Celebrating Twenty Years Fonkoze Family 2014 Annual Report
Contents 1
Celebrating Twenty Years
2
Our Vision and Mission
3
The Fonkoze Family of Organizations
OUR FINANCIAL SERVICES 4-5
Our Financial Services
OUR DEVELOPMENT SERVICES 6-7
Our Development Services
CLIENT AND PROGRAM PROFILES 8
Madeleine Desir, Chemen Lavi Miyò Graduate
9
Tessie Hyppolite, Solidarity Client
10
Loudena Hilaire, Business Development Client
11
Julio Doris, Zafèn Client
12
Adanthe Michel, Boutik Sante Owner
13
Daboune Bigot, Alfa Bon Monitor
OUR CLIENTS’ PROGRESS 14-15 2014 Social Performance Results
FINANCIAL INFORMATION 16
Our Financial Results
17
Fonkoze S.A. and Subsidiary Sèvis Finansye Fonkoze, S.A.
18
Fondasyon Kole Zepòl
19
Fonkoze USA
DONORS AND INVESTORS 20
Thank you
21
Ways to get involved: Zanmi Fonkoze
22
Ways to get involved: Insight Trips
23
Ways to get involved: Partnerships
24
Looking Ahead
LEADERSHIP 25
2014 Leadership
ABOUT THE COVER Vierge Joseph, a Solidarity Client, holds up one of the eggs she is selling in her marketplace.
FROM FONKOZE FOUNDER FATHER JOSEPH PHILIPPE
Celebrating Twenty Years
T
wenty years. As a priest, I suppose that you expect me to be a humble and modest man. But I can’t easily hide my pleasure when I see all that our clients, staff, and supporters have accomplished in the past two decades. From a simple office housing a few desks and a handful of volunteers, we have built the leading microfinance institution in Haiti, providing services to clients in every corner of the country. From the tiny seed that was planted 20 years ago, we are bearing much fruit, thanks to supporters like you, who have stood with us—kole zepòl (shoulder to shoulder)—throughout this journey. Our Fonkoze family of organizations—Sèvis Finansye Fonkoze, S.A. (SFF), Fondasyon Kole Zepòl (the Foundation), and Fonkoze USA—is often so busy serving our clients that we forget to step back and look at how far we’ve come. This 2014 Annual Report is a celebration of all we have achieved together this year and over the past 20 years. Chapo ba, zanmi ‘m! (Hats off, my friends!) While the Fonkoze family, collectively, celebrates 20 years, our financial services, SFF, celebrates its tenth anniversary. Today, SFF serves over 200,000 clients with savings, loans, money transfer, and other vital financial services through its network of 45 branches and 2,000 credit centers throughout the country. In 2014, SFF raised new funds and made dramatic strides toward financial sustainability, with a goal of becoming a profitable institution by 2016. We continued to reach out to some of Haiti’s most vulnerable, serving 9,225 new clients through our introductory microcredit program, Ti Kredi, thanks to generous partnerships with the W.K. Kellogg Foundation and Whole Planet Foundation. The Foundation continues its innovation of the development services we provide. In this report, you will read about a new partnership with Kiva as well as a new microfranchising program, “Boutik Sante” (Community Health Store). Fonkoze USA is deepening relationships with supporters and friends both inside and outside of Haiti. After all, it has been you, our faithful supporters, who have walked this path with us for twenty years. Fonkoze USA’s goal is to be the best partner to its Haitian partners, SFF, and the Foundation. With this message, I thank the entire Fonkoze community—clients, staff, friends, investors, and donors—for 20 years of commitment to ending poverty in Haiti. May The Lord bless us all and strengthen us in this struggle to empower economically the organized poor in Haiti.
From a simple office housing a few desks and a handful of volunteers, we have built the leading microfinance institution in Haiti, providing services to clients in every corner of the country.
FONKOZE FAMILY 2014 ANNUAL REPORT
1
Our Vision
Our Mission
Fonkoze’s vision is a Haiti where people, standing together, shoulder to shoulder, have pulled themselves out of poverty.
Fonkoze is a family of organizations that work together to provide the financial and non-financial services to empower Haitians—primarily women—to lift their families out of poverty.
2
FONKOZE FAMILY 2014 ANNUAL REPORT
The Fonkoze Family of Organizations
F
ounded in 1994, Fonkoze started as a grassroots movement inspired by Fr. Joseph Philippe and other leaders in Haiti with the idea that the rural poor needed a “bank they could call their own.” With a focus on rural women, Fonkoze provided financial and development services to people who had never had access to them before. Having their own “bank” meant they might begin to participate in the economic development of their own country. But providing a “bank” that taught them to read and write is what
distinguished Fonkoze early on. Now, 20 years later, that founding vision has become a reality through the collaboration of Fonkoze Family’s three institutions: Fonkoze, S.A. and subsidiary, Sèvis Finansye Fonkoze, S.A. (SFF), is the Haitian financial institution that grew out of Fonkoze’s founding vision. It provides all of Fonkoze’s financial services, including loans, savings accounts, money transfers, and currency exchange, among others. SFF connects with almost all of its clients through a nationwide network of 45 branch offices, that reach over 2,000 Credit Centers, that include 14,833 Solidarity Groups, that are composed of 58,989 clients. This network is the platform through which the Fonkoze Family, as a whole, promotes financial inclusion in Haiti. Fondasyon Kole Zepòl (the Foundation) leverages the SFF network to provide development services to SFF clients and their communities. The synergy between SFF and the Foundation ensures that our clients’ economic progress is reinforced by improved health outcomes, educational opportunities, livelihood strategies, and business management skills. The Foundation serves clients who need non-financial forms of support as well as families who may fall outside the reach of SFF, such as those in the Chemen Lavi Miyò Program for the ultra-poor. Fonkoze USA is the channel through which SFF and the Foundation engage their supporters worldwide. Founded in 1997 by U.S. and Haitian-American supporters, Fonkoze USA raises funds to fulfill the Fonkoze mission; leverages technical assistance for the work in Haiti; accompanies donors and social investors to the field; provides due diligence and tax-deduction for donations; and serves as the voice of the entire Family outside Haiti.
FONKOZE FAMILY 2014 ANNUAL REPORT
3
A client withdraws cash from his savings account
Pòdpè Pomago Jan Rabèl Gwomòn
Lenbe
Okap
Fòlibète Twoudinò
Milo Gonayiv
FONKOZE BRANCH
Sen Michel CLIENT CENTERS (approximate locations)
Wanament
Sen Rafayel
Ponsonde
Piyon
Montòganize Ench
Tirivyè
Tomonn
Boukàn Kare
Mibalè
Beladè
Sodo Lagonav
Kabarè Latwazon
Jeremi
Pòtoprens Bomon
Ti Rivye d’Nip Miragwan Aken
Okoto Okay
Gantye
Leyogàn
Fondèblan
Twen Fondwa
Lavale
Marigo
Fonverèt
Belans
Tyot
Jakmèl
Our Financial Services In fiscal year 2014 (ending September 30, 2014), Sèvis Finansye Fonkoze, S.A. (SFF) achieved the following results: LOANS: With nearly 60,000 loan clients, loans range in size and duration in accordance with client needs and capacity. k $11.0 million portfolio k $29.0 million disbursed k 138,273 loans disbursed SAVINGS: The clients who take advantage of SFF’s savings services range from established businesses to individuals who have never had a savings account before. k 202,688 savings clients k $24.9 million in savings k 2,790 transactions per day
MONEY TRANSFERS: With remittances making up 21% of Haiti’s Gross Domestic Product (GDP), SFF’s facilitatation of money transfers—provided through CAM and Moneygram—is an essential role we play in the Haitian economy. Digicel Tcho Tcho is another domestic money transfer service that connects our clients. k $87.1 million in transfers k Over 250,000 transactions k $462,203 in income to SFF CURRENCY EXCHANGE: Both US Dollars (USD) and Haitian Gourdes (HTG) are accepted and used widely in Haiti. SFF buys and sells USD. k $125.7 million in transactions k $636,500 in income to Fonkoze
PAYROLL SERVICES: SFF supports organizations—including those based overseas—to complete regular payroll cycles. For example, a charitable institution in the United States that sponsors a school in Haiti will send a lump sum to SFF that we deposit directly in their employees’ savings accounts. In fiscal year 2014, SFF provided payroll services to 26 institutions.
FONKOZE FAMILY 2014 ANNUAL REPORT
5
Jeannette Cineas, a Boutik Sante owner, reaches for a product to sell to one of her clients.
