annual report 2014 - bendigo bank · 2019. 5. 26. · 2 annual report mt evelyn & districts...

Mt Evelyn Community Bank®BranchMontrose Community Bank®Branch

Annual Report2014

ABN 93 096 782 240

Mt Evelyn & DistrictsFinancial Services Limited

Annual report Mt Evelyn & Districts Financial Services Limited 1

Contents

Chairman’s report 2

Manager’s report 8

Directors’ report 9

Auditor’s independence declaration 14

Financial statements 15

Notes to the financial statements 19

Directors’ declaration 43

Independent audit report 44

NSX report 46

Annual report Mt Evelyn & Districts Financial Services Limited2

For year ending 30 June 2014

I am delighted to present the 2014 Chairman’s report for Mt Evelyn & Districts Financial Services Limited. This is

our 12th year of operation and our 13th Annual Report.

Our values

Mt Evelyn & Districts Financial Services Limited. operates by the following values:

• Commitmenttoexceedcustomerexpectations

• Productsrelevanttoourrespectivecustomers’lifestylesandneeds

• BeingproudtobearegionalandCommunity Bank® branch in building long-term relationships with our

customers

• Maintainingpublictrustbyalwaysactinginanethicalmanner

• Providingconvenientaccesstoourservices

• Delivering“value”andensuringequityandfairnessinpricing

• Leadingandempoweringourstafftomakeadifference

• Contributingtothecommunitiesinwhichweoperate.

Our vision

Mt Evelyn & Districts Financial Services Limited through its Community Bank® branch operations has continued

to provide profits that underpin enterprise and encourage generational, shareholder and community support for

bankingservices,whichinturnwillleadtoenhancedcommunityandworkenvironmentsstrengthenedbyethical

governance.

Our mission

Wehavefocusedonprovidingalevelandbreadthofbankingservicesthatbuildconfidenceandtrust,thereby

engaging the community to ensure long term sustainability and growth for the business, partnerships, community

andshareholders.Wehavecontinuedtoachievethroughexcellence,equality,integrity,loyalty,respectandtrust.

Our current position

There have been many achievements and also challenges as we endured another difficult year with a further cash

ratedropbytheRBA,makingeightinsuccessionsinceNovember2011.

Thelowinterestrateshavemadeitenticingforborrowerstomakeextrapaymentsontheirhomeloans.Thus,

someloansarebeingpaidoutsooner.ThiscoupledwithprofitshareadjustmentsfromBendigoandAdelaide

Bank,duetothecurrentbankingenvironment,haspresentedaverychallengingyearforthebranchteamsandthe

Board.

Thisnaturallyhasimpactedonourprofitability,andasoperationalcostsarefixedandoutofourcontrol,we

strategically and prudently monitored our sponsorship dollars, particularly in the second half of the financial year.

Alongwithaddressingthesponsorshipswithcut-backs,theBoardalsomadeaconsciousdecisionnottooffer

afullscaleCommunityGrantProgramthisyear,buttolookatanyapplicationsovertheyearona“one-on-one”

approach based on their merit.

Chairman’s report


Notwithstandingthischallengingbankingenvironment,thisforward-lookingviewfromtheBoardhasresultedina

beforetaxprofitof$169,355forthecompanyandenabledustopayadividendtoourshareholdersthisyear.

Thetotalbusinessbookhasincreasedto$203.6millionrepresentinganincreaseof$18.4millionor9.9%onthe

previous year. The business written as a result of the Canterbury Gardens Campaign has contributed to this total.

Mt Evelyn and Montrose Community Bank®brancheshaveexpandedtheircustomerbases.

Montrose Community Bank®Branchisnowshowingaprofitandissteadilybusieronadailybasiswithnew

accountenquiries.WelldonetoallthestaffatMontroseingettingthebranchtothisposition.

Mt Evelyn Community Bank®BranchreceivedanawardthatcoveredtheYarraRanges’15branchesfor“The

BranchwiththeHighestLendingfortheYear”.CongratulationstotheteamatMtEvelyn.

YourBoardisalwaysdiligentinmonitoringthefinancialpositionofthecompanytoensurethatwealwayshaveour

shareholders’ best interests foremost.

Directors

TheBoardiscommittedtothesuccessofMtEvelyn&DistrictsFinancialServicesLimited;ensuringthatthe

company maintains the highest standards of governance and that our community engagement is strong with

tangibleoutcomes.TheBoardisinexcellentshapetodeliversoundcorporategovernance,monitorrisks,meet

allfiduciaryrequirementsandprotectourshareholders’assets.Beingalwaysmindfulofsuccessionplanning,the

BoardexaminesitssizeregularlytodeterminewhetherthenumberofDirectorsisappropriate.

TheBoardhasundergonearenewalthisyearwithtwonewappointmentsandoneresignation.JanSimmons

resigned after a long standing tenure spanning over thirteen years. Jan, one of the inaugural Directors with the

company’s formation in 2001, is passionate about community prosperity and sustainability and had tremendous

inputintoourBoardonmattersaroundcommunitydevelopment,health,strengthandlearning.Janwillbemissed,

andwewishhereverysuccessinthenextchapterofherlife.

LauraLilleyjoinedtheBoardinDecember2013andbringsexperienceinaccountingproceduresandfinancial

reporting.Laura,aqualifiedCharteredAccountant,liveslocallywithherhusbandandtwochildren.Lauracurrently

worksasaManagementAccountantforanationalorganisation,alsoassistingherhusbandinrunningtheir

family’s electrical contract business. Over the years Laura has been involved in many community groups, from

tennis,basketballandscoutsduringherformativeyears,andcontinuesthisinvolvementthroughherownfamily’s

activities today.

Terry Marshall has headed up the Canterbury Gardens Campaign Steering Committee as Chairman since March

2013andwasinvitedtojointheBoardinAugust2014.TerryliveslocallytoCanterburyGardensandafterworking

for 34 years as a Sales Representative, is now semi-retired. Terry believes in strong communities and enjoys

makingarealcontribution.TerryisthecurrentPresidentofTheBasinWildcatsBasketballClubandhasastrong

understandingofworkinginateamenvironment.

WewelcomebothLauraandTerrytotheBoardandlookforwardtotheirvaluedcontribution.

TheBoardisverysatisfiedthatthesetwonewappointmentsmeetwithourstrategyandvisionoftheBoard

structureandcriteriarecognisedinourBoardSuccessionPlan.

IwouldliketoacknowledgemyBoardcolleagues,fortheirwisecounselandcollegiateapproachtobringa

diverserangeofskillstotheBoardtable.SincerethankstoMargiSankforherpunctiliousworkwiththefinancial

reporting, secretarial duties and compliance obligations, Gai Williams for her wonderful support as Deputy

Chairman,JanSimmons,CraigKeithley,GarethLittle-Hales,IainFraser,LauraLilleyandTerryMarshallfortheir

outstandingandconstructivecontribution.TheDirectors’passionisstrongandunyielding.TheBoardiscommitted

to overseeing the operations and strategic direction of the company with deliberation and thoroughness.

Chairman’s report (continued)


The branch team

FirstlyonbehalfoftheBoard,agreatdealofpraisemustbeheapeduponthemanagementandstaffheaded

by Senior Manager David Watt. Along with Mt Evelyn Community Bank®BranchManagerLeanneVaytauer,their

efforts in battening down and ensuring, that although we didn’t meet budget forecasts this year, we did manage to

makeaprofit,notwithstandingmarketconditions.Davidhasspearheadedhisteamwithexceptionalleadershipto

makecertainthat“nostonewasleftunturned”tomeettheneedsofourcustomersbythedeliveryofexemplary

customerservicefromthestaff.ThankyouDavidforyourdedicationandthecontributionyoucontinuetodeliver.

LeanneVaytauerisdoinganoutstandingjobmanagingthedaytodayoperationsatMtEvelynCommunity

Bank®Branch.LeanneisatremendoussupportforDavidandhasbeenintegralinthegrowthoftheMtEvelyn

Community Bank®Branch.Theaforementioned‘BranchAward’istestamenttotheoutstandingleadershipby

Leanneofthebranchteam.Outsideofbankinghours,Leanneisalsoenjoyingbeingactivelyengagedwithour

communitypartnersandisavaluedexecutivememberonvariouscommittees.Oursinceregratitudeandthanksto

Leanne in all your efforts.

DuringtheyearwesawtheretirementofSueNightingaleaftersevenexceptionalyearsofservice,andthe

resignationofShirleenPettyandTeresaOrth.Wethankthemfortheiroutstandingworkduringtheirtimewiththe

Community Bank® company and wish them all the best for their respective futures.

IamdelightedsaythatwehaveemployedKarenButlerandDawnPierceasCustomerServiceOfficers.Karynhad

previouslyworkedatWandinCommunity Bank®BranchandDawn,alocalresident,alsobringsavastexperience

inbanking.BothKarynandDawnhavesettledinextremelywell.Wewelcomethemtotheteam.

UnderDavidWatt’scounsel,theBoardhasacknowledgedthatwithMontroseCommunity Bank®Branch

increasinglybecomingbusierwithenquiries,thattheneedtore-addressaManagerpositionisconsidered.Itwas

discussedthatAnnPetersbeappointedasBranchManageratMontroseinthecomingmonths.Annwouldbe

re-located from Mt Evelyn Community Bank®Branch,whereshecurrentlyholdsthepositionofCustomer

RelationshipManager.AnnhaspreviousexperienceinaManagerialrole,havingheldtheManager’spositionat

thecorporatebranchofBendigoandAdelaideBankinLilydale.Annhasawealthofexperienceinlending,both

inpersonalandcommercialbankingspheresandalsoenjoysbeinginvolvedinworkingwiththecommunity.The

BoardisconfidentthatAnnwilltakeontherolewithenthusiasmandvigour.

