financial report and statements for the year ended … report and statements . for the year ended 31...

Financial Report and Statements For the year ended 31 July 2009

A charity registered in England and Wales No 312826

ROYAL ACADEMY OF DANCE

CONTENTS

Page

Results at a glance 3

Aims and Objectives 4

Corporate Governance 4 - 7

Business Review 8-13

Statement of the Board of Trustees’ Responsibilities 14

Independent Auditors’ Report to the Trustees of Royal Academy of Dance 15

Group Consolidated Statement of Financial Activities 16

Group and Charity Balance Sheets 17

Group Cash Flow Statement 18 – 19

Accounting Policies 20 – 21

Notes to the Accounts 22 – 34

Structure 35

Advisers and Management 36 - 37

Financial Statements 2009 2


RESULTS AT A GLANCE Financial Highlights Unrestricted Funds Restricted Funds 2009 2008 2009 2008 Statement of Financial Activities £000 £000 £000 £000 Total incoming resources 16,143 14,060 74 70 Net incoming resources 715 591 20 31 Loss on revaluation of assets (443) (300) - (3) Movement on exchange arising from the consolidation of branches and subsidiaries

159

131

-

-

Net movement in reserves 431 422 20 28 Balance Sheet Tangible and intangible fixed assets (excluding freehold property) 351 259 - - Cash and other liquid assets 1 4,442 2,955 617 597 Working capital including provisions 2 (3,015) (2,259) - - Readily realisable reserves 3 1,427 696 617 597 Accumulated funds 2,855 2,020 617 597 Revaluation reserves 4,844 5,248 - - Statistics 2009 2008 Members 12,353 12,713 Students enrolled on education programmes 963 931 Candidates taking examinations, demonstration and presentation classes 231,664 232,140

Financial Calendar Annual General Meeting 2010 25 April 2010 Royal Academy of Dance, London 1 Cash and other liquid assets is made up of cash held at bank less any bank overdrafts shown in Note 25 2 Working capital including provisions is made up of stocks and debtors shown in Notes 23 and 24 less trade creditors, taxation and social security, and

accruals and deferred income shown in Note 25, and provisions for long service in Note 26 3 Readily realisable reserves are made up of cash and other liquid assets less working capital including provisions as shown above and on page 13 of this

report.

3 Financial Statements 2009


AIMS AND OBJECTIVES The aims of the Royal Academy of Dance (“the Academy”), as set out in its Charter, are to elevate and advance the art of dance by promoting the correct tuition of the dance in its highest forms; and to advance education in the art of dance. Our mission is to promote knowledge, understanding and practice of dance internationally.

CORPORATE GOVERNANCE The Royal Academy of Dance is a company created by Royal Charter on 31 December 1936 and registered as a charity in England and Wales No 312826 on 16 January 1963. An amended Supplemental Charter and Bye-Laws was approved by the Privy Council on 10 December 2008. The Royal Academy of Dance has a number of branch and subsidiary companies overseas in which it holds, either in trust or outright, 100% of the issued share capital. It also has effective control over a building fund in South Africa which is administered by the Royal Academy of Dance, an association incorporated under s21 of the Republic of South Africa’s Companies Act; and Yayasan Royal Academy of Dance Indonesia, a non-profit foundation, based in Indonesia. The Academy has its headquarters in London and has a network of 33 international offices, representing 12,353 members, resident in 77 countries.

The Board of Trustees The Academy elects a President, Vice-Presidents, and a Board of Trustees. The governance of the Royal Academy of Dance lies with the Board of Trustees. The Board has a maximum of twenty one members, consisting of the current President, ten Trustees who are Full Members of the Academy and ten Trustees who may or may not be Full Members of the Academy but who have been recommended by the Board as persons likely to bring skills or experience other than dance or education. The office of President, Vice-President and Trustee may be nominated by Full Members of the Royal Academy of Dance or recommended by the Board of Trustees. Trustees are elected by Members at an Annual General Meeting to hold office for a term of three years, and may be re-appointed for two further consecutive terms in accordance with clauses 33-38 of the Bye-Laws. Individuals may be co-opted by the Trustees to fill vacancies arising during the year. New Trustees are provided with a Trustees Handbook and take part in induction sessions with senior staff to familiarise themselves with the work of the Academy. The Board of Trustees and each of the sub-Committees meet at least three times a year. Trustees are expected to attend all meetings of the Board of Trustees.

Board of Trustees’ sub-Committees The Board of Trustees is assisted by five sub-Committees (Finance, Education, Artistic, Benesh, and Regional) set up to support particular aspects of the Academy’s activities. Membership of sub-Committees is made up of Trustees and co-opted members recruited for their relevant skills and experience. The Board of the Royal Academy of Dance Enterprises Ltd acts in an advisory capacity. The President and Chairman of the Board of Trustees are ex-officio members of each sub-Committee. In addition there is an Audit Committee drawn from members of the Finance sub-Committee, and a Disciplinary Committee drawn from members of the Board of Trustees.

Advisory Council There is an Advisory Council which consists of the President, Vice-Presidents and any other persons appointed by the Board and whose purpose is to provide advice to the Board as it sees fit. As a result of the introduction of the amended Supplemental Charter and Bye-Laws last year, the members of the then Grand Council were deemed to be members of the Advisory Council. During the year all existing members were approached to confirm their appointment to the Council and a number of members resigned or were deemed to have resigned.



International Advisers The Trustees appoint up to five International Advisers whose ordinary residence is overseas and who attend meetings of the Board of Trustees in an advisory capacity. Four International Advisers were appointed during the year for a three year term. There is a vacancy for Europe. Patron Board of Trustees Sub-Committees Her Majesty Queen Elizabeth II Kerry Rubie (Chair) Education sub-Committee Nigel Hildreth (Chair) President Nigel Hildreth (Vice-Chair) Rosemarie Franklin RAD RTS Dame Antoinette Sibley DBE Derek Purnell (Vice-Chair) Lynne Reucroft-Croome BA(Hons) LRAD Karen Berry BSc BA(Hons) Adv Tch Dip Co-opted: Vice Presidents Leigh Collins Tina Chen FISTD MA Dip RBS(TTC) ARAD David Bintley CBE Rosemarie Franklin RAD RTS Michelle Eyre Dame Beryl Grey DBE DMus DLitt DEd Anders Ivarson AI Chor Philip Garbutt FRSA Caroline Jenkins ARAD RTS Baroness Hooper Dr Ivor Guest MA DUNIV FRAD Valerie Mitchell OBE Linda Jasper David McAllister OAM Louise Murray ARAD RTS Dr Peter Millward Wayne Sleep OBE Helen Taylor RAD RTS Hilary Moss BPhil (Hons) LRAD ARAD Sir Peter Wright CBE DMus DLitt FBSM Cheryl Thrush ARAD RTS Susan Robinson Adv Tch Dip Denise Winmill ARAD RTS Lauren Scholey Advisory Council Nigel Wreford-Brown Joy W Brown Student representatives: Mary Clarke Elected 30 April 2009 Paula Scales Barbara Fewster OBE FISTD Frank Freeman FRAD RTS Jacqueline Bush Alexander Grant CBE Lynne Reucroft-Croome BA(Hons) LRAD Dr Stanley Ho OBE GrOIH Chev Leg Kathryn Wade ARAD Artistic sub-Committee d’Hon DSoc Sc CStJ Derek Purnell (Chair) Paul Leopold-Kimm Retired 30 April 2009 Karen Berry BSc BA(Hons) Adv Tch Dip PF Nind MA OBE Janet Lambert Frank Freeman FRAD RTS Lady Porter Gailene Stock AM Caroline Jenkins ARAD RTS The Rt Hon Lord St John of Fawsley Cheryl Thrush ARAD RTS Sir Roy Strong DLitt PhD FRSA FRSL Resigned 9 December 2009 Kathryn Wade ARAD Alison Clark LRAD RTS Denise Winmill ARAD RTS Resigned during year or deemed to Co-opted: have resigned Co-opted 9 December 2009 Sue Goodman Lord Attenborough CBE Deborah Coultish RAD RTS Moira McCormack JAH Brincker David Nixon Andrew Buxton Sub-Committees Margaret Dale Dame Antoinette Sibley (ex-officio) Regional sub-Committee Lady Daubeny Kerry Rubie (ex-officio) Deborah Coultish (Chair)(Northern England) Sir Peter Hall CBE Co-opted: Sir Derek Jacobi CBE Finance sub-Committee Niki Forbes (Scotland) Lady Patricia Jellicoe Leigh Collins (Chair) Sian Dixon (South West England, Wales Lady Bernard Johnson Kerry Rubie and Channel Islands) Lord Lloyd Webber Nigel Wreford Brown Penny Parks (South East England) Sir Charles Mackerras CBE Co-opted: Sara Gannon-Perez (Ireland) Silma Keys Yvonne Gray RAD RTS Justine Berry (London and Middlesex) Lady Strauss Sue Lucas (Midlands and East of England) Lady Tait Board of Directors of Royal Academy of Dr Wendy Toye CBE DLitt Dance Enterprises Ltd and Enterprises Benesh sub-Committee FMG Wilson BA (Admin) MA DPhil sub-Committee Kathryn Wade ARAD (Chair) Nigel Wreford Brown (Director)(Chair) Anders Ivarson AI Chor International Advisers Leigh Collins Co-opted: Caroline Carattini RAD RTS Americas Kerry Rubie Christopher Hampson Dr Tania Kopytko Australasia Luke Rittner (Director) Jeanetta Lawrence Dirk Badenhorst Africa Richard Thom (Director and Co Secretary) Lady MacMillan Sabine Lieb RAD RTS Europe Helen Taylor RAD RTS Caroline Palmer



Internal Control The Trustees are responsible for the Group’s system of internal control and for reviewing its effectiveness. The Trustees have a comprehensive system of reporting financial results. Annual budgets, quarterly results with comparisons against forecast, and analytical Reports as requested, are presented to the Finance sub-Committee at their four meetings throughout the year. The Trustees review the effectiveness of the internal control system through these reports to the Trustees and management concerns raised by the auditors, and recommend appropriate action or caution to the Board of Trustees. Such a system can only provide reasonable and not absolute assurance against material misstatement or loss. Executive Management consider the following to be key control procedures:

Quality and integrity of personnel Employees are expected to consider and respect one another and to strive to improve quality, efficiency, safety and financial performance. It is the Academy’s policy to invest in the people needed to support its markets. The Academy has developed a series of Human Resource policies, the most important of which are Equal Opportunities and Diversity, Health and Safety, Data Protection, and Child Protection Policies. Operating unit financial controls The controls and procedures under which each operating department or group entity is required to comply is contained in a Controls Manual which is updated annually. Trustees and Executive Management review the application of these procedures. Internal audit The Finance sub-Committee from time to time reviews the need for an internal audit function and considers that given the size, complexity and structure of the Academy, the existing regular reviews remain adequate at the present time. The appointment of a Group Financial Controller during the year to assist the Director of Finance and Administration has been made to ensure that Group policies, procedures and controls are followed. Information and computer systems Much of the Academy’s financial and management information is processed and stored on computer systems. Accordingly the Academy has established controls and procedures over the security of data held on computer and put in place appropriate disaster and continuity procedures. In addition the Trustees have authorised the development of a worldwide database so that all offices can communicate on the same platform thus reducing cost from economies of scale and increasing efficiency.

