The Royal National Theatre Annual Report and Financial...

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The Royal National Theatre Annual Report and Financial Statements 2007 – 2008

Transcript of The Royal National Theatre Annual Report and Financial...

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The Royal National Theatre Annual Report and Financial Statements 2007 – 2008

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This Annual Report and Financial Statements is available to download at www.nationaltheatre.org.uk

If you would like to receive it in large print, or you are visually impaired and would like a member of staff to talk through the publication with you, please contact the Company Secretary at the National Theatre.

The Royal National Theatre Upper Ground, South Bank, London SE1 9PX+ 44 (0)20 7452 3333 www.nationaltheatre.org.uk

Company registration number 749504Registered charity number 224223Registered in England

The Royal National Theatre is a company limited by guarantee and a registered charity. It was established in 1963 for the advancement of education and, in particular, to procure and increase the appreciation and understanding of the dramatic art in all its forms as a memorial to William Shakespeare. These objects are set out in the governing document, which is its Memorandum and Articles of Association, and have beendeveloped into a set of aims and objectives as described on page 4.

Chairman Sir Hayden Phillips GCB DLSusan ChinnLloyd Dorfman CBERos HaighKwame Kwei-ArmahRachel LomaxNeil MacGregorJohn MakinsonCaragh MerrickCaro NewlingAndré Ptaszynski Philip PullmanFarah Ramzan GolandRt Hon Lord Smith of FinsburyEdward Walker-ArnottNicholas WrightCompany Secretary Kay Hunter Johnston

ExecutiveArtistic Director Nicholas Hytner Executive Director Nick StarrFinance Director Lisa Burger

Associate Directors Sebastian BornHoward DaviesMarianne ElliottTom Morris

BankersCoutts & Co 440 Strand, London WC2R 0QS

AuditorsPricewaterhouseCoopers LLP 1 Embankment Place, London WC2N 6RH

board

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annual report and financial statements

For the 52 weeks ended 30 March 2008

4 Aims and Objectives 5 Hayden Phillips, Chairman 7 Nicholas Hytner, Artistic Director 9 Overview 14 Productions 2007-0817 Tours, Transfers and Awards18 Acting Company 20 Show Musicians21 NT Education and Training23 Platforms and Watch This Space24 Exhibitions25 Foyer Music and Publications 26 NT Studio28 NT Archive 29 Development and Fundraising31 Development Supporters36 Structure, Governance and Management41 Financial Review47 Report of the Board49 Independent Auditors’ Report50 Financial Statements 54 Notes to the Financial Statements71 Associates, Committee Membership and Heads of Department72 Photograph captions

In this document, The Royal National Theatre is referred to as “the NT”, “the National”, and “the National Theatre”

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This Annual Report underlines the continued good health of the National Theatre and the quality and excitement of what it offers both from the stage and in many other ways too. It was especially encouraging in the last year that so many young people were attracted to what we do – across the NT’s audiences 85,500 were aged under 18, 12% of the total. Education through enjoyment was, and remains, central to the NT’s purpose and encompasses the whole age range of our audience. That is why the Board and the Management are increasingly focused on how theatre is made, and how the social, political and historic context of drama can be illuminated and appreciated more and more by all generations. To coin a phrase – Watch This Space.

I thank all those who support us financially and who therefore help to sustain the variety of our repertoire and our Box Office success.

The Government listened and the public expenditure settlement for the arts overall was good: no cause for whingeing there. Allocation to individual organisations is another matter and never easy but I know that the new management of the Arts Council are determined to build greater confidence into their decision-making process. The NT will support them in that in any way we can.

Our corporate and individual supporters, and Trusts and Foundations, have remained loyal and generous. We thank all of them unreservedly.

On behalf of the Board I thank two of our departing members: Caragh Merrick, who has brought her professional skills to the Board and the Finance and Audit Committee with commitment and affection; and Edward Walker-Arnott who has led the Finance and Audit Committee and the Enterprises Committee with distinction, and who has brought to those meetings and to the Board wisdom and good humour. We shall miss them.

I am delighted however that four new members join the Board: the playwright, Kwame Kwei-Armah; John Makinson, Chairman and CEO of the Penguin Group; Farah Ramzan Golant, CEO of Abbott Mead Vickers BBDO; and Ros Haigh, Director of Financial Control at the John Lewis Partnership.They are immensely welcome.

Finally the most important thanks go to all who work at the NT, on and off the stage, permanent and temporary. The NT is successful and loved because they make it so.

Hayden Phillips, Chairman

The National Theatre is central to the creative life of the country. In its threetheatres on the South Bank in London it presents an eclectic mix of new playsand classics from the world repertoire, with seven or eight productions inrepertory at any one time. And through an extensive programme of amplifyingactivities – Platform performances, backstage tours, foyer music, publications,exhibitions and outdoor events – it recognises that theatre doesn’t begin andend with the rise and fall of the curtain.

AimsThe National endeavours to maintain and re-energise the great traditions ofthe British stage and to expand the horizons of audiences and artists alike.It aspires to reflect in its repertoire the diversity of the nation’s culture. It takes a particular responsibility for the creation of new work – offering at the NT Studio a space for research and development for the NT’s stages and the theatre as a whole. Through NT Education, it engages tomorrow’s audiences. As the national theatre, it aims to foster the health of the wider British theatre through policies ofcollaboration and touring.

Objectives The National’s continuing objective is to present a balanced artistic programme.The repertory system is a key to this, not as a good in itself, but as the meansof taking artistic risks and responding to audience demand. The NT endeavoursto produce to the highest standards by attracting the best artists to work in anenvironment that enables and stimulates them to realise the fullest extent oftheir talents.

These are the NT’s constant objectives. Alongside are two long-term andinterlinked strategies. The NT seeks to broaden the work on its stages, bynurturing new plays and new forms at the Studio, by commissioning, and byactive project development of all kinds, in which Associate Directors, associatesand other consultants are involved.

It seeks to broaden its audiences through the programming choices it makes,by keeping ticket prices down, and by making manifest its ambition to be bold,contemporary and accessible.

aims and objectives

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On 23 September 2007 the National Theatre celebrated the centenary of its first director, Laurence Olivier. Members of his original NT company shared the stage with members of our current company, and many of the actors, writers and directors who are something like legends to my generation joined his widow, Joan Plowright, in the audience. Those of us who work in the theatre may be too prone to become tearful about our genuine sense of continuity with the past, but the evening palpably demonstrated that even if there is unlikely ever to appear on the stage of the Olivier Theatre an actor like Olivier, the National Theatre is consumed still by the ambitions that drove him and his contemporaries.

Our audience still includes many who saw what must, to them, remain definitive productions of the great classical plays that were staged at the Old Vic during the Olivier era. They cast a long shadow even on those of us who are too young to have seen them, and although I would like to think that in 40 years’ time the Beatrice and Benedick of Zoë Wanamaker and Simon Russell Beale will be remembered as fondly as those of Maggie Smith and Robert Stephens, I am not convinced that any National Theatre will quite supplant Olivier’s in the public memory. I am pretty certain, however, that our aspirations and the responsibility we feel constantly to honour and refresh the classical tradition have not changed since 1963.

We may sometimes be slow to make connections between the past and the present. I have to shoulder some of the blame for the neglect of Bernard Shaw at the National over the last few years, but I can’t pretend that any of my colleagues was carrying a torch for him either. So I will claim some of the credit for twisting Marianne Elliott’s arm to direct Saint Joan, but the lion’s share of it should go to her and to Anne-Marie Duff for one of the most exciting and incisive classical productions I’ve seen on the Olivier stage. It was a sell-out too, so we quickly programmed Major Barbara, and Simon Russell Beale (who must have almost as secure a hold on the theatre-going public’s affections as Olivier had) ensured that it, too, played to capacity houses. Eugene O’Neill, Harold Pinter, Victoria Benedictsson, Noël Coward and Euripides all proved equally eloquent when given the chance to continue their conversation with the contemporary public; and Howard Davies’ superb production of Gorky’s Philistines was one of the year’s undoubted highlights.

Our determination to commission and produce new plays is nothing new either. Some of Olivier’s playwrights are still at it, but this year their successors have been particularly fertile. I particularly enjoyed working with Ayub Khan-Din on his play Rafta, Rafta… which was based on Bill Naughton’s play from the 60s, All in Good Time. The Bolton house which once contained the Fitton family now belongs to the Dutts and, just as Harish Patel is recognisably doing the same job as Bernard Miles, so the Dutts are consumed by exactly the same

Nicholas HytnerDirector of the National Theatre

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concerns as the Fittons. Joe Penhall’s Landscape with Weapon was steeped in the contemporary arms trade but a 60s audience, schooled in the Cold War, would have had no trouble connecting with its arguments. The older generation in Kwame Kwei-Armah’s Statement of Regret may not, in the 60s, have been able to predict how their community would look in 2007 – Kwame’s trilogy of plays about contemporary black Londoners has been a revelation both to those to whom it holds up a mirror and to those who have discovered new worlds in them. But Howard Brenton used 40 years of hindsight to write in Never So Good the play that would, in 1963, have done for Olivier’s audience what Kwame does for ours. Howard also, and most profoundly, used recent history to amplify our sense of the present. Plays by Matt Charman, Roy Williams, Dennis Kelly and Lin Coghlan were all minutely responsive to the contemporary world. And in Happy Now? Lucinda Coxon delivered a play which, maybe more than any other this year, created for our audience that frisson – unique to the theatre – of shared experience: it was always exciting to stand at the back of the Cottesloe and hear the gasps of recognition.

There has been one big change since the 1960s. When the National moved into the Old Vic, there wasn’t much of a fringe. But within ten years, much of the most innovative energy in the theatre had moved away from the establishment. There has been an even bigger change since then. The fringe has, to a very large extent, been re-absorbed into the mainstream, and we have made a point of offering support to companies like punchdrunk, who play in unconventional spaces and who challenge what the word ‘theatre’ means. What once seemed an impregnable divide between established theatre and experimental theatre has disappeared. Much of the work of which we are proudest here is made by artists who have been formed on the experimental fringe, and happily move between it and us; This isn’t just a matter of shows like Peter Handke’s wordless play, The Hour We Knew Nothing of Each Other, or Emma Rice’s brilliant reinvention of the Powell-Pressburger movie A Matter of Life and Death, to which she brought all the skills she has developed in Cornwall with her company Kneehigh Theatre. (It is a vibrant sign of the times that Kneehigh now jumps from the National to the West End and back to Cornwall without missing a beat. And maybe another sign of the times that A Matter of Life and Death was instantly packed with a predominantly young audience that seemed to create its own word of mouth.)

But perhaps the most successful appropriation of theatre techniques outside the literary mainstream came with War Horse, which may very well turn out to be one of the most successful shows the National has ever produced. Our collaboration with Handspring Puppet Company on an adaptation of Michael Morpurgo’s seemingly unadaptable novel caught the audience’s imagination like nothing else this year. It rose in every respect to the Olivier Theatre’s glorious challenges and delivered to its weeping audience an emotional transfiguration out of bent bamboo and brown gauze. It captured perfectly our continuing determination to insist that we are nothing without an awareness of our history, and just as little without a furious curiosity about our present and our future.

overview

Artistic ProgrammeNow in its sixth season, the Olivier Theatre’s Travelex Season has proved to be one of the National’s long-term hits, a sustainable programming model that has proved not only popular with audiences – we expect to sell our millionth £10 ticket during 2009 – but hospitable to a large range of work. The season played, overall, to 90% capacity for the fifth year in a row. Also in the Olivier were Much Ado About Nothing, and War Horse, which had been three years in development under Associate Director Tom Morris.

The Lyttelton Theatre’s programme was typically eclectic. Rafta, Rafta… drew South Asian audiences in numbers not previously seen at the National. Philistines, Present Laughter and Howard Brenton’s new play Never So Good were all directed by Howard Davies. The Hour We Knew Nothing of Each Other was the London premiere, after 16 years, for a work by Peter Handke with 400 characters and no words.

As in previous years, the Cottesloe’s repertoire was mostly new plays, with one re-discovered classic. The classic was Victoria Benedictsson’s 1888 play The Enchantment. The premieres were by Joe Penhall, Matt Charman, Kwame Kwei-Armah, Lucinda Coxon, Roy Williams, Dennis Kelly and Lin Coghlan, the last three in the Connections triple bill. With our involvement with punchdrunk’s The Masque of the Red Death at BAC, we continued our support of pioneering companies beyond the South Bank.

Touring and the NT’s ReachIt was another busy year on the road. We toured for 25 weeks in Britain with Rafta, Rafta…, The History Boys and Chatroom & Citizenship; and A Midsummer Night’s Dream from NT Education toured primary schools in London. This farewell tour for The History Boys, which for the second year played a season in the West End, marked the end of a remarkable four-year life. Worldwide, the NT’s production gave over 1,000 performances, 750 of them in the UK. In total it was seen by 885,000 people on stage, 650,000 in the UK.

Increasingly the NT is touring abroad. Happy Days visited Paris, Madrid, Washington DC, New York, and Epidaurus, where its opening performance was seen by over 6,000 people, probably the largest audience ever to see Beckett in one evening. Unfortunately its second night, for which 10,000 were booked, was cancelled because of the forest fires that had engulfed part of mainland Greece. But the production happily returned in July 2008 for two performances and almost as many people saw it in Greece as in London. In New York, Conor McPherson’s The Seafarer was mounted on Broadway by Bob Boyett and Ostar Productions.

In total, 920,000 people saw performances given by the NT during the year, 810,000 of them in London, where the NT was responsible for 28% of the total audience for plays. At home on the South Bank, audiences were at 87% capacity.

to develop new work for the two large stages

to develop the Nt’s international links

SPECIFIC OBJECtIVES FOR 2007-08:

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Financial resultThe year ended with an unrestricted surplus of £93,000, a good result since it contained two productions more than originally budgeted. Revenue fundraising was just short of £5m, very positive for a year with no gala. The challenge for the NT in future will be to replace what has effectively been a boost in subsidy provided during the years of The History Boys, whose total contribution to the NT’s budget over four years, including its two Lyttelton runs, was £5million.

Development of audiencesThe Travelex seasons continue to attract and retain first-time attenders. We launched Entry Pass, a membership scheme for 15-19 year-olds offering £5 tickets to encourage a habit for independent theatre-going. Across the NT’s audiences, 12% were under 18. The continuing growth of on-line sales, now over 50% of our bookings, is supported by increasingly sophisticated and creative in-house production of digital material. We continue to experiment with interactive experiences that deepen the engagement with the work on stage, particularly in the foyer with Big Wall, which is driven by technology invented by Accenture, our innovation partner.

Our constant theme is openness – trying to get the National in all sorts of ways to be as porous and accessible as possible. After several years of negotiation, and thanks to strong relationships with Equity, Bectu and the Musicians’ Union, we will launch Sunday performances on 21 September 2008. This is the pilot season; it is our intention to introduce year-round openings during 2009. The implications for the NT are large: we effectively become a seven-days-a-week operation.

Another side of openness is the encouragement of discovery of the National by audiences already familiar with theatre, and those new to it. During the last year, NT Education has been transforming itself into discover: National Theatre, using the NT and its repertoire as the basis of their work. An exciting development is the opening up of the backstage world and the processes of making theatre, whether for school audiences or, in the case of the adults taught scenic art in our paintframe around The Pitmen Painters, for life-long learners. The new programme will be launched in September 2008.

At the NT Studio, which re-opened in November 2007 after a £6million refurbishment, our archive is now housed alongside the John Lyon education studio and – the main role for the building – our R&D, with now a second big space, the Weston Studio, for the development of new work for our stages and beyond.

The NT buildingIn April, we opened The Deck, a summer entertainment space perched on an unused roof with spectacular views down the river to St Paul’s. Denys Lasdun called the National’s position on the South Bank ‘probably the most beautiful site in London’. Thirty years after his building opened, much has changed. The riverside walk, now used by 15 million people a year, didn’t then exist – the river curved instead around the NT’s goods-in yard. The National’s terraces were a blank canvas which, to some extent, and for all their wonderful position overlooking the Thames, they still are. To the rear of the building, the simple brick

to re-define Nt Education

to re-establish the Studio , with the Nt Archive and Education studio under the same roof

to continue digital developments

to conclude arrangements for a season of Sunday performances

to continue the development of the exterior spaces

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box containing rehearsal rooms and the workshops for carpentry, metalwork, scenic painting and props, abuts an under-used piece of land which we hope might be the site for education and participation facilities that weren’t included in the original building.

What this adds up to is the need for a rolling future strategy for the National which reflects the development of our mission in judicious exploitation of the natural advantages of the NT’s building and site. We began earlier this year by commissioning from Haworth Tompkins a Conservation Management Plan for our Grade II* listed building, and will follow in the autumn with the development of a future strategy for the building.

