STATEMENT OF PERFORMANCE EXPECTATIONS 2014/15

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STATEMENT OF PERFORMANCE EXPECTATIONS 2014/15

(REVISED OCTOBER 2014)

TE TAURA WHIRI I TE REO M ĀORI

M ĀORI LANGUAGE COMMISSION

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Statement from the Commissioners

Te Taura Whiri i te Reo Māori has revised the Statement of Performance Expectations (SPE) published on its website and formally submitted to Parliament on 21 October 2014.

This revised SPE is published as part of the Annual Report 2013/14.

Erima Henare Toihau, Chairman

Board of Te Taura Whiri i te Reo Māori 24 October 2014

Te Awanuiārangi Black Kaiwhiri, Commissioner

Board of Te Taura Whiri i te Reo Māori 24 October 2014

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Summary

Te Taura Whiri i te Reo Māori is funded from Vote: Māori Affairs under the following two output classes:

1. Promotion of the Māori Language – for initiatives to revitalise and develop the Māori language in New Zealand, including the promotion of the Māori language

2. Māori Language Research – for research and development projects that support the revitalisation of the Māori language.

The funding is intended to contribute to the achievement of the following impacts for Vote: Māori Affairs:¹

• Māori are protecting, sustaining and growing their reo, taonga, mātauranga and tikanga

• Māori are sustainably growing and developing their resources and

• Māori are acquiring skills and knowledge.

The output class Māori Language Research has been granted an exemption from end of year performance reporting under section

15D(2)(b)(iii) of the Public Finance Act 1989. Accordingly, this output class is integrated with the other activities and services performed by Te Taura Whiri i te Reo Māori.

Revised accountability documents

Te Taura Whiri i te Reo Māori has revised its outcomes framework in the Statement of Intent 2014–18.² The revised framework includes:

• three new outcomes

• a rationalisation of the outputs delivered, from five groups to four (policy and research, language development, community funding, stakeholder engagement) with parts of the previous outputs allocated across several of the new outputs.

To support the new framework we have also revised our Statement of Performance Expectations from the document tabled in Parliament on 21 October 2014. This revision includes:

1 Vote: Māori Affairs, The Estimates of Appropriations 2014/15 - Māori, other populations and cultural sector, B5, Vol B, page 158

2 Available from www.tetaurawhiri.govt.nz.

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• a number of new performance measures designed to help us tell our performance story more clearly

• the retirement of a number of performance measures which have been assessed as not having the same value to the performance story as the new measures.

Where new measures have been developed and data for previous years is available, this has been included in the proof of performance tables for trend purposes. However, because the measures are new, the previous years’ data has not been audited. The tables also align each measure to be carried forward with the relevant key result area from the MLS 2014. For reference, the full descriptions of the key result areas are:

• Te mana o te reo – increasing the status of the Māori language in New Zealand society

• Te ako i te reo – increasing the number of whānau Māori and other New Zealanders who can speak Māori

• Te mārama pū ki te whakaora reo – increasing critical awareness about Māori language revitalisation

• Te kounga o te reo – supporting the quality and appropriate use of the Māori language, and iwi dialect maintenance

• Te kōrerotanga o te reo – increasing the use of the Māori language among whānau Māori and other New Zealanders, especially in the home

Proof of performance

In the following tables, performance with a variance of 5 percent or less to the forecast is deemed to have met the forecast.

Policy and research

Te Taura Whiri i te Reo Māori funds research, development and innovations that support the revitalisation of the Māori Language and provides robust and appropriate advice on issues affecting the Māori language, including ways in which public policy can enhance outcomes for te reo.

The establishment of the research unit, He Puna Whakarauora, has taken longer than forecast in the SOI 2013–16, meaning that the

confirmation and publication of the Māori Language research agenda has been deferred to the 2014/15 financial year. The completion of the research portal was also delayed until early in the 2014/15 year.

