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Transcript of j0977 Red Ar 2012 Fin Web
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From Pakistan toNew Zealand and aroundthe world, technology hasenabled New ZealandRed Cross to connect,to reach more, do betterand be there to help thosewho need us most.
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91,905volunteer
hours
7,747volunteerdrivers
34volunteer
coordinators
646,918meals
delivered
MEALS ON WHEELS
9,210volunteers
5,369members
SUPPORTERS
5,429volunteer
hours
620days ofservice 133volunteers
HOSPITALSERVICES
832courses
delivered19,878
participants
PEOPLESAVERS
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64,859participants
2.84%national
growth rate
FIRST AID
1,200retail
volunteers
98%volunteerworkforce
51shops
RETAIL
SHOPS
3,564participants
196coursesdelivered
SAVE-A-MATE
135new Twitterfollowersper month
170new
Facebookfollowersper month
578likes
Feb–Jun2012
25,000monthlywebsite
visits
DIGITALCONNECTIONS
13,269patients
transported
709drivers/
volunteers
21,716volunteer
hours
COMMUNITYTRANSPORT
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4
With stories of hardship being reported, especially among young people, and winter in full swing, thischallenge was a fun twist on an important day, which this year celebrated the contributions of young peopleand the opening of a new Red Cross shop.
Every dollar spent at a Red Cross shop goes back into supporting Red Cross’
work with vulnerable people in communities, and with a strong network
of 51 Red Cross shops the impact makes a difference every day.
Half of the 13 million Red Cross Red Crescent volunteers worldwide are
young people, and so youth play a critical role in helping Red Cross reach
the most vulnerable, while also helping to build healthy communities.
The challenge was launched at Red Cross’ newest shop in Matamata with two
students, one from Waikato University, the other from Wellington’s Massey
University, going head to head to find their own ‘gem’.
People had to head to their local Red Cross shop to find an outfit for under
$50 and post a photo to New Zealand Red Cross’ Facebook page, with
the most ‘likes’ winning.
Using the power of social media and New Zealand Red Cross’ Facebook
page, the pair put the challenge out to others to find a better bargain.
Within seconds the votes flooded in.
The challenge had 18,000 unique views on our Facebook page, more than
2,000 likes on the competition photos and 44 photo or album shares.
A YouTube promotional clip also attracted close to 100 views.
The winner, a Canterbury University law student received 805 ‘likes’ to take
out the top prize and walk away with a $400 Country Road gift card. On the
flip side, the new Red Cross shop made record sales in its opening week.
It was a different approach. It was a campaign that celebrated youth
and our retail stores, and that let social networks mobilise national interest,
prompting television, radio and print publications across the country to run
stories and get interest. It was a campaign that opened awareness
of New Zealand Red Cross, and what it can do, to a new generation.
IN THE WARDROBECHALLENGEENGAGING
New Zealand Red Cross challenged thecountry to visit a Red Cross shop to mark
World Red Cross Red Crescent Day, andhelp make their dollar go further.
$50+
New Zealand Red Cross Annual Report 2012
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unique Facebookpage views
Massey University student Olivia Cramondchallenges other students.
Watch Red Cross’call for entries
Facebook likesfor WardrobeChallenge photos
Facebook shares of WardrobeChallenge photos or albums
ENGAGING IN THE WARDROBE CHALLENGE
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New Zealand Red Cross Annual Report 2012
A snowfall hit Christchurch early this year, and with many still facing the harsh repercussions of lastFebruary’s earthquake, it was looking likely to be another long, cold, miserable and expensive winter.Identifying this risk, New Zealand Red Cross used its people, services and universality to respond toand again support Canterbury during a time of adversity.
Before the seasonal change, the winter warmer packs were being put together
by volunteers. Reminiscent of care packages Red Cross distributed during the
Second World War, these packs were created to support the most vulnerable
and offer some solace and a smile during another challenging time.
So when winter arrived, New Zealand Red Cross was ready. Mobilising its
living network of outreach volunteers and staff, 500 winter warmer packswere snapped up within days. Realising they were only just reaching the
tip of those in need, the New Zealand Red Cross Earthquake Commission
allocated funds from the appeal to produce another 4,000 packs.
A testament to the power of social networks was a message posted on
Facebook asking for all Christchurch residents struggling to stay warm this
winter, as a result of the earthquakes, to request a pack. With 103 likes,
56 comments and 79 shares the post helped New Zealand Red Cross reach
more, while a flow-on success saw 59 additional likes of New Zealand
Red Cross’ Facebook page.
“This is such a lovely thing the Red Cross is doing. Winter is being harsh
on us all,” said one recipient.
Another posted: “Thank you so much for our winter warmer pack.
Truly appreciate the generosity and thoughtfulness involved of all those
who supported this initiative.”
The reach and success of programmes like this could not be achieved so
quickly and at such a level without New Zealand Red Cross’ living network.
It is these people - members, volunteers and staff - that continually respond
to repair, restore and support those who need it most.
Red Cross acknowledges the significant tasks people face in rebuilding
their lives and livelihoods and remains committed to the long-term recovery
of the region. Every individual, family and community has different needs
and capacities and this has been recognised in the variety and breadth of
Red Cross’ recovery programmes.
A blanket, hotwater bottle, soup,torch radio, milo,beanie, snugglesack, gloves andthermos mug makeup the contentsof a New ZealandRed Cross winterwarmer pack.
A RECOVERINGCHRISTCHURCH
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Red Cross’ Rosemary Fisher loads up the car with winterwarmer packs.
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CHRISTCHURCH RECOVERY
winter warmer packsproduced for strugglingChristchurch residents
Facebook likes for the opportunityto receive winter warmer packs
earthquake-affected Kiwishave received Red Cross grants
set aside for earthquakerecovery programmes
Since the Earthquake Commission was established in February last year,
more than 80,000 of those affected have received grants, totalling about
$69 million, with a further $30 million ring-fenced for grants that are
currently open.
About $12 million has been put aside for recovery programmes, like
training outreach volunteers to provide care in the community, distributingwinter warmer packs and torch radios, supporting those displaced as a
result of the earthquake and strengthening disaster response capability.
The remainder of the appeal funds, about $14 million, is for further grants
and programmes under development.
Recovery is a marathon, not a sprint. New Zealand Red Cross may be new to
recovery, but through partnerships and learnings from other National Societies
around the world, and the power of living networks at home, our ability to be
relevant and useful during times of adversity is changing our landscape.
See Red Cross’
message forChristchurch
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When the Canterbury earthquakes shook our nation and tested us last year, it also brought out the powerof humanity and the connectivity of the International Red Cross and Red Crescent Movement. In our responseto this disaster other National Societies from across the globe came to support us, as did corporates andcommunity groups. Within New Zealand Red Cross, members, volunteers and staff worked collaborativelyto help the most vulnerable during their time of greatest need.
This interconnectivity did not go un-noticed. The global network that had
mobilised the power to enhance our response was mentioned and praised
at the 31st International Conference of the Red Cross and Red Crescent
Movement in Geneva last Nov ember.
New Zealand Red Cross is also active in lending its support to other NationalSocieties in their development and with resources in their time of need.
This is especially relevant among the Pacific Islands, where we remain actively
involved. We support programme development, resilience and capacity building
as well as providing a governance enhancement programme.
That connection and support is also seen through an expanding living network
at home, in New Zealand.
Two years ago, New Zealand Red Cross changed its governance structure and
15 area councils replaced six regional boards. This transformed the membership
of the organisation. We are now starting to see the result of this change, with
our members giving us a closer link into local communities, and enhancing the
connection between governance, the organisation’s grass roots and staff.
Area councils are one of our most successful living networks, with a reach that is
far and wide. Members ensure we are able to deliver more services, and connect
with and support the most vulnerable in a more relevant way. On the flip side it
also increases Red Cross’ presence and profile within local communities.
Building a stronger National Society is contingent on robust and effective
governance and leadership. A strong National Society also requires an engaged,
committed and vibrant membership. As a strictly member-led organisation
through our constitution as a National Society, the members have a say in
the organisation and its direction and without them we would not exist.
Young people are also playing a crucial role in the work we are doing, adding
another dimension to our capability and reach. The number of youth members
within Red Cross is increasing as is their influence, with two representatives
sitting on our National Board.
From members to volunteers and staff, everyone plays an important role
in New Zealand Red Cross’ ability to reach further and do more. And the
planned improvements and developments in connectivity through technology
over the coming year will reduce the digital divide and increase collaboration
even further.
Being technologically savvy and transitioning the organisation into a more
innovative space through soc ial media, and a new website, and givin g
everyone access to a relevant intranet, will reduce the exclusion and
isolation historically felt by some of the most remotely located members.
Stronger networks between staff, members and volunteers will also develop
and New Zealand Red Cross will become more interconnected, and in a
better position to help change and shape our landscape as an essential
part of New Zealand and international communities.
Our most successful living networks are our people, who with our services
respond to, repair and restore communities in times of adversity.
Penny Mason
National President
“I would like to express my sincere thanksto members of the New Zealand Red Cross2011 Earthquake Commission, who took onthe daunting job of overseeing the distributionof the appeal funds. It is a difficult task thatrequires compassion and sound judgement.None of our work in Canterbury wouldhave been possible without your expertiseand commitment.”
NATIONAL PRESIDENT’S REPORT
New Zealand Red Cross Annual Report 2012
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NATIONAL PRESIDENT’S REPORT
A Red Cross youth volunteer helps National President PennyMason and Board member Alan Webb use technology.
“The global network that had mobilised the power to enhance our
response was mentioned and praised at the 31st International Conference
of the Red Cross and Red Crescent Movement in Geneva last November.”
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New Zealand Red Cross Annual Report 2012
CHIEF EXECUTIVE’S REPORT
Chief Executive John Ware in Wellington
“The demand for our work has steadily been increasing,
and New Zealand Red Cross has been there, and will remain
there for the most vulnerable in their time of greatest need.”
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11
The work of New Zealand Red Cross is diverse and far reaching and this year, once again, Red Cross peoplehave enabled our services and programmes to reach more people across more communities. Their efforts and theassistance of our generous donors should not go unnoticed.
Red Cross people, members, volunteers and staff have provided in the last
year humanitarian assistance in local communities in New Zealand and in
26 countries around the globe. I wish to thank all our members, volunteers,
staff and international aid workers for their valued contribution, dedication
and drive; it is our people who make a difference
New Zealand Red Cross has developed a strategy entitled “Towards 2020”
which outlines who we are, how we work and what we will do to achieveour mission. Our focus will be around five strategic aims; preparing for,
responding to and enabling recovery from disasters and crises; enabling
healthy and safe living; promoting a culture of social inclusion; attracting
and retaining highly engaged and diverse members, volunteers and staff;
having a strong financial base with growing income and robust infrastructure.
The call for our humanitarian work has never been greater including the
continuing needs of people and communities affected by the earthquakes in
Canterbury and Christchurch in 2010 and 2011. New Zealand Red Cross is
there for those in need, and will remain there for the most vulnerable.
Through the generosity of New Zealanders and others from 17 other countries
we have been able to provide cash grants and assistance through our long
term recovery programmes. Red Cross is supporting those in need and
helping prepare, strengthen and grow our own capabilities and the resilience
of our communities. We have lifted our own emergency response capacity
by restructuring and growing our volunteer emergency response teams.
