ACTTAB LIMITED
Objectives
ACTTAB’s principal objective is to maintain and grow its share of the national gaming and wagering market.  This is to be done through the responsible provision of a comprehensive suite of products, delivered to consumers by utilising contemporary technology and communication mediums.
2007‑08 Priorities
Strategic and operational issues to be pursued in 2007‑08 include:  
•	maintaining ACTTAB’s competitiveness in the national wagering market through the introduction of Sports Multibet and Flexibet products; 
•	refining and enhancing ACTTAB’s new Information Communications Technology infrastructure and betting system environment, including the implementation of an improved and more cost effective area wide network; 
•	continuing to identify and determine future central betting system options, including bet placement and retail selling terminals; 
•	enhancing the functionality and usability of ACTTAB’s website facilities; 
•	developing and implementing a new Quality Control Framework to achieve greater consistency and effectiveness in the delivery and presentation of ACTTAB’s products to customers; 
•	completing the implementation of the ACTTAB ‘Superstore’ refurbishment program; 
•	implementing a new competency based performance management system for employees; 
•	continuing to ensure that the harmful effects of gambling are minimised through the provision of appropriate staff training and consumer education, and by maintaining the availability of appropriate counselling services and information; and 
•	growing ACTTAB’s community profile as a responsible corporate citizen through targeted partnership and sponsorship arrangements.  

Estimated Employment Level
	2006-07
Est.  Outcome	2007-08
Budget	
Staffing  (FTE)	71	74	

ACTTAB	
Operating Statement	
  2006-07			  2006-07	   2007-08		  2008-09	  2009-10	  2010-11		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		Income								
		Revenue								
30,635		User Charges - Non ACT Government	28,202	30,126	7	31,029	31,961	32,920		
584		Interest	570	529	-7	371	497	497		
930		Other Revenue	4,608	231	-95	235	240	245		
32,149		Total Revenue	33,380	30,886	-7	31,635	32,698	33,662		
		Gains								
0		Total Gains	0	0	-	0	0	0		
32,149		Total Income	33,380	30,886	-7	31,635	32,698	33,662		
		Expenses								
4,644		Employee Expenses	5,068	5,543	9	5,764	5,996	6,235		
421		Superannuation Expenses	472	573	21	596	620	645		
10,234		Supplies and Services	8,415	9,242	10	9,519	9,804	10,099		
1,116		Depreciation and Amortisation	852	1,115	31	1,049	1,080	1,113		
7		Borrowing Costs	14	14	-	8	8	8		
11,563		Other Expenses	11,060	11,383	3	11,400	11,614	11,836		
27,985		Total Ordinary Expenses	25,881	27,870	8	28,336	29,122	29,936		
4,164		Operating Result From Ordinary Activities	7,499	3,016	-60	3,299	3,576	3,726		
1,249		Income Tax Equivalent	2,250	898	-60	989	1,073	1,117		
2,915		Operating Result	5,249	2,118	-60	2,310	2,503	2,609		

ACTTAB	
Balance Sheet	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/07			as at 30/6/07	as at 30/6/08	   Var	as at 30/6/09	as at 30/6/10	as at 30/6/11		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
		Current Assets								
9,599		Cash and Cash Equivalents	12,144	8,599	-29	6,783	7,619	8,248		
788		Receivables	788	812	3	836	861	861		
101		Inventories	101	104	3	107	110	110		
139		Other	0	0	-	0	0	0		
10,627		Total Current Assets	13,033	9,515	-27	7,726	8,590	9,219		
		Non Current Assets								
11,081		Property, Plant and Equipment	11,196	14,507	30	17,581	18,101	18,838		
266		Intangibles	266	0	-100	0	0	0		
0		Tax Assets	438	438	-	438	438	438		
11,347		Total Non Current Assets	11,900	14,945	26	18,019	18,539	19,276		
21,974		TOTAL ASSETS	24,933	24,460	-2	25,745	27,129	28,495		
		Current Liabilities								
1,507		Payables	4,314	4,538	5	4,614	4,511	4,507		
625		Employee Benefits	625	650	4	677	703	703		
1,676		Other Provisions	4,301	2,518	-41	2,542	2,749	2,811		
3,808		Total Current Liabilities	9,240	7,706	-17	7,833	7,963	8,021		
		Non Current Liabilities								
68		Employee Benefits	68	71	4	74	76	80		
68		Total Non Current Liabilities	68	71	4	74	76	80		
3,876		TOTAL LIABILITIES	9,308	7,777	-16	7,907	8,039	8,101		
18,098		NET ASSETS	15,625	16,683	7	17,838	19,090	20,394		
		REPRESENTED BY FUNDS EMPLOYED								
16,654		Accumulated Funds	14,503	15,561	7	16,716	17,968	19,272		
1,444		Reserves	1,122	1,122	-	1,122	1,122	1,122		
18,098		TOTAL FUNDS EMPLOYED	15,625	16,683	7	17,838	19,090	20,394		

