2014/2015 annual report › userfiles › wpma › file › annual report... · 2015-11-29 · 2...

2014/2015 ANNUAL REPORT

CONTENTS

1. Chair’s Report

4. CEO’s report

6. Financial Statements

10. Notes to the Financial Statements

15. Auditor’s Report

16. Directory

WPMA 2014/2015 ANNUAL REPORT 1

CHAIR’S REPORT 2014/2015

The 1st July 2014 marked the start of a new era for the New Zealand wood sector. The Wood Processors’ Association formally merged with the Pine Manufacturers’ Association to form the WPMA. In doing so, WPMA has united the whole value chain post forest gate to form one voluntary membership organisation. No mean feat given the diversity of the new membership: pulp, paper, sawn lumber, panels, laminated products and mouldings – with companies also moving towards delivering new construction systems and services, biochemicals, biofuels, textiles and bio- composites…

I noted with interest this month that a national survey by KPMG of emerging, young leaders in New Zealand’s primary sectors calls for a change of mindset amongst their elders. They pointed to an urgent need for much greater collaboration in industry – a perquisite if New Zealand is to be competitive in global markets and, ideally, shaping future markets. They said, “Collaboration isn’t new in the primary industry. It has been talked about for decades – which is precisely the problem; there’s been too much conversation and not enough action”.

I couldn’t agree more and believe that in forming the WPMA we have just taken a massive step in the right direction. So let me start by congratulating members and directors for supporting a move that sets the sector up well for its journey into the future.

This year has also been marked by a very important exercise in showing why the sector is crucially important to New Zealand. Coined “Renewing New Zealand” we set out on a country-wide roadshow to demonstrate to the wider community what the sector does nationally, showcase the contributions that our member companies make regionally and highlight why our sector epitomises the low carbon / high value economy that the nation is striving towards – a renewable economy or a “smart, green economy”, appears to be the fashionable term amongst world leaders.

Brian StanleyChair of Wood Processors & Manufacturers’ Association

reNewing Zealand

reNewing Zealand

reNewing Zealand

THE NEW ZEALAND WOOD INDUSTRY STORY

®

2 WPMA 2014/2015 ANNUAL REPORT


That’s impressive in itself but then the real game-changer facts about our sector kick in – the facts that say that this sector really is 21st Century-fit. We talk about the sector effectively powering itself by deriving energy from its own residues. As technology improves we look set to be in net energy surplus and therefore capable of not only supplying jobs but also energy to the regions.

The Renewing New Zealand roadshow has taken us from Northland to Southland telling the NZ Wood Industry Story to local community leaders, business forums, teachers, MPs, Ministers and anybody else who wished to listen. Our member companies told their own stories of innovation, resilience, investment, training, growth and battle scars won!

I’ll come back to the Renewing New Zealand Story at the end of this report but I thought it is important to highlight here the main messages that we have carried around the country. The messages that had one CEO of a Chamber of Commerce remark “Wow, this is an amazing story – you people have been far too quiet about yourselves”.

We urged our audiences to take a much closer look at the wood sector explaining that, along with most of manufacturing in this country, it is easy to overlook.

On the face of it we have been up against the same global mega-trends that all manufacturers in the OECD face – a hollowing out due to lower cost producers dominating overseas. Our members will very much attest to these pressures and with wild currency fluctuations thrown in, strong international competition for raw materials, it explains why our sector displays a typical boom/bust economic profile.

That said, the wood industry is still the third largest goods export sector and delivers over 20,500 jobs directly with another 10,000 people employed servicing the sector. Respectable numbers in themselves, but what is vitally important here is that these jobs are out in the regions – where skilled and semi-skilled employment is hard to come by.

