2006Annual ReportChanging The World One Life At A Time

Adventist Development and Relief Agency

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05. ADRA Facts

06. Background and Aim

07. Operational Objectives

08. Message from the Administration

09. 2006 Board of Directors

11. Sectors

12. Development Projects

16. Emergency management

17. Other Activities

19. Projects for 2006

20. Auditors’ Report

21. Statement of Financial Activities

22. Balance Sheet 2006

23. Annual Appeal 2006Co

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2006 Annual ReportChanging The World One Life At A Time

ADRA-UKStanborough ParkWatford, HertfordshireWD25 9JZEngland

Telephone: +44(0)1923-681723/681743Telefax: +44(0)1923-681744

Email: info@adra.org.ukWebsite: http://www.adra.org.uk

The Adventist Development and Relief Agency (ADRA) is a humanitarian organization providingassistance without regard to ethnic, political or religious association.

Registered Charity: 1074937 - SCO 37726

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ADRA-UK:

In 2006, ADRA-UK:

ADRA-UK’s overall objectives are: the reduction ofpoverty; promotion of social justice; and development oflocal partnerships that result in the empowerment of poorcommunities.A

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TS Formed in 1989, is an independent, humanitarian

agency with the specific purpose of individual andcommunity development and disaster relief.

Is part of the ADRA global network with operations inmore than 120 countries.

Offers aid to the world’s poorest people regardless ofage, sex, race, ethnicity or religious association.

Is registered with the Charity Commission in England &Wales and the Office of the Scottish Charity Regulator.

Has over 5000 volunteers who fundraise and createawareness about poverty and development issues.

Seeks to help poor communities build self-supportiveand dignified lives through development and reliefactivities focusing on five essential areas: Food Security,Economic Development, Primary Health, EmergencyManagement and Basic Education.

Operates according to strict ethical principles.

Assisted in implementing 27 development and reliefprojects benefiting directly over 170,000 people in 19countries across the world.

Transported aid items to poor communities in Pakistan,Liberia, Ghana, Serbia and Yemen

Raised a record amount of money, through privatedonations, the Annual Appeal and through theDepartment for International Development (DFID) andEuropean Commission (EC) funding.

DRA is an international development and reliefagency, one of the most extensive in the world.ADRA-UK is the network office in the United

Kingdom and works on projects in many countries aroundthe world within the core portfolios of food security,economic development, primary health, emergencymanagement and basic education.

ADRA-UK focuses primarily on sustainable, long-termdevelopment projects and on providing immediate reliefto communities affected by disaster, by working inpartnership with private donors and with governmententities such as the Department for InternationalDevelopment (DFID) and the European Commission. Inearly spring of every year supporters in the UK will go fromdoor-to-door to invite the general public to donate to thework of ADRA. In 2006 ADRA-UK assisted in implementing 27development and relief projects, including projects forpeople with special needs in the UK.

ADRA has been at work around the globe, helping peopleovercome poverty, disease, illiteracy, and the sufferingthat results from natural and man-made disasters. Longafter camera crews have packed up and reporters haveflown off to a new scene and a new story, ADRA remainsat the scene of suffering. For one year, five years, ten yearsor as long as it takes, ADRA continues its work until realprogress has been made and problems have beenresolved.

As new challenges and needs arise, ADRA continues tostrive to realise its mission of reflecting God’s love throughcompassionate acts of humanitarian service withoutregard to age, ethnicity or political or religious association.

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a. Policies and objectivesADRA-UK's overall objectives are: the reduction of poverty;promotion of social justice; and working together with localcommunities who are powerless to improve their lives. Itregards the poor with respect, as partners with whom itworks in learning and sharing relationship.

b. Strategies for achieving objectivesThe ADRA network is annually engaged in the implementa-tion of over 3,200 projects impacting the lives of over 16million people. Globally, ADRA is organised as a network ofNGOs divided into Supporting Offices and ImplementingOffices. ADRA-UK assists in mobilizing resources for imple-menting offices and provides technical and administrativebackstopping for program planning, implementation,monitoring, evaluation, and financial compliance.

c. Activities for achieving objectivesThrough the services of over 4,300 full time workers and tensof thousands of volunteers, the ADRA network is able toaddress the following portfolios: Food Security, EconomicDevelopment, Primary Health, Disaster Response and BasicEducation.

d. Grant making policiesADRA-UK works closely with selected Southern networkpartners in the development and design of developmentand relief projects. Board approval is required for allprojects.

e. VolunteersThe charity is grateful for the unstinting efforts of itsvolunteers who are involved in service provision andfundraising. It is estimated that over 20,000 volunteer hourswere provided during the year. If this is conservativelyvalued at £5.00 an hour the volunteer effort amounts toover £100,000.

