2011-11-15T12:33:57-06:00 2010-12-31 BDO USA LLP 7101 WISCONSIN AVE SUITE 800 BETHESDA MD 208144827 990 2010-01-01 132535763 ACCION INTERNATIONAL ACCI 6176257080 56 ROLAND STREET NO 300 BOSTON MA 02129 RUSSELL FAUCETT 6176257080 2011-11-15 1 JOYCE M UNDERWOOD 3016544900 2010 2016-03-07 17:11:31Z LIVINGSTON PARSONS III 56 ROLAND STREET NO 300 BOSTON MA 02129 59171274 0 X WWW.ACCION.ORG X 1965 NY TO ASSIST IN THE IMPROVEMENT OF SOCIAL, ECONOMIC AND CULTURAL CONDITIONS IN THE WORLD. 20 19 143 4 1207299 -22750 10402928 7407229 2352927 1590519 31727577 46563982 1027379 1797741 45510811 57359471 3214937 3972327 0 0 15227028 14971179 186500 164182 2652803 10683396 9370720 29311861 28478408 16198950 28881063 342297882 423755108 8393567 8926274 333904315 414828834 X ACCION INTERNATIONAL IS A PRIVATE, NONPROFIT ORGANIZATION WITH THE MISSION OF GIVING PEOPLE THE FINANCIAL TOOLS THEY NEED TO WORK THEIR WAY OUT OF POVERTY. BY PROVIDING "MICRO" LOANS, FINANCIAL SERVICES AND BUSINESS TRAINING TO POOR MEN AND WOMEN WHO START THEIR OWN BUSINESSES, ACCION HELPS PEOPLE WORK THEIR WAY UP THE ECONOMIC LADDER, WITH DIGNITY AND PRIDE. 0 0 12124010 3835577 1282317 GLOBAL PROGRAMS AND MICROLENDING: ACCION IS AN INNOVATOR IN FINANCIAL ACCESS BY DEVELOPING MANY OF THE BEST PRACTICES AND EMERGING STANDARDS IN THE INDUSTRY. ACCION PROVIDES A FULL RANGE OF MANAGEMENT SERVICES, INVESTMENT AND GOVERNANCE SUPPORT TO HELP FINANCIAL INSTITUTIONS BUILD INSTITUTIONAL CAPACITY, PROVIDE DIVERSIFIED HIGH-QUALITY FINANCIAL SERVICES, BECOME FINANCIALLY SUSTAINABLE AND REACH MEANINGFUL SCALE. ACCION CURRENTLY PARTNERS WITH 28 MICROFINANCE INSTITUTIONS (MFIS) IN 22 COUNTRIES ON 4 CONTINENTS. IN ADDITION, ACCION OWNS AND OPERATES TWO MFIS - ONE IN CHINA AND ONE IN BRAZIL. AT THE END OF 2010, ACCION'S NETWORK OF PARTNER MFIS WERE SERVING 4.2 MILLION BORROWERS WITH AN ACTIVE LOAN PORTFOLIO OF $4.6 BILLION AND SAVINGS ACCOUNTS VALUED AT MORE THAN $2.2 BILLION. 1978338 56805 GLOBAL INVESTMENTS: ACCION PROVIDES EARLY-STAGE EQUITY, QUASI-EQUITY FINANCING AND LOAN GUARANTEES TO HELP MFIS BECOME INDEPENDENT OF DONOR FUNDS, BUILD THEIR CAPITAL BASE, ATTRACT DEPOSITS AND ATTAIN FINANCIAL LEVERAGE TO EXPAND THEIR REACH. AT THE END OF 2010, ACCION HELD EQUITY INVESTMENTS IN 15 MFIS VALUED AT $227 MILLION AND FIVE MICROFINANCE INVESTMENT FUNDS VALUED AT $28 MILLION. ACCION ALSO EXTENDS STANDBY LETTERS OF CREDIT TO MICROFINANCE INSTITUTIONS THROUGH ITS GLOBAL BRIDGE FUND. AS OF DECEMBER 31, 2010, THE GLOBAL BRIDGE FUND HAD $2.8 MILLION IN GUARANTEES OUTSTANDING. IN ADDITION, ACCION'S FRONTIER INVESTMENTS GROUP, FOUNDED IN 2008, HAD MADE EQUITY INVESTMENTS VALUED AT $4 MILLION IN NON-MFI COMPANIES THAT PRODUCE TECHNOLOGIES, PRODUCTS AND SERVICES THAT WILL RADICALLY ENHANCE THE EFFICIENCY, REACH AND SCOPE OF PRODUCTS AND SERVICES FOR THE UNBANKED AT THE END OF 2010. 