wider community both in and beyond the classroom. ‘
How strong is the College’s Balance Sheet? The College does have a strong balance sheet. However, at 31 July 2016 £48 million of this represented capitalised building works on the campus and other assets that cannot be realised. There were realisable endowment assets of £24 million but these need to cover the net debt and pension deficit which totalled £16 million.
will continue over the period of the College’s Strategic Development Plan, including the Masterplan for the site. It is therefore very important that the fundraising continues to be successful if the College’s ambitions are to be achieved without taking funds away from other activities or provisions that the College would normally expect to fund from its annual income. And finally a VERY BIG thank you. The £1.8 million raised for our charitable purposes in 2015-16 reflects the generosity of many of you, our valued benefactors. An impressive 962 donors contributed to projects such as The Laboratory and bursaries with participation from Old Alleynians, Trust and Foundations sources, and the Dulwich Community including staff, current pupils and parents. Continuing to grow our voluntary income year on year is key to helping further our Founder’s mission and achieving our future ambitions. Together with your support we can go on offering the best education to our pupils and securing the College’s reputation as one of the leading boys’ schools in the world.
The total cost of the immediate priority projects in the Masterplan is currently estimated at £19.2 million which includes £10.7 million for the internal refurbishment of the Barry Buildings. How will the works to the Barry Buildings and other projects in the Masterplan be financed? The Barry Buildings project is to be funded by borrowing £3.9m from the College’s endowment and by fundraising. The balance will be funded from operational cash flows and/or borrowing from the banks if necessary. Why can’t we use more of our capital such as the College’s endowment? Governors are cognisant of their responsibility towards future generations of Alleynians and are reluctant to use the endowment to help fund the Masterplan or the ‘New Dulwich Experiment’ and would wish to borrow from it only to a limited extent. Any borrowing, either from the endowment or from the banks will ultimately have to be funded from annual surpluses so there is inevitably going to be pressure on the College’s finances over the coming years. Governors have to ensure that any borrowing is affordable and that the College’s finances are secure over the long term. The other approved major projects are to be funded by fundraising and from operational cash flows.
£24m
£57m
As of 31 July 2016
£7m
(£15m)
£49m
(£8m)
Realisable endowment investments Cash Loans (Debt) Other non-realisable net assets Pension deficit liability Total net assets What is the bottom line? We need your support whether as a new donor, or as one of our already loyal supporters. Whilst financially strong, the College operates on relatively small margins. This position
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