Escolar Documentos
Profissional Documentos
Cultura Documentos
F inancial Statements
For the year ended 31 March 2016
Contents Page
Foreword 3
Trustees' report 4-6
Country programme reports 7-22
Thematic reports 23-43
Our future plans 44
Fundraising review 45
Financial review 46-48
Risks and uncertainties 49-50
Structure, governance and management 51-52
Reference and administrative information 53
Statement of Trustees responsibilities 54
Report of the Independent Auditors 55-56
Statement of financial activities 57
Balance Sheet 58
Cash Flow Statement 59
Accounting Policies and transition to FRS 102 note 60-62
Notes to the financial statements 63-74
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Children in Crisis Annual Report 2016
Foreword
Every year Children in Crisis aims to bring measurable, sustainable and meaningful improvement to the
lives of the children, young people and communities we work with. We also aim to be accountable, and
this annual report is an important part of that accountability.
We are pleased with what we have achieved this year. We are always striving to reach the hidden
children, those in great need and overlooked by others. In Afghanistan, we have gained a well-deserved
reputation as experts in protecting children in conflict with the law. This group of children is highly
vulnerable and often forgotten. We have provided legal aid, alternatives to detention, education
and vocational training to support the re-integration of children who have been detained. Another
overlooked group we reached this year is the secondary school aged Burundian refugees who have fled
political violence into DR Congo.
In this report, instead of just providing a narrative of the charitys activities, we measure our success
against well-defined aims and objectives. We continue using our traffic light system for reporting country
by country, but also include a thematic section. This better-reflects the commonality of goals in the
chronic emergency situations that we work in, and better-represents what we actually do.
We are supporting our mission with more effective, efficient and accountable fundraising with an
emphasis on higher quality relationships with people who donate to us. We have invested in new and
strategic income streams to support the new 2016-2021 strategy.
2015-16 was planned as a transition between Children in Crisis current and new strategy. This year we
have maintained our strong foundation of overseas projects from which to build the new strategy. We
have intensively learned from projects coming to an end and listened to children and communities we
work with in order to inform new directions. We have applied this learning to new funding proposals and
have had some success in securing multi-year funding for the coming years.
In financial terms we improved the management of financial risk, particularly through a revised reserve
policy, and have used the multi-year management of designated funds to improve our investment in
project growth, fundraising, infrastructure, and innovation.
In 2015-16 our aim was both to deliver the changes planned to childrens lives as laid out in our 2014-15
annual report, and to put ourselves in a strong position for the start of the new strategy. Thanks to the
efforts of the children and communities that we work with, our partner organisations on the ground,
and the commitment of our supporters, we are pleased to report good progress in both areas. We look
forward with excitement to the first year of the new strategy, to even more positive change for children
and to new partnerships with those who share our vision.
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Children in Crisis Annual Report 2016
Trustees' report
The objects of the charity are the relief of hardship, distress and sickness of persons in need, particularly
children, in any part of the world. They are governed by its Memorandum and Articles of Association.
In order to achieve these objects, Children in Crisis focuses on education and child protection in
countries affected by conflict. This is because education is always an expressed priority of people in
need, as well as delivering multiple benefits to the individual, the community and to wider society.
Quality education is of intrinsic value to an individuals development as an autonomous, unique person;
it provides the capabilities and skills to shape and pursue life goals whatever these may be; it provides
life-saving protection in respect to avoiding risks such as disease; it increases individual incomes and
employment prospects; it builds community cohesion and peace in countries suffering conflict, and; it
supports national social and economic development. To gain access to education or to benefit from it,
children must be safe and secure, and protected from harm or abuse. Child protection is therefore key.
Children in Crisis aims to achieve its objects by improving the education and protection provided to
children, especially girls and marginalised groups such as children with disability. The measurement
of our impacts is through a rigorous monitoring, evaluation and learning process, involving the clear
definition of goals, outputs, outcomes, and indicators at the start of each programme. We carry out both
internal and independent evaluations, and use participatory, qualitative and quantitative methods.
Raising family and community Supporting enterprise, savings schemes, community enterprise,
incomes to support childrens and vocational training so that income is not a barrier to
futures accessing school and maintaining schools.
Protecting children from abuse, Delivering child protection programmes in schools, juvenile
exploitation and harm justice programmes, and activities to stop violence against girls.
Building resilience and strength Promoting childrens participation and leadership in activities.
of character in children
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Children in Crisis Annual Report 2016 Children in Crisis Annual Report 2016
Strategy 2016-2021
Trustees agreed a new strategy for 2016-2021 which will be put into operation from March 2016
onwards. We aim to double the number of children we reach per year in this period, and improve
the depth and sustainability of impact.
Our Strategy We target our help at very vulnerable children who are disadvantaged by the long term impacts of conflict, and not reached by others. They are in critical need of quality education, protection, peace
and care, and capable parental and community support.
We provide physical and material inputs for building infrastructure, specialist know-how, essential technical inputs and advocacy.
We empower marginalised groups and positively change their status and position in society.
We work through local partners and develop programmes in a participatory way with communities and children. We combine resources with communities and help them to better mobilise and apply
their own resources, understand their rights and negotiate for their needs. We give a hand-up. We collaborate with government authorities.
We influence national and international policies in support of our causes.
Our operating
principles
Focus on chronic emergencies Stay for the long term Community-based solutions Quality programmes and Focus on the excluded and
and conflict We work on the difficult interface Our methods support a hand-up to proof of impact their rights
We choose to work in situations of development and humanitarian independence, self-reliance, and We are marked out by the Even in the most challenging
of chronic emergency / conflict or interventions. We stay for the long long-lasting change. consistent quality of our contexts, we still ask ourselves
post-conflict contexts. term, whereas humanitarian actors programmes, financial who is not here, who is not
We are conflict-sensitive, bringing are short term. We seek long accountability, and proof of impact. included. Who is denied their
communities together to build peace. lasting community-based solutions. rights?