SustainabilityIn October 2007 we launched a five-year partnership with Philips, using their skill and low-energy LED lighting throughout the NT. This is key to meeting our self-set target to reduce our electricity and gas consumption by 20%, taking 2006 as the benchmark. At June 2008 we had achieved 18% reduction in gas and 10% in electricity. We also have targets for recycling of waste, scenery salvage and use of water, and will continue to pursue environmental sustainability.

People and organisationThe NT is blessed with two institutional characteristics. It can take the long view, and it has critical mass. As well as the 800 people who work in the building, in an average week there are 130 actors rehearsing and performing and 20 or more directors and designers who have close, albeit freelance, relationships with the building. There is tremendous strength in having continuity alongside innovation: we increasingly recognise our role in keeping the traditional theatre-making skills alive while hosting the development of new technologies such as video. The NT is a hub which, unusually, does almost everything in-house. Opening that up yet further is an important part of our plans for the future.

Nick StarrExecutive Director

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to reduce further the Nt’s use of energy and water

to develop a design strategy for the Nt building as a whole

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productions 2007-08

LANDSCAPE WITH WEAPONby Joe PenhallDirector Roger MichellDesigner William DudleyLighting Designer Rick FisherSound Designer Rich WalshCompany Voice Work Jeannette NelsonCottesloe 5 April

RAFTA, RAFTA…by Ayub Khan-DinBased on All in Good Time by Bill NaughtonDirector Nicholas HytnerDesigner Tim HatleyLighting Designer Hugh VanstoneMusic Niraj ChagSound Designer Paul GroothuisCompany Voice Work Jeannette NelsonDialect Coach Kate GodfreyLyttelton 26 AprilSponsored by Accenture

A MATTER OF LIFE AND DEATHBased on the film by Michael Powell & Emeric PressburgerAdapted by Tom Morris & Emma RiceDirector Emma RiceSet Designer Bill MitchellCostume Designer Vicki MortimerLighting Designer Mark HendersonChoreographers Debra Batton & Emma RiceMusic Stu BarkerSound Designer Gareth FryProjection Designers Jon Driscoll & Gemma CarringtonLighting Design Associate Malcolm RippethCompany Voice Work Kate Godfrey & Jeannette Nelson Olivier 10 Mayin association with Kneehigh TheatreTravelex £10 Tickets

PHILISTINESby Maxim GorkyIn a new version by Andrew UptonDirector Howard DaviesDesigner Bunny ChristieLighting Designer Neil AustinMusic Dominic MuldowneySound Designer Christopher ShuttCompany Voice Work Jeannette NelsonLyttelton 30 May

THE FIVE WIVES OF MAURICE PINDERby Matt CharmanDirector Sarah FrankcomDesigner Ti GreenLighting Designer Mick HughesMusic Olly FoxSound Designer Rich WalshCompany Voice Work Kate GodfreyCottesloe 20 June

SAINT JOANby Bernard ShawDirector Marianne ElliottDesigner Rae SmithLighting Designer Paule ConstableMusic Jocelyn PookSound Designer Paul ArdittiChoreographer Hofesh SchechterMusic Director Harvey BroughCompany Voice Work Jeannette NelsonTextual Adviser Samuel AdamsonOlivier 11 JulyTravelex £10 Tickets

CONNECTIONSa celebration of youth theatreBaby Girl by Roy WilliamsDeoxyriboNucleicAcid by Dennis KellyA Year and a Day by Christina ReidShow and Tell by Laline PaullThe Black Remote by Glyn MaxwellRuckus in the Garden by David FarrA Bridge to the Stars by Henning Mankell, adapted for the stage by John RetallackScary Play by Judith JohnsonMore Light by Bryony LaveryRed Sky by Bryony LaveryCottesloe & Olivier, 12-17 July

THE HOTHOUSEby Harold PinterDirector Ian RicksonDesigner Hildegard BechtlerLighting Designer Peter MumfordMusic Stephen WarbeckSound Designer Ian DickinsonMovement Directors Scott Graham & Steven Hoggett for Frantic AssemblyDialect Coach Joan WashingtonCompany Voice Work Jeannette NelsonLyttelton 18 July

THE ENCHANTMENTby Victoria BenedictssonIn a new version by Clare BayleyDirector Paul MillerDesigner Simon DawLighting Designer Bruno PoetMusic David ShrubsoleSound Designer John LeonardCompany Voice Work Jeannette NelsonCottesloe 1 August

THE EMPEROR JONESby Eugene O’NeillDirector Thea SharrockDesigner Robin DonLighting Designer Neil AustinSound Designer Gregory ClarkeMusic Sister BlissMusic Director Matthew ScottChoreographer Fin WalkerCompany Voice Work Jeannette NelsonOlivier 28 AugustTravelex £10 Tickets

CHATROOMby Enda WalshCITIZENSHIPby Mark RavenhillDirector Anna MackminDesigner Jonathan FensomLighting Designer Mark HendersonMusic Paddy CunneenSound Designer Christopher ShuttAssociate Sound Designer Mike WinshipChatroom Video Director Ben TaylorCompany Voice Work Kate GodfreyCottesloe 1 September(revival from 2006 when they played with Burn by Deborah Gearing)

PRESENT LAUGHTERby Noël CowardDirector Howard DaviesSet Designer Tim HatleyCostume Designer Jenny BeavanLighting Designer Hugh VanstoneMusic Dominic MuldowneySound Designer Paul GroothuisCompany Voice Work Jeannette NelsonLyttelton 2 OctoberSponsored by KPMG

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WAR HORSEBased on a novel by Michael MorpurgoAdapted by Nick StaffordDirectors Marianne Elliott & Tom MorrisDesigner/Drawings Rae SmithPuppet Design & Fabrication Basil Jones & Adrian Kohler for Handspring Puppet CompanyLighting Designer Paule ConstableDirector of Movement Toby SedgwickMusic Adrian SuttonSongmaker John TamsMusic Director Harvey BroughVideo Designers Leo Warner & Mark Grimmer for Fifty Nine Productions LtdSound Designer Christopher ShuttAssociate Mervyn MillarCompany Voice Work Kate Godfrey & Jeannette NelsonOlivier 17 October in association with Handspring Puppet CompanySponsored by Accenture

STATEMENT OF REGRETby Kwame Kwei-ArmahDirector Jeremy HerrinDesigner Mike BrittonLighting Designer Natasha ChiversSound Designer Yvonne Gilbert Company Voice Work Jeannette NelsonCottesloe 14 November

WOMEN OF TROYby EuripidesIn a version by Don TaylorDirector Katie MitchellSet Designer Bunny ChristieCostume Designer Vicki MortimerLighting Designers Paule Constable & Jon ClarkMovement & Choreography Struan LeslieSound Designer Gareth FryMusic Simon AllenCompany Voice Work Kate GodfreyLyttelton 28 November

MUCH ADO ABOUT NOTHINGby William ShakespeareDirector Nicholas HytnerSet Designer Vicki MortimerCostume Designer Dinah CollinLighting Designer Mark HendersonMusic Rachel PortmanChoreographer Struan LeslieSound Designer John LeonardCompany Voice Work Jeannette NelsonOlivier 18 DecemberSponsored by Shell

West End revivalTHE HISTORY BOYS by Alan BennettOriginally directed by Nicholas HytnerRecreated by Paul MillerDesigner Bob CrowleyLighting Designer Mark HendersonMusic Richard SissonSound Designer Colin PinkVideo Director Ben TaylorWyndham’s Theatre 8 January 2008

HAPPY NOW?by Lucinda Coxon Director Thea Sharrock Designer Jonathan FensomLighting Designer Oliver FenwickSound Designer Paul ArdittiFight Director Terry KingCompany Voice Work Kate GodfreyCottesloe 24 January

THE HOUR WE KNEW NOTHINGOF EACH OTHERby Peter Handkefrom a new translation by Meredith OakesDirector James Macdonald Associate Director Jonathan BurrowsSet Designer Hildegard BechtlerCostume Designer Moritz JungeLighting Designer Jean KalmanComposer Mel MercierSound Designer Christopher ShuttLyttelton 13 FebruarySponsored by Accenture

NT EducationA MIDSUMMER NIGHT’S DREAMby William Shakespearein a version by Carl HeapDirector Carl HeapCo-designers Mirian Nabarro & Milo SandersMusic Joe TownsendChoreographer Sian WIlliamsUnicorn Theatre 19 February – 1 MarchSupported by The Ingram Trust andThe Goldsmiths’ Company

BABY GIRL by Roy Williams DNA by Dennis Kelly THE MIRACLE by Lin Coghlan Director Paul MillerSet, Costume & Video Designer Simon DawLighting Designer Paule ConstableSound Designer Rich WalshAssociate Video Designer Paul KenahCompany Voice Work Kate GodfreyChildren’s Casting Jessica RonaneCottesloe 28 February

MAJOR BARBARAby Bernard Shaw Director Nicholas HytnerSet Designer Tom PyeCostume Designer Vicki MortimerLighting Designer Paul PyantMusic Matthew ScottSound Designer Mike WalkerCompany Voice & Dialect Work Jeannette NelsonOlivier 4 March Travelex £10 Tickets

NEVER SO GOODby Howard Brenton Director Howard DaviesDesigner Vicki MortimerLighting Designer Mark HendersonMusic Dominic MuldowneyChoreographer Lynne PageSound Designer Paul ArdittiCompany Voice Work Jeannette Nelson Lyttelton 26 MarchSponsored by Accenture

Dates given are normally those of press nights

tours, transfers and awards 2007-08

TOURS AND TRANSFERS

Samuel Beckett’sHappy Dayshad an international tour after its run in the Lyttelton, visitingthe Ancient Theatre of Epidaurus, Greece; Salle Vilar, Chaillot Theatre, Paris, France; Matadero, Festival de Otoño, Madrid, Spain; and Terrace Theater, Kennedy Center, Washington, USAbetween 24 August and 29 November 2007; before transferring to the Harvey Lichtenstein Theater, Brooklyn Academy of Music, New York, from 7 January to 2 February 2008

Alan Bennett’sThe History Boys was revived for a third tour of the UK and Ireland, visitingPlymouth Theatre Royal; Hall for Cornwall, Truro; Cheltenham Everyman Theatre; Bath Theatre Royal; Olympia Theatre, Dublin, Ireland; Blackpool Grand Theatre; Leeds Grand; Cambridge Arts Theatre; Congress Theatre, Eastbourne; and Newcastle Theatre Royal between 6 September and 17 November 2007; before transferring to Wyndham’s Theatre in the West End of London from 20 December 2007 to 26 April 2008

Enda Walsh’sChatroom and Mark Ravenhill’s Citizenship had an 8-week UK tour after playing in the Cottesloe, visiting Clwyd Theatr Cymru; Courtyard, West Yorkshire Playhouse, Leeds; Quays Theatre, The Lowry, Salford Quays; Warwick Arts Centre; Sherman Theatre, Cardiff, Wales; Oxford Playhouse; Brighton Theatre Royal; and Cambridge Arts Theatre between 25 September and 17 November 2007; before touring internationally to the Hong Kong Arts Festival from 13 to 16 February 2008 playing at the Lyric Theatre, Hong Kong Academy for Performing Arts Ayub Khan-Din’sRafta, Rafta…based on All in Good Time by Bill Naughton, was revived for a 7-week UK tour, visitingBirmingham Rep Theatre; Lyric Theatre, Lowry, Salford Quays; Milton Keynes Theatre; and St. George’s Hall, Bradfordbetween 31 January and 14 March 2008

AWARDS 2006 New York Theatre World Awards (for Outstanding Broadway or off-Broadway debut performances) Xanthe Elbrick for Coram Boy

2007 Evening Standard Awards Best Actress Anne-Marie Duff for Saint Joan Best Design Rae Smith and Handspring Puppet Company for War Horse

2007 Critics’ Circle Awards Best Actress Anne-Marie Duff for Saint Joan Best Designer Rae Smith and Handspring Puppet Company for War Horse

2007 South Bank Show Award for Theatre Saint Joan by Bernard Shaw, directed by Marianne Elliott

2008 Whatsonstage Theatregoers’ Choice Awards Best Solo Performance Fiona Shaw for Happy Days

2008 Laurence Olivier Awards Best Revival Saint Joan Best New Comedy Rafta, Rafta… Best Performance in a Supporting Role Rory Kinnear for The Man of Mode Best Set Design Rae Smith and Handspring Puppet Company for War Horse Best Costume Design Vicki Mortimer for The Man of Mode Best Sound Design Saint Joan, sound design by Paul Arditti with music by Jocelyn Pook Best Theatre Choreographer Toby Sedgwick for War Horse

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Ben AddisMark AddyMike AherneKal AiseArsher AliJames AlperPaul AndersonTom AndrewsDorothy AtkinsonHayley AtwellJamie BallardJaimi BarbakoffAlice BarclayStu BarkerDwayne BarnabyJason BarnettJames BarriscaleJonathan BattersbySimon Russell BealeHollie Beasley-Garrigan *Duncan BellSophie BenjaminRuby BentallLeo BillIan BonarMark BonnarLindsey Bourne *Jamie BradleyGary Brashier *Susan BrownMarcel Bruneau *Jonathan BryanSimon BubbIan BurfieldKatharine BurfordJohn BurgessClare BurtJessie BurtonSaskia ButlerGabriel Butler-Lewis *Finn CaldwellAnthony CalfCalum CallaghanMichael CampDan CanhamNancy CarrollPip CarterAnna CarteretRay Cezan *Martin ChamberlainAnna ChancellorNicole CharlesWilliam R. Charlton *Paul ChequerPaul Chesterton

Gregg ChillinFiona ChiversAdrian ChristopherEke ChukwuRachel ClarkeJudith CokeOlivette Cole-WilsonOluyemi Cole-Wilson *Pandora ColinChristopher ColquhounRebecca CooperAngel CoulbyAlasdair CraigSam CraneJonathan CullenMarcus CunninghamNiamh CusackSorcha CusackClaire Daly *Edward DavenportPhil DavisRichard DempseyRudi DharmalingamLisa DillonCallum DixonKriss DosanjhPatrick DruryKate DucheneAnne-Marie DuffNoma DumezweniAvril ElgarLaura ElphinstoneSusan EngelSteven Farah *Daniel FearnMeryl FernandesSusannah FieldingBeth FitzgeraldKeiran FlynnPeter ForbesOliver Ford DaviesClaire FoyTim FrancesClive FrancisNatalie Gardner *Pooja GhaiRokhsaneh Ghawam- ShahidiAdam GillenTroy GlasgowRobert GlenisterYemi Goodman-AjibadeThomas GoodridgeJack GordonMichael Gould

Natalie GradyJoseph Greenslade *Shiv GrewalTamzin GriffinJessica GunningMark HadfieldColin HaighAmy HallDaniel HarcourtTerrence HardimanStephen HarperDaniel HawksfordJames HayesPippa HaywoodSarah HeadJohn HeffernanCarla HenryMadeleine HerringtonRendah HeywoodTom HickeyClare HigginsConleth HillAnastasia HilleDouglas HodgeMark HolgateTom HollanderClare HolmanRichard HopeDerek HowardSarah Hynds *Jeremy IronsStephanie JacobElizabeth James *Oscar JamesSimone JamesThusitha JayasunderaJonathan JaynesRonny JhuttiCraig JohnsonSioned JonesPaterson JosephEmily JoycePete JudgeAnne KavanaghStephen KennedyGareth KennerleyShaheen KhanAndrew Kingston *Rory KinnearBarbara KirbyDebbie KorleyMax Krupski *Martina LairdTrevor LairdLarry Lamb

Claire LamsPieter LawmanDominic LawtonCraig LeoRachel LeonardPetra LetangTim LewisCandassaie Liburd Polly ListerBrooks LivermoreHenry Lloyd-HughesRobert LuckayNicholas LumleyTommy LutherHelena LymberyFinbar LynchRob Macpherson *Nick MalinowskiApaiketuya Marchant *Simon MarkeyJohn MarquezLyndsey MarshalHenry Martin *Shereen MartineauSinead MatthewsEsther McAuley *Maggie McCarthyColin McFarlanePenelope McGhieMairead McKinleyStuart McLoughlinIan McNeiceStuart McQuarrieCharlotte MeliaPamela MerrickLouise Metcalfe *Mervyn MillarMichelle Miller *Justine MitchellStephen MooreOwen Morse *Emily MyttonSimon NagraAkemnji NdifornyenRay NeweAnna NightingaleDanny NuttRex ObanoBrendan O’HeaChike OkonkwoToby OlieChu OmambalaWilliam OsborneGisli Orn GardarssonPeter Pacey

acting company 2007-08

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Sophie Parrott *Harish PatelTrevor PeacockTessa Peake-JonesGary PillaiDaniel PoyserJavone PrinceCharlotte PykeHarriette QuarrieGeorge RainsfordLucy Randall *Paul ReadyAnne ReidAlistair Reith *Claudia RentonJulian Rhind-TuttJenne Rhys-Williams *Leroy Ricardo-JonesJoy RichardsonRoger RingrosePaul RitterCharlotte RoachCarol Robb *Ella Robson Guilfoyle *Ashley RolfeDominic RowanJonah RussellAdrian Salmon *Ryan SampsonClifford SamuelJoe Sanders *Winston SarpongAdrian SchillerToby SedgwickAmit ShahPooja ShahRichard ShanksNaomi Sheldon *Mike ShepherdSteve John ShepherdKellie ShirleyMarlene SidawayRebecca Skelton *Hugh SkinnerCorinne Skinner CarterAmy Smith *Benjamin SmithJanet Spencer-TurnerJessica Stanley *Lorraine StewartSara StewartHannah StokelyTristan SturrockMeera Syal

