Fisheries Report 2020 DIGITAL FILES FINAL

2020ANNUALREPORT

A N N U A L R E P O R T 2 0 2 0 2

TE WERO / CHALLENGE SET BY THE TRUST

Tūwharetoa ki tai he ika unahi.Tūwharetoa ki uta he ika kiri maheni.

To the coast I see Tūwharetoa and the fi sh with scales. I turn to the hinterlands and I see Tūwharetoa and the fi sh smooth and sleek.

TE HUAPAE / VISION

Kei te ora te ika, kei te ora te tangata.

Healthy fi sh, healthy people, healthy iwi.

NGĀ MĀTĀPONO / VALUES

Kaitiaki taonga. We are stewards of our assets.Toitū te moana. We actively protect and are committed to sustainable fi sheries. He ngākau pono. We act with humility, integrity and honesty He tangata atawhai. We support our people.

TE KAUPAPA / MISSION

Kia tūhono a Ngāti Tūwharetoa ki te moana, kia tipu te oranga ōhanga.

Connecting Ngāti Tūwharetoa with the moana and creating economic prosperity.

N G Ā T I T Ū W H A R E T O A F I S H E R I E S C H A R I T A B L E T R U S T2

TELEPHONE +64 7 377 3176EMAIL [email protected]āori.nzWEBSITE www.ntf.Māori.nz

OFFICE

Ngāti Tūwharetoa Fisheries Offi ce81 Horomatangi StreetTaupō 3330

POSTAL ADDRESS

PO Box 126Taupō 3351

ACCOUNTANT

Flash Admin & Taxation Services LimitedAccountants & Business AdvisorsTaupō

AUDITOR

Silks Audit Chartered AccountantsWhanganui

BANKERS

Bank of New ZealandTaupō

FUNDS MANAGERS

IWIinvestor

SOLICITORS

Kahui LegalWellington

TRUST DIRECTORY

A N N U A L R E P O R T 2 0 2 0 3

2 Trust Directory

4 Governance

5 Chairman’s Report

7 Trust Report

11 Company Report

16 Financial Statements and Auditor’s Reports

49 AGM Minutes

51 Annual Scorecard 2019/2020

53 Annual Plan 2020/2021

54 Strategic Plan 2020/2022

55 Schedule Reporting Requirements

CONTENTS


TRUSTEES

Judy Harris (Chairperson)Heemi Biddle (Deputy Chairperson)Karilyn Te RiiniShaneen Simpson-AlmondTangonui KingiTuirirangi te Heuheu

DIRECTORS

Nathan Reid (Chairperson)Danny LoughlinFrancene WinetiPaki Rawiri

GOVERNANCEAS AT 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 5

The board of Ngāti Tūwharetoa Fisheries is pleased to present this year’s report into the activities of Ngāti Tūwharetoa Fisheries Charitable Trust and our Asset Holding Company, Ngāti Tūwharetoa Fisheries Holdings Ltd for the year ending 30 September 2020.

It has been a year now since COVID-19 fi rst made it to our shores.

On 11:59pm Wednesday 25th March 2020 the Ministry of Health advised that there would be no Funeral Services and Tangi. Our GM had to work from home, and we could no longer provide fi sh for Tangi.

While this was a diffi cult time, I was proud of how our Ngāti Tūwharetoa entities came together and worked with our Marae and whanau to look after our people especially our Koroua and Kuia. We also developed a collective COVID-19 Recovery Plan.

Ngāti Tūwharetoa Fisheries moved quickly and provided $104,912:

$50,000 was combined with matching contributions from Ngāti Tūwharetoa Settlement Trust and the Tūwharetoa Maori Trust Board. This primarily was used for 1,080 Gift Cards for Koroua and Kuia and nearly $20,000 to Food Banks.

$50,000 went to Ngāti Tūwharetoa (BOP) Settlement Trust. They used the Putea for 175 Meat Packs/Vege and payments of $300 each to 153 kaumatua.

$4,912 paid for authorised whanau who delivered everything from Meat Packs/Vege, Easter Eggs and Whanau Ora Sanitisation Boxes. Our ‘couriers’ went from as far north as Kawerau to as far south as Te Tikanga, Moawhango and Opaea Marae.

The impact of COVID-19 also resulted in a delay in holding our 2019 AGM. We were one of the fi rst Ngāti Tūwharetoa entities to hold an Online AGM in September 2020.

The other highlights for the year included:

Continued engagement with the Tūwharetoa Maori Trust Board and the Tūwharetoa Settlement Trust to explore opportunities to work together.

Tiaki Wai Fund used to produce a report on protecting the Koaro native fi sh.

Our companies work on developing an Innovation Strategy including hosting workshops with other Tūwharetoa entities

Our companies project on an Innovation Strategy for Ngāti Tūwharetoa

Another successful Kaumatua dinner where we hosted our Kawerau and Whakatāne Kaumatua

Our Intern Jessie Rihia who is now working for Te Ohu Kaimoana

Directors visit to USA for research on Innovation Investment in Finistere Second investment in Tuwharetoa Hau Rau LP Working to protect our investments in RAL and

Bay Packers LP from the impact of COVID-19

CHAIRMAN’S REPORTMĀRINGIRINGI NOA NGA WAI KI UTAKA PUTA KI TE MOANA NUIKI TE WAI KORIKORI O TANGAROAKO ĀNA URI, E KAU HAERE RĀ.TĒNEI NGĀ TĀNGATA A UTA E MIHI ATU KI TANGATA A TAI, NGĀ TANGATA A TAI E MIHI MAI KI TANGATA A UTA. NO REIRA TĒNA TĀTOU KATOA.


Other support provided to our Iwi included:

Funding for the 2019 Kaumatua Dinner Fish for Matua Tu Taua and Marquee for the commemoration of 150 years since the battle of Te

Porere Fish and Marquee for the Kaumatua Tent at the Tūwharetoa Marae Sports Challenge (Pa Wars) Marquee for the 2019 Turangi Christmas In the Park Marquee Kaumatua Tent – Waitangi Day Funding Ngāti Tūwharetoa (BOP) Settlement Trust’ Learn to Swim Programme Providing a #smearyourmea Banner and T-Shirts for our nurses

I would like to thank my board, our directors and our General Manager for their hard work, and their continued support of this important organisation.

No reira tena koutou, tena tatou katoa,

Judy Harris

A N N U A L R E P O R T 2 0 2 0 7

Operating Revenue 2020 2019 Inc/Dec

Fisheries 678,268 678,571 0%

Interest Revenue 56,428 59,240 -5%

Dividend Received 707,208 544,777 30%

Realised / Unrealised Gains (3,359) 206,847 -102%

Other Income / Grants 152,510 172,097 -11%

1,591,055 1,661,532 -4%

Operating Expenses 2020 2019 Inc/Dec

Operating Expenses 582,943 771,916 -24%

Grants 545,737 415,003 32%

Total Expenses 1,128,680 1,186,919 -5%

Total Expenses were $1,128,680 (down 5% on last year), this included Operating Expenses (down 24% on last year). There was a 32% Increase in Grants which included the one-off payment of $104,912 for the COVID-19 Fund and related costs.

TRUST PERFORMANCE

Kaupapa 7 of Schedule 7 to the Maori Fisheries Act 2004 requires the Trust to be accountable for its performance to all members of the iwi.

The Annual Scorecard in page 51. It reports the performance for the year ended 30 September 2020 against the Trust’s Annual Plan

The 2020/2021 Annual Plan is on is on Pages 52-53

The summary of the Trust’s 2020-2022 Strategic Plan is on page 53.

FINANCIAL PERFORMANCE FOR THE YEAR ENDED 30 SEPTEMBER 2020

New reporting standards came into effect on 1st April 2015 and as a registered charity we are required to prepare fi nancial statements in line with these new standards. The Trust has adopted Tier 3 reporting.

Ngati Tuwharetoa Fisheries Group Revenue for the year ended 30 September 2020 was $1,591,055. This was down 4% on last year’s income of $1,661,532. This was driven by two factors:

$132,244 Increase in dividend from Aotearoa Fisheries Ltd (Moana), offset by

102% drop in Realised and Unrealised investment gains / (Losses)

TRUST REPORT


Operating Surplus was $462,375 (up 14% on last year). This was primarily due to the decreased operating expenses..

Operating Surplus ($) 2020 2019 Inc/Dec

Operating Surplus 462,375 474,613 14%

The improved Operating Surplus was refl ected as a 1.5% improvement in Total Assetsand a 1.7% increase in Total Equity (Accumulated Funds).

Financial Position ($) 2020 2019 Inc/Dec

Total Assets 27,821,609 27,419,801 1.5%

Total Equity 27,765,030 27,302,655 1.7%

The Statement of Cash Flows refl ects the improvement in cash from Operating Activities. These funds were invested in Term Deposits until investment opportunities were approved. The group held a cash balance of $42,607 at September 2020 for operational requirements.

INVESTMENTS

The Client has retained MyFiduciary Limited, an independent investment fi duciary, as an objective third-party to assist the Trustees in managing the overall investment process.

Taupo Moana Investments (IwiInvestor) is responsible for Portfolio Administration and FNZ Custodians Ltd provide Custodial Services. The trust maintains an Investment Governance Policy (IGP) for all its investments and an Investment Sub-Policy Statement (IPS) for the diversifi ed portfolio.

The investment portfolio of the Trust had a net (after fees, and taxes) return of 2.8% the year ended 30 September 2020 refl ecting the impact of COVID-19 on our portfolio.

Cashfl ows ($) 2020 2019 INC/DEC

Net Cash Infl ow from Operating Activities 322,043 169,683

Net Cash (Outfl ow) from Investing Activities

(385,292) (131,072)

Net Increase (Decrease) In Cash Held (63,249) 38,611

Cash 1 October 2019 105,856 67,245

Cash 30 September 2020 42,607 105,856 -60%

A N N U A L R E P O R T 2 0 2 0 9

ASSET CLASS Value ($) Dist. (%)

Cash 97,480 2%

NZ Fixed Interest 488,774 10%

Global Fixed Interest 1,727,129 36%

Global Property 255,338 5%

Australasian Equity 304,206 6%

Developed Markets Equities 1,513,565 32%

Emerging Markets Equities 383,305 8%

4,769,797 100%

SHARE REGISTER

The trust has been working with the Tūwharetoa Settlement Trust and the Tūwharetoa Māori Trust Board to adopt a shared member register. We use a Customer Relationship Management (CRM) software package called “Salesforce” that will allow the trust to maintain its own register, but in a manner that minimises duplication and cost. The trust used our lawyers, Kahui Legal to provide advice on matters such as access to the database and protection of benefi ciary information.

Cash

NZ Fixed Interest

Global Fixed Interest

Global Property

Australasian Equity

Developed Markets Equities

Emerging Markets Equities


GRANTS

$232,000 was paid to the Tuwharetoa Maori Trust Board. This was a contribution towards education grants.$138,000 was paid to Ngati Tuwharetoa BOP Settlement Trust for pakeke, tertiary and school grants.$40,000 was paid to Ko Tuwharetoa te Iwi Charitable Trust (paramountcy trust) and $22,253 to support tribal events such as Tuwharetoa Marae Sports Challenge 2020, Te Porere 150 year commemoration, Kaumatua Dinner, and Turangi Christmas In the Park.$104,912 for COVID-19 grants outlined in the Chair’s report.

