the HBRI Annual Report 2015 here.

HAWKE’S BAY RACING
ANNUAL REPORT
2014 / 2015
2
NOTICE OF ANNUAL
GENERAL MEETING
Notice is hereby given that the Annual General Meeting of Hawke’s Bay Racing
Incorporated will be held in the Cheval Room, Hastings Racecourse on
Tuesday 24th November 2015 at 7pm.
BUSINESS
1. Apologies.
2. Condolences.
3. Presentation of the Annual Report and Accounts for
the year ended 31 July 2015.
AJ Castles
CHIEF EXECUTIVE OFFICER
HAWKE’S BAY RACING INCORPORATED
4. Appointment of Auditor.
HASTINGS RACECOURSE
5. Announcement of Board Appointments.
HASTINGS
6. General Business.
3
HAWKE‘S BAY RACING
INCORPORATED 2014-2015
DIRECTORS
STEWARDS
M R Ormond (Chairman)
P Schirnack
K J Browne
Mrs A Horrocks
A J Lockyer (Deputy Chairman resigned August 2015)
Ms R Waller
D J Holden
Mrs R Stace
K L Wood
H Chard
TGB Macphee
L F Drake
TGR Lowry
SCH Matthews
J Truman (Resigned August 2015)
A J Wall
Mrs M Gourlie (from May 2015)
AUDITORS
Mrs A Neilson (from May 2015)
Staples Rodway Hawke‘s Bay
M P White
CHIEF EXECUTIVE OFFICER
Jason P Fleming to August 6th 2015
SOLICITORS
Bate Hallett
BANKERS
Andrew Castles from August 19th 2015
ANZ
STAFF
Marketing & Events Manager
Racecourse Manager
Greg Howie
Richard Fenwick
Accounts Department
Track Assistants
Trish Wooten
Peter Dickie
Administration Manager
Craig Berge
Alana Waters
Caretaker
Chris King
RACING OFFICIALS
Handicapper
Judge
Starter
NZ Thoroughbred Racing
Dick Hunt
Gary Philips
Clerks of Course
Assistant Judge
Clerk of Sales
Murray Thompson
John Jenkins
Brett Withey
Philip Thompson
Course Commentator
Veterinary Surgeons
Tom Wood
Vet Associates Hastings
George Simon
4
TABLE
OF CONTENTS
06. Chairman’s Review
16. Hawke’s Bay Racing and Breeding Awards
09. Corporate Governance
19. 2014 / 2015 Season Group Racing Review
11. Chief Executive Officer‘s Report
30. Finance Review Statements
14. Sponsorship
42. Members of HBRI
5
6
CHAIRMAN’S REPORT
It is my pleasure to present to you
the Annual Report and Financial
Statements for the year ending 31
July 2015.
Although we were unable to
match the result of last year, again
we have managed a positive
number (before depreciation.)
Jason Fleming has led our team
with energy and enthusiasm
with a tight hand on expenditure
with help in that department
particularly from Tim Macphee as
Chairman of the Finance
Committee and Trish Wooten who
is instrumental in preparing
financial reports for the board.
Jason‘s small permanent team in
the office have worked effectively
and well. Greg Howie as our
marketing chief has done a terrific
job promoting the club particularly in relation to presales through
the Spring Carnival. After a falling
off of attendance for a few years,
the trend is now well and truly
reversed and numbers are
showing a significant upward
trend mainly in the area of
presales. Alana Waters has shown
her capability in administration
and led the way setting up our
Health and Safety protocols. Our
thanks to Greg and Alana for a
really positive year‘s work
The 2014 JB Organics Spring
Carnival was the first time we had
run Makfi Stakes Day in conjunction with the Cancer Society as
our Daffodil Day. That association proved a winning one for all
with the Cancer Society receiving
$20,000 from the day. It was very
fitting that I Do should win the
Makfi Stakes, part owned as she is
by Mark Chittick who had
tragically lost his wife Lisa earlier
in the year after a battle with
leukaemia. Their generosity to the
cause, along with Westbury Stud
and a lot of others, helped ensure
this association with the Cancer
Society will be an ongoing one.
Mark was unable to be on track,
but one of my enduring memories
of the day was seeing his mother
Mary representing him at the
presentation in her lovely bright
yellow dress, looking every inch
a daffodil.
Windsor Park Day 2014 was a
tough one for the club, competing
against a Ranfurly Shield game at
McLean Park and not helped by
an average day weather wise as
well as starting gate malfunctions
- so things to work on there. The
starting gate issue prompted us to
accelerate our plans to secure new
overhead gates to be permanently
based on course. With the help of
NZTR this eventuated just in time
for the 2015 Bostock New Zealand
Spring Carnival and the gates
worked brilliantly. Competition
with the Rugby Union is an ongoing issue – it seems ridiculous that
Hawke‘s Bay sports are unable to
work together. With the Shield
now departed for Mooloo country
this will probably be less of an
issue in future years but really we
should cooperate anyway.
Livamol Day was a successful
one in spite of a freezing southwesterly and some late rain.
Consequently our facilities were
jam packed as no-one was that
keen to be outside at the mercy of
the elements. Our efforts to look
after owners better was rewarded
with a lot of positive feedback and
turnovers were excellent.
Throughout the Spring of 2014 the
track performed extremely well
and we commend Richard Fen-
wick on his efforts. His permanent
team of Peter Dickie (26 years)
and Craig Berge helped ensure we
race on a first class track, the trials
of Spring 2015 not withstanding.
More on that later.
In last year‘s Annual Report
I discussed the possibility of
charging honorary members a
part subscription. We discussed
it further at the AGM where there
was overwhelming support for
the move. It was subsequently
introduced at renewal time and I
thank those of you who have
chosen to contribute. Of course
the move upset some, one
member irate enough to pen a
letter to the editor. It wasn‘t a
plan sprung on anyone and I
make no apology for it. If we all
contribute just a little bit, the
wheels will continue to turn.
The board has spent many hours
grappling with the requirements
of the proposed new Buildings
(Earthquake prone) Amendment
Bill currently before Parliament.
The Hastings District Council
encouraged the board to begin
the assessment of our buildings
and Guy Lethbridge and Duncan
Bruce of Strata Group, consulting engineers, very generously
donated their time and resources
to complete the first part of the
process known as an ISA or Initial
Seismic Assessment. We had
previously been advised that
because of the age of the
buildings and the fact no plans
could be found, the ISAs would
come back under the 34%
threshold. This is an assessment
basically done desktop with no
invasive testing. So there were
no surprises when the ISAs on
the grandstands came back well
under the threshold. The surprise
7
came when we informed NZTR of
the ISAs and the NZTR reaction
was to suggest immediate closure
of the grandstands and attempt
to run the Spring Carnival out of
tents with the possibility of using
the Cheval Room as a base for jockeys and the RIU team. We then
asked the engineers to urgently
assess the Cheval Room – which
came back also well under 34%.
That really strengthened our
resolve to fight as it defied logic
that our single storied wooden
building could be perceived as
dangerous. Unfortunately we
did have to battle a bit and it was
not without legal costs although
our team at Bate Hallet and also
Stephen Franks of Franks Ogilvie
in Wellington greatly assisted our
cause. In the end good sense prevailed and we attached explanatory notices on each of the
affected buildings.
The timeframe for the next step of
a Detailed Seismic Assessment or
DSA which is extremely expensive
is fluid. We are currently seeking
an estimate of costs. When that is
received our next step will be to
seek outside funding to complete
the work.
The bill has recently been before
the Select Committee. The science
on what is “earthquake prone”
and what is not is far from settled.
Most of the public debate has
taken place via the National Business Review led by Jenny Ruth.
I‘ve discussed this with members
previously in my last newsletter
but it‘s probably time to get the
debate going in the mainstream
press. Dr Ann Brower who was
the only survivor of a bus that
was crushed by a falling building
facade in Columbo St in the Christchurch Quake recently presented
to the select committee. Ann is a
senior lecturer in public policy at
Lincoln University and suggested
that the bill was missing the mark
with a proposed requirement
to strengthen all buildings to
above the 34% threshold which is
expected to save only a handful of
lives in the next 100 years and cost
several billion dollars to achieve.
She promoted the obvious and
much cheaper alternative of making the facades and parapets safe
by tying them to their buildings
– and doing that work asap. She
is supported in her views by a
number of prominent engineers
as well as leading economists like
Shamubeel Eaqub.
As an example of how ridiculous
the arbitrary 34% is (under this
and a building is said to be likely
to collapse in a moderate earthquake) – the Seddon earthquakes
last year registered at 100% in Wellington and not one building collapsed and damage was minimal.
There are hundreds of buildings in
Wellington with stickers on them
notifying the public their DSAs are
under 34% and these buildings are
used regularly and without fuss.
The real problem is that when
asked to take responsibility for the
performance of public buildings in
the event of a major earthquake,
a lot of our leaders run for cover
hence we have churches closed
around the country. We need to
take a stand or the same thing will
happen to sporting and racing
grandstands around the country
at a huge cost with very
little benefit.
