PHGC Annual Report 2019-2020

PENNANT HILLS GOLF CLUB LIMITED

ABN 12 000 037 856

OFFICE BEARERS

President: Mr. Stephen Walker

Vice-President: Mr. Michael Rowan

Captain: Mr. Chris Pragnell

Hon. Treasurer: Mr. David Leach

Directors:

Mrs. Margie Dearlove, Mrs. Sue Fabian, Mr. Graeme Martin, Mr. Clayton Rowston & Mr. GregWinters.

COMMITTEES

Planning & Finance: David Leach (Chairperson), Margie Dearlove, Chris Pragnell, Clayton Rowston, Michael Rowan & Steve Walker

Course & Playing: Chris Pragnell (Chairperson), Sue Fabian, SallyMoffat, Clayton Rowston, GregWinters & SteveWalker

Membership: Michael Rowan (Chairperson), Sue Fabian, David Leach, Graeme Martin & SteveWalker

House: Margie Dearlove (Chairperson), Graeme Martin, Judy Trickett, Greg Winters & SteveWalker

Ladies Committee: JudyTrickett (President), Sally Moffat (Captain), Janet Shand (Secretary), SallyGooley(Competition Manager), Anne Eldridge, Ann Elsley, JennyHarvey & SusieWales

Life Member: Mr. TonyGresham

Delegate to Golf NSW: Mr. Chris Allen

Auditor:

BDH Audit and Assurance Pty Ltd

General Manager: Mr. Barnaby Sumner

PRESIDENT'S REPORT

I concluded last year’s report by saying I hoped to make this year’s report shorter, and the bottom line correspondingly larger. I am glad to say we have improved this year to an operating deficit of $199K with an overall surplus of $348K. The comparable figures last year were a $527K operating deficit and a $325K surplus (if we exclude the one-off clubhouse levy, a deficit of $402.5K).

2019/20 has been quite extraordinary, so useful comparisons are difficult to draw: But a close look at the SummarisedTradingAccountdemonstratesthatwehavebeenfairlysuccessfulatkeepingclosecontrolon costs while driving operating revenue when and where we could.

I noted in the July Update that JobKeeper helped. The accounts show that the Club received $443K in Governmentassistance,ofwhich$372KwasfromJobKeeper.Butwehadtoexpendsome$137Kinwages for casual staff who could not otherwise have been retained, and permanent staff whose hours may otherwise have had to be reduced, so the net JobKeeper benefit was more like $235K. Apart from the financialimpact,we have been abletoretainour valuedworkforceasaresult,andweshouldallbegrateful for that. A fuller explanation of our financial position is in Treasurer David Leach’s report.

Itisanunderstatementtosayit hasbeenadifficultyear.Thepandemichaschangedourlives,andthe way we live them, and looks like continuing to do so for some time. The impact on the Club is only a small part of that. But it has obviously affected the Club’s operations and it is myduty to report on that impact.

The year started well with the clubhouse completed and a well-attended gala opening function. We were able to draw a line under the completion byreaching a mutually acceptable settlement with the builders on outstanding contractualissues.

Only the asbestos liability issue between us and the consultants remains open. Our lawyers have lodged a claim.Iwouldsimplyremindmembersthattheclaimrelatesonlytodamagetotheclubcausedbythefailure to detect friable asbestos in a timely way. We cannot recover the cost of the asbestos removal itself, some $670K, which was always going to be our responsibility.

In early 2020, the course was in great condition, and members were making full use of the excellent new facilities,andexternalbookingsstartedgraduallytorecover.Thepandemicthenhit,withexternalgolfevents goneandtheclubhouseclosedandnotre-openinguntilJune1st.Fortunately,contrarytoearlierindications, we were able to continue golfing.

From March into June 2020, we suspended Board and Committee operations and went to a “war” footing. The General Manager, in consultation with the President, was authorised to take whatever COVID related decisionswerenecessaryinrunningtheClub.InJunewewereabletomoveawayfrom thisunprecedented step and greater stability allowed us to resume normal operations. Re-emergence of the pandemic, especially in and from Victoria, again threatened to constrain operations from mid July.

Onthecourse,thankstoagreateffortbyourcoursestaff,thebunkerrefurbishmentprogramwascompleted (only 16A to go) before the due October target. It has markedly improved the playability of all our bunkers. Trialling of creeping bent grasses Pure Distinction and Crystal Blue Links is well underway, with the 3rd green and 16A (sadly partially only) re-turfing now done. Next year we will be in a position to re-turf an additional green, most likely the 8th, with Crystal Blue Links, a similar bent strain with slightly better salinity andshadetolerance,andlikelylower maintenanceneeds.This willfacilitate athoroughon-sitecomparison of the two strains, leaving the remaining 16 greens poa pending a complete rebuild, when a final decision on the best choice (it might even be poa!) can be made.

The Board has continued to review the planned capital expenditure program over the next 3-5 years. Provided our financial position continues on its current trajectory, we may well be able to fund a significant part of that program from our own resources, with the remainder funded through the PHGC Foundation.

During the year we maintained contact with the Gary Player organisation with a view to commissioning a concept plan for aredesign andrebuild of our green complexes (greens,bunkers and surrounds), and also to investigate the feasibility of reconfiguring holes 1, 2, 3 and possibly 5 to reduce the balls out of bounds risks. Our greens are very old, inadequately drained, and subject to disease. Re-building them, and the allied work on the bunkers and surrounds, is vital for the longer term viability and competitiveness of our Club.Theredesignandrebuild,especiallyof thesub-surfacestructures and drainage, is the criticalaspect,

more so even than the grass selection. The engagement with the Player Group was finalised in July, and subject to easing of international travel restrictions, the schedule is to have the concept plan completed in Autumn 2021. A member consultation phase will then follow.

The Tunnel water project remains a watching brief, with close relations developed with NorthConnex and Transurban. The volume of tunnel water flows will become clear in 2021/22. We can then make a call on the viability or otherwise of proceeding.

With the help of Phil Stanton we are close to finalising a concept design for the Ex Service security gates for assessment.

We now have a very marketable product in the form of a great new clubhouse, an excellent and improving golf course (with more to come), and most of all a great Club. Our major issue, along with some but not all major metropolitan clubs, continues to be our falling membership numbers. This has been a consistent refraininMemberUpdatesthroughoutthe year.Ouroldmodelofrelyingonmemberintroductionstosource new members is not driving new member numbers sufficiently, and efforts to advertise using social media and other media have been slowto take effect.

Although our subscription incomeincreased to $2.9m this year from $2.7m last year, our member numbers havebeenfallingtoofarandtoofastforanydegreeofcomplacency.Demandfornewmembershipsatleast showed a steadilyrising trend in the last few months of the year, which has continued. Our TryBefore You Join initiative seems to be biting and yielded 27 new memberships to 30 June. Details are in Membership Chair Michael Rowan’s report.

In August we announced introduction from 1 October 2020 of a Limited Playing category with greater golf access rights, available to existing 2 Day members, and those who have gone to Deferred or Social, or resigned, inrecent years. Initial pricing is around70% of 7Daymembership. 2Daymembership willnot be offered from 1 April 2021. At that time the new Limited Playing category will also be opened to current members of allcategories. The total number of members in the newcategoryis capped.

We have seen consistent improvement in our hospitality standards throughout the period. We now have a standard of excellence not achieved by many golf clubs, and Barnaby and his team have worked closely with House under Chair Margie Dearlove to make the Club a hive of activity.

During the year we lost Life Member Mollie Sutherland. Mollie made a great contribution to women’s golf, both here andonthe broader level, and will befondlyremembered.Fuller details are set out in subsequent sections of this AnnualReport.

I very much regret that I will not be standing as President again in October, and will step down from my second stint in the role at the AGM.

Unfortunately, Treasurer David Leach is in the same position and is also stepping down. David has been an outstanding Treasurer and colleague, and he will be missed. His eagle eye has ensured we have been able to keep our finger on the pulse and maintain very tight control on costs, and also manage our facilities with our bankers very effectively. We are fortunate to have had such a strong finance function with Craig, Barnaby and David as Treasurer, and that has made my job so much easier. David’s broader policy input has also been invaluable. So, thank you David.

Therearesomeother individuals whoI would liketo thank for theirgreat contributions to theClub andtheir personal support during myterm of office.

ShortlyaftermyreturnasPresidenttheClubneededtofindanewGeneralManager.Wewereveryfortunate tobeabletopriseBarnabySumnerlooseandhewasabletojoinusalmostimmediately.ThankyouBarnaby for the outstanding job you have done and continue to do in controlling costs, driving activity and building teamwork for the Club. The entire team under Barnaby’s control has performed extremely well. They are thanked individually in the various Committee Chair reports, so I will not repeat that here.

ThisClubisfortunatetohaveanumberofmemberswhovolunteertheirtimeandexpertisegenerously,and I have mentioned a number of them in earlier reports. Throughout the clubhouse re-build and its aftermath, andinprojectssince,RobStevensoninparticularhasbeenasignificantbenefactortotheClub.Hisongoing contribution is greatly appreciated.

Thank you also to retiring directors Margie Dearlove and Greg Winters. Margie’s energy and organising ability has been invaluable in her role as Chair of House. The excellent Gresham tribute event, amongst others, showcased her talents.

My thanks to Captain Chris Pragnell for his consistent support and good humour during myterm of office.

Thank you also to Ladies’ President Judy Trickett and Ladies’ Captain Sally Moffatt for their co-operation.

The Club has significant challenges ahead, but we are now well placed to meet them.Wehave identified the measures we need to take and driven execution of our strategy hard. The projects to get us there are being activelymanaged.

It has been a privilege to serve again as your President, and I thank members for their support during my tenure. I wish incoming President MichaelRowan, continuing Captain Chris Pragnell, and the new Board everysuccess.

SteveWalker President

TREASURER’S REPORT

Summary

In the year ended 30 June 2020 the Club recorded a Surplus attributable to Members of $348,497* compared to a Deficit in the previous year, excluding Clubhouse Upgrade Levy, of $402,546.

