2009 ANNUAL REPORT

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CONTENTSChairman’s report 5

Chief exeCutive’s report 6

Key performanCe indiCators 7

the year in Brief 8

the Company 10

artistiC report 13

private GivinG 16

Corporate development 18

Corporate GovernanCe 20

Financials

direCtors’ report 23

finanCial statements 26

notes to the finanCial statements 30

direCtors’ deClaration 45

auditor’s report 46

Left ~ The West Australian Symphony Orchestra. Cover ~ Malcolm Stewart, French Horn.

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5

Chairman’s Report

In 2009 the West Australian Symphony Orchestra welcomed Principal Conductor Paul Daniel for the start of his three year tenure. During his first year with WASO, Paul guided the Orchestra through a fantastic program of orchestral works, demonstrating his clear commitment to the continuing success of WASO. The Orchestra excelled under his direction and leadership, and we look forward to continuing this productive partnership in 2010.

WASO provided audiences with another year of outstanding performances presented with an excellent line up of internationally recognised guest conductors and soloists. During 2009, the Orchestra performed under several guest conductors including Simone Young, Nicholas Kraemer, Asher Fisch and Conductor Laureate, Vladimir Verbitsky. Guest soloists from Australia and around the world included Kari Kriikku, Kyoko Takezawa, Marc-Andre Hamelin, Piers Lane, Stephen Bennett, Adam Lopez and Aivale Cole.

A highlight of 2009 was a new semi-staged production of John Adams’ A Flowering Tree, a collaboration between WASO, the West Australian Opera and the Perth International Arts Festival.

Directed by acclaimed Australian director, Patrick Nolan, this Australian premiere featured conductor Stefan Asbury and a wonderful cast of international soloists, including Rachelle Durkin who gave an outstanding performance. A Flowering Tree received rave reviews and won a prestigious Helpmann Award for Best Symphony Orchestra Concert.

In keeping with our commitment to reach new audiences, Grammy Award winning soul diva Roberta Flack led the Contempo Series, which also featured Australian rock band Air Supply and trumpet legend James Morrison. During WASO’s Summer Symphony Series in Kings Park the Orchestra teamed up with pop favourites Human Nature. Melvin Tix presented the Family concert. The 2009 Symphony Under the Stars featured a collaboration with the Western Australian Youth Orchestra, and ARIA award winning singer Ben Lee also made a welcome return to WASO during the year.

The year finished on a high note with the City of Perth’s Symphony in the City. 2009 was the third year of this wonderful free community concert, and the event continues to grow in popularity. This concert provides an important opportunity to ensure that thousands of West Australian residents have the opportunity to experience the music of their symphony orchestra at no cost.

2009 was a year of worldwide economic uncertainty. However, WASO recorded strong financial results with a $313,076 profit. The Orchestra performed to more than 200,000 West Australians and continued to reach new and diverse audiences through initiatives such as webcasting, which enabled 3 performances to be streamed live on the internet.

On behalf of the Board I would like to acknowledge the professionalism and dedication of Chief Executive Craig Whitehead and his executive team, who have successfully guided the organisation through a very challenging year. I commend the musicians of WASO for their superb performances and their commitment to bringing music of the highest standard to the people of Western Australia.

I would also like to extend my sincere thanks to the Board of Directors for its contribution in 2009. I appreciate the directors’ dedication and individual contributions, and look forward to working with them in 2010.

Janet Holmes à Court aCChairman

Our Purpose To touch

souls & enrich lives through

music

Left ~Leanne Glover, Associate Principal Oboe

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Chief Executive’s Report

2009 was a challenging but ultimately rewarding year for the West Australian Symphony Orchestra and the WASO Chorus, highlighted by the start of Paul Daniel’s tenure as Principal Conductor.

WASO gave 177 performances and 37 workshops in 2009, reaching an audience of over 200,000. Our Education and Outreach program continued to grow and find innovative ways to connect children with classical music. In 2009 we introduced a series of performances at Princess Margaret Hospital for Children called Music for Health. I am very proud of this new initiative and of the way our musicians have embraced this opportunity and worked with the children to make this program such a success. I wish to acknowledge John Holland for supporting this initiative.

WASO presented education concerts in 2009 to over 12,000 students in both metropolitan and regional areas. WASO’s Education Chamber Orchestra (EChO) toured to Esperance and Ravensthorpe performing for primary and secondary school children in surrounding areas. The WASO on the Road team travelled to Carnarvon, Exmouth, Mt Magnet, Meekatharra, Broome, Derby, Port Hedland and Karratha for education workshops and delivered presentations on School of the Air networks for children in remote areas.

In 2009 WASO, in partnership with iiNet, streamed three of Paul Daniel’s concerts and people from around the world took the opportunity to watch these concerts live or on demand after the concert. This is an important new initiative and three more concerts will be streamed in 2010.

At a time when the world was suffering from the worst economic conditions since the Great Depression, I am delighted to say that our audience, sponsors and donors continued their extraordinary support of WASO. I wish to thank each and every member of our community of supporters and to assure them that we do not take this support lightly or for granted. In particular I would like to acknowledge our Principal Partner, Emirates, who have supported us now for seven years, Platinum Partners Ernst & Young and Wesfarmers Arts, and all the generous individuals who make up our Patrons Program.

I would also like to thank the Western Australian Government and the Federal Government for their ongoing support of WASO. Without the support of the Western Australian community we would not be able to continue to bring artists of the highest calibre to Perth or engage in our important education and outreach programs. Each year we also benefit from the invaluable support of our team of hardworking volunteers and the Patrons and Friends committee.

Our performances would not be possible without the collective and impressive talent and creative endeavor of all our people – our musicians, chorus and administrative team alike. I thank them all for their outstanding contribution and for their dedication to the ongoing success of the West Australian Symphony Orchestra. On behalf of all members of the Company, I would also like to pay tribute to our Chairman, Janet Holmes à Court, and our Board of Directors for their tireless support and wise counsel.

Craig WHiteHead Chief exeCutive

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2009Key Performance Indicators

Goal 2009 KPi’s achievement

WASO will become a leading orchestra in the region by 2012.

• Process for assessment of artistic vibrancy implemented.

• This remains a work in progress.

• 2 new commissions.• 3 commissions were undertaken in 2009

and will appear in the 2010 season.

• Young artist program developed.

• In 2009, a young and emerging artist program was developed. This program provides young musicians access to workshops, tutorials, mentorships and masterclasses.

Ensure the sustained financial viability of the West Australian Symphony Orchestra.

• Increase % of sales to capacity across each program by 2%.

• Sales to capacity increased by an average of 3.6% across all programs with only the Family series not achieving the 2% increase.

• Donation income increased by 5%.

• Donation income increased by 4.7% in 2009.

• Major gift program established.

• Major gift program was established along with a commissioning fund.

• Breakeven or better result achieved.

• A surplus of $313,076 was achieved in 2009.

Secure a home for the West Australian Symphony Orchestra.

• Site of new home identified.• WASO identified the Perth Concert Hall as

the preferred location for its new home.

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The year in brief

Sales

audience tyPe 2009 sales

Subscription Sales 26,492

Single Night Sales 48,591

Summer Sales 19,247

Education Sales 8,025

Audience Numbers

WASO performances were attended by 201,031 people during 2009 which represents an increase of 13.5% over the previous year. The main stage classical performances attracted a similar audience number to 2008 despite the Global Financial Crisis.

audience numbers 2009no. PerFormances 2009 attendances

subsCription series

Masters 16 22,670

Classics 16 21,257

Morning Symphony 5 7,856

Contempo 5 10,941

Family 3 11,305

otHer events

Special events 11 21,309

Hire Concerts 1 500

Touring (Workshops) 37 2,663

Education & Outreach 33 8,937

Opera 21 32,805

Ballet 28 40,788

Free and other 1 20,000

Profitability As shown in the attached financial reports, WASO achieved a profit in 2009 of $313,076.

Right ~ Peter Miller, Principal Trumpet

Right ~ Peter Miller, Principal Trumpet

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The Company

PrinciPal conductor & artistic adviser Paul Daniel

conductor LaureateVladimir Verbitsky

comPoser-in-residenceJames Ledger

chorus directorMarilyn Phillips

concertmasterJohn Harding

associate concertmasterMargaret Blades

violinSemra Lee Assistant Concertmaster

Graham Pyatt Acting Principal First Violin

John Ford Principal 2nd Violin

Fleur Challen

Anna Chomicka-Gorecka

Stephanie Dean

Dorothy Ford

Beth Hebert

Daniel Ispas

Jane Johnston

Shaun Lee-Chen

Ken Peeler

Melanie Radke

Zak Rowntree

Brendon Richards

Louise Sandercock

Jolanta Schenk

Ellie Shalley

Jane Serrangeli

Jacek Slawomirski

Bao Di Tang

Cerys Tooby

Rebecca White

David Yeh

vioLaBerian Evans Associate Principal

Kierstan Arkleysmith

Nikola Babic

Alex Brogan

Katherine Drake

Alison Hall

Rachael Kirk

Allan McLean

Helen Tuckey

celloRod McGrath Principal

Oliver McAslan Associate Principal

Matthew Hoy

Shigeru Komatsu

Eve Silver

Fotis Skordas

Tim South

Xiao Le Wu

Nicholas Metcalfe

double bassAndrew Rootes Principal

Joan Wright Associate Principal

Christine Reitzenstein

Louise Ross

Andrew Tait

Mark Tooby

FluteMary-Anne Blades Associate Principal

PiccoloMichael Waye Principal

oboeJoel Marangella Principal

Leanne Glover Associate Principal

cor angLaisJay Harrison Principal

cLarinetAllan Meyer Principal

Lorna Cook

bass cLarinetAlexander Millier Principal

bassoonJane Kircher Principal

contra bassoonSimone Walters Principal

hornDavid Evans Principal

Malcolm Stewart Associate Principal

Robert Gladstones Principal 3rd

Jennifer McLeod-Sneyd

Rachel Silver

trumPetDavid Elton Principal

Evan Cromie Associate Principal

Peter Miller

tromboneJoshua Davis Principal

Bruce Thompson

bass trombonePhilip Holdsworth Principal

tubaCameron Brook Principal

timPaniAlex Timcke Principal

PercussionTim White Principal

Troy Greatz Associate Principal Percussion/Timpani

harPSarah Bowman Principal

Orchestra

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eXecutive oFFiceCraig Whitehead Chief Executive

