MCK: Interim Report 2019

INTERIM REPORT 2019

www.millenniumhotels.com

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
1
Financial Performance:
Millennium & Copthorne Hotels New Zealand Limited (“MCK”) announced an
unaudited profit after tax and non-controlling interests of $23.81 million for the six
month period ended 30 June 2019 (2018: $30.15 million). Profit before income tax and
non-controlling interests was $41.00 million (2018: $54.66 million). Group revenue
and other income for this period was $110.61 million (2018: $127.51 million) and gross
profit for the period was $64.10 million (2018: $77.66 million). Earnings per share for
the period were 15.05 cents per share (2018: 19.05 cps).
The main contributor to these results was CDL Investments’ slower section sales
reflecting a number of current market factors which are outlined below.
New Zealand Hotel Operations:
2019 has seen increased competition in the New Zealand hotel market across the
country with occupancy declining slightly to 82.5% (2018: 83.2%) but with continued
downward pressure on room rates. New additional inventory in Auckland has also
contributed to the mix. Revenue from hotels for the period was $64.46 million (2018:
$64.27 million) for MCK’s 14 owned / leased and operated hotels (excluding 5
franchised and 2 managed hotels). RevPAR (Revenue per available room) was $135.85
(2018: $133.12).
MCK is conscious that it must remain competitive in terms of its product and service
standards and MCK will continue to invest in refurbishments during the second half
of this year with programmes at Millennium Hotel Rotorua and Millennium Hotel
Queenstown and the conversion of Kingsgate Greymouth to the Copthorne brand.
Further improvements are being planned at other hotels in response to customer
demand and guest feedback.
The judicial review action brought by several Auckland hotel owner / operators
including MCK against Auckland Council in relation to the Accommodation Provider
Targeted Rate (APTR) was heard in the High Court in late May. A decision is expected
before the end of the year but, as advised previously, will not materially impact on
MCK’s financial position or the 2019 year end results.
CDL Investments New Zealand Limited (‘CDL’):
CDL announced an unaudited operating profit after tax for the six months ended 30
June 2019 of $15.10 million (2018: $25.47 million). The results reflect a softer market
for residential sections in some areas and CDL’s management are focused on a sales
strategy to maximise sales from areas which are selling well for the remainder of 2019.
Chairman’s Review

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
2
Offshore investments – Australia:
Occupancy at the Zenith Residences, Sydney was steady at 94.2% across the complex.
Three apartments were sold in the first half of 2019. Further sales are expected before
the end of the year.
Outlook:
The current competitive environment will continue for the rest of the year but we expect
our hotels to perform well against their competitors despite increasing input and utility
costs which are having an impact on operational performance. We are confident that
CDL Investments’ sales will improve before the end of 2019 as they optimize their sales
programmes for the remainder of the year.
The Board believes that a year-end result for 2019 in line with 2018 is achievable and has
directed Management to focus on maintaining market share and improving productivity
as well as careful cost management across all operations over the coming months.

Colin Sim
Chairman
Millennium & Copthorne Hotels New Zealand Limited
1 August 2019
Chairman’s Review
CONTINUED

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
3
The attached notes form part of, and are to be read in conjunction with, these financial statements.
Dollars in thousandsNote
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Revenue 110,611 127,506
Cost of sales (46,512) (49,850)
Gross profit 64,099 77,656
Administrative expenses (12,157) (12,408)
Other operating expenses (11,376) (11,413)
Operating profit before finance Income 40,566 53,835
Finance income 1,874 1,687
Finance costs (1,441) (858)
Net finance income 433 829
Profit before income tax 40,999 54,664
Income tax expense (11,301) (15,043)
Profit for the period 29,698 39,621
Profit for the period attributable to:
Equity holders of the parent 23,805 30,147
Non-controlling interests 5,893 9,474
Profit for the period 29,698 39,621
Basic earnings per share (cents)415.05c19.05c
Diluted earnings per share (cents)415.05c19.05c
Condensed Interim Income Statement
For the six months ended 30 June 2019
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
4
The attached notes form part of, and are to be read in conjunction with, these financial statements.