TotalRevenue for the year was $6.597 million*(previous year 5.638million) andTotal Costs and Expenses were $6.268 million (previous year $6.008 million).

* Both the Surplus and Total Revenue include Government Grants (COVID 19 Stimulus) of $443,063.

Major

Developments during the year

The year was marked by two key events. Firstly, in July 2019 the Club became fully open for business for the first time in 18 months following completion of the Clubhouse Project and secondly, from March 2020 onwards the Club had to cope with the emergence of the COVID-19 pandemic.

The Club had a mere 8 months in which to rebuild the business in the new Clubhouse before effectively closing to all external events yet again.

The financial results in more detail

It is clear from the above that yet again the year ended 30 June 2020 was, as was the case in the previous year, not a representative year. It was not a representative year in a business sense and it was not a comparable year in a financial or accounting sense. A number of unusual items make it difficult to provide a meaningful comparison between the two years. The important message to convey is that in very difficult circumstancestheClubendedtheyearinamuchbetterpositionthanitstartedtheyear. TheClubabsorbed both the burden of financing the largest project in the Club’s history and the unique circumstances of a completely unforeseen pandemic – all in the space of twelve months.

The table below provides comparative information which members mayfind of interest.

Refer next page for change in accounting standard treatment

The Accounts reflect the adoption of new Accounting Standards as set out below.

Accounting treatment of Entrance Fees (AASB 1058 and AASB 15)

Entrancefees paid bymembers joiningthe Club have historicallybeen taken to profitinthe year of receipt. The new revenue recognition standards require entrance fees to be spread over the life of membership. This requires theClub to determinethe average years ofmembership; this has beenassessed at 10 years.

The impact on the Income Statement for the year ended 30 June 2020 has been to increase reported Entrance Fee income by $42.5K. In broad terms this credit arises from the fact that more members left the Club than joined during the year and that a high proportion of those who left had been members for less than 10 years.

The Balance Sheet also reflects significant changes to Retained Earnings and Deferred Income (Note 10 to the Accounts) flowing from the adoption of these Accounting Standards.

Accounting treatment of leases (AASB 16)

This new Lease Standard requires all leases, including operating leases, where ownership is retained by the lessor (in PHGC’s case the golf carts and items such as printers) and the monthly lease cost is treated as an expense, to be treated in the Accounts as Finance Leases.

All PHGC’s financed course equipment is under finance leases where, unlike operating leases, the assets are the Club’s property and are retained by the Club at the end of the lease; these assets are depreciated and the cost of financing is paid off monthly over the life of the lease.

The impact on reported results of this change in treatment is insignificant.

Revenue from Members Subscriptions

Member subscriptions provided gross revenue of $2.892 million, an increase of $170,000 on the previous year.

Revenue from Golf and Professional Shop Services

Revenuefrom Golf andProfessional Shopservices was $908,050 compared with $925,878 in theprevious year. These revenues comprise all golf playing fees, cart hire, golf lessons and equipment storage. This is acreditableperformanceinthe light of the pandemicseverelyaffecting visitorandcorporatefeesinthe last quarter.

Bar and Catering

The table below provides a good example of how both revenue and profitability from Bar and Catering activities have improved substantiallyin the space of a year, despite the pandemic setback.

Revenue is well up, the trading margin is substantially up and a net surplus has been delivered compared to a deficit in the prior year.

Expenditure

Total expenditure increased from $4,962K to $5,218K (5.15%), year on year. This increase is wholly attributable to two non-cash items, namely; a higher charge for depreciation ($207K) primarily relating to newClubhousefixturesandfittings,andalarger assetwritedown($52K).Theassetwritedownarisesfrom the carrying cost of earlier expenditure on a course redesign being regarded as redundant in the light of an alternative source being pursued for a revised design solution. Adjusting for these two items, there was a smalldecrease in annual expenditure as shown in the table below.

Expenditurenetofdepreciationandassetwrite down

Whilst expenses have been stringently controlled throughout the year and throughout the business it is worth highlighting the reduction in course expenses which reduced by 5.2%, year on year (11% after adjusting for the $114K in bunker renovation costs which were covered bythe course development funds).

Itisalsoworthnotingthattheinterestchargewashigherduetohigheraverageborrowingsoffsetbyalower interest rate, and insurance premiums were also substantially higher.

Cash flow from operations

Net cash flow from operations, being the net surplus for the year adjusted for non-cash items (mainly depreciation) was $973,559 compared with $1,060,893 in the prior year which included the capital levy of $727,102. The final payments on the Clubhouse project were made during the year, these amounted $736,899.

Balance Sheet

Bank borrowings at 30 June 2020 were $1.9 million, $100K less than the previous year end. The NAB facilityreduced from $3.85 million to $3.6 million in April 2020 and this will reduce further to $2.35 million over the next two years to June 2022, as planned, when the facility will expire.

Course Development Fund

The Course Development Fund which was initiated during the prior year had provided a cumulative $124K by 30 June 2020. These funds have been well utilised in the bunker refurbishment program which will be complete byOctober 2020.

Conclusion

In conclusion I would again like to thank Craig Usher, Finance Manager for his unstinting contribution and prodigious work ethic. I also wish to thank all the members of the Finance & Planning Committee for their support and patience during another difficult year.

Having given the matter much thought, I believe it is nowtime for a younger person to take on the role of Treasurer and therefore I will be stepping down at the AGM. I thank alldirectors with whom I have served over the past two years for their considerable support and I particularly thank Steve Walker, President for the faith which he has shown in me throughout.

David Leach HonoraryTreasurer

CAPTAIN’S REPORT

Three Hundred and Eight Seven (387) days after the 2019 Saturday afternoon storm damaged the bridge over the 10th carry, we were able to access the fairway in the normal manner. Eighty-five (85) days later our Club was forced to close.

To say that the last 12 months have been thrown into disorder in terms of golf is putting it mildly. Yet due to an outstanding effort by a strong management group, the disruption has been kept to a minimum. Well done to them.

Rather than reviewing the past 12 months from a course perspective we will focus on the broad plan for next year.

Course improvement is the drive of the Course and Playing Committee. Subject naturally to budgetary constraints, the weather and COVID-19 the focus will be:

 Continue the refurbishment of the fairwaybunkers. Completed bythe October long weekend.

 Re-turf thethird(3rd) greenwith‟PureDistinction”anA1/A4 bentgrassderivative,from theGreens Nursery.

 Re-turf bare patches on holes 10-18. Bare areas will become an annual focus and holes 1-9 will be re-examined for attention

 Resurface black rubber toping, behind the first tee from roughly the flagpole to the old Proshop.

 Drain the Green Nursery(12th carry

 Sand Groove over the existing Ag lines on fairways:

o 1st green end

o 3rd tee end

o 5th green end

o 12th green end

o 13th middle left

o 15th tee end

o 16th green end

o 17th green end

 Install drainage lines on the following fairways:

o 2nd right side midpoint

o 3rd left side green end

o 4th the carry

o 6th rear of green

o 11th mounds

o 12th green end

o 13th left side midpoint 16th the carry

 Mulch right side of 3rd fairway from short rough to fence line.

Course presentation is vital. With 93 acres to tend, it is near impossible for our 11 green staff to be on top of every aspect. On behalf of all PHGC golfers our thanks to all the girls and boys who give so unselfishly of their time to assist with the course presentation.

Lesley’s Gardening Ladies are: Helen Sugden, Lucie Gabb, Margie Dearlove, Judy Einberg, Tina Lee, Adriana d’Orazio, Chrissie Grier, Lyn Stanton, Sue Fabian, Joan Eyles, Gail Holsgrove, CaroleWhitehouse, Judith Grant, Simone Lester, Ann de Carvalho, Maggie Rowe and Alison O’Sullivan.

WintersWorkingWarriors are: Peter Cook, Ron Fellows, Vasco de Carvalho, Alun Roberts, Gordon Herriot, Scott Cooper, Peter Barber, CyrilDenny, Stuart Dickson, Clas Einberg, PaulMurphy, Tim Whitney, Mick Kevin, David Leach, Garrett Dwyer, Eugene O’Reilly, Bob Wilton, John Wotton and Lionel Jackson.

Individually and collectively your ‟blood is worth bottling”.

Asyourrepresentativeformattersconcerning‟grassandsand”,myrolewouldbeextremelydifficultwithout a strong working relationship with the Superintendent, Richard Kirkby. Not only is he skilled in personnel management, agronomy and horticulture, he still maintains, after 26 years, an intense zeal to ensure our course is exhibited and developed to the highest standard. To you Richard, 2IC Shaun Bowden and your entire team, please accept our gratitude for 93 acres of playing and visual pleasure.

I wish to thank our golf shop team for their effort and support to members over the past 12 months. Effectively and seamlessly led by Director of Golf, Neil Rolfe. The enthusiasm and competence demonstrated by all his team makes visiting the shop a golfer’s delight. To Andrew Potter, my thanks for your diligence and administrative ability. You are the Club’s ‟Radar O’Reilly” and seem to anticipate what needs to be done before anyone else (me) has even considered the question.

ItisdifficulttounderstatethewonderfuljobRachelBaileydoesfortheClub. Herabilitytoimpartthegolfing skills she has developed to her students is quite special. Additionally, she runs a Junior Program, which not surprisingly, has a healthy waiting list. Rachel is now joined by Liam Sheils who is developing his own loyal bandofsupporters. It would beinterestingtoknowhowmanyoftheir studentshavebeenannounced as winners at either Saturday or Wednesdaypresentations.

To Andy, Jared, Olivia, Max and Keith you make the playing of golf at our Club so muchmore enjoyable.

There are four veryspecial members who tirelesslygive of themselves year after year. Chris Allen, whose amazing knowledge of anything golf, can’t be underestimated. David Cunneen who assists whenever asked, at no small cost to himself. Cyril Denny, who is the first to volunteer when help is requested. Rob Stevenson, who just gets it done when it’s needed to be done, again at rather a large personal cost. To each of you we are in your debt and I hope our gratitude for your support to the Club, is in some way compensation for your extremelygenerous contribution.

