Members’ Information Meeting 11 th August 2009

Contents Purpose Background Finances Membership Next Steps

Purpose Open discussion/no decisions Revised Strategy Members’ views Seeking input Management Committee

Background Strategy document 2006 Changed economy Membership – reduction in members Intermediates upgrading Develop new framework/strategy

Finance Historical trends Current year Forecasts/assumptions Inter-club Comparisons Cost management Long term funding

Historical trends Finance continued Income Subscriptions813,161741,110677,338 Green Fees228,172245,498234,020 Bar284,240- Expenses Course Maintenance436,597385,683356,060 Admin Salaries190,063189,736159,955 Overheads279,880292,582295,266 Deficit for the year(52,812)(80,960)(56,756)

Finance continued Current year Income Subscriptions820,000813,161 Green Fees185,000228,172 Bar10,00028 Expenses Course Maintenance414,602436,597 Admin Salaries187,049190,063 Overheads238,534279,880 Deficit for the year(35,000)(52,812)

Finance continued Forecast -Assumptions Operational breakeven Subscriptions Green Fees Overheads Bank funding

Finance continued Forecast Income Subscriptions835,200897,560963,038 Green Fees200,000 Bar--- Expenses Course Maintenance435,750457,538480,414 Admin Salaries190,063195,666201,549 Overheads237,937249,834262,326 Deficit for the year(29,150)(6,078)17,579

Finance continued Financing Models Balance current income and current expenditure  Development projects funds by new entrance fees Funding current income from all income  Current income and entrance fees  Development financed by borrowings/capital levies Total annual costs divided by number of members Variations of the above

Finance continued Cost Management Wages & Salaries  Forecast saving €28,500 from 2008  Payroll costs represent 55% of total costs Course  Save €21,994 from 2008  Management of greens  Unavoidable costs due to weather conditions etc  Levels of authorisation for significant cost items

Finance continued Administration  Save €10,000 from 2008  Renegotiate all supplier contracts  Sourcing of alternative suppliers Bar  Save €15,000 on last year  Flexible work practices for staff  Reduced staff costs to match decreased turnover levels  Stringent stock control Cost Management continued

Finance continued Long Term Funding continued (f) Entrance fees????105,000253,250314,310 Development Exp????-219,454143,479 Refundable Levies????62,53253,01144,123 Bank Repayments????50,000

Finance continued Long Term Funding Bank Position Refundable levy Development expenditure Entrance Fees

Membership Retention Recruitment Category changes New categories

Membership continued Age Profile Encourage juniors/intermediate Intermediate → full Family Membership 5 day/associates upgrade offer

Membership continued Age profile WomenMenTotal 75 plus % % %56% %82% % % %

Membership continued Entrance Fees Current level - €14,500 Intermediates – 50% discount; spread over 10 years Connected persons – 1/3 discount

Membership continued Entrance Fees Leave as is Reduce Remove Increase discounts for family members

Membership continued Discounts/timing of payments Spread payment of entrance fee Discounts on subscriptions Reduce subs for under 40s Reduced sub for older members

Membership continued Incentive/rewards for new membership Reduced sub for introducer Welcome package for new members Survey of recent new members

Refundable Levy Amount/annual outflow Current outstanding€1.3m Over 10 years€130K per annum Over 20 years€65K per annum

Refundable Levy Options Set-off – family members; green fees; etc Raffle Subs offset – age category Sinking fund Status quo

Next Steps Management Committee New Strategy document AGM?