Principal risks and uncertainties There are a number of risks and uncertainties which are identified below:

Market place and products The Academy faces competition throughout the world from other awarding bodies who offer multi-genre dance examinations and at a lower cost; from higher education bodies that offer places funded by government; and loss of members who for one reason or another no longer wish to retain membership of the Academy. Foreign exchange The Academy, operating in many jurisdictions, sets its fees in local currencies, while at the same time incurs costs based in sterling. It is therefore prone to fluctuations in its results due to currency gains and losses against sterling. Pandemics The Academy is potentially vulnerable to pandemics such as SARS or avian bird flu where outbreaks prevent young people travelling to and taking part in examinations and thereby reducing income. Economic climate In common with many other businesses changes in the economic climate can affect the Academy’s business. The Academy has no real influence over its customers’ financial circumstances - whether member, teacher, examination candidate, higher education student or dance class attendee – which can in turn lead to a reduction in participation in the Academy’s activities.



The Trustees make an annual assessment of the risks to which the Academy could be exposed, particularly in terms of governance, operational and financial risks. Identified risks are assessed for likelihood and severity or impact. This information is then used to develop a risk management strategy for the Academy, including the identification of existing controls in operation and any new controls the trustees consider necessary. The risk management strategy also informs the annual planning process. With the establishment of an offsite ICT disaster recovery site, the remaining part of the formal Business Disaster and Continuity Plan will be completed in early 2010. Public Benefit The Academy is a charity registered in England and Wales and therefore Trustees are required to have regard to any guidance the United Kingdom’s Charity Commission publish on public benefit and to ensure that they carry out the charity’s aims for the public benefit whenever the exercise of any powers or duties may be relevant. The aims of the Academy as set out in its Charter are:

(1) to elevate and advance the art of dance by promoting the correct tuition of dance in its highest forms; (2) to advance education in the art of dance, in particular:

by providing facilities for dance, dance education and training; by setting up and maintaining programmes of study for the education and training of dancers, teachers and

notators of dance (such programmes to include, but not be limited to, the study of Benesh Movement Notation, whenever appropriate);

by setting and conducting examinations in dance and the teaching of dance; by educating, training, assessing, registering, licensing and chartering teachers of dance who meet standards

determined by the Board from time to time; and by promoting teaching of dance.

The Trustees have assessed the Academy’s activities in relation to the public benefit requirement and consider that the activities of the Academy meet the two main principles of public benefit - that the benefits are identifiable and are related to the aims of the Academy; and that the public are the beneficiaries and that there is no significant exclusion as to who can benefit. The Trustees are aware that the fees for its activities cross a wide range. At the top end access funds are available for students to apply for assistance to meet tuition fees for education programmes, while at the bottom end there are schemes in place such as the Boys Only or Step into Dance projects, the former providing subsidised places for boys to enjoy dance and the latter grant-aided classes in secondary schools. The Trustees are considering how access might be increased to examinations and other programmes where the level of fees might be seen as a barrier to entry, although there are schemes already in place in South Africa and Brazil for those living in townships and favelas. Executive Management Board Day-to-day operational decisions are taken by the Chief Executive and his staff within the delegated authority conferred by the Trustees. National Administrators of international entities report directly to the Chief Executive.



BUSINESS REVIEW The Board of Trustees of the Royal Academy of Dance presents its audited Financial Statements for the year ended 31 July 2009. The statements comply with current statutory requirements, the Charter and the Statement of Recommended Practice for Accounting and Reporting by Charities (2005). These should be read in conjunction with the Annual Review and Report which is published separately and contains a summary of these financial statements on pages 46 - 49. The Trustees are pleased to report that for both restricted and unrestricted activities the Academy made a surplus of £735,194 for the year to 31 July 2009, compared to a surplus of £622,048 reported last year, an improvement of £113,146. This is commendable given the recession that has hit worldwide economies, and while the Academy did achieve growth in some areas during the year, changes in the exchange rate used to translate the results of branches and subsidiaries this year from last year accounted for £145,833 of the surplus, together with a further £144,817 in realised exchange gains. Trustees advise Members that the surpluses for the last two years come after a number of years’ losses, and are a result of three elements - the initial and continuing review of fees, and costs, and for this year the weakness of sterling against other currencies. This positive result continues to restore the Academy’s reserves, spread across more than forty countries, which have become depleted through prior year losses, necessary to provide sufficient working capital against risks identified and to enable the Academy to invest in the technologies of tomorrow.

Unrestricted activities Unrestricted activities resulted in a surplus of £715,487, an increase of £124,815 over the surplus of £590,672 for the year before. Performance by activity Summary Financial Performance Contrasting all income streams from unrestricted activities against both direct expenditure and indirect support costs:

2008/09 2007/08 Indirect Indirect Income Expenses Net Support Net Net Support Net before Costs before Costs £000 £000 £000 £000 £000 £000 £000 £000 Voluntary income 1 - 1 - 1 1 - 1 Activities for generating funds 507 (307) 200 (57) 143 196 (83) 113 Investment income 66 - 66 - 66 68 - 68 From generated funds 574 (307) 267 (57) 210 265 (83) 182 Examinations 8,753 (5,179) 3,574 (1,528) 2,046 3,152 (1,275) 1,877 Education programmes 2,507 (2,099) 408 (591) (183) 366 (585) (219) CPD programme 20 (66) (46) (7) (53) (39) - (39) Training courses 1,103 (934) 169 (424) (255) 98 (283) (185) Summer schools 661 (512) 149 (255) (106) 205 (275) (70) Competitions and events 119 (145) (26) - (26) 21 - 21 Education and training 4,410 (3,756) 654 (1,277) (623) 651 (1,143) (492) Membership 858 (659) 199 (344) (145) 245 (314) (69) Primary purpose trading 1,169 (996) 173 (214) (41) 50 (166) (116) Other income and costs 379 (282) 97 (27) 70 (119) (23) (142) From charitable activities 16,143 (11,179) 4,964 (3,447) 1,517 4,244 (3,004) 1,240 Governance costs - (313) (313) (489) (802) (217) (432) (649) Net incoming resources 16,143 (11,492) 4,651 (3,936) 715 4,027 (3,436) 591



Income from unrestricted activities rose from £14,059,912 to £16,143,542 or 14.8% with total costs increasing from £13,469,240 to £15,428,055 or 14.5%. As reported above, this increase in both income and costs, is primarily due to the effect of translating income and expenditure at the year end exchange rates. There was some growth from increases in fee levels in 2009 and the Academy’s new Pre-Primary in Dance and Primary in Dance syllabus through a programme of training courses and related primary purpose trading through Royal Academy of Dance Enterprises Limited. The Academy’s Certificate in Ballet of Teaching Studies continues to attract students. In particular: Activities for generating funds The main source of additional income from activities for generating funds comes from licensing and the hire of studios, as the cost of the UK Step into Dance programme is funded to break-even from a grant by the Jack Petchey Foundation. Gross income from licensing fees from approved manufacturers, royalties and commission from co-branded products remained relatively static at £176,240 (2008: £174,246) but increased legal fees arising out of negotiations with new licensees reduced the net contribution to £164,282. The external hire of studios, when surplus to charitable activities, declined during the year due to increased internal usage. Charitable activities Net contribution from examinations and actual examination entries remained similar to the year before. Income from examinations increased by 13.3%: 12.7% in grades income and 15.8% in vocational grades income, but examinations’ share of total revenues from charitable activities decreased from 57% to 56%. Direct examination expenditure rose by 13.3%% or £605,890 while support costs rose by 20% or £254,433. In this year spending on quality assurance measures rose to £347,931from £338,511 last year – £176,128 (2008: £142,492) in examiner standardisation, and £171,803 (2008: £196,019) in the costs of centrally processing examination results. Overall margins declined from 24.3% to 23.3% but examinations continue to fully cover their allocated share of indirect support costs. Graded entries dropped slightly from 213,907 to 213,090, or 0.4%, while vocational graded examination entries rose from 18,233 to 18,574, or 1.9%. The decrease in graded examinations can be primarily ascribed to Pre-Primary and Primary examinations and presentation classes as teachers ceased to teach the old work and started the new work. Education programme gross revenues increased by 4%. University validated programme revenues declined by £47,086 as the TDA cut funding for both student bursaries and institutional grants, while RAD validated programme revenues increased by £144,691 or 10%, driven by the Certificate in Ballet Teaching Studies whose revenues rose by 17%.This programme accounts for 56.7% of education programme revenues, up from 50% last year, and its contribution alone cover indirect support costs, up from 60% last year to 100%. This helped to improve the margins of education programmes, reducing the overall cost of providing these programmes from 9% of turnover to 7%. During the year the Academy piloted the introduction of a Continuing Professional Development model, building on initial work started in 2007/08. This has cost £92,222 to date, £53,575 in the current year. Turnover from training courses, summer schools and events increased by 10.7% to £1,883,829 during the year, primarily benefiting from a worldwide programme of courses to introduce the new Pre-Primary in Dance and Primary in Dance to teachers, but costs rose more proportionately by 15.5% to £1,591,406. Support costs rose from £558,171 to £684,665 resulting in an overall loss arising out of training courses of £392,242, £157,308 worse than the year before. £102,557 of this arose from a reduction in the number of summer schools in the year compared to last year – a USA summer school having to be cancelled, whilst incurring costs of £25,766; and three summer schools less than the year before, as Singapore, Luxembourg and NZ are held every two and five years respectively. In addition the Genée International Ballet Competition held in Toronto in 2008/09, while artistically successful, resulted in an expected loss of £17,485 while a further £5,713 was spent on planning for a third Fonteyn Nureyev Young Dancers Competition which the Academy was unable to hold due to the lack of available funding. Net surplus from all other courses rose from £221,350 to £306,802 but support costs also rose from £283,073 to £427,916. Royal Academy of Dance Enterprises Ltd and the Academy’s branch outlets had an extremely successful year increasing sales turnover from £774,968 to £1,168,781. All channels performed well, and in particular sales of the new Pre-Primary in Dance and Primary in Dance syllabus products proved very popular. Royal Academy of Dance Enterprises Limited was able to increase its gift aid donation to Royal Academy of Dance from £140,000 to £208,000. Subscription income rose by 2.8% helped by real growth in registered teachers, currency movements and an increase in membership subscriptions. Costs of publications decreased by 7%.



