Consolidated Financial Statements for the year ended 31...

EDA.0005.0001.0154

ROMAN CATHOLIC TRUSTS CORPORATION

for the Diocese of Melbourne ABN: 52 768159 282

as Trustees for the Catholic Archdiocese of Melbourne

ABN: 64 047 619 369

CATHOLIC ARCHDIOCESE OF MELBOURNE

Consolidated Financial Statements

for the year ended 31 December 2013

CTJH.221.04010.0154

EDA.0005.0001.0155

1 2-4 5 6 7-19

20-21


for the Diocese of Melbourne ABN: 52 768 619 282

as Trustees for the Catholic Archdiocese of Melbourne ABN: 64 047 619 369


Index

Statement by RCTC Secretary and Treasurer Consolidated Statement of Comprehensive Income Consolidated Statement of Financial Position Consolidated Statement of Cash Flow Consolidated Notes to the Financial Statements Auditors' Report

CTJH.221.04010.0155

EDA.0005.0001.0156


for the Diocese of Melbourne ABN: 52 768 159 282

CATHOLIC ARCHDIOCESE OF MELBOURNE ABN: 64 047 619 369

Statement by the RCTC Secretary and the Treasurer

In the opinion of the RCTC Secretary and the Treasurer of the Catholic Archdiocese of Melbourne this special purpose financial report has been prepared in accordance with the accounting policies described in Note 1 to the financial statements.

The RCTC Secretary and Treasurer of the Catholic Archdiocese of Melbourne declare that;

a. The financial statements and notes present fairly the financial position of the Catholic Archdiocese of Melbourne as at 31 December 2013 and its performance for the period ended on that date in accordance with the accounting polices described in Note 1 to the financial statements; and

b. In their opinion there are reasonable grounds to believe that the Catholic Archdiocese of Melbourne will be able to pay their debts as and when they become due and payable.

Signed at East Melbourne on th~ayof March 2014

F X Moore Treasurer

CTJH.221.04010.0156

EDA.0005.0001.0157

ROMAN CATHOLIC TRUSTS CORPORATION for the Diocese of Melbourne ABN: 52 768 159 282 And Controlled Entities

as Trustee for the Catholic Archdiocese of Melbourne ABN: 64 047 619 369


Consolidated Statement of Comprehensive Income for the year ended 31 December 2013

Income

Books, publications & resources Cathedraticum income Conferences & workshops Course fees Donations Grants Interest - bank & other Investment -capital growth Investment - interest & dividend Investment - profit on sale Investment - rent from investment properties Other income Land acquisition levy Quota income Profit on sale of operating assets Rental Service fees Sponsorships Subscriptions

Total Income

Other Expense

Administration support Advertising Appeal costs Archive costs Audit fees Australian Episcopal Conference fee Bad & doubtful debts Bank charges Board & lodging Books, publications & resources Cartage & freight Catering Chapel costs Cleaning Client expenses Compensation payments Computer expenses Conferences/seminars/retreats Consultants Contract staff Courses Sub Total Carried Forward

Notes 2013 $

2,364,244 739,629 328,086

1,104,353 2,050,469 9,390,532

455,575 11,502,182 5,120,880 2,678,213 1,498,590 5,146,600 1,774,915 3,693,576

344,381 1,685,131 2,452,714

110,786 352,492

52,793,346

238,239 11,668

7,835 1,923

40,355 1,664,406

100,000 42,535

151,779 136,621 26 ,689

199,821 45,774

491,289 233,804

1,260,000 72 ,892

445,181 3,867,530

296,299 253,028

9,587,665

2012 $

2,784,637 710,319 270,065

1,097,070 3,554,418 8,699,235

200,285 7,250,389 5,473,501

921 ,506 1,443,436 4,579,541

425,889 3,493,490 (116,078) 1,629,680 2,427,795

119,935 314,505

45,279,617

166,021 19,680 6,789 4,179

61 ,396 805,166 100,000 43,477 86,374

132,081 22,111

200,883 51 ,544

525,931 188,797 685,706

56,100 391,311

2,823,962 320,928 289,341

6,981 ,775

The Consolidated Statement of Comprehensive Income is to be read in conjunction with the Consolidated Notes to the Financial Statements and the Auditor's Report.