We believe that greater gains are
to be made seeking the hardest to
reach those unreached by others.
Our outcomes
for children Learning to know Learning to do (carers and children) Learning to live together Learning to be
Children must get a quality education and Childrens education and wellbeing must be Children must be nurtured within safe, loving Children must develop strong and resilient
learn, not just attend school. supported by raising the income of parents and protective relationships, and through this characters to take advantage of opportunities
and communities, and children themselves learn to relate positively. All children to be and withstand lifes knocks.
All children learning and progressing through
need to learn to earn. All children experience safe, secure and protected and feel that they
informal and formal education.
favourable material circumstances. can influence their world.
Our values
A focus on hidden and Measure all that we do against the Quality relationships in all that we do Not to shy from challenges
forgotten children relevance to the most vulnerable
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Children in Crisis Annual Report 2016
Afghanistan
Targets & achievements
The armed conflict in Afghanistan continues to have particularly harsh consequences for children. Since 2015,
the number of human rights and protection incidents related to children has rapidly increased. Children
constitute a quarter of civilian casualties; they are increasingly recruited, used and abducted by armed groups.
The on-going violence has also disrupted or prevented childrens education, a problem further exacerbated
by severe poverty and inequality. An estimated 40% of school-aged children are out of school: they are forced
into labour and are often subject to exploitation and abuse.
Within this challenging context, we remain strongly committed to ensuring that children are both educated
and protected. Our expertise enables us to work at the heart of communities. We continuously engage with
community or religious leaders and families, encouraging them to send their children (especially girls) to
school and understand the positive impact education can have on their future.
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Children in Crisis Annual Report 2016
Drawing on our technical and operational expertise in the Afghan child protection
sector, we led on carrying out the countrys first ever Joint Child Protection Rapid
Assessment. Ongoing conflict makes the need for a humanitarian response that
safeguards womens and childrens rights more urgent than ever. The evidence base
generated by the assessment will be key for these future humanitarian responses in
Afghanistan, in particular in key child protection areas (including education, children
with disabilities, drugs & substance abuse, child labour and child marriage).
Within our Juvenile Justice Project, we piloted providing legal aid for vulnerable
children in Ghazni. This has been extremely beneficial to children in conflict with
the law, providing them with otherwise unobtainable legal representation and
advice from a juvenile lawyer as well as support from our social workers. We want
to roll out this project to ensure that other vulnerable children have a fair legal
representation and a better chance at reintegrating themselves in the society for
the future.
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Children in Crisis Annual Report 2016
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Children in Crisis Annual Report 2016
Burundi
Targets & achievements
Political crisis
Burundis political crisis, which began in April 2015, has had devastating impacts on the countrys
economy. This trend is expected to continue as Western governments suspend their budgets and aid
programmes. The country remains unstable and there are no signs of resolutions as violence, gross
human rights violations and political murders still occur on a daily basis.
It is civilians who are counting the true costs of this crisis. More than 26,000 Burundian refugees have
fled to neighbouring Tanzania, Rwanda, Uganda and DR Congo. The numbers continue to increase.
Refugee camps in these countries have almost reached their full capacity and the resident Burundians
are living in poor conditions.
See pages 15, 28-29 for information on our Lusenda Refugee response in DR Congo.
The Batwa
There are several marginalised and vulnerable communities in Burundi, including the Batwa, who have
largely been denied access to education, land and employment. This leaves parents unable to care for
their children as they wish to and the terrible rates of mortality that result in an estimated 50% of Batwa
children dying before even reaching the age of five.
The multiple forms of discrimination that the Batwa suffer have dramatic consequences on their ability
to realise their rights especially economic and social. Alongside our local partner Famille Maintenant
(FAMA) we have closely worked with the Batwa and other vulnerable communities in Burundi on how
they can best achieve the financial independence and self-sufficiency that they desire. Burundis Batwa
people want the same as all parents do, the ability to provide for their children, to give them shelter,
food and security. They want for their children to be educated and have the chance to create a better
future for themselves.
Our work:
The political instability in Burundi meant that we were unfortunately forced to postpone our
plans for a two-year vocational training project with FAMA. Instead, we have scaled down our
plans to focus on a smaller project focused on agriculture with Batwa families. The Improving
Food Security and Livelihoods for Vulnerable Communities project targets 150 Batwa families,
comprising approximately 600-750 individuals. The families will be divided into ten cooperatives,
and supported by FAMA and Children in Crisis to grow food (primarily beans and maize) as well as
some produce for sale (pineapples and tomatoes). This will be done on land donated by the mayor
of Gasorwe.
Batwa rarely own their own land, usually earning low wages from farming other peoples property
on their behalf. This project enables them to grow and harvest their own food as well as to
generate additional income from the sale of the produce. It will also encourage collaboration and
social cohesion among the communities.
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Children in Crisis Annual Report 2016
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Children in Crisis Annual Report 2016
DR Congo
Targets & achievements
Our strong relationship and collaboration with communities in the Plateau region of eastern DR Congo
continued in 2015/16. This enabled us to provide quality education and life chances to the young generations
of this remote and often overlooked region. Alongside our work in education, we established village savings
and loans associations (VSLAs) and advocated for the empowerment of women and girls. Thanks to these
interventions, more families can afford to feed their children, pay for their healthcare and make informed
decisions such as choosing to send their sons and daughters to school.
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Children in Crisis Annual Report 2016
A second three-year school building programme has been developed for 2017-20,
with three schools being built per year. Funding is currently being sought. During
the interim year 2016-17, funding is being sought for two constructions including a
secondary school near Lusenda refugee camp.
