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AMSAT 2001-2202 financial statements

When reading at page 14 on 2001-2002 AMSAT financials statements "AMSAT's revenue from dues and contributions 
has been in steady decline over the past few years. This decline in revenue, coupled with the obligations 
noted above, bring into question the continuing ability of AMSAT to operate as a going concern."

I disagree at my first quick look comparing 2001 and 2002 dues are 1% lower  and contributions increased by 

What it is not said and i don't know why? is related to the investments activities. 60% of the 2002 deficit 
is related to losses on sales of investments and on unrealiized loss on investments. The marketable 
securities held as long-term investments showed losses of: 22860$ in 2001 and 79126$ in 2002. When AMSAT sold 
some of his investments in 2002 they got a loss of 50,601$.

More than a reduction in dues and contributions the 2001-2002 financial statements showed a zero mark at the 
educationnal assistance contribution. This 2001 revenue of 48205$ represent 31% of the 2002 dedicit.

If i added up 60% and 31% this explain 91% of the 2002 AMSAT deficit and as stated above the net INCREASED 
over 2001 and 2002 on dues and contributions is 3.5%...?

The auditor's notes refer to a fundraising campaing as a solution stated by AMSAT BOD there was in increased 
of 5471$ in contributions in 2002 but there was a fundraising expense of 31774$ in 2001 and 25365 in 2002 for 
a big total of 57139$.


I concluded that the fundraising activities are generating an operating loss of 51668$ and this represent 
33.6% of the 2002 deficit. Let see if the 25365$ will produce more in 2003.

As we have explained 91% of the 2002 deficit if we added up this 33.6% we come up with a positive figure 
124.6% a 24.6% gain. 

As i said at the beginning i quickly examine the 2001-2002 financial statements (summer holidays aproaching) 
and i come to the conclusion that AMSAT should review his invesment portfolio. I don't see in the financial 
statements the brokerage firm who managed the securities portfolio?  Any non-profit organisation should not 
have this kind of portfolios:  Bank notes, long term deposits (5 years) savings bonds ect..will be more 
suitable and wise. When cash is needed it is inconcievable that we should suffer a 50601$ loss from a poorly 
structured securities portfolio.

For the new AMSAT positive club members there is some solutions in my above comments not only citicisms and i 
reiterate this is only a quick overview of the financial statements, there is surely a lot to do to in 
reshaping the finance not only asking for money...The squirrel drum syndrome.

Luc Leblanc VE2DWE (AMSAT 33583)
Coordonnateur AMSAT pour le Québec
Quebec AMSAT coordinator
SITES WEB:http://www.sorel-tracy.qc.ca/~luclebla/
Sorel-Tracy QC.
J3P 5N6

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