We had two board resignations
during the year. Andrew Lockyer
resigned due to a looming conflict
of interest and we also lost James
Truman. On behalf of the board, I
thank them both for their service
to Hawke‘s Bay Racing. On the
plus side, the board co-opted
Maria Gourlie and Alisha Neilson.
We look forward to their contribution. They are the first female
board members in our history
which does suggest we are way
behind the times. I hope there will
more in the future. A long serving
director Kevin Wood stands down
this year. Kevin has been battling
ill health for some time. He has
been a thoughtful and valuable
board member and we thank him
for the time he has contributed
and he goes with our very
best wishes.
Jason Fleming resigned his
position as General Manager at
the end of the racing year. He has
helped restructure the club and
done a terrific job for us. It was
inevitable that someone of his
ability would seek fresh challenges
but great for Hawke‘s Bay that he
and Anna and their family are not
lost to the province. We welcome
Andrew Castles, wife Tess and
their two children to Hawke‘s
Bay. Andrew accepted the role
of GM after spending a decade as
Racing Manager at the ARC and
began shortly before the 2015
JM Bostock Spring Carnival. Talk
about throwing him in the deep
end! Makfi Stakes Daffodil Day
was a terrific start with over 4000
patrons on course. This was only
the second year of combining with
the Cancer Society and the day
looks certain to go from strength
to strength.
Windsor Park Stakes Day 2015 is
one we won’t forget in a hurry,
with the day being abandoned after only three races due to the RIU
officials declaring the track unsafe.
NZTR are conducting a thorough
review. So far the track has received a favourable report but that
doesn‘t really help us much. Clearly there was a problem; the key
will be working out how to
prevent it ever occurring again.
8
Early Spring was typical for a
strong El Nino year with very low
rainfall. The track consequently
became very dry and it was a difficult period to be a track manager.
We have full confidence in Richard
Fenwick and his men who work
tirelessly to ensure we are able to
present a first class racing surface.
I‘m sure we will all learn from the
experience and will be trying very
hard to ensure it doesn‘t happen
again. After 150mls of rain the
week following, the track was
presented beautifully for Livamol
Day only one week after the rain
stopped which demonstrates just
how dry it had been. That was an
excellent raceday for the club with
all hospitality areas sold out.
Our particular thanks to all our
sponsors during the year. John
and Vicki Bostock have supported
us for a number of years and it
was with great sadness that we
acknowledge her death after a
lengthy battle. John is one of
Hawke‘s Bay‘s major employers
and leaders and we are indebted
to him for his continuing support.
Chris Lawlor and his Livamol team
of Kerrin Beatson and Howard
Morrison typify the partnership
approach we aim to foster with
their involvement. Russell and
Lesley Warwick and their crew
from Westbury Stud also partner
with us in a very positive way and
have embraced the Daffodil Day
concept with enthusiasm. Windsor Park Stud have been with us as
a major sponsor for over 20 years.
We appreciate their continuing
outstanding goodwill demonstrated very recently after the abandoned Windsor Park raceday.
I would also like to acknowledge
the support of Mayor Lawrence
Yule and his team. We work
closely with the HDC and it‘s
important to foster those links
into the future. I also thank all our
sponsors who helped us during
the year and whose names you
will see listed later in the report.
We hope it is a two way street and
will always endeavour to ensure
you get some value out of your
sponsorship.
Lastly I wish to record my thanks
to all who work for Hawke‘s Bay
Racing both in a paid and in a
voluntary capacity. The racecourse is a large workplace on
major racedays and the attitude of
those who work on those days is
an important factor in our success
or otherwise. To the board and
stewards, I thank you for your
time and effort in what has been
a challenging and busy year. Everyone has contributed to the club
in different ways and should earn
the gratitude of members for their
service. We get constant excellent
feedback about our hosting of
the Winners Circle where Peter
Schirnack and his 2IC Tony Wall
lead the team. It was fitting that
at this year‘s Racing and Breeding
Awards Peter was presented with
the Horlicks Salver for his outstanding contribution to Hawke‘s Bay
Racing.
Finally, I‘d like to wish you all the
best for the season ahead.
Yours in racing
Mick Ormond – Chairman
9
CORPORATE
GOVERNANCE
BOARD
RESPONSIBILITY
Hawke’s Bay Racing is an incorporated society. The club
is governed by the Rules and Regulations adopted by
the members (last updated Special General Meeting
July 2012 – see www.hawkesbayracing.co.nz for the
electronic version).
The Board meets on a monthly basis and on separate
occasions if required to discuss issues and provide direction to management for the operations of HBRI. The
Board is responsible for;
The Board of the society is responsible for the governance of the Club. Governance is a matter of high
importance and is a fundamental foundation of the
culture and business practices of Hawke’s Bay Racing
Incorporated (“HBRI”).
A description of the main corporate governance practices are set out below, all practices described, unless
otherwise stated, were in place for the entire season.
BOARD
COMPOSITION &
TERM OF OFFICE
The Board consists of the Chairman and nine directors
(increased to twelve at the SGM dated July 19 2012).
Each Board Director (elected) must retire tri-annually
and may then seek re-election. The Chairman is elected
annually by the Board.
It is the Board’s and indeed rules intention that Directors reflect a broad range of skills to aid it in carrying out
its responsibilities and in meeting the Club’s strategic
objectives. Three positions are able to be co-opted with
emphasis on recruiting Directors with skills that compliment the structure of the group.
Ensuring management focus on and plan to meet
the goals and objectives of HBRI.
Contributing to the development and approving the
strategic direction of HBRI.
Setting budgets and reviewing financial results.
Approving strategic capital expenditure and
stake levels.
Monitoring and reviewing the risk management
process of HBRI.
Performance assessment of the Chief
Executive Officer.
SUBCOMMITTEES
The Board, where applicable, establish subcommittees to assist in carrying out its central functions. These
subcommittees will meet as required and will act in an
advisory capacity making recommendations to the full
Board. Subcommittees may by invite include Racing
Stewards as appropriate. The subcommittees for the
2014/15 season were as follows;
Audit and Finance – Tim Macphee (Chairman),
Andrew Lockyer, Kevin Wood and James Truman.
Racing and Track – Guy Lowry (Chairman), Ken
Browne, David Holden, Tom Lowry.
Marketing and Sponsorship – Andrew Lockyer
(Chairman), Mike White, Tom Lowry, Maria Gourlie
and Alisha Neilson.
Health and Safety – Mike White and Tim Macphee.
Chairman Ex-officio across all sub- committees.
10
CHAIRMAN AND
CHIEF EXECUTIVE OFFICER
The Chairman is responsible for leading the Board, ensuring at all times that the Board activities are recorded and
efficiently conducted.
The Chief Executive is responsible for identifying and implementing strategies for HBRI as well as
recommending policies for adoption by the Board to meet the goals and objectives of HBRI. The Chief Executive is
further responsible for the Club’s operations, to deliver an effective and efficiently maintained business at all times.
FINANCIAL REPORTING
The Chairman, Chief Executive and Finance Sub-committee Chairman have made the following representations to
the Board;
That the Club’s Financial Statements are complete and present fairly in all material respects of the financial position
and operational results; and
That the above statement is founded on a sound system of internal controls, risk management assessment and that
these are operating efficiently and effectively.
CONFLICTS OF INTEREST
Board Members are expected to avoid any action, position or interest that conflicts with any interest of HBRI or gives
any appearance of such a conflict. A Board Member that has a conflict or perceived conflict of interest with that of
the Club must bring it to the notice of other Board Members.
11
CHIEF EXECUTIVE’S REPORT
I am pleased to report the continuation of a recalibrated strategic financial model has delivered a satisfactory result
for the past 12 months.
A surplus of $65,219 before depreciation of $118,592 represents a solid year on year performance.
The business of racing continues to frustrate its necessary course of destiny. The virtues of the scale of racing’s present
form in New Zealand cannot be continued if we seek a definitive step-change to generate improvement across every
aspect of the supply chain that is thoroughbred racing in NZ.
On a micro level the evolution of our place in the industry must take a dynamic course in the near future – the
determination of which necessitates courage, strategic vision and capital. The challenges that the club faces will
necessitate continued change. There is no greater certainty in racing.
12
THE YEAR THAT WAS...
Even with one less raceday in 2014/15 the number of races run dropped by just 3 to 123. The average stake increased
to $23,633 from $21,169 the previous season.
Total betting revenue across the various forms(On course, Off course and Fixed odds) again increased to $22,390,008
which was 4.6% ahead of the 2013/14 year. The increasing popularity of Fixed Odds betting was evidenced by that
form of betting increasing by 25.3% year on year.