Our Development Services HEALTH k Boutik Sante: Only 25% of Haitians have access to health supplies and services, and prices of health products are often ten times the international reference price. Fonkoze’s innovative microfranchising pilot initiative is enabling clients to expand access to over-the-counter health products in their communities while simultaneously generating a small profit. The program provides Fonkoze clients with start-up materials, business skills, and basic healthcare training to be able to open a Boutik Sante (Community Health Store) in their communities. They sell products such as ibuprofen, water purification tablets, sanitary pads, and pregnancy tests. Registered nurses train Boutik Sante owners to provide basic health counseling, screening, testing, and referral services. By the end of 1
6
FONKOZE FAMILY 2014 ANNUAL REPORT
2014, 69 Boutik Sante were open for business; Fonkoze will build on the success of the 2014 pilot to expand to 300 Boutik Sante in 2015. k Cervical Cancer Screening: Cervical cancer constitutes 33% of all reported cancer in Haiti, and patients’ prognoses are often dire. Those with advanced cases have a survival rate of only 5% over five years. Through a partnership with the Sacred Heart Hospital in Milo, Fonkoze began referring clients to their full gynecological services—paid for through a Fonkoze grant. A registered nurse trained 57 Fonkoze Center Chiefs on the risks, causes, symptoms, signs, and treatment of cervical cancer; the Chiefs, in turn, encouraged their center members to visit the clinic for screening. Of the 198 Fonkoze clients who were screened in 2014, 19 were identified as being at high risk for cervical cancer or as having early-stage cancer and received appropriate treatment. Contingent on funding, Fonkoze hopes to expand the screening services to three more branches in 2015.
PHOTO, THIS PAGE: NIKELSON PIERRE-LOUIS
CHEMEN LAVI MIYÒ (CLM) k Fonkoze’s “graduation” program for the ultra-poor, Chemen Lavi Miyò (CLM, or Pathway to a Better Life) has reached almost 5,000 families since its pilot in 2008. The program continues to sweep through the Central Plateau bringing hope through sustainable livelihoods to its members. The CLM team continues to achieve very high graduation rates, with 97% of CLM members able to feed their family twice a day, send most of their children to school, and manage at least two stable income-generating activities after the 18 months of intensive coaching. Its new experiment in value chain development will broaden the range of ways it can help families build better lives for the long term. k With support from Texas Christian University (TCU) and the Digicel Foundation, the CLM team joined with Haiti’s Secretary of State for the Integration of Persons with Disabilities to pilot an adaptation of CLM designed to help Haiti’s disabled poor achieve greater independence through sustainable livelihoods. While learning how to work with people to overcome major disabilities, the CLM team is also testing a new way to help people learn to accumulate savings, called “More than Budgets,” which was developed at TCU. EDUCATION k Alfa Chif: With an illiteracy rate of over 40% for new Fonkoze clients, adult education classes are essential non-financial services that we provide. Even a skill as simple as the ability to sign one’s name is invaluable to our clients. Basic numeracy lessons have long been informally integrated into the Fonkoze’s Alfa Bon (Literacy) course, which we offer in as many branches as we can, based on funding. (This year, adult education courses were offered
in seven of our 45 branches.) However, staff recognized the need to include formal numeracy instruction, especially as a means of helping clients to build simple accounting skills. In 2014, the Education team developed an Alfa Chif (Numeracy) manual and associated lessons that will constitute three weeks of the traditional six-month Alfa Bon course. Staff will roll out and test the new lessons in 2015. k Education Program Evaluation: In the interest of continual monitoring and evaluation of Fonkoze’s Programs, the Education Department conducted a baseline study of two of its core programs, the Jesyon Biznis (Business Skills) course and Ti Koze (Little Chat) course. Jesyon Biznis is a comprehensive business skills training; Ti Koze expands decision-making skills related to business, health, and disaster mitigation. In 2014, the Education Department prepared and executed a baseline survey in three branches. The results of the survey will be analyzed in 2015.
building business administration skills, such as basic accounting, daily recordkeeping, marketing strategies, and savings management. YOUTH SAVINGS AND CREDIT PILOT PROJECT In 2014, we assessed the results of a pilot Youth Credit and Savings project geared towards young people aged 15–24 years. From 2012–2014, Fonkoze worked with Plan Haiti to implement a project designed to sustainably increase access to quality microfinance services for vulnerable women, youth, and rural households. Through the project, 800 women living in isolated Belans gained access to savings and credit services. In addition, 1,060 youth opened savings accounts with an average balance of
ZAFÈN k Kiva Partnership: As a way of garnering funding support for entrepreneurs in our Zafèn Program, The Association of Women from Karenaj (AFAK) benefits Fonkoze established a from Zafèn’s partnership with Kiva. The women make partnership with Kiva, a shirts, dresses, and other clothing to sell. A Zafèn/Kiva loan non-profit crowdfunding enabled them to purchase a fabric printing machine, which prints designs and logos on clothing. platform. Kiva connects individual donors around the world with small HTG 450, and 275 youth received basic entrepreneurs through microfinance institutions like Fonkoze. In June 2014, financial literacy training. Moving forZafèn projects went live on Kiva. Most ward, Fonkoze plans to train all credit agents on youth-inclusive financial of the projects were funded in less services as a means of better engaging than 24 hours, with all 63 Zafèn loans and supporting young clients. fully funded, for a total of $157,025. The Zafèn team then coaches the entrepreneurs through the loan cycle,
FONKOZE FAMILY 2014 ANNUAL REPORT
7
Madeleine Desir, Chemen Lavi Miyò Graduate and current Solidarity Client
M
adeleine Desir says that she is not in business “to buy nice stuff” and to amass wealth. Her goal is simple: to feed her children and send them to school. Even this modest goal, however, was out of reach before Madeleine joined Fonkoze’s Chemen Lavi Miyò (CLM, Pathway to a Better Life) program for Haiti’s ultra-poor. Living in a small community along the highway that runs north from Mibalè and Ench to Okap, Madeleine says that in 2012 she struggled. “We had problems. We didn’t have a house. If I could buy something for my children to eat one day, we’d have to do without the next.” CLM helped Madeleine establish two livelihood strategies that would serve as her safety net. She received three goats that eventually had kids. Three goats turned into six and then ten. She was able to sell some of them to buy a cow which, in turn, gave her a calf.
Madeleine Desir (right), a CLM graduate and Solidarity client, poses with her Loan Officer, Saint Amour Joseph.
The small business that had never been profitable finally began to grow. She used to sell candles in her village from a basket she carried on her head. As she began to make more money, she added other products— first snack crackers and cookies, then more varieties of each. When she graduated from CLM, Madeleine joined four other women in a Solidarity Group so that she could start taking Madeleine displays the various snacks that she will sell loans from Fonkoze. She’s from her basket in the market. now sending both her children to school and can even pay for transport so they don’t have to walk. While Madeleine’s ambitions may be humble, her Loan Officer, Saint Amour Joseph, says, “Madeleine is disciplined and determined. She seems like someone who will go a long way.” For now, though, Madeleine smiles and
8
FONKOZE FAMILY 2014 ANNUAL REPORT
references the Haitian proverb that says one should “hang up her makout (purse) where she can reach it.” She does not want to take on a larger business than she can manage, though her eyes twinkle when she speaks of her next step: buying her first plot of land that she will be able to pass on to her children one day.
CLM BY THE NUMBERS Number of new families who joined CLM:
1,040
Total number of families reached in 2014:
1,650
2014 graduation rate:
97%
PHOTOS, THIS PAGE: STEVEN WERLIN
CHEMEN LAVI MIYÒ (CLM)
Client and Program Profiles
Tessie Hyppolite, Solidarity Client
T
Tessie Hyppolite, a Solidarity client, gestures proudly to the variety of products she now sells in her boutik.
well, and I got necessary training from Fonkoze to better manage my business. My life and the lives of my family members have improved tremendously.” Indeed, Tessie and her husband’s commitment to their children’s education never faltered. Now adults, her daughter has become an agronomist and her two sons are studying finance at a university. “Without Fonkoze,” Tessie says, “none of this would be possible, and I wish I could say something more than just ‘thank you, Fonkoze.’”
