Markfs' Board of Directors Watch

[Markfs]

Anyone can get an ABN or set up a trust.

I told my mother to get her pension paid into an ABN and then she wouldn't have to pay tax on the baby booties that she sells down the markets....

 

[doodles98]

you have a better chance of eddie sorting it out..... at least he exists

Kill em all and let the mortuary sort them out is the athiest version.

 

[Markfs]

Kill em all and let the mortuary sort them out is the athiest version.

politely ask them to resign is the rational version

 

[doodles98]

politely ask them to resign is the rational version

Boring!

 

[doodles98]

Have a performance review and then decide you don't know what to do is the agnostic version.

 

[Linda_Lovelace]

I completely agree. This is a fantastic post. I am not blaming the AFL at all - I think it is in our hands to change this and I sincerely hope we will do so.

Having said that, the AFL has become big business and would do well to consider regulating for good governance as this applies to big business in the outside world. It would save their money and resource in having to intervene as well as the AFL brand.

If we can influence the change ourselves, I am all for it. My question is how to start this conversation and create the burning platform and a united coalition for change.


On iPhone using BigFooty.com mobile app

Not sure whether you can answer this one but one thing that has always puzzled me re the clubs annual accounts is that gaming revenue is mixed in with social club receipts. I would have thought that under the Accounting Standards that the revenue from gaming is large enough to have the rules relating to segment reporting kick in whereby gaming revenue is reported as a separate line with corresponding note.

Obviously the Auditors sign off on it but given accounts are meant to be user friendly and convey information to stake holders, in this case members, that we would get more details. I can see why the club wants to hide it, its a social issue but for me its misleading on two fronts:

1. We can't see what the operations of gaming are generating for the club
2. We can't see what membership is generating for the club.

Both major revenue lines being washed into together. Clear line of attack re governance and accountability IMO and something that Eddie would not like being brought up, especially at a time when it may show membership money declining.

 

[76woodenspooners]

Not sure whether you can answer this one but one thing that has always puzzled me re the clubs annual accounts is that gaming revenue is mixed in with social club receipts. I would have thought that under the Accounting Standards that the revenue from gaming is large enough to have the rules relating to segment reporting kick in whereby gaming revenue is reported as a separate line with corresponding note.

Obviously the Auditors sign off on it but given accounts are meant to be user friendly and convey information to stake holders, in this case members, that we would get more details. I can see why the club wants to hide it, its a social issue but for me its misleading on two fronts:

1. We can't see what the operations of gaming are generating for the club
2. We can't see what membership is generating for the club.

Both major revenue lines being washed into together. Clear line of attack re governance and accountability IMO and something that Eddie would not like being brought up, especially at a time when it may show membership money declining.

+ when we moved across to Star, there was insufficient granularity in the accounts to be able to assess whether it had been a good decision or a bad decision.

 

[76woodenspooners]

For anybody who is interested in such stuff, the club's articles of association can be viewed here

(It's the club's constitutions, somebody who knows more about corporations law than me can explain why it's called "articles of association" rather than "constitution")

I believe there may have been some amendments made in recent years, but can't seem to find a copy more recent than this one (2010).

 

[ZEV]

For anybody who is interested in such stuff, the club's articles of association can be viewed here

(It's the club's constitutions, somebody who knows more about corporations law than me can explain why it's called "articles of association" rather than "constitution")

I believe there may have been some amendments made in recent years, but can't seem to find a copy more recent than this one (2010).

I would 100% defer to Queenie Heart's opinions but;

It looks like the original document was prepared in 1983, before July 98 what we now call a company's "constitution" was called an M&A ( a Memorandum of Association and Articles of Association).

I think under the M&A structure an AGM is mandatory whereas if replaced with a constitution the Corporations Act has no such requirement.

 

[ZEV]

Not sure whether you can answer this one but one thing that has always puzzled me re the clubs annual accounts is that gaming revenue is mixed in with social club receipts. I would have thought that under the Accounting Standards that the revenue from gaming is large enough to have the rules relating to segment reporting kick in whereby gaming revenue is reported as a separate line with corresponding note.

Obviously the Auditors sign off on it but given accounts are meant to be user friendly and convey information to stake holders, in this case members, that we would get more details. I can see why the club wants to hide it, its a social issue but for me its misleading on two fronts:

1. We can't see what the operations of gaming are generating for the club
2. We can't see what membership is generating for the club.

