2010-2011 financial report

2O1O-2O11 FINANCIAL REPORT

HELP SOMEONE SEE A BETTER FUTURE

ST VINCENT DE PAUL SOCIETY VICTOrIA INC. PAGE 1PAGE 1 hELP SOmEONE SEE A bETTEr fUTUrE | 2O1O-2O11 fINANCIAL rEPOrT

CONTENTS

Consolidated Statements of Comprehensive Income 2

Consolidated Statements of Financial Position 3

Consolidated Statements of Changes in Equity 4

Consolidated Statements of Cash Flows 5

Notes to the Financial Statements 6

Statement by State Council 35

Independent Auditor’s Report 36

hELP SOmEONE SEE A bETTEr fUTUrE | 2O1O-2O11 fINANCIAL rEPOrT

CONSOLIDATED STATEmENTS Of COmPrEhENSIVE INCOmEFOR THE YEAR ENDED 30 JUNE 2011

CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

Note 2011 $

2010 $

2011 $

2010 $

CONTINUING OPErATIONS

RevenueFundraising 2(a) 8,599,775 10,736,673 7,728,535 7,755,147 Government grants 2(b) 24,329,453 23,627,560 893,448 824,714 Sale of goods 2(c) 27,706,758 26,048,605 26,899,519 25,269,749 Other revenue 2(d) 10,573,694 8,040,265 1,049,273 1,106,868 Net gain on sale of property, plant and equipment

2(e) 45,583 833,282 76,373 851,560

TOTAL rEVENUE 71,255,263 69,286,385 36,647,148 35,808,038

Cost of salesCost of sales 3(a) (20,033,804 ) (17,582,054 ) (18,361,530 ) (16,014,476 )

GrOSS SUrPLUS 51,221,459 51,704,331 18,285,618 19,793,562

Fundraising/public relations 3(b) (1,431,904 ) (1,375,563 ) (1,431,904 ) (1,375,563 ) Administration 3(c) (2,641,222 ) (2,706,483 ) (2,681,109 ) (2,704,413 )

(4,073,126 ) (4,082,046 ) (4,113,013 ) (4,079,976 )

TOTAL fUNDS AVAILAbLE fOr CLIENT ACTIVITIES 47,148,333 47,622,285 14,172,605 15,713,586

Client Services ExpensesPeople in Need Services 3(e) (9,579,749 ) (14,452,868 ) (9,961,025 ) (14,540,874 ) Aged Care Services 3(f ) (18,078,159 ) (16,797,043 ) - - Homelessness & Housing Services

3(g) (12,165,134 ) (11,407,092 ) - -

Support Services 3(h) (3,031,224 ) (3,120,394 ) (3,031,224 ) (3,120,394 ) (42,854,266 ) (45,777,397 ) (12,992,249 ) (17,661,268 )

Impairment expenses 3(d) (1,750,000 ) (391,902 ) - -

Surplus/(deficit) for year from continuing operations 2,544,067 1,452,986 1,180,356 (1,947,682 )

OThEr COmPrEhENSIVE INCOmE/(ExPENSE)Changes in fair value of financial assets designated as at fair value through Statement of Comprehensive Income 2(f) 16,163 (24,629 ) - 21,752

TOTAL COMPREHENSIVE SURPLUS/(DEFICIT) FOR YEAR 2,560,230 1,428,357 1,180,356 (1,925,930 )

The accompanying notes form part of these financial statements


CONSOLIDATED STATEmENTS Of fINANCIAL POSITIONAS AT 30 JUNE 2011

CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

Note 2011 $

2010 $

2011 $

2010 $

CUrrENT ASSETSCash and cash equivalents 5 35,946,641 26,846,883 9,169,824 4,876,620 Trade and other receivables 6 1,408,648 1,231,438 681,433 555,066 Inventories 7 216,614 235,552 201,587 213,367 Financial assets 8 3,825,483 6,206,477 2,003,200 4,245,804 Other assets 10 763,051 809,800 586,097 565,227 TOTAL CURRENT ASSETS 42,160,437 35,330,150 12,642,141 10,456,084

NON-CUrrENT ASSETSFinancial assets 8 500,000 2,000,000 - 2,000,000 Investments in controlled entities 9 - - 57,807,700 55,555,537 Property, plant & equipment 11 66,030,658 64,697,023 23,262,316 24,419,288 Intangible assets 12 12,527,609 14,477,188 131,122 204,795 TOTAL NON-CURRENT ASSETS 79,058,267 81,174,211 81,201,138 82,179,620 TOTAL ASSETS 121,218,704 116,504,361 93,843,279 92,635,704

CUrrENT LIAbILITIESTrade and other payables 13 3,292,340 1,997,694 2,579,779 2,384,223 Provisions 14 4,576,967 4,355,776 1,153,210 1,158,457 Other liabilities 15 15,643,135 15,053,414 246,479 404,353 TOTAL CURRENT LIABILITIES 23,512,442 21,406,884 3,979,468 3,947,033

NON-CUrrENT LIAbILITIESProvisions 14 629,548 580,993 148,441 153,657 TOTAL NON-CURRENT LIABILITIES

629,548 580,993 148,441 153,657

TOTAL LIAbILITIES 24,141,990 21,987,877 4,127,909 4,100,690

NET ASSETS 97,076,714 94,516,484 89,715,370 88,535,014

EQUITYReserves 16 35,127,015 34,029,707 15,120,900 14,702,705 Retained earnings 61,949,699 60,486,777 74,594,470 73,832,309 TOTAL PArENT ENTITY INTErEST 97,076,714 94,516,484 89,715,370 88,535,014

TOTAL EQUITY 97,076,714 94,516,484 89,715,370 88,535,014



CONSOLIDATED STATEmENTS Of ChANGES IN EQUITYFOR THE YEAR ENDED 30 JUNE 2011

reserves (Note 16) retained Earnings $

Asset revaluation

reserve $

Capital Profits

reserve $

bequest reserve

$

bushfire Appeal reserve $

flood relief

Appeal reserve

$

fund-a-future

reserve $

Total $

CONSOLIDATED ENTITYBalance at 1 July 2009 57,143,503 28,256,034 198,036 4,887,484 2,473,070 - 130,000 93,088,127 Surplus for the year 1,452,986 - - - - - - 1,452,986 Other Comprehensive Expense (24,629 ) - - - - - - (24,629 ) Total Comprehensive Surplus 1,428,357 - - - - - - 1,428,357 Transfer to Bequest Reserve (558,153 ) - - 558,153 - - - - Transfer from Bushfire Appeal Reserve 2,473,070 - - - (2,473,070 ) - - - balance at 30 June 2010 60,486,777 28,256,034 198,036 5,445,637 - - 130,000 94,516,484

Surplus for the year 2,544,067 - - - - - - 2,544,067 Other Comprehensive Income 16,163 - - - - - - 16,163 Total Comprehensive Surplus 2,560,230 - - - - - - 2,560,230 Transfer to Bequest Reserve (679,113 ) - - 679,113 - - - - Transfer to Flood Relief Appeal Reserve (418,195 ) - - - -

418,195 - -

At 30 June 2011 61,949,699 28,256,034 198,036 6,124,750 - 418,195 130,000 97,076,714

PArENT ENTITYBalance at 1 July 2009 73,285,169 13,235,238 - 1,467,467 2,473,070 - - 90,460,944 Deficit for the year (1,947,682 ) - - - - - - (1,947,682 ) Other Comprehensive Income 21,752 - - - - - - 21,752 Total Comprehensive Deficit (1,925,930 ) - - - - - - (1,925,930 ) Transfer from Bushfire Appeal Reserve 2,473,070 - - - (2,473,070 ) - - - balance at 30 June 2010 73,832,309 13,235,238 - 1,467,467 - - - 88,535,014 Surplus for the year 1,180,356 - - - - - - 1,180,356 Other Comprehensive Income - - - - - - - - Total Comprehensive Surplus 1,180,356 - - - - - - 1,180,356 Transfer to Flood Relief Appeal Reserve (418,195 ) - - - -

418,195 - -

At 30 June 2011 74,594,470 13,235,238 - 1,467,467 - 418,195 - 89,715,370



CONSOLIDATED STATEmENTS Of CASh fLOWSFOR THE YEAR ENDED 30 JUNE 2011

CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

Note 2011 $

2010 $

2011 $

2010 $

CASh fLOWS frOm OPErATING ACTIVITIES:Receipts from operating activities 60,908,239 57,607,731 26,676,248 24,443,265 Receipts from supporters 9,142,984 9,224,882 9,142,984 9,224,882 Payments to clients, suppliers and employees (62,409,069 ) (65,116,505 ) (33,089,788 ) (36,322,070 )Interest received 1,260,919 1,363,325 477,503 483,599Net cash provided by/ (used in) operating activities 19(b) 8,903,073 3,079,433 3,206,947 (2,170,324 )

CASh fLOWS frOm INVESTING ACTIVITIES:Proceeds from sale of property, plant and equipment 603,489 1,298,729 549,178 1,241,544Proceeds from investments 4,799,852 3,680,538 4,000,000 3,000,000Payment for property, plant and equipment (5,419,211 ) (6,070,856 ) (1,144,353 ) (3,581,804 )Payments for intangible assets (19,265 ) (378,483 ) (19,265 ) (165,588 )Payments for investments (493,626 ) (5,429 ) - -Capital contributed to subsidiaries - - (2,299,303 ) (1,325,888 )Net cash (used in)/provided by investing activities (528,761 ) (1,475,501 ) 1,086,257 (831,736 )

CASh fLOWS frOm fINANCING ACTIVITIES:Proceeds from residents’ accommodation bonds 5,362,039 3,965,197 - -Repayment of residents’ accommodation bonds (4,636,593 ) (2,395,417 ) - -Net cash provided by financing activities 725,446 1,569,780 - -

Net increase/(decrease) in cash and cash equivalents 9,099,758 3,173,712 4,293,204 (3,002,060 )Cash and cash equivalents at the beginning of the financial year 26,846,883 23,673,171 4,876,620 7,878,680

Cash and cash equivalents at the end of the financial year 19(a) 35,946,641 26,846,883 9,169,824 4,876,620



NOTES TO ThE fINANCIAL STATEmENTSFOR THE YEAR ENDED 30 JUNE 2011

NOTE 1. SUmmArY Of SIGNIfICANT ACCOUNTING POLICIESThe St Vincent de Paul Society Victoria Inc. (“the Society”) is a non government welfare agency incorporated under the Associations Incorporations Act (Vic) 1981 and is domiciled in Australia.