Michelle TateJonathan TaylorAshley Taylor-RhysGiles TereraEllen ThomasMichael ThomasRosie ThomsonPaul ThornleyJason ThorpeAlex Tilouche *Harry TowbStanley TownsendSusie TraylingLuke TreadawayTim Van EykenAlex VannZubin VarlaMichael VinceJulian WadhamRoss WaitonAgatha Walcott *Zoe WanamakerHoward WardNiky WardleyDon WarringtonJason WatkinsSteven WebbMark Weinman *Nicola Welburn *Julia WestArchie Whyld *Alan WilliamsAndy WilliamsJade WilliamsLia WilliamsOlivia WilliamsRuth WilsonSimon WilsonTerence WiltonLizzie WinklerClaire WinsperAndrew WoodallKirsty WoodwardSarah WoodwardMatthew WoodyattHenry WoolfAngus WrightTristram WymarkRupert Young

* = supernumeraries

Oroh AngiamaRichard AshtonNeyire AshworthStu BarkerSteve Bentley-KleinThomas BowlesPenny BradshawHarvey BroughAlan Brown Rachel BrownAndy CallardFiona Clifton-WelkerAndy ColeSusi EvansMartin FranceGareth HansonSimon Haram Timothy HarriesRichard HartMichael HaslamAndrea HessPaul Higgs Tracy HollowayJapjit KaurIrita KutchmyDominic LawtonMonica McCarronKelly McCuskerMagnus MehtaRod Melvin Laura MoodyEdward NeuhauserOginga OsazeMelanie PappenheimColin Rae Sudeep RaoManjeet Singh RasiyaClara SanabrasDavid ShrubsoleBelinda SykesShaun ThompsonAlex VannMichael VinceRobert Workman

show musicians

NT Education provides opportunities for children, young people, adults and teachers to extend their knowledge and understanding of the elements and processes of making theatre and explore their own creativity at the same time. Projects, workshops, performances and courses take place around the country in various education and community settings in an effort to encourage a broad and diverse range of people to access the amazing skills, resources and artistry of our organization.

Highlights of our 2007-08 Primary Schools programme included a successful Shakespeare tour of A Midsummer Night’s Dream that went into 42 schools, reaching 6,700 children, as well as the Word Alive! annual storytelling project, with performances in the Olivier theatre and supporting workshops and INSET for teachers in schools.

Our Secondary Schools programme enables teachers and students to discover more about the repertoire, the practitioners who create and produce it and the skills they use, through high-quality creative learning projects. These included our New Views project, which explored Statement of Regret and Chatroom/Citizenship as well as a curriculum-focused look at Much Ado About Nothing.

Our work for young people included New Connections, with 7,305 11-19-year-olds around the UK producing and performing original productions of specially commissioned plays from writers including Roy Williams and Dennis Kelly. This year, thanks to the vision of Bank of America, we have begun work on a new strand within the project that encourages young people to develop and write their own 20-minute play that will provoke a debate after each performance in our festival of youth theatre at the NT this summer. Theatre of Debate is a partnership with The Prince’s Trust, Fairbridge and Barnardos.

Our digital Education site Stagework saw the development of new content and features on Much Ado About Nothing, Women of Troy, Caucasian Chalk Circle and Rhinoceros (the last in association with the Royal Court).

February 2008 saw the culmination of a three-year programme for young asylum-seekers in the production of Philip Ridley’s specially commissioned play Feathers in the Snow, which enabled participants to explore issues of identity and acceptance while developing a creative and social network with other young South Londoners.

We also collaborated with Bamboozle Theatre Company on several residencies in special schools in London which took the themes and story of War Horse as a creative starting point for students’ own artistic development. Students were able to work and interact with the actors and puppets from the production on the Olivier stage.

2007-08 was a period of great change, both in the re-defining of NT Education’s work and role within the National Theatre, and in the re-structuring of the department. The impact of this change and growth are due to be felt more strongly as the year 2008 progresses when we celebrate these ideas as part of our launch when we become

NT education and training

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Platforms is an eclectic programme of events taking place across the National’s three auditoriums before the main shows. In 2008, the series included appearances by Alan Bennett, Jeanette Winterson, Lynne Truss, Sue Townsend, Peter Nichols at 80, John Mortimer, Michael Billington, Miriam Karlin, Germaine Greer, Patrick Marber on a decade of Closer, Oliver Ford Davies on Shakespeare, John Barrowman, David Attenborough, Michael Holroyd on Shaw, Claire Tomalin, and Kathleen Turner. The phenomenal success of War Horse was marked by six Platforms including Michael Morpurgo (twice), Handspring Puppet Company on the process of creating Joey, and a First World War poetry reading.

Michael Pennington gave us a personal perspective on Shakespeare in his one-man show, Sweet William; the Polish company Teatr Biuro Podróży reflected on the premiere of their version of Heart of Darkness; Christopher Biggins celebrated the unique talent of Les Dawson; the cast of Present Laughter read a selection of Coward’s letters; Ian Hislop and friends shared An Evening with Private Eye; On Valentine’s Day, Celia Johnson’s daughter Lucy Fleming discussed her mother’s most romantic role, in Brief Encounter – followed by a free screening of the film on the fly tower; and Simon Russell Beale performed a beautiful and moving selection from AE Housman’s A Shropshire Lad. Playreadings included Alex Jennings and Harriet Walter in Coward’s Still Life (complete with Banbury cakes) and Jennings again in Coward’s The Astonished Heart with Nancy Carroll and Kate Duchêne. Conflicts and Confrontations was a series of five contemporary plays from Israel, presented in a collaboration with the Habimah National Theatre of Israel. Guests for the ‘In Conversation’ summer series were Zoë Wanamaker, Stephen Moore, Anne-Marie Duff and Paterson Joseph. In the annual Theatre Quiz, Present Laughter beat a team from War Horse, with Emma Freud asking the questions and some very ‘creative’ scoring by Kwame Kwei-Armah.

The National’s outdoor summer festival of theatre, music, film and spectacle began with a weekend of cycling events to celebrate the arrival of the Tour de France in London – The Bicycle Ballet featured a number of staff members on their bikes in the corps-de-ballet. A water and pyrotechnic finale provided the climax of Storm Bringer, a truncated version of The Tempest by British company Avanti Display. The Polish company Teatr Biuro Podróży premiered their adaptation of Joseph Conrad’s Heart of Darkness. The National hosted its first ever Bingo Night with retired music hall artiste Ida Barr calling the numbers and leading the hokey-kokey. Ragroof Theatre delighted audiences with their lively history of social dance, Addictive TV whipped up a storm with their cool audiovisual VJ set on the flytower and the Bollywood Dream Dancers delighted the crowds in their spangled bikinis. All-female acrobatic company Mimbre performed their brand new show, The Bridge, in the Square overlooked by the source of their inspiration, Waterloo Bridge aka the Ladies’ Bridge. The Whalley Range All Stars enchanted with an animated compost heap and Periplum took the audience on a medieval walkabout for their fire and stilt spectacular, Arquiem. Musical highlights included Cuban salsa from the Sugar Kings, Ballroom night with The Jay Craig Orchestra, veteran Egyptian rhythms from El Tanbura and the scintillating Sicilian Nakaira. The National co-commissioned new productions by UK companies Mimbre, Periplum, The World Famous, Stickleback Plasticus and Bash Street Theatre. Despite miserable weather, the festival soldiered on through a flooded Theatre Square to produce over 150 events. Watch This Space 2007 was supported by the European Commission Representation in the UK, the Polish Cultural Institute, and The London Paper.

platforms watch this space

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There were 320 free concerts, of which 43 were given by new bands and soloists. As in recent years, a host of new and established talent from the UK and around the world appeared on Concert Pitch.

To name but a few… 20-something English folk duo The Askew Sisters highlighted the resurgence of this genre among the young, with country folk singer-songwriter Callaghan, pop-folk Cara Winter and all-female Welsh group Forestbrook. Clara Sanabras (who also appeared in Much Ado About Nothing) brought her Catalan-tinged music and band; The Germaniaxx stunned the audience with saucy-but-fun fully costumed German cabaret songs; and the Witches of Elswick amused with twisted tales from the English Traditional songbook. Brixtonian Errol Linton brought his brand of South London Blues and Reggae; Irish Lily Neill beautifully played her funky harp music; Mediva from Switzerland and Italy re-enacted Medieval music on period instruments; and Taeko Kunishima on piano with Clive Bell on shakuhachi intrigued with a blend of jazz and meditative sounds of Japanese Buddhism. Cuban Leo Duany Y Su Cuarteto charmed with salsa and son; the Ensemble Criollo from Venezuela and Colombia entranced with South-American folk rhythms played on harp, cuatro guitar and percussion; Jandira Silva was admired for her authentic Brazilian repertoire; and Matices Latinos made them all dance to salsa, lambada and merengue at the New Year’s Eve Party.

Publications support and add background to the NT and the productions in its repertoire. Programmes for the 23 new and visiting productions this year included specially commissioned articles from historians Robert Service, Christopher Lee, John Stokes and Hew Strachan; dramatists Joe Penhall, Matt Charman, Andew Upton, and Samuel Adamson; social commentators Lisa Appignanesi, Joy Leary, Philip Hensher and Gary Younge; biographers Victoria Glendinning and Christopher Bigsby; film writer David Thomson; and other experts, including Oliver Taplin, Peter Holland, and Roy Hattersley.

The National’s programmes for The History Boys and Rafta, Rafta… were sold on tour. In collaboration with NT Education, the magazine StageWrite and background packs and on-line material were produced to support most of the productions in the repertoire.

Two new books were published this year with Oberon Books: The Horse’s Mouth by Mervyn Millar and Actors Speaking. As a puppeteer and member of the cast of War Horse, Millar was able to provide a unique insight into the production. Actors Speaking comprises transcripts of conversations recorded from the NT Studio in the 1980s with leading actors of the day, introduced by Peter Gill. A new complete history of the National Theatre, by Daniel Rosenthal, is being prepared for publication in 2009 by Oberon.

All NT Publications are on sale at the NT Bookshop.

foyer music publications

This year’s free exhibitions, in the NT’s foyers and outside, were: Reality and dreams: The Unilever International Schools Art Project; RFK Funeral Train – Photographs by Paul Fusco; AS SEEN ON….Recent Works by Huntley Muir; The World Can’t Wait (an exhibition held in Theatre Square by Oxfam); The Press Photographer’s Year; Time and Mr Wolf: Stories and Paintings by Jones; Safari: Photographs by Gabriele Stabile; Unfamiliar Thames: Photographs by Ianthe Ruthven; Take A View – Landscape Photographer of the Year; Deutsche Bank Pyramid Awards Exhibition; Dazzle; The Linbury Biennial prize for Theatre Design Exhibition 2007; Arts Spaces of the Future (an architectural exhibition organised by RIBA); Star Quality – Aspects of Noel Coward; and Island: paintings by Ian Humphreys, Monica Boyle, and John Simpson.

In May, the Lyttelton fly tower was the site for an installation by Dan Harvey and Heather Ackroyd, entitled FlyTower. Grass was seeded on the north and western faces and grew to create a seamless covering of vertical lawn. At the same time, two Antony Gormley figures were placed on the higher terraces of the Olivier as part of the Event Horizon installation around the South Bank.

exhibitions

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NT studioAs anyone who has ever moved into a new home knows, the moment you are given the keys is tremendously exciting – it’s literally opening a door to the future. Just so for the Studio, which moved back into its newly-refurbished building on The Cut in November 2007. Haworth Tompkins’ sensitive re-imagining of the building preserves all the best-loved elements of the Studio’s heritage, and yet the building now offers three modern workshop spaces for project development, and a greatly extended capacity to house artists who are working on new ideas. Shortly after the re-opening, the Studio appointed an Associate, who has taken on responsibility for the selection and management of the National’s Staff Directors, and whose role finally brings all the strands of the NT’s work with emerging directors together under one roof.

The Studio both supports the repertoire of the NT and seeks to bring on the theatre talent of the future. This year, the Studio contributed to the realisation of The Revenger’s Tragedy directed by Melly Still, Statement of Regret by Kwame Kwei-Armah, Katie Mitchell’s productions of Women of Troy and Some Trace of Her, and Happy Now? by Lucinda Coxon, and is continuing to develop a number of new plays and musical projects that will be announced in the coming year. At the same time, the Studio was able to support projects outside the work of the NT, including England (Tim Crouch), Ravenhill for Breakfast (Traverse Theatre & Paines Plough), 2000 Feet Away by Antony Weigh (Bush Theatre), Stockholm by Bryony Lavery (Frantic Assembly), and new and ongoing projects by Jasmin Vardimon Dance Company, Toby Clarke, Deborah Hay, Jonathan Munby, Joy Wilkinson, Helen Eastman, James Kerr and others.

During 2007-08 the following artists joined the Studio on attachment: Lydia Adetunji, Gurpreet Bhatti, Serdar Bilis, Toby Clarke, Adam Cross, John Donnelly, Ben Ellis, Elizabeth Freestone, George Gotts, Meng Jing Hui, Elfyn Jones, Shon Dale Jones, Kirsty Housley, Charlotte Keatley, Oni Faida Lampley, Deborah McAndrew, Kirsty Mackay, Dan Muirden, Peter

Oswald, Drew Pautz, Michael Punter, Dan Rebellato, Ali Taylor, Toby Satterthwaite and Antony Weigh. The recipient of the Cohen Bursary for a Trainee Director was Suba Das, and the Bullodog Prinsep Theatrical Fund Bursary was shared by Amelia Sears and Cressida Brown. Matt Charman was the Studio’s Writer in Residence, supported by the Pearson Playwrights’ Scheme, sponsored by Pearson plc.

The new Studio is dedicated to the memory of Max Rayne, NT Chairman from 1971 to 1988.

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The archive exists to provide access to materials documenting the history of the National Theatre for staff, academics and the public. The collection covers the period from the inception of the company in 1963 to the present day but our collections also stretch back to the late 19th century to document the movement to found a national theatre. The Archive staff conduct cataloguing and preservation work, provide a public enquiry and photographic library service, run the Archive research room, the National’s filming programme and podcast service.

Major Projects During 2007-08 two major projects dominated the work of the archive: moving the collection to its new home at the NT Studio and developing an innovative digital archive service. Working closely with the architects Haworth Tomkins over three years we have gained, in the refurbishment of the NT Studio, attractive research and screening areas and a state-of-the-art home for our historic and growing collections. The second of these projects was the development of the National Theatre Digital Archive (NTDA), a gateway to access the National’s rich archive collections in digitised form. Available to the public since opening in January, this on-demand service is available to everyone, free of charge, for both scholarly research and entertainment. The public can sit at workstation terminals in the archive and watch and listen to any one (or more) of hundreds of different NT production and Platform recordings.

Archive VisitorsMoving a large archive collection en bloc is a careful, slow business and entailed a necessary disruption to our public services; despite a closure period, we received over 1,000 visitors throughout 2007-08. Since opening our new facilities we have run regular public screenings of NT shows, debates, conferences, courses and tours. The NT Archive is also now home to a number of theatre societies, including the Society for Theatre Research and the Henry Irving Society.

Education workThe incorporation of education and accessible archive facilities within the Studio has created new opportunities for the archive to feed into the Theatre’s educational programming. We are keen to promote the collection as a source of creative stimulus: every day, theatre practitioners developing new work at the Studio explore and reflect on material in the collection. The continued success of our teaching the archive-based module for Theatre Production students at South Bank University has led us to develop new university links and formal programmes for university and school students. We expect to develop new research partnerships with a number of universities throughout 2008.

The CollectionVideo recordings continue to be the most requested items in the collection; the growing demand is satisfied by the high quality recording of our 3-camera filming system and the ease of access allowed by the NTDA carrels. We plan to add to this growing resource of video and audio (productions and Platforms) by reaching further back into the archive, with new digitisation programmes covering our huge photographic archive, manuscript collections and more design and textual material. Following our discussions with designers we have vastly increased our collection of set models.

Grateful thanks to The Foyle Foundation and to all the Archive’s funders and volunteers.

NT archive The National Theatre’s income from ticket sales, trading and public funding covers only a portion of the annual expenditure associated with the range of the National’s activities. Our work can only be fulfilled with additional support from individuals, companies, trusts and foundations. In 2007-08 the Development team raised just under £5m in annual income. In real terms, without the income from the fundraising gala held every second year, this was a modest increase on the previous twelve months.