New Zealand Red Cross has large, well-resourced and mobile teams available
to respond to a natural disaster. A disaster response team can be dispatched
as a self-contained unit with enough gear, tents and food to be self-sufficient
for 72 hours. The national disaster response team is part of a structure whichincludes locally based disaster welfare response teams and surge volunteers
as circumstances require.
We have continued to play an influential role within the Red Cross,
Red Crescent Movement and jointly pledged with the New Zealand
Government at the 31st International Conference in Geneva on a number
of humanitarian issues. We have advocated strongly in support of a treaty
to regulate the transfer of small arms and we are currently campaigning to
make nuclear weapons the target.
A seamless connection between local, national and international capabilitiesensures we can provide fast and relevant assistance. Our work internationally
continues to be well regarded and sought after, while our collaboration with
other National Societies remains integral to our development and learnings,
and also gives us the opportunity to support and guide others where needed.
Our lives are more interconnected, with the digital landscape increasing
our reach and ability to connect. Social media, and a new website and
intranet will play a more crucial role over the next year in enabling us
to do more and do better when disasters strike. New Zealand Red Cross
is committed to be there first, and remain there for the long term usingour people, and expertise in times of need.
John Ware
Chief Executive
CHIEF EXECUTIVE’S REPORT
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National BoardPenny MasonNational President
Penny hails from rural Hawke’s Bay and has been the National President since
2006, and was the Vice President for the two years before that. She has been
instrumental in developing and facilitating significant internal structural change
at New Zealand Red Cross, to ensure it is in a better position to connect with
local communities. Penny has also supported other National Societies across
the globe, more recently on governance advice in the Pacific.
A registered nurse, specialising in burns and plastic surgery, Penny has
devoted much of her life to volunteering in the community, and started her
commitment to Red Cross as a Red Cross youth coordinator in the 1980s.
Penny believes Red Cross is a fantastic organisation, with its local to global
aspect making it unique and interesting.
“I enjoy the feeling of belonging to a huge international family.
My vision during my time has been to rejuvenate the membershipand to ensure New Zealand Red Cross is in touch with the grass roots
by having a presence in all our communities and therefore reaching
more vulnerable people.”
Paul SteereNational Vice-President
After a long career in senior management and stewardship largely based
on international food production and marketing, Paul is now involved in
an eclectic range of governorship. He has director and chairmanship rolesin the salmon, wine, education, aviation, Australian seafood, and architecture
industries, alongside eight years with New Zealand Red Cross.
He says he find his work with Red Cross humbling, and while it is time
demanding, his “efforts pale by comparison with our overseas aid workers
and the many members and volunteers including professional colleagues on
the Foundation and Earthquake Grants Commission”.
Paul says the quintessential characterisation of New Zealand Red Cross was
clearly defined by the Federation Secretary General Bekele Geleta, during his
recent New Zealand visit, “our volunteers are undervalued for their wisdom
of experience, their commitment and passion. For them it is not a job but a
vocation and without this we would not be Red Cross”.
Alan Webb
Alan is a barrister based in Auckland dealing primarily with Environmental
Law. He was formally a prosecutor for the Crown and also worked at
New Zealand’s leading national law firm doing a mixture of commercial
and public law litigation. Alan is currently undertaking post-graduate studies
through Melbourne University on Public International Law with a focus on
international humanitarian law. He was formerly the chair of the CentralRegional Board and has been on the National Board for six years. Alan
is married with three young children.
Jennifer McMahon
Jennifer is a former nurse and nutritionist, functioning in both capacities
as an aid worker with the International Committee of the Red Cross from 1983
to 2000. Today she is a company director and has been New Zealand Red Cross’
Dunedin branch secretary for the last five years.
Jennifer is happy and proud to be part of an organisation that promotes
and adheres, to concepts and beliefs people can embrace and be passionate
about. She says Red Cross shows it is flexible and in touch with our society
as it begins more domestic programming, in conjunction with the renowned
international work that has been done now for more than 50 years. This will
be enhanced as the area council structure is embedded and strengthened,
to provide an enhanced ‘living network’ within our communities, making Red
Cross even more relevant.
Paul KiesanowskiPaul Kiesanowski has had an extensive 33 year career with leading accounting
and professional services partnerships and is currently Managing Partner of
KPMG Christchurch. Paul joined New Zealand Red Cross’ Board in July 2011.
Paul chairs the Board’s Audit and Risk Committee and joins Paul Steere as
a Trustee representative to the Red Cross Foundation, which manages the
safe keeping and investment of the Society’s reserves and funds.
Paul says: “New Zealand Red Cross has made a significant contribution
to assisting vulnerable people in our communities and overseas. I’ve longadmired their work and it’s a privilege to be part of the Board in this
capacity and during a time of so much need, especially in Canterbury.”
New Zealand Red Cross Annual Report 2012
GOVERNANCE
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GOVERNANCE
Debby Butler
Debby brings to New Zealand Red Cross over a decade of governance
experience. She has run her own consultancy business, and had management
careers in the public and private sectors. She is currently National Manager
Risk and Assurance for the Department of Corrections. While a Red Cross
volunteer and branch member Debby has found time to volunteer her
governance expertise with Red Cross National Societies in the Pacific.
Debby said the Red Cross Movement is inspiring, with its people sharing
an infectious commitment and passion. She always feels humbled to workalongside Red Cross people at all levels.
“I am in awe of the great many members who have given so much
of themselves, some with 40 years’ ser vice, 50 years, and even
longer. These people are the backbone of the society and quietly
continue to raise funds and do good work in the community without
any thought about recognition or thanks.”
Aaron Turner
A member of New Zealand Red Cross’ youth panel, Aaron Turner has
been involved with Red Cross in some capacity for more than eight years.
After competing studies at Otago University he moved to Auckland where he
is currently studying to become a paramedic.
Aaron claims to have the Red Cross ‘virus’. This fuels his passion for what
Red Cross does, and ensures that most of his spare time is spent working on
committees and community programmes for it, including representing
Red Cross at recent Asia-Pacific and Pacific youth forums.
Aaron says New Zealand Red Cross may be small, but one can neverunderestimate its successful living network: its people and the impact
they have at a grassroots level.
Mat Darling
As the youth representative on the National Board, Mat has been involved
with Red Cross for five years, with his commitment focused on youth
involvement in grass roots activities related to emergency response. Mat is a
third-year student at Otago University studying for a Bachelor of Science.
He says Red Cross is an amazing organisation, helping the most vulnerable
in times of need, whether locally, nationally or at an international level.
Mat claims it is sobering to experience this first hand, and also to see what
a difference Red Cross makes in people’s lives, which is why he volunteers.
“I have a lot of respect for those who are out there supporting
New Zealand Red Cross, b e it on the street corner with a bucket,
delivering meals on wheels or providing disaster relief. They work
tirelessly for countless hours to strengthen our society and ultimately
make our country and world a better place.”
Steve Osborne
Originally a high school biology teacher, who promptly retrained as a
psychologist, Steve first became involved with Red Cross in his home country
of Canada as a blood donor in 1976.
Steve brings a wealth of experience from 20 years as a psychologist to holding
prominent positions on several international governing boards. He is currently the
chief executive and registrar of the New Zealand Psychologists Board.
Steve likes Red Cross’ ‘purity’ of purpose and single agenda: to help those
most in need. He is proud of the work Red Cross has done in Christchurch,
and its international aid worker programme, he says is a great example of
the effectiveness of Red Cross in action.
Letft to right: Steve Osborne, Jennifer McMahon, Penny Mason,
Aaron Turner, Paul Kiesanowski,Mat Darling (youth representative),
Debby Butler, Alan Webb andPaul Steere
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New Zealand Red Cross Annual Report 2012
National OperationsOur lives are more interconnected than ever before, comprising powerful networks that are able to reachmore and do better. The strength of New Zealand Red Cross is its members, volunteers and staff, who areresponsible for the delivery of programmes and activities.
Red Cross’ network enables it to call upon its people to support the needs
of the vulnerable in the community during times of adversity. Last winter,
a massive snowstorm blanketed Christchurch, threatening to limit, even halt,
essential services. Roads were slippery and conditions hazardous, but through social
networks, including radio, Red Cross was able to quickly mobilise people with fourwheel drive vehicles to support the delivery of 800 hot meals to those in need;
no one missed out.
Every area across New Zealand is different, from their needs and wants
to capabilities and requirements. Our members, volunteers and staff are a
living network in these communities, enabling them to identify needs and
make a difference where they are needed the most.
In Taranaki, the No Limits youth programme was set up in 2010 to empower
10-to-12 year olds to reach their full potential through personal developmentand positive integration. The programme selects students who, because of
socioeconomic or family situations, shyness or social isolation, would not
normally get the opportunity to attend a development programme.
Across the country, with media still highlighting the increasing number
of young people abusing alcohol and drugs, New Zealand Red Cross’ harm
minimisation programme Save-a-Mate continues to help more at risk youth.
Participation rates have increased by close to 1064 per cent on last year with
growing interest from secondary schools and community groups, and other
agencies who want to promote healthy and safe living.
Other programmes, like community transport, are also meeting a wider need
in Hawkes Bay, with Red Cross members helping get secondary school students
to hospital and physiotherapy appointments. A partnership with the local health
board is ensuring women aged 45 to 69 years, who may not otherwise go, are
being transported to have mammograms from BreastScreen Aotearoa.
This is a small sample of the great work our members, volunteers and staff
undertake on a daily basis, working with and supporting communities.
Next year we will continue to utilise our people, who are part of the lifebloodand fabric of our communities, to interconnect and respond to, support and
build capacity within communities, to reach more and do better.
Alan Busfield (Howick) being delivered a hotmeal from volunteer Gerry Paynter
Watch theSave-a-Mate
programme
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15
Education and TrainingOur global landscape is changing; society is increasing its pace with demand for things becomingmore immediate. A key to remaining relevant is staying innovative.
New Zealand Red Cross understands people’s time is often constrained and
therefore precious, so addressed this by launching an online first aid learning
platform. Its pick-up in the market exceeded expectations. The tool provides
an alternative to days off work to attend a first aid class; instead individuals,
businesses and communities now have the opportunity to learn online
in their own time.
Events of this past year have raised an alarming awareness of how precarious
life can be and highlighted the need for people to know first aid before they
need it. It was this ability to make a difference in critical situations that led to
a number of incredible stories following New Zealand Red Cross first aid training.
“The value of first response training was deeply reinforced for me.
I could help to save this man’s life because I did Red Cross first aid training”
New Zealand aid worker physiotherapist Cheryl Campbell said after saving
a man who went into cardiac arrest in the Red Sea.
Matthew Hancock’s seven-year-old son was racing through the kitchen, when
he tripped and boiling water from a nearby pot poured down his back. “There
would have been nothing worse than not knowing what to do. It was timely
that I completed a Red Cross first aid course late last year and knew the key
components of dealing with burns,” Matthew said. Six months later, to the
untrained eye, Nathan bears no scar.
