Registration Number 3066

Comharchumann Chléire Teo

Directors' Report and Financial Statements

for the year ended 31 December 2009

 Comharchumann Chléire Teo

Contents

Page

Committee of management and other information 1

Statement of Committee of Management Responsibilities 2

Independent Auditors' report (Main) to the shareholders 3-4

Profit and loss account 5

Balance sheet 6

Notes to the financial statements 7 - 15

including Statement of Accounting Policies
 Comharchumann Chléire Teo

Directors and other information

Committee of Management Niall Ó Riagáin

Facthna Ó'Drisceoil
Seán Ó'Drisceoil
Máirtín Ó'Méalóid
Jamie O Neill
Tomás Ó Ceadagáin
Padraig Ó Drisceoil
Judy Gilbert
Dorothee Uí Cheallaigh
Niamh Ní Dhrisceoil
Rhiannon McCann

Secretary Mairtín Ó'Mealóid

Company number 3066

Registered office Oileán Cléire

An Sciobairín
Co. Chorcaí

Auditors Desmond Gibbons & Co

An Cearnóg
An Sciobairín
Co. Chorcaí

Business address Oileán Cléire

An Sciobairín
Co Chorcaí

Bankers Banc Aontas Éireann

Sráid an Droicead
An Sciobairín

Solicitors Wolfe & Co

Sráid an Mhargaidh
An Sciobairín
Co Chorcaí

Page 1
 Comharchumann Chléire Teo

Statement of Committee of Management's responsibilities for the year ended 31 December 2009

The committee of management is responsible for causing to be prepared financial statements which
give a true and fair view in accordance with applicable Irish law including the Industrial and
Provident Societies Acts, 1893 to 1978 and Generally Accepted Accounting Practise in Ireland
including the accounting standards issued by the Accounting Standards Board and published by
the Institute of Certified Public Accountants in Ireland.
In causing the preparation of the financial statements, the committee of management are required
to:

- select suitable accounting policies and then apply them consistently

- make judgements and estimates that are reasonable and prudent

- prepare the financial statements on the going concern basis unless it is inappropriate to presume
that the company will continue in business.

The committee of management confirms that it has complied with the above requirements in
preparing the financial statements.

In accordance with Rule 63 of the Society's rules the committee of management is responsible for
causing to be kept proper books of account such as are necessary to give a true and fair view of the
state of affairs of the Society and to explain its transactions.
The committee of management is also responsible for safeguarding the assets of the Society and
hence for taking reasonable steps for the prevention and detection of fraud.
With regard to the properties owned by the Co-Op, many owned for almost forty years, none of
which have ever been revalued and therefore in our opinion do not require any adjustment to their
valuation in the accounts to take account of the current downturn in our economic climate.

On behalf of the committee

Niall Ó Riagáin Máirtín Ó'Méalóid

Cathaoirleach Runaí 30th March 2010

Page 2
 Independent auditors' report to the shareholders of
Comharchumann Chléire Teo

We have audited the financial statements of Comharchumann Chléire Teo for the year ended 31 December
2009 which comprise the profit and loss account, the balance sheet and the related notes. These financial
statements have been prepared under the historical cost convention and the accounting policies set out therein.

This report is made solely to the company's shareholders, as a body, in accordance with Section 13 of the
Industrial & Provident Societies Act 1893. Our audit work has been undertaken so that we might state to the
company's shareholders those matters we are required to state to them in an auditors' report and for no other
purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than
the company and the company's shareholders as a body, for our audit work, for this report, or for the opinions
we have formed.

Respective responsibilities of Committeeof management and auditors

The company's commitee of management is responsible for preparing the Annual report, including as
described in the statement of Committee of management responsibilities the preparation of the financial in
accordance with applicable law and Irish Accounting Standards.
Our responsibility is to audit the financial statements in accordance with relevant legal and regulatory
requirements and Auditing Standards promulgated by the Auditing Practices Board (UK and Ireland) and
International Standards on Auditing (UK and Ireland).

We report to you our opinion as to whether the financial statements give a true and fair view in accordance
with Generally Accepted Accounting Practice in Ireland and are properly prepared in accordance with
Companies Acts 1963 to 2009. We also report to you whether in our opinion: proper books of account have
been kept by the company; whether, at the balance sheet date, there exists a financial situation requiring the
convening of an Extraordinary General Meeting of the company; and whether the information given in the
Committee of Management Report is consistent with the financial statements. In addition, we state whether
we have obtained all the information and explanations necessary for the purposes of our audit and whether the
company's balance sheet and its profit and loss account are in agreement with the books of account.

