,asIhavesaidthroughout,significantchangetomembershipstructuresisextraordinarily difficultto get right. The fact is that the membershipchanges made in2015 weren’t workingfor the Club. Significant further change simply had to be made, and quickly. Compared to our competitor clubs, our membershipsubscriptionincomereachedunsustainablelowslastyear,andthegapwaswidening.

EverymemberofthisClubishighlyvaluedwhethertheybe2Day,6Day,7Dayoranyothercategory.But thecoststructuresofaClublikeourssimplydonotsupportthelevelofdiscountinginplacebeforetheApril changes,andtherelativitiesweren’tright.

IamhappytosaythatthechangesyourBoardmadeon1April,lifting6Dayand2Dayratesrelativeto7Day andfreezingandcapping6Day2and2Dayforthetimebeing,weresuccessfulinstabilisingourunderlying subscription income. 37 members transferred back up to 7Day, and only around 12 members resigned (mainly from 6Day) because of the changes. Even so, total membership numbers in the key playing categoriesof7,6and2Dayhavegonefrom941at31December2018to847(now7Day,6Day1,6Day2 and2Day)at30Jun2019.Wewillcontinuetoencourageseniorolderplayerstoforegotheirdiscountsif theyareinapositiontodoso.

Thenumberofrecentnewentrantsinto7Dayispromising.AttritionfromDeferredandFlexiblecategories continuestobeunsatisfactorilyhigh,andweneedtodobetter.

The structuralchanges will generate a benefit of around $350K year on year compared todoing nothing, andplaceuswellforthefuture.Wewillconsidertheneedorotherwisetomakefurtheradjustmentsearly in2020.

Critically,weneedtomaintainandincreaseourmembershipbase.Allmembersareaskedtoassistinthis bynominatingfriends,relativesandbusinesscolleaguesasnewmembers,andensuringtheyexperience thebestofourClubwhentheydo.

With the Clubhouse project now complete, we are in a position to drive operating profitability. Members shouldknowthatourcurrentpolicysettingistoatleastbreakevenandpreferablymakeamodestprofiton memberF&B,butimportantlynottomakealossonthisaspectofouroperations,andtolookforprofiton externalfunctions.Nowwedon’talwaysgetthatright,butthat’souraim.

General Manger Barnaby Sumner has already made changes to the way we price and target external functions,andtheBoardisintheprocessofsigningoffonabusinessplanforexternalfunctionbusiness. Oncewearethroughaninitialperiodaswebuildbookings,weexpectamuchbetterbottomlinethrough calendar2020.

We can now sharpen our prime focus on the lifeblood of our Club, the course. The course has already benefited from the CourseDevelopment Fund sourcedfrom competition andsocialgolf fees.Thebunker re-furbishmentprogramiswellunderway,paidforsubstantiallyfromthisFund.Thescheduleistocomplete itbyJuly2020,andwearewellaheadofschedule.Ournurserygreen(partinsurance,parttrial),planted with2differentstrainsofcreepingbentgrasses,willbewellunderwaybytheAGM.RichardKirkby’steam isalsoputtingalotofeffortintokeepingthecoursegroomedtothehigheststandards.ReadmoreinCaptain ChrisPragnell’sreport.

The Club will be looking at some significant capital expenditure requirements, principally course related, over the next 5 years or so. The Board continues to assess capital expenditure requirements over that period.

Getting water off the M2/M1tunnel to supplement ourWRPwater is a littlemoreproblematic.We start a long way behind the play, and even if we succeed in reaching a commercial arrangement and get all necessaryenvironmentalapprovals,thecostofbringingwateracrossthecourseandinparticularattaining ausefulstoragefacilitymaybeprohibitive(estimatedataround$2M).Itishighlydesirable,butperhapsnot essentialThiswillneedtobefinancedthroughPHGCFoundationandnotdirectlybytheClub.Ourefforts willcontinue.

Inthelongerterm,theplanistorebuildallourgreensandbunkers.Ideally,wewouldliketohaveaplanin place withinthenext two years to achievethat. Planning for the SecurityEx-Service Gates is under way, withdesignassistancefromPhilStantonandDavidCuneen.There-launchedPHGCFoundationwillplay akeyroleinthisanddevelopmentofanindoorpractice/teachingfacility,andothermajorcourseprojects.

AstotheBoard,withnominationsnowclosedandnoelectionnecessary,itisclearthatSueFabian,Graeme Martin&ClaytonRowstonwillbeelectedasnewDirectorsattheconclusionoftheAGM.Wecongratulate themontheirelectionandlookforwardtotheirparticipation.

Wehaveanoutstandingclubhouse,withpersonneltomatch,andthecourseisimprovingsignificantly.Itall augurs well for the ongoing success of our Club. My hope is to make next year’s report shorter, and the bottomlinecorrespondinglylarger.

SteveWalker President

TREASURER’S

Summary

Inthe yearended30June2019,theClubrecordedaSurplusof$353,607* comparedtopreviousyearof $63,439.

TheresultfortheyearcanbesummarisedasTotalRevenue$6.365million* (decreaseonprevious year, $112,649)andTotalCostsandExpenses$6.008million(decreaseonpreviousyear,$412,701).

*BoththeSurplusandTotalRevenueincludetheClubhouseUpgradeLevyof$727,102.

The Clubhouse Project

Themainissueaffectingthefinancialresultsfortheyearending30June2019wastheClubhouseProject. ThisProject,byfarthelargestcapitalexpenditureprogrameverundertakenbytheClub,hadamajorimpact onrevenue,operatingincome, andcashflow;italsoreshapedthebalancesheet.

WhentheProjectwasplannedtheexpectationwasthatthemaximumbankborrowingswouldbe$3million andaBankFacilitywasarrangedforthatsum.Bankborrowingsdidnotexceedthislevelintheyearunder review.

TotalProjectcostwasoriginallyanticipatedtobe$5.43millionastheMemberswereadvisedinSeptember 2016. Members were further advised in May 2018 that costs had escalated to $6.474 million including asbestos decontamination costs of $554,000 and additional costs associated with decontamination of $444,000.Thecapitallevyonmembersat30June2018raised$727,102.

ThetotalProjectcostdescribedaboveincludedcertainitemswhichweresubsequentlyremovedfrom the constructioncontract(inparticulartheindoorpracticefacility)andexcludedcertainitemswhichtheBoard subsequently committed to (in particular the Beecroft Terrace and demolition of the Cottage to provide additionalparking).

As at 30 June 2019 total expenditure on the Project was $6.546 million and the final total Project cost is estimatedtobeapproximately$7.3million.Thesefiguresarestruckbeforetakingintoaccountanypossible recoveryoftheadditionalcostsassociatedwithdecontaminationmentionedabove.Thefinaldirectcostof removingtheasbestoswas$688,907.

The main Project was completed in July 2019 with Cottage demolition and the Beecroft Terrace to be completedintheyearending30June2020.

The National Australia Bank (NAB) has been kept regularly informed of progress on the Project and has been consistentlysupportive. In recent months the $3 million Facilityhas been renegotiated. The Facility hasbeenincreasedto$3.85million.ThenewFacilitywillreduceto$2.35million instages between2020 and2022.Priorto2022itwillbenecessarytoarrangeappropriateborrowingsforthefuture.

The financial resultsin more detail

AllrevenueareasoftheClub’soperationswereadverselyaffectedbythedisruptioncausedbytheProject. This disruption was severely exacerbated by the discovery of asbestos in February 2018, soon after constructioncommenced.

The Club reported a surplus of $353,607 for the year but that result includes the cost of writing down redundantClubhouseassets($23,529)andthefollowingincome:

ClubhouseUpgradeLevy

EntranceFees

TowerRent

ForfeitedLevies

$727,102

$80,455

$48,784

$18,930

Theresultafteraddingbacktheseitemswasadeficitof$498,135.

Depreciationandamortisationamountedto$405,551leavinganetdeficitfortheyearof$92,584.

AsthePresidentsaysinhisReportandasIhaveexplainedabove,theyearended30June2019wasinno wayarepresentativeyear.

Revenue from Members Subscriptions

MembersSubscriptionsprovidedgrossrevenueof$2.722million,adecreaseof$135,964ontheprevious year.

Membersareremindedthatthe“subscriptionyear”nowrunsfrom1Aprilto31Marchsosubscriptionincome intheaccountscomprises9monthsatthe“old”rateand3monthsatthecurrentrate.

Revenue from Golf and Professional Shop Services

RevenuefromGolfandProfessionalShopserviceswas$925,878inyearended30June2019compared with $976,282 intheprevious year.These revenues comprise allgolf playing fees, cart hire, golf lessons andequipmentstorage.

Bar and Catering

RevenueandexpenditurefromBarandCateringactivitiesmaybesummarisedasfollows:

Whilst revenue declined substantially for the reasons stated above the deficit was contained to within $142,000ofthepreviousyear.

The reduction in margin from 60.7% to 59.1% is largely explained bydisruption to both bar services and functionactivitiesduringconstructionperiod.

Expenditure

Expenditurewasbroadlyinlinewiththepreviousyear.

Courseexpenseswere$1.952million,upby$66,674onthepreviousyear,howeverthisincluded$37,725 onthebunkerrefurbishmentprogram.

Administrationexpenseswere$1.003million,anincreaseof$43,477onthepreviousyear.

Interest Cost

Included in the administration expenses was interest charged on bank borrowings of $47,833 in the year under review compared with no charge in the prior year. The NAB Loan Facility carries a floating rate of interest.Theinterestratecurrentatyearendwas4.136%p.a.andthisrateappliesuntil22ndOctober2019 whenitwillberesetfor30,60,90or180daysatthediscretionoftheborrower.Itisfortunatethatinterest ratesarecurrentlylowrelativetohistoricalratesandthatthisenvironmentappearslikelytopersistforsome time.

Cash flow from operations

Net cash flow from operations, being the net surplus for the year adjusted for non-cash items (mainly depreciation)andexcludingthecapitallevywasnegative$83,980.Intheprioryearthenetcashflowfrom operationswas$544,253.

