Dear WWHI Supporters,

Below you will find the results of an economic survey completed in Utah surveying the non-profit sector. The outcomes were grim. This information is important to us, as we are part of this community but I post this with hopes to be one of the organizations that does not see the effects of the economic tightening. We are an innovative, hardworking group that is willing to work and investigate unprecedented areas to find funds which will ultimately aid suffering women and children.

I know already, there have been great ideas. The message and focus of WWHI is a strong, convincing message. I am proud of all our supporters' and volunteers' efforts. Let's continue...and ultimately be the anomaly!

Sincerely,

Dana Allison
Executive Director
Women's World Health Initiative

LATEST FINANCIAL STUDY PREDICTS A LOOMING CRISIS FOR MANY UTAH NONPROFITS

SALT LAKE CITY, UT, October 6, 2010 —For the past two years the Community Foundation of Utah and
Wells Fargo have been surveying state’s charities to see how the nonprofit sector was faring during the
recession. The studies have tracked the impact of a perfect storm – decreases in giving and more demand
from individuals and families in need. 178 nonprofits responded to the survey.

The foundation’s latest study covers the first nine months of 2010 and reveals that as many as a third of
the state’s nonprofit organizations are in danger of closing their doors. Why? A continued decline in
donations, limited if any reserve funds, and a continued increase in demand for assistance.Nearly three years of a down economy have taken a profound toll on Utah’s nonprofits. The continued
declines in giving have depleted operating reserve capital, meaning that too many nonprofits are, like
their clients, living month to month. Donations from corporations, foundations, government contracts
and individuals continued to erode in 2010.

• 64% of the agencies have seen donations decrease since the start of 2010.
• 75% of health and human service agencies say donations have decreased since the beginning of
  the year perhaps, pointing to donor fatigue as the recession wears on.
• 14% of these agencies have no money in the bank. Anecdotal evidence from foundations has
  confirmed an uptick in ‘pay day loans’ to help agencies make payroll. Other foundations report
  that they have been asked by their long term partners to push an expected annual gift forward,
  or to make an additional emergency gift.
• 58% have enough money on hand to keep their doors open 3 months or less.

The need for assistance has not decreased.

• 78% of all reporting agencies and 92% of health and human service providers say that the
  demand for their services and programs rose again in 2010.
• 68% of rural organizations say “The people we serve continue to suffer the impact of the
  recession”

Given that funds continue to decline and need continues to increase, the stress on nonprofit leadership,
including staff, executive directors and their boards is considerable. This survey found evidence of the
results of three years of unrelenting pressures, including staff and board burn out. However, Utah’s
nonprofit leaders share a deep passion for their causes and their organizations. Pockets of
encouragement exist in all sectors.

• 69% of the agencies have added new donors since the start of the recession.
• 65% have started or enhanced a new media strategy, using the web to reach new audiences.
• Arts organizations report a steady increase in ticket sales each of the past three years. This may
  reflect great efforts to increase awareness of the vital importance these cultural institutions play in
  our community as well as increased marketing efforts.

The Community Foundation of Utah is working to bring new resources to nonprofits by ‘engaging the
giving minds’ of Utah’s entrepreneurs. The need for innovation is now, and the results can, as this
Executive Director wrote, ensure a bright future for the organizations that make Utah a wonderful place
to grow businesses, families and community. “What's amazing is that the lack of financial resources has forced us to re-evaluate everything we're
doing and refine our programs and plans and finances. Because of the recession, our organization is
100 times better and our programs are going to be FAR more efficient. We've learned that money
isn't necessarily our biggest bottleneck, and have learned to work around it. I've never been so
optimistic about our future.”