The Club’s HistoryGroup, Ron Harper, AnnCrisp,JohnWallandBruceJones deservea specialthank you for the production of the ‟Then and Now“ part of the ‟living history” series. The information the group has gathered over the years has enabled Bruce Jones to weave his production magic. They are a dedicated team who work tirelesslyto preserve our Club’s history then bring it to life for all to enjoy.

Five teams (mostly men but some ladies) were selected in Senior representative golf this season. I will leave comments regarding Ladies representative golf to our LadyCaptain, Sally Moffatt.

 Major Pennants

 Masters Pennants

 PACK Cup

 PACK Plate

 Mixed Pennants

MAJOR PENNANTS 2020

(PACK is – PHGC-Pymble – Avondale - Concord – Killara)

Andy Richards (captain) David Bailey, Matthew Davidson, Jared Dries, Murray Fogarty, Mitch Gerdes, Damian Maguire, Hamish Murray, Grant Naylor and Gabriel Ormaechea. The team is currently preparing for their relegation match against Pymble to be played at Home on 6th September and Awayon 20th September. The Club wishes the team everysuccess.

MASTERS PENNANTS 2020

The Masters Pennants competition was an unfortunate COVID-19 casualty, without any play possible.

PACK Cup 2020

David Blackshaw, David Edward, Kell Ferguson, Hugh Gerdes, NeilGordon, Ross Howarth, Damian Maguire, Rob Stevenson, Jon Underwood and Tim Whitney.

The rebuilding of the team continues. The highlight of the season was Rob Stevenson being undefeated.

PACK Plate 2020

AlexBennie,DarcyCluff,VascodeCarvalho,JoeD’Andreti,GrahamDawson(captain–undefeated),Terry Gilchrist, Andrew Mowat, Sebastian Trouncer, Keith Thornton and Greg Winters. Congratulations to the team.Theywon the coveted Plate, undefeated.

Mixed Pennants 2020

27members representedthe Clubin this popular handicap matchplaycompetition. Whilst unable toreach the heights of 2019, theydid manage a 3rd in their division.

Junior Golf

Wehad teams in Junior Pennants, Encourage Shield and MyGolf Junior League. These competitions are a sound preparation for higher level golf and a successful season was enjoyed by each of the teams

The MGJL team defeated Cumberland in the inaugural interclub. On the Club’s behalf, please accept our warmest congratulations.

Special Thanks

GregWinters - Manager Major Pennants

Chris Allen – Manager PACK Cup

Keith Thornton & Graham Dawson – Manager/Captain PACK Plate

Neil Gordon - Manager Mixed Pennants

David Murray– Manager Junior Pennants

Peter Sherry– Manager Encourage Shield

MurrayFogarty– Manager MyGolf Junior League You each deserve our gratitude and you have it.

This report is repaired as at 30/06/2020. We are in the winter months and it is wet. Not ideal golfing conditions, yet perfect for slowplay.

I wish to draw to your attention the important and often difficult issue, Pace of Play. I quote from a report presented byDr. Vasco de Carvalho:

‟the impact of slow play is not unique to our Club and the experience of others demonstrates clearly how hard this issue is to address meaningfully. Ultimately, we all play to enjoy the experience and feeling unfairly rushed or harassed detracts from our enjoyment. However, golf is played in the context that other golfers are trying to also have a good time and the culture that should be at the forefront is respect for the game and the course in the context of having individual responsibilities and consideration for others in the field.”

What a wonderfullyinsightful piece.

Mygratitudetocolleagues Sue Fabian, SallyMoffatt, ClaytonRowston,SteveWalkerandGregWintersfor theirinputandguidanceovertheyear.Thanksmostimportantlytoyouthemembersfor yourfriendshipand ongoing support.

Chris Pragnell Captain

Event Winner

ClubChampion

AndrewRichards

AReserveChampion DavidGarnsey

BGradeChampion PaulJackson

CGradeChampion RalphWaters

SeniorChampion GregWilson

JuniorChampion

PennantHillsCup

FoursomesChampionship

AEMarksCup

President’sCup

Captain’sCup

AYGreshamCup

EJHydeCup

WinterCup

SpringCup

SummerCup

AutumnCup

Founder’sPlate

MixedFourballKnockout

GoldButton

60andOver

LeftHander’sCup

SepJohnston(February)Eclectic

MatthewDavidson

JoelWheatley–CastleHillCountryClub

HamishMurray&AndrewRichards

AndrewMills&DavidSefton

AndrewMunro

ScottBailey

RossHowarth

ShahirMikhael

JamesAntonenas

AngusStapleton

DamianMaguire

AndrewRichards

JohnEldridge

HannahSneath&JoeChehade

CraigJack

IanRitchie

PaulWatts

JohnDavies

AugustEclectic(Wednesday) BruceEbert

VicKendallTyroTrophy

LachlanCorbett

HOUSE REPORT

The major event that has occurred since the last House report was the opening of the whole clubhouse to themembers.Itisajoytowalkintothefresh,new,spacioussurroundings,tastefullydecoratedwithmodern, comfortable furnishings.

Theverandaharea, inparticular,hasprovedtobeextremelypopular,andmembershaveenjoyedavariety of events in that setting from intimate dinners to après-golf drinks while listening to some beautiful music and watching a spectacular sunset.

The re-opening brought with it new demands on our hospitality staff. Collectively, we are discerning customers so they were asked to create innovative offerings from a humble sandwich to a pizza and pasta night graduating to a 3-course specialty dinner for 300 people or a 10-course degustation menu with matching wines. No matter the type of offering, the service levels were aimedat being first class. Theteam has achieved very high success rates on all levels and we thank them all for their courteous, friendly and diligent attention to detail.

We now have a lovely venue which is easily adaptable to many different types of events. Nicole Tanner is busyre-connecting with outside organisations who have previouslytaken advantage of our facilities. It is in our interest to grow a healthy income stream from “outside” functions especially as our enjoyment of our club by members will no longer be disturbed by visitors also enjoying our facilities. The ambience of the Founder’s Bar adjoining the Beecroft Room with an outlook onto the course is second to none.

Not only is the interior of our Club very stylish, the new gardens and signage surrounding the building are superb. We must thank Rod Fletcher for his creativity especially with his skill with sandstone and the development of the gardens around the building. Our thanks are also due to Rob Stevenson and David Cunneen for their contribution to various areas of construction and printing of honour boards and other signage. I must also draw attention to our ever-willing members who regularly participate in gardening working bees and other voluntary capacities. We are indeed fortunate to have such generous people amongst our membership.

Weareprogressing with plans tocompletethe displayof honour boards andsignificant historicalitems and memorabilia and here I must thank Ron Harper, Ann Crisp, John Wall and Bruce Jones for their tireless care and protection of our historical records. In particular, Bruce has produced some very interesting YouTube presentations of different aspects of our Club’s history. You are encouraged to view them if you haven’t already done so. Thank you Bruce for your service to our community.

During the year, we have seen some significant social events which have been hugely successful. These have ranged from golf competitions combined with a social event such as the Augusta Master’s Morning, ClubSaturdayandtheNagger’sCuptoanalwayspopularTriviaNight,anelegantdinnerdancetocelebrate ournewclubhouseandfamilyeventssuchasourfamilydaywithgamesandourchildren’sChristmasparty. These events have been well supported by our members and their families and we will continue to offer a varietyof functions so that allof our members willhavethe opportunityto enjoysomething which suits their particular interest.

The House committee has been very fortunate to work with our Hospitality Manager, Kristen Ramirez. Kristen brings her creativity and enormous energy to every occasion as well as her quiet and careful direction to her staff to ensure the success of everyfunction.

Our thanks also to our General Manager, Barnaby Sumner, who motivates and unites his team to achieve the best results possible. We are indeed fortunate to have excellent staff who allow us to gain the greatest joyfrom being a member of Pennant Hills Golf Club.

My thanks to my fellow Committee members, Greg Winters, Graeme Martin and Judy Trickett for their willingnesstogiveof theirtime,creativityandexpertisetoourclub. SpecialthanksmustgotoSteveWalker and BarnabySumner who have guided the club through a particularlychallenging year.

Margie Dearlove Chairperson, House Committee

MEMBERSHIP REPORT

In Feb of this year the Board chose to increase subscriptions under the April 2019 membership restructure of between 6.2% and 8.3%. In addition, as is the practice in some of our peer clubs, it was decided to charge the Golf NSW affiliation fee directly to member accounts in July. These changes were announced in the President’s Update in Feb when COVID-19 was on the horizon but before the bewildering and catastrophic effects of the pandemic were widely known or comprehended.

The extent of the public health and economic costs of COVID-19 were much better understood and realised when subscription notices including increased house levy invoices became due on 31 March 2020. Despite the climate of uncertainty and community apprehension that existed, members responded magnificently and we were able to meet our budgeted membership revenue target. This reflects the strength of our membership and the value they place on belonging to Pennant Hills Golf Club.

Nevertheless, there were some members who faced difficult personal decisions and who finding themselves in unfamiliar circumstances chose either not to renew or to transfer from an active golf membership category to an inactive category by deferring their membership for the current year. The Committee were concerned that perhaps the narrow course access rights of 2 Day membership and the absence of any other golfing option being offered other than Full Membership might be, in part at least, responsible for attrition of some 2 Day golfers. Similarly, the cap on 6 Day may have influenced decisions made by both 6 Day and Full Members.

The Committee examined a number of possible options, undertook some extensive research and conferred with the full Board before running a workshop in search of the most effective and appropriate response. As announced in the recent President’s update, the Board later approved the introduction of a Limited Playing Category providing rights to competition play on Tuesday, Friday and Sunday as well as Monday public holidays together with rights to social golf on other days of the week. It is necessary to place a cap on Limited Playing in order to assure sufficient tee times for Full, 6 Day and Flex members wishing to play on Sundays and Fridays. The Board will regularly review this cap. 2 Day membership will not be offered in 2021/22.