ACTTAB	
Cash Flow Statement	
  2006-07			  2006-07	   2007-08		  2008-09	  2009-10	  2010-11		
    Budget			Est.Outcome	   Budget	   Var	  Estimate	   Estimate	  Estimate		
    $'000			   $'000	   $'000	    %	   $'000	    $'000	   $'000		
		CASH FLOWS FROM OPERATING ACTIVITIES								
		Receipts								
30,653		User Charges	28,389	30,126	6	31,029	31,961	32,920		
311		Interest Received	570	529	-7	371	497	497		
566		Other Revenue	214	232	8	235	239	246		
31,530		Operating Receipts	29,173	30,887	6	31,635	32,697	33,663		
		Payments								
5,065		Related to Employees	5,540	6,116	10	6,360	6,616	6,880		
10,234		Related to Supplies and Services	8,414	9,242	10	9,519	9,804	10,099		
7		Borrowing Costs	7	8	14	8	8	8		
12,812		Other	13,309	12,281	-8	12,382	12,678	12,946		
28,118		Operating Payments	27,270	27,647	1	28,269	29,106	29,933		
3,412		NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES	1,903	3,240	70	3,366	3,591	3,730		
		CASH FLOWS FROM INVESTING ACTIVITIES								
		Receipts								
3,500		Proceeds from Sale of Property, Plant & Equipment	7,425	0	-100	0	0	0		
3,500		Investing Receipts	7,425	0	-100	0	0	0		
		Payments								
6,569		Purchase of Property, Plant and Equipment	6,570	4,160	-37	4,123	1,600	1,850		
6,569		Investing Payments	6,570	4,160	-37	4,123	1,600	1,850		
-3,069		NET CASH INFLOW/(OUTFLOW) FROM INVESTING ACTIVITIES	855	-4,160	-587	-4,123	-1,600	-1,850		
		CASH FLOWS FROM FINANCING ACTIVITIES								
		Payments								
1,676		Dividends to Government	1,676	2,625	57	1,059	1,155	1,251		
1,676		Financing Payments	1,676	2,625	57	1,059	1,155	1,251		
-1,676		NET CASH INFLOW/(OUTFLOW) FROM FINANCING ACTIVITIES	-1,676	-2,625	-57	-1,059	-1,155	-1,251		
-1,333		NET INCREASE/(DECREASE) IN CASH HELD	1,082	-3,545	-428	-1,816	836	629		
10,932		CASH AT BEGINNING OF REPORTING PERIOD	11,062	12,144	10	8,599	6,783	7,619		
9,599		CASH AT THE END OF THE REPORTING PERIOD	12,144	8,599	-29	6,783	7,619	8,248		