COLLABORATION

Our organisation continues to work with the Tuwharetoa Maori Trust Board and the Ngati Tuwharetoa Settlement Trust to explore opportunities to provide better service to or people. The three entities now share a Receptionist and Member Register offi cer in the Taupo Offi ce.

Danny Loughlin General Manager

Marae Tangi Marae Tangi

Hahuru 4 Pakira 1

Hirangi 3 Tokorangi 5

Kakahi 5 Te Ringatahi 1

Kauriki 4 Kauriki 1

Korohe 4 Waihi 1

Nukuhau 4 Waitetoko 2

Otukou 2 Whanganui Bay 1

Ngati Rangitihi 7 Total 42

A N N U A L R E P O R T 2 0 2 0 11

COMPANY PERFORMANCE

Kaupapa 7 of Schedule 7 to the Māori Fisheries Act 2004 requires the company to report on: the key strategies for the use and development of iwi fi sheries assets the expected fi nancial return on the assets

KEY STRATEGIES FOR THE USE AND DEVELOPMENT OF IWI FISHERIES ASSETS

The company’s Key Strategies are:

Supply all ACE derived from Settlement Quota to the ICP to be managed under a collective limited partnership arrangement alongside 14 other Iwi Partners and 5 Associated Iwi. The collective provides benefi ts relating to scale, cost effi ciencies but most importantly provides a collective investment avenue for Ngati Tuwharetoa to grow its commercial fi sheries interests. Our collective partnership interest in the ICP is approximately 12%. Ngati Tuwharetoa was one of the founding members of ICP established in 2010.

Through the ICP, Ngati Tuwharetoa’s ACE portfolio is reorganised with other Iwi ACE into marketable ACE parcels. Following is a summary of how ICP manages those parcels:

Deepwater ACE parcel is included in a new long-term deepwater collective arrangement between ICP, 18 other Iwi and Sealord called, Nga Tapuwae o Maui. ICP was instrumental in bringing the deepwater collective together. The economic benefi ts to Ngati Tuwharetoa are multiplied by the fact that we receive a profi t share return plus improved dividends given that Sealord is 50% owned by Moana New Zealand (Moana NZ), and Ngati Tuwharetoa is one of the largest Moana NZ shareholders.

Inshore ACE is managed via the ICP which uses the ACE under a joint venture with Moana NZ, again multiplying the economic benefi ts to Ngati Tuwharetoa. While Ngati Tuwharetoa’s inshore ACE parcel is small relative to deepwater, our dividends from Moana NZ are in proportion to our deepwater holdings providing a good spread of revenue.

Lease of Crayfi sh (Lobster) ACE to ICP which then on supplies to Port Nicholson Fisheries (PNF), New Zealand’s largest lobster company and is 100% Iwi owned. As an ICP supplier, Ngati Tuwharetoa owns a 10% share of ICP’s 33% interest in PNF’s hard assets (buildings, facilities and infrastructure).

ICP Holdings benefi ted from a signifi cant 300k improvement in Scampi ACE revenue, of which Tuwharetoa is one of the top 3 ACE suppliers.

ICP Inshore costs were down considerably due to a covid effi ciency focus, and the Inshore JV Revenue with Moana New Zealand was strong, the JV having performed well through Covid due to a Moana New Zealand’s robust e-commerce platform and investment into brand.

ICP Koura LPs are exclusively crayfi sh / lobster, which in turn is heavily reliant on Port Nicholson Fisheries and exports to China. During the fi rst quarter in particular of the 2020 calendar year, which is when Covid19’s global impact began to surge, PNF and China exports were heavily impacted by Covid19, fl owing through to impact our interests in both LPs.

COMPANY REPORTTO 30TH SEPTEMBER 2020


FINANCIAL PERFORMANCE FOR THE YEAR ENDED 30 SEPTEMBER 2020

The company’s results are included in the group accounts. Normalised Surplus for the year is the surplus before Research & Development including Grant Funding. This was up 10% on the 2019 year.

MOANA NEW ZEALAND PROFIT DOWN 11%

Moana New Zealand reported a net profi t after tax of $20.3 million for the year ended, 30 September 2020. Overall, Moana New Zealand’s $8.5 million operating earnings before interest and tax (excluding its 50% share of Sealord earnings) were 42 percent down on Plan and 47 percent down on 2019 earnings.

Moana New Zealand has also declared a dividend of $8.8 million, in accordance with the Company’s dividend policy and as set out in the Maori Fisheries Act.

Moana New Zealand’s Chairperson, Hinerangi Raumati-Tu’ua, and Chief Executive, Steve Tarrant, say they are proud of collective efforts of Moana New Zealand and Sealord staff under challenging operating conditions.

“Despite a very diffi cult year the highlight was the courage, passion and commitment shown by all staff in times of great uncertainty. Being classed as an essential service was a privilege our staff took seriously,” says Raumati-Tu’ua.

Ngati Tuwharetoa, as one of its 58 Iwi shareholders, received their respective share of the dividend in December 2020.

The single biggest impact of Covid19, starting with market closures in China from late January, was on Moana New Zealand’s koura (lobster) earnings – these ended up down 53 percent on Plan and only 45 percent of 2019 earnings. Tarrant acknowledges one-off relief provided by the Minister of Fisheries which allowed carryover to the new fi shing season of up to 10 percent uncaught quota entitlement.

Moana New Zealand’s ika (fi n fi sh) business showed strength and resilience during the pandemic. Increased ika supply to both domestic and Australian fresh chilled markets helped the business when wider export markets faced restrictions which heavily impacted access and demand.

“Our domestic market channels exceeded sales expectations as Kiwi whānau continued to put healthy protein on the dining room table during the lockdown periods,” says Tarrant.

Financial Performance 2020 2019 Inc/Dec

Normalised Total Revenue 1,270,215 1,140,159 11%

Normalised Total Expenses (238,533) (200,788) 19%

Normalised Surplus for the Year 1,031,682 939,371 10%

R&D Grants received 7,500 118,500 -94%

Research & Development (R&D) (10,000) (163,086) -94%

Surplus for the Year 1,029,182 894,785 15%

Distributions paid (700,000) (500,000) 0

Total Accumulated Funds 22,326,781 21,997,599 1%

A N N U A L R E P O R T 2 0 2 0 13

SEALORD ANNOUNCES ANOTHER SUCCESSFUL YEAR

Sealord Group Ltd Sealord Group Ltd has reported a net profi t after tax (NPAT) of NZD $29.3 million for its fi nancial year ended September 30, 2020. This includes a one-off adjustment of $4.7 million as a result of the Petuna Aquaculture acquisition (Tasmania). Excluding this one-off adjustment, NPAT would have been NZD $34 million, 6% higher than the 2019 result.

The company successfully achieved its Plan for the year despite facing challenges due to COVID-19. Reported revenue increased 11% from the previous year to NZD $399 million.

Sealord Group CEO Doug Paulin said the group had an excellent start to the year and then successfully dealt with the early challenges of COVID-19 in various markets, with most of the major export shipping and market consumption downsides contained to the fi nal quarter.

He said the result is attributed to the strong performance of the company’s fi shing, aquaculture and land-based processing operations, high sales of frozen and canned fi sh as more people ate at home, as well as positive pricing in the fi rst half of the year.

Nga Tapuwae o Maui, the arrangement announced in March 2019 between Sealord and iwi (allowing Sealord access to ACE on a long-term basis, with greater returns to iwi), enables Sealord to work with a more consistent catch plan. Paulin said continued support from iwi through Nga Tapuwae o Maui was another factor in the company’s successful year.

“Given the impact of COVID-19, we’re very pleased with our overall result. We nimbly responded to the various challenges that came our way during the pandemic with increased collaboration across the business. Providing a safe working environment to ensure our people were comfortable continuing to work in our factories and on our vessels was essential,” he says.

“This year, as you can see, Sealord has embodied the Māori proverb ‘Kia eke Panuku, Kia eke Tangaroa’ – we have realised inspiration from Tangaroa to attain success, excellence and progress. Our thanks to our staff, shareholders, customers and partners for their work and their support.”

Paulin said he expects FY21 to be tougher, as the impacts of COVID-19 are fully felt across the company. “Like other fi shing companies and export businesses, we face challenges in delivering our products to offshore markets, and reduced consumption opportunities for many of our consumers with restaurant and food service outlets impacted by lockdown restrictions.”

SUSTAINABILITY

The October 19/20 Sustainability Round fi sh stocks under review, including Kina, Hoki, Pāua in the Chatham Islands and Tarakihi.

The Minister accepted the Eastern Tarakihi Management Strategy and Rebuild Plan in his decisions for this year’s sustainability rounds. The Minister supplemented this with a 10% reduction to the Total Allowable Commercial Catch, but decided against a proposed 50% cut. The decision promotes a collaborative management approach for the fi shery.

The Minister chose not to endorse the Deepwater Group’s plan for the industry to limit the catch of HOK1 through the voluntary shelving of 35,000 t of ACE every year for three years. Instead, and while acknowledging the shelving successfully undertaken by quota owners during 2019-19, the Minister decided to decrease the TACC by 35,000t. The Minister remains hopeful that other equally important elements of the industry package (requiring sophisticated spatial management) will still be implemented under the industry plan.

On a positive note, there were increases to commercial catch levels for orange roughy, ling, gemfi sh and rig.


BAY PACKERS LP

2020 was the second full year for Bay Packers LP. Unfortunately, Bay Packers had a loss of ($133,193). Our 20% share of the loss was $(26,639). A successful Albacore season put us on the right track until Covid-19 changed everything. • Unfortunately, Covid 19 created a major problem during the Bluefi n season resulting in reduced processing volume in the last quarter of the year which impacted on our fi nal result (even though we were just making a profi t at the end of August).

The impact of COVID-19 was reduced by the Wage subsidy $183,380 received in April 2020.

PROJECTS

Commercial Freshwater Koura Farming

Further work on Koura farming was put on hold while the company dealt with the impact of COVID-19.

Building a Collective of Tūwharetoa entities to focus on Innovation and Research and Development

Key outcomes for the Innovation Strategy and Roadmap work included participants from various iwi/hapū and whanau entities agreeing that the following themes were important to them:

Innovation Leadership: grow “Tuwharetoa” leadership capability within the innovation and R & D sector. Research & Development: to also set aside funding and investment for R&D Agribusiness & Agritech: focus on existing business sectors that the iwi/hapū and whanau entities are

involved with fi rst and then consider and be open to new sectors.

The participants of the Innovation Wananga during 2020 agreed to establish (be part of a new collective) – Te Kupenga Hou. Because not all Tuwharetoa entities will be involved (however a good segment/proportion will), the idea of establishing a new entity/group that can move with those entities that are ready now makes sense. Te Kupenga Hou will also be open to others, when they are ready to join.

NTFHL is championing this initiative. A second round of funding of $60k was recently approved by the MBIE’s Māori Innovation Fund commercial advisors’ scheme to continue to progress this initiative.

In Oct 2019 a small delegation made up of Tuwharetoa (Danny Loughlin and Francene Wineti), Ngai Tahu and others to embrace innovation including:

Visited Finistere Ventures, a successful venture capital fund based in the USA with other international offi ces /presence (Israel, Ireland and New Zealand).

