Annual Report

January 1, 2010 — June 30, 2010

What Will You Start?

2
start something ™

What if every child fulfills his or her potential?

What if every child is set on the right path today?

What if every child in America graduates high school and

college, and gives back to his or her community?

What will that start?

It will be the start of something BIG. Every time you donate

money or time to Big Brothers Big Sisters to help a child reach

his or her potential, you Start Something™.

Cover: Big Sister Zorina helps Little Sister Deva with school work. 3
Inside: Big Brother John Paul and Little Brother Edgar visit the library.
Letter
Letterfrom
fromthe
theCEO
CEO
Dear Supporter,

It is an honor to provide you with Big Brothers Big Sisters of

America’s January 1, 2010 to June 30, 2010 annual report. In
2010, we changed our fiscal year from a calendar year to
July 1 – June 30 to better reflect our revenue and expense
cycle. Changing our fiscal year has enabled an enhanced
business and budget planning process. A full annual report
covering July 1, 2010 to June 30, 2011 will be issued for our
next fiscal year.

Thank you to our valuable partners, generous donors, and

dedicated volunteers who support our mission to change
children’s lives for the better, forever. You stood with us in 2010
to Start Something™ for children facing adversity. You made
it possible to provide children with caring adult role models
that broaden their perspectives on what can be achieved by
making positive choices. You helped improve communities
and made America a stronger nation.

In 2010, with your support, we continued our focus on starting

and sustaining the strongest match relationships possible. The
longer a child is matched with a caring volunteer, the more
positive the outcomes. That is why we pay special attention to
the length of each relationship. We are proud that the average
length of both Community-Based and School-Based matches
increased between January 1 and June 30, 2010.

You should be exceptionally proud of everything you help

Big Brothers Big Sisters accomplish. Please accept sincere and
heartfelt thanks on behalf of those children that we serve, and
those that we strive to serve.

Regards,

80.100.0.0
Karen J. Mathis
President and Chief Executive Officer
Big Brothers Big Sisters of America
65.92.0.0

100.72.0.6

4
 Little Sister Deva and Big Sister
Zorina take time out after soccer 5
to converse on the steps.
 Mission Statement

Our vision is that all children achieve success in life.

Our mission is to provide children facing adversity with

strong and enduring, professionally supported one-to-one

relationships that change their lives for the better, forever.

We partner with parents/guardians, volunteers, and others in the

community and hold ourselves accountable for each child in our

program achieving:

Higher aspirations, greater confidence, and

better relationships

Avoidance of risky behaviors

Educational success

6 Big Brother Jesse helps Little Brother

Jonathan play a tune on the guitar.
 85% of former Littles surveyed agree that their
experience has influenced them in having confidence
in their abilities.

7
Real Life Stories

Little Sister Nia

Aspires to Attend College

O
ne of the many hopes of every parent is for his or her child to
have the opportunity to explore new horizons with someone
who could be a positive influence in that child’s life. That was
exactly why in 2007 Suzan, a single Mom with a disability, sought
the assistance of Big Brothers Big Sisters for her daughter, Nia.
“Because of my disability, I can’t do as much for my daughter as I
would like. The program allows Nia to get out of her neighborhood
and see and experience new things. Big Brothers Big Sisters is a
positive force.”

With the support of donors, Big Brothers Big Sisters was able to
pair Nia with Big Sister Rosette, a high school teacher. Rosette
describes “just clicking” on her first meeting with Little Sister Nia.
In fact, they found that they clicked on many levels, including an
interest in photography, when Rosette brought a camera to their
first meeting and they spent their time taking pictures.

8
 Little Sister Nia and Big Sister Rosette share their favorite
paintings with each other on the bleachers.

Now, over three years later, Rosette echoes Suzan’s hopes, “I want
for Nia to know there are so many opportunities available for her.
I also want her to be a positive influence on her younger brothers
who now also have Bigs.”

Litte Sister Nia understands why her mom felt she needed a mentor
and says, “Rosette helps expand my view of the world and what I
can achieve. I now have different dreams and aspirations. I want to
attend college and study psychology.”

Both Rosette and Suzan credit Umecka, their Big Brothers Big
Sisters Match Support Specialist, for helping them maintain open
lines of communication. Rosette and Nia get together at least three
times each month and engage in a variety of activities including
attending movies and just enjoying some good girl talk.

9
Letter from the
Partnering for CEO
Success

B
ig Brothers Big Sisters is committed to enhancing our
role in being a part of a collaborative system of support
that leads to positive outcomes for America’s youth.

We partner with families, donors, volunteers, schools,

government, and other organizations to provide children
facing adversity with the tools they need to not only
succeed, but thrive. Research demonstrates that Big
Brothers Big Sisters helps children stay in school and out
of trouble.

