ANNUAL REPORT 2017 “Whatu ngarongaro te tangata, toi tu te whenua”

"The land remains even when man disappears"

SATURDAY 25 NOVEMBER

Annual General Meeting

Registrations from 9.00 am with meeting commencing 10.00 am

Ngakonui Valley Hall

www.teurangab2.co.nz

Whakataka te Hau ki te uru Whakataka te Hau ki te Tonga

Kia makinakina i Uta Kia mataratara i Tai

Kia hii ake ana te Ata-kura He tio, he huka, He Hauhunga

Tihei Mauri Ora

Ka mihi ki te hunga kua okioki i runga i ngaa marae maha. Haere i te ata haapara,

haere e koro maa, e kui maa,

haere ki te ukaipoo.

Tenei te tuku mihi atu ki a taatou ngaa kanohi ora o ngaa tuupuna, te whakatupuranga i waihotia hei whakatutuku i ngaa wawata o raatou maa.

Kia a koutou e noho mai na i oo taatou papanekehanga, Teenaa koutou katoa.

Contents 1. Directory 1

2. Te Uranga B2 Incorporation Profile 2

3. Directions 4

4. Agenda 5

5. Te Uranga B2 Inc AGM Minutes 26 November 2016 6

6. Attendance Register 2016 18

7. Apologies Register 2016 24

8. Committee of Management Reports 26

9. Land Use Map 32

10. Farm Consultant's Report 33

11. Financial Statements 2017 40

12. Indicative Share Valuation 67

13. Maori Land Court Contact Details 68

DIRECTORY Address 60 – 149 Ngakonui Ongarue Road Taumarunui

Committee of Management Derek Kotuku Wooster - Chairman Richard Burgess Jonathon Kilgour Andrew Martin Donna Tuwhangai

Upoko Rod Walker - Manager Casey Chadwick Andrew Preston

Koromiko Shannon and Luke Pepper, 50/50 Sharemilkers

Paatara Dean Marshall, 50/50 Sharemilker

Accountant PEAK Chartered Accountants

Farm Advisor Ag First

Solicitors Ferguson, Bhullar and Scott

Bank Bank of New Zealand

Office C/- PEAK Chartered Accountants, P O Box 384, 37 Miriama Street, Taumarunui

Telephone +64 7 895 3013

Website www.teurangab2.co.nz

Facebook Te Uranga B2 Incorporation Tax Entity Maori Authority Land Status Maori Freehold Land

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TE URANGA B2 INCORPORATION - TAUMARUNUI The Incorporation was formed in 1910 and its landholding totalling 2,186 hectares (5,400 acres) is in the Mangakahu Valley straddling the northern, eastern and southern slopes of Hikurangi. The original 49 owners are listed as: Ani Te Huia, Kino Te Omeka, Kiingi Ngamihi, Kahutaua Kingi, Kura Tupu, Kiingi Te Omeka, Kameta Herea, Kiwikiwi Tupu, Mene Ngatai, Matetu Ngawaka, Mihimamao Ngawaka, Ngarongo Te Huia, Ngamihi Ngarotata, Ngahuinga Te Omeka, Ngawaka Kiingi, Ngarotata Nuitone, Ngmata Te Omeka, Ngahuirua Tuawaerenga, Ngaraukura Hakopa, Pokorua Ngamihi, Rangitaiapo Te Hihi, Tairaukura Te Huia, Tuwawaerenga Ngawaka, Taera Te Huia, Titia Tupu, Tame Kiingi, Tukotahi Hautapu, Taumoana Te Rangi, Te Aniani Matena, Te Wharangi Ngamihi, Te Huia Kiingi, Te Omeka Kiingi, Te Aritahi Omeka, Te Koea Omeka, Te Kou Ngawaka, Te Houpapa Te Uru, Te Hihi Rangawhenua, Te Raiherea Te Matiu, Te Hakireme Te Omeka, Te Waimato Tupu, Te Hiahia Taera, Te Wera Te Omeka, Te Arahori Ngawaka, Te Ata Rangiuia, Te Reme Te Huia, Te Whare Te Huia, Te Puea Ngarotata, Wiki Te Haurangi, Waitarere Hoani.

Koromiko Dairy Farm

In 1997/8 approximately 200 ha was converted from sheep and beef use to the Koromiko Dairy Farm. Wrightson’s Finance lent the Incorporation $1.3 m to establish the dairy that initially supplied milk to KIWI Co-op, then to FONTERRA and now MIRAKA. Sharemilkers: Luke and Shannon Pepper + 3 fulltime staff Arrangement: 3 year 50/50 sharemilking contract from June 2015 – May 2018 Area: Milking Platform - 219 hectares (542 acres) System: • Milking through a 40 a side herringbone shed • Number of milking cows – 580 • Breed of cow – Holstein-Friesian crossed with Jersey – very good milk-solids

production, conception and calving rates. • Grass based system with minimal supplement imported • Milksolids Produced – 195,000kg MS

Upoko Sheep and Beef Farm Manager: Rodney Walker Staff: Casey Chadwick, AJ Preston Area: 1,153 hectares (2,855 acres) Livestock: • 280 Angus breeding cows – good mothers, good hill country animal.

100 Trading steers. 150 heifers, 250 weaner cattle • 5,000 mixed-age ewes – Romney/Coopworth based breed – high

lambing %, ex. meat, 1,600 replacement hoggets. • Grazing – 120 heifers and 250 winter cows from the dairy units Producing: • Steers – 325 kilograms carcass at 29 months • Heifers – 270kg carcass at 26 months • Lambs – Target 5,500 sold each year at 17.5kg carcass

Total production of 277,000kg of meat and fibre

Paatara Dairy Farm Paatara was part of the original block but was partitioned out by Kahumako Utiku and Mika Te Rehu in 1958. The present dairy farm was established by Glenn Hallett and is a recent Incorporation purchase. It supplies milk to MIRAKA. Sharemilkers: Dean Marshall + 1 fulltime staff Arrangement: 3 year 50/50 sharemilking contract from June 2015 – May 2018 Area: Milking Platform - 132 hectares (326 acres) System:

• Milking through a 30 a side herringbone shed • Number of milking cows – 360 • Breed of cow – Holstein-Friesian crossed with Jersey – very good milk-

solids production, conception and calving rates. • Grass based system with minimal supplement imported • Milksolids Produced – 125,000kg MS

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Nga Whenua Rahui

• 123 hectares (305 acres) regenerating native forest • Kawenata expires 2019 • Owners have access to harvest native plants for cultural and

spiritual purpose. E.g. rongoa Maori

Forestry Right – with Hancocks

• 556 hectares (1373 acres) Pinus Radiata planted in 1997 for 1 rotation only.