Dollars in thousandsNote
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Profit for the period 29,698 39,621
Other comprehensive income
Movement in revaluation reserve
- Recognised in equity9 (a) (7,565) -
Items that are or may be reclassified to profit or loss
Movement in exchange translation reserve
- Recognised in equity 39 (1,535)
Total comprehensive income for the period
22,172 38,086
Total comprehensive income for the period attributable
to:
Equity holders of the parent 17,098 28,612
Non-controlling interests 5,074 9,474
Total comprehensive income for the period 22,172 38,086
DETAILS OF SPECIFIC RECEIPTS/OUTLAYS,
REVENUE/EXPENSES
Classified under:
Administrative expenses
Audit fees (164) (158)
Other operating expenses
Depreciation of Property, Plant & Equipment (4,217) (4,186)
Amortisation of Right-Of-Use Assets 9 (c) (645) -
Leasing and rental expenses9 (d) (106) (1,208)
Finance income
Interest income 1,868 1,687
Foreign exchange gain 6 -
Finance costs
Interest expense (867) (843)
Interest expense on lease liability9 (c) (512) -
Foreign exchange loss (62) (15)
Condensed Interim Statement of Comprehensive Income
For the six months ended 30 June 2019
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
5
The attached notes form part of, and are to be read in conjunction with, these financial statements.
For the six months ended 30 June 2018
Attibutable to Equity Holders of the Group
Dollars in thousandsNote
Unaudited
Share
Capital
Unaudited
Revaluation
Reserves
Unaudited
Exchange
Reserves
Unaudited
Accumulated
Losses
Unaudited
Treasury
Stock
Unaudited
Total
Unaudited
Non-
controlling
Interests
Unaudited
Total
Equity
Balance at 1 January 2018 383,266 222,465 114 (16,939) (26) 588,880 74,810 663,690
Movement in exchange
translation reserve
- - (1,535) - - (1,535) - (1,535)
Income and expense
recognised directly in equity
- - (1,535) - - (1,535) - (1,535)
Profit for the period - - - 30,147 - 30,147 9,474 39,621
Total comprehensive income
for the period
- - (1,535) 30,147 - 28,612 9,474 38,086
Transactions with owners,
recorded directly in equity :
Dividends paid to:
Equity holders of the
parent
5 - - - (9,493) - (9,493) - (9,493)
Non-controlling interests - - - - - - (3,655) (3,655)
Movement of non-controlling
interests without a change
in control
- - - 99 - 99 454 553
Supplementary dividends5 - - - (242) - (242) - (242)
Foreign investment tax credits - - - 242 - 242 - 242
Balance at 30 June 2018 383,266 222,465 (1,421) 3,814 (26) 608,098 81,083 689,181
Balance at 1 January 2019 383,266 236,999 (3,022) 23,042 (26) 640,259 83,614 723,873
Movement in revaluation
reserve
9 (a) - (6,746) - - - (6,746) (819) (7,565)
Movement in exchange
translation reserve
- - 39 - - 39 - 39
Income and expense
recognised directly in equity
- (6,746) 39 - - (6,707) (819) (7,526)
Profit for the period - - - 23,805 - 23,805 5,893 29,698
Total comprehensive income
for the period
- (6,746) 39 23,805 - 17,098 5,074 22,172
Transactions with owners,
recorded directly in equity :
Dividends paid to:
Equity holders of the
parent
5 - - - (11,866) - (11,866) - (11,866)
Non-controlling interests - - - - - - (3,691) (3,691)
Movement of non-controlling
interests without a change
in control
- - - (1) - (1) 511 510
Supplementary dividends5 - - - (311) - (311) - (311)
Foreign investment tax credits - - - 311 - 311 - 311
Balance at 30 June 2019 383,266 230,253 (2,983) 34,980 (26) 645,490 85,508 730,998
Condensed Interim Statement of Changes in Equity
For the six months ended 30 June 2019
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
6
The attached notes form part of, and are to be read in conjunction with, these financial statements.
Dollars in thousandsNote
Unaudited
as at
30/06/19
Audited
as at
31/12/18
Unaudited
as at
30/06/18
SHAREHOLDERS’ EQUITY
Issued capital3 383,266 383,266 383,266
Reserves 262,250 257,019 224,858
Treasury stock3 (26) (26) (26)
Non-controlling interests 85,508 83,614 81,083
Total equity 730,998 723,873 689,181
Represented by:
NON CURRENT ASSETS
Property, plant and equipment9(a),9(b) 539,492 532,124 514,355
Development properties 186,216 163,106 174,747
Investment in associates 2 2 2
Total non-current assets 725,710 695,232 689,104
CURRENT ASSETS
Cash and cash equivalents 25,441 14,437 28,976
Short term bank deposits 116,812 108,289 98,749
Trade and other receivables 14,296 21,515 14,257
Trade receivables due from related parties6 10 - 15
Inventories 1,518 1,684 1,493
Income tax receivable - - 163
Development properties 41,377 57,025 29,229
Total current assets 199,454 202,950 172,882
Total assets 925,164 898,182 861,986
NON CURRENT LIABILITIES
Interest-bearing loans and borrowings 64,000 64,000 66,000
Lease Liabilities9 14,541 - -
Provision for deferred taxation 75,972 75,844 70,596
Total non-current liabilities 154,513 139,844 136,596
CURRENT LIABILITIES
Interest-bearing loans and borrowings 3,000 - -
Trade and other payables 22,431 25,132 21,715
Trade payables due to related parties6 3,686 2,364 1,612
Loans due to related parties6 9,000 - 7,100
Lease Liabilities9 411 - -
Income tax payable 1,125 6,969 5,782
Total current liabilities 39,653 34,465 36,209
Total liabilities 194,166 174,309 172,805
Net assets 730,998 723,873 689,181
Condensed Interim Statement of Financial Position
As at 30 June 2019
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
7
The attached notes form part of, and are to be read in conjunction with, these financial statements.