Iwouldliketoacknowledgetheamazinganddedicatedfrontlineteam,whocontinuetomakeusproudofthe

exemplaryservicethattheydeliveronadailybasis.ToSandra,Kaye,Sue,Lynne,Janet,Sharon,Bernadette,Karyn

andDawn.Oursincerethanksandappreciationtoall.

SpecialthanksandappreciationalsotoBevandJanfortheirpersonalassistanceandsupporttoDavidand

Leanne.

Also, to Melissa and Kevin in their respective supervisory roles at Mt Evelyn and Montrose. Their input into over-

seeing that operations at the branches go seamlessly, along with their care and attention to our customers’ needs

isvaluedandmuchappreciated.Thankyoutoyouboth.

Webelievethattheimportanceofface-to-facebankingisstillrelevanttoday,despitetheavailabilityofon-line

banking.Ourfriendlystaffistheretoassistyouwithallyourbankingneeds.

Canterbury Gardens

As reported in last year’s Annual Report and covered during the 2013 Annual General Meeting. We are continuing

toexplorethebankingpotentialoftheCanterburyGardenscatchmentarea,coveringBayswaterNorth,TheBasin,

Kilsyth and Kilsyth South.

Firstandforemost,IwouldliketoacknowledgethehardworkputinbytheSteeringCommittee,whogiveup

generously of their time to attend meetings and community events to spread the word about what a Community

Bank® branch would mean for the Canterbury Gardens area. The Committee is passionate and committed to bring

“goodoldfashioned”bankingservicesbacktotheprecinctandunderstandsthebenefitsthatthecommunity

wouldreceive.Thankyouallforyourtirelessworkanddedicationtothetaskathand.



TheBoardhasnotmadethedecisiontoexploretheopeningofathirdsiteatCanterburyGardenslightlyand

hasmadeanassessmentofrisksassociatedwiththeexpansion.Ourrationalebehindtheproposalisbasedon

awarenessoftheCanterburyRoadcorridorbankingpotentialthatwasmadeevidenttousduringourMontrose

campaign;plustheopportunitytobringconvenientretailbankingbacktoadenselypopulatedandstrongindustrial

area,verymuchinneedofbankingfacilities.

Throughresearchandanalysis,wehaveascertainedthatthebankingpotentialcatchmentareaisatleastaslarge

as that of Mt Evelyn or Montrose Community Bank® branches. The demographics of the area are also very similar

to those of Montrose Community Bank®Branch.

Priortobeginningacampaign,wealreadyhadasignificantamountofbusinessandsupportfromthearea.On

topofthat,wehavewritten$6millionofnewbusinessthroughthecampaign,alongwithreceiving$102,500

inpledgesfromthecommunity.WehavereceivedtremendoussupportfromthelocalCommunityHouses,Club

Kilsyth, schools and sporting clubs. They have generously offered us the opportunity to have a presence at their

various events and to address their groups, where appropriate.

BendigoandAdelaideBankhasrecentlyinstalledourATMwithintheproposedbranchsite.Todate,theATMusage

is proving to be very encouraging, with the majority of cards used being foreign. This supports our belief that there

isagreatdealofuntappedbankingpotentialwithinthearea.

WhenwehavemettherequiredcampaigntargetsinlinewithBendigoandAdelaideBank’scriteriaforanew

branch,wewillprepareafeasibilitystudyforyou,ourshareholders,toenableyoutomakeaninformeddecisionon

a third site for our company.

IwouldliketoacknowledgeourCommunityStrengtheningManagers,AdamRimingtonandGrantLancashirefor

theirguidanceandsupportintheCanterburyGardensCampaign.AsBendigoandAdelaideBank’srepresentatives

for new site developments, Adam and Grant have given us great encouragement and advice to assist us with

drivingtheCampaignforward.ThankyouAdamandGrantforyourallyoursupport.

Bendigo and Adelaide Bank

• Ourpartner’sfocusonprofitablegrowththroughwritingqualitybusinessisevidentintheprofitresultand

overallcreditperformancethisyear.TheconsolidatedprofitoftheGroupafterprovidingforincometax

amountedto$372.3million,anincreaseof5.7%onthe2013resultof$352.3million.Thegrouphas

maintained their industry credit rating of A-.

• BendigoBankhasbeennamedoneofAustralia’sMostTrustedBrandsinthe2014Reader’sDigestawards.

• SuccessfulnationalmediacampaignBigger than a bankwaslaunchedinMay,highlightingthatBendigoand

AdelaideBank,throughitsCommunity Bank®networkdeliversmoretotheircommunitiesthanjustquality

bankingservices.

• TheacquisitionofthebusinessandassetsofRuralFinanceCorporationofVictoria(“RuralFinance”)was

successfully completed on 1 July 2014.

• In2014,the305thCommunity Bank®branchwaswelcomedtothenetwork.Hundredsofcommunitiesacross

Australiahavenowbenefittedfrommorethan$122millioninfunding,withmorethan$23millionalone

returned in this financial year.

• AlsoduringtheyearBendigoandAdelaideBankreleasedanewstate-of-the-artconsumerfriendlywebsite,

makingitmucheasierforcustomerstodotheirbankingon-line.

• TheBankannouncedanumberofnewcutting-edgeandinnovativecustomerfocusedmobileinternetbased

technologiesthatalsowillalsomakeiteasierforcustomers.

• YarraRangesRegionalOffice–IwouldliketothankbothourformerandnewlyappointedRegionalManagers,

MarkNolanandNatalieGooldrespectively.Yoursupport,assistanceandguidanceonmattersregardingbranch

operationsandBoardrelatedmattersisverymuchvaluedandappreciatedbytheBoard.




• IwouldalsoliketoacknowledgeandthanktheteamattheStateSupportCentreforalltheirhelpthroughout

the year.

Sponsorships and grants

Sponsorshipisanimportantpartofoursupportofourcommunities.Putsimply,oursponsorshipsseekto

strengthencommunityconnections,encouragecreativeandinnovativethinking,interactionandparticipation,solvea

problemorbuildskills.Wehavecarefullyexaminedtheplacementandlevelofourcommunityinvestmentthisyear.

Oursponsorshipdollargoestoawideandvariedrangeofextremelyworthwhileprojectsandinitiatives.Without

oursupport,someofthemanyorganisationswouldstruggletoexist,orsimplynotbeabletodothethingsthat

they do. The reciprocal benefits of these relationships are immeasurable.

Thisyearwehavesponsoredlocalorganisations,clubs,groupsandtheyouthwithjustover$183,000.

Montrose Community Bank®Branchisbeingrecognisedforitscommunityinvolvementandisreceivinggreat

support from the local clubs and organisations. This year Montrose Community Bank®Branchwasproudtobea

sponsoroftheinstallationofnew“allability”equipmentattheMontroseCommunityPlayground,alongwithamock-

upBendigoBankATMinthe“playshops”areaoftheplayground.ThebranchiscurrentlyworkingwiththeMontrose

TradersGroupandtheMontroseMen’s’ShedonthesponsorshipofaCommunityNoticeBoardforthetown.

TheYarraRangesCommunity Bank®brancheshavecontinuedwithjointmarketingcollaborationsthisyear.Some

oftheseare,theYarraValleyMountainDistrictsFootballNetballLeague,theYarraValleyUmpiresAssociation,TRIP

(aTeenageRoadInformationProgram),theUpperYarraPrimarySchoolsSportsAssociationandCampAwakenings

(aRotaryassistedpersonaldevelopmentcampforYear9studentsfromourregion).

The addition of contributions during the 2014 financial year brings the total contributions to the local community

fromourcompanytojustover$1.8million.Atrulyoutstandingachievement!

These are some of the many organisations and initiatives we have been delighted to be able to support this year:

Sponsorships 2013/14

Anchor Inc.

LilydaleBowlsClub

BasinBasketballClub

BasinCommunityHouse

BasinFootballClub

CampAwakenings

ColdstreamCricketClub

Coldstream Football Club

CroydonCricketClub

Croydon Golf Club

Doongala Riders Club

Dorset Golf Club

EasternVolunteers

EastwoodBowlsClub

Eastwood Golf Club

GlenParkCommunityCentre

Lilydale Football Club

Lilydale Show

Melba Support Services

Montrose Calisthenics

MontroseCricketClub

Montrose Football Club

MontroseNetballClub

MontrosePrimarySchool

Montrose Soccer Club

Morrisons

MtEvelynAuskick

Mt Evelyn Chamber of Commerce

Mt Evelyn Christian School

MtEvelynCricketClub

MtEvelynFootball/NetballClub

Mt Evelyn Guides

MtEvelynPonyClub

MtEvelynPrimarySchool

Mt Evelyn Township Improvement

Committee

Mt Evelyn Toy Library

Mt Lilydale Football Club

Rotary Club of Lilydale

Rotary Club of Montrose

SilvanFireBrigade

YarraGlenBowls

YarraGlenCricket

YarraGlenFootball/NetballClub

YarraHillsSecondaryCollege

YarraValleyCricketUmpires

Association

YarraValleyMountainDistrict

Football/NetballLeague



Shareholders

TheBoardisgratefulfortheconfidenceandtrustthatwereceivefromyou,ourloyalshareholders,andwehope

thatyouwillcontinuetobeshareholdersintothefuture.Yourlong-standingsupportofMtEvelyn&Districts

FinancialServicesLimitedishighlyvaluedbytheBoard.

TheBoardrecognisesthatyouhavemadeasignificantinvestmentintothecompanyanddoesnottakeyourtrust

andtheresponsibilitythatcomeswiththatlightly.TheBoardismindfultoensurethatyou,ourshareholders’,

interests are always foremost.

As shareholders, you are ambassadors of our Community Bank®branches.Weaskyoutocontinuetospreadthe

word and to encourage others to support the Community Bank® branches that supports your communities.