2

CTJH.221.04010.0157

EDA.0005.0001.0158

ROMAN CATHOLIC TRUSTS CORPORATION for the Diocese of Melbourne ABN: 52 768159 282 And Controlled Entities




Notes 2013 2012 $ $

Other Expenses

Sub Total Brought Forward 9,587,665 6,981,775 Depreciation 1,537,169 1,512,102 Distribution of income 533,783 590,513 Donations 4,771 ,245 4,416,257 Electricity & gas 448,414 413,542 Episcopal Trustee fees 603,915 750,1 41 Food provisions 62,494 37,571 Formation Expenses 1,500 19,423 Fringe benefits tax 47,003 78,491 General expenses 241 186 Hospitality (entertainment) 104,863 97,671 Household expenses 8,105 12,894 Insurance 988,907 927,445 Interest expense 3,362,792 3,104,615 Investment expenses 290,175 210,255 Lease expenses 188,204 187,100 Lecture fees 279,101 268,944 Legal fees 3,740,947 2,828,842 Maintenance & repairs 1,254,535 1,374,484 Medical expenses 175,156 129,862 Motor vehicle costs 214,461 230,485 Office furniture & equipment purchases 42,357 40,239 Ordination costs 1,602 49,828 Parish support 228,863 211,631 Payroll Costs 43,937 51,552 Photocopy, facsimile & printing 120,767 114,295 Postage 233,247 249,653 Printing 611 ,391 673,327 Public relations & media 159,174 158,607 Purchase of stock for resale 1,210,710 1,376,101 Quotas 37 ,048 32 ,908 Rates 183,259 173,562 Remuneration - clergy 696,815 756,543 Rents paid 543,055 461,947 Research expenses 14,183 32,907 Rubbish removal 27,396 22,797 Sabbatical leave 109,246 114,066 Scholarship costs 325,656 384,173 Security 250,441 267,734 Staff amenities 46,615 49,595 Staff recruitment costs 2,255 17,069 Staff training 54,684 93,268 Stationary & office supplies 139,637 112,525 Stipends 1,109,370 1,036,252 Sub Total Carried Forward 34,392,383 30,653,179


3

CTJH.221.04010.0158

EDA.0005.0001.0159





Other Expense

Sub Total Brought Forward Subscriptions Superannuation for contractors Supply payments Telecommunications Travel & accommodation Vestments Workcover- payments

Total Other Expense

Salary Expenses

Leave - annual leave movement Leave - long service leave provision Salary & wages Superannuation Workcover- insurance premiums

Total Salary Expenses

Internal Transfers

Accounting charges Computer support General contribution Inter department service charge Internal Photocopying charge

Total Internal Transfers

Total Expenditure

Operating Surplus/( Deficit) for year

Accumulated funds at 1 January 2013

Increased Archdiocese Equity in Carlton Seminary

Accumulated funds at 31 December 2013

Notes 2013 $

34,392,383 191,895

10,602 27,831

295,421 696,055

6,754 2,094

35,623,035

129,312 313,974

11,455,742 978,984

76,144 12,954,156

(20,039) (74,400)

10,500 6,648

(7,671) (84,962)

48,492,228

4,301,118

208,055,613

208,055,613

212,356,731

2012 $

30,653,179 153,627

7,1 14 18,812

330,673 601 ,702

5,208 982

31 ,771 ,297

163,342 311,844

10,901,820 922,052

77,017 12,376,075

(18,346) (66,600)

10,500 3,825

~7,657)

F 8,278!