Dollars in thousandsNote
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
CASH FLOWS FROM OPERATING ACTIVITIES
Cash was provided from:
Receipts from customers
115,797 130,779
Interest received
2,242 1,871
118,039 132,650
Cash was applied to:
Payments to suppliers and employees
(66,182) (59,063)
Purchase of development land
(7,624) (36,354)
Interest paid
(900) (865)
Income tax paid (17,017) (13,461)
(91,723) (109,743)
Net cash inflow from operating activities 26,316 22,907
CASH FLOWS FROM INVESTING ACTIVITIES
Cash was provided from/(applied to):
Purchase of property, plant and equipment
(3,037) (12,635)
Increase in short term bank deposits
(8,523) (9,859)
Net cash outflow from investing activities (11,560) (22,494)
CASH FLOWS FROM FINANCING ACTIVITIES
Drawdown of borrowings
3,000 -
Advance/(repayment) of related parties loans6
9,000 7,100
Principal repayment of lease liability9 (c)
(676) -
Dividends paid to shareholders of Millennium &
Copthorne
Hotels New Zealand Ltd5
(11,866) (9,493)
Dividends paid to non-controlling interests
(3,691) (3,655)
Net cash outflow from financing activities (4,233) (6,048)
Net (decrease)/increase in cash and cash
equivalents
10,523 (5,635)
Add opening cash and cash equivalents
14,437 34,195
Exchange rate adjustment
481 416
Closing cash and cash equivalents 25,441 28,976
Condensed Interim Statement of Cash Flows
For the six months ended 30 June 2019
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
8
The attached notes form part of, and are to be read in conjunction with, these financial statements.
Dollars in thousandsNote
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
RECONCILIATION OF NET PROFIT FOR THE PERIOD
TO CASH FLOWS FROM OPERATING ACTIVITIES
Profit for the period 29,698 39,621
Adjusted for non cash items:
(Gain)/Loss on Sale of Fixed Assets 6 -
Foreign Exchange (Gain)/ Loss 56 -
Depreciation 4,217 4,186
Amortisation of Right-Of-Use Assets 9 (c) 645 -
Income tax expense 11,301 15,043
Adjustments for movements in working capital:
Decrease in receivables 5,560 3,457
Decrease in inventories 166 153
(Increase)/Decrease in development properties (7,449) (25,011)
Increase/(Decrease) in payables (1,289) 153
Increase/(Decrease) in related parties 1,322 (369)
Cash generated from operations 44,233 37,233
Interest paid (900) (865)
Income tax paid (17,017) (13,461)
Net cash inflow from operating activities26,316 22,907
Condensed Interim Statement of Cash Flows
For the six months ended 30 June 2019
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
9
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries
1. Significant accounting policies
Millennium & Copthorne Hotels New Zealand Limited is a company domiciled in New Zealand,
registered under the Companies Act 1993 and listed on the New Zealand Stock Exchange. Millennium
& Copthorne Hotels New Zealand Limited (the “Company”) is a Financial Markets Conduct Reporting
Entity in terms of Financial Markets Conduct Act 2013 and the Financial Reporting Act 2013. The
condensed interim financial statements of the Company for the six months ended 30 June 2019
comprise the Company and its subsidiaries (together referred to as the “Group”). The registered
office is located at level 13, 280 Centre, 280 Queen Street, Auckland, New Zealand.
The principal activities of the Group are ownership and operation of hotels in New Zealand;
residential development and sale of land in New Zealand; and development and sale of residential
units in Australia.
The condensed interim financial statements were authorised for issuance on 1 August 2019.
(a) Statement of compliance
The condensed interim financial statements have been prepared in accordance with New Zealand
Generally Accepted Accounting Practice (NZ GAAP). They comply with NZ IAS 34 Interim Financial
Reporting. The condensed interim financial statements do not include all of the information required
for full annual financial statements.