We read the Committee of Management Report and consider the implications for our report if we become
aware of any apparent misstatement within it.

Page 3
 Independent auditors' report to the shareholders of Comharchumann Chléire Teo (continued)

Basis of audit opinion

We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) issued by
the Auditing Practices Board . An audit includes examination, on a test basis, of evidence relevant to the
amounts and disclosures in the financial statements. It also includes an assessment of the significant estimates
and judgements made by the Committeeof management in the preparation of the financial statements, and of
whether the accounting policies are appropriate to the company's circumstances, consistently applied and
adequately disclosed.

We planned and performed our audit so as to obtain all the information and explanations which we considered
necessary in order to provide us with sufficient evidence to give reasonable assurance that the financial
statements are free from material misstatement, whether caused by fraud or other irregularity or error. In
forming our opinion we also evaluated the overall adequacy of the presentation of information in the financial
statements.

We have undertaken the audit in accordance with the requirements of the APB Ethical Standards - Provisions
Available for Small Entities, in the circumstances set out in the notes to the financial statements.

Opinion
In our opinion the financial statements:
- give a true and fair view, in accordance with Generally Accepted Accounting Practice in Ireland, of the state
of the company's affairs as at 31 December 2009 and of its profit for the year then ended ; and
- have been properly prepared in accordance with the Companies Acts 1963 to 2009.

We have obtained all the information and explanations, which we consider necessary for the purposes of our
audit. In our opinion proper books of account have been kept by the company. The financial statements are in
agreement with the books of account.

In our opinion the information given in the directors' report is consistent with the financial statements.

The net assets of the company, as stated in the balance sheet, are more than half of the amount of its called up
share capital and, in our opinion, on that basis there did not exist at 31 December 2009 a financial situation
which under Section 40 (1) of the Companies (Amendment) Act, 1983 would require the convening of an
extraordinary general meeting of the company.

Desmond Gibbons & Co An Cearnóg

An Sciobairín
Co. Chorcaí
Date: 31 March 2010

Page 4
 Comharchumann Chléire Teo

Profit and loss account

for the year ended 31 December 2009

Continuing operations

2009 2008

Notes € €

Turnover 2 731,054 795,457

Cost of sales (212,532) (290,115)

Gross profit 518,522 505,342

Administrative expenses (702,645) (810,362)

Other operating income 204,665 241,830

Operating profit/(loss) 3 20,542 (63,190)

Other interest receivable and

similar income 336 126
Interest payable and similar charges 4 (11,233) (18,295)

Profit/(loss) on ordinary
activities before taxation 9,645 (81,359)

Tax on profit/(loss) on ordinary activities 7 (2,922) -

Retained profit/(loss) for the year 6,723 (81,359)

Retained profit brought forward 230,694 312,056

Retained profit carried forward 237,417 230,697

There are no recognised gains or losses other than the profit or loss for the above two financial years.

On behalf of the board

Niall Ó Riagáin Máirtín Ó'Méalóid

Member of Management Member of Management

The notes on pages 7 to 15 form an integral part of these financial statements.

Page 5
 Comharchumann Chléire Teo

Balance sheet
as at 31 December 2009

2009 2008
Notes € € € €

Fixed assets
Tangible assets 8 1,052,158 1,104,538
Investments 9 220,243 216,743
1,272,401 1,321,281

Current assets
Stocks 33,432 29,443
Debtors 10 289,097 403,889
Investments 11 254 254
Cash at bank and in hand 72,841 80,401
395,624 513,987
Creditors: amounts falling
due within one year 12 (781,625) (881,812)
Net current liabilities (386,001) (367,825)
Total assets less current
liabilities 886,400 953,456
Creditors: amounts falling due
after more than one year 13 (8,271) (51,982)
Accruals and deferred income 15 (604,130) (634,195)

Net assets 273,999 267,279

Capital and reserves
Called up share capital 16 36,582 36,582
Profit and loss account 237,417 230,697
Equity shareholders' funds 17 273,999 267,279

The financial statements were approved by the Board on 30 March 2010 and signed on its behalf by

Niall Ó Riagáin Máirtín Ó'Méalóid

Member of Management Member of Management

The notes on pages 7 to 15 form an integral part of these financial statements.

