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2
CONTENTS
Report from the Chairman 3
Key Events 8
Financial Statements 11
Audit Report 36
Directory of Board Members and Executives 39
Board Member Biographies 39
Private Bag 56906, Dominion Road, Auckland 1024
www.edenpark.co.nz
3
REPORT FROM THE CHAIRMAN
Introduction
It is my pleasure to present my final Annual Report of The Eden Park Trust (EPT) for the year ended 31
October 2014. The comparative prior period is the 12 months to 31 October 2013.
The 2014 financial year was satisfactory, from both an operational and financial perspective. Key
milestones in the year included the following:
Events
A strong programme of international cricket was played at Eden Park over the summer. The Black
Caps faced the West Indies team in a T20 and an ODI, followed by a thrilling tied ODI match and a
test match against India;
The inaugural Dick Smith NRL Nines rugby league tournament was played over two days in
February 2014. Pitched as a family friendly event, capacity crowds were treated to a wonderful
event which is now becoming a major annual event for Auckland;
The Blues completed a successful schedule of seven matches at Eden Park, losing only their final
match;
The All Blacks continued their unbeaten streak (since 1994) at Eden Park, resisting a strong
challenge from the England team in June before delivering a comprehensive performance against
the Wallabies in August, to retain the Bledisloe Cup;
Three finals matches of the IRB Junior World Championship were played at Eden Park in June, with
England victorious over South Africa in the grand final;
The annual club rugby finals were played before good crowds in August 2014;
Auckland’s ITM Cup rugby team completed an unbeaten five-match home season on Eden Park;
The Wellington based Phoenix Football Club played twice at Eden Park – an A-league match against
Adelaide in February and an historic victory over the English Premier League side West Ham in July;
The Vodafone NZ Warriors rugby league team played three NRL matches at Eden Park during the
year;
Eden Park hosted community events including the Muslim community’s Eid Festival, celebrating
the end of Ramadan;
Eden Park Catering hosted over 1,000 functions, ranging from three-day business conferences and
corporate Annual General Meetings to school balls and weddings.
Governance and Management
During the year Mr Derek Dallow retired from the Board and was replaced by Mr Doug McKay. I would
like to thank Derek for his significant contribution to the Eden Park Trust during his tenure as a Trustee.
The board currently comprises four Crown appointees (one position remains vacant) and two appointees
each from Auckland Rugby Union (ARU) and Auckland Cricket Association (ACA). The Crown is continuing
to work with Auckland Council regarding the right to appoint the Trustees currently appointed by the
Crown.
There were no changes to the Executive Management Team during the year.
4
Operations
The Eden Park turf, facilities and game day operations personnel have once again delivered a fixture
schedule of the highest quality in the year under review. This would not have been possible without the
involvement of subcontractors (including caterers, security and cleaners) and external parties, including
venue hirers, Auckland Council, Auckland Transport, the Police, the Fire Service and all other services, all
of whom are essential to Eden Park’s high standard of event delivery.
The inaugural Dick Smith NRL Nines rugby league tournament in February, promoted by Duco Events,
was a significant addition to Eden Park’s event calendar. Every aspect of this event has been heralded as
a success, from the weather, the crowd participation and engagement, to the on-field team
performances and entertainment. The tournament was promoted as a family and fan-friendly event,
which was borne out by the excellent feedback from within the stadium and the local community. This
event is set to become an annual iconic draw card for locals and visitors to Auckland.
There were no rugby league international matches at Eden Park during the year. However, Eden Park
remains committed to hosting the Warriors, other NRL clubs and international rugby league matches
whenever possible.
Eden Park was host to All Blacks test victories against England and Australia. Both matches were played
before full-capacity crowds. These victories increased the All Blacks’ unbeaten record at Eden Park to 33
matches, stretching back twenty years, to 1994.
Eden Park Catering, from which the Trust earns a commission, has had a strong year thanks to the
increased number of events held in the year.
A summary of major sporting events held at Eden Park in the year is as follows:
Type Number
2014
Crowd
2014
Number
2013
Crowd
2013
No.1 Ground Events:
International Rugby 2 95,700 2 94,400
Super Rugby 7 122,000 7 136,600
ITM Cup Rugby 5 17,100 5 22,500
Other Rugby 2 7,800 2 11,000
International Cricket 4 80,900 3 79,700
HRV Cup Cricket 3 12,100 3 16,500
Football 2 36,900 1 10,600
Rugby League 4 141,400 1 30,300
Total 29 513,900 24 401,600
5
Finance
The Trust had a satisfactory financial year, posting a net operating profit before interest, depreciation
and other comprehensive income of $2.836m (2013: $2.203m).