The accounting policies and methods of computation applied by the Group in these condensed interim
financial statements are the same as those applied by the Group in its financial statements for the year
ended 31 December 2018 except for the adoption of one new accounting standard (see Note 9).
2. Segment reporting
Segment information is presented in the condensed interim financial statements in respect of the
Group’s reporting segments. Operating segments are the primary basis of segment reporting. The
Group has determined that its chief operating decision maker is the Board of Directors on the basis
that it is this group which determines the allocation of resources to segments and assesses their
performance.
Inter-segment pricing is determined on an arm’s length basis. Segment results include items directly
attributable to a segment as well as those that can be allocated on a reasonable basis.
Segment capital expenditure is the total cost incurred during the period to acquire segment assets
that are expected to be used for more than one period.
Operating segments
The Group consisted of the following main operating segments:
• Hotel operations, comprising income from the ownership and management of hotels.
• Residential land development, comprising the development and sale of land.
• Residential property development, comprising the development and sale of residential
apartments.
Geographical segments
The Group operates in the following main geographic segments:
• New Zealand
• Australia
Segment revenue is based on the geographical location of the asset. The Group has no major
customer representing greater than 10% of the Group’s total revenue.

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
10
2. Segment reporting - continued
(a) Operating Segments
Hotel Operations
Residential Land
Development
Residential Property
Development
Group
Dollars in thousands
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
External revenue
64,463
64,267
40,291
60,226
5,857
3,013
110,611
127,506
Earnings before interest, depreciation & amortisation
22,636
22,534
20,494
34,652
2,298
835
45,428
58,021
Finance income
1,172
877
524
726
178
84
1,874
1,687
Finance expense
(1,437)
(858)
(2)
-
(2)
-
(1,441)
(858)
Depreciation and amortisation
(4,846)
(4,184)
(7)
-
(9)
(2)
(4,862)
(4,186)
Profit before income tax
17,525
18,369
21,009
35,378
2,465
917
40,999
54,664
Income tax expense
(4,720)
(4,883)
(5,873)
(9,908)
(708)
(252)
(11,301)
(15,043)
Profit after income tax
12,805
13,486
15,136
25,470
1,757
665
29,698
39,621
Segment assets
638,961
587,430
220,560
210,625
65,641
63,766
925,162
861,821
Tax assets
-
-
-
-
-
163
-
163
Investment in associates
-
-
2
2
-
-
2
2
Total assets
638,961
587,430
220,562
210,627
65,641
63,929
925,164
861,986
Segment liabilities
(112,922)
(92,477)
(2,955)
(2,766)
(1,192)
(1,184)
(117,069)
(96,427)
Tax liabilities
(75,704)
(70,766)
(1,135)
(5,438)
(258)
(174)
(77,097)
(76,378)
Total liabilities
(188,626)
(163,243)
(4,090)
(8,204)
(1,450)
(1,358)
(194,166)
(172,805)
Property, plant and equipment expenditure
3,025
12,635
2
-
10
-
3,037
12,635
Residential land development expenditure
-
-
19,874
12,568
-
-
19,874
12,568
Purchase of land for residential land development
-
-
7,624
36,354
-
-
7,624
36,354
Notes to the Condensed Interim Financial StatementsFor the six months ended 30 June 2019 (unaudited)Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
11
2. Segment reporting - continued
(a) Operating Segments
Hotel Operations
Residential Land
Development
Residential Property
Development
Group
Dollars in thousands
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
External revenue
64,463
64,267
40,291
60,226
5,857
3,013
110,611
127,506
Earnings before interest, depreciation & amortisation
22,636
22,534
20,494
34,652
2,298
835
45,428
58,021
Finance income
1,172
877
524
726
178
84
1,874
1,687
Finance expense
(1,437)
(858)
(2)
-
(2)
-
(1,441)
(858)
Depreciation and amortisation
(4,846)
(4,184)
(7)
-
(9)
(2)
(4,862)
(4,186)
Profit before income tax
17,525
18,369
21,009
35,378
2,465
917
40,999
54,664
Income tax expense
(4,720)
(4,883)
(5,873)
(9,908)
(708)
(252)
(11,301)
(15,043)
Profit after income tax
12,805
13,486
15,136
25,470
1,757
665
29,698
39,621
Segment assets
638,961
587,430
220,560
210,625
65,641
63,766
925,162
861,821
Tax assets
-
-
-
-
-
163
-
163
Investment in associates