• Right holder required to replant in pine for Inc. ownership. • 2017 Royalty paid $209123

Wood Lots (owned by Inc) • 37 hectares (92 acres) of pinus radiata of varying ages.

Balanced Investment Portfolio • As at September 2017 fund is $558,707 • Managed by Craig’s Investment Partners

Te Wharepapa Wetland

• 3.32ha (8 acres) established 2001 Manuka Plantings

• In 2017 approximately 20 ha of roadside and Class 6&7 planted in CVT4 Manuka seedlings

Te Uranga B2 Inc. 2017 Financial Year Combined Income

• Combined Income: $2,511,477 (2010 - $1,745,661.00)

• Net Assets: $ 21,707,578 (2010 -$19.799,857)

Te Uranga B2 Inc. 2010 Owner Benefits • Tangihanga Grant • Kaumatua Grant • Dividend to Owners • Ngakonui School Sponsorship • Education Grants

Committee of Management Richard Burgess Jonathon Kilgour Andrew Martin Donna Tuwhangai Derek Wooster (Chairman)

Office of Te Uranga B2 Inc. PEAK Chartered Accountants Ltd 37 Miriama Street, PO Box 384 Taumarunui 3920 (07) 895 3013

Farm Consultant Darren McNae AgFirst, PO Box 976, Rotorua Blackman Spargo Building, Level 2, 24 Froude St, Rotorua P 07 349 4333

Registered Office PEAK Chartered Accountants Ltd PO Box 384, Taumarunui 3946 / P 07 895 3013 Peter Topham (Accountant) Carla Benefield (Administrator) Evelynne Keenan (Share Register Liaison)

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TE URANGA B2 INCORPORATION ANNUAL MEETING OF OWNERS Saturday 25 November 2017

ANNUAL GENERAL MEETING

09.00 am Ngakonui Hall – Registrations and cup of tea

10.00 am Meeting commences

AGENDA 1. Karakia

2. Apologies

3. Proxies

4. Minutes of the Annual General Meeting 26 November 2016

5. Chairman and Committee of Management reports

6. Farm report

7. Receive and approve Financial Statements

8. Appoint an Auditor

9. Appoint a Share Valuer

10. Confirm Committee of Management Remuneration

Resolution:

“To confirm the existing Committee of Management Remuneration”.

11. Resolution:

“To accept the recommendation of the Committee of Management that

a dividend of $13.00 per share be paid on Wednesday 13 December

2017”.

12. Resolution:

“That a grant of $250 is available to those owners or persons, who

have registered, aged 65 years and over and who have a life interest

in Te Uranga B2 Incorporation and are listed in the current share

register to be paid Thursday 14 December 2017”.

13. Elections:

Two people to fill vacancies on the Committee of Management:

Derek Wooster and Richard Burgess retire by rotation.

Both Derek Wooster and Richard Burgess are available for re-

election.

14. General business

12.00 NOON- MEETING CONCLUDES FOLLOWED BY LUNCH

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MINUTES OF THE ANNUAL GENERAL MEETING OF OWNERS FOR THE PROPRIETORS OF TE URANGA B2 INCORPORATION, HELD AT THE NGAKONUI VALLEY HALL, TAUMARUNUI-NGAPUKE ROAD, NGAKONUI, TAUMARUNUI ON SATURDAY 25 NOVEMBER 2016 COMMENCING AT 12.00 pm.

Shareholders had been invited to visit the farms this morning prior to the Annual General Meeting.

Present: Committee of Management Derek Wooster (Chairman) Richard Burgess Jonathon Kilgour Andrew Martin Donna Tuwhangai (Associate Member) Owners As per attendance register circulated Also Present Darren McNae Farm Consultant, AgFirst Consultants Carla Benefield Minute recorder, Balance Chartered Accountants

(BCA) Peter Topham Accountant BCA John Goldsworthy Accountant BCA Evelynne Keenan Shareholder Administration BCA Mihi Karakia: John Wi Welcome: Chairman welcomed the owners and guests, particularly those who were

first time attendees, to the meeting and thanked those who participated in the farm visit. The CoM and support team were introduced with Rangimoeke Houpapa introducing her two international visitors.

Apologies: As per apologies register circulated, including the following registered at

the meeting: Vonda Houpapa Resolution: Derek Wooster / John Wi “That the apologies be accepted” CARRIED UNANIMOUSLY Apologies from Proxies: Vonda Houpapa, Garry Houpapa, Josephine M Graham-Wairua,

Rangimarie Kingi, Anna Jan Morris, Diana Ngamihi Ward, John Etana, Yvonne Karewai Knapp, Lance Houpapa, Thomas Tame Kingi, Malcolm Thackray, Kahu Etana, Jennifer Te Aorangi Stevens, Helen Searle, Myrtle Gilbertson, Maree Cassidy

Resolution: Derek Wooster / Alan Cockle “That those shareholders who appointed a proxy be acknowledged as

apologies”. CARRIED UNANIMOUSLY Proxies: Owner: 3890 Vonda Houpapa Proxy: Traci Houpapa or Melleny Houpapa Owner: 3130 Garry Houpapa Proxy: Traci Houpapa or Melleny Houpapa

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Owner: 10827 Josephine Graham-Wairua Proxy: Pamela Wooster Owner: 1930 Rangimarie Kingi Proxy: Carla Benefield Owner: 52290 Anna Jan Morris Proxy: Pamela Wooster or Carla Benefield Owner: 52287 Diana Ngamihi Ward Proxy: Pamela Wooster or Carla Benefield Owner: 3230 John Etana Proxy: Lillian Roberts Owner: 3680 Yvonne Karewai Knapp Proxy: Carla Benefield or Melleny Houpapa Owner: 52285 Pamela Wooster Proxy: Carla Benefield Owner: 3960 Lance Houpapa Proxy: Mannix Houpapa Owner: 4390 Thomas Tame Kingi Proxy: Wilson Wirihana Kamaru Owner: Malcolm Thackray Proxy: Paul Thackray or Sheena Thackray Owner: 3210 Kahu Etana Proxy: Lillian Roberts Owner: 52288 Jennifer TeAorangi Stevens Proxy: Pamela Wooster or Carla Benefield Owner: 52289 Helen Searle Proxy: Pamela Wooster or Carla Benefield Owner: 52992 Myrtle Gilbertson Proxy: Evelynne Keenan Owner: 7260 Maree Cassidy Proxy: Anne Anderson Resolution: Derek Wooster / Alan Cockle “That the proxies be accepted”

CARRIED UNANIMOUSLY Elections: Chairman, explained that there is one vacancy on the Committee of

Management as Vonda Houpapa is retiring by rotation and not available for re-election. There are a total of four nominations for two vacancies outlined below by last name in alphabetical order.