44,069,094

1,210,523

206,845,090

206,845,090

208,055,613


Statement of Financial Position as at 31 December 2013

4

CTJH.221.04010.0159

EDA.0005.0001.0160




Notes 2013 2012 $ $

Current Assets

Cash 4 5,591,703 5,320,325 Trade receivables 5 2,259,447 2,720,838 Other receivables 6 1,952,580 1,896,855 Inventories 986,360 1,149,303 Investments 7(a) 9,124,834 18,682,062 Current assets other 8 588,462 833,046

Total Current Assets 20 ,503,386 30,602,430

Non Current Assets

Loans 9(a) 6,650,052 6,779,707 Work in Progress 10 4,329,548 3,171,452 Investments 7(b) 165,163,301 155,858,667 Fixed assets 11 3,990,156 4,496,018 Properties 12 109,197,758 1 06,548,805

Total Non Current Assets 289,330,816 276,854,649

Total Assets 309,834,202 307,457,079

Current Liabilities

Creditors 708,118 593,586 Employee deductions 13 315,340 319,463 Employee entitlements 14 3,445,780 3,074,412 Current liabilities other 15 1,689,181 2,092,778

Total Current Liabilities 6,158,419 6,080,240

Non Current Liabilities

Loans 9(b) 81,228,032 83,230,206 Total Non Current Liabilities 81,228,032 83,230,206

Total Liabilities 87,386,451 89,310,446

Net Assets 16 222,447,751 218,146,633

Equity

Accumulated funds 212,356,731 208,055,613 Reserves 4,486,011 4,486,011 Corpus funds 5,605,010 5,605,010

Total Equity 222,447,751 218,146,633

The Consolidated Statement of Financial Position is to be read in conjunction with the Consolidated Notes to the Financial Statements and the Auditor's Report.

5

CTJH.221.04010.0160

EDA.0005.0001.0161




Consolidated Statement of Cash flow for the year ended 31 December 2013

Notes 2013 2012 $ $

Cash flows from Operating Activities

Receipts from customers 28,440,526 24,616,235 Receipts from Grants 9,390,532 8,673,795 Payments to suppliers and employees (47,314,737) (42,509,721) Interest & Dividends Received 4,953,833 4,355,578

Net Cash flows from Operating Activities 17 {4,529,847) {4,864, 113)

Cash flows from Investing Activities

(Purchase) Sale of Investments 8,739,223 8,987,596 (Payment)/Sale of Property,plant & equipment (2,065,479) (16,350,561)

Net Cash flows from Investing Activities 6,673,744 (7 ,362,965)

Cash flows from Financing Activities

Loans (1,872,520) 11,048,487 Equity 0

Net Cash flows from Financing Activities (1 ,872,520) 11 ,048,487

Net lncrease/(Decrease) in Cash Held 271,378 (1 ,178,591)

Cash at the beginning of the reporting period 5,320,325 6,498,916 Cash at the end of the reporting period 4 5,591,703 5,320,325

The Statement of Cash flow is to be read in conjunction with the Consolidated Notes to the Financial Statements and the Auditor's Report.

6

CTJH.221.04010.0161

EDA.0005.0001.0162




Consolidated Notes to the Financial Statements for the year ended 31 December 2013

1 Statement of Significant Accounting Policies

This financial report is a special purpose financial report prepared in order to satisfy the reporting requirements of the Roman Catholic Church in Victoria. The Trustees for the Catholic Archdiocese of Melbourne (herein after called "the Archdiocese") have determined that they are not a reporting entity.

The financial report have been prepared in accordance with the following Australian Accounting Standards:

Materiality AAS5 AAS8 Events occurring after the reporting date

No other Australian Accounting Standards, Urgent Issue Group Consensus Views or other authoritative pronouncements have been applied.

The financial report has been prepared on a historical cost basis and does not take into account changing values, or except where specifically stated, current valuations of non current assets.