-
-
2
2
-
-
2
2
Total assets
638,961
587,430
220,562
210,627
65,641
63,929
925,164
861,986
Segment liabilities
(112,922)
(92,477)
(2,955)
(2,766)
(1,192)
(1,184)
(117,069)
(96,427)
Tax liabilities
(75,704)
(70,766)
(1,135)
(5,438)
(258)
(174)
(77,097)
(76,378)
Total liabilities
(188,626)
(163,243)
(4,090)
(8,204)
(1,450)
(1,358)
(194,166)
(172,805)
Property, plant and equipment expenditure
3,025
12,635
2
-
10
-
3,037
12,635
Residential land development expenditure
-
-
19,874
12,568
-
-
19,874
12,568
Purchase of land for residential land development
-
-
7,624
36,354
-
-
7,624
36,354
2. Segment reporting – continued
(b) Geographic Segments
New Zealand
Australia
Group
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Unaudited
6 months
to 30/06/19
Unaudited
6 months
to 30/06/18
Dollars in thousandsExternal revenue
104,754
124,493
5,857
3,013
110,611
127,506
Earnings before interest, depreciation & amortisation
43,215
57,163
2,213
858
45,428
58,021
Finance income
1,696
1,603
178
84
1,874
1,687
Finance expense
(1439)
(858)
(2)
-
(1,441)
(858)
Depreciation and amortisation
(4,853)
(4,184)
(9)
(2)
(4,862)
(4,186)
Profit before income tax
38,619
53,724
2,380
940
40,999
54,664
Income tax expense
(10,596)
(14,793)
(705)
(250)
(11,301)
(15,043)
Profit after income tax
28,023
38,931
1,675
690
29,698
39,621
Segment assets
859,742
798,164
65,420
63,657
925,162
861,821
Tax assets
-
-
-
163
-
163
Investment in associates
2
2
-
-
2
2
Total assets
859,744
798,166
65,420
63,820
925,164
861,986
Segment liabilities
(115,918)
(95,280)
(1,151)
(1,147)
(117,069)
(96,427)
Tax liabilities
(76,839)
(76,199)
(258)
(179)
(77,097)
(76,378)
Total liabilities
(192,757)
(171,479)
(1,409)
(1,326)
(194,166)
(172,805)
Property, plant and equipment expenditure
3,027
12,635
10
-
3,037
12,635
Residential land development expenditure
19,874
12,568
-
-
19,874
12,568
Purchase of land for residential land development
7,624
36,354
-
-
7,624
36,354
Notes to the Condensed Interim Financial StatementsFor the six months ended 30 June 2019 (unaudited)Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
12
3. Share capital
Ordinary sharesRedeemable preference shares
Shares$ 000sShares$ 000s
Total shares issued – fully paid
Balance at 30 June 2018105,578,290350,04852,739,54333,218
Balance at 30 June 2019105,578,290350,04852,739,54333,218
Ordinary shares repurchased
and held as treasury stock
Balance at 30 June 2018(99,547)(26)--
Balance at 30 June 2019(99,547)(26)--
Shares issued – fully paid
Balance at 30 June 2018105,478,743350,02252,739,54333,218
Balance at 30 June 2019105,478,743350,02252,739,54333,218
At 30 June 2019, the authorised share capital consisted of 105,578,290 ordinary shares (2018:
105,578,290 ordinary shares) with no par value and 52,739,543 redeemable preference shares
(2018: 52,739,543) with no par value.
4. Earnings per share
The basic earnings per share of 15.05 cents (30 June 2018: 19.05 cents) is based on the profit
attributable to ordinary shareholders of $23.81 million (30 June 2018: $30.15 million) and weighted
average number of ordinary shares and redeemable preference shares outstanding during the period
ended 30 June 2019 of 158,218,286 (30 June 2018: 158,218,286).
The redeemable preference shares are included in the computation of earnings per share as they
rank equally with ordinary shares in respect of distributions made by the Company except any
distribution in the case of liquidation.
The calculation of diluted earnings per share of 15.05 cents (30 June 2018: 19.05 cents) is the same
as basic earnings per share.
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
13
5. Dividends
The following dividends were paid during the interim periods:
Group
Dollars In Thousands
Unaudited
30/06/19
Unaudited
30/06/18
Ordinary dividend: 7.5 cents per qualifying share (2018:
6.0 cents)
11,8669,493
Supplementary dividend: 1.3235 cents per qualifying
share (2018: 1.0588 cents)311242
12,1779,735
6. Related party transactions
Millennium & Copthorne Hotels New Zealand Limited is a 75.78% (2018: 75.78%) (economic
interests from both ordinary and preference shares) owned subsidiary of CDL Hotels Holdings New
Zealand Limited which is a wholly owned subsidiary of Millennium & Copthorne Hotels plc in the
United Kingdom. The ultimate parent company is Hong Leong Investment Holdings Pte Limited in
Singapore.
