WILLINGDON CHURCH 2014/15 BUDGET REPORT

WILLINGDON CHURCH 2014/15 BUDGET REPORT

LETTER FROM RAY FAST 2015 FINANCE COMMITTEE REPORT On behalf of the Finance Committee we thank you for your faithful giving and contribution to the many ministries within Willingdon Church and its outreach programs. Along with the elders, the finance committee takes stewardship of your donations very seriously, knowing the ultimate purpose is the furthering of God s kingdom. Acts 20:28 says, Pay careful attention to yourselves and to all the flock, in which the Holy Spirit has made you overseers, to care for the church of God, which he obtained with his own blood (ESV). Each of us can participate in caring for the church, following the example of Christ s sacrifice, by giving of our time, talents and tithes. God has blessed us with the resources necessary to carry on His ministry at Willingdon and to further His Kingdom by providing opportunities to partner with other churches. We would like to share an encouraging report of church growth that has taken place during the past year. In the spring of 2014, Crossridge Church in Cloverdale, a church plant from Willingdon led by Pastor Lee Francois, had an opportunity to purchase the two buildings which they had been renting. Crossridge requested support for the purchase of the buildings and the elders generously agreed to a gift of $700,000 if Crossridge would raise $300,000 from their congregation. This provided the down payment necessary to purchase and renovate both buildings, giving Crossridge permanent facilities for their ministries, with room to grow. 2014 RESULTS General ministries tithes and offerings income was $7,281,443 in 2014, less than 2013 s giving of $7,645,445 but slightly more than 2012 s giving of $7,238,129. When the 2014 budget was set a year ago, the finance committee based its recommendations on improvements in the economy and steady growth in giving and attendance. Events turned out differently, with giving less than budgeted. However, giving in December 2014 surged to $1,032,610, one of the best months recorded in recent years. The December giving was broad-based from many donors in the congregation. 2 3

$8,000,000 $7,000,000 $6,000,000 $5,000,000 $4,000,000 2014 GIVING 2013 GIVING 2012 GIVING $7,281,443 3219 Givers $7,645,445 3669 Givers $7,238,129 3292 Givers GENERAL FUND TITHES & OFFERINGS 2003-2014 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 ELECTRONIC GIVING Giving to the church electronically helps Willingdon keep administration costs down. If you haven t switched to electronic giving please consider using this option. Information on ways to give can be found in the Resource Centre. GIVERS Every tithe to the church is signifcant to the work of the Kingdom. Thank you, to every cheerful giver. 