And for Jodie Alexandra it was only a month before her Red Cross first aid
training was needed. Stumbling upon an accident in Lower Hutt she performed
CPR on a man who had gone into cardiac arrest. After a triple by-pass he
walked away to tell the tale. “This is why the New Zealand Red Cross course
was utterly invaluable,” Jodie said. “As long as you are abled bodied you can
do it, everyone can do it, everyone at the scene could have done it; they just
need to know how.”
It is no surprise that New Zealand Red Cross’ first aid training programme
is the only provider in the country that can boast a double highly confident
rating following a New Zealand Qualifications Authority review.
New Zealand Red Cross automated external defibrillators, or AEDs, remain amarket leader. Being modern and easy to use, with no buttons, has cemented
its reputation and attractive status, making them a must have for many.
The digital landscape will be integral for the expanding New Zealand first
aid programme. New and innovative products and services will ensure
Red Cross remains competitive, and relevant and valuable to our communities
in their time of need. New Zealand Red Cross first aid will continue to equip
communities to be better prepared and remain resilient.
New Zealand Red Cross Annual Report 2012
Check out first aid’sonline learning platform!
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Fundraising and PartnersFrom members and volunteers to donors and corporates, the success of fundraising initiatives and Red Cross’ abilityto reach more are a testament to the level of collaboration, innovation and connection between these stakeholders.
The power of this network and their generosity enables New Zealand Red Cross
to deliver programmes that respond to needs, and repair, restore and better
prepare communities in times of adversity. The success of the 2012 Annual
Appeal is one example of this, with direct mail donations reaching more than
$370,000 and on the street collections totalling around $400,000.
Our project partners programme, now in its 12th year, continues to grow,
to around 25,000 dedicated donors. We thank our committed regular
donors for their generous support in giving New Zealand Red Cross more than
$6.2 million, about 70 per cent of our fundraising income. This makes project
partners an integral enabler for Red Cross to do what it does best – help those
most in need.
We are also grateful to our direct mail donors, who help us to be there to
save and change lives. Bequests continue to remain a strong income source,
with further engagement planned over the next year.
Fundraising support continues from our valuable members, branches
and groups, who are instrumental in enabling us to reach further into
New Zealand communities and help more here and overseas.
We continue to improve and review current operating procedures to ensure
New Zealand Red Cross leads the charity sector in accountability, transparency
and credibility. The ways we engage with our people, donors and beneficiaries
will increase as we integrate current database systems and launch a new
fundraising suite.
Changes in the digital landscape are ensuring we connect with our donors in more
relevant and engaging ways and remain transparent about where their donationsare being spent. The launch of a direct mail newsletter, KindRed, which was met
with a fantastic response from our supporters, will help us achieve this goal.
New Zealand Red Cross remains committed to restoring and better preparing
communities for the long-term. Corporate partners like New Zealand Post
Group, Country Road and Kathmandu have ensured we can do this and stay
relevant with our recovery activities in Christchurch. They, along with
our other donors, are helping us become better prepared nationally so we
can respond relevantly when a need arises.
New Zealand Red Cross will continue to focus on keeping costs to a
minimum, so our programmes and activities receive the greatest amount of
funding. It is about ensuring every dollar makes a real difference every day.
New Zealand Red Cross Annual Report 2012
Have a look at ournew fundraising mailer
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Purex Community Partner
Proud community supporter and official sponsor of ‘See Red’,
Red Cross’ Annual Appeal
Johnson & Johnson Medical
Johnson & Johnson MedicalLoyalty Partner
Supporting the development of a new programme to educate and
empower New Zealand’s youngest children
- .
KathmanduCommunity Partner
Supplying clothing and equipment to emergency response teams
and encouraging community support
Country RoadRetail Partner
Sponsor of Fashion Trade and supporter of Red Cross shops
throughout New Zealand
New Zealand Post GroupEmergency Response Partner
Providing vital support when the need is greatest
New Zealand Red Cross is deeply appreciative to those who have contributed
so generously. We extend our particular thanks to the following organisations
for their extraordinary support.
Foodstuffs South Island Community Trust • Fonterra •
Vodafone Foundation • Goldman Sachs Gives • ASB • Cranwood Co. •
Shell • The St Judes Trust • BP • Silver Fern Farms • Westfield •
Genesis Energy • Telecom Foundation • The Radio Network •
Coca-Cola Foundation • Pfizer • Sky TV • Credit Suisse • The Warehouse •
GlaxoSmithKline • Mobil • Sanofi-Aventis • Gough Gough & Hamer •
Johnson & Johnson Group • Fisher & Paykel • Bell Gully
New Zealand Red Cross Annual Report 2012
Key partners:
Left: Volunteers collect for Red Cross Annual Appeal; Right: New ZealandRed Cross says thank you on Facebook
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New Zealand Red Cross Annual Report 2012
Red Cross publications
Marketing and CommunicationsA new team, new direction and new focus are helping develop a more interconnected New Zealand Red Crosscommunity. The power of this transformation is shaping and changing the landscape of who New Zealand RedCross is, and how we are seen.
Following a year of adversity, the communications and marketing team,
which includes policy and advocacy, is building a more sustainable, relevant
and innovative future for New Zealand Red Cross.
A new website, currently being developed with a launch date set for December,will provide an engaging picture of what Red Cross is doing. The user-friendly
site will offer greater transparency for our donors, easy access and booking
for services such as first aid courses and restoring family links, and greater
support to those looking for help. For the first time our website will also
connect Red Cross people in one place. An interface for members, Red Cross
Board and volunteers will allow them access to a new intranet, as part
of an internal communications strategy.
Electronic newsletters have been developed with a range of purposes, from
supporting the chief executive’s weekly message to discussing internationalhumanitarian law and communicating fundraising messages to donors. In the
area of social media, Facebook posts have reduced in the last six months by
a third, but tweets have increased. These now focus on optimal time slots
and content that our users are interested in. As a result, engagement has
increased significantly, while the number of followers is growing steadily.
In a first, we tweeted live from the Christchurch commemorative service,
bringing the nation together to mourn one of our country’s greatest tragedies.
We also used social media to celebrate our annual appeal, and maintained
internal and external user interest for a week.
Our own living network is integral to our social media growth. This was
highlighted by a tweet for retail donations in Wellington seeing @NZRedCross
trending in Wellington and getting 22 retweets. The launch of our national
disaster response team saw 40 people share the content, 200 people click
through to our website and more than 200 views of the video posted.
Other key activities include supporting media and marketing for international
operations, our aid worker programme, first aid, retail and national programmes,
as well as undertaking media training with senior management, staff and
emergency response volunteers. This year has also seen the development and
creation of recruitment campaigns for volunteers, a digital asset portal and
streamlining of new marketing collateral, all helping to inform the development
of a brand strategy. New Zealand Red Cross’ brand continues to remain highly
visible, its power helping shape how we function and grow.
Jan Launched regular contribution and continuous moderation of Facebook and Twitter pages
Feb Live tweeting from the Christchurch Commemorative Service – 22 February
Mar Annual Appeal sees many followers helping to retweet messages and share content on Facebook
Facebook album images of Appeal participants and staff generates both internal and external support.
April Facebook community support spreads message of Disability Support Grant for earthquake-affected Christchurch residents
May Launch of the Wardrobe Challenge on World Red Cross Red Crescent Day brings record numbersof fans to our Facebook page.
June Tweet for retail donations in Wellington – @NZRedCross trending in Wellington on Twitter –22 retweets of our message alone.
See an interview with one of our aid workers
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New Zealand Red Cross Annual Report 2012
International Humanitarian Law As armed conflict around the world makes headlines,never before has the need to understand the laws ofwars been so acutely at the forefront of people’s minds.The idea expressed in international humanitarian law issimple: even wars have laws — the set of internationalrules that seek to limit the effects of armed conflict onpeople and objects to reduce suffering and damage.
Red Cross has been at the forefront of advocating for, and educating people on wars,laws and humanity. This remains a key priority of New Zealand Red Cross and the wider
Movement. So it was no surprise that in November New Zealand Red Cross made seven
pledges at the International Conference, which brings together ICRC, the Federation and
187 national societies worldwide. Two were individual pledges, four were joint with our
Government and we teamed up with other Pacific Island National Societies and one other.
Several of these pledges concerned strengthening our work in this area.
Mainstream and social media interest in IHL activities has exceeded expectations,
with a consistent interest in new programmes achieving record coverage, not only for
the programme but in comparison with other Red Cross activities. This programme isreaching further and reaching more through the digital landscape.
The power of social connections is illustrated by Red Cross’ being able to gain
significant reach and success in raising public and political awareness of the importance
of a strong and comprehensive Arms Trade Treaty for New Zealand and the wider
Pacific region. Every year, because of the widespread availability and misuse of
weapons, hundreds of thousands of people are displaced, injured, or killed. Recent
armed conflicts further highlight the crucial need for legally binding standards that
stop irresponsible arms trades and transfers. Prior to the United Nations negotiating
conference in July, New Zealand Red Cross joined with Amnesty International –
Aotearoa New Zealand and Oxfam New Zealand to raise public and government
awareness of the need for a strong and robust Arms Trade Treaty.
Youth are supporting the IHL programme. Woodford House in Havelock North
hosted the first Women and War seminar highlighting the issues faced by women
and girls in modern warfare. Aid workers and people from a refugee background
shared their stories, with an interactive photo exhibition and role playing putting
the girls themselves in the spotlight. Youth, the community and Red Cross
members and staff were brought together to teach, learn, and develop a greater
understanding of this issue and how it may affect their own environments.
The ‘make nuclear weapons the target’ awareness campaign was also launched
through youth. An essay competition was held using mainstream and social media
and education institutions to canvas student interest and involvement. In collaboration
with ICRC, the essay asked New Zealand tertiary students to answer the question
‘why do we need an international treaty to ban nuclear weapons?’, with a $1,000
cash prize for winning. Later in the year the campaign will take on another level,bringing in celebrities, war veterans and students to help educate a new generation
on the impact of nuclear weapons. Our www.targetnuclearweapons.org.nz website
was launched at Parliament on 30 August. This site calls on people to sign up online
using their Facebook or Twitter accounts and when the power of humanity offsets the
force of 150,000 Hiroshima bombs, the estimated combined force of 20,000 nuclear
weapons held globally, a social explosion will be ignited.
Our lives are more interconnected than ever before and this enables our message to be
delivered to more. Young people are more engaged and are keen to voice their opinions
on issues, while other members of the population want to share knowledge and lessonslearnt. This year New Zealand Red Cross’ international humanitarian law programme will
capitalise on this connection to bring a united voice to make a difference.
Female fighters being taught about international humanitarianlaw in Colombia. [credit: ICRC]
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New Zealand Red Cross Annual Report 2012
Red Cross ShopsOur national footprint of shops continues to grow. Over this last year nine new stores were opened and threewere revamped to meet changing community needs. It is a growing presence New Zealand Red Cross hasnever had before, helping us to connect with local communities by offering a quality service, with the addedincentive that all profits raised are invested directly back into our work supporting the most vulnerable.