Visited companies who were part of the Finistere Ventures portfolio and their senior management. Meeting other USA co-investors.

A N N U A L R E P O R T 2 0 2 0 15

The companies visited included:

Since its founding, Memphis Meats has been the world leader in cell-cultured meat

Indoor vertical farms

Good Eggs is an online marketplace designed to deliver groceries to customers’ homes. The company deals directly with farmers allowing them to provide fresh, sustainably sourced groceries to their customers.

Automated smart Fridges put chef-curated meals and snacks

Investors in food businesses

Nathan Reid

Chairperson, Ngāti Tūwharetoa Fisheries Holdings Limited

N G Ā T I T Ū W H A R E T O A F I S H E R I E S C H A R I T A B L E T r u s t16

FINANCIAL STATEMENTSAND AUDITOR’S REPORTS

AS AT 30TH SEPTEMBER 2020

NGĀTI TŪWHARETOA FISHERIES CHARITABLE TRUST PAGE

Consolidated Performance ReportFor the Year Ended 30th September 2020 17 – 33

NGĀTI TŪWHARETOA FISHERIES HOLDINGS LIMITED

Consolidated Performance ReportFor the Year Ended 30th September 2020 34 – 48

A N N U A L R E P O R T 2 0 1 9 17

LEGAL NAME OF ENTITY

Ngāti Tūwharetoa Fisheries Group is comprised of Ngāti Tūwharetoa Fisheries Charitable Trust (NTFCT) and its subsidiary Ngāti Tūwharetoa Fisheries Holdings Limited (NTFHL).

ENTITY TYPE AND LEGAL BASIS

Ngāti Tūwharetoa Fisheries Charitable Trust is a Charitable Trust incorporated under the Charitable Trusts Act 1957.Ngāti Tūwharetoa Fisheries Holdings Limited is a company registered under the Companies Act 1993.

REGISTRATION NUMBER

NTFCT: Charities Commission registration number CC20197.NTFHL: Charities Commission registration number CC20221 and Company Offi ce number 1899480.

ENTITY’S PURPOSE OR MISSION

The purposes for which the Trust is established are to receive, hold, manage and administer the Trust Fund for every charitable purpose benefi ting Ngāti Tūwharetoa including:

a. the protection and enhancement of the mana and rangātiratanga of Ngāti Tūwharetoa, its taonga, its Arikitanga and its members;

b. the promotion of the educational, spiritual, economic, social and cultural advancement and well-being of Ngāti Tūwharetoa and its hapū;

c. the maintenance and establishment of placesof cultural or spiritual signifi cance to Ngāti Tūwharetoa;

d. the promotion within Ngāti Tūwharetoa ofhealth and well-being and relief of the aged; and

e. any other matter benefi cial to the communityof Ngāti Tūwharetoa and all the members ofNgāti Tūwharetoa.

MAIN SOURCES OF THE ENTITY’S CASH AND RESOURCES

The main source of the company’s cash and resources is from sales of ACE and dividends received.

ENTITY’S RELIANCE ON VOLUNTEERS & DONATED GOODS OR SERVICES

NTFCT and NTFHL are not reliant on volunteers or donated goods and services in their operations.

MAIN METHODS USED BY THE ENTITY TO RAISE FUNDS

The main method used by the Group to raise funds is by way of selling ACE quota held by NTFHL and dividends from its investments.

CONTACT DETAILS

Physical Address: 81 Horomatangi Street, TaupōPostal Address: PO Box 126 TaupōPhone: 0064 (7) 377 3176Email / Website: www.ntf.maori.nz [email protected]

NGĀTI TŪWHARETOA FISHERIES CHARITABLE TRUST

ENTITY INFORMATION


TRUSTEESJudy Harris (Chairperson)Heemi Biddle (Deputy Chairperson)Karilyn Te RiiniShaneen Simpson-AlmondTangonui KingiTuirirangi te Heuheu

ACCOUNTANTSFlash Admin & Taxation Services LimitedPO Box 1998Taupō

AUDITORSSilks Audit Chartered Accountants Limited

BANKERSBank of New Zealand DATE OF FORMATION30th January 2007

SOLICITORSKahui LegalWellington


DIRECTORYAS AT 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 19

DESCRIPTION OF THE ENTITY’S OUTCOMES The purposes for which the Trust is established are to receive, hold, manage and administer the Trust Fund for every charitable purpose benefiting Ngāti Tūwharetoa including:

a. the protection and enhancement of the mana and rangātiratanga of Ngāti Tūwharetoa, its taonga, its Arikitanga and its members;

b. the promotion of the educational, spiritual, economic, social and cultural advancement and well-being of Ngāti Tūwharetoa and its hapū;

c. the maintenance and establishment of places of cultural or spiritual significance to Ngāti Tūwharetoa;

d. the promotion within Ngāti Tūwharetoa of health and well-being and relief of the aged; and

e. any other matter beneficial to the community of Ngāti Tūwharetoa and all the members of Ngāti Tūwharetoa.

DESCRIPTION AND QUANTIFICATION OF THE ENTITY’S OUTPUTS

2020 2019

Activities in the Year to Balance Date:

Number of Trustees meetings held 5 6

Number of Directors meetings held 2 4

TMTB Distributions

Education Grants $232,000 $210,000

NTBOP Distributions

School Costs Grant, Pakeke Grant and University Grants $138,000 $125,000


STATEMENT OF SERVICE PERFORMANCEAS AT 30TH SEPTEMBER 2020


INDEPENDENT AUDITOR’S REPORT

To the Trustees of Ngati Tuwharetoa Fisheries Charitable Trust

Report on the Consolidated Performance ReportWe have audited the consolidated performance report of Ngati Tuwharetoa Fisheries Charitable Trust and Group on pages 17,19,22 to 33 which comprises the entity information, the statement of service performance, the consolidated statement of fi nancial performance and consolidated statement of cash fl ows for the year ended 30 September 2020, the consolidated statement of fi nancial position as at 30 September 2020, and the statement of accounting policies and other explanatory information.In our opinion:

a) the reported outcomes and outputs, and quantifi cation of the outputs to the extent practicable, in the statement of service performance are suitable;

b) the accompanying consolidated performance report on pages 17,19,22 to 33 presents fairly, in all material respects, the entity information for the year then ended;

• the service performance for the year then ended; and• the consolidated fi nancial position of Ngati Tuwharetoa Fisheries Charitable Trust and Group as at 30 September • 2020, and its consolidated fi nancial performance, and consolidated cash fl ows for the year then ended in accorance with Public

Benefi t Entity Simple Format Reporting – Accrual (Not-For-Profi t) issued by the New Zealand Accounting Standards Board

Basis for Opinion We conducted our audit of the consolidated statement of fi nancial performance, consolidated statement of fi nancial position, consolidated statement of cash fl ows, statement of accounting policies and notes to the performance report in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)), and the audit of the entity information and statement of service performance in accordance with the International Standard on Assurance Engagements (New Zealand) ISAE (NZ) 3000 (Revised). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the consolidated Performance Report section of our report. We are independent of the Group in accordance with Professional and Ethical Standard 1 (Revised) Code of Ethics for Assurance Practitioners issued by the New Zealand Auditing and Assurance Standards Board, and we have fulfi lled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is suffi cient and appropriate to provide a basis for our opinion.

Other than in our capacity as auditor we have no relationship with, or interests in, the Ngati Tuwharetoa Fisheries Charitable Trust or any of its subsidiaries.

Responsibilities of the Trustees for the Consolidated Performance ReportThe Trustees are responsible for:

(a) Identifying outcomes and outputs, and quantifying the outputs to the extent practicable, that are relevant, reliable, comparable and understandable, to report in the statement of service performance;

(b) the preparation and fair presentation of the consolidated performance report on behalf of the entity which comprises: • the entity information; • the statement of service performance; and • the consolidated statement of fi nancial performance, consolidated statement of fi nancial position, consolidated statement of cash fl ows, statement of accounting policies and notes to the performance report in accordance with Public Benefi t Entity Simple Format Reporting – Accrual (Not-For-Profi t) issued by the New Zealand Accounting Standards Board, and

(c) such internal control as the Trustees determine is necessary to enable the preparation of the consolidated performance report that is free from material misstatement, whether due to fraud or error.

A N N U A L R E P O R T 2 0 2 0 21

In preparing the consolidated performance report, the Trustees are responsible on behalf of the Group for assessing the entity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or to cease operations, or have no realistic alternative but to do so.

Auditor’s Responsibilities for the Audit of the Performance ReportOur objectives are to obtain reasonable assurance about whether the consolidated performance report is free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (NZ) and ISAE (NZ) 3000 (Revised) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to infl uence the economic decisions of users taken on the basis of this consolidated performance report.

As part of an audit in accordance with ISAs (NZ) and ISAE (NZ) 3000 (Revised), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the performance report, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is suffi cient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of the use of the going concern basis of accounting by the trustees and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast signifi cant doubt on the entity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the performance report or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Trust to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the performance report, including the disclosures, and whether the performance report represents the underlying transactions and events in a manner that achieves fair presentation.

• Perform procedures to obtain evidence about and evaluate whether the reported outcomes and outputs, and quantifi cation of the outputs to the extent practicable, are relevant, reliable, comparable and understandable.

• We communicate with the Trustees regarding, among other matters, the planned scope and timing of the audit and signifi cant audit fi ndings, including any signifi cant defi ciencies in internal control that we identify during our audit.

Restriction on Responsibility This report is made solely to the trustees, as a body, in accordance with section 42F of the Charities Act 2005. Our audit work has been undertaken so that we might state to the trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Cameron TownSilks Audit Chartered Accountants LimitedWhanganui, New Zealand

Date: 12 March 2021


The accompanying notes form part of these Financial Statements and should be read in conjunction with the reports contained herein.