3337334 111750 756273 CENTER FOR FINANCIAL INCLUSION: THE CENTER FOR FINANCIAL INCLUSION PURSUES THE PROPOSITION THAT LOW-INCOME PEOPLE DESERVE HIGH-QUALITY FINANCIAL SERVICES AND THAT THESE SERVICES CAN BEST BE PROVIDED THROUGH COMMERCIAL MODELS THAT INCORPORATE SOCIAL PURPOSE. THE CENTER WORKS ON BEHALF OF THE MICROFINANCE INDUSTRY AS A WHOLE, SERVING AS A BRIDGE TO LEVERAGE PRIVATE SECTOR INTEREST IN MICROFINANCE. IN COLLABORATION WITH OTHERS, THE CENTER WORKS TO BRING THE BEST MINDS AND EXPERTISE TO BEAR ON INDUSTRY PROBLEMS. WE ARE OUTCOMES-FOCUSED, SETTING SPECIFIC GOALS AND MEASURES OF ACCOUNTABILITY FOR REAL-WORLD CHANGE. AMONG ITS MANY PROJECTS, THE CENTER FOR FINANCIAL INCLUSION ALSO SERVES AS THE SECRETARIAT OF THE SMART CAMPAIGN, A GLOBAL EFFORT TO KEEP CLIENTS AS THE DRIVING FORCE OF THE MICROFINANCE INDUSTRY. TO DATE, MORE THAN 2,200 SIGNATORIES - CONSISTING OF MFIS, NETWORKS, ASSOCIATIONS, DONORS, INVESTORS, SUPPORTING ORGANIZATIONS AND INDIVIDUALS - HAVE ENDORSED THE CAMPAIGN AND PLEDGED TO INCORPORATE THE CLIENT PROTECTION PRINCIPLES THROUGHOUT THE INDUSTRY. 1230048 1207299 ACCION INVESTMENT MANAGEMENT COMPANY:ACCION INVESTMENT MANAGEMENT COMPANY (AIMCO) SUPPORTS ACCION'S STRATEGIC OBJECTIVES BY: (A) MANAGING THE OPERATIONS OF INVESTMENT VEHICLES WHICH INCLUDE THIRD PARTY MONEY AND WHICH INVEST IN EQUITY, QUASI-EQUITY AND DEBT SECURITIES OF MICROFINANCE INSTITUTIONS; AND (B) FORMULATING INVESTMENT AND OTHER POLICIES FOR SUCH INVESTMENT VEHICLES. 1203862 25000 EDUCATION AND COMMUNICATIONS:THE COMMUNICATIONS DEPARTMENT SUPPORTS ACCION'S STRATEGIC OBJECTIVES BY GENERATING AWARENESS OF THE ORGANIZATION AND EDUCATING THE PUBLIC ABOUT ITS MISSION AND PROGRESS IN MICROFINANCE. 2433910 25000 1207299 19873592 1 1 0 1 0 0 0 0 0 1 0 1 0 0 1 0 1 0 1 1 1 0 1 0 0 0 1 0 1 0 0 0 0 0 0 0 1 1 0 0 0 1 1 1 0 0 0 1 X 195 0 1 143 1 1 1 1 GH MP BR MX PM IN CH CO 0 0 0 0 0 0 0 0 X 20 19 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 0 1 1 1 0 AL AK AZ AR CA CT FL GA IL IN KS KY ME MD MA MI MN MS NH NJ NM NY ND OH OK OR PA RI SC TN VA WA WV WI X X LIVINGSTON PARSONS III CFO 6176257080 56 ROLAND STREET NO 300 BOSTON MA 02129 ALVARO RODRIGUEZ ARREGUI 0.50 X 0 0 0 AMY BUTTE 0.50 X 0 0 0 ANNE STETSON 0.50 X 0 0 0 BARBARA LUCAS 0.50 X X 0 0 0 DAVID PIERCE 0.50 X 0 0 0 DIANA TAYLOR 0.50 X X 0 0 0 GABRIEL ROZMAN 0.50 X 0 0 0 GUSTAVO HERRERO 0.50 X X 0 0 0 HENRY MILLER 0.50 X 0 0 0 JANE SIEBELS 0.50 X 0 0 0 MARGARET EKUA PRAH 0.50 X 0 0 0 NANCY