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Children in Crisis Annual Report 2016
We had aimed to facilitate an external impact study on the pilot phase of the
VSLAs. However, as the internal impact study was of such high quality, it became
unnecessary for an external impact study to be carried out.
An extension of our VSLA programme started in August 2015, targeting the three
pilot regions (Katobo, Marungu and Bijojo), and two new regions (Lemera and
Mukato). This equates to 50 new VSLAs being established.
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Children in Crisis Annual Report 2016
Liberia
Targets & achievements
The 2014/15 Ebola outbreak created new challenges for Liberias already fragile education system and
national economy. The effects are still very much felt today. Schools were closed for seven months and
students are still catching up. School fees have become an even bigger barrier to accessing education, with
many children losing their primary caregivers to the disease. Despite this challenging context, hand-in-hand
with our local partner FAWE-Liberia, we have delivered education, school building, vocational training and
WASH programmes in Rivercess one of the poorest counties in Liberia, itself ranked amongst the poorest
countries in the world.
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Children in Crisis Annual Report 2016
Sierra Leone
Targets & achievements
Sierra Leones 2014/15 Ebola outbreak halted the considerable progress being made in rebuilding an
education system and economy decimated by years of civil war. Thousands of children are registered as having
lost one or both of their parents/primary caregivers to the virus. Schools were closed for nine months and
after they reopened access to quality education suffered.
In the face of this extremely volatile situation, we redoubled our commitment to our work with local partners
FAWE-Sierra Leone and WESOFOD. Together, we have continued to ensure that those who might otherwise
be discriminated against because of poverty, geography, gender or disability are given the life-changing chance
of a primary school education.
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Womens empowerment
All people living in remote and conflict-affected and focus their life ambitions first and foremost
areas endure levels of anxiety and hardship on being a wife and a mother, preferably while
that we would find hard to imagine. Women still a teenager. They are disadvantaged by
bear the additional burden of discrimination, social norms that condone their subjugation
domination and abuse. But with rights and in all sorts of ways including through physical
opportunities, women can become powerful violence. They continue to be affected by the
leaders of positive change. horrific legacy of a decade-long conflict in
which sexual violence was used extensively as
Photographs of the women we meet show a weapon to humiliate, control and ruin lives.
strength and pride. But spend time with Those who are lucky enough to get a good
them and the rawness and injustice of gender education and find themselves among the small
inequality hits deep and hard. The human minority of the formally employed, are more
capability and drive to improve your own life often than not crippled by a lack of self-confidence
and those of your children is blocked daily by the and self-belief and a reflexive submissiveness to
humiliation, abuse and disrespect engendered male colleagues/men in general.
for being born female. Moved by what she was
seeing on the high plateau of South Kivu, Thea, Empowerment is something that comes from
Children in Crisis Programme Manager in DR within. It is not something we can give or do
Congo wrote: to the women we encounter. But women are
telling us what helps and are surprising us with
Women are disadvantaged by their lack of what they value the most. The capacity to save
education, by the paucity of life opportunities and manage money in the company of other
that come their way and by the deeply women has been strikingly popular and by global
patriarchal society that teaches them from the standards very effective, in both Afghanistan
moment they can talk to be humble and servile and DR Congo.
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Mushegereza VSLA has an all-female
management committee. More than 70%
of members in our 48 VSLAs are women.
Mike Tinney/Children in Crisis 2016
Our achievements in
2015/16:
330 women were provided with basic
literacy and numeracy training and are
now able to read and write.
100 women completed a six-month tailoring
course and 40 women were supported to
Karima attended tailoring classes at develop financial management skills and
one of our education centres in 2015. economic independence through savings
Since graduating she has established and loans groups.
a home-run business, tailoring for
women in her community.
Photo taken by: Peter Simms, Children in Crisis
Programme Manager.
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Photo taken by:
ResoluteSupportMedia
Protecting forgotten
children
It is remarkable and inspirational, how with affords and physically keeping them away from
support, care and protection, children who have recruitment into armed groups or radicalisation.
everything working against them can develop
the inner strength to succeed. A few lucky ones
may bubble up through poor-quality education Juvenile justice in
systems, chaotic government and society, and
thrive. But a life of loneliness, abandonment
Afghanistan
and abuse is a burden few children escape. In Afghanistan, children in conflict with the
law are a highly vulnerable, forgotten (ignored)
Children have a right to strong, safe and loving group. The juvenile justice system is under-
relationships. They have a right to live free from supported and often corrupt. Children face long
violence, exploitation, humiliation and abuse. periods of pre-trial detention without knowing
They have a right to be respected and protected their rights, or even what they have been
as children. At Children in Crisis we recognise accused of. Parents are often unable to help
these fundamental rights as being a critical as they havent been informed of their childs
complement to a childs quality education and arrest. Even moral crimes such as texting a child
unique development. of the opposite sex can plunge young boys into a
This rights-based approach can manifest itself terrifying adult-oriented justice system.
in many different ways within our work. It may Our juvenile justice project in Afghanistan is
mean working with teachers to stop corporal helping to develop a child-based and rights-based
punishment and to instead apply positive approach to juvenile justice. An expert team of
discipline. It can mean advocating within social workers and teachers work directly with
communities to stop child marriage or end child detained children, upholding their legal rights
labour. It may also involve providing parents with and delivering education, vocational training
literacy so that they can oversee their childrens and psychological support throughout their
homework and encourage success in school. It incarceration. Upon release, we support childrens
often means giving children a voice in decisions successful reintegration back into normal family
that affect their lives. life, a hugely important step being their
But it also means looking out for extremely re-enrolment into school. We work closely with
vulnerable, forgotten children those living with police, judges and prosecutors, delivering much
disability for example, or refugee children. For needed training on Afghanistans juvenile code
refugees, a school can be a safe place, giving and advocating for alternatives to detention.
them all of the protection that knowledge
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In 2015/16:
We are sector experts on juvenile justice in Afghanistan and are contributing to real and
significant change.
