The Oaktree Foundation Australia A.C.N FINANCIAL REPORT. Consolidated financial report for the year ended 31 December 2016

Transcription

1 FINANCIAL REPORT A.C.N Consolidated financial report for the year ended 31 December 2016

2 General purpose financial statements for the year ended 31 December 2016 Page Directors Report 1 Independent Auditor s Declaration 6 Consolidated Statement of Comprehensive Income 7 Consolidated Statement of Financial Position 8 Consolidated Statement of Changes in Equity 9 Consolidated Statement of Cash Flows 10 Notes to the Financial Statements 11 Directors Declaration 20 Independent Auditor s Report 21

3 Director s Report Directors Report The Directors of The Oaktree Foundation Australia (Oaktree) present the following annual report of the consolidated entity for the year ended 31 December The Directors Report as follows: Information about the Directors and senior management The names and particulars of the Directors of the company during or since the end of the period are: Priyanthi Fernando (Resigned 30 January 2016) Priyanthi is the Chief Executive Officer of International Needs Australia. Priyanthi has been working in the International Development sector for the last 20 years. BCom (Economics) (Hons), MPH (Masters of Public Health). Andrew Asten (Resigned 12 February 2016) Former Chair of Board Andrew is the Chief of Staff to the Minister for Human Services for the Australian Government. He is a former Oaktree volunteer. LLB(Hons)/BCom (Economics)(Monash), MPhil (International Relations)(Cantab). Benjamin Tan (Resigned 4 June 2016) Former Chair of Development Sub-Committee Benjamin was a Senior Consultant at KPMG Australia, and is currently studying a Masters Degree in Public Administration at Columbia University.. BA/LLB(Honours). Rebecca Glover (Resigned 31 July 2016) Former Chair of Finance Sub-Committee Rebecca is the Chief Financial Officer at World Vision Australia and a qualified Chartered Accountant. B.Com(Melb), CA, MBA(Melb). Timothy Nethercote (Resigned 31 December 2016) Former Deputy Chair Former Chair of Risk and Compliance Sub-Committee Timothy was a Director of HNLaw Pty Ltd trading as Holley Nethercote Commercial and Financial Services Lawyers and Compact - Compliance & Training. B.Ec, LLB, Dip Ed. Christopher Wallace (Resigned 25 January 2017) Outgoing Chief Executive Officer Christopher was Oaktree s Chief Executive Officer. He was formerly a law graduate with Holley Nethercote. BA/LLB(Hons). Katharine Creighton-Selvay (Resigned 15 May 2017) Deputy Chair Former Chair of Board Katharine is a Senior Associate at King & Wood Mallesons. BA/LLB(Melb), LLM(Cantab). Elizabeth Rhodes Chair of Oaktree Young Leaders Trust Sub-Committee Elizabeth is a Community Engagement Consultant at Capire Consulting Group, and is a former Oaktree volunteer. BEc. 1

4 Director s Report Directors Report (continued) Mark Morand Chair of People & Operations Sub-Committee Mark is the Innovation Lead at Good Shepherd Microfinance. He has many years experience in corporate Australia, holds several tertiary qualifications, and is also a musician and composer. Tanya Simpson Tanya is the Integration & Marketing Director at Nova100 and SmoothFM She has over 20 years experience in advertising, media and events, and has been involved with Oaktree since Esther Wan Chief Financial Officer Company Secretary Esther is the Chief Financial Officer at Oaktree and is a qualified Chartered Accountant. Formerly a Senior Accountant in KPMG. BCom/BBIS. Mathew Tinkler (Appointed 20 June 2016) Mathew is the Director of Policy & Public Affairs at Save the Children Australia, and former Chief of Staff to a senior Cabinet Minister with the Federal Government. Philip Ames (Appointed 23 July 2016) Chair Philip is a Management Consultant with The Boston Consulting Group. He was a former Oaktree volunteer. Philip has a BA/LLB from The University of Melbourne, Masters in Public Policy from Harvard University and a Certificate in Management, Leadership, and Decision Sciences from Harvard University. Stavros Moiris (Appointed 17 October 2016) Chair of Finance Sub-Committee Stavros is a manager in the assurance practice of PwC Melbourne. Previously senior accountant in the assurance practice of PwC Milan. BA Business and Management. Jan Cossar (Appointed 17 October 2016) Chair of Development Sub-Committee Jan runs a small consulting company, Strategy Matters. She is a Board member of the EcoCentre and an adviser to the Marninwarntikura Women's Resource Centre in Fitzroy Crossing in WA. Masters in the Social Sciences. Sashenka Worsman (Appointed 12 December 2016) Incoming Chief Executive Officer Sashenka has most recently worked for World Vision as the National Director of their Youth Movement VGen. Double degree in law and international studies. Kelly Patterson (Appointed 3 February 2017) Chair of Risk and Compliance Sub-Committee Kelly Patterson is a Senior Legal Counsel at National Australia Bank Limited and holds a BA/LLB (Melb). The above named Directors held office during the whole of the period and since the end of the period unless otherwise stated next to their name. 2

