Annual Reports 4 PDF SP 2006

8/4/2019 Annual Reports 4 PDF SP 2006

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2006 Annual Repor

Pro Mujer provides Latin Americas poorest women with the means

to build livelihoods for themselves and futures for their families

through microfinance, business training, and healthcare support.


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Table of Contents

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Letter from the Co-founders of Pro Mujer

Letter from the Chairman of the Boardand the Chief Executive Officer

Where We Work

Our Approach

Small Loans Have an Enormous Impact

Financial Services

Business Training and Empowerment

Health Services

The Network and Pro Mujer International

PM Argentina

PM Bolivia

PM Mexico

PM Nicaragua

PM Peru

Main Accomplishments

2006 Financial Highlights

Track Record 2001-2006

Board of Directors and Advisory Council

List of Contributors

NatividadRamos is a sales representative forAvon, selling

cosmetics to support her three children.

Eager to growherbusiness, Natividad turnedto Pro Mujer

At first she took out loans of aboutUS$100. But slowly, the

size of her loans grew and so did her business. Her mos

recent loan was US$250.

Higher earnings have allowed Natividad to enroll her

children in school. She can also afford basic necessities

such as a stove that have greatly improved the quality o

life of her family.

Natividad has been a Pro Mujer client for six years. She

takes advantage of Pro Mujers health services, attending

classes on preventive health and learning about hygiene

and nutrition. Her children also visit a dentist regularly.

Thanks to Pro Mujer,I can providemy children with bette

opportunities. One day I dream of owning my own beauty

store,shesays.

Client Story

Natividad Ramos

Client of Pro Mujer Peru


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Dear Friends,

We are pleased to share this annual report with you documenting the progress we made during 2006 towards unifying the

leadership of Pro Mujer under our first CEO Ben Moyer, our longtime friend and board member. Ben chaired the Finance

Committee of the board for six yearsand hasfirst-hand knowledge of ouroperations. This is an importantstep in Pro Mujers

development as an internationalmicrofinance and womens development network.Bens commitment to Pro Mujers mission

makes him the ideal person to direct the future growth of the organization.

Carmen will be directing our new regional office in Bolivia that will provide ongoing support and technical assistance to the

Pro Mujer microfinance institutions and lead expansion to other countries in Latin America, drawing on the expertise and

knowledge of the network. We see this regional office as a training hub, where we develop and implement staff training

programs that will enable us to carry out the exponential expansion we are planning. Our ten-year goal is to provide our

integrated financial and health services to at least two million of the 100 million of women in Latin America who live on less

than 2 dollars a day.

Pro Mujer is a mission-driven, not a profit-driven, institution. Our goal is to promote our clients sustainability while main-

taining our own financial sustainability. We invest part of our retained earnings in health education and services tha

we deem essential for clients well being. We are grateful to have partners who recognize that investing in women is a long-

term investment in social and economic stability, and understand the value of using microfinance institutions to promote

social as well as financial capital.

Thank you for your support. We need your help now more than ever as we scale up our operations to be able to provide

services to the millions who so urgently need them.

Thank you for you help.

Carmen VelascoCo-founder andExecutive Director

Lynne R. PattersonCo-founder andExecutive Director

Letter from the Co-founders and Executive Directors


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Dear Friends,

Microfinance has been very much in the public eye in the last year. Recognition by the Nobel Peace Prize Committee of the

important contribution of microfinance in poverty alleviation, the continued growth in the number of microfinance clients,the increased participation of global investors, as well as greater efficiency and higher levels of service to clients allcombine to make this a most important time for our industry.

Pro Mujer is at the forefront of this transformation. In November 2006, we hired our first Chief Executive Officer, who, alongwith our founders Carmen Velasco and Lynne Patterson, will lead our next level of growth and expansion. Our new ChiefFinancial Officer, Roco Cavazos, brings a wealth of experience in microfinance and banking. Our unique, integrated methodof providing microfinance along with healthcare and social services has gained wide recognition as a robust approachto poverty alleviation. Our growth continues to exceed 30% and we are implementing infrastructure and technologyenhancements to accelerate the reach of our services. A new office in Bolivia to support our network and a new MISplatform are examples of such investments.

Our goal is to increase the number of clients from 173,000 to 625,000 in the next five years. An aggressive goal for sure, but

it can be done. As long as our clients face unmet needs, we will remain committed to serving their needs and affording themthe dignity to earn a living and better the lives of their families. In doing so, we will maintain our mission to serve as manywomen as possible with an approach that combines financial and health services. This integrated approach distinguishesus from other microfinance lenders and, importantly, helps us draw and retain clients. We are embarking on a study tocapture the best practices in non-financial services, and we expect this will serve to make these offerings even better.

Our staff is our most important asset, and increased capacity and measured staff growth are fundamental to continuedexpansion in the region. This is a very high touch business requiring close attention to the needs of clients. Each of ourmore than 800 employees across the Pro Mujer network strives every day to help reduce poverty in Latin AmericaWe are committed to training our staff and enhancing the ranks of mid and upper level employees and will seek fundingto increase such capacity.

We are also expanding our product offerings. With support from the Bill and Melinda Gates Foundation, Pro Mujer is intro-

ducing new products such as housing loans without guarantees, loans for youth, and loans for clients living in rural areas.We are also exploring larger loans for our long term clients. While new loan products bring new challenges, we remainenthusiastic about finding new ways to serve clients with little or no access to financial or healthcare support. Additionallywe have begun to offer life insurance and expect to do a great deal more in this area in the years to come.

As we look ahead, much remains to be done. We must accelerate our growth, concentrating not on what we already do, butrather on what remains to be done in a professional, business-like manner, while maintaining our not-for-profit, sociadriven mission. No matter what, we must never lose sight of our clients.