Michael Kar Human Resources Manager

Jo Nevill Administration and Special Projects Officer (part time)

Sarah Tompkin Executive Assistant (part time)

artistic PLanningMarshall McGuire Executive Manager

Artistic Planning

Stephen McAllan Artist Liaison and Chorus Administrator

Callum Moncrieff Programming Assistant

Paula Phillips Artistic Program Manager

Brendon Pearn Education Coordinator

orchestral managementGabrielle Waters Executive Manager,

Orchestral Management

Keith McGowan Orchestra Manager

David Cotgreave Production and Technical Manager

Basil Petsas Operations Manager

Noel Rhind Production Assistant

Allan Tyrrell Librarian

business servicesPeter Freemantle Executive Manager

Business Services

Clare Bannister Payroll Manager (part time)

Liz Mather Accountant

Diane Wilson Business Services Assistant

corPorate develoPmentPhil Gallagher Executive Manager,

Corporate Development

Kate Hawkes Corporate Relations Manager

Kathryn Clements Corporate Relations Executive

Sarah John Corporate Functions Coordinator

Private givingAlecia Benzie Executive Manager,

Private Giving (part time)

Sarah Tompkin Philanthropy Coordinator (part time)

Sarah Gallinagh Donations & Bequests Coordinator (part time)

marketingKelli Carnachan Executive Manager,

Marketing

Sarah Gallinagh Sales Coordinator (part time)

Francine Tonkin Public Relations Manager

Elsa Beilharz Marketing Coordinator

Will Ainger Graphic Designer

Rebecca Willday Customer Service Manager

Josie Aitchison Customer Service Officer (part time)

Margaret Daws Customer Service Officer (part time)

Vicki Prince Customer Service Officer (part time)

Beverley Trolio Customer Service Officer (part time)

Robyn Westbrook Customer Service Officer (casual)

Administrationnew west australian symPhony orchestra emPloyeesJohn Chaplin Orchestral Operations

Manager

David Cotgreave Production and Technical Manager

Alecia Benzie Executive Manager, Private Giving

Phil Gallagher Executive Manager, Corporate Development

Hilary McKenna Marketing Coordinator

Alex Morris Orchestra Manager

Brendon Pearn Education Coordinator

Paula Schibeci Public Relations Manager

Sarah Tompkin Philanthropy Coordinator & Executive Assistant

Marina Woodhouse Corporate Relations Executive

Simone Walters Contra Bassoon

and Farewell toElsa Beilharz Marketing Coordinator

Kathryn Clements Corporate Relations Coordinator

Basil Petsas Operations Manager

Callum Moncrieff Programming Assistant

Francine Tonkin Public Relations Manager

Gabrielle Waters Executive Manager, Orchestral Management

Daniel Ispas Violin

Matthew Hoy Cello

Anne Henderson Bassoon (Associate Principal)

We thank them for their professional and personal contributions to the company.

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Paul Daniel ~ Principal Conductor & Artistic Adviser

In 2009 Paul Daniel took up the reins as Principal Conductor of WASO and conducted nine programs with us. Having announced his appointment in 2007, our Orchestra, audiences and other stakeholders were very pleased to welcome him for his first concerts with us in this new role in May 2009. Disappointingly, our May tour to Japan was cancelled due to the Global Financial Crisis.

Welcome return guests to WASO included Oleg Caetani, Simone Young and Asher Fisch. Joining us for the first time were conductors Jakub Hrusa and Marko Letonja. WASO is committed to young Australian conducting talent and we welcomed Benjamin Northey on two occasions in 2009. Vladimir Verbitsky, our Conductor Laureate, received his Australian Citizenship on stage following performances with us in June.

There were a number of outstanding performances from exceptional artists this year, including:

Nicholas Kraemer conducting Messiah; Kyoko Takezawa playing Beethoven; Marc-Andre Hamelin playing Brahms; Kari Kriikku performing Lindberg’s Clarinet Concerto; and Asher Fisch conducting Strauss.

AustrAliAn ArtistsAustralian artists continue to make a valuable contribution to the ongoing success of WASO’s musical development. In 2009 we engaged the following performers:

ConduCtorsMatthew Coorey; Benjamin Northey; Sean O’Boyle; Sarah-Grace Williams; Vladimir Verbitsky; Guy Noble; Warwick Potter; Richard Mills; Simone Young; Peter Moore.

Guest artistsPiers Lane; Margaret Blades; James Morrison; Adam Lopez; Sara Macliver; Sally-Anne Russell; Angus Wood; Stephen Bennett; Stuart Laing; Elizabeth Campbell; Rachelle Durkin; Shaun Lee-Chen; Penelope Mills; Fiona Campbell; James Egglestone; Paul Whelan; Katya Webb; Joel Marangella; Paul Wright; Rod McGrath; Anna Sleptsova; David Wickam.

new AustrAliAn worksWorld PremieresJames Ledger Arcs and Planes written as part of the ALNG Composer-in-Residence program

James Ledger Chronicles written as part of the ALNG Composer-in-Residence program

AustrAliAn PremieresJohn Adams A Flowering TreeJulian Anderson AlleluiaElena Kats-Chernin Ornamental AirMagnus Lindberg Clarinet concerto

existing AustrAliAn worksRoss Edwards Maninyas Violin ConcertoRichard Mills Passion According to St Mark

CollAborAtionsOur collaborations with West Australian Opera continue to go from strength to strength and in 2009 WASO joined them for performances of:

Donizetti L’elisir d’amore conductor Simon Kenway

Mozart The Marriage of Figaro conductor Mischa Santora

Bizet The Pearl Fishers conductor Ollivier-Philippe Cuneo

Puccini The Girl of the Golden West conductor Aldo Salvagno

For West Australian Ballet the repertoire for 2009 was:

Gisellemusic by Adam conductor Myron Romanul

Romeo and Julietmusic by Prokofiev conductor Enrique Carréon-Robledo

WASO, WA Opera and Perth International Arts Festival presented a semi-staged production of John Adams’ A Flowering Tree, conducted by Stefan Asbury and directed by Patrick Nolan, with Rachelle Durkin, Sanford Sylvan, Russell Thomas and the WA Opera Chorus.

Artistic REPORT 2009 Highlights

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broAdCAstsThe ABC continues to provide wonderful support with regular broadcasts of WASO concerts throughout the year. A total of 30 broadcasts of WASO performances were heard on ABC Classic FM around Australia and the world. WASO webcast three of our performances live via iiNet, which are also available on demand.

broadcasts

Delayed broadcasts on ABC Classic FM

27

Live broadcasts on ABC Classic FM

3

Webcasts on iiNet 3

total broadcasts 33

reCordingsWASO recorded Just Classics II: The Gold Collection, under the direction of Benjamin Northey in January 2009.

AwArdsWASO received the following awards in 2009:

•HelpmannAward:BestClassicalConcert[A Flowering Tree]

•ClassicalMusicAward[national]: Best Performance of an Australian work [Carl Vine Symphony No 7, conductor Arvo Volmer]

•ClassicalMusicAward[state]: Best Performance of an Australian work [James Ledger The Madness and Death of King Ludwig, conductor Asher Fisch]

ComPoser-in-residenCe 2009 saw the end of a three-year residency by James Ledger, a period in which James composed the following works for WASO: The Madness and Death of King Ludwig [2008]; Bellweather [2008]; Arcs and Planes [2009]; Chronicles [2009]; Trumpet Concerto [2006]; 3 Schubert lieder [2007]. He also contributed to our education program and Composition Competition in 2009.

wAso ChorusUnder the musical direction of Marilyn Phillips, and following an outstanding season in 2008, the 2009 WASO Chorus continued to grow in size and strength. The WASO Chorus gave outstanding performances in our Masters and Classics series, featuring in Mozart Requiem; Handel’s Messiah; Richard Mills’ Passion According to St Mark and Julian Anderson’s Alleluia.

hire ConCerts WASO supported the Australian Singing Competition in the finals event presented at His Majesty’s Theatre on 2nd November 2009.

symPhony in the CityThe year ended with an outstanding free performance by WASO at The Esplanade with conductor Guy Noble for an audience of approximately 20,000. Once again, WASO was joined by the Swan Bells and the artillery of the 7 Field Battery Australian Army for a rousing finale of Tchaikovsky’s 1812 Overture. Soprano Katya Webb sang a scene from Tchaikovsky’s Eugene Onegin in this Russian-inspired concert.

disCoVer! eduCAtion & outreACh ProgrAmMusic for young people continues to be a priority at WASO and in 2009 we welcomed nearly 13,000 young people at our Open Rehearsals, Fabulous Fridays, Morning Symphony concerts, WASO on the Road and Education Chamber Orchestra (EChO) performances. EChO toured to Esperance and Ravensthorpe, and WASO on the Road toured the Pilbara and Kimberley, the Gascoyne and the Midwest, taking music to schools and to students who may never have the opportunity to experience live classical music. WASO’s Cushion Concerts continue to grow in popularity and our mainstage education concerts continue to offer programs for primary, secondary and tertiary students. 2009 also saw new initiatives such as the Music and Health series at Princess Margaret Hospital and the Composition Competition established as part of the Education and Outreach Program.

young & emerging ArtistsA new initiative in 2009, the Young and Emerging Artists program, saw WASO bring together a number of development programs for young artists under one banner. A group of 18 brass and string players were involved in the Orchestral Training Program and were mentored by WASO musicians. We hosted the ABC Symphony Australia Young Performer Awards Stage III final, and trialed a series of conductor masterclass sessions with three talented young conductors, under the guidance of Principal Conductor Paul Daniel. We also visited AbMusic in the first of several proposed sessions to engage indigenous musicians who are training for careers in the music industry.

ARTISTIC Report [cont]

Right ~ Stephanie Dean, Tutti Violin

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Private Giving It is often during the more difficult and troublesome moments in our lives that we turn to the power of music to make sense of our lives and to provide both relief and reflection. Despite the economic uncertainties that prevailed throughout 2009, our community of loyal Patrons remain committed to the Orchestra’s vision to touch souls and enrich lives through music. We also welcomed new Patrons. Our heartfelt thanks to all our Patrons for their support.