5 Director s Report Directors Report (continued) Meetings of Directors During the financial year, nine scheduled meetings of Directors were held. Attendances were: Board Meetings Eligible to Attend Board Meetings Attended Priyanthi Fernando 1 0 Andrew Asten 1 1 Benjamin Tan 5 5 Rebecca Glover 6 6 Timothy Nethercote 9 9 Christopher Wallace 9 9 Katharine Creighton-Selvay 9 8 Elizabeth Rhodes 9 7 Mark Morand 9 8 Tanya Simpson 9 8 Esther Wan 9 9 Mathew Tinkler 4 3 Philip Ames 4 4 Stavros Moiris 2 2 Jan Cossar 2 2 Sashenka Worsman 0 0 Principal activities, objectives and performance The principal activities of the consolidated entity during the period were to: Partner with locally based organisations across the Asia-Pacific to improve opportunities for young people through education and capacity building. Contribute to policy change by influencing decision makers through creating grassroots support for pro-poor policy. Invest in young people to be informed change-makers on the issue of poverty. The consolidated entity s short-term objectives are to: Provide young people from poor and marginalised backgrounds with access to quality education. Strengthen the capacity of young people to be leading change in the Asia Pacific. Recruit and train young Australians to drive Oaktree s anti-poverty campaigns. Attract, develop and retain a diverse group of volunteers and employees needed to fulfil the organisation s strategic plan. Raise funds to support Oaktree s work from a range of distinct revenue streams. The consolidated entity's long-term objectives are to: Invest in and influence thousands of young people in the Asia-Pacific to be informed changemakers. Contribute to pro-poor policy change such as an increase in Australian Aid by influencing decision makers through creating grassroots support. Reduce poverty in the Asia-Pacific region by partnering with locally based organisations across the Asia-Pacific to improve educational opportunities for young people. Oaktree measures its performance by monitoring its progress against each of its short-term objectives. 3

6 Director s Report Directors Report (continued) To achieve its short-term and long-term objectives, the consolidated entity has adopted the following strategies: Testing a number of different fundraising strategies to complement Live Below the Line. Maintaining high quality partnerships to deliver education projects (funded partnerships) and mutual capacity building programs (non-funded partners). Engaging and developing hundreds of young Australians in active volunteering roles within the organisation. Details of membership The Oaktree Foundation Australia is a public company, limited by guarantee, incorporated and operating in Victoria, Australia. The guarantee is 20 per member and at 31 December 2016 there were 12 Class A members and 0 Class B members, such that the total amount that members of Oaktree are liable to contribute if the company is wound up is 240. Changes in state of affairs Due to decreasing financial resources, Oaktree Young Leaders Trust stopped accepting new fellows in June Subsequent events There has not been any matter or circumstance occurring subsequent to the end of the period that has significantly affected, or may significantly affect, the operations of the consolidated entity, the results of those operations, or the state of affairs of the consolidated entity in future financial years. Environmental regulation The consolidated entity s operations are not regulated by any significant environmental regulation under a law of the Commonwealth or of a State or Territory. Proceedings on behalf of company No person has applied for leave of Court to bring proceedings on behalf of the consolidated entity or intervene in any proceedings to which the company is party for the purpose of taking responsibility on behalf of the consolidated entity for all or any part of those proceedings. The consolidated entity was not a party to any court proceedings during the period. Indemnification and insurance of officers The Consolidated Entity maintained its own Directors and Officers Indemnity during the financial year against certain personal liabilities which they may incur in the performance of their duties as Directors and Officers where those Directors and officers acted in good faith. In accordance with common commercial practice, the insurance policy prohibits disclosure of the nature of the liability insured against and the amount of the premium. Except for the above, during the financial year and subsequent to 31 December 2016, no person has been indemnified nor has the Consolidated Entity or a related body of the Consolidated Entity made an agreement for indemnifying any person who is or has been an officer of the Consolidated Entity or of a related body. 4