Page 6
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

1. Statement of accounting policies

The following accounting policies have been applied consistently in dealing with items which are
considered material in relation to the company's financial statements.

1.1. Basis of preparation

The audited financial statements have been prepared in accordance with accounting standards generally
accepted in Ireland and Irish statute comprising Section 13 of the Industrial and Provident Societies Act
1893 and the Companies Acts 1963 to 2009, Accounting Standards generally accepted in Ireland in
preparing financial statements giving a true and fair view are those issued by the Accounting Standards
Board.
The audited financial statements are prepared under the historical cost convention modified to include
the revaluation of certain fixed assets and financial instruments, and in accordance with applicable
accounting standards.
The company has taken advantage of the exemption in FRS1 from the requirement to produce a
cashflow statement because it is a small company.

1.2. Cash flow statement

The company meets the size criteria for a small company set by the Companies (Amendment) Act, 1986
and therefore, in accordance with FRS1: Cash flow statements, it has not prepared a cash flow
statement.

1.3. Group accounts

The company and its subsidiaries combined, meet the size exemption criteria for the group and the
company is therefore exempt from the requirement to prepare consolidated financial statements by
virtue of Regulation 7 of the European Communities (Companies Group Accounts) Regulation, 1992.
Consequently, these financial statements deal with the results of the company as a single entity.

1.4. Turnover Policy

Turnover represents the total invoice value, excluding value added tax, of sales made during the year.

1.5. Tangible fixed assets and depreciation

Depreciation
Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost less residual
value, of each asset systematically over its expected useful life, as follows:

Land and buildings - Straight line over 25 years

Plant and machinery -
Fixtures, fittings
and equipment - 12.5% straight line
Motor vehicles - 12.5% straight line

Page 7
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

1.6. Investments
Fixed asset investments are stated at cost less provision for permanent diminution in value.

Current asset investments are at the lower of cost and net realisable value.

1.7. Stock
Stock is valued at the lower of cost and net realisable value.

1.8. Pensions
The company operates a defined contribution pension scheme for employees. The assets of the scheme
are held separately from those of the company. The annual contributions payable are charged to the
Profit and Loss Account.

1.9. Government grants

Grants are credited to deferred revenue. Grants towards capital expenditure are released to the profit
and loss account over the expected useful life of the assets. Grants towards revenue expenditure are
released to the profit and loss account as the related expenditure is incurred.

2. Turnover
The total turnover of the company for the year has been derived from its principal activity wholly
undertaken in Ireland.

3. Operating profit/(loss) 2009 2008

€ €
Operating profit/(loss) is stated after charging:
Depreciation and other amounts written off tangible assets 65,234 63,674
Loss on disposal of tangible fixed assets - 67,105
and after crediting:
Government grants 194,997 240,755

4. Interest payable and similar charges 2009 2008

€ €
Included in this category is the following:
On bank loans and overdrafts 11,233 18,295

Page 8
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

5. Employees

Number of employees
The average monthly numbers of employees 2009 2008
(including the Committeeof management) during the year were:

16 14

Employment costs 2009 2008

€ €

Wages and salaries 362,897 335,669

Social welfare costs 35,266 33,947
Other pension costs 22,348 23,499
420,511 393,115

6. Pension costs

The company operates a defined contribution pension scheme. The scheme and its assets are held by
independent managers. The pension charge represents contributions due from the company and
amounted to €22,348 (2008 - €23,499 ).

Page 9
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

7. Tax on profit/(loss) on ordinary activities

Analysis of charge in period 2009 2008

€ €
Corporation tax 2,922 -

Factors affecting tax charge for period

The tax assessed for the period is higher than the standard rate of corporation tax in Ireland (12.50 %).
The differences are explained below:
2009 2008
€ €
Profit/(loss) on ordinary activities before taxation 9,645 (81,359)

Profit/(loss) on ordinary activities multiplied by standard rate of corporation

tax in Ireland of 12.50% 1,206 -
Capital allowances for period in excess of depreciation 636 -
Utilisation of tax losses (338) -
Higher tax rates on rental earnings 1,376 -
Higher tax rate on interest earned 42 -
Current tax charge for period 2,922 -