2006 / 2007
2007 / 2008
2008 / 2009
2009 / 2010
2010 / 2011
Number of racedays
16
18
15
13
12
Number of races
150
162
147
126
110
Number of horses started
1572
1697
1656
1355
1198
Average starters per race
10.48
10.48
11.27
10.75
10.90
Hawke‘s Bay total season stake
3,595,350
5,025,760
4,862,500
3,535,000
2,413,375
Average stakes per race
23,969
31,023
33,078
28,056
21,940
On course turnover
3,268,736
3,502,060
3,297,306
2,883,338
2,253,619
Off course turnover
22,082,560
23,747,172
22,052,395
18,839,536
15,670,770
3,019,206
2,770,280
Fixed odds turnover
Members
574
494
507
506
537
Total Turnover
25,351,296
27,249,232
25,350,701
24,742,130
20,694,669
2011 / 2012
2012 / 2013
2013 / 2014
2014 / 2015
2014 v 2015
% Change
Number of racedays
14
15
15
14
(6.7%)
Number of races
114
127
126
123
(2.4%)
Number of horses started
1219
1334
1334
1249
(6.4%)
Average starters per race
10.69
10.50
10.59
10.15
(4.1%)
Hawke‘s Bay total season stake
2,623,500
2,758,800
2,667,300
2,906,800
+9.0%
Average stakes per race
23,013
21,723
21,169
23,633
+11.6%
On course turnover
1,816,784
1,979,038
1,844,449
1,933,558
+4.8%
Off course turnover
13,659,626
15,089,608
14,448,910
14,058,026
(2.7%)
Fixed odds turnover
2,415,060
4,318,987
5,106,708
6,397,949
+25.3%
Members
505
528
536
475
(11.4%)
Total Turnover
17,891,470
21,387,633
21,400,067
22,390,008
+4.6%
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FINALLY THANK YOU...
I would like to thank and pay tribute to a vast number of individuals who make racing such a success here in Hastings.
There are countless staff and volunteers who all contribute to making a raceday a successful one. I would like to offer
thanks to you all to ensuring the core values of Hawke’s Bay racing are maintained. All of your efforts underwrite
significant achievements and outcomes.
To Chairman Mick Ormond and the board of Hawke’s Bay racing thank you for your continued commitment to defining the strategy and direction of our club. The hours spent on matters relating to the club are significant and your
efforts are greatly appreciated.
To our Raceday Stewards thanks also for your efforts across a variety of tasks. Unquestionably many of the tasks are
thankless, however necessary to ensure our racedays are a success.
To Rita Best, Jean Mulcaster, Sue Speedy, Shirley Wall and helpers our sincere thanks for the immaculate presentation
of floral arrangements for our larger racedays. Special thanks to Rita who is hanging her secateurs on the wall after
countless arrangements over many years – we will miss her sensational baking on raceday eve!
To our members, I thank you for your continued support. Also to all trainers and owners that use the Hastings base thank you for a sensational year. There has been a raft of great performances from horses trained, owned and or bred
in Hawke’s Bay. A summary of these are included later in this report within the victors of the Racing and Breeding
Awards.
To those great athletes, from the champion group performers to the humble backmarkers in the maiden races, thank
you. The legacy of over 150 years of racing in the Hawke’s Bay owes a great deal more than words to you.
Deserved thanks and recognition must go to full time staff - Greg Howie, Alana Waters, Chris King, Richard Fenwick,
Peter Dickie and Craig Berge for their commitment and hard work. The hours required to put on the show are significant and sometimes crazy. There is no way we could do it without the team work ethic that exists. The determined
planning to create a surplus position is attributable to your extended efforts.
Finally to my family Anna, Frederick and Georgina thank you for supporting my passion and dreams. Racing is a truly
great industry to be a part of and one which I have thoroughly enjoyed the privilege of working within for the past
six years. I will continue to support Hawke’s Bay Racing and look forward to visiting the course in the coming season.
With regards and best wishes to all for the 2015-2016 Racing Season
JP Fleming
Chief Executive Officer
Hawke’s Bay Racing Incorporated
To perpetuate the success of Hawke’s Bay Racing as a
valued and respected leader in thoroughbred racing,
entertainment and hospitality in Australasia.
14
REVIEW OF ACTIVITES
– SPONSORSHIP
Hawke’s Bay Racing is grateful for the continued support
of a vast set of sponsors. The success of these partnerships that exist are borne from the enthusiasm, initiative
and generosity exhibited by all our sponsors.
It is through these partnerships – financial and relationship based – that we will ensure the club’s survival. There
are numerous industry related partners, whilst the continued local support typifies the sense of community and
placement of racing within the social and economic fabric of the local economy.
I would like to thank the following key sponsors whose
support has been instrumental to the delivery of racing
in Hastings this past season.
To Westbury Stud and Sheikh Fahad Al Thani thank you
for your support of the Group I Makfi Challenge Stakes,
a race which opens the season in New Zealand and sets
the scene for further Spring riches.
We are also grateful for the support of Nelson, Sue, Rodney and Gina Schick, Steve Till and Mike Moran of Windsor Park Stud for their support of the Group I Windsor
Park Plate. Thanks also to local Breeders for their commitment to our fillies classic, the Group III Gold Trail Stakes.
Chris Lawlor of Livamol is undoubtedly a racing fanatic
and his support of The Livamol Classic proves his cross
Tasman loyalty. We look forward to continuing to develop the event alongside the Livamol brand for years
to come.
The Little Avondale Stud Lowland Stakes continues to be
the pre-eminent lead-up to the NZ Oaks and serves as a
valuable reminder of the strength of the CD racing ranks
year after year as the elite performers in our race dominate a fortnight later at Trentham. Thanks to Sam and Catriona Williams for their continued support and assistance
in maintaining the significance of this event, which excitingly moves to a twilight event within the March 2016
Horse of the Year extravaganza.
NZ Bloodstock Finance and Leasing provide an invaluable service to the industry and enable broad assistance for involvement in the industry. The 2nd running
of the listed spring in April has become an important
Autumn sprint feature and we thank them for their
continued support.
I would also like to acknowledge the support of the
sponsors of our winter features, the Hawke’s Bay Steeples and Hawke’s Bay Hurdles. To Richard Kettle of Animal
Health Direct I extend our most gracious thanks for your
involvement with the Hawke’s Bay Steeples. Further
thanks to Hamish and Wynne de Lautour for the commitment you made in sponsoring the Hawke’s Bay Hurdles
in 2015.
I would like to personally thank all our sponsors who
have backed Hawke’s Bay Racing and been on board for
the past season. We look forward to strengthening these relationships as we continue to build the brands and
events within in our business over the coming seasons.
JP Fleming
15
SPONSORS
Adama
Hastings RSA
Ormond Mick
Agroforum Comcat
Hawke‘s Bay Motors
Orora
AMP Solutions
HB Breeders Association
PGG Wrightson
Andersen Murray
HB Hunt Inc
Philips Doug
Animal Health Direct Ltd
HB Master Plumbers
Profruit
AON
HB Racehorse Owners Association
Rush Munro
Awesum Organics
Holt John & Barbara
Russell Roads
BASF
Hunt & Seek Limited
Scoular John & Lucy
Bate Hallet Lawyers
Hutchinson Brian
Sherratt Gary & Jan
Bay Ford Hastings
I See Red Syndicate
Staples Rodway HB
BBI
Infinity Foundation
Sygenta
Bedpost Hastings
International Health Products
TAB
Best Travel Hastings
Jenny Nilsson House of Travel
Taradale Club
Birchleigh Polo Club
John Bary Racing Stables
Te Whangai Romneys
Bostock NZ Ltd
LI Redshaw
Ted the Painter Ltd
Browne Ken
Lime Country Thoroughbreds
Total World Fresh
Bruce Perry Bloodstock
Lion Breweries
Trinity Hill Winery
Coates Fred
Liquor King Napier
TruTest
Croplands
Little Avondale Stud
Tumu ITM
D M Palmer Ltd
Livamol
Twist Wendy
de Gruchy, Graham
Lowry Pat & Jane
Veterinary Assoc Hastings
DHL Global Forwarding
Lowry Tom & Joannie
Waikato Stud
Dow Agro-Science
Lynn Electrical
Waimarama NZ Ltd
Duncan John
Majestic Horse Transport
Waimea Nurseries
Dunstan Feeds
Manawatu Sound Service
Wairoa Livestock Brokers
Elbow Room Sports Bar
McDonalds Hastings
Wairoa Wanderers
Endeavour Foundation
Mediaworks Radio HB
WASP NZ Ltd
Everfresh
Morison David & Jenny
Water Supply Products
Farmers Transport
Mossman David
Westbury
Farmlands
Nelson Paul & Carol
Westbury Redwood
Fruitfed Supplies
Nelson Sam
Westbury Swiss Ace
Game Lodge
New Zealand Racing Board
Windsor Park Stud
Gordon Don
New Zealand Thoroughbred Racing
Wood Kevin & Shirin
Grieve Ivan
Nufarm
Zelam
Gro-Chem
NZ Bloodstock Leasing and Finance
Hales Peter & Margaret
NZEEC - Bruce Mactaggart
Hastings District Council
Omnia
16
2014-2015 HAWKE’S BAY &
POVERTY BAY RACING AND
BREEDING AWARDS
Each year the leading performer in their particular field is recognised at the Hawke’s Bay /Poverty Bay racing and
breeding awards. Long term sponsors Bate Hallett and Vet Associates were once again the lead sponsors of the award
night. We also had awards sponsored and presented by Westbury Stud, Lime Country Thoroughbreds and Richard
and Elizabeth Wood.
