1. Richards Bay Country Club 2010 AGM 3 rd November 2010

2. The 2009/2010 Executive Committee members were: General ManagerMartin Rose Golf CaptainPhil Hammill Golf PresidentGerry Gibson Golf Member Alex MacDonald Tennis PresidentPhonnie Roos Tennis CaptainHanlie Walters Squash PresidentWerner Nienaber Development SectionHannes Uys TreasurerJames Barnard uMhlathuze CityJohn Harvey Home Owners AssociationDon Voysey All members who have assisted in the committees during the year Golf, Tennis and Squash Greenkeeping Nkwazi Club House Refurbishment Exco THANK YOU

3. THE HIGHLIGHTS OF 2009/10 The completion of phase 1 renovations to the club house by the developer at a total cost of R2 852 860. The holding of the Natal Ladies Interclub and Sages Nationals at the club. The growth in the number of golf rounds from 16200 to 17208 (6.2%) with an increase in greenfees income of 3.4% The 39.5% growth in income at the bar. The continued high level of presentation of the golf course. The consistant support by RBM of club facilities for training courses, seminars and functions.

4. THE LOW LIGHTS FOR THE YEAR The end of the Municipality subsidy which will result in higher costs to members. The refusal of the Developer and Municipality to replace the Green keeping workshop. The economic climate and its effect on the sponsorship of events at the club. The continued lack of volunteers, committee members and support at the club. Our failure to put in place adequate maintenance and repair routines for the golf cart fleet. The continued unreliability of the irrigation system.

5. RICHARDS BAY COUNTRY CLUB 2009/10 EXPENDITURE OVERVIEW SectionIncomeExpenditureProfit % Main Club Admin998,833 1,777,505 -778,672-44 Subscription457,000Staff727,000 Venue hire138,000Electricity/water206,000 Municipality307,000Building Maint137,000 Bank Charges109,000 Accounting fees106,000 Security88,000 Telephone/fax67,000 Halfway House248,514 178,933 69,58139 Gross Profit (35%)248000Staff174,000 Restaurant277,916 239,897 38,01916 Gross Profit (50%)277,916Staff194,000 Bar611,157 394,037 217,12055 Gross Profit (50%)611,157Staff302,977 Golf OPS1,015,696 821,808 193,88824 Golf cart income427,364Golf cart Op Costs164,197 Subscription229,000Golf Pro contract189,000 Golf Main1,332,128 1,390,754 -58,626-4 Green Fees1,332,128Golf Course Maint1,390,754 Nkwazi120,383 93,890 26,49328 Tennis41,351 34,220 7,13121 Squash78,798 42,658 36,14085 Total4,724,7764,027,5654,973,7023,854,928-248,926-5 Labour Costs=1,397,97728.11% of Expenditure

6. RICHARDS BAY COUNTRY CLUB MANAGEMENT ACCOUNTS 2009/10 TRADITIONAL MODEL RBCC 2009 ACTUAL RBCC 2010 BUDGET RBCC 2010 ACTUAL Difference Actual Vs Budget Difference Actual Vs Budget %Comments INCOME Better than Budget Bar Profit (Gross)438,174516,727592,2157548814.6Increased activity, golf,restaurant and renovations Restaurant (Gross)4,737 277,916277916 New revenue stream Fundraising8,99110,00074,28064280642.8Squash Donkey Derby Municipality409,752273,168307,3103414212.5Subsidy ended June 2010 Rental52,766032,29832298 Josie Kitchen rental Sponsors & Comps299,756265,855361,1429528735.8Ladies Interclub and Nkwazi INCOME Worse than Budget Affilation Fees70,825100,64380,300-20343-20.2Poor budgeting Commission (JOSBEN)58,89265,16819,827-45341-69.6Withdrawal of Josie as restaurant came on stream Venue Hire(Gross)231,416260,000176,399-83601-32.2Less hiring out of main hall venue as requested by members