Indirect support costs Total indirect support costs rose by £499,032 or 14.5% across the group; commensurate with the increases in turnover and cost, primarily driven by the year end exchange rates. Head office support costs only rose by £109,931. Indirect salaries and pension support costs rose 9.2% across the Group, in line with the incremental increase in business, and through an increase in staff both in the United Kingdom and internationally. General administration rose by £249,807 or 35%; information computer technology by 17.4% and property costs by 17.8%. Depreciation fell by 1.7% as did financing costs 15.6%, due to the improved profitability of the group, improved cash flow and the reduction in the base rate in the UK and South Africa where bank loans and mortgages are outstanding. Summary of unrestricted activity indirect support costs:

2008/09 2007/08 Change 2007/08 2006/07 Change £000 £000 £000 % £000 £000 £000 % Salaries and pensions (2,132) (1,951) 181 9.28% (1,951) (1,864) 87 4.67% General administration (965) (714) 251 35.15% (714) (758) (44) -5.80% Information technology (217) (185) 32 17.30% (185) (194) (9) -4.64% Financing charges (85) (109) (16) -14.68% (109) (103) (2) -1.94% Depreciation (173) (176) (3) -1.70% (176) (171) 5 2.92% Rent and property (364) (301) 55 18.27% (301) (326) (17) -5.21% (3,936) (3,436) 500 14.55% (3,436) (3,416) 20 0.59%

Performance by region All regions held their percentage share of their markets, but there was some change in overall performance due to the weakness of sterling against other currencies, particularly evident in Europe and Asia; and the mix of activities for example in New Zealand where the summer school is only held every five years, and in the USA where a summer school had to be cancelled. Unrestricted Turnover was derived regionally as follows.

No of % of 2008/09 2007/08 countries Market Income Expenses Net Income Expenses Net Change £000 £000 £000 £000 £000 £000 £000 UK 1 42 6,775 (6,811) (36) 5,928 (5,942) (14) (22) Europe 16 19 2,989 (2,744) 245 2,664 (2,488) 176 69 Asia 14 13 2,147 (1,748) 399 1,774 (1,537) 237 162 Australasia 2 12 1,933 (1,873) 60 1,623 (1,519) 104 (44) North America 2 8 1,274 (1,242) 32 1,141 (1,082) 59 (27) Africa 6 2 389 (376) 13 306 (296) 10 3 South America 4 2 315 (336) (21) 257 (282) (25) 4 Central America 5 2 229 (194) 35 262 (220) 42 (7) Middle East 2 - 49 (53) (4) 70 (68) 2 (6) Caribbean 6 - 43 (51) (8) 35 (35) - (8) 58 100 16,143 (15,428) 715 14,060 (13,469) 591 124

[Net result shown after management charges and dividends.]

Activities took place in 58 countries during the year, compared to 56 the year before. There was an improvement in post-head office charge losses with only fifteen countries failing to make a positive contribution after the allocation of head office charges, compared to eighteen the year before; however there was an increase in the number of countries from seven to eleven who did not make a positive contribution before head office charges. Although there has been an improvement over the years in the overall performance of the countries in which the Academy operates, Trustees are aware that all activities of the Academy need to operate profitably so that the Group as a whole can be benefit.



The United Kingdom remains the largest market by turnover, followed by Australia. New Zealand and the USA have fallen out of the top ten markets due to the reasons given before – a reduction in turnover due to the summer school being held in New Zealand every five years, and the cancellation of a summer school in the USA. Royal Academy of Dance Enterprises Limited increased its turnover over the £1M for the first time and the Group now has three companies with turnovers in excess of £1M. Market leaders by turnover: Group by turnover:

Current 2008/09 Prior 2007/08 Year

£000

Year

£000

No of offices, branches or subsidiaries that fall into the turnover bands below:

1 United Kingdom 6,775 1 5,928 1 £5M+ 2 Australia 1,620 2 1,272 2 £1M - £5M 3 Italy 1,009 3 944 14 £200K - £1M 4 Canada 953 4 790 4 £100 - £200K 5 Hong Kong 728 5 608 30 £0 - £100K 6 Spain 469 6 388 7 South Africa 389 11 306 8 Singapore 363 10 308 9 Germany 363 9 325 10 Japan 341 15 256

Performance against targets The Trustees budgeted for a Group surplus for the year to 31July 2009 of £326,616. This has been exceeded by the excellent result of £715,487. In particular UK operations turned in a surplus of £309,218 after group dividends and management charges but before group consolidation adjustments against a budget of £85,095; while other offices, branches and subsidiaries also outperformed original expectations by £164,748. As stated earlier £145,833 of the overall improvement is due to the change in currency rates over the year and a further £144,817 due to realised exchange gains in the year.

Key performance indicators: 2008/09 2007/08 2008/09 Actual Prior Year Target

Education programme recruitment (continuing and current):

PGCE: Dance Teaching 20 21 20 BA (Hons) Ballet Education 70 74 71 BA (Hons) Dance Education 71 74 82 LRAD 59 55 51 PDTD 12 18 14 CBTS 731 689 527 Total students on education programmes 963 931 765

Candidates taking examinations, demonstration and presentation classes:

Graded 213,090 213,907 213,593 Vocational graded 18,574 18,233 17,733 Total examinations 231,664 232,140 231,326

Membership recruitment:

Registered teachers 7,015 6,828 6,906 Full members 2,626 2,832 3,131 Affiliate members 2,358 2,747 3,196 Friends of the Academy 354 306 342 Total members 12,353 12,713 13,575



Restricted activities There was a net incoming resource from restricted income of £19,707 for the year to 31 July 2009 compared to £31,378 for the prior year. £16,438 (2008: £29,640) relates to net interest earned on the Academy’s restricted access funds, while the balance represents net movements on the remaining funds including awards and grants. The reduced earnings reflect the fall in interest rates in the UK. Operating cash flows and capital expenditure The Group’s overall net cash and loans position increased to £4,818,891, compared to £3,292,688 the year before. £284,219 of the improvement is a gain due to exchange movements. The remaining £1,241,984 reflects the improvement in net incoming resources, a reduction in stock holding levels and a better use of working capital, including an increase in deferred income of £431,119 against the previous year. Deferred income arises because the southern hemisphere’s closing dates for examinations fall into the current financial year, while the actual examinations take place in the following year; in the United Kingdom, a number of summer schools and courses take place in August with closing dates falling in the current year and the Faculty of Education’s Certificate in Ballet Studies is a two year programme whose income is currently recognised over a three year financial period. This income is treated as deferred in accordance with the Academy’s accounting policies. In the United Kingdom the Academy further reduced its borrowings by £88,334 following the improvement in its results for the year. HSBC Bank Plc the Academy’s main banker in the United Kingdom renewed the Academy’s grouping facility of £700,000; and Royal Academy of Dance Enterprises Limited’s overdraft facility of £200,000 for a further year on 16 September 2009.

Net assets and net debt Group net assets increased to £8,316,619 from £7,865,411 reflecting the increase in net incoming resources, a decrease in the value of the buildings held by the Academy for charitable use, and exchange gains arising out of the revaluation of the accumulated funds and revaluation reserve at the end of the financial year. Net current assets less long term liabilities rose significantly from £1,032,598 to £1,803,218. This, as in previous years, includes deferred income relating to activities completing or commencing after the year-end. This reflects the dependence by the Academy on the receipt of advance income. Interest Finance charges decreased from £109,599 to £86,381. These charges relate primarily to the financing of the Academy’s overdraft and loan facilities in the United Kingdom, but include charges for international transactions, credit cards and other forms of monetary transactions. The lower charges reflect the improvement in the Academy’s overdraft in the United Kingdom and the fall in base rates. At the end of the financial year the net balance of all funds held in the United Kingdom was £185,381 in credit, a further improvement on £124,105 last year. Taxation The Academy is required to pay corporation and income tax on the surpluses earned by incorporated subsidiaries within the Group. The tax charge for the year was £205,879, an increase from £198,964 last year. The increase is due to withholding tax due on dividends declared by group companies, as well as tax due on profits declared by those incorporated subsidiaries that are required to pay tax. As the Royal Academy of Dance is exempt from corporation tax in the United Kingdom, it cannot take advantage of double taxation agreements. Reserves policy The trustees established a policy that there should be at least £500,000 in readily realisable reserves and that they should be held on behalf of the Group in the United Kingdom. The reserves policy is meant to ensure that the Academy’s core activities can be maintained during a period of unforeseen difficulty. The trustees consider that readily realisable reserves to be the amount of reserves that are easily convertible into cash should the need arise. Although there has been a significant improvement in reserves now standing at a net £1,427,256 (2008: £696,077), £1,679,911 is held offshore (2008: £1,138,967), and the charity in the United Kingdom relies on its bank facilities to provide working capital. The Trustees will continue to investigate appropriate measures to ensure that reserves are strategically positioned within the group.



As of 31 July 2009, the Academy’s net assets and other reserves were as follows:

2009 2008 £000 £000

Bank accounts (excluding restricted fund bank accounts) 4,442 2,955 Working capital (3,015) (2,259) Net assets 1,427 696 Freehold property (net of mortgage) 5,920 6,313 Restricted reserves (held for use of RAD projects and access funds) 617 597 Other fixed assets (excluding freehold property) 352 259 Other reserves 6,889 7,169 Total reserves 8,316 7,865

Investment policy The Academy’s ten year business comes to an end at the end July 2010. The Academy’s management is now working on a five year rolling plan which will be presented to the Trustees for approval. In addition to longer term plans, detailed annual budgets are prepared. The Academy budgets to expend all anticipated income, either as part of ongoing operations, capital re-investment or repayment of financing. The intention is that in line with the reserves policy there will be sufficient net incoming resources to retain as free reserves. The comprehensive business review and the recommendations implemented therein have contributed to an improvement in the reserves. The Academy does have some restricted funds which are used to fund student access to education programmes. These funds are offset for grouping purposes against other balances held by the Royal Academy of Dance and at certain times of the year excess funds are placed on the money market.