Balance Sheet

Thebalancesheetat30June2019showsFixedAssetsof$10.306millionincluding$6.546millioncapital work in progress relating to the Clubhouse Project. Bank borrowings at year end were exactly $2 million comparedwithnilborrowingsatpreviousyearend.Cashassetsatbalancedatewere$181,402compared with$2.28millionat30June2018.

Storm Damage

The severe storm which struck the Pennant Hills area and in particular the Golf Club on Saturday, 15th December 2018 inflicted significant damage, to the 10th bridge and to the course, from fallen trees. The coursewas back ina playable condition withinthree days thanks to theextraordinaryefforts of both staff andmembers. Thefinalclaimfordamagetopropertyandbusinessinterruptionislikelytoeventuallybein excessof$260,000.Thankfully,theClubwaswellinsured.Themajorityofthecostsalreadyincurredhave beenrecoveredsubjecttothedeductibleof$2,500.

Course Development Fund

ACourseDevelopmentFundwasinitiatedattheendofcalendar2018.Twodollarsistransferredintothe fund from all competition and social playing fees and this raises approximately $5,000 per month. By 30 June2019,$31,762hadbeentransferredtotheCourseDevelopmentReserve.Thefirstbeneficiaryofthis fundwillbethebunkerrefurbishmentprogramwhichiscurrentlywellunderway.

Conclusion

In conclusion I would like to recognise the diligence, and commercial expertise of Craig Usher, Finance ManagerwhohadtheburdenofinductingyetanotherTreasurerduringtheyear.Ialsowishtothankallthe membersoftheFinance&PlanningCommitteefortheirsupportduringadifficultyear.

DavidLeach HonoraryTreasurer

CAPTAIN’S REPORT

The Clubhouse renovation has exceeded expectations and those on the Project Committee deserve our congratulations. They have provided the membership with a comfortable, functional and aesthetically pleasingareatoenjoyourpostgameactivities.

Wearehoweverfirstandforemostagolfclub.ThereasonIaskedforyoursupporttobecomeCaptainisI feel, including my terms as President, that during the past decade a disproportionate amount of energy, timeandfinancialresourceshavebeenallocatedtothe“renovation”attheexpenseofthecourse.

In the Club’s constitution. The Objects state “to provide, layout, establish maintain and manage golf courses….”. Sadly, we have fallen behind in the “maintaining’ aspect of the first Object. We cannot overcomeadecadeofthecoursebeingseenasalowerpriority,whencomparedwiththeClubhouse.But rectificationhasbegun.

TheBunkersaresteadilybeingrefurbishedandthemajoritywillbecompletedbytheendJuly2020.

Therefurbishmentwillinclude:

 Theremovalofexistingsand

 Theflushingoflinesanddrainsandcompletingnecessaryrepairs

 Thereplacementofthemattingonthebunkerfaces

 ThelayingofGeo-Tecfabriconbunkerfloors

 Thenewsandwillbe“elite”sourcedfromCowra.Thisisthesandcurrentlyusedinthegreenside bunkersonhole12

ThePresidentinhisreporthasprovidedabriefoverviewoftheprogram,soallowmetoadvisethatitisnot theCourse&PlayingCommittee’sdirection,inthenearfuture,toreplaceanyfurtherfairwaybunkerswith woodchip.

The storm on December 15, 2018, hit the course hard. Yet, thanks tothe magnificent work from Richard Kirkby’s team and our own volunteers led by Greg Winters, the course was open for restricted play the followingWednesday.Anunbelievableeffort.

Ittookafurther16weeksofconstantphysicalendeavortofullyreturnthecoursetopre-stormcondition.As thisreportisbeingwritten,tendershaveclosedforthe10thbridgerepairs.ItrequiresabravermanthanI topredicta)whentherepairsmaystart,orb)whentheymaybecompleted.LikeallofyouIamstaggered atthedelayandthankyousincerelyforyourpatience.

Celebratinghis25thyearasSuperintendentofGreens,Richardhasexperiencedoneofhistoughestyears. The3rdgreenwasonceagainbadlyaffectedbyMagnaportiopsiswhichiscommonlyreferredtoasSummer Patch.Thediseaseismostprevalent:

 Duringhotandhumidweather

 Wherethereisexcessivemoisture

 Incompactedsoils

 Wherethereispoordrainage

Theproblemisknown,thecauseisknown,butthesolutionisnot.Richardhasconsultedwithturfexperts, bothnationallyandinternationally,andbelievesearlyinterventionmaybehisandoursaviour.Anareaon the12thcarryisbeingpreparedasa“nurserygreen”.ItwillbeusedasplanBshouldweagainbeaffected bysummer patch. Sufficient turf will be laid to resurface the 3rd with “Pure Distinction”, having the same parent material as A1/A4 bent grass, which for the past 20 years have been well proven in the Sydney environment. The irrigation water supply on the course is relatively high in chlorides and this is a considerationwhenselectingasuitablebentgrassforgreensreplacement.Consequently,theplotwillbe sharedwithaplantingof“CrystalBlueLink”whichhasaverygoodsalinitytoleranceandagainisaderivative ofA1/A4bentgrass.

Richardhasourconfidence,supportandthanksforajobwelldoneunderextremelydifficultcircumstances.

Unfortunately we have lost the service of Spencer Davison after 14 years, Richard’s second in charge. DuringhistimewiththeClubheconsistentlydisplayedenergy,professionalismandcommitmentinallhis duties. Spencer’s departure has given Shaun Bowden the 2IC’s role and to me, it appears an almost seamlesstransition.WelcomeShaun.

Onatroublingnote,acoursestaffmembersufferedaserious workplaceinjury,thefirstmajoraccidentin 25years.Itiswithhopeinourheart’sthatwetrustJackYounghasasuccessfulreturntotheCourseteam.

WiththehelpofJohnRogersandinputfromJohnBrown,thebare/neglectedareas,justoffsomefairways, greens and paths have been identified & chronicled ready for rectification. We acknowledge our greens needmodernizing,theirrigationsystemsneedupdatingandsomeofthecoursemachineryhascelebrated toomanybirthdays.Butwecanstillhavethedriveandfocustoensurethepresentationof“thegrandold lady”isthebestofanyofthePACKCupClubs.

The winners of the Club’s major trophies are contained elsewhere in this document and on behalf of the President and the Board I congratulate all successful players. I will leave the reporting of our Ladies representativegolf,tothosewithamoreappropriatepayscale.

MajorPennants:

ManagedbyGregWintersand CaptainedbyAndyRichardsthe team comprisedBenClapham,Matthew Davidson,MurrayFogarty, DamianMaguire,Gabriel Ormaechea,Andrew Stannard,Tim McMurchie,Lee Mordey,HamishMurray&JaredDries.Thereisagoodblendofyouth,skill,experienceandtenacityinthe squad. Once again, the team succeeded in achieving one of their prime objectives, being to remain in Division1ofthiscompetition.

EricApperly:

ManagedbyJaredDriesandCaptainedbyAndyRichardstheteamcomprisedMatthewDavidson,Hamish Murray,TomDavey,RyanRichardsandJamesSkuodas.The2018seasonwasatoughoneforourboys comingagainstthe2016and2017Champions,PymbleandBonnieDoon.Withanotheryears’experience andthatfightingspirittheyhavedeveloped,season2019hasthehallmarksofbeingmorethanpromising.

MasterPennants:

ManagedbyKellFergusontheteamcomprised,DamianMaguire,LeeMordey,GabrielOrmaechea,David Edwards, Michael Oakley, David Murray, Bill Bell, Peter Ryan, Andrew Davidson, Neil Gordon, Darren Thompson,AntonyDeViresandRobBush.TheteamhaditsbestseasonsofarandmadeittotheFinal8 ofthisstate-widecompetition.Welldonegents,agreatresult.

MixedPennants:

Managed byNeil Gordon the team/squad comprised Hannah Sneath, BernadetteWinters, Nicki Howlett, Monique Herman De Groot, SusieWales, Pauline O’Neil, Clare Fraser, Amie Maguire, Sandy Lonergan, SueStevenson,BevNettle,GregParrett,SteveTownsend,UdayChopra,GregWinters,LeeMordey,Peter Barber, Chris Cordony, Peter Fraser, Damian Maguire, Kell Ferguson & Rob Stevenson. After being crowned No.1 in their group, the side made it to the Final, only to be defeated by a very strong RydeParramattaside.Welldonetoall.

PACKCup:

ManagedbyKellFergusontheteamcomprisedDavidEdwards,PeterRyan,RossHowarth,GregWinters, StephenTownsend,TimWhitney,AndrewBarbour,StephenButler,NeilGordon,PeterHenry,AntonyDe Vires,BillBell,MikeGrogan,TimRich,RobStevenson&GregParrett.Anothertoughseasonwithanumber ofclosematchesdeterminingtheresult.AfterlosingtoAvondaleintheseason’slastmatch,wewereagain awardedtheWallaceToogoodTrophyforlastplace.

PACKPlate:

Managed by Graham Dawson the team comprised Andrew Mowat, Sebastian Trouncer, Alex Bennie, LindsayCasey, DarcyCluff,SteveRowe, BruceJones,TerryGilchrist, Vasco de Carvalho.Havingcome secondin2018,theteamwashopingfortheultimateprizeinthe2019season.Sadlytwoearlylossesput paidtotheirwinningaspirations.Stillequalthirdisacommendableresult.

The Committee thanks goes to the Pro Shop staff for their support over the past 12 months. Ablyled by Director of GolfNeil Rolfethereisanewdynamic feelingsurroundinggolfactivities.AndrewPotter is the rockuponwhichgolfoperationsarebased.ToLiamandRachelthankyouforyourskillandabilitytoimpart

thatskilltomembers.ToJared,Andy,Max&Olivia,nothingeverseemstobeabotherandalongwithKeith Smith,collectivelyyoumaketheplayingofourgamemuchmoreenjoyable.

My gratitude to colleagues Anne Goodrick, Sally Moffat, Chris Allen, SteveWalker and Greg Winters for their input and guidance over the year. Thanks most importantly to the members for their friendship and ongoingsupport.