Initially the Committee will make contact offering Limited Playing membership to those members who transferred to inactive categories or resigned their membership in the early stages of the COVID-19 pandemic. Subject to the cap, Limited Playing will then be available to all members in the 2021/22 membership year.

Subscription revenue is price times volume, without volume growth the price component comes under undue pressure. Pleasingly, recruiting activity has been strong, particularly in the latter two months of the year when 27 new members were welcomed to various active golf memberships.

The club has been conducting three recruiting programs that are providing a steady stream of enquiries that are converting to membership. The “Get Started” program” at a cost of $440 is an introduction to golf where participants are taught the fundamentals over an 8-week period. It is a memorable introduction to the game and under the guidance of our experienced PGA Professional coaches it develops skills and builds the confidence required to embark on a golfing future. The Club appreciates the energy and drive of the Pro Shop in managing the program, in particular Neil, Rachel and Liam. The Get Started program is followed by a “Get Started Plus” where those who are keen to get out on the course are assisted by members who accompany them on to fairways to help develop game skills and understand the protocols of playing golf. A fee of $350 is charged for this course.

Once participants have completed the Get Started and Get Started Plus programs, they are eligible to apply for membership. They, and others who are more experienced golfers and who may not be part of the introductory programs, are offered the option of “Temporary Flexible Membership”. This allows them to ease themselves in to competitive golf and to understand the rhythm at our club. This form of membership is only available for a 12-month period; the subscription fee equal to a Flexible member with a green fee of $35 applicable to each round that is played. After that, the golfer must join as a Full, 6 Day or Limited Playing member in accordance with the policies prevailing at the time. The more experienced golfers tend to immediately elect to enter the club as Full members.

In the latter half of the year new members met with representatives of the Membership Committee in the traditional induction format and along with their sponsor, were invited to dine at the Bistro for dinner. This

has provedtobe an effectivewayof newmembers tomeet eachother andappreciate thesocialoffering of our club.

MEMBERSHIP CATEGORY STATISTICS

Sadly, we lost a number of members who passed away during the year; we miss them and celebrate their contribution to the club.

Christine Dean

Ying Feng

Eva Flowers

Keith Hayes

BettyHughes

Brenda Kennedy

Glenn Langton

Denis Lickley

Margaret Roy

Mollie Sutherland (Life Member)

Warwick Watkins

JanWhitford

DianaWinch

Whilst we celebrate and appreciate the contribution made by all our departed members, we are especially movedtomakesingularmentionofourLifeMember,MollieSutherland.Inotethatshereceivesspecialand deservedmentioninthe LadyMember’s Report. Toexpandonthata little, sheis one of the truelegends of our club. Her energetic sponsorship of Ladies golf at Pennant Hills, NSW and the National level is quite remarkable. She was also a keen bridge player and enthusiastic participant in the famous Christmas concerts, as well as a generous contributor to the Kendall Binns Fund.

Mollie joined our club in 1959 and served on the Ladies Committee from 1964 to 1976 including terms as Secretary1968, Captain 1971-2 and President 1973-76.

She was active within the NSW Ladies Golf Union where she was the Honorary Treasurer in 1970, State Selector in 1978 and served as both Vice-President and President in 1980 before her appointment as the NSW State delegate to the Australian Ladies Golf Union.

Inrecognitionofher energiesandworkMolliewaselectedasthefirstLadyLifeMemberofourclubin1988. In2001MolliewasawardedtheAustralianSportsMedalaspartoftheAustralianHonoursListinrecognition of her contribution toWomen’s golf.

Mollie and her husband Jim initiated the Mixed Fourball Knockout at PHGC in 1966, they donated and presented the trophy until Jim’s passing in 1998, Mollie continued to donate the trophy until 2016. Mollie and Jim were influential in establishing strong ties with Royal Canberra through inauguration of the Sutherland Trophy, an annual event between both clubs from 1983 to 2000.

Michael Rowan Chairperson, Membership

LADY MEMBERS’ REPORT

All activities for 2019-2020 are detailed in the Ladies Annual Report.

Ladies Committee for 2019 - 2020

President:

Captain:

Secretary:

JudyTrickett

SallyMoffatt

Janet Shand

Competition Manager: SallyGooley

General Committee:

Jenny Harvey

Annie Eldridge

SusieWales

Ann Elsley

Pennant Hills Golf Club has experienced another year of significant change and challenges. The opening of the newly renovated areas of the clubhouse has enabled the Ladies committee to relocate from the previous temporary accommodation and utilise the club boardroom for our meetings and weekly administrative and planning activities.

TheadventoftheCovid-19pandemichasimpactedusallandcreatedmajordisruptiontocommunitysocial and economic activities, however the superior management by our Board and administrative personnel at a local club level has meant that the changes to our club have been minimal. Our thanks are extended to theBoardandallthoseintheClub’sadministrativeareasfortheirpromptaccessofallavailablegovernment financial supports. Although the government imposed Covid-19 restrictions have limited many competition and interclub activities, weekly club golf has continued to be a relief from lockdown and isolation and has providedourmemberswithmuchneededexerciseand socialinteractioninasafeandsecureenvironment.

As well as the major golfing trophyevents that are held each year, the ladies run a number of competitions to encourage participation and enjoyment. The ladies have continued to support these

competitions and always enjoythe camaraderie of a team event. Some of these events are the Annual Fundraiser day, the High Tee Classic, Green Dayand Beanie Day. We have been lucky that the High Tee Classic and Green Day were held just before lockdown restrictions came into place in late March 2020. The Veteran’s Visitor’s Day was held in 2019 but we were unable to hold our annual Visitor’s Day in June 2020.

Due to Covid-19, 2020 has been an unusual year where some of our regular events have not been able to take place. Golf NSW cancelled the Medal rounds and the Ambrose event earlier in the year. They then stated that both events could be played but the Ladies Committee decided to not play them in 2020 with only 2 medal rounds to play and the Ambrose event scheduled for June. One of our Board events, the Singles Knockout was not completed in 2020 as we play this event during the months of May/June. The Lexus of Parramatta Cup has continued throughout Corvid and we will be once again sending a team to the final against Castle Hill and Oatlands in October.

The Ladies Championships Finals Day was held in September in 2019. It was a beautiful dayand many ladies enjoyed watching the match after playing in the morning. The match went to 37 holes so it was quite late by the time we were able to celebrate with our winners. Regardless, manyspectators stayed to enjoy the high tea and bubbles.

The Mystery Day was held at Riverside Oaks in 2019. Whilst the Pennant Hills greens are being renovated a bus load of ladies travel to a mystery destination for golf and lunch. Thank you to Jenny Harveyand Janet Shand for organising another successful day. This year our annual Autumn greens renovation trip was at Nelson Bay for two days of golf and two nights of fun and frivolity. Manyladies have been heard saying it was our best trip ever. Thank you to JennyHarveyand Sandra Murphy for organising it.

The Junior Development Program under the direction of our Teaching Professional, RachelBaileyhas been going from strength to strength. The Junior Program includes 21 boys and 19 girls from the ages 615. Rachel’s popularity and expertise has become so well known that next term this group is increasing to 50 with manyjuniors coming from other clubs. Some of the events theycompete in are the Encourage Shield, Junior Pennants, Tyro, MyGolf Junior League, Interclubs and Teens v Tweens. Special mention to Olivia Kerr and Hamish Murray, who have worked with Rachel. Olivia has accepted a Scholarship to Western Illinois University and will compete for the universityas soon as she is allowed to travel. Hamish represented Jack Newton Golf in a tournament in Canada last year. Congratulations to these two members and we look forward to following their future in golf. We would like to thank the wonderful volunteers who help Rachel with her coaching sessions everySunday- Nicki and Chris Howlett, Greg Winters, Andrew Lam, Peter and Anne Edwards and Kirk Dailly. Thank you to Rachel for the enthusiasm and dedication she continues to display with this program.

Rachel’s annual trip away was to go to NewZealand earlier this year. Due to travel restrictions this has had to be postponed and will take place in 2021.

The Pennant Hills ladies compete in the Northern Districts Pennant competitions each year and it has been verydisappointing for them to not be able to play this year. The Silver II team completed most of their matches and the Bronze II team played one match before all Pennant competitions were cancelled for the year due to Covid-19. Rachel Baileyconducted her on-course training for these 2 teams and these ladies once again found these sessions invaluable. Our Pennant Hills ladies will be looking forward to the 2021 season.

Our 2020 Grade team consists of Olivia Kerr, Hannah Sneath, Mimi Elina, Monique Herman De Groot, Anne Eldridge and Mary-Jo Usher. The Grade team played 4 matches before Golf NSW suspended the competition. They will resume in August and we wish them good luck for the remainder of their matches. Wehad Interclub Competition days scheduled against Castle Hill, Oatlands and Avondale in 2020. Unfortunately, our contests against Castle Hill and Oatlands were cancelled but we are hoping to playthe Interclub against Avondale in August.

Wewould like to thank the following people for refereeing on the Championship Day – Moya Shephard, Sue Fabian, Chris Allen, Neil Rolfe and Joan Eyles. Thank you to TonyGresham for once again starting our ladies on this special day. Sue Fabian has given up manydays of golf to referee our finals (rain, hail and shine) so a big thank you to her. She has also continued to support the ladies in their understanding of the golf rules.

The Pro-shop under the leadership of Neil Rolfe provides a valuable service to the ladies and it is appreciated. The members can now enjoya coffee whilst shopping for much needed golf attire. The expertise and encouragement shown byNeil, Rachel and Liam Sheils is invaluable. The game improvement days have continued to be popular as well as private lessons with our golf professionals. Thank you to Keith Smith for starting the ladies during 2019 and early2020. Thank you to Jarrod and Max for all you do for the ladies. A big thank you to AndrewPotter who has continued to be our ‘go to’ person for event and competition information. We cannot thank you enough for your help this year. Neil has also been overseeing the Getting Started golf program to attract newlady members to our club. To date this year the program has converted five ladies from the program to a membership status. Many thanks to Sandra Murphy who has organised a band of volunteers to support these new members as they commence playing the course and integrate into club life and culture.