To ensure we are able to effectively and efficiently address

children’s needs long into the future, we are focusing on
building and strengthening our relationships with key
educational and juvenile justice partners. Together we
will create stronger families, better schools, and safer
communities.

10 Little Brother Jack looks up to his Big Brother Matt,

a firefighter in New York City.
90% of former Littles surveyed agree that their Big helped
them make better choices throughout their childhood

11
 Program Highlights

B
ig Brothers Big Sisters impacted the lives of nearly 180,000
children facing adversity between January 1, 2010 and June
30, 2010 through our two core programs: Community-Based and
School-Based mentoring.

We know that the longer a child is matched with a caring mentor

in our program, the greater the impact on that child’s life. We are
proud that between January and June we saw an increase in the
average length of each match relationship, as well as increases in
other major milestones, including the six month retention rate and
twelve month retention rate.

However, there is always more work to be done. We continue to

enhance our School-Based Mentoring program to bridge the out-of-
school months by encouraging communications during the summer
to strengthen the relationship and enable it to continue into the
next school year.

Average Match Length

22.9
21.1
20
Months

15
12.2
10.6
10

5
Community-Based

School-Based
January - June January - June
2009 2010
12
 r
e
nd
Boys
Ge

45 %

Girls
55 %

American Indian
or Alaska Native
Asian/Native Hawaiian or
1.4%
Other Pacific Islander
1.4%
ty
ci
ni
Eth

White
30.8%
Black
38.6%

Some
Other Race Hispanic
2.3% 17.3%
Multi-Race
8.2%

18-19
years old
3.1%

15-17
e

years old
Ag

14.9%
4- 9 years old
20.4%

13-14 years old

19.9%

10-12 years old

41.7%

Little Brother Iman and Big Brother Omar 13

look through a book on soccer.
Program Highlights

F
or more than 100 years, Big Brothers Big Sisters has operated
under the belief that inherent in every child is the ability to
succeed and thrive in life. Most children served by Big Brothers Big
Sisters are in single-parent and low-income families or households
where a parent is incarcerated. Big Brothers Big Sisters also targets
underserved communities including children of military families
and African-American, Hispanic, and Native American communities.
These programs are made possible because of the partnerships we
share with parents/guardians, schools, and community members.

One program for which we expanded partnerships between January 1

and June 30, 2010 is African American Mentoring. A disproportionate
number of the boys ready and waiting to be matched with a Big
Brother are African American. In an effort to recruit more African
American volunteers, especially men, we partnered with urban radio
personality Michael Baisden during his 72-city One Million Mentors
Campaign to Save Our Kids; expanded our partnerships with African
American fraternities which now include Alpha Phi Alpha, Kappa
Alpha Psi, and Omega Psi Phi; and developed a partnership with the
African Methodist Episcopal Church.

Right: Little Brother Raequan jumps for joy after a visit

to the library with his Big Brother Kevin.
14 Left: Michael Baisden with members of Big Brothers Big Sisters of America.
90% of former Littles surveyed agree that their Big
provided stability when they needed it.

15
 Real Life Stories

Little Brother Andrew builds

his confidence

M
argaret, a former soldier in the U.S. Army, recognized that
her son Andrew needed the steady influence of a man in his
life. Andrew’s dad died when he was only 9 years old. That is when
Margaret called Big Brothers Big Sisters.

Big Brothers Big Sisters found the perfect match when they
paired Andrew with John, an insurance broker. John first became
interested in Big Brothers Big Sisters through a colleague who was
a board member of the local organization. According to John, “It’s
more than what I hoped for, it’s one of the best things in my life
and I highly recommend it to others.” John, who grew up in a single
Mom household, understood the importance he could have in Little
Brother Andrew’s life.

16 6
 Little Brother Andrew and Big Brother John take a break from
their game of catch to pose for the camera.

John and Andrew frequently hike trails surrounding where they live.
Little Brother Andrew, a self-proclaimed science buff, can name just
about every tree and plant. With John’s help, Andrew even became
one of the few Boy Scouts in the country to complete every activity
in his handbook.

According to Margaret, she has seen a remarkable change in

Andrew since his first meeting with John. “I understand that at age
11 Andrew is still finding himself. However, he is communicating
much better and is more confident when speaking.” Andrew has
even decided he wants to follow in his parent’s footsteps and join
the military one day.