The Society’s registered office and its principal place of business are as follows:

Registered office Principal place of business43-45 Prospect Street 43-45 Prospect StreetBox Hill VIC 3128 Box Hill VIC 3128Tel: (03) 9895 5800 Tel: (03) 9895 5800

Statement of complianceThe financial report is a general purpose financial report which has been prepared in accordance with the Australian Accounting Standards and Interpretations and the requirements of the Associations Incorporations Act (Vic) 1981 and complies with other requirements of the law.

The financial report covers the consolidated entity being St Vincent de Paul Society Victoria Inc., VincentCare Victoria and its subsidiary VincentCare Community Housing, St Vincent de Paul Victoria Endowment Fund and Society of St Vincent de Paul (Victoria). The consolidated entity in these financial statements will be referred to as “the Group”. The parent entity is St Vincent de Paul Society Victoria Inc.

The financial report of St Vincent de Paul Society Victoria Inc. complies with Australian Accounting Standards to the extent noted above, which include Australian equivalents to International Financial Reporting Standards (AIFRS). Due to the application of Australian specific provisions for not-for-profit entities contained only within the AIFRS, the financial reports and notes thereto are not necessarily compliant with all International Accounting Standards.

The financial statements were authorised for issue by State Council on 24 September 2011.

Basis of measurementThe financial report has been prepared on an accruals basis and is based on historic costs modified by the revaluations of selected non-current assets and financial assets and liabilities, for which the fair value basis of accounting has been applied. Cost is based on the fair value of the consideration given in exchange for assets. The following specific accounting policies have been consistently applied, unless otherwise stated.

Functional and presentation currencyThe financial report is presented in Australian dollars which is the Group’s functional currency.

Critical accounting judgements and key sources of estimation uncertaintyIn the application of the Group’s accounting policies, management is required to make judgements, estimates and assumptions about carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following is a summary of the material accounting policies adopted by the Group in the preparation of the financial report. The accounting policies have been consistently applied, unless otherwise stated.

(a) Principles of consolidationThe consolidated financial statements of St Vincent de Paul Society Victoria Inc. comprises the consolidated financial reports of St Vincent de Paul Society Victoria Inc., VincentCare Victoria and its subsidiary VincentCare Community Housing, St Vincent de Paul Victoria Endowment Fund and Society of St Vincent de Paul (Victoria).

A controlled entity is any entity controlled by St Vincent de Paul Society Victoria Inc. Control exists where St Vincent de Paul Society Victoria Inc. has the capacity to influence the decision-making in relation to the financial and operating policies of another entity so that the other entity operates with St Vincent de Paul Society Victoria Inc. to achieve the objectives of St Vincent de Paul Society Victoria Inc. A list of controlled entities is contained in Note 9.

All inter-entity balances and transactions between entities in the Group have been eliminated on consolidation.


(b) revenueRevenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. All revenue is stated net of the amount of goods and services tax (GST).

The St Vincent de Paul Society Victoria Inc. is a non-profit organisation and receives a principal part of its income from donations, as cash or in kind. Amounts donated can be recognised only as revenue when the entity gains control, economic benefits are probable and the amount of the contribution can be measured reliably. State Council has the responsibility for ensuring that all voluntary and other revenues to which the Society gains control are accounted for properly. This involves establishing controls to ensure that voluntary revenue is recorded in the financial records; however at times it is impractical to maintain controls over the collection of such revenue prior to its initial entry into the financial records or to ensure that any economic benefit can be measured reliably. Therefore, voluntary revenue is recognised in these accounts when control, benefit and reliable measurement can be achieved.

Sale of goodsRevenue from the sale of goods is recognised upon delivery of the goods to customers.

Government grantsGovernment grants are principally of a recurrent or capital nature and intended to fund ongoing operations or asset acquisitions.

Income from grants is measured at the fair value of the contributions received or receivable and only when all the following conditions have been satisfied:• theGroupobtainscontrolofthegrantfundsortherighttoreceivethegrantfunds;• itisprobablethattheeconomicbenefitscomprisinggrantswillflowtotheGroup;and• theamountofthegrantcanbemeasuredreliably.

Government grants are recognised as revenue when the entity gains control of the funds.

Accommodation bondsAccommodation bonds received from incoming residents are held for each individual resident and are recognised as a current liability. Monthly retention fees are deducted from each bond account according to the statutory requirements and are recognised as revenue. Interest earned on all monies is recognised as revenue and is used in accordance with the prudential requirements.

Client contributionsClient contributions by clients who have the capacity to pay are recognised when the service is provided.

Donations and bequestsRevenue from donations and bequests is recognised when received into the Gift Account.

Interest revenueInterest revenue from banks and from residents with outstanding bonds, is recognised on a time proportionate basis that takes into account the effective yield on the financial asset.

(c) Income taxThe Group is exempt under the provisions of the Income Tax Assessment Act 1997 (as amended), and as such is not subject to income taxes at this time. Accordingly, no income tax has been provided for the Group in these financial statements.

(d) Cash and cash equivalentsCash comprises cash on hand and demand deposits. Cash equivalents are short-term, highly liquid investments that are readily convertible to known amounts of cash, which are subject to an insignificant risk of changes in value and have a maturity of three months or less at the date of acquisition.

For the purposes of the Statement of Cash Flows, cash and cash equivalents consist of cash and cash equivalents as defined above, net of outstanding bank overdrafts.

(e) financial assetsInvestments are recognised and derecognised on trade date where the purchase or sale of an investment is under a contract whose terms require delivery of the investment within the timeframe established by the market concerned, and are initially measured at fair value, net of transaction costs, except for those financial assets classified as at fair value through the statement of comprehensive income which are initially measured at fair value.

Financial assets are classified into the following specified categories: financial assets ‘at fair value through the statement of comprehensive income’, ‘held-to-maturity investments’ and ‘loans and receivables’.


NOTES TO ThE fINANCIAL STATEmENTS (cont.)FOR THE YEAR ENDED 30 JUNE 2011

NOTE 1. SUmmArY Of SIGNIfICANT ACCOUNTING POLICIES (CONT.)

(e) financial assets (cont.)

Held to maturity investmentsCollateralised debt obligations and floating rate notes with fixed or determinable payments and fixed maturity dates where that the Group has the positive intent and ability to hold to maturity are classified as ‘held-to-maturity investments’. Held-to-maturity investments are recorded at amortised cost using the effective interest method less impairment, with revenue recognised on an effective yield basis.

Investments in term deposits are measured on the cost basis.

Financial assets at fair value through the Statement of Comprehensive IncomeA financial asset is classified in this category if it is held for trading; that is principally with the objective of selling in the short-term with a profit making intention. In addition, any other financial assets so designated by management on initial recognition are included in this category. Realised and unrealised gains and losses arising from changes in the fair value of these assets are included in the Statement of Comprehensive Income in the period in which they arise.

Financial assets at fair value through Statement of Comprehensive Income include shares in listed corporations.

Loans and receivablesTrade receivables, loans and other receivables that have fixed or determinable payments that are not quoted in an active market are classified as ‘loans and receivables’. Loans and receivables are measured at amortised cost using the effective interest method less impairment.

Interest income is recognised by applying the effective interest rate.

Impairment of financial assetsFinancial assets are assessed for indicators of impairment at the end of each reporting date. Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows of the investment have been impacted.

For financial assets carried at amortised cost, the amount of the impairment is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted at the original effective interest rate.

The carrying amount of financial assets including uncollectible trade receivables is reduced by the impairment loss through the use of an allowance account. Subsequent recoveries of amounts previously written off are credited against the allowance account. Changes in the carrying amount of the allowance account are recognised in the statement of comprehensive income.

If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognised, the previously recognised impairment loss is reversed through the statement of comprehensive income to the extent the carrying amount of the investment at the date the impairment is reversed does not exceed what the amortised cost would have been had the impairment not been recognised.

Derecognition of financial assetsThe Group derecognises a financial asset only when the contractual rights to the cash flows from the asset expire, or it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another entity. If the Group neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the transferred asset, the Group recognises its retained interest in the asset and an associated liability for amounts it may have to pay. If the Group retains substantially all the risks and rewards of ownership of a transferred financial asset, the Group continues to recognise the financial asset and also recognises a collateralised borrowing for the proceeds received.

(f) Assets held in trustThe Company, Society of St Vincent de Paul (Victoria), holds various properties in trust for St Vincent de Paul Society Victoria Inc.

St Vincent de Paul Victoria Endowment Fund holds various financial assets in trust for St Vincent de Paul Society Victoria Inc.

(g) Goods and services tax (GST)Revenues, expenses and assets are recognised net of the amount of GST, except:i. where the amount of GST incurred is not recoverable from the taxation authority, it is recognised as part of the cost of

acquisition of an asset or as part of an item of expense; or


(g) Goods and services tax (GST) (cont.)ii. for receivables and payables which are recognised inclusive of GST.

The net amount of GST recoverable from, or payable to, the taxation authority is included as part of receivables or payables.

Cash flows are included in the statement of cash flows on a gross basis. The GST component of cash flows arising from investing and financing activities which is recoverable from, or payable to, the taxation authority is classified within operating cash flows.

(h) Property, plant and equipmentLand and buildings held for use in the production or supply of goods or services, or for administrative purposes, are carried in the statement of financial position at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Properties in the course of construction are carried at cost, less any recognised impairment loss. Cost includes professional fees and, for qualifying assets, borrowing costs capitalised in accordance with the Group’s accounting policy. Depreciation of these assets, on the same basis as other property assets, commences when the assets are ready for their intended use.

Plant and equipment and leasehold improvements are stated at cost less accumulated depreciation and impairment. Cost includes expenditure that is directly attributable to the acquisition or construction of the item. In the event that the settlement of all or part of the purchase consideration is deferred, cost is determined by discounting the amounts payable in the future to their present value as at the date of acquisition.

Depreciation is provided on property, plant and equipment, including freehold buildings but excluding land. Depreciation is calculated on a straight-line basis so as to write off the net cost of each asset over its expected useful life to its estimated residual value. Leasehold improvements are depreciated over the period of the lease or estimated useful life, whichever is the shorter, using the straight-line method. The estimated useful lives, residual values and depreciation method are reviewed at the end of each annual reporting period, with the effect of any changes recognised on a prospective basis.

The gain or loss arising on disposal or retirement of an item of property, plant and equipment is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognised in the statement of comprehensive income.

The following depreciation rates and methods are used in the calculation of depreciation:

Class of property, plant and equipment Depreciation rates and methodBuildings 1% to 2.5% straight lineBuilding Improvements 10% straight lineLeasehold improvements Over the term of the leaseFurniture, Plant & Equipment 7% to 20% straight lineComputer Hardware 33% straight lineMotor Vehicles 15% to 20% straight line

Artwork and antiquities are held at cost and not depreciated.Land is not a depreciable asset.