This year’s awards evening were held in the Cheval Room. A full house was in attendance, demonstrating the popularity of the event. Steve Davis as MC provided humour and laughs, many at his own expense. Undoubtedly the year’s
calibre of achievements to acknowledge was yet another vintage.
CRITERIA & WINNERS WERE AS FOLLOWS Hawke’s Bay/Poverty Bay Trainer of the Year (Wins)
- Awarded to the trainer utilising the Gisborne, Hastings,
Waipukurau or Wairoa training facilities who attained
the most wins in the 2014/2015 Racing Season.
Winner – John Bary
Hawke’s Bay/Poverty Bay Trainer of the
Year (Strike Rate)
-Awarded to the trainer utilising the Gisborne, Hastings,
Wairoa or Waipukurau training facilities who attained
the best strike rate in the 2014/2015 Racing Season, with
twenty starters being the minimum qualifying amount.
Winner - John Bary
Hawke’s Bay/Poverty Bay Owned Horse of the Year
-Awarded to the owners of the horse owned in the
Hawke’s Bay or Poverty Bay districts based on their
performances in black type races. This award is judged
by representatives of Hawke’s Bay Racing, the Hawke’s
Bay Racehorse Owners
Winner – Saavoya
Hawke’s Bay/Poverty Bay Breeder of the Year Award
- Awarded to the Hawke’s Bay or Poverty Bay based breeder who recorded the most points based on the performances of horses they have bred in the 2014/2015
Racing Season.
Winner – Graham and Isabel Roddick
Hawke’s Bay/Poverty Bay Trained Horse of the Year
- Awarded to the owners of the horse trained at the
Gisborne, Hastings, Waipukurau or Wairoa training
facilities who has won the most stakemoney in the
2014/2015 Racing Season.
Winner – Designated Driver
Hawke’s Bay/Poverty Bay Owner of the Year
- Awarded to the leading owner or partnership
residing in the Hawke’s Bay or Poverty Bay districts based
on their horses trained at the Gisborne,Hastings, Waipukurau or Wairoa training facilities in the 2014/2015
Racing Season.
Winner – Paul and Carol Nelson
Hawke’s Bay/Poverty Bay Broodmare of the Year
- The mare owned in the Hawke’s Bay or Poverty Bay
districts whose progeny has recorded the most success at black type level. Judged by the Keeper of the
Stud Book.
Winner – Chasing the Habit (dam of Addictive Habit)
Horlicks Salver
- Awarded in recognition of an outstanding contribution to thoroughbred racing in Hawke’s Bay.
Winner – Peter Schirnack in recognition of his
contribution to Hawke’s Bay Racing.
17
Jimmy Choux 3YO of the Year
- Highest earning 3YO bred by a HB Breeder in the 20142015 Season. Brief description of record
Winner – Red Robyn – bred by Doug Phillips. This filly
earnt $11,050 in stakes. She won her maiden at Ellerslie in mid-December and completed her 3YO season
with an unplaced run in the Eight Carat Classic there on
Boxing Day.
Lime Country Thoroughbreds
– The Lime Country Vase is awarded to any person or
horse attached to the Hawke’s Bay region which has
achieved something of importance. This achievement
may not fit into the usual award categories but is a significant mile stone/achievement and deserves celebrating at our annual awards.
Winner – Kirsty Lawrence and Intransigent for making
history with a third consecutive Kiwifruit Cup victory at
Tauranga.
Group and listed awards
Awarded to the Hawke’s Bay and Poverty Bay based
breeders of horses that have won black type races in
the 2014/15 season;
Winners –
Sea King – bred by Sue Harty, winner of the Waikato
Steeplechase and the Australian Mosstrooper
Steeplechase.
Addictive Habit bred by Graham and Isobel Roddick,
winner of the Gold Coast Southbank Insurance Handicap and the Listed CJC Couplands Mile Group II.
Fascination Street – bred by Lime Country Thoroughbreds, winner of the Windsor Park Rotorua Stakes
Listed and the CJC Couplands Mile Group II.
Mr Mor – bred by B T and Mrs D T Denton, winner of
the Hawkes Bay Steeplechase and the Wellington
Steeplechase.
Tremec – bred by Graeme de Gruchy, winner of the
ATC Chairmans Handicap Group II.
18
19
2014-2015 SEASON
RACING REVIEW
Group 1 Makfi Challenge Stakes WFA 1400m
1st: I Do
2nd: Pussy O’Reilly
3rd: Pure Champion
Owner:
Trainer:
Jockey:
Breeding:
Breeder :
Time:
SA Sharrock and Waikato Stud Ltd
SA Sharrock
Opie Bosson
2007 (M) No Excuse Needed x Freequence (by O’Reilly)
SA Sharrock and Waikato Stud (2001) Ltd
1.24.08 (Dead 6)
There was no shortage of omens surrounding I Do into the first Group One of the season. I Do came to Hastings
following an emotional victory in the Lisa Chittick Memorial Foxbridge Plate, to the raceday which supported the
cancer society via a range of fundraising initiatives.
Expertly ridden by Opie Bosson, he angled the dashing grey mare off the rail at the 500m mark and crept up to the
heels of the leaders, then pounced for a withering burst to repel the fast finishing Pussy O’Reilly by a long neck,
though the margin felt more convincing than that.
I Do joined Snap, Sunline, Miss Potential, Seachange and Keep the Peace as the sixth mare to win the Makfi Challenge
Stakes since 1986.
20
Group III Hawke’s Bay Breeders Gold Trail Stakes 3YOF
SW 1200m
1st: O’Marilyn
2nd: Flaming
3rd: Shees Flawless
Owners:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
TJ McKee ONZM & B E Rissetto
Stephen McKee
Sam Spratt
2011 (F) O’Reilly x Monroe Magic (by Zabeel)
Whakanui Stud
1.10.38 (Dead 6)
The O’Reilly half-sister to Australian classic winners Headturner and Anacheeva was last season’s champion two-yearold filly as the winner of the Gr. 1 Manawatu Sires’ Produce Stakes, runner-up in the Gr. 1 Diamond Stakes and third
placegetter in the Karaka Million.
She opened her three-year-old season with wins in the Gr. 3 Gold Trail Stakes and James & Annie Sarten Memorial
Stakes, but was unplaced in her two remaining starts, the Gr. 1 New Zealand 1000 Guineas and Railway Stakes.
As a half-sister to Australian Derby winner Headturner and Caulfield Guineas winner Anacheeva, O’Marilyn was an
inspired purchase for $130,000 by Trevor McKee at the 2013 National Yearling Sale. She was trained by McKee’s son
Stephen and raced in partnership by McKee senior and long-time stable client Barry Rissetto.
O’Marilyn raced 10 times for four wins and stakes of just under $350,000.
21
Group I Windsor Park Plate WFA 1600m
1st: Pure Champion
2nd: I Do
3rd: Soriano
Owners:
Trainer:
Jockey:
Breeding:
Breeders:
Time:
LA O’Sullivan ONZM, Mrs BR O’Sullivan, DJ O’Sullivan OBE and Mrs LMA O’Sullivan
LA O’Sullivan ONZM and A Scott
Craig Grylls
2007 (H) Footstepsinthesand x Castara Beach (by Danehill)
Dr D Harron
1.35.60 (Dead 6)
What a difference a change of scenery can make. The globe-trotting son of Footstepsinthesand competed at the highest level across three continents and his victory in one of NZ’s highest rated races was his finest victory yet.
Already a Group III winner in Ireland and Hong Kong, the turnaround orchestrated by trainers Lance O’Sullivan and
Andrew Scott emphasises the attraction of conditions in NZ to developing horses to their optimum.
The victory completed a quaddie of sorts for part owner, former champion trainer Dave O’Sullivan who added a group
one victory as owner to his achievement of breeding, riding and training of such.
A future at stud was accentuated for the first southern hemisphere group one winner of Footstepsinthesand who had
sired 38 stakes winners of which four were achieved at the highest level.
22
Group II DHL Hawke’s Bay Guineas 3YO SW 1400m
1st: Turn Me Loose
2nd: Prince Mambo
3rd: Longchamp
Owner:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
S Brown, L de Souza, T Hartley, J Lark, D Painter, J Robertson & P Vawdrey
Murray Baker and Andrew Forsman
Opie Bosson
2011(g) Ifraaj x Indomitable (by Danehill)
GW & Mrs MW Simon
1.21.31 (Good 3)
By Iffraaj out of the Danehill mare Indomitable, Turn Me Loose was bred by commentator George Simon and his wife
Maryanne at Mana Park. The colt was sent through the 2013 Ready to Run Sale, where he was purchased by Melbournians Lindsay de Souza and Todd Hartley.
Turn Me Loose looked vulnerable at the top of the straight as the challengers loomed on either side, but he refused
to surrender and held on for a narrow half-head win over Prince Mambo. Longchamp was a neck away in third. Stratocaster, on the back foot after missing the start, found the line well down the outside to finish fourth.
The win marked the first triumph in the race for hoop Opie Bosson, who had pretty much tasted victory in every other
group race at Hawke’s Bay! Yet again this race winner was later the winner of the 2000 Guineas at Riccarton and that
man Opie Bosson tasted his sixth victory in the three year old classic.
