Ryman Annual Meeting 2018 Media Release and Presentation

Ryman Healthcare Ltd, 92 Russley Rd, Avonhead, Christchurch, New Zealand 8140



Media release – July 26, 2018
Annual Meeting release:
Significant investment in village staff, fourth Melbourne village gets development
approval

Ryman Healthcare has unveiled a substantial pay rise for its nursing staff, and secured development
approval for its fourth village in Melbourne.
Dr David Kerr, Chair of Ryman Healthcare, told shareholders at the company’s annual meeting at
Possum Bourne Retirement Village today that the pay reset for nurses followed last year’s pay equity
settlement which benefitted more than 2,000 Ryman caregivers.
Dr Kerr said last year’s pay rises for caregivers had been well deserved, and it had become apparent
that a substantial increase for nurses and other village staff was also due.
“We talked to staff about what we could do and listened to their views. I’m delighted to say that we
have increased remuneration for all our staff. They were overwhelmingly supportive.’’
“Our more than 500 experienced New Zealand nurses have had an average pay increase of more
than 20% since last April and other village staff have also enjoyed significant increases.
“This reset is likely to cost an additional $5 million this financial year and is over and above the 2%
increase in Government funding for aged care – this is an investment in people that we are happy to
make.
“We think the increases are necessary to reward everyone fairly, and to make sure we’re
competitive. The new rates of pay make us one of the highest payers in the industry.’’
Dr Kerr said full time village staff had also benefited from a doubling in their sick leave allowance,
including wellness days. Weekend allowances for nurses had also been doubled.
In addition, Ryman has continued to invest in developing our staff with 288 staff, including care and
nursing leaders attending the new bespoke management and leadership development programme.
Meanwhile, Chief Executive Gordon MacLeod said development approval had been received for the
company’s fourth Melbourne village at Burwood East.
The village will be home to more than 400 residents, and is in a sought-after part of the city.
Residents are about to move into Ryman’s second village in Melbourne at Brandon Park. Ryman is
targeting to have work under way at new villages at Coburg, Burwood East and Geelong by the end
of the financial year, in line with its aspiration of having five villages open in Victoria by the end of
2020. There are also three more villages in the design phase in Victoria.

Ryman Healthcare Ltd, 92 Russley Rd, Avonhead, Christchurch, New Zealand 8140

The company’s construction and sales teams have just begun work at its new village site in River Rd,
Hamilton, which will be Ryman’s 34
th
in New Zealand.
Dr Kerr said trading was satisfactory in the first quarter. The development programme was heavily
weighted towards the second half of the financial year.
Ryman’s operations and technology teams had celebrated the key milestone of completing the
rollout of the company’s myRyman care system at all its villages in New Zealand.
The care system was a nurse-led project and was delivered ahead of schedule with more than 3,000
devices installed in residents’ rooms.
“It’s a rare feat for a complex healthcare technology project of this size involving this many staff to
be completed ahead of schedule,’’ Dr Kerr said.
Chief Operations Officer Barbara Reynen-Rose said it was a game-changer in terms of the way care
was delivered. It freed staff from paperwork, allowing them to spend more time caring for residents,
and she said there were plenty more innovations to come as myRyman reached its full potential.
“Nurses don’t sign up to do paperwork – myRyman was designed to free them from their desks to
do what they joined us to do – care for residents.
“We believe that the combination of increased pay rates, improved benefits, leadership development
and industry-leading technology make Ryman an even more attractive company to work for.’’
Dr Kerr said the focus on staff and technology investment was crucial as Ryman geared up for the
extraordinary growth ahead. The number of people aged over 75 more than doubles over the next
30 years.
“We know that our residents think the world of our staff and place a huge amount of trust in them.
If our staff are happy, our residents will be happy and we will be in good shape for the years ahead.’’
Ryman developments:
New villages open with construction continuing:
Charles Upham, Rangiora: Final stage under construction.
Bob Scott, Petone: Final stage under construction.
Bert Sutcliffe, Auckland: Final stage under construction.
Logan Campbell, Greenlane, Auckland: Care centre open.
New villages under construction:
Nellie Melba, Brandon Park, Melbourne: First residents about to move in.
Devonport, Auckland: Construction under way.
Lynfield, Auckland: Construction under way.
River Rd, Hamilton: Site works under way.