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MEASURE FORECAST 2014-15 (Not audited)

ALIGNMENT TO MĀORI LANGUAGE

STRATEGY 2014 2011-12

Actual 2012-13

Actual Forecast Actual Variance Notes

Effectiveness indicators

Number of times the occasional discussion papers on the Māori language are downloaded by stakeholders

New measure New measure 200 downloads Te mārama pū ki te

whakaora reo

Service management indicators

Confirmation and publication of the

Māori language research agenda New measure 1 0 (100%)

Did not meet forecast.

Confirmation and publication of research agenda has been delayed until 2014/15 financial

year

By April 2015 Te mārama pū ki te whakaora reo

Completing research contracts for

phase 1 of the research agenda New measure New measure By April 2015 Te mana o te reo

Establishing the scholarships programme (to increase national

interest and engagement) New measure New measure By April 2015 Te mana o te reo

Output trends

Number of occasional discussion papers provided to Māori language

stakeholders New measure New measure 4 Te mārama pū ki te

whakaora reo Number of hui held to confirm future

research priorities New measure New measure 10 Te mārama pū ki te

whakaora reo

Language development

Our language development is intended to maintain the linguistic and cultural integrity of the language by:

• providing high quality responses to queries about the use of the language

• setting standards for the development of new words and updating glossaries and dictionaries

• providing expert training to translators and interpreters, testing and certifying their proficiency

• testing the proficiency of others in te reo.

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MEASURE PAST TRENDS 2013-14 PERFORMANCE FORECAST 2014-15 (Not audited)

STRATEGY 2014 2011-12

Actual 2012-13

Content for Te Toi Reo Māori (translator and interpreter) training aligns with international best practise for translators and interpreters

New measure 100% 100% 0% Forecast met 100% Te kounga o te reo

Percentage of external queries about the Māori language that are

responded to within 5 calendar days New measure New

measure 94% N/A Most requests are responded to

within 1-2 days. 95% Te kounga o te reo Percentage of new entries and edits to

Māori language glossaries and lexicon that are processed within 10 working days

99% 99% New

measure 99% N/A New measure 99% Te kounga o te reo

Output trends

Number of external queries about the

Māori language received 351 395 New

measure 288 N/A

Queries vary from providing links to information through to detailed technical investigations

of the background to place names.

300 Te kounga o te reo

Analysis of queries (by type of enquirer, location, type of query and

intended use of information) New measure No target but provides a picture of the workload New measure Te kounga o te reo Number of new entries/edits/deletions

to Māori language glossaries and

lexicon 2,266 2,385 2,000 2,423 21% Exceeded forecast 2,000 Te kounga o te reo

Number of new words developed and recorded in Te Taura Whiri i te Reo

Māori new words database 5 149 New

measure 230 N/A

Note that the principal organisation creating new words

is the Ministry of Education (to meet curriculum requirements)

>230 Te kounga o te reo

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STRATEGY 2014 2011-12

Actual 2012-13

Actual Forecast Actual Variance Notes Number of Whakamātauria Tō Reo

Māori (Level Finder Examinations) examinations set, number of sitters

5 exams

44 sitters 4 exams

42 sitters New

measure 5 exams

102 sitters N/A Auckland University arranged a sitting for its Māori immersion

teacher trainees

Maintain or

improve trend Te kounga o te reo;

Te mana o te reo Percentage of sitters achieving Level

3 (moderate proficiency) 52% 50% New

measure 66% N/A Maintain or

Te mana o te reo

Toi Reo Māori translator exam - number of exams, sitters and pass rate

1 exam 3 sitters 0%

1 exam 9 sitters

22%

1 exam.

Sitters and pass rate

are new measures

1 exam 15 sitters

20%

(exam 0%

number only)

Forecast met.

The bar for this exam is set very high to ensure the quality of

those who pass and are certified.

This was the first exam with an education sector focus.

One participant received a mark of 92% (the pass rate is 80%)

Maintain or

Te mana o te reo

Toi Reo Māori interpreter exam - number of exams, sitters and pass rate

1 exam 3 sitters 0%

1 exam 4 sitters 25%

1 exam.

Sitters and pass rate

are new measures

1 exam 4 sitters 0%

(exam 0%

number only)

Forecast met.

