Chair and CEO report

For the year ended 31 March 2009

Without doubt 2008-09 was the most difficult period in BayTrust’s 20-year history. As we mentioned last year, the Trust is well-advised and has a well-diversified investment portfolio, but this could not completely protect it from the unprecedented global financial crisis.

In the year to 31 March 2009 the Trust’s investments reduced in value by $21m (16%) and overall the Trust made a loss of $20.5m.

Despite that very disappointing investment performance, in the same 12 months BayTrust paid out over $2.5m in grants to essential BOP causes, from arts, heritage and cultural groups to sports clubs, schools, hospices, churches and welfare groups, from Katikati to Turangi to East Cape. It also awarded Dillon Scholarships totaling $88,450 to 37 people, supporting tertiary study for those with disabilities.

Highlights of BayTrust’s Year included:

• $140,000 to Opotiki District Council towards feasibility studies into the Opotiki Harbour Development.
• $50,000 to Disabled Sailing Trust towards sails for the 2009 IFDS World Blind Sailing Championships in Rotorua in March 2009.
• $99,000 to Taupo-nui-a-Tia College towards construction of its Student Centre.
• $110,000 to Creative Tauranga towards rent of its new premises in Spring Street.

CoachForce remains one of BayTrust’s prime investments. Since its inception as a Sport BOP/BayTrust partnership in 1997 the Trust has contributed nearly $6m to this critically important programme encouraging more and better coaches in Bay sport. We congratulate Sport BOP and all those involved in CoachForce’s continuing success.

We are also proud of the Trust’s $600,000, 3-year commitment to the Rotorua-based BayTrust Rescue Helicopter. In the last three years this service has completed well over 200 missions, saved countless lives and significantly reduced pain and suffering.

During the year under review Trustees Pam McLeod (Taupo) and Terri Eggleton (Whakatane) retired and their places were taken by Peter Blanks (Taupo) and Mary Dillon (Tauranga). Also during the year Rotorua Trustee Ray Morrison resigned from the Trust and emigrated to Australia. Pam and Terri had both served two terms (eight years) with BayTrust and they and Ray were committed and diligent contributors to all the Trust’s objectives and activities.

Our sincere thanks to all Trustees and staff for their commitment to BayTrust over the past 12 months. These have been seriously challenging times but rewarding ones too. The emphasis on the next 12 months will be on helping:

• Organisations assisting those less able to care for themselves – e.g. children; the elderly; those with disabilities; those suffering particularly from the recession.
• Organisations with significant volunteer (unpaid) assistance.
• Important projects where BayTrust funding may act as a lever in attracting additional funding.

As always it is an absolute privilege for Trustees & staff to assist the work and efforts of so many wonderful organisations and people who comprise the essential and vibrant fabric of our communities. BayTrust is humbled by the excellent work that is done for the betterment of our communities and the wonderful spirit with which community assistance is provided. We remain firmly committed to supporting and strengthening our BOP communities and people and thank all those who give so much of themselves for others.

Paula Thompson
Chair

Bruce W Cronin
Trust Manager

09.07.09