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During 2006 ADRA-UK has experienced strategic growth planned for andcontinued to provide support for the established projects.

Every year more and more people are taking part in activities to raise moneyto support the life-changing projects sponsored by ADRA-UK in this countryand around the world. Singing, selling, walking, running and climbing,hundreds of people are finding ways to contribute. 2006 has been noexception and individuals and groups from different parts of the UK havejoined to raise the funds needed to continue our work. It is thanks to bothongoing and innovative support from many of our donors that we are ableto continue our work of alleviating poverty.

As a humanitarian agency we focus primarily on sustainable, long-termdevelopment projects and on providing immediate relief to communitiesaffected by disaster. Our work is done in partnership with private donors andgovernment entities such as the Department for International Development(DFID) and the European Commission. During 2006 ADRA-UK worked onprojects in many countries around the world, including Madagascar, PapuaNew Guinea, Nepal, Sudan and Peru.

With relatively few major disasters in 2006 our team could focus on thedesign of new short to medium length projects that can be instrumental inaffecting critical changes in the lives of many of the poor around the world.This work has led to several newly awarded projects, primarily with theEuropean Commission (EC). The new growth is naturally increasing thefinancial challenges put upon the agency.

We want to express our thankfulness to all the committed volunteers whoused not only their time but also their financial means to ensure that helpwas available for the successful operation of our programmes.

As new challenges and needs arise, ADRA will continue to strive to realise itsmission of reflecting God's love through compassionate acts of humanitari-an service without regard to age, ethnicity or political or religiousassociation.

We are thankful to our Lord for His blessings in a work that addresses theneeds of so many people. I want to thank you for your prayers and yoursupport as we continue to reach out and bring hope to suffering humanity.

Bert SmitExecutive-director

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C R Perry, Chair (resigned 11/09/2006)

D McFarlane, Chair(appointed 11/09/2006)

E C Lowe

B Smit, Executive director

C Sweeney

D J Balderstone

D J Sinclair

J Saddler

V Pilmoor, Treasurer

N Phillips

J Wilby

E Staple

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Poverty is not inevitable. It is not acceptable. Thereasons why some regions of the world are poor maybe complicated, but it is possible to address theseissues, to make improvements and to end poverty.The modern technology available to the world todaymeans there is no reason for anyone to go hungry,suffer or die from common illnesses, work forinadequate pay or remain illiterate.

ADRA-UK works to provide immediate relief in theevent of disaster, but it also seeks to developsustainable projects that improve communities,giving them the tools to help themselves out ofpoverty. We believe in the dignity of all people, andin their right to determine the course of their own lives.No one wants to be poor. Everyone wants a chanceto build a better life for future generations.

ADRA-UK is committed to five main sectors of workthat are key to restoring dignity, health, prosperityand freedom from fear to millions of poor peoplearound the world. Each of these areas addresses aproblem that threatens the security of the earth’spoorest and most vulnerable people. For everyproblem, we believe there is a solution— or at thevery least, a positive action we can take to restorejustice. It is our honour to help transform lives throughour work in the following sectors:

Food SecurityEconomic DevelopmentPrimary Health Emergency Management Basic Education S

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P e r uWorking for the Working Children – Raising Awareness of Child Labour and Decreasingits Practice: The project encourages participation of the community through focussedinterventions and empowerment to promote a reduction in the number of workingchildren and adolescents specifically in Metropolitan Lima. It will include keycommunity stakeholders with a long-term view to promote national debate on thisissue. Child labour eradiation brigades will be formed to help sustain the project afterADRA’s phase is complete. A financial information community centre will beestablished and run by local volunteers who will empower parents economically anddiscourage them from sending their children to work. Community marches,campaigns and debates will be held to raise awareness of these issues and promotechanges in the law to protect children and adolescents.