Note 2020 2019

Revenue

Donations, fundraising and other similar revenue 1 12,500 165,125

Revenue from providing goods or services 1 679,618 685,543

Interest, dividends and other investment revenue 1 763,636 604,017

Other revenue 1 135,301 206,847

TOTAL REVENUE 1,591,055 1,661,532

Expenses

Volunteer and employee related costs 2 261,839 263,849

Costs related to providing goods or services 2 318,174 503,523

Grants and donations made 2 545,737 415,003

Other expenses 2 2,930 4,544

TOTAL EXPENSES 1,128,680 1,186,919

SURPLUS/(DEFICIT) FOR THE YEAR 462,375 474,613


CONSOLIDATED STATEMENT OF FINANCIAL PERFORMANCEAS AT 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 23

Trustee

Trustee

12th March 2021

12th March 2021


Note 2020 2019

Assets

CURRENT ASSETS

Bank accounts and cash 3 42,607 105,856

Debtors and prepayments 3 280,521 306,330

Other current assets 3 2,133,757 1,732,290

TOTAL CURRENT ASSETS 2,456,885 2,144,476

NON-CURRENT ASSETS

Property, plant and equipment 4 9,503 10,794

Investments 3 25,355,221 25,264,531

TOTAL NON-CURRENT ASSETS 25,364,724 25,275,325

TOTAL ASSETS 27,821,609 27,419,801

Liabilities

Creditors and accrued expenses 3 46,579 109,646

Employee costs payable 3 10,000 7,500

TOTAL CURRENT LIABILITIES 56,579 117,146

TOTAL ASSETS LESS TOTAL LIABILITIES (NET ASSETS) 27,765,030 27,302,655

Accumulated Funds

Capital contributed by owners or members 5 2,649,443 2,649,443

Accumulated surpluses or (defi cits) 5 25,115,587 24,653,212

TOTAL ACCUMULATED FUNDS 27,765,030 27,302,655


CONSOLIDATED STATEMENT OF FINANCIAL POSITIONAS AT 30TH SEPTEMBER 2020

For and on behalf of the Trustees;


2020 2019

CASH FLOWS FROM OPERATING ACTIVITIES

Cash was received from:

Donations, fundraising and other similar receipts 54,863 114,137

Receipts from providing goods or services 697,153 665,973

Interest, dividends and other investment receipts 742,469 476,069

Net GST 25,330 7,177

Net Income Tax/MATC (23,112) 9,436

Cash was applied to:

Payments to suppliers and employees 627,773 708,294

Donations or grants paid 546,887 394,815

NET CASH FLOWS FROM OPERATING ACTIVITIES 322,043 169,683

CASH FLOWS FROM INVESTING & FINANCING ACTIVITIES


Receipts from the sale of investments 260,000 770,000

Capital distributions from investments - 35,000


Payments to acquire property, plant and equipment 1,638 797

Payments to purchase investments 643,653 935,275

NET CASH FLOWS FROM INVESTING & FINANCING ACTIVITIES (385,292) (131,072)

NET INCREASE (DECREASE) IN CASH HELD (63,249) 38,611

Opening Cash 105,856 67,245

Closing Cash 42,607 105,856

This is represented by:

Bank Accounts and Cash 42,607 105,856


CONSOLIDATED STATEMENT OF CASH FLOWSAS AT 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 25

BASIS OF PREPARATIONNgāti Tūwharetoa Fisheries Charitable Trust has elected to apply PBE SFR-A (NFP) Public Benefit Entity Simple Format Reporting - Accrual (Not for Profit) as established by the External Reporting Board for registered charities, on the basis that it does not have public accountability and has total annual expenses of equal to or less than $2,000,000. All transactions in the Statement of Financial Performance are reported using the accrual basis of accounting. The accounting principles recognised as appropriate for the measurement and reporting of earnings and financial position on an historical cost basis have been used, with the exception of certain items for which specific accounting policies have been identified. The Financial Statements are prepared under the assumption that the entity will continue to operate in the foreseeable future.

BASIS OF CONSOLIDATIONThe consolidated financial statements comprise the Ngāti Tūwharetoa Fisheries Charitable Trust and its subsidiary Ngāti Tūwharetoa Fisheries Holdings Limited. The Trust has elected to apply PBE IPSAS 6 Consolidated and Separate Financial Statements. Ngāti Tūwharetoa Fisheries Holdings Limited is 100% owned by Ngāti Tūwharetoa Fisheries Charitable Trust.

FUNCTIONAL AND PRESENTATION CURRENCYThese financial statements are presented in New Zealand dollars ($), which is the Group’s functional currency. All amounts are rounded (up or down as appropriate) to the nearest dollar. GOODS AND SERVICES TAX (GST)These financial statements have been prepared on a GST exclusive basis with the exception of accounts receivable and accounts payable which are shown inclusive of GST.

INCOME TAXNgāti Tūwharetoa Fisheries Charitable Trust is wholly exempt from New Zealand income tax having fully complied with all statutory conditions for these exemptions.

BANK ACCOUNTS AND CASHBank accounts and cash in the Statement of Cash Flows comprise cash balances and bank balances.

PROPERTY, PLANT & EQUIPMENTThe entity has the following classes of Property, Plant & Equipment: Office Equipment 16-67% DV Plant & Equipment 13-48% DV All property, plant & equipment except for land is stated at cost less depreciation. Depreciation has been calculated in accordance with rates permitted under the Income Tax Act 2007.”

INVESTMENTSAotearoa Fisheries Limited (Moana) Income Shares Ngāti Tūwharetoa Fisheries Holdings Limited received Fisheries Settlement Assets of 5,039 Aotearoa Fisheries Limited Moana Income Shares for NIL consideration pursuant to Section 139 of the Māori Fisheries Act 2004. These have been entered into the accounts in accordance with the ‘Not for Profit - Financial Reporting Guide’ para 4.122. The share value as at 30 September 2020 is based upon the share valuation commissioned by Te Ohu Kaimoana. The share valuation was completed by Taylor Duignan Barry Limited on the 28 January 2009. Te Ohu Kaimoana have not commissioned any subsequent valuation to date. The Company has recorded the Moana shares value on the latest available valuation. The Company owns 5,039 out of a total of 125,000 income shares in Moana. During the 2013 year, Ngāti Tūwharetoa Fisheries Holdings Limited received a one for one bonus issue of shares in Moana. Ngāti Tūwharetoa Fisheries Holdings Limited now owns 10,078 out of 250,000 shares in Moana. These investments are measured at cost.


STATEMENT OF ACCOUNTING POLICIESAS AT 30TH SEPTEMBER 2020


Iwi Collective Partnership (ICP) General Partner Limited Shares: As a result of the Amalgamation with Ngāti Tūwharetoa Fisheries Limited, Ngāti Tūwharetoa Fisheries Holdings Limited holds 1 ordinary share issued by ICP General Partner Limited at a cost price of $167. This equates to 6.67% of total shares issued.” ICP Kōura Facilities LP: Ngāti Tūwharetoa Fisheries Holding Limited has contributed $ 157,445 (2019: $182,969) in working capital to the ICP Koura Facilities LP as at 30 September 2020. These investments are measured at cost.ICP Koura Operations LP: Ngāti Tūwharetoa Fisheries Holding Limited has contributed $29 (2019: $14,847) in working capital to the ICP Koura Operations LP as at 30 September 2020. These investments are measured at cost.Bay Packers LP: Bay Packers Limited Partnership is a Limited Liability Partnership created by 4 North Island iwi and Moana to buy the assets of Bay Packers (NZ) Limited and Petromont Export Limited a fish processing, retail and export business. NTFHL holds 20% of the equity in the partnership. The investment is classified as an investment in associate and has a carrying value of $641,445 (2019: $727,862). This is measured using the equity method as set out in PBE IPSAS 36 Investments in Associates and Joint Ventures.Tūwharetoa Hau Rau LP: Tuwharetoa Hau Rau Limited Partnership is a Limited Liability Partnership formed from ~26 Iwi or Maori commercial investors to invest in private market transactions alongside other long-term NZ focussed investors via Te Pūia Tāpapa Limited Partnership. The investment in Tuwharetoa Hau Rau LP is measured at cost less any identified impairment.Taupō Moana Investments (Iwi Investor): Taupo Moana Investments is measured at fair value in accordance with PBE IPSAS 29 Financial Instruments: Recognition and Measurement. Gains and losses on the values of the investment are recorded in the Statement of Financial PositionTuwharetoa Gondola LP Tuwharetoa Gondola Limited Partnership is a Limited Liability Partnership created to invest in the bond issue by Ruapehu Alpine Lifts. The investment in Tuwharetoa Gondola LP is measured at cost less any identified impairment.NZ FV Investors LP NZ FV Investors LP is a Limited Liability Partnership created to enable New Zealand investors to invest in US based venture capital investment entity Finistere Ventures III LP. The investment in NZ FV Investors LP is measured at cost less any identified impairment.

REVENUEInterest is recorded as revenue as it is earned during the period. Dividend income is recognised when the dividend is declared.

EMPLOYEE BENEFITSEmployees benefits is recognised when the service is performed. Annual leave is accrued as earned.

RECEIVABLESReceivables are stated at their estimated realisable value. Bad debts are written off in the year in which they are identified.

RESEARCH AND DEVELOPMENTExpenditure on research activities, undertaken with the prospect of gaining new scientific or technical knowledge and understanding, is recognised in the income statement when incurred.

PROVISIONSProvisions are recognised when the entity has a present obligation (legal or constructive) as a result of a past event and it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation.

TIER 2 PBE ACCOUNTING STANDARDS APPLIEDNgāti Tūwharetoa Fisheries Holdings Limited has applied the following Tier 2 Reporting Standards: PBE IPSAS 6


STATEMENT OF ACCOUNTING POLICIES (CONT.)AS AT 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 27

Note 1. ANALYSIS OF REVENUE

2020 2019

Donations and other similar revenue

Grants received 12,500 165,125

TOTAL 12,500 165,125

Revenue from providing goods or services

Reimbursement of expenditure

Marquee Hire 1,350 6,972

ACE Revenue 689,660 693,917

Share of Kōura Facilities LP profit 10,000 21,024

Share of ICP Kōura Operations LP profit 5,247 15,047

Bay Packers LP profit (26,639) (51,417)

TOTAL 679,618 685,543

Interest, dividends and other investment revenue

Dividends Received 707,208 544,777

Interest received 56,428 59,240

TOTAL 763,636 604,017

Other revenue

Realised/Unrealised Gains & Losses (3,359) 206,847

Te Ohu Kaimoana Distribution 137,685 -

Other Revenue 975 -

TOTAL 135,301 206,847


NOTES TO THE PERFORMANCE REPORTFOR THE YEAR ENDED 30TH SEPTEMBER 2020

Consolidated and Separate Financial Statements for the Consolidated Performance Report; PBE IPSAS 29 Financial Instruments: Recognition and Measurement for the recognition and measurement of Taupō Moana Investments; PBE IPSAS 36 Investments in Associates and Joint Ventures for recording the investment in Bay Packers LP.

CHANGES IN ACCOUNTING POLICIESThere have been no changes in accounting policies during the financial year (last year - nil).

AUDITThese financial statements have been subject to audit, please refer to Auditor’s Report.


Note 2: ANALYSIS OF EXPENSES

2020 2019

Volunteer and employee related costs

Directors’ Fees 30,000 30,000

Director’s Expenses 2,304 2,882

Professional Development/Training 11,583 2,827

Governance 86,417 90,548

Wages 131,535 137,592

TOTAL 261,839 263,849

Costs related to providing goods or services

ACC & Insurance 5,953 6,248

Accountancy/Secretarial 52,182 38,933

AGM Expenses 11,374 13,412

Audit 10,785 10,585

Bank Charges 496 492

Communications 5,374 7,918

Computer Expenses 1,221 1,240

Conference/Hui Expenses 1,494 12,710

Consulting Fees 8,478 25,019

Elections - 6,737

Iwi Register 17,521 6,282

Interest Expense - 1,718

Investment Fees 26,368 29,507

Office Expenses 10,746 6,924

Research & Development 17,000 209,711

Seafood Levies 126,656 95,611

Subscriptions 8,049 2,249

Telephone, Tolls & Internet 4,185 4,509

Travel - National 3,746 22,620

Travel - International 5,534 -

Website Expenses 1,012 1,098

TOTAL 318,174 503,523


NOTES TO THE PERFORMANCE REPORT (CONT.)FOR THE YEAR ENDED 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 29

Note 3: ANALYSIS OF ASSETS AND LIABILITIES

Bank accounts and cash

BNZ Current account 3,900 8,612

BNZ Call account 40,960 98,302

BNZ Visa account (2,253) (1,058)

TOTAL 42,607 105,856

Debtors and prepayments

Accounts Receivable 267,938 301,564

Accrued Interest 1,233 1,233

Payments in Advance 11,350 3,533

TOTAL 280,521 306,330

2020 2019

Grants and donations made

Iwi Benefits - Miscellaneous 22,253 19,815

Marquee Expenses 4,135 9,652

Paramountcy Support 40,000 40,000

Pataka Kai 2,949 6,836

Social 370,000 335,000

Koha 1,488 3,700

Covid-19 104,912 -

TOTAL 545,737 415,003

Other expenses

Depreciation 2,930 4,544

Loss on Sale - -

TOTAL 2930 4,544

Ngāti Tūwharetoa Fisheries Charitable Trust holds a BNZ Business Visa credit card with a $5,000 limit.