We thank our staff and supporters for continuing to share our important mission.

Our most sincere thanks,

Letter from the Chairman of the Board and the Chief Executive Officer

Ben MoyerChief Executive Officer

Rita FoleyChairman of the Board


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Mexico

Nicaragua

Peru

Bolivia

Argentina

Where We Work

Pro Mujer developed its sustainable integrated

credit and training methodology in Bolivia (1990),

and has successfully replicated the model in

Nicaragua (1996), Peru (1999), Mexico (2001) and

Argentina (2005).

Over the last sixteen years Pro Mujers micro-

finance institutions have disbursed US$287

million in small loansranging from US$50 to

$1,500with an average loan balance of US$192.

Pro Mujer clients are encouraged to save. By the

end of 2006, clients had saved US$10 million in

individual accounts providing a financial buffer

for their families in times of crises.

All Pro Mujer microfinance institutions are

self-sufficient, except for the newest one in

Salta, Argentina, which opened its doors in

November 2005.


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Our Approach

Pro Mujer has confidence in women, in their values, abilities

and experience. We believe that the best way to fight poverty

in Latin America is to empower women by giving them access

to the resources and training they need to increase their

income, maintain their own health and the health of their

families, and achieve greater equity in their homes, work-

places, and communities.

Pro Mujer is building a network of microfinance institutions

(MFIs) in Latin America that are committed to serving the

most economically and socially disadvantaged women in the

region by delivering an integrated package of financial and

human development services in a sustainable fashion.

Pro Mujer organizes women in groups of 18 to 28 each called

communal banks. Prior to making the first loans, each com-

munal bank elects a board to run the meetings and forms

solidarity groups to guarantee each other's loans. Clients

also develop simple business plans showing how they will

invest and repay their first loans. Pro Mujer requires that all

clients save a portion of their income as a buffer against

emergencies and illness. The communal banks meet in

neighborhood centers near clients' homes and workplaces.

At the repayment meetings, Pro Mujer health staff provide on-

going education in good health practices and the importance

of primary healthcare. Staff also link clients with affordable

health services via alliances or, if none exist, via Pro Mujer's

own clinics.

Pro Mujer considers the empowerment of women a key

building block in ending poverty and creating more just

societies. Its growing network of MFIs shares this conviction

and is committed to implementing the services that are

required to change the lives of the most marginalized and

impoverished families in Latin America.


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People living in poverty have no access to traditional

sources of credit because they cannot provide the formal

guarantees required by banks. Women face even greater

challenges because they are often excluded from educa-

tional and economic opportunities that men traditionally

enjoy and cannot find employment in the formal business

sector. Over the past three decades, thanks to the develop-

ment of the micro-credit industry, women have used small

loans to initiate or improve their small businesses, and

have shown remarkable creditworthiness with very high

repayment rates.

Many women undertake business activities without experi-

ence or training. Usually they start a business in order to

earn enough to carefor their families. These businesses are

justifiably defined as subsistence businesses. However,

when the loan is supplemented with simple business skills

training, women have shown they can be very successful

entrepreneurs who repay their loans on time.

Women use the profits from their small businesses to keep

children in school, access primary healthcare for their

families, and improve their homes. As their businesses

become more profitable, they are able to improve the qual-

ity of life for themselves and their families and in many

cases send their children to universities.

Thewomenalsogainincreasedconfidenceandself-esteem,

whichenablesthem toplayagreaterrolein decisionmaking

athome,atwork, andin their communities.A stable income

and savings also reduces their vulnerability and enables

them to cope better with emergencies.

There is no question that small loans can have an enor-

mous, far reaching impact on the lives of women, children,

families and communities.

Small Loans have an Enormous Impact


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Pro Mujer organizes women into communal banks of 18-28 members each,

providing women with initial pre-credit training on the rules of borrowing and

repayment, and of saving a portion of their income during each loan cycle. Working

capital loans range from US$50 to $1,500 with a term of four to six months. Loans

start small, US$50 to $100, and those women who repay on time qualify for larger

loans. Pro Mujer also offers loans for short-term credit needs, and loans to pay for

education and healthcare, and is developing other loans and insurance products

that clients need.

Members of communal banks guarantee one anothers loans, so if one woman

cannot make her payment one week, others in the group will pay for her. The client

then reimburses the group as soon as possible. Because responsibility for re-

payment rests on the group, Pro Mujer experiences very few late payments.

Thesavingscollectedfrom individual members of thecommunal banks isdeposited

in a group savings account managed by a regulated bank. Clients can access their

savings on the days their communal banks meet. Besides these voluntary savings,

clients must save 20% of their loans as a buffer against emergencies such as an

illness or natural disaster.

With access to credit and other financial products, such as insurance and savings,

women can build their assets and cope better with emergencies. Rather thanfocusing on day-to-day survival, women can plan for the future.

Financial Services


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Business Training

Pro Mujer equips women with more than just credit. It

also arms them with the business know-how and skills

they need to thrive as entrepreneurs.

Pro Mujer clients are resourceful, hard working, and even

tenacious. They need to be, as their day-to-day survival

and that of their childrendepends on it. What they lack

is business training. From day one, Pro Mujer teaches

women the fundamentals of running a small business,

furnishing them with the skills they need to plan and

grow their enterprise.

Before extending a loan, Pro Mujer shows women how todevelop a simple business plan, a tool to help them

make the best use of credit.

After gett ing a loan, clients meet periodically with

members of their solidarity group to make loan

payments. Pro Mujer uses these meetings and other

workshops to teach women business skills, such as

how to price their wares, monitor income and expenses,

and stay ahead of the competition.