7 Director s Report Directors Report (continued) Auditor s independence declaration The Auditor s Independence Declaration is included on page 6 of the financial report. On behalf of the Directors Directors Melbourne, 23 May

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9 Consolidated Statement of Comprehensive Income Consolidated Statement of Comprehensive Income for the year ended 31 December 2016 Note 31 December December 2015 REVENUE Donations and Gifts Monetary 1,231,237 1,715,747 Non-monetary 12,781 - Bequests & Legacies - - Grants Department of Foreign Affairs and Trade - - Other Australian 116,392 24,310 Investment Income 69,323 77,836 Other Income 53,165 74,758 TOTAL INCOME 1,482,898 1,892,651 EXPENDITURE International Aid & Development Program Expenditure International programs Funds to international programs 468, ,711 Program support costs 198, ,450 Community education 493, ,902 Fundraising costs - - Public 337, ,157 Government, multilateral, & private - - Accountability and administration 243, ,564 Non monetary expenditure - - Total International Aid & Development Program Expenditure 1,740,910 2,170,784 TOTAL EXPENDITURE 1,740,910 2,170,784 EXCESS/SHORTFALL OF REVENUE OVER EXPENDITURE Other comprehensive income/(loss) Items that may be reclassified subsequently to profit or loss: Net unrealised fair value gain/(loss) on available-for-sale financial assets Net unrealised fair value gain/(loss) on hedging instruments entered into for cash flow hedges TOTAL OTHER COMPREHENSIVE INCOME/(LOSS) TOTAL COMPREHENSIVE INCOME/(LOSS) FOR THE YEAR (258,012) (278,133) 12 25,181 14, (11,389) (23,367) 13,792 (8,848) (244,220) (286,981) Notes: 1. Oaktree does not receive or spend money on activities relating to international political or religious adherence The promotion above statement programs, should nor domestic be read programs. in conjunction with the accompanying notes. 2. No single appeal, grant or other form of fundraising for a designated purpose generated 10% or more of the signatory organisation s international aid and development revenue for the financial year. 7

10 Consolidated Statement of Financial Position Consolidated Statement of Financial Position as at 31 December 2016 Note 31 December December 2015 Current assets Cash and cash equivalents 2 659, ,142 Trade and other receivables 3 52,041 68,142 Other financial assets 4-10,434 Total current assets 711, ,718 Non-current assets Other financial assets 4 1,000, ,520 Property, plant and equipment 5 11,236 12,374 Intangible assets 6-117,314 Total non-current assets 1,011, ,208 Total assets 1,723,431 1,960,926 Current liabilities Trade and other payables 7 19,552 51,287 Provisions 8 12,564 4,945 Other current liabilities 9 37,205 10,375 Other financial liabilities Total current liabilities 70,276 66,607 Non-current liabilities Lease liability (non-current) 10 3,056 - Total non-current liabilities 3,056 - Total liabilities 73,332 66,607 Net assets 1,650,099 1,894,319 Equity Accumulated surplus 11 1,452,029 1,710,041 Reserves , ,278 Total equity 1,650,099 1,894,319 Notes: 1. Apart from what is disclosed, Oaktree does not have other assets nor liabilities. It does not own any inventory nor investment property, nor have any borrowings. It also does not have any assets held for sale. The above statement should be read in conjunction with the accompanying notes. 8