Patrons are critical to the future of WASO. With a high fixed cost base of over 80 full-time musicians and a busy schedule of concerts and events that reach hundreds of thousands of Western Australians annually, WASO relies not only on box office but on significant levels of government funding and corporate support. We are very grateful for this support; however, it is not enough. Increasingly, it is the ongoing and growing support of our community of donors that strengthens our ability to:

•achieveartisticexcellence;

•securethefinestguestconductors and soloists;

•growoureducationandoutreachprograms that reach children from all across Western Australia;

•presentanannualseriesofspecialevents, including family events, which form the heart of our commitment to touch as many West Australians as possible.

Support through our Private Giving Program is absolutely vital. Our link to our Patrons is very important to us and we are committed to strengthening our connection to the special individuals who support WASO’s vision through their gift.

WASO PATRONS 2009THANK YOU TO OUR PATRONS:

strAdiVAri CirCleRecognises patrons who have made a special contribution or donates substantial amounts over a number of years to the Orchestra.

Dr Peter R Dawson

The Taylor Family

symPhony CirCleRecognises Patrons who have made a provision in their Will to the Orchestra.

Tosi Nottage (In memory Edgar Nottage)

Anonymous (9)

CorPorAte suPPortersWASO acknowledges the support of its corporate partners who have assisted with the Private Giving Program. We are grateful to the Perth Mint and Plan B Wealth Management for their support.

mAestro PAtron$5000 and above

Dr & Mrs T & J ArkleySiobhan & Jonathan BeilinProf Norman EtheringtonMrs Janet Holmes a Court ACDr Patricia KailisSusan & Michael KiernanGwenyth & Tony LennonJude & Barrie LepleyMcCusker Charitable FoundationJill MulheronFrank & Doris Roda(Loving memory of Johann Gustav Hamann)Catriona WoodallAndrew & Marie YunckenAnonymous (7)

Virtuoso PAtron$2500-$4999

Mrs Margaret AffleckMrs Sally BurtonMs Monika DunnetMrs Bridget FayeMichael HardingDr Bryant MacfieMrs MorrellDr WB MustonMr John PhillipsMargaret & Roger Seares Ms Ros ThomsonJan & Ken WilliamsAnonymous (2)

PrinCiPAl PAtron$1000-$2499

Neil Archibald & Alan DodgeSuzanne & David BiddlesMr John BonnyMrs Debbie BorshoffDr G H Campbell-EvansArthur & Nerina CoopesDr Stephen DavisGilbert GeorgeJames & Elizabeth GlassMiss Robyn GlindemannGraham & Barbara GouldenMrs Jannette GrayMr Joe & Deidre GreenfeldMs Jacqueline GroveDavid & Valerie GullandMichael & Liz HollingdaleLilian & Roger JenningsDr Rob KirkGloria & Ulrich KunzmannJane & Jock MorrisonSimon Moncrieff SCBetty & Con Michael AOGregg & Sue MarshmanStella Monger-HayVal & Barry NeubeckerJohn OvertonPamela PlattJohn & Alison RiggMr Chester ReeveJudy SienkiewiczAnne & Frank SibbelDr R & J SchwengerDr Robert Turnbull

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John & Mary TownsendM & H TuiteDr & Mrs John VenerysStan & Valerie VicichWatering C onceptsDr Heather Whiting & Richard HatchIan & Jean WilliamsAnonymous (4)

tutti PAtron$500-$999

Peggy BlainMr & Mrs BeckettRobert & Judith BowerEmeritus Professor Cora BaldockMerle BardwellWinfred BissettShirley BarracloughS & L BourguignonDr Andrew BlackDr Vin & Diane BrennanKay BriceGavin BunningMrs Betty BarkerAnn Butcher & Dean KubankCatherine BagsterMatthew JC BlampeyBJ & JM BarnwellMax CollinsHon June Craig AMBrian CresswellLyn & Harvey Coates AODr & Mrs Neil CumpstonMr Ron Dyer (in memory of Ivy Dyer)Hon Ron DaviesJop & Hanneke DelfosVera DjulbicMr & Mrs DolinschekMrs G EwanAnnette FinnDon & Marie ForrestMrs Isobel GlencrossGeoffrey & Patricia Gates

Prof Alan Harvey & Dr Paulien de BoerDr Penny Herbert (in memory of Dunstan Herbert)Richard B HammondDr David & Annie HaultainIT Vision Australian Pty LtdJohn & Jill IsherwoodCatherine & Bernth JohanssonJohn KobelkeAnthea KingsleyB M KentDr Paul LeeDr Mary Ellen MacDonald & Michael PaulyClare & Philip MooreMarshall McGuireJohn McKay & Claire BrittainDr Peter MossTosi NottageDr Peter & Dr Margaret PetrosAlpha & Richard Pilpel OAMSheila PinchFay & Trevor PitcherThomas PotterClarissa ReptonJames & Nicola Ridsdill-SmithAudrey RogersJudith E ShawTony & Gail SutherlandGrant Sutherland & Robert HinkelmanGarnett SkuthorpRoss SmithMrs Joan Tonkin MBE JPJudith Wilton & David TurnerSR VogtWouterus Van OyenDr Agatha Van der SchaafBob & Lisa Von FeltonMax & Adrienne WaltersDiana WarnockDr & Mrs Chris WhitakerAnn WhyntieViolette M WilliamJanet & David WilliamsRoma WilsonDr Peter WintertonAnonymous (6)

<$500296 individuals made donations under $500

Friends oF wAsoThe Friends of WASO is a membership program with over 450 members. In 2009 the Patrons & Friends Committee organised a number of musical events, including the popular Tea & Symphony mornings, for the Patrons and Friends of WASO. These events provide valuable opportunities for music lovers to mingle with like-minded friends, to meet Orchestra members and to increase their musical knowledge and appreciation.

Our thanks to all Committee members for their hard work and support, including President Fred Affleck, and our thanks and best wishes to members who left the Committee in 2009, including founding President Norman Etherington, Vice President Michael Harding and Secretary Margaret Lalchere.

Volunteers, CorPorAte suPPortersThank you also to our invaluable group of volunteers who contribute their time in the office and at the Perth Concert Hall. Your support of WASO is greatly appreciated.

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Corporate Development The contribution and support of corporate

and government sponsors remain critical

to the success and financial viability of the

West Australian Symphony Orchestra. It

is through their support that we are able

to continue to bring classical music to the

people of Western Australia.

2009 was a difficult year for Corporate

Development due to the prevailing

economic conditions. Corporate

sponsorship went through a difficult period

in all areas and WASO was not immune to

the effects of the Global Financial Crisis.

Thankfully, nearly all of WASO’s Corporate

Partners were able to honour their existing

partnership agreements and WASO had

a successful year with its Corporate

Partnerships.

The cancellation of the WASO 2009 Tour

to Japan was an unfortunate casualty of the

economic conditions at the time, and WASO

thanks Australia LNG for its continued

support. We look forward to rescheduling

the tour at an appropriate time in the future.

Emirates Airline completed its seventh

year as WASO’s Principal Partner. The

partnership continues to provide valuable

mutual benefits, and remains one of the

State’s most prestigious sponsorships.

WASO thanks Emirates for their continued

support throughout 2009.

Other major corporate partners during 2009

were Ernst & Young (Platinum Partner),

Wesfarmers Arts (Platinum Partner),

Synergy (Summer Series Partner), Plan

B Wealth Management (Classics Series

Partner), City of Perth (Civic Partner),

Blake Dawson (WASO Chamber Players

Series Partner), Lotterywest, University of

Western Australia (Concertmaster Partner),

John Holland (Music and Health Partner),

CBH Group (EChO Ensemble & Wheatbelt

Project Partner), BP Australia (North West

Touring Partner), Chevron Australia (Co-

Masters Series Partner), Alcoa Foundation

(WASO Chorus Partner), ConocoPhillips

(Mentoring Program Partner) and

World Artist Partners Ardross Group of

Companies, Broad Construction, Lepley

Properties, Japan Australia LNG (MIMI) Pty

Ltd, Mitsui & Co (Australia) Ltd and Mitsui

E&P Australia Pty Ltd, and Vasse Felix.

WASO works with its Corporate Partners

to create community programs and events

that bring the Orchestra to remote and

disadvantaged communities throughout

Western Australia.

Highlights from the community programs

in 2009 included the John Holland Music

and Health Program at Princess Margaret

Hospital. An ensemble of WASO musicians

and Principal Conductor Paul Daniel visited

Princess Margaret Hospital and played for

patients in the Starlight Theatre. It was quite

moving as children in the hospital watched

the performance live or through the in-

house closed circuit television system and

were able to phone questions directly to

Paul Daniel and Captain Starlight.

The WASO on the Road tour to the

Mid West region visited the Yulga Jinna

remote indigenous school north west of

Meekatharra. The children at this school

had never experienced anything like it and

the WASO musicians were very warmly

welcomed by the school.

These programs highlighted the broad role

that WASO plays in the community and our

ability to bring joy to different people in

society; they would not be able to happen

without the continued support of WASO’s

Corporate Partners.

In 2009 WASO expanded our program of

streamed concerts live over the internet,

thanks to a partnership with Internet

Service Provider iiNet. This has proven to

be a popular and successful innovation

with over 10,800 people logging on and

watching WASO performances either live or

later on demand.

WASO’s success in corporate development

can be attributed to its positioning in

the corporate sponsorship segment in

Western Australia. A partnership with the

Orchestra continues to offer unique market

positioning and networking opportunities,

brand profiling and superior corporate

hospitality. In addition, WASO always

seeks to deliver valuable benefits beyond its

contractual obligations, and continues to

pride itself on its ability to meet and exceed

the needs and expectations of its

Corporate Partners.

West Australian Symphony Orchestra thanks all our Corporate Partners in 2009 and applauds their commitment to excellence, innovation and creativity.