23
Group I Livamol Classic WFA 2040m
1st: Costume
2nd: Shuka
3rd: Soriano
Owners:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
GJ Chittick
G & D Rogerson
Michael Coleman
2009 (M) Savabeel x Disguised (O’Reilly)
GJ Chittick
2.02.66 (Good 3)
Costume had punters reeling after winning the Group I Livamol Classic paying a whopping $52 for the win. With two
duck eggs next to her name, punters had largely ignored her leading into the $250,000 feature and had installed
Puccini as the raging hot favourite.
While Costume settled back on the fence, with just three rivals behind her, Weissmuller carted the field along at a
strong gallop, leaving Puccini with the task of dragging the field up. Around the home turn Puccini was looming as the
most obvious threat, but no sooner had he taken a narrow lead than several others lodged their bids.
Costume and Coleman had the final say and the Savabeel mare, owned by Waikato Stud‘s Gary Chittick, put her nose
in front and claimed her second Group I victory and Coleman his 33rd.
Costume prevailed by a half-head over Shuka, with the same margin to Soriano and a long head to fourth placegetter
Zonza. Abidewithme, who was still well back with 300 metres to run, headed the remainder.
24
Group III Linwood Park Stud Spring Sprint OPN HCP 1400m
1st: Antonio Lombardo
2nd: Shandream
3rd: Fix
Owners:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
TE Luke, Mrs K & PN McKay
Peter and Jacob McKay
Samantha Collett
2008 Pins x Petit Verdot (by Carnegie)
RM Anderson, Mrs CN Taylor & Trelawney Thoroughbred Ltd
1.21.62 (Good 3)
Following the disappointment of Puccini in the Livamol Classic the smile was back on Peter McKay’s face after a sterling effort from the Antonio Lombardo of old.
Even with the top weight of 59kg on his back, the six-year-old sat on the leader Shandream’s quarters to the turn and
they traded blows down the straight before Antonio Lombardo, who gave the runner-up three and a-half kilos, got
the upper hand for rider Sam Collett.
Collett has partnered the 10-race winner Antonio Lombardo four times for three victories. Fix finished two lengths
adrift in third and looked to have every chance while Atozed was fourth in front of Kelly O’Reilly. Kisses did particularly
well to run sixth after losing five lengths at the start.
Antonio Lombardo proved his penchant for Hastings, having previously won the G2 Hawke’s Bay Guineas in 2011 and
recording placings in other group races thereafter.
25
Group III Little Avondale Lowland Stakes 3YOF 2100m
1st equal: Platinum Witness
1st equal: Savaria
3rd:
Pipi Beel
Owner:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
Platinum Witness – Lincoln Farms & NJ McAlister / Savaria – DP&KC Fleming
Lisa Latta/ Roydon Bergeson
Darryl Bradley/ Hayden Tinsley
2011 (F) California Dane x Chartreus (by St Petersburg)/ Savabeel x Amathea (by O’Reilly)
Monvale Holdings Ltd/ Mrs JM & TM Henderson
2.07.67 (Good 3)
The judge couldn’t split the pair in the Little Avondale-sponsored event.
Platinum Witness was the first to make a move with rider Darryl Bradley getting busy before the home turn and it
looked the winning move when they were clear 200 metres from home. However, the Roydon Bergerson-prepared
Savaria and Hayden Tinsley powered home late to get their slice of the Lowland pie.
Platinum Witness’ performance capped off a stellar day for trainer Lisa Latta, who had earlier won races with Platinum
Express, Stunning Princess and Mighty Solomon.
A maiden winner on the Hastings track on New Year’s Day, Savaria continued onwards and upwards toward her victory
over Platinum Witness in the NZ Oaks a fortnight later.
Platinum Witness on the back of her Group I 1000 Guineas and Group III Desert Gold victories, dead heat in the Group
III Lowland and placing in the NZ Oaks was a deserved winner of the NZ Bloodstock Filly of the Year series.
26
Listed Napier Park Sprint OPN HCP 1200M
1st: Whosyourmaster
2nd: She’s Slinky
3rd: Adventador
Owner:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
DW & JA Moss
LA O’Sullivan & A Scott
Hayden Tinsley
2008 (g) Captain Rio x Peace of Mind (by Wild Rampage)
DW & JA Moss
1.09.67 (Dead 6)
History repeated itself when Whosyourmaster for the second successive year won the listed event and in doing so was
registering his eight career win and fifth of the season.
Unlucky not to have won the Group I Railway, the signature trademark of his races are the devastating finish and senior CD rider Hayden Tinsley timed his run to absolute perfection.
Whosyourmaster is raced by Danny Moss, who served as the president of Matamata Racing Club and Chairman of
TRAC, and his wife Judy. The couple have enjoyed considerable success with horses over the years. Whosyourmatser
is a half brother to three time Group I winning mare Keep the Peace who won the Makfi Challenge Stakes during
her career.
Topping off the day was Rosie Myers “five-timer” with wins on Guarantor, Mae West, The Knight’s Queen, Lady Zafira
and Joanne.
27
Group III Winning Edge Presentations Hawke’s Bay Gold Cup
OPN HCP 2200M
1st: Classcoroc
2nd: Rose of Virginia
3rd: Mako
Owner:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
GL&Mrs R Hughes & CR Baker
Graeme Hughes
Alysha Collett (a)
2008 (M) Sirocco c Class Torque (by Masterclass)
Mrs B E Brough
2.16.02 (Dead 6)
Though she went into the cup as a four time winner, Classcoroc was hardly jumping off the page in punters minds and
her dividend of $37 demonstrated such.
Cambridge trainer and part-owner Graeme Hughes is a Hawke’s Bay old boy, having been brought up in Waipukurau,
so there was a sentimental attraction about the race. He had purchased Classcoroc for $5,000 out of the Festival Session of the 2010 National Sales at Karaka and from 41 starts she registered 5 wins and 16 placings for $122,250.
Through 150 years the Hawke’s Bay Gold Cup has been won by a subsequent Melbourne Cup winner in Hi-Jinx, Cox
Plate winners Fury’s Order and Surfers Paradise and classy types such as Key and Cronus. Having added her name to
the list is clearly the standout performance of Classcoroc’s career but the trophy will sit beside two cherished earlier
cup triumphs – the Woodville-Pahiatua Cup and the Northland Cup
28
Te Whangai Romney’s Hawkes Bay Hurdles OPN 3100m
1st: Gagarin
2nd: Lucky Tonight
3rd: Venerate
Owner:
Trainer:
Jockey:
Breeding:
Breeder:
Timer:
CJB Norwood & A S Trotter
Kevin Myers
Matthew Gillies
2008 (g) Pentire x Flying Chance (by Centaine)
CJB Norwood & AS Trotter
3.41.43 (Slow 8)
Gagarin provided a timely boost to his connections with a dominat win in Hawke’s Bay racing’s feature hurdle event.
The six-year-old son of Pentire streaked away down the straight to win by four and a quarter lengths, leaving a strong
field in his wake and completing a rapid rise to the top of the country’s hurdling ranks.
With his trainer and owners still struggling after the recent Wanganui floods, today’s $50,000 feature was the perfect
moment for Gagarin to make the step up to the big time.
The fourth favourite in the field of nine, Gagarin was taken back early by rider Mathew Gillies and sat in last place for
most of the 3100-metre contest. As the field turned out of the back straight Gillies asked his mount to begin to pick up,
and he received an instant and powerful response. Gagarin accelerated sharply and quickly reeled in his opposition,
swooping to the lead around the home turn before drawing clear down the straight to win with consummate ease.
Lucky Tonight took second ahead of Venerate and Thenamesbond.
29
Animal Health Direct Hawke’s Bay Steeplechase OPN 4800m
1st: Mr Mor
1st: Wotabuzz
3rd: No Quota
Owner:
Trainer:
Jockey:
Breeding:
Breeder:
Time:
Bogga Syndicate
Evan & JJ Rayner
Charlie Studd
2004 (g) Corrupt x Redmor (by Red Tempo)
BT & Mrs DT Denton & Mrs S Stevens
6.33.40 (Slow 8)
Wanganui gelding Mr Mor shook off the disappointment of a narrow defeat in the Manawatu Steeplechase at his last
start to go one better on Saturday when he captured the $50,000 Hawke‘s Bay Steeplechase at Hastings.
Originally missing from the nominations for the Animal Health Direct sponsored event, Mr Mor was added to the field
by co-trainers Evan and JJ Rayner in a last minute decision that provided the ultimate reward.
Handled patiently by rider Charlie Studd the rising eleven-year-old kept in touch with a solid pace set by local hope
No Quota as the field negotiated the 4800 metre journey. With the entire field basically in touch with a little over 1200
metres to run it was Hawkes Bay Hurdle winning rider from earlier in the day, Matthew Gillies, who seized the initiative
as he went for the doctor on Rosetown Joe.
Rosetown Joe quickly broke the field up with race favourite Upper Cut the major casualty as he drifted out of contention. Studd and Mr Mor didn‘t panic and set off after the tearaway while No Quota, Wotabuzz and Snowdroptwinkletoes also chimed in as they headed to the final fence in the home straight.