BIRDSALL 0.50 X 0 0 0 ROBERT STRASSLER 0.50 X 0 0 0 ROY SOSA 0.50 X 0 0 0 RUSSELL FAUCETT 0.50 X X 0 0 0 TARA KENNEY 0.50 X X 0 0 0 TITUS BRENNINKMEIJER 0.50 X 0 0 0 JOSEPH HILL 0.50 X 0 0 0 TOM BARRY 0.50 X 0 0 0 RICARDO HAUSMANN 0.50 X 0 0 0 MICHAEL SCHLEIN 35.00 X X 392771 0 25887 ESTEBAN ALTSCHUL 35.00 X 303915 0 32767 KEVIN SAUNDERS 0.50 X 0 0 0 LIVINGSTON PARSONS III 35.00 X 129416 0 29042 SUSAN CLANCY 35.00 X 188350 0 26398 CARLOS CASTELLO 35.00 X 445820 0 20824 ROY JACOBOWITZ 35.00 X 176629 0 32014 CATHERINE QUENSE 35.00 X 242629 0 36839 ELIZABETH RHYNE 35.00 X 198611 0 11700 ENRIQUE FERRARO 35.00 X 247017 0 28549 IVETTE MANRIQUE 35.00 X 245229 0 12387 JOHN FISCHER 35.00 X 182862 0 23893 2753249 0 280300 25 0 1 0 M&R STRATEGIC CONSULTING 2120 L STREET NW SIXTH FLOOR WASHINGTON DC 20037 COMMUNICATION CONSULTING 348313 HOGAN LOVELLS US LLP 555 THIRTEENTH STREET NW WASHINGTON DC 200041109 LEGAL SERVICES 143505 LAUTMAN MASKA NEIL & CO 1730 RHODE ISLAND AVE NW301 WASHINGTON DC 20036 DIRECT MAIL CONSULTING 134207 HIGH STREET PARTNER INC 31 ST JAMES AVENUE SUITE 880 BOSTON MA 02116 INTERNATIONAL BUSINESS 133939 GRANT THORNTON 226 CAUSEWAY STREET 6TH FLOOR BOSTON MA 02114 AUDIT SERVICES 117000 5 53186 166672 7187371 41344 7407229 CONTRACT REVENUE 541900 1277179 1277179 MEMBERSHIP FEES 541900 313340 313340 1590519 6108470 6108470 2800 2800 81778 81778 81778 81778 42267134 1811622 40455512 40455512 40455512 3968 181 3787 3787 INVESTMENT MANAGEMENT 515100 1207299 1207299 CONFERENCE FEES 900099 418001 418001 HONORARIUM,BD REP FEES 900099 84076 84076 1709376 57359471 2095396 1207299 46649547 8150 8150 3964177 3964177 1990016 1217435 544573 228008 10679489 6716840 2785552 1177097 347108 154304 127027 65777 1291369 622562 516898 151909 663197 385955 188800 88442 721364 578629 142735 194991 66792 126549 1650 164182 164182 102471 102471 2025473 1740930 137084 147459 472810 314508 11176 147126 669854 308508 208618 152728 360301 202087 117022 41192 1361267 617321 641324 102622 2187895 1959359 122979 105557 644821 609269 25895 9657 163058 163058 155142 83771 51997 19374 92112 58645 8919 24548 BANK, WIRE, & CC FEES 162635 85521 51174 25940 MISCELLANEOUS EXPENSES 51028 12229 38963 -164 5498 3542 2257 -301 28478408 19873592 5952013 2652803 941778 35549185 124821677 111454334 5831630 6100391 865200 563595 417500 903801 8771 3996 459437 872387 1143091 903554 438172 239537 8287434 8245939 200044494 259695265 181789 126678 342297882 423755108 1577245 1384932 770338 6791880 6771004 24442 0 8393567 8926274 X 321865927 403311178 12038388 11517656 333904315 414828834 342297882 423755108 X 28881063 52043456 X X 0 1 1 X 0 X 11677460 5041969 8187910 