The financial results attached are briefly summarised as follows:
$000 2014 2013
Total operating income 14,115 12,731
Total operating expenses (11,279) (10,528)
Net operating profit/(loss) 2,836 2,203
Interest (net) (2,224) (1,913)
Other comprehensive income 385 891
Profit before depreciation 997 1,181
Depreciation (8,396) (8,395)
Total comprehensive income (7,399) (7,214)
Eden Park’s improved operating performance in 2014 over 2013 was driven by additional events,
particularly the NRL Nines, but also the Phoenix v West Ham match and the IRB Junior World Cup finals
matches. The resulting net operating profit of $2.836m (2013: $2.203m) was above budget. An increase
in net interest costs and a reduction in other comprehensive income compared to the prior year left an
overall profit before depreciation of $997k (2013: $1,181k). After depreciation of $8.396m (2013:
$8.395m), EPT recorded a loss of ($7.399m) for the year (2013: ($7.214m)).
Revenue from the sale of memberships and corporate boxes was slightly ahead of last year, as was
venue hire revenue and related food and beverage revenue. Function revenue from non-game day
activities fell slightly below the prior year revenue.
Interest costs have increased over the year due to an upward movement in interest rates. EPT has taken
the precautionary step of hedging $10m of debt through a fixed rate interest swap contract, for a two-
year period. This provides some certainty around future costs of borrowing, while future interest rate
rises remain difficult to predict.
Other comprehensive income in the year includes the annual revaluation of investment properties. No
increase in the stadium land valuation of $19,750,000 (which was revalued up by $750k last year) was
made in this financial year.
EPT recently completed the extension of its $40m Committed Cash Advance Facility (CCAF) with the ASB
Bank, through to 30 November 2017. This facility is supported by a guarantee from Auckland Council. We
are grateful to both the ASB and the Council for their ongoing support of this facility, which was
established to complete the funding of the redevelopment of Eden Park, in 2010.
EPT’s asset base remains strong. The balance sheet at year end indicates net equity of $227million. This
has decreased by $7.4m compared to the prior year, due to the depreciation charge of $8.4m for the
year.
The Trust is carrying approximately $50m of debt following the extensive World Cup
redevelopment. The cost of servicing this debt is significant and does not allow sufficient free cash flow
to reduce debt or invest in major capital expenditure to continually upgrade the stadium and maintain it
6
as a world class facility and asset. This is one of the key issues on which the Trust is focussing in terms of
its future structure and governance.
With one fewer All Blacks test scheduled for next year and the clean stadium obligations of Cricket World
Cup (CWC) in February 2015, the Trust is budgeting a lower operating income and net operating profit
next year. The following year both of these items should increase with a greater number of scheduled
events.
Sponsors
The ongoing generous support of sponsors and other key partners is critical to the success of Eden Park.
We appreciate and thank our family of sponsors including ASB Bank, Lion Breweries, Panasonic, Pernod
Ricard, Philips, Spark and Vector. I would like to particularly thank the ASB Bank for their long term
sponsorship and support of Eden Park, which runs to 2022.
We also greatly appreciate the charitable donations received in the year from Four Winds Foundation,
Infinity Foundation, North and South Trust, NZ Community Trust, Southern Trust and Trillian Trust. These
contributions are essential to the successful operation of the Park.
Memberships
During the year we have completed a comprehensive review of the Trust’s membership programmes.
This has included surveys of current and past members to find out what is important to them and how
we can enhance the members’ experience at the Park. As a result we have a number of new initiatives
and members’ events planned, which are being rolled out for the FY2015 season. We are grateful to the
sporting codes for providing support for these new initiatives. We are also working closely with our
catering partners to introduce enhancements to food and beverage options. The Trust looks forward to
welcoming existing and new members to Eden Park for a range of exciting events in 2015.
I would like to thank Eden Park’s members for their support and contribution to Eden Park. Our suite
holders, corporate members and ground members are the foundation of our customer base. Not only
are they significant supporters on game days, many are frequent users of the facilities for other events as
well.
Local Community
EPT would like to thank the local community for their ongoing input into Eden Park’s operations. EPT’s
relationship with the local community is managed through regular meetings and communication with
the Community Liaison Group.
EPT has a strong relationship with the people of Ngati Whatua o Orakei. I would like to thank Ngati
Whatua for their ongoing relationship with Eden Park.
EPT recently hosted a Christmas barbecue to thank our neighbours for their support during the year.
Eden Park’s meeting and function rooms have also been made available to a wide range of community
groups throughout the year.
7
Future of Eden Park
To cement and ensure Eden Park’s future success, the Trust has lodged submissions to the Proposed
Auckland Unitary Plan (PAUP). The submissions cover two important areas for the Park.
Firstly, detailed submissions have been prepared covering the operating parameters and consents for
events at Eden Park. The objectives are to improve the economics of events for venue hirers and also to
allow the Park to host a wider range of events at different times.