SOLIDARITY
hat her children would be well-educated was non-negotiable for Tessie Hyppolite. She and her husband started their careers as primary school teachers in Pòmago. They recognize the value of education in a country where social mobility is limited. And yet, even with an education, Tessie knows that making ends meet can be a struggle. That was what forced her to leave her teaching position when her children were young. The money she and her husband earned as teachers was enough to send their children to school, but they had little left over for other expenses. Tessie decided that small commerce would bring in more income and enable her to spend more time caring for her children. She started her first business selling cold beverages and snacks in front of her home. She soon realized that she would need to expand the business in order to make ends meet. Tessie said that a Fonkoze recruitment meeting “basically changed my life.” She and four other women established a Solidarity Group and became Fonkoze clients. With her first loan of $75, Tessie slowly began adding to her inventory. Now, Tessie is taking out loans of $1,250 to expand her store and to support a new endeavor: an agricultural project planting hot peppers and plantains. Not only is the project supporting her family, but she is able to hire as many as ten people to work in her field. She is giving other members of her community income opportunities she once lacked. Tessie’s success exceeded her dreams. “My business is doing really
SOLIDARITY AND TI KREDI BY THE NUMBERS Number of active clients:
58,989
Loan portfolio outstanding:
$8,788,284 Amount disbursed:
$25,074,581 Number of loans disbursed:
137,708
Average loan amount:
$182
FONKOZE FAMILY 2014 ANNUAL REPORT
9
BUSINESS DEVELOPMENT
Client & Program Profiles Loudena Hilaire, Business Development Client
L
oudena Hilaire is one example of the power of microcredit in the hands of a woman. Before joining Fonkoze, Loudena and her husband, a mechanic, relied on his modest income to support their household and three children. But when the children were old enough to attend school, they knew that they would not be able to make ends meet. They had no savings and no backup plan in case of emergency. Loudena started a small business selling rice, beans, and bread. Realizing that bread sales were the most profitable, Loudena decided to form a Solidarity Group of five women and join Fonkoze. With her first $80, Loudena bought three bags of flour and rented a stone bakery oven in her town of Lenbe, near Okap. Soon, demand surpassed her expectations, and her small baking business grew to include cosmetics and food items. Now, seven years later, she borrows over $1,550. She has graduated from the Solidarity lending program and is now a Business Development client. She rents the space in front of her bakery to sell the bread and other items. Everyone in the community relies on her store, and for the less fortunate, she allows them to purchase items on credit. The income from her business enabled her to buy land for agriculture, a pickup truck, cattle, and goats. She explained that these purchases, as well as her savings account, serve as a cushion of assets and funds in case of emergency. The combined income of Loudena and her husband now provides for their family. She says that Fonkoze’s
10
FONKOZE FAMILY 2014 ANNUAL REPORT
Loudena Hilaire , a Business Development client, offers fresh-baked bread to her clients.
approach of working primarily with women is important, because they are the ones who mostly take care of the children—particularly those who are raising children on their own. Loudena still pays her children’s school fees, and she knows that if
they ever need anything, she does not have to rely on her husband to make the purchase. She says, “I have achieved a lot since I’ve been a Fonkoze client. I am excited for the future of my children, and that is a great feeling.”
BUSINESS DEVELOPMENT BY THE NUMBERS
SMALL AND MEDIUM ENTERPRISE BY THE NUMBERS
Number of clients:
Number of clients:
Loan portfolio outstanding:
Loan portfolio outstanding:
Amount disbursed:
Amount disbursed:
432
$892,393
52
$1,271,920
$1,804,005
$2,546,526
Number of loans disbursed:
Number of loans disbursed:
Average loan amount:
Average loan amount:
485
$2,066
70
$24,455
J
ulio Doris’s agronomy degree from a university in Pòtoprens could have earned him a lot more money had he decided to stay in the city. Instead, he returned to Boukan Kare, his small village in the Central Plateau, because he wanted to work with community members and build an agricultural enterprise. Julio is proud of his decision. “I wanted, most especially, to help those children who did not have the opportunity to further their studies like I did.” Julio grew up watching and helping his parents work in their fields—harvesting potatoes, cabbage, beans, corn, and other produce. He dreamed of a career as a farmer and pursued agronomy when he finished high school in Boukan Kare. In 2007, he founded an agricultural cooperative, which he called OPDHAEH (The Peasant Organization for Agro-Economic
and Human Development). The cooperative opened with 30 men and women members. By coordinating their Julio Doris waters his garden under protective netting. efforts, they would be able to diversify their produce, In addition to donations of tools and protect one another from unforeseen equipment from non-profit organizashocks, and maximize efficiency of tions, he says, “Zafèn’s loan was crucial their equipment and labor. in an effort to expand our inventory They quickly realized that they of tools for production.” Now, the would need additional financial organization supports 150 families who support to achieve their goals. So, are able to feed their children and send they joined the Zafèn program, them to school. Julio has high hopes for through which they took out a his cooperative, hoping that its reach $5,500 loan. The loan enabled them will eventually extend throughout the to purchase composting equipment Central Plateau. that would transform waste material from their livestock and farms into ZAFÈN BY THE NUMBERS natural fertilizers. The farmers are already seeing positive results. Number of new loans in 2014: Production grew 10% in the past year, leading to increased revenue for the cooperative. Julio provides agricultural techTotal clients in 2014: nical assistance to all the farmers in OPDHAEH and in his community.
127
175
Julio explains the technology he uses to feed his chickens.
Average loan amount:
$2,200
Total amount of loan funds disbursed:
$279,400
Number of new jobs created:
882
Smallest loan disbursed:
$600
Largest loan disbursed:
$8,000
FONKOZE FAMILY 2014 ANNUAL REPORT
11
ZAFÈN
Julio Doris, Zafèn Client
HEALTH PROGRAMS
Client & Program Profiles Adanthe Michel, Solidarity Center Chief, Boutik Sante Owner
A
danthe Michel was no stranger to managing a small business when she became a Solidarity Client with Fonkoze. Growing up in Plezans, a small town near Okap, she helped her mother sell beans, oil, rice, and other products in the marketplace. Unfortunately, this small, unstable enterprise was often not enough for Adanthe’s mother to keep her family healthy and well-fed. When Adanthe was old enough to start her own business, she encountered the same challenges with which her mother struggled. When the father of Adanthe’s two children left her, she turned to her friends and to Fonkoze. She and four peers formed a Solidarity Group they named Tèt Ansanm (Heads Together) in 2008. Adanthe’s first Fonkoze loan was for $75. Seven years later, her
businesses and capacity to manage funds has grown so much that she is taking out loans of nearly $1,000. Now a confident businesswoman and an elected Fonkoze Center Chief, Adanthe is participating in one of Fonkoze’s innovative new programs, Boutik Sante (Community Health Store). Boutik Sante is a microfranchising initiative that expands access to health products and basic health services to rural and hard-to-reach areas of Haiti (see p. 6). “This is extremely important when you live in a mountainous rural area and the first real healthcare is very far away,” Adanthe explained. Adanthe and other Boutik Sante owners have small stores that sell products like anti-parasitic medications, oral rehydration treatment, sanitary pads, and eye glasses. The Foundation manages the supply chain and registered nurses provide them with training in basic health services, such as administering over-the-counter health products,
screening children for malnutrition, and offering counseling. Adanthe occasionally receives calls from community members in the middle of the night to see a child with a very high fever. She is proud of her leadership and the services she is providing to her community. Adanthe did not lack experience in business before joining Fonkoze, but she did lack the skills and capital to make it successful enough to provide for her family. She said, “My life changed after Fonkoze. I don’t feel desperate anymore. I know things will keep getting better.”
HEALTH PROGRAMS BY THE NUMBERS Number of beneficiaries served in 2014: Vitamin A:
6,500
children under 5 Multivitamins:
Adanthe Michel, (right) a Boutik Sante owner, soothes a child after taking her vital signs.
25,891
children under 5 Prenatal vitamins:
3,152
pregnant and lactating women Number of center chiefs trained to screen for malnutrition:
80
Number of community children screened for malnutrition:
120
12
FONKOZE FAMILY 2014 ANNUAL REPORT
Daboune Bigot, Solidarity Client and Alfa Bon Monitor
I
n the past 15 years, the Foundation’s Education Program has provided trainings and courses to nearly 127,000 individuals. These courses are dependent on support from our generous donors. Fonkoze’s social mission hinges not only on the work of our dedicated staff but also on the commitment of our clients to bettering the situation of their communities. One such client is Daboune Bigot. A Solidarity Client for over two years, Daboune serves as a Training Monitor for Fonkoze’s Education Program. She says, “I feel very excited when I am teaching other people, especially my peers.” With entering clients having an illiteracy rate of over 40%, Fonkoze engages literate clients like Daboune to teach basic literacy and numeracy skills to their peers.