The legal aid that we piloted for vulnerable children in Ghazni province proved to be extremely
beneficial. The legal representation and advice from a juvenile lawyer lead to more proportionate
sentencing of children in conflict with the law
Providing coaching and mentoring to government social workers in the completion of social
inquiry reports (SIRs) improved the case-management of children in conflict with the law. We held
249 training sessions (91 in Kabul and 158 in Ghazni). 263 SIRs were completed (208 in Kabul and
45 in Ghazni). The SIRs help achieve more proportionate sentencing
798 children (100%) at Kabuls juvenile rehabilitation centre attended our vocational training and
academic classes comprising IT, Arts, English, Literacy and mixed (curriculum based) subjects
We supported families to maintain access
and communication with their children The juveniles who start at the JRC
at Kabuls juvenile rehabilitation centre
[juvenile rehabilitation centre] are not
and provided case-management support.
There was a nine- fold increase in family the same as the students who leave it.
contacts. 73 children were successfully They are not dangerous, and dont need
reintegrated with their families (40 in to be treated as such. Many of them are
Kabul and 32 in Ghazni). bright and talented individuals.
They leave with bright futures,
rather than blighted futures.
A Children in Crisis teacher
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Pascal, Ernest and Tresor fled
to DR Congo alone, without
their families. They now share
a shelter in Lusenda refugee
camp. We met them through
our project supporting refugee
secondary school education.
Mike Tinney/Children in Crisis 2016
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The drama clubs we run in Lusenda secondary
schools help young refugees make sense of
the situation they find themselves in.
Mike Tinney/Children in Crisis 2016
Long-lasting change comes from the patient building up of partnerships: between Children and Crisis,
local organisations, communities, families, and supporters. Or, between and within communities.
Partnership is about respect and about cooperating to achieve mutual interests. It is about give and take,
about sharing burdens and ups and downs. Sometimes we refer to this as giving a hand-up not a hand
out. But whatever we call it, nothing happens and nothing lasts if people dont work together.
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Women gather foundation stones for their
childrens new school, Bibangwa, DR Congo.
Photo taken by: Marcel Rukema, EMI
(Children in Crisis partner organisation)
In the construction of Plateau schools, Children in Crisis and EMI organise the whole process, bring
architects, train teachers, and find generous donor partners to fund the school. But the communities
contribute and sacrifice a great deal too providing labour, local materials, and teams to carry girders
and cement, often for hours across steep roadless mountains. Our schools must also reflect a partnership
between sometimes conflicting ethnic groups to build and manage a school together, and to include
everyone, particularly girls and disadvantaged households. The final link is to draw the government into
the partnership, which can mean travelling hundreds of miles to get the schools officially recognised and
teachers paid. Partnership therefore is the key to peace and long-lasting change.
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Francoise Narakundo and James Nsabinkunda, parents
of Kitembe children and members of the committee
which helped build their new school.
Photo taken by: Thea Lacey, Children in Crisis Programme Manager
Kitembe Primary School opened in early 2016. People from four different tribes were
Francoise Narakundo and James Nsabinkunda represented on the committee and we had to
are both parents of children at the school and learn how to work with one another, something
were members of the Community that we are not used to doing. But because
Construction Committee. we were all interested in the common goal
of a better school for our children, we found
James (whos now president of Kitembes PTA) ways to overcome our differences. I think
remembers how happy he was when he heard relations between the different tribes in this
that Children in Crisi and EMI had proposed to community have grown stronger as a result of
rebuild the school: this experience.
The old school was not a good building. The James is confident that the community and
classrooms were very narrow. It was very cold its PTA will take very good care of the new
inside because of the wind, and rain came school buildings:
in through the roof. The walls were so thin
you could hear everything going on in the We have built this school together so we all
classroom next door which made it difficult to have an interest in making sure it stays in the
concentrate. state it is in now.
The Community Construction Committee had Both James and Francoise would be very keen to
thirteen members, nine men and four women. volunteer in similar community projects in the
According to Francoise, being part of the future. Francoise said, It would be a joy to be
committee has been a valuable experience, but part of a committee like this again.
also came with challenges:
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A game of hide and seek outside
Kitembes new school.
Photo taken by: Sarah Rowse, Children
in Crisis Director of Programmes
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Students under the care of our
Sierra Leonean partners WESOFOD
on their way to school.
Photo taken by: Koy Thomson,
Children in Crisis CEO
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Inclusive is quality education
Children have a right to be educated whatever their abilities and background. An inclusive education
embraces all children, particularly those who are in danger of being left out and marginalised. As an
approach, inclusive education seeks to tackle the barriers to education and support all children to
learn whether the reasons for exclusion are due to ability, disability, gender, race, ethnicity, religion or
socio-economic status. At Children in Crisis, we have had many years of experience training unqualified
and untrained teachers in child-focused learning techniques, positive discipline and issues of exclusion.
Even when the classroom appears packed, we ask who is not here, who is being left out? Increasingly
our focus is on the particular educational barriers faced by disabled children.
For us, a school that is inclusive is by definition an effective school. An inclusive school encourages
families and the community to support all children to thrive in school and challenges the prejudices and
beliefs that keep some children out. It makes the changes necessary in the school infrastructure. It has
teachers with the capability to support children as individuals, no matter what their level. This is as much
a definition of quality as ensuring that pupils can read, write and pass exams.
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Our Sierra Leonean partners WESOFOD have
an inclusion strategy which tackles both
physical and social barriers to education.