At balance date there were related party advances owing from/(owing to) the following related
companies:
Group
Dollars In Thousands
Nature of balanceUnaudited
30/06/19
Unaudited
30/06/18
Trade payables and receivables due to related parties
Millennium & Copthorne Hotels plcRecharge of expenses(2,791)(899)
Millennium & Copthorne International LimitedRecharge of expenses
& provision of
management and
marketing support(27)-
CDL Hotels Holdings New Zealand LimitedRecharge of expenses1015
CDLH (BVI) One Limited Rent payment(868)(713)
(3,676)(1,597)
Loans due to related parties
CDL Hotels Holdings New Zealand LimitedInter-company loan
(9,000)(7,100)
(9,000)(7,100)
No debts with related parties were written off or forgiven during the period. No interest was charged
on these payables during 2019 and 2018. There are no set repayment terms. During this period, costs
amounting to $125,000 (2018: $125,000) have been recorded in the income statement in respect
of fees payable to Millennium & Copthorne International Limited for the provision of management
and marketing support.
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
14
6. Related party transactions – continued
As at balance date, CDL Hotels Holdings New Zealand Limited has lent a total of $9.00 million (30
June 2018: $7.10 million) to Millennium & Copthorne Hotels New Zealand Limited. The interest rates
are fixed at 2.20% (30 June 2018: 2.07%) until the loans are reviewed on 20 September 2019. The
unsecured loans are repayable on demand.
7. Capital commitments
As at 30 June 2019, the Group has entered into contractual commitments for capital expenditure and
development expenditure.
Group
Dollars In Thousands
Unaudited
30/06/19
Unaudited
30/06/18
Capital expenditure4,4253,010
Development expenditure21,25226,830
Land purchases33,717-
59,39429,840
8. Changes in contingent liabilities and contingent assets since last annual balance
sheet date
The Group has an outstanding claim from the main contractor of the Copthorne Hotel Harbourcity
City project. The Group received the notice for an arbitration but no date has been set. The total
of the claim is unknown and the outcome of the arbitration is indeterminate at present, hence no
liability has been recognised in the financial statements at balance date.
9. New accounting standard
During the period, the Group adopted one new accounting standard, NZ IFRS 16 “Leases”, using the
modified retrospective approach. This standard requires a right-of-use asset and a corresponding
lease liability to be recognised on the balance sheet in respect of the leased assets. The lease
expenses will be replaced with an interest expense and an amortization expense in the income
statement.
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
15
9. New accounting standard – continued
9(a) Summary of the effect of NZ IFRS 16 on the Condensed Interim Statement of Financial
Position on transition
Statement of Financial Position
Dollars In Thousands
NoteReverse interests
in long term
leased assets and
adjust the asset
revaluation reserves.
Record new assets
and new liabilities
Impact on opening
balances @
01/01/19
Revaluation reserve9(a)(i)
(7,565)-(7,565)
Equity
(7,565)-(7,565)
Property, plant and equipment9(a)(i)
(7,565)-(7,565)
Right-of-use assets9(a)(ii)
-16,70116,701
Prepayments9(a)(ii)
-(1,649)(1,649)
Total assets
(7,565)15,0527, 4 8 7
Current lease liabilities9(a)(ii)
-404404
Non current lease liabilities9(a)(ii)
-14,64814,648
Total liabilities
-15,05215,052
Net Assets
(7,565)-(7,565)
Net Asset Value(4.781) cents per
share
Based on above table, this standard has a material impact on the Net Assets in the Statement of
Financial Position on transition.
9(a)(i) The Group have several long-term leases which renew at 21 year cycles for perpetuity at the discretion
of the Group on the land: at Copthorne Hotel Auckland City; at Kingsgate Hotel Greymouth; and a
motel, manager’s house, and land at Millennium Hotel Rotorua. In addition, there is a long-term lease of
the basement carpark at M Social Auckland, the lease of corporate office, and a long term lease of the
land at Copthorne Hotel & Resort Bay of Islands. The interests in long term leases have been recorded
and classified as leasehold land in property, plant and equipment as at 31 December 2018. On transition
to NZ IFRS 16, these interests totalling $7.57 million were reversed out of property plant, equipment
with the corresponding total of $7.57 million reversed out of the asset revaluation reserves.
9(a)(ii) The long term leases of the land and carpark at the hotels and the motor vehicles were recorded as
right-of-use assets totalling $16.70 million and classified under property, plant and equipment.