ACTTAB	
Statement of Changes in Equity	
    Budget			Est.Outcome	   Planned		   Planned	   Planned	   Planned		
as at 30/6/07			as at 30/6/07	as at 30/6/08	   Var	as at 30/6/09	as at 30/6/10	as at 30/6/11		
   $'000			   $'000	    $'000	    %	    $'000	    $'000	    $'000		
16,589		Opening Balance	14,677	15,625	6	16,683	17,838	19,090		
		Accumulated Funds								
0		Net Effect of Change in Accounting Policy	-1,676	0	100	0	0	0		
270		Net Effect of a Correction of an Error	0	-1	#	0	0	-1		
2,915		Operating Result for the Period	5,249	2,118	-60	2,310	2,503	2,609		
		Reserves								
3,185		Total Income And Expense For The Period	3,573	2,117	-41	2,310	2,503	2,608		
		Transactions Involving Equity Holders Affecting Accumulated Funds								
-1,676		Dividend Approved	-2,625	-1,059	60	-1,155	-1,251	-1,304		
18,098		Closing Balance	15,625	16,683	7	17,838	19,090	20,394		
Notes to the Budget Statements
Significant variations are as follows:
Operating Statement
•	user charges – non ACT Government:
–	the decrease of $2.433 million in the 2006‑07 estimated outcome from the original budget is due to the loss of one of ACTTAB’s major customers; and
–	the increase of $1.924 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to forecast increases in activity across all products.
•	other revenue:  the increase of $3.678 million in the 2006‑07 estimated outcome from the original budget is due to the larger than anticipated gain on sale of the Dickson Head Office site.  The decrease in the 2007‑08 Budget from the 2006‑07 estimated outcome reflects a return to normal trading levels.
•	employee expenses:
–	the increase of $0.424 million in the 2006‑07 estimated outcome from the original budget is due to larger than anticipated increases arising from the recently conducted work value review and the staffing of two additional outlets; and
–	the increase of $0.475 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to Enterprise Bargaining Agreement increases and two additional staff being recruited in the Information Technology division.
•	superannuation expenses:  
–	the increase of $0.051 million in the 2006‑07 estimated outcome from the original budget is due to the flow on effect of the increase in salaries and wages paid; and
–	the increase of $0.101 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to the flow on effect of the increase in salaries and wages paid.
•	supplies and services:
–	the decrease of $1.819 million in the 2006‑07 estimated outcome from the original budget is due to a reduction in expenses relating to the Tabcorp Pooling Agreement reflecting the loss of one of ACTTAB’s major customers; and
–	the increase of $0.827 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to an expected increase in turnover related expenditure and an increase in property costs due to the rental of the new Gungahlin Head Office and an outlet at Dickson.
•	depreciation and amortisation:
–	the decrease of $0.264 million in the 2006‑07 estimated outcome from the original budget is due to delays in capital expenditure, largely on the new Gungahlin Head Office; and
–	the increase of $0.263 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to continuation of the capital expenditure program. 
•	other expenses:
–	the decrease of $0.503 million in the 2006‑07 estimated outcome from the original budget is due to the decreased racing distributions payable as a result of the decreased turnover; and
–	the increase of $0.323 million in the 2007‑08 Budget from the 2006‑07 estimated outcome reflects increased turnover.
Balance Sheet
•	cash and cash equivalents:
–	the increase of $2.545 million in the 2006‑07 estimated outcome from the original budget is due to the larger than anticipated proceeds from the sale of the Dickson Head Office; and
–	the decrease of $3.545 million in the 2007‑08 Budget from the 2006‑07 estimated outcome reflects dividends to Government and the purchase of property, plant and equipment.
•	property, plant and equipment:  the increase of $3.311 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to capital expenditure on items such as selling terminals, the refurbishment of outlets, and computer software and hardware.
•	intangibles:  the decrease of $0.266 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to intangible items being fully amortised in 2006‑07.
•	tax assets:  the increase of $0.438 million in the 2006‑07 estimated outcome from the original budget is due to the creation of a deferred tax asset as a result of the increased trading result in 2006‑07.
•	other provisions:
–	the increase of $2.625 million in the 2006‑07 estimated outcome from the original budget is due to an increase in the dividend payable as a result of the improved operating result; and
–	the decrease of $1.783 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to an expected decrease in the dividend payable.
Cash Flow Statement
•	interest received:  the increase of $0.259 million in the 2006‑07 estimated outcome from the original budget is due to delays in capital expenditure resulting in increased funds being invested.
•	other revenue:  the decrease of $0.352 million in the 2006‑07 estimated outcome from the original budget is due to a reclassification of revenue to ‘user charges’ in the estimated outcome.
•	proceeds from sale of property, plant and equipment:
–	the increase of $3.925 million in the 2006‑07 estimated outcome from the original budget is mostly due to the larger than anticipated gain on sale of the Dickson Head Office site; and
–	the decrease of $7.425 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to no property budgeted to be sold in this period.
•	purchase of property, plant and equipment:  the decrease of $2.410 million in the 2007‑08 Budget from the 2006‑07 estimated outcome is due to a decrease in capital expenditure with the Gungahlin Head Office expenditure occurring in 2006‑07.