Photo taken by: Koy Thomson, Children in Crisis CEO
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My name is Mary
I am a girl.
I am 13 years old.
I have a disability.
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Mary's old home.
Below: Mary and her WESOFOD family outside
their new home, about to head off to school.
Photos taken by: Koy Thomson, Children in Crisis CEO
There were just three bedrooms in this home, water, a toilet right in my room, a bed of my
one for girls, one for boys and one for ownall of these things really make me happy.
the caregiver.
Ebola affected me so much. I lost a whole year of
The new RRC (Residential and Rehabilitation school. It brought lots of fear in me. Others are
Centre) is going to be the best home for us. Look also afraid of me. I do not get the support and
at where we were living. Every morning I had to friendship I used to get. Even in school we are
fetch water, we waited turns to use the toilet, the not allowed to play as we used to. We live close
place was cold, there wasnt not enough space to the Treatment Centre. Every day people were
to play. I like everything about the RRC, the study brought in and taken out for burial. It is sad to
room, the physio services, dining room, running see people die like that.
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Girls taking part in an accelerated
learning class in Kabul.
Photo taken by: Anne Leinonen,
Children in Crisis volunteer
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Liberia
War in Liberia robbed girls of their education.
Now as young women, their second chance is
an education to help them earn a living and
increase their social status. Women in rural
communities are extremely vulnerable and
face high levels of discrimination: gender-
based violence, female genital mutilation,
high illiteracy rates compared to their male
counterparts and high maternal mortality rates.
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Palwasha with her classmates, teacher
and Children in Crisis Afghanistan staff.
Photos taken by: Peter Simms,
Children in Crisis Programme Manager
My name is Palwasha
I am 10 years old and I live with my two brothers and three sisters in Kabul. Im the second one in from
the right in this photo. I used to live in Kapisa province, but we had to leave six months ago when the
Taliban came. I watched them burn down our home. There was nothing left. When we left Kapisa my
father had to move to Iran to find work. He used to fix televisions but I dont know what he does now.
I used to go to school when we lived in Kapisa, but not for long. When the Taliban came back they
closed all of the schools down. Since we moved to Kabul I stay at home and clean the dishes.
Palwasha is now a student at one of our emergency education centres in Kabul, where shes receiving
a free, quality, primary education which she will complete in just three years.
Peter Simms, our Programme Manager who interviewed Palwasha was struck by her spirit, saying that
she has genuine resilience. She steered their conversation, telling Pete to ask your question!
when he was apologetically explaining that it was okay if she didnt want to answer any of them.
Now that Palwashas studying shes turned her eyes to the future. She dreams of being a police officer
to bring safety to the people, but did express one worry that she wont get much holiday leave!
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Children in Crisis Annual Report 2016
We will continue to seek out the hidden children that other organisations are not responding to,
and combine education, child protection and development, dignity-building, and income generation
interventions relevant to local contexts.
We know our capability is such that with additional funding and some smart changes in our approaches,
models and partnerships we can do so much more. We will build on monitoring, evaluation and learning
in Sierra Leone and Liberia and set new directions in both of these countries, with the need to reach
forgotten or hidden children at the front of our minds. We hope to respond to a growing need amongst
secondary school age children in the Lusenda refugee camps (DR Congo), and displaced people in
Afghanistan through our European Humanitarian partnership (ECHO). In Afghanistan a currently strong
and impactful programme will need to secure significant multi-year funding, if we are to continue our
success in juvenile justice and accelerated learning for displaced peoples. To this end we will invest in
new trust and foundation markets in the US and the Middle East. We will continue to develop a more
satisfying and rewarding relationship for our long term donors and attract new donors.
To back this all up we will be strengthening management controls, investing in growth and change,
improving our governance and building the Board of Trustees
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Children in Crisis Annual Report 2016
Fundraising review
Children in Crisis has a diversified income base. We raise money in many different ways from many
different sources. This helps safeguard our work because our overall income is less at risk if one income
source fails. We aim to be more cost effective by finding ways to simplify our fundraising programme.
To do this we must consistently invest in income sources that are showing potential and which can be
maintained efficiently.
This year we have been laying the foundations to raise more unrestricted income money that is not
tied to one particular project. This will allow us to be much more flexible in our funding more able to
make quick decisions and to respond to rapidly changing situations.
There were no one-off major fundraising events in 2016 (2015, 0.9m unrestricted income generated)
with the result that events costs were only 0.1m in 2016 (2015, 0.25m). This has led to a reduction
in our fundraising costs in 2016 by 9%. We will continue to reduce costs and improve fundraising ratios
over the next three years. We established and registered International CiC Foundation in the USA in
2016. Major donor costs are expected to reduce in 2016/17 due to the appointment of in-house staff
rather than using consultants. The payback period for our investment on in-house major donor staff will
come a little later than previously envisaged but we have started seeing the benefits.
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F inancial review
Financial highlights
Events income, 8%
Other Programmes, 1%
Afghanistan, 21%
DRC, 26%
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Financial review
Children in Crisis operates on a three-year business cycle which is aligned to our overseas development
projects. Statutory funding and our fundraising events calendar is also cyclical. Both of these factors
mean that our year-on-year finances can vary significantly depending on where we are in the cycle.
For the financial year ending 31st March 2016, we are pleased to report a surplus of 52k (2015: 679k)
which was in line with our budgets. Income for the year was 2.6m, reflecting a strong performance
with 0.9m from Trusts and Foundations, 0.8m from Individual Donations and 0.6m from Contracts
(a significant contract was received just before the year-end to support the continuation of our work in
DR Congo). Income has decreased, as planned, by 15% from 2014/15 as the result of the one-off special
event held in October 2015.