IencouragethoseshareholderswhoarenotyetbankingwithMtEvelynandMontroseCommunity Bank®

branches,thatyouhaveachatwithourfriendlystaffaboutyourbankingneeds.Youwillbesurprisedhoweasyitis

toswitchyourbanking;plusyouwillbesupportingyourlocalcommunity.

InclosingIwouldliketosay,thatyourBoardofDirectorscontributegenerouslyoftheirtimetoembracethe

Community Bank®philosophyandworkcooperativelytowardachievingourgoalsforyourcompany.

Ilookforwardtoseeingyouatour2014AnnualGeneralMeeting.

When:Thursday27Novemberat7.00pm

Where:MtEvelynChristianSchool,HawkinsRoad,MtEvelyn(2ndentranceonleftinHawkinsRoad)

Jill Rule

Chairman


For year ending 30 June 2014

Mt Evelyn Community Bank®Branchhasnowbeenopenforover11years.Overthattime,yourCommunity Bank®

company,MtEvelyn&DistrictsFinancialServicesLimited,hasconsistentlymetproposedbusinessexpansion

levels, including the opening of Montrose Community Bank®Branchin2010.Currentlythetotalgroupbusiness

sitsataround$203million.ThecommunityofMountEvelynshouldbeproudoftheeffortthatwentintocreating

its own Community Bank® branch and the way it has supported the branch since the front doors were opened

backinMay2002.Asaresultofthatinspiringsupport,thecommunityofMontroseisnowsupportingandenjoying

the benefits of its own Community Bank® branch.

YourBoardisalsolookingtoopenathirdsiteastheKilsythCommunity Bank®Branch.Thiscampaigniswell

underway.

IwouldliketothankJillRuleandtheBoardofDirectors,ourshareholdersandtheRegionalOfficeTeamofBendigo

andAdelaideBankfortheirsupportasourbranchesmoveforwardintothefuture.

JillRule,ourBoardChairman,whoseeffortshaveproducedanotheroutstanding12months.Jillshowsexemplary

leadershipskills,andapassionforourCommunity Bank® branches that is unsurpassed, as we move through an

extraordinarilydemandingbankingclimateinallareas.

Jill,GaiWilliams,DeputyChairman,andMargiSank,BoardSecretaryandTreasurer,havecombinedwithCraig

Keithley,IainFraserandGarethLittle-HalestoformaBoardofDirectorswithoutpeer.

We also welcome Laura Lilley and Terry Marshall as new Directors to join this outstanding team.

IthinkitwouldalsoberemisstonotacknowledgetheeffortsofMargiSankwhom,alongwiththeroleofCompany

TreasureralsoworksastheCompanySecretary.Thedemandingworkloadthedualroleentailshasbeen

completedwiththehighestdegreeofexpertise,passionandattentiontodetailwithoutcompare.

Iwouldalsoliketoacknowledgetheeffortsofourdedicatedbranchteams.Leanne,ourMtEvelynBranch

Manager, and Ann, Customer Relationship Manager at Mt Evelyn Community Bank®Branchleadanexcellentteam.

Kevin, our Montrose Community Bank®BranchSupervisor,andMelissa,ourMtEvelynCommunity Bank®Branch

Supervisor,alongwithSandra,Lynne,Jan,Kaye,Janet,Sharon,Bernadette,KarynandDawnkeepbothbranches

tickingalongonadailybasisandhavesetanexampleofserviceclearlyaboveandbeyondthecallofduty.

One of our dedicated team, Sue, retired during the year after long term service and we wish her all the very best.

Two other members of the team, Teresa and Shirleen, resigned during the year to pursue other interests.

Ithankalltheteamfortheirdedicationtothetaskathand,andnolessthanksgoestomyAssistantBevwho

continuestoworktirelesslyinthemanyfacetsoftheCommunity Bank® model.

One of the strengths of the Community Bank®modelisthesupportofourBoardofDirectorsandthe

shareholders.Pleasecontinuetoplayyourpartinthegrowthofyourbranchesbyspreadingthewordaboutthe

verypersonalbankingserviceprovidedbybothyourCommunity Bank® branches.

David Watt

Senior Manager

Manager’s report


Directors’ reportFor the financial year ended 30 June 2014

YourDirectorspresenttheirreportofthecompanyforthefinancialyearended30June2014.Theinformationin

the preceding operating and financial review forms part of this Directors’ report for the financial year ended 30

June 2014 and is to be read in conjunction with the following information:

Directors

The following persons were Directors of Mt Evelyn & Districts Financial Services Limited during or since the end of

the financial year up to the date of this report:

Name and position held Qualifications Experience and other Directorships

Jillian Rule

Boardmembersince2001

Chairman

Dip. Fashion

Design Drawing &

Drafting

Businessowner,nowsemi-retired.ASteering

Committee Member of Mt Evelyn Community Bank®

BranchandapriorVice-ChairpersonoftheBoard.

PreviouslyaPresidentoftheMtEvelynChamberof

Commerce.ProactiveinSteeringCommitteeforthe

establishment of Montrose Community Bank®Branch.

Margaret Sank


Treasurer & Company Secretary

CPA,Bachelorof

Business

PastDirectorofasuccessfulAccountingandBusiness

AdvisoryPracticeandover30yearsexperience

withsmalltomediumsizedentities.Significantand

continuing leadership roles in various community

organisations.

Janette Simmons


Director

ResignedFebruary25,2014

PostGrad.Dip.

Community

Education

CEO of local community education centre. Original

Steering Committee Member. Jan spearheaded the

developmentoftheMtEvelynTownshipStrategicPlan

andTownshipPlanningDays.

Craig Keithley


Director

Dip. Frontline

Management,

Dip.Project

Management

PoliceOfficerwhohasbeentheOfficerinChargeof

theMtEvelynPoliceStationsince2001.Hasworked

both as a uniformed member and detective.

Gareth Little-Hales


Director

Bachelorof

Science,

(Honours)

Environmental

Health,Dip.

Business

EnvironmentalHealthOfficer.EmigratedfromtheUK

in 2002 where he was a Fellow of the Institute of

HomeSafety.Hasservedonanumberofcommunity

boardsinUKandAustralia.PastpresidentMontrose

Township Group and prior Chair of Montrose

Community Bank®BranchSteeringCommittee.

Gai Williams


Director

Bachelorof

Pharmacy,M.P.S.

A.F.A.I.P.M

Pharmacyownersince1992.AformerChairperson

oftheBoardofGuardianPharmaciesAustralia.Past

member of the Montrose Community Bank®Branch

Steering Committee, and an active member of various

community organisations.


Directors’ report (continued)

Name and position held Qualifications Experience and other Directorships

Iain Fraser


Director

Dip.PublicSafety

(Policing),Cert.

International

Relations, Cert.

RiskAssessment

and Emergency

Planning

PoliceSergeantbasedinMelbourneCBD.Past

member of the Montrose Community Bank®Branch

Steering Committee, and an active member of various

community organisations.

Laura Lilley


Director

Appointed 12 December 2013

CA,Bachelorof

Business

ManagementAccountantbasedinMelbourneCBD.

A long time resident of Mt Evelyn, and involved with

variouscommunitygroupslinkedwithherchildrenand

family.

Directors were in office for this entire year unless otherwise stated.

NoDirectorshavematerialinterestsincontractsorproposedcontractswiththecompany.

Principal activities

The principal activities of the company during the course of the financial year were in providing Community Bank®

servicesundermanagementrightstooperateafranchisedbranchofBendigoandAdelaideBankLimited.

There have been no significant changes in the nature of these activities during the year.

Review of operations

Theprofit/(loss)ofthecompanyforthefinancialyearafterprovisionforincometaxwas$116,677(2013profit/

(loss):$158,628),whichisa26%decreaseascomparedwiththepreviousyear.

Thenetassetsofthecompanyhaveincreasedto$1,952,472(2013:$1,909,297).

Dividends

Year ended 30 June 2014

Cents per share

$

Dividends paid during the year: 2.5 73,502

Significant changes in the state of affairs

Nosignificantchangesinthecompany’sstateofaffairsoccurredduringthefinancialyear.

Events subsequent to reporting date

Nomattersorcircumstanceshavearisensincetheendofthefinancialyearthatsignificantlyaffectormay

significantly affect the operations of the company, the results of those operations or the state of affairs of the

company, in future financial years.

Directors (continued)



Remuneration report

Remuneration policy

TheremunerationpolicyofMtEvelyn&DistrictsFinancialServicesLimitedhasbeendesignedtoalignkey

managementpersonnel(KMP)objectiveswithshareholderandbusinessobjectives.TheBoardbelievethe

remuneration policy to be appropriate and effective. The following criteria is applied to determine the remuneration

oftheDirectors,OfficeBearers,andSeniorManagement:

(a) TheBoardpolicyfordeterminingthenatureandamountofremunerationisasfollows:

i. Attendsaminimumof6face-to-faceBoardand/orcommitteemeetings;

ii. Attends the Annual General Meeting and / or one other Community Bank®forum;and

iii. Directorswillonlyreceivepaymentsafter6monthsofservice

(b) The prescribed details in relation to the remuneration of:

i. EachDirectorofthecompanyreceives$2,392,and

ii. Vice-chairtoreceive$5,994,Secretary-Treasurertoreceive$22,895andChairtoreceive$28,614

Theseamountsareindexedinaccordancewithstaffreviewincrements.

Remuneration benefits and payments

Other than detailed below, no Director has received or become entitled to receive, during or since the financial year,

a benefit because of a contract made by the company, controlled entity or related body corporate with a Director,

a firm which a Director is a member or an entity in which a Director has a substantial financial interest. This

statementexcludesabenefitincludedintheaggregateamountofemolumentsreceivedordueandreceivableby

Directorsshowninthecompany’saccounts,orthefixedsalaryofafull-timeemployeeofthecompany,controlled

entity or related body corporate.