The following specific accounting policies, which are consistent with the previous period unless otherwise stated, have been adopted in the preparation of this financial report.

(a) Income Tax

As part of the Roman Catholic Church in Victoria, the Archdiocese falls under the exemption for Religious organisations as defined under Section 50 - 5 of the Income Tax Assessment Act 1997.

(b) Investments

All the investments of the Archdiocese have been recorded at their historical cost and do not take into account changing values except for those investments which are managed by external Fund Managers or directly invested in shares listed on the stock exchange, and in these cases, all investments have been marked to market value.

7

CTJH.221.04010.0162

EDA.0005.0001.0163

1





Statement of Significant Accounting Polices

(c)

(d)

Fixed Assets

Fixed assets of the Archdiocese are included at cost, independent or Trustee valuations. All assets excluding freehold land and buildings (see Note 1 (d) } are depreciated over their useful life on the following basis

(i) Motor Vehicles

Diminishing value

(ii) Computer Equipment

Straight line over 3 years

(iii) Industrial Airconditioning Units

Straight line over 1 0 years

(iv) Other Assets

Straight line over 5 years

Freehold Land and Buildings

(i) Used for Commercial Purposes

Freehold land and buildings of the Archdiocese other than those controlled by the Parishes, which are used for commercial purposes are amortised over their useful life. Any improvements are amortised over the remaining estimated useful life of the property.

(ii) Used for Non - Commercial Purposes

Freehold land and buildings of the Archdiocese other than those controlled by the Parishes, which are not used for commercial purposes are not amortised.

8

CTJH.221.04010.0163

EDA.0005.0001.0164





1 Statement of Significant Accounting Polices

(e) Employee Entitlements

(i) Long Service Leave (LSL)

The Archdiocese provides for LSL for all permanent employees within the Diocesan office from the date of commencement until 15 months after termination of reasonable prospect of future employment. If an employee transfers or commences with a Parish or Agency office within 12 months of termination of employment at the Diocesan office then the LSL entitlement is transferred to that Parish or Agency, upon request within 13 months of the last day of service at the Diocesan office.

(ii) Annual Leave (AL}

The Fund provides for AL for all permanent employees within the Diocesan office from the date to commencement, until the date of termination.

(iii) Movement in Entitlements

The increase/( decrease) in the entitlements for the current year were as follows

Long service leave Annual leave

(f) Comparative Figures

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

2 Roman Catholic Trusts Corporation

Legislation was enacted by the Parliament of Victoria in 1907 which provided for the creation of Corporate Bodies of Trustees in which property belonging to the Roman Catholic Church in Victoria may be vested, and for other purposes.

The Roman Catholic Trusts' Corporation for The Diocese of Melbourne was constituted on the 13 January 1908 to act as Corporate Trustee for the purpose of holding, managing and dealing with property in Trust for the benefit of the Archdiocese of Melbourne.

9

2013 $

241 ,606 129,763 371,368

2012 $

147,420 163,342 310,762

CTJH.221.04010.0164

EDA.0005.0001.0165





3 Internal Trust Funds

Over time funds have been given by donors or Deceased Estates to the Archdiocese, some for a specific purpose, others of a general nature. lt became common practice to refer to these funds as "Trust Funds" even though no strict trust requirement existed in the majority of cases.

Each contribution of funds received, whether for a specific or general purpose, have been accounted for as a separate ''Trust Fund".

The allocation depending on whether a specific purpose was indicated, or if silent, which general purpose "Trust Fund" was deemed appropriate.

(a) As at the 31 December the following amounts have been consolidated into the Statement of Financial Position under the heading Internal Trust Funds

Assets

Cash Other receivables Investments

Liabilities

Trade creditors Current liabilities other

Net Assets

Equity Accumulated funds Corpus funds

Total Equity

(i) At the 31 December the cash figure is made up of

Cash at Bank

The NAB - main account figure is a derived figure used to balance each individual ''Trust Fund".