ChrisPragnell

Captain

Event Winner

ClubChampion

BenClapham

“A”ReserveChampion AndyHaigh

“B”GradeChampion MarkOppy

“C”GradeChampion PeterIllingworth

“D”GradeChampion IanRitchie

SeniorChampion GregWilson

JuniorChampion MatthewDavidson

PennantHillsCup JoelWheatley(CastleHill)

FoursomesChampions HamishMurray&AndrewRichards

AEMarksCup PaulMurphy&StevePesavento

President’sCup

AndrewMunro

Captain’sCup TimWhitney

AYGreshamCup MatthewDavidson

EJHydeCup TonyVermeer

WinterCup

KenRathgen

SpringCup RobertCornish

SummerCup MarkOppy

AutumnCup

Founder’sPlate

MixedFourballKnockout

AndrewMunro

CraigJack

HannahSneath&JoeChehade

GoldButton DavidSefton

50andOver MichaelBrown

60andOver MichaelGilbert

LeftHander’sCup

MurrayNewman

SepJohnston(February)Eclectic BruceJones

AugustEclectic(Wednesday)

VicKendallTyroTrophy

LilianMarksCup

MixedFoursomes

FamilyPlate

DavidEdwards

MatthewPowell

Mal&NorelleCutler

HannahSneath&AdamCordony

Stephen&MattVile

PresidentvCaptain Presidents

NaggersCup

ClubCup

Ann&BrettElsley

JudyTrickett,PeterTrickett,SandraMurphy,PaulMurphy

HOUSE REPORT

WhenthisHouseCommitteewasformedinOctoberlastyear,wesetasourkeyobjectivethedeliveryofa premium level of member services to mirror the premium standard clubhouse under construction at that time. Tosettleforanythinglesswasregardedasunacceptable.

ItwasclearthatthestandardofFood&Beverageservicetoourmembershadbeenlackinginconsistency andqualityforsometime.Inordertoachieveourobjective,wesetthecoreelementsas:

 Afirst-classheadchefandsupportstaff

 AnewandexperiencedHospitalityManager,notnecessarilyfromtheclubsector

 Providethoseexpertswiththelatitudetoexpresstheirexpertisetoouradvantage

 Enhancedstafftrainingandpresentation

Head Chef Peter Barter had joined us earlier in 2018 and Kristen Ramirez brought her many years of restaurant management experience to us in November. Just prior to Kristen’s commencement, we had movedtoatemporarybarsetupintheDevlin’sRoomwhilsttheMembersLoungewasunderconstruction.

Thetemporarybarperiodwasdifficultformembersandstaffalikebutitis verygratifyingtoreflectonthe positivemanner inwhicheveryone acceptedthesituation inanticipationof improvedfacilitiestocome. I would particularly liketo paytribute to the F&Bteam for their dedicationduring this timebycontinuing to supportourmemberswhilstworkinginverytryingconditions.

Kristen’s baptism was unique, to saytheleast, but she used this time of flux to get toknow the club,her staff, and the expectations of members and management in preparation for the opening of Stage 1 (MembersLoungeandfacilities)ofthenewclubhouse.PartofthatpreparationwastoworkwithChefPeter on a revised menu offering, institute a high level of training for front-of-house staff, and to design new, trendieruniformsinkeepingwiththenewdécor.

Barnaby Sumner joinedas GeneralManager inFebruarythis year and has been instrumentalinbringing histeamtogethertoembracesharedobjectivesinthedeliveryofanenhancedlevelofservicethatiswhat ourmembersexpectanddeserve.

OnceStage1wascompletedinFebruary,theHouseCommitteewasabletoshiftfocustoplanformemberbasedfunctionsforboththeshortandlongterm.Monthlythemeddinners,thereturnofthepopularChef’s Table,and casual diningoptionshavebeen introducedtothecalendar andareproving verypopular with members.

September 7 will see the start of a week-long celebration of our new clubhouse culminating in a “PHGC Celebrates”dinneronSaturday14thandpromisestochristenournewhomeinfinestyle.

I have been extremely fortunate to Chair the House Committee comprising Margie Dearlove, Ann Elsley, SusieNicholas,GregWintersandPhilStantonalongwithSteveWalkerandBarnabySumner.Theirenergy, creativityanddesiretoservethemembershipisinspiringandfrom theirrankswillcomeanewChairas I step down this year. Whilst initially reluctant to individualise, it would be unfair to Margie if I didn’t acknowledgeherinitialcreationofthePHGCCelebratesweekandthecountlesshoursshehasdedicated tothetaskwithGregandothersinclosesupport.

I believe the club is now very well established in every way necessary to constantly deliver an excellent service to our members and I look forward to sampling that service as a member in my Committee retirement.

MyverygreatthankstoallwithwhomIhaveserved.

RossHowarth Chairperson, House Committee

CLUBHOUSE REPORT

ThistimelastyearIstartedmyreportwiththenewsthattheclubrenovationprojectwasmovingalongvery nicelyafter the initial problem of asbestos decontamination hadset us back approximatelythree months. Soonafterwritingthatreport,theprojectsufferedanumberofpreviouslyunforeseenhurdlesthatresulted intheStage1(MembersloungeandchangeroomfacilitiesplustheProShop)completiondatecontinually beingrevisedbackwards.

Our originalintent, confirmed bythe builders, was for completionprior to Christmas 2018. As thefestive seasonapproacheditbecameclearthatwewouldnotbeatcompletionandpreferredtomovethedateto theNewYearratherthanopenwithpartiallycompletedfacilities.

OnceconstructionworkresumedaftertheChristmasbreak,wecouldmoreconfidentlysetmid-Februaryas theopeningdateforStage1andthissubsequentlyoccurred. InJanuary,weapproachedGarrettDwyer,a

long-termmemberofourclubandaretiredProjectManagerwithmanyyearsofexperienceinallfacetsof the construction industry. Garrett agreed to manage Stage 2 of our project as the club’s representative workinginconjunctionwiththearchitectsandthebuilders.ThefactthatStage2wascompletedonschedule and inamoreproductivemanner than Stage1istestamenttoGarrett’s experience,organisationalability andnegotiationtalentsandwethank himforthetime,energyandprofessionalism thathedevotedtothis importanttask.

As I write, the cottage has been demolished to make way for additional car parking and associated landscapingalongtheBurnsRoadwalloftheclubhouse.Oncethatiscompleted,theClubhouseProjectis concluded.

Looking back over the life of the project, without doubt the low point was the discovery of a volume of asbestos beyond the level and location of that contained in the original specialist report. The cost implicationsweresignificantaswerethechangesthatneededtobemadetotheplansandthelossofthe previouslyplannedindoorpracticefacilitywasparticularlydisappointing.

This project has been a labour of love over eight years and three concept iterations, the third being our currentnewhome.Fromthemomentthearchitectswerebriefedbackin2015oursinglefocushasbeenon delivery of enhanced services for our members specifically, upgraded lounge and entertaining areas, significantimprovementinF&Bserviceandstandard,enhancedmemberlockerfacilitiesandanupgraded ProfessionalShop.Thereaction of memberssincecompletion gives us confidencethat theobjectivehas beenattained.

This outcome could not have been achieved without the dedication of all members of the Clubhouse Committee. Thefocus on memberservicewas the mantraof the thenPresident, AllanWatson, who also tookontheverydifficultasbestosissue,asubjectwithwhichheremainscloselyinvolvedinmanagingthe ongoinglegalprocess.

Outsideof theCommitteeandtheBoard,I don’tthink anymembercouldfullyappreciatethecontribution thatRobinTaylormadetothisprojectrightupuntilhislastdaywiththeclubinFebruarythisyear.Robin’s mainbusinessexperiencewasinLogistics&StrategyPlanningandtheseskillsprovedtobeinvaluableto this project.Weowe Robina great debt of thanks forhisdedicationto the projectandthe incrediblylong hoursheworkedfromtheoutset.

Building and architectural expertise on the Committee came from Rob Stevenson and Phil Stanton respectivelyanditisnotanunderstatementtosaythatwecouldnothavesuccessfullyworkedthroughthe myriadofissuesthatwefacedwithouttheirexpertknowledgeandguidance.Bothofthesegentlemenwork fulltimerunningtheirownsuccessfulbusinesses which,whenconsideringthecountlesshours theyeach devotedtothisproject,accentuatesthethanksthatshouldcometheirwayfromeverymemberoftheclub. Mythankstoyouboth.

ThemajoritymalecommitteebowedtothesuperiorfemaletasteofRobinHoskingattheplanningstageof internaldécorandfittingsandtheresultreflectsherfinetaste.Robinalsoplayedanimportantandhumorous roleinconvincingAllanthatheshouldconcentrateonissuesotherthancoloursandfabrics.

For sucha project, legaladvice was essential and wethank AnneGoodrick forthehours she devotedto contractassessmentandotheragreements.

Moya Shepard was a key member of the committee in the early days and it was unfortunate that family needssawherpullbackfromherrole.

WithSteveWalkercominginasPresidentlastOctoberandBarnabySumnerjoiningusfourmonthslater, theircombinedinput,alongwithGarrettDwyermentionedabove,hasseenusmovethroughtoasuccessful completionofthisproject.

Instandingdownfrom the Board,I wish everymember of our greatclubanenjoyabletimesavouringthe servicesofournewhome.Goodgolfingandgoodhealthtoyouallformanyyearstocome.

RossHowarth Chairperson, Clubhouse Project

MEMBERSHIP REPORT

ThepreviousBoardmade afundamentalchangetomembershipsubscriptionsthatcarriedintothe 20182019year.

Theobjectiveofthechangewastorealignthesubscriptionperiodandthereforeourcashflowmoreclosely tothebudgetyearinordertoprovideagreaterlevelofcertaintyinplanningboththecapitalandrecurrent budget. This meant two subscription phases, the first for 9months to 31 March 2019 and the second an annualamountto31March2020.

In addition to this the current Board undertook an exhaustive review of the membership structure and subscriptionlevelsandthesechangestookeffecton1st April2019.Thisoverhaulofourstructureandpricing consideredboththecategoryofmembershipandthepricingrelativetoourpeerclubs.Moreimportantly,it examined andresponded to the needs of our current members. Revising subscription levels is always a challenge. We have to cover rising costs and at the same time improve the level of service to members through higher standards and better quality facilities both on and off the course. At the same time, we endeavortominimisethefinancialimpactonmembers.

