ACF-USA 2003 Annual Report

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Annual Report 2003

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

DRAMATIC ACHIEVEMENTS 2003
NUMBER OF HUMANITARIAN ORGANIZATIONS BEING TRAINED BY ACTION AGAINST HUNGER IN SOUTHERN SUDAN

40

35

30

25

20

15

10

5

0 Jan. 03 Dec. 03

REDUCTION OF MALNUTRITION RATE IN SHABUNDA, CONGO

25.00%

20.00%

15.00% Feb., 2002 Nov., 2003

10.00%

5.00%

0.00% ACUTE GLOBAL MALNUTRITION ACUTE SEVERE MALNUTRITION

LITERS OF CLEAN WATER PER PERSON PER DAY IN GULU, UGANDA

GRAMS GAINED PER DAY PER KILOGRAM OF PATIENT'S WEIGHT AT THERAPEUTIC FEEDING CENTERS IN SOUTHERN SUDAN

4.5
18 16

4

3.5
14

3

12 10 8 6

2.5

2

1.5
4

1
2

0.5

0 2002 2003

0 Apr. 03 Oct. 03 ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

FROM THE CHAIRMAN OF ACTION AGAINST HUNGER - USA I’ve had the singular honor to be involved with Action Against Hunger for nearly two decades, and I’m continually impressed by the dedication and accomplishments of our teams of nearly 400 international relief workers and 5,000 volunteers. I believe that AAH is unique. Our organization brings a level of experience and technical sophistication to the challenge of world hunger that prompts other humanitarian organizations and governments around the world to seek our advice and training. In fact, we wrote the book on combating hunger: Our manual, Assessment and Treatment of Malnutrition in Emergency Situations, is used not only by our own teams of experts but also by numerous other organizations. They also rely on our sharp-eyed analyses of political and nutritional emergencies. Equally important, unlike many other relief organizations, our ultimate goal is to show endangered populations how to feed themselves, to maintain their own supplies of clean water, and to develop skills and trades that enable them to support their families and communities long after we depart. Our organization began in 1979, when a group of French doctors, scientists, journalists and writers established ACF (Action Contre la Faim /Action Against Hunger) to eliminate hunger worldwide. Professor Alfred Kaestler, Nobel Prize recipient for physics, was its first chairman. Its initial programs provided assistance to Afghani refugees in Pakistan, rescued Ugandan populations from famine due to civil war and drought, and helped Cambodian refugees in Thailand. Since then, ACF has brought similar relief to Angola, Armenia, Azerbaijan, Bolivia, Burundi, Cambodia, Chad, Colombia, Congo, East Timor, Ethiopia, Georgia, Guatemala, Guinea, Haiti, Honduras, Indonesia Kenya, Kosovo, Laos, Liberia, Mali, Mongolia, Myanmar, Nicaragua, Niger, Pakistan, the Philippines, Russia, Serbia, Sierra Leone, Somalia, Sri Lanka, Sudan, Tajikistan, and Venezuela. In 1985, American Friends of AAH was established in the United States to broaden the support and implementation of ACF’s programs. ACF opened additional headquarters in Spain in 1994 and in the UK in 1995. The four headquarters share our name, logo, mandate and charter of principles, as well as human, financial and technical resources. Today, all four work in close cooperation and pool resources to provide programs in more than 40 countries worldwide. Due to the success of our innovative and life-saving Therapeutic Feeding Centers and supplementary feeding programs, the international community today recognizes Action Against Hunger as a leader in the fight against malnutrition. AAH’s quarter century of experience gives us a wealth of expertise in the design and implementation of our integrated programs. Meanwhile, our research strives constantly to improve our protocols, even as we save more than 5 million lives every year. This Annual Report will tell you what we did in 2003 to fulfill our mission and achieve our goals. Burton Haimes