(i) IntangiblesIntangible assets are only recognised if they meet the identifiability criteria, that it is separable from the Group and arises from contractual or other legal rights. Intangible assets acquired separately are recorded at cost less accumulated amortisation and impairment. Amortisation is charged on a straight-line basis over their estimated useful lives.

Computer softwareComputer software that is not integral to the operation of a related piece of hardware or plant is classified as an intangible (for example, accounting systems software), and is initially recognised at cost. Subsequent to initial recognition, computer software is carried at its cost less accumulated amortisation and impairment losses. Computer software has a finite life, and is amortised on a systematic basis over its estimated useful life, being on a straight line basis over 3 years.

Aged Care bed licencesBed licences that are purchased are initially recorded at cost. Bed licences that are received for no consideration are recognised at their fair value at the date of acquisition, having regard to recent sale activity within the industry, which the Group then uses to record the licences at deemed cost. Bed licences have an indefinite life, as long as the Group continues to comply with the terms and conditions imposed by Government. Bed licences are therefore tested annually for impairment.

Subsequent to initial recognition, bed licences continue to be carried at their original deemed cost (being their fair value on acquisition), less any impairment losses.

(j) ImpairmentAt each reporting date, State Council reviews a number of factors affecting tangible and intangible assets (which includes property, plant and equipment) including their carrying values, to determine if these assets may be impaired. If an impairment



NOTE 1. SUmmArY Of SIGNIfICANT ACCOUNTING POLICIES (CONT.)

(j) Impairment (cont.)indicator 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 carrying value. Any excess of the asset’s carrying value over its recoverable amounts is expensed in the Statement of Comprehensive Income as an impairment expense.

As the future economic benefits of the Group’s assets are not primarily dependant on their ability to generate net cash inflows, and if deprived of the asset, the Group would replace the asset’s remaining future economic benefits, ‘value in use’ may be determined as the depreciated replacement cost of the asset, rather than by using discounted future cash flows.

Depreciated replacement cost is defined as the current replacement cost of an asset less, where applicable, accumulated depreciation calculated on the basis of such cost to reflect the already consumed or expired future economic benefits of the asset. The current replacement cost of an asset is its cost measured by reference to the lowest cost at which the future economic benefits of that asset could currently be obtained in the normal course of business.

(k) InventoriesInventories are stated at the lower of cost and net realisable value. Net realisable value represents the estimated selling price for inventories less all estimated costs of completion and costs necessary to make the sale. Where inventories are held for distribution or are to be consumed by the Group in providing services or aid at no or nominal charge, they are valued at cost, adjusted when applicable for any loss of service potential.

(l) Trade and other receivablesTrade receivables are recognised and carried at original invoice amount less an allowance for any uncollectible amounts.

An estimate for doubtful debts is made when collection of the full amount is no longer probable. Bad debts are written off when identified.

(m) financial liabilitiesFinancial liabilities, including borrowings, are initially measured at fair value, net of transaction costs.

Financial liabilities are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective yield basis.

The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the financial liability, or, where appropriate, a shorter period.

(n) Trade and other payablesTrade and other payables represent unpaid liabilities for goods received by and services provided to the Group prior to the end of the financial year. The amounts are unsecured and are normally settled within 30 days.

(o) LeasesLeases where the lessor retains substantially all the risks and benefits of ownership of the asset are classified as operating leases. Initial direct costs incurred in negotiating an operating lease are added to the carrying amount of the leased asset and recognised over the lease term on the same basis as the lease income.

Operating lease payments are recognised as an expense in the Statement of Comprehensive Income on a straight-line basis over the lease term.

Finance leases, which transfer to the Group substantially all the risks and benefits included in ownership of the leased item, are capitalised at the inception of the lease at the fair value of the leased property or, if lower, at the present value of the minimum lease payments.

Lease payments are apportioned between the finance charges and reduction of the lease liability so as to achieve a constant rate of interest on the remaining balance of the liability. Finance charges are charged directly against income.

Capitalised leased assets are depreciated over the shorter of the estimated useful life of the asset or the lease term.

(p) Employee benefitsA liability is recognised for benefits accruing to employees in respect of wages and salaries, annual leave and long service leave when it is probable that settlement will be required and they are capable of being measured reliably.

Sick leave is non-vesting and has not been provided for.

Liabilities recognised in respect of employee benefits expected to be settled within 12 months, are measured at their nominal values using the remuneration rate expected to apply at the time of settlement.


Liabilities recognised in respect of employee benefits which are not expected to be settled within 12 months are measured as the present value of the estimated future cash outflows to be made by the Group in respect of services provided by employees up to reporting date.

(q) Standards and Interpretations affecting amounts reported in the current period (and/or prior periods)The following new and revised Standards and Interpretations have been adopted in the current period and have affected the amounts reported or disclosed in these financial statements. Details of other Standards and Interpretations adopted in these financial statements but that have no effect on the amounts reported are set out in Note 1(r).

Standards affecting presentation and disclosure

StandardAmendments to AASB 7 ‘Financial Instruments: Disclosure’ (adopted in advance of effective date of 1 January 2011)

The amendments (part of AASB 2010-4 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’) clarify the required level of disclosures about credit risk and collateral held and provide relief from disclosures previously required regarding renegotiated loans.

Amendments to AASB 101 ‘Presentation of Financial Statements’ (adopted in advance of effective date of 1 January 2011)

The amendments (part of AASB 2010-4 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’) clarify that an entity may choose to present the required analysis of items of other comprehensive income either in the statement of changes in equity or in the notes to the financial statements.

Amendments to AASB 107 ‘Statement of Cash Flows’

The amendments (part of AASB 2009-5 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’) specify that only expenditures that result in a recognised asset in the statement of financial position can be classified as investing activities in the statement of cash flows.

Standards and Interpretations affecting the reported results or financial positionThere are no new and revised Standards and Interpretations adopted in these financial statements affecting the reporting results or financial position.

(r) Standards and Interpretations adopted with no effect on financial statementsThe following new and revised Standards and Interpretations have also been adopted in these financial statements. Their adoption has not had any significant impact on the amounts reported in these financial statements but may affect the accounting for future transactions or arrangements.

StandardAASB 2009-5 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’

Except for the amendments to AASB 107 described earlier this section, the application of AASB 2009-5 has not had any material effect on amounts reported in the financial statements.

AASB 2010-4 ‘Further Amendments to Australian Accounting Standards arising from the Annual Improvements Project’

Except for the amendments to AASB 7 and AASB 101 described earlier this section, the application of AASB 2010-4 has not had any material effect on amounts reported in the financial statements.

(s) Standards and Interpretations in issue not yet adoptedAt the date of authorisation of the financial statements, the Standards and Interpretations listed below were in issue but not yet effective.

Standard Effective for annual reporting periods

beginning on or after

Expected to be initially applied in the financial year ending

AASB 124 ‘Related Party Disclosures’ (revised December 2009), AASB 2009-12 ‘Amendments to Australian Accounting Standards’

1 January 2011 30 June 2012

AASB 9 ‘Financial Instruments’, AASB 2009-11 ‘Amendments to Australian Accounting Standards arising from AASB 9’ and AASB 2010-7 ‘Amendments to Australian Accounting Standards arising from AASB 9 (December 2010)’

1 January 2013 30 June 2014

AASB 2010-5 ‘Amendments to Australian Accounting Standards’ 1 January 2011 30 June 2012AASB 2010-6 ‘Amendments to Australian Accounting Standards – Disclosures on Transfers of Financial Assets’

1 July 2011 30 June 2012

(t) Comparative figuresWhen required by Accounting Standards, comparative figures have been adjusted to conform to changes in presentation for the current financial year.



CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 2. rEVENUE AND OThEr INCOmE

(a) Fundraising activitiesBequests 2,562,485 2,807,567 1,883,372 2,249,415 Donations 6,037,290 7,929,106 5,845,163 5,505,732

8,599,775 10,736,673 7,728,535 7,755,147

(b) Government grantsCouncils/Conferences/Centres 893,448 824,714 893,448 824,714 Community Services 10,368,954 11,457,818 - -Aged Care 12,374,114 10,651,283 - -Ozanam Enterprises 692,937 693,745 - -

24,329,453 23,627,560 893,448 824,714

(c) Sale of goodsSales – Centres of Charity 26,354,168 24,723,554 26,354,168 24,723,554Sales – Groceries 231,515 226,485 231,515 226,485Sales – Piety 313,836 319,710 313,836 319,710Sales – Ozanam Enterprises 807,239 778,856 - -

27,706,758 26,048,605 26,899,519 25,269,749

(d) Other revenueClient rent/fees 5,518,508 5,131,680 - -Accommodation bonds retention 328,145 355,094 - -Accommodation charge 342,349 213,987 - -Interest received – bank deposits 1,450,343 1,012,305 198,408 196,871Interest received – held-to-maturity investments 366,880 424,666 264,821 276,567Interest received – other persons 205,816 197,814 - -Investment income – shares in listed corporations 135,638 33,956 65,043 10,161Sundry income 2,226,015 670,763 521,001 623,269

10,573,694 8,040,265 1,049,273 1,106,868

(e) Net gain on sale of property, plant and equipment 45,583 833,282 76,373 851,560

TOTAL REVENUE 71,255,263 69,286,385 36,647,148 35,808,038

OThEr INCOmE/(ExPENSES)(f) Changes in fair value of financial assets designated as at fair value through Statement of Comprehensive Income 16,163 (24,629 ) - 21,752


CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 3. OPErATING SUrPLUS/(DEfICIT)

OPErATING ExPENSES(a) Cost of salesEmployee salaries & benefits 8,445,476 7,423,726 7,156,654 6,206,601Cost of goods sold – purchases/materials 2,210,807 1,347,803 2,092,431 1,241,690Depreciation and amortisation 72,341 54,850 - - Construction costs expensed 811 11,266 - - Selling & Administration 9,304,369 8,744,409 9,112,445 8,566,185

20,033,804 17,582,054 18,361,530 16,014,476

(b) Fundraising/public relationsEmployee salaries & benefits 621,325 626,179 621,325 626,179Promotion 225,425 165,500 225,425 165,500Other 585,154 583,884 585,154 583,884