In addition, a grant of £50,000 was received from the City Bridge Trust towards disabled access at the NT Studio, which successfully completed the capital campaign to refurbish this building. The NT Studio re-opened its doors in November 2007, on time and on budget.

Trusts and Foundations again supported a very wide range of projects at the National Theatre with grants of £600,000. The PACCAR Foundation supported the refurbishment of a rehearsal room; The Ingram Trust continued their support of our education work through a tour of A Midsummer Night’s Dream to primary schools; and the Jack Petchey Foundation supported our work with special needs students around War Horse. The John S Cohen Foundation reached its thirteenth year of support for directors’ bursaries at the NT Studio.

Support from individuals totalled close to £2m, which is due both to a number of significant leadership gifts and to increasing memberships at all levels. We are delighted for instance, that Priority membership (£65 per year) is now at a five-year high of 5,856 members, thanks to strong programming and a growth in new acquisition, with 370 new members. At the same time we have welcomed 22 members to the new Olivier Circle membership level (£10,000 per year).

This year corporate financial support amounted to £2.4m and increasingly we are working with partners

who, in addition to funding, give us their expertise and/or their product in kind. The long term partnerships we have been fortunate to have forged continue to prove highly successful, notably with Travelex, for the Travelex £10 season; with Accenture, as our partners for innovation; and with Shell, for our Classic Series of plays. In sponsoring Present Laughter, KPMG have supported five productions over a period of eight years.

This year Philips, in phase one of our new partnership, have generously helped us to replace our exterior lighting with low-energy lamps. This has both enhanced the lighting of our building and significantly reduced our energy costs. Also, The Independent newspaper and the Sky Arts channel became media and broadcast sponsors respectively for the Travelex season. In support of NT Education, Bank of America have generously become our partner for New Connections, our largest programme with national reach; JPMorgan sponsored New Views; and BT have for a second year supported Stagework.

The encouragement and financial support received this year have been vitally important to the NT and we would like to express our gratitude to the many people and organisations that have helped us by recognising them in the following pages. Their aid is invaluable and we are immensely grateful for their continuing commitment and the way in which they enable and enrich our work.

The NT is a member of

development and fundraising

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SUPPORTING CAST

Olivier CircleAnonymousJeffrey ArcherTony and Gisela BloomKeith and Helen BoldersonMrs Judith BollingerNeil and Sarah BrenerJames and Debby BriceRuss and Linda CarrSir Trevor and Lady ChinnSir Ronald and Lady CohenIan and Caroline CormackSarah and Lloyd DorfmanGlenn and Phyllida EarleJane M and Howard D EpsteinMr and Mrs Jack KeenanEdward McKinley and Kathleen LavidgeJon and NoraLee SedmakClive and Sally SherlingEdgar and Judith WallnerGuy and Charlotte Weston

Major Individual SupportersThe Estate of Andre DeutschSir Harry and Lady DjanoglyJohn and Jill FairchildDr and Mrs Alan J HoranRuth and Stuart LiptonThe Estate of Miss Irene Worth CBE

Life BenefactorsAnonymousEric Abraham and Sigrid RausingAccess IndustriesIrwin and Mary AckermanJonathan and Marie-Claire AgnewBasil AlkazziJeffrey ArcherCelia and Edward AtkinRoyce and Rotha BellRon Beller and Jennifer MosesJody Locker BergerTony and Gisela BloomKeith and Helen BoldersonBenjamin BonasMs Katie BradfordIvor Braka LtdNeil and Sarah BrenerJames and Debby BriceJonathan and Clare BrooksRuss and Linda CarrCamilla CazaletTerri and Timothy ChildsSir Trevor and Lady ChinnJanet M Christensen

Dr David Cohen CBESir Ronald and Lady CohenVeronica CohenIan and Caroline CormackSidney and Elizabeth CorobLin and Ken Craig and the Aloisia Hofmann Charitable TrustMr Peter CundillLord DalmenyDavid DayJose and David DentSir Harry and Lady DjanoglyEdward Dolan-AbrahamsJustin and Emma DowleyJames and Elizabeth DowningDame Vivien Duffield DBERobyn DurieDavid DuttonGlenn and Phyllida EarleMrs T S EliotAmbassador and Mrs Edward E. ElsonJane M and Howard D EpsteinMr Joey EsfandiJohn and Jill FairchildJohn and Tawna FarmerMaureen and Allan FisherLawton W Fitt and James I McLaren FoundationEmily and Alex FletcherDaniel and Joanna FrielJacqueline and Michael Gee Charitable TrustJill and Jack GerberMrs Juliet GibbsBeth and Gary GlynnMichael GodbeeLydia and Manfred GorvyNick and Julie GouldMichael Grade CBEMrs Catherine GrahamDavid R GrahamEvelyn and David GreenGabrielle, Lady GreenburyJill Hackel and Andrzej ZarzyckiKatherine HallgartenDr Martin HalusaThe Philip and Pauline Harris Charitable TrustSusan and Richard HaydenMorven and Michael HellerThe Hintze Family Charitable FoundationDavid HobbsDr and Mrs Alan J HoranClare and Bernard HornNita JacksonLord and Lady JacobsJoseph and Jill Karaviotis

Mr and Mrs Jack KeenanMathilda and Terence Kennedy Charitable TrustGillian and Vimal KhoslaMark J. and Elizabeth L. Kogan Charitable FundBruce and Suzie KovnerThe Kreitman FoundationThe Mark Krueger Charitable FundJon and Mary LeadbetterKenneth and Melissa LeetMr A LensonLady LeverSir Stuart and Lady LiptonThomas LynchJustin and Jill MansonSelina and David MarksJudy MarshallEdward McKinley and Kathleen LavidgePatrick MearsMirisch and Lebenheim Charitable FoundationCarol MitchellMr Miles MorlandDebbie MorrisMr and Mrs George NewellMr and Mrs Jim NicolRobert and Jane NorburyGeorgia OetkerGregory and Susan PalmSimon and Carolyn Parker BowlesBarrie and Catherine PearsonElizabeth and Daniel PeltzMark Pigott OBEThe David and Elaine Potter Charitable FoundationNyda and Oliver PrennQuercus TrustSue and David RamsbothamMr H K RausingStephen and Monica RichardsonMr and Mrs Simon RobertsonRuth RobinsonMr Gordon and Dame Anita Roddick Samantha and Justine RoddickBianca and Stuart RodenJeffrey A and Marjorie G RosenMichael Rose and Roz RosenblattThe Audrey Sacher Charitable TrustDr Mortimer and Theresa SacklerAnya and John SainsburyThe Hon Simon SainsburyYusuf and Fawzia SamadJon and NoraLee SedmakMrs Carol SellarsSir Patrick SergeantMiss Dasha Shenkman

development supporters

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Patricia and Jerome KaretDavid Kaskel and Christopher TeanoJohn and Jenny KellyDavid KillickJohn KinderThomas and Alice KingPhilip KingsleyMrs Frances KirshBill and Stephanie KnightThe Kowitz Family FoundationHerbert KretzmerMr and Mrs T KrumlandElliott F. KulickSteven Larcombe and Sonya LeydMr D M LassAbby & Mitch LeighJ Leon and Co LtdMr and Mrs B LesslieColette and Peter LevyRoger and Vivien LewisSir Gavin and Dr Naomi LightmanJeanne LinnesSam and Pam LipfriendJane E LiveseyMiss Sophie LobelGraham and Eileen LockwoodVictor and Marilyn LownesJohn and Celine LowreyMrs Felicity LyonsAlistair Mackinnon-MussonSally & Donald MainDr John H. Makin and Ms Gwendolyn van PaasschenMs Claudine B MaloneDr Anna MannPaula & Paul MarberMarina and William MarcouxDavid M MarksVictoria MatherDeryck & Va MaughanNancy McHughBrenda MeldrumDavid and Wendy MellerDavid and Elizabeth MilesMr Ian MillBarbara MintoMark and Carolyn MishonDerek MitchellThe Lowy Mitchell FoundationG ModianoDr Donald MoirBarbara MorganMr and Mrs M D MorossSarah MorrisPat MortonGerald MossDr and Mrs Julian MuirMichael and Mimi NaughtonStanley NewmanAndrew and Sue NicholsPhilip NoelIan NorrieMaria O’DonoghueMrs L OrgeMark and Amanda OtwayMidge and Simon Palley

Mrs Katherine PalmerTim ParkerMichael and Mary ParkinsonCarolyn and David Pascall CBENick PerrySara and Paul PhillipsMr David PikePauline PinderAnne and Barry PinsonPeggy and John PirovanoMr Graham PitcherWilliam Plapinger and Cassie MurrayThe Porter FoundationPat and John PorterSimone Prendergast Charity TrustMrs Marie PruttonMr Michael RangosGeorge and Karen RathmanAnthony & Ann ReganGail, Robert and Ian ReichertMr Charles RifkindCaroline RobohMr David RocklinMr and Mrs RoederMr and Mrs Kenneth RokisonSue & Tony RosnerMr P M RothMr and Mrs P G RousMr David RoydsKenneth and Angela RubensAnthony RuddJill and Paul RuddockMr William RussellWilliam and Julie RyanJohn & Jeremy Sacher Charitable TrustAnthony & Sally SalzEnid SandelsonRuth & Brian SandelsonVictor and Bernice SandelsonMr Robert Sansom and Ms Edith EligatorDr Joseph SassoonDavid and Marilyn SayellMichael Sayers, QCMr and Mrs Richard J SchwartzRod & Sarah SelkirkLouisa ServiceEllen and Dan ShapiroMr Robert A SilverCaroline and Gordon SimMr & Mrs S SimpsonDavid and Alison SladeMrs Kate SloaneMr & Mrs David T. SmithF G B SmithTessa SmithJanna Spark and Iko MeshoulamMr and Mrs Don StarrFred SteinJudy and David StewartOliver & Sally StockenOlive and Michael StoneMrs Su StoneSue and Stuart StradlingAndrew and Laura SukawatySir John and Lady SunderlandMrs David Susman

The Swan TrustRobert and Patricia SwannellAnnie SweetbaumCarl and Martha TackLady Juliet TadgellBernard and Nadine TaylorMs Britt TideliusHenry TimnickThomas TuftChristopher and Julia TugendhatGareth & Elisabeth TurnerMrs Margaret KB TurnerMarina VaizeyMrs Diana VenisonEd & Carol VictorChristopher WadeEric and Katharina WaltersSimon and Charlotte WarshawDenie and Frank WeilMary WillettAnn WilliamsPeter WilliamsMarilyn & Geoffrey WilsonHenry & Louise Windeler CohenWinckworth SherwoodWendy WolstoncroftDavid & Vivienne WoolfDella Worms & Fred S Worms, OBEDavid WynneTim YetmanJonathan YudkinStephen and Laura Zimmerman

The National Theatre is also grateful for the support of our Supporting Cast and Priority Members

New Drama CircleDebby and James BriceNeil and Sarah BrenerRuss and Linda CarrCamilla CazaletIan and Caroline CormackDavid DuttonClare and Bernard HornMr and Mrs Jack KeenanEdward McKinley and Kathleen LavidgeMr and Mrs George NewellOliver PrennLeopold de RothschildDasha Shenkman Clive and Sally SherlingRita SkinnerEdgar and Judith WallnerJeffrey and Susan WeingartenPeter Wolff

Mr and Mrs William ShenkmanClive and Sally SherlingThe Shubert OrganizationLois Sieff OBERita and Paul SkinnerJay and Deanie SteinJoan SteinbergHugh and Catherine StevensonLeila and Mickey StrausMr John J StudzinskiMr Ian TaylorMr Eric TomsettJan and Michael TophamJonathan TylerMr and Mrs Max UlfaneThe Ury Trust Edgar and Judith WallnerIan and Victoria WatsonJeffrey and Susan WeingartenMrs Mary WestonPeter WiegandRachel and Anthony WilliamsThe Stuart and Hilary Williams FoundationSir Robert and Lady WilsonPeter WolffMonica G-S and Ali E. WamboldDr and Mrs Gerald Woolfson

BenefactorsAnonymousWilliam G BardelMr and Mrs Michael BienesAlison and David BloodChristopher and Jane CarterChristine CollinsCarl and Nancy CooperDouglas S. CramerRalph I GoldenbergRamy & Smadar GoldsteinRichard and Marcia GrandMrs Sue Hammerson OBERichard H HardingMadeleine HodgkinCarlo KappMr and Mrs Adrian KnightDoris LessingKathy and David MaisterStephanie and Carter McClellandLord Browne of MadingleyMrs Sylvia ScheuerPatricia and David SmalleyHelen and Anthony SpiroMr & Mrs Charles StonehillDeryck L ThornleyMary WallachSteven & Bonnie WardGeorge and Patricia White

PatronsAnonymousMr and Mrs G AaronsonBrian AbbsBarbara and Joe Abensur

Meg Addison and Irwin Charles FerryJames Andrew InternationalEdward and Elissa AnnunziatoJames AstorJohn AtanaskovicAttias Family FoundationJohn AytonMrs V Balfour-LynnR Derek and Bonnie BandeenMr and Mrs Lawrence BanksJohn BarkerAnne J BarshStephen BartlettPeter BazalgetteMrs Arlene BeareMr Ernest G BeaumontJames & Caroline BeeryJ. & A. BénardPhil and Lisa BennettPeter Bennett-JonesSam and Rosie BerwickDr and Mrs R David BloombergJohn & Jean BottsLady BrownMr and Mrs L.L. Browning, JrRobert & Kathleen BurkeJohn and Susan BurnsMr Philip BuscombeCaroline ButtMartin Byman and Margaret SamsonSandra CarlisleDouglas and Joan CarterSir Peter and Lady CazaletJason and Belinda ChafferJim and Sue CielinskiMrs Denise CohenGeoffrey CollensMr and Mrs Paul CollinsMr and Mrs G L CollinsMs V I CombaCarole and Neville ConradKay Ellen ConsolverMary CronsonRicki and Robert ConwayStephen & Marion CoxDr Neil CrossSheila CrossMr T A R CurranDeborah David and Norman KurlaMr & Mrs Jonathan DavieThe de Laszlo FoundationMrs Anne De PinnaConrad Dehn, QCBeth Rudin DeWoodyCynthia DiacreProf C John DickinsonCory and Bob Donnalley C.FDNMr Glen DonovanMr David Malcolm EagarArnold and Greta EdwardPeter and Barbara EllistonDon Ellwood and Sandra JohniganSarah & Louis ElsonMrs Maureen Elton

Hilary and Rupert EvenettMr and Mrs Thomas J. EyermanMr Nicholas FergusonMr Joseph A FieldRalph FieldsMrs Joyce FineMrs Hilary FinerMs Susan FischgrundClaire FisherTony FisherMr and Mrs Mortimer FleishhackerMr Paul FletcherSusan FletcherThe Gerald Fogel Charitable TrustMr Roger M FormbyTim FosberryThe Edwin Fox FoundationClaire and William FrankelRon and Helen FreemanAdam and Victoria FreudenheimRobert and Pirjo GardinerJacqueline and Jonathan GestetnerThe Hon PN Gibson’s Charity TrustHon William and Lori GibsonHon Clive and Mrs GibsonMrs M C GodwinMr Richard GoldbachMr Bruce Golden and Ms Michell MercerMargaret & Arthur GrandyMr & Mrs Edward GreeneMrs Celia GreigJohn and Ann GrievesRichard and Odile GroganByron Grote and Susan MillerDon and Sue GuineyMrs Christina GyllenhammarMr Alexander HackelAndrew and Alex HainingMrs Themy HamiltonMark and Moira HamlinSusan & Rex HarbourRichard HardmanDean HargrovePamela, Lady HarlechMr Samuel A HauboldMalcolm HerringThe Lady HeseltineMrs D P HiddlestonBarbara and Gerald HinesMr A Michael HoffmanDavid R HoggProfessor and Mrs HollisAngela Howard and David GestetnerLiz & Peter HuhneJohn D HyattRobin and Inge HymanDerek and Anne JenkinsHarold and Valerie JoelsMaxine Isaacs and James A JohnRobert and Sherry JohnsonDon and Kay JonesNicholas JosefowitzAnnette Atkins and Thomas JoycePaul Kafka

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34 National Theatre Annual Review 2007-08 35

CORPORATE MEMBERS

PartnersAccentureBank of AmericaPhilipsShell UK LtdTravelex

Media PartnersThe IndependentSky Arts

SponsorsCorbisKPMG

Premium MembersBPCredit SuisseGlaxoSmithKline

Platinum MembersAmerican AirlinesBloombergBramdean Asset ManagementBritish American TobaccoCentricaCQSDaily Mail & General Trust plcDeutsche BankThe Garfield Weston Foundation Goldman Sachs InternationalHemsley FraserLloyds TSB Private Banking LtdMerck Sharp & Dohme LimitedNDS LtdNorton RosePearson plcRoyal Mail GroupSG Asset ManagementStandard Chartered BankUnisys

