1. AgriSeta AFS for the year ended 31 March 2011
AGM presentation 14 Sep 2011

2. Audit Opinion Auditor-General issued an Unqualified Audit Report
Emphasis of Matter
Restatement of NSF Income/Expense
VAT incorrectly paid on Learning Grants
Reported on performance information – no findings
The slides deal in detail with the main set being 12 months ended 31 March 2007
Emphasis relates to common revenue problem being addressed by NT, Dol and AG and accounting treatment of project assets
AGM presentation 14 Sep 2011

3. Employers info – March 2011 17,716 (2010:17,381) registered employers
4,775 (2010:4,424) employers paying SDL levy - Total levies received R161,5M (2010:R142,6M)
Applications received by 30 June 2010 (for 2011):
WSP’s =1,741 (previously 1,709)
Total amount paid towards Mandatory Grants –R76.9m(2010 R72.5m)–Payout % 73%(2010:73%)
reduced numbers of levy payers due to R500k threshold
AGM presentation 14 Sep 2011

4. Project Grant Expenditure March 2011
Total project spend: R116.6M (2010 R95.1M)
Top 5 projects on spending 65% of Total Project Expenditure
Name
R-Millions
Workers Programmes
R 22.4M
Learnerships
R 19.1M
Skills Programmes
R 18.1M
ABET
R 10.2M
Non-Levy Enterprises
R 6.5M
Grouped projects together
AGM presentation 14 Sep 2011

5. Statement of Financial Performance March 2011
INCOME
R’000
Levies, penalties & interest
174,068
NSF & special projects income
1,629
Investment and other income
9,681
Total
185,378
SD Levies 80% of employer contributions received from DoL (also includes transfers to/from other Seta’s)
NSF & Special projects relates to monies from non SDL funding
AGM presentation 14 Sep 2011

6. Statement of Financial Performance March 2011
EXPENSES
R’000
Employer grant
Discretionary
>Paid
>Movement in Accruel
76,905
118,547
(1,918)
Admin expenses
20,443
NSF & Special project expenses
1,629
Total
215,606
Net deficit:
30,228
- Admin expenses are within the legislated 10% limit. Significant discussion relating to this in the New/ updated funding regulations (currently activity based costing used)
- The deficit indicates spending in the current period of income accumulated previously. This is very necessary to constantly manage down the cash reserves whilst it is important not to commit more funds than are available
AGM presentation 14 Sep 2011

7. Statement of Financial Position March 2011
ASSETS
R’000
Property Plant & Equipment
4,448
Intangible assets
Receivables 45
1,635
Cash
147,458
Total
153,586
Receivables relate to 2 month levies received after year end
AGM presentation 14 Sep 2011

8. Statement of Financial Position March 2011
EQUITY & LIABILITIES
R’000
Grant and Other Reserves
99,018
Capitalisation reserve
3,107
Payable & Provisions
51,009
Grants & Donor Funding
452
Total
153,586
Of the R99.9M R79.5M has been approved for future projects
Payable relate to o/s Grant payments of R19.3M and Project and Trade Payables of R11.6M R3.3M Relates to amounts due to SARS
AGM presentation 14 Sep 2011

9. Discretionary Reserve
Allocation of Discretionary Reserves
Discretionary Reserve
Approved By Board
Contracted
R 97.5M
R 87.2M
R 73.8M
AGM presentation 14 Sep 2011

10. Cash Flow Statement –Summary March 2011
Net Cash Outflow from operating Activities
(11,517)
Cash Outflow from Investing Activities
(199)
Net Decrease in Cash and Cash Equivalents
(11,716)
Opening Cash Balance
159,174
Total
147,458
AGM presentation 14 Sep 2011

11. Conclusion Questions? AGM presentation 14 Sep 2011
Note 18 - Pending litigation 2 cases Significant legal fees incurred
Note 23 - Transfers in R726k out R434k
Other RP, new disclosure in which disclosed transaction (project expenses) with entities which had nominated representative on the Board (important to identify any interest in contracts)
AGM presentation 14 Sep 2011

12. Conclusion
Thank You
AGM presentation 14 Sep 2011