Note 3: ANALYSIS OF ASSETS AND LIABILITIES (Cont.)

2020 2019

Other current assets

GST Refund Due (21,864 ) 1,023

BNZ Term Deposit account 2,059,220 1,657,977

Taxation 96,401 73,290

TOTAL 2133757 1,732,290

Investments

207,143 CRA3 Quota shares 210,210 210,210

94,205 CRA4 Quota shares 203,211 203,211

10,078 Aotearoa Fisheries Limited income shares 11,892,040 11,892,040

Quota allocation on formation 6,039,611 6,039,611

Quota allocation on further settlement 256,640 256,640

Purchased Quota (Antons) 555,867 555,867

ICP General Partner Ltd (1 share) 168 168

ICP Kōura Facilities LP 157,445 157,445

ICP Kōura Operations LP 31 29

NZ FV Investors LP 529,82 -

Bay Packers LP 614,806 641,445

Taupō Moana Investments 4,769,797 4,796,123

Tūwharetoa Gondola LP 500,000 500,000

Tūwharetoa Hau Rau LP 102,413 11,742

TOTAL 25,355,221 25,264,531

Employee costs payable

Provision for Holiday Pay 10,000 7,500

Wages payable -

TOTAL 10,000 7,500

Creditors and accrued expenses

Accounts Payable 46,579 109,646

TOTAL 46,579 109,646



A N N U A L R E P O R T 2 0 2 0 31

2019

Asset Class Opening Carrying Amount Purchases Sales/

Disposals

Current Year Depreciation and

Impairment

Closing Carrying Amount

Office equipment 4,520 798 2,465 2,853

Plant & Equipment 10,020 2,079 7,941

TOTAL 14,540 798 - 4,544 10,794

2019

Capital Contributed by Owners or Members

Accumulated Surpluses or Deficits Reserves Total

Opening Balance 2,649,443 24,178,599 - 26,828,042

Surplus/(Deficit) 474,613 - 474,613

CLOSING BALANCE 2,649,443 24,653,212 - 27,302,655

2020

Capital Contributed by Owners or Members


Opening Balance 2,649,443 24,653,212 - 27,302,655

Surplus/(Deficit) - 462,375 - 462,375

CLOSING BALANCE 2,649,443 25,115,587 - 27,765,030

2020

Asset Class Opening Carrying Amount Purchases Sales/Disposals

Current Year Depreciation and

Impairment

Closing Carrying Amount

Office equipment 2,853 1,639 1,381 3,111

Plant & Equipment 7,941 - 1,549 6,392

TOTAL 10,794 1,639 2,930 9,503



Note 4: PROPERTY, PLANT AND EQUIPMENT

Note 5: ACCUMULATED FUNDS


Note 7: RELATED PARTY TRANSACTIONS

2020 2019 2020 2019

Description of Related Party Relationship

Description of the Transaction (whether in cash or amount in kind)

Value of Transactions


Amount Outstanding

Amount Outstanding

NTFHL Director Nathan Reid

Is also a Director of ICP General Partner Ltd - - - -

Ownership in ICP Entities; ICP ACE Holdings LP Income distributions received 598200 481,720 - -

Ownership in ICP Entities; ICP Inshore ACE LP Income distributions received 34034 33,717 - -

Ownership in ICP Entities; ICP Koura Facilities LP Income distributions received 10000 21,024 - -

Ownership in ICP Entities; ICP Koura Operations LP Income distributions received 25385 40,603 - -

NTFCT; Tūwharetoa Māori Trust Board

A representative Trustee exists; grant funding provided 232000 219,000 - -


A representative Trustee exists; rent paid for office premises 7898 5,440 - -


A representative Trustee exists: administration fees paid for office support

30461 19,579 - -


A representative Trustee exists; fees paid for Diligent Boardbooks 5093 4,239 - -

NTFCT; Tūwharetoa Settlement Trust (BoP)

A representative Trustee exists; grant funding provided 138000 125,000 - -

NTFCT; He Akina Limited

Danny Loughlin (GM) is a director and Trustee Heemi Biddle is a shareholder by virtue of his status as a Trustee of Tauhara Moana Trust; fees paid for pataka kai management.

2332 4,218 - 285

Deepwater Group NTFHL Director Nathan Reid Is also a Director of Deepwater Group Ltd. Seafood levies/share of research/survey costs:

9432 10556 - -

Fisheries Inshore NZ Ltd NTFHL Director Nathan Reid Is also a Director of Fisheries Inshore NZ Ltd. Seafood levies :

2731 - - -



Note 6: COMMITMENTS AND CONTINGENCIES

Commitments: Ngati Tuwharetoa Fisheries Charitable Trust has committed to invest $128,000 USD in NZ FV Investors LP. As at balance date $94,984 USD remains to be calledContingent Liabilities and Guarantees: There are no contingent liabilities or guarantees as at balance date (Last Year - nil )

A N N U A L R E P O R T 2 0 2 0 33

Note 8: EVENTS AFTER THE BALANCE DATE

The Trust has made further capital contributions to Tuwharetoa Hau Rau LP totalling $174,831. This consisted of two capital calls of $86,580 in October 2020 and $88,251 in December 2020. The Trust has invested $95,000 USD by subscribing for a Convertible Note in BioLumic Inc. Including the brokerage fee of $950 USD this equated to approximately $137,954 NZD.

Note 9: ABILITY TO CONTINUE OPERATING

These financial statements have been prepared on the basis that the Group is a going concern.

Note 10: SECURITIES AND GUARANTEES

There was no overdraft as at balance date nor was any facility arranged.

Note 12: IMPUTATION CREDIT ACCOUNT

At balance date imputation credits available to the shareholders were:

Note 11: TAXATION

The Company has charitable status and is exempt from Income Tax. The Company, under its charitable status, is entitled to claim from Inland Revenue Department the Maori Authority tax credits attached to the AFL dividend received. During the year ended 30 September 2020, a claim will be made for $96,370 which relates to the 2020 year. During the year ended 30 September 2020 the trust received refunds of Maori Authority Tax Credits of $96,370.

During the year ended 30 September 2020, the trust received refunds of Maori Authority Tax Credits of $73,227.

2020 2019

RWT credits attached to Interest income received 26 57

Māori Authority Tax Credits 96,370 73,227

Inland Revenue Interest - 6

CLOSING BALANCE 96,396 73,290




LEGAL NAME OF ENTITYNgāti Tūwharetoa Fisheries Holdings Limited (NTFHL).

ENTITY TYPE AND LEGAL BASISNgāti Tūwharetoa Fisheries Holdings Limited is a company registered under the Companies Act 1993.

REGISTRATION NUMBERCharities Commission registration number CC20221. Company Office number 1899480.

ENTITY’S PURPOSE OR MISSIONNTFHL holds Settlement Quota, the Income Shares and other assets for the benefit of NTFCT (the Shareholder), such purposes to be promoted by the payment of dividends or other revenue or capital distributions to the Shareholder.

MAIN SOURCES OF THE ENTITY’S CASH AND RESOURCESThe main source of the company’s cash and resources is from sales of ACE and dividends received.

ENTITY’S RELIANCE ON VOLUNTEERS & DONATED GOODS OR SERVICESNTFHL is not reliant on volunteers but does receive donated goods and services in its operations.

MAIN METHODS USED BY THE ENTITY TO RAISE FUNDSThe main method used by the Group to raise funds is by way of selling ACE quota held by NTFHL and dividends from its investments.


ENTITY INFORMATIONAS AT 30TH SEPTEMBER 2020

Annual Report 2020 | 35

REGISTERED OFFICEFlash Admin & Taxation Services Limited47 Parekawa Drive, Motuoapa RD2Turangi 3382

DIRECTORSDanny A LoughlinPaki R RawiriRobert N ReidFrancene Wineti

COMPANY NUMBER1899480

AUDITORSSilks Audit Chartered Accountants Limited

COMPANY STATUSClosely Held Company

ACCOUNTANTSFlash Admin & Taxation Services LimitedPO Box 1998Taupō

BANKERSBank of New Zealand

DATE OF FORMATION19th January 2007

SHAREHOLDERSNgāti Tūwharetoa Fisheries Charitable Trust 100 Ordinary Shares 100


COMPANY DIRECTORYAS AT 30TH SEPTEMBER 2020


DESCRIPTION OF THE ENTITY’S OUTCOMESThe purposes for which the company is established is to hold Settlement Quota, the Income Shares and other assets for the benefit of NTFCT the Shareholder, such purposes to be promoted by the payment of dividends or other revenue or capital distributions to the Shareholder.

2020 2019

Numbers at Balance Date:

Number of Investment opportunities being investigated 1 2

Activities in the year to balance Date:

Number of Directors meetings held 2 4

Distribution to Shareholder $700,000 $500,000

DESCRIPTION AND QUANTIFICATION OF THE ENTITY’S OUTPUTS


STATEMENT OF SERVICE PERFORMANCEAS AT 30TH SEPTEMBER 2020

Annual Report 2019 | 37

INDEPENDENT AUDITORS REPORT

To the shareholder of Ngati Tuwharetoa Fisheries Holdings Limited

Report on the Audit of the Financial Statements

OpinionWe have audited the fi nancial statements of Ngati Tuwharetoa Fisheries Holdings Limited (the Company) on pages 39 to 48, which comprise the statement of fi nancial position as at 30 September 2020, and the statement of fi nancial performance and statement of cash fl ows for the year then ended, and notes to the fi nancial statements, including a summary of signifi cant accounting policies.

In our opinion, the accompanying fi nancial statements present fairly, in all material respects, the fi nancial position of the Company as at 30 September 2020, and its fi nancial performance and its cash fl ows for the year then ended in accordance with Public Benefi t Entity Simple Format Reporting Standard – Accrual (Not-For-Profi t).

Basis for OpinionWe conducted our audit in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with Professional and Ethical Standard 1 (Revised) Code of Ethics for Assurance Practitioners issued by the New Zealand Auditing and Assurance Standards Board and the International Ethics Standards Board for Accountants’ Code of Ethics for Professional Accountants (IESBA Code), and we have fulfi lled our other ethical responsibilities in accordance with these requirements and the IESBA Code. We believe that the audit evidence we have obtained is suffi cient and appropriate to provide a basis for our opinion.

Other than in our capacity as auditor we have no relationship with, or interests in, the Company.