Page 10
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

Land and Fixtures,

8. Tangible fixed assets buildings Plant and fittings and Motor
freehold machinery equipment vehicles Total
€ € € € €
Cost
At 1 January 2009 1,055,253 98,172 115,004 83,837 1,352,266
Additions 6,950 1,420 3,681 801 12,852
At 31 December 2009 1,062,203 99,592 118,685 84,638 1,365,118
Grants Received (1,560) (1,560)
Depreciation
At 1 January 2009 74,225 62,587 72,813 36,543 246,168
Charge for the year 35,898 8,637 10,623 10,074 65,232
At 31 December 2009 110,123 71,224 83,436 46,617 311,400
Net book values
At 31 December 2009 952,080 28,368 35,249 36,461 1,052,158
At 31 December 2008 981,028 35,585 42,191 45,734 1,104,538

Page 11
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

Subsidiary Other
9. Financial assets undertakings unlisted
shares investments Total
€ € €
Cost
At 1 January 2009 216,743 - 216,743
Additions - 3,500 3,500
At 31 December 2009 216,743 3,500 220,243

Net book values

At 31 December 2009 216,743 3,500 220,243
At 31 December 2008 216,743 - 216,743

1. Subsidary Undertakings.
Name Naomh Ciarán II
Country of Incorporation Ireland
Details of Investment 100 €1 Ordinary Shares
Amount held by company 100%
Registered Office Glen East, Oileán Cléire, An Sciobairín, Co.
Principle Activity Ferry

2. Other Unlisted Investments

This is approximately one third of a syndicate € 10,000 share in the Cork-Swansea Ferry held by the
Co Op secretary Mairtín Ó Mealóid on behalf of the group.

10. Debtors 2009 2008

€ €

Trade debtors 37,137 57,283

Amounts owed by group undertakings - 57,387
Amount owed by connected companies 193,000 193,000
Other debtors 52,287 91,711
Prepayments and accrued income 6,673 4,508
289,097 403,889

Page 12
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

11. Current asset investments 2009 2008

€ €
Other unlisted investments 254 254

12. Creditors: amounts falling due 2009 2008

within one year € €

Loans & other borrowings

Bank overdraft 21,319 40,114
Bank loan 211,506 244,625
Payments received on account 54,634 59,041

Other creditors
Trade creditors 32,077 33,785
Amounts owed to group undertaking 193,000 250,387
Amounts owed to connected companies 214,330 214,330
Other creditors 20,020 15,180
Accruals and deferred income 15,100 15,100

Taxation creditors
Corporation tax 877 (2,248)
PAYE/PRSI 9,353 5,876
VAT 9,409 5,622

781,625 881,812

13. Creditors: amounts falling due 2009 2008

after more than one year € €

Bank loan 8,271 51,982

Loans
Repayable in one year or less, or on demand (Note 12) 211,506 244,625
Repayable between one and two years 8,271 38,841
Repayable between two and five years - 13,141
219,777 296,607

Page 13
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

14. Details of Borrowings

Maturity Analysis Within Between 1 Between 2 After Total

1 year & 2 years & 5 years 5 years
€ € € € €

Repayable by instalments
Bank loan 211,506 8,271 - - 219,777

At end of year 211,506 8,271 - - 219,777

15. Accruals and deferred income 2009 2008

€ €
Government grants
At 1 January 2009 634,195 503,774
Increase in year - 159,650
634,195 663,424
Released in year (30,065) (29,229)
At 31 December 2009 604,130 634,195

16. Share capital 2009 2008

€ €
Allotted, called up and fully paid equity
28,805 Ordinary shares of €1.27 each 36,582 36,582

17. Reconciliation of movements in shareholders' funds 2009 2008

€ €

Surplus/(deficit) for the year 6,723 (81,359)

Net proceeds of equity share issue - 19
Net addition to shareholders' funds 6,723 (81,340)
Opening shareholders' funds 267,276 348,616
Closing shareholders' funds 273,999 267,276

Page 14
 Comharchumann Chléire Teo

Notes to the financial statements

for the year ended 31 December 2009

.................... continued

18. Related party transactions

Comharchumann Chléire Teo was advanced an amount of € 214,330 from its wholly owned subsidary
Naomh Ciarán during 2005 and as of the year end this amountis still owing.

Also, Comharchumann Chléire Teo is a member of a syndicate, which comprises of some members of
the Committee of Management of Comharchumann Chléire Teo, & between them they hold a share in
the cooperative being set up to re establish the Cork-Swansea ferry route.