17
Letter fromBoard
National the CEO
of Directors

National Board Chair

Greg Page Edward B. Rudner
Chairman and Chief Executive President & CEO, Online
Officer, Cargill, Inc. Vacation Center

Michael Angelakis Steven L. Schwartz

Chief Financial Officer, President & CEO, Tennis
Comcast Corporation Corporation of America

Jody Bilney James F. Singleton

(Chair 2004 - 2005) CEO, Singleton Associates
Executive Vice President & Chief
Brand Officer, OSI
Elizabeth Smith
Restaurant Partners, LLC
CEO, OSI Restaurant Partners, LLC

Frank Bracken
Kate Snow
(Immediate Past Chair)
Former President & COO, NBC News
Haggar Clothing Company
Lynn Swann
William W. “Bill” Hanna (Chair 1993 - 1995)
President (Retired), President, SWANN, Inc.
Koch Industries, Inc.
Robert Taylor
William Hybl President & CEO, Do It Best Corp.
Chairman and Chief Executive
Officer of El Pomar Foundation Beverly Benz-Treuille
President,
Brian Jackson Big Brothers Big Sisters International
(Chair Elect)
Former EVP, Chief Financial and Fernando Vigil
Administrative Officer, CoBank
Director, Bain Capital Ventures

Karen J. Mathis Kevin Warren

President & CEO,
President US Solutions Group,
Big Brothers Big Sisters of America
Xerox Corporation

James J. O’Brien Robert L. Wood

Chairman & CEO, Ashland, Inc.
(Chair 2000 - 2002)
Former Chairman, President & CEO,
Frances Rubacha Chemtura Corporation

18 Little Sister April and Big Sister Lorane

enjoy fishing on a sunny day.
 83% of former Littles surveyed agree that their
Big instilled values that have guided them through life.

19
Letter fromStatements
Financial the CEO

Report of Independent Auditors

To the Board of Directors:

In our opinion, the accompanying statement of financial position

 
and the related statements of activities, cash flows and expenses by
functional area present fairly, in all material respects, the financial
position of Big Brothers Big Sisters of America (the Organization)
at June 30, 2010, and the changes in its net assets and its cash
flows for the six months then ended in conformity with accounting
principles generally accepted in the United States of America. These
financial statements are the responsibility of the Organization’s
Report of Independent Auditors
management. Our responsibility is to express an opinion on these
financial statements based on our audit. We conducted our audit of
To the Board
these of Directors:
statements in accordance with auditing standards generally
accepted
In in the
our opinion, United States
the accompanying of America.
statement Those
of financial standards
position require
and the related statemen
cash flows and expenses by functional area present fairly, in all material respects, the finan
that we plan and perform the audit to obtain reasonable assurance
Big Brothers Big Sisters of America (the Organization) at June 30, 2010, and the changes i
about
and its whether
cash flowsthefor financial statements
the six months then ended areinfree of material
conformity with accounting princ
accepted in the United States of America. These financial statements are the respo
misstatement.
Organization's An audit includes
management. examining,
Our responsibility on a test
is to express basis,on these financ
an opinion
evidence
based supporting
on our the amounts
audit. We conducted andof disclosures
our audit these statementsin the financial with aud
in accordance
generally accepted in the United States of America. Those standards require that we pla
statements,
the assessing
audit to obtain theassurance
reasonable accounting principles
about whether theused and statements
financial significantare fr
misstatement.
estimates made by management, and evaluating the overall supporting the
An audit includes examining, on a test basis, evidence
disclosures in the financial statements, assessing the accounting principles used and signif
financial
made statementand
by management, presentation.
evaluating theWe believe
overall that
financial our audit
statement providesWe b
presentation.
audit provide a reasonable basis for our opinion.
a reasonable basis for our opinion.

February 25, 2011

February 25, 2011

20
 Statement of Financial Position
June 30, 2010
ASSETS JUNE 30, 2010

CURRENT ASSETS
Cash and cash equivalents $1,124,395
Cash and cash equivalents - restricted 2,696,625
Accounts receivable from affiliated agencies (net of
allowance for doubtful accounts of $60,000) 1,415,615
Contributions receivable 5,727,396
Investments 2,632,005
Prepaid expenses and other assets 142,975
13,739,011

CONTRIBUTIONS RECEIVABLE, LONG TERM 1,179,795

PROPERTY AND EQUIPMENT 463,014
INVESTMENTS
Long term investments 2,787,069
Endowmnent investments 244,768
TOTAL ASSETS $18,413,657

LIABILITIES AND NET ASSETS

CURRENT LIABILITIES
Grants payable to local agencies $2,360,469
Deferred affiliate dues revenue 1,890,954
Accounts payable and accrued expenses 805,495

TOTAL LIABILITIES 5,056,918

NET ASSETS
Unrestricted 1,509,117
Temporarily restricted 11,603,678
Permanently restricted 243,944

