States of Jersey Development Company: Annual General Meeting: Voting instructions and presentation of accounts to the States

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A decision made 16 April 2012:

Decision Reference: MD-TR-2012-0040
Decision Summary Title:	SoJDC AGM voting instructions and presentation of accounts to the States		Date of Decision Summary:	11 April 2012
Decision Summary Author:	Head of Decision Support		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	N/A
Written Report Title:	SoJDC AGM voting instructions and presentation of accounts to the States		Date of Written Report:	11 April 2012
Written Report Author:	Business Manager		Written Report : Public or Exempt?	Public
Subject: States of Jersey Development Company Annual General Meeting voting instructions and presentation of accounts to the States.
Decision(s): The Minister instructed the Greffier of the States and the Treasurer of the States to vote in favour of the resolution to be put before the Annual General Meeting of the States of Jersey Development Company (SoJDC) on 20 April 2012. The Minister decided to send the SoJDC accounts to the Greffier of the States following their reception at the AGM and request that they be presented to the States after 20 April 2012.
Reason(s) for Decision: To fulfil the States’ role as shareholder of the SOJDC by exercising voting rights at the Annual General Meeting and to inform the States of SoJDC’s financial results.
Resource Implications: None.
Action required: The Greffier of the States and the Treasurer of the States to be instructed to vote in favour of the resolution. Greffier of the States to be requested to present the Accounts of SoJDC following their reception at the AGM and requested to arrange for their presentation to the States after 20 April 2012.
Signature:		Position: Senator P F C Ozouf, Minister for Treasury and Resources
Date Signed:		Date of Decision:

States of Jersey Development Company: Annual General Meeting: Voting instructions and presentation of accounts to the States

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Treasury and Resources

Ministerial Decision Report

STATES OF JERSEY DEVELOPMENT COMPANY Annual General Meeting voting instructions and presentation of accounts to the States

Purpose of Report

To enable the Minister for Treasury and Resources to vote in favour of the resolutions to be put before the Annual General Meeting of the States of Jersey Development Company on 20 April 2012 and present the accounts to the States.

Background

On 13 October 2010 the States Assembly approved the establishment of the States of Jersey Development Company (SoJDC), the successor to the Waterfront Enterprise Board Limited. The new company, with revised remit, came into effect on June 2011 following adoption by the States Assembly of P32/2011 appointing a new board of Non-executive Directors.

As at 31 December 2011 the Company’s authorised share capital is £20million of which 19,999,999 are held by the Greffier of the States on behalf of the States of Jersey and 1 share by the Treasurer of the States.

SoJDC gave notice on 16 March 2012 that the Company will be holding its Annual General Meeting on 20 April 2012. The business is as follows:

That the auditors that are recommended for appointment by the Audit Committee as a result of the tendering process currently being undertaken are appointed auditors of the Company to hold office until the conclusion of the next general meeting at which the accounts are laid before the Company and that their remuneration be determined by the directors.
To receive the annual Remuneration Report of the Remuneration Committee and approve the remuneration report.
To receive the report of the directors, annual review and the financial statements for the year ended 31 December 2011 together with the report of the auditors and approve the reports and the financial statements.

Summary of SoJDC financial performance

The Company generated a retained profit of £815,331 (2010: £2,076,467) for the financial year ended 31 December 2011. Income from SoJDC’s estate comprising car park receipts, rental income and other income increased by 15% to £1,001,115 (2010: £869,271). However this was offset by a significant reduction in proceeds from disposals of land and assets. The 2011 retained profit does compare favourably with that declared in 2009 of £530,059.

Cash at bank decreased to £6,134,209 (2010: £7,242,739). These funds will be required in 2012 and 2013 to meet pre-development expenses of the Company’s development projects.

The Group, being the Company and its subsidiaries, manages an asset base of £42,468,219 which is an increase of £854,331 on the previous financial year.

The Group’s current asset investments are carried at the lower of cost and net realisable value with cost being the market value at the date of the original acquisition plus subsequent expenditure incurred. As at 31 December 2011 these totalled £24,627,142 (2010: £22,977,019). The open market value of these current asset investments based on third party valuations, where available, at 31 December 2010 totalled £71,000,000.

Recommendations

The Minister is recommended to instruct the Greffier of the States and the Treasurer of the States to vote in favour of the resolution to be put before the Annual General Meeting of the States of Jersey Development Company (SoJDC) on 20 April 2012.

The Minister is further recommended to send the SoJDC accounts to the Greffier of the States following their reception at the AGM and request that they be presented before the States after 20 April 2012.

Reason for Decision

To fulfil the States’ role as shareholder of the SOJDC by exercising voting rights at the Annual General Meeting and to inform the States of SoJDC’s financial results.

Resource Implications

None.

Report author : Business Manager	Document date : 11/04/2012
Quality Assurance / Review : Head of Decision Support	File name and path: l:\treasury\sections\corporate finance\ministerial decisions\dss, wrs and sds\2010-0057 - 2010 web agm voting instructions - kh\wr - 2010 web agm voting instructions - kh.doc
MD sponsor : Treasurer of the States