19. APB Ethical Standard - Provisions Available for Small Entities

In common with many other businesses of our size and nature we use our auditors to prepare and submit
returns to the Revenue Commissioners and assist with the preparation of the financial statements.

20. Accounting Periods

The current accounts are for a full year. The comparative accounts are for a full year.

21. Approval of financial statements

The board of directors approved these financial statements for issue on 30 March 2010.

Page 15
 Comharchumann Chléire Teo

The following pages do not form part of the statutory accounts.

 Comharchumann Chléire Teo

Detailed trading profit and loss account

and expenses schedule
for the year ended 31 December 2009

2009 2008
€ € € €

Sales
Food & Drink 113,498 77,495
Coal Gas & Oil 94,739 109,328
Sundry (incl SHB subvention) 2,875 4,580
Bus Hire 7,896 18,000
Office Services 653 713
College Income 206,271 185,984
Campsite - 4,997
Admin Cost Received 28,247 32,171
Togáil 65,477 172,962
RTP 161,587 145,610
Rent receivable 12,312 9,851
Commissions receivable 4,327 4,685
Books Arts & Painting 4,233 5,410
Other income 25,627 19,729
Free Travel 3,312 3,942
731,054 795,457

Cost of sales
Opening stock 29,443 32,228
Maps Books & Signs 1,160 9,640
Coal Gas & Oil 85,720 95,296
Food & Drink 64,992 47,691
Subcontracting 12,450 11,900
Togáil expenses 27,112 87,959
Carriage inwards 4,628 2,221
Hire of plant and machinery 1,300 907
Hire of Bus 7,896 18,000
Direct cost buses 5,763 6,016
Insurance 5,500 7,700
245,964 319,558

Closing stock (33,432) (29,443)

(212,532) (290,115)

Gross profit 71% 518,522 64% 505,342

Administrative expenses
Wages and salaries 362,897 335,669
Employer's PRSI/NI contributions 35,266 33,947
Staff pension costs 18,678 18,600
Redundancy payment 1,917 -
Staff training - 3,225
Staff sick benefit & pension costs 3,670 4,899
 Comharchumann Chléire Teo

Detailed trading profit and loss account

and expenses schedule
for the year ended 31 December 2009

2009 2008
€ € € €

Commissions payable (750) 5,875

Rent payable 7,467 7,459
Rates 807 817
Service charges 3,014 1,504
Insurance 19,405 28,813
Light and heat 7,607 7,589
Cleaning 764 1,947
Repairs and maintenance 10,692 7,866
Campsite 100 1,248
Desalinisition plant maintenance - 1,250
Printing, postage and stationery 2,738 5,270
Advertising 903 3,800
Telephone 6,411 7,328
Computer costs 1,610 1,091
Hire of equipment 330 -
Broadband connection & subs 2,554 1,255
Motor expenses 15 1,013
Arts & Crafts - 9,686
Travelling and subsistence 15,403 19,985
Entertaining 5,836 7,519
Courses 3,377 4,705
Legal and professional 1,396 2,219
Consultancy fees 233 1,802
Accountancy 250 -
Audit 15,145 16,006
Health & safety 88 -
Bank charges 1,697 2,546
Credit card charges 349 278
Bad debts - 37,439
Discounts allowed 51 5
Discounts received (390) (358)
Staff welfare 450 4,152
College Expenses 104,680 90,171
General expenses 716 1,250
Subscriptions 2,035 1,713
Depreciation on freehold property 35,898 36,326
Depreciation on plant and machinery 8,639 8,161
Depreciation on FF & Equipment 10,623 9,213
Depreciation on motor vehicles 10,074 9,974
Profits/losses on disposal of tangible assets - 67,105
702,645 810,362
Other operating income
 Comharchumann Chléire Teo

Detailed trading profit and loss account

and expenses schedule
for the year ended 31 December 2009

2009 2008
€ € € €

Ground rent receivable 1,000 1,000

Government grants received 194,997 240,755
CSP grant monies paid out 5,668 -
Sundry income 3,000 75
204,665 241,830

Operating profit/(loss) 2% 20,542 10% (63,190)

Other income and expenses

Interest receivable
Bank deposit interest 336 126
336 126

Interest payable
Bank interest 11,233 18,295
(11,233) (18,295)
Net profit/(loss) for the year 9,645 (81,359)