It is at this point in the Story where the narrative diverges dramatically from that describing other sectors in New Zealand. The two graphs below were prepared for us by the New Zealand Institute of Economic Research as part of the “hard evidence” behind the Renewing New Zealand Story. They make two key points. That the Wood Processing and Manufacturing (WPM) workforce is the most productive in the country. In the last 10 years our productivity has increased twice as fast all manufacturing and 2.5 times as fast as the whole economy. The second graph explains that this is because we are exploiting our impressive international connectivity allowing us to adopt and adapt new, cutting edge technologies and processes.

2400

2200

2000

1800

1600

1400

1200

1000

8001978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012

Source: Statistics New Zealand

Labo

ur p

rodu

ctiv

ity, i

ndex

, 197

8 =

1000

Wood and Paper Product Manufacturing

All Manufacturing

Economy-wide

Investment in technology has surged, boosting output per worker by over 40% in the past decade.

This is twice as fast as all manufacturing and 2.5 times as fast as the whole economy

Remaining WPM workers are highly efficient; productivity has risen rapidly

Economy-wide


Investment in WPM has seen rapid technological change...

Manufacturing

Wood and Paper Product Manufacturing

0% 10% 20% 30% 40% 50%

WPM is future-proofing by investing havily in new technology, and is seeing the benefits in terms of enhanced productivity

‘reNewing Zealand’ regional meetings 2015



We are only now just beginning to get some idea of the sheer scale of environmental benefits that flow from our plantation forests. The graph below provides some estimates of the value of forests in delivering erosion control, nutrient recycling, climate regulation etc. The figure of $12 billion is only a summation of estimates from various sites around the country. The actual benefit of forestry, nationally, is likely to be very much higher.

Why is all this important? Why am I repeating it here? Is it because I once challenged the sector to get on to the radar screen of the New Zealand public? Yes, but not because WPMA wants a share of the limelight but because I believe our sector leads where other major parts of the economy must follow. Why must they follow? Because if we all stand in the shoes of our customers in 2050, they will expect our high quality products and services to be delivered at the right price, safely, legally whilst creating jobs and protecting the environment simultaneously.

In the WPMA the New Zealand wood sector is leading the way and will continue to do so in the coming years.

Brian StanleyChair of Wood Processors & Manufacturers’ Association

$0 $500 $1,000 $1,500 $2,000 $2,500 $3,000

Value of ecosystems services, 2012 $ millions

Erosion control

Nutrient recycling

Soil formation

Biological control

Waste treatment

Climate regulation

Cultural

Recreation

... ecosystems values are $12 billion

Intermediate ag-forest ecosystems Forest-scrub ecosystems Forest ecosystems


“Progress is impossible without change, and those who cannot change their minds cannot change anything”

George Bernard Shaw

Source: EECA, MBIE, NZIER

Carbon dioxide is released back into the atmosphere

WPM uses its own residues for energy

Forests absorb carbon dioxide through photosynthesis

Forests can be harvested sustainably to produce biomass

Biomass can be converted into heat and power

• Often accounts for >70% of WPM firms’ energy needs.

• Very low environmental impact.

• 1.1 billion per year in ‘avoided energy costs’


CEO’S REPORT 2014/2015

I’d like to start my report this year by thanking all of those who took the time to assist in making the merger work. The coming together of the two organisations has indeed provided the sector with a Board made up of industry leaders that command respect nationally and in their own business communities. This has already been demonstrated this year in the support I have seen from the Board and the wider membership for the Renewing New Zealand Roadshow.

As a voluntary membership organisation the WPMA’s strength lies in the in-kind support for activities that our members provide. Despite being only a year old it has been impressive to witness the scale of that support. What we might lack in financial capital we most definitely make up with our social clout.

Through the merger process the vast majority of companies making up the PMA and WPA have stayed with us and as we have conducted the Roadshow there have been applications for new corporate and affiliate memberships. Welcome to those new members.