Ryman Healthcare Ltd, 92 Russley Rd, Avonhead, Christchurch, New Zealand 8140

New villages in the planning and design phase:
Burwood East, Melbourne: Approval received, work due to get under way later in the financial year.
Coburg, Melbourne: Approval received, work due to get under way later in the financial year.
Aberfeldie, Melbourne
Mt Eliza, Melbourne
Mt Martha, Melbourne
Geelong, Victoria
Hobsonville, Auckland
Lincoln Rd, Auckland
Te Aute Rd, Havelock North
Karori, Wellington
Newtown, Wellington
Park Terrace, Christchurch
About Ryman: Ryman Healthcare was founded in Christchurch in 1984 and owns and operates 32
retirement villages in New Zealand and Victoria, Australia. Ryman villages are home to over 10,800
residents, and the company employs 5,000 staff.
Contacts: For media information or images contact David King, Corporate Affairs Manager, on 021
499 602 (+64 21 499 602) or email david.king@rymanhealthcare.com
For investor relations information contact Michelle Perkins, Investor Relations Manager, on 027 222
9684 (+64 27 222 9684) or email michelle.perkins@rymanhealthcare.com

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Ryman Healthcare
Annual Meeting -26 July 2018

Possum Bourne

The Bourne family

Full year highlights
Underlying profit up 14.2%
to $203.5 million
Reported profit up 8.8%
to $388.2 million
Full year dividend
20.4 cents per share; up 14.6%
$5.8 billion of total assets
16 new villages in the pipeline

16 years of dividend growth
0
5
10
15
20
25
20022003200420052006200720082009201020112012201320142015201620172018
Cents

Source: Statistics NZ, Australian Bureau of Statistics
0.0m
0.4m
0.8m
1.2m
200820132018202320282033203820432048
NZ total population aged 75+
Victoria total population aged 75+
Population growth

Source: Statistics NZ, Australian Bureau of Statistics
0.0m
0.4m
0.8m
1.2m
200820132018202320282033203820432048
NZ total population aged 75+
Victoria total population aged 75+
Population growth

Kevin Hickman

Devonport
Auckland

We’re investing in developing our people for the future

MyRyman

Nellie Melba

Coburg
Melbourne

Burwood East

Aberfeldie
Melbourne

Logan
Campbell
Greenlane, Auckland

Lynfield
Auckland

River Road, Hamilton

Resolution 2.1: Geoffrey Cumming
Director Geoffrey Cumming retires in accordance with Ryman
Healthcare Limited’s constitution and NZX Main Board Listing Rule
3.3.6.
Geoffrey offers himself for election.

Resolution 2.2 & 2.3: Warren Bell and Jo Appleyard
Director Warren Bell retires by rotation and, being eligible, offers
himself for re-election.
Director Jo Appleyard retires by rotation and, being eligible, offers
herself for re-election.

Resolution 3: Auditor’s remuneration
Deloitte is automatically reappointed as the auditor of Ryman Healthcare Limited
under section 207T of the Companies Act 1993.
This resolution authorises the board to fix the auditor’s remuneration.

Resolution 4: Directors’ remuneration
Increase the maximum aggregate amount of directors’ remuneration from $910,000 to
$985,000 (based on a board of 7 directors)
Existing
2016
Proposed
2018
Board chair$207,000$222,000
Sub-committee chair$119,500$128,500
Non-executive director$103,000$110,500
Notes:
The board chair does not receive any additional remuneration for chairing board sub-committees
Australian director fees are paid in Australian dollars (AUD)
Board currently consists of 6 directors
Last directors’ fee increase was made in 2016

Ryman Healthcare
Annual Meeting -26 July 2018