Mr Mor cleared the last with a comprehensive leap and forged to a lead that he held to the winning post to head a
brave Wotabuzz and No Quota who both battled nicely to fill the minor placings.
30
INDEPENDENT AUDITOR’S
REPORT
To the Members of Hawke’s Bay Racing (Incorporated)
We have audited the accompanying financial statements of Hawke’s Bay Racing (Incorporated) which comprise the
statement of financial position as at 31 July 2015, and the statement of financial performance, statement of movement in equity and statement of cash flows for the year then ended, and a summary of significant accounting policies
and other explanatory information.
Board Responsibilities for the Financial Statements
The board is responsible on behalf of the entity for the preparation and fair presentation of these financial statements
in accordance with generally accepted accounting practice in New Zealand and for such internal control as the board
determine is necessary to enable the preparation of financial statements that are free from material misstatement,
whether due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit
in accordance with International Standards on Auditing (New Zealand). Those standards require that we comply with
ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial
statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial
statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the
auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing
an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinion.
Other than in our capacity as auditor we have no relationship with, or interests in, Hawke’s Bay Racing (Incorporated).
Opinion
In our opinion, the financial statements present fairly, in all material respects, the financial position of Hawke’s Bay
Racing (Incorporated) as at 31 July 2015, and its financial performance and its cash flows for the year then ended in
accordance with generally accepted accounting practice in New Zealand.
Matters Relating to the Electronic Presentation of the Audited Financial Statements
This auditor‘s report relates to the financial statements of Hawke’s Bay Racing (Incorporated) for the year ended 31
July 2015 included on Hawke’s Bay Racing (Incorporated)‘s website. Hawke’s Bay Racing (Incorporated)’s directors
are responsible for the maintenance and integrity of Hawke’s Bay Racing (Incorporated)‘s website. We have not been
engaged to report on the integrity of Hawke’s Bay Racing (Incorporated)‘s website. We accept no responsibility for any
changes that may have occurred to the financial statements since they were initially presented on the website.
31
The auditor‘s report refers only to the financial statements named above. It does not provide an opinion on any other
information which may have been hyper linked to / from these financial statements. If readers of this report are concerned with the inherent risks arising from electronic data communication they should refer to the published hard
copy of the audited financial statements and related auditor‘s report dated 28 October 2015 to confirm the information included in the audited financial statements presented on this website.
Legislation in New Zealand governing the preparation and dissemination of financial statements may differ from
legislation in other jurisdictions.
Staples Rodway Hawkes Bay Partnership
28 October 2015
Hastings, New Zealand
32
HAWKE‘S BAY RACING (INCORPORATED)
CONSOLIDATED STATEMENT OF
RACING PERFORMANCE
FOR THE YEAR ENDED 31 JULY 2015
$
2015
$
2014
58,993
52,803
Commission
337,516
341,666
Nomination & Acceptance Fees
231,913
205,275
Race Subsidy
444,400
477,500
Bulk funding
2,903,753
2,715,300
100,000
100,000
7,551
6,871
-
41,000
Racing Revenue
Notes
Admission
NZTR Spring Carnival Support
Race Book Sales
Gaming Funds
Net Sponsorship & Promotion Income
(14)
233,882
245,069
Net Bar & Private Function Contribution
(2)
50,402
31,072
396
811
4,368,806
4,217,367
$
2015
$
2014
Advertising
74,224
73,914
Promotion
40,356
48,553
Punter of the Year Expenses
13,712
20,928
Raceday Charges
178,000
202,800
Race Book Costs
34,530
35,723
Raceday Services
250,148
234,597
38,506
40,025
2,915,924
2,726,240
Tote Costs
89,293
83,798
Cleaning
18,312
19,755
Sundry Raceday Expenses
23,011
17,352
3,676,016
3,503,685
692,790
713,682
Sundry Raceday Income
TOTAL RACING REVENUE
Racing Expenditure
Raceday Wages
Stakes & Trophies
TOTAL RACING EXPENDITURE
NET RACING SURPLUS
Notes
The attached accounting policies and notes form part of and are to be read in conjunction with these financial statements.
33
HAWKE‘S BAY RACING (INCORPORATED)
CONSOLIDATED STATEMENT OF
FINANCIAL PERFORMANCE
FOR THE YEAR ENDED 31 JULY 2015
Revenue
Notes
Net racing surplus from Race Meetings
$
2015
$
2014
692,790
713,682
1,235
113
Membership
32,968
37,367
Rental
78,622
77,670
Secretarial Fees
38,174
60,318
111,185
122,342
5,049
5,897
Grants and Donations
95,478
29,920
Sundry Income
20,615
37,806
1,076,116
1,085,115
$
2015
$
2014
Interest
Track & Training Income
Net Farm Revenue
TOTAL REVENUE
Expenditure
Notes
Administration Costs
57,876
52,284
18,233
17,634
3,798
11,107
(13)
-
14,289
(5)
118,592
123,887
Insurance
59,772
60,788
Legal Fees
2,449
3,915
80,728
72,420
77,124
61,897
5,307
5,325
85,380
73,619
6,788
4,977
Subscriptions & Donations
10,769
7,702
Light and Power
34,196
32,460
7,423
7,243
Promotion and non racing hospitality
10,919
4,215
Track related expenses
15,949
22,654
Salaries & Wages
498,953
494,486
Other Staff costs
26,317
29,613
Sundry Expenses
8,916
4,570
1,129,489
1,105,085
(53,373)
(19,970)
Audit Fees ‑ Audit
Accounting Services
Bad Debts
Depreciation
Interest & Bank Charges
Rates
Equipment Rental
Repairs & Maintenance
Travel
Motor Vehicles
TOTAL EXPENDITURE
NET SURPLUS (DEFICIT)
(3)
The attached accounting policies and notes form part of and are to be read in conjunction with these financial statements.
34
HAWKE‘S BAY RACING (INCORPORATED)
CONSOLIDATED STATEMENT OF
FINANCIAL POSITION AS AT 31 JULY 2015
Current Assets
Notes
$
2015
Cash on hand
300
Bank current account
$
2014
300
25,335
142,582
1,013
942
101,626
88,798
21,220
17,947
9,164
36,117
158,658
286,686
$
2015
$
2014
8,590
8,590
3,862,327
3,854,253
3,870,917
3,862,843
4,029,575
4,149,529
$
2015
$
2014
167,678
149,004
Employee entitlements
68,087
58,929
Income in advance
70,080
73,469
86,004
96,705
391,849
378,107
$
2015
$
2014
Bank deposits
Accounts receivable & prepayments
(4)
Stock on hand
GST receivable
TOTAL
Non Current Assets
Notes
Shares in companies
Property, Plant and Equipment
(5)
TOTAL ASSETS
Current Liabilities
Notes
Trade creditors & accruals
Current portion of borrowings
(6)
TOTAL
Non Current Liabilities
Notes
Trophy funds ‑ Walker/Stead
(7)
11,200
11,200
Non current portion of borrowings
(6)
946,544
1,026,867
TOTAL LIABILITIES
1,349,593
1,416,174
NET ASSETS
2,679,982
2,733,355
Represented By: EQUITY
2,679,982
2,733,355
These financial statements were authorised for issue by the Board on 28th October 2015
Finance Committee Chairman
Chairman
The attached accounting policies and notes form part of and are to be read in conjunction with these financial statements.
35
HAWKE‘S BAY RACING (INCORPORATED)
CONSOLIDATED STATEMENT OF
MOVEMENTS IN EQUITY
FOR THE YEAR ENDED 31 JULY 2015
$
2015
$
2014
2,733,355
2,753,325
Net Surplus/(Deficit)
(53,373)
(19,970)
Total Recognised Revenue & Expenditure
(53,373)
(19,970)
2,679,982
2,733,355
Retained Earnings
1,431,126
1,484,501
Revaluation Reserve
1,248,856
1,248,856
2,679,982
2,733,355
Notes
OPENING EQUITY
CLOSING EQUITY
The attached accounting policies and notes form part of and are to be read in conjunction with these financial statements.
36
HAWKE‘S BAY RACING (INCORPORATED)
CONSOLIDATED STATEMENT OF
CASHFLOWS
FOR THE YEAR ENDED 31 JULY 2015
Cashflows From Operating Activities
Notes
$
2015
$
2014
4,793,426
4,923,633
1,235
113
26,953
195,414
4,821,614
5,119,160
(4,649,780)
(4,804,668)
(71,320)
(67,609)
(4,721,100)
(4,872,277)
100,514
246,883
Cash was provided from:
Receipts from customers & racing industry
Interest received
GST (net)
Cash was applied to:
Payments to suppliers & employees
Interest paid
Net operating cashflows
(8)
$
2015
$
2014
0
20,000
Cash was applied to:
(126,664)
(12,866)
Fixed asset purchases
(126,664)
(12,866)
(126,664)
7,134
$
2015
$
2014
(91,024)
(86,530)
Net financing cashflows
(91,024)
(86,530)
Net increase (decrease) in cash
(117,174)
167,487
Add cash at beginning of year
143 824
(23,663)
Ending cash carried forward
26,648
143,824
300
300
Bank accounts
25,335
142,582
Bank deposits
1,013
942
26,648
143,824
Cashflows From Investing Activities
Notes
Cash was provided from:
Loan recovery
Net investing cashflows
Cashflows From Financing Activities
Notes
Cash was applied from:
Loan repayments
Represented by:
Cash on hand
The attached accounting policies and notes form part of and are to be read in conjunction with these financial statements.