Thechangestotiming,therevisionofmembershipcategoriesandincreasesinsubscriptionlevelsaswell asthedifficultyofclubhousetradingandplayinggolfthroughanextended periodof disruptioncausedby an extensive building project took their toll on membership levels for the year ended 30 June 2019. Fortunately,thelevelof7dayplayingmembersheldfirmandputtingasidethetransfersbetweencategories, themajordeclinewasinthedeferredcategorywherewelost56members.Therewere1278membersas at30June2019.

The course improvements have been noted elsewhere in this report as has the completion of the modernisationoftheclubhouseandrelocationoftheproshop. Theincreaseinthestandardoftheonand off course offering of Pennant Hills Golf Club has underpinned a renewed interest in membership. The memberinductionmeetingsforJuneandJulyofthisyearsawapplicationsapprovedfor21newmembers, predominatelyinthe7daycategory.

Our General Manager and the Membership Committee have put in place a number of membership acquisitioninitiatives.Theresultsthusfararecomfortingandthepipelineisencouraging.

Sadlywelostanumberofmemberswhopassedawayduringthe year;wemissthem andcelebratetheir contributiontoourclub.

BobAdcock

KeithDavidson

BryceDownes

MaxHaworth

KeithHayes

BettyHughes

PeterKench

HarryLearoyd

BryanMortlock

MelRitchie

MichaelRowan Chairperson, Membership

MEMBERSHIP CATEGORY STATISTICS

LADY MEMBERS’ REPORT

Allactivitiesfor2018-19aredetailedintheLadiesAnnualReport.

LadiesCommitteefor2018-19

President: SusanNicholas

Captain: SallyMoffatt

Secretary: SandraMurphy

CompetitionManager: SallyGooley

GeneralCommittee:

JennyHarvey

JanetShand

LynToohey

JudyTrickett

PennantHillsGolfClubhasexperiencedalotofchangeoverthelasttwelvemonths.Themostsignificant beingtheclubhouserenovationswhich,nowcompleted,havebeenwellreceivedbythemembership. The activities of the ladymembers have continuedthroughout this process despite someevents having to be rescheduled to accommodate the renovation timetable. In February we moved into our new locker room andweareindebtedtoBruceJoneswhogavemanyhoursputtingtogetherabookcaseandawallunitso ourlibraryandotherinformationcouldbedisplayed.

This year’s golfing activities, in conjunction with the major trophyevents, have been verywell supported. Theyincluded a GreenDayinstead of St Patrick’s Day, Beanie Dayfor the winter solstice, Visitors’ Day, Cancer Charity Day and the High Tee Classic. For the first time, we held a Biggest Morning Tea which supported one of our members, Karen Long, raising moneyfor the Breast Cancer Foundation. Karen is runningintheNewYorkMarathonattheendof2019andpartoftheconditionsofentryistoraisemoney foracharity.

TheLadiesChampionshipsFinalsDaywasheldinSeptemberin2018.Forachangetheweatherwaskind andmanyladiesplayedgolfbeforewatchingthematches.Morethansixtyladiesstayedtocongratulatethe newchampionswhileenjoyingadelicioushightea.

The Junior Development Program continues to grow under the direction of our Teaching Professional, RachelBailey. OurJuniormembershavecompetedininterclubandstateeventsthroughouttheyearand are constantly improving their skills with the quality coaching and mentoring they are receiving. Hamish MurrayandOlivia Kerr havebeen announced torepresent Pennant Hills as Junior Captains during 2019 and2020. ThankyoutoNickiHowlettandalltheothermemberswhohavegiventimetosupporttheJunior program.

Rhonda Parkinson is one of the committee members of the Kendal Binns Foundation. They are raising fundstosupportmaleandfemalegolfers. WearefortunatesomeonewithRhonda’sskillsandcommitment hasagreedtorepresenttheladies.

TheMysteryDaywhichisheldinSeptemberwhilethePennantHillsgreensarebeingrenovatedcontinues tobepopular.MorethanfiftyladiesheadedofftoTwinCreeksforadayofchallenginggolf. Thisturnedout tobehandypreparationforthoseladieswhoqualifiedfortheLexusCupfinalwhichwasplayedafewweeks later. For the autumn greens renovation trip eighty ladies ventured south to Wollongong for two days of golf,laughterandsocialising. Fromthefeedback,travellingtoalesstraditionalgolfvenuewasappreciated.

Rachel Bailey’s annual trip away was to the Gold Coast which was surprisingly chilly for June. Twenty ladiesplayedRoyalPines,Lakelands,HopeIslandandTheGlades. Therewasmuchgood-naturedbanter abouttheparticipants’successesonthecoursesandthechallengestheyfound.

ThePennantHillsladiescompeteininterclubPennantcompetitionsatallhandicaplevels,participatingin sixFridayandtwoSundaycompetitions.Beforeeachteamstartedtheircampaign,RachelBaileyconducted anon-courseclinic. This wasfollowedupbyabriefingonrules givenbySueFabian. Theplayersreally appreciatedthissupport. Unfortunately,this yearwedidnotbringhomeanytrophiesbutalloftheteams enjoyedtheopportunitytoplayatdifferentcoursesandmeetingupwitholdfoesfromotherclubs. Thereis a special camaraderie that develops amongst pennant teams and this was celebrated at the Pennants

Dinner organised byour captain, SallyMoffatt, assistedbyJennyHarvey,Janet Shand and Lyn Toohey. Atthis dinner HannahSneathwasnamedGrade Playerof the Year andPennant Player of the Year was SusieWales.

The core of our Division I Grade team this year was Hannah Sneath, Mimi Elina, Nicki Howlett, Anne Eldridge and Mary Jo Usher. It was the first time Anne and Mary Jo have represented Pennant Hills at Gradelevelandtheydidasterlingjob. OliviaKerrwasnotabletoplayassheisstudyingforherHSCand DebbieBennett was onlyableto playtwomatches due to circumstances beyond her control. BevArcher waspersuadedtoplayonematchanddidagreatjobsecuringasquarefortheteam. AmyMaguirefilled inanothertime. TheteamplayedverywellthroughouttheseasonandwillremaininDivisionIin2020.

Wecontinue toenjoyplayinginterclubmatches againstCastleHill,OatlandsandAvondale.Wehavenot beenvictoriousbuttheresultsaregettingcloserandclosersoweremainoptimisticthatourdaywillcome soon.

NeilRolfeleadsanenthusiasticteaminthenewProShop.Themembersenjoytheopportunitytobrowse thestockwhilehavingrefreshments. PennantHillsisfortunatetohavegolfprofessionalsofthequalitywe do. Theirteaching,interestandencouragementisappreciated. ThegameimprovementdaysrunbyNeil withRachelBaileyandLiam Sheilshavebeenverypopularandtheparticipants areverykeentoputinto practicetheirrefreshedskills. ToAndrew,JarrodandMaxthankyouforallyoudo.Ofcourse,whatwould aMondayoraThursdaybewithoutseeingKeithSmithandhisclipboardashesendsusonourway? Thank you,Keith.

Informationsessions about the changes to the rules of the golf introduced at the beginning of 2019 were conductedbySueFabian.Thesewerewellsupportedbytheladies. WewouldalsoliketothankSueand LesleyRobertsforbeingtherefereesofourmajorknock-outcompetitions.

TheSocialCommittee,ledbyAnnElsely,hashadachallengingtwelvemonthsasmanyoftheusualevents hadtobemodifiedduetospacerestrictions. Nevertheless,theChildren’sChristmasPartyandtheSeafood Alfrescowentaheadandwerewellsupported. ClubSaturdaywasheldinMaywiththepresentationsbeing made over drinks and canapes. Participation in the Trivia Night was more than double that of previous years.With the renovations complete we can look forward to manymoreopportunities tosocialise atthe club.

Robin Hosking continued to represent the ladies on the Clubhouse Project Committee chaired by Ross Howarth.This has been very time consuming through the renovation process and the final product is a credittothem.

OurChristmasDinnerwasrebadgedthisyeartoanAnnualDinneraswewereaskedtobringitforwardto Octoberduetotherenovationtimeline. Over180ladiesenjoyedadeliciousdinnerattablesdecoratedby Pam Cuneen, Caron Sprowles and Ann Elsley. We celebrated the 99th birthday of Dot Lawson and the 2018ClubChampion,HannahSneath’sspeechwasavideoaboutherlifewhichwasveryentertaining.

TrishJohnsonandLisaHamerandtheircrewtookusaboard TheLoveBoat forsomefunandlaughter.A bigthankyoutoallinvolvedintheproductionalongwiththeverytalentedcast. Thisisthetenthyearthat TrishandLisahaveproducedourshow. Theyseemtohaveabottomlesspitofideas. Wehopetheystill mayhavesomeideasleftfornextyear’sproduction.

Bridgeisanimportantsocialactivityformanyofourmembersparticularlythosewhoarenolongerouton thecourse. Mostdaysyoucometotheclubyouwillfindagroupofladiesplaying. Wedoappreciatethe workofSueRoggeandCarolynBreretonwhocoordinatetheTuesdayLadiesBridgeGroupwhichisalways wellattended. ThankyoutoKayTempleandLeanneGoodallwhoorganisethemonthlyFridayBridgeDay whichisnotjustfortheladiesandKayBrunnerwhoorganisesthebridgeinterclubs.

Thank you to Marlene Ratcliffe and Adriana D’Orazio for coordinating the ladies flower roster. To all the ladieswhoareonthisrosterthankyoutooforyourwork. Thenewlockerroomhasnecessitatedachange inpresentationbuttheflowerrosterteamhasmanagedthisbeautifully. AdrienneGormeandLynIslesdid awonderfuljobsettingupourlibraryinitsnewspace. Theladiescertainlyappreciatehowwellorganised itis.OurthankstoJoanEylesandLynStantonforlookingaftertheweeklyPilatessessionattheclub.Itis apopularactivityonTuesdaymornings.

ThearchiveteamofAnnCrisp,RonHarperandBruceJoneshasmoved,withtheladiescommittee,tothe oldProfessionalShop. Theystillstoreasignificantamountofclub’sarchivesintheirownhomesandare optimistic there will be some space to display them in the completed clubhouse. Many members are possiblyunawareoftheworktheydo. Itisappreciatedhowquicklytheyrespondtospuriousrequestsfor informationabouttheactivitiesofPennantHillsGolfCluboverthelastninety-sixyears.