Major TrophyWinners for 2019-20

Club Champion 2019:

Mary-Jo Usher

Bronze I Champion 2019: Coral Lawrence

Bronze II Champion 2019: Marlene Ratcliffe

Pennant Hills Cup 2019: Grace Kim (Avondale)

Pennant Hills Bronze Salver 2019: Margie Dearlove

President’s Cup 2020: Naseem Chopra

Captain’s Cup 2020: Singles Knockout 2020: Not Played

Four Ball Knockout 2020: Amanda Tucker and Hannah Sneath Foursomes Championship 2020:

Bronze I Foursomes 2020: Bronze II Foursomes 2020:

The past year we have been operating without a volunteer Social Committee, and the club’s social events have been very ably coordinated by Kristen Ramirez. Although events and member gatherings have been limited by the Covid lockdowns, the Bistro 232 and fine dining options have been well supported by members. Two Trivia Nights, additional Bistro evenings and a dedicated Young Member’s night are now planned for July, since restrictions have been relaxed.

The ladies Annual Christmas Dinner will again take place in November, its rightful place on the Pennant Hills calendar.TrishJohnsonand Lisa Hamer delivered their sensationalfinal show in 2019,after giving us twelve years of fun and frivolity. I’m sure they will enjoy being part of the audience in future years. A big thank you to everyone else involved in the production along with the very talented cast. Lee Thomas and Rosemary Artlett have agreed to take over the organisation of the 2020 Concert and I’m sure will provide us with another wonderful evening of talent and laughs in equal measure.

Bridge is an important social activity for many of our members particularly those who are no longer out on thecourse. Theladiesplaymostdaysandenjoythechallengeofthegameaswellasthefriendshipswhich aresustainedthrough this interaction.We do appreciate the work of Sue Rogge andCarolyn Brereton who coordinate the Tuesday Ladies Bridge Group which is always well attended. Thank you also to Sally Tribe and FaySelig who organisethemonthlyFridayBridge Day which is not just for the ladies and KayBrunner who organises the bridge Interclubs.

Thank you to Marlene Ratcliffe and Adriana D’Orazio for coordinating the ladies flower roster. To all the ladies who are on this roster thank you for your work, which brightens and beautifies the club. The new locker room has necessitated a change in presentation but the flower roster team has managed this beautifully. Adrienne Gorme continues to do a wonderful job maintaining our library in the Ladies locker room, which is utilised by many of the lady members. At the suggestion of Lesley Roberts, the library has now been expanded to include jigsaw puzzles. Thanks to Peter Trickett for his time in putting together the bookcase required to accommodate the puzzles and additional books. Our thanks to Joan Eyles and Lyn Stantonforlookingafter theweeklyPilatessessionattheclub.ItisapopularactivityonTuesdaymornings.

The archive/history team of Ann Crisp, Ron Harper and John Wall continue their important work in the old proshop. Thehistorygroupmaintaincriticalrecordsrelatingtotheeventsandpeoplewhohavecontributed totheoperationsofourgolfclub.Manymembersarepossiblyunawareoftheworktheydo,buttheirprompt response to spurious requests for information about the activities of Pennant Hills Golf Club over the last ninety-sevenyearsaregreatlyappreciated.ThanksalsotoBruceJonesfordigitisingallofthehistorygroup records for posterity.

Kerrie Graham and Hilary Flynn have continued in the roles of Veterans Delegate and Assistant this year. The lady Veterans appreciate their regular communication about events. Thank you to both ladies for their work.

Ourhorticulturalandgreensstaffhavedoneanoutstandingjobwiththeongoingcareofthegardensaround the clubhouse and out on the course. Many lady members assist this work bykeeping the weeds at bay in areas around the course. Thank you to these ladies, organised by Lesley Roberts, for their efforts: Anne de Carvalho, Margie Dearlove, Lucie Gabb, Joan Isles, Chrissie Grier, Gail Holsgrove, Lyn Stanton, Helen Sugden,SueFabian,TinaLee,CaroleWhitehouse,JudyEinberg,AllisonO’SullivanandAdrianaD’Orazio.

The last remaining Ladies lifemember of Pennant Hills Golf Club, Mollie Sutherland, died in March of this year. Mollie joined PHGC in 1959 and served on the PHGC Social and Ladies Committees - from 1964 –1976. During this time Mollie generously donated a great deal of her time in the many and varied voluntary positions, acting as Secretary1968, Captain 1971-2, and President from 1973-76.

Mollie was also a keen bridge player and participated in various roles in several of the famous PHGC ladies Christmas Concerts. Mollie and her husband, Jim, inaugurated the Mixed 4B Knockout at PHGC in 1966 and donated and presented this trophy untilJim’s death in 1998, with Mollie continuing to donate the trophyuntil2016.

Mollie and Jim were also instrumental in establishing the strong ties which exist between Pennant Hills and Royal Canberra, by inaugurating the Sutherland Trophy which was an annual event between both clubs from 1983 – 2000.

Mollie was also a generous supporter of the Kendall Binns Junior Golf Foundation.

On behalf of the lady members, I would like to thank the members of the club’s board for their hard work over the past twelve months. We certainly appreciate the commitment of the board members to ensuring we have a prosperous and vibrant club and look forward to working with you again in 2021.

Theclub’sGeneralManager,BarnabySumner,hascontinuedtooverseethesmoothoperationsoftheclub during and prior to these unprecedented times.We thank him for his work and the enthusiasm he brings to all matters related to the ‘bottom line’. We would also like to thank Craig Usher, Kim Truijens and Jodi Sparks for their work. Many members would be unaware of the amount of support they give the ladies and how much this enhances our club experience. The Food and Beverage staff, led by Peter Barter have continued to surpass expectations with both their productand service, which have been appreciated bythe manymemberswhohaveattendedevents.Additionally,Peterandhisstaffhaveprovidedusallwithamuch neededandexceptionalvalue‘take-home’mealoptionwhichcommencedinAprilandhasprovenextremely popular. Kristen Ramirez and Nicole Tanner, Hospitality Managers, provide tremendous assistance to the Ladies Committee in planning menus and coordinating scheduled events. They make our life much easier as a result of their ‘can-do’ attitude and willingness to help.

An enormous thank you to Ladies Committee for all your work and support of the lady members of our wonderful club. Despite the many challenges imposed by the Covid pandemic they have continued to organise the quality events and competitions allowed during these uncertain times. Our Captain, Sally Moffatt, dedicates an enormous amount of time into the organisation of timesheets and competitions, and always endeavours to accommodate all member requests. SallyGooleyseamlesslymanages all that goes with the competitions and results; Jenny Harvey is the committee ‘go-to’ girl recording all important occasions and posting these on the website for everyone to enjoy. Janet Shand, our very competent secretary, monitors all the details which are required in the organisation of the many events undertaken by the committee.

Finally, thank you to all the lady members for the support they have given their committee throughout a difficult year.

JudyTrickett Ladies President

KENDAL BINNS FOUNDATION REPORT

Thanks to the continued support of Pennant Hills members, the Foundation continues to expand its operations. After a meeting with Rachel Bailey and a review of our finances, it was decided to support membersoftheSundayclinicsthat showedbothacommitmenttogolfandthepotentialandproperattitude to become long term members of Pennant Hills.

The following young members who are as young as 10 are now on a ‘scholarship’ of 15% off their annual subscriptions and some support for further developing their golfing ability via lessons or participation in sanctioned golf events:

 William Harriss

 Agatha Hui

 BrianWu

 Jack Sherry

 James Dailly

 Jessica Sherry

 Kyan Amin

 Nicole Chen

 HarryDeitz

 AlfredWang

Partial scholarships of 25% off their annual subscriptions were awarded to Jared Dries, Matt Davidson and AndyRichards.

Others on scholarship are:

 Olivia Kerr

 Hamish Murray

 Stephanie Shuttleworth

 Tom Davey

 Adhitya Nair

 Ryan Richards

 James Skoudas

 Oscar Haugerud.

DuetotherestrictionscausedbythepandemicouryearlyCommencementDinnerwascancelled.However, wearehaving thedinner in August wherealltheplayers willsubmit areportof their golfing activities,speak very brieflyand as last year enjoy a night of comradeship.

The foundation continues to improve its procedures in the development of young golfers into lifelong membersof PennantHills. Atemplate has beendeveloped that thescholarshipplayers willfillout quarterly regarding their golfing activities. Thanks to Rhonda Parkinson, our yearly planner is revised and close to completion.

The foundation again thanks:

 Allthe members who continue to donate to the foundation

 Rachel Baileyand the rest of the professional golf staff

 Thornleigh Golf Centre

 The Board of Pennant Hills Golf Club and the office staff

 Barnaby Sumner, General Manager

FINANCES:

As of July 20th, the foundation has a bank balance of $27,743.36. While this appears healthythere is no doubt that the continued improvement in the development of our young players willlead to more scholarships and further need for support. This is what we hoped would happen so we are very pleased.

In conclusion, the trustees of the KBJF are:

 Graeme Martin

 Rhonda Parkinson

 Chris Allen

 Ed Truscott.

Theywelcome anyopportunityto discuss what is happening in the foundation.

Ed Truscott Chairperson, Kendal Binns Foundation

EX-SERVICE SECTION REPORT

Report on Remembrance Trophyand Ex-Services Golf Day 2019

Thesuccessful2019ex-servicesdayheldonSaturday,17thAugustincludedafieldof178generousgolfers who enjoyed perfect spring conditions on our course which was in magnificent condition. As a result, our club was able to make a donation of $4,210 to Legacy which included direct donations of $210 made by some of our ex-service members.