In fact, women take part in business trainings throughout

the life of their loans, learning all the different aspects

of running a successful business. Along the way women

gain confidence in themselves as they apply the skills

to their business. They also draw advice, support, and

encouragement from loan officers and other women in

their solidarity groups.

Pro Mujers business training is all about helping

women to believe in themselves and reach their full

potential as entrepreneurs.

Pro Mujers integrated approach, one that combines financial services and health

education, empowers women and helps them acquire the resources and skills

they need to build more sustainable lives. As members of a communal bank,

women learn group leadership and problem-solving skills, gaining greater self-

confidence and self-esteem. Each communal bank elects a board of directors to

run meetings, forms a credit committee to approve loan applications, and creates

solidarity groups through which members guarantee each others loans.

Members of the communal banks gain confidence in themselves as they

successfully borrow and repay their loans, set up savings accounts, and help

each other solve business problems and repay their loans. Pro Mujer also helps

women combat domestic violence, improve communication skills, and become

more aware of their rights through workshops and self-help groups.

Empowerment


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Health is a woman's most precious asset,

Health Services

Health is a womans most precious asset, a key to her

wellbeing and her success in her many roles at home, at

work and in her community. Healthcare is particularly

crucial for women microentrepreneurs because an illness

can quickly deplete savings and threaten their livelihoods

and families. For these reasons, Pro Mujer integrates

health education into repayment meetings of the

communal banks and links clients with affordable

health services.

Pro Mujer Bolivia and Pro Mujer Nicaragua manage

professionally staffed health clinics on-site at neighbor-

hood centers, offering medical services ranging from PAPsmears to breast exams, STD screenings and pre- and

post- natal care for pregnant women. Pro Mujer Peru and

Pro Mujer Argentina work in partnership with health

organizations that provide primary healthcare for clients

and their families, including post-natal care and

vaccinations for children. Pro Mujer Mexico works closely

with government agencies to link clients with health

services and health campaigns on breast cancer,

hypertension, diabetes and PAP examinations.

Although the model varies from country to country,

Pro Mujers goal is the same to help women maintain

their own health and the health of their children and

families through primary healthcare, early detection of

disease, and good health practices. Using microfinance as

a service delivery system for health education and services

is a very cost effective way of improving clients health. For

as little as US$2 to $9 per client per year, Pro Mujer is

raising clients awareness of the importance of taking

As a result, lives are saved. In one region of Nicaragua,

for instance, 686 women out of 9,000 who had a PAP

examination were found to have pre-malignant tumors.

All got medical treatment thanks to Pro Mujer.

good care of their health.


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The Network

Pro Mujer International raises funds to help the networkcarry out pilot programs, test new ideas, and develop servicesfor clients. By serving as the fundraising arm for the network,

PMI makes its microfinance institutions more efficientallowing them to spend more of their resources on servicesfor clients.

Fundraising

Pro Mujer International (PMI) is the network

support office with staff located in New York City

and in La Paz, Bolivia. PMI staff in New York

are responsible for financial management

communications, and fundraising; staff in La Paz

are responsible for maintaining the high quality

of financial and human development services and

for providing ongoing support and technica

assistance to the MFIs.

Pro Mujer International raises the networks visibility anddisseminates its achievements through the media,conferences, workshops, publications and website. It

disseminates information about Pro Mujer to supporters,informs the public, educates the media about microfinance,

and brands the Pro Mujer message consistently in almarketing materials. Pro Mujer International also works tostrengthen internal communications within the network and

develop new communication channels, such as the intranet.

Technical AssistancePro Mujer International supports the MFIs in accessing capitalto fuel growth, diversifying their funding sources andstrengthening their financial management. PMI also monitors

the financial performance of the Pro Mujer MFIs and isresponsible for the financial management of PMI and the ProMujer Loan Fund, a source of financing for Pro Mujer MFIs.

Pro Mujer International focuses on strengthening existing

Pro Mujer microfinance institutions (MFIs) as well asexpanding Pro Mujer to new countries. The technicalassistance team promotes best practices by providingtraining and technical support, and facilitating learning

between Pro Mujer MFIs. PMI technical staff provide services

in the areas of strategic planning, market analysis, productdevelopment, internal control, information systems, andhuman resources.

Financial Management

Pro Mujer is a womens development and microfinance

network that serves the most economically and socially dis-

advantaged women in Latin America by delivering an

integrated package of sustainable financial and humandevelopment services. All Pro Mujer MFIs share the

mission and methodology and provide the same core

services, though each adapts and develops the services

according to the needs of local clients. Pro Mujer is a

mission-driven network and uses the profits generated

from financial services to build capacity, innovate, expand

coverage, subsidize health education and services, and

reduce the interest rate for clients whenever feasible.

Pro Mujer International

Communications


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Pro Mujer Argentina

Human Development Services

Pro Mujer Argentina provides clients with trainings in

business skills, empowerment and health at its neigh-

borhood centers.

The institution also partners with local organizations to

enhance services. It builds alliances with local health

organizations to set up clinics in Pro Mujers neighborhood

centers. These clinics provide services such as health and

dental care that few clients could otherwise afford. For

example, in one neighborhood center 590 of 600 women

had never been to a dentist before joining Pro Mujer.

Pro Mujer Argentina also signed an agreement with the

Catholic University of Salta to develop training courses for

Pro Mujer clients. The courses cover basic computer

technology (for clients and their direct family members

over 14 years of age), management of micro-businesses

and scholarships for the children of clients to attend

the university.