3219 HOUSEHOLDS TITHED IN 2014 (INDIVIDUALS OR COUPLES) 5.3% ABW 7.5% Interac 46.2% internet 59.0% gave through electronic giving Overall ministry expenses in 2014 were less than budgeted, not including a one-time transfer of $1,200,000 to Willingdon Charitable Holdings Society to fund future development and new ministries. This decision was made by Willingdon Church elders following the 2013 year end s high surplus. The 2014 year end accumulated surplus carried forward into 2015 is $1,204,181. The 2015 budget is balanced, with budgeted income equal to budgeted expenses. 2015 OUTLOOK Looking forward to 2015, the finance committee considered several factors to establish its income expectations, including economic conditions, projections made by economists, giving trends, and attendance trends. It was noted that the Canadian economy is currently facing some challenges driven by the reduced value of crude oil. The American economy is growing moderately, but still producing high debt levels. Other large world economies such as Europe and China are sluggish and trying stimulus schemes. Economic sentiment is cautiously positive, but worldwide economic risk remains a very real factor to consider. Salary increases are expected to be correspondingly moderate for 2015. The Conference Board of Canada forecasts 1.7% average salary structure increases in 2015, the same as last year. And The Hay Group survey, used by many Canadian corporations as a guideline for salary adjustments, is projecting average salary increases of 2.6%, again the same as their forecast last year. Giving trends and attendance trends were considered by the finance committee to be more significant factors than the economic trends for forecasting tithes and offerings for 2015. Both of these indicators were in slight decline through the latter part of 2014, with December showing some signs of improvement. The committee felt it would be prudent to plan for a moderation of giving expectations until measurable trends indicated otherwise. Just over seven million dollars is needed to adequately support each of Willingdon Church s areas of ministry and all of its operating commitments. Additional funds of $300,000 are needed for capital ministry equipment and facilities. The total budget required to provide for all the ministry needs, all the operational commitments, and all of the capital expenditures is $7.3 million. CONCLUSION Taking all the above factors into consideration the elders approved a budget for 2015 of $7.3 million, about the same as actual giving for 2014. So in summary, 2014 was a fairly typical fiscal year where Willingdon Church was blessed with adequate funds to meet its commitments, and we can confidently depend on the Lord to provide all the resources necessary to carry on His ministry in 2015. Respectfully submitted on behalf of the finance committee Ray Fast, Chairman 4 5