Team Builder MembersCatlin Group LtdDiageo plcHutton CollinsThe Royal Bank of Scotland plc

Gold MembersAbbey National plcAddleshaw GoddardBeachcroft LLPBlackRock CantateCMS Cameron McKennaCorbisSir Harry & Lady DjanoglyEdward Jones LtdFinancial DynamicsFishburn HedgesHanson WesthouseMs Sue Howes

InvestecITV plcThe John S Cohen FoundationKPMGLazardMan Group plcMarkson PianosMemery Crystal LLPMoore Stephens LLPNyman Lisbon PaulO’Melveny & Myers LLPPentland Group PLCReed Elsevier plcReed Smith Richards Butler LLPRio Tinto plcThe Rose Foundation SchrodersDavid and Sophie ShalitSlaughter & MaySmith & WilliamsonSmiths Group plcTesco plcUBS Wealth ManagementUnilever plcWithers LLP

TRUSTS AND FOUNDATIONS

Major Trust & Foundation SupportAnonymousThe Bulldog Prinsep Theatrical FundCamelot FoundationJohn S Cohen FoundationThe Dorset FoundationThe Ingram TrustThe Leverhulme TrustLloyd’s Community ProgrammeThe Mulberry TrustThe PACCAR FoundationThe Laura Pels FoundationThe Rose Foundation Archie Sherman Family TrustsThe Wates Foundation

Trust and Foundation SupportAnonymousAbbey Charitable TrustAnanda TrustThe Behrens FoundationThe Stephen Clark 1965 Charitable TrustMr and Mrs G L CollinsThe Sidney and Elizabeth Corob Charitable TrustThe Noel Coward Foundation The Craps Charitable TrustThe D’Oyly Carte Charitable TrustThe E Dennis Armstrong TrustThe Gilbert and Eileen Edgar FoundationThe Goldsmiths’ Company CharityBoris Karloff Charitable FoundationJill and David LeuwJack Petchey FoundationThe Schneer Foundation

The Sobell FoundationThe Topinambour TrustThe Vandervell FoundationThe Harold Hyam Wingate Foundation

NT STUDIO REFURBISHMENT CAMPAIGN

Leadership Capital GiftsAnonymousArts Council EnglandDeborah Loeb Brice FoundationThe Foyle FoundationJohn Lyon’s CharityRoyal National Theatre FoundationThe Weston Family

Major Capital GiftsKeith & Helen BoldersonHeritage Lottery FundThe Rothschild FoundationFoundation for Sport and the Arts

Capital GiftsAnonymousTony & Gisela BloomRuss & Linda CarrThe City Bridge TrustJohn S. Cohen FoundationSir Ronald & Lady CohenIan & Caroline CormackSir Harry & Lady DjanoglyThe Gatsby Charitable FoundationThe Michael & Jacqueline Gee Charitable TrustMrs Juliet GibbsEvelyn & David GreenThe Doughty Hanson Charitable FoundationThe Philip and Pauline Harris Charitable TrustThe Jacobs Charitable TrustEdward McKinley & Kathleen LavidgeThe Mercers’ CompanyThe Dr. Mortimer & Theresa Sackler FoundationThe Sherling Charitable TrustE & L Sieff Charitable TrustEdgar & Judith Wallner

AMERICAN ASSOCIATES OF THE ROYAL NATIONAL THEATREThe National is grateful too for the support of the American Associates of the Royal National Theatre

AARNT Board list is on page 71

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The Finance and Audit Committee also sits as the Remuneration Committee. At its annual meeting in February it considered the general principles affecting the remuneration packages of the senior management team immediately below the Executive, and the details of the remuneration packages of the Director and the Executive.

The Nominations Committee The Nominations Committee is appointed by and from the Board and reviews the structure, size and composition of the Board and, in the light of that review, makes recommendations to the Board with regard to the appointment of new members. During the year it was active in the recruitment of new trustees.

Development CouncilThe Development Council assists in fundraising for the National both generally from year to year and for special projects. Its members, who are mainly co-opted onto the Council, are appointed by the Board for a specified term. It meets at least four times a year and reports regularly to the Board through its chairman.

Education CommitteeThe Education Committee comprises a blend of Board members and co-opted members who are experts in the field and who meet with the Head of Education and the Executive Director. The Committee provides guidance on the development of NT Education policy, and makes recommendations on policy to the Board. It advises on, and develops with management, strategies for implementing the National’s Education policy through its programmes, and monitors and reviews those programmes.

Royal National Theatre Enterprises Limited is a wholly owned trading subsidiary responsible for the National’s trading activities. The National’s Board appoints the directors of RNTE which comprises Board members, external experts and senior members of staff responsible for the trading areas.

DAY TO DAY MANAGEMENTThe review of activities shows that the National has many facets. Each area has a Head of Department who reports to a member of the Executive. In addition to a weekly meeting with the Executive and all the Heads of Department, efficient cross-departmental working is managed through a series of groups meeting on a regular basis. The key decision-making groups include repertoire planning, capital projects, digital projects, enterprises, diversity, environment, and health and safety. Two new groups have been set up to steer Master Planning and programme development for the new participation centre.

Communication within the NationalCommunication is key and the National aims to engage all its employees and others working at the National in its activities and achievements. All staff are invited to a weekly company meeting led by Nicholas Hytner or Nick Starr and information from these meetings and other new developments and policies is available on the National’s intranet.

BECTU, Equity and the Musicians Union are all represented at the National. During the year there was regular consultation with unions and staff as plans and changes to terms and conditions for Sunday opening were negotiated.

Diversity The National has been developing its diversity action plan. All staff are required to cooperate with the National’s policies and procedures to promote inclusivity and diversity but particular focus has been given to understanding why the National’s work force is not more representative of the UK population, what barriers if any there might be, and what measures might be taken. Step-Change, a project to give staff the opportunity to develop across the performing arts, has completed a successful first year.

Access Twenty productions at the National Theatre on the South Bank were audio-described this year for blind and visually impaired people, at a total of 33 performances. Nineteen productions were captioned for deaf and partially hearing people. In addition both The History Boys and Rafta, Rafta... on tour were also captioned (11 performances) and audio-described (10 performances).

BOARD AND ExECUTIVE The BoardThe Board is the non-executive and unpaid governing body of the National. Board members are both directors of the company and charity trustees and under company and charity law are responsible for policy, administration and general control. The Board works with the Executive to ensure that the National’s remit is fulfilled, its work remains of the highest quality, and it is managed efficiently and cost-effectively. During 2007-08 the Board met six times, with the Executive present, to ensure it was maintaining effective control over strategic, financial, organisational and compliance issues. Practically this took the form of considering written reports, receiving a regular oral report from the Director and Executive Director on the National’s repertoire and other activities, and working through an agenda cycle intended to cover the key areas.

The Board delegates to the Director the selection and staging of all productions and does not interfere in repertoire decisions. Following its normal practice an annual review of the year’s artistic output was held in June 2007, with the Director, to reflect on the effectiveness of the artistic programme as against the National’s remit. At the Board’s annual self-appraisal held in May 2008 it considered how it operated as a group, how well it had fulfilled its legal and other responsibilities, and in what way it added value to the operation of the National.

The Executive The Director*, Nicholas Hytner, is formally responsible for furthering the artistic reputation of the National and ensuring its efficient and effective management. He works closely with the Executive Director, Nick Starr, in delivering this and they are supported by Finance Director Lisa Burger.

The Board appoints the Director and is directly involved in the appointment of the Executive. On 1 April 2008 Nicholas Hytner was re-appointed for a further term of five years.

Associate Directors* and NT AssociatesNicholas Hytner is supported in making repertoire decisions by the National’s Associate Directors (listed on page 1), and NT Associates comprising actors, directors, designers, writers and producers (listed on page 71).

The Board in DetailBoard members are generally appointed for three years (maximum four). They may be appointed for up to two terms, but any further re-appointments are made only in exceptional circumstances.

Induction and Training of Board Members All new Board members receive a comprehensive induction pack of information about the National and guidance on their responsibilities as charity trustees and company directors. Individual Board members are given appropriate induction and training at the National, including meetings with the Executive and Heads of Department and tours of the building.

Board Committees The Committees are listed on page 71. During the year the terms of reference for each were reviewed by the Board.

Finance and Audit CommitteeMembers of the Finance and Audit Committee are appointed by and from the Board. Key responsibilities are for Finance and Control, Audit and Risk. The Committee met five times during the year. On each occasion it received information enabling it to review financial performance and in December and February it gave detailed consideration to the annual budget. Through regular reports from the Internal Auditor, and the consideration of the risk register and reports from the National’s Compliance Group, it was able to monitor and review material internal controls and risk management systems. At its meeting in June it conducted its annual review of matters relating to the preparation and production of the annual financial statements including accounting policies and reserves policies.

structure, governance and management

* The term “Director” is a traditional title used at the National. Neither the Director, the Associate Directors, nor other members of the Executive, are directors under the Companies Act.

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Health and SafetyThe Health and Safety policy was reissued in January 2008, following a comprehensive review, and refresher training was delivered. The Health and Safety team is closely involved in the key risk areas of the organisation and advises and assists with health and safety aspects of productions, special events, accident investigations and training. Training on safe working at height has been completed and a review of noise levels undertaken.

Reduction of Environmental ImpactThe National has been actively involved in seeking ways to reduce its environmental impact and has set itself four targets: to reduce use of electricity and gas by 20% over two years; to reduce CO2 emissions by 60% by 2025; to reduce non-recyclable waste; and to reduce its use of water. A partnership with Philips has provided new energy-saving fittings which, together with engineering solutions, support from the Carbon Trust and practical measures, has delivered savings of 18% gas and 10% electricity at the end of year one.

OTHER STAKEHOLDERS

Arts Council England The National receives approximately 40% of its funding from Arts Council England. The conditions of funding are set out in a funding agreement (the current agreement covers the three-year period to 2011), and senior representatives from the Arts Council meet with the Executive annually to review activity and discuss future strategy. An Arts Council representative may attend any Board meetings.

Connected Charities The Royal National Theatre Foundation has objects related to those of the National and makes grants to the NT from time to time. It has 11 trustees, of whom two have a direct connection with the National. It gave £75,000 in 2007-08 for the construction of the Big Wall, in addition to benevolent grants to members and former members of the staff and company.

The American Associates of the Royal National Theatre is an independent s.501c3 not-for-profit charity registered in New York. It gave $622,818 in 2007-08 to the National.

A collaboration with Bamboozle Theatre Company allowed children with learning difficulties access to War Horse, and regular touch-tours of sets and props were given for blind and partially sighted people

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financial review

2008 2007Income £’000 £’000Box office 15,360 31% 14,817 32%Impact of cultural exemption 2,056 4% 0 0%Trading and other income 8,306 17% 8,210 18%Fundraising 4,891 10% 5,050 11%ACE grants 18,362 38% 18,029 39%

48,975 100% 46,106 100%

ExpenditureProduction costs 33,789 72% 32,235 74%Impact of cultural exemption 2,042 4% 0 0%Education 1,906 4% 2,073 5%Research 1,147 2% 1,459 3%Amplification 1,519 3% 964 2%Trading 5,856 13% 5,582 13%Fundraising 1,111 2% 1,286 3%Governance 169 0% 190 0%

47,539 100% 43,789 100%

TransfersUse of restricted project funds 7 245Capital and maintenance fund (1,350) (2,375)

Net surplus on unrestricted operations fund 93 187

The National achieved a surplus of £93,000 on unrestricted funds for 2007-08 financial year against a budgeted break-even result for the year. This was a good result reflecting strong box office demand at the National Theatre and ticket income sufficiently ahead of budget to fund the costs of bringing forward the opening dates of two new productions into the financial year.

The National started accounting for the impact of cultural exemption on VAT during the financial year. Box office ticket income no longer attracts VAT but the National’s ability to recover VAT on its costs is also restricted. This results in an increase of approximately £2m in income and costs and a broadly neutral impact on the results for 2007-08. Discussions continue with HMRC regarding the impact on 2006-07 and earlier years and no adjustments have been made to anticipate any potential repayment.

Set out below is a summary statement of income and expenditure. It combines the National’s unrestricted income and expenditure (excluding capital) with restricted short-term project funds. This gives a picture of the National’s activity undertaken in the year. The full accounts are set out in SORP 2005 format from page 50 onwards, including longer-term capital project funding and expenditure.

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Box Office IncomeThe National uses attendances and number of productions as key performance indicators. The table below shows the five-year results.

Arts Council England FundingThe revenue grant for 2007-08 was £18,223,400, a 2.75% increase on the prior year. In Autumn 2007 the National received notification of its new three-year funding settlement which confirmed annual grant increases of 2.7% pa for 2008-09 and 2009-10.

FundraisingThe development department again hit their target of raising £5m for revenue purposes, and a further £2.7m was received in addition to this sum for the Studio refurbishment and other capital projects. The total received net of fundraising expenditure was £6.5m, a year-on-year increase of £1.5m.

Trading and Other IncomeTrading operations including catering, bookshop, programmes, car-park and costume hire are conducted through the National’s wholly owned subsidiary Royal National Theatre Enterprises Limited. Sales of £6.5m were relatively static year on year, although in line with attendances, but cost savings achieved by catering were a major contributor in the 23% growth in net profit to £1.3m.

The History Boys again toured in the UK and transferred to the West End under National Theatre management. The income from these tours is included in box office consistent with last year. Unlike 2006-07, there was no overseas tour or Broadway transfer which contributed an exceptional receipt in that year. As a result, other non-trading income is down £0.4m year on year.

REVENUE ExPENDITURE

Production CostsThe number and scale of new productions (see table below) was comparable with recent years and good control of costs ensured spend came in on budget.

In addition to the new productions built and staged at the National there were 25 weeks of UK touring (27 weeks in 2006-07) and 15 weeks of The History Boys in the West End. Total production spend can be analysed as follows:

EducationTotal education spend was £1.9m of which £0.8m was covered by fundraising, £0.6m raised through ticket and fee income and the remainder covered by core funding. Year-on-year spend showed a small decline explained by two multi-year projects which had ended in the preceding year.

Paid attendances (thousands) 2003-04 2004-05 2005-06 2006-07 2007-08000s 000s 000s 000s 000s

Olivier 356 375 302 378 391Lyttelton 268 304 268 248 246Cottesloe 107 96 93 96 93

TOTAL 731 775 663 722 730

Attendance as % of capacity 91% 94% 84% 85% 87%

Number of performances: 2003-04 2004-05 2005-06 2006-07 2007-08Olivier 340 360 335 358 364Lyttelton (Main House) 349 373 355 359 339Cottesloe 369 361 347 357 360

TOTAL 1,058 1,094 1,037 1,074 1,063

NUMBER OF PRODUCTIONS (NEW IN BRACKETS): 2003-04 2004-05 2005-06 2006-07 2007-08Olivier 7 (6) 6 (4) 7 (7) 7 (5) 8 (6)Lyttelton 7 (5) 7 (4) 8 (3) 8 (6) 9 (7)Cottesloe 7 (6) 10 (7) 8 (7) 9 (8) 9 (6)

TOTAL 21 (17) 23 (15) 23 (17) 24 (19) 26 (19)

PRINCIPAL FUNDING SOURCES

The National maintains a balance between self-generated income – box office, fundraising, trading income, exploitation of National Theatre productions and public subsidy from Arts Council England (ACE).

The Travelex £10 Season in the Olivier was again very successful, drawing in an audience of 90% capacity. The biggest earner for the year though was War Horse which took £2.3m at the box office, played to an audience of over 100,000 and achieved 99% occupancy. There was very strong demand from under-18s for this production in particular but also across the repertoire. 85,500 under-18s attended, representing 12% of total audiences but only 8% of total revenue, reflecting the impact of concessionary prices offered to this age group.

The number of performances in the Lyttelton was lower year on year resulting from a closure of that theatre for two weeks for planned maintenance.

17% Trading

and other income

10%Fund-raising

38%ACE grants

31%Box Office

Impact of cultural exemption

4%

21% Actors and Musicians

7% Directors,

Designers and Writers

27%Performance

running

24%Production

build

5%Planning and

Direction

9% Touring

7% the History Boys

West End

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Research and DevelopmentThe refurbishment of the National Theatre Studio was completed in October 2007 and it was reoccupied in November. The refurbishment cost £6m and was fully funded from a blend of individual gifts, foundations and closing campaign gifts of £0.5m each from the Royal National Theatre Foundation and the Arts Council. The cost of refurbishment has been capitalised in fixed assets and the funding is held in a separate restricted reserve which will be released to match future depreciation. Research activity continued throughout the refurbishment period but there was a short lull during the period of reoccupation of the Studio resulting in a year-on-year reduction in cost.