Sandra Saldao and her husband Daniel had attempted, but had lacked the

resources, to have a successful business making and selling pewter handcrafts

Pro Mujer gave the couple a loan of 200 pesos (about US$65), which they used to

purchase raw materials. Pro Mujer also gave Sandra and Daniel business

coaching and training, as well as valuable contacts.

The couple took out two more loans, each one a bit larger than the last. They

becamesavvier aboutsellingtheirproductsatartisanmarkets.They alsobecame

more adeptatsales,bookkeepingandotheraspectsofrunninga business. Slowly

their business grew, and they paid back their loans.

Since getting help from Pro Mujer, Sandra and Daniel have seen their weekly

earnings double from 200 pesos (about US$65) to 400 pesos (about US$130).

Now the couple has a thriving business. They continue to live in their hometown

And more importantly, they can provide for themselves and their four-year-

old daughter.

Laura StrachanDirector

LocationSalta, Jujuy

Founded in the city of Salta in late 2005 with support from the

Inter-American Development Bank, JP Morgan Chase

Foundation, the Weberg Family Trust, and Banco Hipotecario

Pro Mujer Argentina now provides loans to Argentinas poorestwomen entrepreneurs. The organization has grown quickly in the

past year in order to meet high client demand.

During its first year, Pro Mujer Argentina financed the micro-

business activities of almost 4,600 women of Salta while offering

competitive interest rates. The institution expects to achieve

financial and operational sustainability by the end of 2008, only

three years after its inception.

Sandras Story


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Pro Mujer Bolivia

Established in 1990, Pro Mujer Bolivia offers loan

capital and opportunities to save a portion of

profits through communal banks. Bolivia is a verycompetitive environment for microfinance, and

Pro Mujer has successfully carved out its niche

as one that reaches the most marginalized

women, typically those migrating from the rural

areas to the poor neighborhoods surrounding

major cities such as La Paz.

With funding from the Bill and Melinda Gates

Foundation, Pro Mujer Bolivia is developing a

loan product and training program for young

entrepreneurs ages 16-24 to start their own small

businesses. Young adults will form communalbanks based on their specific needs and abilities.

As a Pro Mujer client, Adela Hualuque was so successful at recruiting newmembers to form communal banks in Bolivia that she was asked to joinPro Mujers staff as a credit officer in 1994.

Initially, in 1990 she received a loan to expand her textile and childrensclothing business. Around the same time, she began recruiting new clientsfor Pro Mujer.

Adela credits Pro Mujer with giving her the self-confidence to take onincreased responsibilities and overcome the isolation that is oftenassociated with poverty.

Before I was very timid and didnt talk to people. Now I interact with peopleall the time. Ive seen for myself that women can advance, that we are worthsomething and can help ourselves, said Adela.


A team of doctors and nurses deliver health services atPro Mujer Bolivias neighborhood centers. Clients pay a

monthly fee of US$0.50, which entitles them to primary

healthcare for themselves and their families. Services

include basic primary care and PAP tests for early cancer

detection. Medical services for clients children include

vaccinations and treatments for respiratory infections

and diarrhea.

In El Alto and Cochabamba, Pro Mujer Bolivia has estab-lished day care at six neighborhood centers where clients

can leave their children while they attend communal bank

meetings. Pro Mujer Bolivia also operates four compute

centers where clients and teenagers learn computer skills

and young children learn basic skills reading, writing

and math. English lessons are also available.

Pro Mujer Bolivia also offers legal education and support

to women who have suffered from domestic violenceeducating them about their rights and how to get help.

Carmen Velasco

Executive DirectorCo-founder of Pro Mujer

Locations

El Alto, La Paz,Cochabamba, Sucre,Tarija, Santa Cruz,Potosi, Oruro,Trinidad, Riberalta

Adelas Story


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Pro Mujer Nicaragua

Pro Mujer Nicaragua is Pro Mujers first

replication outside of Bolivia. It was established in

1996 with funding from USAID, which financed

both portfolio and start-up expenses.

Pro Mujer Nicaragua has instituted new financial

controls, internal audit procedures and loan

review policies, and improved its management of

late payments by clients. In addition, it has piloted

several new financial products and introduced a

new staff incentive system, rewarding high

performance with increased compensation.

One of Pro Mujer Nicaraguas new products that ismost in demand is a loan for clients to make

improvements to their homes. Pro Mujer

Nicaragua will also assist clients to obtain legal

title to their property.

Gloria Ruiz

Director

LocationsManagua, Masaya,Chinandega, Leon,Ciudad Sandino,Esteli

For JohanaVallecillo, a Pro Mujer loan helpedto grow herbusiness.Buta PAP

test saved her life.

Johana, a 33-year old mother of three, had not had a PAP test in three years

when she decided to have one at a Pro Mujer health clinic. The test detected

the early stages of cancer. Pro Mujer referred her to a nearby hospital where

she was treated with chemotherapy.

Today she educates others in her community about the importance o

preventive healthcare, making sure everyone she knows undergoes a PAP test

Everyday I thank God for my children and that I am alive and able to be with

them, and also for my health, she said.

Pro Mujer Nicaragua has developed alliances with privatehealthcare organizations and pharmacies. The agreements

allow Pro Mujer clients access to a wide range of health

services that include gynecological consultations, genera

medicine, family planning, counseling, electrocardiograms

and PAP examinations. Services are provided at clinics in

Pro Mujers neighborhood centers in urban areas. Pro Muje

health staff also offer PAP examinations in more remote

rural areas.

Many clients of Pro Mujer Nicaragua receive business

training in marketing, business leadership, basic

accounting, andothertopics. Theclients explorenew marke

channels to promote their products, identify needed

technical assistance and attend local and national events

such as fairs and exhibitions.