10402928 7407229 42717496 11677460 5041969 8187910 10402928 7407229 42717496 12664506 30052990 4154776 4883289 6191601 4481998 6108470 25820134 244845 237028 98066 36706 172441 789086 69326716 13114340 0.43350 0.47260 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 1 15000 1 500 0 0 0 0 1 8000 23500 0 EXPLANATION OF OTHER LOBBYING ACTIVITIES: PART II-B, LINE 1I: EMPLOYEE TIME ALLOCATION AND CONSULTING SERVICES 143595 124026 19569 497227 407736 89491 502269 371792 130477 239537 ACCION INVESTMENTS IN MICROFINANCE, SPC (SEE SCHEDULE O) 23419025 C COMPARTAMOS 201082239 F OTHER PROGRAM RELATED INVESTMENTS 35194001 C 259695265 57359471 28478408 28881063 44009858 8033598 52043456 80924519 110162115 44009858 762353 8030433 52802644 57359471 0 57359471 29237596 762353 -3165 759188 28478408 0 28478408 DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X: ACCION ADOPTED THE PROVISIONS OF ASC 740, INCOME TAXES EFFECTIVE JANUARY 1, 2009. AS REQUIRED BY ASC 740-10, ACCION RECOGNIZES THE FINANCIAL STATEMENT BENEFIT OF A TAX POSITION ONLY AFTER DETERMINING THAT THE RELEVANT TAX AUTHORITY WOULD MORE LIKELY THAN NOT SUSTAIN THE POSITION FOLLOWING AN AUDIT. FOR TAX POSITIONS MEETING THE MORE-LIKELY-THAN-NOT THRESHOLD, THE AMOUNT RECOGNIZED IN THE FINANCIAL STATEMENTS IS THE LARGEST BENEFIT THAT HAS A GREATER THAN 50 PERCENT LIKELIHOOD OF BEING REALIZED UPON ULTIMATE SETTLEMENT WITH THE RELEVANT TAX AUTHORITY. AT JANUARY 1, 2009, ACCION APPLIED ASC 740 TO ALL TAX POSITIONS FOR WHICH THE STATUTE OF LIMITATIONS REMAINED OPEN AND DETERMINED THESE WERE NO MATERIAL UNRECOGNIZED TAX POSITIONS AS OF THAT DATE. IN ADDITION, THERE HAVE BEEN NO MATERIAL CHANGES IN UNRECOGNIZED BENEFITS FROM JANUARY 1, 2009 TO DECEMBER 31, 2010. MANAGEMENT BELIEVES THAT ITS TAX RETURNS FOR YEARS ENDING PRIOR TO DECEMBER 31, 2007 ARE NO LONGER SUBJECT TO EXAMINATION BY TAX AUTHORITIES IN ITS MAJOR TAX JURISDICTIONS. PART XI, LINE 8 - OTHER ADJUSTMENTS: EQUITY IN INCOME OF EQUITY INVESTMENTS 8,054,687. CURRENCY GAIN ON CONSOLIDATION -21,147. MISCELLANEOUS ADJUSTMENT 58. PART XII, LINE 2D - OTHER ADJUSTMENTS: EQUITY IN INCOME OF EQUITY INVESTMENTS 8,054,687. CURRENCY LOSS ON CONSOLIDATION -21,147. COST OF GOODS SOLD 181. INTERCOMPANY INTEREST INCOME -3,288. PART XIII, LINE 2D - OTHER ADJUSTMENTS: COST OF GOODS SOLD 181. INTERCOMPANY INTEREST INCOME -3,288. MISCELLANEOUS ADJUSTMENT -58. 