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Corporate partners

Australian Broadcasting Corporation

Adshel

ALCOA Foundation

Aquinas College

Ardross Group of Companies

Australia LNG

Australia Post

Barrington Consulting Group

Blake Dawson

BP Australia

Broad Construction

Cape Mentelle

CBH Group

Channel Nine

Chevron Australia

City of Perth

CITIC Pacific Mining

Clairault Wines

Clough

Commonwealth Bank

Computershare

ConocoPhillips

Corrs Chambers Wesgarth

Cullen Wines

David Langdon Australia

Elmstock Tea

Emirates

Ernst & Young

Fraser Gallop Estate

Grace Removals Group

GHD Pty Ltd

Hamelin Bay

Happs

Healthway

Howard Park Wines

Hyatt Regency Perth

iiNet

Japan Australia LNG (MIMI)

John Holland Group

Juniper Estate

Kailis

L7 Solutions

Leeuwin Estate

Leighton Contractors

Lenton Brae Wines

Lepley Properties

Lexus of Perth

Liz Davenport

Lotterywest

M2 Technology

Marketforce

Marsh Pty Ltd

Matilda Bay Brewery

Midwest Corporation Ltd

Mitsubishi Corporation

Mitsui & Co

Mitsui E & P

Mondoluce

Moss Wood

OMV Australia

Penrhos College

Perron Group

Perth Convention Exhibition Centre

Perth Mint

Pianohaass

Pierro Margaret River Vineyards

Placer Management Group

Plan B Wealth Management

Royal Automotive Club (RAC)

RICOH Australia

Shell Development (Australia)

Simon Lee Foundation

Skywest

Synergy

The Globe

The West Australian

UMAMU Estate

University of Western Australia

Vasse Felix

Vegetäl Fresh Flowers

Vivid Group

Voyager Estate

Water Corporation

Wesfarmers Arts

Wise Wines

Woodside Valley Estate

Yacht Grot

Yamaha Music Australia

20

Corporate GovernancegenerAlAs the largest performing arts company in Western Australia, WASO is committed to high standards of corporate governance.

WASO is a wholly owned subsidiary of WASO Holdings Limited. The Board consists of a maximum of 10 directors.

The Company’s Board is currently made up of 8 highly qualified individuals with credentials across a wide spectrum including backgrounds in business, music, law, accounting, audit, marketing, investment and banking.

role oF the boArdThe Board is responsible for providing strategic guidance to the Company, and for the effective oversight of management. As such the Board is accountable for the West Australian Symphony Orchestra’s overall performance and for ensuring the Company performs its functions in a manner consistent with sound commercial practice.

The Board has adopted a formal charter which defines the roles and responsibilities of the board and management. A separate board policy (BS-004 “Authority Limits”) ensures an appropriate delegation of authority to management.

The Board sets the Company’s key objectives and strategies through a rolling three year strategic plan which is revised annually. It also approves the artistic program and budget on an annual basis, and monitors the major risks facing the organisation.

New Board members are provided with appropriate information to ensure that they understand their roles and responsibilities, including the Board Charter, Constitution and other relevant information.

boArd sub-CommitteesIn order to deal with the many issues that confront the Orchestra and to assist the Board in the discharge of its responsibilities, a number of Board sub-committees have been formed. These comprise the following:

artistiC Prof. Margaret Seares, AOMark CoughlanKeith Kessell

develoPmentBarrie LepleyBryan Taylor

aCCommodationJanet Holmes à Court, ACJulian SherBarrie Lepley

finanCe, risk & auditFiona HarrisBarrie LepleyWilliam BlokingJulian Sher

marketinG & salesBryan Taylor

The sub-committees each has a charter that clearly defines the role of the committee, its members, terms of reference and duties. The sub-committees meet on a regular basis and meetings are formally minuted. The minutes are tabled at Board meetings and any issues raised from the minutes are discussed and dealt with as appropriate. The Board sub-committee structure is regularly reviewed.

This committee reporting structure allows the Board to receive and review regular comprehensive reports on all key business areas.

boArd size, ComPosition & terms oF APPointmentThe Board is comprised of an appropriate number of well qualified individuals who have a proper understanding of the current and future issues facing the organisation. All Board members are non-executive.

The composition of the Board is regularly reviewed to ensure that it meets the current and future needs of the Company.

Directors are appointed for specific terms and re-appointment is not automatic. The Board does not believe that a maximum term of tenure would be in the best interests of the Company.

ethiCAl deCision mAkingThe Board is committed to maintaining ethical and responsible decision making processes based on the principles of fairness, integrity and honesty and to ensure compliance with Australian laws and regulations.

Directors who may have a material personal interest in a matter to be considered by the Board or a board committee are required to make the nature of that interest known and must not be present while the matter is being considered. Details of such disclosures are recorded in the minutes of the meeting. Where an issue to be considered by the Board or a board committee is thought to present a Director with a potential conflict of interest, that Director will not be provided with the related material in the first instance.

The Board has adopted the code of conduct promulgated by the Australian Institute of Company Directors.

21

integrity in FinAnCiAl rePortingThe Board requires the CEO and CFO (Executive Manager – Business Services) to attest in writing that the Company’s financial reports present a true and fair view of the Company’s financial condition and operational results and are in accordance with relevant accounting standards.

The Board has established a Finance, Audit & Risk Committee that has a formal charter and includes at least one member who has financial expertise. The Finance, Audit & Risk Committee considers the effectiveness of the external auditor on a regular basis.

mAnAgement oF FinAnCiAl riskThe Board has approved a risk management policy and implemented a risk management program, designed to identify the sources of risk, quantify the impact of these risks and control and reduce risk through practical and cost effective measures.

The program involves the development of standards throughout the Company, which require awareness and action from all sub-committees to minimise risks and losses. In addition, the Company uses risk hedging techniques, including insurance, to reduce the financial impact of any uncontrollable or catastrophic losses. The Company carries sufficient insurance for the size and nature of its business to protect its assets.

The Company’s risk management framework is reviewed annually by the Board and the risk environment is monitored regularly for changes that may be relevant to the Company.

boArd PerFormAnCe APPrAisAlThe Board has conducted a self assessment of performance in 2008 and identified areas for its future development which were implemented in 2009.

remunerAtion PrACtiCesThe Board adopts remuneration policies that are designed to attract and retain talented and motivated individuals and to encourage enhanced company performance. The Board is responsible for setting the remuneration of the CEO and Principal Conductor.

the Board does not reCeive any remuneration from the ComPany.

interests oF stAkeholdersThe legitimate interests of stakeholders are recognised by the Board. Procedures have been established to guide compliance with legal obligations in areas such as occupational health and safety and to ensure the timely provision of relevant information to funding agencies.

Financials

23

The directors present their report together with the financial report of WASO Holdings Ltd (the ‘Company’) for the year ended 31 December 2009 and the independent auditor’s report thereon.

direCtorsThe directors, at any time during or since the financial period, are:

Janet Lee Holmes à Court, AC Chairman Appointed 21 November 2006

Julian Louis Sher Appointed 21 November 2006

James Barris Lepley Appointed 21 November 2006

Professor Margaret Seares, AO Appointed 21 November 2006

Fiona Elizabeth Harris Appointed 21 November 2006 Resigned 31 December 2009

Bryan Richard Strangman Taylor Appointed 21 November 2006

William Frederick Bloking Appointed 21 November 2006

Keith Kessell Appointed 11 June 2007

Mark Dudley Coughlan Appointed 15 October 2009

ComPAny seCretAriesThe secretaries, at any time during or since the financial period, are:

Peter Andrew Freemantle Appointed 21 November 2006

Craig Michael WhiteheadAppointed 10 June 2009

QuAliFiCAtions And exPerienCe oF direCtorsJanet holmes à Court aC, BsC

Mrs Holmes à Court is chairman of the John Holland Group, Australia’s most diversified construction and engineering company; the West Australian Symphony Orchestra Pty Ltd; the Australian Children’s Television Foundation and the Urban Design Centre of WA. She is also a Board Member of Vision 2020 Australia, the Australian Chamber Orchestra, the Australian National Academy of Music and the Rio Tinto WA Future Fund. She is a science graduate from the University of Western Australia and taught science for a number of years before working more closely with family business matters.

Janet has also received numerous awards and acknowledgements for her involvement in business, the arts, social development, education and health.

Julian sher Ba, llB, mBa

Julian Sher is a barrister specialising in commercial litigation. Previously he was a litigation partner at a national law firm for about 20 years, with significant experience in matters involving commercial and corporate law, insolvency, banking and finance, corporate governance, commercial fraud and defamation. Julian is the Convenor of the Ethics Committee of the Law Society of Western Australia, a member of the Legal Practice Board of Western Australia, a member of the Legal Profession Complaints Committee of Western Australia and a member of the Disciplinary Panel of CPA Australia. He is a director of West Australian Symphony Orchestra Pty Ltd.

Barrie lePley Ba, mBa

After 20 years as a banker engaged principally in international arbitrage and international corporate finance, Barrie now devotes much of his time to two businesses of which he is chairman. Lepley Properties develops and owns commercial property principally in Australia, Germany and China. Sanur Pty Ltd is the holding company for Lepley Properties. Seacrest Asset Pty Ltd invests in private as well as listed companies in Europe.

Barrie is a Foundation Benefactor of the Art Gallery of Western Australia, a Life Member of the Beta Gamma Sigma Society, a member of the Strategic Resources Committee of the

University of Western Australia, Chevalier de Confrérie (Vougeot), Author of Margaret River Style and a director of the West Australian Symphony Orchestra Pty Ltd.

marGaret seares ao Phd (uWa), faiCd, amusa

Margaret Seares has been professionally involved with the arts throughout her working life, having moved from being a lecturer in Music at The University of Western Australia (UWA), through to being the Head of the School of Music, and then on to being the Chief Executive of the West Australian Department for the Arts (now Culture & the Arts) and then Chair of the Australia Council for the Arts for the Federal Government. She was, over the past 5 years, Senior Deputy Vice Chancellor at UWA, a position from which she retired at the end of 2008. She has also been a director of a range of arts and culture boards and councils, both at the national and state levels. Margaret is also a director of West Australian Symphony Orchestra Pty Ltd.

fiona harris BComm, fCa, faiCd

Fiona Harris has been a professional non-executive director for the past 14 years, holding positions with a variety of public listed and private companies, public sector and not for profit boards. Fiona began her career with chartered accountants KPMG and was a partner in their Sydney office when she left that organisation in December 1994. During her 14 years with KPMG, Fiona worked in Perth, San Francisco and Sydney specialising in financial services and superannuation. She was also involved in capital raisings, due diligence, flotations, capital structuring of transactions and litigation support.

Fiona is a director of Vulcan Resources Limited, Territory Resources Limited, Perron Group Ltd, PG Holdings Ltd, GESB Mutual Limited, West Australian Symphony Orchestra Pty Ltd, and Chairman of Barrington Consulting Group Pty Ltd. She is past President of the WA division of the Australian Institute of Company Directors and is a member of their National Board.