Pro Mujer Nicaragua also provides gender-focused training

in family planning, domestic violence, leadership and self-

esteem. Other workshops focus on conflict resolution

interpersonal relations, and childrens nutrition. Some

male clients also attend these sessions.

Pro Mujer Nicaragua leverages its impact by trainingclients to become community health advocates, particularly

in the areas of sexual and reproductive health. These

volunteers ensure that Pro Mujers message reaches wel

beyond its client base into the broader community.

Johanas Story


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Pro Mujer Peru

Naldi Delgado

Director

Locations

Puno, Juliaca,Ilo, Tacna, Moquegua

Pro Mujer Peru was established in 1999, buildingon the knowledge and lessons learned in Boliviaand Nicaragua. The institution offers clients avariety of credit products, the principal onesbeing working capital loans, seasonal loans andeducation loans. All loans are made throughcommunal banks.

Pro Mujer Peru is also developing and piloting anew loan product for the most successful clients,and one for agro-commercial entrepreneurs inrural areas. Rural loans are offered on marketdays when farmers gather to sell their animalsand produce.

After three loan cycles, clients with high re-payment rates can apply for seasonal loans totake advantage of special events such as theChristmas season. Education loans allowclients to invest in their future and the futureof their children.

Alejandrina chewed coca leaves to ease her hunger pains. But her sixchildrenRenso, Eduardo, Erika, Victor, Angel and Isabelneeded food, andAlejandrina had no money to pay for it.

Unable to find a job, she started a business, making and selling miniaturedolls representing characters from Peruvian culture. But Alejandrina couldnot sell enough to put food on the table.

Then she heard about Pro Mujer on the radio: women just like herpoorwomen with no collateralwere getting small loans and coaching to start orexpand a business. She signed up, and soon began taking part in businesstrainings. She drafted a simple business plan, and got a loan to buy clayribbons, feathers, and other materials to make dolls.

Today, Alejandrina earns enough to support her family. Her weekly earningshave almost tripled, jumping from US$11 to about US$31. She dreams ofsomeday owning a retail store.

Pro Mujer Peru acts as a facilitator rather than a directservice provider of healthcare services. The institution

negotiates reduced rates with public and private health

service providers. Based on their needs, clients choose a

provider of health services.

Pro Mujer Peru works closely with the providers to

organize regular health campaigns, making medical staf

available at neighborhood centers to offer vaccinations

PAP smears, dental care and other services. These

campaigns educate clients about the importance of

healthcare and how to access services. Pro Mujer Perushealth educators follow up with clients undergoing

medical treatment.

Pro Mujer Peru also collaborates with MINSA (Ministry o

Health) to help women and their families cope with

alcoholism and domestic violence. Students from the

Universidad Andina Nstor Cceres Velsquez provide

legal assistance on matters such as domestic violence

claims of paternity rights and alimony.

In partnership with the Ministry of Education, Pro MujerPeru also provides day care in Juliaca and Tacna, offering

educational activities for the young children of clients

The Ministry of Education supplies the teachers and

educational materials.


Alejandrinas Story


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Launched a multiyear effort to develop new loan productsfor underserved groups, thanks to a US$3.1 million grant

from the Bill & Melinda Gates Foundation.

Pro Mujer Bolivia was awarded the Grameen Foundations

2006 Pioneer in Microfinance Award.

Pro Mujer Peru received its first loan guarantee from the

Grameen Foundation, leveraging US$600,000 to fuel its

plans to reach more than 72,000 poor women by 2009.

Pro Mujer Bolivia, Pro Mujer Nicaragua and Pro Mujer

Peru received high ratings for efficiency and loan

portfolio quality from MicroEnterprise Americas, a

publication of the Inter-American Development Bank

(IDB). Pro Mujer Peru was also recognized for its

success in reaching the very poor.

Pro Mujer Nicaragua won the prestigious 2006 FinanciaTransparency Award from the World-Bank-based

Consultative Group to Assist the Poor (CGAP). Pro Mujer

Peru and Pro Mujer Bolivia received Merit Recognition

awards for 2006. The competition recognizes institutions

that excel in transparent financial disclosure.

Pro Mujer Mexico and its clients were recognized by

Banamex (part of Citigroup) at the Premio Banamex a la

Microempresa 2006.

ProMujer Argentinawasfeatured in the2006SocialAction

Report from the Argentine Banco Hipotecario.

In 2006, the Pro Mujer Network Built on a Remarkable Record of Success:

Main Accomplishments


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Financial Revenue - InterestFrom loansFrom cash and cash equivalents

Financial ExpensesInterest expenseGain on translation

Net financial revenues, before allowance for loan lossesAllowance for loan losses

Net financial revenues, after allowance for loan losses

Donations and Other RevenueGrants and contributionsNet assets released from restrictionsOther revenue

Operating income, net

Program and Supporting ExpensesCredit training programManagement and generalFundraising

Total program and supporting expenses

Net Revenue

Net assets beginning of year, as restated

Net Assets, End of Year

9,486,723166,334

9,653,057

(928,970)49,927

(879,043)

8,774,014( 414,619)

8,359,395

5,879,655-

596,7856,476,440

14,835,835

5,401,5902,917,453

439,457

8,758,500

6,077,335

15,238,204

21,315,539

6,335,736101,311

6,457,047

(364,847)67,337

(297,510)

6,159,537(272,683)

5,886,854

2,709,014-

460,7983,169,812

9,056,666

4,938,4181,212,232

205,287

6,355,937

2,700,729

12,537,475

15,238,204

A complete copy of our financial audit, performed by Gelman, Rosenberg & Freedman is available upon request.