Both major revenue lines being washed into together. Clear line of attack re governance and accountability IMO and something that Eddie would not like being brought up, especially at a time when it may show membership money declining.

Going on from what you've stated (I've never read or examined any club finances or structures or reports ever) I'd imagine that gaming revenue and social club receipts exhibit long term similar financial performance and satisfy the relevant segment factors and are reported as such.

 

[Anzacday]

Not sure whether you can answer this one but one thing that has always puzzled me re the clubs annual accounts is that gaming revenue is mixed in with social club receipts. I would have thought that under the Accounting Standards that the revenue from gaming is large enough to have the rules relating to segment reporting kick in whereby gaming revenue is reported as a separate line with corresponding note.

Obviously the Auditors sign off on it but given accounts are meant to be user friendly and convey information to stake holders, in this case members, that we would get more details. I can see why the club wants to hide it, its a social issue but for me its misleading on two fronts:

1. We can't see what the operations of gaming are generating for the club
2. We can't see what membership is generating for the club.

Both major revenue lines being washed into together. Clear line of attack re governance and accountability IMO and something that Eddie would not like being brought up, especially at a time when it may show membership money declining.

There's the reason.

 

[Linda_Lovelace]

Going on from what you've stated (I've never read or examined any club finances or structures or reports ever) I'd imagine that gaming revenue and social club receipts exhibit long term similar financial performance and satisfy the relevant segment factors and are reported as such.

But they do not, the fact is it not members who are pumping the slots, sure there would be a few but there is no correlation in the nature of receipts from sales of membership v gambling revenue. Completely different business IMO.

 

[Linda_Lovelace]

Going on from what you've stated (I've never read or examined any club finances or structures or reports ever) I'd imagine that gaming revenue and social club receipts exhibit long term similar financial performance and satisfy the relevant segment factors and are reported as such.

The standard

Objective The objective of this Standard is to establish principles for reporting financial information by segment – information about the different types of products and services an entity produces and the different geographical areas in which it operates – to help users of financial reports: (a) better understand the entity’s past performance; (b) better assess the entity’s risks and returns; and (c) make more informed judgements about the entity as a whole. Many entities provide groups of products and services or operate in geographical areas that are subject to differing rates of profitability, opportunities for growth, future prospects, and risks. Information about an entity’s different types of products and services and its operations in different geographical areas – often called segment information – is relevant to assessing the risks and returns of a diversified or multinational entity but may not be determinable from the aggregated data. Therefore, segment information is widely regarded as necessary to meeting the needs of users of financial reports.

There is a lot more technical language but after reading the preamble do you really think that membership revenue is the same as gambling revenue?

 

[Brad Goodman]

But they do not, the fact is it not members who are pumping the slots, sure there would be a few but there is no correlation in the nature of receipts from sales of membership v gambling revenue. Completely different business IMO.

There is a separate line for membership though?

 

[Markfs]

For anybody who is interested in such stuff, the club's articles of association can be viewed here

(It's the club's constitutions, somebody who knows more about corporations law than me can explain why it's called "articles of association" rather than "constitution")

I believe there may have been some amendments made in recent years, but can't seem to find a copy more recent than this one (2010).

i'm only aware of what happens in wa, but over here sporting clubs become incorporated through Associations legislation....but as the Pies are a lot larger and operate throughout australia, then it must have to operate under corporations law. It couldnt operate under the victorian equivalent of the sporting associations legislation because it trades across australia. However, the incorporation might take a different form from private companies because it is a club formed from the association of members.

 

[ZEV]

There is a lot more technical language but after reading the preamble do you really think that membership revenue is the same as gambling revenue?

Um no... and after a brief 30 second browse it is completely stated in the Annual Financial Report on page 13 that they are not...

(iv) Commercial activities, membership and match day

Commercial activities income is recognised when amounts are due and payable in accordance with the terms and conditions of the transactions.
Membership income is recognised throughout the duration of the AFL home and away season. Match day gross income is recognised at the conclusion of each AFL home game.
(v) Function centres and gaming venues revenue

Sales comprise revenue earned (net of returns, discounts and allowances) from gaming machines and provision of food and beverage. Gaming, bar, bistro and function revenue is recognised as it is earned.

Here's the 2016 income revenue that you were looking for, page 20 of the '16 AFR.