AmplificationSpend in this area increased to £1.5m. In addition to the annual outdoor theatre programme, Watch This Space, the National has increased spend on web and digital work which was supported with pro bono consultancy valued at £100,000, and has received free energy-efficient light fittings to a value of £265,000 used to replace those lighting the exterior of the building.

Support CostsSupport costs cover expenditure on front-of-house staff responsible for the audience; marketing, box office and press; management and maintenance of the building including insurance and energy costs; and finance, personnel and IT. These costs are allocated against the activities listed above. Year-on-year costs grew by just under 5% to £10.7m, the above inflation increase arising in building maintenance costs including spend on utilities.

Capital ExpenditureTotal capital expenditure for the year was £6.6m. Of this, £3.3m was spent on the refurbishment of the National Theatre Studio, £2.3m was funded from the National’s designated buildings and equipment fund and a further capital expenditure of £0.8m was funded from the remaining balance of the National’s 1996 lottery award. Spend through the designated maintenance fund included £0.7m on technical equipment for the theatres, £0.6m on improvements front-of-house and £1m backstage expenditure.

The annual transfer from the operations fund to the designated fund was £1.35m compared with £2.4m in

2006-07 (the prior year transfer having been boosted by receipts from The History Boys). A target of £2m pa has been set in order to meet the National’s short term capital expenditure plans. This is explained in some more detail below in the policy for the buildings and equipment designated fund.

RESERVES AND OTHER FINANCIAL POLICIES

Unrestricted Operations FundThe policy for budgeting annual income and expenditure is, taking account of the level of grant receivable from the Arts Council, to seek each year to match income and expenditure, and to avoid accumulating a deficit, so that the National is able to continue successfully its present quantum and quality of operations.

Unrestricted reserves have now reached their target level of £1m. This sum has been determined by the Trustees as the target level of unrestricted reserves required to maintain financial stability on an on-going basis. It is recognized that there is particular uncertainty around box office receipts and £0.5m is held to recognise the volatility in box office revenue as between budget and actual out-turn and £0.5m reflects the impact that the unexpected and therefore unplanned replacement of a major piece of capital equipment would have on the charity. Buildings and Equipment Designated FundThe policy is to ensure that sufficient money is set aside in the reserve so that over a three-year period the National is able to maintain and renew the building in accordance with its rolling capital plan. The plan is in balance for 2008-09 but capital expenditure for 2009-10 and 2010-11 is currently in excess of the sum which could be reasonably anticipated to be covered from normal profit and loss and fundraising sources. Work is underway to tackle this issue and consider longer-term capital needs as part of a masterplanning process.

Restricted FundsThese are funds which have been earmarked by the donor for specific purposes within the overall aims of the organisation. The funds are analysed between long term and short term; long term being mostly for capital purposes and short term for project activity, as set out in note 20 to the accounts. Short term will be spent in full in the next 18 months and, where there is a

deficit, this will be covered by future restricted income. The balance on the long-term capital funds represents funds received from donors to purchase fixed assets less the depreciation charged on an annual basis. Over time these reserves will reduce to zero as the assets are fully depreciated.

Investment PolicyThe policy is to hold investments in liquid funds so they are available to meet predicted cash-flow needs. In selecting suitable cash deposits the policy is to maximise the return and maintain low transaction costs whilst ensuring high levels of capital security by minimising credit risk, and minimising interest rate risk. Deposits and interest rates are reviewed each time the Finance and Audit Committee meets and at 30 March 2008 the cash deposits were spread equally between two major clearing banks. The bank interest earned for the year was £492,000 (2006-07: £457,000). The policy is reviewed on an annual basis.

Creditor Payment PolicyIt is the National’s policy to pay creditors in accordance with terms of payment agreed at the start of business with each supplier.

Financial Risk ManagementThe following statements summarise the Board’s policy in managing identified forms of financial risk.Price risk: The National endeavours to limit ticket price increases to no more than inflation and hold its lowest ticket price at £10. This has been found to be the best way of maximising revenue and increasing access. Funding from the Arts Council for April 2007 increased by 2.75%, which was less than inflation, and the increase from 2008 onwards of 2.7% is also below current levels of inflation. Payments to employees or individuals represent 65% of total expenditure and Arts Council grants and ticket income represent approximately 70% of income. The pay award in 2007-08 of 3.5%, whilst in excess of the Arts Council grant increase, was manageable within the National’s annual budget contingency. Over time, a disparity between inflation and the increase in Arts Council grant settlement would expose the National to price risk although this is manageable at present levels. Credit risk: Risk on amounts owed to the charity by

its customers is low, as payment for ticket sales and operations through the trading subsidiary are mostly settled at point of purchase.Liquidity risk: The National has no long-term borrowings.Interest rate cash flow risks: The National places surplus funds on short-term deposit split between two major clearing banks. Interest rates available on longer term deposits are kept under review but longer term deposits will only be made for specific major project funds where the term of the deposit matches the anticipated cash flow requirement.

Property InterestsThe National has a lease of its building on the South Bank site from Arts Council England for a term expiring in March 2138. The Building is Grade 2* listed. The freehold of the Old Vic Annexe (the Studio), The Cut, London SE1 is owned by the National and this building was listed in March 2006.

Lisa BurgerFinance Director

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Trustees’ TransactionsFrom time to time, members of the Board or persons connected with them enter into transactions with the National in the normal course of business of both parties. Such transactions are conducted on an arm’s length basis, on normal commercial terms, and are in accordance with the specific provisions of clause 5 of the Memorandum of Association. It is the Board’s policy that they should be disclosed to and approved by the Board.

Board membersBoard members at the date of this Report are listed on the opening page. All Board members who served during the year under review were: Anjali Arya (until 28 January 2008), Sir Hayden Phillips GCB DL, Susan Chinn, Lloyd Dorfman CBE (appointed 20 April 2007), Nicola Horlick (retired 23 July 2007), Rachel Lomax, Neil MacGregor, Caragh Merrick, Caro Newling (sabbatical 1 January 2008 to 1 January 2009), André Ptaszynski, Philip Pullman, Rt Hon Lord Smith of Finsbury, Edward Walker-Arnott, and Nicholas Wright.Company Secretary: Lisa Burger (until 23 July 2007), Kay Hunter Johnston (from 23 July 2007).

Statement of Trustees’ Responsibilities in Respect of the Annual Report and the Financial StatementsThe Trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The Trustees are responsible for preparing financial statements for each financial year which give a true and fair view, in accordance with United Kingdom Generally Accepted Accounting Practice, of the state of affairs of the company and group and of the profit or loss of the charity and group for that period. In preparing those financial statements, the Trustees are required to:• Select suitable accounting policies and then apply them consistently;• Make judgments and estimates that are reasonable and prudent;• State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The Trustees confirm that they have complied with the above requirements in preparing the financial statements.

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 1985, the Statement of Recommended Practice ‘Accounting and Reporting by Charities 2005’ and the governing document. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charity’s website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Each Trustee confirms that:• In so far as the Trustee is aware, there is no relevant audit information of which the National’s auditors are unaware;• The Trustee has taken all the steps he/she ought to have taken as a Trustee in order to make himself/herself aware of any relevant audit information and to establish that the National’s auditors are aware of that information.

AuditorsPricewaterhouseCoopers LLP will continue in office as auditors of the Charity for the next financial year.

The information set out in the preceding pages forms the Directors’ report for the Royal National Theatre for the 52 weeks ended 30 March 2008.

By order of the Board

Sir Hayden Phillips, Chairman28 August 2008

report of the board

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We have audited the group and parent charity financial statements (“the financial statements”) of the Royal National Theatre for the year ended 30 March 2008 which comprise the Group Statement of Financial Activities, the Group and Charity Balance Sheets, the Group Cash Flow Statement and the related notes. These financial statements have been prepared under the accounting policies set out therein. Respective Responsibilities of Trustees and Auditors The responsibilities of the trustees (who are also the directors of the Royal National Theatre for the purposes of company law) for preparing the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) are set out in the Statement of Trustees’ Responsibilities.

Our responsibility is to audit the financial statements in accordance with relevant legal and regulatory requirements and International Standards on Auditing (UK and Ireland). This report, including the opinion, has been prepared for and only for the charitable company’s members as a body in accordance with Section 235 of the Companies Act 1985 and for no other purpose. We do not, in giving this opinion, accept or assume responsibility for any other purpose or to any other person to whom this report is shown or into whose hands it may come save where expressly agreed by our prior consent in writing.

We report to you our opinion as to whether the financial statements give a true and fair view and are properly prepared in accordance with the Companies Act 1985. We also report to you whether in our opinion the information given in the Trustees’ Report is consistent with the financial statements. In addition we report to you if, in our opinion, the charitable company has not kept proper accounting records, if we have not received all the information and explanations we require for our audit, or if information specified by law regarding trustees’ remuneration and other transactions is not disclosed.

We read other information contained in the Annual Report, and consider whether it is consistent with the audited financial statements. This other information comprises only the Trustees’ Report, the Chairman’s Statement and the Operating and Financial Review. We consider the implications for our report if we become aware of any apparent misstatements within it or material inconsistencies with the financial statements. Our responsibilities do not extend to any other information.

Basis of Audit Opinion We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by the Auditing Practices Board. An audit includes examination, on a test basis, of evidence relevant to the amounts and disclosures in the financial statements. It also includes an assessment of the significant estimates and judgments made by the trustees in the preparation of the financial statements, and of whether the accounting policies are appropriate to the group and charitable company’s circumstances, consistently applied and adequately disclosed.

We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the financial statements are free from material misstatement, whether caused by fraud or other irregularity or error. In forming our opinion we also evaluated the overall adequacy of the presentation of information in the financial statements.

Opinion In our opinion:

• the financial statements give a true and fair view, in accordance with United Kingdom Generally Accepted Accounting Practice, of the state of the group’s and the parent charitable company’s affairs as at 30 March 2008 and of the group’s incoming resources and application of resources, including the group’s income and expenditure and cash flows, for the year then ended; • the financial statements have been properly prepared in accordance with the Companies Act 1985; and• the information given in the Trustees’ Report is consistent with the financial statements.

PricewaterhouseCoopers LLP Chartered Accountants and Registered Auditors London

28 August 2008

independent auditors’ report to the members of the Royal National Theatre

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The financial statements were approved by the Board of Directors on 28 August 2008 and signed on its behalf by:

Sir Hayden Phillips Edward Walker-ArnottChairman Director

BALANCE SHEETat 30 March 2008financial statements

All incoming resources and resources expended are derived from continuing activities.The statement of financial activities incorporates an income and expenditure account. There are no recognised gains and losses other than those noted above and therefore no separate statement of total recognised gains and losses has been presented.

STATEMENT OF FINANCIAL ACTIVITIESfor the 52 weeks ended 30 March 2008

Unrestricted Funds Restricted Funds 52 Weeks 52 Weeksto 30 March to 1 April

2008 2007

Operations Designated Project Long Term Total TotalNote £’000 £’000 £’000 £’000 £’000 £’000

Incoming resourcesIncoming resources from generated funds:

Voluntary income 2, 3 21,774 116 1,479 3,613 26,982 25,175Trading operations 26 6,543 0 0 0 6,543 6,130Investment income 329 45 0 118 492 457

Incoming resources from charitable activities 4 18,850 0 0 0 18,850 16,673

TOTAL incoming resources 47,496 161 1,479 3,731 52,867 48,435

Resources expendedCosts of generating funds:

Costs of generating voluntary income 1,111 0 0 0 1,111 1,286Cost of trading operations 26 5,856 0 0 0 5,856 5,582

Charitable activities 5 39,003 1,766 1,400 2,466 44,635 42,087Governance costs 5 169 0 0 0 169 190

TOTAL resources expended 46,139 1,766 1,400 2,466 51,771 49,145

Net incoming/(outgoing) resources before transfers 1,357 (1,605) 79 1,265 1,096 (710)

Gross transfers between funds:Capital & maintenance reserve (1,350) 1,350 0 0 0 0Other 86 0 (86) 0 0 0

Net movement in funds 93 (255) (7) 1,265 1,096 (710)

Reconciliation of fundsTotal funds brought forward 20 905 5,115 343 11,409 17,772 18,482

TOTAL funds carried forward 998 4,860 336 12,674 18,868 17,772

Group Company Group CompanyAs at As at As at As at

30 March 30 March 1 April 1 April2008 2008 2007 2007

Note £’000 £’000 £’000 £’000

Fixed assets

Tangible fixed assets 15 14,999 14,999 12,521 12,521Investments 16 200 200 0 0

TOTAL fixed assets 15,199 15,199 12,521 12,521

Current assetsStocks 17 287 63 283 56Cost of productions not yet opened 322 322 220 220Debtors 18 2,285 2,945 2,677 3,622Short term deposits 886 0 800 0Cash at bank and in hand 7,714 7,708 7,842 7,757

TOTAL current assets 11,494 11,038 11,822 11,655

Creditors: amounts falling due within one year 19 (7,825) (7,364) (6,571) (6,399)

Net current assets 3,669 3,674 5,251 5,256

TOTAL net assets 18,868 18,873 17,772 17,777

Represented by:Operations fund 20 998 1,003 905 910Designated funds 20 4,860 4,860 5,115 5,115

TOTAL unrestricted funds 5,858 5,863 6,020 6,025

Restricted funds 20 13,010 13,010 11,752 11,752

TOTAL funds 18,868 18,873 17,772 17,777

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Included within cash are amounts held in instant access high-interest deposit accounts with different banking institutions.

CONSOLIDATED CASH FLOW STATEMENT

Group Group52 Weeks 52 Weeks

to 30 March to 1 April2008 2007

Note £’000 £’000

Net cash inflow from operating activities i 6,355 4,671Returns on investment: interest received 438 466

Capital expenditure and financial investmentPayments to acquire fixed assets (6,635) (4,886)Payments to acquire fixed asset investments (200) 0

TOTAL capital expenditure and financial investment (6,835) (4,866)

Management of liquid resourcesIncrease in short term deposits (86) (800)

Decrease in cash in the year ii (128) (549)

NET CASH INFLOW FROM OPERATING ACTIVITIES2008 2007£’000 £’000

Net incoming/(outgoing) resources before transfers 1,096 (710)Interest receivable (492) (457)Increase in stock (4) (6)(Increase)/decrease in work in progress (102) 25Decrease/(increase) in debtors 446 (818)Increase in creditors and provisions 1,254 1,281Depreciation charge 4,157 5,356

Net cash inflow from operating activities 6,355 4,671

i

ANALYSIS OF NET CASH RESOURCESAs at 1 As at 30

April 2007 Cashflow March 2008£’000 £’000 £’000

Cash in hand 7,842 (128) 7,714Short term deposits 800 86 886

TOTAL 8,642 (42) 8,600

ii

iii RECONCILIATION OF NET CASHFLOW TO MOVEMENT IN NET FUNDS

2008 2007£’000 £’000

Decrease in cash in the year (128) (549)Cash outflow from increase in liquid resources 86 800

Movement in net funds in the year (42) 251

Net funds at 1 April 2007 8,642 8,391

Net funds at 30 March 2008 8,600 8,642

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G COST OF NEW PRODUCTIONS NOT YET OPENEDThe materials cost of new productions and associated creative team fees are carried forward on the balance sheet until they are expensed on the date of the first performance to a paying public audience. Internal labour and rehearsal costs are expensed as incurred.

H INCOMING RESOURCESAll incoming resources are included in the Statement of Financial Activities when the Charity has legal entitlement, there is reasonable certainty over receipt and the amount of income can be quantified with reasonable accuracy.

Voluntary IncomeVoluntary income comprises all incoming resources from sponsorships, donations, legacies, grants and membership subscriptions. Voluntary income is recognised in the appropriate fund on a receivable basis and when any conditions for receipt are met.

Where donor imposed conditions require that the resource is expended in a future accounting period, income is recorded as deferred income at the balance sheet date.

Income from individual membership schemes eligible for Gift Aid is recognised in full on receipt. Corporate and Advance Membership income is apportioned over the period of the subscription and the element relating to a future period is recorded as deferred income at the balance sheet date.

Gift aid is included in the accounts based on amounts recoverable at the balance sheet date.

Goods and services received in kind are included within the financial statements where material.

Activities for Generating FundsActivities for generating funds comprises income generated by Royal National Theatre Enterprises

Limited from trading activities. Income is recognised on a receivable basis.

Incoming Resources from Charitable Activities Incoming resources from charitable activities comprises:

Box office income:• income from performances at the South Bank• income from touring activities (excluding grants)• ticket sales for productions which have transferred to the West End under direct NT management

All other income:• income from NT Education projects• exploitations and rights, mailing list subscription and other sundry income

Box office income and income generated by NT Education projects is recognised in the Statement of Financial Activities on maturity of the performance or event. Income from exploitations and rights, and other income, is recognised on a receivable basis. Income from the mailing list is recognised on a straight line basis over the period of subscription.