Future outlook The Trustees consider the Academy to be a going concern. Increased reserves are now available in case of a downturn, and in the first quarter of the 2009/10 financial year revenues in the United Kingdom from examinations, education programmes, summer schools and training courses hit their target, and with membership renewal subscriptions strong. The Trustees are keenly aware however that the majority of the Academy’s income stream occurs in the last seven months of any financial year and have therefore taken steps to be informed of any potential downturn in the business and while the economic signs for the worldwide economy appear to be improving, the Trustees consider it possible that the recessionary cycle for the Academy may come at a later stage. The Trustees have therefore for the financial year 2009/10 put a freeze on staff and freelance pay and contractual terms so as to ensure that any downturn in revenues is not met by an increase in costs that cannot be met. This also has the goal of reducing the Academy’s dependency on its bank borrowing and every effort in planning is geared toward maximising revenues and reducing cost. In 2009/10 a number of initiatives have been planned. The Faculty of Education will continue its pilot of a Continuing Professional Development programme that will suit the needs of the membership, and across the Group the first part of the development of a worldwide database and a new website will be introduced. In addition work on a new Intermediate Foundation and Intermediate syllabus has started with the ultimate view of introducing it in 2010. In addition the Trustees will continue its programme of reviewing various aspects of the potential development of the Academy’s headquarters. The Academy is an international organisation. It operates in many jurisdictions and in a competitive complex and demanding environment. The Trustees will continue to ensure that the Academy minimises risks and uncertainties to enable it to deliver high-quality services to its customers and the ongoing development of its students, examiners, teachers and staff. The dedication of its staff and its members, together with the support of the Academy’s President and its committee members, its examiners, teachers, students and parents make the Academy a powerful force in delivering its mission to improve the practice, teaching and understanding of dance internationally. Together, we would like to pay tribute to and thank all those without whose support and dedication our task would be made infinitely more difficult. Kerry Rubie Luke Rittner Trustee, Board of Trustees Chief Executive 14 January 2010



STATEMENT OF THE BOARD OF TRUSTEES’ RESPONSIBILITIES The Board of Trustees are responsible for the preparation of the financial statements, which give a true and fair view of the state of affairs of the Charity and the Group, as at the end of the financial year, and of the net movement in funds of the Group for the period. In preparing these financial statements, the Trustees confirm that:

suitable accounting policies have been used and applied consistently.

reasonable and prudent judgements and estimates have been made in the preparation of the financial statements for the year ended 31July 2009.

applicable accounting standards have been followed and that the financial statements have been prepared on the going concern basis.

the Annual Accounts have been prepared in accordance with the Statement of Recommended Practice on Accounting and Reporting by Charities (SORP 2005) issued by the Charity Commission in March 2005.

The Board of Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Group and which enable them to ensure that the financial statements comply with the Charities Act 1993. They are also responsible for the system of internal control, for safeguarding the assets of the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and to provide reasonable assurance that:

the Charity is operating efficiently and effectively;

all assets are safeguarded against unauthorised use or loss and are properly applied;

proper records are maintained and financial information used within the Charity or in publications are reliable; and

the Charity complies with relevant laws and regulations.

The systems of internal control are designed to provide reasonable but not absolute assurance against material misstatement or loss. They include:

a strategic plan and annual budget approved by the Board of Trustees;

regular consideration by the Board of Trustees of financial results, variations from budget, non-financial performance indicators and benchmarking reviews;

delegation of day to day management authority and segregation of duties; and

identification and management of risks.

The requirements of the Charity Commission guidelines on Internal Controls (CC8) have been followed in all material respects.



INDEPENDENT AUDITORS’ REPORT TO THE TRUSTEES OF ROYAL ACADEMY OF DANCE We have audited the financial statements of Royal Academy of Dance for the year ended 31July 2009 which comprise the statement of financial activities, the balance sheets, the cash flow statements, the notes to the cash flow statements 1 to 6 and the related notes 1 to 30. These financial statements have been prepared under the accounting policies set out therein. This report is made solely to the Trustees of the Charity, as a body, in accordance with section 43 of the Charities Act 1993 and regulations made under section 44 of that Act. Our audit work has been undertaken so that we might state to the Trustees of the Charity those matters we are required to state to them in an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charity and the Charity’s Trustees as a body, for our audit work, for this report, or for the opinions we have formed. Respective responsibilities of the Trustees and auditors The Trustees’ responsibilities for preparing the Annual Report and financial statements in accordance with applicable law and United Kingdom accounting standards (United Kingdom Generally Accepted Accounting Practice) are set out in the Statement of the Board of Trustees’ Responsibilities. We have been appointed as auditors under section 43 of the Charities Act 1993 and report in accordance with regulations made under section 44 of that Act. Our responsibility is to audit the financial statements in accordance with relevant legal and regulatory requirements and International Standards on Auditing (UK and Ireland). We report to you our opinion as to whether the financial statements give a true and fair view and are properly prepared in accordance with the Charities Act 1993, and the Academy’s Charter. We also report to you if, in our opinion, the Trustees’ report is not consistent with the financial statements, if the Charity is not keeping proper accounting records or if we have not received all the information and explanations we require for our audit. We read the Trustees’ Report for the above year and consider the implications for our report if we become aware of any apparent misstatements within it. Basis of audit opinion We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the financial statements. It also includes an assessment of the significant estimates and judgements made by the Trustees in the preparation of the financial statements, and of whether the accounting policies are appropriate to the circumstances of the Charity and the Group’s circumstances, consistently applied and adequately disclosed. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or other irregularity or error. In forming our opinion, we also evaluated the overall adequacy of the presentation of information in the financial statements. Opinion In our opinion, the financial statements give a true and fair view, in accordance with United Kingdom Generally Accepted Accounting Practice, of the state of affairs of the Charity and the Group as at 31 July 2009 and of the incoming resources and application of resources of the Group for the year then ended and that the financial statements have been properly prepared in accordance with the Charities Act 1993 and the Academy’s Charter. Deloitte LLP Chartered Accountants and Statutory Auditors LONDON



GROUP CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES For the year to 31 July 2009

2009 2008 Unrestricted Restricted Total Unrestricted Restricted Total funds funds funds funds funds funds £000 £000 £000 £000 £000 £000

Notes Incoming resources

From generated funds

2 Voluntary income 1 - 1 1 - 1 3 Activities for generating funds 507 50 557 398 64 462 4 Investment income 66 1 67 68 1 69

From charitable activities 5 Examination fees 8,753 - 8,753 7,725 - 7,725 6 Education and training fees 4,410 23 4,433 4,110 5 4,115 Subscription income 858 - 858 835 - 835 7 Other primary purpose trading 1,169 - 1,169 775 - 775 8 Other incoming resources 379 - 379 148 - 148 Total incoming resources 16,143 74 16,217 14,060 70 14,130 Resources expended 9 Costs of generating voluntary income - - - - - - 10 Costs of generating funds (364) (23) (387) (285) (35) (320) 11 Costs of charitable activities (13,953) (29) (13,982) (12,245) (1) (12,246) 12 Governance costs (802) - (802) (649) (1) (650) 13 Other resources expended (309) (2) (311) (290) (2) (292) Total resources expended (15,428) (54) (15,482) (13,469) (39) (13,508) Net incoming resources 715 20 735 591 31 622 Other recognised gains and losses Unrealised loss on investments held

for investment purposes - - - - (3) (3) Loss on the revaluation of tangible

fixed assets held for charitable use (443) - (443) (300) - (300) Movement on exchange arising from the

consolidation of branches and subsidiaries 159 - 159 131 - 131 Total other recognised gains and losses (284) - (284) (169) (3) (172) Net movement in funds 431 20 451 422 28 450 Fund balances brought forward at 1 August 7,268 597 7,865 6,846 569 7,415 Total funds carried forward at 31 July 7,699 617 8,316 7,268 597 7,865

All activities derive from continuing operations



GROUP AND CHARITY BALANCE SHEETS As at 31July 2009

Group Charity 2009 2008 2009 2008 £000 £000 £000 £000

Notes Fixed assets

20 Intangible Assets 3 2 - - 21 Tangible Assets held for charitable use 6,479 6,804 6,316 6,652 22 Investments 31 26 82 74 6,513 6,832 6,398 6,726 Current assets

23 Stocks 271 338 99 70 24 Debtors 767 669 990 779 Cash at bank and in hand 5,585 4,171 3,925 3,006 6,623 5,178 5,014 3,855

25 Creditors - amounts falling due within one year (4,631) (3,911) (3,759) (3,022) Total assets less current liabilities 1,992 1,267 1,255 833

26 Creditors - amounts falling due after more than one year (189) (234) (177) (223) Net assets 8,316 7,865 7,476 7,336 FUNDS

27 Restricted Funds 617 597 611 593

28 Unrestricted Funds Accumulated funds 2,855 2,020 2,111 1,575 Revaluation reserves 4,844 5,248 4,754 5,168 Total funds 8,316 7,865 7,476 7,336

These financial statements were approved and signed on behalf of the Board of Trustees on 14 January 2010 by:

Kerry Rubie Leigh Collins Trustee, Board of Trustees Trustee, Board of Trustees



GROUP CASH FLOW STATEMENT For the year to 31July 2009

2009 2008 £000 £000

Net cash inflow from operating activities (note 2) 1,702 1,250 Returns on investments and servicing of financing (note 3) (20) (41) Taxation – overseas (206) (199) Capital expenditure (note 4) (235) (95) Net cash inflow before financing 1,241 915 Management of financing (note 5) (24) (10) Increase in cash in the year 1,217 905

Notes

1 Reconciliation of net flows to movement in net funds Increase in cash in the year 1,217 905 Cash outflow from management of financing 25 10 Change in net funds resulting from cash flows 1,242 915 Effect of foreign exchange rates 284 246 Movement in net funds in the year 1,526 1,161 Net funds at 1st August 3,293 2,132 Net funds at 31st July (note 6) 4,819 3,293