TOTAL NET ASSETS 13,356,739

TOTAL LIABILITIES AND NET ASSETS $18,413,657

21
Letter fromStatements
Financial the CEO
Statement Of Activities
Six Months Ended June 30, 2010

Unrestricted Temporarily Permanently Total

Restricted Restricted
PUBLIC SUPPORT
AND REVENUES
Public support
Contributions and grants $3,181,879 $1,433,244 $ - $4,615,123
Government funding - - - -
3,181,879 1,433,244 - 4,615,123
Revenues
Membership fees 1,406,693 - 1,406,693
Investment income (loss) 9,399 80,796 - 90,195
Other income 459,267 - - 459,267
1,875,359 80,796 - 1,956,155
NET ASSETS RELEASED
FROM RESTRICTIONS
Satisfaction of program
restrictions 4,981,463 (4,981,463) - -
TOTAL PUBLIC SUPPORT
AND REVENUES 10,038,701 (3,467,423) - 6,571,278

EXPENSES
Program services
Program development 3,493,578 - - 3,493,578
Field services 4,553,499 - - 4,553,499
Member communications 2,643,878 - - 2,643,878
10,690,955 - - 10,690,955
Support services
Management and general 750,859 - - 750,859
Fundraising 959,556 - - 959,556
1,710,415 - - 1,710,415
TOTAL EXPENSES 12,401,370 - - 12,401,370
CHANGE IN NET ASSETS (2,362,669) (3,467,423) - (5,830,092)
NET ASSETS - BEGINNING OF
YEAR 3,871,786 15,071,101 243,944 19,186,831
NET ASSETS - END OF YEAR $1,509,117 $11,603,678 $243,944 $13,356,739

22
 Statement Of Cash Flows
Six Months Ended June 30, 2010

CASH FLOWS FROM OPERATING ACTIVITIES

Change in net assets $ (5,830,092)
Adjustments to reconcile change in net assets to net cash
provided by operating activities
Depreciation 43,803
Change in net assets from investments, restricted cash and endowements (80,789)
Bad debt expense 234,018
Reduction in debt discount 82,585
(Increase) decrease in assets
Accounts receivable from agencies (1,147,199)
Contributions receivable 2,604,395
Prepaid expense and other assets (28,708)
Increase (decrease) in liabilities
AP & accrued expenses 24,772
Grants payable to local agencies 19,124
Deferred revenue fees 1,890,954
Net cash provided by operating activities (2,352,317)

CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures (29,910)
Receipts of restricted cash (6,329,827)
Release of restricted cash from restriction 5,046,591
Net cash provided by investing activities (1,313,146)

NET DECREASE IN CASH AND CASH EQUIVALENTS $ (3,665,463)

CASH AND CASH EQUIVALENTS- BEGINNING OF PERIOD 4,789,858
CASH AND CASH EQUIVALENTS- END OF PERIOD 1,124,395

23
Letter fromStatements
Financial the CEO

Statement Of Expenses By Functional Area

Six Months Ended June 30, 2010

Program Services


Program Field Member
Develop Services Comm

Salaries and related expenses $ 969,526 $ 1,818,913 $ 578,537

Grants to local agencies 2,052,645 2,052,645 -
Professional Services 72,142 - 1,924,433
Telephone, postage and shipping 33,046 61,997 19,719
Occupancy and maintenance 81,612 153,111 48,700
Printing, publications and promotions 18,092 33,942 10,796
Conferences, travel and events 229,462 363,378 39,584
Insurance 17,659 33,129 10,537
Leases 9,330 17,503 5,568
Depreciation 10,064 18,881 6,004
Other - - -
$ 3,493,578 $ 4,553,499 $ 2,643,878

24
 Big Brother Jin listens as Little Brother Bill
reads him a book at the local library.

Support Services

Total Supporting Services Total

Program Management Fund Support
Services & General Raising Services Total

$ 3,366,976 $ 234,185 $ 618,737 $ 852,922 $ 4,219,898

4,105,290 - - - 4,105,290
1,996,575 421,238 164,837 586,075 2,582,650
114,762 7,982 21,089 29,071 143,833
283,423 19,713 52,083 71,796 355,219
62,830 4,370 11,546 15,916 78,746
632,424 54,421 67,618 122,039 754,463
61,325 4,265 11,269 15,534 76,859
32,401 2,254 5,954 8,208 40,609
34,949 2,431 6,423 8,854 43,803
- - - - -
$ 10,690,955 $ 750,859 $959,556 $ 1,710,415 $ 12,401,370

25
National Office • 230 North 13th Street • Philadelphia, PA 19107