Putting you first at the centre of what we do. Keeping you healthy and safe at work. Supporting you when you are harmed at work. Ensuring your scheme works and is sustainable.

QWL Corporation Pty Limited

QWL Corporation Pty Limited (ABN 30 064 178 641) is the wholly owned subsidiary of Comcare,
with its place of business located in Canberra.

It was established under the Commonwealth Corporations Law on 25 May 1994 to perform functions that may be performed by Comcare or subsidiaries of Comcare under the Safety, Rehabilitation and Compensation Act 1988 (the Act).

QWL Corporation Pty Limited has, since 1994, provided workers’ compensation services to CSL Limited (a former government business enterprise) and its subsidiary JRH Biosciences Pty Ltd. Both organisations were holders of Class A licences under Part VIIIB of the Act, with the Safety, Rehabilitation and Compensation Commission (the Commission) approving their licences to
30 June 2004.

Following changes to licence conditions, QWL Corporation Pty Limited will not be providing workers’ compensation services to these corporations with effect from 1 July 2004.

The financial position of QWL Corporation Pty Limited has been consolidated into Comcare’s
financial statements.

Directors of QWL Corporation Pty Limited at 30 June 2004 were

Barry Leahy, Chair (CEO, Comcare)
Peter Pharaoh (General Manager, Injury Management, Comcare)
Terry Langton (General Manager, Corporate Management, Comcare)

Company Secretary and Public Officer at 30 June 2004

Peter Wurfel (Financial Adviser, Corporate Management, Comcare)

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Directors Report

Directors Statement

QWL CORPORATION PTY LIMITED
ABN 30 064 178 641
STATEMENT OF FINANCIAL PERFORMANCE
FOR THE YEAR ENDED 30 JUNE 2004

	Notes	2004 $	2003 $
REVENUES FROM ORDINARY ACTIVITIES
Claims services fees		46,056	589,571
Interest		9,711	17,896
Non incapacity recoveries		378,005	2,527,591
Total revenues from ordinary activities		433,772	3,135,058
EXPENSES FROM ORDINARY ACTIVITIES
Non incapacity expenses		378,005	2,527,591
Insurance premium		9,670	30,433
Claims determination services		28,110	448,083
Other		3,532	4,849
Total expenses from ordinary activities		419,317	3,010,956
Profit result from ordinary activities before income tax expense		14,455	124,102
Income tax expense	2	4,336	37,231
Operating profit after income tax expense		10,119	86,871
Retained profits at the beginning of the financial year		184,362	97,491
Retained profits at the end of the financial year		194,481	184,362

The above statement should be read in conjunction with the accompanying notes.

QWL CORPORATION PTY LIMITED
ABN 30 064 178 641

STATEMENT OF FINANCIAL POSITION

AS AT 30 JUNE 2004

	Notes	2004 $	2003 $
Current Assets
Cash assets	3	216,568	152,038
Receivables	4	107,023	833,181
Total Assets		323,591	985,219
Current Liabilities
Payables	5	107,614	760,471
Tax Provisions	6	1,496	20,385
Total Liabilities		109,110	780,856
NET ASSETS		214,481	204,363
EQUITY
Contributed Equity	9	20,000	20,000
Retained Profits		194,481	184,363
Total Equity		214,481	204,363

The above statement should be read in conjunction with the accompanying notes.

NOTES TO AND FORMING PART OF THE SPECIAL PURPOSE FINANCIAL REPORT FOR THE YEAR ENDED 30 JUNE 2004

1. Basis Of Accounting

a) Accounting Policies

This special purpose financial report has been prepared for distribution to members and directors of QWL Corporation Pty Limited for internal management information purposes. The accounting policies used in the preparation of this report, as described below, are consistent with previous years, and are, in the opinion of directors, appropriate to meet the needs of members and directors.

The financial report has been prepared on an accrual basis of accounting including the historical cost convention and the going concern assumption.

By virtue of Accounting Standard AASB 1025: Application of the Reporting Entity Concept and Other Amendments the requirements of Accounting Standards issued by the Australian Accounting Standards Board and other professional reporting requirements do not have mandatory applicability
to QWL Corporation Pty Limited in relation to the year ended 30 June 2004 because the directors have determined that the company is not a reporting entity. However the directors have determined that in order for the financial statements to give a true and fair view of the company’s performance

and financial position, the requirements of Accounting Standards and other professional reporting requirements relating in Australia to the measurement of assets, liabilities, revenues, expenses and equity should be complied with.

Accordingly, the directors have prepared the financial statements in accordance with Accounting Standards and other professional reporting requirements in Australia with the following exceptions:

AASB 1005 – Segment Reporting

AASB 1017 – Related Party Disclosures

AASB 1026 – Statement of Cash Flows

AASB 1033 – Presentation and Disclosure of Financial Instruments

AASB 1034 – Financial Report Presentation and Disclosures

AASB 1047 –
Disclosing the Impacts of Adopting Australian Equivalents to International
Financial Reporting Standards

b) Income Tax

Tax effect accounting procedures are followed whereby the income tax expense in the statement of financial performance is matched with the accounting profit (after allowing for permanent differences). The future tax benefit relating to tax losses is not carried forward as an asset unless the benefit can be regarded as being virtually certain of realisation. Income tax on net cumulative timing differences is set aside to the deferred income tax and future income tax benefit accounts at the rates which are expected to apply when those timing differences reverse.

c) Revenues from Ordinary Activities

Revenues from ordinary activities represent fees received for prevention, rehabilitation and workers’ compensation services.

d) Receivables

Receivables are comprised of trade debtors, and it is expected that this will be fully recovered.

e) Payables

Payables are comprised of trade creditors, and it is expected that these will be fully met as they become due and payable.

f) Cash

A small amount of cash at bank is held to meet payments as they emerge. The remainder is placed
on term deposit to maximise interest earned.

g) Equity

The equity position at 30 June 2004 comprises contributed share equity together with retained profits. A dividend was not paid in the year ended 30 June 2004.

QWL CORPORATION PTY LIMITED
ABN 30 064 178 641

NOTES TO AND FORMING PART OF THE SPECIAL PURPOSE FINANCIAL REPORT

FOR THE YEAR ENDED 30 JUNE 2004

	2004 $	2003 $
2. INCOME TAX
Operating profit before income tax	14,455	124,102
Income tax calculated @ 30%	4,336	37,231
Income tax attributable to operating profit	4,336	37,231
3. CURRENT ASSETS – Cash Assets
Cash at bank	216,568	152,038
4. CURRENT ASSETS – Receivables
Trade debtors	105,979	833,181
GST receivable	1,044	0
Total receivables	107,023	833,181
5. CURRENT LIABILITIES – Payables
Trade creditors	107,614	754,639
GST payable	0	5,832
Trade creditors	107,614	760,471
6. CURRENT LIABILITIES – Provisions
Taxation	1,496	20,385
7. COMMITMENTS FOR EXPENDITURE
No commitments have been entered into or contracted for at balance date.
8. AUDITOR’S REMUNERATION
Auditing the financial report	3,000	3,000
9. SHARE CAPITAL
20,000 Ordinary shares fully paid (2003: 20,000).	20,000	20,000
10. ECONOMIC DEPENDENCY QWL Corporation Pty Limited is a wholly owned subsidiary of Comcare and was formed with the objects of performing such of the functions that may be performed by Comcare or subsidiaries of Comcare under the Safety, Rehabilitation and Compensation Act 1988. QWL Corporation Pty Limited is serviced on a full cost recovery basis by Comcare.