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

FROM THE EXECUTIVE DIRECTOR OF ACTION AGAINST HUNGER - USA Action Against Hunger’s foremost achievement is helping to save and improve the lives of 5 million beneficiaries every year. But we’re also proud of our financial efficiency. A gift to us of only $50, for instance, can provide 30 days of highenergy milk and porridge for a malnourished child in a feeding center. A donation twice that size enables AAH to connect a health center with a water supply or to distribute seeds and farming equipment to a family displaced by war. Best of all, 89 cents of every dollar we spent in 2003 went directly to hunger-relief and rehabilitation. The effectiveness and efficiency of Action Against Hunger's work has earned the financial support of more than 200,000 individuals as well as dozens of corporations and foundations. Their donations are the key to our independence because they enable us to react rapidly in areas where aid is most urgently required, without waiting for institutional funding. We also have gained the financial support of national and international aid institutions. These include the U.S. government (USAID), the European Union, United Nations agencies (UNHCR, UNDP, WFP, UNICEF) and other governments including France, Japan, Norway, Spain, Switzerland and the United Kingdom. Independent auditors validate our fiscal management and verify the accuracy and transparency of our accounting. Third-party charity watchdog organizations likewise affirm our financial probity. Charity Navigator, for example, gives us its highest four-star rating and ranks us first among non-profit international relief and development organizations. We don’t take such honors lightly. Our goal is to eradicate hunger everywhere in the world, and we pledge to pursue that goal as swiftly, prudently and efficiently as possible. Anne-Sophie Fournier

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

AAH'S INTERNATIONAL CHARTER OF PRINCIPLES All members of Action Against Hunger's International Network adhere to the principles of this Charter and are committed to respect it. Independence Action Against Hunger acts according to its own principles so as to maintain its moral and financial independence. Action Against Hunger's actions are not defined in terms of domestic or foreign policies nor in the interest of any government. Neutrality Action Against Hunger maintains a strict political and religious neutrality. Nevertheless, Action Against Hunger can denounce human rights violations it witnesses as well as obstacles put in the way of its humanitarian action. Non-Discrimination A victim is a victim. Action Against Hunger refutes all discrimination based on race, sex, ethnicity, religion, nationality, opinion or social class. Free and Direct Access to Victims Action Against Hunger demands free access to victims and direct control of its programs. Action Against Hunger uses all the means available to achieve this goal and will denounce and ac t against obstacles preventing it from doing so. Action Against Hunger also verifies the allocation of its resources in order to ensure that they really do reach those individuals for whom they are destined. Under no circumstances can partners working together with or alongside Action Against Hunger become the ultimate beneficiaries of Action Against Hunger's aid programs. Professionalism Action Against Hunger bases the conception, realization, management and assessment of its programs on professional standards and years of experience, in order to maximize its efficiency and use of resources. Transparency Action Against Hunger is committed to respecting a policy of transparency and disclosure for beneficiaries, its partners and donors by making available all information on the allocation and management of its funds, and providing guarantees of its good management.

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

SUMMARY Action Against Hunger - USA made notable progress in 2003, as you can see from the charts on page 3. With an estimated 826 million people undernourished worldwide—792 million in the developing world and 34 million in developed countries—we can only chip away at our goals, but we see unmistakable signs of success everywhere. Here’s a sample of our efforts in 2003. In March, we hosted a march across Manhattan to publicize the United Nations’ annual World Water Day. We ended the procession in Bryant Park, adjacent to the New York Public Library, where speakers explained that more than 1 billion people in the world lack clean drinking water and that 2 billion are without sanitation—and that some of these people live in the United States. In April, military conflict in and around Shabunda, Democratic Republic of Congo, forced us to abandon our facilities for the second time within six months, leaving behind 100 patients at our Therapeutic Feeding Center. Fortunately, we were later able to return. In fact, between February 2002 and November 2003, the rate of acute global malnutrition in Shabunda’s children age five and younger fell from 20.4% to 7.4%, while the rate of acute severe malnutrition similarly dropped from 2.9% to 1.6%. On April 10, AAH - USA announced the death of executive director Lucas Van den Broeck at the appallingly young age of 43. Lucas had come to AAH after 12 years working for Doctors Without Borders in Burundi, Congo, Iran, Iraq, Liberia and Sudan. He was appointed director of field operations for AAH - USA in 1998 and became executive director in December 2001. In May, we announced that in Lubumbashi, DRC, our caseload had risen 332% in four months. We were then aiding 828 patients with severe malnutrition and 3,733 with moderate malnutrition. Our surveys in the area showed that 5.3% of the population suffered from acute malnutrition which, if untreated, leads to death. Later in the year, our funding from governments ran out, but we were able to find private donors who helped us continue our program in Lubumbashi.