2006 2005

Combined Statements of Activities and Changes in Net Assets

Years Ended in December 31, 2006 and 2005 (expressed in US dollars)


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Bolivia (1990)*Number of Clients**Number of Communal BanksGross Loan PortfolioClient SavingsAverage Loan BalancePortfolio at Risk > 30 days

Nicaragua (1996)*Number of Clients**Number of Communal BanksGross Loan PortfolioClient SavingsAverage Loan BalancePortfolio at Risk > 30 days

Peru (1999)*Number of Clients**Number of Communal BanksGross Loan Portfolio

Client SavingsAverage Loan BalancePortfolio at Risk > 30 days

Mexico (2001)*Number of Clients**Number of Communal BanksGross Loan PortfolioClient SavingsAverage Loan BalancePortfolio at Risk > 30 days

Argentina (2005)*Number of Clients**

Number of Communal BanksGross Loan PortfolioClient SavingsAverage Loan BalancePortfolio at Risk > 30 days

TotalNumber of Clients**Number of Communal BanksGross Loan PortfolioClient SavingsAverage Loan BalancePortfolio at Risk > 30 days

81,5174,241

$13,561,700$5,035,512

$1830.30 %

19,641908

$3,275,758$1,360,332

$1900.18 %

35,8761,626

$5,597,626

$2,039,856$1660.00 %

18,008825

$4,062,340$1,416,131

$2601.71%

4,598185

$411,288$139,733

$1190.20 %

159,6407,785

$26,892,648$9,991,564

$1910.43%

35,8081,516

$3,841,470$2,366,096

$1100.40%

12,501474

$629,385$333,028

$600.76%

8,348328

$685,161

$349,121$690.00%

56,6572,318

$5,156,016$3,048,245

$1090.39%

41,6091,778

$4,524,725$2,812,123

$1430.20%

16,028407

$1,006,871$471,024

$960.70%

14,352521

$1,313,289

$629,625$1050.00%

2,56793

$231,141$47,376

$900.00%

74,5562,799

$7,076,026$3,960,148

$1280.23%

*Start year of Microfinance Institution (MFI). **Number of Clients includes borrowers and savers.

49,7502,095

$5,586,663$3,575,826

$1460.20%

15,825515

$1,424,437$668,462

$1090.40%

20,096764

$2,049,802

$873,960$1160.00%

6,596252

$574,021$205,902

$980.00%

92,2673,626

$9,634,923$5,324,150

$1310.18%

63,5472,704

$7,150,438$3,992,745

$1470.10%

17,413610

$1,920,648$777,756

$1360.13%

24,8631,017

$2,708,599

$1,221,343$1180.00%

11,872489

$1,248,814$561,740

$1231.17%

117,6954,820

$13,028,499$6,553,584

$1370.19%

82,7373,617

$11,156,000$4,515,000

$1730.50%

14,830618

$2,543,000$980,000

$2050.27%

30,1011,298

$3,416,000

$1,544,000$1220.00%

15,733603

$2,750,000$746,000

$2121.00%

52020

$52,000$4,000

$1010.00%

143,9216,156

$19,917,000$7,789,000

$1740.45%

20062001 2002 2003 2004 2005

Pro Mujer Track Record 2001-2006


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Carmen Bez

Omnicom Group

Leslie BenningBenning International

Jos Cancela

Hispanic USA

Helen E. Clement

Elaine EdgcombThe Aspen Institute

Arminda Mindy FigueroaScholastic Entertainment

Linda de Jess-Cutler

The Bravo Group

Clara LipsonFinancial Planning Association

Karen LithgowWestern Union

Bonnie LuntBonnie Lunt Management

Mary Jane ONeill

Carmen M. Segarra

Citigroup

Teresa Segarra

Changing Our World

Carla SkodinskiVan Beuren Management

Monique SkruznyMBS Value Partners

Silvia Surez

Executive Directors and Co-FoundersLynne Randolph Patterson

(New York)

Carmen Velasco

(Bolivia)

Chairman of the BoardRita Foley

Vice ChairmanGail S. Landis

Evercore Asset Management, LLC

SecretaryP. Gregory Hess

Schiff Hardin LLP

Treasurer *Ben Moyer

Wainwright Investment Counsel

Founding PresidentRuth B. Cowan

American University

Honorary Past PresidentPeter H. Johnson

Developing World Markets, Inc.

Honorary Past PresidentRosemary Werrett

G7 Group

Helen E. Clement

Peter W. Greenough

Greenough & Company, Inc.

William K. Kirst

J.P. Morgan Securities, Inc.

Board of Directors

Rebecca Mendoza

Pfizer

Mauricio Pags

Rosario Prez

Maria C. Richter

Ann Schroeder

Latin Source/Global Source

Denise Simon

HSBC Halbis Partners (USA), Inc

Monique Skruzny

MBS Value Partners

Maryann B. Sudo

Luis A. Viada

The McGraw-Hill Companies

AmbassadorLinda Watt

Strategia, Inc.

Board Presidents of PM MFIs

Carlos Alfaro

President of the Argentina Board

Mara OKeefe

President of the Mexico Board

Mayu Hume

President of the Peru Board

* Ben Moyer resigned from thePro Mujer Board in November2006 to become Pro Mujers first

Chief Executive Officer.