11 Consolidated Statement of Changes in Equity Consolidated Statement of Changes in Equity for the year ended 31 December 2016 Accumulated surplus Reserves Total Balance at 1 January ,988, ,126 2,181,300 Deficit for the year (278,133) - (278,133) Other comprehensive income for the year - (8,848) (8,848) Balance at 31 December ,710, ,278 1,894,319 Deficit for the year (258,012) - (258,012) Other comprehensive income/(loss) for the year - 13,792 13,792 Balance at 31 December ,452, ,070 1,650,099 9

12 Consolidated statement of cash flows Consolidated Statement of Cash Flows for the year ended 31 December December December 2015 Note Cash flows from operating activities Receipts from donors and operations 1,409,050 1,822,677 Dividends received 45,961 45,198 Interest received 16,619 32,451 Payments to international projects, suppliers and employees (1,612,991) (2,053,135) Net cash generated by/(used) in operating activities (141,361) (152,809) Cash flows from investing activities Payments for investments (185,920) (3,889) Proceeds from sale of investments 66,863 11,403 Payments for intangible assets - (35,128) Proceeds from realisation of term deposits - 274,776 Net cash generated by/(used in) investing activities (119,057) 247,189 Net decrease in cash and cash equivalents Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year (260,418) 94, , , , ,142 10

13 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December Significant accounting policies The following is a summary of the material accounting policies adopted by the consolidated entity in the preparation and presentation of the financial report. The accounting policies have been consistently applied, unless otherwise stated. The financial statements were authorised for issue by the Directors on 23 May Statement of compliance These financial statements are general purpose financial statements which have been prepared in accordance with the Australian Charities and Not-for-profits Commission Act 2012 and Australian Accounting Standards - Reduced Disclosure Regime. The presentation and disclosure requirements sets out in the ACFID Code of Conduct, and comply with other requirements of the law. For further information on the Code, please refer to the ACFID website Basis of preparation The financial statements are the consolidated financial statements of The Oaktree Foundation Australia and its controlled entities. The Oaktree Foundation Australia is a company limited by guarantee, incorporated and domiciled in Australia. The consolidated financial statements are those of The Oaktree Foundation Australia and the wholly controlled trust funds. The Oaktree Foundation Australia is a Not-For-Profit entity for the purpose of preparing the financial statements. The financial statements have been prepared on the basis of historical cost, except for the revaluation of certain non-current assets, specifically the financial assets. Cost is based on the fair values of the consideration given in exchange for assets. All amounts are presented in Australian dollars, unless otherwise noted. (a) Financial assets and financial liabilities Financial assets and financial liabilities are recognised on the Statement of Financial Position when The Oaktree Foundation Australia becomes party to the contractual provisions of the financial instrument on trade date. A financial asset is derecognised when the contractual right to the cash flows from the financial assets expire or are transferred and no longer controlled by The Oaktree Foundation Australia. A financial liability is removed from the Statement of Financial Position when the obligation specified in the contract is discharged or cancelled or expires. (b) Basis of consolidation The consolidated financial statements are those of the consolidated entity, comprising of The Oaktree Foundation Australia and its wholly controlled trust funds. The effects of all transactions between entities in the consolidated entity have been eliminated in full and the consolidated financial statements have been prepared using uniform accounting policies for like transactions and other events in similar circumstances. (c) Revenue recognition Dividend revenue and distributions are recognised when the right to receive payment is established. Interest revenue is recognised using the effective interest method. Donations and bequests are recognised upon receipt or upon unconditional entitlement. (d) Grants Oaktree received a number of grants from non-government organisations. Where conditions are attached to a grant that must be satisfied before Oaktree is eligible to receive the contribution, recognition of the grant as revenue is deferred until those conditions are satisfied. Where there are no conditions attached to the grant, the revenue is recognised when it is probable that the economic benefits will flow to the entity and the amount of the grant can be measured reliably. 11

