CFO Lisa Cohen

Over the last three years, LSS has faced a challenging operating environment. Government and other funding sources have reduced the availability of resources while vendors have, concurrently, increased pricing to remain viable. The resulting financial squeeze has negatively affected many nonprofits;

Lisa Cohen, CFO

LSS is in the life changing business, providing training, tools, connections and care to the people we are privileged to serve.

A few highlights from 2012• LSS found nearly 1,100 jobs for people

who needed them – helping them to become self-sufficient in their communities

• More than 150 at risk children were given shelter or temporary homes – giving them a better chance to heal and grow

• Over 220 families can now get to work, drive children to school and go grocery shopping in a car from Good News Garage1

• Hundreds more are able to keep their jobs because LSS drives them to work

• Over 1,000 elders and chronically ill persons were able to remain independent at home or were cared for in residential settings – preserving not only their dignity, but bringing peace of mind to their children, siblings and significant others

• LSS served more than 360 people with disabilities – helping them to connect with their communities and live as fully as possible

LSS Annual Report 2012

Changing lives...

A letter from LSS CFO Lisa Cohen

LSS however, is moving toward a position of strength and is ready to tackle new and innovative opportunities!

Strategic decisions coupled with sheer determination have allowed LSS to remain on an upward fiscal trajectory. Our first actions were dedicated to stabilizing the ship. That mission accomplished, fiscal year 2014 (FY14) has a new focus – one that moves LSS along a course of investment and expansion. Our FY14 budget demonstrates our unwavering commitment to our clients, staff, business partners and the communities we are privileged to serve.

A tremendous sense of excitement and inspiration encompasses our 1,400 LSS employees. They understand the significance of our strategic changes. They understand our commitment to supporting the ‘whole person’ by providing comprehensive solutions that create bright futures. They understand that accomplishing this requires a strong constituency of charitable investors that help LSS achieve a robust funding model. They understand that LSS is charting new ways for nonprofits to improve lives and build stronger communities. They understand that strong partnerships and relationships are ultimately the key to achieving individual success.

On behalf of our staff, board of directors, leadership, volunteers, partners and supporters, I present our 2012 Annual Report. Please feel free to contact me directly at LCohen@LSSNE.org, or interact with LSS via our website or social media sites.

1 Good News Garage is a program of LSS.

For more information, visit our website Financial page at LSSNE.org/finance

LSS Board of Directors, Executive Committee

Jeffrey P. Kinney LSS Board Chair, Wells Fargo Bank

Gail Phillips Bucher LSS Board Vice Chair, Massachusetts College of Pharmacy and Health Sciences

Garth H. GreimannLSS Board Financial Secretary, Berkshire Partners

Karen L. GaylinLSS Board Secretary, Philips Healthcare

Directors

The Rev. Carl J Anton Retired, Bethany Lutheran Church

Dr. Wisam K. Breegi Mandaean Refugee Resources Project

David Forsberg Anna Maria College

Ralph F. Gerenz Retired businessman

The Rev. Ross GoodmanSt. Paul’s Lutheran Church

Sonja Hegymegi Retired CPA

Juliana Badaro Langille Community Connections of Brockton, Mass.

Barbara J. Ruhe Ruhe and Ruhe, Attorneys-At-Law

William F. Swanson

Dr. Donald N. Sweet Vital Growth Consulting Group

Ex officio

Angela Bovill, President and CEO Lutheran Social Services

The Rev. James E. Hazelwood Evangelical Lutheran Church in America, New England Synod

The Rev. Timothy Yeadon Lutheran Church Missouri Synod, New England District

LSSNE

Lutheran Social Services of New England14 East Worcester Street, Worcester, MA 01604774.243.3900 LSSNE.org

Lutheran Social Services of New England is an accredited organization by the Council on Accreditation (COA) coanet.org

LSS Leadership

Services we provide• Interpretation and translation• Immigration legal counsel for asylees and

survivors of human trafficking and domestic violence

• Refugee resettlement• Transportation assistance

• Adoption • Disability and mental health • Elder care and assisted living• Foster care • In-home care

Jeffrey P. Kinney, LSS Board ChairWells Fargo Bank“What brings us here as volunteers in support of LSS is a desire to help our clients achieve self-sufficiency and independence by empowering them to control their own destiny.”

Angela Bovill, President and CEO“I’m often asked to sum up what we do. Yes, we provide vital services for at-risk youth, young families, the elderly, refugees and persons with disabilities. But our goal is to help people help themselves – and help others. We are in the business of creating better opportunities for those we serve.”

Financial Highlights

2012 Operating Expenses

Program services 89.3%Administrative 10.1%Fundraising 0.6%

2012 Revenue Sources

Program revenues 93.6%Contributions, gifts & grants 5.6%Other Sources 0.8%

0.8%

93.6%

5.6% 10.1%

89.3%

0.6%

2012 Expenses

2012 Revenue

...by providing training, tools, connections and care.

Revenue & Expenses (in millions)

2010 2011 2012

Revenue $66.6 $66.3 $68.9 Expense $68.8 $66.7 $68.1

($2.2) ($0.4) $0.8

LSSNE