KerrieGrahamandHilaryFlynnhavecontinuedintherolesofVeteransDelegateandAssistantthisyear. TheladyVeteransappreciatetheirregularcommunicationaboutevents. Thankyoutobothladiesfortheir work.

Our horticulturalist, Rod Fletcher, has done an outstanding job creating the gardens around the new members’entranceandlockerroomsaswellastheongoingcareofthegardensonthecourse.Manylady membersassistRod’sworkbykeepingtheweedsatbayinareasaroundthecourse. Thankyoutothese ladies for their efforts: Anne de Carvalho, Naseem Chopra, Margie Dearlove, Clare Fraser, Lucie Gabb, JudithGrant,ChrissieGrier,GailHolsgrove,RobinHosking,LynIsles,ChrisKevin,AnnieMcDonald,Susie Nicholas,AlisonO’Sullivan,RhondaParkinson,LesleyRoberts,MaggieRoweandHelenSugden

MajorTrophywinnersfor2018and2019:

ClubChampion2018: HannahSneath Bronze1Champion2018: CoralLawrence

Bronze11Champion2018: JoyBull

PennantHillsCup2018: KelseyBennett(StMichaels) PennantHillsBronzeSalver2018: SandraLennox

PresidentsCup2019: NaseemChopra

CaptainsCup2019: Mary-JoUsher

SinglesKnockout2019: DeborahAmos

FourBallKnockout2019: JanCooperandCaroleWhitehouse FoursomesChampions2019: MoniqueHermandeGrootandCaroleWhitehouse BronzeIFoursomes2019: RuthBinnsandJudithDavison BronzeIIFoursomes2019: AdrianaD’OrazioandMarleneRatcliffe

AdedicatedandpopularmemberofPennantHillsGolfClub,BettyHughes,diedinJulythisyearaged89. BettywasontheLadiesCommitteefrom1989until1998. ShewastheLadiesTreasurerfrom1991to1993 andLadiesPresidentfrom1996to1998. Bettywasaverykeenbridgeplayerandplayedregularlyatthe club.

Onbehalfoftheladymembers,Iwould liketothank themembersof theclub’s Board for theirhardwork overthepasttwelvemonths. Theclubhouserenovationsarecomplete,themembershipcategories have been reviewed and attention is turning to the course. We do appreciate the commitment of the board memberstoensuringwehaveaprosperousandvibrantclub.

WewelcomedanewGeneralManager, BarnabySumner,to PennantHillsinFebruaryandthank him for hisworksofar. WewouldalsoliketothankCraigUsher,KimTruijensandJodiSparksfortheirwork. Many memberswouldbeunawareoftheamountofsupporttheygivetheladiesandhowmuchthisenhancesour clubexperience.TheFoodandBeverageteamhasbeenworkingunderextremelydifficultconditionsover thelasttwelvemonths withtherenovations. Neverthelesstheyhavebeenabletoproducedeliciousfood andgoodservicefortheladies’functionsthroughouttheyear. Wehavereceivedmanycomplimentsfrom visitorstotheclubandwouldliketothanktheteamsledbyKristenRamirezandPeterBarter.

Finally to the Ladies Committee, an enormous thank you for your work. They have been in temporary accommodationformostoftheyearand,nevertheless,haveorganisedthequalityeventsandcompetitions expected. The new location for the ladies committee is not ideal but they will continue to be strong representativesoftheinterestsoftheladymembers.AspecialmentiongoestoourCaptain,SallyMoffatt, whohasputherheartandsoulintoherrole. Finally,thankyoutoalltheladymembersforthesupportthey havegiventhroughoutadifficultyear.

SusanNicholas Ladies President

KENDAL BINNS FOUNDATION REPORT

The foundation continues to improve its procedures in the development of young golfers into lifelong membersofPennantHills.ThisyearaCommencementDinnerwasheldforallscholarshipplayersandtheir parents.AtthisverysuccessfuldinnerattendedbyKendalandourheadprofessionalNeilRolfe,theplayers were presented with a ‘Memorandum of Understanding’ which detailed their golfing and behavior responsibilities. This was well received by the parents and furthers our efforts to balance the rights and responsibilitiesofouryoungmembers.

ThisisinadditiontoourannualChristmasdinner,whichishostedbyRachelBaileyandafuneventthatall arewelcome.Ifyouwanttoseeouryoungjuniorsattheirbest,Istronglyrecommendthatyouattend.

JuniorscurrentlyonScholarship:

OliviaKerr,HamishMurray,StephanieShuttleworth, Matt Davidson, JamesSkuodas,Tom Davey,Oscar Haugerud,AdhityaNairandRyanRichards

Thefoundationagainthanks:

 Allthememberswhocontinuetodonatetothefoundation

 RachelBaileyforherdevelopmentoftheSundayclinics

 ThornleighGolfCentre

 TheBoardofPennantHillsandtheofficestaff

 GeneralManagerBarnabySumnerwhoattendsourmeetings

 Allofyouwhosupportedtheverysuccessfulraffle(over200ofyou)

TheKendalBinnsJuniorFoundationwelcomesRhondaParkinsontothecommittee.Rhonda,whoisknown for her hard work and enthusiasm, has brought those traits to the foundation and has made a positive impact. Thanks must also be given to Nicki Howlett who worked extremely hard for the foundation and PennantHillsjuniors.

YouwillbepleasedtoknowthatduetotheexcellentworkofRachelthefoundationmayneedmoresupport tofinanceherexcellentinitiatives,whicharedevelopingcommittedgolfers.Itisexpectedanumberofthese Sundayclinic participants willadvancetothestage of earning scholarships from the KendalBinns Junior Foundation.

FINANCES:

AsofJuly22nd,thefoundationhasabankbalanceof$23,355.71.Whilethisappearshealthythereisno doubt that the continued improvement in the development of our young players will lead to more scholarshipsandfurtherdemandsforsupport.Thisiswhatwehopedwouldhappensoweareverypleased. However,thisnecessitatesfurtherfundraisinginthefuture.AgoodstartwasmadeatthePresidentsand CaptainsLuncheonwherethe130strongLadymembersappeartobehappytohelp.

In conclusion, the committee of the KBJF are: Graeme Martin, Rhonda Parkinson, Chris Allen and Ed Truscott.Theywelcomeanyopportunitytodiscusswhatishappeninginthefoundation.

EdTruscott

Chairperson, Kendal Binns Foundation

EX-SERVICE SECTION REPORT

ReportonRemembranceTrophyandEx-ServicesGolfDay

Thesuccessful2018ex-servicesdayheldonSat18thAugustincludedafieldof200generousgolfersand as a result, our club was able to makea donationof $4000to Legacywhich included directdonations of $385madebysomeofourex-servicemembers.

The Returned Servicemen’s Memorial Entrance was opened 62 years ago in 1956. The ex-service committeehasbeenconsciousthatasthesitegetsdevelopedovertimeitmaybenecessarytoreposition themainentranceandthatthisimportantpartofourheritageshouldbepreserved.Withthisinmind,their committeeelectedtomakeacontributionof$500whichbringstheMemorialGatesFundto$14,000.

The overall profitonthedaywas down byabout $500 on 2017 due to less pre sales of raffletickets and increased costs generally notwithstanding the club enjoyed the generosityof a fewof our own to provide theraffleprizes.TherafflewaswonbyPeterBarneswhoisanexservicemember.

Thesausageandnipofscotchcertainlyworkedforthemorningplayerswhofeaturedonthelistofwinners. ThehalfwaysustenanceofBullyBeefandDamperRolls,washeddownwiththetraditionalgunfirebrewof RumandCoffeewasagainappreciatedbythefield.

TheFridayLongLunchersledbyMichaelWilliamsandhiswifeHelen,took overtheserverydutiesatthe sausagebreakfastandatthehalfwayandtheclubisdeeplyappreciativeoftheirgiftoftimeandsupport.

AmajorpartofthemoneyraisedonthedaycamefromthepersuasivepowersofPebblesPuniaandMark Cordony who were running a book on the accuracy of players hitting on to the 18th tee. They raised the sum of $2246 encouraging the punters with enticing odds and chancy hits including clearing the creek. Legacyvolunteersledbyanex-member,AllanMeakerassistedatthe18th.

Peter Sprowles read the Ode prior to the presentation of trophies where the club welcomed a number of currentarmedservicesguests.BruceLumsden,onbehalfofthefamilyofthelateGeoffLumsdendonated and presented the Ex Services Trophy to Andrew Mowat. Bruce has agreed, for the immediate future to providethetrophyinGeoff’sHonour.2019willbethe94thyearofcompetitionfortheEx-ServicesTrophy previouslycompetedforastheAIFCupandthenWorldWarIITrophy.

TheRemembranceTrophy;knownbysomeastheLucknowTrophyisamagnificenttrophyandhasitsown interesting history and militaryconnection. The trophydonatedbytheWaterson familywas presented by TerrytoPeterHandel.

The A Grade, B Grade, C Grade and Scratch trophy winners were Sabak Taheri, Peter Handel, Peter IllingworthandAndrewRichardsrespectively.

Thewinningexservices4ballteamwithascoreof48wasTerryPankhurst,hisbrotherFrank,PeterCook andBryceCorderoy.

Thereareanumberofdemandingandadministrativearrangementsthatneedtobecapablycarriedoutto makethisdayasuccessandwearegratefultoLiamandJaredinProfessionalShop,CraigUsherandKim Truijensintheoffice,aswellasPeterandPhoebeforthecatering.

ThedateoftheRemembrancetrophyandExServicesdayisnormallyalignedtoVP(VictoryinthePacific) Day, alsoreferredtoas VJ (Victoryover Japan)Day,itis celebratedinAustraliaon15August.Thisdate commemoratesJapan'sacceptanceoftheAllieddemandforunconditionalsurrenderon14August1945. ForAustralians,itmeantthattheSecondWorldWarwasfinallyover.ThedatebeingaSaturdayimmediately following15thAugustinthe2019calendaris17thAugustandweanticipateholdingthiseventonthatday asthe2019/2020calendarisagreed.

