FILM AND PUBLICATION BOARD ANNUAL REPORT 2006/2007 PRESENTATION TO THE PORTFOLIO COMMITTEE ON HOME AFFAIRS 19 th February

-Legislative Mandate of the Board -Vision and Mission -Overall Performance of the Board -Performance Information -Classification Performance -Financial Overview -Challenges -Priorities for Portfolio Committee Interventions -Way forward OUTLINE OF PRESENTATION

-The Film and Publication Board is a statutory body with a legal obligation to regulate the public distribution of certain films, Dvds and publications in South Africa through classification. -The board makes determination of what films and/or publications children may or may not watch and/or read, whilst allowing adults the freedom and the right to see or read what they want to, with the exception of child pornography. LEGISLATIVE MANDATE

VISION A credible and visible content- classification authority- MISSION We regulate the media environment through the classification of content, by: -Maintaining relevance to the values and norms of South African society through scientific research; and -Balance the right to freedom expression with an obligation to protect children from exposure to potentialy disturbing, harmful and inappropriate materials; and -Protect children from sexual exploitation in media content, in order to educate the broader South African society to make informed choices VISION AND MISSION

- Tremendous progress in the pursuit of the Strategic Plan 2006/7 -Efficient/Sound management of finances due to tremendous support from the Audit Committee- unqualified audit report for the financial year -Effective implementation of infrastructural adjustments within the Board -Capacitation of the Board -Improved compliance with the Act -Drafting and Tabling of the Amendment Bill in Parliament -Intensified stakeholder relations OVERALL PERFORMANCE OF THE BOARD

- PERFORMANCE INFORMATION STRATEGIC OBJECTIVES KEY PERFORMANCE INDICATOR TARGETPERFORMANCE RESULTS 1. GOVERNANCE AND ADMINISTRATION 1.1 Ensure compliance with the Public Finance Management Act and Treasury Regulations Improved financial reporting system 31 March 2007 The Audit Committee has been instrumental in the close monitoring of the financial performance of the institution 1.2 Ensure compliance with good corporate governance principles Organisational structure and systems that are corporate governance compliant 30 June 2006Systems are generally in place and comply with corporate governance 1.3 Develop and implement risk management strategy Comprehensive risk management strategy 30 June 2006Development of the strategy achieved. Implementation at its early stages. 1.4 Ensure successful implementation of in house assurance and consulting activities Effective value adding assurance and consulting activity 31 March 2007 This is an ongoing process

PERFORMANCE INFORMATION STRATEGIC OBJECTIVES KEY PERFORMANCE INDICATOR TARGETPERFORMANCE RESULTS 2.LEGALLY EFFECTIVE FILM AND PUBLICATION BOARD 2.1 Compliance Monitoring Implementation of the penalty system An effective penalty system 30 June 2006More compliance with the Act Review and implementation of the blueprint for monitoring activities Standardised compliance monitoring procedures 30 June 2006Blueprint finalised and in the process of being implemented Capacitation of the compliance monitoring function Appointment of additional monitors 31 May 2006Services have bee extended countrywide 2. 2 Registration of Distributors, Exhibitors and Internet Service providers

PERFORMANCE INFORMATION STRATEGIC OBJECTIVES KEY PERFORMANCE INDICATOR TARGETPERFORMANCE RESULTS Manage current register of known distributors, exhibitors and internet service providers Effective database31 March 2007 Major achievement in terms of big retailers and internet service providers. Some Nigerian distributors have complied with Act 2.3. Classification Develop proactive strategies in response to technological convergence Appropriate systems to deal with developments 31 March 2007 Registration of mobile distributors achieved Review the appropriateness of age –rating categories Commission research30 Sept 2006 Research conducted Findings of research already effected Increase classification expertise to suit diversified market Increased capacity to classify diverse products 31 March 2007 Ongoing process: This enabled the Board to deal with Nigerian products Initiate dialogue in SADC on the standardisation of classification Regional cooperation30 December 2006 Established contacts with 3 SADC countries