When the Matamata shop opened, it became the flagship in launching a
New Zealand Red Cross wardrobe challenge celebrating World Red Cross
Red Crescent Day. It was an innovative marketing platform which produced
significant outcomes. The store broke Red Cross sale records in its openingweeks as well as achieving the most interest on social media for a single
campaign. Media interest across the country was also high. By the third
week, the store had made more than $33,000.
Our network of stores is brought to life by 1,200 volunteers, who make up
98 per cent of our retail workforce. Their time is invaluable in ensuring we
can deliver. The stores are more than a shop; they are part of a community,
servicing needs and creating connections that begin with our volunteers.
In Hamilton, the stores are supporting people from migrant backgrounds
by providing vouchers. In F itzroy, shop loyalty vouchers are being offe red,
another pioneering trial aimed at connecting with more people.
Innovation and development have changed the landscape of our retail
presence. For the first time, we bought an existing retail store and turned
it into a Red Cross shop, a move we will look to continue as part of our target
of opening a further eight stores over the next year. In another first, a joint
venture with a local recycling outlet in Rotorua has created a 500sqm store
in the city centre, while a 600sqm processing centre in Hamilton offers
a distribution and sorting point to ensure the right products, of the right
quality, go to where they are needed most.
Unfortunately the February Christchurch earthquake saw the closure ofone of our central city stores there. Although the building may be lost, the
volunteers were keen to remain with Red Cross so relocated to other stores,
with the shop coordinator taking a new role in Nelson.
Ensuring Red Cross maintains its high standard has resulted in a full assessment
of the safety and quality of all buildings we operate out of. Three shops had
to relocate due to seismic risk. The Ashburton shop, operated by Red Cross
members, was the first to move.
In ensuring our shops remain leading edge, the move into the digital realm
is growing more important. A recent tweet calling for clothing donations to
Wellington shops was one of New Zealand Red Cross’ most popular Facebook
posts and achieved our first trending post on Twitter.
Remaining at the forefront of integration and outreach, Red Cross shops will
continue to be original, relevant and appealing to communities. This successful
living network uses our people and services to make a difference.
The new Red Cross shop in Tawaopened in early 2012
A sneak peak atRed Cross shop
Pinterest page
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International Operationsand EmergenciesAs drinkable water became scarce in Nukalaili, on the island nation of Tuvalu in late 2011, New Zealand Red Crosswas there. Sending two relief aid workers and supplies, we worked closely with Tuvalu Red Cross, who asked forour help with their immediate response to the drought.
We mobilised 2,000 collapsible water containers, hand sanitisers, tarpaulins
(to be used to capture rain) and two emergency desalination units.
New Zealand Red Cross is leading the charge through technological innovation.
Desalination units are now so compact and portable they can be taken on an
airplane as checked in luggage. In this instance we were able to teach Tuvalu
residents how to distil water and work independently to support their own
community. The desalination units remain a permanent fixture on the island.
For the first time, first aid training in situations of violence was developed and then
offered, in partnership with Red Cross for Papua New Guinea. Tonga, Samoa and Fiji
will also receive training, adapted to the context of each country. Although most of
these nations are not involved in conflicts, a changing global landscape has led to adesire to be responsive to changing needs and be prepared.
While we are there for our neighbours, New Zealand Red Cross’ reputation
ensures we also make a lasting contribution to some of the biggest humanitarian
needs across the globe. In some of the world’s most complex situations, likeGaza and Syria, New Zealand aid workers are there. Our aid worker programme
gained high praise this year, following an independent review released in late May.
Feedback was provided on the relevance, efficiency, effectiveness and sustainability
of the programme and the prerequisite training to be an aid worker.
In October Red Cross aid worker Andrew Cameron became one of
25 New Zealanders to receive one of the world’s highest nursing honours, the
Florence Nightingale medal at a ceremony at Government House. Only 50 Florence
Nightingale medals are awarded worldwide every two years.
Every year, New Zealand Red Cross remains committed to supporting the response
to disasters. In the past year we have supported crises across Asia, Africa and
the Middle East, contributed $847,000 to Pacific development programmes and
supported 48 missions overseas. New Zealand Red Cross provides many types of
support, including helping 340 individuals get prosthetics in Laos.
At home, the Christchurch earthquake was the catalyst that led to being better
prepared to service our own needs. If a disaster strikes in New Zealand, anywhere
at any time, Red Cross has a well-trained response team available. Never before
has New Zealand Red Cross had such a large, well-resourced and highly mobileteam on hand to respond. The national disaster response team will provide all the
services of the Red Cross disaster response teams, as well as offering pre-hospital
emergency care, and urban search and rescue capability. This team can be sent
as a self-contained unit, with enough gear, including tents, eating utensils and food
to be self-sufficient for 72 hours. This team complements the existing volunteer
structure of disaster surge volunteers and disaster welfare support teams. Our most
successful living network is our people. The combined integration and outreach of our
members, volunteers and staff enable us to reach further, do more and do better.
Check out Red Cross’national disasterresponse team
New Zealand Red Cross Annual Report 2012
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New Zealand Red Cross Annual Report 2012
Aid workers oninternational missions
* mission extended | **mission cancelled
The below list is made up of aid workers supported by New Zealand Red Cross between 1 July 2011 and31 June 2012. This includes aid workers that ended missions in 2011/12 as well as those with start datesin the 2011/12 financial year.
Middle East
Jodye Tomalin* | MENA zone (Lebanon) SecurityCheryl Campbell | Gaza Physiotherapist Guru Dev Singh | Gaza HealthAndrew Cameron | Georgia HealthLindah Jury | Iraq Health
Rachael Maunsell | Iraq HealthLouise Humphreys | Afghanistan HealthAndrew Cameron | Afghanistan HealthJacquee Dixon-West | Afghanistan HealthJoyce Hood | Afghanistan HealthRebecca Barrell | Afghanistan HealthLouisa Akavi | Afghanistan HealthGail Corbett | Afghanistan Health
Pakistan HealthHaydar Alwash | Pakistan Surgeon
Ana Zarkovic | Pakistan Water and sanitationGraham Duggan** | Pakistan HealthAmanda Scothern | Pakistan Branch development Hillary Cullen | Pakistan HealthRebecca Barrell | Pakistan Health
Western and Northern Africa
Joshua Herron | Senegal SecurityJoyce Hood | Libya HealthJudy Owen | Libya Health
East Africa
Melanie Ogle | Kenya Resource mobilisationGrant Hargreaves | Kenya LogisticsDavid Easson | Kenya/Horn of Africa ReliefMelanie Ogle | Kenya/Horn of Africa Disaster responseFelicity Gapes* | Somalia/Kenya HealthJanet Askew | Sudan HealthJustine Charman | South Sudan HealthGlenys Ewans | South Sudan Health
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communications / IT & T ERU
disaster management & recovery
health / first aid / surgeons / hospitalmanagement / physiotherapists
logistics / resource mobilisation
organisational and branch development /monitoring and evaluation
relief
security / economic security
shelter /community habitat
water / water & habitat / sanitation
New Zealand Red Cross Annual Report 2012
Asia
Bernice Chiam | India Water and sanitationCarl Burr | China Water and sanitationJeremy Talbot | Japan Monitoring and evaluationGlenys Ewans | DPRK Hospital project managerChelsea Giles-Hansen | Malaysia Water and sanitationRose Dew | Malaysia Disaster recoveryAlan Bradbury | Malaysia (AP Zone) Monitoring and evaluationJeremy Francis | Malaysia (AP Zone) Logistics
Pacific Region
Rosemary Fenton* | Pacific Region Community habitat William Olsen | Papua New Guinea IT & T ERUMatthew Poole | Papua New Guinea IT & T ERUSue Chamberlain* | Timor-Leste Organisational development Jane Edgar | Cook Islands Water and sanitationDean Manderson | Tuvalu Water & habitat
Fiji Disaster management Greg Johns | Tuvalu Water & habitat
Peter Winthrop| Samoa First aid
Vanuatu First aidFiji First aidTonga First aid
Mission areas
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Restoring family links“My husband and I would like to thank you for the great news you have told us regarding the tracing ofmy son. I cannot describe how happy I am today,” said a message received by New Zealand Red Cross froma mother reconnected with her son after a six-year separation.
A distressing effect of conflict and natural disasters is population
displacement, leaving people unable to contact family or friends. People
may not know where to turn to find or contact loved ones or even to find
out if they are still alive. In these situations New Zealand Red Cross works
worldwide to restore and maintain contact for separated families by tracingfamily members and exchanging messages of news.
In this case, the mother relocated to New Zealand and later heard through
a friend that her son was alive, he had been spotted at a church in Nairobi.
She contacted New Zealand Red Cross and used its restoring family links
service. The neutrality and reach of Red Cross’ network help make it easier
to exchange family news, re-establish contact and clarify the fate of the
missing across borders, frontlines and into areas most cannot reach.
Five months after this mother heard word of her son, the ICRC sent a
letter to New Zealand Red Cross: he was alive and wanted to see her.
Not every tracing case is solved, or has a happy ending, but through the
combined network of the Red Cross Movement, its people, services and
universality New Zealand Red Cross is able to respond and help restore
contact where it can.
The restoring family links service also facilitates the issue of ICRC travel
documents. This helps people who need to leave their country of residence
and do not have access to official identification documents, like a passport.
Applicants are required to have their entry visa pre-approved by New Zealand
Immigration to receive this service.
This year more than 100 new restoring family links cases opened in
New Zealand.
Ensuring Red Cross’ restoring family links service remains technologically
relevant, is essential to keeping the service valuable. In cooperation with
National Societies, the ICRC is working on a new, interactive website for
people wishing to restore contact with loved ones. The site will complement
additional services that will be available on New Zealand Red Cross’ website
from December.
Saying goodbye to a loved one in any circumstance can be hard. In situations
of conflict and disaster that opportunity may never arise, and many don’t
know if they will ever see or hear from family members again. Red Cross
provides peace of mind and hope to people who have been separated.
New Zealand Red Cross Annual Report 2012
A Red Cross message
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New Zealand Red Cross is committed to thelong-term recovery of Christchurch. We areexpanding our outreach programme, our workwith bereaved families and launching a range ofnew programmes over the next year.
“Pretty cool... can’t wait to take this home.”
— six year-old Gus Khuton on receiving a torch radio
“The generosity of those who donated to the
appeal has been staggering, and working through
how to distribute the funds has been a very big
responsibility, and one all the commission members
have not taken lightly.”
— Chair of the New Zealand Red Cross 2011 Earthquake
Commission Chair Sir John Hansen.
“It was a big occasion and the water was very good.”
— Jim Curnow on receiving a enhanced water filter grant just in
time for his 90th birthday.