MichaelRowan,PeterMcBeath,BrianHamilton&PeterSprowles

ExServicesCommittee

MichaelRowan Chairperson, Ex–Service Committee

DIRECTORS’ REPORT

ThedirectorspresenttheirreporttogetherwiththefinancialreportofPennantHillsGolfClubLimited(“the Company”)fortheyearended30June2019andtheauditor’sreportthereon.

DIRECTORS

TheDirectorsoftheCompanyatanytimeduringorsincetheendofthefinancialyearare: InformationonDirectors

DirectorsNames Occupation Yearelected Resignationsand Appointments

C.Allen Retired 2016 Resigned15/4/19

J.A.Buchanan CompanyDirector 2008 Resigned22/10/18

M.Dearlove Retired 2018 Appointed22/10/18

A.M.Goodrick PropertyLawyer 2016

P.D.Henry BusinessConsultant 2014 Resigned22/10/18

R.W.Howarth GeneralManager-Media 2010

A.G.Jones Retired 2017 Resigned22/10/18

D.J.Leach Retired 2018 Appointed22/10/18

C.J.Pragnell Retired 2018 Appointed22/10/18

M.J.Rowan Retired 2019 Appointed24/4/19

D.P.Stanton Architect 2015

A.L.Stubbs CompanyDirector 2011 Resigned22/10/18

S.J.Walker Retired 2018 Appointed22/10/18

A.J.Watson CharteredAccountant 2011 Resigned22/10/18

G.A.Winters Retired 2018 Appointed22/10/18

Directorshavebeeninofficesincethestartofthefinancialyeartothedateofthisreportunlessotherwise stated.

DirectorsNames SubCommitteeResponsibilities

C.Allen Business&Strategy(Chairperson),Course,Playing&Match,Clubhouse

J.A.Buchanan Playing&Match(Chairperson)andCourse(Chairperson).

M.Dearlove House,Membership

A.M.Goodrick Playing&Match,Membership&Marketing,Clubhouse,Business&Strategy

P.D.Henry Membership&Marketing(Chairperson),ClubhouseExperience,

R.W.Howarth Clubhouse(Chairperson),House(Chairperson)

A.G.Jones Business&Strategy,Membership&Marketing

D.J.Leach Planning&Finance(Chairperson),Membership

C.J.Pragnell Course&Playing(Chairperson),Planning&Finance,Membership

M.J.Rowan Planning&Finance,Membership(Chairperson)

D.P.Stanton Clubhouse,ClubhouseExperience,Business&Strategy

A.L.Stubbs ClubhouseExperience(Chairperson),Membership&Marketing.

S.J.Walker AsPresidentisanex-officiomemberofallCommittees

A.J.Watson AsPresidentisanex-officiomemberofallCommittees

G.A.Winters Course&Playing,House

COMPANY SECRETARY

Barnaby Sumner, holds the position of Company Secretary and General Manager of Pennant Hills Golf Club. BarnabyhasbeenCompanySecretaryandGeneralManagersinceMarch2019afterjoiningtheClub from Oatlands Golf Club where he held the position of General Manager. His previous management experienceincludessenior managementroleswithElanoraCountryClub&ConcordGolfClubalongwith roleswithAustralianhotelcompanies,beingMirvacandGazeboandinternationallywiththeFairhavenHotel Group(U.K.)

TheprincipalactivitiesoftheCompanyduringthefinancialyearweretheadministrationandoperationof aprivategolfclubcomprisingagolfcourseandalicensedsocialclubformembers. Therehasbeennosignificantchangeinthenatureoftheseactivitiesduringtheyear.

OBJECTIVES

Themainlongtermobjectiveoftheseactivitiesistoprovideanexcellentexperienceformembers.

Thiskeyobjectivewillbeachievedbyfocusingonfourfurthershorttermobjectives:

1. Thegolfcourse–provisionofaqualitycoursemaintainedtoahighstandard.

2. Theprofessionalandprofessionalshop–facilitiestosuittheneedsofmembersatalllevels.

3. Finance-financialstability.

4. Theclubhouseandinfrastructure-facilitieswhichmeettherequirementsofmembers.

Theseobjectiveswillbeunderpinnedbybothshorttermandlong-termstrategies.

STRATEGIES TO ACHIEVE OBJECTIVES

 Membership.Maintainacontemporarymembershipstructuretodeliversatisfactiontomembers through,theprovisionofserviceswhichmaketheclubattractivetobothexistingandnew members.Thiswillbedesignedtosupportmemberretentionandrecruitmentofnewmembers.

 GolfCourse. Refinethemasterplanforongoingdevelopmentofthecourseanddeterminethe feasibilityofimplementingsuchaplan,includingdevelopingarealistictimeline.Pursuethe opportunityofsecuringasupplementalwatersupplyforthecoursebyutilisingdrainagefromthe M1/M2Tunnel.

 GolfProfessional.Encouragementofplayingmembers,inparticularthroughteaching,coupled withcontinuingsupportfortheKendalBinnsFoundation. Provisionofarelevantretailexperience.

 Finance. Developasustainablefundingplanwhichwillprovidefinancialstability.

 Infrastructure. Followingcompletionoftheclubhouseimprovementproject,assesswhatfurther workneedstobedone(ifany)toensurethefacilitiesmeetmembers’needs.

MEASUREMENT OF PERFORMANCE

ManagementprovidestheBoardwithmonthlyoperationalreportsfortheCompanyactivitieswhichinclude the key performance indicators of financialresults against budgeted outcomes, details of course maintenanceand improvements activities,outline of memberplaying and social activities andchanges in membershipnumbersandcategories.

5,048,982

TheaccompanyingNotesformpartofthisStatementandshouldbereadinconjunctionherewith.

The financial report is for Pennant Hills Golf Club Limited as an individual company, incorporated and domiciledinAustralia.PennantHillsGolfClubLimitedisacompanylimitedbyguarantee.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations

PennantHillsGolfClub’sprincipalactivitywastoprovidegolffacilitiestomembers.

Basis of Preparation

The financial report is a general purpose financial report that has been prepared in accordance with Australian Accounting Standards - Reduced Disclosure Requirements, Australian Accounting Interpretations, the Corporation Act 2001 and the Registered Clubs Amendment Act 2006. Pennant Hills GolfClubLimitedisanot-for-profitentityforthepurposeofpreparingfinancialstatements.

AustralianAccountingStandardssetoutaccountingpoliciesthattheAASBhasconcludedwouldresultina financial report containing relevant and reliable information about transactions, events and conditions. Materialaccountingpoliciesadoptedinthepreparationofthisfinancialreportarepresentedbelowandhave beenconsistentlyappliedunlessotherwisestated.

The financial report has been prepared using the measurement bases specified by the Australian AccountingStandardsforeachtypeof asset, liability, incomeandexpense. The measurementbasesare describedintheaccountingpoliciesbelow.

Thefinancialreportwasauthorisedforissueonthe28th August2019bytheboardofdirectors.

Net Current LiabilityPosition

Asat30June2019thecompanyhasanetcurrentliabilitypositionof$2,126,138primarilyduetothelarge balance of subscriptions paid in advance. The subscriptions paid in advance for the 2020 year are not refundableandwillberecognisedasrevenueoverthe2020financial year.Thecompanyhasaccesstoa bankfacilityof$3millionwhichitcandrawdownonwhencashflowrequiresit.Inaddition,subsequentto 30 June 2019 the company has increased the bank facility with National Australia Bank to $3.85 million. MoredetailsonthisfacilityareincludedinNotes11andNotes23tothesefinancialstatements.Basedon thesefactorsthedirectors areof theopinionthatthe companywillbeabletopayits debts when theyfall due.

Accounting Policies

(a) IncomeTax

No provision for income tax has been raised as the Company is exempt from income tax under Division50oftheIncomeTaxAssessmentAct1997.

(b)

Inventories

Inventoriesaremeasuredandcarriedatthelowerofcostandcurrentreplacementcost.

(c) Property, Plant and Equipment

(i) Recognitionandmeasurement

Items of property, plant and equipment are measured at cost less accumulated depreciation and accumulatedimpairmentlosses.

Costincludesexpenditurethatisdirectlyattributabletotheacquisitionoftheasset. Thecostofselfconstructed assets includes the cost of materials and direct labour, any other costs directly attributabletobringingtheassetstoaworkingconditionfortheirintendeduse,thecostsof

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(c) Property, Plant andEquipment (continued)

dismantlingandremovingtheitemsandrestoringthesiteonwhichtheyarelocated,andcapitalised borrowingcosts. Costalsomayincludetransfersfrom othercomprehensiveincomeof anygainor lossonqualifyingcashflowhedgesofforeigncurrencypurchasesofproperty,plantandequipment. Purchasedsoftwarethatisintegraltothefunctionalityoftherelatedequipmentiscapitalisedaspart ofthatequipment.

Whenpartsofanitemofproperty,plantandequipmenthavedifferentusefullives,theyareaccounted forasseparateitems(majorcomponents)ofproperty,plantandequipment.

Gains and losses on disposal of an item of property, plant and equipment are determined by comparingtheproceedsfromdisposalwiththecarryingamountofproperty,plantandequipmentand arerecognisednetwithinotherincomeinprofitorloss. Whenrevaluedassetsaresold,theamounts includedintherevaluationreservearetransferredtoretainedearnings.

(ii)SubsequentCosts

Thecostofreplacingapartofanitemofproperty,plantandequipmentisrecognisedinthecarrying amountoftheitemifitisprobablethatthefutureeconomicbenefitsembodiedwithinthepartwillflow totheCompany,anditscostcanbemeasuredreliably. Thecarryingamountofthereplacedpartis derecognised. Thecostsoftheday-to-dayservicingofproperty,plantandequipmentarerecognised inprofitorlossasincurred.

(iii)Depreciation

Depreciationiscalculatedoverthedepreciableamount,whichisthecostofanasset,orotheramount substitutedforcost,lessitsresidualvalue.

Depreciationisrecognisedinprofitorlossonastraight-linebasisovertheestimatedusefullivesof eachpartofanitem ofproperty,plantandequipment,sincethismostcloselyreflectstheexpected pattern of consumption of the future economic benefits embodied in the asset. Leased assets are depreciated over the shorter of the lease term and their useful lives unless it is reasonablycertain thattheCompanywillobtainownershipbytheendoftheleaseterm.Landisnotdepreciated.

