October Financial Report

[michael h schneider]

The following is from NAWCC Deputy Executive Director Robb Green. He can be reached at:
robb@nawcc.org
Exhibits are NOT attacheed to this note, but can be found on the NAWCC web site,
http://nawcc.org
inside the eMart, filed under Announcements, HQ
**************
Attached are our financial exhibits for October, 2002 which complete seven months of our fiscal 2003.

October's operating net result of a positive $17 thousand was $57 thousand favorable to our anticipated budgeted result for the month of a negative $40 thousand. Fiscal year-to-date, our net operating result was a favorable $36 thousand, $161 thousand favorable to our 2003 budget of a negative $125 thousand.

The Museum admissions continue to be less than budgeted and less than last y ear with our cumulative budgeted receipts of $49 thousand, $16 thousand below budget. Moreover, gift shop net sales also continue to show a below budget trend with our $48 thousand year to date slightly below budget by $2 thousand, but only slightly ahead of prior year by $1 thousand year to date. Our marketing efforts are being focused to correct the low attendance, which should increase gift shop sales.

With a $16 thousand positive return for October, the School of Horology shows a solid year to date $50 thousand positive.

Member dues of $125 thousand were $21 thousand above budget for October. For our first seven months, $775 thousand in member dues were received, which were $73 thousand above budget and $69 thousand over last year at this time.

Our cash situation continues to be solid in an unstable worldwide environment. By this date last year, the association withdrew $90 thousand to pay bills. There have been no withdrawals from the investment accounts to pay operating expenses in this fiscal year nor expected in the near future. Moreover, our accounts payable remain minimal. In October 2001, overall, we owed $109 thousand in short-term obligations; today, we owe only $8 thousand, a $101 thousand
improvement.

Our gross liquidity reserve (investments less loan balance) was $1,532 million, a decrease of $31 thousand over last month. October breaks a trend that continued for many months with this valuation decrease. Although the association's investments remain conservatively invested, our valuation has suffered from the market interest fluctuation for the first time.

For these seven months, our overall expenses remain in line with our 2003 budget, but inflows continue to fluctuate. Dues and school revenues maintain their strength, but museum admissions and net gift shop sales remains a bit weaker than intended, but in all other important respects we are presently in good shape.

Robert P. Green
Deputy Executive Director
November 26, 2002
robb@nawcc.org]

[michael h schneider]

The following is from NAWCC Deputy Executive Director Robb Green. He can be reached at:
robb@nawcc.org
Exhibits are NOT attacheed to this note, but can be found on the NAWCC web site,
http://nawcc.org
inside the eMart, filed under Announcements, HQ
**************
Attached are our financial exhibits for October, 2002 which complete seven months of our fiscal 2003.

October's operating net result of a positive $17 thousand was $57 thousand favorable to our anticipated budgeted result for the month of a negative $40 thousand. Fiscal year-to-date, our net operating result was a favorable $36 thousand, $161 thousand favorable to our 2003 budget of a negative $125 thousand.

The Museum admissions continue to be less than budgeted and less than last y ear with our cumulative budgeted receipts of $49 thousand, $16 thousand below budget. Moreover, gift shop net sales also continue to show a below budget trend with our $48 thousand year to date slightly below budget by $2 thousand, but only slightly ahead of prior year by $1 thousand year to date. Our marketing efforts are being focused to correct the low attendance, which should increase gift shop sales.

With a $16 thousand positive return for October, the School of Horology shows a solid year to date $50 thousand positive.

Member dues of $125 thousand were $21 thousand above budget for October. For our first seven months, $775 thousand in member dues were received, which were $73 thousand above budget and $69 thousand over last year at this time.

Our cash situation continues to be solid in an unstable worldwide environment. By this date last year, the association withdrew $90 thousand to pay bills. There have been no withdrawals from the investment accounts to pay operating expenses in this fiscal year nor expected in the near future. Moreover, our accounts payable remain minimal. In October 2001, overall, we owed $109 thousand in short-term obligations; today, we owe only $8 thousand, a $101 thousand
improvement.

Our gross liquidity reserve (investments less loan balance) was $1,532 million, a decrease of $31 thousand over last month. October breaks a trend that continued for many months with this valuation decrease. Although the association's investments remain conservatively invested, our valuation has suffered from the market interest fluctuation for the first time.

For these seven months, our overall expenses remain in line with our 2003 budget, but inflows continue to fluctuate. Dues and school revenues maintain their strength, but museum admissions and net gift shop sales remains a bit weaker than intended, but in all other important respects we are presently in good shape.

Robert P. Green
Deputy Executive Director
November 26, 2002
robb@nawcc.org]