Bryan taylor affall, diPfP, CfP, faiCd, Cd

Bryan commenced in the insurance industry at a time when the personal financial planning industry was in its infancy.

Directors’Report

Left ~ Margaret Blades, Associate Concertmaster

24

Directors’ Report [cont]

His agency business specialised in investment advice from 1985 onwards and led to the formation of the specialist fee based advisory firm, which became Plan B Wealth Management. Bryan was succeeded by Denys Pearce as Managing Director in 2004, but has remained involved in guiding the strategic direction of Plan B Group Holdings Ltd (“PLB”) in his role as Chairman and Chief Investment Officer.

Bryan has over 25 years of experience in wealth management and was among the first group of Australian financial planners to complete a Diploma of Financial Planning and to be awarded the designation “Certified Financial Planner” by the International Association for Financial Planning (Australia).

Bryan is also a director of Plan B Wealth Management Ltd and of West Australian Symphony Orchestra Pty Ltd.

William f. (Bill) BlokinG faiCd, Bs, meChaniCal enGineerinG (summa Cum laude)

Bill Bloking has more than thirty-six years of experience in the international oil and gas sector, having worked both for ExxonMobil and BHP Billiton Petroleum in Asia, Australia, Europe, the USA, and South America.

Bill was formerly the President, Australia/Asia Gas for the BHP Billiton Group. In that role he had overall accountability for BHP Billiton’s international LNG business as well as its domestic gas business in Australia. Prior to joining BHP Billiton, Bill spent 24 years with ExxonMobil, where he held a variety of senior executive positions.

Bill is a Fellow of the Australian Institute of Company Directors. He is currently the Chairman of Nido Petroleum and KAL Energy. He is also a non-executive director of the John Holland Group, Miclyn Express Offshore, the Lions Eye Institute, and the West Australian Symphony Orchestra Pty Ltd, and is a Governor of the American Chamber of Commerce in Australia and an Adjunct Professor at Murdoch University.

keith kessellKeith retired in late 2008 from a senior executive position with Wesfarmers, one of Australia’s largest public companies,

where he had been responsible for all aspects of external affairs as well as overseeing the Group’s sustainability program and approach to climate change and energy usage. Prior to that he worked as a senior adviser in national politics and in the media and has considerable experience in public affairs, policy development and issues management. Keith is currently a director of West Australian Symphony Orchestra Pty Ltd.

mark CouGhlanMark Coughlan is a concert pianist, musical director, educator and writer. He is artistic director of the Government House Ballroom concert series, Music on the Terrace, and is music critic for The Australian newspaper. He has previously been a director of Musica Viva Australia and the WA Youth Orchestra and was chairman of AMEB Ltd, Australia’s largest music education publisher and examination organisation. For eight years he held the position of Head of the School of Music at The University of Western Australia.

Mark is currently executive director of the Leeming Medical Group, chairman of the Government House Foundation of WA, a council member of the St George’s Cathedral Arts Foundation and a director of the West Australian Symphony Orchestra.

ComPAny seCretAriesPeter freemantlePeter holds the position of Executive Manager Business Services of the West Australian Symphony Orchestra Pty Ltd. Prior to the formation of the company he held a similar position with the Australian Broadcasting Corporation, and was part of the executive team that oversaw the transition of the West Australian Symphony Orchestra from a department of the Australian Broadcasting Corporation to a public company.

CraiG Whitehead Ba, GdBa, mBa Craig is currently the Chief Executive of the West Australian Symphony Orchestra. He has extensive experience in senior roles within the arts industry having previously been the Chief Executive of West Australian Opera, and General Manager of La Boite Theatre Company. Craig has also

served as a Board Director of Future Now,

Youth Arts Queensland, Brisbane Writers

Festival, and was a Committee Member

of the Brisbane City Council’s Music and

Performing Arts Advisory Committee and

a Member of the Queensland Department

of State Development’s Creative Industries -

Performing Arts Segment Group.

PrinCiPAl ACtiVitiesThe principal activity of the Company and

its subsidiary, West Australian Symphony

Orchestra Pty Ltd (together referred to as

“the Group”) during the period was the

performance of symphonic music. There

were no significant changes in the nature of

the activities of the Group during the period.

reView And results oF oPerAtionsThe profit for the Group for the year ended 31 December 2009 was $313,076 (year ended 31 December 2008: $428,689).

Operations of West Australian Symphony Orchestra Pty Ltd are dependent on funding received from the Commonwealth and State governments through WASO Holdings Ltd. This funding, along with sales and sponsorship revenue, was used to present performances of symphonic music.

The Group presented the West Australian Symphony Orchestra and the Education Chamber Orchestra (EChO) in 177 performances to over 200,000 people during the year ended 31 December 2009. Performances were presented at the Perth Concert Hall, His Majesty’s Theatre, the Supreme Court Gardens, The Perth Esplanade and Kings Park. Concerts were also presented at several local schools, and regionally with EChO in Esperance and Ravensthorpe. Demonstrations and instrumental workshops with the ‘WASO on the Road’ were also held at schools across the Gascoyne, Midwest, Pilbara and Kimberley regions.

stAte oF AFFAirsThere were no significant changes in the

underlying state of affairs of the Company

that occurred during the financial period

under review.

25

eVents subseQuent to bAlAnCe dAteExcept as otherwise disclosed in the notes to the financial statements, no events have occurred subsequent to balance date that materially affect the accounts and are not already reflected in the Statement of Comprehensive Income and Statement of Financial Position.

likely deVeloPmentsThe Group will continue to present performances of music during the next financial year, with 159 performances currently scheduled to be presented during this period. The Group’s continuing success is dependent on increasing its current level of government funding, corporate sponsorship, philanthropy and ticket sales.

direCtors’ interestsThe Company is limited by guarantee and accordingly does not issue shares.

direCtors’ meetingsThe number of directors’ meetings held during the year ended 31 December 2009 and the number of meetings attended by each director were as follows:

Directors’ Meetings WAso HolDings ltD A B

J L Holmes à Court 7 7

J L Sher 6 7

J B Lepley 7 7

Prof. M Seares 5 7

F E Harris 6 7

B R S Taylor 5 7

W F Bloking 6 7

K Kessell 7 7

M D Coughlan 2 2

Artistic coMMittee A B

Prof. M Seares 3 3

K Kessell 3 3

M D Coughlan 1 1

MArketing & sAles coMMittee A B

B R S Taylor 2 2

Directors’ Meetings West AustrAliAn syMpHony orcHestrA pty ltD A B

J L Holmes à Court 7 7

J L Sher 6 7

J B Lepley 7 7

Prof. M Seares 5 7

F E Harris 6 7

B R S Taylor 5 7

W F Bloking 6 7

K Kessell 7 7

M D Coughlan 2 2

AccoMMoDAtion coMMittee A B

J L Holmes à Court 2 2

J L Sher 2 2

J B Lepley 2 2

FinAnce, AuDit & risk coMMittee A B

F E Harris 7 7

W F Bloking 7 7

J L Sher 6 7

J B Lepley 1 1

DevelopMent coMMittee A B

J B Lepley 5 5

B R S Taylor 3 5

Column A - indicates the number of meetings attended Column B - indicates the number of meetings held during a director’s membership

direCtors’ remunerAtionDirectors are not paid any fees for their services as directors of the Company.

Details of remuneration of key management personnel are disclosed in Note 16.

indemniFiCAtion And insurAnCe oF oFFiCersThe Company, through Director Protection Deeds, indemnified all directors against any liability to any person (other than the Company or a Related Body Corporate of the Company), incurred as a director or employee of the Company or its subsidiary. The indemnity does not extend to any claim arising out of conduct involving a lack of good faith or breach of duty.

During the period, the Company has paid premiums in respect of directors’ and officers’ liability, legal expenses and insurance contracts for the period ended 31 December 2009. Since the end of the period, the Group has paid or agreed to pay premiums in respect of such insurance contracts for the year ending 31 December 2010. Such insurance contracts insure persons who are or have been directors or officers of the Company and its subsidiary against certain liabilities (subject to certain exclusions).

The directors have not included details of the nature of the liabilities covered or the amount of the premium paid as such disclosure is prohibited under the terms of the contract.

Auditor’s indePendenCeThe directors have received a declaration of independence from the auditors. This declaration can be found on page 46 and forms part of this report.

Signed in accordance with a resolution of the directors:

Janet Holmes à Court aCChairman

Perth, dated 31 marCh 2010

26

Statement of Comprehensive Income for the year ended 31 deCemBer 2009

continuinG oPerations notes

consolidated 2009

$

consolidated 2008

$

Parent 2009

$

Parent 2008

$

revenue

Funding revenue 4 8,444,054 8,388,556 8,179,054 8,054,744

Ticket sales 5 4,121,893 4,236,523 - -

Sponsorship and donations revenue 6 3,237,512 3,167,953 - -

Other revenue 7 719,098 798,792 - -

Total revenue 16,522,557 16,591,824 8,179,054 8,054,744

expenses

Employee expenses 8 9,248,193 9,260,960 - -

Artist fees and expenses 1,686,013 1,815,470 - -

Marketing expenses 1,226,337 1,065,563 - -

Production expenses 1,880,289 1,645,631 - -

Funding to subsidiary - - 8,179,054 8,054,744

Other expenses 2,168,649 2,375,511 - -

Total expenses 16,209,481 16,163,135 8,179,054 8,054,744

net ProFit For the Period 313,076 428,689 - -

Total comprehensive income for the period

313,076 428,689 - -

The above Statement of Comprehensive Income should be read in conjunction with the accompanying notes.

27

Statement of financial position as at 31 deCemBer 2009

notes

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

assets

Current assets

Cash and cash equivalents 15a 282,260 2,554,227 - -

Other short term deposits 4,782,700 2,666,063 - -

Trade and other receivables 9 946,634 568,277 - -

Inventories 11,038 28,948 - -

Prepayments 355,618 75,606 - -

Total current assets 6,378,250 5,893,121 - -

non-Current assets

Property, plant and equipment 10 759,753 894,318 - -

Investment in subsidiary - - 1,388,204 1,388,204

Total non-current assets 759,753 894,318 1,388,204 1,388,204

totAl Assets 7,138,003 6,787,439 1,388,204 1,388,204

liabilities

Current liabilities

Trade and other payables 11 664,126 1,571,532 10 10

Prepaid revenue 12 2,883,796 2,108,951 - -

Provisions 13 1,207,874 1,076,614 - -

Total current liabilities 4,755,796 4,757,097 10 10

Non-current liabilities

Provisions 13 130,120 91,331 - -

Total non-current liabilities 130,120 91,331 - -

totAl liAbilities 4,885,916 4,848,428 10 10

net assets 2,252,087 1,939,011 1,388,194 1,388,194

equity

Reserves 14 1,773,146 1,711,149 - -

Retained Profits 478,941 227,862 1,388,194 1,388,194

total equity 2,252,087 1,939,011 1,388,194 1,388,194

The above Statement of Financial Position should be read in conjunction with the accompanying notes.