JillianRuleownsthepremisessituatedatShop6-17WrayCrescent,MtEvelyn.Thepremisesarerentedon

normalcommercialtermsasadministrationofficesandBoardsuite.Duringtheyearended30June,2013

$18,770(2013:$18,039)waspaidinrelationtothislease.

Directors’ fees

Primary benefits salary & fees 2014

Primary benefits salary & fees 2013

Jillian Rule 28,614 27,641

MargaretSank 22,895 22,116

Janette Simmons 2,392 2,311

Craig Keithley 2,392 2,311

GarethLittle-Hales 2,392 2,311

Gai Williams 5,994 5,778

Iain Fraser 2,392 2,311

Georgia Donovan - 2,618

Laura Lilley - -

67,071 67,397



Indemnifying Officers or Auditor

The company has agreed to indemnify each Officer (Director, Secretary or employee) out of assets of the company

totherelevantextentagainstanyliabilityincurredbythatpersonarisingoutofthedischargeoftheirduties,except

wheretheliabilityarisesoutofconductinvolvingdishonesty,negligence,breachofdutyorthelackofgoodfaith.

The company also has Officers Insurance for the benefit of Officers of the company against any liability occurred by

the Officer, which includes the Officer’s liability for legal costs, in or arising out of the conduct of the business of

the company or in or arising out of the discharge of the Officer’s duties.

Disclosure of the nature of the liability and the amount of the premium is prohibited by the confidentiality clause of

the contract of insurance. The company has not provided any insurance for an Auditor of the company.

Directors’ meetings

The number of Directors’ meetings held during the year were 10. Attendances by each Director during the year

were as follows:

DirectorBoard

meetings #

Audit Committeemeetings #

Jillian Rule 10 (10) 3 (3)

MargaretSank 10 (10) 3 (3)

Janette Simmons 5(6) N/A

Craig Keithley 8(10) N/A

GarethLittle-Hales 10 (10) N/A

Gai Williams 7(10) N/A

Iain Fraser 7(10) N/A

Laura Lilley 5(5) 1 (1)

#Thefirstnumberisthemeetingsattendedwhileinbracketsisthenumberofmeetingseligibletoattend.

N/A-notamemberofthatcommittee.

Likely developments

Thecompanywillcontinueitspolicyofprovidingbankingservicestothecommunity.

Environmental regulations

Thecompanyisnotsubjecttoanysignificantenvironmentalregulation.However,theBoardbelievesthatthe

companyhasadequatesystemsinplaceforthemanagementofitsenvironmentrequirementsandisnotawareof

anybreachoftheseenvironmentalrequirementsastheyapplytothecompany.

Proceedings on behalf of company

Nopersonhasappliedforleaveofcourttobringproceedingsonbehalfofthecompanyorinterveneinany

proceedingstowhichthecompanyisapartyforthepurposeoftakingresponsibilityonbehalfofthecompanyfor

all or any part of those proceedings. The company was not a party to any such proceedings during the year.



Company Secretary

MargiSankhasbeenCompanySecretarysince2011.ShehasbeenaDirectorofthecompanysinceincorporation

on May 2001 and held the position of Company Secretary for the company’s first two years of operation. Margi

hasover30yearsofexperienceinrunninganaccountingpracticeandhasextensiveskillsinadvisingsmalland

mediumsizedenterprises.SheholdsaBachelorofBusinessandisaCertifiedPracticingAccountant,aRegistered

TaxAgentandhasheldmembershipofotherprofessionalandcommunityorganisations.

Non audit services

TheBoardofDirectors,inaccordancewithadvicefromtheauditcommittee,aresatisfiedthattheprovisionofnon

audit services during the year is compatible with the general standard of independence for Auditors imposed by

theCorporationsAct2001.TheDirectorsaresatisfiedthattheservicesdisclosedinNote5didnotcompromise

theexternalAuditor’sindependenceforthefollowingreasons:

• allnonauditservicesarereviewedandapprovedbytheAuditCommitteepriortocommencementtoensure

theydonotadverselyaffecttheintegrityandobjectivityoftheAuditor;and

• thenatureoftheservicesprovideddoesnotcompromisethegeneralprinciplesrelatingtoAuditor

independenceinaccordancewithAPES110“CodeofEthicsforProfessionalAccountants”setbythe

AccountingProfessionalandEthicalStandardsBoard.

Auditor independence declaration

AcopyoftheAuditor’sindependencedeclarationasrequiredundersection307CoftheCorporationsAct2001

issetatpage14ofthisfinancialreport.NoOfficerofthecompanyisorhasbeenapartneroftheAuditorofthe

company.

SignedinaccordancewitharesolutionoftheBoardofDirectorsatMtEvelyn,Victoriaon26August2014

Jillian Rule

Director


Auditor’s independence declaration

26th August 2014 The Directors Mt Evelyn & Districts Financial Services Limited PO Box 451 MT EVELYN VIC 3796 Dear Directors To the Directors of Mt Evelyn & Districts Financial Services Limited Auditor’s Independence Declaration under section 307C of the Corporations Act 2001 I declare that to the best of my knowledge and belief, during the year ended 30 June 2014 there has been no contraventions of:

(i) the auditor independence requirements as set out in the Corporations Act 2001 in relation to the audit; and

(ii) any applicable code of professional conduct in relation to the audit. P. P. Delahunty Partner Richmond Sinnott & Delahunty


Financial statementsStatement of profit or loss and Other Comprehensive Income for the year ended 30 June 2014

Notes 2014 2013 $ $

Revenue 2 1,828,750 1,809,781

Employeebenefitsexpense 3 (924,342) (790,687)

Depreciationandamortisationexpense 3 (80,948) (71,477)

Financecosts 3 (84) (4,495)

Badanddoubtfuldebtsexpense 3 (6,697) (6,147)

Rentalexpense (87,962) (45,351)

Otherexpenses (376,355) (402,197)

Operating profit before charitable

donations & sponsorships 352,362 489,427

Charitabledonationsandsponsorships (183,007) (262,173)

Profit before income tax expense 169,355 227,254

Taxexpense 4 52,678 68,626

Profit for the year 116,677 158,628

Other comprehensive income - -

Total comprehensive income 116,677 158,628

Profitattributabletomembersofthecompany 116,677 158,628

Total comprehensive income attributable to members of

the company 116,677 158,628

Earnings per share (cents per share)

-basicforprofitfortheyear 24 3.97 5.40

The accompanying notes form part of these financial statements.


Financial statements (continued)

Statement of financial position as at 30 June 2014

Notes 2014 2013 $ $

Assets

Current assets

Cashandcashequivalents 6 327,512 288,202

Tradeandotherreceivables 7 195,781 191,724

Investmentsandotherfinancialassets 8 477,871 359,291

Total current assets 1,001,164 839,217

Non-current assets

Property,plantandequipment 9 1,102,885 1,146,752

Deferredtaxasset 14 31,927 26,113

Intangibleassets 10 47,619 79,740

Total non-current assets 1,182,431 1,252,605

Total assets 2,183,595 2,091,822

Liabilities

Current liabilities

Tradeandotherpayables 11 88,453 78,266

Curenttaxpayable 14 38,059 19,013

Loansandborrowings 12 1,388 1,304

Provisions 13 103,223 83,942

Total current liabilities 231,123 182,525

Total liabilities 231,123 182,525

Net assets 1,952,472 1,909,297

Equity

Issuedcapital 15 1,527,561 1,527,561

Retainedearnings 16 424,911 381,736

Total equity 1,952,472 1,909,297





Statementofchangesinequity for the year ended 30 June 2014

Notes Issued Retained Total capital earnings equity $ $ $

Balance at 1 July 2012 1,527,561 296,610 1,824,171

Totalcomprehensiveincomefortheyear - 158,628 158,628

Transactions with owners, in their

capacity as owners

Shares issued during the year - - -

Dividendspaidorprovided 25 - (73,502) (73,502)

Balance at 30 June 2013 1,527,561 381,736 1,909,297

Balance at 1 July 2013 1,527,561 381,736 1,909,297

Totalcomprehensiveincomefortheyear - 116,677 116,677

Transactions with owners, in their

capacity as owners

Shares issued during the year - - -

Dividendspaidorprovided 25 - (73,502) (73,502)

Balance at 30 June 2014 1,527,561 424,911 1,952,472



Statement of cash flows for the year ended 30 June 2014

Notes 2014 2013 $ $

Cash flows from operating activities

Receiptsfromcustomers 1,806,999 1,876,777

Paymentstosuppliersandemployees (1,548,894) (1,995,439)

Interestpaid (84) (4,495)

Interestreceived 17,694 36,323

Incometaxpaid (39,447) (93,798)

Net cash provided by/(used in) operating activities 17 236,268 (180,632)

Cash flows from investing activities

Purchaseofproperty,plant&equipment (4,960) (154,964)

Purchaseofinvestmentsandotherfinancialassets (118,580) -

Proceedsfromsaleofinvestmentsandotherfinancialassets - 450,223

Net cash flows from/(used in) investing activities (123,540) 295,259

Cash flows from financing activities

Proceedsfromborrowings 84 1,023

Dividendspaid (73,502) (73,502)

Net cash used in financing activities (73,418) (72,479)

Net increase in cash held 39,310 42,148

Cashandcashequivalentsatbeginningoffinancialyear 288,202 246,054

Cash and cash equivalents at end of financial year 6 327,512 288,202



NotestothefinancialstatementsFor year ended 30 June 2014

These financial statements and notes represent those of Mt Evelyn & District Financial Services Limited.

MtEvelyn&DistrictFinancialServicesLimited(‘thecompany’)isacompanylimitedbyshares,incorporatedand

domiciled in Australia.

ThefinancialstatementswereauthorisedforissuebytheDirectorson26August2014.