7. RICHARDS BAY COUNTRY CLUB MANAGEMENT ACCOUNTS 2009/10 TRADITIONAL MODEL RBCC 2009 ACTUA L RBCC 2010 BUDGET RBCC 2010 ACTUAL Difference Actual Vs Budget Difference Actual Vs Budget %Comments EXPENSES Less than Budget Bad debt50,4182,000-17,13019130956.5Better focus on chasing up debts Casual wages42,94040,00029,2291077126.9Better control Cleaning69,92070,00056,7201328019.0Refurbishments and new routines Commission67,26290,00068,9672103323.4Club profit not made Depreciation248,175353,919253,27410064528.4Poor budgeting due to new golf carts Entertainment2,53315,0004,1641083672.2 Venue Expenses76,720100,00038,5156148561.5Less hiring out of venue EXPENSES More than Budget Accounting/Audit99,39873,000103,590-30590-41.9Annual audit fee missed out in budget Advertising/Promotions14,2286,00025,778-19778-329.6Additional advertising during the year Bank charges69,22575,000109,181-34181-45.6Effective of increased income and credit card payments Comp. Expense & pro159,767226,127372,483-146356-64.7Mens and Ladies Interclub and Nkwazi Consumables 032,108-32108 New budget requirement of resturant Fundraising expense4,6314,50027,139-22639-503.1Main Club events off set against Entertainment savings Golf Cart Expenses32,740114,705141,197-26492-23.1Petrol and maintenance costs under budgetted Hire expense34,41338,43052,148-13718-35.7Website not in original budget Irrigation87,81875,000109,374-34374-45.8Pumps continue to be problematic Management contracts316,084400,000556,732-156732-39.2 Gerry exit and handover, Martin budget provision for leave Operating Equipment 12,039-12039 -buildings125,23780,00090,694-10694-13.4 -equipment15,17015,00028,189-13189-87.9 Salaries/wages/OT/bonu 706,295877,6261,091,361-213735-24.4 Additional staff for resturant, plus Accounting Provisions for leave, bonus and O/T

8. RICHARDS BAY COUNTRY CLUB 2010/11 BUDGET OVERVIEW SectionIncomeExpenditureProfit % Main Club Admin660,907 1,635,000 -973,844-60 Subsciption450,000Staff668,000 Venue hire135,000Electricity/water250,000 Building Maint99,000 Bank Charges110,000 Accounting fees110,000 Security95,000 Telephone/fax65,000 Halfway House240,000 171,000 69,95741 Gross Profit (35%)240000Staff168,000 Restaurant560,000 391,000 169,17943 Gross Profit (50%)560,000Staff350,000 Bar660,000 397,000 263,48966 Gross Profit (50%)660,000Staff280,000 Golf OPS1,172,043 959,000 212,93022 Golf cart income515,000Golf cart Op Costs247,000 Subsciption254,000Golf Pro contract205,000 Golf Main1,525,520 1,400,000 127,7429 Green Fees1,525,000Golf Course Maint1,400,000 Nkwazi172,000 103,000 69,00067 Tennis48,042 33,000 15,20946 Squash51,172 24,000 26,987112 Total5,089,6844,339,0005,113,0004,047,000-19,3500 Labour Costs=1,466,00029% of Expenditure

9. 2008/92009/10% Single3123182 Family8410930 TOTAL3964278 Sub Section Golf3293424 Tennis94984 Squash496022 Membership In an effort to attract more membership a 25% discount on subscriptions, along with a monthly debit order system is being offered. MEMBERSHIP

10. RBCC Activity 2010/11Team Leader Increase membershipEXCO Management of golf cart fleetGolf Section Create monthly eventsClub Manager Green keepers workshop (R300 000 est.) EXCO Upgrade staff accommodation {R400 000 est.} Upgrade main hall EXCO Maintain Irrigation systemGolf Section Investigate (and implement) conference facilities. EXCO FUNDS Ex Developer R47 140 Municipality R1 050 000 Stabilisation fund ? Additional 9 plots In Abeyance?

11. CONCLUSION 2009/10 was once again a difficult year Finance Renovations of the club Implementing the management changes The financial results are disappointing The club is in a relatively strong position The new revenue streams look promising. With the full support of the membership the club has the potential to become a self sustaining entity. As per tradition I leave you with not one but two quotes- Colleen C. Barret “When it comes to getting things done, we need fewer architects and more bricklayers” Moliere “The world is full of willing people, some willing to work. The rest willing to let them”

12. THANK YOU Questions