28

STATEMENT OF CHANGES IN EQUITY for the year ended 31 deCemBer 2009

consolidated

retained ProFits /

(accumulated losses)

$

reserves (note 14)

$

total equity

$

as at 31 deCember 2007 ( 85,304) 1,595,626 1,510,322

Net profit and comprehensive income for the period 428,689 - 428,689

Transfer to Reserves Incentive Funding Scheme Reserve ( 115,523) 115,523 -

as at 31 deCemBer 2008 227,862 1,711,149 1,939,011

Net profit and comprehensive income for the period 313,076 - 313,076

Transfer to Reserves Incentive Funding Scheme Reserve ( 61,997) 61,997 -

as at 31 december 2009 478,941 1,773,146 2,252,087

Parent

retained ProFits

s

total equity

$

as at 31 deCember 2007 1,388,194 1,388,194

Net profit and comprehensive income for the period - -

as at 31 deCemBer 2008 1,388,194 1,388,194

Net profit and comprehensive income for the period - -

as at 31 december 2009 1,388,194 1,388,194

The above Statement of Changes in Equity should be read in conjunction with the accompanying notes.

29

notes

consolidated 2009

$

consolidated 2008

$

Parent 2009

$

Parent 2008

$

cash Flows From oPeratinG activities

Cash receipts from customers 4,961,025 5,271,703 - -

Cash receipts from sponsors and other private sector

1,613,484 2,369,824 - -

Cash receipts from donors 355,426 339,580 - -

Cash payments to suppliers and employees

( 15,726,005) ( 15,360,340) - -

Grants received from government funding bodies

8,444,054 8,388,556 8,179,054 8,054,744

Cash funding to subsidiary - - ( 8,179,054) ( 8,054,744)

Net cash provided by / (used in) operating activities

15b ( 352,016) 1,009,323 - -

cash Flows From investinG activities

Interest received 254,164 371,933 - -

Other short term deposits ( 2,116,637) ( 2,666,063) - -

Payments for property, plant and equipment

( 57,478) ( 146,902) - -

Net cash flows (used in) investing activities

( 1,919,951) ( 2,441,032) - -

cash Flows From FinancinG activities

Amounts drawn down under loan - - - -

Repayment of loan - - - -

Net cash flows provided by financing activities

- - - -

Cash and cash equivalents at beginning of the period

2,554,227 3,985,936 - -

Net decrease in cash held ( 2,271,967) ( 1,431,709) - -

cash and cash equivalents at end oF the Period 15a 282,260 2,554,227 - -

The above Cash Flow Statement should be read in conjunction with the accompanying notes.

CASH FLOW STATEMENT for the year ended 31 deCemBer 2009

3030

NOTESto the FinAnCiAl stAtements

1 CORPORATE INFORMATIONThe financial report of WASO Holdings Ltd and its controlled entity for the year ended 31 December 2009 was authorised for issue in accordance with a resolution of the directors on 31 March 2010.

WASO Holdings Ltd (the parent) is a public company limited by guarantee, incorporated and domiciled in Australia. The address of the registered office is:

Ground Floor, 445 Hay Street,Perth, WA 6000

The nature of the operations and principal activities of the Group was the performance of symphonic music.

2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESa) Basis of PreParationThe consolidated financial report is a general purpose financial report and complies with the requirements of the Corporations Act 2001 and Australian Accounting Standards and other authoritative pronouncements of the Australian Accounting Standards Board.

The consolidated financial report has been prepared on a historical cost basis, and presented in Australian dollars.

B) statement of ComPlianCeThe consolidated financial report complies with Australian Accounting Standards and other authoritative pronouncements of the Australian Accounting Standards Board.

Changes in accounting policy and disclosure The adoption of new and amending Australian Accounting Standards and Interpretations mandatory for annual periods beginning on or after 1 January 2009 did not result in any significant changes to the accounting policies. The impact of new and amending Standards on the financial statements is as follows:

AASB 101 Presentation of Financial Statements (Revised). The revised Standard separates owner and non-owner changes in equity and requires a statement of comprehensive income to be prepared which discloses all changes in equity during a period resulting from non-owner transactions. The Group has elected to present comprehensive income in one statement.

Other Australian Accounting Standards and Interpretations have recently been issued or amended but are not yet effective and have not been adopted by the Group for the reporting period ended 31 December 2009. These new or amended Standards are not expected to have a material impact on the financial report.

C) Basis of ConsolidationThe consolidated financial statements comprise the financial statements of WASO Holdings Ltd and its subsidiary as at 31 December 2009.

The financial statements of subsidiaries are prepared for the same reporting period as the parent company, using consistent accounting policies.

In preparing the consolidated financial statements, all inter-company balances and transactions, income and expenses and profit and losses resulting from intra-Group transactions have been eliminated in full.

Subsidiaries are fully consolidated from the date on which control is transferred to the Group and cease to be consolidated from the date on which control is transferred out of the Group.

d) GoinG ConCernThe ability of the Group to maintain its operations is dependent inter alia on the continuing support of various Governments by way of grants. The terms of the main funding grants from Australia Council for the Arts and the Western Australian Department of Culture and the Arts are set out in the Tripartite Funding Agreement. This agreement has been updated with a deed of variation to extend funding to 31 December 2010.

An undertaking has also been given by these government funding agencies for this funding to continue up to 31 December 2011 subject to the Company continuing to comply with the terms and conditions of the Tripartite Agreement. Therefore the financial statements have been prepared under the going concern principle.

e) revenue reCoGnitionRevenue is measured at the fair value of the consideration received or receivable. Amounts disclosed are net of goods and services tax (GST). Revenue is recognised for the major business activities as follows:

• Contribution income Contribution income represents the fair value of assets received in excess of the cost of the assets where there is a non reciprocal transfer and is recognised as income once the asset is controlled by the Group.

• Funding revenue Funding revenue is received from the Australia Council for the Arts (represented by the Major Performing Arts Board) and the Western Australian Department of Culture and the Arts. Funding is received based on payment schedules contained in a funding agreement between the funding bodies and WASO Holdings Ltd and is recognised in accordance with the terms of the agreement due to the conditional nature of the funding. Any funding not spent on the planned activities agreed between the parties at the start of each calendar year is required to be repaid. Special purpose funding, which requires the Group to fulfil an obligation outside its normal operations, is recognised at the time the obligation is fulfilled.

• Ticket sales Revenue from ticket sales is recognised in the Statement of Comprehensive Income at the time of concert performance. Revenue from ticket sales in respect of productions not yet performed is included in the Statement of Financial Position as prepaid ticket sales under the Current Liabilities heading “Prepaid revenue”.

3131

• Sponsorship and donations revenue

Sponsorship Sponsorship commitments are brought to account as income in the year in which sponsorship benefits are bestowed.

Donations All donations are brought to account as received.

• Interest income Revenue is recognised as interest accrues using the effective interest method. This is a method of calculating the amortised cost of a financial asset and allocating the interest income over the relevant period using the effective interest rate, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the net carrying amount of the financial asset.

f) foreiGn CurrenCy translationBoth the functional and presentation currency of the Company and its subsidiary is Australian dollars (A$).

Transactions in foreign currencies are initially recorded in the functional currency at the exchange rates ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of exchange ruling at the balance sheet date.

Foreign currency gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Statement of Comprehensive Income.

G) inCome tax and other taxesThe Company and its subsidiary are exempt from income tax, capital gains tax and payroll tax by virtue of being a cultural organisation established for the encouragement of music, and a charitable institution.

Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST incurred is not recoverable from the Australian Tax Office (ATO).

In these circumstances, the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expense. Receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from, or payable to, the ATO is included as a current asset or liability in the Statement of Financial Position. Cash flows are included in the statement of cash flows on a gross basis. The GST components of cash flows arising from investing and financing activities which are recoverable from, or payable to, the ATO are classified as operating cash flows.

h) aCquisitions of assetsAcquired assets are accounted for at cost. Cost is measured as the fair value of assets given or liabilities incurred or assumed at the date of exchange plus costs directly attributable to the acquisition.

i) Cash and Cash equivalents Cash and cash equivalents include cash at bank and on hand, deposits held at call with financial institutions, and other short-term, highly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash which are subject to an insignificant risk of changes in value.

J) trade reCeivaBlesTrade receivables, which generally have 14 day terms, are recognised initially at fair value and subsequently measured at amortised cost using the effective interest method, less an allowance for impairment.

Collectability of trade receivables is reviewed on an ongoing basis at an operating unit level. Individual debts that are known to be uncollectable are written off when identified. An impairment provision is recognised when there is objective evidence that the Group will not be able to collect the receivable. Financial difficulties of the debtor or default payments are considered objective evidence of impairment. The amount of the impairment loss is the receivable carrying amount compared to the present value of estimated future cash flows, discounted at the original effective interest rate.

k) ProPerty, Plant and equiPment All items of property, plant and equipment are stated at historical cost less accumulated depreciation and any impairment losses. Historical cost includes expenditure that is directly attributable to the acquisition of the items.

Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item can be reliably measured. All other repairs and maintenance are charged to the Statement of Comprehensive Income during the financial period in which they are incurred.

Items of plant and equipment, leasehold improvements, computer equipment, musical instruments, music library items and motor vehicles are depreciated using the straight-line method over their estimated useful lives. Each class of asset in the current period was depreciated over the following useful lives:

Asset class and Useful Life

Leasehold improvements Between 3 and 6 years or the term of the lease

Musical instruments 15 years

Computer equipment Between 3 and 5 years

Staging & other equipment Between 3 and 15 years

Music library 33 years

Motor vehicles 5 years

l) imPairmentThe carrying values of plant and equipment are reviewed for impairment at each reporting date, with a recoverable amount being estimated when events or changes in circumstances indicate the carrying value may not be recoverable.