10

1,402,023 69,776

17,595,618 19,067,417

3,537 0

3,537

19,063,880

13,481 ,642 5,582,238

19,063,880

1,402,023 1,402,023

1,601,103 137,017

16,848,018 18,586,139

0 0 0

18,586,138

13,003,901 5,582,238

18,586,138

1,601,103 1,601,103

CTJH.221.04010.0165

EDA.0005.0001.0166





3 Internal Trust Funds

(ii ) At the 31 December the Current Liabilities Other amount comprises Accrued expenses other

(b) For the year ended 31 December 2013 the following amounts have been consolidated into the Statement of Comprehensive Income of under the heading Internal Trust Funds.

Income

Donations Investment- capital growth Investment- interest & dividend

Total Income

Other Expenditure Audit Fees Bank charges Distribution of Income Donations Investment expenses Stipends

Total Other Expenditure

Internal Transfers

Accounting General contributions Interest recharge

Total Internal Transfers

Total Expenditure

Operating Surplus for year

Accumulated funds as at 1 January 2013

Trf to Arch Direct Funds

Accumu lated funds as at 31 December 2013

11

2013 $

0 0

62,445 727,676 709,638

1,499,759

0 97

533,783 116,604 25,783

4,000 680,268

17,426 326,242

0 343,668

1,023,936

475,823

13,003,901

1,919

13,481,642

2012 $

0 0

74,545 387,669 872,833

1,335,047

1,200 130

590,513 86,917 22,169

0 700,928

16,797 283,500

45,380 345,677

1,046,605

288,442

15,151,211

(2,435,752)

13,003,901

CTJH.221.04010.0166

EDA.0005.0001.0167





4 Cash

Cash at Bank Petty Cash

5 Trade Receivables

Trade debtors Provision for uncollected quota fund income Debtors - general other systems Recoverable costs from CatholicCare

6 Other Receivables

Accrued income - other Accrued interest - income GST paid

7 Investments

(a) Current

National Australia Bank Term deposits

Catholic Development Fund Funds at call Term deposits

(b) Non Current

Investment properties Shares not quoted on stock exchange Share quoted on stock exchange Convertible notes

8 Current Assets Other

Prepayments Sundry costs

12

5,584,703 7,000

5,591,703

2,828,479 (535,830) (33,987)

785 2,259,447

1,737,996 44,955

169,629 1,952,580

1,686,076

660,417 6,778,341 9,124,834

72,969,990 90,430,132

983,180 780,000

165,163,301

604,544 (16,082) 588,462

5,313,325 7,000

5,320,325

3,087,230 (435,830)

68,522 916

2,720,838

2,423,500 41,563

(568,208) 1,896,855

1,481,615

10,427,564 6,772,884

18,682,062

75,476,533 79 ,041,518

585,141 755,475

155,858,667

824,901 8,145

833,046

CTJH.221.04010.0167

EDA.0005.0001.0168





9 Loans

(a) Non Current Assets

Loans to parishes - serviced sites Loans to others Loan - Retirement Investment Fund

(b) Non Current Liabi lities

Catholic Development Fund

10 Work in Progress

11

Capital and property Parish projects

Fixed Assets

(a) Furniture and fittings

Accumulated costs Less Accumulated depreciation

(b) Plant and equipment


(c) Motor vehicles


(d) Computer equipment and software


13

5,452 1,463,800 5,180,801 6,650,052

81,228,032

81 ,228,032

3,890,254 439,294

4,329,548

975,539 892,143

83,395

4,343,724 1,671,718 2,672,006

1,073,313 603,190 470,123

3,345,850 2,581 ,219

764,631

3,990,156

48,973 1,549,933 5,180,801 6,779,707

83,230,206

83,230,206

1,807,979 1,363,473 3,171,452

1,072,261 943,273 128,987

4,1 40,424 1,175,141 2,965,283

1,059,009 471 ,089 587,919

3,107,089 2,293,261

813,828

4,496,018

CTJH.221.04010.0168

EDA.0005.0001.0169





12 Property

(a) Equity in property

Mercy College 1,220 1,220 Archdiocese equity in Carlton Seminary 8,234,639 8,234,639 Rice Village unit 11,271 11,271