1 ALL REGIONS PROGRAM SERVICES INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE 17863652 SUB-SAHARAN AFRICA 1 23 PROGRAM SERVICES INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE EAST ASIA AND THE PACIFIC 1 13 PROGRAM SERVICES INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE SOUTH ASIA 1 15 PROGRAM SERVICES INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE CENTRAL AMERICA AND THE CARIBBEAN 0 8 PROGRAM SERVICES INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE SOUTH AMERICA 1 101 PROGRAM SERVICES INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE NORTH AMERICA 0 1 PROGRAM SERVICES INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE 161 0 161 17863652 0 17863652 X SOUTH AMERICA FUNDING FIELD OPERATIONS 3044372 WIRE TRANSFER SOUTH ASIA FUNDING FIELD OPERATIONS 400000 WIRE TRANSFER EAST ASIA AND THE PACIFIC SCHOLARSHIP GRANT 1750 WIRE TRANSFER CENTRAL AMERICAL AND THE CARIBBEAN OPERATIONAL SUPPORT GRANT 358055 WIRE TRANSFER SOUTH AMERICA OPERATIONAL SUPPORT GRANT 25000 WIRE TRANSFER CENTRAL AMERICAL AND THE CARIBBEAN PRIZE GRANT 15000 WIRE TRANSFER CENTRAL AMERICAL AND THE CARIBBEAN PRIZE GRANT 20000 WIRE TRANSFER CENTRAL AMERICAL AND THE CARIBBEAN PRIZE GRANT 20000 WIRE TRANSFER SOUTH AMERICA PRIZE GRANT 20000 WIRE TRANSFER SOUTH AMERICA PRIZE GRANT 15000 WIRE TRANSFER SOUTH AMERICA PRIZE GRANT 25000 WIRE TRANSFER SOUTH AMERICA PRIZE GRANT 20000 WIRE TRANSFER 12 0 1 0 1 0 0 0 PROCEDURE FOR MONITORING GRANTS OUTSIDE THE U.S.: SCHEDULE F, PART I, LINE 2: ACCION'S ACCOUNTING AND RESOURCE DEVELOPMENT DEPARTMENTS OVERSEE THE RECEIPT, DISTRIBTUION AND USE OF GRANT FUNDS, AND PROVIDE DONORS WITH DETAILED REPORTS BASED THEREON. OTHER INFORMATION SCHEDULE F, PART V SCHEDULE F, PART I, LINE 3 TOTAL EXPENDITURES FOR INVESTMENTS, TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE FOR ALL REGIONS OUTSIDE THE UNITED STATES ARE ESTIMATED. CURRENTLY ACCION'S ACCOUNTING SYSTEM DOES NOT SEPARATE EXPENDITURES PER REGIONS. X X X X X X 1 M&R STRATEGIC CONSULTING 2120 L STREET NW SIXTH FLOOR WASHINGTON DC 20037 ONLINE FUNDRAISING COUNSEL 0 0 74282 -74282 LAUTMAN MASKA NEILL & COMPANY 1730 RHODE ISLAND AVENUE NW SUITE WASHINGTON DC 20036 DIRECT MAIL COUNSEL 0 0 89900 -89900 164182 -164182 AL AK AZ AR CA CO CT DC FL GA HI IL IN KS KY LA ME MD MA MI MN MS MO MT NH NJ NM NY NC ND OH OK OR PA RI SC TN TX VA WA WV WI 1 ACCION USA 115 EAST 23RD STREET 7TH FLOOR NEW YORK NY 10010 113317234 501(C)(3) 7950 OPERATIONAL SUPPORT GRANT 1 0 PROCEDURE FOR MONITORING GRANTS IN THE U.S.: PART I, LINE 2: SCHEDULE I, PART I, LINE 2: ACCION'S ACCOUNTING AND RESOURCE DEVELOPMENT DEPARTMENTS OVERSEE THE RECEIPT, DISTRIBUTION AND USE OF GRANT FUNDS, AND PROVIDE DONORS WITH DETAILED REPORTS BASED THEREON. X X X X X X 1 0 0 0 0 0 0 1 0 MICHAEL SCHLEIN 392411 0 0 0 360 0 0 0 25887 0 418658 0 0 0 ESTEBAN ALTSCHUL 263308 0 34200 0 6407 0 0 0 32767 0 336682 0 0 0 LIVINGSTON PARSONS III 111179 0 0 0 