When we last surveyed members we were told that advocacy/promotion is our top priority. So, this year, outside of the Renewing New Zealand roadshow, the highlight of the year has to have been the 2015 NZ Wood Resene Timber Design Awards (TDA). This was a celebration of 40 years of TDAs. The main event was held in Auckland on 16th September and was well attended by the leading lights in New Zealand’s architectural and engineering communities. An all-time record number of entries was received this year (over 120) into a total of nine categories. A roadshow then followed taking in Wellington, Christchurch and Nelson where winners’ and finalists’ designs consequently got much greater exposure.

Our second priority is work on technical standards. This is an ever-expanding work area where technical inputs from WPMA members are the driving force keeping industry standards relevant, ensuring legal certainty and enabling innovation. The main work areas this year have been:

Wood PreservationA “minor” text revision of the AS/NZS 1604 series (Specification for preservative treatment Parts 1-5) was undertaken. Any attempt to clarify the wording annoyed either one party or another on our Technical Committee. The joint AS/NZS committee has finally ground its way to a conclusion; some of the more controversial items have been left out pending a “major” revision of the same Standards due soon.

Standards New Zealand called a meeting of interested parties to discuss how NZ Timber Preservation and Specification Standards should be revised. A point soon raised was whether the NZ Standards should be replaced with the joint AS/NZS 1604 series. WPMA members felt that this was the best way forward as long as no extra impediments were put in the way of NZ producers.

StructuresThe long awaited revision of NZS 3603 (Timber Structures Standard) was started. Differences arose between LVL manufacturers as to whether standardised grade stresses for LVL should be included. MBIE pushed really hard for such grades. WPMA facilitated a meeting between all the interested parties, and a technical approach was developed. This has resulted in the acceptance by all parties of certain standardised grades. The process is now back with MBIE.

AS/NZS 1328 (Glue laminated timber) is also now under revision. WPMA has a representative on the Committee.

Jon TannerCEO of Wood Processors & Manufacturers’ Association

AWARDS 2015

1975 – 2015


CEO’S REPORT 2014/2015

FireChanges to the Fire Code affecting timber were that Materials Groups for timber used internally in buildings accessible to the public had been introduced, and the test method to prove compliance had been changed. The changes drastically affected the opportunities for timber finishings.

WPMA organised a meeting of members with MBIE in Christchurch in March. From this meeting a number of initiatives were undertaken. BRANZ is fire testing rooms with mixed timber and other materials as linings. Results from a European fire test were allowed, and this immediately opened the door for more coatings to be accepted. The Fire Code itself is being re-written and WPMA is represented on the working group.

Timber Quality SchemeWPMA and TIF have been working together to get the independent Timber Quality Scheme underway. Technical work has comprised finalising the Standard Operating Procedures and the scheme rules, which tie together the SOPs, TQS association rules and JAS-ANZ requirements.

MBIE has said it will cite the TQS certification mark as an Acceptable Solution for B1 (Structure) and B2 (Durability).

Standards ManagementStandards New Zealand is in the throes of becoming a part of MBIE. We do not yet know how this is going to work. MBIE could become quite demanding over the contents of “voluntary” standards.

While MBIE has said it will fund and manage the main Standards used in the Building Code it is unclear how MBIE will work with Standards Australia on joint Standards, and who will fund the large number of Standards which are referenced in these main Standards still remains a question for industry. We know that standards are vital to business growth and there is still a vast amount of work to do in this area.

WPMA continues to seek ways to augment the integrity of wood products. We are, for example, taking an active role in the task to introduce PEFC certification to New Zealand, supporting regulatory processes providing export phytosanitary certification and provision of legality assurance. We will be looking to scale up our work on traceability and proof of environmental performance in the coming financial year.

In terms of organisational health: our Board is strong; membership has largely remained loyal through the merger and has, in fact, grown in overall numbers; we are in a financial position that guarantees core function but an even stronger operational position in terms of the breadth of skills, experience and energy making up our in-kind support.

Thank you for helping to make WPMA an effective organisation.

