1. Treasury and Investment Services Presentation 20131 Uniting for the Common Good Neil King Executive Director

2. Treasury and Investment Services Presentation 20132 Treasury and Investment Services Umbrella Investing and Managing funds with advisory, authorisation and oversight in matters relating to investments and borrowing in all parts of the Synod Uniting Financial Services (Brand name) Compulsory Borrowing through UCTAL (minute 114/09SC) Community of Faith Investments (UCAPT) Investment Services UCTALTreasury Services Ethical InvestingProperty Development Advice to Church Orgs Compulsory Deposits (minute 52/00C)Financial Risk Advisory Services

3. Investments must involve numbers … Presentation 20133 280 11k 5 1 152m 165m 722m 1.019bn 100m 225m 171m 30m 3 4.8m 9 5+1 42 1, 950 540 35m 110m 300m

4. Our Story… Presentation 20134

5. Regulatory: APRA, ACNC, (UBIT) Aged Care, Gonski( Schools), WHS, IFRS How we respond: Faith, Hope, Love, Stewardship, Integrity and Honour Economic & Other:T and I beliefs: GFC lingering, Europe, Election, Resources, Basel 3, Investment Returns To be Purposeful, Prudent, Inclusive and Generous Presentation 20135 Synod 2011 mentioned challenges and re-imagining …

6. Presentation 20136 1 Cor. 12:15-23 15 Now if the foot should say, “Because I am not a hand, I do not belong to the body,” it would not for that reason stop being part of the body. 16 And if the ear should say, “Because I am not an eye, I do not belong to the body,” it would not for that reason stop being part of the body. 17 If the whole body were an eye, where would the sense of hearing be? If the whole body were an ear, where would the sense of smell be? 18 But in fact God has placed the parts in the body, every one of them, just as he wanted them to be. 19 If they were all one part, where would the body be? 20 As it is, there are many parts, but one body. 21 The eye cannot say to the hand, “I don’t need you!” And the head cannot say to the feet, “I don’t need you!” 22 On the contrary, those parts of the body that seem to be weaker are indispensable, 23 and the parts that we think are less honourable we treat with special honour. Synod 2013 re-imagining … OR

7. Why a smaller distribution? Distribution suspended after distributing average of $12m since start of GFC – generously continued in spite of lower profitability average of $1.8m over same period. Banking Covenants required “Net Worth of $30m” against our net worth at June (capital=retained earnings etc.) of $35m We should have capital closer to $100m for our business activities. Presentation 20137

8. Through the new restructure, as approved by SSC, UR & UCTAL Boards, the Property Trust and UCTAL will borrow $150m as contributory capital and liquidity. Borrowing peaked at $300m with the facility now at $225m which is guaranteed by the Property Trust. Of the $225m, we have borrowed an average of $171m for the last 3 years. Presentation 20138

9. 9 The amount that the Property Trust is borrowing is not for distribution but allows for a liquidity and capital position relative to business activities. It should also assist in possibly allowing a distribution in 2013/2014. What else might help to allow a distribution?

10. Presentation 201310 We are improving and revitalising our …. Processes, Partnerships, Prudential and Portfolio Management

11. Introducing some Structural Changes…. Since shortly before last Synod we have had significant changes to the Board with new appointments and a new Chair The Board has recruited directors with risk management and credit skills to form nucleus of a new look Credit Committee Internal audit functionality outsourced to KPMG New Executive Director Imminent change to structure, capital position and banking facilities New team with property lending skills to improve management of loan portfolio 3 new team combinations with a Prudential team, a Portfolio and a Partnership team …. Presentation 201311

12. Presentation 201312 De-risking and re-risking ….

13. By helping our Partners to develop …. Presentation 201313

14. We also need your help …. Presentation 201314

15. We also need your help …. Your investment can, and will make a difference Community of Faith Debentures are invested in the Property Trust Our team offers a caring service and is ready to assist Hopefully you visited our UFS stall or will make suggestions via our feedback forms on your table By filling in these feedback forms you can help direct us to where we go next. Presentation 201315

16. So that’s our Story… Presentation 201316

17. To conclude.... Presentation 201317 1,950 42 280 5 9 540 1 110