37
HAWKE‘S BAY RACING (INCORPORATED)
NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JULY 2015
1. STATEMENT OF ACCOUNTING POLICIES
REPORTING ENTITY
Hawke‘s Bay Racing Incorporated (HBRI) is an Incorporated Society established under the Incorporated Societies Act
1908. The consolidated financial statements comprise HBRI and its non trading subsidiary, Hawke‘s Bay Racing Centre
Limited. The financial statements have been prepared in accordance with generally accepted accounting practices in
New Zealand.
MEASUREMENT BASE
Unless otherwise stated the measurement base adopted is that of historical cost.
PARTICULAR ACCOUNTING POLICIES
The following are the particular accounting policies which have a material effect on the measurement of results and
financial position.
DIFFERENTIAL REPORTING
HBRI is a qualifying entity under the Framework for Differential Reporting as it is not publicly accountable and is not
large. HBRI has taken advantage of all available exemptions except for FRS 10 Statement of Cashflows and FRS 19
Accounting for GST.
INCOME RECOGNITION
Sponsorship income includes donated products and services at fair value.
DEPRECIATION
Depreciation is charged to write off the cost of depreciable fixed assets over their expected economic lives. The
principal rates of depreciation used are as follows:
Buildings2%SL
Plant and Equipment
7 - 40%
SL
Vehicles20%SL
Furniture and Fittings
10 - 35%
SL
Office Equipment
17.5 - 50% SL
TAXATION
Taxation is not payable as Racing Clubs are exempt from Income Tax in terms of Section CW 40 (2) of the Income Tax
Act 2007.
DEBTORS
Debtors are valued at expected realisable value.
38
STOCK
Trading stocks are valued at the lower of cost or net realisable value.
INVESTMENTS
Investments are valued at cost.
FIXED ASSETS
Land, Course Developments and Buildings are recorded at 1978 Government Valuation plus subsequent additions at
cost, less building accumulated depreciation. All other assets are at cost less accumulated depreciation. Land and
course developments are not depreciated.
GST
All amounts are shown exclusive of Goods and Services Tax (GST), except for receivables and payables that are stated
inclusive of GST.
CASH FLOWS
The following definitions are used in the statement of cash flows:
Operating activities include all transactions and other events that are not investing or financing activities.
Investing activities are those activities relating to the acquisition, holding and disposal of property, plant and
equipment and of investments.
Financing activities are those activities that result in changes in the borrowings not falling within the definition of cash.
Cash comprises cash on hand, bank in funds and short term deposits offset by bank overdrafts.
CHANGES IN ACCOUNTING POLICIES
There have been no changes in accounting policies. All policies have been consistently applied.
39
$
2015
$
2014
Revenue
428,559
391,323
Cost of Sales and Catering Expenses
240,966
209,303
Gross Profit
187,593
182,020
Wages
78,595
86,288
Other Expenditure
58,596
64,661
Net Bar Contribution
50,402
31,072
2. NET BAR & PRIVATE FUNCTION CONTRIBUTION
3. INTEREST AND BANK CHARGES
$
2015
$
2014
71,320
62,929
2,721
3,119
74,042
66,048
6,686
6,372
80,728
72,420
$
2015
$
2014
21,220
17,650
-
297
21,220
17,947
Interest
‑ Bank Loans and Overdraft
‑ Other
Bank Fees
4. STOCK ON HAND
Bar stock
Other
40
$
2015
$
2014
Freehold land at valuation
739,058
739,058
Freehold land at cost
474,420
474,420
1,213,478
1,213,478
Course developments at valuation
352,558
362,754
Course developments at cost
561,032
561,032
Total course developments
913,590
923,786
Buildings at cost
3,010,933
3,010,933
Less accumulated depreciation
1,461,367
(1,402,708)
Total buildings
1,549,566
1,608,225
Plant & equipment at cost
930,283
825,760
Less accumulated depreciation
781,069
(755,760)
Total plant & equipment
149,214
70,000
Motor vehicles at cost
162,072
162,072
Less accumulated depreciation
155,297
(150,688)
6,775
11,384
Furniture & fittings at cost
341,863
336,361
Less accumulated depreciation
314,795
(310,313)
Total furniture & fittings
27,068
26,048
Office equipment at cost
196,004
192,188
Less accumulated depreciation
193,368
(190,856)
2,636
1,332
3,862,327
3,854,253
5. PROPERTY, PLANT AND EQUIPMENT
Total freehold land
Total motor vehicles
Total office equipment
TOTAL FIXED ASSETS
Pre 1979 Land, Course Developments and Buildings are revalued to 1978 government valuation, with subsequent
additions recorded at cost. This is allowed under the transitional provisions of Financial Reporting Standard No 3
Property, Plant and Equipment.
The latest Rating Valuation (01/08/2013) of land and buildings is $11,721,000.
This is made up of:
Racecourse Land and Buildings $10,201,000
Float Park Southland Rd
$640,000
Wall Rd$880,000
Depreciation
Buildings
58,659
68,855
Plant, Equipment & Vehicles
52,939
49,383
Furniture & Fittings
4,482
2,809
Office Equipment
2,512
2,840
118,592
$123,887
41
6. BORROWINGS
HBRI has an overdraft facility of $120,000 (2014: $120,000) and loans totalling $553,733 (2014: $633,792) at 31 July
2015 with ANZ bank. The bank facility is secured by way of a first charge registered mortgage over HBRI‘s property
and guarantee from Hawke‘s Bay Racing Centre Limited. The interest rate on the bank facilities ranges from 6.41% to
6.87% (2014: 6.27% to 7.25%)
HBRI also has other borrowings totalling $478,815 (2014: $490,217). The NZTR loan is interest only and is secured by
way of first charge registered mortgage over one of HBRI‘s properties. Interest charged on other borrowings is 4.25%
to 13.25% (2014: 3.5% to 13.25%).
$
2015
$
2014
Due within one year
86,004
96,705
Due beyond one year
946,544
1,026,867
1,032,548
1,123,572
TOTAL BORROWINGS
7. TROPHY FUNDS
The interest on these funds is put towards a sash for the Gold Trail Stakes (Stead) and trophies for the Hawke‘s Bay
Hurdles & Steeples (Walker) each year.
$
2015
$
2014
(53,373)
(19,970)
118,592
123,887
-
14,289
65,219
118,206
(Increase) / Decrease in Accounts Receivable, Prepayments & GST
14,125
156,168
(Increase) in Stock on Hand
(3,273)
(478)
Increase / (Decrease) in Accounts Payable
18,674
(25,239)
9,158
5,250
(3,389)
(7,024)
35,295
128,677
100,514
246,883
8. RECONCILIATION OF OPERATING CASHFLOWS
Net Surplus/(Deficit) for year
Add non‑cash items
Depreciation
Bad and Doubtful Debts
Movement in Working Capital Items
Increase / (Decrease) in Employee Entitlements
Increase / (Decrease) in Income in Advance
Net Operating Cash Flows
42
9. COMMITMENTS
Lease Commitments
HBRI has an ongoing commitment in the form of an operating lease for a photocopier for the following amounts.
$
2015
$
2014
Within 1 year
4,712
4,712
Within 1 ‑ 2 years
3,926
4,712
-
3,926
8,638
13,350
Lease Commitments
2 to 5 years
Total lease expenses for the period was $5,307.
Capital Commitments
There are no capital commitments at year end (2014: Nil)
10. RELATED PARTY TRANSACTIONS
Directors M Ormond, M White and T Macphee have provided sponsorship during the year. This is at normal
commercial rates and terms.
11. CONTINGENT LIABILITIES
There are no contingent liabilities at balance date (2014: Nil).
12. SUBSEQUENT EVENTS
The Board of HBRI have begun the process of a formal engineering assessment of the earthquake strength of HBRI’s
buildings. As the outcome and timing of this process is not yet known, the directors have not yet reassessed the useful
lives of the property, plant and equipment. When there is more clarity regarding the useful lives the depreciation rates
for the assets will be updated.
13. BAD DEBTS
No allowance has been made for non-recovery debt in 2015. (2014 :$14,289 relating to Why Hospitality Ltd).