EARTHQUAKERECOVERY UPDATE
CANTERBURY
Torch radio distributions at 1 July 2012
Primary school children
Elderly people
People with disabilities
Refugees and migrants
Community eventsOutreach
Distributed fromChristchurch office
11,6061,548
4,447
622
968720
51
Top Ten Grants by ApplicantsTotal number of applicants: 79,844
Top Ten GrantsTotal amount disbursed: $69,561,000
2011 Emergency & Hardship Grant 2011 Alternative Severage
System Grant 2010 Hardship Grant 2011 Temporary School Grant 2011 Winter Assistance Grant 2010 Damaged Home Grant 2012 Winter Assistance Grant 2011 Bereavement Grant 2010 Emergency Grant 2010 Relocation Grant 2012 Disability Support
2011 Independent Advice Grant All Other Grants
2,189 doorknocks
475 winter warmer packs
167 mobility assistancevouchers$125m in funds
raised
80,000 grantsrecipients
19,962 torch radioshanded out
$30mcommittedgrantfunding
259torch radiopresentations tocommunity groups
$14mgrants andprogrammesunder development1,120 outreach visits $5m spent on
programmes
62 outreachvolunteers
New Zealand Red Cross Annual Report 2012
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FINANCIAL STATEMENTS
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For the year ended 30 June 2012
Actual2012
Planned2012
Actual2011
Planned2011
Actual2010
Planned2010
Actual2009
International Programmes
Delegate deployments achieved 53 60 58 55 55 65 56
Delegate deployment months achieved 283 330 259 280 260 300 290
Number of IT&T ERU Technician missions achieved 15 11 5 11 20 16 11
Number of International Special Appeals supported 8 11 15 8
Contributions to International Special Appeals $1.0M $3.7M $8.4M $6.0M
Development Programmes Supported 2 2 4 4 7 6 6
Development Grants to Pacific National Societies 8 8 8 8 8 8 8
Restoring Family Links requests administered 140 - 66 75 99
Disaster Relief Family Kits Stored 2,000 2,000 1,500 1,000 1,000 1,000 1,000
Emergency Management
Aggregated last year as – Number of Operational RedCross Response Teams 17 17 19 19 21 20 18
Community Programmes
Develop new National Programmes - 1 1 1 1 1 2
Community Training participants 23,442 19,824 13,623 15,202 10,973 12,809 9,766
Meals on Wheels delivered 646,918 578,201 671,635 729,233 696,875 759,528 759,532
Refugees supported 768 839 1,058 822 529 265 1,072
IHL seminar/training participants* 19 19 19 25 1,080* 855* 865*
Patients transported in communitytransport programmes
13,269 8,545 1 5,774 1 1,133 1 0,059 7,889 7,874
Education and Training
Maintain registration as PTE Yes Yes Yes Yes Yes Yes Yes
Commercial Training Participants 64,859 69,612 63,080 70,313 67,583 73,033 68,668
Retail
Number of shops (including Branch Shops) 51 48 45 42 41 49 37
New shops opened 9 8 4 8 8 12 4
Statement ofService Performance
FINANCIAL STATEMENTS
Left: Women in India collecting water[credit: ICRC]
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New Zealand Red Cross Annual Report 2012
It is a pleasure to present the financial accounts for the year ended 30 June 2012.
The past year has seen a continuation of solid financial performance. Although activitiesfollowing the Christchurch earthquakes continue, there has been no reduction in thedelivery of community services and other international aid programs to the vulnerable.
On reviewing the statement of financial performance it can be noted that New ZealandRed Cross including the Foundation, recorded a surplus of $7.6 million. AccumulatedFunds increased by $1.5 million and a continuation of donor support saw the Christchurch
reserve increase by $8.2 million during the year.
The New Zealand Red Cross Foundation Incorporated (Foundation) continues to fulfil itsrole – to generate sustainable revenue streams and maintain the value of investments.
The Foundation had realised revenue of $2.6 million (2011; $2.4m) with New ZealandRed Cross receiving $1.2m in interest earnings, $0.75m to cover operational costs and$0.5 million to assist with the additional costs incurred in processing earthquake grants.A net deficit of $0.2 million was however recorded by the Foundation after taking intoaccount the unrealised loss of $2.1 million from the Fair Value movement in Investments.
The total surplus of $9.1 million reported by New Zealand Red Cross excluding theFoundation is affected by the accounting policy of recognising all special appeal revenueand expenditure in the year that it is received or expended. In the current year special
appeal reserves increased by $9.1 Million (primarily Christchurch). Without the increasein reserves there was a near breakeven result ($37k) on our conventional activitiesfor the year which was consistent with the National Board’s expectations.
New ZealandRed Cross Inc.
Conventional Activities(in thousands of dallars)
2012 2011
Trading & Adminis trati on Activ ities (526) (398)
Fundraising Activities -Revenue 8,891 9,171
Humanitarian Activities - Expense (8,402) (7,959)
Surplus (Deficit) from Activities (37) 814
TRADING AND ADMINISTRATION ACTIVITIES
The net surplus from trading activities was $2.8 million. This represents a healthyincrease of 36% on the previous year with excellent gains from both first aid (up 27%)and shop activity (up 42%). Net administration costs of $2.7 million increased by 10%and the net combination of trading and administration resulted in a small surplus$82,000. As a consequence net fundraising revenue can exclusively be used to supportour humanitarian programmes.
FUNDRAISING ACTIVITIES
Fundraising revenue reflects a decrease of $91 million in the current year due to the reductionin Christchurch donations as this appeal winds down. After deducting the impact of public andgovernment special appeal donations in both periods there is an increase in other fundraisingrevenue of $2.2 million or 18%. The major component of this increase has come from ourregular monthly donors who have increased their total contribution by $1.3 million which is25% above last year. The Annual Appeal revenue of $0.5 million is also additional given thatlast year’s appeal was all attributed to the Christchurch earthquake appeal.
CORE ACTIVITIES
During the year we spent a total of $18.9 million on our core humanitarian activities.While the majority was for Canterbury, $5.4 million was spent on other disaster reliefactivities and $2.8 million on community activities including meals on wheels, communitytransport and community training. $0.5 million was spent on domestic emergencymanagement and international humanitarian law.
The work carried out by Branches represents a significant component of both fundraisingactivity and domestic humanitarian activity. While the volunteer nature of this activity isnot measured in the financial statements the actual revenue generation achieved byBranches in the year totalled $1.3 million from activities including the annual appeal,special appeals, book sales, property rentals, lottery sales, and meals on wheels.
Expenditure on these activities totalled $0.6 million providing a surplus of $0.7 milliontowards other activities.
CHRISTCHURCH RESERVE
Donations and interest earned resulted in the Christchurch Appeal receiving additionalfunds of $18.8 million. New grants were approved during the year which are projected torequire a further $30 million of the current fund balance if applications meet expectations.Actual payments during the year totalled $10.6 million which was spread between grants,recovery activities and capacity building. It is anticipated that due to the complexities andscale of the disaster that it may take in excess of five years to deliver aid to the affectedcommunities of Christchurch.
STATEMENT OF FINANCIAL POSITION
Accumulated funds at 30 June 2012 were $54.3 million after consolidating fundsfrom the Foundation, an increase of $1.5 million over the previous year. The total fundsincluding restricted funds, the Christchurch reserve, and the asset revaluation reserve,were $117.8 million, an increase of $6.8 million over the previous year.
Consolidated Net Assets at 30 June 2012, were $117.8 million (2010, $111.0 million)which includes cash $54.3 million (2010, $53.8 million) property, plant and equipmentof $23.4 million (2010, $23.3 million), and investments of $33.5 million (2010,$36.1 million).
Bruce JonesNational Business Services Manager
Financial Summary
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The notes on pages 34 to 44 are an important pa rt of, and should be read in conjunction with these financial statements.
Statement ofFinancial PerformanceFor the year ended 30 June 2012in thousands of dollars
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
Note 2012 2011 2012 2011
Trading and Administration Activities
Income 15,706 14,243 14,990 14,311Expenditure 15,624 14,802 15,516 14,709
Trading and Administration Activities Surplus/(Deficit) 2 82 (559) (526) (398)
Fundraising Activities
Income 32,186 123,233 32,160 123,233
Expenditure 3,705 2,744 3,705 2,876
Fundraising Activities Surplus 3 28,481 120,489 28,455 120,357
Humanitarian Activities
Expenditure 18,876 74,888 18,876 74,888
Humanitarian Activities Deficit 5 18,876 74,888 18,876 74,888
Surplus from all Activities 7 9,687 45,042 9,053 45,071
Change in the fair value of investments (2,081) 1,642 - -
Total Surplus for the Year 7,606 46,684 9,053 45,071
Statement of
Comprehensive IncomeFor the year ended 30 June 2012in thousands of dollars
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Total Surplus for the Year 7,606 46,684 9,053 45,071
Other Comprehensive Income
Revaluation of land and buildings (817) 1,604 (817) 1,604
Restricted funds - 361 - 361
Total Other Comprehensive Income (817) 1,965 (817) 1,965Total Comprehensive Income for the Year 6,789 48,649 8,236 47,036
FINANCIAL STATEMENTS
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The notes on pages 34 to 44 are an important part of, and should be read in conjunction with these financial statements.
Statement ofChanges in Members’ FundsFor the year ended 30 June 2012in thousands of dollars
NoteOpeningBalance
ComprehensiveIncome
Funds Transfers
ClosingBalance
New Zealand Red Cross & Red Cross Foundation 2012
Accumulated funds 52,780 7,606 (6,123) 54,263
Restricted reserves 8 2,452 - (2,069) 383Christchurch reserve 9 44,204 - 8,192 52,396
Asset revaluation reserve 11,541 (817) - 10,724
Total Members’ Funds 110,977 6,789 - 117,766
New Zealand Red Cross & Red Cross Foundation 2011
Accumulated funds 50,208 46,684 (44,112) 52,780
Restricted reserves 2,183 361 (92) 2,452
Christchurch reserve - - 44,204 44,204
Asset revaluation reserve 9,937 1,604 - 11,541
Total Members’ Funds 62,328 48,649 - 110,977
New Zealand Red Cross Incorporated 2012
Accumulated funds 34,125 9,053 (6,123) 37,055
Restricted reserves 2,452 - (2,069) 383
Christchurch reserve 44,204 - 8,192 52,396
Asset revaluation reserve 11,541 (817) - 10,724
Total Members’ Funds 92,322 8,236 - 100,558
New Zealand Red Cross Incorporated 2011
Accumulated funds 33,166 45,071 (44,112) 34,125
Restricted reserves 2,183 361 (92) 2,452Christchurch reserve - - 44,204 44,204
Asset revaluation reserve 9,937 1,604 - 11,541
Total Members’ Funds 45,286 47,036 - 92,322
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The notes on pages 34 to 44 are an important pa rt of, and should be read in conjunction with these financial statements.