14 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) (e) Income tax The Oaktree Foundation Australia is exempt from income tax under section 50-5 of the Income Tax Assessment Act (f) Goods and Services Tax (GST) Revenues, expenses and assets are recognised net of the amount of GST, except where the amount of GST included is not recoverable from the Australian Tax Office. (g) Cash and cash equivalents Cash and cash equivalents include cash on hand, deposits held-at-call with banks and other short-term highly liquid investments which have a term to maturity of three months or less from the date of acquisition. (h) Receivables Receivables are measured at amortised cost less any impairment. (i) Employee benefits Liabilities arising in respect of wages and salaries, annual leave and any other employee benefits expected to be settled within twelve months of the reporting date are measured at their nominal amounts based on remuneration rates which are expected to be paid when the liability is settled. The expected cost of shortterm employee benefits in the form of compensated absences such as annual leave is recognised in the provision for employee benefits. All other short-term employee benefit obligations are presented as payables. (j) Property, plant and equipment Property, plant and equipment are stated at cost. Each class of plant and equipment is carried at cost less depreciation and any accumulated impairment losses. Items of property, plant and equipment, other than freehold land, are depreciated over their useful lives using the straight line method or the diminishing value method. The following depreciation rates are in use: Leasehold Improvements 2.5% Office Furniture and Equipment 7.5% to 66.67% (k) Intangible assets The amount initially recognised for internally-generated intangible assets is the sum of the expenditure incurred from the date when the intangible asset first meets the recognition criteria. Where no internallygenerated intangible asset can be recognised, development expenditure is recognised in profit or loss in the period in which it is incurred. Subsequent to initial recognition, internally-generated intangible assets are reported at cost less accumulated amortisation and accumulated impairment losses, on the same basis as intangible assets that are acquired separately. Oaktree s amortised cost for its intangible asset was impaired to nil in This is because Oaktree discontinued using the internally-generated website and is using a third party platform instead. (l) Investments Investments in listed company shares and unit trusts are designated as being held as available for sale through profit and loss. Fair values are determined by reference to published price quotations in an active market. Term deposits are carried at amortised cost. (m) Payables Payables represent the fair value of the consideration to be paid in future for goods and services received, whether or not billed to the consolidated entity, plus where applicable, any accrued interest. (n) Derivative financial instruments The consolidated entity enters into a variety of derivative financial instruments to manage its exposure to foreign exchange rate risk, including foreign exchange forward contracts. Derivatives are initially recognised at fair value at the date the derivative contract is entered into and are subsequently remeasured to their fair value at the end of each reporting period. The resulting gain or loss is recognised in profit or loss 12

15 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship. Hedge accounting Hedges of foreign exchange risk on firm commitments are accounted for as cash flow hedges. At the inception of the hedge relationship, the entity documents the relationship between the hedging instrument and the hedged item, along with its risk management objectives and its strategy for undertaking various hedge transactions. Furthermore, at the inception of the hedge and on an ongoing basis, the consolidated entity documents whether the hedging instrument is highly effective in offsetting changes in fair values or cash flows of the hedged item attributable to the hedged risk. Cash flow hedges The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges is recognised in other comprehensive income and accumulated under the heading of cash flow hedging reserve. The gain or loss relating to the ineffective portion is recognised immediately in profit or loss. Amounts previously recognised in other comprehensive income and accumulated in equity are reclassified to profit or loss in the periods when the hedged item affects profit or loss, in the same line as the recognised hedged item. However, when the forecast transaction that is hedged results in the recognition of a non-financial asset or a non-financial liability, the gains and losses previously recognised in other comprehensive income and accumulated in equity are transferred from equity and included in the initial measurement of the cost of the non-financial asset or non-financial liability. Hedge accounting is discontinued when the consolidated entity revokes the hedging relationship, when the hedging instrument expires or is sold, terminated, or exercised, or when it no longer qualifies for hedge accounting. Any gain or loss recognised in other comprehensive income and accumulated in equity at that time remains in equity and is recognised when the forecast transaction is ultimately recognised in profit or loss. When a forecast transaction is no longer expected to occur, the gain or loss accumulated in equity is recognised immediately in profit or loss. (o) Leases Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee. All other leases are classified as operating leases. Lease payments for operating leases, where substantially all the risks and benefits remain with the lessor, are recognised as an expense on a straight-line basis over the term of the lease. Lease incentives received under operating leases are recognised as a liability and amortised on a straight-line basis over the life of the lease term. (p) Comparatives When required by Accounting Standards, comparative figures have been adjusted to conform to new changes in presentation for the current year. 13