Daboune holds a class for 12 participants twice a week, teaching from Fonkoze’s Alfa Bon (Literacy) book. “They are so happy when they can finally read and write their names,” Daboune explained. She spoke about one of her students, Amonise Jean Louis, who could not even write a letter of the alphabet before she participated in Daboune’s class. Amonise says that being able to read has been one of the greatest achievements of her life. Acquiring literacy skills gives clients a newfound dignity and social status. They no longer need to use their fingerprints to sign important documents, like their children’s report cards. Naturally, it also enables clients to better manage their small businesses. All the same, one of the biggest challenges that Daboune encounters is that some participants lack confidence and doubt their ability to learn to read and write as an adult. Daboune does her best to combat this sentiment with constant reassurance and encouragement. The nominal stipend Daboune receives for teaching the Alfa Bon class
supplements the income from the small boutik she owns in front of her house. She sells sugar, rice, flour, and other goods and joined the Solidarity Program with four other women to expand her business. She and her husband, a mechanic, pool their income to support their household in Leyogàn and provide for their two children.
EDUCATION PROGRAMS BY THE NUMBERS Women who graduated from Adult Education classes in 2014:
1,796
Number of branches that offered Adult Education:
7
Graduation rate:
96.4%
FONKOZE FAMILY 2014 ANNUAL REPORT
13
EDUCATION PROGRAMS
PHOTO, ABOVE: NIKELSON PIERRE-LOUIS
Holding their Alfa Bon textbooks, Daboune Bigot (left) and Amonise Jean Louis (right) share a smile.
Our Clients’ Progress 2014 Social Impact Results
T
hrough Fonkoze’s Social Impact Team, we continue to hone our mechanisms for compiling and tabulating data about our clients. This critical data shapes the products and services we offer while simultaneously ensuring that Fonkoze remains true to its mission. The data presented here represent a small selection of the many indicators we track at specific intervals throughout clients’ engagement with Fonkoze.
Percent living below $1/day
CHEMEN LAVI MIYÒ (CLM) is Fondasyon Kole Zepòl’s 18-month program for the ultra-poor. Based on the “Graduation Model,”2 CLM supports individuals who have fallen through the cracks of Haiti’s social structure. Through the provision of productive assets, small commerce training, nominal stipends, and extensive mentoring, CLM supports women to lift their families out of ultra-poverty, providing a foundation for them to access financial services. (sample size: 160)
BASELINE (FOR 2014 GRADUATES)
2014 GRADUATES
86%
65%
Percent living below $1/day
TI KREDI is SFF’s introductory six-month lending program through which Loan Officers provide added support and supervision to clients who may never have had a loan before. Ti Kredi features loans that increase in size and repayment cycle length in order to help women learn how to successfully manage a small business. (sample size: 663)
SOLIDARITY LENDING is SFF’s core program, with over 55,000 active clients. Individuals form “Solidarity Groups” of five women that meet at one of the more than 2,000 Credit Centers located throughout the country. The group members support and encourage one another while also holding their fellow members accountable for effectively managing their finances. (sample size: 144)
14
FONKOZE FAMILY 2014 ANNUAL REPORT
ENTERING TI KREDI
GRADUATING FROM TI KREDI
INCOMING CLIENTS
61%
58%
52%
Percent living below $2/day
97%
Food insecure with hunger
100%
34% 84%
Percent living below $2/day
Average savings
$3
78%
$15
75%
$16
69%
$75
AFTER 4 YRS
47%
64%
Dumorin Merline, a CLM client in Mibalè, and her husband pose with their newly acquired cattle.
Tin roof or better
52% 95%
Own house
Can read and write her name
26%
3%
53%
95%
99%
Food insecure
Send all children to school
95%
66%
95% 99%
Latrine
Cement floor
98%
Latrine
92%
Send all children to school
83%
Own small assets
40%
86% 57%
60%
83%
45%
78% 60%
66%
92%
62%
76% 79%
70%
80%
24% 83% 87%
94%
99%
FONKOZE FAMILY 2014 ANNUAL REPORT
15
Our Financial Results
Jasmin Marie Wisline, a Solidarity client in Mibalè, shows her kane (savings passbook) to her grandchild
Fonkoze S.A. and Subsidiary Sèvis Finansye Fonkoze, S.A.
S
èvis Finansye Fonkoze, S.A. (SFF) is a registered Haitian for-profit, joint-stock company established in 2004. Fonkoze S.A. is our Haitian holding company. As of September 2014, SFF’s fiscal year end, SFF serves more than 59,000 borrowers and 202,000 savings clients through our network of 45 branch offices located throughout Haiti’s ten departments. In terms of outreach, SFF is by far the largest microfinance institution in Haiti. With over 700 full-time staff, we
the overall operating losses for the year for Fonkoze S.A. and SFF totaled HTG 70.9 million (USD 1.56 million). In fiscal year 2015, SFF will launch a campaign to increase our equity capital by US $4 million. We will also continue working to strengthen our operational and financial performance as we pursue our mission of empowering Haitians—primarily women—to lift their families out of poverty.
are also one of the largest private employers in Haiti. SFF continues on our path toward full financial sustainability. We were able to improve operating results by over 59% from the previous year putting us on a path to profitability by 2016. At 2014 fiscal year-end, SFF wrote down part of its investment in Microinsurance Catastrophic Risk Organization (MiCRO) recording a one-time extraordinary loss of HTG 44.6 million (USD 978,000) on the investment. On a consolidated basis,
CONSOLIDATED BALANCE SHEET
INCOME STATEMENT
All amounts are expressed in Haitian gourdes (HTG)
All amounts are expressed in Haitian gourdes (HTG)
Exchange Rate HTG/USD at end of reporting period
45.5577
43.7429
Average Exchange Rate HTG/USD during reporting period
44.7161
43.1329
Year Ended Sept. 30, 2014
Year Ended Sept. 30, 2013
248,172,124 (11,651,814) 236,520,310 (23,239,158) 213,281,152 86,861,547
229,695,418 (19,476,730) 210,218,688 (62,629,719) 147,588,969 95,996,167
300,142,699
243,585,136
181,820,700 142,347,092 17,967,014
214,664,236 111,250,656 19,582,516
342,134,806
345,497,408
(41,992,107) 45,608,313 (44,559,696) (27,471,508)
(101,912,272) 89,351,497 (22,265,884)
(68,414,998) (2,910,000)
(34,826,659) (546,259)
(71,324,998) 410,056
(35,372,918) 608,466
(70,914,942)
(34,764,452)
FONKOZE FAMILY 2014 ANNUAL REPORT
17
ASSETS
Sept. 30, 2014
Sept. 30, 2013
REVENUES
Cash and Equivalents Investments Accounts Receivable Gross Loan Portfolio Outstanding Less: Allowance for Loan Loss Net Loan Portfolio Outstanding Net Fixed Assets Other Assets Total Assets
343,702,890 30,948,676 224,540,512 498,975,121 (14,437,655) 484,537,466 153,478,447 51,114,539
337,382,347 72,129,436 316,801,658 476,656,217 (28,726,746) 447,929,471 127,767,667 68,584,683
Interest Income (Loans and Other) Less: Interest Expense Net Interest Income Less: Provision for Loan Losses Net Interest Income After Provision for Loan Losses Other Operating Income Net Interest Income and Other Income
1,288,322,530
1,370,595,262 OPERATING EXPENSES
LIABILITIES
Deposits Notes Payable Other Liabilities Total Liabilities
1,134,267,402 199,387,352 69,636,791 1,403,291,545
1,189,566,739 168,958,629 78,036,382 1,436,561,750
Capital Stock and Paid in Capital Retained Earnings (deficit) Accumulated Other Comprehensive Gain Total Shareholders’ Equity
358,625,516 (477,416,296) 3,821,765 (114,969,015)
336,713,101 (406,091,298) 3,411,709 (65,966,488)
Total Liabilities And Shareholders’ Equity
1,288,322,530
1,370,595,262
SHAREHOLDERS’ EQUITY
Salaries and Benefits Other Administrative Expenses Depreciation and Amortization Total Operating Expense Net Loss from Operations Before Income Tax Operating grants Loss on revaluation of MiCRO investment Other income (expense) Net Loss Before Tax Provision for Income Tax Net Income (Loss) Other comprehensive income Comprehensive Income (loss)
Our Financial Results Fondasyon Kole Zepòl
T
he overall expenses of the Foundation in 2014 remained roughly the same as in 2013. Our biggest program remains Chemen Lavi Miyò, which received an important four-year grant at the end of the year from the Swiss Agency for Cooperation and Development. This accounts for the large “accounts receivable” on our balance sheet. We are pleased to announce that our central office costs did not exceed the benchmark of 20% of the total budget. With support from Fonkoze USA, we were able to reimburse a substantial part of our outstanding social loans and pay down the agreed part of our debt to SFF. This would have improved the situation of our balance sheet had it not been for the Foundation’s share of the loss on SFF’s investment in MiCRO which totaled USD 384,669 (see p.17).