Note1.Summaryofsignificantaccountingpolicies

(a) Basis of preparation

These general purpose financial statements have been prepared in accordance with the Corporations Act

2001,AustralianAccountingStandardsandInterpretationsoftheAustralianAccountingStandardsBoardand

InternationalFinancialReportingStandardsasissuedbytheInternationalAccountingStandardsBoard.The

company is a for profit entity for financial reporting purposes under Australian Accounting Standards. Material

accounting policies adopted in the preparation of these financial statements are presented below and have been

consistently applied unless stated otherwise.

Thefinancialstatements,exceptforcashflowinformation,havebeenpreparedonanaccrualsbasisandare

based on historical costs, modified, where applicable, by the measurement at fair value of selected non current

assets, financial assets and financial liabilities.

Economic dependency

ThecompanyhasenteredintoafranchiseagreementwithBendigoandAdelaideBankLimitedthatgoverns

the management of the Community Bank®branches at Mt Evelyn and Montrose.

ThebranchesoperateasafranchiseofBendigoandAdelaideBankLimited,usingthename“BendigoBank”and

thelogoandsystemofoperationsofBendigoandAdelaideBankLimited.ThecompanymanagestheCommunity

Bank®branchesonbehalfofBendigoandAdelaideBankLimited,howeveralltransactionswithcustomers

conducted through the Community Bank®branchesareeffectivelyconductedbetweenthecustomersandBendigo

andAdelaideBankLimited.

AlldepositsaremadewithBendigoandAdelaideBankLimited,andallpersonalandinvestmentproductsare

productsofBendigoandAdelaideBankLimited,withthecompanyfacilitatingtheprovisionofthoseproducts.All

loans, leases or hire purchase transactions, issues of new credit or debit cards, temporary or bridging finance and

anyothertransactionthatinvolvescreatinganewdebt,orincreasingorchangingthetermsofanexistingdebt

owedtoBendigoandAdelaideBankLimited,mustbeapprovedbyBendigoandAdelaideBankLimited.Allcredit

transactionsaremadewithBendigoandAdelaideBankLimited,andallcreditproductsareproductsofBendigo

andAdelaideBankLimited.

BendigoandAdelaideBankLimitedprovidessignificantassistanceinestablishingandmaintainingtheCommunity

Bank® branch franchise operations. It also continues to provide ongoing management and operational support,

and other assistance and guidance in relation to all aspects of the franchise operation, including advice in relation

to:

• Adviceandassistanceinrelationtothedesign,layoutandfitoutoftheCommunity Bank®branch;

• TrainingfortheBranchManagersandotheremployeesinbanking,managementsystemsandinterface

protocol;


Notestothefinancialstatements(continued)

Note1.Summaryofsignificantaccountingpolicies(continued)

a) Basis of preparation (continued)

Economic dependency (continued)

• Methodsandproceduresforthesaleofproductsandprovisionofservices;

• Securityandcashlogisticcontrols;

• Calculationofcompanyrevenueandpaymentofmanyoperatingandadministrativeexpenses;

• Theformulationandimplementationofadvertisingandpromotionalprograms;and

• Saletechniquesandpropercustomerrelations.

(b) Income tax

Theincometaxexpensefortheyearcomprisescurrentincometaxexpenseanddeferredtaxexpense.

Currentincometaxexpensechargedtoprofitorlossisthetaxpayableontaxableincome.Currenttaxliabilities/

(assets)aremeasuredattheamountsexpectedtobepaidto/(recoveredfrom)therelevanttaxationauthority.

Deferredincometaxexpensereflectsmovementsindeferredtaxassetanddeferredtaxliabilitybalancesduring

theyearaswellasunusedtaxlosses.

Currentanddeferredincometaxexpense/(income)ischargedorcreditedoutsideprofitorlosswhenthetax

relates to items that are recognised outside profit or loss.

Deferredtaxassetsrelatingtotemporarydifferencesandunusedtaxlossesarerecognisedonlytotheextentthat

itisprobablethatfuturetaxableprofitwillbeavailableagainstwhichthebenefitsofthedeferredtaxassetcanbe

utilised.

Deferredincometaxassetsandliabilitiesaremeasuredatthetaxratesthatareexpectedtoapplytotheyear

when the asset is realised or the liability is settled.

(c) Fair value of assets and liabilities

The company measures some of its assets and liabilities at fair value on either a recurring or non-recurring basis,

dependingontherequirementsoftheapplicableAccountingStandard.

Fair value is the price the company would receive to sell an asset or would have to pay to transfer a liability in

anorderly(ieunforced)transactionbetweenindependent,knowledgableandwillingmarketparticipantsatthe

measurement date.

Asfairvalueisamarket-basedmeasure,theclosestequivalentobservablemarketpricinginformationisused

todeterminefairvalue.Adjustmentstomarketvaluesmaybemadehavingregardtothecharacteristicsof

thespecificassetorliability.Thefairvalueofassetsandliabilitiesthatarenottradedinanactivemarketare

determinedusingoneormorevaluationtechniques.Thesevaluationtechniquesmaximise,totheextentpossible,

theuseofobservablemarketdata.

Totheextentpossible,marketinformationisextractedfromeithertheprincipalmarketfortheassetorliability

(iethemarketwiththegreatestvolumeandlevelofactivityfortheassetorliability)or,intheabsenceofsucha

market,themostadvantageousmarketavailabletotheentityattheendofthereportingperiod(iethemarketthat

maximisesthereceiptsfromthesaleoftheassetorminimisesthepaymentsmadetotransfertheliability,after

takingintoaccounttransactioncostsandtransportcosts).

Fornon-financialassets,thefairvaluemeasurementalsotakesintoaccountamarketparticipant’sabilitytouse

theassetinitshighestandbestuseortosellittoanothermarketparticipantthatwouldusetheassetinits

highest and best use.




(c) Fair value of assets and liabilities (continued)

Thefairvalueoftheliabilitiesandtheentity’sownequityinstrumentsmaybevalued,wherethereisnoobservable

marketpriceinrelationtothetransferofsuchfinancialinstrument,byreferencetoobservablemarketinformation

wheresuchinstrumentsareheldasassets.Wherethisinformationisnotavailable,othervaluationtechniquesare

adopted, and where significant, are detailed in the respective note to the financial statements.

(d) Property, plant and equipment

Eachclassofproperty,plantandequipmentiscarriedatcostorfairvalueasindicated,less,whereapplicable,any

accumulated depreciation and impairment losses.

Property

Freehold land and buildings are measured at cost and therefore are carried at cost less accumulated depreciation

and any accumulated impairment. In the event the carrying amount of land and buildings is greater than the

estimated recoverable amount, the carrying amount is written down immediately to the estimated recoverable

amount and impairment losses are recognised in profit or loss. A formal assessment of recoverable amount is

made when impairment indicators are present.

ThecarryingamountoflandandbuildingsisreviewedannuallybyDirectorstoensureitisnotinexcessofthe

recoverableamountfromtheseassets.Therecoverableamountisassessedonthebasisoftheexpectednet

cashflowsthatwillbereceivedfromtheasset’semploymentandsubsequentdisposal.

Plantandequipment

Plantandequipmentaremeasuredonthecostbasisandthereforecarriedatcostlessaccumulateddepreciation

andanyaccumulatedimpairment.Intheeventthecarryingamountofplantandequipmentisgreaterthanthe

estimated recoverable amount, the carrying amount is written down immediately to the estimated recoverable

amount and impairment losses are recognised either in profit or loss or as a revaluation decrease if the

impairment losses relate to a revalued asset. A formal assessment of recoverable amount is made when

impairment indicators are present.

ThecarryingamountofplantandequipmentisreviewedannuallybyDirectorstoensureitisnotinexcessofthe

recoverableamountoftheseassets.Therecoverableamountisassessedonthebasisoftheexpectednetcash

flowsthatwillbereceivedfromtheasset’semploymentandsubsequentdisposal.Theexpectednetcashflows

have been discounted to their present values in determining recoverable amounts.

Depreciation

Thedepreciableamountofallfixedassetsincludingbuildingsandcapitalisedleasedassets,butexcluding

freehold land, is depreciated on a straight-line basis over the asset’s useful life to the company commencing from

the time the asset is held ready for use. Leasehold improvements are depreciated over the shorter of either the

unexpiredperiodoftheleaseortheestimatedusefullivesoftheimprovements.

The depreciation rates used for each class of depreciable asset are:

Class of assetDepreciation

rate

Buildings 2%

Leasehold improvements 2-5%

Plant&equipment 10-38%




(d) Property, plant and equipment (continued)

Depreciation (continued)

The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting

period.

An assets’ carrying amount is written down immediately to its recoverable amount if the assets’ carrying amount is

greater than its estimated recoverable amount.

Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These gains and

losses are recognised in profit or loss in the period in which they arise. When revalued assets are sold, amounts

included in the revaluation surplus relating to that asset are transferred to retained earnings.

(e) Leases

Leasesoffixedassets,wheresubstantiallyalltherisksandbenefitsincidentaltotheownershipoftheasset-but

not the legal ownership - are transferred to entities in the company, are classified as finance leases.

Financeleasesarecapitalisedbyrecognisinganassetandaliabilityattheloweroftheamountsequaltothe

fair value of the leased property or the present value of the minimum lease payments, including any guaranteed

residual values. Lease payments are allocated between the reduction of the lease liability and the lease interest

expensefortheperiod.

Leased assets are depreciated on a straight-line basis over the shorter of their estimated useful lives or the lease

term.

Leasepaymentsforoperatingleases,wheresubstantiallyalltherisksandbenefitsremainwiththelessor,are

recognisedasexpensesintheperiodsinwhichtheyareincurred.

(f) Impairment of assets

At each reporting period, the company assesses whether there is any indication that an asset may be impaired.