The bar for this exam is set very high (the pass rate is 80%) to ensure the quality of those who

pass and are certified.

Maintain or

Te mana o te reo

Number of Toi Reo Māori (translator/interpreter) training

sessions per year New measure 1 1 0% Forecast met Maintain or

Te mana o te reo

Community funding

Te Taura Whiri i te Reo Māori supports whānau, hapū, iwi and Māori language community-driven initiatives to revitalise the language through the following funds: Mā te Reo, He Kāinga Kōrerorero and Community Based Language Initiatives.

A core principle of home and community-based language development is that initiatives designed, controlled and run by communities tend to be more successful than those developed independently of communities and later imposed on them. The role of Te Taura Whiri i te Reo Māori is to support, but not lead, community initiatives.

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STRATEGY 2014 2011-12

Actual 2012-13

Percentage of Mā te Reo/CBLI projects that meet or exceed expectations of the programme delivery (Mā te Reo by funding round;

CBLI by financial year)

Round 10

87% Round 11

94% New

measure

Mā te Reo Round 12

90% N/A

Round 13 is still live, with not all contracts completed.

CBLI not included in results for 2013/14

≥ 90% Te ako i te reo;

Te kōrerotanga o te reo

Percentage of approved Mā te Reo/CBLI applications that are contracted (Mā te Reo by funding round; CBLI by financial year)

100% 91% New

measure 78% N/A

Note that applications to the Mā te Reo round are submitted the year before the project starts and the approved applications receive contracts the year of the

project start date.

CBLI not included in results for 2013/14

75% Te ako i te reo;

Successful Mā te Reo/CBLI applications receive a contract within four weeks of the board decision to approve

New measure New measure 90% Te ako i te reo;

Te kōrerotanga o te reo An annual evaluation is undertaken of

an aspect of community funding (processes, practices, programmes or outcomes)

New measure 1 2 100%

Exceeded forecast.

Dr R Benton’s final draft report and benchmarking report both

completed

1 Te mārama pū ki te whakaora reo

Output trends

The number of Mā te Reo/CBLI applications, $ applied for, number of

grants approved and $ approved New measure See Figure 1 for pattern - note that 2013/14 results are for Mā te Reo

only Maintain or

improve trend Te ako i te reo;

Te kōrerotanga o te reo Funding is distributed across a range

of activities and location throughout

Aotearoa New measure No targets - shown as numbers of grants and $ awarded by region/rohe;

and by different activities Maintain or

improve trend Te ako i te reo;

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STRATEGY 2014 2011-12

Actual 2012-13

Actual Forecast Actual Variance Notes Numbers of whānau and regions

involved in specific programmes:

He Kāinga Kōrerorero 161 whānau 17 regions

whānau 150

>15 regions

whānau 150 15 regions

whānau 150

18 regions 0% Forecast met 150 whānau

15 regions Te ako i te reo;

Te kōrerotanga o te reo Te Kura Whānau Reo (CBLI) New measure New

measure 75

whānau N/A This is a new programme 75 whānau Te ako i te reo;

Te kōrerotanga o te reo The percentage of Mā te Reo/CBLI

applicants and successful contractors

who are:

First time applicants New measure No forecast

set 46% N/A To be successful, the

programmes need a mixture of experienced providers and new providers to give continuity and

fresh ideas 2013/14 results are for Mā te

Reo only

≥ 40% Te ako i te reo;

Repeat applicants (those with >4

years' support since Round 10) New measure No forecast

set 19% N/A ≥ 20% Te ako i te reo;

Stakeholder engagement

One of the principal responsibilities of Te Taura Whiri i te Reo Māori is to promote the use of te reo as a living language and as an ordinary means of communication. To do so, we use a variety of tools to engage with Māori language stakeholders, providing resources and briefings, building relationships with others and using social media.

MEASURE PAST TRENDS 2013-14 PERFORMANCE FORECAST

2014-15 (Not audited)

STRATEGY 2014 2011-12

Actual 2012-13

Percentage of customers who report that resources produced to support the promotion and use of te reo Māori are helpful.