Expenditure for the year was 2.6m in comparison to 2.4m in 2015 reflecting an increased spend
within programmes as our work in Liberia and Sierra Leone got back on track following the Ebola crisis.
Fundraising costs decreased by 0.05m as a result of there not being a large one-off fundraising event in
2015/16.
The balance sheet as at year-end was strong with net assets of 1.8m, marginally higher than the
previous year. Cash balances remained healthy at 1.5m and debtors were significantly higher at 0.3m
mainly due to outstanding Comic Relief payments which were settled in April 2016.
As a result of future funding for programmes being received, the restricted reserves are particularly high
at year-end at 0.9m in comparison to 0.7m in the previous year. Free reserves have decreased to
0.5m, this remains within the free reserves policy. Of the 0.4m funds designated in 2015, only 10k
was spent due to there being a strategic growth plan over the coming two years which requires these
designated funds being used in full.
Investments
Children in Crisis may invest amounts not immediately required for the above objectives in such
investments, securities or property as may be thought fit, subject nevertheless to such conditions and
such consents as may for the time being be imposed or required by law.
The Trustees investment policy is to hold cash reserves in special reserve deposits so as to safeguard the
capital value of the reserves and ensure we are able to meet our obligations as they fall due. At year-end,
1.0m was in a 32 days notice deposit account in order to maximise bank interest earned.
We also hold 8k worth of shares in Glaxosmithkline and Pearson that were donated to us.
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Reserves policy
The Trustees review the reserves policy every year, and during 2015/16 the Trustees adopted a risk
based approach to setting the reserves policy. This means that the Trustees have looked at other factors
other than core costs in determining the level of reserves and also made the policy more transparent in
the annual accounts. The previous reserve levels were set based on the charity aiming for adequate free
reserves to fund between three to six months of core costs. The newly-adopted policy specifies that the
range within which the reserves should be based on our business risk profile.
Free reserves are held to mitigate risks resulting from unexpected drops in income, or unexpected short-
term increases in expenditure. For Children in Crisis this includes:
Ensuring continuity in the event of a large variation in income
To spend in Board-approved emergencies
Bridge cash flow problems (programme funding inflows, particularly if we secure large EU grants in
the future)
Foreign exchange risk (sometimes we receive funding in dollars and euros or spend in dollars)
To cover specific liabilities and unforeseen contingencies.
Income streams were categorised as low, medium or high risk to calculate the reserve level required
for covering the event of a risk materialising. Working capital requirement was also factored into the
calculation. This risk-based approach determined that our free reserves should be between 367k and
816k, with the large parameter reflecting the high income volatility that we have historically been
exposed to. Year-end free reserves are 0.53m which is comfortably within our reserve policy range. Free
reserve levels are budgeted to decrease in 2016/17 during the development period of our new strategy
although free reserves will be set to grow over the outer years of our strategy as the charity grows.
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Risk taking is encouraged but In effect our values and operating principles encourage risk
well managed taking to achieve our objectives. But the purpose of the risk
policy is to ensure that risks are encouraged within the context
of rigorous risk management procedures.
Risk management is embedded Risk management is not an isolated process but is embedded
in day to day practice in our day-to-day policies and processes. This gives staff and
trustees the tools and processes to manage risk.
Trustees set the risk appetite Trustees agree the tone and culture of risk appetite within the
organisation, and determine what types and/or levels of risk
are acceptable or not.
Trustees delegate The Trustees delegate the implementation of the Risk Policy
implementation to management and the management of the risk methodology to the Chief
Executive and the Senior Management Team. The methodology
engages trustees throughout the process, so that trustees
can make the required risk statement with reasonable
confidence. Trustees assess and review the effectiveness of the
methodology to identify, evaluate, monitor and manage risk.
The Chief Executive must refer any decisions affecting Children
in Crisiss risk exposure or profile to the Board of Trustees.
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The risks for 2016-17 were agreed in a comprehensive Risk Register which covers all areas of governance,
administration, management and programmes. The main risks are given below:
Delays in setting new Delayed evaluations of our We will treat this risk as
directions in Sierra education programmes in West an opportunity to develop
Leone and Liberia Africa due to Ebola may result in programmes that respond to
delays in developing and funding highly disadvantaged groups being
new programmes and hence missed by others, and approaches
programme shrinkage. that require our expertise.
Board development The Board of Trustees plays such We will carry out a number of
delayed an active role within Children governance reviews, and prioritise
in Crisis that a risk is failing to Board development.
continually nurture, develop and
strengthen the Board.
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Structure, governance
and management
Structure
Children in Crisis is a company limited by guarantee (no. 2815817), governed by its Memorandum and
Articles of Association dated 30th April 1993 and not having share capital. It registered as a charity with
the Charity Commission on 30th April 1993 (no. 1020488). Members of the Board of Trustees are the
Directors of the company.
Board of Trustees
The Board of Trustees is responsible for the overall governance of Children in Crisis. As set out in
the Memorandum and Articles, trustees retire from office at each Annual General Meeting and are
automatically eligible for re-election. An election is held with trustees required to receive a simple
majority of those present to be elected. Trustees regularly review the skills and experience needed
within the Board, and new trustees are actively searched for and nominated by members of the Board Of
Trustees. New trustees are interviewed by a panel and appointed by a resolution taken by the Trustees.
Trustees generally serve a maximum of two three-year terms. Deborah Helsby completed her term this
year and stood down. Deborah has made a long-lasting and significant contribution to Children in Crisis
over the years, for which the Trustees are deeply appreciative.
When new trustees are appointed they meet staff and are given an introduction to the work of the
Charity and provided with the information they need to fulfil their roles. This includes information about
the role of trustees, governance of the charity, current strategies and plans, the financial position and
charity law. Trustees visit Children in Crisiss overseas work at their own expense.