1,431,904 1,375,563 1,431,904 1,375,563

(c) AdministrationComputer maintenance 85,169 36,833 85,169 36,833Legal & Audit 48,427 81,536 43,436 79,536Employee salaries & benefits 1,186,191 1,071,659 1,186,191 1,071,659Depreciation & amortisation 350,956 364,693 350,956 364,693Insurance 206,720 214,387 206,720 214,387Motor vehicle running costs 44,236 47,921 44,236 47,921Printing/Postage/Office supplies 188,993 193,787 188,993 193,787Repairs & maintenance 8,890 14,718 8,890 14,718Telephone 36,033 43,224 36,033 43,224Training 92,399 82,181 92,399 82,181Travel & accommodation 4,506 10,258 4,506 10,258Other – includes Shared Services costs 112,672 202,486 157,550 202,416State Council 276,030 342,800 276,030 342,800

2,641,222 2,706,483 2,681,109 2,704,413

(d) Impairment expensesImpairment of held-to-maturity investments carried at amortised cost - 391,902 - -Impairment of Aged Care bed licences 1,750,000 - - -

1,750,000 391,902 - -

(e) People in Need ServicesAccommodation/Transport 878,401 1,078,946 878,401 1,078,946Cash 33,194 50,806 33,194 50,806Food vouchers 4,697,610 5,502,159 4,697,610 5,502,159Food purchases 1,296,194 1,383,078 1,296,194 1,383,078Whitegoods 545,196 629,326 545,196 629,326Utilities 430,658 541,100 430,658 541,100Medical 129,884 187,615 129,884 187,615Education 466,208 1,146,788 466,208 1,146,788Compassionate 14,416 15,928 14,416 15,928Youth 71,590 94,512 71,590 94,512Bushfire & flood relief 279,246 2,801,287 279,246 2,801,287Overseas 510,614 576,558 510,614 576,558Bursary 42,497 50,754 42,497 50,754 Sundry 184,041 394,011 565,317 482,017

9,579,749 14,452,868 9,961,025 14,540,874


CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 3. OPErATING SUrPLUS/(DEfICIT) (CONT.)

OPErATING ExPENSES (CONT.)

(f) Residential Aged Care ServicesCatering & Food 780,750 777,465 - - Cleaning 359,736 325,670 - - Depreciation 1,158,483 1,054,970 - - Employee salaries & benefits 12,154,602 11,175,298 - -Occupancy 160,320 122,161 - -Medical & other supplies 413,015 369,001 - -Legal & Audit 220,194 162,185 - -Motor vehicle running costs 53,446 48,699 - -Repairs & maintenance 493,806 445,680 - -Resident amenities 276,843 243,061 - -Telephone 38,645 37,737 - -Utilities 497,815 470,417 - - Workcover 314,320 251,873 - - Interest paid – other persons 65,980 51,805 - - Other 1,090,204 1,261,021 - -

18,078,159 16,797,043 - -

(g) Homelessness & Housing ServicesCleaning/Waste removal 283,573 257,255 - -Client support/Emergency accommodation 1,763,508 1,287,531 - -Depreciation 585,051 498,493 - - Employee salaries & benefits 7,522,741 7,286,019 - - Occupancy 222,616 465,964 - - Legal & Audit 150,380 97,928 - - Motor vehicle running costs 175,596 174,514 - - Repairs & maintenance 362,681 251,482 - - Telephone 98,768 102,356 - - Utilities 237,445 208,540 - - Interest paid – other persons 5 - - -Other 762,770 777,010 - -

12,165,134 11,407,092 - -

(h) Support ServicesAccounting & payroll support 202,395 196,500 202,395 196,500Conference Support – employee salaries & benefits 1,171,107 1,126,221 1,171,107 1,126,221Conference Support – other 326,061 284,871 326,061 284,871State, National, International Councils 603,264 748,000 603,264 748,000 Conference operating costs 728,397 764,802 728,397 764,802

3,031,224 3,120,394 3,031,224 3,120,394

68,711,196 67,833,399 35,466,792 37,755,720



CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

(i) Other itemsSurplus/(deficit) from operating activities has been determined after:

(i) ExpensesDepreciation of property, plant & equipment 3,605,916 3,310,603 1,828,516 1,724,412Amortisation of intangibles 131,413 73,574 92,938 51,452Construction costs expensed 9,185 253,488 - 20,782Impairment of trade receivables 4,781 6,912 - -Bad debts written off 3,885 - - -Rental expense on operating leases- Minimum lease payments 3,868,229 3,560,504 3,666,982 3,364,700Employee salaries & benefits 29,930,335 27,582,881 8,964,170 7,904,439Remuneration of Auditor- Audit 91,293 101,649 28,793 39,650 - Contract management review 19,350 - - -

110,643 101,649 28,793 39,650

37,664,387 34,889,611 14,581,399 13,105,435

(ii) Net gainNet gain on sale of property, plant and equipment 45,583 833,282 76,373 851,560

(iii) Flood damage repair costs

Costs of $102,638 have been recognised by the Group during the year in respect of flood damage repairs to be carried out at 179 Flemington Road, North Melbourne, which have been included in Repairs & Maintenance under Homelessness & Housing Services. The amount represents the estimated cost of work to be carried out in 2012. A provision of $102,638 has been carried forward to meet anticipated expenditure in 2012 (see note 14) and the insurance recovery received of $102,638 has been included in Sundry Income under Other Revenue (see note 2(d)).

NOTE 4. KEY mANAGEmENT PErSONNEL COmPENSATION

ShOrT-TErm EmPLOYEE bENEfITS- Salary & Fees 1,908,785 1,649,200 953,276 904,700- Non-Cash Benefits 165,600 127,000 73,200 61,000

POST-EmPLOYmENT bENEfITS- Superannuation 171,791 148,500 85,795 81,500

Total 2,246,176 1,924,700 1,112,271 1,047,200



CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 5. CASh AND CASh EQUIVALENTSCash on hand 54,463 62,154 38,823 44,914

Cash deposits with banks Councils & Central Office 1,011,871 692,280 1,011,871 692,280 VincentCare Victoria 1,319,232 801,168 - - SVDP Victoria Endowment Fund 2,069,098 110,399 - - Society of St Vincent de Paul (Victoria) 4,874 4,873 - -

Term Deposits Councils, Central Office & Conferences 8,119,130 4,139,426 8,119,130 4,139,426 VincentCare Victoria 22,867,973 19,936,583 - - SVDP Victoria Endowment Fund 500,000 1,100,000 - -

35,946,641 26,846,883 9,169,824 4,876,620

NOTE 6. TrADE AND OThEr rECEIVAbLESTrade debtors (i) 840,878 492,203 200,261 106,062Allowance for doubtful debts (37,500 ) (32,719 ) - -

803,378 459,484 200,261 106,062

Other debtors 605,270 771,954 423,039 449,004Amount receivable from VincentCare Victoria - - 58,133 -

Total Current Receivables 1,408,648 1,231,438 681,433 555,066

(i) The average credit period on sale of goods and rendering of services is 30-60 days. No interest is charged on the trade receivables. An allowance has been made for estimated irrecoverable trade receivable amounts arising from the sale of goods and rendering of services, determined by reference to past default experience.

Included in the Group’s trade receivable balance are debtors with a carrying amount of $1,532 (2010: $48,770) which are past due at the reporting date for which the Group has not provided as there has not been a significant change in credit quality and the amounts are still considered recoverable. The Group does not hold any collateral over these balances. The average age of these receivables is 109 days (2010: 99 days).

AGEING Of PAST DUE DEbTOrS61-90 days 11,832 56,456 1,889 -Over 90 days 27,200 25,033 - -

39,032 81,489 1,889 -

mOVEmENT IN ThE ALLOWANCE fOr DOUbTfUL DEbTSBalance at the beginning of the year 32,719 25,807 - -Impairment losses recognised on receivables 24,300 14,500 - -Impairment losses written off against allowance for doubtful debts (519 ) (753 ) - -Impairment losses reversed (19,000 ) (6,835 ) - -Balance at the end of the year 37,500 32,719 - -

In determining the recoverability of a trade receivable, the Group considers any change in the credit quality of the trade receivable from the date credit was initially granted up to the reporting date. The concentration of credit risk is limited due to the customer base being large and unrelated. Accordingly, State Council believes that there is no further credit provision required in excess of the allowance for doubtful debts.


CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 7. INVENTOrIESFinished goods 216,614 235,552 201,587 213,367

NOTE 8. OThEr fINANCIAL ASSETSHeld-to-maturity investments carried at amortised cost:CUrrENTMedium term notes 2,000,000 4,932,690 2,000,000 4,000,000

NON-CUrrENTMedium term notes 500,000 2,000,000 - 2,000,000Collateralised debt obligations - - - - Units in equity linked investment - - - -

500,000 2,000,000 - 2,000,000

Financial assets carried at fair value through Statement of Comprehensive Income:CUrrENTShares in listed corporations 1,825,483 1,273,787 3,200 245,804

4,325,483 8,206,477 2,003,200 6,245,804

Disclosed in the financial statements as:Current financial assets 3,825,483 6,206,477 2,003,200 4,245,804Non-current financial assets 500,000 2,000,000 - 2,000,000

4,325,483 8,206,477 2,003,200 6,245,804



NOTE 8. OThEr fINANCIAL ASSETS (CONT.)maturity

DateConsolidated Entity

2011Consolidated Entity

2010Parent Entity

2011Parent Entity

2010

Units $ Units $ Units $ Units $mEDIUm TErm NOTESFloating rate note CBA Subordinate Debt (i) 10 Nov 2010 - - 1,000,000 932,690 - - - - Floating rate note Colonial Finance (i) 24 Mar 2011 - - 3,000,000 3,000,000 - - 3,000,000 3,000,000 Floating rate note HSBC (i) 19 May 2011 - - 1,000,000 1,000,000 - - 1,000,000 1,000,000 Floating rate note Macquarie (i) 31 May 2012 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 2,000,000 Floating rate note CBA Retail Bonds (i) 24 Dec 2015 5,000 500,000 - - - - - -

2,005,000 2,500,000 7,000,000 6,932,690 2,000,000 2,000,000 6,000,000 6,000,000 COLLATErALISED DEbT ObLIGATIONSCorsair Pure (CBA) (ii) - - 3,000,000 - - - - -

- - 3,000,000 - - - - -

(i) The Group holds medium term notes returning a variable rate of interest. The weighted average rate on these securities is 5.49% (2010: 5.14%). The notes are redeemable at face value at maturity dates ranging between 1 to 42 months from reporting date.

(ii) Corsair Pure On 20 December 2010, the PURE AAA Managed Notes were redeemed by the Issuer, Corsair (Jersey) No.2 Limited,

at zero value, following a credit default which had exceeded the remaining principal amount of the notes. The Group received no further principal or interest payments.

CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 9. INVESTmENTS IN CONTrOLLED ENTITIESNON CUrrENTInvestments in controlled entities - - 57,807,700 55,555,537

Country of Incorporation

Percentage Owned

PArENT ENTITY:St Vincent de Paul Society Victoria Inc. Australia - - CONTrOLLED ENTITIES Of ST VINCENT DE PAUL SOCIETY VICTOrIA INC.VincentCare Victoria (i) Australia 100% 100%Society of St Vincent de Paul (Victoria) Australia 100% 100%St Vincent de Paul Victoria Endowment Fund Australia 100% 100%VincentCare Community Housing (ii) Australia 100% 100%

(i) Formerly known as St Vincent de Paul Aged Care and Community Services.(ii) Formerly known as St Vincent de Paul Community Housing. During the financial year:

• TheSocietycontributedafurther$1,391,446(2010:$1,674,642)toStVincentdePaulVictoriaEndowmentFund;• TheSocietyreceivedinterestincomeof$263,664(2010:$130,174)fromStVincentdePaulVictoriaEndowmentFund;and• TheSocietycontributed$1,124,381(2010:$656,726)toVincentCareVictoriatofundthedevelopmentof9

independent living units in Red Cliffs. The purpose of the St Vincent de Paul Victoria Endowment Fund is to provide a separate entity into which a percentage of

the untied bequests will be channelled over a period of time, and remain within the fund with interest earnings flowing back to St Vincent de Paul Society Victoria Inc. or its controlled entities.


CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 10. OThEr ASSETS – CUrrENTGST recoveries 241,188 249,682 240,939 249,682Prepayments 521,863 560,118 345,158 315,545

763,051 809,800 586,097 565,227

NOTE 11. PrOPErTY, PLANT & EQUIPmENT

LANDAt cost 22,975,608 22,247,852 9,115,844 8,966,841

bUILDINGSAt cost 37,649,261 35,160,328 11,401,207 11,278,295Buildings under construction 35,087 1,356,916 5,159 417,269Less accumulated depreciation (6,172,447 ) (5,264,139 ) (2,293,178 ) (2,020,580 )

31,511,901 31,253,105 9,113,188 9,674,984

bUILDING ImPrOVEmENTSAt cost 3,377,688 2,579,178 1,030,059 846,775Less accumulated depreciation (832,938 ) (549,499 ) (219,954 ) (129,712 )

2,544,750 2,029,679 810,105 717,063

LEASEhOLD ImPrOVEmENTSAt cost 2,745,701 2,693,058 1,870,564 1,831,517Less accumulated depreciation (1,071,181 ) (656,854 ) (917,867 ) (575,912 )

1,674,520 2,036,204 952,697 1,255,605

fUrNITUrE, PLANT & EQUIPmENTAt cost 10,134,374 8,627,913 3,587,373 3,324,367 Less accumulated depreciation (5,337,815 ) (4,252,436 ) (1,900,924 ) (1,401,630 )

4,796,559 4,375,477 1,686,449 1,922,737

mOTOr VEhICLESAt cost 5,380,886 5,415,737 3,857,102 3,871,576Less accumulated depreciation (3,401,182 ) (3,205,911 ) (2,534,712 ) (2,450,927 )

1,979,704 2,209,826 1,322,390 1,420,649

COmPUTEr hArDWArEAt cost 1,805,067 1,417,891 1,103,646 1,035,785Less accumulated depreciation (1,260,431 ) (875,991 ) (844,458 ) (576,831 )

544,636 541,900 259,188 458,954

ArTWOrK & ANTIQUITIESAt cost 2,980 2,980 2,455 2,455

66,030,658 64,697,023 23,262,316 24,419,288



NOTE 11. PrOPErTY, PLANT & EQUIPmENT (CONT.)rECONCILIATIONSReconciliations of the carrying amounts of each class of property, plant & equipment at the beginning and end of the current and previous financial year are set out below and in the following page.

CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

TOTAL LANDCarrying amount at beginning of financial year 22,247,852 22,089,125 8,966,841 8,808,114 Additions 578,753 314,727 - 314,727Disposals (92,999 ) (156,000 ) (92,999 ) (156,000 )Transfer of Capital WIP 242,002 - 242,002 - Carrying amount at end of financial year 22,975,608 22,247,852 9,115,844 8,966,841

TOTAL bUILDINGSCarrying amount at beginning of financial year 31,253,105 30,786,294 9,674,984 8,760,044Additions 2,041,278 2,628,145 89,071 1,281,868Transfer of Capital WIP (712,582 ) (959,838 ) (316,269 ) -Transfer to Intangibles (90,407 ) - - - Disposals (46,835 ) (81,250 ) (46,835 ) (81,250 )Construction costs expensed (9,185 ) (253,488 ) - (20,782 )Less depreciation (923,473 ) (866,758 ) (287,763 ) (264,896 )Carrying amount at end of financial year 31,511,901 31,253,105 9,113,188 9,674,984

TOTAL bUILDING ImPrOVEmENTSCarrying amount at beginning of financial year 2,029,679 1,552,966 717,063 456,099Additions 646,682 637,137 143,987 336,606Transfer from Capital WIP 135,022 77,421 58,697 -Reclassification 36,138 - - -Disposals (15,822 ) - (15,822 ) -Less depreciation (286,949 ) (237,845 ) (93,820 ) (75,642 )Carrying amount at end of financial year 2,544,750 2,029,679 810,105 717,063

TOTAL LEASEhOLD ImPrOVEmENTSCarrying amount at beginning of financial year 2,036,204 957,952 1,255,605 941,471Additions 37,073 651,789 23,477 650,027Transfer from Capital WIP 15,570 820,610 15,570 -Less depreciation (414,327 ) (394,147 ) (341,955 ) (335,893 )Carrying amount at end of financial year 1,674,520 2,036,204 952,697 1,255,605

TOTAL fUrNITUrE, PLANT & EQUIPmENTCarrying amount at beginning of financial year 4,375,477 4,034,667 1,922,737 1,644,071Additions 1,293,913 1,266,211 266,271 678,545Transfer from Capital WIP 252,019 4,537 - - Disposals (283 ) (199 ) (283 ) (199 )Reclassifications (36,138 ) - - -Less depreciation (1,088,429 ) (929,739 ) (502,276 ) (399,680 )Carrying amount at end of financial year 4,796,559 4,375,477 1,686,449 1,922,737


CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 11. PrOPErTY, PLANT & EQUIPmENT (CONT.)

TOTAL mOTOr VEhICLESCarrying amount at beginning of financial year 2,209,826 2,665,254 1,420,649 1,808,126Additions 681,374 358,161 553,687 167,191Disposals (401,967 ) (227,998 ) (316,870 ) (152,535 )Less depreciation (509,529 ) (585,591 ) (335,076 ) (402,133 )Carrying amount at end of financial year 1,979,704 2,209,826 1,322,390 1,420,649

TOTAL COmPUTEr hArDWArECarrying amount at beginning of financial year 541,900 623,737 458,954 552,282Additions 140,138 214,686 67,860 152,840Transfer from Capital WIP 67,969 - - -Transfer from Intangibles 177,838 - - -Less depreciation (383,209 ) (296,523 ) (267,626 ) (246,168 )Carrying amount at end of financial year 544,636 541,900 259,188 458,954

TOTAL ArTWOrK & ANTIQUITIESCarrying amount at beginning and end of financial year 2,980 2,980 2,455 2,455

TOTAL PrOPErTY, PLANT & EQUIPmENTCarrying amount at beginning of financial year 64,697,023 62,712,975 24,419,288 22,972,662Additions 5,419,211 6,070,856 1,144,353 3,581,804 Disposals (557,906 ) (465,447 ) (472,809 ) (389,984 )Transfer from Intangibles 177,838 (57,270 ) - - Transfer to Intangibles (90,407 ) - - - Construction costs expensed (9,185 ) (253,488 ) - (20,782 )Less depreciation (3,605,916 ) (3,310,603 ) (1,828,516 ) (1,724,412 )Carrying amount at end of financial year 66,030,658 64,697,023 23,262,316 24,419,288

An independent valuation of land and buildings is performed every three years. The latest valuation was performed in the 2009 financial year by Charter Keck Cramer and was valued at greater than cost so no impairment was recognised.

In accordance with the accounting policy in Note 1(h), land and buildings have not been revalued to the current market value.



CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 12. INTANGIbLES

AGED CArE bED LICENCESAged Care bed licences at cost 12,250,000 14,000,000 - -

COmPUTEr SOfTWArE & IT DEVELOPmENTAt cost 1,158,048 1,227,445 360,979 341,715 Less accumulated amortisation (880,439 ) (750,257 ) (229,857 ) (136,920 )

277,609 477,188 131,122 204,795

Total Intangibles 12,527,609 14,477,188 131,122 204,795

rECONCILIATIONSReconciliations of the carrying amounts of each class of intangible assets at the beginning and end of the current and previous financial year are set out below:

AGED CArE bED LICENCESCarrying amount at beginning of financial year 14,000,000 14,000,000 - - Impairment loss recognised in the Statement of Comprehensive Income (1,750,000 ) - - -Carrying amount at end of financial year 12,250,000 14,000,000 - -

TOTAL COmPUTEr SOfTWArE & IT DEVELOPmENTCarrying amount at beginning of financial year 477,188 115,009 204,795 90,659Additions 19,265 378,483 19,265 165,588Transfer from Capital WIP 90,407 57,270 - -Transfer to Computer Hardware (177,838 ) - - -Less amortisation (131,413 ) (73,574 ) (92,938 ) (51,452 )Carrying amount at end of financial year 277,609 477,188 131,122 204,795

TOTAL INTANGIbLESCarrying amount at beginning of financial year 14,477,188 14,115,009 204,795 90,659Additions 19,265 378,483 19,265 165,588Transfer from Capital WIP 90,407 57,270 - -Transfer to Computer Hardware (177,838 ) - - -Impairment loss recognised in the Statement of Comprehensive Income (1,750,000 ) - - -Less amortisation (131,413 ) (73,574 ) (92,938 ) (51,452 )Carrying amount at end of financial year 12,527,609 14,477,188 131,122 204,795

During the year, the Group carried out a review of the recoverable amount of the Aged Care bed licences. These licences are used in the Group’s Residential Aged Care segment. The review led to the recognition of an impairment loss of $1,750,000, which has been recognised in the Statement of Comprehensive Income. The recoverable amount of the bed licences has been determined based on an independent valuation performed by Herron Todd White which has indicated a reduction in the value of bed licences based on four transactions of Aged Care bed licences between February and April 2011. No impairment loss was recognised in 2010 as there was no indication of impairment from the broader sector.

The impairment loss has been included in the line item Impairment Expenses in the Statement of Comprehensive Income.


CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 13. TrADE AND OThEr PAYAbLESUnsecured:Trade creditors (i) 1,355,163 787,003 893,512 345,168Accrued creditors 990,272 590,241 238,963 241,325Other creditors 851,153 552,141 326,560 274,971Amount payable to VincentCare Victoria - - - 54,489Amount payable to SVDP Victoria Endowment Fund - - 1,120,744 1,468,270GST payable 95,752 68,309 - -

3,292,340 1,997,694 2,579,779 2,384,223

(i) The average credit period on purchases of goods is 30 days. No interest is charged on the trade payables. The Group has financial risk management policies in place to ensure that all payables are paid within the credit timeframe.

NOTE 14. PrOVISIONS

CUrrENTEmployee benefits (i) (a) 4,474,329 4,355,776 1,153,210 1,158,457 Other provision (ii) (b) 102,638 - - -

4,576,967 4,355,776 1,153,210 1,158,457

NON-CUrrENTEmployee benefits (a) 629,548 580,993 148,441 153,657

(a) Aggregate Employee Entitlement Liability 5,103,877 4,936,769 1,301,651 1,312,114

(b) Other provisionFlood damage repairs (ii)Provision recognised 102,638 - - -balance at 30 June 2011 102,638 - - -

(i) The current provision of employee benefits includes $3,773,069 (parent entity: $1,153,210) of annual leave and vested long service leave entitlements accrued but not expected to be taken within 12 months (2010: $3,648,585 and $1,158,457 for the Group and for the parent entity respectively).

(ii) The provision for flood damage repairs relates to the estimated cost of work agreed to be carried out to repair the flood damage at 179 Flemington Road, North Melbourne. Anticipated expenditure for 2012 is $102,638. The amount has not been discounted for the purpose of measuring the provision for flood damage repairs, because the effect is not material.

NOTE 15. OThEr LIAbILITIESUnsecured:Refundable accommodation bonds 13,493,420 13,203,301 - -Grants in advance 2,040,307 1,630,658 - - Prepaid income 109,408 204,353 246,479 404,353Other liabilities - 15,102 - -

15,643,135 15,053,414 246,479 404,353



NOTE 16. rESErVESNATUrE AND PUrPOSE Of rESErVES AS DISCLOSED IN ThE STATEmENT Of ChANGES IN EQUITY:Asset revaluation reserve $28,256,034 (2010: $28,256,034) – parent entity $13,235,238 (2010: $13,235,238)Represents previous increases in valuation of land and buildings. Land and buildings are now held at deemed cost, however the Group is using this reserve to keep a record of those previous revaluations.

Capital profits reserve $198,036 (2010: $198,036) – parent entity $Nil (2010: $Nil)Represents the capital value of land and building sold.

Fund-a-Future reserve $130,000 (2010: $130,000) – parent entity $Nil (2010: $Nil)Represents funds set aside for an accommodation and support program to homeless young people between the ages of 15 and 24.

Bequest reserve $6,124,750 (2010: $5,445,637) – parent entity $1,467,467 (2010: $1,467,467)The Group receives bequests where the bequestor has nominated a specific purpose or service to which the funds are to be directed. In these instances the Group establishes a reserve to recognise the unapplied funds from bequests of this nature. The reserve is supported by the Donations and Bequest Register that details the breakdown of the reserve.

Bushfire Appeal reserve $Nil (2010: $Nil) - parent entity $Nil (2010: $Nil)Represented funds set aside to assist Bushfire survivors as they return to re-establish their homes and livelihood within their communities.

Flood Relief Appeal reserve $418,195 (2010: $Nil) - parent entity $418,195 (2010: $Nil)Represents funds set aside to assist Victorian Flood victims as they return to re-establish their homes and livelihood within their communities.

CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 17. LEASE COmmITmENTS rECEIVAbLECommitments in relation to leases contracted for at the reporting date but not recognised as assets receivable:Within one year 83 33,159 50,083 83,159Later than one year but not later than 5 years - 83 100,000 150,083Later than five years - - - -

83 33,242 150,083 233,242

rEPrESENTINGNon-cancellable operating lease 83 33,242 150,083 233,242

The property leases are non cancellable leases spanning various terms with rental received monthly in advance.

NOTE 18. CAPITAL AND LEASE COmmITmENTS(A) LEASE COmmITmENTS PAYAbLECommitments in relation to leases contracted for at the reporting date but not recognised as liabilities payable:

Operating LeasesNot later than one year 3,044,388 3,606,750 2,915,770 3,465,742Later than one year but not later than 5 years 5,196,431 7,672,748 5,150,520 7,498,093Later than five years 1,437,708 3,482,456 1,436,998 3,481,733

9,678,527 14,761,954 9,503,288 14,445,568The property and equipment leases are non cancellable leases spanning various terms with rental paid monthly and quarterly in advance. This covers property leases for Centres and Community Services and equipment leases for the Group.

(b) CAPITAL COmmITmENTSCapital expenditure commitments contracted for:Purchase of property - 864,000 - -Building works and refurbishment projects - 1,472,324 - -

- 2,336,324 - -

PayableNot later than one year - 2,336,324 - -


CONSOLIDATED ENTITY

CONSOLIDATED ENTITY

PArENT ENTITY

PArENT ENTITY

2011 $

2010 $

2011 $

2010 $

NOTE 19. NOTES TO ThE STATEmENT Of CASh fLOWS(A) rECONCILIATION Of CASh AND CASh EQUIVALENTSCash and cash equivalents at the end of the financial period as shown in the Statement of Cash Flows is reconciled to the related items in the Statement of Financial Position as follows:Cash on hand 54,463 62,154 38,823 44,914Cash deposits with banks 4,405,075 1,608,720 1,011,871 692,280Bank term deposits 31,487,103 25,176,009 8,119,130 4,139,426Balance per Statement of Cash Flows 35,946,641 26,846,883 9,169,824 4,876,620

(b) rECONCILIATION Of CASh fLOWS frOm OPErATIONS WITh OPErATING SUrPLUS/DEfICITOperating surplus/(deficit) 2,560,230 1,428,357 1,180,356 (1,925,930 )

Non-cash flows and non-operating activities in operating surplus/deficitDepreciation and amortisation 3,737,329 3,384,177 1,921,454 1,775,864Construction costs expensed 9,185 253,488 - 20,782Gain arising on maturity of medium term notes (67,310 ) - - -Net gain on sale of property, plant and equipment (45,583 ) (833,282 ) (76,373 ) (851,560 )Net gain on disposal of shares in listed corporations (51,875 ) - (42,530 ) -Impairment of Aged Care Bed licences 1,750,000 - - -Impairment of held-to-maturity investments carried at amortised cost - 391,902 - -Change in fair value of financial assets designated as at fair value through statement of comprehensive income (16,163 ) 24,629 - (21,752 ) Gain on disposal of held-to-maturity investments carried at amortised cost - (15,000 ) - -Bequests received in the form of shares in listed corporations (289,884 ) (1,100,216 ) (289,884 ) (1,100,216 )Residents’ accommodation bond retentions (321,052 ) (336,805 ) - -Interest deducted from residents’ accommodation bond (162,187 ) (131,568 ) - -Interest payable on refund of residents’ accommodation bond 47,912 29,826 - -

Changes in assets and liabilities(Increase)/decrease in receivables (168,716 ) (10,928 ) (117,624 ) 205,178Decrease/(increase) in inventories 18,938 (32,119 ) 11,780 (37,235 )Decrease/(increase) in prepayments 38,255 (20,831 ) (29,613 ) 10,543Increase/(decrease) in payables and other liabilities 1,594,248 (292,379 ) 659,844 (423,794 )Increase/(decrease) in provisions 269,746 340,182 (10,463 ) 177,796

Cash Flows from operations 8,903,073 3,079,433 3,206,947 (2,170,324 )



NOTE 20. fINANCIAL INSTrUmENTS

(a) financial risk managementThe Group’s financial instruments consist mainly of deposits with banks, short-term investments, bank notes, accounts receivable and payable, and refundable accommodation bonds.

St Vincent de Paul Society Victoria Inc., VincentCare Victoria and St Vincent de Paul Victoria Endowment Fund operate under separate treasury policies, which set out the investment strategies and associated risk profiles of the entities. These are reviewed by the following Committees established for each entity:

The Finance CommitteeThe Finance Committee oversees the treasury function of the Society. Membership of the Society’s Finance Committee consists of representatives from State Council, the Chief Executive Officer, the Chief Financial Officer, the Finance Manager as well as external members selected for their particular financial and legal expertise.

The Investment Sub CommitteeThe Investment Sub Committee oversees the treasury function of St Vincent de Paul Victoria Endowment Fund. Membership of the Investment Sub Committee consists of representatives from the Society’s Finance Committee.

The Risk, Audit and Finance CommitteeThe Risk, Audit and Finance Committee oversees the treasury function of VincentCare Victoria and its subsidiary VincentCare Community Housing. Membership of the Risk, Audit and Finance Committee consists of representatives from VincentCare Victoria’s Board of Directors as well as the Chief Executive Officer, the General Manager of Risk Management and Continuous Quality Improvement, Manager Internal Audit and the Chief Financial Officer.

The abovementioned Committees will be referred to collatively as “the Committees” in these financial statements.

(i) Treasury risk managementThe Committees have the responsibility of determining the spread of investments across available financial investment options within the confines of their respective Treasury Policies and analysing interest rate exposure in the context of the most recent economic conditions and forecasts. The Committees meet on a regular basis to monitor movement in the financial investments and make recommendations to the Society’s State Council and VincentCare Victoria’s Board of Directors, respectively.

(ii) Financial risksThe main risks the Group is exposed to through its financial instruments are interest rate risk, liquidity risk and credit risk.

Interest rate riskThe Group is subject to normal commercial interest rate fluctuations on its bank accounts and money market instruments. For further details on interest rate risk, refer to Note 20(b).

Foreign currency riskThe Group is not exposed to fluctuations in foreign currencies.

Liquidity riskUltimate responsibility for liquidity risk management rests with the State Council and Board of Directors. The Committees have built an appropriate liquidity risk management framework for the management of the Group’s short, medium and long-term funding and liquidity management requirements. The Group manages liquidity risk by monitoring forecast cash flows and ensuring that adequate unutilised borrowing facilities are maintained. For further details on liquidity risk, refer to Note 20(c).


Price riskThe Group is not exposed to any material commodity price risk.

Other price riskThe Group is exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Group does not actively trade these investments.

The sensitivity analysis below has been determined based on the exposure to equity price risks at the end of the reporting period.

If equity prices had been 5% higher or lower, the Group’s net surplus would respectively increase or decrease by approximately $91,000 (2010: $64,000). The parent entity’s net surplus would respectively decrease or increase by approximately $160 (2010: net deficit would respectively increase or decrease by approximately $12,000).