The Returned Servicemen’s Memorial Entrance was opened 63 years ago in 1956. We are advised that due to the repositioning of the main entry to the club house that the Memorial Gates may need to be relocated or repositioned. The ex-service committee has been aware for some time that this might occur and has been setting aside funds to ensure that this important part of our heritage is preserved. This year the committee elected to make a further contribution of $1,500 which now brings the Memorial Gates Fund to $15,500.

The overall profit on the day was $5,710 on the back of solid support for the raffle and the generosity of members donating prizes. Thanks to Glendore Wines and the Lord Nelson Hotel for their generosity. The raffle was won by Board Member Phil Stanton.

Players were provided with a sausage and onions breakfast washed down with a nip of scotch and once againitworkedforthemorningplayerswhofeaturedonthelistofwinners.ThehalfwaysustenanceofBully Beef and Damper Rolls, taken with the traditional gunfire brew of Rum and Coffee was again appreciated bythe field.

Michael Williams who coordinates the famous Friday Long Lunchers’ enlisted a number of volunteers from their ranks and along with his wife Helen and daughter Catherine, provided a spirited catering service to playersatbreakfastandathalfway.Wearedeeplyappreciativeoftheirgiftoftimeandsupport.Thegolfers certainly appreciated the sustenance.

AmajorpartofthemoneyraisedonthedaycamefromthepersuasivepowersofChrisHowlettandMichael Fitzgerald who were running a book on the accuracy of players hitting on to the 18th tee. They raised the sum of $3,000 encouraging the punters with enticing odds under threat of some special sound effects that clicked in at the top of the back swing for unsuspecting golfers. Legacy volunteers led by an ex-member, Allan Meaker and Chris Allen assisted at the 18th.

Kerry James, an ex-member of PHGC and who served in Vietnam (1967/68) with 110 Signals recited the Ode prior to the presentation of trophies where the club welcomed a number of current armed services guests. BruceLumsden, on behalf of the familyof the late Geoff Lumsdendonated the Ex-Services Trophy won by Peter Cook. 2020 will be the 95th year of competition for the Ex-Services Trophy previously competed for as the AIF Cup and then WorldWar IITrophy.

TheRemembranceTrophy;knownbysomeastheLucknowTrophyisamagnificenttrophyandhasitsown interesting history and military connection. The trophy donated by the Waterson family was won by John Keenan.

TheAGrade,BGrade,CGradeandScratchtrophywinnerswereJaredDries,TonyVermeer,AlbertWong and AndrewRichards respectively.

The winning Ex-Services 4 ball team from 2018 improved on theirscore that year of 48 points to return this yearwith51pointstoagainclaimvictory.CongratulationstoTerryPankhurst,hisbrotherFrank,PeterCook and Bryce Corderoy.

There are a number of demanding and administrative arrangements that need to be capably carried out to make this day a success and we are grateful to Andrew and staff in the professional shop, Craig and Kim in the office, as well as Kristen for her support and direction with the catering.

The dateof theRemembrancetrophyandEx-Services dayis normallyaligned toVP(VictoryinthePacific) Day, also referred to as VJ (Victory over Japan) Day, it is celebrated in Australia on 15th August. This date commemoratesJapan'sacceptanceof the Allieddemandforunconditionalsurrenderon14thAugust1945. ForAustralians,itmeantthattheSecondWorldWarwasfinallyover.ThedatebeingaSaturdayimmediately following15th Augustwhichinthe2020calendar isaSaturday, 22ndAugust and weanticipateholdingthis event subject to agreement with the club.

Ex Services Committee

Michael Rowan Chairperson, Ex–Service Committee

DIRECTORS’ REPORT

The directors present their report together with the financial report of Pennant Hills Golf Club Limited (“the Company”) for the year ended 30 June 2020 and the auditor’s report thereon.

DIRECTORS

The Directors of the Company at anytime during or since the end of the financial year are: Information on Directors

Directors Names Occupation Year elected Resignations and Appointments

M. Dearlove Retired 2018

S. Fabian Retired 2019 Appointed 28/10/19

D.J. Leach Retired 2018

C.J. Pragnell Retired 2018

M.J. Rowan Retired 2019

C. Rowston Asset Manager 2019 Appointed 28/10/19

S.J.Walker Retired 2018

G.A. Winters Retired 2018

G.M. Martin Director 2019 Appointed 28/10/19

A. M. Goodrick Resigned 28/10/19

D. P. Stanton Resigned 28/10/19

R.W. Howarth Resigned 28/10/19

Directors have been in office since the start of the financial year to the date of this report unless otherwise stated.

Directors Names Sub Committee Responsibilities

M. Dearlove House (Chairperson), Planning & Finance

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

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

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

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

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

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

S.J.Walker As President is an ex-officio member of allCommittees

G.A. Winters Course & Playing, House

S. Fabian Course & Playing, Membership

G.M. Martin House, Membership

C. Rowston Course & Playing, Planning & Finance

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 experience includes senior management roles with Elanora Country Club & Concord Golf Club along with roleswithAustralianhotelcompanies,beingMirvacandGazeboandinternationallywiththeFairhavenHotel Group (U.K.)

PRINCIPAL ACTIVITIES

The principal activities of the Company during the financial year were the administration and operation of a private golf club comprising a golf course and a licensed social club for members. There has been no significant change in the nature of these activities during the year.

OBJECTIVES

The main long term objective of these activities is to provide an excellent experience for members. This keyobjective will be achieved byfocusing on four further short term objectives:

1. The golf course – provision of a qualitycourse maintained to a high standard.

2. The professional and professional shop – facilities to suit the needs of members at all levels.

3. Finance - financial stability.

4. The club house and infrastructure - facilities which meet the requirements of members. These objectives will be underpinned byboth short term and long-term strategies.

STRATEGIES TO ACHIEVE OBJECTIVES

 Membership. Maintain a contemporarymembership structure to deliver satisfaction to members through, the provision of services which make the club attractive to both existing and new members. This willbe designed to support member retention and recruitment of newmembers.

 Golf Course. Refine the master plan for ongoing development of the course and determine the feasibilityof implementing such a plan, including developing a realistic timeline. Pursue the opportunity of securing a supplemental water supplyfor the course byutilising drainage from the M1/M2 Tunnel.

 Golf Professional. Encouragement of playing members, in particular through teaching, coupled with continuing support for the Kendal Binns Foundation. Provision of a relevant retail experience.

 Finance. Develop a sustainable funding plan which will provide financial stability.

 Infrastructure. Following completion of the club house improvement project, assess what further work needs to be done (if any) to ensure the facilities meetmembers’ needs.

MEASUREMENT OF PERFORMANCE

Management provides the Board with monthlyoperational reports for the Companyactivities which include the key performance indicators of financial results against budgeted outcomes, details of course maintenance and improvements activities, outline of member playing and social activities and changes in membership numbers and categories.

DIRECTORS’ MEETINGS

Thenumberofdirectors’meetingsandnumberofmeetingsattendedbyeachofthedirectorsofthecompany during the financial year are:

5,374,149 5,402,589 MEMBERS’

The financial report is for Pennant Hills Golf Club Limited as an individual company, incorporated and domiciled in Australia. Pennant Hills Golf Club Limited is a company limited by guarantee.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

Nature of Operations

Pennant Hills Golf Club’s principal activity was to provide golf facilities to members.

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 Golf Club Limited is a not-for-profit entityfor the purpose of preparing financial statements.

Australian Accounting Standardsset outaccountingpoliciesthat theAASBhas concluded wouldresult ina financial report containing relevant and reliable information about transactions, events and conditions. Materialaccountingpoliciesadoptedinthepreparationofthisfinancialreportarepresentedbelowandhave been consistentlyapplied unless otherwise stated.

The financial report has been prepared using the measurement bases specified by the Australian Accounting Standards for each type of asset, liability, income and expense. The measurement bases are described in the accounting policies below.

The financial report was authorised for issue on the 26th August 2020 by the board of directors.

Net Current LiabilityPosition

As at 30 June 2020 the company has a net current liability position of $2,237,512 (2019: $2,126,138) primarily due to the large balance of subscriptions paid in advance. The subscriptions paid in advance for the 2021 year are not refundable and will be recognised as revenue over the 2021 financial year. The company has access to a bank facility of $3.6 Million (2019: $3.0 Million) which it can draw down on when cashflowrequiresit.MoredetailsonthisfacilityareincludedinNote11tothesefinancialstatements.Based onthesefactorsthedirectorsareof theopinionthatthecompanywillbeableto payitsdebts whentheyfall due.

Accounting Policies

(a) IncomeTax

No provision for income tax has been raised as the Company is exempt from income tax under Division 50 of the Income Tax Assessment Act 1997.

(b)

Inventories

Inventories are measured and carried at the lower of cost and current replacement cost.

(c) Property, Plant and Equipment

(i) Recognition and measurement

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

Costincludes expenditure that is directlyattributable to the acquisition of the asset. The costof selfconstructed assets includes the cost of materials and direct labour, any other costs directly attributable to bringing the assets to a working condition for their intended use, the costs of

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(c) Property, Plant andEquipment (continued)

dismantling and removing the items and restoring the site on which they are located, and capitalised borrowing costs. Cost also may include transfers from other comprehensive income of any gain or loss on qualifying cash flow hedges of foreign currency purchases of property, plant and equipment. Purchased software that is integral to the functionality of the related equipment is capitalised as part of that equipment.

Whenpartsofanitemofproperty,plantandequipmenthavedifferentusefullives,theyareaccounted for as separate items (major components) of property, plant and equipment.

Gains and losses on disposal of an item of property, plant and equipment are determined by comparingtheproceedsfromdisposalwiththecarryingamountofproperty,plantandequipmentand arerecognised net withinotherincomeinprofitor loss. Whenrevaluedassets aresold,the amounts included in the revaluation reserve are transferred to retained earnings.

(ii) Subsequent Costs

The cost of replacing a part of an item of property, plant and equipment is recognised in the carrying amountoftheitem ifitis probablethatthefutureeconomicbenefitsembodiedwithinthepartwillflow to the Company, and its cost can be measured reliably. The carrying amount of the replaced part is derecognised. Thecostsoftheday-to-dayservicingofproperty,plantandequipmentarerecognised in profit or loss as incurred.