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Organisation
The Board of Trustees administers the charity. The Board meets five to six times a year. In addition
the Board delegates certain administrative powers to three sub-committees attended by senior staff
and which can be strengthened by expert co-optees. These committees are: the Finance and Audit
Committee, the Fundraising Committee, and the Programme Committee. Because our work takes
place within frequently insecure contexts, an additional committee, the Crisis Management Committee
convenes when required. All committees report to the full Board for ratification of their decisions. This
year the Trustees agreed a new five-year Strategy, a Reserves Policy and a Risk Policy.
The Chief Executive, assisted by three Directors is appointed by the Trustees to manage the day to day
operations of the charity, reporting on the performance against the strategic plans approved by the
Trustees. A strong partnership between trustees and staff is encouraged with trustees deeply involved in
strategic discussions and reviews, and contributing skills directly to operations where appropriate.
Children in Crisis work closely with Children in Crisis Italy in implementing programmes. The Chief
Executive of Children in Crisis is on the Board of Trustees of Children in Crisis Italy. Children in Crisis
Italy raise funds for some of Children in Crisis overseas programmes and implement a drugs and alcohol
education programme in Italy.
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Auditors
Kingston Smith LLP have indicated their willingness to continue in office and in accordance with the
provisions of the Companies Act, it is proposed that they be re-appointed auditors for the ensuing year.
The Trustees report has been prepared in accordance with the special provision of part 15 of the
Companies Act 2006 relating to smaller entities.
Anthony Wallersteiner
Chairman
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Expenditure on
Raising Funds 5 642,371 - 642,371 708,362
Charitable activities 6-8 506,623 1,422,788 1,929,411 1,694,332
Total 1,148,994 1,422,788 2,571,782 2,402,694
Reconciliation of funds
Total funds brought forward 1,079,225 686,420 1,765,645 1,086,917
Total funds carried forward 936,107 881,817 1,817,924 1,765,645
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Current Assets
Debtors 13 354,257 146,473
Cash at bank and in hand 1,507,540 1,687,079
1,861,797 1,833,552
Funds
Restricted funds 16 881,817 686,420
Unrestricted funds
Designated funds 389,974 400,000
Funds represented by functional
fixed assets 20,170 1,226
Free reserves 525,963 677,999
Total Unrestricted funds 936,107 1,079,225
Capital investment
Purchase of tangible fixed assets (25,862) (1,283)
Increase/(decrease) in cash at bank and on hand (179,539) 878,073
Cash balance at beginning of the year 1,687,079 809,006
Cash balance at end of the year 1,507,540 1,687,079
Reconciliation of net incoming resources to net cash inflow from charitable activities
Net incoming/(outgoing) resources 52,279 678,728
Bank interest and investment income (7,977) (3,306)
Investment (Loss)/ Gain 2,343 (1,087)
Depreciation 6,918 450
(Increase)/decrease in debtors (207,784) 187,768
Increase/(decrease) in creditors (7,432) 13,497
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Accounting Policies
a) Basis of preparation
These financial statements are prepared on a going concern basis, under the historical cost
convention.
The financial statements have been prepared in accordance with the Financial Reporting Standard
applicable in the UK and Republic of Ireland (FRS 102). The Charitable Company is a public benefit
entity for the purposes of FRS 102 and therefore the Charity also prepared its financial statements
in accordance with the Statement of Recommended Practice applicable to charities preparing their
accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of
Ireland (The FRS 102 Charities SORP), the Companies Act 2006, and the Charities Act 2011.
FRS 102 has been adopted for the first time when preparing these financial statements. The transition
date to FRS 102 was 1 April 2014 and the last financial statements prepared under the previous
financial reporting framework were prepared for the year ended 31 March 2015. An explanation of
how the transition has affected the reported financial position and financial performance is provided
in note 1 to the financial statements.
The financial statements are prepared in sterling, which is the functional currency of the charity.
Monetary amounts in these financial statements are rounded to the neared one thousand pounds.
The principal accounting policies adopted in the preparation of the financial statements are set out
below.
b) Going Concern
The Trustees have assessed whether the use of the going concern basis is appropriate and have
considered possible events or conditions that might cast significant doubt on the ability of the charity
to continue as a going concern. The Trustees have made this assessment for a period of at least one
year from the date of approval of the financial statements. In particular the Trustees have considered
the charitys forecasts and projections and have taken account of pressures on donation and
investment income. After making enquiries the Trustees have concluded that there is a reasonable
expectation that the charity has adequate resources to continue in operational existence for the
foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its
financial statements.
c) Income
All income is recognised when there is entitlement to the funds, the receipt is probable and the
amount can be measured reliably.
Legacies are recognised following probate and once there is sufficient evidence that receipt is
probable and the amount of the legacy receivable can be measured reliably. Where entitlement to a
legacy exits but there is uncertainty as to its receipt or the amount receivable, details are disclosed as
a contingent asset until the criteria for income recognition are met.
d) Expenditure
Liabilities are recognised once there is a legal or constructive obligation to transfer economic benefit
to a third party, it is probable that a transfer of economic benefits will be required in settlement and
the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals
basis and has been classified under headings that aggregate all costs related to the category.
