Financial Update from the Treasurer

July 2008

Dear Members – 

We have created a financial button on the members portion of the website to provide us the opportunity to share financial information with you.

The significant happenings this year include:

1.     The paying off of the more than $1 million mortgage with an interest rate over 7.5%;

2.     The passing by the membership to payoff the mortgage through an assessment over 4 years;

3.     The negotiation of a very favorable $800,000 loan with an interest rate of 4.51%;

4.     Due to significant number of members deciding to pay the assessment in full, we reduced the principal amount on the $800,000 loan by $146,171.

Due to the above actions we will save the club over $300,000 in interest costs.

I have included the most recent income statement and capital-spending exhibit.  We remain ahead of budget and ahead of last year on the operating side.  However, the number of rainy weekends and nights we have had has had a dampening impact on the financial income for food and beverage.  I cannot stress enough that dining at the club regardless of the weather has a significant effect on meeting our budget for the year. 

On the capital budget side, we are well within budget for the year. 

The Finance Committee has been active on a number of fronts including evaluating our health plan options and working with management on enhancing our processes to insure member dollars are well spent.