1. Tiburon Peninsula Club
2016 Annual Meeting
Financial Review – November 10, 2016

2. TPC Business Model Refresher
New member initiation fees fund capital reserves
Consistently average new members (4-5% turnover) per year
Current in-town waiting list is 35; out-of-town waiting list is 94
Provides ~$700k per year to TPC
Member monthly dues cover Admin & Operations
~+5% increase to monthly dues coming in Jan ’17 to match inflation
TPC remains 3rd lowest monthly dues in region
Activity departments run at net zero
All profits up to cap levels distributed to employees at year end

3. 2016 Financial Highlights (thru September 30, 2016)
TPC finances remain solid with ~$1.7m in cash
Significant ramp in maintenance spending to improve quality of Club facilities (impacts Admin & Operations budget)
Reserves building for South Property Project, with start awaiting Town EIR and Planning Commission approval
Departments performing solidly, led by Café and Swim
Healthy membership waiting list

4. 2016 Membership Review
As of September 30, 2016:
Regular Members = 700 (700 is max under CUP)
Senior Members = (175 is max under CUP)
Total Member Families = 875
Monthly Dues Income = $219k (covers operations)
YTD Net Initiation Income = $381k (used for Cap Ex projects)
Our in-town wait-list is 35 families, each who have submitted a 10% non-refundable deposit.
25 new members admitted thru September, and 2 Senior Conversions
We conservatively budget for 30 new Regular Members annually (~4% turnover) – from both resignations and Senior Member conversions.

5. 2016 YTD Department P&L’s Revenue Revenues (% chg vs. 2015)
Revenue
Revenues
(% chg vs. 2015)
Expenditures
Net Income
vs. Budget
Admin
$2,093,676 0%
$1,901,221
$192,455
-$93,167
Café
$675,836
+44%
$448,378
$12,445
$6,203
Tennis
$501,809
-8%
$471,963
$29,846
-$5,478
Swim
$451,325
+14%
$318,827
$132,498
$18,594
Fitness
$270,996
$270,539
$456
-$12,868
Youth
$96,650
-18%
$93,386
$3,264
$10,139
Note: All figures are compared vs. ytd 2015
Note: Café benefitted from ~$23k in unused minimum in 1H16
Note: Admin deficit reflects a strategic +56% increase in Maintenance spending
Note: Any year-end profits are returned to the respective business units for to pay bonuses (up to cap levels) and equipment upgrades.

6. Highlights of Maintenance Expenditures
(thru September 30, 2016)
Capital spending lower as rebuilding reserves for future projects
Maintenance spending higher as strategic focus on improving look/feel of TPC facilities
Increased maintenance, taxes, utilities etc. necessitate annual dues increase
Increase in Maintenance Spending
2016 vs (thru Sept)
Facilities Maintenance
+40%
Departmental Maintenance
+66%
Grounds Maintance
+65%

7. TPC Cash and Reserve Balances
(as of September 30, unaudited)
Account
Amount
Operating Cash/Check Acct
Balance on 1/1/16
$150,389
Balance on 9/30/16
$17,805
Net Change
-$132,584
Emergency Reserve Savings
$600,019
$600,217
$198
CapEx Savings Account
$789,520
$1,079,715
$281,194
Total Cash Balance 9/30/16
$1,697,736
Target ~3 months of operational expenses on reserve ($600k). We self-insure for force majeure events (i.e. earthquakes)
Funded through initiation income and utilized for member approved projects and ongoing capital maintenance
Total cash and reserves increased approximately $148k so far during 2016

8. Closing Remarks
Congratulations to all departments on another solid year
Thank you to all volunteer members for your time and effort in making the TPC a great place for all members, family and friends to enjoy
Thank you to Jerry his team for keeping our ship sailing straight
As always, this is your club. If you have suggestions on ways to improve what we do, please let us know.

9. Addendums