Jon TannerWPMA CEO


CONTENTS

7 Statement of financial performance

7 Statement of movements in equity

8 Statement of financial position

9 Statement of accounting policies

10 Notes to the financial statements

14 Approval of financial statements

15 Audit report

16 Directory

Financial Statements


FINANCIAL STATEMENTS

Statement of financial performanceWood Processors’ and Manufacturers’ Association of New Zealand (WPMA) IncorporatedFor the year ended 30 June 2015

NOTES 2015 2014

Revenue

Revenue 1 702,543 610,604

Interest Income 11,370 7,859

Total Revenue 713,913 618,463

Expenses

Staff Costs 2 519,021 362,984

NZ Wood net expenditure 3 - -

General Office Costs 4 164,620 201,615

Meetings & Conferences 5 21,160 8,246

Non cash expenses 6 5,923 3,027

NZIER Regional Study 34,000 -

Total Expenses 744,724 575,872

Operating profit/(loss) before adjustments (30,811) 42,591

Tax expense Tax expense 10 2,904 1,575

Prior Period Adjustment 10 346 -

Total Tax expense 3,250 1,575

Net Profit /(Loss) for the Year (34,061) 41,016

Statement of movements in equity

Wood Processors’ and Manufacturers’ Association of New Zealand (WPMA) IncorporatedFor the year ended 30 June 2015

NOTES 2015 2014

Equity

Opening Balance 377,243 336,227

Net profit for the year - 41,016

Loss for the Period (34,061) -

Retained earnings 15 144,229 -

Total Equity 487,411 377,243

Comparative figures

WPMA was established on 1 July 2014 as a result of a merger of the Wood Processors Association and the Pine Manufacturers Association as outlined in note 12. Comparative figures for the year ended 30 June 2014 reflect the 12 month position of the Wood Processors Association only.



Statement of financial positionWood Processors’ and Manufacturers’ Association of New Zealand (WPMA) IncorporatedFor the year ended 30 June 2015

NOTES 2015 2014

Assets

Current Assets

Cash and Bank 7 574,059 423,981

Accounts receivable 17,124 21,837

Interest receivable 661 373

Prepayments - 3,513

Total Current Assets 591,844 449,704

Non-Current Assets

Property, Plant and Equipment 8 12,539 4,669

Total Non-Current Assets 12,539 4,669

Total Assets 604,383 454,373

Liabilities

Current Liabilities

Cash and Bank 7 - 2,020

Accounts payable 9 26,570 36,018

GST Payable 6,346 6,096

Income Tax Payable 10 2,904 1,569

Income in Advance 34,523 -

NZ Wood Expenditure Payable 11,435 31,427

PAYE Tax Payable 13,949 -

Provision for Holiday Pay 21,245 -

Total Current Liabilities 116,972 77,130

Total Liabilities 116,972 77,130

Net Assets 487,411 377,243

Equity

Retained Earnings 11 487,411 377,243

Total Equity 487,411 377,243

Retained earnings transferred on merger



Statement of accounting policiesWood Processors’ and Manufacturers’ Association of New Zealand (WPMA) IncorporatedFor the year ended 30 June 2015

Basis of preparation

Wood Processors’ and Manufacturers’ Association of New Zealand (WPMA) Incorporated is an association incorporated under the Incorporated Sociaties Act of 1908.

The financial statements comprise a profit and loss account, balance sheet, statement of movements in equity and accounting policies as well as the notes to these statements.

Transition to special purpose financial statements (year 1 only)

From 1 April 2014, the Financial Reporting Act 2013 has come into force replacing the Financial Reporting Act 1993. This is effective for entities reporting under the Incorporated Societies Act 1908 with reporting periods beginning on or after 1 April 2014. This is effective for WPMA’s June 2015 year end. Under this Act WPMA no longer has a general purpose financial reporting requirement, and may instead prepare special purpose financial statements complying with the Incorporated Societies Act1908.

Property, plant and equipment

Items of property, plant or equipment are stated at cost less accumulated depreciation and impairment losses.Where an item of property, plant or equipment is disposed of, the gain or loss recognised in the statement of financial performance is calculated as the difference between the sale price and the carrying amount of the asset.