STATEMENT OF FINANCIAL POSITION All amounts are expressed in Haitian gourdes (HTG) Exchange Rate HTG/USD at end of reporting period
46.7477
43.8820
Year Ended December 31, 2014
Year Ended December 31, 2013
78,974,821 87,721,469 154,289,687 7,554,182 379,235
75,846,436 98,941,049 72,740,868 1,803,323 1,352,135
328,919,394
250,683,811
5,145,921 7,964,377
4,771,677 11,859,078
342,029,692
267,314,566
36,250,956 177,265,686 213,516,642
22,584,529 217,783,578 240,368,107
Unrestricted Temporarily Restricted Total Net Assets
(148,498,298) 277,011,346 128,513,048
(142,600,962) 169,547,421 26,946,459
Total Liabilities And Net Assets
342,029,691
267,314,566
45.222
43.4706
Year Ended December 31, 2014
Year Ended December 31, 2013
243,651,747 2,961,239 (6,987,437)
134,793,681 775,676 (19,432,209)
239,625,549
116,137,148
Program Services Central Office Costs
109,171,187 26,857,585
111,780,598 30,942,839
Total Expenditures
136,028,772
142,723,437
Change in Net Assets
103,596,777
(26,586,289)
ASSETS
Cash and Equivalents Investments Accounts Receivable Loans, Net of Allowance for Loan Losses Prepaid Expenses Total Current Assets Net Fixed Assets Other Assets Total Assets LIABILITIES
Current Liabilities Long Term Liabilities Total Liabilities NET ASSETS
STATEMENT OF ACTIVITIES All amounts are expressed in Haitian gourdes (HTG) Average Exchange Rate HTG/USD during reporting period REVENUES
Contributions and Grants Interest Income (Loss) on Investments, Exchange Rate Fluctuations, and Revaluations Total Revenues EXPENSES
18
FONKOZE FAMILY 2014 ANNUAL REPORT
Fonkoze USA
H
ere at Fonkoze USA, we continue our work of outreach, communications, and fundraising. We love sharing the inspiring story of Fonkoze, and of Haiti, while providing the quality stewardship and due diligence donors and social investors want and deserve. In accordance with this commitment, we are pleased to report that over 87% of our expenses in 2014 went to support our programs in Haiti. Once again, Fonkoze USA received the highest ratings from Charity Navigator, GuideStar, and Better Business Bureau’s accredited charity program. As you review our financial reports for 2012-2014 you will notice a sharp decline in income in 2013 followed by a sharp increase in expenses in 2014. This fluctuation is due, in large part, to the accounting requirements for multi-year grants. When a grant contract is signed, non-profit accounting standards dictate that the entire amount of the grant is booked to that year’s income. The actual funds, however, are often not received until subsequent years. Fonkoze USA does not issue grants to our partners in Haiti until we receive the funds that were promised to us. In 2012, Fonkoze USA received grant contracts in excess of $2 million of which more than $1.4 million of the funds were not received and dispersed by us until subsequent years. The line for PROGRAM SERVICES AND GRANTS TO HAITI more closely reflects our year-to-year support of our partners in Haiti.
STATEMENT OF FINANCIAL POSITION All amounts are expressed in U.S. Dollars Year Ended December 31, 2014
Year Ended December 31, 2013
Year Ended December 31, 2012
$267,205 2,377,767 14,449
$278,162 2,946,759 13,697
$713,589 2,013,758 6,057
$2,659,421
$3,238,618
$2,733,404
14,373 1,227,314 1,276,124 10,417
21,363 1,287,443 1,519,124 11,847
7,204 1,168,376 2,347,525 10,846
$5,187,649
$6,078,395
$6,267,355
$2,251,293 1,186,124 $3,437,417
$1,945,435 1,344,124 $3,289,559
$1,283,761 2,091,511 $3,375,272
Unrestricted Unrestricted - Board Designated for Endowment Temporarily Restricted Permanently Restricted for Endowment Total Net Assets
$369,781 624,225 654,226 102,000 $1,750,232
$600,910 684,202 1,401,724 102,000 $2,788,836
$662,323 569,776 1,562,984 97,000 $2,892,083
Total Liabilities And Net Assets
$5,187,649
$6,078,395
$6,267,355
Year Ended December 31, 2014
Year Ended December 31, 2013
Year Ended December 31, 2012
$3,022,489 102,950 63,662
$2,880,435 103,929 116,008
$4,649,696 69,103 118,287
$3,189,101
$3,100,372
$4,837,086
$3,705,761
$2,736,259
$3,003,163
ASSETS
Cash and Equivalents Short-term Receivables Prepaid Expenses Total Current Assets Net Property and Equipment Investments Long-term Receivables Other Assets Total Assets LIABILITIES
Short-term Payables Long-term Payables Total Liabilities NET ASSETS
STATEMENT OF ACTIVITIES All amounts are expressed in U.S. Dollars REVENUES
Contributions and Grants Interest, Dividend & Capital Gain Income Other Income Total Revenues EXPENSES
PROGRAM SERVICES AND GRANTS TO HAITI SUPPORTING SERVICES
Fundraising Administration Total Supporting Services Total Expenses
240,436 281,508 521,944
232,364 234,996 467,360
236,339 218,301 454,640
$4,227,705
$3,203,619
$3,457,803
Change In Net Assets
$(1,038,604)
$(103,247)
$1,379,283
FONKOZE FAMILY 2014 ANNUAL REPORT
19
Donors and Investors Thank you
F
onkoze is tremendously grateful to the individuals and institutions whose financial support makes our work possible. Without you, we would never have become Haiti’s leading microfinance institution, able to provide both financial and non-financial services to Haiti’s rural poor. Because of you, women living in extreme poverty are able to provide for their families, and small business owners are able to grow their businesses and provide products and employment in their communities. We would also like to acknowledge those supporters who get involved with Fonkoze in other diverse and creative ways. For some, monetary support is not possible; others find greater connection to Fonkoze’s work through alternative channels of giving. Whatever the motivations and means, Fonkoze’s staff and clients send a heartfelt mesi anpil (thank you very much).
Melurese Alouidor, a Solidarity client, displays ripe plum tomatoes in her marketplace.