Lee Hall Joanne Matana Traci Houpapa Donna Tuwhangai

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Candidate’s presentations: Candidates were invited to address the meeting: Lee Hall introduced himself, explained his passion for the shearing

industry and hunting. Lee also has a passion for youth training and getting youth into the shearing industry.

Lee wants to bring people back to the whenua and feels it is time for whanau to step up.

Traci Houpapa introduced herself, stating how pleased she is to be here

as this meeting is like a reunion. Traci stated that since the Incorporation inception there has always been a Houpapa on the CoM and affirms that whether or not she is voted on today she remains committed to the Incorporation. Traci talked about succession and how important it is to encourage the next generation to stand for the CoM and how this is a challenge for the current CoM.

Joanne Matana Introduced herself thanking the owners for the

opportunity to stand. Joanne is wanting to learn more and encourages whanau to look after their land. Joanne is an administrator and has three clients and wants to see jobs back to the whanau.

Donna Tuwhangai introduced herself and explained that she has three

passions; education, people and whenua. The past three years as an associate member has given her the opportunity to learn and she would now like to continue to use this knowledge.

Congratulations from Chairman on presentations. Election Process: Chairman explained the options for the voting process and that the

meeting now needs to decide on the process for voting whether, this be by poll vote or a show of hands. A poll vote requires the agreement of five shareholders.

Lee Hall asked if the poll vote process is for today and could the meeting

decide to vote by a show of hands, with the Chairman replying that the voting process for today is a decision to be made by the shareholders.

Discussion followed about the voting system, with comment about how

poll voting benefits owners with a large shareholding while the owners with smaller shareholdings feel the system is unfair and they would be better represented by a show of hands voting process.

It was suggested by Lee Hall that the floor seems strong about wanting

a show of hands and to change this an application would need to be made to change the constitution.

Alan Cockle asked if the Incorporation has a Constitution with the

Chairman explaining that the Constitution for Maori Incorporations forms part of the Te Ture Whenua Act, and this is what Te Uranga B2 Inc follows. Any amendments to this are filed by way of a special resolution to the owners and if agreed to by meeting, filed with the Maori Land Court for approval.

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Melleny Houpapa suggests that the meeting vote today with the unsuccessful candidates being invited to become Associate Members on the CoM.

Debate and discussion continued with Traci Houpapa asking the owners

to move to the voting as the voting system for today will be decided by the owners, and points out there will be five owners in the room who will support the call for a poll vote.

Chairman asked for an indication on voting process and eight shareholders called for a poll

vote. Resolution: John Wi / Hine Rei “That the voting for the committee of management election process be

conducted by poll vote”. CARRIED

Appointment of Scrutineers: It was agreed that Balance Chartered Accountants would be appointed

as scrutineers for the voting process. Resolution: Derek Wooster / John Wi “That the recommendation by Committee of Management that the

Scrutineers for election be Evelynne Keenan and John Goldsworthy of Balance Chartered Accountants”.

CARRIED UNANIMOUSLY

The Chairman then announced that voting could proceed. Votes were

collected by Balance CA staff. Chairman advised that results would be announced after luncheon.

Minutes of the Previous Meeting: Resolution: Derek Wooster / Hine Rei “That the minutes of the Annual General Meeting of Te Uranga B2

Incorporation held Saturday 28 November 2015 are accepted as a true and correct record of proceedings.”

CARRIED UNANIMOUSLY Matters Arising: Traci Houpapa: Asked that the Election results be included in the minutes to give a formal record. Noted 2014 attendance / apologies included in report book.

(Note: This had been realized prior to the meeting and 2015 attendance / apologies registers where handed to owners at the meeting).

Acknowledged minute taker for the professional matter in which the elections presentations were noted last year. Requested an update on proposal presented by Kaitupeka Marae at 2015 AGM and asked that this be reported six monthly to owners in the incorporation panui.

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Committee of Management Reports Chairman’s Report presented by Derek Wooster: Strong and diversified business. Consistency of profitability. Industry regulations and government legislation. Whenua and whanau connections – postal voting. Te Uranga B2 Strategic Plan – Production land, Productive people. Pine make way for manuka. Website upgrade. Investment Report presented by Richard Burgess:

Investment plan has returned 14.94% since inception. Managed by Craig Investment Partners.

Reduce exposure to risk by spreading investments. Policy / Procedure / legislation presented by Jonathon Kilgour:

Exceeded business plan of 20% of net profits to shareholders. Seeking further direction on Education Grants. Values Survey. Policies and procedures manual.

Te Ture Whenua Act review continues. Matters Arising: Joanne Matana supports education grants to whanau. Ian Houpapa suggests that whanau be trained to construct beehives,

and in beekeeping bringing back 100% profit to Incorporation. Resolution: Traci Houpapa / “That the Incorporation continue with annual funding to Ngakonui Valley

School and consider education grants in addition to this”. Lost as no seconder for resolution

Theresa Hall thanked the Incorporation for the financial support they had

provided her in the past as she was able to report back to owners at the AGM on her nursing training.

There was further discussion about the financial needs of students and

how grants can assist with this. There were also the concerns about the funding to Ngakonui School and who this benefits, with the same reply from CoM about the importance of having a local school when attracting staff.

Jonathon acknowledges Traci Houpapa for work with Te Ture Whenua

Act review. Environmental Report presented by Andrew Martin: Locally, regionally and nationally recognized as a leader in

environmental good practice. Sustainable Land Use Initiative (SLUI). Whole Farm Plan (WFP). Strong working relationship with Horizons. 77% of Incorporation streams have been retired and planted. Work to be completed has been programmed according to priority. Andrew acknowledged Vonda Houpapa for her work and commitment to

the Environmental Portfolio.

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Traci Houpapa wants to acknowledge Vonda in her absence explaining her reasons for not being in attendance today.

Traci Houpapa wants an understanding and commitment from CoM that

sustainability continues with the Chairman asking why would it not continue?