Other informationThe Directors are responsible on behalf of the Company for the other information. The other information comprises the Entity Information and Statement of Service Performance but does not include the fi nancial statements and our auditor’s report thereon.

Our opinion on the fi nancial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the fi nancial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the fi nancial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If based, on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Directors’ Responsibilities for the Financial StatementsThe Directors are responsible on behalf of the Company for the preparation and fair presentation of the fi nancial statements in accordance with Public Benefi t Entity Simple Format Reporting Standard – Accrual (Not-For-Profi t), and for such internal control as the directors determine is necessary to enable the preparation of fi nancial statements that are free from material misstatement, whether due to fraud or error.

In preparing the fi nancial statements, the Directors are responsible on behalf of the Company for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

Annual Report 2019 | 38Annual Report 2019 | 38

Auditors Responsibilities for the Audit of the Financial StatementsOur objectives are to obtain reasonable assurance about whether the fi nancial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (NZ) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to infl uence the economic decisions of users taken on the basis of these fi nancial statements.

A further description of the auditors responsibilities for the audit of the fi nancial statements is located at the External Reporting Board’s website at:

http://www.xrb.govt.nz/standards-for-assurance-practitioners/auditors-responsibilities/audit-report-8/

Cameron TownSilks Audit Chartered Accountants LtdWhanganui, New Zealand

Date: 12 March 2021

A N N U A L R E P O R T 2 0 1 9 39


STATEMENT OF FINANCIAL PERFORMANCEFOR THE YEAR ENDED 30TH SEPTEMBER 2020

Note 2020 2019

Revenue

Donations, fundraising and other similar revenue 1 7,500 118,500

Revenue from providing goods or services 1 678,259 678,571

Interest, dividends and other investment revenue 1 590,981 461,588

Other revenue 1 975 0

TOTAL REVENUE 1,277,715 1,258,659

Expenses

Costs related to providing goods or services 2 248,533 363,874

TOTAL EXPENSES 248,533 363,874

SURPLUS FOR THE YEAR 1,029,182 894,785



Note 2020 2019

Assets

Current assets

Bank accounts and cash 3 28,493 97,811

Debtors and prepayments 3 269,012 293,330

Other current assets 3 2,129,434 1,728,970

TOTAL CURRENT ASSETS 2,426,939 2,120,111

Non-current assets

Investments 3 19,930,029 19,956,666

TOTAL NON-CURRENT ASSETS 22,326,781 19,956,666

TOTAL ASSETS 22,356,968 22,076,777

Liabilities

Current liabilities

Creditors and accrued expenses 3 30,187 79,177

TOTAL CURRENT LIABILITIES 30,187 79,177

TOTAL LIABILITIES 30,187 79,177

TOTAL ASSETS LESS TOTAL LIABILITIES (Net Assets) 22,326,781 21,997,600

Accumulated Funds

Capital contributed by owners or members - -

Accumulated surpluses or (defi cits) 4 22,326,781 21,997,599

Reserves - -

TOTAL ACCUMULATED FUNDS 22,326,781 21,997,599

Director

Director

12th March 2021

12th March 2021


For and on behalf of the Trustees;

NGĀTI TŪWHARETOA FISHERIES HOLDINGS LIMITEDSTATEMENT OF FINANCIAL POSITION

AS AT 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 41

2020 2019

Cash Flows from Operating Activities


Donations, fundraising and other similar receipts 42,000 75,375

Receipts from providing goods or services 696,763 659,001

Interest, dividends and other investment receipts 589,738 461,585

Net GST 23,891 2,517

Net Income Tax/MATC (23,112) 9,436


Payments to suppliers and employees 298597 300,987

NET CASH FLOWS FROM OPERATING ACTIVITIES 1,030,683 906,927

Investing & financing activities


Receipts from the sale of investments - -

Capital distributions from investments - 35,000

Capital contributed from owners or members - -


Payments to purchase investments 400,000 395,275

Capital repaid to owners or members 700,000 500,000

NET CASH FLOWS FROM INVESTING & FINANCE ACTIVITIES (1,100,000) (860,275)

NET INCREASE (DECREASE) IN CASH HELD (69,317) 46,652

Opening Cash 97,811 51,160

Closing Cash 28,494 97,812

This is represented by:

Bank Accounts and Cash 28,493 97,811

NGĀTI TŪWHARETOA FISHERIES HOLDINGS LIMITED STATEMENT

OF CASH FLOWS


STATEMENT OF CASH FLOWSFOR THE YEAR ENDED 30TH SEPTEMBER 2020


BASIS OF PREPARATIONNgāti Tūwharetoa Fisheries Holdings Limited has elected to apply PBE SFR-A (NFP) Public Benefit Entity Simple Format Reporting - Accrual (Not-For-Profit) on the basis that it does not have public accountability and has total annual expenses of equal to or less than $2,000,000. All transactions in the Performance Report are reported using the accrual basis of accounting. The Performance Report is prepared under the assumption that the entity will continue to operate in the foreseeable future. The consolidated performance report comprise of Ngāti Tūwharetoa Fisheries Charitable Trust and its subsidiary Ngāti Tūwharetoa Fisheries Holdings Limited.

FUNCTIONAL AND PRESENTATION CURRENCYThe financial statements are presented in New Zealand dollars ($), which is the Company’s functional currency. All amounts are rounded (up or down as appropriate) to the nearest dollar.

GOODS AND SERVICES TAX (GST)These financial statements have been prepared on a GST exclusive basis with the exception of accounts receivable and accounts payable which are shown inclusive of GST. The entity is registered for GST on a Group basis.

INCOME TAXNgāti Tūwharetoa Fisheries Holdings Limited is wholly exempt from New Zealand income tax having fully complied with all statutory conditions for these exemptions.

BANK ACCOUNTS AND CASHBank accounts and cash in the Statement of Cash Flows comprise cash balances and bank balances (including short term deposits) with original maturities of 90 days or less.

INVESTMENTSAotearoa Fisheries Limited (Moana) Income Shares. Ngāti Tūwharetoa Fisheries Holdings Limited received Fisheries Settlement Assets of 5,039 Aotearoa Fisheries Limited Moana Income Shares for NIL consideration pursuant to Section 139 of the Māori Fisheries Act 2004. These have been entered into the accounts in accordance with the ‘Not for Profit - Financial Reporting Guide’ para 4.122. The share value as at 30 September 2020 is based upon the share valuation commissioned by Te Ohu Kaimoana. The share valuation was completed by Taylor Duignan Barry Limited on the 28 January 2009. Te Ohu Kaimoana have not commissioned any subsequent valuation to date. The Company has recorded the Moana shares value on the latest available valuation. The Company owns 5,039 out of a total of 125,000 income shares in Moana.


STATEMENT OF ACCOUNTING POLICIESAS AT 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 43

During the 2013 year, Ngāti Tūwharetoa Fisheries Holdings Limited received a one for one bonus issue of shares in Moana. Ngāti Tūwharetoa Fisheries Holdings Limited now owns 10,078 out of 250,000 shares in Moana. The investments are measured at cost. Iwi Collective Partnership (ICP) General Partner Limited Shares. As a result of the Amalgamation with Ngāti Tūwharetoa Fisheries Limited, Ngāti Tūwharetoa Fisheries Holdings Limited holds 1 ordinary share issued by ICP General Partner Limited at a cost price of $167. This equates to 6.67% of total shares issued. ICP Koura Facilities LP. Ngāti Tūwharetoa Fisheries Holding Limited has contributed $ 157,445. (2020: $157,445) in working capital to the ICP Koura Facilities LP as at 30 September 2020. The investments are measured at cost. ICP Koura Operations LPNgati Tuwharetoa Fisheries Holding Limited has contributed $31 (2020: $29) in working capital to the ICP Koura Operations LP as at 30 September 2020. The investments are measured at cost.Bay Packers LP. Bay Packers Limited Partnership is a Limited Liability Partnership created by 4 North Island iwi and Moana to buy the assets of Bay Packers (NZ) Limited and Petromont Export Limited a fish processing, retail and export business.NTFHL holds 20% of the equity in the partnership. The investment is classified as an investment in associate and has a carrying value of $621,445 (2019: $641,445). This is measured using the equity method as set out in PBE IPSAS 36 ‘Investments in Associates and Joint Ventures.’

REVENUEInterest is recorded as revenue as it is earned during the period. Dividend income is recognised when the dividend is declared.

RECEIVABLESReceivables are stated at their estimated realisable value. Bad debts are written off in the year in which they are identified.

RESEARCH AND DEVELOPMENTExpenditure on research activities, undertaken with the prospect of gaining new scientific or technical knowledge and understanding, is recognised in the income statement when incurred.

PROVISIONSProvisions are recognised when the entity has a present obligation (legal or constructive) as a result of a past event and it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation.

TIER 2 PBE ACCOUNTING STANDARDS APPLIEDNgāti Tūwharetoa Fisheries Holdings Limited has applied Tier 2 Reporting Standards: PBE IPSAS 36 ‘Investments in Associates and Joint Ventures’ for recording the investment in Bay Packers LP’.

CHANGES IN ACCOUNTING POLICIESThere have been no changes in accounting policies during the financial year (last year - nil).

AUDITThese financial statements have been subject to audit, please refer to Auditor’s Report.


Note 1: ANALYSIS OF REVENUE2020 2019

Donations and other similar revenue

Grants received 7,500 118,500

TOTAL 7,500 118,500

Note 2: ANALYSIS OF EXPENSES2020 2019

Costs related to providing goods or services

Accountancy/Secretarial 3,564 3,564

Audit 4,190 4,090

Bank Charges 84 120

Consulting Fees - 500

Directors' Fees 30,000 30,000

Director's Expenses 2,304 2,882

Revenue from providing goods or services

ICP Holdings 635,856 596,275

ICP Inshore 38,769 28,001

ICP Kōura Operations 15,035 38,659

AFL - Ihu to Mai - 28,923

Kōura Facilities LP profit 10,000 21,024

Kōura Operations LP profit 5,238 15,047

Bay Packers LP profit (26,639) (51,417)

TOTAL 678,259 678,571

Interest, dividends and other investment revenue

Dividends Received 550,685 418,441

Interest Received 40,296 43,147

TOTAL 590,981 461,588

Other revenue:

Sundry Income 975 -

TOTAL 975 -


NOTES TO THE PERFORMANCE REPORTFOR THE YEAR ENDED 30TH SEPTEMBER 2020

A N N U A L R E P O R T 2 0 2 0 45

Note 3: ANALYSIS OF ASSETS AND LIABILITIES2020 2019

Bank accounts and cash

BNZ Current account 1,821 2,187

BNZ Call account 26,672 95,624

TOTAL 28,493 97,811

Debtors and prepayments

Accounts Receivable 267,938 293,330

Prepayments 1,074 -

TOTAL 269,012 293,330

Other current assets

GST refund Due (26,187) (2,296)

Taxation 96,401 73,289

BNZ Term Deposit account 2,059,220 1,657,977

Beneficiaries' Overdrawn Current Accounts - -

TOTAL 2,129,434 1,728,970

Insurance 2,205 2,205

Interest Expense - 1,718

Operating Expenses 60,000 50,000

Professional Development 3,171 -

Research & Development 10,000 163,086

Seafood Levies 126,656 95,611

Travel - National 825 10,098

Travel - International 5,534 -

TOTAL 248,533 363,874




Note 4: ACCUMULATED FUNDS

2020

2018$

Capital Contributed by Owners or

Members


OPENING BALANCE - 21,997,599 - 21,997,599

Surplus/(Deficit) 1,029,182 1,029,182

Distributions paid to owners or members (700,000) (700,000)