Theestimatedusefullivesforthecurrentandcomparativeperiodsareasfollows:

Buildings 40years

Plantandequipment 3-20years

Depreciationmethods,usefullivesandresidualvaluesarereviewedateachfinancialyear-endand adjustedifappropriate.

(d) Leases

WheretheCompanyisalesseeleasepaymentsforoperatingleases,wheresubstantiallyalltherisks and benefits remain with the lessor, are charged as expenses in the periods in which they are incurred.

(e) Impairment of Assets

Ateachreportingdate,theCompanyreviewsthecarryingvaluesofitstangibleandintangibleassets todeterminewhetherthereisanyindicationthatthoseassetshavebeenimpaired. Ifsuchindication exists,therecoverable amount of the asset, being the higher of the asset’s fair value less costs to sellandvalueinuse,iscomparedtotheasset’scarryingvalue. Anyexcessoftheasset’scarrying valueoveritsrecoverableamountisexpensedtotheincomestatement.

Where it is not possible to estimate the recoverable amount of an individual asset, the Company estimatestherecoverableamountofthecash-generatingunittowhichtheassetbelongs.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(f) Employee Benefits

Short-termEmployeeBenefits

Short-term employeebenefits arebenefits, other than terminationbenefits, that areexpected tobe settled whollywithin twelve (12) months after the end of the period in which the employees render the related service. Short-term employee benefits are measured at the undiscounted amounts expectedtobepaidwhentheliabilitiesaresettled.

Otherlong-termEmployeeBenefits

TheCompany’sliabilitiesforlongserviceleaveareincludedinother longterm benefitsastheyare notexpectedtobesettled whollywithintwelve(12) monthsafterthe end of theperiod inwhichthe employeesrendertherelatedservice.Theyaremeasuredatthepresentvalueoftheexpectedfuture paymentstobemadetoemployees.

Theexpectedfuturepaymentsincorporateanticipatedfuturewageandsalarylevels,experienceof employeedeparturesandperiodsofservice,andarediscountedatratesdeterminedbyreferenceto market yields atthe end of the reporting period on high qualitycorporate bonds that have maturity datesthatapproximatethetimingoftheestimatedfuturecashoutflows.Anyre-measurementsarising from experience adjustments and changes in assumptions are recognised in profit or loss in the periodsinwhichthechangesoccur.

TheCompanypresentsemployeebenefitobligationsascurrentliabilitiesinthestatementoffinancial positioniftheCompanydoes not haveanunconditionalrighttodefersettlement foratleasttwelve (12)monthsafterthereportingperiod,irrespectiveofwhentheactualsettlementisexpectedtotake place.

(g) Provisions, Contingent Liabilities and Contingent Assets

Provisionsaremeasuredattheestimatedexpenditurerequiredtosettlethepresentobligation,based on the most reliable evidence available at the reporting date, including the risks and uncertainties associatedwiththepresentobligation.Wherethereareanumberofsimilarobligations,thelikelihood thatanoutflowwillberequiredinsettlementisdeterminedbyconsideringtheclassofobligationsas awhole.Provisionsarediscountedtotheirpresentvalues,wherethetimevalueofmoneyismaterial.

AnyreimbursementthattheCompanycanbevirtuallycertaintocollectfromathirdpartywithrespect totheobligationisrecognisedasaseparateasset.However,thisassetmaynotexceedtheamount oftherelatedprovision.

Noliabilityisrecognisedifanoutflowofeconomicresourcesasaresultofpresentobligationisnot probable. Such situations are disclosed as contingent liabilities, unless the outflow of resources is remoteinwhichcasenoliabilityisrecognised.

(h) Revenue and Other Income

Revenuesarerecognisedatfairvalueoftheconsiderationreceived.

Revenue from sales of goods comprises revenue earned from the provision of food and beverage facilities,andthesaleofgolfequipment. Revenueisrecognisedwhenthegoodsareprovided.

RevenuefromrenderingservicescomprisesrevenueservicestoMembersandotherpatronsofthe Company

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(h) Revenue and Other Income(continued)

Revenuefromrentalincomerelatingtothetelecommunicationstowerleaseisrecordedonastraight linebasisoverthetermofthelease.

Kendal Binns fund donations and contributions made are credited to the Kendal Binns fund in the yearinwhichtheyaremade.

Allrevenueisstatednetoftheamountofgoodsandservicestax(GST).

(i) Borrowing Costs

Borrowingcostsotherthanthosethatrelatetotheacquisitionofqualifyingassetsarerecognisedin incomeintheperiodinwhichtheyareincurred.

(j) Goods and Services Tax

Revenues,expensesandassetsarerecognisednetoftheamountofgoodsandservicestax(GST). ReceivablesandpayablesinthebalancesheetareshowninclusiveofGST.

Cash flows are presented in the Cash Flow Statement on a gross basis, except for the GST componentofinvestingandfinancingactivities,whicharedisclosedasoperatingcashflows.

(k) Subscriptions in

Advance

The Subscriptions in advance balance in Note 12 consists of 2020 membership subscriptions receivedpriorto30June.

(l) Deferred Income

Theliabilityfordeferredincomeistheunutilisedamountsoftelecommunicationstowerrentalreceived on the condition that specified conditions are fulfilled. Where the amount received is in respect of rental is to be provided over aperiod that exceeds twelve(12) months after the reporting date, the liabilityisdiscountedandpresentedasnon-current.

(m) Comparative Figures

When required by Accounting Standards, comparative figures have been adjusted to conform to changesinpresentationforthecurrentfinancialyear.

(n) Critical Accounting Estimates and Judgments

The directors evaluate estimates and judgments incorporated into the financial report based on historical knowledge and best available current information. Estimates assume a reasonable expectation of future events and are based on current trends and economic data, obtained both externallyandwithintheCompany.

The Companyassesses impairment at each reporting date byevaluating conditions specific to the Companythatmaybeindicativeofimpairmenttriggers.Recoverableamountsofrelevantassetsare assessedusingvalue-in-usecalculationswhichincorporatevariouskeyassumptions.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(o) Financial Instruments

FinancialassetsandliabilitiesarerecognisedwhentheCompanybecomesapartytothecontractual provisionsofthefinancialinstrument,andareinitiallymeasuredatfairvalueadjustedbytransaction costs.

Financialassetsarederecognisedwhenthecontractualrightstocashflowsfromthefinancialasset expire,orwhenthefinancialassetandallsubsequentrisksandrewardsaretransferred.Afinancial liabilityisderecognisedwhenitisextinguished,dischargedcancelledorexpires.

Classification and measurement of financial assets

ForthepurposesofsubsequentmeasurementfinancialassetsoftheCompanyareclassifiedasloans and receivables. All financial assets are subject to review for impairment at least at each reporting date to determine if there is objective evidence that a financial asset is impaired. All income and expenses relating to financial assets that are recognised in profit and loss are presented within financecostsorfinanceincomeexceptforimpairmentoftradereceivableswhichispresentedwithin otherexpenses.

Loansandreceivablesarenon-derivativefinancialassetswithfixedordeterminablepayments.After initial recognition these are measured at amortised cost using the effective interest method, less provisionforimpairment.Discountingisomittedwheretheeffectisimmaterial.TheCompany’strade andotherreceivablesfallintothiscategoryoffinancialinstruments.

Classification and measurement of financial liabilities

TheCompany’sfinancialliabilitiesincludetradeandotherpayables.

Financialliabilitiesaremeasuredsubsequentlyatamortisedcostusingtheeffectiveinterestmethod. Allinterestrelatedcharges,andifapplicable,changesinaninstrumentsfairvaluethatarereported inprofitandlossareincludedwithinfinancecostsorfinanceincome.

(p) New and Revised Standards that are Effective for these Financial Statements

Anumberofnewandrevisedstandardsbecameeffectiveforthefirsttimetoannualperiodsbeginning onorafter1July2018.Informationonthemoresignificantstandardsispresentedbelow.

 AASB9FinancialInstruments

 AASB9FinancialInstrumentsreplacesAASB139FinancialInstruments:Recognitionand Measurement.Itmakesmajorchanges totheprevious guidanceontheclassificationand measurement of financial assets and introduces an ‘expected credit loss’ model for impairmentoffinancialassets.

 WhenadoptingAASB9,theGrouphasappliedtransitionalreliefandoptednottorestate prior periods.Differencesarisingfrom theadoptionofAASB9inrelationtoclassification, measurement, and impairment are recognised in opening retained earnings as at 1 July 2018.

 AASB 2016-5 Amendments to Australian Accounting Standards - Classification and MeasurementofShare-basedPaymentTransactions

 Interpretation22ForeignCurrencyTransactionsandAdvanceConsideration.

Theadoptionofthesestandardshasnothadamaterialimpactonthecompany.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(p) New and Revised Standards that are Effective for these Financial Statements (continued)

AccountingStandardsissuedbutnotyeteffectiveandnotadoptedearlybytheCompany

At the date of signing of the financial statements, the following AASB Standards and AASB Interpretations werealsoinissuebutnotyeteffective.

Standard/Interpretation

Effectiveforannual reportingperiods beginningonorafter

Expectedtobe initiallyappliedinthe financialyearending

AASB15Revenuefromcontractswith customers 1January2019 30June2020

AASB16Leases 1January2019 30June2020

ThepotentialeffectoftherevisedStandards/Interpretationsonthecompany‘sfinancialstatements hasnotyetbeendetermined.

(q) Creation of new Reserves and the Restatement of Prior Year Comparatives

DuringtheyearReserveswerecreatedtorecognisecontributionsreceivedforanidentifiableand specificpurpose.ThereservescreatedwereforMemorialGatesandCourseDevelopment. DonationsfromExServicesmemberswerereceivedforthefutureestablishmentofnewMemorial Gatesandcontributionsfrommembersthroughcompetitionandgreenfeeswerereceivedforfuture coursedevelopmentworks.