(iii) Depreciation

Depreciationiscalculatedoverthedepreciableamount,whichisthecostofanasset,orotheramount substituted for cost, less its residual value.

Depreciation is recognised in profit or loss on a straight-line basis over the estimated useful lives of each part of an item of property, plant and equipment, since this most closely reflects the expected 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 reasonably certain that the Company will obtain ownership bythe end of the lease term. Land is not depreciated.

The estimated useful lives for the current and comparative periods are as follows:

Buildings 40 years

Plant and equipment 3 - 20 years

Depreciation methods, useful lives and residual values are reviewed at each financial year-end and adjusted if appropriate.

(d) Leases

WheretheCompanyisalesseeleasepaymentsforoperatingleases,wheresubstantiallyalltherisks and benefits remain with the lessor are accounted for in accordance with AASB16 – Leases. At inception the present value of the leased asset is capitalised as an asset to be depreciated over the term of the lease. A corresponding lease liability is recorded and shown in Note 11 Borrowings. As leasepaymentsaremadetheperiodicprincipalreductionischargedtotheleaseliabilityandacharge for interest is expensed in the period in which the payment is incurred.

(e) Impairment of Assets

Ateachreporting date,theCompanyreviewsthecarryingvaluesofitstangibleandintangibleassets todetermine whetherthereisanyindicationthatthoseassetshavebeenimpaired. If suchindication exists, the recoverable amount of the asset, being the higher of the asset’s fair value less costs to sell and value in use, is compared to the asset’s carrying value. Any excess of the asset’s carrying value over its recoverable amount is expensed to the income statement.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(e) Impairment of Assets (continued)

Where it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

(f) Employee Benefits

Short-term

Employee Benefits

Short-term employee benefits are benefits, other than termination benefits, that are expected to be settled wholly within 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 expected to be paid when the liabilities are settled.

Other long-term Employee Benefits

The Company’s liabilities for long service leave are included in other long term benefits as they are not expected to be settled wholly within twelve (12) months after the end of the period in which the employeesrendertherelatedservice.Theyaremeasuredatthepresentvalueoftheexpectedfuture payments to be made to employees.

The expected future payments incorporate anticipated future wage and salary levels, experience of employee departures and periods of service, and arediscounted at rates determined byreferenceto market yields at the end of the reporting period on high quality corporate bonds that have maturity datesthatapproximatethetimingoftheestimatedfuturecashoutflows.Anyre-measurementsarising from experience adjustments and changes in assumptions are recognised in profit or loss in the periods in which the changes occur.

TheCompanypresentsemployeebenefitobligationsascurrentliabilitiesinthestatementoffinancial position if the Company does not have an unconditional right to defer settlement for at least twelve (12) months after the reporting period, irrespective of when the actual settlement is expected to take 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 that an outflow will be required in settlement is determined byconsidering the class of obligations as awhole.Provisionsarediscountedtotheirpresentvalues,wherethetimevalueofmoneyismaterial.

AnyreimbursementthattheCompanycanbevirtuallycertaintocollectfrom athirdpartywithrespect to the obligation is recognised as a separate asset. However, this asset may not exceed the amount of the related provision.

No liability is recognised if an outflow of economic resources as a result of present obligation is not probable. Such situations are disclosed as contingent liabilities, unless the outflow of resources is remote in which case no liabilityis recognised.

(h) Revenue and Other Income

Revenues are recognised at fair value of the consideration received.

Revenue from sales of goods comprises revenue earned from the provision of food and beverage facilities, and the sale of golf equipment. Revenue is recognised when the goods are provided.

Revenue from rendering services comprises revenue services to Members and other patrons of the Company

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

(h) Revenue and Other Income(continued)

Revenuefrom rentalincome relatingtothe telecommunications tower leaseis recorded onastraight line basis over the term of the lease.

Kendal Binns fund donations and contributions made are credited to the Kendal Binns fund in the year in which they are made.

All revenue is stated net of the amount of goods and services tax (GST).

(i) Borrowing Costs

Borrowing costs other than those that relate to the acquisition of qualifying assets are recognised in income in the period in which theyare incurred.

(j) Goods and Services Tax

Revenues,expenses and assets arerecognised net of the amountof goods and services tax (GST). Receivables and payables in the balance sheet are shown inclusive of GST.

Cash flows are presented in the Cash Flow Statement on a gross basis, except for the GST component of investing and financing activities, which are disclosed as operating cash flows.

(k) Subscriptions in Advance

The Subscriptions in advance balance in Note 12 consists of 2021 membership subscriptions received prior to 30 June.

(l)

Deferred Income

The liability for deferred income relating to unutilised amounts of telecommunications tower rental received on the condition that specified conditions are fulfilled. Where the amount received is in respect of rental which is to be provided over a period that exceeds twelve (12) months after the reporting date, the liabilityis discounted and presented as non-current.

Deferred income relating to entrance or joining fees paid by new members are recorded as deferred income and shown in Note 10. Entrance fees are released to income over 10 years which is the deemed average period of membership. If amember leaves within the 10 year period the balance of joining fees deferred is released and shown as entrance fee income in the year of departure.

(m) Comparative Figures

When required by Accounting Standards, comparative figures have been adjusted to conform to changes in presentation for the current financial year.

(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 externallyand within the Company.

The Company assesses impairment at each reporting date by evaluating conditions specific to the Companythat maybe indicative of impairment triggers. Recoverable amounts of relevant assets are assessed using value-in-use calculations which incorporate various key assumptions.

NOTE 1: STATEMENT OF

(o) Government Grants

SIGNIFICANT ACCOUNTING POLICIES

(continued)

Government grants received from State and Federal governments comprising COVID-19 stimulus measures of Payroll Tax relief, Cash Boost and Jobkeeper are recorded as grant income when received or receivable. Expenses related to these grants are shown in expenses byfunction.

(p) Financial Instruments

FinancialassetsandliabilitiesarerecognisedwhentheCompanybecomesapartytothecontractual provisions of the financial instrument, and are initially measured at fair value adjusted by transaction costs.

Financial assets are derecognised when the contractual rights to cash flows from the financial asset expire, or when the financial asset and all subsequent risks and rewards are transferred. A financial liability is derecognised when it is extinguished, discharged cancelled or expires.

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 financecosts or finance incomeexcept for impairment of trade receivables which is presented within other expenses.

Loans and receivables are non-derivative financial assets withfixed or determinablepayments. After initial recognition these are measured at amortised cost using the effective interest method, less provision for impairment. Discounting is omitted where theeffectis immaterial.The Company’s trade and other receivables fall into this category of financial instruments.

Classification and measurement of financial liabilities

The Company’s financial liabilities include trade and other payables.

Financialliabilities aremeasured subsequentlyat amortised costusing theeffectiveinterest method. All interest related charges, and if applicable, changes in an instruments fair value that are reported in profit and loss are included within finance costs or finance income.

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

Anumberofnewandrevisedstandardsbecameeffectiveforthefirsttimetoannualperiodsbeginning on or after 1 July2019. Information on the more significant standards is presented below.

 AASB 15 Revenue from Contracts with Customers

 AASB15 Revenue from Contracts with Customers defines the criteria for recognition of revenue.

 When adopting AASB 15, the Companyhas applied transitional relief and opted not to restate prior periods. Differences arising from the adoption of AASB 15 in relation to classification, measurement, and impairment are recognised in opening retained earnings as at 1 July2019.

NOTE 1: STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES (continued)

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

.

 AASB 16 Leases

 AASB16 Leases defines all leases, whether they be finance or operating leases are to be recorded at the present value at inception as an asset and a lease liability on balance sheets. The asset is to be depreciated over the term of the lease and the liability reduced with each payment by the reduction in principal. Interest being the difference between principal reduction and the lease payment is expensed in the period.

 When adopting AASB 16, the Club has applied transitional relief and opted not to restate prior periods. Differences arising from the adoption of AASB 16 in relation to classification, measurement, and impairment are recognised in opening retained earnings as at 1 July 2019.

Adoption of these standards has resulted in a reduction in current year opening retained earnings of $356,690 (AASB 15) and $7,309 (AASB 16).

Accounting Standards issued but not yet effective and not adopted earlyby the Company

At the date of signing of the financial statements, the following AASB Standards and AASB Interpretations were also in issue but not yet effective.

Standard/Interpretation

Effective for annual reporting periods beginning on or after Expected to be initially applied in the financial year ending

AASB 1060 General Purpose Financial Statements – Simplified Disclosures for ForProfit and Not-for-Profit Tier 2 Entities 1 July2021 30 June 2021

The potential effect of the revised Standards/Interpretations on the company‘s financial statements has not yet been determined.

NOTE 2: REVENUE & OTHER INCOME

NOTE 3: INCLUDED INDETERMINING SURPLUS FOR THE YEAR

NOTE 4: TRADE AND OTHER RECEIVABLES

Current trade receivables are non-interest bearing. A provision for impairment is recognised when there is objective evidence that an individual trade receivable is impaired. These amounts have been included in the other expenses item.

(ii) Provision for Impairment of Receivables Opening Balance Charge for the Year Amounts Written Off

Balance Charge for the Year Amounts

NOTE 7: CORE PROPERTY, PLANT & EQUIPMENT

In accordance with Section 41J of the Registered Clubs Amendment Act 2006 the Directors have determined that all freehold land and buildings held by the Club forms part of the Club’s premises and the facilities provided by the Club are for the use of its members and is therefore core property.

TheValuerGenerallandvalueat1/7/19was$4.94million.Therehasnotbeenanupdatedvaluationissued as at the date of this report.

Refer to Note 11 for details of securityover property, plant and equipment.