Ifsuchanindicationexists,animpairmenttestiscarriedoutontheassetbycomparingtherecoverableamount

of the asset, being the higher of the asset’s fair value less cost to sell and value in use, to the asset’s carrying

amount.Anyexcessoftheasset’scarryingamountoveritsrecoverableamountisrecognisedimmediatelyinprofit

or loss, unless the asset is carried at a revalued amount in accordance with another Standard. Any impairment

loss of a revalued asset is treated as a revaluation decrease in accordance with that other Standard.

(g) Goods and services tax (GST)

Revenues,expensesandassetsarerecognisednetoftheamountofGST,exceptwheretheamountofGST

incurredisnotrecoverablefromtheAustralianTaxationOffice(ATO).

Receivables and payables are stated inclusive of the amount of GST receivable or payable. The net amount of GST

recoverable from, or payable to, the ATO is included with other receivables or payables in the statement of financial

position.

Cash flows are presented on a gross basis. The GST components of cash flows arising from investing or financing

activities which are recoverable from, or payable to, the ATO are presented as operating cash flows included in

receipts from customers or payments to suppliers.




(h) Employee benefits

Short-term employee benefits

Provisionismadeforthecompany’sobligationforshort-termemployeebenefits.Short-termemployeebenefitsare

benefits(otherthanterminationbenefits)thatareexpectedtobesettledwhollybefore12monthsaftertheendof

theannualreportingperiodinwhichtheemployeesrendertherelatedservice,includingwages,salariesandsick

leave.Short-termemployeebenefitsaremeasuredatthe(undiscounted)amountsexpectedtobepaidwhenthe

obligation is settled.

Other long-term employee benefits

Provisionismadeforemployees’longserviceleaveandannualleaveentitlementsnotexpectedtobesettled

wholly within 12 months after the end of the annual reporting period in which the employees render the related

service.Otherlong-termemployeebenefitsaremeasuredatthepresentvalueoftheexpectedfuturepaymentsto

bemadetoemployees.Expectedfuturepaymentsincorporateanticipatedfuturewageandsalarylevels,durations

ofserviceandemployeedeparturesandarediscountedatratesdeterminedbyreferencetomarketyieldsat

theendofthereportingperiodongovernmentbondsthathavematuritydatesthatapproximatethetermsofthe

obligations.

The company’s obligation for long-term employee benefits are presented as non-current provisions in its statement

offinancialposition,exceptwherethecompanydoesnothaveanunconditionalrighttodefersettlementforat

least 12 months after the end of the reporting period, in which case the obligations are presented as current

provisions.

(i) Intangibles

Establishment costs have been initially recorded at cost and amortised on a straight line basis at a rate of

20%perannum.Thecurrentamortisationchargesforintangibleassetsareincludedunderdepreciationand

amortisationexpensepertheStatementofProfitorLossandOtherComprehensiveIncome.

(j) Cash and cash equivalents

Cashandcashequivalentsincludecashonhand,depositsavailableondemandwithbanks,othershort-term

highlyliquidinvestmentswithoriginalmaturitiesofthreemonthsorless,andbankoverdrafts.Bankoverdraftsare

reported within short-term borrowings in current liabilities in the statement of financial position.

Forthepurposesofthestatementofcashflows,cashincludescashonhandandinbanksandinvestmentsin

moneymarketinstruments,netofoutstandingbankoverdrafts.

(k) Revenue

Revenueismeasuredatthefairvalueoftheconsiderationreceivedorreceivableaftertakingintoaccountany

trade discounts and volume rebates allowed. Revenue comprises service commissions and other income received

by the company.

Interest, dividend and fee revenue is recognised when earned.

Allrevenueisstatednetoftheamountofgoodsandservicestax(GST).




(l) Trade and other receivables

Trade and other receivables include amounts due from customers for goods sold and services performed in the

ordinarycourseofbusiness.Receivablesexpectedtobecollectedwithin12monthsoftheendofthereporting

period are classified as current assets. All other receivables are classified as non-current assets.

Tradeandotherreceivablesareinitiallyrecognisedatfairvalueandsubseqentlymeasuredatamortisedcost

using the effective interest method, less any provision for impairment.

Trade and other payables represent the liabilities for goods and services received by the entity that remain unpaid

at the end of the reporting period. The balance is recognised as a current liability with the amounts normally paid

within 30 days of recognition of the liability.

(m) Borrowing costs

Borrowingcostsarerecognisedinprofitorlossintheperiodinwhichtheyareincurred.

(n) New and amended accounting policies adopted by the company

Employee benefits

ThecompanyadoptedAASB119:EmployeeBenefits(September2011)andAASB2011-10:Amendmentsto

AustralianAccountingStandardsarisingfromAASB119(September2011)fromthemandatoryapplicationdate

of1January2013.ThecompanyhasappliedtheseStandardsretrospectivelyinaccordancewithAASB108:

AccountingPolicies,ChangesinAccountingEstimatesandErrorsandthetransitionalprovisionsofAASB119

(September 2011).

Forthepurposeofmeasurement,AASB119(September2011)definesobligationsforshort-termemployee

benefitsasobligationsexpectedtobesettledwhollybefore12monthsaftertheendoftheannualreportingperiod

inwhichtheemployeesrendertherelatedservices.InaccordancewithAASB119(September2011),provisions

forshort-termemployeebenefitsaremeasuredatthe(undiscounted)amountsexpectedtobepaidtoemployees

when the obligation is settled, whereas provisions that do not meet the criteria for classification as short-term

(otherlong-termemployeebenefits)aremeasuredatthepresentvalueoftheexpectedfuturepaymentstobe

made to employees.

Asthecompanyexpectsthatallofitsemployeeswouldusealloftheirannualleaveentitlementsearnedduringa

reportingperiodbefore12monthsaftertheendofthereportingperiod,adoptionofAASB119(September2011)

didnothaveamaterialimpactontheamountsrecognisedinrespectofthecompany’semployeeprovisions.Note

alsothatadoptionofAASB119(September2011)didnotimpacttheclassificationofleaveentitlementsbetween

current and non-current liabilities in the company’s financial statements.

AASB119(September2011)alsointroducedchangestotherecognitionandmeasurementrequirements

applicable to termination benefits and defined benefit plans. As the company did not have any of these types of

obligations in the current or previous reporting periods, these changes did not impact the company’s financial

statements.

Fair value measurement

ThecompanyhasappliedAASB13:FairValueMeasurementandtherelevantconsequentialamendmentsarising

from the related Amending Standards prospectively from the mandatory application date of 1 January 2013 and in

accordancewithAASB108andthespecifictransitionalrequirementsinAASB13.

AASB13definesfairvalue,setsoutinasingleStandardaframeworkformeasuringfairvalue,andrequires

disclosures about fair value measurement.




(n) New and amended accounting policies adopted by the company (continued)

Fair value measurement (continued)

Nomaterialadjustmentstothecarryingamountsofanyofthecompany’sassetsorliabilitieswererequiredasa

consequenceofapplyingAASB13.Nevertheless,AASB13requiresenhanceddisclosuresregardingassetsand

liabilities that are measured at fair value and fair values disclosed in the company’s financial statements.

ThedisclosurerequirementsinAASB13neednotbeappliedbythecompanyinthecomparativeinformation

providedforperiodsbeforeinitialapplicationofAASB13(thatis,periodsbeginningbefore1January2013).

However,assomeofthedisclosuresnowrequiredunderAASB13werepreviouslyrequiredunderotherAustralian

AccountingStandards,suchasAASB7:FinancialInstruments:Disclosures,thecompanyhasprovidedthis

previously provided information as comparatives in the current reporting period.

(o) New accounting standards for application in future periods

TheAASBhasissuedanumberofnewandamendedAccountingStandardsandInterpretationsthathave

mandatory application dates for future reporting periods, some of which are relevant to the company.

The company has decided not to early adopt any of the new and amended pronouncements. The company’s

assessment of the new and amended pronouncements that are relevant to the company but applicable in the

future reporting periods is set below:

(i) AASB 9 Financial Instruments and associated Amending Standards (applicable for annual reporting

periods commencing on or after 1 January 2017).

ThisStandardwillbeapplicableretrospectivelyandincludesrevisedrequirementsfortheclassification

andmeasurementoffinancialinstruments,revisedrecognitionandderecognitionrequirementsforfinancial

instrumentsandsimplifiedrequirementsforhedgeaccounting.

AlthoughtheDirectorsanticipatethattheadoptionofAASB9mayhaveanimpactonthecompany’s

financial instruments, it is impractical at this stage to provide a reasonable estimate of such impact.

(ii) AASB 2012-3: Amendments to Australian Accounting Standards - Offsetting Financial Assets and

Financial Liabilities (applicable for annual reporting periods commencing on or after 1 January 2014).

This Standard provides clarifying guidance relating to the offsetting of financial instruments, which is not

expectedtoimpactthecompany’sfinancialstatements.

(iii) AASB 2013-3: Amendments to AASB 136 - Recoverable Amount Disclosures for Non-Financial Assets

(applicable for annual reporting periods commencing on or after 1 January 2014).

ThisStandardamendsthedisclosurerequirementsinAASB136:ImpairmentofAssetspertainingtothe

useoffairvalueinimpairmentassessmentandisnotexpectedtosignificantlyimpactthecompany’s

financial statements.

(p) Loans and borrowings

Allloansaremeasuredattheprincipalamount.Interestisrecognisedasanexpenseasitaccrues.

(q) Provisions

Provisionsarerecognisedwhenthecompanyhasalegalorconstructiveobligation,asaresultofpastevents,for

which it is probable that the outflow of economic benefits will result and the outflow can be reliably measured.

Provisionsaremeasuredusingthebestestimateoftheamountsrequiredtosettletheobligationattheendofthe

reporting period.




(q) Provisions (continued)

A provision for dividends is not recognised as a liability unless the dividends are declared, determined or publicly

recommended on or before the reporting date.