In October, we reported on human rights violations in Katanga Province, DRC, during the previous two months. These included arrests, beatings, extortion, killings and rapes, as well as the pillaging and contamination of nutritional health centers and sources of drinking water. The power struggle in Katanga, we found, imperiled 230,000 civilians who were charged fees to cross military check points regardless of whether they were farmers on their way to market or malnourished patients attempting to reach our aid centers. These roadblocks caused an 80% drop in children at our Therapeutic Feeding Centers and a 50% drop at our Supplementary Feeding Centers. Moreover, many Congolese who managed to reach us had their rations confiscated by military factions as they tried to return home. Also in October, we reported that more than 416,000 Ugandans around the municipality of Gulu had been displaced—some 89% of the population. Inevitably, this meant that family farming was curtailed, a chief reason why household incomes plummeted by an estimated 74%, even as the price of food climbed due to scarcity. Meanwhile, back in New York, our fourth annual World Food Day Gala on October 16 raised a record $300,000 in unrestricted funds. The Gala’s dinner and auction, prominent among the city’s social events, honored food editors Tim and Nina Zagat and nutritionist Michael Golden, the inventor of AAH’s path-breaking F100 milk formula. This therapeutic milk accomplishes almost full recovery from severe acute malnutrition in a mere 30 days. Now used by nearly all relief organizations, F100 has led to a striking decrease in the mortality rate of malnourished children under the age of five—from 25% to 5%. Also in New York, on November 25 our annual Restaurants Against Hunger campaign, when restaurateurs pledge to give AAH as much as 20% of their day’s receipts, raised an additional $12,000 for our projects but more importantly brought us invaluable free publicity. And the following day, AAH - USA board member Alexis Azria opened the daily session of stock trading at NASDAQ to draw attention to worldwide hunger two days before America’s Thanksgiving feasts.

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

HUMAN RESOURCES In 2003, Action Against Hunger’s programs aided more than 5 million beneficiaries. To accomplish this, we sent 327 expatriates into the field—administrators, agronomists, doctors, logisticians, nurses, nutritionists, water engineers—an increase of nearly 30% over our roster in 2002. These experts, in turn, recruited and trained local staffs that together numbered more than 5,000. In other words, every worker who participated in AAH programs during 2003 on average helped nearly 1,000 malnourished victims of conflict, war or natural disaster. Fighting hunger demands more than simply distributing meals. Hunger has diverse and interrelated causes, and our teams must devise multi-faceted solutions to respond effectively. Typically, our teams devise fourfold plans of attack: 1) Nutrition. Saving the life of a severely malnourished child must often be resolved in a matter of hours. Action Against Hunger’s teams follow proven therapeutic nutritional protocols that restore children to health typically within 30 days. Where necessary, we adapt those protocols to local situations, and we develop new ones to stimulate malnourished children through physical and psychomotor activities. 2) Food security. We help communities achieve sustainable day-to-day access to food by all individuals that is adequate both in quality and in quantity to ensure their nutritional wellbeing and normal development. As soon as a crisis has ended, it is vital to revitalize local socioeconomic systems and to provide support for agriculture, not only by providing new resources (seeds, tools and so on), but also by teaching improved agricultural techniques. 3) Water and sanitation. We help communities gain access to potable water, reliable purification and sanitary conditions which can help prevent the spread of illnesses that cause malnutrition. In addition, introducing irrigation can triple the size of crops. 4) Health. Sickness and malnutrition form a vicious cycle. A malnourished child acquires diseases far more easily than a well-fed child, and sick children are vulnerable to malnutrition. To fight hunger, we must fight disease. Action Against Hunger’s teams treat maternal and infant health by providing inoculations, health education and essential medicines.
EXPATRIATE JOB DISTRIBUTION

1

Water Engineers Technical Coordinators Nutritionists Logisticians Heads of Projects Heads of Missions Agronomists Administrators

JOBS

0

2

4

6

8

10

12

14

16

18

PERCENTAGE

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

DURING 2003, OUR TEAMS TOOK ACTION AGAINST HUNGER IN 41 COUNTRIES.