Their corresponding lease liabilities were recorded under current liabilities of $0.40 million and
non-current liabilities of $14.65 million. The lease payments for the land at Copthorne Hotel &
Resort Bay of Islands were prepaid up to May 2021.
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
16
9. New accounting standard – continued
When measuring lease liabilities, the Group discounted lease payments using its incremental
borrowing rates at 1 January 2019. The weighted average rate applied is 6.70%. The increment
borrowing rates used to discount the leased assets and liabilities required significant judgement and
had a material impact on the calculation of the lease liability and right-of-use asset. The incremental
borrowing rates used in the transition are subject to further review and refinement.
9(b) Schedule of right-of-use assets by class
Right-of-use Assets
Dollars In Thousands
Carrying value
recognized on
transition
@ 01/01/19
Amortization on
right-of-use asset
for the period
Addition
during the period
Carrying value @
30/06/19
Land sites at hotels
12,352427-11,925
Motel buildings and land
1,89311-1,882
Corporate office building
and hotel carpark
2,128141-1,987
Motor vehicles3286663325
Totals16,7016456316,119
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
17
9. New accounting standard – continued
9(c) Summary of the effect of NZ IFRS 16 on the Condensed Interim Income Statement for the
period
Income Statement


Dollars In Thousands
Lease payments
booked to lease
liabilities in the
Balance Sheet
Additional
amortization of
right-of-use assets
booked to the
Profit & Loss
Additional interest
on lease liabilities
booked to Profit
& Loss
Impact on
performance-
6 months to
30/06/19
Other operating expenses(676)645-(31)
EBITDA676(645)-31
Net finance income--(512)(512)
Net profit/(loss) before
tax676(645)(512)(481)
Less income tax
(expense)/credit(189)181143135
Net profit/(loss) after tax487(464)(369)(346)
Earnings per Share(0.2187) cents
per share
Based on the above table, this standard has an immaterial impact on the Net Profit after Tax in the
Income Statement for the 6 months period ended 30 June 2019.
9(c)(i) On application of NZ IFRS 16, lease payments were longer expensed into the income statement.
Instead, they were accounted as reductions in the lease liabilities in the statement of financial
position. There were additional expense of $0.645 million (Note 9(b)), due to the straight line
amortization of the right-of-use assets over the term of the leases. Interest costs, computed at
the relevant incremental borrowing rates totalling $0.512 million were additional expenses in the
income statement.
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
18
9. New accounting standard – continued
9(d) Exemptions and exclusions
Exempted were motor vehicle leases shorter than 12 months and leased assets with value below
$8,000. Excluded were variable rentals and lease payments. The following table summarizes these
leases by class:
Dollars In ThousandsExpense
recognized in
the Profit &
Loss
Lease
commitments
@ 30/06/19
Lease
commitments
within one
year
Lease
commitments
between one
and 5 years
Lease
commitments
more than 5
years
Short term leases
<12 months
503636--
Low value leased
assets
333--
Variable lease
payments under
service and
management
contracts
53388106282-
Total106427145282-
Grand Millennium Auckland and Kingsgate Hotel Autolodge Paihia, both of which are under service
and management contracts are accounted on a net basis and therefore their rentals are excluded
from leases.
9(e) Summary of the effect of NZ IFRS 16 on the Condensed Statement of Cash Flows
There are no impacts on the cash flows and the loan covenants of the Group. However, NZ IFRS
requires separate classifications:
• Cash payments for the principal portion of the lease liability within financing activities;
• Cash payments for the interest portion of the lease liability applying the requirements in NZ
IAS 7 “Statement of Cash Flows” for interest paid; and
• Short-term lease payments, payments for low value assets and variable lease payments
excluded from lease liabilities within operating activities.
The cash outflow for leases of right-of-use assets for the six months period ended 30 June 2019
totalled $0.676 million.