Traci is concerned and wants it recorded in the minutes that the CoM support sustainability. Chairman confirmed that the CoM will support sustainability.

Associate Member presented by Donna Tuwhangai: Encouraging young workers and supporting them to undertake study.

Involved in collating policy and procedures manual. Supporting ongoing environmental projects.

Acknowledged Vonda Houpapa, her passion and commitment to the environment and that if Donna is successful in the election today she will be championing Vonda’s cause.

Acknowledgements: Derek Wooster acknowledged Vonda Houpapa and Lucy Marshall Like every year the list is numerous but at the top of this year’s thank

you list is departing Committee of Management member Vonda Houpapa. Like Donna implies, Vonda is tenacious, stoic, steadfast and at times hard to shift but always had the life of our whenua and shareholders at heart. When I offered her the environmental portfolio back in the early 90s she took to it like a duck to water and we never could find a pond big enough! During Vonda’s 28 years on the Committee of Management I recall Vonda being absent from one meeting, now you can’t call that anything less than absolute commitment. So, Vonda on behalf of your colleagues, the people you served with passion and those you worked alongside may I thank you most sincerely for letting you be part of our lives.

And just a few weeks ago after a brave battle Lucy Marshall passed

away. Dean and Lucy Marshall have been 50/50 sharemilkers for Te Uranga B2 Inc. starting on Koromiko then taking over Paatara when the Inc. purchased the dairy farm in 2006. I clearly remember the day I first met Lucy at Wharepapa South where Dean and Lucy were previously sharemilking. It was a fine day and we, the CoM who were there to entice the Marshalls to Taumarunui to milk for us, were greeted with cake and tea. What impressed me was the large porcelain teapot, for me a sign of generosity, hospitality, and a darn good cook! This we experienced here, at every AGM lunch where Lucy made sure the local lamb was as we liked it and to top it all off – Russian Fudge. Mountains of it for us to nibble on our way home.

To Dean, William, Rosie and Emma -

Ki te rongo I te mahana o te iwi Feel the warmth of the people.

Kia kaha Be Strong.

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Traci Houpapa asked for acknowledgement of Mere McGee and all of those who have passed and the meeting observed a moment of silence.

Resolution: Derek Wooster / Pamela Wooster “That the Committee Reports for 2016 are noted and accepted”.

CARRIED UNANIMOUSLY

Farm Report presented by Darren McNae:

Key Points: Climatically

The year the weather forecasters got it wrong with no major drought.

Pasture Production Entered winter in best shape ever with feed and stock.

Product Prices Significant reduction in dairy pay-out (lowest since 2003).

Market Prices

Diversification is the key. Lamb holding similar to last year. Sheep downward trend. Beef still strong by historical standards. Dairy – already out of date!

Bottom line will be positive if focus remains on cost effective production.

Upoko: Background

Continues improvement pathway. System is under constant review.

Focus remains on improving breeding performance - with a record equalling sheep scan result for the second year in a row! Koromiko and Paatara: Background

Reduced pay-out = less feed imported. Less PKE – under review overall.

Koromiko system - changes last year. Paatara performing well. Production slightly down overall.

Dairy summary

3.4 million litres of milk. Been a tough two years for dairy but there is light at the end of the tunnel. Focus on profit rather than production. Effluent remains the major spend in 2016. Nutrient losses remain below industry average (benchmarked – Miraka).

Outlook for coming year:

Focus – improving profitability, sustainability and resilience. All of this while minimising the footprint.

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Matters Arising: Traci Houpapa asked: What plans are there with with staff to meet targets with Darren answering: Upoko will concentrate on soil fertility and growing grass, farming efficiently and increasing lambing percentage.

Dairy farms aiming for grass fed systems rather than buying in food.

Why are the dairy farms still using Palm Kernel (PK) when it has known impacts and does not align with the tikanga of Te Uranga, and that there are other farms who have ceased usage with Darren answering: The use of PK is under review as to what can replace this and how and moving forward looking at infrastructure.

When is the effluent pond being constructed as this seems to be ongoing? with Darren answering:

This will be constructed this summer. Resolution: Traci Houpapa / Melleny Houpapa “That the Te Uranga B2 Incorporation Farm Report for 2016 is noted and

accepted.” CARRIED UNANIMOUSLY

Financial Report: Presented by Peter Topham Peter explained the changes in the reporting framework. Audit process has been completed. Presented auditors written confirmation the financial statements are true and fair. Highlights:

Net after-tax profit up $62k (19%) despite the dairy challenges. Overhead expenses down $90k. Net asset value increased by $368k.

Debt reduced by $35k. The benefits of income diversification showing. Distributions to owners consistent at $12 per share.

Focus for 2016 / 2017 Continued focus on productivity and value for expenditures.

Debt reduction continues, build shareholder wealth. Investing for the future – assess opportunities.

Matters Arising: Traci Houpapa asked: What would you do if it was your business? with Peter answering:

The Incorporation has a very low debt / equity ratio so would look to leverage the balance sheet further to take up opportunities.

Is there anything that you know that the owners don’t? with Peter

answering:

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The reports are transparent, independently validated and provide accurate information on what has happened and that he supports CoM in planning for future opportunities.

Traci Houpapa asked Richard Burgess how he thinks things are going,

with Richard answering: He has always seen the potential for Te Uranga. The reality is that the year will be what it is.

The Incorporation is in a good position and could just about do anything and encourages being proactive, rather than waiting for change.

What opportunities are there for the CoM to become involved in with

Richard answering: The CoM need to be aware of opportunities and take them up. Resolutions: Traci Houpapa / Pamela Wooster

“That the Te Uranga B2 Incorporation Financial Report for 2016 is noted and accepted; and

That Spooner, Hood & Redpath Ltd are re-appointed as the Auditor.

That Balance Chartered Accountants be appointed Share Valuer”.

CARRIED UNANIMOUSLY

Dividend: Resolutions: Traci Houpapa / Rona Cockle “That the AGM accepts the recommendation of the Committee of

Management that a dividend of $12 per share be paid on Monday 12 December 2016.”

“That a grant of $250 is available upon application to those owners or

person aged 65 years and over and who have a life interest in Te Uranga B2 Incorporation and are listed in the current share register

to be paid 16 December 2016. CARRIED UNANIMOUSLY

General Business: Special Resolutions on Postal Voting: Derek Wooster presented the background and reasons for the Special Resolutions: As expressed in my Chairman’s report Postal Voting is all about

encouraging and engaging more shareholders to become involved in the process of appointing people to govern the affairs of Te Uranga B2. And to encourage shareholders to connect with their land.