2014/15 BUDGET HIGHLIGHTS 40.4% WILLINGDON CHURCH 2015 BUDGET AREAS PASTORAL & CHURCH MINISTRIES 2015 BUDGET = $7,362,000 3.4% CAPITAL GLOBAL MISSIONS, EDUCATION AND OUTREACH 18.0% 38.2% ADMINISTRATION, OPERATIONS AND FACILITIES CAPITAL ITEMS (BUDGET $250,000) BUILDING LEASEHOLD IMPROVEMENTS MUSIC AND COMMUNICATIONS EQUIPT. MINISTRY FURNITURE AND EQUIPMENT COMPUTER HARDWARE AND SOFTWARE GLOBAL MISSIONS, EDUCATION AND OUTREACH (BUDGET $1,327,000) GLOBAL MISSIONS & AGENCY PARTNERSHIPS WILLINGDON MISSIONS PROJECTS BCMB CONFERENCE MB MISSIONS MISSIONARY TEAMS SHORT TERM MISSIONS OUTREACH C2C CHURCH PLANTING BC CROSSRIDGE CHURCH (SURREY) REALITY CHURCH (EAST VANCOUVER) META COMMUNITIES (VANCOUVER) CHRIST CITY CHURCH (SOUTH VANCOUVER) EDUCATION WILLINGDON SCHOOL OF THE BIBLE VARIOUS WSB AROUND THE WORLD ADMINISTRATION AND OPERATIONS (BUDGET $2,814,000) OFFICE INFRASTRUCTURE EXPENSES SUPPLIES ALL MINISTRY RESOURCES INSURANCE PREMIUMS FINANCE BANKING, INTERAC, PAYROLL OCCUPANCY EXPENSES BUILDING MAINTENANCE & REPAIRS CUSTODIAN SERVICES, LANDSCAPING HYDRO, GAS, WATER UTILITIES SECURITY SYSTEMS COMMUNICATION AND PROMOTIONS PRINTERS, PAPER SUPPLIES, PHOTOCOPYING INFORMATION TECHNOLOGY INFRASTRUCTURE SERVER, INTERNET, TELEPHONES, WIFI EVENTS AND FOOD SERVICE SUPPORT STAFF SALARIES AVERAGE WEEKEND PROGRAM ATTENDANCE BY AGE 307 STUDENTS ATTEND WEEKEND STUDENT MINISTRY PROGRAMS 250+ ADULTS ATTEND WEEKEND ADULT MINISTRY CLASS 507 CHILDREN ATTEND WEEKEND KIDS MINISTRY PROGRAMS 4265 4449 2 4248 4028 PASTORAL MINISTRIES (BUDGET $2,971,000) CARE & PRAYER PASTORAL CARE, PRAYER AND VISITATION PRAISE & PRAYER NIGHTS PASTORAL CARE IN 12 LANGUAGES TRANSLATION CHILDREN S MINISTRY WEEKEND PROGRAMS AGE 0 TO GRADE 5 PLAYSCHOOL MID-WEEK PROGRAMS SCOUTS AND GEMS SPECIAL EVENTS DAY CAMPS VOLUNTEERS STUDENT MINISTRIES WEEKEND PROGRAMS GRADE 6 TO 12 YOUNG ADULTS MID-WEEK PROGRAMS SPECIAL EVENTS ADVENTURE CAMPS VOLUNTEERS ADULT MINISTRIES SMALL GROUPS DISCOVERY MARRIAGE MINISTRIES MEN S AND WOMEN S MINISTRIES SENIORS MINISTRIES FELLOWSHIP GROUPS SPECIAL EVENTS MEDIA AND COMMUNICATION WORSHIP SERVICES OUTREACH PRODUCTIONS (CHRISTMAS & EASTER) OUTREACH CONCERTS SANCTUARY & CONNECTION VENUES BROADCAST & PRODUCTION TECHNOLOGY WEBSITE MUSIC SUPPLIES, RESOURCES AND LICENSES MEDIA/MUSIC EQUIPMENT MAINTENANCE OTHER PASTORAL SALARIES PASTORAL APPRENTICESHIP PROGRAM WORSHIP LEADERS INTERNSHIP WILLINGDON SCHOOL OF THE BIBLE FAMILY MINISTRIES SERVICE APPRECIATION & VOLUNTEERS BIBLES, RESOURCES, CURRICULUM AND LIBRARY SUNDAY SUPPLIES 3171 2001 3505 2002 3567 2003 3603 2004 6 7 3632 2005 3669 2006 3774 2007 3868 2008 3931 2009 3964 2010 201 1 2012 2013 2014 2001-2014 SERVICE ATTENDANCE GRAPH

2015 PROPOSED BUDGET WILLINGDON CHURCH PROPOSED BUDGET 2015 - GENERAL MINISTRIES FUND Page 2 $8,000,000 GENERAL FUND TITHES & OFFERINGS 2004-2014 March 5 2015 E&OE PAGE 2 MINISTRIES SUMMARY 2012 YEAR 2013 YEAR 2014 YEAR 2014 BUDGET 2015 PROPOSED $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 EVENTS & FOOD SERVICES TOTAL EVENTS & FOOD SERVICES INCOME 149,767 186,642 223,655 172,000 200,000 TOTAL EVENTS & FOOD SERVICES EXPENSES 258,418 284,546 311,731 319,000 344,000 INCOME OVER EXPENSES OR (SUBSIDY) (108,651) (97,904) (88,076) (147,000) (124,000) PLAYSCHOOL TOTAL PLAYSCHOOL INCOME 133,882 151,597 155,379 142,000 158,000 TOTAL PLAYSCHOOL EXPENSES 132,182 169,879 172,755 155,000 161,000 INCOME OVER EXPENSES OR (SUBSIDY) 1,700 (18,282) (17,376) (13,000) (3,000) MISSIONS TOTAL MISSIONS INCOME 242,866 