New measure 80% 84% 5% Forecast met Maintain or

improve trend

Te mana o te reo;

Te kounga o te reo;

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STRATEGY 2014 2011-12

Actual 2012-13

Actual Forecast Actual Variance Notes Percentage of resources, briefings

and media releases that meet Te Taura Whiri i te Reo Māori quality standards.

New measure New measure 100% Te kounga o te reo

Number of relationships with key stakeholders which are formalised (eg by Heads of Agreement,

Memorandum of Undertanding, a commitment to formal meetings, establishing a working party).

New measure New measure 3

Te mārama pū ki te whakaora reo;

Te kounga o te reo;

Te mana o te reo Number of threads on Twitter or

Facebook pages used by Te Taura Whiri i te Reo Māori which are over 80 percent in te reo

New measure New measure 600 Te mana o te reo;

Te mārama pū ki te whakaora reo

Output trends

Number of resources to support the promotion and use of te reo Māori delivered to customers (physical delivery and online resources downloaded)³

522,475 203,952 309,600 347,660 12% Exceeded forecast. 320,000

Te mana o te reo;

Te mārama pū ki te whakaora reo;

Te kounga o te reo Profiles of followers of Te Taura Whiri

i te Reo Māori in social media New measure See section on Use of Social Media, page 15 above for the

current profile of our Facebook followers. Maintain or

improve trend Te mana o te reo

3 Previous year figures are a sum of the copies of the quarterly publication, He Muka, and the Te Wiki o te Reo Māori resources produced and distributed.

Both are listed as individual measures which are not being progressed beyond 2013/14

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PART TWO - STATEMENT OF PERFORMANCE EXPECTATIONS (Financial)

The financial projections shown as forecasts for 2014/15 on each of the following financial statements have not been audited (as the column headings indicate).

The Minister for Māori Development is the responsible minister for Te Taura Whiri i te Reo Māori.

Statement of Responsibility

The forecast statements for Te Taura Whiri i te Reo Māori for the year ending 30 June 2015 contained in this report have been prepared in accordance with section 142 of the Crown Entities Act 2004.

The Corporate Services Manager of Te Taura Whiri i te Reo Māori acknowledges that in signing this statement, he accepts responsibility for the forecast financial statements contained in this report.

The financial performance forecast to be achieved by Te Taura Whiri i te Reo Māori for the year ending 30 June 2015 that is specified in the Forecast Financial Statements is as agreed with the Minister for Māori Development who is the Minister responsible for the financial performance of Te Taura Whiri i te Reo Māori.

The performance for each class of outputs forecast to be achieved by Te Taura Whiri i te Reo Māori for the year ending 30 June 2015 that is specified in the Statement of

Performance Expectations is agreed with the Minister for Māori Development who is responsible for the Vote administered by Te Taura Whiri i te Reo Māori.

We certify that the information contained in this report is consistent with the appropriations contained in the Estimates for the year ending 30 June 2015 and laid before the House of Representatives under section 13 of the Public Finance Act 1989.

Tuehu Harris

Corporate Services Manager 31 October 2014

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Introduction

For the year ending 30 June 2015 Te Taura Whiri i te Reo Māori expects to receive from the Crown:

• $6.9 million for the promotion of the Māori language in New Zealand, including $2.0 million to support research and development projects that support the revitalisation of the Māori language

• $4.6 million for community based Māori language initiatives, including the Mā te Reo, He Kāinga Kōrerorero and Community Based Language Initiatives funds. These initiatives aim to support, iwi, hapū and whānau to build their capacity in te reo Māori.

Statement of significant underlying assumptions

Reporting entity

These are the forecast financial statements of Te Taura Whiri i te Reo Māori, an autonomous crown entity established under the Māori Language Act 1987.

The forecast financial statements have been prepared in accordance with Section 142 of the Crown Entities Act 2004 and are consistent with generally accepted accounting practice and comply with New Zealand International Financial Reporting Standards (NZ IFRS).