InestablishingtheReservesprioryearcomparativeswererestatedastheMemorialGatesFund hadbeenpreviouslyreportedinOtherLiabilities.TheprioryeardonationtoMemorialGateswas restatedtorecognisethisdonationintheStatementofComprehensiveIncomeandaresultant transfertoreservedisclosedintheStatementofChangesinEquity.

NOTE 2: REVENUE & OTHER INCOME

4: TRADE AND OTHER RECEIVABLES

Currenttradereceivablesarenon-interestbearing.Aprovisionforimpairmentisrecognisedwhenthereis objective evidence that an individual trade receivable is impaired. These amounts have been included in theotherexpensesitem.

(ii)ProvisionforImpairmentofReceivables

NOTE 5: INVENTORIES

NOTE 6: OTHER ASSETS

NOTE 7: CORE PROPERTY, PLANT & EQUIPMENT

In accordance with Section 41J of the Registered Clubs Amendment Act 2006 the Directors have determinedthatallfreeholdlandandbuildingsheldbytheClubformspartoftheClub’spremisesandthe facilitiesprovidedbytheClubarefortheuseofitsmembersandisthereforecoreproperty.

TheValuerGenerallandvalueat1/7/16was$5.5million.Therehasnotbeenanupdatedvaluationissued asatthedateofthisreport.

RefertoNote11fordetailsofsecurityoverproperty,plantandequipment.

NOTE 8:

FINANCIAL LIABILITIES AT AMORTISED COST

NOTE 9: PROVISIONS

Current

A provision has been recognised for employee benefits relating to long service leave for employees. In calculatingthepresentvalueoffuturecashflowsoflongserviceleave,theprobabilityoflongserviceleave beingtakenisbaseduponhistoricaldata.Themeasurementandrecognitioncriteriaforemployeebenefits havebeenincludedinNote1(f)

NOTE 10: DEFERRED INCOME

Inthe2015financialyeartheCompanyleasedthetelecommunicationstowersitefor25years.Rentalforthe 25 years has beenreceivedupfront. In determining the correct treatment for the transaction the Company has takena viewthatthe moniesreceivedareinthe natureof areceiptof futurerentalincome.Consistent with the Company’s treatment of other deferred income received in advance the amount received is being releasedtorevenueonastraightlinebasisoverthefulltermoftheleaseperiod.Deferredincomereceived whichwillnotbereleasedinthenextyearistreatedaslongtermdeferredincome.

NOTE 11: BORROWINGS

Facilities

During the year the Company changed its primary banking arrangements from Westpac to NAB. This included establishmentofaborrowingfacilityandachangeintheCompany’stransactionalbankingarrangements.

In the current year the Company has entered into a $3Million borrowing facility to assist with the funding of the Clubhouserenovations.ThefacilityavailabletotheCompanyreducesto$2.75MillioninJune2020,$2.5Millionin June2021and$2MillioninJune2022.ThefacilityexpiresinJuly2022.

Inthecurrent yeartheCompanyenteredintotwoCommercialLoansfor thepurchaseof courseequipment.The termofeachofthesearrangementsisfiveyearsandexpireinNovember2023.

Security

TheCompany’sprimarybankerholdsregisteredfirstmortgagesandfloatingchargesovertheassetsanduncalled capitaloftheCompany.

TheCompany’sequipmentfinancierholdsasecurityinterestovertheequipmentpurchasedforthedurationofthe financingagreement.

NOTE 12: OTHER LIABILITIES

NOTE 13: KENDAL BINNS JUNIOR FOUNDATION RESERVE

The“KendalBinnsFoundation”isregisteredasaprojectwiththeAustralianSportsFoundationtoreceive donationsforthedevelopmentofpromisingjuniormembers.TheClubhasestablisheda“KendalBinns FoundationReserve”wherebythemoniesraisedbywayofdonationsfrommembersandcontributions from Club activities are held specifically for the foundation. The foundation is administered by a committeecomprisingfourmembersoftheCompany.Thefoundationfundsaresolelyforthebenefitof nominated junior members and are not availablefor the generaloperations of the Company. Unspent monies at the closeof the financial year beingthe opening position for the year plus the contributions and less expenditureonjunior members for the year are represented in the Kendal Binns Foundation ReserveintheMembersfunds.Theunderlyingcashisheldinaseparatebankaccountandrecordedin Cashandcashequivalents.Duringtheyearnetproceeds/(utilisation)ofcontributionsof($3,211)(2018: $6,673)weretransferredinto/(from)thereserve.

NOTE 14: RELATED PARTIES

(a) KeyManagement Personnel

KeymanagementpersonneloftheCompanyarethosepersonshavingauthorityandresponsibilityforplanning, directingandcontrollingactivitiesoftheClub.

(b) Transactionswith Related Parties

Thecompanyincurrednotransactionswithrelatedparties.

NOTE 15: NOTES TO THE STATEMENT OF CASH FLOWS

a) Reconciliation of Cash

Forthepurposesofthestatementofcashflows,cashandcashequivalentsincludecashonhand, depositsheldatcallwithbanks,othershort-termhighlyliquidinvestmentswithoriginalmaturitiesofthree monthsorlessandbankoverdrafts.Bankoverdraftsareshownwithinshort-termborrowingsincurrent liabilitiesonthebalancesheet

b) Reconciliation ofCash Flow from Operations . . with Net Surplusforthe

NetFairValues

FairValueEstimation

Thefairvaluesoffinancialassetsandfinancialliabilitiesarepresentedinthefollowingtableandcanbecomparedtotheir carryingvaluesaspresentedinthebalancesheet. Fairvaluesarethoseamountsatwhichanassetcouldbeexchanged, oraliabilitysettled,betweenknowledgeable,willingpartiesinanarm’slengthtransaction.

Fairvaluesderivedmaybebasedoninformationthatisestimatedorsubjecttojudgment,wherechangesinassumptions mayhaveamaterialimpactontheamountsestimated. Areasofjudgmentandtheassumptionshavebeendetailedbelow.

Thefairvaluesdisclosedintheabovetablehavebeendeterminedbasedonthefollowingmethodologies:

( i ) Cash and cash equivalents, trade and other receivables and trade and other payables are short-term instruments in naturewhosecarryingvalueisequivalenttofairvalue. Tradeandotherpayablesexcludeamountsprovidedforrelating toannualleaveanddeferredincomewhichisnotconsideredafinancialinstrument.

Borrowings includes $2 million drawn against a $3 million bank facility. The current drawings interest period applies until22October2019atwhichtimeitwillberesetforaperiodofbetween30and180daysatthediscretionoftheClub.

Borrowings also includes commercial loan equipment finance for three items of course equipment. Equipment loan financeistakenoveraperiodoffiveyears.Thecarryingvalueofequipmentfinancedoesnotincludefuturefinancing costsandassuchcarryingvalueisequivalenttofairvalue.

NOTE 17: CAPITAL AND LEASING COMMITMENTS

OperatingLeaseCommitments

TheCompany’sfutureminimumoperatingleasepaymentsareasfollows:

Leaseexpenseduringtheyearamountedto$64,786(2018:$67,636)representingminimumleasepayments.The equipmentleasecommitmentscomprisinggolfcartandphotocopierleasesarenon-cancellableoperatingleases withleasetermsofbetweenfourandfiveyears.

EquipmentFinanceCommitments

EquipmentfinancecommitmentsareshowninBorrowings(Note11)ascurrentborrowingsof$10,379(2018:Nil) andnon-currentborrowingsof$39,839(2018:Nil)

NOTE 18: SEGMENT REPORTING

TheCompanyoperatespredominantlyinthehospitality,sportingandentertainmentindustry.

TheCompany’soperationsandcustomersarelocatedpredominantlyinSydney,NewSouthWales.The Companyprovidesgolfingfacilities,food,beverageandotherentertainmentfacilitiestoMembersandguests.

NOTE 19: COMPANY DETAILS

TheCompanyisincorporatedanddomiciledinAustraliaasacompanylimitedbyguarantee.Inaccordancewith the Constitutionof theCompany,everyMember of theCompanyundertakesto contribute anamountlimitedto $2.00perMemberintheeventofthewindingupoftheCompanyduringthetimethattheyareaMemberorwithin oneyearthereafter. At30June2019therewere1,278members.

TheregisteredofficeandprincipalplaceoftheCompanyis:

CopelandRoad,BeecroftNSW2119

NOTE 20: CONTINGENT LIABILITIES

TherearenocontingentliabilitiesthathavebeenincurredbytheCompanyinrelationto2019or2018.

NOTE 21: COMMITMENTS

At30June2019theclubwascommittedtoongoingcostsrelatedtotheclubhouseconstructionof$704,000which willbeincurredandpaidinthe2020financialyear.

NOTE 22: CLUBHOUSE UPGRADE PROJECT

DuringthefinancialyeartheCompanyreceived$19,330fromdonationstoafoundationprojectestablishedthrough theAustralianSportsFoundation(ASF)fordonations bymembers.Fundsreceivedarebeingusedtoassistwith paymentfortheClubhouseupgrade.

NOTE 23: EVENTS AFTER THE BALANCE SHEET DATE

DuringthefinancialyeartheClubreceived$70,000fromtheClub’sinsurerstooffsetinitialcostsincurredrelated totheStorm damagefrom December2018.Subsequentto yearendtheClub’sinsurershaveacceptedatender fortherepairstothe10th bridge.Followingthisdecisiontheinsuranceclaim hasbeenfinalisedandforwardedto the insurer.The Clubdoes not expect to incur anycosts related to thestorm damage claim inthe next financial yearwhichwillnotberecoverablefromtheinsurer.

SubsequenttoyearendtheClubhasbeensuccessfulinrenegotiatingtheNABborrowingfacility.Thefacilityhas beenincreasedfrom$3millionto$3.85millionandwillreduceto$2.35millioninstagesbetween2020and2022. Priorto2022itwillbenecessarytoarrangeappropriateborrowingsforthefuture.

Therehavebeennoothersignificanteventssincetheendofthefinancialyearuptothedateofthisreport. Thefinancialreportwasauthorisedforissueon28thdayofAugust2019bytheBoardofDirectors.

NOTE 24: REPORTING REQUIREMENTS - REGISTERED CLUBS ACT 1976

The Club maintains a register in accordance with the Registered Clubs Act 1976. This register is available formemberstoviewonappointmentatthefrontoffice.

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