Investment IncomeInvestment income comprises interest receivable on cash balances and short-term deposits. Interest receivable is credited to funds in proportion to cash holdings.

I RESOURCES ExPENDEDAll expenditure is accounted for on an accruals basis and is classified under the relevant activity within the Statement of Financial Activities.

Resources expended which relate directly to the National’s charitable objectives are analysed between:• Performances at the South Bank or elsewhere

under direct management

notes to the financial statements1. PRINCIPAL ACCOUNTING POLICIES

A BASIS OF PREPARATIONThe financial statements have been prepared under the historical cost convention and in accordance with applicable United Kingdom accounting standards, the Companies Act 1985, and the recommendations of the Statement of Recommended Practice “Accounting and Reporting by Charities” (“the SORP”) issued in March 2005. The principle accounting policies adopted in the preparation of the financial statements are set out below.

B CONVENTIONThe financial statements are presented in Sterling rounded to the nearest thousand.

C GROUP FINANCIAL STATEMENTSThe Group financial statements consolidate those of the Royal National Theatre (“the National” or “the NT”) and its non-charitable trading subsidiary, Royal National Theatre Enterprises Limited (see note 26, page 69). The results of the trading subsidiary have been incorporated on a line by line basis. Transactions and balances outstanding between the entities are eliminated on consolidation.

A separate statement of financial activities and income and expenditure account are not presented for the Charity itself as permitted by Section 230 of the Companies Act 1985 and paragraph 397 of the SORP. The net expenditure of the company for the year was £150,000 (2007: £1,722,000).

The National has also taken advantage of the exemption not to disclose any transactions or balances outstanding between group entities that have been eliminated on consolidation.

D LEASE OF THE NATIONALThe National holds a lease on its building from its freeholder, Arts Council England, at a peppercorn rent. This lease expires in 2138. Under the terms of

the lease, the National is responsible for maintaining the fabric of the building and its mechanical and electrical equipment. In order to meet this obligation, funds are being transferred from the National’s own resources, namely the operations fund, to a buildings and equipment reserve (see note 20, page 65).

E FIxED ASSETS AND DEPRECIATIONFixed assets are held at cost less accumulated depreciation within the relevant fund. Only assets over £1,000 are capitalised. Depreciation is provided on a straight line basis to write off the assets over their anticipated useful economic lives and is charged to the relevant fund as follows:

• Freehold property – 50 years (excluding land,which is not depreciated)

• Leasehold improvements – 10 years• Equipment – 3 years

Donated assets are stated at the value to the National Theatre.

The carrying values of tangible fixed assets are reviewed for impairment when events or changes in circumstances indicate the carrying value may not be recoverable.

F STOCKSStock held by the National’s trading subsidiary comprises catering, bookshop and programme supplies for resale. Other stock (“production stock”) comprises consumables for use in the making of sets and costumes.

All stock is valued at the lower of cost and net realisable value. Cost is based on the latest purchase price for catering, bookshop and programme stock, and on average cost for production stock.

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3. VOLUNTARY INCOME - ANALYSIS BY INCOME TYPE

2008 2008 2008 2008 2007£’000 £’000 £’000 £’000 £’000

Sponsorship Donations, Grantssubscriptions Total Total

& legacies

Arts Council England 0 0 19,354 19,354 18,876

Performances 864 165 0 1,029 632Education 388 215 246 849 619Research & development 0 44 41 85 78Amplification 206 10 38 254 12Long-term projects 264 2,193 280 2,737 1,249General activity 78 2,596 0 2,674 3,709

1,800 5,223 605 7,628 6,299TOTAL voluntary income 1,800 5,223 19,959 26,982 25,175

• Performances on tour• Education• Research and development (including the NT Studio and commissioning costs)• Amplification of the NT’s objectives (including Archive, Outside Events, Platforms and Foyer Music)

Resources expended which form part of the Group’s trading activities are separately disclosed in costs of trading operations.

The costs of generating voluntary income represent the costs of securing sponsorship and donations including the costs of providing membership benefits.

Governance costs include the costs of the company secretary, board expenses, internal audit and external audit fees.

Support costs relating to a single activity are allocated directly to that activity. Where support costs relate to several activities, they have been apportioned as set out in note 6 on page 59. Staff canteen costs are shown net of contributions.

Provision has been made, where appropriate, for expenses where a present obligation exists at the balance sheet date in accordance with the requirements of FRS 12.

J OPERATING LEASESRentals payable under operating leases are charged to the Statement of Financial Activities on a straight line basis over the term of the lease.

K PENSIONSThe National offers a stakeholder scheme to its employees and contributes to defined contribution schemes for certain of its other employees (see note 13, page 62). These costs are expensed in the Statement of Financial Activities as they become payable.

L VAT All resources expended are classified under activity headings that aggregate all costs related to the category. Irrecoverable VAT is charged against the category of resources expended for

which it was incurred. Irrecoverable VAT on capital expenditure arising from the operation of cultural exemption for the 2007-08 financial year has been written off in the period and included within costs of charitable activity as set out in note 24.

M FOREIGN CURRENCIESMonetary assets and liabilities in foreign currencies are retranslated at rates of exchange ruling at the balance sheet date. Transactions in foreign currencies undertaken during the year have been translated at the rate ruling at the date of the transaction. Translation differences are recorded in the Statement of Financial Activities.

2. VOLUNTARY INCOME - ANALYSIS BY FUND TYPE

2008 £’000

Unrestricted

2008 £’000

Restricted

2008 £’000

Designated

2008 £’000

Restricted

2008 £’000

2007 £’000

projects long term long term Total Total

Arts Council England: Revenue grant 17,708 0 0 0 17,708 17,222 Touring grants 515 60 0 0 575 668 Capital and other grants 0 79 0 992 1,071 986

18,223 139 0 992 19,354 18,876Other voluntary income: Performances 877 152 0 0 1,029 632 Education 0 849 0 0 849 619 Research & development 0 85 0 0 85 78 Amplification 0 254 0 0 254 12 Long-term projects 0 0 116 2,621 2,737 1,249 General activity 2,674 0 0 0 2,674 3,709

3,551 1,340 116 2,621 7,628 6,299TOTAL voluntary income 21,774 1,479 116 3,613 26,982 25,175

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Allocated costs include:2008 2007£’000 £’000

Operating lease rentals:Plant and machinery 49 38Land and buildings 220 219

269 257

2008 2007£’000 £’000

Auditors’ remuneration:Group audit fee 48 46Tax and other fees 10 2

58 48

5. COSTS OF CHARITABLE ACTIVITY

2008 2008 2008 2008 2008 2008 2007£’000 £’000 £’000 £’000 £’000 £’000 £’000

Unrestricted Unrestricted Unrestricted Restricted Designateddirect costs support total costs direct costs direct costs Total Total

costs

Performances - NT 21,991 9,490 31,481 113 0 31,594 30,636Performances - touring 1,918 177 2,095 100 0 2,195 1,599Education 862 338 1,200 706 0 1,906 2,073Research & development 750 279 1,029 193 0 1,222 1,459Amplification 673 483 1,156 363 0 1,519 964

26,194 10,767 36,961 1,475 0 38,436 36,731

Depreciation and related costs 0 0 0 2,391 1,766 4,157 5,356

Non recoverable VAT and related costs 2,042 0 2,042 0 0 2,042 0

Total costs of charitable activity 28,236 10,767 39,003 3,866 1,766 44,635 42,087

Governance 121 48 169 0 0 169 190

6. ANALYSIS OF SUPPORT COSTS

2008 2008 2008 2008 2007£’000 £’000 £’000 £’000 £’000

Theatre SupportPromotion operations services Total Total

Trading operations 0 229 410 639 570

Charitable activities:Performances – NT 2,674 4,368 2,448 9,490 9,119Performances – touring 98 0 79 177 69Education 117 121 100 338 372Research & development 39 182 58 279 392Amplification 122 303 58 483 330

3,050 4,974 2,743 10,767 10,282

Governance 0 36 12 48 67

TOTAL support costs 3,050 5,239 3,165 11,454 10,919

Included within the group audit fee is £5,900 (2007: £5,700) in respect of Royal National Theatre Enterprises Limited.

Promotion comprises Marketing and Press. Theatre Operations comprises Front of House, Building Services, Insurance, Cleaning and Security. Support Services comprises Finance, IT, Personnel, Pensions, and Staff Canteen net of cost recoveries of £466,000 (2007: £485,000).

Support costs are allocated using the following bases:For Marketing, Front of House, Finance, and IT – Management review of estimated usagePersonnel – HeadcountBuilding Services – Management review of estimated space usage

4 . TOTAL INCOMING RESOURCES FROM CHARITABLE ACTIVITIES2008 2008 2007£’000 £’000 £’000

Unrestricted Total Total

National Theatre box officeOlivier* 5,944 5,944 5,238Lyttelton* 4,387 4,387 4,463Cottesloe* 1,416 1,416 1,490Impact of VAT exemption 2,056 2,056 0

13,803 13,803 11,191

Touring - England & Wales 1,101 1,101 1,272Touring - other countries 553 553 100Other box office 1,959 1,959 2,254

3,613 3,613 3,626

Exploitation and rights 332 332 967Education 587 587 439Other 515 515 450

TOTAL incoming resources from charitable activities 18,850 18,850 16,673

*Box office income in 2007 is shown net of output VAT charged on ticket sales. Under cultural exemption, in 2008, box office income is accounted for gross. The benefit is reported as a separate line above to assist comparison with prior years. The impact on recovery of input tax is reported as an additional cost under charitable activity (see note 5). Further details are given in note 24.Touring income includes co-production & touring fees where appropriate.

Under cultural exemption, the National is not able to fully recover input VAT. The impact on the current year is reported as a separate line above to assist comparison with prior years. Further details are given in note 24.

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8. EDUCATION

2008 2008 2008 2007£’000 £’000 £’000 £’000

Unrestricted Restrictedprojects Total Total

New Connections 212 249 461 520Digital 71 4 75 203Secondary & further education 24 73 97 36Interact 26 117 143 162Primary 123 158 281 185City Ambassadors 19 90 109 40Head for Business 0 0 0 105Innovation & new audiences 0 0 0 19Training & development 293 12 305 257Regeneration 0 0 0 70Other 432 3 435 476

TOTAL expenditure on education projects 1,200 706 1,906 2,073

7. ANALYSIS OF ExPENDITURE ON PERFORMANCES BY FUND TYPE

2008 2008 2008 2007£’000 £’000 £’000 £’000

Unrestricted Restrictedprojects Total Total

National Theatre:Capitalisation & running costs 15,459 113 15,572 15,223Workshops & stages 10,313 0 10,313 9,931Producing & direction 5,709 0 5,709 5,482

31,481 113 31,594 30,636

Touring - England & Wales 1,765 100 1,865 1,291Touring - other countries 330 0 330 308

2,095 100 2,195 1,599

TOTAL expenditure on performances 33,576 213 33,789 32,235

8. EDUCATION (continued)

Total expenditure on Education projects was funded by:2008 2008 2008 2007£’000 £’000 £’000 £’000

Unrestricted Restrictedprojects Total Total

Voluntary income:Sponsorship 0 388 388 100Donations 0 215 215 152Grants 0 246 246 461ACE grants 0 43 43 0

Attendance fees 587 0 587 439Core funds 613 0 613 883Charged/(credited) to accumulated restricted funds 0 (186) (186) 38

TOTAL 1,200 706 1,906 2,073

9. RESEARCH & DEVELOPMENT

2008 2008 2008 2008 2007£’000 £’000 £’000 £’000 £’000

Unrestricted Restricted Restrictedprojects long term Total Total

NT Studio 518 118 75 711 856Commissioning new scripts 331 0 0 331 354Associates and other research & development 180 0 0 180 249

TOTAL expenditure on R&D 1,029 118 75 1,222 1,459

10. AMPLIFICATION

2008 2008 2008 2007£’000 £’000 £’000 £’000

Unrestricted Restrictedprojects Total Total

Outdoor events & exteriors programme 403 104 507 400Platforms & foyer music 287 0 287 277Archive 203 0 203 161Access 65 30 95 92Digital & other initiatives 198 229 427 34

TOTAL amplification expenditure 1,156 363 1,519 964

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11. STAFF COSTS AND NUMBERS2008 2007£’000 £’000

Wages and salaries 24,412 22,447Social security costs 2,413 2,268Other pension costs 554 499

TOTAL 27,379 25,214

Average numbers employed in the year: * 2008 2007Number Number

Actors and musicians 203 170Technical and production 305 277Trading and front of house 216 223Education, touring, NT Studio and other projects 54 50Marketing and box office 52 47Support services 51 46Engineering 26 26Fundraising 18 15

TOTAL 925 854

2008 2007Number Number

£60,001-£70,000 5 4£70,001-£80,000 1 3£80,001-£90,000 0 0£90,001-£100,000 1 1£100,001-£110,000 0 0£110,001-£120,000 0 1£120,001-£130,000 1 0£130,001-£140,000 0 1£140,001-£150,000 1 0

TOTAL 9 10

12. DIRECTORS’ EMOLUMENTSNo directors of the company or its operational subsidiary received any remuneration during the year or in the previous year. Expenses for travel and entertainment totalling £740 (2007: £246) were incurred by one director wholly and necessarily on the National’s business and were reimbursed during the year.

13. PENSION CONTRIBITIONSThe National makes payments to defined contribution schemes which are available to all permanent employees on completion of their probationary period. The charge for the period was £554,000 (2007: £493,000) with £53,000 (2007: £64,000) payable at balance date.

15. TANGIBLE FIxED ASSETS - GROUP AND COMPANY

In addition to these fixed assets, the NT holds a collection of paintings and manuscripts bequeathed by Somerset Maugham to the NT. No value has been ascribed to the collection in these financial statements. The collection is not held by the National in pursuit of preservation or conservation objectives and accordingly the Directors do not consider that it represents a heritage asset, as defined by the SORP 2005. Accordingly, it is not considered appropriate to recognise any value relating to the collection at this time. The collection is insured for a value of £2,595,700.

Freehold Leasehold Equipment Work in Totalland &

buildings £’000

improve-ments £’000

£’000

progress

£’000

£’000CostAs at 1 April 2007 1,100 33,386 14,823 2,975 52,284Additions 3,138 260 2,569 668 6,635Disposals (197) 0 0 0 (197)Transfers from work in progress 2,606 113 69 (2,788) 0

As at 30 March 2008 6,647 33,759 17,461 855 58,722

DepreciationAs at 1 April 2007 197 26,824 12,742 0 39,763Charge for year 115 1,704 2,338 0 4,157Disposals (197) 0 0 0 (197)

As at 30 March 2008 115 28,528 15,080 0 43,723

Net book valueAs at 30 March 2008 6,532 5,231 2,381 855 14,999

As at 1 April 2007 903 6,562 2,081 2,975 12,521

16. INVESTMENTS

Group Company Group Company2008 2008 2007 2007£’000 £’000 £’000 £’000

20-year gilt 200 200 0 0

TOTAL 200 200 0 0

As at 30 March 2008, the National employed 484 (2007: 453) staff on permanent full-time contracts and 131 (2007:118) on part-time contracts. In addition, consistent with the National’s activities as a repertory theatre, 1,115 (2007: 1,110) people were employed on short-term contracts, including actors and musicians during the year.Pension contributions of £42,984 (2007: £43,236) were made to defined contribution schemes for the above members of staff during the year.* All staff are employed by the National Theatre and recharged to Royal National Theatre Enterprises Limited where relevant.

14. TAxATION The National’s charitable activities fall within the exemptions afforded by section 505 of the Income Corporation Taxes Act 1988. The trading subsidiary, Royal National Theatre Enterprises Limited, passes profits on which tax would be payable to the National under a Gift Aid arrangement. Accordingly, there is no corporation tax charge in these accounts. Similarly, because of the Gift Aid, there is no difference in the net movement in funds for the National and the Group as a whole.

During the year, the Charity invested £200,000 into a 20-year gilt in accordance with the terms of a donation received from a long-term benefactor. At the end of the 20-year term, the capital sum will become available for use by the National Theatre, and interest on the gilt accrues to the National.