The second component of the submissions seeks an underlying mixed use zone for the No. 2 field, facing
Sandringham Road. This will provide longer term flexibility for the Trust, in the event that Auckland
Cricket ever decides to relocate from this area.
All of the submissions are designed to provide increased flexibility in operating conditions and help
secure the long term viability of the Park, in line with the objects of the Trust Deed.
Conclusion
I would like to extend my sincere thanks to the staff and the Board for making 2014 another successful
year for Eden Park. I am confident that the Eden Park Management and Trustees will continue to
constructively work with all of its stakeholders to ensure Eden Park's long term sustainable position and
maintain its reputation as New Zealand's premier stadium.
John Waller Chairman, The Eden Park Trust
8
KEY EVENTS
SPORTING FIXTURES A summary of the major fixtures played on the Eden Park no. 1 ground during the year, the results and
the estimated attendances are detailed as follows:
DATE EVENT RESULT CROWD
Rugby Fixtures 2014
International
7 June 2014 (Sat) All Blacks v England All Blacks 20 – 15 47,200
23 August 2014 (Sat) All Blacks v Australia All Blacks 51 – 20 48,500
Super Rugby
28 February 2014 (Fri) Blues v Crusaders Blues 34 – 24 26,200
22 March 2014 (Sat) Blues v Cheetahs Blues 40 – 30 13,500
29 March 2014 (Sat) Blues v Highlanders Blues 30 – 12 16,700
25 April 2014 (Fri) Blues v Waratahs Blues 21 – 13 17,100
2 May 2014 (Fri) Blues v Reds Blues 44 – 14 14,100
31 May 2014 (Sat) Blues v Hurricanes Blues 37 – 24 16,300
11 July 2014 (Fri) Blues v Chiefs Chiefs 11 – 8 18,100
ITM Cup
31 August 2014 (Sun) Auckland v Tasman Draw 16 – 16 2,700
6 September 2014 (Sat) Auckland v Wellington Auckland 31 – 30 3,300
20 September 2014 (Sat) Auckland v North Harbour Auckland 32 – 7 4,200
2 October 2014 (Thurs) Auckland v Waikato Auckland 41 – 10 3,000
11 October 2014 (Sat) Auckland v Northland Auckland 60 – 19 3,900
Other Rugby
20 June 2014 (Fri) IRB Junior World Championship Finals England v South Africa
England 21 – 20 5,600
26 July 2014 (Sat) Auckland Rugby Club Finals University v Grammar TEC
University 29 – 26 2,200
Total Attendance for Rugby Fixtures
242,600
Cricket Fixtures 2013/14
International
26 December 2013 (Thu) Blackcaps v West Indies ODI WI 2 wickets 8,100
11 January 2014 (Sat) Blackcaps v West Indies Twenty20 Blackcaps 81 runs 11,800
25 January 2014 (Sat) Blackcaps v India ODI Tie Tie 28,600
6 – 10 February 2014 (Thu – Mon)
Blackcaps v India Test match Blackcaps 40 runs 32,400
HRV Cup
29 November 2013 (Fri) HRV Aces v Wellington Firebirds Firebirds 6 wickets 4,100
30 November 2014 (Sat) HRV Aces v Canterbury Wizards Aces 7 wickets 3,100
3 January 2014 (Fri) HRV Aces v Otago Volts Aces 74 runs 4,900
Total Attendance for Cricket Fixtures
93,000
(Continued on page 9).
9
(Continued from page 8) Football Fixtures for 2013/14 Season
1 February 2014 (Sat) Wellington Phoenix v Adelaide Phoenix 2 – 1 17,700
23 July 2014 (Wed) Wellington Phoenix v West Ham United Phoenix 2 – 1 19,200
Total Attendance for Football Fixtures
36,900
Rugby League Fixtures for 2014 Season
15 - 16 February 2014 (Sat - Sun)
Dick Smith NRL Nines Cowboys (Final) 16 – 7 90,800
15 March 2014 (Sat) Warriors v Dragons Dragons 31 – 12 14,400
13 April 2014 (Sun) Warriors v Bulldogs Bulldogs 21 – 20 22,200
10 May 2014 (Sat) Warriors v Raiders Warriors 54 – 12 14,000
Total Attendance for Rugby League Fixtures
141,400
Total Attendance for All Fixtures
513,900
FUNCTIONS
Eden Park hosts over 1,000 events and functions annually, ranging from small business meetings to
school balls, conferences, AGMs, gala dinners, award ceremonies, business exhibitions, sports related
events, weddings and other private functions.
Eden Park has high quality function spaces, excellent catering and technical support on site, together
with the unique nature of the stadium itself, available all year round.
10
FINANCIAL STATEMENTS
The audited financial statements for The Eden Park Trust for the twelve months ended 31 October 2014
are presented on pages 11 to 35.