Credit riskCredit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Group. The Group has adopted a policy of only dealing with creditworthy counterparties and obtaining sufficient collateral where appropriate, as a means of mitigating the risk of financial loss from defaults. The Group only transacts with entities that are rated the equivalent of investment grade and above. This information is supplied by independent rating agencies where available and, if not available, the Group uses publicly available financial information and its own trading record to rate its major customers. The Group’s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions concluded is spread amongst approved counterparties. Credit exposure is controlled by counterparty limits that are reviewed and approved by the Committees annually.

Trade receivables consist of a large number of customers, including Aged Care residents, Community Services clients and other customers spread across diverse industries and geographical areas. Ongoing credit evaluation is performed on the financial condition of accounts receivable.

The Group does not have any significant credit risk exposure to any single counterparty or any group of counterparties having similar characteristics.

The maximum exposure to credit risk, excluding the value of any collateral or other security, at balance date to recognised financial assets, is the carrying amount, net of any provisions for impairment of those assets, as disclosed in the Statement of Financial Position and notes to the financial statements.

(b) Interest rate riskThe Group’s exposure to interest rate risk, which is the risk that a financial instrument’s value will fluctuate as a result of changes in market interest rates, and the effective weighted average interest rates on those financial assets and financial liabilities, are presented in the schedule on the following page.

Exposures arise predominantly from assets bearing variable interest rates as the Group intends to hold fixed interest rate assets to maturity.

Interest rate sensitivityThe sensitivity analysis below has been determined based on the exposure to interest rates for both derivative and non- derivative instruments at the reporting date and the stipulated change taking place at the beginning of the financial year and held constant throughout the reporting period. A 50 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management’s assessment of the possible change in interest rates.

At reporting date, if interest rates had been 50 basis points higher or lower and all other variables were held constant, the Group’s net surplus would respectively increase or decrease by approximately $192,000 (2010: $176,000). The parent entity’s net surplus would respectively decrease or increase by approximately $56,000 (2010: net deficit would respectively increase or decrease by approximately $54,000). This is mainly attributable to the Group’s exposure to interest rates on its financial instruments.



NOTE 20. fINANCIAL INSTrUmENTS (CONT.)

(b) Interest rate risk (cont.)

Consolidated Entity

financial Instruments

Weighted average effective interest

rate

floating Interest

rate

fixed interest rate maturing in: Non Interest bearing

Total carrying amount as per

the statement of financial position

1 year or less Over 1 to 5 years

2011 2010 2011 $

2010 $

2011 $

2010 $

2011 $

2010 $

2011 $

2010 $

2011 $

2010 $

(i) fINANCIAL ASSETSCashSVDP Inc. 4.52% 4.07% 3,336,616 2,044,566 4,782,514 2,094,860 - - 1,050,694 737,194 9,169,824 4,876,620 VincentCare Victoria 5.24% 5.21% - - 24,181,638 20,730,663 - - 21,207 24,328 24,202,845 20,754,991 SVDP VIC Endowment Fund 5.21% 4.80% 2,057,602 32,229 511,496 1,178,170 - - - - 2,569,098 1,210,399 Society of SVDP (Victoria) - - - - - - - - 4,874 4,873 4,874 4,873

Trade and Other ReceivablesSVDP Inc. - - - - - - - - 623,300 555,066 623,300 555,066 VincentCare Victoria - - - - - - - - 784,377 698,125 784,377 698,125 SVDP VIC Endowment Fund - - - - - - - - 38,471 10,966 38,471 10,966

Other Financial AssetsSVDP Inc. 5.36% 4.95% 2,000,000 6,000,000 - - - - 3,200 245,804 2,003,200 6,245,804 VincentCare Victoria - - - - - - - - - - - - SVDP VIC Endowment Fund 1.28% 2.43% 500,000 932,690 - - - - 1,822,283 1,027,983 2,322,283 1,960,673 Total financial Assets 7,894,218 9,009,485 29,475,649 24,003,693 - - 4,348,406 3,304,339 41,718,272 36,317,517

(ii) fINANCIAL LIAbILITIESTrade and Other PayablesSVDP Inc. 1,459,035 861,464 1,459,035 861,464VincentCare Victoria 1,833,205 1,134,130 1,833,205 1,134,130SVDP VIC Endowment Fund 100 2,000 100 2,000

Refundable Accommodation BondsVincentCare Victoria 13,493,420 13,203,301 13,493,420 13,203,301Total financial Liabilities - - - - - - 16,785,760 15,200,895 16,785,760 15,200,895

Non-interest bearing other financial assets consist of shares in listed entities, carried at fair value.


(c) Liquidity riskThe following tables detail the Group’s remaining contractual maturity for its non-derivative financial liabilities. The table has been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Group can be required to pay. The table includes both interest and principal cash flows.

Weighted average interest rate

%

Less than 1 year $

1-5 years $

5+ years $

CONSOLIDATED2011Non-interest bearing - 16,785,760 - - 2010Non-interest bearing - 15,200,895 - -

PArENT ENTITY2011Non-interest bearing - 2,579,779 - - 2010Non-interest bearing - 2,384,223 - -

The following tables detail the Group’s remaining contractual maturity for its non-derivative financial assets. The table has been drawn up based on the undiscounted contractual maturities of the financial assets including interest that will be earned on those assets except where the Group anticipates that the cash flow will occur in a different period.

Weighted average interest rate

%

Less than 1 year $

1-5 years $

5+ years $

CONSOLIDATED2011Non-interest bearing - 2,526,372 - - Variable interest rate instruments 4.94% 7,507,794 627,692 - Fixed interest rate instruments 5.30% 29,682,001 - -

39,716,167 627,692 -

2010Non-interest bearing - 2,276,356 - - Variable interest rate instruments 4.94% 7,355,837 2,096,045 - Fixed interest rate instruments 5.21% 20,808,420 3,914,320 -

30,440,613 6,010,365 -

PArENT ENTITY2011Non-interest bearing - 1,677,194 - - Variable interest rate instruments 4.83% 5,444,376 - - Fixed interest rate instruments 5.48% 4,821,197 - -

11,942,767 - -

2010Non-interest bearing - 1,538,063 - - Variable interest rate instruments 4.92% 6,306,277 2,096,044 - Fixed interest rate instruments 5.26% 2,121,881 - -

9,966,221 2,096,044 -



NOTE 20. fINANCIAL INSTrUmENTS (CONT.)

(d) fair ValuesThe fair values of listed investments have been valued at the quoted market bid price at reporting date adjusted for transaction costs expected to be incurred. For other assets and liabilities, the fair value approximates their carrying value. No financial assets and financial liabilities are readily traded on organised markets in standardised form other than listed investments.

The aggregate fair values and carrying amounts of the Group’s financial assets and financial liabilities are disclosed in the Statement of Financial Position and in the notes to the financial statements.

Aggregate fair values and carrying amounts of the Group’s financial assets and financial liabilities at reporting date

2011 2010Carrying Amount

$fair Value

$Carrying Amount

$fair Value

$CONSOLIDATEDFinancial assetsCash 35,946,641 35,946,641 26,846,883 26,846,883 Trade and other receivables 1,446,148 1,408,648 1,264,157 1,231,439 Other financial assets 4,325,483 4,278,943 8,206,477 7,070,694

41,718,272 41,634,232 36,317,517 35,149,016

Financial liabilitiesTrade and other payables 3,292,340 3,292,340 1,997,594 1,997,594 Refundable accommodation bonds 13,493,420 13,493,420 13,203,301 13,203,301

16,785,760 16,785,760 15,200,895 15,200,895

PArENT ENTITYFinancial assets Cash 9,169,824 9,169,824 4,876,620 4,876,620 Trade and other receivables 681,433 681,433 555,066 555,066 Other financial assets 2,003,200 1,953,160 6,245,804 6,068,024

11,854,457 11,804,417 11,677,490 11,499,710

Financial liabilitiesTrade and other payables 1,459,035 1,459,035 861,464 861,464

1,459,035 1,459,035 861,464 861,464


NOTE 21. rELATED PArTY DISCLOSUrESTransactions between related parties are on normal commercial terms and conditions no more favourable than those available to other parties unless otherwise stated.

The parent entity is St Vincent de Paul Society Victoria Inc.

During the financial year:• TheSocietycontributed$330,000offundsraisedfromthe2010CEOSleepouttoVincentCareVictoriaafterdeducting

expenses incurred;• TheSocietyreceivedfromVincentCareVictoria$50,000(2010:$50,000)fortherentaloftheofficepremisesatProspect

Street, Box Hill;• TheSocietypaidVincentCareVictoria$44,958(2010:received$72,033)forthemanagementofsharedservices;and• TheSocietypurchasedgoodstotalling$51,276(2010:$88,006)fromVincentCareVictoria.

The amount receivable from VincentCare Victoria is $58,133 (2010: payable $54,489).

During the financial year:• TheSocietycontributedafurther$1,391,446(2010:$1,674,642)totheStVincentdePaulVictoriaEndowmentFund

for the purpose disclosed in Note 9; and• TheSocietyreceivedinterestincomeof$263,664(2010:$130,174)fromStVincentdePaulVictoriaEndowmentFund.

The net amount payable to St Vincent de Paul Victoria Endowment Fund is $1,120,744 (2010: $1,468,270).

NOTE 22. SEGmENT rEPOrTING

St Vincent de Paul Society Victoria Inc.For management purposes, the parent entity is organised into two major operating divisions, being Centres of Charity and Conferences and Councils. The divisions are the basis on which the parent entity reports its primary segment information.

The Centres of Charity segment provides material aid free of charge to those in need and sells surplus donated goods.

The Conferences and Councils segment provides assistance to those in need.

Financial information about the parent entity’s business segments is presented in the schedule on the following page.

VincentCare VictoriaFor management purposes, the entity is organised into three major operating divisions, being Residential Aged Care Services, Community Services and Disability Employment Services. The divisions are the basis on which the entity reports its primary segment information.

The Residential Aged Care Services segment provides care and accommodation for elderly citizens and disadvantaged citizens through a mix of hostels and nursing homes.

The Community Services segment operates a range of accommodation and support initiatives for people who experience homelessness; providing help with issues such as general health concerns, drug and alcohol abuse, employment education and training options, social exclusion and isolation, and supporting victims of family violence. This segment also includes managing the delivery of care to the elderly in their homes, also known as the Community Aged Care Packages program, the management of independent living units and a day therapy centre.

The Disability Employment Services segment provides supported employment for people with a disability.

There are no inter-segment transactions.

Financial information about the entity’s business segments is presented in the schedule on the following page.