The recoverable amount of plant and equipment is the greater of fair value less costs to sell and value in use. Impairment losses are recognised in the income statement.

3232

to the FinAnCiAl stAtements

NOTES

m) leased Plant and equiPmentThe determination of whether an arrangement is or contains a lease is based on the substance of the arrangement and requires an assessment of whether the fulfillment of the arrangement is dependent on the use of a specific asset or assets and the arrangement conveys a right to use the asset. Payments made under operating leases (net of any incentives received from the lessor) are charged to the income statement on a straight-line basis over the period of the lease.

n) trade and other PayaBlesTrade payables and other payables are carried at amortised cost and due to their short term nature they are not discounted. They represent liabilities for goods and services provided to the Group prior to the end of the financial year that are unpaid and arise when the Group becomes obliged to make future payments in respect of the purchase of these goods and services. The amounts are unsecured and are usually paid within 30 days of recognition.

o) emPloyee Benefits

• Wages, salaries and annual leave The provisions for employee benefits to wages, salaries and annual leave represent the amount which the Company has a present obligation to pay resulting from employees’ services provided up to the balance date. The provisions have been calculated at undiscounted amounts based on wage and salary rates which are expected to be paid when the liability is settled and include related on-costs.

• Employee loans Some employees may be lent monies which are used in turn to purchase musical instruments. These loans are secured by the instruments themselves. Amounts outstanding are recouped over time through contributions withheld from musicians’ salaries.

• Superannuation plans The Company contributes to employees’ superannuation plans. Employer contributions in relation to the period ended 31 December 2009 have been expensed against income.

• Long service leave The long service leave liability represents the present value of the estimated future cash outflows to be made by the employer resulting from employees’ services provided up to the balance date. Liabilities for employee benefits which are not expected to be settled within twelve months are discounted using the rates attaching to national government securities at balance date which most closely match the terms of maturity of the related liabilities. In determining the liability for employee benefits, consideration is given to future increases in wage and salary rates, and the Group’s experience with staff departures. Related on-costs have also been included in the liability.

P) investment in suBsidiaryInvestments in a subsidiary are initially accounted for at cost being the fair value at the date of acquisition. After initial recognition, investments are carried at cost less any provision for impairment.

q) ProvisionsProvisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation.

3 SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONSThe preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported amounts in the financial statements. Management continually evaluates its judgements and estimates in relation to assets, liabilities, contingent liabilities, revenue and expenses. The following critical accounting policies have been identified for which significant judgements, estimates and assumptions are made.

•Impairment of non-financial assetsThe Group assesses impairment of its non-financial assets at each reporting date by evaluating conditions specific to the Group and to the specific asset. If an impairment trigger exists the recoverable amount of the asset is determined. There have been no impairment triggers and these assets have not been tested for impairment in this financial period.

• Estimate of useful lives The estimation of useful lives of assets is based on historical experience. The condition of assets is assessed periodically and considered in relation to the remaining useful life of the asset and adjustments made to useful lives as appropriate.

3333

FundinG revenue

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

australia CounCil for tHe arts

Base funding 6,092,518 5,946,756 6,092,518 5,946,756

Orchestral review funding 52,585 132,239 52,585 132,239

Strategic Business Initiative Grant - 15,000 - 15,000

department of Culture and tHe arts

Base funding 2,017,707 1,919,901 2,017,707 1,919,901

Orchestral review funding 16,244 40,848 16,244 40,848

Touring funds 100,000 158,544 - -

Market research funding - 15,000 - -

Additional hall hire funds 165,000 160,268 - -

total FundinG revenue 8,444,054 8,388,556 8,179,054 8,054,744

5 Ticket sales

ticKet sales

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Subscriptions 1,463,610 1,551,592 - -

Single night 2,658,283 2,684,931 - -

total ticKet sales 4,121,893 4,236,523 - -

4 Funding revenue

The Group had a three year contract in place securing base funding with the Australia Council for the Arts and the Western Australian Department of Culture and the Arts which commenced on 1 January 2007 and expired on 31 December 2009. The Group also had an Orchestra Review Funding Agreement in place which provided additional funding for the implementation of certain recommendations of the “A NEW ERA - Orchestras Review Report 2005” from

1 January 2007 to 31 December 2009. This agreement is with the Australia Council for the Arts and the Western Australian Department of Culture and the Arts and expired on 31 December 2009.

This agreement has been updated with a deed of variation to extend funding to 31 December 2010. An undertaking has also been given by these government funding agencies for this funding to continue up to 31 December 2011 subject to the Company

continuing to comply with the terms and conditions of the Tripartite Agreement. Therefore the financial statements have been prepared under the going concern principle.

Under the agreements, funding is initially provided to WASO Holdings Ltd and is subsequently transferred to West Australian Symphony Orchestra Pty Ltd under a separate funding agreement between the parent company and its subsidiary.

3434

NOTESto the FinAnCiAl stAtements

6 Sponsorship and donations revenue

sPonsorshiP and donations revenue

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Sponsorship 2,863,495 2,800,182 - -

Donations 355,426 339,580 - -

Reserves Incentive Funding Scheme - - - -

Other private sector revenue 18,591 28,191 - -

total sPonsorshiP and donations revenue 3,237,512 3,167,953 - -

Sponsorship includes an amount of $45,000 received by the Group through a sponsorship agreement with Western Australian Health Promotion Foundation.

7 Other revenue

other revenue

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Interest 254,164 371,933 - -

Orchestral Hire Revenue 210,238 280,016 - -

Other revenue 254,696 146,843 - -

total other revenue 719,098 798,792 - -

3535

8 Expenses

The net profit from ordinary activities has been arrived at after charging the following items:

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

funding to subsidiary - - 8,179,054 7,741,218

depreCiation

Leasehold Improvements 75,865 76,035 - -

Musical Instruments 43,484 40,432 - -

Music Library Scores 4,952 4,743 - -

Computers 28,509 28,476 - -

Plant & Equipment 28,400 29,213 - -

Motor Vehicles 10,833 17,953 - -

Total depreciation 192,043 196,852 - -

operating lease rental expense 181,240 162,228 - -

employee expenses

Salaries and wages 7,796,903 7,828,159 - -

Superannuation 1,070,842 1,017,294 - -

Workers compensation 261,182 241,573 - -

Other employee expenses 119,266 173,934 - -

Total employee expenses 9,248,193 9,260,960 - -

3636

to the FinAnCiAl stAtements

NOTES

9 Trade and other receivables

a) trade and other receivables

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Current

Trade debtors 895,227 441,277 - -

Provision for impairment loss ( 8,000) ( 13,000) - -

Carrying amount of trade receivables 887,227 428,277 - -

aCCrued revenue 59,407 140,000 - -

Total current receivables 946,634 568,277 - -

total trade and other receivables 946,634 568,277 - -

b) Past due but not imPaired

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Trade debtors ageing

0 to 14 days 526,807 403,373 - -

15 to 60 days 359,812 22,514 - -

61 to 90 days 608 2,390 - -

Over 90 days - -

total trade debtors 887,227 428,277 - -

As of 31 December 2009, trade debtors over 14 days were past due but not considered to be impaired as there is no objective evidence at reporting date to indicate that the Group will not be able to collect all amounts due.

c) Fair value

Due to the short term nature of these receivables, the carrying value is assumed to approximate their fair value.

d) Provision For imPairment

The Group has provided for a provision of $8,000 for impairment of receivables in accordance with its accounting policy.

3737

10 Property, plant and equipment - Consolidated

Reconciliation of carrying amounts at the end of the period.

Period ended 31 december 2009

leasehold imProvements

$

musical instruments

$

music library scores

$comPuters

$

Plant & equiPment

$

motor vehicles

$total

$

At 1 January 2009, net of accumulated depreciation and impairment

109,287 498,134 138,973 48,069 88,908 10,947 894,318

Additions - 3,681 7,180 9,493 37,124 - 57,478

Disposals - - - - - - -

Depreciation expenses ( 75,865) ( 43,484) ( 4,952) ( 28,509) ( 28,400) ( 10,833) ( 192,043)

Balance at 31 December 2009 net of accumulated depreciation

33,422 458,331 141,201 29,053 97,632 114 759,753

at 31 deCember 2009

Cost 256,143 579,724 155,289 118,172 193,932 46,851 1,350,111

Accumulated depreciation

( 222,721) ( 121,393) ( 14,088) ( 89,119) ( 96,300) ( 46,737) ( 590,358)

closinG balance 33,422 458,331 141,201 29,053 97,632 114 759,753

Period ended 31 december 2008

At 1 January 2008, net of accumulated depreciation and impairment

185,322 454,086 135,195 33,854 106,911 28,900 944,268

Additions - 84,480 8,521 42,691 11,210 - 146,902

Disposals - - - - - - -

Depreciation expenses ( 76,035) ( 40,432) ( 4,743) ( 28,476) ( 29,213) ( 17,953) ( 196,852)

Balance at 31 December 2008 net of accumulated depreciation

109,287 498,134 138,973 48,069 88,908 10,947 894,318

at 31 deCember 2008

Cost 256,143 576,043 148,109 108,679 156,808 46,851 1,292,633

Accumulated depreciation

( 146,856) ( 77,909) ( 9,136) ( 60,610) ( 67,900) ( 35,904) ( 398,315)

Closing bAlAnCe 109,287 498,134 138,973 48,069 88,908 10,947 894,318

The parent company does not hold any property, plant and equipment, so only the consolidated property, plant and equipment are shown.

3838

NOTESto the FinAnCiAl stAtements

11 Trade and other payables

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Accruals 218,769 390,157 - -

Trade creditors 445,357 672,215 10 10

Other creditors - 509,160 - -

total trade and other Payables 664,126 1,571,532 10 10

Maturity analysis of trade payables

0 to 60 days 443,406 672,215 10 10

61 to 90 days 1,906 - - -

Over 90 days 45 - - -

total trade creditors 445,357 672,215 10 10

Fair value

Due to the short term nature of these payables, the carrying value is assumed to approximate their fair value.