8,247,130 8,247,130

(b) Properties under construction

St Catherine's - Balwyn 584,040 604,836 584,040 604,836

(c) Freehold land and buildings

Freehold land & buildings at cost 57,937,384 57,937,384 Building improvements 2,604,183 2,232,278 Property purchase - non service sites 45,357,564 43,026,915

105,899,131 103,196,576 Accumulated depreciation - buildings 5,787,544 5,499,736

100,111,587 97,696,840

109,197,758 106,548,805

13 Employee Deductions

Catholic Superannuation Fund clearing 29,695 15,486 Other superannuation fund clearing 2,594 1,014 Group tax (2,802) (2,041) Suspense - salaries clearing (27,351) (41 ,047) Salary sacrifice clearing 303,249 341,407 Social club 9,955 4,644

315,340 319,463

14 Employee Entitlements

Long service leave 2,074,823 1,833,217 Annual leave 1,370,958 1,241 ,195

3,445,780 3,074,412

14

CTJH.221.04010.0169

EDA.0005.0001.0170





2013 2012 $ $

15 Current Liabilities Other

Accrued expenses - other 1 '111 ,599 1,129,098 Accrued purchase of stock for resale 336,524 336,524 GST collected 28,455 0 Collection - Holy Places 5,291 5,275 Collection - Holy Father 415 82,519 Collection - Apostleship of Sea 1,292 1,292 Collection - DEAF Appeal 14,486 5,955 Charitable - Bushfire Appeal 4,967 259,291 Other creditors 18,412 18,211 Unpaid commitments 210,661 212,810 Workcare- premiums clearing (42,920) (37,751)

1,689,181 2,092,778

16 Net Assets are represented by Funds held on behalf of

Diocesan General Purpose Funds 139,201,726 139,586,314 Diocesan Pastoral and Development Fund 17,730,569 15,265,953 Education of Priests 16,237,995 14,122,509 Religious Education Text 4,219,888 4,094,478 Internal Trust Funds 19,063,880 18,586,138 Archbishop's Funds 25,993,693 26,491 ,241

222,447,751 218,146,633

17 Financial Instruments

(i) Financial instruments assets

Cash and liquid assets 5,591,703 5,320,325 Loans 6,650,052 6,779,707 Total Financial instruments assets 12,241,755 12,100,032

Catholic Development Fund Loans 81,228,032 83,230,206 Total Financial Instruments Liabilities 81 ,228,032 83,230,206

(i i) Liquidity Assets Variable Interest rates Deposits as Call 660,417 10,427,564 Variable Interest rates Term Deposits 8,464,417 8,254,499 Variable Interest rates Convertible Notes 780,000 755,475 Stock Exchange Shares 983,180 585,141 Managed Funds 90,430,132 79,041,518

101,318,145 99,064,197

Liabilities Catholic Development Fund Loans 81 ,228,032 83,230,206

Interest Risk

15

CTJH.221.04010.0170

EDA.0005.0001.0171




Assets Variable Interest rates Deposits as Call Variable Interest rates Term Deposits Variable Interest rates Convertible Notes Stock Exchange Shares Managed Funds

Liabilities Catholic Development Fund Loans

18 Reconciliation of Cash Flow from Operating Activities with the Operating Surplus for year

Operating surplus for year Non cash flows in operating surplus

Investment - capital growth Investment- profit on sale Profit on sale of operating assets Depreciation

Movement in operating assets & liabilities (Decrease)/increase in current assets Increase/( decrease) in current liabilities

