Page 14 - KGFC | SPECIAL GENERAL MEETING_ INFORMATION PACK

SPECIAL GENERAL MEETING

FINANCIAL UPDATE 2020 - 2022

FUTURE CONCERNS

The Covid 19 Pandemic is something we now all have to live with, it is not going away any time soon and we
must adapt alongside it. As Management Council, we outline our future concerns.

• Projected budgets outline losses of -€257,500 in 2021 and continued losses of -€161,500 in 2022.

• The threat of further lock downs is very real and if it was to occur, it would have a further negative
impact on the Golf Club for the remainder of 2020 and into 2021 & 2022.

• Our monthly payroll, utility costs and outlays are significant, particularly when we have reduced income
during the winter period. This requires ongoing monitoring and review.

• Despite being down significantly on turnover, we do not meet the current criteria to qualify for the
Government Employee Wage Subsidy Scheme (EWSS).

• Overseas bookings remain fragile. We are overly reliant on international guests and in their absence we
experience financial shortfalls. We envisage this negative impact will continue throughout 2021 and

possibly into 2022.

• Business focus shifts to the Domestic Market for 2021 & 2022.

• The continuation of our goals and ambitions as set out in our Five Year Vision presented at the 2019
AGM.

OTHER SIGNIFICANT CONCERNS

• Aged Golf Course machinery fleet. Costs of repairs no longer economically viable. This poses a credible
risk to the quality of the golf courses.

• Aged Clubhouse, requires repairs in many areas to ensure its operational capacity is to an approved
standard.

• The Lagoon requires significant repair to ensure its operational capacity is to an approved standard.

• The Car Park requires significant repair to ensure its operational capacity is to an approved standard.

• The Golf Academy & Driving Range at Lackabane requires significant investment to ensure its
operations can continue.

• The Golf Course at Mahony’s Point requires significant development to enhance its reputation and
standards. This will allow for greater positioning in the domestic and international markets.

SPECIAL GENERAL MEETING INFORMATION PACK | SEPTEMBER 2020 14