269,179 247,059 179,000 265,000 TOTAL MISSIONS EXPENSES 905,826 925,467 981,714 1,105,000 1,017,000 INCOME OVER EXPENSES OR (SUBSIDY) (662,960) (656,288) (734,655) (926,000) (752,000) 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 CHILDREN S MINISTRIES TOTAL CHILDREN S MINISTRIES INCOME 62,209 53,211 55,993 60,100 58,700 TOTAL CHILDREN S MINISTRIES EXPENSES 117,628 111,415 132,755 152,100 150,700 INCOME OVER EXPENSES OR (SUBSIDY) (55,419) (58,204) (76,762) (92,000) (92,000) WILLINGDON CHURCH PROPOSED BUDGET 2015 - GENERAL MINISTRIES FUND Page 1 March 5 2015 E&OE PAGE 1 GENERAL MINISTRIES FUND SUMMARY 2012 YEAR 2013 YEAR 2014 YEAR 2014 BUDGET 2015 PROPOSED GENERAL MINISTRIES INCOME TITHES & OFFERINGS 7,238,129 7,645,445 7,281,443 7,750,000 7,300,000 MISSIONS SPECIAL PROJECTS 57,642 209,587-50,000 50,000 INTEREST EARNED 15,240 22,166 16,614 15,000 12,000 TOTAL GENERAL MINISTRIES INCOME 7,311,011 7,877,198 7,298,057 7,815,000 7,362,000 TOTAL MINISTRIES INCOME PAGE 2-3 1,102,103 1,202,239 1,163,243 1,152,600 1,326,700 TOTAL MINISTRIES EXPENSES PAGE 2-3 8,405,691 7,325,483 9,084,929 8,416,600 8,438,700 TOTAL MINISTRIES EXPENSES OVER INCOME OR (SUBSIDY) (7,303,586) (6,123,244) (7,921,686) (7,264,000) (7,112,000) GENERAL MINISTRIES FUND GAIN OR (DEFICIT) 7,423 1,753,954 (623,629) 551,000 250,000 BALANCE BEGINNING OF YEAR 1,579,739 1,330,407 2,453,065 - - PLUS SALE OF ASSETS 27,979 2,306 - - - STUDENT MINISTRIES HIGH VOLTAGE TOTAL HIGH VOLTAGE INCOME 7,935 10,401 24,539 25,000 26,500 TOTAL HIGH VOLTAGE EXPENSES 33,242 34,075 54,722 55,000 57,500 INCOME OVER EXPENSES OR (SUBSIDY) (25,307) (23,674) (30,183) (30,000) (31,000) STUDENT MINISTRIES RIPTIDE TOTAL RIPTIDE INCOME 20,322 19,041 24,987 34,000 37,000 TOTAL RIPTIDE EXPENSES 56,451 52,105 71,755 77,000 81,000 INCOME OVER EXPENSES OR (SUBSIDY) (36,129) (33,064) (46,768) (43,000) (44,000) STUDENT MINISTRIES ENCOUNTER TOTAL ENCOUNTER INCOME 33,632 38,964 17,100 47,500 44,000 TOTAL ENCOUNTER EXPENSES 59,803 61,602 51,624 77,500 74,000 INCOME OVER EXPENSES OR (SUBSIDY) (26,171) (22,638) (34,524) (30,000) (30,000) STUDENT MINISTRIES GENERAL TOTAL STUDENT MINISTRIES GENERAL INCOME 25,290 27,941 8,179 10,000 8,000 TOTAL STUDENT MINISTRIES GENERAL EXPENSES 50,586 52,720 28,782 29,000 28,000 INCOME OVER EXPENSES OR (SUBSIDY) (25,296) (24,779) (20,603) (19,000) (20,000) LESS CAPITAL EXPENDITURES 278,859 633,602 623,708 551,000 250,000 LESS INTERFUND TRANSFERS 5,875-1,547 - - BALANCE END OF YEAR 1,330,407 2,453,065 1,204,181 - - 8 9

WILLINGDON CHURCH PROPOSED BUDGET 2015 - GENERAL MINISTRIES FUND Page 3 March 5 2015 E&OE PAGE 3 MINISTRIES SUMMARY 2012 YEAR 2013 YEAR 2014 YEAR 2014 BUDGET 2015 PROPOSED WILLINGDON CHURCH PROPOSED BUDGET 2015 - OTHER FUNDS Page 4 t March 5 2015 E&OE PAGE 4 OTHER FUNDS SUMMARY 2012 YEAR 2013 YEAR 2014 YEAR 2014 BUDGET 2015 PROPOSED COLLEGE & CAREER GENERATE TOTAL COLLEGE & CAREER GENERATE INCOME 2,515 785 245 11,000 9,000 TOTAL COLLEGE & CAREER GENERATE EXPENSES 15,063 10,703 11,913 31,000 27,000 INCOME OVER EXPENSES OR (SUBSIDY) (12,548) (9,918) (11,668) (20,000) (18,000) ADULT MINISTRIES TOTAL ADULT MINISTRIES INCOME 70,807 121,940 51,339 93,000 169,000 TOTAL ADULT MINISTRIES EXPENSES 151,857 185,551 122,995 188,000 261,000 INCOME OVER EXPENSES OR (SUBSIDY) (81,050) (63,611) (71,656) (95,000) (92,000) INTERNATIONAL MINISTRIES TOTAL INTERNATIONAL MINISTRIES INCOME 39,988 24,479 39,898 19,000 49,500 TOTAL INTERNATIONAL MINISTRIES EXPENSES 84,452 33,376 65,866 46,000 81,500 INCOME OVER EXPENSES OR (SUBSIDY) (44,464) (8,897) (25,968) (27,000) (32,000) MUSIC AND COMMUNICATIONS TOTAL MUSIC & COMMUNICATIONS INCOME 222,441 51,388 61,497 50,000 50,000 TOTAL MUSIC & COMMUNICATIONS EXPENSES 486,715 305,637 333,465 342,000 345,000 BALANCE BEGINNING OF YEAR 2,050-6,736 - - BENEVOLENT FUND TOTAL BENEVOLENT FUND INCOME 167,509 257,660 170,039 229,700 184,000 TOTAL BENEVOLENT FUND EXPENSES 175,433 250,924 178,322 229,700 184,000 INCOME OVER EXPENSES OR (DEFICIT) (7,924) 6,736 (8,283) - - PLUS INTERFUND TRANSFERS 5,875-1,547 - - BALANCE END OF YEAR - 6,736 - - - BALANCE BEGINNING OF YEAR 31,610 18,548 19,507 - - ANDY S CAMP FUND TOTAL ANDY S CAMP FUND INCOME 18,538 19,459 13,347 - - TOTAL ANDY S CAMP FUND EXPENSES 31,600 18,500 19,500 - - INCOME OVER EXPENSES OR (DEFICIT) (13,062) 959 (6,153) - - BALANCE END OF YEAR 18,548 19,507 13,354 - - BALANCE BEGINNING OF YEAR 1,488,003 1,329,195 1,451,807 - - INCOME OVER EXPENSES OR (SUBSIDY) (264,274) (254,249) (271,968) (292,000) (295,000) FINE ARTS ACADEMY TOTAL FINE ARTS ACADEMY INCOME - 161,638 179,865 150,000 150,000 TOTAL FINE ARTS ACADEMY EXPENSES - 179,344 198,140 150,000 150,000 INCOME OVER EXPENSES OR (SUBSIDY) - (17,706) (18,275) - - CAPITAL ASSETS FUND TOTAL CAPITAL ASSETS FUND INCOME 54,052 5,275 2,450 - - TOTAL CAPITAL ASSETS FUND EXPENSES 463,740 513,959 485,591 - - INCOME OVER EXPENSES OR (DEFICIT) (409,688) (508,684) (483,141) - - PLUS INTERFUND TRANSFERS 250,880 631,296 623,708 - - BALANCE END OF YEAR 1,329,195 1,451,807 1,592,374 - - COMMUNITY & OUTREACH MINISTRIES TOTAL COMMUNITY & OUTREACH MINISTRIES INCOME 21,150 7,620 10,102 10,000 10,000 TOTAL COMMUNITY & OUTREACH MINISTRIES EXPENSES 1,113,512 304,710 1,554,274 348,000 448,000 INCOME OVER EXPENSES OR (SUBSIDY) (1,092,362) (297,090) (1,544,172) (338,000) (438,000) GLOBAL EDUCATION TOTAL GLOBAL EDUCATION INCOME - - - - - TOTAL GLOBAL EDUCATION EXPENSES - - - - 137,000 BALANCE BEGINNING OF YEAR 28,929 26,617 29,812 - - (MISSIONARY) DESIGNATED SUPPORT TOTAL (MISSIONARY) DESIGNATED SUPPORT INCOME 206,957 192,779 180,134 - - TOTAL (MISSIONARY) DESIGNATED SUPPORT EXPENSES 209,269 189,584 180,141 - - INCOME OVER EXPENSES OR (DEFICIT) (2,312) 3,195 (7) - - INCOME OVER EXPENSES OR (SUBSIDY) - - - - (137,000) BALANCE END OF YEAR 26,617 29,812 29,805 - - PASTORAL & CHURCH MINISTRIES TOTAL PASTORAL & CHURCH MINISTRIES INCOME 63,949 76,831 62,569 150,000 72,000 TOTAL PASTORAL & CHURCH MINISTRIES EXPENSES2,066,458 2,329,373 2,416,984 2,394,000 2,386,000 INCOME OVER EXPENSES OR (SUBSIDY) (2,002,509) (2,252,542) (2,354,415) (2,244,000) (2,314,000) BALANCE BEGINNING OF YEAR 