2 Reconciliation of net incoming (outflow) resources to net cash inflow from operating activities Net outgoing resources before transfers 735 622 Interest receivable (67) (68) Interest payable 87 109 Taxation payable 206 199 Depreciation - tangible fixed assets 176 186 Gain on disposal of tangible fixed assets (2) (2) Loss on investments - 3 (Increase) decrease in stocks 67 (18) Increase in debtors (98) (88) Increase in creditors 790 505 Effect of foreign exchange rates on net assets (192) (198) Net cash inflow from operating activities 1,702 1,250

3 Returns on investments and servicing of financing Interest receivable 67 68 Interest payable (87) (109) Net cash outflow from returns on investment and servicing of Finance (20) (41)



GROUP CASH FLOW STATEMENT For the year to 31July 2009

2009 2008 £000 £000

4 Capital expenditure Purchase of tangible fixed assets (234) (96) Purchase of investments for restricted purposes (3) - Proceeds from sale of tangible fixed assets 2 1 Net cash outflow from capital expenditure (235) (95) 5 Management of financing Repayment of amounts borrowed from banks (23) (11) Amounts borrowed (repaid) on finance leases (1) 1 Net cash outflow from management of financing (24) (10) At Exchange At

1st August Cash flows Movements 31st July 2008 2009 £000 £000 £000 £000

6 Analysis of movement in net funds Bank balances and cash in hand held overseas 3,548 1,110 285 4,943 Bank balances and cash in hand held in the United Kingdom 623 19 - 642 Bank overdraft borne in the United Kingdom (644) 88 - (556)

3,527 1,217 285 5,029 Amounts due after more than one year Bank loans (201) 24 (1) (178) Amounts falling due within one year Bank loans (32) - - (32) Obligations under finance leases (1) 1 - -

3,293 1,242 284 4,819



ACCOUNTING POLICIES Year ended 31July 2009 Accounting policies The accounts have been prepared in accordance with applicable accounting standards and in accordance with the

Statement of Recommended Practice “Accounting and Reporting by Charities” (SORP 2005). The particular accounting policies are described below.

(a) Basis of accounting The accounts and notes are prepared under the historical cost convention as modified by the revaluation of properties

and investments. (b) Going concern

These accounts have been prepared on a going concern basis. In common with other charities, the Academy faces uncertainties arising from current economic conditions. Page 13 of this financial report and statements discusses these uncertainties and explains why the Trustees have concluded that the business is a going concern.

(c) Basis of consolidation The Charity accounts include the audited accounts of the Royal Academy of Dance in the United Kingdom and its

branches for the year to 31 July 2009, and the Consolidated Group accounts include the audited accounts of the charity and its subsidiaries.

(d) Stocks and work-in-progress Stocks of goods for resale are stated at the lower of cost and net realisable value. Costs relating to the development

of examination syllabi and teaching aids are treated as work-in-progress until the product is realised. (e) Tangible fixed assets All tangible fixed assets, other than freehold land, are stated at cost or valuation net of depreciation and any provision

for impairment. Depreciation is provided on cost using the straight-line method over the estimated useful lives of the assets. Freehold land is not depreciated. Tangible fixed assets under £500 are not capitalised. The rates of depreciation are as follows:

Freehold buildings 2%pa Furniture and office equipment 10%pa Computer equipment 33%pa Motor vehicles 25%pa

(f) Investments Listed investments are included in the Balance Sheet at market value. Investments in subsidiaries are included in the

charity’s accounts at cost less provision for impairment. (g) Revaluation of assets Investments and land and buildings held by the group for restricted and unrestricted use are revalued annually where

material. The gain or loss is reflected in the statement of financial activities and, for land and buildings, includes the amount of depreciation provided in that year.

(h) Overseas currencies Income, expenditure, assets and liabilities of overseas branches and subsidiaries are translated into sterling at the

exchange rates ruling at the balance sheet date. The exchange gains or losses arising from the retranslating of opening net assets of the overseas branches and subsidiaries are shown under Other recognised gains or losses in the statement of financial activities. All other exchange gains or losses are dealt with through resources expended within the statement of financial activities.

(i) Recognition of income Unrestricted income is recognised in the statement of financial activities on a receivable basis. This is when the Royal

Academy of Dance has entitlement, reasonable certainty of receipt and the amount can be measured.

If there are conditions that have to be fulfilled before entitlement to income received the income is deferred and included under creditors.




ACCOUNTING POLICIES Year ended 31July 2009

(i) Recognition of income (continued)

Assets given for use by the Royal Academy of Dance are recognised as incoming resources at their estimated market value when receivable. If they form part of the fixed assets at the year-end they are included in the balance sheet at the value at which the gift was included in incoming resources. Income received in advance for exams or short courses where the activity does not start or complete until after the year end is accounted for in the year of completion of that activity.

(j) Recognition of expenditure Unrestricted expenditure is accounted for on an accruals basis. Expenditure is allocated directly to the activity of

which it relates, including support costs that can be identified as being an integral part of direct charitable expenditure.

(a) Costs of generating funds: costs of generating funds include expenditure related to support departments and staff members engaged in or contributing to those activities.

(b) Costs of charitable activities: charitable expenditure includes all expenditure related to the objects of the charity and includes expenditure related to support departments and staff members engaged in or contributing to charitable activities.

(c) Governance costs: these are costs associated with the constitutional and statutory requirements of the Group, and include expenditure related to the trustees and senior staff members engaged in or contributing to the governance of the Group.

(d) Indirect support costs have been allocated on the following bases:

Salaries and pensions: time spent or responsibilities General administration: estimated or actual usage Information technology: estimated or actual usage Rent and property: space occupied or used Depreciation: assets occupied or used

(k) Pension costs Retirement benefits to employees are provided by defined contribution pension schemes. Contributions payable to the

pension schemes in respect of each accounting period are charged to the statement of financial activities. (l) Fund accounting Restricted income and expenditure is recognised on a receipts and payments basis. Restricted funds arise from a

number of sources, which include:

(a) Donations, legacies, scholarships, bursaries and trusts left to the Royal Academy of Dance and its branches and subsidiaries to administer in accordance with the conditions laid down therein.

(b) Grants and sponsorship awarded to the Royal Academy of Dance and its branches and subsidiaries where conditions are related to their expenditure.

(c) Fundraising events and appeals for monies for specific purposes set up by the Royal Academy of Dance and its branches and subsidiaries.

(d) Income and expenditure is treated as per notes (i) and (j). All expenditure in pursuance of the conditions is shown as restricted fund expenditure.

(e) Scholarships and bursaries are paid at the time when the activity for which the award is made requires payment. (m) Regional advisory panels and committees The charity carries out some activities through a network of regional advisory panels and committees that include the

name of the charity in their title, and are located in only some of the countries in which the charity operates. All regional advisory panel and committee transactions are accounted for gross in the accounts of the charity, and all assets and liabilities are included in the charity’s balance sheet.

(n) Treatment of VAT

The Royal Academy of Dance is registered as partially exempt for VAT in the United Kingdom, and is exempt or liable for VAT or applicable taxes in other parts of the world. Irrecoverable VAT is charged to the activity to which it relates or otherwise forms part of the support costs and apportioned as per note (j).


NOTES to the ACCOUNTS Year ended 31July 2009 Notes

2009 2008 Unrestricted Restricted Total Unrestricted Restricted Total funds funds funds funds funds funds £000 £000 £000 £000 £000 £000 Incoming resources from generated funds 2 Voluntary income Donations, gifts and legacies 1 - 1 1 - 1 1 - 1 1 - 1 3 Activities for generating funds Fundraising activities 290 48 338 179 62 241 Royalties and commission 8 - 8 7 - 7 Property and studio hire 33 2 35 38 2 40 Licensing income 176 - 176 174 - 174 507 50 557 398 64 462 4 Investment income Dividends received - - - - - - Interest received 66 1 67 68 1 69 66 1 67 68 1 69 Incoming resources from charitable activities 5 Examination fees Graded examinations 7,217 - 7,217 6,399 - 6,399 Vocational Graded examinations 1,536 - 1,536 1,326 - 1,326 8,753 - 8,753 7,725 - 7,725 6 Education and training fees University validated programmes 952 - 952 1,186 - 1,186 RAD validated programmes 1,555 - 1,555 1,223 - 1,223 2,507 - 2,507 2,409 - 2,409 CPD, training and other courses 1,122 23 1,145 817 5 822 Summer schools 662 - 662 795 - 795 Events and competitions 119 - 119 89 - 89 1,903 23 1,926 1,701 5 1,706 4,410 23 4,433 4,110 5 4,115

Government funding

The Academy, through the Faculty of Education, is in receipt of government funding as a result of being granted Initial Teacher Training Accredited Provider status by the UK’s Training and Development Agency for Schools (TDA). In the fiscal year 2009 total funds received were £250,476 (2008: £310,435) of which £9,376 were not spent and treated as deferred (2008: £10,750). These funds are included within the income shown as University validated programmes. These were disbursed in accordance with the Financial Memorandum between the two organisations. A separate Financial Statement and Balance Sheet is available on request. In 2009 a further £14,000 was received from the TDA for the Masters in Dance Teaching but as this programme crossed the end of the financial year, the funding was treated as deferred income.




7 Other primary purpose trading

Other primary purpose trading consists of sales made by branch outlets of the Royal Academy of Dance, and its subsidiary Royal Academy of Dance Enterprises Limited. Royal Academy of Dance Enterprises Limited is the publishing and distribution arm for the Royal Academy of Dance Examinations Board syllabi and related teaching resources, in addition to other dance related products. Its products are sold and distributed through its website, catalogues, a shop outlet located within Royal Academy of Dance in Battersea, branch outlets and selected stockists. Income in the year includes money received from licensing fees. The company transfers its taxable annual profits to the Academy as Gift Aid payments.

