Sorry Smithy, but you need to ignore that "Summary". It is literally the financial highlights and conveniently ignores some significant lowlights.
If you look at the accounts themselves you can see exactly what is going on here:
1. NZF has not actually made a surplus for the last two years. They only way they achieved a "surplus" of $212k in 2011 was by transferring $828k from the international teams reserve. They actually made a $616k operating loss in 2011 (incl $300k spent on the 2015 U20 WC). They only way they achieved a "surplus" of $309k in 2012 was by transferring $1,273k from the international teams reserve. They actually made a $964k operating loss in 2012.
2. As you can probably guess from above the international teams reserve is pretty much spent. It has dropped from the initial $2.5m set aside at the start of 2011 to $1.7m at the end of 2011 to $0.4m at the end of 2012. If the 2013 international programme is even half the amount of activity of 2011 or 2012 then the reserve is already gone. As such, any future activity has to come from general operating which is already running at a loss. This will be the exact reason why they are asking for this contribution from teams.
3. The statement in that Summary that "reserves increased by 4% to $2.2m" is completely misleading. The accumulated funds certainly did increase but as noted above the international teams reserve decreased by $1.2m. The net result was that in 2012 Total Equity dropped from $3.7m at the start of the year to $2.5m at the end of the year - a 32% decrease.
What's also obvious is that the prize money from the Confederations Cup would not have made much difference to the overall picture. We also have a lot staked on qualification for the 2014 WC if we are to sustain anywhere near the amount of international activity that we have.
As I discussed in a previous post it seems clear to me that since 2006 NZF has been running an international programme it simply cannot afford to pay for. The Kiwibank loan and qualification for the 2010 WC allowed us to paper over the cracks and make it this far but we are rapidly running out of money unless something changes. You may disagree with charging players on a point of principle but I can see little argument with it from a purely financial perspective.
I think the players who got to attend a WC over the last seven years just got lucky really. Prior to 2006 they never would have had the chance (because Aussie pretty much always qualified) and in the future they will be asked to make a financial contribution, unless a better way can be found.
Great summary Tx, and you're not wrong about the misleading nature of some of the annual report figures.
But, still two points remain: there is money in the bank - $2.5m of which $0.4m is earmarked specifically for international teams. And, the total of $0.05m that is going to brought in through this move is inconsequential in the overall scheme of it.
As I've said in previous posts, you've got to wonder whether this is a philosophical move - that more money should be sourced from youth international players - or a move made out of necessity - that more money must come from youth internationals.
I still don't see that the financial straits are so dire that must can be the answer.
If it is, then NZF haven't made that point at all.