Net cash flow from operating activities

16

2.88% 3.93% 8.90%

24.78% 17.86%

5.40%

4,301 ,118

(11 ,502,182) (2,678,213)

(344,381) 1,537,169

6,277,053 {2 ,120,410) (4,529,847)

2.45% 6.50% 7.39% 9.93% 4.94%

5.40%

1,210,523

{7,250,389) {921 ,506)

116,078 1 ,512, 102

1,156,414 (687,335)

(4,864, 113)

CTJH.221.04010.0171

EDA.0005.0001.0172





19 Contingent Asset

Insurance Recoveries

The Archdiocese is having ongoing discussions with the Catholic Church Insurance Limited (CCI) for the recovery of certain expenditure incurred by the Archdiocese in relation to notified complaints.

Total recoveries to date

Recoveries this period

Since balance date and the date of this report further recoveries from CC! have been received.

lt Is possible that further significant recoveries will be received in future.

20 Contingent Liabilities

(a) Debts for organisation within the Archdiocese

The Archbishop has provided a Note in Hand to the National Australia Bank in respect of debts for other organisations within the Archdiocese.

(b) Unrelated Deposits

Under the provision of the Corporations Act 2001, Sub Section 111 AT -Exemption to "Charitable" Bodies, the Archdiocese has acknowledge a a liability to unrelated depositors with the Catholic Development Fund

As at 31 December 2013 the Catholic Development Fund had a surplus (deficiency) of funds available to meet the demands of unrelated depositors

17

2013 $

10,080,186

1,138,369

0

7,576,500

1,043,055

2012 $

8,941,818

747,770

0

7,576,500

45,650,510

CTJH.221.04010.0172

EDA.0005.0001.0173

21





Contingent Liabilities

(b) Unrelated Deposits

This surplus/( deficiency) has been determined as follows

Funds avai lable to satisfy unrelated depositors

Unrelated loans Retained earnings held by the

Catholic Development Fund

Total funds available

Unrelated deposits

Surplus/( deficiency) of funds available

The Archbishop believes that the Catholic Development Fund is capable of meeting any request for repayment by these unrelated depositors.

(c) RC Education Supplies Pty Ltd

2013 $

215,567,840

116,589,418

332,157,258

331,114,203

1,043,055

The RC Education Supplies Pty Ltd, is a separate company set up by the Archdiocese, to acquire and manage motor vehicles for Diocesan clergy.

The Archdiocese has underwritten any deficiency incurred by the company. as at 31 December 2013 the accumulated deficiency was $Nil (2012 $Nil}

In addition the company has a contingent liability in respect of unexpired financial lease contracts, which is funded by contractual payments due from the participating parishes.

18

1,428 ,024

2012 $

262,210,193

104,790,159

367,000,352

321 ,349,842

45,650,510

1,591,918

CTJH.221.04010.0173

EDA.0005.0001.0174




22 Catholic Archdiocese of Melbourne manages the accounts of Episcopal Trustees, Parish Funds and Priests Retirement Investment Fund and as at 31 December 2013 held the following balances:

(a) Episcopal Trustees

Cash 1 ,258,142 1,022,799 Investments 676,686 394,822 Property & Other Assets 9,416,535 9,526,410 Liablities (219,010) (155,382) Total Accumulated Funds Held 11,132,353 10,788,649

(b) Parish Funds Cash 30,553 20,288 Investments 3,399,324 3,613,306 Property & Other Assets 35,744 26,233 Total Accumulated Funds Held 3,465,621 3,659,827

(c) Priests Retirement Investment Fund Investments 36,835,357 34,834,818 Property & Other Assets 2,652,030 2,747,494 Liablities (14,614,900) (1 4,608,301 ) Total Accumulated Funds Held 24,872,487 22,974,012

19

CTJH.221.04010.0174

EDA.0005.0001.0175

INDEPENDENT AUDIT REPORT TO THE TRUSTEES OF THE ROMAN CATHOLIC TRUSTS' CORPORATION

Scope

The financial report and Trustees' responsibility

Chaundy & Henry CHARTERED ACCOUNTANTS A.B.N. 50 175 251 428

P W Selkng F C A D A Manton F C A

We have audited the attached financial repot1, being a special purpose financial report. The financial report comprises the Statement of Financial Position, The Statement of Comprehensive income, Cash Flows, accompanying notes to the financial statements, and the RCTC Tmstee Member and Treasurer's statement for the Roman Catholic Trusts ' Corporation for the year ended 31st December 2013.