The purpose of the forecast financial statements is to facilitate parliamentary consideration of the appropriation for, and planned performance of, Te Taura Whiri i te Reo Māori. They have been compiled on the basis of government policies and assume that the functions and duties of Te Taura Whiri i te Reo Māori will remain consistent with those set out in the Māori Language Act 1987.

The statements may not be appropriate for purposes other than those described.

Statement of significant accounting policies

These financial statements comply with NZ IFRS and Financial Reporting Standard No. 42:

Prospective Financial Statements (FRS-42) as appropriate for public benefit entities.

Measurement system

The prospective financial statements have been prepared on a historical cost basis unless otherwise stated.

The financial statements are presented in New Zealand dollars and all values are rounded to the nearest thousand dollar.

The functional currency of Te Taura Whiri i te Reo Māori is New Zealand dollars.

Revenue

Te Taura Whiri i te Reo Māori derives revenue through the provision of outputs to the Crown, for services to third parties and interest on its deposits. Such revenue is recognised when earned and is reported in the financial period to which it relates. Revenue is measured at the fair value of consideration received.

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SPECIFIC ACCOUNTING POLICIES

Financial assets

Cash and cash equivalents include cash on hand, cash in transit, bank accounts and deposits with a maturity of no more than three months from date of acquisition.

Investments are stated at the lower of cost and net realisable value. Any write-downs are recognised in the Statement of Comprehensive Income.

A provision for impairment of receivables is established when there is objective evidence that Te Taura Whiri i te Reo Māori will not be able to collect all amounts due according to the original terms of receivables. The amount of the provision is the difference between the asset’s carrying amount and the estimated realisable value.

Physical assets

Physical Assets which consist of leasehold improvements, motor vehicles, furniture and fittings, office equipment and EDP equipment, are initially recorded at cost.

Where an asset is acquired for nil or nominal consideration the asset will be recognised initially at fair value, as at the date of acquisition.

Depreciation

Depreciation is provided on a straight line basis on all physical assets so as to allocate the cost of the assets over their useful lives with no residual value. The estimated economic useful lives and associated depreciation rates of classes of assets are:

Leasehold Improvements 5 years 20%

Furniture and Fittings 5 years 20%

Office Equipment 5 years 20%

EDP Equipment 4 years 25%

Software Development 4 years 25%

Intangible assets

Computer software that is not integral to the operation of the hardware is recorded as an intangible asset on the basis of the costs incurred to acquire and bring to use the specific software and amortised on a straight line basis over a period of four years. Costs associated with maintaining computer software are recognised as an expense when incurred.

Financial instruments

Te Taura Whiri i te Reo Māori is party to financial instruments in the form of bank accounts, accounts receivable, accounts payable and accruals as part of everyday operations. These are reflected in the Statement of Financial Position at their fair value. Revenues and

expenses in relation to financial instruments are recognised in the Statement of Financial Performance.

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All foreign exchange transactions are translated at the rates of exchange applicable in each transaction. Te Taura Whiri i te Reo Māori does not carry any balances in foreign currencies.

Goods and services tax

The Financial Statements are recorded on a GST exclusive basis with the exception of accounts receivable and accounts payable which are stated with GST included.

Commitments

Future payments are disclosed as commitments at the point a contractual obligation arises to the extent that they are equally unperformed obligations. Commitments relating to employment contracts are not disclosed.

Leases

Te Taura Whiri i te Reo Māori leases office premises and office equipment. As all the risks and ownership are retained by the lessor, these leases are classified as operating leases.

Operating lease costs are expensed in the period in which they are incurred.

Taxation

Te Taura Whiri i te Reo Māori is exempt from income tax under Section 15 of the Second Schedule of the Māori Language Act 1987.

Provision for employment entitlements

Annual leave is recorded on an actual entitlement basis at current rates of pay.

Statement of cash flows

Cash means cash balances on hand, held in bank accounts, demand deposits and other highly liquid investments in which Te Taura Whiri i te Reo Māori invests as part of its day-to- day cash management.