The resolutions proposed by the Committee of Management are to allow shareholders who would like to attend meetings but are unable because they may live some distance from Taumarunui – Auckland, Wellington or overseas – because they must work, or have health issues, a clash of dates even – Maraeroa C has its AGM today – unveilings, tangi, kids sport the list is endless including those shareholders who show no or little interest.

Voting for today’s special resolutions will mean shareholders will vote by returning their ballot form by post or voting online by internet or on the day at the meeting.

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Electionz.com will provide the internet voting service the same that was used in this year’s local body elections.

The shareholders, some of which are here today, of Parininihi ki Waitotara Inc. recently adopted postal and online voting, PKW’s Share Registrar, Nadine Hohaia, has reported that from the 100 votes normally cast at a meeting has increased this year to 365 postal votes plus 302 online votes – an impressive increase of 557 votes – that’s 557 more shareholders engaged in the future direction of their business. If passed Postal and online internet voting will be introduced as soon as next year.

The following three (3) resolutions are required to allow shareholders to vote for Committee of Management members, and to approve or decline special resolutions, without having to be present at an Annual or Special General Meeting of Te Uranga B2 Incorporation.

Special Resolution 1 That Rule 23 (3) of the Constitution of Te Uranga B2 Incorporation be

amended to read as follows: “A member of the committee who, pursuant to rule 22 of this constitution,

is due to retire at the meeting at which the election is to be conducted shall be deemed to have been nominated for the election in accordance with this regulation unless that member lodges at the registered office of the Incorporation, not less than 60 clear days before the annual general meeting in that year, written notice to the effect that the member does not accept nomination for the election”.

Special Resolution 2 That Rule 23 (4) of the Constitution of Te Uranga B2 Incorporation be

amended to read as follows: “No nomination shall be received less than 60 clear days before the

annual general meeting of each year”. Special Resolution 3 “That Shareholders may, for the purposes of all future General Meetings

of shareholders of Te Uranga B2 Incorporation, where such meetings are to consider a properly advertised resolution, or at which meeting there is to be an election to fill vacancies on the Committee of Management, or both, exercise the right to vote at such meeting by casting a postal vote in accordance with the provisions of Rule 20 of the Constitution”.

Matters Arising: The question was asked how postal voting would be managed and at

what cost with the Chairman replying that he had been in contact with Election NZ with the cost between $5000 – $7000 to establish.

Comments from the floor included: Postal voting does not bring people back to the land. Can understand what Chairman is saying about the engagement of

owners but the cost factor is quite high. There is already the opportunity for people to have their vote counted by

appointing a proxy. Questions from the floor:

Special resolution 3 – will the vote be counted as a poll vote or as a show of hands as it is not clear? Chairman replied that the Constitution

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treats postal voting as being counted as per the decision of owners present at the meeting. What is a special resolution? with the Chairman replying this is an action that requires a change to the Constitution. Who can submit a special resolution? with the Chairman and Jonathon Kilgour replying that any owner can give notice of, and submit a special resolution. It has to meet the criteria and be received within the timeframes required to submit to owners prior to the AGM.

Can the shareholders change the resolutions today? with the Chairman

replying no as a change to special resolutions would have to be notified to owners within the timeframe.

The comment was made that this discussion was going around in circles

and that any further changes to the voting system would need to be by special resolution for next AGM.

Chairman called for an end to the discussion stating that the opportunity

will be given to shareholders in their voting decisions today on the special resolutions.

Letter from Kaitupeka Marae: This was tabled by Rangimoeke Houpapa and will be presented to the

CoM at their next meeting. The Chairman called a close to the meeting deferring General Business. Lucy Ticket Draw: Derek Wooster conducted the usual lucky ticket draw held at the Te Uranga B2 Incorporation annual meetings. Next meeting: Next year’s AGM is set for 9:30am Saturday 25 November 2017 starting

with the powhiri at Nga Kohatu o Te Uranga then the farm tour and annual meeting following by lunch.

Meeting closed: There being no further business the meeting closed with karakia by John

Wi at 3.10 pm. Minutes approved as true and correct __________ Chairman Date

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Addendum to Te Uranga B2 Inc Annual General Meeting 25 November 2016

Voting results subsequent to closure of meeting: Election results: Following the counting of votes by scrutineers, Donna Tuwhangai was

declared the successful candidate. Special resolutions: Following the counting of votes by scrutineers, the results on special

resolutions: Special Resolution 1 That Rule 23 (3) of the Constitution of Te Uranga B2 Incorporation be

amended to read as follows: “A member of the committee who, pursuant to rule 22 of this constitution,

is due to retire at the meeting at which the election is to be conducted shall be deemed to have been nominated for the election in accordance with this regulation unless that member lodges at the registered office of the Incorporation, not less than 60 clear days before the annual general meeting in that year, written notice to the effect that the member does not accept nomination for the election”.

LOST

Special Resolution 2 That Rule 23 (4) of the Constitution of Te Uranga B2 Incorporation be

amended to read as follows: “No nomination shall be received less than 60 clear days before the

annual general meeting of each year”.

LOST Special Resolution 3 “That Shareholders may, for the purposes of all future General Meetings

of shareholders of Te Uranga B2 Incorporation, where such meetings are to consider a properly advertised resolution, or at which meeting there is to be an election to fill vacancies on the Committee of Management, or both, exercise the right to vote at such meeting by casting a postal vote in accordance with the provisions of Rule 20 of the Constitution”.

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TE URANGA B2 COMMITTEE OF MANAGEMENT REPORTS

CHAIRMAN’S REPORT – Derek Kotuku Wooster

Highest After-Tax Profit in 6 Years

The last season has again had it challenges but for 2016/17 the Incorporation has had a strong year with an improvement in farm performance and profitability. Some of this is due to factors out of the Committee’s control like the weather and the markets, however it is a sign that the hard work and focus over many years of improving the Incorporation’s asset and overall business is working.

Although challenging the Incorporation produced its highest after-tax profit in 6 years. This has allowed the Committee to continue to reinvest in the farms, undertake our environmental programs, pay down bank debt, build its investment portfolio while also providing for an increased distribution to the owners. In short, we continue to build the financial base of the Incorporation to support a prosperous future for it and the owners.