2009

Total 2008

Total

£000 £000 Turnover net of taxes 1,169 775 Less : cost of sales and discounts (656) (430) Gross profit before: 513 345 Distribution and selling (100) (64) Administration (215) (202) Interest payable (25) (29) Net income from primary purpose trading 173 50 Income from activities for generating funds 164 175 Total net income from trading 337 225 Amount gifted to charity (208) (140) Taken to ( set off against ) reserves 129 85 Income from primary purpose trading 1,169 775 Trading costs (note 11d) (996) (725) Net income from primary purpose trading 173 50

2009 2008 Unrestricted Restricted Total Unrestricted Restricted Total funds funds funds funds funds funds £000 £000 £000 £000 £000 £000 8 Other incoming resources Advertising income 48 - 48 47 - 47 BMN licensing and other income 82 - 82 59 - 59 Exchange gains 144 - 144 4 - 4 Gains on asset sales 2 - 2 6 - 6 Sundry income 103 - 103 32 - 32 379 - 379 148 - 148




2008 2007 Unrestricted Restricted Total Unrestricted Restricted Total funds funds funds funds funds funds £000 £000 £000 £000 £000 £000 Resources expended Costs of generating voluntary income 9 Donation made - - - - - -

10 Costs of generating funds Fundraising activities (295) (23) (318) (202) (35) (237) Property and studio hire - - - - - - Licensing costs (12) - (12) - - - Indirect support costs (note 14) (57) - (57) (83) - (83) (364) (23) (387) (285) (35) (320)

11 Costs of charitable activities a Examinations Graded examinations (4,245) - (4,245) (3,678) - (3,678) Vocational Graded examinations (934) - (934) (896) - (896) Indirect support costs (note 14) (1,528) - (1,528) (1,275) - (1,275) (6,707) - (6,707) (5,849) - (5,849)

b Education and training fees University validated programmes (918) - (918) (1,046) - (1,046) RAD validated programmes (1,011) - (1,011) (822) - (822) Direct support costs (170) - (170) (175) - (175) Indirect support costs (note 14) (591) - (591) (585) - (585) (2,690) - (2,690) (2,628) - (2,628) CPD, training and other courses (861) (29) (890) (635) (1) (636) Summer schools (513) - (513) (589) - (589) Events and competitions (145) - (145) (68) - (68) Direct support costs (138) - (138) (124) - (124) Indirect support costs (note 14) (686) - (686) (558) - (558) (2,343) (29) (2,372) (1,974) (1) (1,975) (5,033) (29) (5,062) (4,602) (1) (4,603) c Membership services Administration (477) - (477) (392) - (392) Publications (182) - (182) (197) - (197) Indirect support costs (note 14) (344) - (344) (314) - (314) (1,003) - (1,003) (903) - (903)

d Trading Direct costs (996) - (996) (725) - (725) Indirect support costs (note 14) (214) - (214) (166) - (166) (1,210) - (1,210) (891) - (891) Total costs of charitable activities (13,953) (29) (13,982) (12,245) (1) (12,246)





2009 2008 Unrestricted Restricted Total Unrestricted Restricted Total funds funds funds funds funds Funds £000 £000 £000 £000 £000 £000

12 Governance costs Audit and accountancy fees (183) - (183) (142) (1) (143) Trustee meetings (34) - (34) (27) - (27) Subsidiary company directors’ fees (28) - (28) (5) - (5) Legal services (68) - (68) (43) - (43) Indirect support costs (note 14) (489) - (489) (432) - (432) ( 802) - ( 802) (649) (1) (650)

13 Other resources expended BMN activity costs (76) - (76) (68) - (68) Indirect support costs (note 14) (27) (2) (29) (23) (2) (25) Taxation (206) - (206) (199) - (199) (309) (2) (311) (290) (2) (292)

14 Analysis of indirect support costs

Unrestricted funds 2009

Exams

Education

Training

Membership

Trading

Total Note 11

Total Note 12

Total Note 13

Total Note 10

£000 £000 £000 £000 £000 £000 £000 £000 £000 Salaries and pensions (862) (318) (364) (139) (96) (1,779) (329) (8) (16) General administration (405) (78) (128) (155) (70) (836) (113) (10) (6) Information technology (66) (64) (60) (5) (12) (207) (5) (4) (1) Financing charges (22) (18) (15) (9) (3) (67) (15) (1) (2) Depreciation (56) (39) (28) (17) (14) (154) (9) (2) (8) Rent and property (117) (74) (91) (19) (19) (320) (18) (2) (24) (1,528) (591) (686) (344) (214) (3,363) (489) (27) (57)

Unrestricted funds 2008 Salaries and pensions (780) (294) (322) (130) (94) (1,620) (297) (7) (27) General administration (257) (111) (91) (109) (29) (597) (87) (8) (22) Information technology (67) (46) (20) (31) (9) (173) (8) (3) (1) Financing charges (27) (24) (19) (12) (4) (86) (20) (1) (2) Depreciation (63) (39) (25) (17) (14) (158) (9) (2) (7) Rent and property (81) (71) (81) (15) (16) (264) (11) (2) (24) (1,275) (585) (558) (314) (166) (2,898) (432) (23) (83)

Restricted funds indirect support costs 2009 and 2008 are shown in note 13 only and represent financing and property costs.



15 Related party transactions

Seven trustees (2008 - five) who are examiners, tutors or mentors earned £28,800 (2008: £16,609) during the year in that capacity, as approved by the Charity Commission and in accordance with Articles 6.5, and 10 of the Charter. A further £950 (2008: £6,225) was paid as fees, and a £1,566 (2008: £1,877) in reimbursable expenses to one of these trustees for the development of syllabi. £13,085 (2008 - £7,753) was reimbursed to ten (2008 - nine) trustees for travel and accommodation for attending committee meetings, and where an examiner, tutor or mentor for examining and teaching on behalf of the Royal Academy of Dance.

The following related party transactions took place during the year:

Related party: Yvonne Gray as owner of Yvonne Gray Dance Studios Transaction: Hire of studios to the Academy for Vocational Graded examinations Cost of transaction: £1,170 (2008: £1,482) Amount due at 31 July 2009: Nil

Related party: Louise Murray as owner of The Monument Dance School Transaction: Hire of studios to the Academy for Vocational Graded examinations and Syllabus Courses Cost of transaction: £975 (2008: Nil) Amount due at 31 July 2009: Nil

Royal Academy of Dance has taken advantage of the option conferred by Financial Reporting Standard No 8 Related Party Disclosures that allows it not to disclose transactions with subsidiaries.

16 Indemnity insurance

Indemnity insurance was included as part of the Academy's global policy to indemnify the Academy from loss arising

from the neglect or default of its trustees, employees or agents and to indemnify the trustees and other officers against the consequence of any neglect or default on their part, in accordance with Article 6(h) of the Charter. The cost for the year to 31 July 2009 was £3,200 (2008 - £3,200).

17 Costs of employees

The Academy employs 146 (2008: 148) administrative staff and 44 (2008: 43) commission-based staff worldwide, as well as contracting the services of examiners, teachers, tutors and musicians. Employment costs account for 49% (2008 – 51%) of total Group unrestricted charitable expenditure before taxation and exchange losses:

2009 2008 Unrestricted Restricted Total Unrestricted Restricted Total funds funds funds funds funds funds £000 £000 £000 £000 £000 £000 Employee gross salaries (3,675) - (3,675) (3,368) - (3,368) Employee payroll taxes (482) - (482) (442) - (442) Pension contributions (245) - (245) (186) - (186) Processing staff (172) - (172) (196) - (196) Gross commission paid (506) - (506) (411) - (411) Payroll taxes (3) - (3) (6) - (6) Tutors, teachers and examiners (2,111) - (2,111) (1,922) - (1,922) Musicians (265) - (265) (228) - (228) Total employment costs (7,459) - (7,459) (6,759) - (6,759)




17 Costs of employees (continued)

2009 2008 Number of employees earning : between £80,001 - £90,000 1 1 Pension contributions £10,224 £9,876 between £60,001- £70,000 1 1 Pension contributions £7,427 £7,174

18 Pension costs

The pension charge for the year to 31July 2009 was £245,178 (2008: £185,940). In the United Kingdom the Academy operates a defined contribution scheme with Aegon Scottish Equitable on behalf of its employees in the United Kingdom, and contributes to the University Superannuation Scheme and the Teacher’s Pension scheme on behalf of its academic employees; representing in total 49 employees (2008: 48). Elsewhere the Academy operates or contributes to a variety of defined contribution schemes, money purchase schemes or statutory schemes, representing 50 (2008: 44) employees in seven (2008: seven) countries. As of 31 July 2009 there were no prepaid or accrued pension contributions (2008: nil).

19 Taxation

The Academy is a charitable organisation and is entitled to UK tax exemptions available to charities. Accordingly, provision for UK taxation has only been made in respect of the profits of the Royal Academy of Dance Enterprises Limited. Subject to the availability of similar charitable exemption overseas, provision has been made for overseas taxation on the profits of overseas subsidiaries and branches.

20 Intangible assets

These consist of computer software and telephone subscription rights of subsidiary companies that are written off over a number of years.

21 Tangible fixed assets held for charitable use

Total fixed assets held for charitable use are shown on pages 28 and 29 There are no assets held under finance leases. £39,931 excluding GST has been authorised and contracted for new ICT equipment in Australia. £73,700 excluding VAT has been authorised but not yet contracted at 31 July 2009 for the first phase of the development of a worldwide integrated database. The £40,159 remaining authorised and contracted ICT web access development in the UK has been put on hold due to the performance of the contractor.

The freehold property in the United Kingdom was valued on 31 July 2009 by an external valuer, Daniel Watney, Chartered Surveyors. The valuation was in accordance with the requirements of the RICS Valuation Standards and FRS15 and was valued to existing use value assuming the property would be sold as part of the continuing business.

The property in the United Kingdom was revalued at £5.24M, a decrease in value of £0.56M before amortisation charges. The valuer’s opinion of value was primarily derived using comparable recent market transactions on arm’s length terms.

The freehold properties in Australia and South Africa were valued by:

Property in Sydney, Australia Anthony St Leon, Egan National Valuers (NSW) Property in Johannesburg, South Africa Lamula Loss Adjustors

The property in Australia was revalued at £752,181 and South Africa at £138,507.