Statement ofFinancial PositionAs at 30 June 2012in thousands of dollars
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
Note 2012 2011 2012 2011
Members’ Funds
Accumulated funds 54,263 52,780 37,055 34,125Restricted funds 8 383 2,452 383 2,452
Christchurch reserve 9 52,396 44,204 52,396 44,204
Asset revaluation reserve 10,724 11,541 10,724 11,541
Total Members’ Funds 117,766 110,977 100,558 92,322
Comprising:
Assets
Cash and cash equivalents 10 63,408 53,809 58,381 49,467
Trade and o ther rece ivab les 11 2,018 1,986 1,917 1,925
Inventories 739 1,047 739 1,047Investments 12 3,944 6,349 5,823 7,997
Total Current Assets 70,109 63,191 66,860 60,436
Investments 12 29,586 29,792 15,612 13,755
Property, plant and equipment 13 23,442 23,275 23,442 23,275
Intangible assets 14 510 634 510 634
Total Non-Current Assets 53,538 53,701 39,564 37,664
Total Assets 123,647 116,892 106,424 98,100
Liabilities
Trade and other payables 17 2,510 1,591 2,495 1,454
Income received in advance 413 276 413 276
Provision for employee entitlements 18 819 752 819 752
Provision for Samoa recovery project 2,139 3,296 2,139 3,296
Total Current Liabilities 5,881 5,915 5,866 5,778
Total Liabilities 5,881 5,915 5,866 5,778
Net Assets 19 117,766 110,977 100,558 92,322
For and on behalf of the National Board who authorised the issue of these financial statements on 22 September 2012
Penny Mason John WareNational President Chief Executive
FINANCIAL STATEMENTS
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Statement of Cash FlowsFor the year ended 30 June 2012in thousands of dollars
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Cash Flows from Operating Activities
Trading and administ ration activit ies 16,036 13,479 15,663 13,802
Fundraising activities 32,599 122,736 32,573 122,736
Cash Inflow from Operating Activities 48,635 136,215 48,236 136,538
Trading and administ ration activit ies 15,115 14,177 15,007 14,084
Fundraising activities 3,617 2,744 3,617 2,876
Humanitarian activities 18,876 74,730 18,876 74,846
Cash Outflow from Operating Activities 37,608 91,651 37,500 91,806
Net Cash Inflow from Operating Activities 11,027 44,564 10,736 44,732
Cash Flows from Investing Activities
Sale of investments 9,510 3,590 426 1,237
Sale of property, plant and equipment 56 82 56 82
Cash Inflow from Investing Activities 9,566 3,672 482 1,319Purchase of investments 8,799 2,304 109 1,165
Purchase of property, plant and equipment 2,183 1,191 2,183 1,191
Purchase of intangibles 12 39 12 39
Cash Outflow From Investing Activities 10,994 3,534 2,304 2,395
Net Cash (Outflow)/Inflow from Investing Activities (1,428) 138 (1,822) (1,076)
Net Increase in Cash Held 9,599 44,702 8,914 43,656
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011Net increase in cash held 9,599 44,702 8,914 43,656
Add opening cash 53,809 9,107 49,467 5,811
Closing Cash 63,408 53,809 58,381 49,467
This is represented by:
Cash and cash equivalents 63,408 53,809 58,381 49,467
Total Cash and Cash Equivalents 63,408 53,809 58,381 49,467
The notes on pages 34 to 44 are an important part of, and should be read in conjunction with these financial statements.
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New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Reconciliation of the Total Surplus for the Year
with Net Cash Inflow from Operating Activities
Total Surplus for the Year 7,606 46,684 9,053 45,071
Add Non-Cash Items
Depreciation charge 1,143 1,038 1,143 1,038
Amortisation charge 136 176 136 176
Add/(Deduct) Changes in Working Capital Items
(Increase)/Decrease in accounts receivable (321) (764) 8 (509)
Decrease/(Increase) in inventories 308 (504) 308 (504)
(Decrease)/Increase in accounts payable and provisions (63) 73 (49) (43)
Increase in income received in advance 137 3 137 3
(Decrease) in special appeals - (500) - (500)
Add/(Deduct) Investing Activities
Change in fair value of investments 2,081 (1,642) - -
Net Cash Inflow from Operating Activities 11,027 44,564 10,736 44,732
Statement of Cash Flows (continued)For the year ended 30 June 2012in thousands of dollars
The notes on pages 34 to 44 are an important pa rt of, and should be read in conjunction with these financial statements.
FINANCIAL STATEMENTS
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Notes to theFinancial StatementsFor the year ended 30 June 2012
1. SUMMARY OF ACCOUNTING POLICIES
Reporting Entity
These consolidated financial statements and the accompanying notes summarise the financialresults of activities carried out by New Zealand Red Cross Incorporated (“Red Cross”) comprisingthe offices of New Zealand Red Cross and branches (parent entity) and the activities of the NewZealand Red Cross Foundation Incorporated (consolidated entity).
Red Cross is part of the largest humanitarian organisation in the world, helping peoplewherever they might be – international or in our own communities – to improve the lives ofvulnerable people by mobilising the power of humanity and enhancing community resilience.
The New Zealand Red Cross Foundation Incorporated (the “Red Cross Foundation”) wasestablished in 1978 to hold and invest Red Cross’s investments to generate a source ofsustainable income. The Red Cross Foundation is controlled by the Red Cross.
Statement of Compliance
Red Cross is a society incorporated under the Incorporated Societies Act 1908.The Red Cross Foundation is a charitable trust registered under the Charitable Trusts Act1957. Both Red Cross and the Red Cross Foundation are registered as charities under the
Charities Act 2005. Red Cross is a Public Benefit Entity.
The financial statements have been prepared in accordance with Generally AcceptedAccounting Practice in New Zealand. They comply with the New Zealand Equivalentsto International Financial Reporting Standards and other applicable financial reportingstandards as appropriate for public benefit entities.
The financial statements have been prepared in accordance with the differential reporting frameworkissued by the New Zealand Institute of Chartered Accountants as Red Cross and the Red CrossFoundation have no public accountability and there is no separation between the owners and thegoverning body. All differential reporting exemptions allowed under the framework for differentialreporting have been applied, with the exception of NZ IAS-7 Statement of Cash Flows.
The functional and presentation currency is New Zealand dollars.
Basis of Preparation
The financial statements have been prepared on the basis of historical cost, except for:
• certain financial assets (investments) which are carried at fair value;• the revaluation of certain non-current assets (land and buildings); and• inventory which is carried at the lower of cost or net realisable value.
Accounting policies are selected and applied in a manner which ensures that the resultingfinancial information satisfies the concepts of relevance and reliability, thereby ensuringthat the substance of the underlying transactions or other events is reported.
These financial statements have been prepared using the accrual basis of accountingexcept for the Statement of Cash Flows and donations.
Basis of consolidation
The consolidated financial statements are prepared by combining the financial statementsof Red Cross and the Red Cross Foundation. Consistent accounting policies are employed
in the preparation and presentation of the consolidated financial statements. In preparingthe consolidated financial statements, all intra-entity balances and transactions, and anyunrealised profits arising within these transactions, are eliminated in full.
Significant Accounting Policies
The following significant accounting policies have been adopted in the preparation andpresentation of the financial statements:
a. Revenue Recognition
Public donations are recognised as received. Donations received for International Red CrossAppeals are transferred in full to the International Appeal Fund or to the relevant Red CrossNational Society.
Those donations for Special Appeals which have not been expended at balance date arerecorded as restricted funds in the Statement of Financial Position except to the extent theNational Board has identified an actual or constructive obligation to incur expenditure inwhich case a provision is recognised.
Red Cross has significantly benefited from donations of services and goods by volunteers,members and by other organisations. Donations in kind are only recognised in revenuewhen the value can be reliably measured.
Grants received are not recognised as revenue until the requirements of the grant agreementhave been met. Government grants, which are subject to restrictions but are not required tobe returned to the grantor, are recognised as income when they are received.
Legacy income represents bequeaths to Red Cross from estates. Legacy income isrecognised when actually received.
First aid training courses completed during the year are recognised as incomebased on the percentage of completion method. Revenue from the sale of goods isrecognised when the risks and rewards of ownership have been significantly transferredto the buyer.
Interest is recognised using the effective interest rate method. Dividends are recognisedwhen the rights to receive payment has been established.
b. Expense Recognition
Expenses are recognised on an accruals basis.
Trade and other payables are recognised when an obligation to make future paymentsresulting from the purchase of goods and services exists.
Provisions are recognised when it is probable that a present obligation, as a resultof a past event, for the future sacrifice of economic benefits can be measured reliably.The amount recognised as a provision is the best estimate of the consideration requiredto settle the present obligation at balance date, taking into account the risks anduncertainties surrounding the obligation.
Actual or constructive commitments made by the National Board to fund specific projects
from restricted funds are recognised as provisions. An obligation to fund a project orexpenditure is considered to exist when the National Board has agreed to a specific projectplan and the intention to fund the project or expenditure has been formally communicatedto the recipient.
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Provision is made for benefits accruing to employees in respect of wages, salaries andannual leave when it is probable that settlement will be required and they are capableof being measured reliably.
Provisions made in respect of employee benefits expected to be settled within 12 months,are measured at their nominal values using the remuneration rate expected to apply at thetime of settlement.
Leases are classified as operating leases. Operating lease payments are recognised as anexpense on a straight-line basis over the lease term, except where another systematicbasis is more representative of the time pattern in which economic benefits from theleased asset are consumed.
c. Asset Recognition and Measurement
Inventories are valued at the lower of cost, determined on a first-in first-out basis, and netrealisable value.
Land and buildings legal title is in the name of Red Cross. Land and buildings are measured at fairvalue. Fair value is determined on a rolling cyclical basis with valuations prepared by independentregistered Valuers. Recent acquisitions and improvements are carried at cost less depreciation.
Revaluation increases arising on the revaluation of land and buildings is credited to the assetrevaluation reserve, except to the extent that it reverses a revaluation decrease for the sameasset previously recognised as an expense, in which case the increase is credited to theStatement of Financial Performance to the extent of the decrease previously charged.
A decrease in carrying amount arising on the revaluation of land and buildings is chargedas an expense in the Statement of Comprehensive Income to the extent that it exceedsthe balance, if any, held in the asset revaluation reserve relating to a previous revaluationof that class of asset.
All other property, plant and equipment is recorded at cost less accumulated depreciationand any accumulated impairment losses. Land is not depreciated. Depreciation is chargedusing the following estimated useful lives (rates) on a straight line basis:
Asset Class Depreciation Rate
Buildings 2.0%
Computer Hardware 33.3%
Equipment 20.0%
Furniture and Fittings 10.0%
Motor Vehicles 10.0% to 20.0%
Intangible assets comprise computer software which is recorded at cost less accumulatedamortisation and any accumulated impairment losses. Amortisation is charged on astraight line basis over the estimated useful life of three years.
d. Impairment of Assets
At each balance date, the carrying amounts of tangible and intangible assets are
reviewed to determine whether there is any indication that those assets have sufferedan impairment loss. If any such indication exists, the recoverable amount of the asset isestimated in order to determine the extent of the impairment loss (if any).
The recoverable amount is the higher of fair value less costs to sell and value in use.In assessing value in use, the estimated future cash flows are discounted to their presentvalue using a pre-tax discount rate that reflects current market assessments of the timevalue of money and the risks specific to the asset for which the estimates of future cashflows have not been adjusted.
If the recoverable amount of an asset is estimated to be less than its carrying amount,the carrying amount of the asset is reduced to its recoverable amount. An impairment loss isrecognised in the Statement of Financial Performance immediately, unless the relevant asset iscarried at fair value, in which case the impairment loss is treated as a revaluation decrease.
Where an impairment loss subsequently reverses, the carrying amount of the asset isincreased to the revised estimate of its recoverable amount, but only to the extent thatthe increased carrying amount does not exceed the carrying amount that would have
been determined had no impairment loss been recognised for the asset in prior years.Areversal of an impairment loss is recognised in the Statement of Financial Performanceimmediately, unless the relevant asset is carried at fair value, in which case the reversalofthe impairment loss is treated as a revaluation increase.
e. Income Tax
Red Cross and the Red Cross Foundation are exempt from income tax pursuant to sectionsCW 41 and CW 42 within the Income Tax Act 2007.
f. Members’ Funds
Funds comprise Accumulated Funds, Restricted Funds, Christchurch Reserve and the AssetRevaluation Reserve.