3
2014 Donors and Investors* $100,000 or more Anonymous Artists for Haiti Matthew T. and Margaret D. Balitsaris Haitian Timoun Foundation The International Vincentian Family Plan Haiti Vista Hermosa Foundation W.K. Kellogg Foundation Whole Planet Foundation
$50,000 - $99,999 Anonymous Becker Family Foundation, Gary and Mary Becker Gruber Family Foundation Jill and Stephen M. McDonnell Pan American Development Foundation
$25,000-$49,999 The Clinton Foundation Get In Shape for Women Global Partnerships International Development and Relief Foundation Elizabeth R. and J. Maxwell Moran
20
Swiss Agency for Development and Cooperation Vitamin Angels
TechnoServe The Unilever Foundation through PSI
$10,000-$24,999
$5,000-$9,999
Christina and Charles Bascom Concern Worldwide Cynthia Estrada Charity Fund Elizabeth L. Daniels Daniels Family Foundation George and Peggy Anne Dicaprio David and Carrie Dortch Bernice Galbreath Inter-American Development Bank and Inter-American Investment Corporation Mary Catherine Kilday and George W. Malzone Foundation Linked Foundation Raskob Foundation Roger and Susan Stone Roger and Susan Stone Family Foundation SC Ministry Foundation Schlegel Villages The Seabury Foundation, Bliss Holloway and Julia Susman SG Foundation
A.H. Gage Private Foundation The Allemall Foundation, Inc. American Endowment Foundation Andrew Grene Foundation John L. Augustine and Christopher Durang Paul C. and Sachiko S. Berry Mary Boutselis Dawn S. and Marshall Bowen Daniel F. Capshaw and Linnea M. Nilsen Capshaw Charities Aid Foundation of America Elizabeth and Joseph Bascom Charitable Foundation Kathleen M. Gross Bishop Thomas Gumbleton Clarence and Bernadette Kellerman Marguerite and Stan Lathan Dave and Debbie Leininger Brian and Diana Lovett Elizabeth Lowell
FONKOZE FAMILY 2014 ANNUAL REPORT
Laura K. and Marc W. McKenna Katarina Mesarovich Evelyn B. Newell Jean-Guy Noel Kimberly and Tobey Oxholm Charles Petty The Petty Family Fund, Mark E. and Peyton Petty Pam and Mark Semmler David Weinreich and Shoshanna Sumka Theodore A. Von Der Ahe, Jr. Trust Leslie Thurman The Upstream Foundation Barbara S. Webster The Weiss Fagen Fund
$2,500-$4,999 All Souls Unitarian Church Village Banking, Tulsa, OK Elizabeth B. Allen Anonymous Blessed Sacrament Parish, Midland, MI John W. Bloom Lorraine Brignall The Catholic Worker Lorilyn S. and John J. Coleman
Brian Cook Dolores A. and Lynn Drayton Claudine and Bernard Dussert Ray Escoffier ESPOIR Haitian-American Organization, Inc Paul and Kathleen C. Fuhs Lise and Raymond Giraud Jean and William Graustein Daniel and Kitty Gustafson Melanie and Robert Howard Joanne & Al Daloisio Family Foundation Bonnie S. Jones David T. and Kelli W. Jones Jones Family Charitable Foundation Amalie M. Kass Kunkel Family Foundation of the Ayco Charitable Foundation Rebecca and James Langer Mary Mother of Peace M. C., Inc Newman Catholic Center Elaine L. Pero Donald B. and Carol L. Post The Ray & Ellyn Stevenson Fund of the Martin County Community Foundation Mary J. and Ken Sawers
Josie Sentner Dick and Penny Stevens Riverside Presbyterian Church of Jacksonville, FL UAW-GM Center for Human Resources Joel B. Wittenberg and Mary Ann Ek
$1,000-$2,499 Rebecca W. Adams All Saints Church, Pasadena, CA Anonymous Sarah Barnhard Roz Becker Elaine M. Bellin The Benevity Community Impact Fund M. Judith Billings Father Douglas C. Brougher Arden R. Brugger Isabelle Camille Christ United Methodist Church, East Moline, IL Alexander and Emily Counts Alice T. Davison and Howard Tomb Margaret Demeré Joan C. and Harold L. Denkler
Ways to get involved: Zanmi Fonkoze
F
onkoze’s champions live all over the world. In the United States, some of our most devoted supporters have organized themselves into groups of Zanmi Fonkoze (Friends of Fonkoze). These groups do a wonderful job of Magguy Desamours, a Solidarity Client, harvests guava. extending the outreach efforts of Fonkoze USA. As a means of engaging their local communities, they hold events, such as dinner gatherings, races, fundraisers, film viewings, and speaker series. They also reach out to prospective local donors to inform them about Fonkoze’s work. For a complete list of existing Zanmi Fonkoze groups, see page 24. For more information on joining or starting a Zanmi Fonkoze group, please visit http://www.fonkoze.org/zanmi-fonkoze/.
Francoise E. Denis Barbara Enger and Gerald Cocchiaro Bernadette C. Ethridge Therese Feng B. Jean Fort Debley Foundation Margaret Fourré and Larry L. Anderson Elizabeth and Fred Frick Marie Fredrick GE Foundation - Matching Gifts Gladwyne Presbyterian Church, Gladwyne, PA Allan I. and Joyce C. Goldberg Sister Eleanor Guerin, RSM James J. and Kathleen Gumbleton David Harms Ida Hawkins Hope for Haiti If/When Irving & Constance Phillips Charitable Fund Janusz Korczak Memorial Fund of the Vermont Community Foundation Serge and Rosa Jean Norma Joiner
Robert O. Johnston Ann Marie and John Judson JSEA Inc. The Kealy Family Foundation John C. and Elizabeth M. Keller Kenneth A. Kind Kurtz Family Fund The Lang Foundation Suzanne Lerner Theresa K. Lundstrom Jessica and Paul Lusty Noreen A. Lyne Margaret R. Rosenkrands Trust Mary Macgregor Sheila MCalinden Tom and Ingrid McDonald Paul F. and Christine McGuire Daniel Hardie and Alice McMahon John and Gloria McManus C. Wayne Middleton Nick and Sylvia Miller Ronald E. Modras Daniel and Kathie Molter Joseph Murphy Nativity of Our Lord Church, Detroit, MI Linda Neuenschwander
Reverend Elizabeth M. Nestor, M.D. Elizabeth and William E. Oliver Patrick Ophuls Robert J. Osborn, Jr. Barbara Ostrowski and Mary A. Novascone The Paul and Edith Babson Foundation Hilary J. Peattie Pfizer Foundation Matching Gifts Program Patricia A. Pierce Lisa C. Reed Daniel R. Robinson and Cathy M. Collie Santa Barbara Foundation Joseph Schillmoeller and Pauline M. Feltner Eve Schmitz Marsha Siegel Sisters, Servants of the Immaculate Heart of Mary, Monroe, MI St Aloysius Church, New Canaan, CT St. Ignatius Catholic Community, Grosse Pointe Woods, MI
St. Thomas Aquinas Church, Freeport, IL Trina Sleper Rosemary C. Smith Laura Stephens Craig Stewart Robin and Joseph Stocks Janet Stokley Jane E. Thompson The Waldman Family Charitable Trust The Weatherlow Foundation Trinity Church, Santa Barbara, CA Urban Ministries Inc Joan Vermeulen Victory Apostolic Church, Matteson, IL Brian J. and Jennifer A. Vosburgh Neil and Mary Patricia Walsh Beth M. Wescott Christina White Kathleen and Shawn White C. Jeffrey Wright Laura Roberts Wright America M. and David H. Young Mary N. Young
$500-$999 Luanne Alexis Carole Lewis Anderson Roger Angell Anonymous Barbara Appel Ashton and Royann Avegno Julia P. Bailey Leslie and Gary Barbour Sheila Bauer Reverend Joseph F. Beckman Shirley M. Birkholz Maureen Boland L. Michael Braig Ann L. Breeden and Edna Johnston Christine S. Breu Barbara Brockhurst and Robert Lavoie Adam Brooks Charles Brown III Deborah Brown Msgr. Franklyn Casale Michelle Charles Lenore Collins Community of The Sisters of Saint Anne, Marlborough, MA Elizabeth Cox
Curious Iguana Keila DePoorter W. Lee Dickson and James R. Graham I. Sharon Dobson Lisa Dugger Nancy Eichelman and John B. Handy Lucy Elliot William and Anne C. Ewing Robert G. and Antonia B. Fasick First United Methodist Church of Germantown, PA Flagstar Bank Alex Fleig and Anna Lord Stephen D. and Mary Ford Scott Foster William D. and Patricia S. Friel Ann Frotscher Pamela and Michael Fuhrig Mary George Gabriel Goffman Cindy M. Golbert The Good Shepherd Fund Google Inc Corporate and Private Donations Charles Gravitz and John Borstel Ralph S. Greco
FONKOZE FAMILY 2014 ANNUAL REPORT
21
Donors and Investors Ways to get involved: Insight Trips
T
wice a year, Fonkoze USA leads Insight Trips—groups of delegates who apply to travel to Haiti with Fonkoze staff. Delegations range from 10–15 people and are made up of individuals whose backgrounds, ages, and interest in Fonkoze vary greatly. Lisa Collis, an Insight Trip participant, learns some hairdressing skills. Trips typically last four days, during which delegates learn about Fonkoze and Haiti’s rural economy; meet with Fonkoze clients and staff; experience Haitian cuisine, art, and dance; and visit cultural and historic sites. Fonkoze staff lead the trip and manage all logistics so that delegates can maximize their learning and enjoyment of their visit to Haiti. For more information on upcoming Insight Trips, please visit http://www.fonkoze.org/get-involved/ visit-haiti/.