Te Uranga B2 Strategic Plan – Productive Land, Productive People

After many, many hours of deliberation the Incorporation’s business and strategic plan for the next 5 years, and beyond, is complete. It is a “living document” that will adapt to the vagaries of a new government, the global markets and the needs of our shareholders, partners and community.

The plan first and foremost recognises our need to conserve and cultivate an ecosystem conducive to both healthy environmental and prosperous agricultural practices

Te Uranga B2 Policy and Procedure Manual

The Committee of Management published in August the Manual that instructs its members, shareholders, farm workers, office workers, contractors, and suppliers of their obligations and instructions on what to do for instance - if koiwi (human bones) or taonga (artefacts) are discovered during earthworks: on recruitment and staff: on ethics and conduct: on whenua and workplace safety: on fees, allowances: on CoM business and shareholder benefits, to name but a few.

Upokomatu Quarry

After many years George and Sue Conrad have decided to give up pulling rock out for use on our farm tracks. We thank George and Sue very much for their professional operation of the quarry. We are presently negotiating a 19-year contract with King Country Quarries Ltd (KCQ), Tony Jilesen, that will involve KCQ applying for and holding resource consents, allowing it to pull out up to 8,000 m³ per annum of rotten rock for commercial sale. KCQ will supply Te Uranga B2 Inc 100 m³ of rotten rock for use on the farm. Dean Takawe is the Quarry Manager.

New Woolshed

This is located about 2 kms further along the Ngakonui-Ongarue Road where it’s more suited to the present sheep and beef operation. Since the dairy conversion back in the 1990s that took over 220 ha of land around the old woolshed mustering of sheep and lambs for shearing and crutching had become arduous and more time consuming. Thus, the need for a new 5-stand woolshed and covered yards. Costing in the region of $240,000 it’s hoped to be completed for November’s main-shear.

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Health & Safety “Sign-In” kiosk

Health & safety legislation requires all visitors, including owners and contractors, to write their name, purpose of visit, who they’re meeting with, time of arrival and departure in the Visitors Book. Koromiko, Paatara and Upoko each will have a kiosk in which a map is displayed showing hazards that must be avoided when visiting. If someone enters the property without signing-in or notifying Rod, Luke, Shannon or Dean the Incorporation can’t be held responsible if an accident occurs.

Access permits

These permits are issued by the Committee on behalf of Hancock Forest Management (NZ) Ltd (HFML). HFML pay us an annual royalty for having their trees grow on our land and have overall responsibility for all activity in the forest.

Access permits allow walkers, horse trekkers, wood gathers, hunters etc to enter the forest to participate in their respective activity. For safety reasons, any permit holder wanting to go into the forest over Upoko Sheep and Beef farm must contact – 24 hrs prior - Manager, Rod Walker (Ph: 07 895 7008 or 0278966070). Rod will allow access through the farm if no-one else is in the forest and farming operations will not be interfered with. All gates must be left as they are found – open or closed!

See Carla Benefield at Peak Chartered Accountants to apply for an Access Permit.

Pest Control

Whether the pest be rabbit, opossum, goat, pig or deer it’s the responsibility of the sheep and beef manager and sharemilkers to ensure these pests are removed off their farms. How these pests are removed and who does it is Luke’s, Rod’s and Dean’s choice. Farm production and profitability as well as our ecosystem can be adversely affected if this control measure is neglected. Pigs kill lambs, root up paddocks sniffing out worms and insects; feral goats just love eating native plants, particularly those in our Nga Whenua Rahui stands; seven rabbits eat as much grass as a ewe and their burrows can cause hillside erosion; opossums spread bovine TB and wild deer also threaten our Nga Whenua Rahui stands.

Firewood

As you are all aware shareholders, Ngakonui Valley School, farm workers and others have been invited to help themselves to the slash left after trees have been cut down. This assists us with the clearing of land but also helps keep you warm in your homes. The pine slash/wood along Piaua and Ngakonui Valley roads is no longer available for fire wood because manuka seedlings have been planted and trying to retrieve firewood will only damage the seedlings. However, the gum trees next to the old woolshed have been cut down and are ready and waiting to be cut into firewood by whoever wants it. Donna Tuwhangai has already allowed a group of students learning how to use chainsaws safely and efficiently to cut up some of the logs.

Talk to Donna (0274968497) if you have tools, skills, transport and time to make firewood for your whanau, kuia and kaumatua.

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Keeping track of Te Uranga B2 Shareholders.

Incorporation to have share register (Section 263 Te Ture Whenua Maori 1993) (1) Every Maori incorporation shall, forthwith upon its constitution, establish a register (referred to as the share register), which shall constitute the official record of the shareholders, together with the number of shares held by each, and the address of each (where known).

As part of Te Uranga B2 Inc.’s annual audit the auditor checks that updates and entries to its share register are made. The chart below shows the number of shareholders on its register over the past 3 years and the number of those we are in contact with.

• The good news is that we know who holds 85% of shares and where they are. • And that we are in contact with almost ¾ of shareholders. • We are holding $153,827 of dividends for 359 shareholders • Successions approved this year is 18 resulting in 38 more names added to the share register.

2017 2016 2015

Total Shareholding 9,528 100% 9,528 100% 9,528 100%

With Addresses 8,118 85% 8,060 85% 8,045 84%

Without Addresses 1,410 15% 1,468 15% 1,483 16%

Total Shareholders 818 100% 804 100% 787 100%

With Addresses 607 74% 599 75% 593 75%

Without Addresses 211 26% 205 25% 194 25%

Total Shareholders 818 100% 804 100% 787 100% With Unclaimed

Dividends 359 44% 348 43% 327 42%

Without Unclaimed Dividends 459 56% 456 57% 460 58%

Total Unclaimed

Dividends $153,827 $158,159 $148,157

Unclaimed Dividends Paid $4,331 $14,245 $13,914

Successions Approved 18 26 12

Following this report will be those from CoM members all of whom have made valuable contributions to the profitability of the 2016 – 2017 Season. Thank you to PEAK Chartered Accountants - especially Carla Benefield, Evelynne Keenan, John Robertson and Peter Topham for

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providing secretarial, share registration, and accounting services. Thank you too to Darren McNae whose presence and reputation is spreading rapidly in our region. His and AgFirst work in the Maori Agribusiness sector shows a commitment to the positive development and growth of the sector.

The monthly visits to the farms by Darren McNae and myself has made way for frank communication, resulting in a better understanding of the Inc.’s long-term strategy. I thank Luke and Shannon, Dean and Rodney for their honest, dedicated approach contributing to the Inc.’s policy of “Productive Land – Productive People”.