NRL Nines, February 2014
39
DIRECTORY OF BOARD MEMBERS
Eden Park Trust Board Members Appointed By
Mr John Waller (Chairman) New Zealand Government Ms Michelle Boag New Zealand Government Mr Doug McKay New Zealand Government Mr Morris Pita New Zealand Government Mr Grant Carruthers Auckland Rugby Football Union Mr Ken Baguley Auckland Rugby Football Union Mr Rex Smith Auckland Cricket Association Mr Paul Lucas Auckland Cricket Association
Finance and Audit Committee
Mr Morris C Pita (Chairman) Mr Ken Baguley Mr Paul Lucas
BOARD MEMBER BIOGRAPHIES
John Waller
John Waller is Chairman of The Eden Park Trust. He was originally appointed in 2007 to the Eden Park
Redevelopment Board to oversee the redevelopment project for Rugby World Cup 2011. Mr Waller is
Chairman of the Bank of New Zealand and an independent director of a number of large companies,
including Fonterra Co-operative Group, National Australia Bank and Sky Television Network.
Ken Baguley
Ken Baguley is a qualified Chartered Accountant with 40 years’ experience in Chartered Accountancy,
specialising in IT services. Ken was elected a Life Member of the Auckland Rugby Union in December
2014 and was Chairman of Auckland Rugby from 2001 to 2010. He was an Auckland City Councillor and
Chairman of Transport Committee from 2007 to 2010. He is currently an Orakei Local Board Member –
Auckland Council. He is also a Life Trustee of The Halberg Trust and is a Trustee of the Auckland Rescue
Helicopter Trust. Ken holds RMA Making Good Decisions certification, valid until June 2019.
Michelle Boag
Michelle Boag has 30 years’ experience in government, consultancy and corporate public relations and is
currently a principal of Boag Allan SvG, a Strategic Communications Consultancy. She has an extensive
background in the not-for-profit sector, including as a current Trustee of the Auckland Rescue Helicopter
Trust and as a former President of Variety Club New Zealand. She has previously served on the boards of
the Auckland Cricket Association, Manu Samoa Rugby Limited, the Mt Smart Advisory Board, Television
New Zealand and the Auckland Surf Lifesaving Association.
40
Grant Carruthers
Grant Carruthers has been self employed as a company director since 2005 and is currently a director of
a number of private companies. He was previously employed in the forest industry for many years, both
within his own company and in senior roles with major companies, Carter Holt Harvey and NZ Forest
Products. He was also a Director of Auckland Rugby from 2001 to 2012 and was previously on the Eden
Park Board of Control.
Paul Lucas
From an initial accounting background, Paul Lucas has accumulated in excess of 35 years’ business
experience. He was the founder of the EDL Group of Companies, comprising a branch network
throughout Australia and NZ. Having sold the businesses, Mr Lucas has for the last nine years been a
company director, business consultant and investor in a range of private companies. Mr Lucas has
previously served on the board of the Auckland Cricket Association, 1996 – 2000 and in 2008 was co-
opted back to the board, serving as Deputy Chairman and a member of the finance committee until
standing down from the ACA board in 2014.
Doug McKay
Doug McKay brings considerable commercial experience to the board with previous roles as either CEO
or Managing Director at Procter and Gamble, Lion Nathan, Carter Holt Harvey, Goodman Fielder, Sealord
and was the inaugural CEO of Auckland Council. He is now a full time professional director on the boards
of Chartered Accountants Australia and New Zealand, Bank of New Zealand, IAG Insurance, Genesis
Energy, Ryman Healthcare, and is a member of the Institute of Directors in New Zealand.
Morris Pita
Morris Pita has worked in New Zealand and in the United Kingdom in a range of commercial, strategic
and project management roles for Mighty River Power, BG Group and Ernst & Young. Mr Pita has an
MBA from the University of Oxford, in addition to a Master of Laws and a Bachelor of Arts from the
University of Auckland. He operates a boutique consultancy business, Shea Pita & Associates, advising
organisations working in Maori economic development, particularly in the energy sector. He is also a
member of the Auckland and Waitemata District Health Boards.
Rex Smith
Rex Smith has more than 40 years’ experience in property negotiation specialising in the central and local
government sectors. He currently operates his own property consultancy business. Mr Smith holds a
post graduate degree in Political Studies from the University of Auckland. A former member of the Eden
Park Board of Control, he is the current Chairman of the Auckland Cricket Association.
SENIOR EXECUTIVES
Senior executives of the Trust are:
David Kennedy (Chief Executive Officer)
Steve Donaghy (General Manager, Operations and Infrastructure)
Adrienne Bonell (General Manager, Sales and Marketing)
Brett Winstanley (Chief Financial Officer)