Depreciation

Depreciation is charged to the profit and loss at the same rate as allowed by the Income Tax Act 2007.

The following rates have been used:

Computer equipment: 25.0% - 67.0% diminishing valueFurniture and fittings: 12.0% - 19.0% diminishing value Office equipment: 12.0% - 40.0% diminishing value

Receivables

Receivables are stated at estimated realisable value after providing against debts where collection is doubtful. Bad debts are written off during the period in which they are identified.

Taxation

As an incorporated society, WPMA is only required to return income arising from transactions with non-members. All income other than interest income has been derived from members. Only the interest income is assessable for tax purposes.

Goods and services tax

All amounts are shown exclusive of Goods & Services Tax (GST), except for receivables and payables which are shown inclusive of GST.

Revenue

Membership fees are recognised in the year that they relate to. Membership fees relating to future periods are recorded as income in advance.

Changes in accounting policies

The accounting policies adopted are consistent with those of the previous year.


NOTES TO THE FINANCIAL STATEMENTS

Notes to the financial statementsWood Processors’ and Manufacturers’ Association of New Zealand (WPMA) IncorporatedFor the year ended 30 June 2015

2015 2014

1. Revenue

Membership Fees 641,249 517,603

2012 WPA PMA Conference - 19,536

Other Income 104 -

Project Income 18,500 37,000

Support/Secretarial Services 42,690 36,465

Total Revenue 702,543 610,604

2. Staff Costs

Staff Remuneration 460,736 269,839

Staff Recuitment - 919

Accident Compensation 785 587

Contractors 5,478 13,440

Strategic Projects 52,022 78,199

Total Staff Costs 519,021 362,985

3. NZ Wood net expenditure

NZ Wood Fees - (81,427)

NZ Wood - 81,427

Total NZ Wood net expenditure 0 0

4. General office costs

Accounting Fees 10,594 9,233

Administration Fees 590 -

Audit Fees 7,609 3,700

Benchmarking Project - 60,133

Bank Fees 876 677

Car Park 4,200 4,200

Catering / Venue Hire 4,883 6,379

Computer Expenses 1,321 1,122

Electricity 2,003 2,205

General Expenses 9,936 7,108

Insurance 4,015 3,537

IT Expenses 7,467 4,606

Legal Fees 4,800 700

Postage/Courier 1,231 387

Projects (5,000) 12,440

Rent and Rates 32,721 31,202

Stationery and Printing 6,807 7,731

Subscriptions 11,952 7,868


2015 2014

Sponsorship/Publications 806 1,000

Telecommunications 8,746 4,908

Travel & Accomodation 37,874 21,612

Website 2,189 1,867

Wood Council Subs 9,000 9,000

Total General office costs 164,620 201,615

5. Meetings & conferences

WPA Conferences - 8,246

Industry Meetings 4,288 -

TDA 2015 Conference Organisation 2,763 -

TDA 2015 Advertising 2,900 -

Promotional Activities/Conferences 11,208 -

Total Meetings & conferences 21,160 8,246

6. Non cash expenses

Depreciation Expense 5,923 1,501

Loss on disposal of assets - 1,526

Total Non cash expenses 5,923 3,027

7. Cash and Bank Balances

Current Assets

Current account 250,449 111,695

Petty Cash 136 79

Call account 321,639 312,207

WPMA Wood Council 1,834 -

Total Current Assets 574,059 423,981

Current Liabilities

Credit Cards - 2,020

Total Current Liabilities 0 2,020

Total Cash and Bank Balances 574,059 421,961

8. Property, Plant and Equipment

Plant and Equipment

At cost 40,142 -

Less accumulated depreciation (32,354) -

Total Plant and Equipment 7,788 0

Furniture and Fittings

At cost 7,065 5,342

Less accumulated depreciation (2,944) (2,238)

Total Furniture and Fittings 4,121 3,104


Continued ...