COUNTRY WORKERS Afghanistan Algeria Angola Argentina Armenia Azerbaijan Bolivia Burundi Cambodia Colombia Democratic Republic Of Congo Ethiopia Georgia Guatemala Guinea Haiti Honduras Indonesia Iran Iraq Ivory Coast Kenya Laos Liberia Malawi Mali Mongolia Myanmar Nicaragua Niger Pakistan Palestinian Territory Philippines Russian Federation Sierra Leone Somalia Sri Lanka Sudan Tajikistan Uganda Zimbabwe TOTALS

BENEFICIARIES 650,000 10,000 418,000 4,600 700 600 20,000 33,000 7,700 24,000 700,000 485,000 14,250 40,000 107,000 32,000 13,500 130,000 25,000 148,000 22,000 42,000 40,000 160,000 75,000 111,000 5,000 170,000 10,600 12,500 40,000 1,100 28,000 43,000 160,000 65,000 33,000 193,000 202,000 750,000 47,500 5,074,050

AAH EXPATRIATE STAFF 30 1 19 3 1 1 2 14 6 1 25 10 5 5 14 3 3 6 3 10 8 4 7 13 10 8 2 10 2 3 5 5 8 4 13 7 6 26 9 6 9 327

LOCAL 660 3 400 26 25 18 11 360 97 30 310 196 47 86 252 33 37 60 5 30 75 49 85 250 45 65 16 212 35 27 30 13 44 70 260 150 61 460 275 100 61 5,069

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

WORLDWIDE DISTRIBUTION OF PROGRAMS

Africa Mid-east/Asia Americas

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

BOARD OF DIRECTORS AND STAFF Board of Directors Frank McCourt, Honorary Member Nina S. Zagat, Honorary Member Tim Zagat, Honorary Member Burton K. Haimes, Chairman Joseph Georges Audi, Acting Treasurer Alexis Azria Henri R. Barguirdjian Raymond Debbane Anne-Sophie Fournier, Secretary Yves-André Istel Ketty Maisonrouge Robert W. Rudzki Jacques Serba Patrick Siegler-Lathrop Board of Advisors Christian Blanckaert Harold Bornstein Olivier Cassegrain Sabine Cassel Cristina Enriquez-Bocobo Hamilton Fish Prof. Michael Golden Iman Achim Moeller Edward Sermier Rick Smilow Ronald Waldman, M.D. Jessica Weber Wendy C. Weiler US Headquarters Staff Anne-Sophie Fournier, Executive Director Philippe Rosen, Director of Human Resources David Blanc, Program Officer Roger Persichino, Desk Officer Patrick Mouton, Finance Director Nelger Rios, Finance Assistant Hamouta Yattara dit Cornier, Field Comptroller Marie-Sophie Simon, Technical Coordinator Inky Song, Development Director John Sauer, Communications Manager James Phelan, Website and Database Manager Kiera Downes-Vogel, Office Manager/HR Assistant

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

ACTION AGAINST HUNGER'S INTERNATIONAL HEADQUARTERS Action Against Hunger (USA) 247 West 37th, Suite #1201 New York, NY 10018 E-mail: [email protected] Tel: 212-967-7800; Toll free: 877-777-1420 Fax: 212-967-5480 Web: www.actionagainsthunger.org Action Contre la Faim (France) 4, rue Niepce 75014 Paris, France E-mail: [email protected] Tel: 33 1 43 35 88 88 Fax: 33 1 43 35 88 00 Web: www.actioncontrelafaim.org Acción Contra el Hambre (Spain) C/Caracas 6, 1° 28010 Madrid, Spain E-mail: [email protected] Tel: 34 91 391 53 00 Fax: 34 91 391 53 01 Web: www.accioncontraelhambre.org Action Against Hunger (UK) Unit 7B Larnaca Works Grange Walk London, SE1 3EW, United Kingdom E-mail: [email protected] Tel: 44 207 394 63 00 Fax: 44 207 237 99 60 Web: www.aahuk.org