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g) Charitable activities
Charitable activities are for improving the lives of children and young people in situations of conflict
and poverty. We do this by working to support childrens education, learning and protection. Costs of
charitable activities include grants payable and other costs directly associated with teacher training,
school building, juvenile justice and an apportionment of overhead, support and governance costs.
i) Depreciation
Tangible fixed assets costing more than 500 are capitalised. Depreciation is provided on tangible
fixed assets at rates calculated to write off the cost on a straight line basis over their expected useful
lives as follows:
Furniture and office equipment: Over four years
Assets for use in overseas operational projects are not capitalised but expensed in the period of
acquisition.
j) Investments
Investments are shown in the balance sheet at their market value. The market value of investments is
determined by reference to stock exchange prices at the balance sheet date.
k) Funds
Unrestricted funds are funds which can be used in accordance with the charitable objects at the
discretion of the Trustees. Within unrestricted funds are free reserves which are funds not earmarked
for specific activities, designated funds which are funds earmarked by trustees for essential future
spending and fixed asset funds which are funds represented by functional fixed assets.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by
donors or which have been raised by the charity for particular purposes. They are to be spent in their
respective geographical locations and project activity. The aim and use of each fund is set out in the
notes to the financial statements.
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l) Gifts in kind
Gifts in kind donated to the charity for distribution are included in income only when distributed.
Items are valued by the donor at the time of the gift
m) Foreign currency
Transactions denominated in foreign currencies are translated into sterling at the rates of exchange
ruling at the dates of these transactions. Monetary assets and liabilities are denominated in foreign
currencies at the balance sheet date and are translated at the rates ruling at that date. All exchange
differences are taken to the Statement of Financial Activities.
n) Leased assets
Where assets are financed by leasing agreements that give rights approximating to ownership
('finance leases'), the assets are treated as if they had been purchased outright. The amount
capitalised is the present value of the minimum lease payments payable during the lease term. The
corresponding leasing commitments are shown as amounts payable to the lessor. Depreciation on the
relevant assets is charged to the profit and loss account.
Lease payments are analysed between capital and interest components so that the interest element
of the payment is charged to the profit and loss account over the period of the lease and represents
a constant proportion of the balance of capital repayments outstanding. The capital part reduces the
amounts payable to the lessor.
All other leases are treated as operating leases. Their annual rentals are charged to the profit and loss
account on a straight line basis over the term of the lease.
o) Pension costs
Contributions to the company's defined contribution pension scheme are charged to the profit and
loss account in the year in which they become payable.
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B) Investment gain/loss
ii) Investment gains and losses are now taken through profit and loss and shown above the net income/
Expenditure heading in the SOFA.
2, Income
Unrestricted Restricted Total Total
Funds Funds 2016 2015
Donations and Legacies
Legacies 94,625 94,625 34,476
Donations 658,064 109,623 767,687 775,121
Grants 26,676 877,168 903,844 673,844
779,365 986,791 1,766,156 1,483,441
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4, Other Income
Unrestricted Restricted Total Total
Funds Funds 2016 2015
Event income 220,877 1,950 222,827 1,165,214
220,877 1,950 222,827 1,165,214
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9, Auditors' Remuneration
Total Total
2016 2015
Statutory UK audit 10,000 9,540
Other (Payroll) 3,168 3,658
13,168 13,198
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Depreciation
at 1 April 46,492 46,492
Charge for the year 6,918 6,918
Disposals (7,650) (7,650)
at 31 March 45,760 45,760
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12, Investments
31 March 31 March
2016 2015
Cost at 1 April 10,254 9,167
Gain/(loss) in the period (2,343) 1,087
Market value at 31 March 7,911 10,254
31 March 31 March
2016 2015
GlaxoSmithKline 5,083 5,565
Pearson 2,826 4,687
7,909 10,252
13, Debtors
31 March 31 March
2016 2015
Trade debtors 316,411 118,878
Prepayments 37,846 27,595
354,257 146,473
14, Creditors
31 March 31 March
2016 2015
Trade creditors 23,393 34,942
Other taxation and social security 18,850 23,644
Accruals and deferred income 25,554 20,801
67,797 79,387
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Afghanistan
Income to fund the Afghanistan programme was received from Unicef, the USA Embassy, trusts
and donations.
Burundi
Income to fund the Burundi programme was received from JOAC, Rogers Stirk Harbour and Partners
charitable foundation. Due to the ongoing political issues in Burundi, JOAC who is funding projects in
both Burundi and DR Congo agreed to 20,000 being transferred from Burundi to DR Congo projects.
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DR Congo
Income to fund the DR Congo programme was received from Comic Relief, The Medicor Foundation, The
Bliss Family charity, The Waterloo Foundation, trusts and donations.
Liberia
Income to fund the Liberia programme was received from Comic Relief, JOAC, Medicor Foundation,
Planet Wheeler Foundation, trusts and donations.
Sierra Leone
Funds were received from the Department for International Development (DFID), Vitol, trusts and
donations. Sierra Leone UKAM project is ongoing and the deficit balance is only a timing issue
Sri Lanka
Income to fund the Sri Lanka programme was received from a school donation.
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Afghanistan
Income to fund the Afghanistan programme was received from Unicef, the USA Embassy, trusts and
donations.
Burundi
Income to fund the Burundi programme was received from Guernsey Overseas Aid Commission, Thames
Wharf Charity Ltd and donations.
DR Congo
Income to fund the DR Congo programme was received from Comic Relief, The Medicor Foundation, The
Waterloo Foundation, trusts and donations.
Liberia
Income to fund the Liberia programme was received from Comic Relief, Vitol, Hyrax Resourcing, trusts
and donations.
Sierra Leone
Funds were received from the Department for International Development (DFID), trusts and donations.
Sri Lanka
Income to fund the Sri Lanka programme was received from a school donation.
There was no designated funds expenditure in 2015. Of the 400k funds designated in 2015, only 10k
was spent due to there being a strategic growth plan over the coming two years which requires these
designated funds being used in full.
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Total Funds
2015
Unrestricted Designated Restricted
Tangible Fixed Assets 1,226 1,226
Investments 10,254 10,254
Net Current Assets 667,745 400,000 686,420 1,754,165
679,225 400,000 686,420 1,765,645
2016 2015
Operating leases:
One year 52,800 51,600
Two to five years 128,400
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