14. NET SPONSORSHIP & PROMOTION INCOME
Revenue
234,584
257,926
Expenses
702
12,857
233,882
245,069
Net Revenue
43
HAWKE’S BAY RACING INC 2014/2015 RACING SEASON MEMBERS
MEMBERSHIP - LIFE
Best R
Lowry TR
Sabiston DW
Buddo D
McCallum SM
Scoular JD
de Gruchy GW
Mudgway
WA
Shanley C G Ellingham RL
Nation RW
SkidmoreB
Harvey WJ
Nelson SO
Small
MS
Holden S
Ormond AE
Symes TWM
Hutchinson
BJD
Redshaw
LI
Throp
WF
Hylton-Smith J D Renton DM
Trower
D G
Langdale Roebuck
P J
White H P
PMY
MEMBERSHIP - HONORARY
Agnew JA
Donnelly GP
Mahony JM
Anderson S Frizzell JA
Mahony PS
Baillie JM
Gordon DJ
McCormick GH
Barker P
Grieve ID
McDonald
P R Barrett PEF
Grieve PH
McLeod DR
BaryA
Guerin PJ
McMillin JR
Beachen AJ
Halpin WL
Miller
RM
Beale JA
Harris KN
Mulcaster RJ
Begley LJ
Harris MJ
Murtagh ML
Berkahn RO
Holden
D J
Murtagh PM
Blackmore CH
Holland JE
Nelson PS
Breakwell GL
Hope M B Nichol DW
Bridgeman C
James BH
Nicholson BG
Bridgeman JA
Jans BW
O‘Malley O
Broughton LW
Jarvis JA
Orange KW
Callaghan
DB
Johansen JE
Ormond MR
Chard
HC
Jones D
Ormond WW
Chittick AG
Kerins PM
O‘Sullivan M
Chittick BW
Leathley CD
Parsons RJ
Christensen EM
Lepper WE
Pettigrew RH
Coleman PM
Liddle AR
Plowman MV
Couper WAX
Little
SD
Plowman G J
Cranswick D
Lobban HG
Rae DG
Crawford JM
Loughnan T O Reeves N
Crosse LG
Lowry EP
Robson AR
Dawson RC
Mackintosh J
Scott GJ
Dent WJ
MacMillan MR
Sheild JI
44
HAWKE’S BAY RACING INC 2014/2015 RACING SEASON MEMBERS
Sherratt CW
Tremain P
Wedd Smith EW
Twigg DR
WeddM
Smith R A Twist NB
White ED
Stevenson DL
Verschaffelt E
Willis
JC
Strother PM
Wall
BC
Wilson JI
Thelwall GA
Walls EM
Wong H
Thompson
M J
Watson M J
Yardley DW
Todd RG
Wattie RK
Thomson D
DJ
MEMBERSHIP - JUNIOR
HowardJ
MEMBERSHIP
Aldridge
AM
BlundellB
ClarkT
Anderson
JP
Blundell
CliffordA
Anderson
MM
BradfordD
CoatesF
Anderton
CH
Brady
PM
CoatesJ
AON Insurance Brokers
Breban
DF
Coffey
TP
ApatuN
Brenton-RuleM
Collings
RJ
ArnoldG
BridgeJ
Collins
AK
ArrowsmithR
Brittin
DR
Colson
GC
Atkins
DL
Brittin
PG
Cook
AB
Atkinson
RJ
BroomB
CooperE
BakerD
Browne
Costello
BaryJ
BuchnanB
CraigM
Bate Hallett
BuckeridgeJ
CraigS
BathS
CameronA
CrawleyB
BaxterA
CampbellJ
Cuming
AB
Bayliss
KP
CampbellP
Cutler
RN
Beachen
WH
Carney
MR
de Denne
J
BennettR
Carran
AK
de Lautour
H
BellG
Castles
DB
de Lautour
K
BergeC
Castles
KA
de Lautour
WB
BiggsM
ChadwickP
Death
RA
Bishop
DS
Chapman
WA
DeeR
Bisman
GB
Chilton
EJ
Dick
Bisset
CR
Chilton
RW
DickieP
BissetI
Chittick
WL
Dixon
MJ
Black
ChrystallV
Donovan
BJ
RA
JH
KJ
JP
HR
45
HAWKE’S BAY RACING INC 2014/2015 RACING SEASON MEMBERS
DorwardN
Grieve
DPW
JohnstonK
Downey
WP
Gudsell
MH
JonesL
Drake
LF
Guerin
BJ
Jury
PH
Drinkwater
JR
Hales
PJ
Kain
GHC
DuckmantonN
Hannah
MJ
KeallA
Duff
GIT
HardieJ
Keighley
BW
Duncan
GM
Harper
Keighley
DM
Duncan
GA
HarrisonJ
Kelly
JF
DuncanJ
Hart
GJ
KellyR
Dunn
HD
Hart
GH
Kelsey
BJ
Evans
CJ
Hastings District Council
Kennedy
HD
Fairgray
CA
Hawke‘s Bay Today
KeownG
Fargher
GO
Hayes
OJ
Kerins
Farmlands
Healy
MJ
KettleR
FeethamW
HearnL
KieranB
FenwickR
Hebberley
BJ
KingC
Ferguson
AD
Henneker
BS
Knobloch
Fitness
LT
Hesketh
GJ
KooreyR
Fleming
JP
HillG
LaffeyP
Fletcher
VC
Hill
DB
Lambeth
RL
FoskettG
Holden
PR
Laxon
EB
FranceF
Hollebone
NRM
LeeD
FrancisG
HollingsheadM
LeeR
Fraser
PB
HoodJ
LeonardC
Galloway
AM
Hook
GB
Liddle
Gibbs
AJ
Horrocks
AM
LightfootJ
GilliesA
Houlahan
MG
Lime Country Thoroughbreds
Goodall
MT
HowardS
Gordon
AJ
Howie
MJ
GN
PM
HJ
P&H
Lion Breweries
GoreJ
HuntD
Liquor King Napier
Grace
HuntG
Lister
GrahamG
Hunt TN
Little Avondale Stud
GrantH
Hurlimann
WE
Lockyer
Gray
DE
HuttonM
LowrieM
Greaney
MJ
Ireland
Lowry
EG
Greene
KF
JensenP
Lowry
TG
Greer
PJ
J M Bostock
LyndonT
AR
BP
NJ
AJ
GreyN
Johansson
LW
Macklow
PK
GreyR
Johnson
KR
Macphee
BR
46
HAWKE’S BAY RACING INC 2014/2015 RACING SEASON MEMBERS
MacPhee
TDB
O’DwyerB
Roberts
ID
Mahony
TP
OlsenN
Roddick
GJ
MatthewsP
Ormond
RoebuckJ
Matthews
SCH
OrmondM
RussellM
McCarthy
GK
OrmondR
Russell
McCarthy
KJP
OrmondT
RyanD
McClurg
DJ
O‘ShaughnessyP
Ryan
McDowall
CC
O’SullivanB
RyanS
McEnteeP
O’SullivanJ
Sanders
McGinty
O‘SullivanT
SansonC
McGregorJ
Owen
SayersJ
McIntosh
LP
ParkerG
SchirnackP
McIntyre
PJ
ParkerL
Schirnack
MJ
McKenzie
RC
PattersonH
Schmidt
AJ
McLaughlinJ
PattulloD
Scobie
RD
McLeod
KB
PeacockA
Shaw
ND
McMillan
GD
Perry
BH
SherrattG
McPeakeB
Phillips
DJ
Shirley
MJ
MeechH
PiercyA
Simonsen
EN
Mettrick
Poy
SkermanG
PJ
AJ
CA
DJ
AS
K&C
DH
VJ
MoonB
PrattS
SlackT
Moorhead
SC
Pratt
Smith
AHB
Morgan
SI
PrenterS
Smith
FH
Morison
DC
PriceV
Smith
IDS
MossmanD
PriestC
Smyth
EB
Moughan
GF
Quin MJF
SpeedyS
Murdoch
WT
Quinn
MJ
Spotswood
Murphy
PM
Razos
MP
SpringK
Nelson
DR
Razos
JS
Stace
JL
NelsonL
RedshawM
Stace
RM
NelsonM
Reilly
WJ
StaffordC
Nia Nia
R
Reisima
BM
Standring
Nichol
RW
Reynolds
PR
StartE
NicholsonK
Richardson
IL
Stevenson
NicolL
Richardson
EI
StovellM
NilsenB
Rigby
FB
Sutherland
MD
NobiloR
RimmerJ
Symes
WE
Northover
SM
RimmerL
Tasker
BL
O‘Connor
KJ
RoadleyG
Terry
PR
AL
RC
DJ
PM
47
HAWKE’S BAY RACING INC 2014/2015 RACING SEASON MEMBERS
Thomas
BA
Wall
AS
Wilson
DM
TongeA
WallerR
Windsor Park Stud
ToughR
Walter
CR
WitheyB
Townrow
Ward
PB
WoodK
PJ
TrainA
WarrenM
Wood
Treweek
Waters
AP
WoodS
Trinity Hill
Wedd
GJ
WoodhamT
TrumanJ
Westbury Stud
Turfrey
NO
Weston
Turner
RJ
White
PJ
RD
Woodmass
RB
WG
Woolhouse
BR
MP
WrightK
TurnerS
WilderA
Yanko
BA
Valcarcell
WilkinsP
Yartlett
IW
WilliamsK
Yortt
PL
JR
Van Zonnevend
Waikato Stud
Wall
T
Williams
AJ
RA
WilliamsonG
48
Hawke‘s Bay Racing,
Prospect Road, Hastings, New Zealand
www.hawkesbayracing.co.nz