CLOSING BALANCE - 22,326,781 - 22,326,781

2019 $

2018$

Capital Contributed by Owners or

Members


OPENING BALANCE - 21,602,814 - 21,602,814

Surplus/(Deficit) 894,785 894,785

Distributions paid to owners or members (500,000) (500,000)

CLOSING BALANCE - 21,997,599 - 21,997,599



Creditors and accrued expenses

Accounts payable 30,187 79,177

TOTAL 30187 79,177

Investments

207,143 CRA3 Quota shares 210,210 210,210

94,205 CRA4 Quota shares 203,211 203,211

10,078 Aotearoa Fisheries Limited income shares 11,892,040 11,892,040

Quota allocation on formation 6,039,611 6,039,611

Quota allocation on further settlement 256,640 256,640

Purchased Quota (Antons) 555,867 555,867

ICP General Partner Ltd / Deep Water Group 168 168

ICP Koura Facilities LP 157,445 157,445

ICP Koura Operations LP 31 29

Bay Packers LP 614,806 641,445

TOTAL 19,930,029 19,956,666

A N N U A L R E P O R T 2 0 2 0 47

Note 5: COMMITMENTS AND CONTINGENCIES

Commitments

There are no commitments as at balance date (Last Year - nil)

Contingent Liabilities and Guarantees

There are no contingent liabilities or guarantees as at balance date (Last Year - nil)



Note 6: RELATED PARTY TRANSACTIONS

2020 2019 2020 2019

Description of Related Party Relationship

Description of the Transaction (whether in cash or amount

in kind)



Amount Outstanding

Amount Outstanding

Company and parent; NTFHL and NTFCT

Funding advances -

NTFHL Director Danny Loughlin

Is also the General Manager of NTFCT

NTFHL Director Nathan Reid

Is also a Director of ICP General Partner Limited.

Ownership in ICP Entities; ICP ACE Holdings LP

Income distributions received 598,200 481,720 - -

Ownership in ICP Entities; ICP Inshore ACE LP


Ownership in ICP Entities; ICP Kōura Facilities LP


Ownership in ICP Entities; ICP Kōura Operations LP


Deepwater Group Ltd; NTFHL Director Nathan Reid is also a Director of Deepwater Group Ltd

Seafood levies/share of research/survey costs

9,432 10,556

Fisheries Inshore NZ Ltd; NTFHL Director Nathan Reid is also a Director of Fisheries Inshore NZ Ltd

Seafood levies 2,731


Note 10: TAXATION

The Company has charitable status and is exempt from Income Tax. The Company, under its charitable status, is entitled to claim from Inland Revenue Department the Maori Authority tax credits attached to the AFL dividend received. During the year ended 30 September 2020, a claim will be made for $96,370 which relates to the 2020 year. During the year ended 30 September 2020 the trust received refunds of Maori Authority Tax Credits of $96,370.

During the year ended 30 September 2019, the trust received refunds of Maori Authority Tax Credits of $73,227.



2020 2019

RWT credits attached to Interest income received 26 57

Māori Authority Tax Credits 96,370 73,227

Inland Revenue Interest - 6

CLOSING BALANCE 96,396 73,290


NOTES TO THE PERFORMANCE REPORT (Cont.)FOR THE YEAR ENDED 30TH SEPTEMBER 2020

Note 7: EVENTS AFTER THE BALANCE DATE

There were no events that have occurred after the balance date that would have a material impact on the Performance Report.

Note 8: ABILITY TO CONTINUE OPERATING

These financial statements have been prepared on the basis that the Company is a going concern.

Note 9: SECURITIES AND GUARANTEES

There was no overdraft as at balance date nor was any facility arranged.

A N N U A L R E P O R T 2 0 2 0 49



AGM MINUTESNGĀTI TŪWHARETOA FISHERIES CHARITABLE TRUST

HELD MONDAY, 28TH SEPTEMBER 2020 ONLINE (LIVESTREAM)

WELCOME AND KARAKIAMeeting opened at: 5.30pm. Karakia / Mihimihi: Heemi Biddle

Trustees Present:Heemi Biddle (Deputy Chairman), Tuirirangi te Heuheu, Shaneen Simpson-Almond, Tangonui Kingi, and Karilyn Te Riini. Danny Loughlin (General Manager)

Members Present:As per online attendance register ApologiesJudy Harris, Te Kanawa and Kataraina Pitiroi, and as listed in apologies register

Resolution:THAT the members receive and accept the apologies as per the apologies register.Moved: Te Mahau Kingi Seconded: Courtney MarshallCARRIED

IntroductionsHeemi Biddle introduced the Trustees and Directors. 2019 AGM MINUTESThe minutes were read out by way of a video presentation (also in Annual Report).

Resolution:THAT the minutes of the meeting held 8th May 2019 be received. Moved: Karilyn Te Riini Seconded: Tangonui KingiCARRIED

CHAIRMAN’S REPORT – VIDEO PRESENTATIONA video presentation of the Chair’s report highlighting key events and distributions for 2019 was presented (also in Annual Report).

Resolution:That the Chairman’s Report is received.Moved: Heemi BiddleSeconded: Tuirirangi te Heuheu CARRIED

TRUST REPORT / ANNUAL PLAN – PRESENTED BY DANNY LOUGHLIN Danny Loughlin gave a PowerPoint presentation outlining progress with the trusts plan and grants made during the 2019 financial year (also in Annual Report).

Resolution:That the Annual Report and Annual Plan are received.Moved: Heemi BiddleSeconded: Tuirirangi te Heuheu CARRIED

COMPANY REPORT / ICP UPDATE – PRESENTED BY DANNY LOUGHLIN Video presentation outlining the key highlights of the Company Report was presented.

Resolution:That the Company Report is received.Moved: Nathan Reid Seconded: Francene Wineti CARRIED

FINANCIAL REPORT – PRESENTED BY DANNY LOUGHLINNoted as received and read as presented in the AGM booklet.

Resolution:That the Audited Financial Annual Reports for the year ending 30 September 2019 of the Ngāti Tūwharetoa Fisheries Charitable Trust (which includes Ngāti Tūwharetoa Fisheries Holdings Ltd) are received. Moved: Nathan ReidSeconded: Hon Georgina te HeuheuCARRIED

Resolution:To reappoint Silks as auditor for Ngāti Tūwharetoa Charitable Trust (which includes Ngāti Tūwharetoa Fisheries Holdings Ltd) to:

• Hold office until the end of the next Annual Meeting.• Audit the financial statements of Ngāti Tūwharetoa Fisheries Charitable Trust for the next accounting period.Moved: Greg Stebbing Seconded: Danny LoughlinCARRIED


QUESTIONS RECEIVED THROUGH SLIDO

Te Mahau Kingi: Can you provide a general view of how COVID-19 might impact the fisheries industry?

Danny Loughlin responded: When we went into lockdown there were immediate impacts to our fish processing factories. As an essential service, our businesses were able to continue processing fish, but we had a significant impact in the ability to export our Tuna and Lobster overseas (Airfreight).

The impact for next year is more serious where we use a lot of foreign crewed ships, using specialist Russian trawlers called BATM. We are fortunate that the Government has allowed those crew to come into New Zealand for the 2021 financial year. This agreement also requires all fishing companies to look at crewing future boats with New Zealanders. Jody Tonga: Kia Ora, thank you for your report. When the wage subsidy ends for whanau in our region will you continue to deliver Kai for people in need?

Danny Loughlin responded: When we went into Lockdown our three entities: Tuwharetoa Settlement Trust, Tuwharetoa Maori Trust Board and Fisheries worked together to get kai out to our Kaumatua and those in need (including our Tuwharetoa ki Kawerau whanau).We’re not looking at further kai distribution now that we are out of lockdown. We are supporting unemployed into employment through Government programmes where our people are funded to improve our marae and “Jobs for nature’.

Rakei Taiaroa: Does NTFCT have any aspirations regarding freshwater fishery aquaculture?

Danny Loughlin responded: We started looking at freshwater koura and as we mentioned in the company’s presentation, we need to do more work around a Breeding and Broodstock programme, e.g. how quickly we can grow koura to a marketable size. We are looking at working with some of our Trusts and Incorporations around the Taupo District in terms of that opportunity. That also involves Tuwharetoa Maori Trust Board in terms of how we can get that initial Broodstock to start farming.

We intend to partner with the right institutions and are hoping to employ some of our own graduates to do some of that work. The other area we are considering is Trout farming. Historically it’s been a contentious issue where anglers haven’t wanted to see Trout Farming in NZ, but the Government is considering reviewing legislation. With freshwater aquaculture you

do need species like Trout that are more profitable as an investment.

Temuera Hall: I’d like to acknowledge the great work by the Trust during an uncertain year. Do you have a long-term view on the impact of climate change on wild catch fishing?

Danny Loughlin responded: You will see in our strategy the environmental area looks at the impact of climate change and how we can report on that impact. As waters warm, our fish are moving to different fishing areas, that has an impact in terms of our business and our quota. Our company participates through organisations like Deep Water Group, Fisheries Inshore as well as our companies Moana and Sealord in terms of sustainability. This is also we are looking at opportunities like Aquaculture.

Heni Herewini: Will you have more information on Aquaculture and your Koura project in the form of a workshop where we can hear from the experts.

Danny Loughlin responded: we need to take that on board certainly we are doing the work right now in laying out that scientific foundation certainly we have had a number of hui with our Trusts and Incorporations when we did the koura project, we also working with our Te Arawa neighbours in terms of a aquaculture strategy. We had an interesting hui last month and that’s going to continue to move forward. If there is a drive for bringing some experts to come and talk to our rohe we will look at that.

Heemi Biddle responded: We will take your korero on board, looking at our hui tonight there could be an opportunity to video some of these workshops that we are holding and perhaps making them available for the whanau to receive that information.

John Tupara: What about Salmon Farming?

Danny Loughlin responded: Basically Salmon farming is banned in the North Island; you are only legally allowed to farm in the South Island. Salmon need cold water temperature; they are more sensitive than our Trout species. Coming back to Temuera’s korero, climate change is having an impact on Salmon in the South Island due to warming waters and they are looking at going further out from shore and using some of the new technology from the northern hemisphere and how to grow Salmon in deeper waters.