Operating activities include all activities other than investing and financing activities. The cash inflows include all receipts from the sale of goods and services and other sources of revenue that support operating activities of Te Taura Whiri i te Reo Māori. Cash outflows include payments made to employees, suppliers and for taxes.

Investing activities are those activities relating to the acquisition and disposal of current and non-current securities and any other non-current assets.

Financing activities are those activities relating to changes in equity and debt capital

structure of Te Taura Whiri i te Reo Māori and those activities relating to the cost of servicing the equity capital of Te Taura Whiri i te Reo Māori.

Cost allocation

Te Taura Whiri i te Reo Māori has determined the cost of outputs using the cost allocation system outlined below.

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Direct costs are those costs that are directly attributed to an output.

Criteria for indirect costs

Indirect costs and corporate overheads are those costs that cannot be attributed in an economically feasible manner to a specific output, and are allocated to outputs on the basis of budgeted full time equivalents (FTEs) attributable to each output.

Changes in accounting policies

All revenue received, irrespective of source and usage has been included in the forecast financial statements. This differs from previous years’ treatment where some revenue was treated as agency funds.

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Financial statements

Statement of comprehensive income

For the year ended 30 June 2014

2013 2014 2014 2014/15

Actual Actual Budget Forecast

(Not audited)

$ Notes $ $ $

REVENUE

Operating revenue from Crown

3,204,000 Operating appropriation 2 3,204,000 3,204,000 3,204,000

– Mā Te Reo fund - monitoring and evaluation 2 250,000 200,000 250,000

– Research and development 2 2,000,000 2,000,000 2,000,000

– Community-Based Language Initiatives 2 961,293 – 1,460,960

3,204,000 Total operating revenue from Crown 6,415,293 5,404,000 6,914,960 Grants revenue from Crown

2,000,000 Mā Te Reo Fund 2 2,250,000 – 2,250,000

1,500,000 He Kāinga Kōrerorero 2 1,500,000 1,500,000 1,500,000

– CBLI - Te Kura Whānau Reo 2 684,707 – 836,040

3,500,000 Total grant revenue from Crown 4,434,707 1,500,000 4,586,040 Finance revenue

259,647 Interest income 285,031 45,000 125,000

280,159 Other income 128,949 208,000 120,000

539,806 Total finance revenue 413,980 253,000 245,000

7,243,806 TOTAL REVENUE 11,263,980 7,157,000 11,746,000

EXPENSES

Operating expenses

7,958 Amortisation 8 12,738 – 37,879

141,544 Depreciation 7 71,834 131,000 75,461

1,498,881 Operating expenses 3 2,507,265 3,163,000 6,695,060

1,673,054 Personnel 4 1,649,575 2,363,000 2,260,379

3,321,437 Total operating expenses 4,235,412 5,657,000 9,068,779 Contract expenses (net)

1,575,182 Mā Te Reo Fund 1,859,425 – 2,300,000

1,500,000 He Kāinga Kōrerorero 1,500,000 1,500,000 1,500,000

– CBLI - Te Kura Whānau Reo 684,707 – 836,040

3,075,182 Total contract expenses 4,044,132 1,500,000 4,636,040

6,396,619 TOTAL EXPENSES 8,279,544 7,157,000 13,704,819

Operating surplus/(deficit)

218,923 Operating surplus 2,430,214 – (1,908,819)

628,264 Contracts surplus 554,222 – (50,000)

847,187 Total operating surplus/(deficit) 2,984,436 – (1,958,819) The accompanying accounting policies and notes to the financial statements form an integral part of these financial statements.