21 Tangible fixed assets held for charitable use (continued)

The current valuations, after amortisation charges and exchange gains arising out of the translation of Group Freehold properties at the end of the financial year are: Historical 2009 2008 cost £ £ £ Property in Sydney, Australia 752,181 658,647 198,103 Property in London, United Kingdom 5,240,000 5,763,775 1,909,520 Property in Johannesburg, South Africa 138,507 124,427 45,307 6,130,688 6,546,849 2,152,930

FCY FCY FCY Property in Sydney, Australia A$1,500,000 A$1,396,004 A$470,000 Property in London, United Kingdom £5,240,000 £5,763,775 £1,909,520 Property in Johannesburg, South Africa R1,800,000 R 1,788,000 R 653,770

Group Freehold Furniture land and and office Computer Motor buildings equipment equipment vehicles Total £000 £000 £000 £000 £000 Cost or Valuation At 1 August 2008 6,587 444 784 22 7,837 Revaluation (518) - - - (518) Exchange differences 54 12 27 2 95 Additions 9 36 189 - 234 Disposals - (9) (304) (2) (315) At 31 July 2009 6,132 483 696 22 7,333 Accumulated depreciation At 1August 2008 40 316 665 12 1,033 Revaluation (74) - - - (74) Exchange differences - 8 22 2 32 Charge for the year 36 27 111 2 176 Eliminated on disposals - (9) (302) (2) (313) At 31 July 2009 2 342 496 14 854 Net book value At 31 July 2009 6,130 141 200 8 6,479 At 31 July 2008 6,547 128 119 10 6,804




21 Tangible fixed assets held for charitable use (continued)

Charity Freehold Furniture land and and office Computer Motor buildings equipment equipment vehicles Total £000 £000 £000 £000 £000 Cost or Valuation At 1 August 2008 6,460 413 734 10 7,617 Revaluation (519) - - - (519) Exchange differences 42 9 23 1 75 Additions 9 31 186 - 226 Disposals - (8) (52) - (60) At 31 July 2009 5,992 445 891 11 7,339 Accumulated depreciation At 1 August 2008 38 299 626 2 965 Revaluation (74) - - - (74) Exchange differences - 8 20 - 28 Charge for the year 36 21 105 2 164 Eliminated on disposals - (8) (52) - (60) At 31 July 2009 - 320 699 4 1,023 Net book value At 31 July 2009 5,992 125 192 7 6,316 At 31 July 2008 6,422 114 108 8 6,652

Group Charity 2009 2008 2009 2008 £000 £000 £000 £000

22 Investments Quoted investments Market value at 1 August 26 29 20 23 Purchases during the year 3 - 3 - Exchange differences 1 - 1 - Net unrealised gains 1 (3) - (3) Market value at 31 July 31 26 24 20 Historical cost at 31 July 13 13 13 13 Investment in subsidiaries Balance at 1 August - - 54 46 Additions - - - - Exchange differences - - 4 8 As at 31 July - - 58 54 Total investments at 31 July 31 26 82 74




22 Investments (continued)

Group Charity 2009 2008 2009 2008 £000 £000 £000 £000 Quoted investments Held in the United Kingdom 24 21 23 20 Held outside the United Kingdom 7 5 - -

All quoted investments are held within restricted funds, are listed on a recognised stock exchange, and are revalued at market value at the year-end.

Investments Investments in subsidiaries

The Royal Academy of Dance holds in trust 100% of the issued share capitals of Royal Academy of Dance S/C Ltda., a company registered in Brazil, and Royal Academy of Dance de Mexico AC, a company registered in Mexico The charity has effective control over a building fund in South Africa which is administered by the Royal Academy of Dance, an association incorporated under s21 of the Republic of South Africa’s Companies Act, and Yayasan Royal Academy of Dance Indonesia, a non-profit foundation, based in Indonesia. The results of these entities are included in the Group’s results as long as the Academy continues to maintain a branch in South Africa, and operations in Indonesia. RAD Dancing (Malaysia) Sdn. Bhd. is a wholly owned subsidiary of Royal Academy of Dance Singapore Pte Ltd. The charity owns 100% of the issued capital of the subsidiary companies listed below, whose aims and objectives mirror those of the Academy.

Subsidiaries Country of

incorporation Registration number % of issued

share capital Cost £000

Royal Academy of Dance S/C Ltda Brazil SP 280 (8/11/93) Held in trust - Royal Academy of Dance gGmbh Germany HRB 103317 100% 43 Yayasan Royal Academy of Dance Indonesia Indonesia Yayasan No 138 100% control - Royal Academy of Dance Srl Italy REATN174567 99% 9 Royal Academy of Dance Asbl Luxembourg No 613 100% 3 RAD Dancing (Malaysia) Sdn Bhd Malaysia No 282399X 100% - Royal Academy of Dance de Mexico AC Mexico No 1513452 Held in trust - Royal Academy of Dance Singapore Pte Ltd Singapore No 02211/1988-M 100% - Royal Academy of Dance South Africa 1990/004233/08 100% control - Royal Academy of Dance SL Spain CIF No B59915330 100% 3 Royal Academy of Dance Enterprises Ltd Great Britain 2773495 100% - Balance at 31 July 58

Group Charity 2009 2008 2009 2008 £000 £000 £000 £000

23 Stocks Finished goods and goods for resale 265 243 99 70 Work in progress 6 95 - - Balance at 31 July 271 338 99 70



NOTES to the ACCOUNTS Year ended 31 July 2009 Notes

Group Charity 2009 2008 2009 2008 £000 £000 £000 £000

24 Debtors Trade debtors 204 171 129 108 Amounts due from subsidiaries - - 481 275 Other debtors 183 141 71 53 Prepaid and accrued income 380 357 309 343 Balance at 31 July 767 669 990 779

25 Creditors : amounts falling due within one year Bank overdrafts (556) (645) (420) (463) Bank loans (32) (32) (30) (30) Trade creditors (1,396) (1,021) (1,205) (869) Obligations under finance leases and hire purchase - (1) - (1) Taxation and social security (218) (215) (105) (94) Accruals and deferred income (2,429) (1,997) (1,999) (1,565) Balance at 31 July (4,631) (3,911) (3,759) (3,022)

26 Creditors : amounts falling due after more than one year Provision for long-service award (11) (33) (3) (26) Bank loans (178) (201) (174) (197) Balance at 31 July (189) (234) (177) (223)

Bank overdrafts £135,297 (2008: £180,191) is secured by a mortgage debenture over the stocks held by Royal Academy of Dance Enterprises Limited and attracts interest at 1.25% over base rate (2008: 1.25%). The company has access to an overdraft facility up to £200,000 which is utilised at the end of each financial year in order to gift aid its profits to the Royal Academy of Dance. £420,020 (2008: £463,460) is offset for grouping purposes against other balances held by the Royal Academy of Dance in the United Kingdom and attracts interest at 2% on so much as is covered by cleared credit balances, and 1.25% over base rate (2008: 1.25%) on the remainder of it within the limit. It is subject to normal terms and conditions including repayment on demand. As at 31 July the net balance of all funds held by the Royal Academy of Dance in the United Kingdom was £185,381 in credit (2008: £124,205 in credit) against a total facility of £700,000. £515 (2008: £1,881) represents a short term bank loan taken out by Royal Academy of Dance S/C Ltda. and repaid in August 2009.

Bank loans A loan of £300,000 was taken out by the Royal Academy of Dance, London in 2003 from HSBC Bank Plc for the purposes of refinancing the Academy’s overdraft. This loan attracts interest at 1.25% over base rate and is repayable over 15 years, ending April 2018. £29,984 is payable within one year, with the balance of £173,564 repayable over the remaining life of the loan. The loan is secured on the freehold property at 36 Battersea Square, London SW11 3RA. A loan of £6,967 (2008: £6,971) taken out by the s21 company in South Africa in order to complete the purchase of its building is outstanding. This loan attracts interest at 16.75% per annum and is repayable over a maximum of 20 years ending in 2015 and is subject to normal banking terms and conditions. £2,365 is due within one year; with the balance of £4,602 repayable over the remaining life of the loan. The loan is secured on the freehold property known as Erf 29, Bramley, Johannesburg.




27 Movement in restricted funds

Balance at

1 August 2008

Incoming resources

Resources expended

Net movement

before unrealised

gains

Unrealised losses on

revaluation of

investments

Balance at

31 July 2009

£000 £000 £000 £000 £000 £000

Access / bursary funds UK 477 16 (1) 15 - 492 Boys Only! funds UK 56 2 (4) (2) - 54 Yorkshire Youth Dance Theatre UK 11 6 (2) 4 - 15 Iris Truscott fund UK 18 2 - 2 - 20 Regional Scholarship funds UK 16 22 (16) 6 - 22 Youth Ballet Greece 13 23 (29) (6) - 7 Scholarship fund Israel 1 - - - - 1 Total Charity 592 71 (52) 19 - 611 Building fund Sth Africa 5 3 (2) 1 - 6 Total Group 597 74 (54) 20 - 617 Prior year 569 70 (39) 31 (3) 597 Restricted funds comprise unexpended donations, grants and awards given or raised for specific purposes: Access / bursary funds: To provide grants to students attending teacher education and notation programmes at the Academy. One award was made in this financial year (2008: one). Boys Only! funds: Funds raised at a joint RAD/RBS Billy Elliot preview Gala to provide opportunities for male students whose access to dance is limited for economic, geographic or physical reasons. Three workshops were held in the year (2008: two). Yorkshire Youth Dance Theatre: A fund administered by the Northern England, Yorkshire and the Humber Regional Advisory Committee to provide students with the opportunity to perform on the stage. Iris Truscott fund: A trust deed registered with the Charity Commissioners to award a bursary to CBTS students to further their training. No awards were made in the year. Regional Scholarship funds: These funds are raised and administered by Regional Advisory Committees in England, Wales and Scotland to provide scholarships for students to further their training. Youth Ballet of Greece: A Youth group run by the Regional Panel of Greece and funded in part by grants from the Ministry of Education; representing the unspent balance of the grant. Scholarship fund (Israel): To provide scholarships for students to further their training.



NOTES to the ACCOUNTS Year ended 31July 2009 Notes 28 Movement in unrestricted funds Balance Balance At Net Other at 1 August Exchange incoming recognised 31 July 2008 differences resources losses 2009 £000 £000 £000 £000 £000 Charity Accumulated funds 1,575 85 451 - 2,111 Revaluation reserve 5,168 30 - (444) 4,754 6,743 115 451 (444) 6,865 Group Accumulated funds 2,020 120 715 - 2,855 Revaluation reserve 5,248 39 - (443) 4,844 7,268 159 715 (443) 7,699

The net movement in funds includes unrealised losses on investment in land and building through revaluation at current prices. These represent a decrease in the value of funds held rather than a decrease in funds.

