Directors report
Directors (L-R): Chris Downs, Victoria Taylor, Caroline Saunders, Paul Reynolds, Jane Taylor (Chair), Emily Parker, Steven Saunders, Gavan Herlihy (Cissy Pan).
For the year ended 30 June 2015
The Directors of Landcare Research New Zealand Limited are pleased to report that the Company fulfilled its obligations under the Crown Research Institutes Act 1992 for the year ended 30 June 2015. The disclosures relate to Landcare Research New Zealand Limited and its subsidiaries (the ‘Group’).
The Company is a private company limited by shares and incorporated in accordance with the Companies Act 1993.
Principal activity
Landcare Research’s principal activity is to provide scientific research that fulfils our Core Purpose in accordance the Crown Research Institutes Act 1992.
Operating results
Group revenue for the year increased to $58.4 million from $54.7 million in the previous year. The consolidated net surplus before taxation expense for 2014/15 was $2.4 million and the consolidated net surplus after tax attributable to Parent Company shareholders was $1.7 million. Return on equity was 5.5%, compared to the target of 5.0%.
Remuneration of Directors
Directors fees are set by the shareholding Ministers annually.
| 2014/15 $ | 2013/14 $ | |
|---|---|---|
| Peter Schuyt | 46,000 | 46,000 |
| Chris Downs | 23,000 | 22,334 |
| Gavan Herlihy | 23,000 | 22,334 |
| Hon. John Luxton | - | 22,334 |
| Emily Parker | 23,000 | 22,334 |
| Tania Simpson | - | 28,083 |
| Steve Saunders | 23,000 | - |
| Jane Taylor | 28,750 | - |
| Victoria Taylor | 23,000 | 26,334 |
Changes to Board composition
Peter Schuyt retired from the Board on 30 June 2015 and Jane Taylor was appointed Chairman on 1 July 2015. Caroline Saunders and Paul Reynolds (Deputy Chairman) were appointed on 1 July 2015.
Subsidiaries
The Directors of the two subsidiary companies are:
Enviro-Mark Solutions Limited
Victoria A Taylor
Robert G M Fenwick (resigned 04 November 14)
Richard F S Gordon
Nigel W Thomson
Landcare Research US Limited
Phil B S Hart
Nigel W Thomson
Directors’ insurance
The Company has Directors and Officers’ insurance cover in respect of any act or omission in their capacity as a Director of the Company. The Company has indemnified Directors and certain employees of the Company for costs and proceedings and for liabilities incurred by the employee in respect of any act or omission in his or her capacity as an employee of the Company. The indemnity for liabilities incurred does not extend to criminal liability or liability for
breach of a fiduciary duty owed to the Company.
Dividends
No dividends have been declared or paid in respect of the 2015 financial year.
Directors’ interests
Any business the Group has transacted with organisations in which a Director has an association has been carried out on a commercial ‘arms-length’ basis.
Compliance
The Directors confirm that the Company has operated in accordance with the Crown Research Institutes Act 1992 and the Companies Act 1993 during the year. The activities undertaken by the Company in the year are in accordance with the Landcare Research Statement of Core Purpose. No written direction was received from either shareholding Minister in the year.
No directors acquired or disposed of equity securities in the company during the year; and the Board has received no notices from directors of the company requesting to use company information received in their capacity as directors which would not otherwise have been available to them.
Donations
The Group has made various donations totalling $1000 during the year ($nil in 2013/14).
Auditors
John Mackey of Audit New Zealand was appointed as the audit service provider by the Auditor-General. The Auditor- General is the statutory auditor pursuant to section 14 of the Public Audit Act 2001 and section 21 of the Crown Research Institutes Act 1992. Their audit remuneration and fees are detailed in note 3 of the ‘Notes to the financial statements’.
Events subsequent to balance date
The Directors are not aware of any matter or circumstance since the end of the financial year not otherwise dealt with in this report that has, or may have, a significant effect on the operation of the Company.
Employee remuneration
In accordance with section 211(1)(g) of the Companies Act 1993, the numbers of employees who received remuneration and other benefits totalling $100,000 or more, in $10,000 bands, during the year were:
| Number of Employees | ||
|---|---|---|
| Total cost to the Group | 2014/15 | 2013/14 |
| $440,000 - $449,999 | 1 (*) | |
| $420,000 - $429,999 | 1 (*) | |
| $230,000 - $239,999 | 1 | |
| $220,000 - $229,999 | 3 | |
| $210,000 - $219,999 | ||
| $200,000 - $209,999 | 3 | 2 |
| $190,000 - $199,999 | 1 | |
| $180,000 - $189,999 | 2 | 2 |
| $170,000 - $179,999 | ||
| $160,000 - $169,999 | 3 | 4 |
| $150,000 - $159,999 | 3 | 1 |
| $140,000 - $149,999 | 5 | 3 |
| $130,000 - $139,999 | 7 | 7 |
| $120,000 - $129,999 | 12 | 10 |
| $110,000 - $119,999 | 19 | 11 |
| $100,000 - $109,999 | 26 | 21 |
* Chief Executive of Landcare Research New Zealand Limited.
This table includes no redundancy and termination payments in 2014/15 (2013/14: 2).
Signed for and on behalf of the Board
Jane Taylor
Chair
20 August 2015
Paul Reynolds
Deputy Chair
20 August 2015