225,634 235,634 245,634 - - ENDOWMENT FUNDS TOTAL ENDOWMENT FUNDS INCOME 10,000 10,000 10,000 - - TOTAL ENDOWMENT FUNDS EXPENSES - - - - - ADMINISTRATION OFFICE, OCCUPANCY & MINISTRY SUPPORT STAFF TOTAL ADMINISTRATION INCOME 5,350 582 837 - - TOTAL ADMINISTRATION EXPENSES 2,873,496 2,284,980 2,575,454 2,948,000 2,690,000 INCOME OVER EXPENSES OR (DEFICIT) 10,000 10,000 10,000 - - BALANCE END OF YEAR 235,634 245,634 255,634 - - INCOME OVER EXPENSES OR (SUBSIDY) (2,868,146) (2,284,398) (2,574,617) (2,948,000) (2,690,000) 10 11

SUMMARY OF FINANCIAL STATEMENTS Notice to Reader: Management has compiled the Non-Consolidated Summary Statement of Financial Position of Willingdon Church as at December 31, 2014 and the Non-Consolidated Summary Statement of Operations and Changes in Fund Balances; Non-Consolidated Summary Statement of Cash Flows; Non-Consolidated Summary Statement of Restricted Funds; and, Non-Consolidated Summary Statement of Endowment Funds for the year then ended. These financial statements have not been audited or reviewed and readers are cautioned that these statements may not be appropriate for their purposes. 12 13

WILLINGDON CHURCH WILLINGDON CHURCH Non-Consolidated Summary Statement of Cash Flows Non-Consolidated Summary Statement of Operations and Changes in Fund Balances (Unaudited See Notice to Reader) (Unaudited See Notice to Reader) General Capital Assets Restricted Endowment Fund Fund Funds Funds 2014 2013 REVENUE Tithes and offerings $ 7,281,443 $ 2,450 $ 363,520 $ 10,000 $ 7,657,413 $ 8,128,313 Ministries Children s 55,993 - - - 55,993 53,211 Student - High Voltage 24,539 - - - 24,539 10,401 Student - Riptide 24,987 - - - 24,987 19,041 Student - Impact 17,100 - - - 17,100 38,964 Student - General 8,179 - - - 8,179 27,941 College and career 245 - - - 245 785 Adult 51,339 - - - 51,339 121,940 International 39,898 - - - 39,898 24,479 Music and communication 61,497 - - - 61,497 51,388 Community and outreach 10,102 - - - 10,102 7,620 Pastoral and ministry support 62,569 - - - 62,569 76,831 Missions 247,059 - - - 247,059 269,179 Events and food services 223,654 - - - 223,654 186,642 Music school - WFAA 179,865 - - - 179,865 161,638 Play school 155,379 - - - 155,379 151,597 Interest and investment income 16,613 - - - 16,613 22,166 Administration 837 - - - 837 582 Missions special projects - - - - - 209,587 Gain on sale of capital assets - - - - - 2,305 REVENUE $ 8,461,298 $ 2,450 $ 363,520 $ 10,000 $ 8,837,268 $ 9,564,610 WILLINGDON CHURCH General Capital Assets Restricted Endowment Fund Fund Funds Funds 2014 2013 OPERATING ACTIVITIES Excess (deficiency) of revenue over expenses for the year $ (623,629) $ (483,141) $ (14,443) $ 10,000 $ (1,111,213) $ 1,266,160 Item not affecting cash: Amortization - 485,591 - - 485,591 513,959 (623,629) 2,450 (14,443) 10,000 (625,622) 1,780,119 Changes in non-cash working capital: Accounts receivable 10,820 - - - 10,820 (9,338) Recoverable from government authorities GST/HST 15,205 - - - 15,205 6,663 Accrued interest receivable (1,457) - - - (1,457) (594) Prepaid expenses (47,393) - - - (47,393) 5,815 Accounts payable and accrued liabilities 182,574 - - - 182,574 170,989 Unearned revenue (300) - - - (300) 1,050 Deferred contributions - special projects 7,229 - - - 7,229 (3,427) Cash flow from (used by) operating activities (456,951) 2,450 (14,443) 10,000 (458,944) 1,951,277 FINANCING ACTIVITIES Due to related party (23,053) - - - (23,053) 28,653 Transfer to Capital Assets Fund for additions (623,708) 623,708 - - - - Transfer to Benevolent Fund for expenses (1,547) - 1,547 - - - Cash flow from (used by) financing activities (648,308) 623,708 1,547 - (23,053) 28,653 INVESTING ACTIVITIES Increase in investments (5) - - - (5) (4) Acquisition of capital assets - (626,158) - - (626,158) (636,571) Cash flow used by investing activities (5) (626,158) - - (626,163) (636,575) NET INCREASE (DECREASE) IN CASH FLOWS (1,105,264) - (12,896) 10,000 (1,108,160) 1,343,355 CASH AND CASH EQUIVALENTS - Beginning of year 2,173,429-56,055 245,634 2,475,118 1,131,763 CASH AND CASH EQUIVALENTS - End of year $ 1,068,165 $ - $ 43,159 $ 255,634 $ 1,366,958 $ 2,475,118 Non-Consolidated Summary Statement of Operations and Changes in Fund Balances - continued (Unaudited See Notice to Reader) continued CASH AND CASH EQUIVALENTS COMPRISED OF: Cash on hand and balances with banks $ 1,068,165 $ - $ 43,159 $ - $ 1,111,324 $ 2,229,484 Restricted cash deposits - - - 255,634 255,634 245,634 $ 1,068,165 $ - $ 43,159 $ 255,634 $ 1,366,958 $ 2,475,118 General Capital Assets Restricted Endowment Fund Fund Funds Funds 2014 2013 REVENUE $ 8,461,298 $ 2,450 $ 363,520 $ 10,000 $ 8,837,268 $ 9,564,610 EXPENSES Ministries Children s 132,755 - - - 132,755 111,415 Student - High Voltage 54,721 - - - 54,721 34,075 Student - Riptide 71,755 - - - 71,755 52,106 Student - Impact 51,624 - - - 51,624 61,602 Student - General 28,782 - - - 28,782 52,719 College and career 11,913 - - - 11,913 10,703 Adult 122,994 - - - 122,994 185,552 International 65,866 - - - 65,866 33,376 Music and communication 333,465 - - - 333,465 305,637 Community and outreach 1,554,274 - - - 1,554,274 304,709 Pastoral and ministry support 2,416,984 - - - 2,416,984 2,119,786 Support staff 1,254,482 - - - 1,254,482 1,244,953 Missions 981,715 - - - 981,715 925,467 Occupancy costs 997,554 - - - 997,554 744,711 Administration 323,419 - - - 323,419 295,316 Events and food services 311,730 - - - 311,730 284,546 Missions special projects - - - - - 209,587 Music school WFAA 198,139 - - - 198,139 179,344 Play school 172,755 - - - 172,755 169,879 Amortization - 485,591 - - 485,591 513,959 Benevolent - - 178,322-178,322 250,924 Designated support - - 180,141-180,141 189,584 Camp expense - - 19,500-19,500 18,500 9,084,927 485,591 377,963-9,948,481 8,298,450 WILLINGDON CHURCH Non-Consolidated Summary Statement of Restricted Funds (Unaudited See Notice to Reader) Designated Benevolent Andrew Peters Support Fund Memorial Fund 2014 2013 Balance - Beginning of year $ 29,812 $ 6,736 $ 19,507 $ 56,055 $ 45,165 Donations received 180,134 170,039 13,347 363,520 469,898 Expenses 180,141 