Accumulated Funds are those received and used for those general purposes which are theresponsibility of the National Board.
Restricted Funds are funds that have been restricted by the donor or by the National Boardas to their use.
Christchurch Reserve represents the balance of funds held from the two earthquakeappeals launched in September 2010 and February 2011.
Asset Revaluation Reserve represents the accumulated revaluation increases in the fairvalue of land and buildings.
g. Financial instruments
Financial instruments include financial assets (cash, receivables and investments)and financial liabilities (payables, provisions and unexpended special appeals).
Financial instruments are initially recorded at fair value plus transaction costs exceptfor those investments categorised as fair value through profit or loss which are initiallyrecorded at fair value. Subsequent measurement of financial instruments is dependentupon the classification of the instruments.
Financial assets are recognised and derecognised on trade date where purchase or sale ofan investment is under a contract whose terms require delivery of the investment within
the timeframe established by the market concerned, and are initially measured at fairvalue, net of transaction costs.
Financial assets are classified into the following specified categories: financial assets “at fairvalue through profit or loss”, and “loans and receivables”. The classification depends on thenature and purpose of the financial assets and is determined at the time of initial recognition.
Investment financial assets are held for trading and therefore upon initial recognitionare classified as fair value through profit or loss as these investments are managedand their performance is evaluated on a fair value basis. Receivables that have fixed ordeterminable payments that are not quoted in an active market are classified as loansand receivables. Subsequent to initial recognition, loans and receivables are measured atamortised cost, using the effective interest method less any impairment.
All financial liabilities are initially measured at fair value, net of transaction costs and then
at amortised cost using the effective interest method.
h. Statement of Cash Flows
For the purpose of the statement of cash flow, cash includes cash on hand and cash heldwith banking institutions and any cash held with custodians.
Operating activities are the principal revenue producing activities and other activities thatare not investing or financing activities. Investing activities are the acquisition and disposalof investments, property, plant and equipment and intangibles.
i. Goods and Services Tax (GST)
All balances are presented net of GST, except for receivables and payables which arepresented inclusive of GST where appropriate.
j. Comparative amounts
Comparative information has been reclassified, where necessary, to achieve consistencyin disclosures with the current year.
NOTES TO THE FINANCIAL STATEMENTS
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2. TRADING AND ADMINISTRATION ACTIVITIES
First Aid
Training
Red Cross
Shops
Management &
Administration
New Zealand Red Cross
& Red Cross Foundation2012 2011
Income
Services and goods sold 6,270 5,784 - 12,054 10,647
Public donations - - - - 297
Rents - - 223 223 214
Grants processing support - - - - 674
Interest and dividends - - 2,822 2,822 2,499
Other income - 9 598 607 (88)
Total Income 6,270 5,793 3,643 15,706 14,243
Expenditure
Personnel costs 3,408 1,212 2,541 7,161 6,606
Trading purchases 510 783 - 1,293 1,256
Property costs 182 1,208 587 1,977 1,792
Other expenses 1,142 633 2,410 4,185 4,192
Depreciation charge 95 136 565 796 722
Amortisation charge - - 136 136 176
Audit fees - - 76 76 58
Total Expenditure 5,337 3,972 6,315 15,624 14,802
Trading and Administration Activities Surplus/(Deficit) 933 1,821 (2,672) 82 (559)
First Aid Training
Red CrossShops
Management &Administration
New Zealand Red CrossIncorporated
2012 2011
Income
Services and goods sold 6,270 5,784 - 12,054 10,647
Red Cross Foundation - - 750 750 750
Public donations - - - - 286
Rents - - 223 223 214
Grants processing support - - 500 500 924
Interest and dividends - - 1,410 1,410 1,427
Other income - 9 44 53 63
Total Income 6,270 5,793 2,927 14,990 14,311
Expenditure
Personnel costs 3,408 1,212 2,541 7,161 6,526
Trading purchases 510 783 - 1,293 1,256
Property costs 182 1,208 587 1,977 1,792
Other expenses 1,142 633 2,309 4,084 4,185
Depreciation charge 95 136 565 796 722
Amortisation charge - - 136 136 176
Audit fees - - 69 69 52
Total Expenditure 5,337 3,972 6,207 15,516 14,709
Trading and Administration Activities Surplus/(Deficit) 933 1,821 (3,280) (526) (398)
There were no non-audit services provided by Deloitte during the year (2011: $4,000)
New Zealand Red Cross Annual Report 2012
Notes to the Financial StatementsFor the year ended 30 June 2012in thousands of dollars
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3. FUNDRAISING ACTIVITIES
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Income
Public donations
– Project partners 6,256 4,985 6,256 4,985
– Annual appeal 535 - 535 -
– Direct mail 1,352 1,417 1,352 1,417
– Lottery 158 193 158 193
– Other 2,058 2,035 2,044 2,035
Special appeals
– Public 17,145 103,754 17,145 103,754
– New Zealand Government (disaster relief) 500 7,184 500 7,184
– Interest 1,888 231 1,888 231
New Zealand Government (delegate support) 1,000 1,000 1,000 1,000
Contracts - 917 - 917Legacies 1,290 1,511 1,278 1,511
Other 4 6 4 6
Total Income 32,186 123,233 32,160 123,233
Expenditure
Personnel costs 922 796 922 796
Other expenses 2,783 1,948 2,783 2,080
Total Expenditure 3,705 2,744 3,705 2,876
Fundraising Activities Surplus 28,481 120,489 28,455 120,357
4. NEW ZEALAND GOVERNMENT GRANTS FOR DISASTER RELIEF
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Philippines (floods) 500 - 500 -
Pakistan (floods) - 500 - 500
Columbia (floods) - 134 - 134
Indonesia (volcanic eruption) - 200 - 200
Vietnam (floods) - 250 - 250
Sri Lanka (floods) - 100 - 100
Middle East/North African (civil unrest) - 1,000 - 1,000International Disaster Relief 500 2,184 500 2,184
Canterbury Earthquakes - 5,000 - 5,000
Total New Zealand Government Grants for Disaster Relief 500 7,184 500 7,184
NOTES TO THE FINANCIAL STATEMENTS
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5. EXPENDITURE ON HUMANITARIAN ACTIVITIES
New Zealand Red Cross
& Red Cross Foundation
New Zealand Red Cross
Incorporated2012 2011 2012 2011
Personnel costs 3,160 2,562 3,160 2,562
Aid workers 1,689 1,184 1,689 1,184
International disbursements 1,258 1,203 1,258 1,203
Appeal activities 10,425 66,952 10,425 66,952
International levies 257 118 257 118
Other international projects - 80 - 80
Other expenses 1,740 2,473 1,740 2,473
Depreciation charge 347 316 347 316
Total Expenditure on Humanitarian Activities 18,876 74,888 18,876 74,888Expenditure on Humanitarian Activities comprises:
Humanitarian law 83 86 83 86
Disaster relief and development 15,565 71,232 15,565 71,232
Emergency management 393 406 393 406
Community activities 2,835 3,164 2,835 3,164
Total Expenditure on Humanitarian Activities 18,876 74,888 18,876 74,888
6. INTERNATIONAL DISBURSEMENTS
New Zealand Red Cross
& Red Cross Foundation
New Zealand Red Cross
Incorporated2012 2011 2012 2011
International Federation of Red Cross and Red Crescent Societies
Afghanistan 140 100 140 100
Disaster relief supplies - 60 - 60
Timor-Leste 200 177 200 177
Pacific 107 6 107 6
Vietnam 150 95 150 95
International Committee of the Red Cross
South East Asia - 100 - 100
Pacific National Red Cross SocietiesCook Islands Red Cross 84 79 84 79
Fiji Red Cross 60 90 60 90
Kiribati Red Cross Society 40 40 40 40
Solomon Islands Red Cross Society 23 18 23 18
Tonga Red Cross Society 49 40 49 40
Tuvalu Red Cross Society 25 (15) 25 (15)
Vanuatu Red Cross Society 43 41 43 41
Other Pacific Red Cross National Society support 33 67 33 67
Pacific and other telecommunications development 296 184 296 184
Regional warehouse 8 121 8 121
Total International Disbursements 1,258 1,203 1,258 1,203
New Zealand Red Cross Annual Report 2012
Notes to the Financial StatementsFor the year ended 30 June 2012in thousands of dollars
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6. INTERNATIONAL DISBURSEMENTS (CONTINUED)
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
International Disbursements comprises:
Health and first aid 748 547 748 547
Disaster relief and development 181 266 181 266
Emergency management 304 405 304 405
Community activities 25 (15) 25 (15)
Total Expenditure on Humanitarian Activities 1,258 1,203 1,258 1,203
These disbursements have been funded by donations from Red Cross regular givers and other public donations.
7. SURPLUS FROM ALL ACTIVITIES
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011Revenue
Trading act iviti es 12,063 10,652 12,063 10,652
Administration activities 3,643 3,591 2,927 3,659
Fundraising activities 32,186 123,233 32,160 123,233
Total Revenue 47,892 137,476 47,150 137,544
Expenditure
Trading act iviti es 9,309 8,634 9,309 8,634
Administration activities 6,315 6,168 6,207 6,075
Fundraising activities 3,705 2,744 3,705 2,876
Humanitarian activities 18,876 74,888 18,876 74,888Total Expenditure 38,205 92,434 38,097 92,473
Total Surplus from all Activities 9,687 45,042 9,053 45,071
Trading and Administration
The majority of this revenue is generated by first aid and emergency care education, Red Cross Shops and income from investments.
National Board members receive no remuneration for their governance services. Total remuneration received by the National Management Team (comprising the Chief Executive and eightdirect reports) was $1,118,000 (2011; $1,054,000).
Fundraising Activities
This revenue is received from fundraising and the New Zealand Government. This is applied to the humanitarian work of Red Cross. This increased substantially in the 2011 financial yearas a result of public donations for the Canterbury earthquake appeals and has continued to a lesser extent in the 2012 financial year.
NOTES TO THE FINANCIAL STATEMENTS
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8. RESTRICTED FUNDS
New Zealand Red Cross
& Red Cross Foundation
New Zealand Red Cross
Incorporated2012 2011 2012 2011
International appeals and development 347 567 347 567
Local projects and developments - 23 - 23
Meals on Wheels activities - 64 - 64
Emergency response units/vehicles - 68 - 68
Specific purpose legacies 36 1,730 36 1,730
Total Restricted Funds 383 2,452 383 2,452
9. CHRISTCHURCH RESERVE
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Opening balance 44,204 - 44,204 -
Funds received
Public donations 5,498 80,617 5,498 80,617
Interest income 1,888 230 1,888 230
New Zealand and other Governments - 11,936 - 11,936
Specific purpose donations (including other Red Cross National Society support) 11,415 14,694 11,415 14,694
Total funds received 18,801 107,477 18,801 107,477
Funds used
Resident grants 7,672 61,889 7,672 61,889
Response activities - 1,367 - 1,367
Recovery activities 1,800 17 1,800 17
Capacity building 1,137 - 1,137 -
Total funds used 10,609 63,273 10,609 63,273
Total Christchurch Reserve 52,396 44,204 52,396 44,204
The Christchurch Reserve fund has been created in response to Red Cross’ involvement in the Canterbury earthquake of September 2010 and Christchurch earthquake of February 2011.