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

STATEMENTS OF FINANCIAL POSITION AS OF DECEMBER 31, 2003 AND 2002

ASSETS 2003 CURRENT ASSETS Cash: Headquarters Field offices Total cash Grants receivable Travel advances and other receivables Prepaid expenses Advances to network Total current assets FURNITURE AND EQUIPMENT Furniture and equipment Less: accumulated depreciation Net furniture and equipment OTHER ASSETS Restructuring costs, net of accumulated amortization of $111,399 in 2003 and $95,485 in 2002 Deposits Total other assets TOTAL ASSETS 2002

$ 292,265 176,603 468,868 4,754,286 38,427 15,882 157,400 5,434,863

$ 106,317 231,922 338,239 6,788,065 61,639 19,631 7,207,574

292,336 (263,383) 28,953

267,203 (212,696) 54,507

47,742 14,174 61,916 $5,525,732

63,656 16,572 80,228 $7,342,309

LIABILITIES AND NET ASSETS
CURRENT LIABILITIES Accounts payable and accrued expenses Provision for unanticipated losses Due to network Total liabilities NET ASSETS Unrestricted Temporarily restricted Total net assets TOTAL LIABILITIES AND NET ASSETS $ 159,575 200,000 111,072 470,647 $ 138,731 460,000 765,224 1,363,955

1,043,505 4,011,580 5,055,085 $5,525,732

403,727 5,574,627 5,978,354 $7,342,309

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

STATEMENTS OF ACTIVITIES AND CHANGES IN NET ASSETS

FOR THE YEARS ENDED DECEMBER 31, 2003 AND 2002
2003 TEMPORARILY RESTRICTED $ -

Unrestricted REVENUE AND SUPPORT Contributions Grants: U.S. Government Non-U.S. Government Interest Other Net assets released from donor restrictions Total revenue and support EXPENSES Program services: Democratic Republic of Congo programs South Sudan programs Uganda programs Angola programs Philippines programs Georgia programs Guinea programs Iran programs Mali programs Tajikistan programs United States programs Total program services Supporting services: Management and general Program support Fundraising Total supporting services Total expenses Changes in net assets before other items Provision for unanticipated losses Exchange gain (loss) Forgiveness of debt Changes in net assets Net assets at beginning of year NET ASSETS AT END OF YEAR $ 623,398

TOTAL
$ 623,398 6,621,279 3,937,316 567 61,382 11,243,942

567 61,382 12,306,403 12,991,750

6,621,279 3,937,316 (12,306,403) (1,747,808)

5,798,959 1,485,667 775,457 1,798,740 13,370 701,699 60,597 365,600 115,281 11,115,370

-

5,798,959 1,485,667 775,457 1,798,740 13,370 701,699 60,597 365,600 115,281 11,115,370

308,124 912,854 156,959 1,377,937 12,493,307 498,443 260,000 (118,665) 639,778 403,727 $ 1,043,505

(1,747,808) 184,761 (1,563,047) 5,574,627 $ 4,011,580

308,124 912,854 156,959 1,377,937 12,493,307 (1,249,365) 260,000 66,096 (923,269) 5,978,354 $ 5,055,085

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

Unrestricted $ 385,772

2002 TEMPORARILY RESTRICTED $ $

TOTAL
385,772 7,583,264 6,353,502 7,993 27,180 14,357,711

7,993 27,180 13,123,977 13,544,922

7,583,264 6,353,502 (13,123,977) 812,789

5,850,482 1,207,733 826,253 1,496,130 (2,014) 177,112 891,383 637,989 234,252 125,823 11,445,143

-

5,850,482 1,207,733 826,253 1,496,130 (2,014) 177,112 891,383 637,989 234,252 125,823 11,445,143

287,571 929,100 199,287 1,415,958 12,861,101 683,821 (360,000) (88,676) 107,760 342,905 60,822 $ 403,727

812,789 137,664 950,453 4,624,174 $ 5,574,627

287,571 929,100 199,287 1,415,958 12,861,101 1,496,610 (360,000) 48,988 107,760 1,293,358 4,684,996 $ 5,978,354

ACTION AGAINST HUNGER - USA 247 West 37th Street New York, New York, 10018 Tel: 212 967 7800 Fax: 212 967 5480 Email: [email protected] Website: www.actionagainsthunger.org

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