Donors: DFID, ADRA-UKBeneficiaries: 3,000 direct, 7,000 indirect

P e r uHuman and Women’s Rights Awareness Development in Ayacucho: The projectintends to promote women’s representation and participation in decision-making atall levels of society by supporting women's and civil society organisations to fight forequal rights and against political, economic, and cultural discrimination. In order toachieve this purpose, ADRA proposes to encourage the participation of thecommunity in this venture. Key community stakeholders and women’s groups will beinvolved (and established) in a learning process to define responsibilities and roles inregards to human and women’s rights, to gain awareness regarding human andwomen’s rights, and to raise their voices to advocate for women to be able to enjoytheir full legal rights.

Donors: DFID, ADRA-UKBeneficiaries: 20,210 direct, 100,000 indirect

P e r uPoverty Alleviation Project for the Shipibo Community: Poverty alleviation for thenative communities of Yarinacocha, Masisea, Iparía and Callería districts (Ucayaliregion) through improved access to basic social services and improved naturalresource management.

Donors: European Commission, ADRA-UKBeneficiaries: 3,500 direct, 21,226 indirect

M a d a g a s c a rAlleviating Poverty Through Improved Livelihood and Health in Fandriana: theproject is aimed at contributing to the alleviation of poverty among the pooresthouseholds in five communes in the Fandriana region, Madagascar, throughimproved opportunities for income-generating activities, improved agriculturalpractices, and improved health practices. It will work with 10 craftswomen and 65farmers’ associations to improve their productive, technical and marketingcapacities and to ensure better availability of community-based health services.Three fields of activities aimed at improving the standard of living will be carriedout: (i) promotion of improved rice farming and kitchen garden (ii) promotion ofincome-generating activities in agriculture or crafts (iii) establishment or reinforce-ment of community-based health services. In order to restore the communities’ability for self-development and build their resilience, the project will put a strongemphasis on a fourth cross-cutting activity: (iv) capacity building for the associa-tions.

Donors: European Commission, ADRA-UK Beneficiaries: 1,400 direct, 4,125 indirect

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S u d a nEmpowering Women in New Sudan – Raising Awareness: The goal of this project is toreduce household poverty by increasing the number of girls enrolled and retained ineducational institutions. It will also promote advocacy strategies to increase thenumber of girls in education in South Sudan. Through advocacy groups ADRA willprovide ‘comfort kits’, school uniforms, a kindergarten and new ‘role model’ femaleteachers, all of which address reasons girls currently do not attend school. A newEducation Centre will also be established and provide training for the collection,analysis and dissemination of data on factors pertinent to girl education acrossSouth Sudan.

Donors: DFID, ADRA-UKBeneficiaries: 500 direct, 550,000 indirect

N e p a lWomen’s Poverty Alleviation Project: This project, through the empowerment of ruralwomen in the districts of Kavre, Bara, Banke and Dang, aims to help alleviatepoverty and poor health. It will enable women to improve their economic, socialand health prospects by providing them access to literacy classes, vocationallivelihoods training, sanitary and natural resource knowledge as well as micro-creditschemes.

Donors: European Commission, ADRA-UKBeneficiaries: 6,000 direct, 30,000 indirect

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Papua New GuineaPartnerships for Civil Society Adult Education Initiatives: The goal of this project isto reduce poverty by strengthening the capacity of communities to provideservices for the rural poor in four provinces of PNG. The purpose is to enable anetwork of CSOs to engage with the community and PNG government toimprove education and income-generation opportunities that mainstreamHIV/AIDS and human rights. This initiative proposes to form a network of local PNGCSOs and to strengthen their expertise and accountability in providingeducational and income generation opportunities for adults that mainstreamHIV/AIDS and human rights, specifically the right to education and the rights ofwomen and the disabled.