VincentCare Community housingFor management purposes, the entity has one major operating division, being Community Housing.

The entity undertakes activities to promote the relief of poverty, sickness or the needs of the aged by providing affordable rental housing and associated services to persons in need of housing.

Financial information about the entity’s business segment is presented in the schedule on the following page.



NOTE 22. SEGmENT rEPOrTING (CONT.)Primary reporting – business segments

Centres of Charity $

Conferences & Councils

$

residential Aged Care $

Community Services $

Community housing

$

Disability Employment Services $

Elimination $

Consolidated $

2011REVENUEFundraising activities - 7,728,535 475,342 683,777 - 42,121 (330,000 ) 8,599,775Government grants - 893,448 12,374,114 8,484,078 1,884,876 692,937 - 24,329,453Sale of goods 26,354,168 545,351 - - - 858,515 (51,276 ) 27,706,758Client / resident fees - - 4,680,381 838,127 - - - 5,518,508Accommodation bond retentions - - 328,145 - - - - 328,145Accommodation charge - - 342,349 - - - - 342,349Interest and other investment income - 791,936 1,165,100 178,868 13 22,760 - 2,158,677Sundry income - 521,001 666,140 1,080,695 - 8,179 (50,000 ) 2,226,015Net (loss)/gain on sale of property, plant & equipment (50,703 ) 127,076 (21,644 ) (4,561 ) - (4,585 ) - 45,583Total segment revenue 26,303,465 10,607,347 20,009,927 11,260,984 1,884,889 1,619,927 (431,276 ) 71,255,263

OTHER INCOMEChanges in value of investment - 16,163 - - - - - 16,163

RESULTSegment (deficit)/surplus (892,878 ) 2,347,990 179,010 978,713 - (52,605 ) - 2,560,230

ASSETSSegment assets 23,721,988 18,219,311 39,646,235 14,068,197 15,000 1,308,735 (1,178,877 ) 95,800,589Unallocated Group assets 25,418,115Consolidated total assets 121,218,704

LIABILITIESSegment liabilities 2,032,205 1,945,705 16,486,830 3,249,084 506,683 269,758 (1,178,877 ) 23,311,388Unallocated Group liabilities 830,502Consolidated total liabilities 24,141,890

Depreciation and amortisation of segment assets 1,352,980 568,474 1,158,483 585,051 - 72,341 - 3,737,329

Acquisition of non-current segment assets 789,647 373,971 1,176,718 2,483,739 - 511,126 - 5,335,201Unallocated Group acquisition of non-current assets 103,275

5,438,476


Centres of Charity

$

Conferences & Councils $

residential Aged Care $

Community Services $

Community housing

$

Disability Employment Services $

Elimination $

Consolidated $

2010REVENUEFundraising activities - 7,755,147 1,241,437 1,590,957 - 149,132 - 10,736,673Government grants - 824,714 11,457,818 9,628,348 1,022,935 693,745 - 23,627,560Sale of goods 24,723,554 546,195 - - - 866,862 (88,006 ) 26,048,605Client / resident fees - - 4,383,660 748,020 - - - 5,131,680Accommodation bond retentions - - 355,094 - - - - 355,094Accommodation charge - - 213,987 - - - - 213,987Interest and other investment income - 483,599 871,125 161,486 - 22,357 1,538,567 -Sundry income - 753,443 11,332 1,172,627 1,852 8,503 (1,146,820 ) 800,937Net gain/(loss) on sale of property, plant & equipment 868,868 (17,308 ) (10,482 ) (7,423 ) - (373 ) - 833,282Total segment revenue 25,592,422 10,345,790 18,523,971 13,294,015 1,024,787 1,740,226 (1,234,826 ) 69,286,385

OTHER INCOMEChanges in value of investment - (24,629 ) - - - - - (24,629 )

RESULTSegment surplus/(deficit) 289,401 (2,133,607 ) 1,661,785 1,836,952 - 165,728 - 1,820,259Unallocated deficit (391,902 )Consolidated total surplus 1,428,357

ASSETSSegment assets 24,213,004 17,522,341 41,254,483 11,842,800 56,650 946,310 (1,722,756 ) 94,112,832Unallocated Group assets 22,391,529Consolidated total assets 116,504,361

LIABILITIESSegment liabilities 1,690,702 2,411,987 15,838,401 2,593,089 37,010 249,420 (1,722,756 ) 21,097,853Unallocated Group liabilities 889,924Consolidated total liabilities 21,987,777

Depreciation and amortisation of segment assets 1,251,281 524,583 1,054,970 498,493 - 54,850 - 3,384,177

Acquisition of non-current segment assets 2,451,882 1,295,510 782,218 1,342,587 - 46,173 - 5,918,370Unallocated Group acquisition of non-current assets 530,969

6,449,339

Secondary reporting – geographic segmentSt Vincent de Paul Society Victoria Inc. operates within Australia.VincentCare Victoria operates within Australia.VincentCare Community Housing operates within Australia.St Vincent de Paul Victoria Endowment Fund operates within Australia.Society of St Vincent de Paul (Victoria) operates within Australia.



NOTE 23. ECONOmIC DEPENDENCYA significant portion of the revenue of the subsidiary, VincentCare Victoria, is provided by the Commonwealth and State Governments in the form of grants and subsidies.

NOTE 24. rEmUNErATION Of AUDITOrSThe remuneration of auditors is disclosed in Note 3. No other services were provided during the year.

The auditor of St Vincent de Paul Society Victoria Inc. is Deloitte Touche Tohmatsu.

NOTE 25. SUbSEQUENT EVENTSNo matter or circumstance has arisen since 30 June 2011 that has significantly affected, or may significantly affect:(a) the consolidated operations in future financial years, or(b) the results of those operations in future financial years, or(c) the consolidated state of affairs in future financial years.


STATEmENT bY STATE COUNCILIn the opinion of the State Council the financial report as set out on pages 2 to 34:

1. Presents a true and fair view of the financial position of the St Vincent de Paul Society Victoria Inc. as at 30 June 2011 and its performance for the year ended on that date in accordance with Accounting Standards, Urgent Issues Group Interpretations and the Associations Incorporations Act (Vic) 1981.

2. At the date of this statement, there are reasonable grounds to believe that the St Vincent de Paul Society Victoria Inc. will be able to pay its debts as and when they become due and payable.

This statement is made in accordance with a resolution of the State Council, and is signed for and on behalf of the State Council by:

Tony Tome John hayes State President Treasurer

Dated this 24th day of September 2011

St Vincent de Paul Society Victoria Inc.AbN: 28 911 702 061

rN: A0042727Y

43 Prospect Street, Box Hill Vic 3128Locked Bag 4800, Box Hill Vic 3128

Telephone: (03) 9895 5800Facsimile: (03) 9895 5850

Email: [email protected]: www.vinnies.org.au/vic


INDEPENDENT AUDITOr’S rEPOrT TO ThE mEmbErS Of ST VINCENT DE PAUL SOCIETY VICTOrIA INC.We have audited the accompanying financial report of the St Vincent de Paul Society Victoria Inc., which comprises the consolidated statements of financial position as at 30 June 2011, the consolidated statements of comprehensive income, the consolidated statements of cash flows and the consolidated statements of changes in equity for the year then ended, notes comprising a summary of significant accounting policies and other explanatory information, and the Statement by State Council of the consolidated entity comprising the association and the entities it controlled at the year’s end or from time to time during the financial year as set out on pages 2 to 35.

The State Council’s responsibility for the financial report The State Council is responsible for the preparation and fair presentation of the financial report in accordance with Australian Accounting Standards, the Associations Incoporations Act (Vic) 1981, and for such internal control as the State Council determine is necessary to enable the preparation of the financial report that is free from material misstatement, whether due to fraud or error.

Auditor’s responsibilityOur responsibility is to express an opinion on the financial report based on our audit. We conducted our audit in accordance with Australian Auditing Standards and the Associations Incoporations Act (Vic) 1981. Those standards require that we comply with relevant ethical requirements relating to audit engagements and plan and perform the audit to obtain reasonable assurance whether the financial report is free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial report. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by the State Council, as well as evaluating the overall presentation of the financial report.

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

OpinionIn our opinion, the financial report of the St Vincent de Paul Society Victoria Inc. presents fairly, in all material respects, the association’s and consolidated entity’s financial position as at 30 June 2011 and their financial performance for the year ended in accordance with Australian Accounting Standards and the Association Incorporations Act (Vic) 1981.

Deloitte Touche Tohmatsu

Alison brownPartnerChartered Accountants

Melbourne, 24 September 2011

Deloitte Touche TohmatsuABN 74 490 121 060

550 Bourke StreetMelbourne VIC 3000

GPO Box 78Melbourne VIC 3001 Australia

Tel: +61 (0) 3 9671 7000Fax: +61 (03) 9671 7001

www.deloitte.com.au

Liability limited by a scheme approved under Professional Standards Legislation.Member of Deloitte Touche Tohmatsu

HOw yOU CAN HELP

you can help the St Vincent de Paul Society help others by:

Making a financial donationCredit card donations can be made by visiting our website or calling the donation hotline. All donations of $2 or more are tax deductible.Online www.vinnies.org.au or call 13 18 12

Making regular financial donationsRegular donations to assist the work of the Society can be made by credit card or direct debit from your bank account. Donating this way reduces Society expenses and can be arranged by visiting our website or calling the office. All donations of $2 or more are tax deductible.Online www.vinnies.org.au or call 03 9895 5800

Making a BequestConsider remembering the St Vincent de Paul Society in your Will. All non-specified bequests are invested in the St Vincent de Paul Victoria Endowment Fund, providing much needed funds for special projects and initiatives. The Society is able to assist thousands of people because of the generosity of those who have remembered us in their Will. For an information booklet or to speak to our Bequest CoordinatorCall 03 9895 5800

Volunteering your timeIf you are interested in becoming a member of a conference or volunteering your time to assist people in your community through any of the Society’s servicesCall 03 9895 5800

Donating goodsDonations of quality clothing, furniture and household goods can be made to any Vinnies Centre.Call 1800 621 349

St Vincent de Paul Society Victoria Inc.Locked Bag 4800, Box Hill Vic 312843 Prospect Street, Box Hill Vic 3128Phone: 03 9895 5800 Fax: 03 9895 5850Email: [email protected]: 28 911 702 061 RN: A0042727Y

VincentCare VictoriaLocked Bag 4700, Box Hill Vic 312843 Prospect Street, Box Hill Vic 3128Phone: 03 9895 5900 Fax: 03 9895 5950Email: [email protected]: 53 094 807 280ACN: 094 807 280

www.vinnies.org.au www.vincentcare.org.au

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