Unrestricted Restricted Total funds funds funds £000 £000 £000

29 Analysis of group net assets between funds Tangible fixed assets 6,479 - 6,479 Intangible fixed assets and investments 3 31 34 Current assets 6,037 586 6,623 Current liabilities (4,631) - (4,631) Amounts falling due after more than one year (189) - (189) Total net assets 7,699 617 8,316





30 Net incoming (outgoing) resources

Net incoming resources on the Consolidated Statement of Financial Activities represent the operating results of the Royal Academy of Dance and its branches and subsidiaries, which are shown below after transfers:

Unrestricted funds

2009 2008 Net Net incoming incoming Incoming Resources (outgoing) Incoming Resources (outgoing) resources expended resources resources expended resources

£000 £000 £000 £000 £000 £000 United Kingdom Group 7,396 (7,125) 271 6,640 (6,378) 262 Australia 1,620 (1,608) 12 1,272 (1,260) 12 Canada 953 (873) 80 790 (733) 57 Israel 23 (27) (4) 51 (44) 7 Japan 341 (314) 27 256 (222) 34 New Zealand 314 (267) 47 351 (260) 91 Portugal 260 (218) 42 227 (205) 22 Southern Africa 389 (376) 13 306 (296) 10 Thailand 123 (113) 10 108 (103) 5 USA 322 (369) (47) 351 (349) 2 Royal Academy of Dance Enterprises Ltd 1,197 (1,197) - 795 (798) (3) Royal Academy of Dance S/C Ltda 265 (256) 9 218 (219) (1) Yayasan Royal Academy of Dance Indonesia 126 (106) 20 102 (90) 12 RAD Dancing (Malaysia) Sdn Bhd 314 (264) 50 270 (243) 27 Royal Academy of Dance de Mexico AC 217 (184) 33 254 (213) 41 Royal Academy of Dance Asbl 79 (67) 12 104 (92) 12 Royal Academy of Dance Srl 1,009 (981) 28 944 (927) 17 Royal Academy of Dance Singapore Pte Ltd 363 (282) 81 308 (300) 8 Royal Academy of Dance gGmbh 363 (383) (20) 325 (346) (21) Royal Academy of Dance SL 469 (418) 51 388 (391) (3) For the year to 31 July 16,143 (15,428) 715 14,060 (13,469) 591

Restricted funds

2009 2008 Net Net Incoming Resources incoming Incoming Resources incoming resources expended resources resources expended resources £000 £000 £000 £000 £000 £000

United Kingdom 71 (52) 19 67 (36) 31 Royal Academy of Dance s21 South Africa 3 (2) 1 3 (3) - For the year to 31 July 74 (54) 20 70 (39) 31


Representative Offices The results of the fifteen Representative offices below are included in the results of the United Kingdom to form the UK Group: China Villa 86 Xin Feng Cheng, 1500 Nong Kong Jiang Lu, Shanghai 200093 Cyprus 19 Vassa Kilianiou, 4771 Limassol Greece British Council, 17 Kolonaki Square, Athens 10673 Hong Kong Hong Kong Examination and Assessment Authority, 17 Tseuk Luk Street, San Po Kong, Kowloon Ireland Holly Lodge, Pidgeon House Lane, Julianstown, Co. Meath Caribbean PO Box 1433, Constant Spring Post Office, Kingston 8, Jamaica Malta 8 Guze Ellul Mercer Street, Sliema SLM1281 Philippines British Council, F. Ortigas Jn Road, Ortigas Center, Pasig City 1605 Scandinavia Tjernes, 1890 Rakkestad, Norway South Korea 1703 Artnouveau Palace, 7-1 Songpa Dong, Songpa Gu, Seoul 138-848 Sri Lanka British Council, 49 Alfred House Gardens, Colombo 0030 Switzerland Stapferstrasse 19, Ch-8615 Wermstswil Taiwan 5f, No 122, Sect 7 Chung Shan N. Road, Taipei Turkey British Council, Maya Akar Center, No 100-101 Buyudere Cad, Esentepe, Istanbul UAE and Qatar British Council, Dubai English Speaking College campus, PO Box 2002, Dubai

Branch Offices The results of the nine Branch companies below are consolidated with the results of the UK Group to form the Charity: Australia 20 Farrell Avenue, Darlinghurst, NSW 2010 Canada 1200 Sheppard Avenue East, Suite No 500, Toronto, Ontario M2K 2S5 Israel Simtat Hayakinton 4B, Pardes-Hanna Japan Commerce Building 5f, 2-39-3 Mejiro, Toshima-Ku,Tokyo 171-0031 New Zealand Level 8 CMC Building, 89 Courtenay Place, Wellington Portugal Rua 4 Infantaria 86, 138 C/V Esq, 1350-241 Lisboa Southern Africa and Mauritius

PO Box 200, Bramley 2018, Johannesburg, South Africa

Thailand 121/12, Moo 10, Chiangmai-Hangdong Road, Tambon: Pae Dad, Ampur: Muang, Chiangmai 50100 United States 1412 17th St. Suite #259, Bakersfield, CA 93301

Subsidiary Offices The results of the eleven Subsidiary companies below are consolidated with the results of the Charity (UK Group and Branch Offices) to form the Worldwide Group: Benelux and France Royal Academy of Dance Asbl., 21 Cite Joseph Bech, L-6186 Gonderange, Luxembourg Germany Royal Academy of Dance gGmbh, Waldenserstrasse 2-4, 10551 Berlin Indonesia Yayasan Royal Academy of Dance Indonesia, Jl. Angur III / no:1 Cipete, Jakarta Selatan 12410 Italy Royal Academy of Dance Srl., Via Vannetti 12, 38100 Trento Malaysia RAD Dancing (Malaysia) Sdn Bhd., PO Box 8344 Kelana Jaya, 46788 Petaling Jaya, Selangor Mexico and Central America

Royal Academy of Dance de Mexico AC, Amates 18 Fracc Alconfores, San Mateo, Naucalpan CP 53240, Mexico

Singapore Royal Academy of Dance Singapore Pte Ltd., Farrer Road Post Office, PO Box 106, Singapore 912804 South Africa Royal Academy of Dance s21 Company, PO Box 200, Bramley 2018, Johannesburg South America Royal Academy of Dance S/C Ltda., Rua Duque De Caxis 83, 13930 000 Serra Negra-SP, Brazil Spain, Andorra and Gibraltar

Royal Academy of Dance SL., Ventura i Gassol, 3, 5è-3a, 43203 Reus, Tarragona, Spain

United Kingdom Royal Academy of Dance Enterprises Ltd., 36 Battersea Square, London SW11 3RA



Advisers UK Banker HSBC Bank Plc 31 Holborn Circus, London EC1N 2HR UK Solicitor Field Fisher Waterhouse 41 Vine Street, London EC3N 2AA UK and Group Auditor Deloitte LLP 2 New Street Square, London EC4A 3BZ Deloitte LLP and members of the Deloitte Touche Tohmatsu worldwide network audit the Group branches and subsidiaries with the exception of the following: Brazil Sussumo Hirakata Organizacao Contabil Liberty, Rua Mituto Mizumoto 56,

Liberdade, 01513 010 Sao Paulo-SP

Canada Grant Thornton LLP 15 Allstate Parkway, Suite 200, Markham, Ontario L3R 5B4

Indonesia KAP Ekna Masni, Bustaman & Rekan Sentra Kramat B-18, JL Kramat Raya 7-9, Jakarta 10450

Israel Hannan Gabriel CPA 8 Hayod-Chef Street, Hod Hasharon 45200

Luxembourg Alexander J Davies Sarl 24 Rue Jean L’Aveugle, Luxembourg L-1148

Portugal CERB Beloura Office Park, Rua do Centro Empresarial, Edifício EE06 - Escritório 12, Quinta da Beloura, 2710-444 Sintra

Spain Asesoria Berzosa DonosoCotres 85, 28015 Madrid

Thailand KT&R Business Consultant Co Ltd 59/1 Sukhumvit 64 Bangchak, Prakanong, Bangkok 10260

United States Wren Kelly CPA LLP PO Box 12290, Bakersfield, CA 93389-2290

During the year Deloitte Australia were appointed to replace KPMG.




Management Chief Executive National Administrators Luke Rittner Australia: Bronwyn Watkins Benelux and France: Jacqueline Spence Director of Finance Brazil, Chile, Colombia, Peru, and Ecuador: Maria do Carmo de Kenny Richard Thom BA (Hons) FCA Canada: Jan Garvey Caribbean: Diane Bernard Artistic Director China Representative Office: Tina Chen Lynn Wallis FISTD China, Hong Kong SAR: Joanna Chan Cyprus: George Shantos Director of Education Germany and Austria: Horst Vollmer Professor Joan White MA BA Cert Ed FRSA Greece: Vlasis Klitsiotis Indonesia: Lala Salendu Director of Marketing, Communication Ireland: Beverley Dinsmore and Membership Israel: Maya Shoham Melanie Adams Dip IPR MICPR Italy: Maria Pia de Luca Japan: Noriko Kobayashi Director of Examinations Malaysia: Zafriah Ahmad Dr Andrew McBirnie PhD LRAM Ireland: Beverley Dinsmore Italy: Maria Pia de Luca Senior Staff Japan: Noriko Kobayashi Benesh Director: Liz Cunliffe Malta: Sandra Mifsud Associate Dean: Michelle Groves Mexico, Honduras, Guatemala, Costa Chair of the Panel of Examiners: Paula Hunt Rica and El Salvador: Julietta Navarro Financial Controller: Richard Slatford New Zealand: Janet Taylor Head of Trading: Sue Bacchus Scandinavia: Catherine Solaas Head of IT: Neil Sowden Philippines: Aileen Ruzano Examinations Manager: Gillian Sowerby Portugal: Margarida Sa Fialho Examinations QA Manager: Lynne Bradley Singapore: Mona Lim Faculty of Education QA Manager: Alison Chapman Southern Africa: Olivia Lume Faculty of Education Registrar: Evelyn Treiber South Korea: Hyun Joo Ham Faculty of Education Business Manager: Suzie Spain: Maria José Antón Lorimer Sri Lanka: Ranmali Mirchandani CPD Manager: Mia Romanus Switzerland: Peter von Gunten Finance Manager: Ray Bolton Taiwan: Shu-Yu Lin Human Resources Manager: Debbie Bolton Thailand: Glenn van der Hoff Facilities Manager: Travis Bedford Turkey: Fatma Sahin Press and Marketing Manager: Vassiliki Spyropoulou UAE: Sonali Deodhar Librarian: Rebecca Lacey USA: Patti Ashby

Head Office Royal Academy of Dance 36 Battersea Square London SW11 3RA England T +44 (0)20 7326 8000 F +44 (0)20 7924 3129 www.rad.org.uk www.radacadabra.org www.radenterprises.co.uk www.benesh.org

http://www.rad.org.uk/

http://www.radacadabra.org/

financial report and statements for the year ended … report and statements . for the year ended 31...

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