Mr Ryder's Failure to Perform--Part III

Golf Profit & Loss Statement Financial Deception

On July 8, 2014 my wife requested and received the Golf Profit & Loss Statement from Ken Ryder. The Format and Line Items of that report are the same those of the previous year (2013) which Ken produced and which were consistent with what the Board commits to in Board Policy 6.3. The line items were the same including the line item Wages and Benefits. However the content of the FY2014 report had the cost of golf employee "benefits" deleted, unlike all previous Golf Profit & Loss statements for prior years including FY 2013. If you look at the FY 2013 report you will find that the total cost for Wages and Benefits was $452,264 where as in FY 2014 The entry for Wages and Benefits totals to $372,654.59. At a minimum, Mr. Ryder altered the financial content of an Eastman income report by subtracting at least $79,610 so as to deceive the members of this community into the illusion that golf is profitable.

In three separate years, the content of the Golf Profit & Loss Report has had different content--a blatant deception. This is but one of many examples where community financial reports have been modified (doctored) so as to deceive the members of this community.

In a continuing demonstration of Mr. Ryder's absolute power when it comes to Eastman financial information, he has repeatedly refused to provide the financial statement as required by Board Policy 6.3. Mr. Ryder rejected our repetitive requests in compliance with this policy in FY 2013 and in FY 2014.

Mr. Ryder' s performance is unacceptable. His actions lack transparency and fail to conform to acceptable standards for providing information to Eastman owners. Mr. Ryder has failed to perform his job consistent with what is expected of a General Manager. His accountability is to every member of this community. His obligation is to fulfill what is stated in both Board Policies and other official community documents without usurping that document’s authority.

Unfortunately, Mr. Ryder's is behavior is enabled by a silent ECA Board whose members, much like Joe Paterno, ignore the General Manager's inappropriate actions. The Audit Committee and the Finance and Budget Committee are also complicit in enabling the General Manager to hold members of this community hostage both financially and information-wise.

If you would like a copy of that report please let us know by email and we will send it.

Submitted by Robert Logan who is the CEO of a consulting practice since 1993 which provides expertise on improved business, financial and operational performance as well as leadership.