All funds donated by the New Zealand public are to assist affected people and communities. This includes the provision of goods, cash grants and other support. Funds will not be used
for Red Cross administration costs, staff salaries or transport and accommodation of Red Cross staff and volunteers.Other Red Cross national societies launched appeals to raise money to support the initial response, long term recovery and strengthening disaster response capacity. All interest earned isreinvested into the Reserve. It is anticipated that due to the scale and continuing needs of the community that it may take in excess of five years to responsibly deliver aid and providerecovery services.
Red Cross established an independent Commission made up of community leaders to oversee the disbursement of donations.
Red Cross incurred additional costs of $668,000 (2011: $936,000) for the administration of the grant payment processes. These costs are included within Trading and AdministrationActivities. Funds from the Red Cross Foundation of $500,000 (2011: nil) were received which substantially covered this expenditure.
New Zealand Red Cross Annual Report 2012
Notes to the Financial StatementsFor the year ended 30 June 2012in thousands of dollars
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10. CASH AND CASH EQUIVALENTS
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Cash and bank current deposits 11,807 16,664 11,292 12,322
Bank term deposits 51,601 37,145 47,089 37,145
Total Cash and Cash Equivalents 63,408 53,809 58,381 49,467
Bank deposits earn interest at rates ranging between 1.50% and 3.15% (2011; 2.00% and 3.15%). Term deposits are held on terms ranging from 14 days to 90 days with interestrates ranging from 3.90% to 5.28% (2011; 3.65% to 4.70%).
11. TRADE AND OTHER RECEIVABLES
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Trade receivables 942 1,196 942 966
Accrued interest and dividends 374 47 273 168
Other receivables and accruals 702 743 702 791Total Trade and Other Receivables 2,018 1,986 1,917 1,925
As at balance date, interest accrued and due from the Red Cross Foundation was $166,000 (2011: $168,000).
12. INVESTMENTS
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Investments are categorised as:
Current 3,944 6,349 5,823 7,997
Non-Current 29,586 29,792 15,612 13,755
Total Investments 33,530 36,141 21,435 21,752
Investments comprise:
Red Cross Foundation deposits - - 21,297 21,614
Short term fixed interest 3,806 6,211 - -
Long term fixed interest 16,888 17,258 - -
Long term deposits 1,366 525 - -
Equity securities 11,332 12,009 - -
Other 138 138 138 138
Total Investments 33,530 36,141 21,435 21,752
Investments (other than Red Cross Foundation deposits) are measured at fair value which is derived from external quoted prices based upon the market bid price for the investment.Fair value changes in the value of investments of $2,081,000 (unrealised loss) (2011: $1,642,000 unrealised gain) have been recognised in the statement of financial performance.
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Red Cross Foundation Deposits
Opening deposits - - 21,614 21,695
Withdrawals during the year - - 109 1,156
Deposits during the year - - (426) (1,237)
Closing Red Cross Foundation Deposits - - 21,297 21,614
Red Cross Foundation deposits earn interest at rates ranging from 4.10% to 6.10% (2011: 3.00% to 7.50%) with total interest earned of $1,182,000 (2011: 1,281,000).
NOTES TO THE FINANCIAL STATEMENTS
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13. PROPERTY, PLANT AND EQUIPMENT
New Zealand Red Cross
& Red Cross Foundation
New Zealand Red Cross
Incorporated2012 2011 2012 2011
Opening net book value 23,275 21,600 23,275 21,600
Additions 2,183 1,191 2,183 1,191
Disposals (56) (82) (56) (82)
Revaluation (decrease)/increase (817) 1,604 (817) 1,604
Depreciation charge (1,143) (1,038) (1,143) (1,038)
Closing Net Book Value 23,442 23,275 23,442 23,275
Property, Plant and Equipment Comprises: Cost or ValuationAccumulatedDepreciation
Net BookValue
DepreciationCharge
Land and buildings 20,503 1,031 19,472 189
Equipment 2,902 2,168 734 270
Computer hardware 1,527 1,307 220 125
Furniture and fittings 2,127 1,074 1,053 166
Motor vehicles 4,032 2,112 1,920 393
Work in progress 43 - 43 -
Total Property, Plant and Equipment 2012 31,134 7,692 23,442 1,143
Land and buildings 21,273 844 20,429 200
Equipment 2,468 1,901 567 245
Computer hardware 1,348 1,185 163 95
Furniture and fittings 1,911 913 998 136Motor vehicles 2,978 1,860 1,118 362
Total Property, Plant and Equipment 2011 29,978 6,703 23,275 1,038
The fair value of land and buildings is based of rolling cyclical valuations. The most recent valuations were carried out at 30 June 2011 by Telfer Young, registered valuers who aremembers of the Property Institute of New Zealand. The valuation, which conforms to New Zealand Valuation Standards, was arrived at in reference to market evidence of transactionprices and market rental yields for similar properties.
14. INTANGIBLE ASSETS
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011Opening net book value 634 771 634 771
Additions 12 39 12 39
Amortisation charge (136) (176) (136) (176)
Closing Net Book Value 510 634 510 634
Intangible Assets Comprises: CostAccumulatedDepreciation
Net BookValue
AmortisationCharge
Software 1,166 656 510 136
Total Intangible Assets 2012 1,166 656 510 136
Software 1,154 520 634 176Total Intangible Assets 2011 1,154 520 634 176
New Zealand Red Cross Annual Report 2012
Notes to the Financial StatementsFor the year ended 30 June 2012in thousands of dollars
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15. NON-CANCELLABLE OPERATING LEASES
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Less than one year 1,397 1,323 1,397 1,323
Between one and five years 1,028 2,425 1,028 2,425
More than five years - - - -Total Non-Cancellable Operating Leases 2,425 3,748 2,425 3,748
16. CAPITAL COMMITMENTS
There are no capital commitments for future capital expenditure resulting from contracts entered into prior to or at balance date (2011: nil).
17. TRADE AND OTHER PAYABLES
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011 Trade payabl es 2,060 1,028 2,060 891
Accruals 426 539 411 539
Licenses to occupy 24 24 24 24
Total Trade and Other Payables 2,510 1,591 2,495 1,454
18. PROVISION FOR EMPLOYEE ENTITLEMENTS
New Zealand Red Cross& Red Cross Foundation
New Zealand Red CrossIncorporated
2012 2011 2012 2011
Annual leave 590 570 590 570Payroll and other entitlements 229 182 229 182
Total Provision for Employee Entitlements 819 752 819 752
NOTES TO THE FINANCIAL STATEMENTS
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19. NET ASSETS
New Zealand Red Cross
& Red Cross Foundation
New Zealand Red Cross
Incorporated2012 2011 2012 2011
Loans and Receivables
Cash and cash equivalents 63,408 53,809 58,381 49,467
Trade and other rece ivab les 2,018 1,986 1,917 1,925
Investments - - 21,435 21,752
Total Loans and Receivables 65,426 55,795 81,733 73,144
Fair Value through Comprehensive Income
Investments 33,530 36,141 - -
Total Fair Value through Comprehensive Income 33,530 36,141 - -
Total Financial Assets 98,956 91,936 81,733 73,144
Non-financial assets 24,691 24,956 24,691 24,956
Total Assets 123,647 116,892 106,424 98,100
Amortised Cost
Trade and other payables 2,510 1,591 2,495 1,454
Provisions 2,958 4,048 2,958 4,048
Total Amortised Cost 5,468 5,639 5,453 5,502
Total Financial Liabilities 5,468 5,639 5,453 5,502
Non-financial liabilities 413 276 413 276
Total Liabilities 5,881 5,915 5,866 5,778Net Assets 117,766 110,977 100,558 92,322
20. CONTINGENCIES
There are no contingencies at balance date (2011: nil).
21. SIGNIFICANT EVENTS AFTER BALANCE DATE
There are no significant events after balance date (2011: nil).
New Zealand Red Cross Annual Report 2012
Notes to the Financial StatementsFor the year ended 30 June 2012in thousands of dollars
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AUDITOR’S REPORT
Auditor’s Report
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National Directory New Zealand Red Cross is part of the world’s largest humanitarian network. It is an independent humanitarianorganisation, founded in 1863, and based on the Fundamental Principles of the International Red Cross and Red CrescentMovement of humanity, impartiality, neutrality, independence, voluntary service, unity and universality. New ZealandRed Cross operates in a neutral and impartial manner, independent of religious, cultural, or political affiliations.
As a t 30 June 2012
Patron
His Excellency Lieutenant General
The Right HonourableSir Jerry Mataparae GNZM, QSO,
Governor-General of New Zealand
National Board
National President Penny Mason
National Vice-President Paul Steere
Debby Butler
Mat Darling, youth representative (appointed March 2012)
Paul Kiesanowski
Jennifer McMahon
Aaron Turne r
Steve Osborne
Alan Webb
Brie Jessen, youth representative (resigned March 2012)
Counsellors of HonourTerry Butt
Joan Cockburn, CBE, JP
Nancy Cook
Pat Gribble, QSM, JP
Lynette Jones, CNZM
Jocelyn, Lady Keith, CBE
Rt Hon Justice Sir Kenneth Keith, ONZ, KBE
Dr Ron Mackenzie, QSO
Gerald McDouall, OBE, JP
Kerry Nolan
Patricia O’Brien, QSO
Jane Smith
Sydney Smith
John Stevens
Jerry Talbot
Paul Watson
Rev Gavin Yates
Peter Young
Officials
International Humanitarian Law Consultant
Rt Hon Justice Sir Kenneth Keith, ONZ, KBE
New Zealand Red Cross Foundation Trustees
Christopher Batten (Executive Trustee)
Peter Allport
Falcon Clouston
Alan Isaac (ret ired February 2012)
Peter Martin
Belinda Stanley
Paul Steere
Mark Weaver
Steven Fyfe (appointed July 2011)
Rueben Tucker (appointed April 2012)
Paul Kiesanowski (appointed July 2011)
Management
Chief Executive, John Ware
National Retail Manager, Patrick CummingsNational Business Services Manager, Bruce Jones
International Operations and Emergencies Manager, Andrew McKie
National Fundraising Manager, Alice Montague
National Operations Manager, Wendy Potter
National Education and Training Manager, Graham Wrigley
National Marketing and Public Relations Manager Ross Cameron
National Human Resources and Volunteer Support Manager
Bruce McGregor
Bank
ASB Bank Limited
Legal Adviser
Burrowes and Company
Auditor
Deloitte
National Office
Red Cross House, 69 Molesworth Street
P O Box 12 140, Thorndon, Wellington 6144, New Zealand
Ph. 64 4 471 8250 | Fax. 64 4 471 8251www.redcross.org.nz | [email protected]
New Zealand Red Cross Annual Report 2012
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