(r) Share capital

Issued and paid up capital is recognised at the fair value of the consideration received by the company. Any

transactioncostsarisingontheissueofordinarysharesarerecogniseddirectlyinequityasareductionofthe

share proceeds received.

(s) Comparative figures

WhenrequiredbyAccountingStandardscomparativefigureshavebeenadjustedtoconformtochangesin

presentation for the current financial year.

(t) Critical accounting estimates and judgements

The Directors evaluate estimates and judgements incorporated into the financial statements based on historical

knowledgeandbestavailablecurrentinformation.Estimatesassumeareasonableexpectationoffutureevents

andarebasedoncurrenttrendsandeconomicdata,obtainedbothexternallyandwithinthecompany.Estimates

and judgements are reviewed on an ongoing basis. Revision to accounting estimates are recognised in the period

in which the estimates are revised and in any future periods affected. The estimates and judgements that have a

significantriskofcausingmaterialadjustmentstothecarryingvaluesofassetsandliabilitiesareasfollows:

Estimation of useful lives of assets

The company determines the estimated useful lives and related depreciation and amortisation charges for its

property,plantandequipmentandintangibleassets.Thedepreciationandamortisationchargewillincreasewhere

useful lives are less than previously estimated lives.

Employee benefits provision

AssumptionsrequiredforwagegrowthandCPImovements.Thelikelihoodofemployeesreachingunconditional

serviceisestimated.TreatmentofleaveunderupdatedAASB119standard.

Incometax

Thecompanyissubjecttoincometax.Significantjudgementisrequiredindeterminingthedeferredtaxassetor

theprovisionforincometaxliability.Deferredtaxassetsarerecognisedonlywhenitisconsideredsufficientfuture

profits will be generated. The assumptions made regarding future profits is based on the company’s assessment of

future cash flows.

Impairment

The company assesses impairment at the end of each reporting period by evaluating conditions and events

specific to the company that may be indicative of impairment triggers. Recoverable amounts of relevant assets are

reassessedusingvalueinusecalculationswhichincorporatevariouskeyassumptions.




(u) Financial instruments

Initial recognition and measurement

Financial assets and financial liabilities are recognised when the entity becomes a party to the contractual

provisionstotheinstrument.Forfinancialassets,thisisequivalenttothedatethatthecompanycommitsitselfto

either purchase or sell the asset (ie trade date accounting is adopted). Financial instruments are initially measured

atfairvalueplustransactioncosts,exceptwheretheinstrumentisclassified‘atfairvaluethroughprofitorloss’,

inwhichcasetransactioncostsareexpensedtotheprofitorlossimmediately.

Classificationandsubsequentmeasurement

Financialinstrumentsaresubsequentlymeasuredatfairvalue,amortisedcostusingtheeffectiveinterestmethod

or cost.

Amortised cost is calculated as the amount at which the financial asset or financial liability is measured at

initial recognition less principal repayments and any reduction for impairment, and adjusted for any cumulative

amortisation of the difference between that initial amount and the maturity amount calculated using the effective

interest method.

Theeffectiveinterestmethodisusedtoallocateinterestincomeorinterestexpenseovertherelevantperiodand

isequivalenttotheratethatdiscountestimatedfuturecashpaymentsorreceiptsovertheexpectedlife(orwhere

this cannot be reliably predicted, the contractual term) of the financial instrument to the net carrying amount of the

financial asset or financial liability.

(i) Loans and receivables

Loansandreceivablesarenonderivativefinancialassetswithfixedordeterminablepaymentsthatarenot

quotedinanactivemarketandaresubsequentlymeasuredatamortisedcost.Gainsorlossesarerecognised

in profit or loss through the amortisation process and when the financial asset is derecognised.

(ii) Financial liabilities

Nonderivativefinancialliabilitiesaresubsequentlymeasuredatamortisedcost.Gainsorlossesare

recognised in profit or loss through the amortisation process and when the financial liability is derecognised.

Impairment

A financial asset (or group of financial assets) is deemed to be impaired if, and only if, there is objective evidence

ofimpairmentasaresultofoneormoreevents(a“lossevent”)havingoccurred,whichhasanimpactonthe

estimated future cash flows of the financial asset(s).

In the case of financial assets carried at amortised cost loss events may include: indications that the debtors or

agroupofdebtorsareexperiencingsignificantfinancialdifficulty,defaultordelinquencyoninterestorprincipal

payments;indicationsthattheywillenterbankruptcyorotherfinancialreorganisation;andchangesinarrearsor

economic conditions that correlate with defaults.

For financial assets carried at amortised cost (including loans and receivables), a separate allowance account is

usedtoreducethecarryingamountoffinancialassetsimpairedbycreditlosses.Afterhavingtakenallpossible

measures of recovery, if management establishes that the carrying amount cannot be recovered by any means,

at that point the written-off amounts are charged to the allowance account or the carrying amount of impaired

financial asset is reduced directly if no impairment amount was previously recognised in the allowance account.

When the terms of financial assets that would otherwise have been past due or impaired have been renegotiated,

thecompanyrecognisestheimpairmentforsuchfinancialassetsbytakingintoaccounttheoriginaltermsasifthe

terms have not been renegotiated so that the loss events that have occurred are duly considered.




(u) Financial instruments (continued)

Derecognition of financial instruments

Financialassetsarederecognisedwhenthecontractualrightstoreceiptofcashflowsexpireortheassetis

transferredtoanotherpartywherebytheentitynolongerhasanysignificantcontinuinginvolvementintherisks

and benefits associated with the asset. Financial liabilities are derecognised when the related obligations are

discharged,cancelledorhaveexpired.Thedifferencebetweenthecarryingamountofthefinancialliability

extinguishedortransferredtoanotherpartyandthefairvalueofconsiderationpaid,includingthetransferofnon-

cash assets or liabilities assumed, is recognised in profit or loss.

2014 2013 $ $

Note2.RevenueandotherincomeRevenue

-servicescommissions 1,811,021 1,788,076

1,811,021 1,788,076

Other revenue

-interestreceived 17,729 21,705

17,729 21,705

Total revenue 1,828,750 1,809,781

Note3.ExpensesEmployeebenefitsexpense

-wagesandsalaries 779,300 697,237

-superannuationcosts 90,055 76,755

-othercosts 54,987 16,695

924,342 790,687

Depreciation of non-current assets:

-buildings 12,075 6,159

-buildingimprovments 4,693 4,793

-plantandequipment 32,059 27,903

Amortisation of non-current assets:

-intangibleassets 32,121 32,622

80,948 71,477

Finance costs:

-Interestpaid 84 4,495

Baddebts 6,697 6,147



Note4.Taxexpensea. Thecomponentsoftaxexpensecomprise

-currenttaxexpense 58,492 65,015

-deferredtaxexpense/(income)relatingtotheoriginationandreversalof

temporarydifferences (5,814) 3,611

-recoupmentofprioryeartaxlosses - -

- adjustments for under/(over)-provision

ofcurrentincometaxofpreviousyears - -

52,678 68,626

b. Theprimafacietaxonprofitfromordinaryactivitiesbeforeincometax

isreconciledtotheincometaxexpenseasfollows:

Primafacietaxonprofitbeforeincometaxat30%(2013:30%) 50,807 68,176

Addtaxeffectof:

-Adjustmentsinrespectofcurrentincometaxofpreviousyear - -

-Utilisationofpreviouslyunrecognisedcarriedforwardtaxlosses - -

-Non-deductibleexpenses 1,871 450

Current income tax expense 52,678 68,626

Income tax attributable to the entity 52,678 68,626

Theapplicableweightedaverageeffectivetaxrateis 31.11% 30.20%

Note5.Auditors’remuneration Remuneration of the Auditor for:

-Auditorreviewofthefinancialreport 4,600 4,433

- Share registry services 4,022 4,012

8,622 8,445

Note6.Cashandcashequivalents Cashatbankandonhand 327,512 288,202

2014 2013 $ $



Note7.TradeandotherreceivablesCurrent

Tradedebtors 169,315 161,913

Rentalbond - 15,000

Interestreceivable 4,767 7,493

Prepayments 21,699 7,318

195,781 191,724

Credit risk

Thecompanyhasnosignificantconcentrationofcreditriskwithrespecttoanysinglecounterpartyorgroupof

counterparties other than those receivables specifically provided for and mentioned within this note. The main

sourcesofcreditrisktothecompanyareconsideredtorelatetotheclassesofassetsdescribedastradeand

otherreceivablesand“loans”(seeNote12).

Thefollowingtabledetailsthecompany’stradeandotherreceivablesexposedtocreditrisk(priortocollateraland

other credit enhancements) with ageing analysis and impairment provided for thereon. Amounts are considered

as“pastdue”whenthedebthasnotbeensettled,withinthetermsandconditionsagreedbetweenthecompany

and the customer or counterparty to the transaction. Receivables that are past due are assessed for impairment

by ascertaining solvency of the debtors and are provided for where there are specific circumstances indicating that

the debt may not be fully repaid to the company.

The balances of receivables that remain within initial trade terms (as detailed in the table below) are considered to

behighcreditquality.