Function centres and gaming venues -21,656,298
Membership and Match Day -22,565,759

 

[ZEV]

Because he is being lawful but not ethical...

actually i need to rephrase that.... it would appear that he is acting lawfully but i have no evidence other than the ATO has appeared to accept his companies tax assessment

and i need to add the fact that he has shown less than the required interest in attending board meetings[/QUOTE]

Do you voluntarily contribute more tax than required?

Also he attended 9 out of 10 Directors meetings.... The Bulldogs VP Dr Susan Alberti in the Bulldogs greatest ever year of triumph and success only made it to 10/12...

 

[Markfs]

If you read Paul Leed's Bio on the club site, you should be wondering why the hell this guy is on the board....

well it seems that there are business reasons...
http://www.twenty3group.com.au/

so in case you were wondering...

Twenty3 Group is led by Chief Executive John Tripodi (formerly L'Oreal Group and Mars Inc.) and Managing Director Michael Leeds (formerly Starcom MediaVest Group). The firm contains high-profile shareholders and board members including Chairman Paul Leeds, Paul Dainty, Eddie McGuire and prominent lawyer Lev Shevki. Twenty3 Group clients include Mars Australia, Crownbet, TEG-Dainty and Village Cinemas. Since launching into the Australian marketplace in 2009, Twenty3 Group subsidiary, Twenty3 Sport + Entertainment, has expanded its core sports and entertainment marketing services to also offer strategy consulting, media planning and buying, digital marketing, sponsorship management, and activation expertise to its broad client base. The firm's integrated marketing and media approach to live entertainment can be seen on high-profile Australian tours such as Katy Perry, Bon Jovi, Michael Buble, Oprah Winfrey, Guns N' Roses, Hugh Jackman and Jerry Seinfeld. Twenty3 Sport + Entertainment has also been appointed to manage the fan engagement and event operations for events such as the 2015 AFC Asian Cup – the biggest football tournament ever staged in Australia – and the record-breaking UFC193 extravaganza at Etihad Stadium featuring Ronda Rousey. -
See more at: http://www.ausleisure.com.au/news/twenty3-expands-with-ampr-investment/#sthash.ifWQ8Y7q.dpuf

So you could argue the case that what Collingwood has done by starting up AFLW and netball teams, is also being done on the macro level where the Collingwood club becomes part of a wider entertainment group spanning across other sports and to other live media....

you might see highrollers at the crown casino being given tickets to Pie games at the MCG or people like Michael Buble performing at functions after games at the Holden centre...

 

[Markfs]

Do you voluntarily contribute more tax than required?

Also he attended 9 out of 10 Directors meetings.... The Bulldogs VP Dr Susan Alberti in the Bulldogs greatest ever year of triumph and success only made it to 10/12...

No I dont Ned Kelly but I do pay tax...

 

[peter9789]

Christine Holgate is the Chief Executive Officer of leading Australian vitamin company Blackmores and boasts over 20 years public board experience, including her appointment as Chair of the Board of the Australian-ASEAN Council by the Government in September 2015.

She is CEO of Blackmores...... If that isnt a conflict of interest, what is a conflict of interest. It is the Board of the Collingwood Football club that decides what sponsorships are accepted the club and the price that is paid.....Holgate would probably exclude herself from these negotiations - gary pert was probably the guy who did it....but the board signs off on the deal....

Ignoring this, what does she bring to the Board.... she is a woman..... that is it...

she has no experience in sporting clubs...

she has no sporting credentials.....

she cant even boast of being a life long supporter of the club....

evidently she's become a mate of eddie..... so its a done deal

Mark - great thread and I'm with you all the way in highlighting issues with our board.

However, in defence of Christine, she is an amazing woman. Come from very humble beginnings and fought her way to the top of corporate Australia.

She is incredibly well connected through government from Prime Minister down in all levels of government. A smart, intelligent and compassionate woman whom we should be proud to have on our board.

My only reservations are that she has little football or sporting knowledge and I think we need more of those qualities on the board.




On iPad using BigFooty.com mobile app

 

[76woodenspooners]

My only reservations are that she has little football or sporting knowledge

People who have no football / sporting knowledge may be more capable than those who do.

Let's say the board need to appoint a new coach.

Consider these two examples about how they might go about it ...

Example 1: A board who "know something about footy". They meet and they discuss the options. They argue the merits of Roos versus Ratten. Is Clarkson gettable? They interview a couple of candidates and after some debate / discussion / heated argument they decide on the successful candidate. The decision might be a compromise - half like Roos but hate Clarkson. The other half like Clarkson and hate Roos. Ratten might be a compromise. Or the decision might be arrived at by who can argue more loudly / more passionally / more convincingly about their favourite. It'd be kinda like how we roll on BigFooty.