KARAKIA WHAKAMUTUNGAMeeting closed at: 6.30pmKarakia: Heemin Biddle

AGM MINUTES (cont)

A N N U A L R E P O R T 2 0 2 0 51

STRATEGIC GOAL 1: PROTECTING FISHERIES ASSETS

ACTIVITY KEY RESULT AREA ACHIEVED OUTCOME

Monitor Asset Holding Company (AHC) to achieve optimal performance


Achieved Strategic outcomes are achieved

AHC returns dividends Exceeded A dividend to meet the operational need and investment goals of the Trust

AHC continue to invest within allowable risk profile Achieved Do not breach LOE, SCI and SIPO

Seek out non-fish direct investments

The NTF Group achieves 20% invested in non-fishing investments over time

Partial Diversified investments

Undertake research and development (R&D) to drive innovation

Develop intellectual property (IP) Not Achieved IP fosters new industry for fishing (i.e. Kōura)

Implement Tūwharetoa R&D Strategy Achieved Strategy approved

STRATEGIC GOAL 2: SUSTAINABLE FISHERIES


Support sustainable management

NTFHL actively drives sustainable management with ICP and subsidiaries

Achieved Support to ICP and subsidiaries (inc Moana / Sealord)

Ensure that non-fish investments are sustainable Not achieved 2020 Annual report includes ESG reporting

Sustainability reported Not achieved 2020 Annual report includes Sustainability

Collaborate on protecting Freshwater species

Tūwharetoa identifies species needing protection Achieved Framework completed and reported on

Respond effectively to the impacts of climate change

Monitor and assess climate change impacts Not achieved Framework completed and reported on

STRATEGIC GOAL 3: SUPPORTING OUR PEOPLE


Collaborate with Tūwharetoa and other related organisations to improve productivity and quality of service

Formalise Partnership with TMTB and TST Achieved Service Level Agreement for Executive

Assistant, Receptionist, and Member Register

Develop further relationship with ICP Achieved Scampi opportunity from relationship

Collaborative sponsorship of programmes Partial Learn to swim programme in place for 2021

year

Provide opportunities for our people: education, business and employment

Access fish and other benefits for whānau Not achieved Bycatch no longer available.

Complete Education / Employment plan Not achieved Education Plan completed

Assist Graduates to find employment Achieved Place Graduate Student in employment /

internship

Youth guarantee-no fees program Not achieved Deliver One enrolment in Westport training

ANNUAL SCORECARD2019/2020


STRATEGIC GOAL 1: STRENGTHENING OUR ORGANISATION



Increase capability and capacity in businesses Achieved Database updated

Leverage value from networks Achieved Improve profitability / Increase Savings

Collaborative sponsorship of programmes Partial Learn to swim programme in place for 2021

year

The Trust has an experienced and skilled governance team that meets the needs of the organisation

Trustees and Directoirs have the right skills Partial Skills Review Completed

Leadership education programme collaboration Not Achieved Associate trustees trained

ANNUAL SCORECARD (Cont)2019/2020

A N N U A L R E P O R T 2 0 2 0 53

STRATEGIC GOAL 1: PROTECTING FISHERIES ASSETS

ACTIVITY KEY RESULT AREA EXPECTED OUTCOME


AHC prepares a Annual Plan Strategic outcomes are achieved

AHC returns dividends A dividend to meet the operational need and investment goals of the Trust

AHC continue to invest within allowable risk profile Do not breach LOE, SCI and SIPO


The NTF Group achieves 15-25% invested in non-fishing investments over time Diversified investments

3rd Tuwharetoa Hau Rau Investment Due Diligence undertaken

Protect RAL investment Bond Assets Secured

Undertake research and development (R&D) to drive innovation

Develop intellectual property (IP) IP fosters new industry for fishing (i.e. Kōura)

Implement Tūwharetoa R&D Strategy Setup Te Kupenga Hou (TKH) Innovation

TKH Members learn about Innovation Site visit to Palmerston North

STRATEGIC GOAL 3: SUPPORTING OUR PEOPLE


Communicate engage effectively with our people

Iwi centred comms strategy Comms Plan completed

Tūwharetoa “about us” video/webcast Video completed

Recording the history of fisheries Chapter for Tūwharetoa Book

Survey members at AGM 80% Satisfaction

Provide opportunities for our people: education, business and employment

Customary Quota used for Tangi Complete agreements by 30/9/2021

Complete Education / Employment plan Education Plan completed

Internship 1 x Student Internship

Encourage Rangatahi into Industry Rangatahi Trip to Nelson to see Sealord vessel and other seafood organisatioms

ANNUAL PLAN2020/2021

STRATEGIC GOAL 2: SUSTAINABLE FISHERIES


Support sustainable management

NTFHL actively drives sustainable management with ICP and subsidiaries Support to ICP and subsidiaries (inc Moana / Sealord)

Grater engagemennt with ICP GM on ICP Audit & Risk Committee

Ensure that non-fish investments are sustainable 2021 Annual report includes ESG reporting

Sustainability reported 2021 Annual report includes Sustainability reporting

Review opportunities for Sutainability Review Bay Packers LP

Collaborate on protecting Freshwater species

Freshwater Fisheries Work on Koaro Report by 30/9/2021

Freshwater Fisheries Conference Conference Held

Respond effectively to the impacts of climate change

Monitor and assess climate change impacts Framework completed and reported on


TE WERO / CHALLENGE SET BY THE TRUST

“Tūwharetoa ki tai he ika unahi. Tūwharetoa ki uta he ika kiri maheni.” (To the coast I see Tūwharetoa and the fish with scales. I turn to the hinterlands and I see Tūwharetoa and the fish smooth and sleek).

TE HUAPAE / VISION

“Kei te ora te ika, kei te ora te tangata” “Healthy fish, healthy people, healthy iwi”

TE KAUPAPA / MISSION

“Kia tūhono a Ngāti Tūwharetoa ki te moana, kia tipu te oranga ōhanga”“Connecting Ngāti Tūwharetoa with the moana and creating economic prosperity”

Protecting Fisheries Assets

Monitor Asset Holding Company (AHC) to achieve optimal

performance


AHC undertake research and

development (R&D) to drive innovation

Sustainable Fisheries Support sustainable management Collaborate on protecting

Freshwater species

Respond effectively to the impacts of climate

change

Supporting Our People

Communicate and engage effectively with our people

Provide opportunities for our people: education, business and

employment

Strengthening Our Organisation

Collaborate with Tūwharetoa and other related organisations to

improve productivity and quality of service

The Trust has an experienced and skilled governance team that meets the needs of the

organisation

NGĀ MĀTĀPONO / VALUES

Kaitiaki taonga – We are stewards of our assets Toitū te moana – We actively protect and are committed to sustainable fisheries

He ngākau pono – We act with humility, integrity and honesty He tangata atawhai – We support our people

STRATEGIC PLAN2020/2022

STRATEGIC GOAL 3: STRENGTHENING OUR ORGANISATION



Increase capability and capacity in businesses Database updated

Collaborative sponsorship of programmes Learn to swim programme

The Trust has an experienced and skilled governance team that meets the needs of the organisation

Trustees have the right balance of skills Identify a suitable governance training

Supporting a leadership education programme collaboration Associate trustees trained

A N N U A L R E P O R T 2 0 2 0 55

KAUPAPA 7 OF SCHEDULE 7 TO THE MFA REQUIRES THE NTFCT TO BE ACCOUNTABLE FOR ITSPERFORMANCE TO ALL MEMBERS OF THE IWI. AS A RESULT, THE NTFCT MUST REPORT ANNUALLYTO ITS MEMBERS AS FOLLOWS:

OBLIGATION COMPLIANCE COMMENT

A mandated iwi organisation (MIO) must hold an Annual General Meeting for its members, providing an opportunity for those members to consider

NTFCT AGM on 28th September 2020

Annual report for the previous financial year reporting against objectives set out in the annual plan and includes:

1. Steps taken by mio to increase number of registered Members NTFCT See trust report. 7,468 members over 18 registered (2019: 7,371) with addresses

2. Comparison of performance against objectives in annual plan, including changes in shareholder/ member value and dividend performance or profit distribution.

NTFCT See chairman’s report and consolidated statements

3. Annual audited financial report prepared in accordance with GAAP and accounting separately for settlement cash assets NTFCT See auditors report

4. Report on sales and exchanges of settlement quota

a. Quantity of settlement quota held by the MIO’s asset holding company NTFCT/NTFHL 142, 112, 991 Quota shares.

b. Value of settlement quota sold or exchanged NTFCT/NTFHL Nil

c. Identity of purchaser or other party to the exchange NTFCT/NTFHL N/a

d. Any transaction with settlement quota that has resulted in a registered interest by way of caveat or mortgage being placed over the quota

NTFCT/NTFHL Nil

e. Settlement quota interests that have been registered against the quota shares of the MIO NTFCT/NTFHL Nil

F. The value of income shares sold, exchanged valued or acquired NTFCT/NTFHL No income shares were sold or exchanged

during the year

5. Report on the interactions of the MIO in fisheries matters:

A. With other entities within the iwi. NTFCT Mou with tūwharetoa māori trust board and tūwharetoa settlement trust.

B. With other MIO’s NTFCT We continue to facilitate productive conversations with other mios via icp.

C. With Te Ohu Kai Moana Trustee Limited. NTFCT Attendance at hui a tau. New space aquaculture engagement.

D. Any changes under section 18 of the MFA to the constitutional documents of the mio, or its asset holding companies or any subsidiaries of the asset holding companies.

NTFCT/NTFHL No change

SCHEDULE REPORTINGREQUIREMENTS MĀORI FISHERIES ACT 2004


OBLIGATION COMPLIANCE COMMENT

An annual plan for the next financial year which includes:

1. The objectives of the annual plan NTFCT NTFHL has responded to all requests from NTFCT

2. The policy of the MIO in respect of sales and exchanges of settlement quota

NTFCT No sales or exchanges anticipated

3. Any changes in that policy from the policy for the previous year.

NTFCT Nil

4. Any proposal to change the constitutional documents of any fishing company owned by the MIO

NTFCT/NTFHL Nil

In relation to every asset holding company or subsidiary of an asset holding company that received settlement assets:

1. The objectives

a. The performance of that asset holding company or any of its subsidiaries

NTFCT/NTFHL See NTFHL Chairman's report and consolidated financial statements

b. The investment of that asset holding company or any of its subsidiaries

NTFCT/NTFHL See NTFHL Chairman's report and consolidated financial statements

c. The matters set out in paragraph (b) of Kaupapa 2

2. Any proposal to change the constitutional documents of the asset holding company or any of its subsidiaries.

NTFCT/NTFHL Nil

Every MIO must exercise strategic governance over the process to examine and approve annual plans that set out:

1. The key strategies for the use and development of Iwi fisheries assets.

NTFCT/NTFHL Encompassed within the budgets and operating plans of NTFHL.

2. The expected financial return on the assets. NTFCT/NTFHL Annual budgets approved by NTFHL Board of directors and NTFCT.

3. Any programme to:

a. Manage the sale of annual catch entitlements derived from settlement quota held by asset holding companies or their subsidiaries

NTFCT/NTFHL NTFHL leased all its quota to ICP entities.

b. Reorganise the settlement quota held by asset holding companies or their subsidiaries, as by buying and selling settlement quota in accordance with the MFA.

NTFCT/NTFHL Governed by legislative and constitutional constraints.

NTFCT=NGĀTI TŪWHARETOA FISHERIES CHARITABLE Trust, NTFHL=NGĀTI TŪWHARETOA FISHERIES HOLDINGS LIMITED, ICP=IWI COLLECTIVE PARTNERSHIP

SCHEDULE REPORTINGREQUIREMENTS

MĀORI FISHERIES ACT 2004 (CONT)

2020 ANNUAL GENERAL MEETING Monday 29th March 2021.

Fisheries Report 2020 DIGITAL FILES FINAL

Documents

Transcript of Fisheries Report 2020 DIGITAL FILES FINAL