2015 2014

Office equipment

At cost 6,488 14,970

Less accumulated depreciation (5,858) (13,405)

Total Office equipment 630 1,565

Total Property, Plant and Equipment 12,539 4,669

9. Accounts Payable

Trade Creditors 8,768 30,875

Accrued Charges 17,802 5,143

Total Accounts Payable 26,570 36,018

10. Income Tax

Taxable Income

Interest Income 11,370 7,859

Less error in 2014 tax corrected in 2015 prior period adjustments below - (1,234)

Less up to $1,000 exemption (1,000) (1,000)

Total Taxable Income 10,370 5,626

Income Tax Payable 2,904 1.575

Prior year refund outstanding - (6)

Income Tax Payable at 30 June 2015

Income tax expense as per statement of financial performance

Tax expense 2,904 1,575

Prior Period Adjustment 346 -

Total Income tax expense as per statement of financial performance 3,250 1,575

All income other than interest income has been derived from members of the Wood Processors’ & Manufacturers’ Association Inc (WPMA). Only interest income is assessable for tax purposes.It has been determined that WPMA is entitled to the $1,000 exemption for incorporated societies for the 2015 year.In 2014 a calculation error was made in the tax balance included in the audited financial statements. This has been corrected in the current year.

11 Equity

Retained Earnings 487,411 377,243

Total Equity 487,411 377,243

Movements in retained earnings

Balance at beginning of year 377,243 336,227

Current year earnings (25,276) 41,016

Retained earnings transferred on merger 144,229 -

Balance at end of year 496,196 377,243

12. Merger of Pine Manufacturers Association and Wood Processors AssociationOn 1 July 2014, the Pine Manufacturers Association Inc. (PMA) and the Wood Processors Association of New Zealand Inc. (WPA) merged to form the Wood Processors and Manufacturers’ Association of New Zealand Inc.

PINENZ was a programme run by PMA. Prior to the merger, the Executive of PMA resolved to exclude PINENZ from the merger. From 1 July 2014, PINENZ was separated into a separate entity and is run independently from WPMA. The net balance of funds owing from PINENZ at 30 June 2014 (reflecting of bank account balances and accounts payable/receivable retained by PINENZ on separation from PMA) are not considered receivable from PINENZ by the Executive of WPMA.


13. Related partiesMembers of the Executive are associated with entities that are members of WPMA. Their associated entities pay subscriptions and make specific contributions to WPMA. These transactions are all completed on an arms length basis.

The members of the Executive and their related entities are as follows:

Brian Stanley Carter Holt Harvey Limited

Tom Boon Taranaki Pine Limited

Charles Black Goodwood Industries Limited

Owen Griffiths TimberLab Solutions Limited

Doug Ducker Pan Pac Forest Products Limited

Paul Jordan Juken New Zealand Limited

Tim Rigter Red Stag Timber Limited

Jon Ryder Carter Holt Harvey Limited

Mark Taylor Tenon Manufacturing Limited

14. Operating lease commitmentsOn 14 August 2012, WPA (now merged with WPMA) entered into a memorandum agreement for the rental of office space in the Forestwood Centre from the New Zealand Forest Owners’ Association. The rental term is for a period of 6 years with a right of renewal. Effective 1 July 2014, this lease was assigned to WPMA.

Operating lease commitmentsCurrent 29,469Non Current 29,469Total Operating lease commitments 58,938

15. MergerOn 1 July 2014 a merger occurred between Wood Processors Association (WPA) of New Zealand Incorporated and NZ Pine Manufacturers Association Incorporated.

The merger had the following effect on the Association’s finanical position:

Wood Processors NZ Pine Balance Sheet Association (WPA) Manufacturers as at 1 July 2014 of New Zealand Association 2014 Incorporated Incorporated

Current assets

Cash and bank 423,981 144,718 568,699

Accounts receivable 21,837 7,200 29,037

Interest receivable 373 - 373

Prepayments 3,513 - 3,513

Total Current assets 449,704 151,918 601,622

Non current assets

Property, plant and equipment 4,669 1,039 5,708

Total Non current assets 4,669 1,039 5,708

Total Assets 454,373 152,957 607,330


Continued ...