I must express my gratitude to you, our shareholders, for allowing me to help guide the management of our lands so that it will help sustain today’s and tomorrow’s shareholders.

Manaaki whenua, manaaki tangata, haere whakamua

Care for the land, care for the people, go forward.

Chairman Derek Kotuku Wooster

READY MONEY FUNDS Richard Burgess

You will notice in the Term Investments schedule (Note 10), a Craig Investment Partners investment of $534,019. The purpose of this fund is for insurance against an abnormal emergency, deposits on major assets, such as getting back former ancestral lands. The sources of this fund are historical savings, one-of non-operating income, and the reinvestment of Fund dividends and increases in share valuations. This year we added $282,000 from the net sale of forestry trees opposite Paatara Dairy Farm. We also took the opportunity to divert $200,000 to a higher risk investment area, for better returns long term. Although this year’s return was down to 11%, our average annual return since inception has been 14%. We have continued our diversification policy and are invested in the following areas:

Interest 4%

Fixed Interest 8% Income 12%

NZ Equities 24%

Aust. Equities 17%

Intern Equities 45%

Property 2% Growth 88%

Our Fund would take about two months to cash up. We could of course pay off our Term Loan of $504,720, but our loan rate is now only 4.95%, so that based on this year’s return we are gaining 5.23%.

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COMMITTED TO OUR TAMARIKI – Jonathon Kilgour

The Committee of Management is committed to our tamariki getting a good start in life through education, as this gives them better life choices and opportunities later in life. In 2017, the Committee of Management provided funding for a series of Grants and Scholarships for owners and their descendants. Early Childhood Grants were available for tamariki at a registered early childhood education center or at kōhanga; School Grants were available for children attending school (Years 1 to 13); and Tertiary Scholarships were available for study at any level of tertiary and any recognised tertiary institution. Applications for Tertiary Scholarships were open until August 2017, and Grants until September 2017.

For the 2017 application round, the Committee of Management received nineteen applications for School Grants, and five applications for Tertiary Scholarships. The Committee of Management considered the applications that were completed in full, and provided all the required evidence, at the October meeting and decided who was to receive Scholarships and Grants. The decisions will be announced at the AGM in November.

In 2018, the Committee of Management will open applications for Scholarships and Grants earlier in the year. The 2018 Scholarship and Grant round will open in February 2018, and close on 30 June 2018. This realignment is to ensure that successful grants can be awarded in a timelier manner for parents, caregivers and schools.

RICH AND HEALTHY ENVIRONMENTAL PLATFORM – Donna Tuwhangai

Te Uranga B2 Incorporation is continuing to reduce its environmental impact by optimizing value from our land.

2017 has been another busy year with riparian fencing of the Upokomatu stream on the Upoko unit, fencing off the Paatara bluffs and the creation of a new ecosystem in amongst the old gum tree stands.

The Paatara bluff and the old gum tree stand will be planted in native species in the upcoming months and will assist in reducing erosion, attracting wildlife and improving water quality.

The work has also been complemented with preparation and planting of over 20, 000 Manuka plants along Piaua and Ngakonui-Ongarue Roads and the Paatara Dairy Bluffs. 6,000 manuka seedlings have been ordered for 2018 planting on the Paatara Bluff behind Dean’s house and a fenced but unplanted gully on Koromiko. Timu Bennett from Manunui has done all the land preparation and planting. This investment and previous manuka plantings will provide a long-term basis as we diversify into the apiculture industry.

An extensive weed control program is currently in development as we continue to improve and champion our whole farm plan.

I would like to acknowledge Vonda Houpapa for the healthy and rich environmental platform she has handed over, it has made the transition into the Environmental role, one that is enjoyable.

The Incorporation is dedicated to ensuring a culture of environmental stewardship and an ongoing practice to ensure what we do is for the long-term benefit of the land and those that feed off it.

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HOUSING REPORT - Andrew Martin/Richard Burgess

Our Incorporation owns 8 houses. It is essential that our houses are of a high standard, so that we can attract the best sharemilkers, managers and staff. We are up against LandCorp, other Corporates, and new Conversions, who provide brand new houses for their employees. We are very aware of our social responsibilities to introduce to the community at large, good Families and people who will participate in, and grow our community. Therefore, Te Uranga sets aside $65,000 per year to do major renovations, such as kitchen upgrades, roof replacements and in the future, double glazing. This is in addition to general maintenance and upkeep of our houses.

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Te Uranga B2 Incorporation Farm Performance Report 2017

Darren McNae – Agribusiness Consultant, AgFirst

1.0 Background and Climate The 2016/ 17 season will be remembered as an extremely wet one for the Taumarunui region and it has started the same way again for the 2017/18 year which is proving a challenge. Coming out of last winter the region experienced a very wet and long spring where it took a long time for the pasture to begin to grow. The difficult conditions took their toll on pastures, stock and people.

As we headed into the summer the rain continued which helped to make up some of the lost ground for farm production and it was nice to finally have a summer where the grass kept growing - the “summer safe” King Country finally lived up to its name.

This weather pattern continued through into the autumn and with strong pasture growth the farms entered the winter in very good shape with pasture supplies at or above target and stock in excellent condition. This may have been a warning of what was about to come. After so much rain in the last year the winter in 2017 has been a real struggle for farming. The spring weather pattern this year is very similar to last and everyone is now waiting for the week of sunshine.

2.0 Farm Focus The focus for the farming operations remains the same and the focus is on strong pasture based farming systems. This means growing as much grass as possible and turning this into high quality meat, milk and wool.

The key in growing more pasture is to look after the soils and apply regular fertiliser. This is a key strategy for the farms and a good example of this was the impact that the down turn that the dairy industry had on this simple philosophy. Many dairy farms significantly reduced fertiliser inputs to “make ends meet” over this time. For Te Uranga the strategy was to focus on grass production and keep inputs up. This has now meant that the monitoring shows pasture growth continuing to improve which places the farms in a good position now that the payout has increased again.

The focus for imported feed remains the same in looking to reduce the reliance on PKE for production with a view to phasing it out in all but the extreme years (if there is no other option). The key here is that to do this successfully this requires investment in additional infrastructure to supplement the herds with additional feed to ensure the systems are efficient and a review of best options is underway at present. This review is taking into

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account that the pressure on dairy farmers to manage their inputs and outputs is changing and all farms must be prepared to adapt.

