Dear Member:

The following financial documents for FY 2008-2009 are being provided in compliance with the SHPE Bylaws Articles 21 and 22 and California Code 8321 and 8322.

The Statement of Activities and Statement of Financial Position are pre-audited versions as the Audit is currently in process by MJF & Associates, APC who will provide the final report. No transactions of the type described in Sections 22.1 and 22.2 of the organization’s bylaws occurred during the fiscal year ending June 30, 2009.

Any final proceeds will be categorized as restricted income for upcoming program execution. Accounting personnel turnover continues to be an issue impacting some processes. Slow collections have a continued impact on cash flow. With the onset of slowed markets, lower returns and lower real estate costs, the organization seized this opportunity to reallocate some of its investment funds from low earnings to real property. A real estate purchase was made in the Washington, D.C. area to be used to establish an east coast office, expand operations and increase its impact on STEM education initiatives.

Please refer to the following website locations for additional information.

A list of current directors can be found at www.shpe.org/leadership.

SHPE, Inc. Bylaws Articles 21 and 22 can be found at www.shpe.org/bylaws.

California Corporate Code 8312 and 8322 can be found at http://caselaw.lp.findlaw.com/cacodes/corp/8320-8325.html.

If you have any questions, please submit them to the National Treasurer, Annette.Jimenez@shpe.org.