NOTE 8: TRADE ANDOTHER PAYABLES

NOTE 9: PROVISIONS

A provision has been recognised for employee benefits relating to long service leave for employees. In calculating the present valueof future cashflows of longservice leave, the probabilityof long service leave being taken is based upon historical data. The measurement and recognition criteria for employee benefits have been included in Note 1 (f)

NOTE 10: DEFERRED INCOME

NOTE 10: DEFERRED INCOME (continued)

In the 2015 financial year the Company leased the telecommunications tower site for 25 years. Rental for the 25 years has been received up front. In determining the correct treatment for the transaction the Company has taken a view that the monies received are in the nature of a receipt of future rental income. ConsistentwiththeCompany’streatmentofotherdeferredincomereceivedinadvancetheamountreceived is being released to revenue on a straight line basis over the full term of the lease period. Deferred income received which will not be released in the next year is treated as long term deferred income.

During the Current year the Company adopted AASB 15 Revenue from Contracts with Customers which changedthemethodofrevenuerecognitionforEntrancefees.Entrancefeesreceivedarenowdeferredand released over 10 years. In the event of a member resigning within the 10 years the balance of a member’s entrance fee not previously recognised is released. The standard was adopted retrospectively and relief taken to avoid restatement of prior year accounts. As a result at 1 July 2019 the retained earnings of the company was reduced by $356,690 with a current deferred Income $66,241 and non-current deferred income $290,449 being recorded.

NOTE 11: BORROWINGS

In the current year the Company increased the NAB borrowing facility to $3.85 Million to assist with the funding of the Clubhouse renovations. The facility reduced to $3.6 Million in April 2020 and will reduce to $3.4 Million in October 2020, $2.95 Million in April 2021 and $2.35 Million in April2022. The facility expires in July2022.

The Company entered into four Commercial Loans for the purchase of course equipment. The term of each of these arrangements is five years and expire between November 2023 and June 2024.

In the current year the Company adopted AASB 16 Leases which resulted in operating leases for carts and office printers being recorded as lease borrowings. The standard was adopted retrospectively and relief taken to not restate prior years. As a result at 1 July 2019 retained earnings was reduced by $7,309 with assets increased by $184,145 and lease borrowings increased by$191,454.

Security

TheCompany’s primarybankerholdsregisteredfirstmortgagesandfloatingchargesoverthe assetsanduncalled capital of the Company.

The Company’s equipment financier holds a securityinterest over the equipment purchasedfor the duration of the financing agreement.

NOTE 12: OTHER LIABILITIES

NOTE 13: KENDAL BINNS JUNIOR FOUNDATION RESERVE

The“KendalBinnsFoundation”isregisteredasaprojectwiththeAustralianSportsFoundationtoreceive donations for the development of promising junior members.The Club has established a “Kendal Binns Foundation Reserve” whereby the monies raised by way of donations from members and contributions from Club activities are held specifically for the foundation. The foundation is administered by a committee comprising four members of the Company. The foundation funds are solelyfor the benefit of nominated junior members and are not available for the general operations of the Company. Unspent monies at the close of the financial year being the opening position for the year plus the contributions and less expenditure on junior members for the year are represented in the Kendal Binns Foundation ReserveintheMembersfunds.The underlyingcashis heldinaseparatebank accountandrecorded in Cashandcashequivalents.Duringtheyearnetproceeds/(utilisation)ofcontributionsof$6,558)(2019: ($3,211)) were transferred into / (from) the reserve.

NOTE 14: RELATED PARTIES

(a)

KeyManagement Personnel

Key management personnel of the Company are those persons having authority and responsibility for planning, directing and controlling activities of the Club.

(b)

Transactionswith Related Parties

Apart from transactions related to activities as members which include golf, golf services and food and beverage operations the companyhas incurred no material transactions with related parties.

NOTE 15: NOTES TO THE STATEMENT OF CASH FLOWS

a) Reconciliation of Cash

For the purposes of the statement of cash flows, cash and cash equivalents include cash on hand, deposits held at call with banks, other short-term highly liquid investments with originalmaturities of three months or less and bank overdrafts. Bank overdrafts are shown within short-term borrowings in current liabilities on the balance sheet

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

Surplus for the Year

Add/(Less) Items Classified as Investing/ Financing Activities:

Add/(Less) Non-Cash Items:

Change in Assets and Liabilities

(18,182)

NOTE 16: FAIR VALUE MEASUREMENT

Net Fair Values

Fair Value Estimation

The fair values of financialassets and financialliabilities arepresentedinthe followingtableandcan be compared to their carrying values as presented in thebalancesheet. Fair values arethoseamounts at which an assetcould be exchanged, or a liabilitysettled, between knowledgeable, willing parties in an arm’s length transaction.

Fair values derived maybe based on informationthat is estimated or subjectto judgment, where changes in assumptions mayhaveamaterialimpactontheamountsestimated. Areasofjudgmentandtheassumptionshavebeendetailedbelow.

The fair values disclosed in the above table have been determined based on the following methodologies: ( I ) Cash and cash equivalents, trade and other receivables and trade and other payables are short-term instruments in naturewhosecarryingvalueisequivalenttofairvalue. Tradeandotherpayablesexcludeamountsprovidedforrelating to annual leave and deferred income which is not considered a financial instrument.

Borrowings includes$1.9milliondrawnagainstacurrent$3.6 millionbank facility. Thecurrentdrawings interestperiod applies until 22 October 2020 at which time it will be reset for a period of between 30 and 180 days at the discretion of the Company.

Borrowingsalsoincludescommercialloanequipmentfinanceforsixitemsofcourseequipment.Equipmentloanfinance is taken over a period of five years. The carrying value of equipment finance does not include future financing costs and as such carrying value is equivalent to fair value.

The Companyhas adopted AASB16 – Leases and for the current year borrowings also includes the principal amounts outstanding on leases of golf carts and office copier printers which were taken over a period of 5 years and will expire in February and October 2023. The carrying value of the leases does not include future financing costs and as such carrying value is equivalent to fair value.

NOTE 17: CAPITAL AND LEASING COMMITMENTS

Operating Lease Commitments

The Company’s future minimum operating lease payments are as follows:

The equipment lease commitments comprising golf cart and photocopier leases are non-cancellable operating leases with lease terms of five years.

Lease finance commitments are shown in Borrowings (Note 11) as current borrowings of $51,630 (2019: NIL) and non-current borrowings of $91,193 (2019: NIL).

During the current year the Companyadopted Accounting Standard AASB16 – Leases whereby the present value of operating leases was booked as an asset and a corresponding liabilityraised for the outstanding principal. Lease payments are charged to the liabilityas a reduction in principal and interest is charged to interest expense. In the prior year lease payments were charged to lease expense. During the current year $10,164 was charged to interest cost and $58,795 allocated to reduce principal for operating leases.

Lease expense during the prior year amounted to $64,786 representing minimum lease payments.

Equipment Finance Commitments

Equipment finance commitments are shown in Borrowings (Note 11) as current borrowings of $20,127 (2019: $10,379) and non-current borrowings of $72,891 (2019: $39,839)

NOTE 18: SEGMENT REPORTING

The Companyoperates predominantly in the hospitality, sporting and entertainment industry.

The Company’s operations and customers are located predominantly in Sydney, New SouthWales.The Companyprovides golfing facilities, food, beverage and other entertainment facilities to Members and guests.

NOTE 19: COMPANY DETAILS

The Company is incorporated and domiciled in Australia as a company limited by guarantee. In accordance with the Constitution of the Company, every Member of the Company undertakes to contribute an amount limited to $2.00per Memberintheeventofthewindingupof the CompanyduringthetimethattheyareaMemberorwithin one year thereafter. At 30 June 2020 there were 1,175 members.

The registered office and principal place of the Company is:

Copeland Road, Beecroft NSW 2119

NOTE 20: CONTINGENT LIABILITIES

There are no contingent liabilities that have been incurred bythe Company in relation to 2020 or 2019.

NOTE 21: COMMITMENTS

At 30 June 2020 the company has no material commitments which will be paid in the 2021 year.

NOTE 22: EVENTS AFTER THE BALANCE SHEET DATE

On 21 July 2020 the Federal Government announced that the Jobkeeper payment would be extended until 28 March2021.This represents a further 6months from the originalfinish date of 27 September 2020. Tobe eligible for the extension the company will be required to satisfy a new decline in actual GST turnover test for either the June 2020 or September 2020 quarters. Although the new extension has not been legislated and exact details of eligibility been fully determined, based on a review of the eligibility test as announced the company is unlikely to be eligible for Jobkeeper payments beyond 27 September and payments will likelycease.

The Directors have reviewed the likely impact of Jobkeeper payments ceasing and the impacts of COVID-19 on theassetsandliabilitiesat 30June2020anddonotbelievethereto beanysignificantfinancialimpactsthat would requireanadjustmenttotheamountsdisclosedintheFinancialReport.InreachingthisdecisiontheDirectorshave considered the nature of property, plant and equipment assets, the timing and receipt of membership receivables owed to the club, timing of the company’s payable obligations, the non-refundable nature of subscriptions in advance as well as the repayment obligations for lease and bank loan commitments.

The financial report was authorised for issue on 26th day of August 2020 bythe Board of Directors.

NOTE 23: REPORTING REQUIREMENTS - REGISTERED CLUBS ACT 1976

The Club maintains a register in accordance with the Registered Clubs Act 1976. This register is available for members to view on appointment at the front office.

COMPILATION REPORT

The additional financial data presented on pages 51 to 53 is in accordance with the books and records of the Company which have been subjected to the auditing procedures applied in our audit of the Company for the year ended 30 June 2020. It will be appreciated that our audit did not cover all details of the attached financial data.

Accordingly, we do not express an opinion on such financial data and in particular no warranty of accuracy or reliability is given. We do not undertake responsibility in any way whatsoever to any person (other than the Company) in respect of such data, including any errors or omissions however caused.

BDH Audit & Assurance Pty Limited

Gede Barone Director

Dated at Beecroft this 26th day of August 2020.

(92,196) (212,844) (219,567)

(1,736,824) (1,952,207)

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