178,322 19,500 377,963 459,008 Net Change in Restricted Funds (7) (8,283) (6,153) (14,443) 10,890 Transfer to Benevolent Fund for expenses - 1,547-1,547 - Balance - End of year $ 29,805 $ - $ 13,354 $ 43,159 $ 56,055 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENSES FOR THE YEAR (623,629) (483,141) (14,443) 10,000 (1,111,213) 1,266,160 FUND BALANCES - Beginning of year 2,453,065 1,451,807 56,055 245,634 4,206,561 2,940,401 Transfer to Capital Assets Fund for additions (623,708) 623,708 - - - - Transfer to Restricted Funds for expenses (1,547) - 1,547 - - - FUND BALANCES - End of year $ 1,204,181 $ 1,592,374 $ 43,159 $ 255,634 $ 3,095,348 $ 4,206,561 14 15

WILLINGDON CHURCH WILLINGDON CHARITABLE HOLDINGS SOCIETY Non-Consolidated Summary Statement of Endowment Funds (Unaudited See Notice to Reader) David & Margaret Charles A. Jennings Sigvardsen Missionary Fund Fund 2014 2013 WILLINGDON CHARITABLE HOLDINGS SOCIETY Statement of Financial Position December 31, 2014 (Unaudited - See Notice To Reader) 2014 2013 Balance - Beginning of year $ 130,000 $ 115,634 $ 245,634 $ 235,634 Donations received 10,000-10,000 10,000 Balance - End of year $ 140,000 $ 115,634 $ 255,634 $ 245,634 ASSETS CURRENT Cash $ 1,625,229 $ 19,317 Term deposits 1,107,108 1,731,788 Accounts receivable 738 738 Due from related party - 23,053 Prepaid expenses 74,310 65,599 2,807,385 1,840,495 CAPITAL ASSETS (Net of accumulated amortization) 17,298,839 15,523,076 LIABILITIES AND NET ASSETS $ 20,106,224 $ 17,363,571 CURRENT Payable to government authorities - GST $ 5,400 $ 14,174 Unearned revenue 9,396 - Demand loan 1,452,290-1,467,086 14,174 NET ASSETS - page 4 18,639,138 17,349,397 $ 20,106,224 $ 17,363,571 2 Notice to Reader: Management has compiled the Statement of Financial Position of Willingdon Charitable Holdings Society as at December 31, 2014 and the Statement of Operations and Changes in Net Assets for the year then ended. These financial statements have not been audited or reviewed and readers are cautioned that these statements may not be appropriate for their purposes. 16 17

WILLINGDON CHARITABLE HOLDINGS SOCIETY Statement of Operations (Unaudited - See Notice To Reader) 2014 2013 REVENUE Contributions $ 1,400,000 $ - Rental revenue 417,453 208,256 Cost recoveries 64,773 73,221 Interest income 29,954 37,919 1,912,180 319,396 EXPENSES Amortization 408,938 378,687 Insurance 71,273 61,620 Donations 70,000 - Property taxes 39,263 23,825 Write down of building 15,299 - Professional fees 9,165 1,360 Interest and bank charges 3,871 1,845 Utilities 2,893 2,552 Accounting fees 1,737 1,819 Repairs and maintenance - 277 Administrative fees - 35 622,439 472,020 EXCESS (DEFICIENCY) OF REVENUE OVER EXPENSES - page 4 $ 1,289,741 $ (152,624) WILLINGDON CHARITABLE HOLDINGS SOCIETY Statement of Changes in Net Assets (Unaudited - See Notice To Reader) 2014 2013 NET ASSETS - BEGINNING OF YEAR $ 17,349,397 $ 17,502,021 Excess (deficiency) of revenue over expenses - page 3 1,289,741 (152,624) NET ASSETS - END OF YEAR - page 2 $ 18,639,138 $ 17,349,397 3 18