2015 AMCHAM Treasurer’s Report
On page 30 you will find the Chamber’s financial statements. The statements were prepared by KPMG with the following unqualified opinion: “In our opinion the financial statements present fairly, in all material respects, the financial position of the Amer
INCOME STATEMENT SUMMARY
The Chamber’s financial results were in line with expectations but show negative trends related to Thailand- based membership.
Expenses were slightly below last year mainly due to a reduced contribution to the AMCHAM Thailand Charitable Foundation ( Baht 5.5 million in 2014 vs. Baht 4.8 million in 2015).
The Chamber showed an overall surplus of Baht 2.2 million. However, 1.8 million of this is owed to the Myanmar Chapter. 2014 showed a deficit of just over Baht 800K , however, that was a result of the conscious decision of the 2014 Board to donate to the AMCHAM Thailand Charitable Foundation Baht 5.5 million, the same as in 2013, due to the Chamber’s healthy cash position.
The Chamber’s Corporate Partnership program remains healthy and grew from 28 partners last year to 30 partners this year – an increase of Baht 500,000 ( Baht 9,890,00 to 10,390,000). Corporate Partnership revenue is allocated at the beginning of the year to the various activities of sponsorship including: membership, publications, sports events, Governors Ball, Independence Day picnic and website.
Overall, revenue was up by approximately Baht 2.7 million over 2014 to approximately 35 million. However, just about 5 million of this revenue can be attributed to membership and activities in Lao PDR and Myanmar ( Baht 300K. and Baht 4.7 million, respectively). In 2014, approximately Baht 3.5 million was attributed to the Lao and Myanmar chapters
Membership dues, entrance associate member fees:
As a whole, membership dues showed a healthy 10% increase from last year. However, this growth can be fully attributed to the membership growth in Myanmar and Lao PDR.
For Thailand, membership revenue decreased by approximately 500K; this is the first time in 14 years that a decrease in membership has occurred. Membership decreased from 728 companies in 2014 to 685 companies in 2105. Myanmar membership increased from 105 to 128 companies in the same period and the Lao Chapter grew from 8 to 33 companies. ( see below).
AMCHAM COMPANY MEMBER 2011- 2015
Subscriptions and advertisements were up 13%. This is due to the strong Corporate Partnership program which supports over 75% of the T- AB Magazine and Membership Directory promotions. There was also strong interest in electronic direct mail ( eblasts) during 2015.
Interest Income was down about 20% due to declining interest rates.
Other income includes all Committee meetings, programs and special events, such as USA Fair. Other income was up just slightly in 2015. We did not hold a USA Fair in 2014. Expenses decreased slightly from 2014 primarily due to a reduced contribution to the AMCHAM Thailand Charitable Foundation.
AMCHAM Thailand Charitable Foundation Gifts:
Baht 1.4 million is attributed to AMCHAM social events where proceeds go directly to the Foundation ( social networking nights, sports events, I- day picnic) and a Baht 4.8 million donation made by the Chamber in late 2015. In 2014, the Chamber donated Baht 5.5 million to the Foundation and social events proceeds amounted to Baht 1.4 million.
Entertainment and meetings: Up slightly due to an increase in number of events and participation at events. ( Reflected also in the increased expense for coupon redemptions).
Transportation and Travel include Myanmar and Phuket travel expenses, APCAC- related travel expenses and miscel- Dues and Subscriptions: Includes membership in Board of Trade, APCAC and U. S. Chamber of Commerce. In 2015 APCAC admitted the Myanmar and Lao Chapters as associate members resulting in an additional Baht 18,000 expense.
Other Expenses include promotional items ( flag pins, branded cups, tote bags, etc), bank charges, provision for bad debt and the travel stipend paid to interns ( Baht 300 per day). This amount was down in 2015.
BALANCE SHEET SUMMARY
The Chamber is in a very healthy cash position with over Baht 40 million in cash. The only significant liability is for long- term compensation for staff which is being accrued.
Increase in Current Assets is offset by the decrease in Non- Current Assets as more cash was held in short term deposits vs. long term due to low interest rate.
Accounts Receivable: Baht 505,705 due from 2015 logo inclusion, T- AB, Membership Directory and no- show fees. It is expected that the majority will be collected.
Unearned Income: Includes 2016 membership dues and Corporate Partnership payments received in 2015.
total amount of Baht 5.5 million ( 2014: 51 donations, total Baht 3.3 million).
During 2015 Baht 4.3 million ( 2014: Baht 8.6 million) was expended by the Foundation for 27 Adopt- a- School projects ( 2014: 54 projects) which were funded by: ( i) donations Baht 5.5 million ( 2014: Baht 6.8 million) received by the Foundation, and ( ii) Foundation matching grants of Baht 1.2 million ( 2014: Baht 1.8 million).
Adopt- a- School projects for schools in Thailand in 2015 include construction and renovation of school buildings, including, classrooms, toilets and canteens, and the funding of teacher fellowships, including teacher fellowship training program, and provision of library books, water tanks, playgrounds, water filtration systems, school furniture and equipment, and school lunch program farming equipment.