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Millennium & Copthorne Hotels New Zealand Limited
Half Year Report 2019
19
9. New accounting standard – continued
9(f) Reconciliation between operating lease commitments under NZ IAS 17 at 31 December 2018
and lease liabilities recognised on transition at 1 January 2019
Dollars In ThousandsUnaudited @
01/01/19
Operating lease commitments at 31 December 2018 as disclosed in the Group’s
consolidated financial statements6,280
Discounted using incremental borrowing rates at 1 January 20194,452
Less recognition exemption for:
Short term leases <12 months(16)
Add extension options reasonably certain to be exercised on long term leases10,616
Lease liabilities recognised at 1 January 201915,052
Notes to the Condensed Interim Financial Statements
For the six months ended 30 June 2019 (unaudited)
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries

Top Holders (Ordinary Shares) as at 2 September 2019
Top Holders Redeemable Preference Shares as at 2 September 2019
Shareholder Information and Disclosures
Millennium & Copthorne Hotels New Zealand Limited and Subsidiaries
Rank Name Units % of Units
1. CDL HOTELS HOLDINGS NEW ZEALAND LIMITED 45,224,095 85.75
2. BNP PARIBAS NOMINEES (NZ) LIMITED 2,945,671 5.59
3. HSBC NOMINEES (NEW ZEALAND) LIMITED 1,675,950 3.18
4. ACCIDENT COMPENSATION CORPORATION 935,848 1.77
5. LENG BENG KWEK 453,000 0.86
6. NATIONAL NOMINEES NEW ZEALAND LIMITED 397,131 0.75
7. KAY HONG CHIAM 211,324 0.40
8. ASB NOMINEES LIMITED 136,323 0.26
9. ALAN DAVID WHITE 109,830 0.21
10. JENNIFER GAYE SIMPSON 43,000 0.08
11. CUSTODIAL SERVICES LIMITED 40,300 0.08
12. THEODORE JOHN VAN GELDERMALSEN + MARGARET GAY FREEMANTLE 38,000 0.07
13. HOWARD CEDRIC ZINGEL 31,592 0.06
14. JOAN LESLEY THOMPSON 30,200 0.06
15. ROGER EDWARD HAYWARD + SUSAN ELIZABETH HAYWARD 28,909 0.05
16. CUSTODIAL SERVICES LIMITED 23,900 0.05
17. SEA AND PEAK EQUITIES LIMITED 23,400 0.04
18. LYNNE MARIE MARX-SHEATHER + WALTER BRENT SHEATHER +

PATRICIA VERA SHEATHER + SIMON MIDDLETON PALMER 22,263 0.04
19. RICHARD ALEXANDER COUTTS 22,228 0.04
20. CUSTODIAL SERVICES LIMITED 21,200 0.04
TOTALS: TOP 20 HOLDERS OF ORDINARY SHARES 52,414,164 99.38
Rank Name Units % of Units
1. CDL HOTELS HOLDINGS NEW ZEALAND LIMITED 74,743,077 70.79
2. BNP PARIBAS NOMINEES (NZ) LIMITED - NZCSD 5,964,272 5.65
3. HSBC NOMINEES (NEW ZEALAND) LIMITED A/C STATE STREET 5,287,332 5.01
4. NATIONAL NOMINEES NEW ZEALAND LIMITED 2,796,413 2.65
5. JPMORGAN CHASE BANK NA NZ BRANCH-SEGREGATED CLIENTS ACCOUNT 2,502,783 2.37
6. CITIBANK NOMINEES (NEW ZEALAND) LIMITED 1,912,348 1.81
7. ACCIDENT COMPENSATION CORPORATION 1,164,603 1.10
8. LENG BENG KWEK 906,000 0.86
9. SKY HILL LIMITED 864,064 0.82
10. HSBC NOMINEES (NEW ZEALAND) LIMITED 776,276 0.74
11. AMALGAMATED DAIRIES LIMITED 684,980 0.65
12. KAY HONG CHIAM 475,251 0.45
13. MFL MUTUAL FUND LIMITED 463,297 0.44
14. CUSTODIAL SERVICES LIMITED 399,780 0.38
15. JALAER INVESTMENTS LIMITED 278,977 0.26
16. JARDEN SECURITIES LIMITED 183,339 0.17
17. GEOK LOO GOH 168,002 0.16
18. ASB NOMINEES LIMITED 166,953 0.16
19. SITA SINGH 151,000 0.14
20. ASB NOMINEES LIMITED 140,000 0.13
TOTALS: TOP 20 HOLDERS OF REDEEMABLE PREFERENCE SHARES 100,028,747 94.74

HEAD OFFICE
Head Office Tel: (09) 353 5010
Level 13, 280 Queen Street
PO Box 5640, Wellesley St, Auckland
NATIONAL CONFERENCE OFFICE
Ph: 0800 4 MEETINGS (0800 4 633 846)
Email: meetings@millenniumhotels.co.nz
www.meetingsnz.co.nz
SALES

Email: sales.marketing@millenniumhotels.co.nz
International Sales Tel: (09) 353 5085
Corporate Sales Auckland Tel: (09) 353 5010
Corporate Sales Wellington Tel: (04) 382 0770
CENTRAL RESERVATIONS
Ph: 0800 808 228
Email: central.res@millenniumhotels.co.nz
www.millenniumhotels.com