12 Prepaid revenue

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Prepaid ticket sales 1,821,721 1,707,516 - -

Prepaid other 1,062,075 401,435 - -

total PrePaid revenue 2,883,796 2,108,951 - -

3939

13 Provisions

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

emPloyee beneFits

Current provision for employee benefits 1,207,874 1,076,614 - -

Non-current provision for employee benefits 130,120 91,331 - -

total Provisions 1,337,994 1,167,945 - -

14 Equity - Consolidated

reserves

consolidated 31 december

2009$

consolidated 31 december

2008$

Reserves Incentive Funding Scheme 1,773,146 1,711,149

The amounts paid or payable by each of the parties to the scheme are as follows: consolidated $

consolidated $

australia CounCil for tHe arts 469,000 469,000

artsWa 469,000 469,000

donations reCeived 469,000 469,000

interest less CHarges 366,146 304,149

1,773,146 1,711,149

These funds have been set aside in accordance with the Reserves Incentive Funding Scheme Agreement between the Group, the Australia Council for the Arts and the State of Western Australia. The funds received under the Reserves Incentive

Funding Scheme Agreement, together with the Group’s contribution, are held in escrow for a period of 15 years ending 9 January 2022 and are subject to the terms of the Reserves Incentive Scheme Funding Agreement.

The funds have not been used to secure any liabilities of the Group.

The funds consist of short term deposits of $1,773,146 (2008 : $1,666,063) and cash and cash equivalents of nil (2008 : $45,086).

reserves incentive FundinG scheme reserve

4040

to the FinAnCiAl stAtements

NOTES

15 Cash flow statement reconciliation a) reconciliation oF cash

For the purposes of the cash flow statement, cash includes cash on hand and at bank and short-term deposits at call. Cash and cash equivalents as at the end of the financial period as shown in the cash flow statement are as follows:

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Cash 282,260 2,509,141 - -

Restricted cash assets (Note 14) - 45,086 - -

282,260 2,554,227 - -

b) reconciliation oF net ProFit From ordinary activities to net cash Provided by oPeratinG activities

Net profit 313,076 428,689 - -

adJustments for

Interest received ( 254,164) ( 371,933) - -

add non-CasH items: depreCiation 192,043 196,852 - -

net Cash provided By operatinG aCtivities Before ChanGe in assets and liaBilities

250,955 253,608 - -

CHanges in assets & liabilities

Decrease / (increase) in receivables ( 378,357) 110,380 - -

Decrease / (increase) in other assets ( 262,102) 205,788 - -

Increase / (decrease) in payables ( 907,406) ( 133,888) - -

Increase / (decrease) in prepaid revenue 774,845 639,132 - -

Increase / (decrease) in provisions 170,049 ( 65,697) - -

ChanGes in assets & liaBilities ( 602,971) 755,715 - -

net cash Provided by / (used in) oPeratinG activities ( 352,016) 1,009,323 - -

4141

direCtorsJ L Holmes à Court (Chairman) Appointed 21 November 2006

J L Sher Appointed 21 November 2006

J B Lepley Appointed 21 November 2006

Professor M Seares Appointed 21 November 2006

F E Harris Appointed 21 November 2006 (Resigned 31 December 2009)

B R S Taylor Appointed 21 November 2006

W F Bloking Appointed 21 November 2006

K Kessell Appointed 11 June 2007

M D Coughlan Appointed 15 October 2009

exeCutives

C M Whitehead Chief Executive Officer

K N Carnachan Executive Manager, Marketing

P A Freemantle Executive Manager, Business Services

M G McGuire Executive Manager, Artistic Planning

G A Waters Orchestra Manager (Resigned 26 September 2009)

M D Kar Human Resources Manager

P J Gallagher Executive Manager, Corporate Development (Appointed 18 March 2009)

A J Benzie Executive Manager Private Giving (Appointed 10 March 2009)

K J McGowan Executive Manager, Orchestral Management (Appointed 28 September 2009)

16 Directors’ and executives’ disclosures

a) details oF Key manaGement Personnel

b) comPensation oF Key manaGement Personnel

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

Short term 890,382 754,031 - -

Other employment benefits 109,096 56,903 - -

999,478 810,934 - -

Directors have not received any payments for their services as directors.

4242

to the FinAnCiAl stAtements

NOTES

A) direCtorstransaCtions With direCtorsMrs J L Holmes à Court has an interest as Chairman of the John Holland Group. John Holland Group contributed $45,000 as a cash sponsorship to the Group during the year. Additionally, Ms Holmes à Court contributed donations to the Group of $50,500 during the year.

Prof. Margaret Seares contributed a donation of $3,000 to the Group during the year.

Ms F E Harris has an interest as a director of the company Barrington Consulting Group. During the year, $20,000 worth of services were available to the Group as part of an in-kind sponsorship. However this was not utilised and no payments were made to Barrington Consulting Group. Ms Harris also has an interest as a director of the Perron Group. Perron Group contributed $15,000 cash sponsorship to the Group. All dealings with these firms are transacted under normal terms and conditions of business.

Mr B R S Taylor has an interest as Chairman of Plan B Group Holdings. Plan B manages the default superannuation fund for the employees of the Group. Amounts paid on behalf of the employees of the Group into this superannuation fund for the period, amounted to $141,511. Plan B contributed $65,000 cash sponsorship to the Group during the year.

Mr J B Lepley has an interest as Chairman of Sanur Pty Ltd. Sanur Pty Ltd contributed $30,000 cash sponsorship to the Group during the year. Sanur Pty Ltd also contributed a donation of $5,500 to the Group during the year.

Mr W F Bloking has an interest as a Director of the John Holland Group which as stated above contributed sponsorship of $45,000 to the Group.

Transactions between the Group and entities of which directors have declared an interest, are transacted under normal terms and conditions of business.

There were no contracts involving directors’ interests subsisting at period end excepting sponsorship agreements under normal terms and conditions of business.

b) subsidiAryThe consolidated financial statements of WASO Holdings Ltd at 31 December 2009 include the parent Company’s wholly owned subsidiary, West Australian Symphony Orchestra Pty Limited which is incorporated in Australia and has the same balance date as that of the parent entity. The carrying value of the investment is $1,388,204.

18 Auditor’s remuneration

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

auditinG oF the Financial rePort 34,245 32,400 - -

No other benefits were received by the auditor.

17 Related parties

43

19 Commitments and contingencies

consolidated 31 december

2009$

consolidated 31 december

2008$

Parent 31 december

2009$

Parent 31 december

2008$

oPeratinG lease (non-cancellable)

Not later than one year 51,768 95,813 - -

Later than one year and not later than five years 3,550 55,418 - -

55,318 151,231 - -

The Group has operating leases for office accommodation and photocopier rental.

artist Fees contracted For but not Provided For and Payable

Not later than one year 820,220 593,185 - -

Later than one year and not later than five years 300,300 587,670 - -

1,120,520 1,180,855 - -

The Group has entered into contracts for performances scheduled to take place during 2010 and subsequent years. These amounts include the maximum expenditure required to satisfy the contracts with the artists.

The Group’s principal financial instruments comprise cash and short-term deposits, receivables and payables.

Risk management is carried out by management under delegation from the Board.

The Group does not enter into derivative financial instruments for trade or speculative purposes.

The Group manages its exposure to key financial risks, including interest rate and currency risk in accordance with the Group’s financial risk management policy.

a) interest rate risK exPosures

The Group’s only financial asset that is exposed to variable rate interest is cash, cash equivalents and term deposits of $5,061,760 (2008: $5,217,090). The weighted average interest rate at 31 December 2009 was 5.0% (2008: 6.8%). The Group regularly analyses its interest rate exposure. Consideration is given to potential renewals of existing positions and the mix of fixed and variable interest rates.

The parent company does not hold any cash or financial assets or liabilities so only the consolidated position is shown.

b) interest rate sensitivity

The following sensitivity analysis is based on the interest rate risk exposures in existence at the balance sheet date. The 1.5% sensitivity is based on reasonably possible changes, over a financial year, using an observed range of historical Australian deposit rate movements over the last 3 years.

At 31 December 2009, if interest rates had moved, as illustrated in the table below, with all other variables held constant, net profit and equity relating to financial assets of the Group would have been affected as follows:

20 Financial risk management

4444

NOTESto the FinAnCiAl stAtements

consolidated 2009

$

consolidated 2008

$

Parent 2009

$

Parent 2008

$

Judgements of reasonably possible movements:

Net profit - higher / (lower) 1.50% 76,249 82,044 - -

-1.50% ( 76,249) ( 82,044) - -

Equity* - higher / (lower) 1.50% - - - -

-1.50% - - - -

*Excludes accumulated profits / (losses)

c) net Fair valueThe net fair value of financial assets and liabilities is equivalent to the carrying amount at balance date as disclosed in the balance sheet and related notes. This is because either the carrying amounts approximate net fair value or because of their short term to maturity.

d) credit risK exPosure

Receivable balances are monitored on an ongoing basis with the result that the Group’s exposure to bad debts is not significant. The Group monitors the credit risk arising from cash, cash equivalents and term deposits through holding its cash through banks with a Standard and Poor’s rating of AA/A-1+ or greater.

The Group’s maximum exposure to credit risk at balance date in relation to recognised financial assets which consist of cash, cash equivalents, term deposits and receivables is the carrying amount of those assets as indicated in the balance sheet and related notes.

e) liquidity risK

The Group’s liquidity objective is to secure sufficient funding from the federal and state governments for the next 5 years and to maintain adequate cash balances. At 31 December 2009, the Group has received commitments from these entities to be funded at current levels for the years ending 31 December 2010 and 2011.

F) exchanGe rate risK

The Group has a minimal exposure to changes in foreign exchange rates.

4545

in the oPinion oF the direCtors oF wAso holdings ltd:

(a) the financial statements and notes of the Company and of the consolidated entity are in accordance with the Corporations Act 2001, including:

(i) giving a true and fair view of the financial position of the Company and consolidated entity as at 31 December 2009 and of their performance, as represented by the results of their operations for the financial period ended on that date; and

(ii) complying with Accounting Standards and the Corporations Regulations 2001; and

(b) there are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable.

Signed in accordance with a resolution of the directors:

Janet Holmes à Court aCChairman

Perth, dated 31 marCh 2010

Directors’ Declaration

46

Auditor’s IndependenceDeclaration

47

Independent Audit Report

48

waso holdinGs limitedabn 22 122 779 739

west australian symPhony orchestra Pty ltdabn 26 081 230 248

445 hay street, perth wa 6000 | po box 3041, perth adelaide terrace, wa 6832office p 08 9326 0011 f 08 9326 0080 | box office p 08 9326 0000 f 08 9326 0099

www.waso.com.au

WAS

O100

1