2014 Donors and Investors* James P. and Betty Hanigan Deborah Harrington Gertrude E. Harris Edward S. Herman Elliot Hernandez John Hirschi Bob Hsu and Bonnie Chang Huntley and Wasyliko Family Fund Karen and Abhinandan Jain Kathryn Erickson and Albie P. Jarvis Jinpa Foundation Edna Johnston and Ann L. Breeden Dale J. and Kay M. Kempf Ari Lipman Emily A. Lippert Dr. Mildred J. Little Ann S. Lowell Kay Marcus Marie and John Foley Fund Susan Martel Paul J. McCarthy and Orla C. O’Callaghan John H. McConnell Alice McMahon and Daniel Hardie
22
Catherine E. McMahon and Statton Rice Sharon Meehan and Christopher Bergey Mennonite Foundation Virginia Merritt Carol and David Miller Frances and Steve Miller Suzanne Miller Andrew Newman L. Glenn and Cecilia O’Kray Woody Peterson P. Martine Pierre-Louis Louis and Ramona Prezeau Victoria Rader Cecilia R. Regan Dr. Ernie Rose Nina A. Saffari Jane H. and Ronald E. Saunier Alvin Schexnaildre and Lucy Cooper-Schexnaildre Barbara Shoulders Harold R. Sikorski Barbara D. Smith Hope and John C. Smith Sowers of Justice Donald Spoto Martha S. Sproule
FONKOZE FAMILY 2014 ANNUAL REPORT
St. John of Kronstadt Press St. Matthew Roman Catholic, Tolland, CT Suzanne Stearn John K. Steinmeyer Stacy J. Stevens Angela and Daniel Stoltzfus Julie A. and Padraic J. Sweeny Phyllis and Richard Taylor Richard and Carol Urban Richard and Elizabeth Vanden Heuvel Anneke Wambaugh Sue and Lew Werlin Visitation North Spirituality Center Sisters, IHM Shaaron M. Warne and William J. Mueller Irlene Whiteman Michael E. and Sharon F. Williams Frances K. Wu and Wilburn Chesser
$250-$499 Delores and Mervin Antoine Laurie C. Aubuchon Joseph F. Augustin Jacqueline and Clarence Avant
Phil and Grace Bahng Rebecca and Marcus Balitsaris Mary T. and John N. Bartholomew Catherine A. Beal Marvin L. and Judith Bellin Kathleen Berrigan Jane E. Beuttel Larry S. and Barbara W. Beyna Lisa Bluntschli Carol W. and John R. Bodary Kathryn Boockvar and Jordan B. Yeager Margaret and Lawrence Bowerman Dr. Stephen D. Brown and Ms. Linda B. Brown Bruce Ford Brown Charitable Trust Called to Serve Capital Group Companies Charitable Foundation Elizabeth C. and David W. Champney Leo Chausse Christ the Redeemer Church, Lake Orion, MI Carnzu A. Clark Andrew L. Clarke
Jayne Cohen Donna G. Cole-Brulé Lauren V. Compere Robert and Elizabeth Coombs Joseph R. Cooney and L. Marie Guillory Jacqueline Cordry James B. and Laura W. Crooks Angela Dawn and Donald J. George Lena Deevy Mary E. Didier Estelle Disch Jake D. Donaldson Don & Jan A. and Janice Downing Paula Ebbitt James D. and Dawn A. Engel Judith Favor Madeleine Féquière Jack and Jackie Ferrari Nancy L. and Keith J. Forster Forster 2000 Family Trust Ann Frotscher Lynn Garfunkel Palmer P. Garson Celestia G. Gaudreault Peter E. Gavin
George A. Gowen and Anita Von Wellsheim Gowen Arlene D. and Leo J. Grady Jean E. and John C. Grant-Dooley Corwin Greenberg and Parvati Maggie Grais Michelle and Mark A. Guilfoil Judith and Robert Hadley Unae Han James E. Hanigan Thomas A. and Dorothy P. Harbold Fritz D. and Lorette A. Harnsberger Carla and Troy Harris Ina Haugen Ann M. and Edward J. Hawkes Eric and Kristen Headrick Joan G. and Joseph E. Heckel Heidelberg United Church of Christ, Schwenksville, PA Suzanne and Richard P. Heron Highlands Presbyterian Church, Columbus, OH William H. and Peggy L. Hoff Lee and Paula Hougen Robin S. and Michael Hoy Pemberton Hutchinson
Ways to get involved: Partnerships
F
onkoze has partnerships with religious establishments, corporations, and other institutions. While Fonkoze does not have a religious affiliation, congregational partnerships provide an outlet for philanthropic activities at places of worship. Corporations support Fonkoze through investments, grants, in-kind donations, employee giving, and other mechanisms. Many of these partners end up traveling to Haiti to meet Fonkoze staff and clients, reporting back to their communities and colleagues on their experience.
Solidarity clients share a smile together.
Ofer Inbar Jan Jalenak and John R. Ordway Rita Jaros Abner Jean-Pierre Jefferies Group, LLC KT and Sandy Johnson Michael Karlin David Karpick Karen Kaufman Georgia L. and William R. Keeran Edward Kinane and Ann Tiffany Maureen Knowles Nic Korte Emily Kunreuther Debra Kutok Priscilla Labovitz Geri Lanham Iole and Earl Le Tissier Bruce Leaman Darrell Levi Robin Lloyd Margaret Maccini Norman I. and Mary Anne Maldonado Simon Lani Manseau Marilyn & Mike Grossman Foundation
Peter Mayer Peter Mayock Anne C. and Brian McElroy Mcgeer Family Foundation Laura E. McLaughlin Marcia H. McLaughlin Eli Merritt Raine Micale and Christophe Remy de Campeau Reginald Mombrun Audra Murray Khamisi Mwaniki Stephen Myers Montessori De Terra Linda Carol A. Nash Karen Nicolas Lorelei O’Hagan Frederick Otto Perfecta and Geoff Oxholm Parish of the Holy Spirit, Virginia Beach, VA Toni Parr Carolyn L. and William C. Patterson Andrea Paulson Catherine Paupst David and Joy Peyton Ethlene Pollak
The Powell Family Charitable Trust Stephanie L. Quade Richard S. and Lois Gunther Fund Susan Risberg Whitney R. Robinson and Louie Rivers III William A. Rose, Jr. Gary M. and Toby L. Rosen Jon and Whitney Rush Lisa Russell Kristin Sagert St. Bernadette Parish, Severn, MD Janet Sanderson David Sarr Mary Schmidt Susan M. and Charles P. Scholer Dr. B. Otto Sharp Gladys E. Shaw Jean-Emmanuel Shein and Christiane Janssen Martha A. and Barry Siegel Nicholas Signore Deborah Simons Sisters of the Divine Savior, Milwaukee, WI Harvey W. Slager
Mary Jane Smith Sherene and DaAnne Smith Philip L. and Carol Stein Timothy Suttle Jerome T. and Jeannette K. Sydlowski Therese Tangredi Agnes Thaler Connie Turner Utopia Foundation Ann Vehlies Arturo and Patricia Villarruel Carol Waters Marlene Wellington and Anthony Glaser Kayla Werlin George A. Whitley Elizabeth and Warren J. Widmayer Sharon Vegh Williams Wendy Wright and Roger Bergman Beatrice Young Lawrence T. Young Steve and Lois Zentner H. Berrien Zettler
Investors Adorers of the Blood of Christ, St. Louis, MO Adrian Dominican Sisters, Adrian, MI Alternative Gifts International Alternative Insurance Company Matt & Margaret Balitsaris Baltimore Ethical Society, MD James Barry Paul Beach Gary & Mary Becker Beyond Borders Bon Secours Health System Rebecca Brune Global Partnerships Gloria Callaci and Lawrence J. Suffredin Jr. Catholic Health Initiatives Timothy Cimino City National Bank Shares Carroll and Joseph Clay Congregation of the Sisters of Charity of the Incarnate Word, Houston, TX The Congregation of the Sisters, Servants of the Immaculate Heart of Mary, Scranton, PA Charles Conlon
Robert Crauder Leatrice Crivello Larry Dansinger & Karen Marysdaughter Digicel Haiti International Finance Limited Barbara DiTommaso The Domestic and Foreign Missionary Society of the Protestant Episcopal Church in the United States of America Dominican Sisters of Hope, Ossining, NY Dominican Sisters of Springfield, IL David W. Dortch Douglas Wingeier Trust Robert W. Dulaney Rosemary Edwards Thomas Ellis Ethical Action Committee of St Louis Judith Favor Finian Taylor Revocable Living Trust Fitzpatrick Family Foundation Fonkoze Employee Trust Fonkoze Foundation Fonkoze USA
FONKOZE FAMILY 2014 ANNUAL REPORT
23
Donors and Investors Celebrating Twenty Years: Looking Ahead
F
onkoze is making an ever-increasing contribution to Haiti’s economic development. This contribution is bolstered by the strong financial standing of Sèvis Finansye Fonkoze, S.A.; by the nimble responsiveness of Fondasyon Kole Zepòl to clients’ needs; and by the expanding base of support channeled through Fonkoze USA. With the successes of 2014, we continue to position ourselves to build Haiti’s future.
Sinfora Pierre, a CLM client, stands in front of her original wall-less, rusty-roofed house and next to the house she constructed with support from the CLM program.