Wood Processors NZ Pine Balance Sheet Association (WPA) Manufacturers as at 1 July 2014 of New Zealand Association 2014 Incorporated Incorporated

Current liabilities

Cash and bank 2,020 31 2,051

Accounts payable 36,018 1,725 37,743

PAYE payable - 4,891 4,891

Provision for holiday pay - 1,370 1,370

GST payable 6,096 711 6,807

NZ Wood expenditure payable 31,427 - 31,427

Income tax payable 1,569 - 1,569

Total Current liabilities 77,130 8,728 85,858

Net assets 377,243 144,229 521,472

16. Visa FacilityWPMA has a Visa facility with ANZ. The Visa has a total limit of $22,000. As at 30 June 2015 WPMA had an outstanding balance on this Visa of $6,319.

Approval of financial statementsWood Processors’ and Manufacturers’ Association of New Zealand (WPMA) IncorporatedFor the year ended 30 June 2015

The Board is pleased to present the financial statements of Wood Processors’ and Manufacturers’ Association of New Zealand (WPMA) Incorporated, for the year ended 30 June 2015.

For and on behalf of the Board of Directors

Brian Stanley (Chairman)

Jon Tanner (Chief Executive)

Dated:



INDEPENDENT AUDITOR’S REPORT

To the Members of Wood Processors and Manufacturers Association of New Zealand (WPMA) Incorporated

We have audited the financial statements of Wood Processors and Manufacturers Association of New Zealand (WPMA) Incorporated on pages 7 to 16, which comprise the statement of financial position as at 30 June 2015, and the statement of financial performance and statement of movements in equity for the year then ended, and a summary of significant accounting policies and other explanatory information. The financial statements have been prepared based on the financial reporting provisions of the Incorporated Societies Act 1908.

Board’s Responsibility for the Financial Statements

The Board is responsible for the preparation of these financial statements in accordance with the provisions of the Incorporated Societies Act 1908 and for such internal control as the Board determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing (New Zealand). Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Other than in our capacity as auditor, we have no relationship with, or interests in, Wood Processors and Manufacturers Association of New Zealand (WPMA) Incorporated.

Opinion

In our opinion, the financial statements on pages 7 to 16 of Wood Processors and Manufacturers Association of New Zealand (WPMA) Incorporated as at 30 June 2015 are prepared, in all material respects, in accordance with the financial reporting provisions of the Incorporated Societies Act 1908.

Basis of Accounting

Without modifying our opinion, we draw attention to the Basis of Preparation note to the financial statements, which describes the basis of accounting. The financial statements are prepared to assist Wood Processors and Manufacturers Association of New Zealand (WPMA) Incorporated to comply with the financial reporting provisions of the Incorporated Societies Act 1908. As a result, the financial statements may not be suitable for another purpose.

10 November 2015Staples Rodway WellingtonChartered AccountantsWellington


DIRECTORY

DirectoryWood Processors’ and Manufacturers’ Association of New Zealand (WPMA) IncorporatedFor the year ended 30 June 2015

Nature of Business

Industry representation for support of Wood Processing in New Zealand.

Registered Office

Level 993 The Terrace Wellington

Auditors

Staples Rodway95 Customhouse QuayWellington 6011

Accountants

Jon S Holmes KPMG10 Customhouse QuayWellington 6011

Bankers

ANZ39 Bay RoadKilbirnie 6022

Executives

Brian Stanley (Chairman) Tom BoonCharles Black Owen Griffiths Doug Ducker Paul Jordan Tim RigterJon Ryder Mark Taylor

www.wpma.org.nz

2014/2015 annual report › userfiles › wpma › file › annual report... · 2015-11-29 · 2...

Documents