For clarity again the diverse land use on the 2,612 hectares of landholding for the Incorporation remained largely unchanged through the current year other than a small portion of the forestry area now becoming manuka.

Area (hectares) Koromiko Paatara Upoko Ue Pango Total Effective Area 219 138 1,130 0 1,507 Pine Forest 2 0 50 580 632 Native Vegetation 0 0 97 142 239 Fenced Riparian 38 12 36 0 86 Nga Whenua Rahui 0 0 123 0 123 Non Effective 8 28 9 0 25 Total 267 178 1,445 722 2,612

This diversity remains a major strength of the operation and the Incorporation is in a very strong place to further review opportunities for expansion and diversification. The key for any operation in this situation is not to lose focus on the core operation, in this case the corpus land. This remains a high focus for the Committee.

3.0 Market Prices The major factor that we cannot ignore is that the market returns are, to a large degree out of farmer’s control. While the focus is on producing a high quality product, much of the return is governed by the overseas markets and the processors. The challenge for farmers is to provide products that consumers want and will be prepared to pay a premium for.

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The last twelve months has seen plenty of change in the markets in which has largely been positive for the Incorporation. The major talking point has been the strong recovery of the dairy markets and the lift back up to a level that means dairy farms are now profitable again – back on the top side of $5.50 / kg MS. The last season saw the dairy payout lift back up to $6.15 / kg MS and the current season is likely going to end up slightly higher than this again. This has a major bearing on the overall profitability of dairy farming and some stability means that the Incorporation can plan forward with some certainty that a profit will be made from milk. This “rollercoaster” is shown below:

The other key trends we can see here are the beef market which had another strong year although there is some “headwind” coming with overseas supply factors being the issue here which will drop prices slightly. The lamb market is also surprisingly going through a relatively stable period which is great for Upoko. The signs are looking up over this year and if the values remain where they are forecast to be then there is also some money to be made out of lamb this year. The down trend continues for wool however and this is a real struggle. A major issue for the wool industry at present is that the returns from wool only just cover the cost of shearing so there is little money to be made here. This is a reflection of the industry and the key here is that the sheep breed is focused on producing meat first and foremost.

4.0 Upoko (Sheep / Beef / Dairy Support) The Upoko system continues to improve under the management of Rod Walker who has now been on farm for two years. The system remains largely unchanged with the total split by feed eaten as below:

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Sheep, 59%Beef, 35%

Dairy Grazers, 5%

Dairy Support, 1%

A review is currently underway to ensure more clarity around land use and a focus on “best land use” for the Incorporation which is also aimed at simplifying the operation. The latter is a key as it is very easy to get caught up chasing the last dollar and lose focus on the big picture. This particularly focuses on the dairy integration to ensure that the best policy is in place for the Incorporation as a whole.

As can be seen the major part of the feed consumed on farm is in the sheep and beef sectors and it is great to see both of these performing well. The farm has achieved for the third year in a row a record scanning percentage of 169% (average across all classes) and the challenge in getting these through to sale is the next part of the equation. Two tough springs have decreased the overall lambing result and this is now the focus – how can we do better!

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The calving system has had a slight increase this year and is back above the historical level of 90%.

In a diversified operation the key is how all pieces of the puzzle fit together to get the best overall outcome - total production is the key. The major positive to be celebrated here is the record production achieved of 277,873 kg of product produced by Upoko – what an awesome result. The key now, as the graph reflects, is that there is still more potential left in the tank.

 

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The key is not to chase production instead of profit! The farm remains well set up for a further increase again this coming year and move closer to the target.

5.0 Koromiko and Paatara (Dairy) The dairy scene is looking far more optimistic than 12 months ago and with dairy systems it is all about balancing cow numbers, feed purchased and overall inputs to put milk in the vat with the highest profit. Overlayed in to this is the need to be mindful of the environmental impact that this has.

The latter part is key as on payouts of above $6.00 / kg MS there are relatively simple equations that would mean operations could put more cows on farm and make more milk and more profit but the real money would be pretty marginal and this would come at the expense of the environment.

The dairy farms on Te Uranga run fairly modest stocking rates (around 2.8 cows per hectare) to get the best balance of feed requirement and environmental impact.

Despite the extremely tough spring last year the farms managed to improve production which was largely helped by the fantastic summer and autumn that the region experienced. This saw 313,607kg MS (3.6 million litres) total achieved across both farms – this is the second highest level ever. For reference the highest was back in 2014 when the dairy industry experienced a high payout and significantly more PKE was purchased. Taking into account the season and the reduced inputs this is a fantastic result.

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The focus on environmental impact will likely mean that heading forward the stocking rates would go likely go down rather than up and the review of the feed systems is including the benefit of feedpads, wintering barns etc to make a more sustainable system long term.

These changes, incorporated with key investment such as the Koromiko effluent system underway are going to ensure that the Incorporations dairy operations remain at the top of their game. The nutrient losses from the dairy farms remains below industry average so all parties can have confidence that the impact on water quality is being minimised. This is a key part of the “license to farm” that every dairy farmer needs to be aware of today.

6.0 Future Focus The future focus for the Incorporation must remain on farming efficiently while being mindful of the environment in everything that is done. This is clearly outlined in the Incorporations strategic plan and this guiding document will ensure that all parties can be confident that Te Uranga B2 remains well placed for whatever challenge is around the corner.

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Te Uranga B2 Incorporation

2017 Indicative Share Valuation Total Incorporation Shares Issued 9527.8476

This indicative share value has been calculated using the full value of the net assets of Te Uranga B2 Inc. Due to the restrictions on the sale of corpus land this figure is also shown with an 83% discount on land (2017: $19,164,074 , 2016: $19,164,074).

2017 2016 5 Year Ave

Net Assets (Equity) $21,707,578 $21,027,484 $19,358,208Value per share (no corpus land adjustment) $2,278.32 $2,206.95 $2,031.75

Value per share (with corpus land adjustment) $608.88 $537.51 $512.18

The Committee of Management on 28 June 1996 approved:

That the indicative share valuation figure for the Incorporation is set by the net value of improvements and investments on an annual rolling average. Approved by Annual General Meeting of Owners and the Maori Land Court: Maximum shareholding permitted within the Incorporation for a corporate body of trust be 450.0000. Maximum shareholding permitted within the Incorporation for any one shareholder be 500.0000 shares. Minimum shareholding permitted within the Incorporation for an individual owner 0.1000.

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