Donors: DFID, ADRA-UKBeneficiaries: 1,500 direct, 28,500 indirect

K a z a k h s t a nPrison TB Social Support: This project aims to reduce poverty through decreasingthe incidence of tuberculosis in Kranganda and East Kazakhstan Provinces byimproving access to medical and social services for released prisoners. It willprovide Half-Way Houses, pre-release counselling, vocational training, healthylifestyle seminars, medical treatment and other support to prisoners and helpensure that prisoners complete TB treatment after release.

Donors: European Commission, ADRA-UKBeneficiaries: 210 direct, 20,000 indirect

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ADRA-UK participated financially in network emergencymanagement responses for the following countries:

SerbiaA state of emergency was declared in 10 regions in Serbia in April afterthe river Danube had risen to its highest level since 1985. ADRA Serbiawas on the ground with 24 volunteers to help the flood victims.

IndonesiaADRA provided medical and emergency aid response for survivors ofIndonesia’s May 27th earthquake. ADRA provided relief kits to 1,670families in the heavily affected Bantul region of Java.

PhilippinesIn response to heavy rain that swept through the south-eastern regionof the Philippines in mid-May, ADRA provided food aid to familiesdriven from their homes by massive flooding and mudslides.

LebanonAs the ongoing conflict between Lebanon and Israel escalated in July,ADRA responded to the needs of internally displaced persons (IDPs) inLebanon. Working with local partners and volunteers on the ground,ADRA’s emergency response provided food aid, blankets, mattresses,and clothing for IDPs sheltering in select schools and communitycentres.

VietnamTyphoon Xangsane slammed into the coast of Vietnam on October 1,pounding the country with sustained winds of 150 kilometres per hour(90 miles per hour) and heavy rain. ADRA Vietnam conducted agricul-tural recovery activities and provided housing support for affectedpopulation in the Ly Son Island district.

SomaliaHeavy flooding in the Horn of Africa in December killed more than 150people and affected over 1.8 million others. ADRA Somalia respondedto this flooding by procuring and distributing essential supplies thatprovided clean water storage, a month’s supply of water chlorinationtablets, temporary shelter materials to about 20,000 people.16 17

Aid ShipmentContainer shipments with humanitarian aid (used goodsand supplies) were transported to Serbia, Pakistan,Liberia, Ghana and Yemen.

UK ActivitiesADRA provided financial support to the Adventist SpecialNeeds Association (ASNA) which provides trainingweekends for the primary carers of the disabled andelderly as well as those with a long-term illness. During2006 ADRA funds helped towards the cost of resources,resource database development and management,training and awareness activities. ADRA provided fundsthat contributed towards the development and imple-mentation of the ASNA volunteer training course.

ADRA co-funded a ‘special needs’ camp at Aberdaronin North Wales. Over the last few decades this camp hasbeen a haven for people with physical or mentalchallenges.

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06 Countries

AidedNumber of

projects fundedNumbers of

beneficiariesDevelopment Relief

Peru 3 67,000

Nepal 1 7,600

South Sudan 1 10,000

Madagascar 1 5,500

Kazakhstan 1 unknown

Papua New Guinea 1 30,000

Niger 1 300

Indonesia 1 1 6,000

Lebanon Relief 1 5,000

Pakistan containers 2 3,000

Liberia container 3 12.000

Serbia shipment 2 1,500

Ghana container 1 1,000

Yemen Container 1 1,000

Vietnam 1 500

Bulgaria 1 100

Malawi 2 20,000

Phillipines 1 500

Somalia 1 500

12 15 171,500

We have audited the financial statements of the Adventist Development and Relief Agency - UK for theyear ended 31 December 2006, on which the accompanying summarised financial statements, consistingof balance sheets and the related statements of financial activity, are derived.

The preparation of these summarised financial statements is the responsibility of the Trustees. Our respon-sibility is to express an opinion on whether these summarised financial statements are consistent with thefinancial statements issued for the year.

Basis of our opinionWe conducted our annual audit in accordance with International Auditing Standards (UK and Ireland). Inour report dated 17 September 2007, we expressed an opinion as to whether the financial statements fromwhich these summarised financial statements are derived presented fairly in all material respects thefinancial position of ADRA-UK as at the end of each year, and the results of its operations for each year, inconformity with United Kingdom generally accepted accounting practice.