2014 Donors and Investors* Francis of Assisi Microlending LLC Peter Gebhardt-Seele Grameen Foundation Grey Nuns of the Sacred Heart, Yardley, PA Haiti Solidarity of the Northeast Haitian Microfinance, Inc. Anne Hastings Robin and Michael Hoy Chantal Hudicourt IIC Idyll/Untours Foundation Dr. Henry Kaminer Michael Komba Constance Lesold Loretto Literary & Benevolent Institution Christine Low Kimberly McCormick John & Christine McKay Mary Elizabeth Meehan MEDA Mercy Partnership Fund Susan Metz Michigan Committee for a Democratic Haiti Mid-Atlantic Regional Christian Life Community
24
Patricia Miller Fred Montas Nazareth Literary and Benevolent Institution Jane N. Newton Oikocredit Our Lady of Victory Missionary Sisters Joseph & Mary Palen Parish of St. Augustine, Brooklyn, NY Peace and Justice Book Club Joseph Philippe John R. Poole Louis Prezeau Jean and Vance Reese Religious Communities Investment Fund, Inc. Merilie Robertson Joseph Rund Sacred Heart Monastery St. Bridget Church Manchester, CT St. Martin de Porres Catholic Worker House, Harrisburg, PA Ed Schmidt School Sisters of Notre Dame, St. Louis, MO Julian and Ruth Schroeder
FONKOZE FAMILY 2014 ANNUAL REPORT
Josie Sentner Seton Enablement Fund Sisters of the Blessed Sacrament, Bensalem, PA Sisters of Charity of New York - Bronx Sisters of Charity of Saint Elizabeth, Convent Station, NJ Sisters of the Holy Cross, Notre Dame, IN Sisters of the Holy Names of Jesus & Mary - US - Ontario Province Sisters of the Humility of Mary, Villa Maria, PA Sisters of Notre Dame of Toledo, OH Sisters of St. Dominic, Racine, WI Sisters of St. Francis of Philadelphia, PA Sisters of St. Joseph of Carondelet, St. Paul, MN Sisters of St. Joseph of Carondelet, St. Louis, MO Sisters, Servants of the Immaculate Heart of Mary, Monroe, MI Sharmi Sobhan Society of the Holy Child Jesus, Rosemont, PA
Doug Thompson Rev. J. Michelle Tooley Tulsa Community Foundation Untours Foundation Ursuline Sisters of Tildonk, Jamaica, NY Barbara Webster William G. Wegener Whole Planet Foundation
Zanmi Fonkoze Zanmi Fonkoze Jacksonville, FL Zanmi Fonkoze New York, NY Zanmi Fonkoze Philadelphia, PA Zanmi Fonkoze Richmond, VA Zanmi Fonkoze Santa Barbara, CA Zanmi Fonkoze Washington, DC
In-Kind Donors and Volunteers Akin Gump Strauss Hauer & Feld LLP Dickstein Shapiro LLP Colette Pollitt, P.C. Real Estate Counselors, PLLC Vitamin Angels
Endowments and Memorials The Jerry and Anna Bedford Endowment Fund H. Fred Clark Memorial Fund Bob and Marie Fehribach Memorial Fund Raymond and Lise Giraud Memorial Fund
Shoulder-toShoulder Legacy Society Anonymous Jerry and Anna Bedford Leigh Carter and Andrew Schuman Alexander and Emily Counts Margaret Demeré Barbara DiTommaso James and Betty Hanigan Anne H. Hastings Brian and Diana Lovett Joe and Mary Palen Peg Rosenkrands
* The Fonkoze Family makes every effort to acknowledge all donors and expresses their regrets for any donor who is not listed. If you see that your name was excluded in error, please contact Fonkoze USA at 202.628.9033.
2014 Fonkoze Leadership ENDNOTES
Fonkoze Family Senior Staff
Honorary Board of Directors of Fonkoze USA
1
SÈVIS FINANSYE FONKOZE, S.A. Matthew Brown, Chief Executive Officer Dominique Boyer, Chief Operating Officer Francis Ollivier, Chief Information Officer
Jose Artiga Jerry Bedford Mary Becker Gary Becker Maryann Boord Dr. Paul Farmer Maureen Fenlon, OP Brian Gately Beverly Lucas Michael McClanen Father Albert McKnight, CSSp Ruth Messinger Louis Prezeau Marie M.B. Racine Michael Rauenhorst Winston Tellis Anne Hastings, Emeritus
“Most of the 12 lowest-priced generic medications were sold at higher prices in Haiti as compared to Nicaragua, Mexico, Colombia, and Bolivia. On average these medications were sold in Haiti at 10 times the international reference price.” Chahal HS, et al. Journal of Global Health, December 2013.
2 For more information on the Graduation Model, see http:// www.cgap.org/topics/graduation-sustainable-livelihoods. 3 Fonkoze USA has no role with respect to any offering by SFF and will not receive any proceeds therefrom. Accordingly, Fonkoze USA takes no responsibility for the accuracy or adequacy of any disclosure or other materials delivered in connection with any offering by SFF.
FONDASYON KOLE ZEPÒL Carine Roenen, Executive Director FONKOZE USA Leigh Carter, Executive Director
Fonkoze S.A. Board of Directors Father Joseph B. Philippe, CSSp, President Brian Kearney-Grieve, Vice-President Julian Schroeder, Secretary/Treasurer Anne H. Hastings Chantal Hudicourt Ewald Daniel Robinson
Sèvis Finansye Fonkoze, S.A. Board of Directors Father Joseph B. Philippe, CSSp, General Coordinator Ben Simmes, Vice-President Mary Joe Sentner, Secretary/Treasurer Damian Blackburn Daniel Godefroy Anne H. Hastings Brian Kearney-Grieve Daniel Robinson
Fondasyon Kole Zepòl Board of Directors Father Joseph B. Philippe, CSSp, General Coordinator Dominique Boyer Guerda Eustache Thony Fleury Alexandre Hector Frednel Isma Yodeline Mérelus Guy Paraison Marie Deleure Jean Plaisival Herold Rodrigue Obény Rose Lunese Valcy
Fonkoze USA Board of Directors Matt Balitsaris, Chair Therese Feng, Vice Chair and Treasurer Daniel Robinson, Secretary Claude Alexandre Leigh Carter Alex Counts Beth Daniels Madeleine Féquière Margaret (Peg) Fourré Marguerite Lathan Jean Guy Noel Father Joseph B. Philippe, CSSp Leslie Thurman Laura Wright David Garfunkel, Board Fellow Charlie Petty, Board Fellow Meera Sawkar, Board Fellow
Fonkoze Family Coordinating Committee REPRESENTING FONDASYON KOLE ZEPÒL Marie Deleure Jean Plaisival Dr. Florence Jean-Louis REPRESENTING FONKOZE S.A., AND SÈVIS FINANSYE FONKOZE, S.A. Julian Schroeder, Co-chair Mary Joe Sentner Ben Simmes REPRESENTING FONKOZE USA Alex Counts, Co-Chair Laura Wright Matt Balitsaris
Credits EDITORIAL TEAM Ana Adamson Linda Boucard Matthew Brown Leigh Carter Therese Feng Peg Fourré Charles Gravitz Brian Kearney-Grieve Lyla Leigh Natalie Parke Nikelson Pierre-Louis Carine Roenen Steven Werlin Marta VanderStarre DESIGN Brad Latham PHOTOGRAPHY All photos not otherwise credited in the report were taken by Darcy Kiefel. www.kiefelphotography.com PRINTED BY: Petree Press, a Division of Worth Higgins & Associates, Inc.
Special Thanks The leadership expresses deep gratitude for the 800+ dedicated staff members working throughout Haiti.
FONKOZE FAMILY 2014 ANNUAL REPORT
25
SÈVIS FINANSYE FONKOZE, S.A. 119 Avenue Christophe Port-au-Prince, Haiti 505 (from Haiti) 1.800.293.0308 (from US)
FONDASYON KOLE ZEPÒL 119 Avenue Christophe Port-au-Prince, Haiti 505 (from Haiti) 1.800.293.0308 (from US)
FONKOZE USA 1718 Connecticut Avenue NW, Suite 201 Washington, DC 20009 202.628.9033
www.fonkoze.org
Fonkoze USA holds Charity Navigator’s top four-star rating for exceeding industry standards and outperforming most charities in its cause.
GuideStar recognizes Fonkoze USA as a Valued Partner.
Fonkoze USA participates in the Combined Federal Campaign.
The Better Business Bureau recognizes Fonkoze USA as an Accredited Charity.