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As at 30 June 2014

2013 2014 2014 2014/15

(Not audited)

$ Notes $ $ $

ASSETS Current assets

1,466,539 Cash and cash equivalents 5 4,396,511 1,300,000 5,152,800

75,207 Debtors and other receivables 6 224,629 15,000 75,000

3,288,804 Mā te Reo Agency fund investment account 11 4,023,469 3,675,000 4,769,800

1,609 Prepayments 4,288

– GST receivable

4,832,159 Total current assets 8,648,897 4,990,000 9,997,600

Non-current assets

580,000 Mā te Reo Agency fund investment account 11 580,000 1,250,000 100,000

138,328 Property, plant and equipment 7 103,513 76,000 129,930

40,978 Intangible assets 8 29,669 26,000 497,891

759,306 Total non-current assets 713,182 1,352,000 727,821

5,591,465 TOTAL ASSETS 9,362,079 6,342,000 10,725,421

LIABILITIES

Current liabilities

355,477 Creditors and other payables 9 564,354 274,000 3,484,663

742,807 Mā te Reo Agency fund 11 923,250 200,000 900,000

26,160 GST payable 439,693

221,151 Employee entitlements 10 198,085 212,000 240,000

1,345,595 Total current liabilities 2,125,382 686,000 4,624,663

Non-current liabilities

3,125,997 Mā te Reo Agency fund 11 3,680,219 4,725,000 3,969,800

5,180 Employee entitlements 10 11,574 12,000 12,000

3,131,177 Total non-current liabilities 3,691,793 4,737,000 3,981,800

4,476,772 TOTAL LIABILITIES 5,817,175 5,423,000 8,606,463

1,114,693 NET ASSETS 3,544,904 919,000 2,118,958

CROWN EQUITY

1,114,693 Total investment by the Crown 3,544,904 919,000 2.118,958

1,114,693 Total Crown equity 3,544,904 919,000 2,118,958

The accompanying accounting policies and notes to the financial statements form an integral part of these financial statements.

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Statement of changes in equity

2013 2014 2014 2014/15

(Not audited)

$ Notes $ $ $

895,770 Total Crown equity at 1 July 1,114,693 919,000 4,077,778

Surplus comprehensive income

847,187 Total operating surplus/(deficit) 2,984,436 – (1,958,820)

(628,264) Less: Contracts surplus to repayment liabilities 11 (554,222) – – – Less: Transfer to Māori language research and development fund reserve (1,601,585) – – 218,923 Net surplus/(deficit) to operating funds 828,629 – (1,958,820)

Balance at 30 June

1,114,693 Operating funds 1,943,322 – –

– Māori language research and development fund reserve 1,601,582 – – 1,114,693 Total Crown equity at 30 June 3,544,904 919,000 2,118,958 The accompanying accounting policies and notes to the financial statements form an integral part of these financial statements.

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2013 2014 2014 2014/2015

$ Notes $ $ $

CASH FLOWS FROM OPERATING ACTIVITIES

Cash was provided from (applied to)

6,704,000 Receipts from Crown revenue 10,850,000 6,904,000 11,501,000

259,647 Interest received 285,031 45,000 125,000

224,523 Receipt from other revenue (20,473) 208,000 142,934

(4,540,209) Payments to suppliers (6,339,199) (4,720,000) (8,678,431)

(1,654,550) Payments to employees (1,666,247) (2,409,000) (2,235,379)

31,339 (Payment) receipt of GST 413,533 (9,000) 518,665

1,024,750 Net cash flow from operating activities 14 3,522,645 19,000 1,373,789 CASH FLOWS FROM INVESTING ACTIVITIES

– Sale of property, plant and equipment 3,614 – –

(54,555) Purchase of property, plant and equipment 7 (40,633) (75,000) (617,500)

(42,487) Purchase of intangible assets 8 (1,429) (5,000) –

(97,042) Net cash flows from investing activities (38,448) (80,000) (617,500) CASH FLOWS FROM FINANCING ACTIVITIES

– Capital contributions – – –

(628,264) Mā te Reo Investment Fund (554,222) – –

(628,264) Net cash flows from financing activities (554,222) – –

299,444 Net (decrease)/ increase in cash and cash equivalents 2,929,972 (61,000) 756,289 1,167,095 Cash and cash equivalents at beginning of year 1,466,539 1,361,000 4,396,511 1,466,539 Cash and cash equivalents at end of year 4,396,511 1,300,000 5,152,800 1,466,539 Represented by: cash and cash equivalents 4,396,511 1,300,000 5,152,800 The accompanying accounting policies and notes to the financial statements form an integral part of these financial statements.