Worldwide Annual Report

TREASURER'S REPORT

1999 was another record year of income for PLAN.
Income grew by 7% to US$ 295.2 million. The growth would
have been 9%, but for the impact of the continuing strengthening of the US dollar against the currencies in which most
income is raised. This is the fourth successive year in which
PLAN's reported income growth has been curtailed by a
strengthening US dollar.
88% of the income comes from sponsorship contributions.
The number of Foster Children assigned to Foster Parents
grew by 6% to 958,952. A major part of this growth was
achieved by PLAN's new fundraising organisations, set up over
the last six years and now accounting for 93,000 Foster
Parents.
The remaining income comprises mainly grants. Grants and
similar income grew by 32% in the year to US$ 29.9 million.
Field program expenditures in 1999 were 21% higher than in
1998, the year in which expenditures had been unusually low
due to factors such as the Asian currency crisis and El Niuo.
Operating fund balances at the end of 1999 were US$ 5 I
million, $ 2 million higher than the 1998 level. This amount
represents about 2 months worth of expenditures.

The financial statements that follow this report contain a few
changes from the format adopted in last year's report. In particular, further analysis of expenditures is provided.
During the year, PLAN completed most of its preparations for
the "millenium bug" problem. This has required amending
some computer software and replacing some older hardware.
Remaining uncertainties are the readiness of organisations
supplying services to PLAN, for example the banks in some of
the countries where PLAN carries out its programs. Contingency plans are being put in place to avoid risk to funds or to
operations.
PLAN receives its funds in the 14 different currencies of its
fundraising organisations and then spends these funds in
43 other currencies in its program countries. PLAN's treasury
operations are carefully controlled to make sure that the best
use is made of donors' funds. These controls take place at all
stages of the process, from receipt in the fundraising organisation through to conversion into program country currency
and spending for the benfit of the children.
Petros K. Sabatacakis, Treasurer

ASSISTED FOSTER CHILDREN ASSIGNED FOSTER CHILDREN GROSS INCOME (US$)

Snnn

x 1,000

x 1,000,000