16 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) 31 December December Cash and cash equivalents Reconciliation of cash and cash equivalents For the purposes of the Statement of Cash Flows, cash and cash equivalents includes cash on hand and in banks and investments in money market instruments, net of outstanding bank overdrafts. Cash and cash equivalents at the end of the financial year as shown in the statement of cash flows can be reconciled to the related items in the statement of financial position as follows: Cash and cash equivalents Cash at bank 513, ,544 Future fund cash account 146, , , , Trade and other receivables Trade debtors 3,808 - Accrued income 3,010 - Bonds receivable 13,986 22,389 GST recoverable 5,541 11,002 Franking credits receivable 17,822 34,751 Prepaid expenses 7,874-52,041 68, Other financial assets/(liabilities) Current other financial assets/(liabilities) Foreign currency forward contracts that are designated and effective as hedging instruments carried at fair value (955) 10,434 (955) 10,434 Non-current other financial assets Future fund investments (at fair value) 1,000, ,520 1,000, , Property, plant and equipment Office furniture & equipment At cost 65,647 56,756 Accumulated depreciation (54,411) (54,076) Balance 11,236 2,680 Leasehold improvements At cost 2,728 12,422 Accumulated depreciation (2,728) (2,728) Balance - 9,694 11,236 12,374 14

17 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) 31 December December 2015 Office furniture & equipment Leasehold improvements 2015 Balance at the beginning of the year 3,483 10,005 Depreciation charge for the year (803) (311) Balance at 31 December ,680 9,694 Office furniture & equipment Leasehold improvements 2016 Balance at the beginning of the year 2,680 9,694 Disposals (2,680) (9,694) Additions 11,571 - Depreciation charge for the year (335) - Balance at 31 December , Intangible assets In December 2016, the internally-generated Live Below the Line website was transitioned to a third party platform, resulting in a change in estimate of useful life. Therefore, amortisation has been charged during the year while the website was still in use and it was subsequently fully impaired as at the date of the transition resulting in an impairment loss. Opening balance 117, ,391 Website development costs capitalised - 35,127 Amortisation for the year (65,941) (73,204) Impairment loss (51,373) , Trade and other payables Trade creditors 19,552 50,100 Credit card - 1, Provisions Current liability: 19,552 51,287 Employee benefits expense 12,564 4,945 12,564 4, Other current liabilities Accrued expenses 10,369 - Prepaid revenue 15,303 - Employment related payables 11,533 10,375 37,205 10, Lease liability Victoria headquarters lease liability (noncurrent) 3,056-15

18 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) 31 December December Accumulated surplus Accumulated surplus 1,452,029 1,710, Reserves Investment reserve 199, ,844 Cash flow hedging reserve (955) 10, , ,278 The investment reserve represents the unrealised gain/loss (excluding impairments) of the investment portfolio held as available for sale. The cash flow hedging reserve represents the effective portion of unrealised gain/loss of the mark-to-market of foreign currency forward contracts held. Movement in Investment Reserves Balance as at 1 January , ,325 Gain/(loss) on revaluation 25,181 14,519 Balance at 31 December , ,844 Movement in Cash Flow Hedging Reserve Balance as at 1 January ,434 33,801 Effective portion of gain/(loss) on revaluation (11,389) (23,367) Balance at 31 December 2016 (955) 10, Events after the reporting period There have been no significant events subsequent to reporting date up to the date at which the financial statements were issued. 14. Contingent assets & liabilities commitment Oaktree has operating lease commitments relating to its rented premises. < 1 year 2-5 years > 5 years Operating Lease Commitments 60, ,212 - Oaktree has the following ongoing commitments to projects: TOTAL Total 277, ,057 37, ,447 16