Example 2: A board who know nothing about footy. How might they go about the recruitment of a coach? They might start by assembling a selection panel. They might put together a job spec. What selection criteria is used? What will be the objectives of the successful candidate? What strengths will the successful candidate need to have? How will the successful candidate fit within the organisation? How to measure candidate suitability? A board who know nothing about footy may do a better job because they're more inclined to focus on the process of selecting the best coach, rather who the best coach is.

 

[Markfs]

Mark - great thread and I'm with you all the way in highlighting issues with our board.

However, in defence of Christine, she is an amazing woman. Come from very humble beginnings and fought her way to the top of corporate Australia.

She is incredibly well connected through government from Prime Minister down in all levels of government. A smart, intelligent and compassionate woman whom we should be proud to have on our board.

My only reservations are that she has little football or sporting knowledge and I think we need more of those qualities on the board.


On iPad using BigFooty.com mobile app

I don't disagree with you. I think that I've concentrated on the men on the board in later posts because the women are somewhere in the ballpark. I havent seen anything about holgate that would compromise her position on the board....except.....except..... she is on the board and she is CEO of a major sponsor. How can the board make objective decisions about sponsorship when there is a conflict of interest like that? I'm not naive enough to think that there arent other conflicts of interest with that board and with the media connections that the directors have. It seems to be the usual thing in footy that directors have the concession for the pie stand, but i dont agree with it.... I dont want to rely on a stereotype but I would think there would be a few long term supporters who are women who have great contacts in community services....

 

[Markfs]

People who have no football / sporting knowledge may be more capable than those who do.

Let's say the board need to appoint a new coach.

Consider these two examples about how they might go about it ...

Example 1: A board who "know something about footy". They meet and they discuss the options. They argue the merits of Roos versus Ratten. Is Clarkson gettable? They interview a couple of candidates and after some debate / discussion / heated argument they decide on the successful candidate. The decision might be a compromise - half like Roos but hate Clarkson. The other half like Clarkson and hate Roos. Ratten might be a compromise. Or the decision might be arrived at by who can argue more loudly / more passionally / more convincingly about their favourite. It'd be kinda like how we roll on BigFooty.

Example 2: A board who know nothing about footy. How might they go about the recruitment of a coach? They might start by assembling a selection panel. They might put together a job spec. What selection criteria is used? What will be the objectives of the successful candidate? What strengths will the successful candidate need to have? How will the successful candidate fit within the organisation? How to measure candidate suitability? A board who know nothing about footy may do a better job because they're more inclined to focus on the process of selecting the best coach, rather who the the best coach is.

who assembles the panel?....the board? if the current board assembled a panel, it would compromise of eddie writing down a few names.....

and my second point..... boards that nominate panels who pick the coaches, end up distancing themselves from that coach, should that coach fail..... they simply nominate another panel .... personally, i think that if buckley is given the flick then eddie should be held responsible because he came up with the plan in the first place.

 

[Queenie Hearts]

For anybody who is interested in such stuff, the club's articles of association can be viewed here

(It's the club's constitutions, somebody who knows more about corporations law than me can explain why it's called "articles of association" rather than "constitution")

I believe there may have been some amendments made in recent years, but can't seem to find a copy more recent than this one (2010).

Under the old company law companies used to have "Articles and Memorandums of Association". Under the Corporations Act 2001, this document was replaced with a "Constitution". Companies are able to continue to operate under old Articles and Memorandums of Association (it simply means they have not decided to replace with the modern form of document). I couldn't find a more up to date one either that was available for free. If anyone wanted to double check that this is the most current document, you can do a company search on the ASIC web site and check if there has been any update since 2010.

 

[the_champ_2004]

I have only read half of the first page but it's annoying me already so I can't read on. "I pay my taxes" is a comment that annoys me more than almost any other. Everyone pays taxes, it comes out of your pay before you receive it. What he, and Visy for that matter do, is write off losses to recoup taxes paid. They get a tax return which balances it out and it's much more provocative to say they don't pay tax. If you don't pay taxes you get a serious fine and then you have to pay your taxes.

Companies on the other hand collect tax from revenue and set it aside to pay, its the law. Again, if they have costs they can write it off against it balances off so they effectively don't have to pay taxes.

I'll leave you with this, it might be some good advice and save you some of that hard earned tax you pay each year.