PERFORMANCE INFORMATION STRATEGIC OBJECTIVES KEY PERFORMANCE INDICATOR TARGETPERFORMANCE RESULTS Facilitate the development of a standardised rating system with broadcasters and electronic content providers A proposed standardised rating system 30 Sept 2006Cooperation from other content providers especially broadcasters remain a challenge Revisit current tariffs in consultation with stakeholders Proposals on new tariffs to National Treasury 31 January 2007 Achieved in spite off existing agreement to have tariffs fixed until new legislation 3. ANTI-CHILD PORNOGRAPHY INITIATIVES 4.1 Ensure an effective response to child pornography Review the Board’s capacity to deal with initiatives on anti-child pornography 30 Sept 2006Research on reviewing necessary capacity to deal with this challenge in progress. The HSRC to submit a report on findings 4.2 Implement the anti- child pornography national plan Integrated measures in place to curb child pornography 31 March 2007 This is still in the implementation stages. The Board is collaborating with other stakeholders in maximising the utilisation of resources in curbing child pornography

PERFORMANCE INFORMATION STRATEGIC OBJECTIVES KEY PERFORMANCE INDICATOR TARGETPERFORMANCE RESULTS 4. ADMINISTRATIVE SUPPORT TO THE REVIEW BOARD Provide effective administrative support to the review process A cost effective and efficient review process 2 weeks turnaround time This is an ongoing process that is effectually managed 5. INFORMATION MANAGEMENT 5.1 Ensure information system security Disaster recovery and business continuity plans in place 31 October 2006 Systems are underway to deal with this issue.

PERFORMANCE INFORMATION STRATEGIC OBJECTIVES KEY PERFORMANCE INDICATOR TARGETPERFORMANCE RESULTS 5. HUMAN RESOURCES MANAGEMENT AND DEVELOPMENT 5.1 Ensure continuous empowerment and development of employees Training plan31 May 2006A plan for continuous empowerment and development 5.2 Ensure responsive organisational development interventions Organisational development strategy in accordance with the FPB turnaround strategy 30 August 2006 The objective was achieved though delayed by the need to develop a comprehensive 5 year strategy 5.3 Develop an effective employee wellness programme Responsive employee wellness programme 30 June 2006Achieved and implemented. Resources remain a challenge 6. COMMUNICATION AND MARKETING 6.1 Intensify media campaigns and public awareness programmes Effective public awareness programmes 30 April 2006The FPB has made major achievements in this area, having reached a large segment of the population

CLASSIFICATION PERFORMANCE 12

Classification Stats - Submissions 13

Classification Stats - Films 14

Classification Decisions - Films 15

FINANCIAL PERFORMANCE 16

STATEMENT OF FINANCIAL PERFORMANCE 17 DESCRIPTION2007 (Rands) 2006 (Rands) REVENUE35,704,89615,003,726 Grant Subsidy25,933,0006,774,000 Regulation Fees8,096,3007,487,031 Other Income1,675,596742,695 EXPENDITURE(31,991,087)(16,364,886) Personnel Expenditure(13,579,209)(9,020,203) Other Operating Expenses(18,411,879)(7,534,165) (Deficit) / Surplus3,713,809(1,550,642)

Trend Analysis – Regulation Fees 18

Trend Analysis - Grant 19

Trend Analysis - Expenditure 20

STATEMENT OF FINANCIAL POSITION 21 DESCRIPTION2007 (Rands) 2006 (Rands) ASSETS14,397,12122,158,116 Non Current Assets2,807,5771,594,154 Current Assets11,589,54020,563,962 EQUITY AND LIABILITIES14,397,12122,158,116 Reserves10,198,0556,484,246 Current Liabilities4,199,06515,673,870

ASSET CATEGORIES IN % 22

Challenges Delays in passing of the Draft Amendment Bill Regulation of illegal content on cell phones and Internet Compliance monitoring capacity Lack of updated technology Financial resources Categorization of FPB as a public entity 23

Priorities for 2008 Enactment of the Act and its regulations - Workshops with relevant stakeholders Strengthening international partnerships 24

Portfolio Committee Interventions Fast track the passing of the Act Financial resources 25

Thank you 26