The Trustees of the Corporation are responsible for the preparation and true and fair presentation of the financial report and have determined that the accounting policies used and described in Note 1 to the financial statements are appropriate to meet the needs of the members. This includes responsibility for the maintenance of adequate accounting records and internal controls that are designed to prevent and detect fraud and error, and for the accounting policies and accounting estimates inherent in the financial repo11.

The financial report has been prepared for distribution to members. We disclaim any assumptions of responsibi lity for any reliance on this report or on the financial report to which it relates to any person other than the members, or for any purpose other than that for which it was prepared.

Audit Approach

We conducted an independent audit in order to express an opinion to the Trustees. Our audit was conducted in accordance with Australian Auditing Standards, in order to provide reasonable assurance as to whether the financial report is free of material misstatement. The nature of an audit is influenced by factors such as the use of professional judgement, selective testing, the inherent limitations of internal control, and the availabi lity of persuasive rather than conclusive evidence. Therefore, an audit cannot guarantee that all material misstatements have been detected.

We performed procedures to assess whether in all material respects the financial repo11 is presented fairly in accordance with the accounting policies described in Note 1, so as to present a view which is consistent with our understanding of the Trusts ' financial position, and of its performance as represented by the results of its operations. These policies do not require the application of all Accounting Standards and other mandatory professional rep011ing requirements in Australia. No opinion is expressed as to whether the accounting policies used and described in Note 1, are appropriate to the needs ofthe members.

We formed our audit opinion on the basis of these procedures, which included:

• examining, on a test basis, information to provide evidence supporting the amounts and disclosures in the financial report, and

• assessing the appropriateness of the accounting policies and disclosures used and the reasonableness of significant accounting estimates made by the Trustees

32 Church Street. Abbotsford. Vie. 3067 Phone (03) 9427 7255 Fax (03) 9427 7227 Ema111nfo@chaundyandhenry com au In association with Chaundy & Henry Services Pty. Lld.

A. B. N. 90 605 648 024 Liability limited by a scheme approved under Professional Standards Legislation

CTJH.221.04010.0175

EDA.0005.0001.0176

While we considered the effectiveness of management's internal controls over financial reporting when determining the nature and extent of our procedures, our audit was not designed to provide assurance on internal controls.

Independence

In conducting our audit, we followed applicable independence requirements of Australian professional ethical pronouncements.

Audit Opinion

We have only verified freehold properties contained in the accounts and accordingly, we express no opinion as to freehold properties, the title deeds of which are in the name of the Corporation but the equity belongs to the individual parishes.

In our opinion, the financial statements of the Roman Catholic Trusts' Corporation are properly drawn up so as to give a true and fair view, in accordance with the basis of accounting policies described in Note I to the financial statements.

Subject to the above and matters outlined in Note 1, in our opinion:

(iii) all trust monies have been properly kept and accounted for;

(iv) the accounts are properly drawn up so as to give a true and fair view of the state of affairs of the Roman Catholic Trusts' Corporation for the Diocese of Melbourne as at the 31st December 2013, and results for the period ended on that date.

CHAUNDY & HENRY Chartered Accountants

P. W. SELKRIG Partner

Melbourne, 2ih day of March 2014

CTJH.221.04010.0176

Consolidated Financial Statements for the year ended 31...

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Transcript of Consolidated Financial Statements for the year ended 31...