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19. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company Group Company2008 2008 2007 2007£’000 £’000 £’000 £’000

Trade creditors 2,101 1,752 2,186 2,126Taxation and social security 1,068 1,068 650 650Advance bookings 1,761 1,761 1,358 1,358Other creditors and accruals 1,880 1,768 1,497 1,433Provisions 203 203 254 254Deferred income 812 812 626 578

TOTAL 7,825 7,364 6,571 6,399

Movement on deferred incomeGroup Company Group Company

2008 2008 2007 2007£’000 £’000 £’000 £’000

Deferred income brought forward 626 578 520 466Released in the year (626) (578) (520) (466)Deferred in the year 812 812 626 578

Deferred income carried forward 812 812 626 578

20. FUNDS Balance at Balance at1 April 2007 Income Expenditure Transfer 30 March 2008

£’000 £’000 £’000 £’000 £’000UNRESTRICTED:Operations fund * 905 47,496 (46,139) (1,264) 998

Designated:Building and equipment fund 4,660 161 (1,721) 1,350 4,450Front of house capital 455 0 (45) 0 410

TOTAL designated funds 5,115 161 (1,766) 1,350 4,860

RESTRICTED: long-term fundsACE Lottery Fund 8,318 710 (2,119) 0 6,909Studio refurbishment fund 2,903 2,403 (165) 0 5,141Musical fund 188 9 (75) 0 122Other restricted funds 0 609 (107) 0 502

TOTAL long-term funds 11,409 3,731 (2,466) 0 12,674

RESTRICTED: project fundsEDUCATION New Connections 40 414 (249) 0 205 Digital 42 4 (4) 0 42 Secondary & further education 0 73 (73) 0 0 Interact 151 54 (117) 0 88 Primary 46 112 (158) 0 0 City Ambassadors 46 45 (90) (1) 0 Head for Business (70) 106 0 (36) 0 Innovation & new audiences 17 0 0 0 17 Training & development 0 12 (12) 0 0 Regeneration 7 48 0 (55) 0 Other 1 24 (3) 0 22PERFORMANCE NT 0 113 (113) 0 0 Touring 0 100 (100) 0 0RESEARCH & DEVELOPMENT Studio projects 33 85 (118) 0 0AMPLIFICATION Master planning 0 0 (57) 0 (57) Step-Change 30 34 (45) 0 19 Other amplification 0 255 (261) 6 0

TOTAL project funds 343 1,479 (1,400) (86) 336

TOTAL funds 17,772 52,867 (51,771) 0 18,868

18. DEBTORS

Group Company Group Company2008 2008 2007 2007£’000 £’000 £’000 £’000

Trade debtors 901 830 1,132 975Due from subsidiary 0 840 0 1,114Arts Council revenue grants 21 21 0 0Arts Council Lottery grants 0 0 309 309Other debtors 484 484 95 95Prepayments and accrued income 879 770 1,141 1,129

TOTAL 2,285 2,945 2,677 3,622

17. STOCK

Group Company Group Company2008 2008 2007 2007£’000 £’000 £’000 £’000

Goods for resale 224 0 227 0Consumable items 63 63 56 56

TOTAL 287 63 283 56

Deferred income relates to membership subscriptions and other income recognised over more than one financial year in accordance with the accounting policy stated in note 1H.

* Analysis of unrestricted funds held between parent and subsidiary:Unrestricted retained surplus held by parent 1,003Unrestricted retained deficit held by subsidiary (5)

Group unrestricted operations fund 998

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20. FUNDS (continued)

DESIGNATED FUNDS: Buildings and Equipment FundThe buildings and equipment fund is a designated fund set aside by the Board in order to enable monies to be available over the long term for the renewal and maintenance of the National’s buildings and mechanical and electrical equipment in accordance with its lease and obligations under Lottery funding.

£1,350,000 (2007: £2,250,000) was transferred from the operations fund into the buildings and equipment fund during the year. The expenditure for the current period represents depreciation on assets acquired through this fund.

Front-of-house Capital£500,000 was transferred from the operations fund in 2005 to continue the enhancement of the National’s external spaces. During 2006, £51,000 was spent on the illumination of the building and public spaces and in 2007, £437,000 was spent on the refurbishment of the Lyttelton Café. The fund is now fully drawn down, the remaining balance representing depreciation.

RESTRICTED FUNDS: Long-term Funds:

ACE Lottery FundIn accordance with the recommendations of the Arts Council England, monies received by way of capital funding are credited to the modernisation fund. During the year ended 30 March 2008, Lottery grants of £710,000 (2007: £840,000) were credited to the fund in this respect.

The annual depreciation charge for fixed assets acquired through the modernisation fund is charged to the fund. The effect of the policy will be to reduce the balance of the modernisation fund to zero over the useful economic lives of the fixed assets concerned.

Studio Refurbishment FundThis fund has been created to support a major refurbishment of the NT Studio. Within this fund, a donation from The City Bridge Trust was regarded as Restricted Income towards disabled access.

Musical FundThis reserve reflects an obligation under a Deed of Covenant with the Mackintosh Foundation to set aside a proportion of income received from exploitation of productions originally funded by a gift from the Mackintosh Foundation for the development of the art of the musical and for future musical productions by the National.

In 2008, £75,000 was drawn down from the Musical Fund as a contribution towards work at the NT Studio (2007: £300,000 towards the NT production of Caroline or Change).

Other long-term fundsOther long-term funds represent funds used for capital or where there is an expectation that the fund will be used over the longer term.

PROJECT FUNDSThese represent restricted funds made available for projects generally completed within two years or activities funded on an annual basis. Project funds are classified betweeen Education, NT Studio projects and Amplification, representing the charitable expenditure categories of the NT.

Fixed assets Cash Other net Total netassets/

liabilitiesassets at

30 March2008£’000 £’000 £’000 £’000

UNRESTRICTED:Operations fund 0 5,929 (4,931) 998

Designated:Building and equipment fund 3,378 1,072 0 4,450Front-of-house capital 360 50 0 410

TOTAL designated funds 3,738 1,122 0 4,860

RESTRICTED: long-term fundsACE Lottery Fund 5,422 1,487 0 6,909Studio refurbishment fund 5,663 (522) 0 5,141Musical fund 0 122 0 122Other restricted funds 176 126 200 502

TOTAL long-term funds 11,261 1,213 200 12,674

RESTRICTED: project fundsEDUCATION New Connections 0 205 0 205 Digital 0 42 0 42 Secondary & further education 0 0 0 0 Interact 0 88 0 88 Primary 0 0 0 0 City Ambassadors 0 0 0 0 Head for Business 0 0 0 0 Innovation & New audiences 0 17 0 17 Training & development 0 0 0 0 Regeneration 0 0 0 0 Other 0 22 0 22PERFORMANCE NT 0 0 0 0 Touring 0 0 0 0RESEARCH & DEVELOPMENT Studio projects 0 0 0 0AMPLIFICATION Master planning 0 (57) 0 (57) Step Change 0 19 0 19 Other amplification 0 0 0 0

TOTAL project funds 0 336 0 336

TOTAL restricted funds 11,261 1,549 200 13,010

TOTAL funds 14,999 8,600 (4,731) 18,868

21. ANALYSIS OF NET ASSETS BETWEEN FUNDS

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2008 2007£’000 £’000

Approved and contracted 402 2,632

Studio 0 2,400Lighting dimmers 0 232The Deck 306 0Sound Desk 56 0Web 40 0

402 2,632

23. RELATED PARTY TRANSACTIONSNicholas Wright, a member of the Board, is a playwright. During the year, he was paid royalties of £17,996 (2007: £66,428) in his capacity as writer of the play The Reporter and commissioning fees of £5,296 in consideration for writing a new play for the NT Education New Connections project. £nil (2007: £nil) was payable at balance date. These amounts were consistent with those for a playwright of his standing.The National has a limited power to enter into transactions with its Trustees. This power is in its governing document, the Memorandum of Association, and it is limited by conditions which protect the interests of the National as a charity.Information regarding connected charities can be found on page 39 of this report.

24. VATThe National is a culturally exempt organisation under Schedule 9 of the VAT Act 1994 and during the year VAT returns have been submitted on a culturally exempt basis. NT box office income presented in 2008 includes the benefit of cultural exemption relating to ticket sales (£2,056,000), whilst the irrecoverable input VAT and related costs of £2,042,000 (including £639,000 irrecoverable VAT on capital expenditure) is included within expenditure on charitable activities. Comparative figures do not reflect the impact of cultural exemption due to the fact that the NT was not operating cultural exemption prior to 2008. The National Theatre is in discussions with HMRC as to the quantum of the benefit attributable to prior periods. There are some areas of contention. If those areas are ignored, the quantum is approximately £1m and the NT will shortly be putting in an interim claim to recover this amount. It is hoped that the contentious points will be resolved in early 2008/09.

Property lease commitments relate to lease contracts for the rental of properties at Kennington Park, London SW9.

25. OPERATING LEASE COMMITMENTS: GROUP AND COMPANY

At 30 March 2008 the National was committed to making the following payments during the next year in respect of operating leases:

2008 2007

£’000 £’000

Equipment leases which expire within one year 11 10Equipment leases which expire within two to five years 9 9Property leases which expire within one year 0 1Property leases which expire in over five years 218 218

TOTAL 238 238

The amount payable within one year is £402,000 (2007: £2,632,000).

22. CAPITAL COMMITMENTS: GROUP AND COMPANY 26. COMMERCIAL TRADING OPERATIONS AND INVESTMENT IN TRADING SUBSIDIARYThe National has two wholly-owned subsidiaries incorporated in the United Kingdom:

i) Royal National Theatre Enterprises Limited (“RNTE”)The company’s main activities are the provision of catering services, the sale of books and publications, the hiring out of costumes/props and the receipt of car park revenue.

Issued share capital: 2 ordinary shares of £1 each

No value is ascribed to this subsidiary within the Charity financial statements because it has net liabilities and gift aids all its profits back to the Charity. A summary of RNTE’s trading results is shown below:

Subsidiary Subsidiary2008 2007£’000 £’000

Turnover 7,063 6,610Cost of sales (5,192) (5,012)Administrative expenses (639) (607)

Profit on ordinary activities before interest 1,232 991

Interest receivable 40 21

Net result 1,272 1,012Gift aid due to parent company (1,272) (1,012)

Retained in the subsidiary 0 0

2008 2007£’000 £’000

Fixed assets 0 0Current assets 1,296 1,280Creditors: amounts falling due within one year (1,301) (1,285)

TOTAL net assets (5) (5)

Represented by:Share capital and reserves (5) (5)

Retained deficit (5) (5)

As at the balance sheet date the aggregate amount of RNTE’s assets, liabilities, share capital and reserve was:

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NT associates, committee membership, and heads of departmentNT ASSOCIATESAlison ChittyBob CrowleyDeclan DonnellanJonathan DoveEdward HallMark HendersonAlex JenningsKwame Kwei-ArmahAdrian LesterPhyllida LloydPatrick MarberHelen MirrenKatie MitchellMark RavenhillSimon Russell BealeZoë Wanamaker

COMMITTEE MEMBERSHIP AT 30 MARCH 2008

Development CouncilSusan Chinn, ChairmanEdgar Wallner, Vice ChairmanRoyce BellTony BloomDr Neil BrenerSarah BrenerRuss CarrCaroline CormackIan CormackGlenn EarleMichael J GeeGabrielle, Lady GreenburyDavid HallKwame Kwei-ArmahCeline LowreyEdward McKinleySir Hayden Phillips GCB DLSimon Russell Beale CBEClive SherlingRita SkinnerTony ThompsonSusan WeingartenCharlotte Weston

Education Committee Peter HousdenTom MorrisSir Hayden Phillips GCB DL, ChairmanPhilip PullmanJenny Waldman

Finance & Audit CommitteeRachel LomaxCaragh MerrickCaro NewlingSir Hayden Phillips GCB DLRt Hon Lord Smith of FinsburyEdward Walker-Arnott, Chairman

Nominations CommitteeRachel LomaxCaro NewlingAndré Ptaszynski, Chairman

Remuneration CommitteeRachel LomaxCaragh MerrickCaro NewlingSir Hayden Phillips GCB DLRt Hon Lord Smith of FinsburyEdward Walker-Arnott, Chairman

ROYAL NATIONAL THEATRE ENTERPRISES LIMITEDDirectorsLisa BurgerSarah HuntKaren JonesJohn LangleyRobyn LinesJustin MansonGeoffrey MatthewsCaragh MerrickNick StarrEdward Walker-Arnott, Chairman

HONORARY COUNCILSir David BellAndré BénardDr David Cohen CBEIain DavidsonJustin DowleyDavid DuttonMichael Grade CBESir Christopher HoggRobert NorburyOliver PrennLois Sieff OBEPeter WiegandMax Ulfane

HEADS OF DEPARTMENTAssociate Producer Pádraig CusackCasting Wendy SponCatering Robyn LinesDevelopment John RodgersEducation Stephanie HutchinsonEngineering John MoffatFinance Chris WalkerFront of House John LangleyInformation Technology Joe McFaddenMarketing Sarah HuntMusic Matthew ScottPersonnel Tony PeersPlatforms & WTS Angus MacKechniePress Lucinda MorrisonPrint & Publications Lyn HaillProduction Mark DakinStudio Purni MorellTechnical David RobertsVoice Jeannette Nelson

Associate NT Future Nicola Thorold

BOARD OF THE AMERICAN ASSOCIATES OF THE ROYAL NATIONAL THEATRE Leila Maw Straus, ChairmanWilliam G Bardel, TreasurerDebra BlackTerri ChildsSuzanne ElsonSuzie Fairchild KovnerElliott F KulickJeanne LinnesStafford MatthewsSir Deryck MaughanStephanie McLellandLaura PelsDr Charles RyskampDavid SmalleyJoan SteinbergMonica WamboldPeter Wolff

26. COMMERCIAL TRADING OPERATIONS AND INVESTMENT IN TRADING SUBSIDIARY (continued)

The results of RNTE are consolidated into the group financial statements on a line by line basis as follows:

2008 2007£’000 £’000

Activities for generating funds: trading operations 6,543 6,130Investment Income: interest receivable 40 21

6,583 6,151

Less: costs of goods sold (5,856) (5,582)Net trading surplus reported in group financial statements 727 569

Consolidation adjustments 545 443

Net surplus for the year reported in RNTE 1,272 1,012

ii) National Theatre Productions Limited

Issued share capital: 2 ordinary shares of £1 each

This company is dormant and has not been consolidated.

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72 National Theatre Annual Review 2007-08

photograph captions

Page 2 WAR HORSE Topthorn, with Thomas Goodridge, Tim Lewis, and Craig Leo Photo Simon Annand

Page 6 MUCH ADO ABOUT NOTHING Simon Russell Beale and Zoë Wanamaker Photo Catherine Ashmore

Page 10 PHILISTINES Rory Kinnear and Ruth Wilson Photo Catherine Ashmore

Page 12 Celebrating the new partnership with Philips to reduce energy consumption Photo Mimi Mollica

Page 15 Clockwise from top left: LANDSCAPE WITH WEAPON Tom Hollander and Julian Rhind-Tutt Photo Catherine Ashmore THE FIVE WIVES OF MAURICE PINDER Adam Gillen, Sorcha Cusack, Larry Lamb, Carla Henry and Martina Laird Photo Manuel Harlan STATEMENT OF REGRET Don Warrington Photo Keith Pattison PRESENT LAUGHTER Sara Stewart and Alex Jennings Photo Catherine Ashmore Page 18 WOMEN OF TROY Penelope McGhie, Charlotte Roach, Beth Fitzgerald, Helena Lymbery, and Pandora Colin Photo Stephen Cummiskey Page 21 New Views discussion held in the John Lyon education studio at the refurbished Studio Photo Mauricio Arzayus

Page 22 Watch This Space 2007, with Antony Gormley statue on the Olivier fly tower in the background Photo Ludovic des Cognets

Page 24 Dan Harvey & Heather Ackroyd’s FlyTower

Page 26 The refurbished Studio Photos Philip Vile

Page 30 SAINT JOAN Anne-Marie Duff Photo Kevin Cummins

Page 34 Clockwise from top: BABY GIRL Petra Letang and Candassaie Liiburd Photo Robert Workman CITIZENSHIP Michelle Tait Photo Johan Persson THE EMPEROR JONES Paterson Joseph Photo Stephen Cummiskey THE MIRACLE Ruby Bentall and Rebecca Cooper Photo Robert Workman DNA Jack Gordon, Ruby Bentall and Sam Crane Photo Robert Workman

Page 38 THE HOUR WE KNEW NOTHING OF EACH OTHER Jason Thorpe (left) and Adrian Schiller (right) Photo Neil Libbert NEVER SO GOOD Jeremy Irons (centre) Photo Catherine Ashmore Page 39 Bamboozle making WAR HORSE accessible, with stage manager Jane Suffling (seated on floor) Photo Gemma Mount

Page 40 RAFTA, RAFTA… Ronny Jhutti, Meera Syal, Shaheen Khan, Simon Nagra, Natalie Grady, Rudi Dharmalingham, Arsher Ali and Harish Patel Photo: Catherine Ashmore

Page 46 A MATTER OF LIFE AND DEATH Tristan Sturrock Photo Steve Tanner

Page 48 Clockwise from top CHATROOM George Rainsford, Jaimi Barbakoff, Jade Williams, Steven Webb and Akemni Ndifornyen Photo Johan Persson HAPPY DAYS at Epidaurus Fiona Shaw Photo Kokkinias + Polychronakis THE HOTHOUSE Stephen Moore and Paul Ritter Photo Catherine Ashmore MAJOR BARBARA Simon Russell Beale and Hayley Attwell Photo Catherine Ashmore

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