We have assessed whether the accompanying summarised financial statementsare consistent with theannual financial statements for the relevant years.

OpinionIn our opinion, the summarised financial statements referred to above are consistent with the annualfinancial statements of ADRA-UK, for the year ended 31 December 2006.

Colledge RedfernChartered Certified AccountantsRegistered Auditors2 Nascot Street, WatfordHerts, WD17 4RBDate: 17 September 2007

STATEMENT OF FINANCIAL ACTIVITIES For the year ended 31 December 2006

Restricted Funds 2006

Unrestricted Funds2006

Total Funds2006

Total Funds2005

INCOMING RESOURCES

Incoming resources from generated funds:

European Union grants 462,590 - 462,590 54,780

U K government (Department for International

Development)

514,992 - 514,992 1,342,731

Goods donated for distribution 142,342 - 142,342 637,684

Other voluntary income 11,588 596,632 608,220 818,242

Activities for generating funds - 585,501 585,501 569,018

Investment income (455) 28,889 28,434 35,055

Other incoming resources - 17 17 1935

TOTAL INCOMING RESOURCES 1,131,057 1,211,039 2,342,096 3,459,445

RESOURCES EXPENDED

Costs of generating funds:

Cost of generating voluntary income - 137,634 137,634 131,721

Charitable activities 1,425,978 364,130 1,790,108 2,778,936

Governance costs - 5,938 5,938 7,512

TOTAL RESOURCES EXPENDED 1,425,978 507,702 1,933,680 2,918,169

NET INCOMING RESOURCES /

(RESOURCES EXPENDED) BEFORE TRANSFERS (294,921) 703,337 408,416 541,276

Transfers between Funds 513,565 (513,565) - -

BEFORE REVALUATIONS 218,644 189,772 408,416 541,276

Gains and losses on revaluations ofinvestment assets

- 8,763 8,763 4,418

NET MOVEMENT IN FUNDS FOR THE 218,644 198,535 417,179 545,694

TOTAL FUNDS AT 1 JANUARY 2006 741,891 955,693 1,697,584 1,151,890

TOTAL FUNDS AT 1 JANUARY 2006 960,535 1,154,228 2,114,763 1,697,584

A u d i t o r ’ s R e p o r t

20 Figures are shown in Pounds Sterling.

The financial statements were approved by the directors on 17 September 2007 and signed on their behalf, by: V Pilmoor

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£600.000

£580.000

£560.000

£540.000

£520.000

£500.000

£518.002 £518.841

£561.207

£572.853

2002 2003 2004 2005 2006

A n n u a l A p p e a l 2 0 0 6BALANCE SHEET As at 31 December 2005

2006 2005

FIXED ASSETS

Tangible fixed assets 18,042 17,674

Investments 190,250 50,770

208,292 68,444

CURRENT ASSETS

Debtors 153,794 281,771

Cash at bank and in hand 1,792,171 1,357,123

1,945,965 1,638,894

CREDITORS: amounts falling due within one year (39,494) (9,754)

NET CURRENT ASSETS 1,906,471 1,629,140

NET ASSETS 2,114,763 1,697,584

CHARITY FUNDS

Restricted Funds 960,535 741,891

Unrestricted Funds 1,154,228 955,693

TOTAL FUNDS 2,114,763 1,697,584

Figures are shown in Pounds Sterling.

The financial statements were approved by the directors on 17 September 2007 and signed on their behalf, by: V Pilmoor

B a l a n c e S h e e t 2 0 0 6

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£586507

ADRA wishes to thank its partners and donors fortheir continuing support.

ADRA-UK, Stanborough Park, Watford, Hertfordshire, WD25 9JZ England

Telephone: +44(0)1923-681723/681743Telefax: +44(0)1923-681744

Email: info@adra.org.ukWebsite: http://www.adra.org.uk

The Adventist Development and Relief Agency (ADRA) is a humanitarian organization providing assistance withoutregard to ethnic, political or religious association.

Registered Charity: 1074937 - SCO37726

2006Annual ReportChanging The World One Life At A Time

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