19 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) 31 December December Auditor s Remuneration Remuneration of the auditor for: An audit of the financial report 3,000 3, Members fund The Oaktree Foundation Australia is a public company, limited by guarantee, incorporated and operating in Victoria, Australia. The guarantee is 20 per member and at 31 December 2016 there were 12 Class A members and 0 Class B members. 17. Economic dependency Oaktree raises significant revenue through the Live Below the Line campaign. During the year ended 31 December 2016 approximately 89% or 1,090,200 (year ended 31 December 2015: 93% or 1,603,812) of Oaktree s donation revenue was sourced from the Live Below the Line campaign. 18. Related party disclosures The Directors of Oaktree during the financial year were Priyanthi Fernando Mark Morand Philip Ames Andrew Asten Tanya Simpson Stavros Moiris Christopher Wallace Benjamin Tan Jan Cossar Rebecca Glover Esther Wan Sashenka Worsman Elizabeth Rhodes Timothy Nethercote Katharine Creighton - Selvay Mathew Tinkler The Directors perform the role of key management personnel, along with the National Executive Team. (a) Compensation of key management personnel 31 December December 2015 Compensation of key management personnel 370, ,673 The salaries of the National Executive Team were determined based on the Social, Community, Home Care and Disability Services (SCHADS) Award rates. Once they became employees of Oaktree, National Executive Team members were no longer eligible to be a fellow of Oaktree Young Leaders Trust, as a condition of fellowships is that the recipient be volunteering in a qualifying activity. Non-executive Directors are not remunerated for their services performed for the consolidated entity. 17

20 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) 18. Related party disclosures (continued) (b) Related party transactions The Oaktree Young Leaders Trust (OYLT) was established for the purposes of providing fellowships to young Australians that are making a substantial volunteering contribution to combat global poverty. A committee that reports directly to Oaktree s Board of Directors manages the OYLT. During the year ended 31 December 2016 Oaktree paid 49,544 (year ended 31 December 2015: 255,367) to the OYLT to carry out its purposes. The OYLT awarded fellowships and made payments to Oaktree s key management personnel as follows: 31 December December 2015 Payments to key management personnel - 13,424 This included the following Directors: December December Lloyd Alderman - 1,732 During the financial year, no other transactions were made to related parties. 19. Parent entity details Summarised Statement of Financial Position: 31 December December 2015 Current assets 698, ,941 Non-current assets 1,011, ,208 Total assets 1,710,641 1,872,149 Current liabilities 70,275 66,607 Non-current liabilities 3,056 - Total liabilities 73,331 66,607 Net assets 1,637,310 1,805,542 18

21 Notes to the Financial Statements Notes to the Financial Statements for the year ended 31 December 2016 (continued) 19. Parent entity details (continued) 31 December December 2015 Equity Accumulated surplus 1,439,240 1,621,264 Reserves 198, ,278 Total equity 1,637,310 1,805,542 Summarised Statement of Comprehensive Income: Income 1,482,220 1,866,093 Expenditure (1,664,244) (2,198,401) Net Surplus/(Loss) (182,024) (322,308) Other comprehensive income/(loss) 13,792 (8,848) Total comprehensive Income/(loss) (168,232) (341,156) 20. Company details The registered office of the company is: The Oaktree Foundation Australia Level 3, 33 Lincoln Square South, Carlton VIC

22 Directors Declaration Directors Declaration The Directors declare that: (a) (b) in the Directors opinion, there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable; and in the Directors opinion, the attached financial statements and notes thereto are in accordance with the Australian Charities and Not-for-profits Commission Act 2012, including compliance with accounting standards and giving a true and fair view of the financial position and performance of the company and the consolidated entity. Signed in accordance with a resolution of the Directors made pursuant to s of the Australian Charities and Not-for-profits Commission Regulation On behalf of the Directors Directors Melbourne, 23 May

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26 92 ACCREDITATION The Oaktree Foundation Australia is signatory to the ACFID Code of Conduct and are committed to full adherence to its requirements. These good practices ensure transparency and accountability, improve international development effectiveness and increase stakeholder trust. COMPLAINTS Any enquiries or complaints about the information in this report can be directed to and respectively. Any enquiries or complaints about this report s compliance with the ACFID Code of Conduct can be directed to the ACFID Code of Conduct Committee by filling out a complaint or enquiry form found at and sending it to code@acfid.asn.au WITH SPECIAL THANKS Photography in Papua New Guinea by Woodrow Wilson Photography in Timor-Leste by Woodrow Wilson and Jackson Gallagher

27 GENERAL ENQUIRIES FINANCIAL ENQUIRIES COMPLAINTS Oaktree.org/complaints