Board Advisors

Jonathan Morduch

ProfessorWagner Graduate School of PublicService, New York University

Thomas Studwell

Legal Counsel

Charles Waterfield

Microfinance Advisor/Consultant

Advisory Council


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Contributors 2006

Visionaries$400,000 and above

AnonymousThe Bill & Melinda

Gates FoundationThe Weberg Trust

Ambassadors$25,000$100,000

American Jewish World ServiceNew York Community Trust -

Wallace SpecialProjects Fund

John F. and Mary A.Geisse Foundation

The SEEP NetworkThe Hurlbut-Johnson

Charitable TrustsJPMorgan ChaseEMCB Emerging Markets

Charity BenefitWoodcock Foundation

Partners$10,000$24,999

Alumni of Students for 60,000American International

Group, Inc.AnonymousAtkinson FoundationChristina and Charles BascomBessemer TrustCogan Family FoundationStephen and Joanne DownesWestern Union FoundationGreen FundGruber Family FoundationDarrell and Linda HinsonHSBC Bank USA, N.A.JPMorgan Chase FoundationGail Landis

and Victor BernsteinLopez Low FoundationMaria C. RichterSarita Kenedy East

Foundation, Inc.Simpson Thacher & Bartlett LLPStandard and Poor's

The Rohatyn Group, LLCWest Foundation, Inc.Tinker Foundation

Patrons$5,000$9,999

Jean AndersonAnJel FundCarmen Baez

Omnicom GroupBarclay Investments, Inc.Booz Allen Hamilton

Helen D. BuchananJos Cancela

Hispanic USAHelen E. ClementRuth B. CowanDaniel and Aurelia CristofanoElizabeth EissRita FoleyGE Energy Financial Services

Goldman SachsVirginia GreenAmy HagedornSusan Henshaw JonesPeter H. JohnsonWilliam R. KellyCharles MarshallMCJ FoundationMEX-AM Cultural

Foundation, Inc.Morgan StanleyFrannie and Ben MoyerOswald Family FoundationRosario Perez

Ann SchroederLeila Shakkour

LLL FoundationDenise SimonCarla SkodinskiCarol and Charles StockingMaryann SudoAlvaro TafurThe International Alliance

for WomenTrull FoundationLuis A. ViadaLinda WattRosemary and Noel Werrett

Patricia and George White

Benefactors$1,000$4,999

Abernathy MacGregor GroupMaria Elena and Andres AnkerAnonymousBrian Arbogast

and Valerie TaricoArkin Family FoundationAvrum Katz FoundationElizabeth BeineckeLeslie Benning

Benning InternationalJack and Maryvonne BittnerBobolink FoundationBenjamin Bratt

and Talisa SotoBarbara Brindeldolph

and Nat StoddardCiara BurnhamChester and Ellen ClarkLenore CooneyKathleen CorbetJoAnn Corkran

and Randy EzrattyElizabeth Dater

Elizabeth and StevenEdersheim

Elaine and Paul EdgcombEileen Fisher, Inc.Therese EsperdyHoward FinkelsteinJoan Ganz CooneyConnie Gelb

and Scott Otteman

Peter Greenoughand Christine Bates

Edward Grovesand Jennifer Choe

Jane HartleyJohn and Mary Ann HollihanGuillermo JassonMike KauffmanJennifer and Tim KingstonWilliam and Cristina KirstJessica Ladd

and William HaskellDorothy LargayLeila and Jayron Larijani

Ted and Carol LevyBonnie Lunt

Bonnie Lunt ManagementGary and Gigi MankoffNancy MarshDiana Martinez

and Theodore MerzLarry McCaffreyMark McMahon

and Roberto MoreiraMeadwestvaco FoundationEduardo and Gillian MestreBarbara and NicholasMillhouse

Mindich Family FoundationCarolyn MolinaJonathan MorduchPeter NeumeierThomas and Charlene O'NeillMary Jane and Mike O'NeillEllen PackMaury and Pat PagesPalladium Capital ManagementPfizerRoger RindgeSandra Roe FundZachary RosenIsabella Salman

Greg SawersJosie SentnerRick Sergel

and Susan BaggetSilver Family FoundationMonique SkruznyNancy SmithDavid and Lynn SobocinskiValerie SolomonoffJack StadlerThe Ironwood FoundationAlan and Debbie StecklerAntonia StolperGeorge Stonbely

Silvia SuarezPatricio and Griselda

Suarez-BuyoFrederick and Mary SykesThe McGraw-Hill Companies

Community PartnersEmployee Giving Campaign

Supporters

$500$999

James and Lorraine AbruzzoMarci Alboher

and Jay GoldbergBeverly AlexandreJohn ArcherVirginia and Thomas BaxterCandace BeineckeFreya and Richard Block

Family FoundationAndrew BrownSila CalderonJoyce Chang

Mary and Harry ChungThe Cobb Family FoundationRoberta Connolly

and Arthur M. MillerChristine CookJack and Laura CorkeyEugene and Joan DalyJenice and Richard DelanoBuzz and Liz DohertyMiguel DueasMarfe FergusonArminda Mindy FigueroaThe Ginda and Benji Fisher

Charitable Trust

Katherine FitzhughStuart GilbertMartha and David GossAlejandro GutierrezHenry and Christine HappelKelly HindleyCraig HorsleyMaria de Jesus HumeJane JaneczekAndrew JessopMarjorie Kean

and Jim FerriKite Family FoundationLillian Kraemer

Leanne LachmanTeresa LaRoccoEric LomasShelley LongmuirHelen LoweFrank MadonnaChris and Brenda MajorCharles ManattJuliet MattilaAnnette McEvoyElizabeth Means

and Charles GardnerRebecca MendozaMorgan and Elizabeth Mitchell


23/24

Contributors 2006

Photos from Pro Mujer. Special thanks to Consuelo Lopez.Designed by www.ruconcept.com. Environmentally printed by www.gregbarberco.com

Friends$100$499

Judith S. AbramsValeria AchoaMichael AdamsAdedayo AdedejiLilyan AffinitoTeri AginsCristina AlmeidaAmbac Financial Group,Inc.Harold AmerMadeline Amgott