Gross amount

Past due and

impaired

Past due but not impaired Not past

due< 30 days 31-60 days > 60 days

2014

Trade receivables 169,315 - - - - 169,315

Other receivables 4,767 - - - - 4,767

Total 174,082 - - - - 174,082

2013

Trade receivables 161,913 - - - - 161,913

Other receivables 7,493 - - - - 7,493

Total 169,406 - - - - 169,406

2014 2013 $ $



Note8.Investmentsandotherfinancialassets Current

Loans and receivables

-Australiantermdeposits>3months 477,871 359,291

Note9.Property,plantandequipmentLand

Atcost 378,030 118,611

Buildings

Atcost 475,422 734,841

Lessaccumulateddepreciation (76,228) (64,153)

399,194 670,688

Building improvements

Atcost 189,663 189,663


163,173 167,866

Plant and equipment

Atcost 396,054 391,094


162,488 189,587

Total written down amount 1,102,885 1,146,752

Movements in carrying amounts

Land

Balanceatthebeginningofthereportingperiod 118,611 118,611

Additions - -

Trasfersin 259,419 -

Disposals - -

Depreciationexpense - -

Balance at the end of the reporting period 378,030 118,611

2014 2013 $ $



Note9.Property,plantandequipment(continued)

Buildings


Additions - 28,423

Transfersout (259,419) -

Disposals - -

Depreciationexpense (12,075) (6,159)


Building improvements


Additions - -

Disposals - -



Plant and equipment


Additions 4,960 126,541

Disposals - -



Note10.IntangibleassetsFranchise fee

Atcost 67,768 67,768

Lessaccumulatedamortisation (34,958) (21,405)

32,810 46,363

Preliminary expenses

Atcost 126,136 126,136

Lessaccumulatedamortisation (111,327) (92,759)

14,809 33,377

Total Intangible assets 47,619 79,740

2014 2013 $ $



Note10.Intangibleassets(continued)

Movements in carrying amounts

Franchise fee


Additions - -

Disposals - -

Amortisationexpense (13,553) (13,554)


Preliminary expenses


Additions - -

Disposals - -

Amortisationexpense (18,568) (19,068)


Note11.TradeandotherpayablesCurrent

Unsecured liabilities:

Tradecreditors 27,745 26,055

Othercreditorsandaccruals 60,708 52,211

88,453 78,266

Note12.BorrowingsBankloan 1,388 1,304

1,388 1,304

Note13.ProvisionsEmployee benefits 103,223 83,942

Movement in employee benefits

Openingbalance 83,942 96,178

Additionalprovisionsrecognised 79,203 55,490

Amountsutilisedduringtheyear (59,922) (67,726)

Closing balance 103,223 83,942

2014 2013 $ $



Note13.Provisions(continued)

Current

Annualleave 42,996 27,798

Long-serviceleave 60,227 56,144

103,223 83,942

Total provisions 103,223 83,942

Provision for employee benefits

Provisionforemployeebenefitsrepresentsamountsaccruedforannualleaveandlongserviceleave.

The current portion for this provision includes the total amount accrued for annual leave entitlements and the

amounts accrued for long service leave entitlements that have vested due to employees having completed the

requiredperiodofservice.Basedonpastexperiencethecompanydoesnotexpectthefullamountofannualleave

orlongserviceleavebalancesclassifiedascurrentliabilitiestobesettledwithinthenext12months.However,

these amounts must be classified as current liabilities since the company does not have an unconditional right to

defer the settlement of these amounts in the event employees wish to use their leave entitlement.

The non-current portion for this provision includes amounts accrued for long service leave entitlements that have

notyetvestedinrelationtothoseemployeeswhohavenotyetcompletedtherequiredperiodofservice.

2014 2013 $ $

Note14.Tax(a) Tax Assets

Non-current

Deferredtaxassetscomprise:

AccruedExpenses 960 930

Provisions 30,967 25,183

31,927 26,113

(b) Tax Liabilities

Current

Incometaxpayable 38,059 19,013

Note15.Sharecapital2,940,081OrdinarySharesfullypaidof$1each 1,527,561 1,527,561

Less:Equityraisingcosts - -

1,527,561 1,527,561

2014 2013 $ $



Note15.Sharecapital(continued)

Share capital comprises:

-695,010sharesinitialcapital 695,010 695,010

-7,500sharesissuedfornoconsiderationonincorporation - -

-1,405,020bonus2:1issueofsharesin2009 - -

-832,551sharesforadditionalcapitalin2010forMontrosebranch 832,551 832,551

At the end of the reporting period 1,527,561 1,527,561

Movements in share capital

Fully paid ordinary shares:

Atthebeginningofthereportingperiod 1,527,561 1,527,561

Shares issued during the year - -

At the end of the reporting period 1,527,561 1,527,561

Ordinary shares participate in dividends and the proceeds on winding up of the company in proportion to the

number of shares held. At the shareholders’ meetings each shareholder is entitled to one vote when a poll is

called, or on a show of hands. The company does not have authorised capital or par value in respect of its issued

shares.Allissuedsharesarefullypaid.Allsharesrankequallywithregardtothecompany’sresidualassets.

Capital management

TheBoard’spolicyistomaintainastrongcapitalbasesoastosustainfuturedevelopmentofthecompany.The

BoardofDirectorsmonitorthereturnoncapitalandthelevelofdividendstoshareholders.Capitalisrepresented

bytotalequityasrecordedintheStatementofFinancialPosition.

In accordance with the franchise agreement, in any 12 month period, the funds distributed to shareholders shall

notexceedtheDistributionLimit.

(i) the Distribution Limit is the greater of:

(a)20%oftheprofitorfundsoftheFranchiseeotherwiseavailablefordistributiontoshareholdersinthat12

monthperiod;and

(b) subject to the availability of distributable profits, the Relevant Rate of Return multiplied by the average level

ofsharecapitaloftheFranchiseeoverthat12monthperiod;and

(ii)theRelevantRateofReturnisequaltotheweightedaverageinterestrateon90daybankbillsoverthat12

monthperiodplus5%.

TheBoardismanagingthegrowthofthebusinessinlinewiththisrequirement.Therearenootherexternally

imposedcapitalrequirements,althoughthenatureofthecompanyissuchthatamountswillbepaidintheform

of charitable donations and sponsorship. Charitable donations and sponsorship paid for the year ended 30 June

2014canbeseenintheStatementofProfitorLossandComprehensiveIncome.

There were no changes in the company’s approach to capital management during the year.

2014 2013 $ $



Note16.RetainedearningsBalanceatthebeginningofthereportingperiod 381,736 296,610

DividendPaid (73,502) (73,502)

Profitafterincometax 116,677 158,628


Note17.Statementofcashflows Reconciliation of profit after tax to net cash provided from/(used in)

operating activities

Profitafterincometax 116,677 158,628

Noncashitems

-Depreciation 48,827 38,855

-Amortisation 32,121 32,622

Changes in assets and liabilities

-(Increase)decreaseinreceivables (4,057) (643)

-(Increase)decreaseindeferredtaxasset (5,814) 3,610

-Increase(decrease)inpayables 10,187 (401,468)

-Increase(decrease)inincometaxpayable 19,046 -

-Increase(decrease)inprovisions 19,281 (12,236)

Net cash flows from/(used in) operating activities 236,268 (180,632)

Note18.Leases Operating lease commitments

Non-cancellableoperatingleasescontractedforbutnotcapitalisedinthe

financial statements

Payable-minimumleasepayments

-nolaterthan12months 68,640 44,000

-between12monthsand5years 240,240 -

-greaterthan5years - -

308,880 44,000

Thepropertyleaseisanon-cancellableleasewitha5yearterm,withrentpayablemonthlyinadvance.Thelease

expiresinDecember2018withanoptiontorenew.

2014 2013 $ $



Note19.RelatedpartytransactionsThe company’s main related parties are as follows:

(a) Key management personnel

Any person(s) having authority or responsibility for planning, directing or controlling the activities of the entity,

directlyorindirectlyincludinganyDirector(whetherexecutiveorotherwise)ofthatcompanyisconsideredkey

management personnel.

(b) Other related parties

Otherrelatedpartiesincludeclosefamilymembersofkeymanagementpersonnelandentitiesthatarecontrolled

orjointlycontrolledbythosekeymanagementpersonnel,individuallyorcollectivelywiththeirclosefamily

members.

(c) Transactions with key management personnel and related parties.

Otherthandetailedbelow,nokeymanagementpersonnelorrelatedpartyhasenteredintoanycontractswiththe

company.NoDirectorfeeshavebeenpaidasthepositionsareheldonavoluntarybasis.

JillianRuleownsthepremisessituatedatShop6-17WrayCrescent,MtEvelyn.Thepremisesarerentedon

normalcommercialtermsasadministrationofficesandBoardsuite.Duringtheyearended30June,2014

$18,770(2013:$18,039)waspaidinrelationtothislease.

Directors’ fees

Primarybenefits

salary & fees2014

$

Primarybenefits

salary & fees2013

$








Georgia Donovan - 2,618

Laura Lilley - -



Note19.Relatedpartytransactions(continued)

(d) Key management personnel shareholdings

ThenumberofordinarysharesinMtEvelyn&DistrictsFinancialServicesLimitedheldbyeachkeymanagement

personnel of the company during the financial year is as follows:

2014 2013








Laura Lilley - -

Therewasnomovementinkeymanagementpersonnelshareholdingsduringtheyear.Eachshareheldhasapaid

upvalueof$1andisfullypaid.

(e) Other key management transactions

Therehasbeennoothertransactionsinvolvingequityinstrumentsotherthanthosedescribedabove.

Note20.EventsafterthereportingperiodThere have been no events after the end of the financial year that would materially affect the financial statements.

Note21.ContingentliabilitiesandassetsThere were no contingent liabilities or assets at the date of this report to affect the financial statements.

Note22.OperatingsegmentsThecompanyoperatesinthefinancialservicessectorwhereitprovidesbankingservicestoitsclients.The

companyoperatesinonegeographicareabeingMtEvelyn,Victoria.Thecompanyhasafranchiseagreementin

placewithBendigoandAdelaideBankLimitedwhoaccountfor100%oftherevenue(2013:100%).

Note23.CompanydetailsTheregisteredofficeandprincipleplaceofbusinessis:37WrayCrescentMtEvelyn3796

Annual report Mt Evelyn & Districts Financial Services

annual report 2014 - bendigo bank · 2019. 5. 26. · 2 annual report mt evelyn & districts...

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