... the Institute needs to gain financial stability ...There and other places, the financial situation of USNI is constantly brought up by those who want to change the Mission Statement.
How does that merge with the following statement from the State of the Institute Letter,
During 2011, we will continue to “live within our means” and to keep our professional staff together, engaged and productive. Our 2011 objective is to continue the two-year trend of strong financial and operational performance. Only in this manner, can we protect our “national treasure” and see it safely through this economic downturn.
With audited financial documents you have fiduciary obligations - a land of laws and regulations. People have to be a lot more careful and accurate in what they say than they do elsewhere - in the financial world people can lose their licenses, livelihood, and perchance go to jail if they are not accurate.
That reality got my puzzler puzzl'n and I decided to put my education to work. Let's go play a bit on the surface of the numbers.
If you are a member, click here to get the Consolidated Financial Statements. If you are not a member, shame on you - then join first, then click.
If the Mission Statement change to make USNI an advocacy organization is so needed as a result of dire financial conditions as presently constituted, then it will show up in the financial statements. No reason to go line-by-line, but let's focus in the big picture and see if there is anything that needs to be drilled down on to find a problem.
Let's go to the numbers (click for larger image if needed).
I spent a few hours picking things apart in the Consolidated Statement of Cash Flows and other meatier parts, but then I realized who is reading this. No offense - but I know this is not a business, economics, or accounting blog. I just lost half my readers by now anyway - so I won't punish you. There is a story there - but the big pixels are fine. I will just stick to the above and point a few things out for you.
- Accounts receivable decreased by 36% (yea, better collections); not a sign of financial instability.
One final note on the Change in the Mission Statement. The fact remains that when these Consolidated Financial Statements were written, not only had the Mission Statement not been changed, it hadn't even been voted on - so why is this at end of the letter on the State of the Institute 2010?
With your continued strong support, we want the Institute to remain “the independent forum of the Sea Services advocating the necessity of global sea power for national security and economic prosperity.” The Sea Services and the nation need to hear our and your voices.Remain? Dude - it hadn't even gotten there yet. Read the Mission Statement. Where is that quote coming from? Google it. Only one place will it be found - that letter. Well, two places now, natch.