Jane AndrewsAlyce AndrewsRobert AnnibaleAnonymousKarin AtalaSusan Atkins

and Eben D. ShapiroLaure AubuchonEdith AvilesMary Lou BarneyJacqueline BarryThomas BeadlestonJohn BeattyTheresa El Behrendt

David BergersonRonald BermanLeonard BirnbaumHeather and Peter BoneparthStacey BouchardPatricia BoyleWilliam and Gloria BreuningerWilliam BroadbentMaureen Broderick

Deborah BrooksStanley and Lynn BrooksMelonie BrophyMary Rose BrusewitzTabor ButlerAnnelore and Henry ButlerCheryl CameronRosa Maria CarbonellGloria and Ulrich Caro

Deborah CaroKerry CarrMarcy ChambersElizabeth and Jay ChandlerIrma ClementeLorenza CoccoRoberta and Richard CoccoAlexandra ConnellEnid CoverdaleJane CreelMaureen CrowAndy CumminsPatricia DahlAlun Davies

Anke Deningand Paul Volker

Patricia Di SilvioMartha DipaoloKimberly and Scott DonaldsonViolet EdersheimKari and Kamal EliasClaude ErbsenAmalia EstenssoroMichael EvansWilliam FarrellEdward FeighnyJesse FerroMichael Fieldman

Jerramy FineJoseph FloresLydia and John FoleyLinda and Mike FoleyLili ForouraghiMaria ForteAnne GallagherSergio GalvisBethzaira GarciaKaren GarrisonNancy GersonLeslie GilstrapPenny and Ed GlassmeyerDale and Lois Good

Sascha GrahamMelanie Grisanti andGordon McLeod

Olivia Haand Ludovic Grandchampdes Raux

Birgitta HananMary Jane and Kenneth HellyarTim Herrmann

Laura HillSteven and Elizabeth HirschDiana HolmesJane Hughes TurnbullBernard HulinKay E. JacksonLesley JacksonSusan JenkinsAndrei Jezierski

Jane JohnsonElizabeth JohnsonGail JonesMargaret and Fred KarstenJudith KeeferKatie KellyThomas and Sharon KennedyRushworth M. KidderDonald Kilpatrick

and Karen S. LavineJoan KosanSandra KreshKaren KurraschLouise Ladwig

Kathleen LapierNancy LeffKatharine LeggJay and Robin LewisDana LightmanVictor LipkoClara LipsonTracia LuhMariella MahanSusan Mainwaring RobertsRavi MalhotraCynthia and Michael MaloneyPhilip ManheimSusan Marx

Richard and Margaret McCannRobin McDonaldPatricia McEveneyDaniel and Teresa McGovernMary McKinleyRagnhild MelziAna Menendez-TuckmanAndrea MerenyiPaul MeyerRobert MeyjesChris and Nancy MichalskiMiddlesex Financial Company, LLCPhyllis and Sherry MoeRoger Mooney

Jill MurrayEric and Lizbeth NegrinMargot NonesElizabeth NortonMaureen O'Neill

and Floyd WeinstockKathleen O'SullivanDonna PeekIlse Pitts

Barbara PlimptonCynthia PoettPortland Financial Planning GroupLynn PovichJanet PrystowskyAudra QuerySean QuigleyAnika RahmanEugene L. and Susan M. Roberts

Carey RobertsSherry RobinVictoria and Mark RockmanRachel RosenBob and Lisa RosenbloomMiles and Susie RubinMelanie and Robert SabelhausBarbara and Ira SahlmanLeslie and Ricardo SalmonAnita and Jack SametNorman and Christine SaundersLisa SchinellerKarl SchmidtLinda Schoenthaler

Helen ShanSisters of Saint DominicHerschel SklaroffBarbara SlonevskyBarbara and Constantino

StamatelosSusan StautbergLinda Steck and David RosenSamuel SternCynthia StoneTom and Bonnie StraussKatherine StyponiasRaquel SuarezFrancine Suarez

Evelyn SugarChristy SwansonVirginia SykesShifra TeitelbaumElena Andrea TullochMary and James ValentineFrances VarronMarsha and David VeitRafael and Diana VinolyGretel and J.D. Von PischkeLauren WedelesAngela WeeksFlorence WeickerErika Weinstein

Vera WeintraubJoy and Thomas WernerMaria C. WirthPaula WittbrodtAndrew and Carolyn WrightLily YipChristine ZivkovicLuanne Zurlo

Mark Morrill andMarilyn Greenberg

Charles Stewart MottFoundation MatchingGift Program

Nomi Ghez FoundationBarbara O'ConnellElizabeth O'DonnellGavin Parfit

Nancy PedotRobert and Judy PerlAndrea PetroniFrancisco PujolSara RioffGretchen SchaffnerAna Teresa SegarraMartha SprouleAlice StarrThomas StudwellJulie VigdorAnita Volz WienStephen WallensteinPenny Zuckerwise


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www promujer org

New York, USA

Lynne Randolph PattersonExecutive Director & Co-founder240 W. 35th Street, #404New York, NY 10001Tel: [email protected]

La Paz, Bolivia

Carmen VelascoExecutive Director & [email protected]

Pro Mujer Argentina

Federico KirschbaumFinance and [email protected]

Pro Mujer Bolivia

Vivianne [email protected]

Pro Mujer Mexico

Javier [email protected]

Pro Mujer Nicaragua

Gloria Amelia [email protected]

Pro Mujer Peru

Naldi DelgadoDirector

[email protected]

Offices

Annual Reports 4 PDF SP 2006

Documents

Transcript of Annual Reports 4 PDF SP 2006