18237 0 0 0 29042 0 158458 0 0 0 SUSAN CLANCY 143294 0 37000 0 8056 0 0 0 26398 0 214748 0 0 0 CARLOS CASTELLO 29725 0 0 0 416095 0 0 0 20824 0 466644 0 0 0 ROY JACOBOWITZ 162818 0 0 0 13811 0 0 0 32014 0 208643 0 0 0 CATHERINE QUENSE 190518 0 38600 0 13511 0 0 0 36839 0 279468 0 0 0 ELIZABETH RHYNE 176800 0 0 0 21811 0 0 0 11700 0 210311 0 0 0 ENRIQUE FERRARO 151833 0 87975 0 7209 0 0 0 28549 0 275566 0 0 0 IVETTE MANRIQUE 6015 0 0 0 239214 0 0 0 12387 0 257616 0 0 0 JOHN FISCHER 128882 0 48300 0 5680 0 0 0 23893 0 206755 0 0 0 PART I, LINE 4A $378,773 OF SEVERANCE WAS PAID TO CARLOS CASTELLO BASED ON HIS SERVICE TO THE ORGANIZATION. $203,250 OF SEVERANCE WAS PAID TO IVETTE MANRIQUE BASED ON HER SERVICE TO THE ORGANIZATION. PART I, LINE 7 UNDER THE TERMS OF MANAGEMENT AGREEMENT BETWEEN ACCION INVESTMENT MANAGEMENT COMPANY, LLC ("AIMCO"), AND ACCION INVESTMENTS IN MICROFINANCE, SPC ("AINV"),AIMCO CAN EARN AN ANNUAL BONUS FROM AINV CONTINGENT UPON MEETING CERTAIN GOALS AND FINANCIAL CRITERIA. IN 2010, AIMCO MET THOSE GOALS AND WAS AWARDED THE ANNUAL BONUS BY AINV. BECAUSE AIMCO'S EMPLOYEES ARE SECONDED BY ACCION TO AIMCO, THE DISBURSEMENT OF THE ANNUAL BONUS TO AIMCO EMPLOYEES FLOWS THROUGH ACCION'S PAYROLL TO THOSE EMPLOYEES. ACCION PASSED THROUGH ANNUAL BONUS FUNDS TO TWO AIMCO EMPLOYEES IN 2010. ACCION INVESTMENTS IN MICROFINANCE BUSINESS RELATIONSHIP 1207299 INVESTMENT MANAGEMENT FEES FROM ACCION INVESTMENTS IN MICROFINANCE, SPC. 0 X 4 41344 FMV 0 1 0 FORM 990, PART VI, SECTION A, LINE 1 THE EXECUTIVE COMMITTEE HAS BEEN DELEGATED AUTHORITY TO ACT ON BEHALF OF THE BOARD OF DIRECTORS SUBJECT TO SUBSEQUENT RATIFICATION BY THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 11 SENIOR MANAGEMENT AND THIRD PARTY TAX ADVISORS REVIEW THE FORM 990. EACH MEMBER OF THE BOARD OF DIRECTORS SUBSEQUENTLY RECEIVES A COPY OF THE REVIEWED FORM 990 BEFORE ACCION FILES IT WITH THE INTERNAL REVENUE SERVICE. FORM 990, PART VI, SECTION B, LINE 12C ACCION INTERNATIONAL FOLLOWS A CONFLICT OF INTEREST POLICY WHICH APPLIES TO ALL OFFICERS, DIRECTORS, AND KEY EMPLOYEES. THIS POLICY REQUIRES ANNUAL DISCLOSURE OF ACTUAL OR POTENTIAL CONFLICTS OF INTEREST, INCLUDING ALL TRANSACTIONS, FINANCIAL INTERESTS, CONTRACTS, OR POSITIONS, CONDUCTED OR HELD BY THE OFFICER, DIRECTOR, OR KEY EMPLOYEE OR IMMEDIATE MEMBER OF HIS/HER FAMILY, WITH ANY BUSINESSES, CORPORATIONS, PARTNERSHIPS, PROPRIETORSHIPS THAT CARRY OUT ANY BUSINESS ACTIVITIES WITH ACCION INTERNATIONAL OR ANY OF ITS SUBSIDIARIES,INVESTEES, AFFILIATES OR OTHER PERSONS OR INSTITUTIONS IN ANY RELATED TO ACCION INTERNATIONAL. IN ADDITION TO THE ANNUAL DISCLOSURE REQUIREMENT, OFFICER, DIRECTORS, AND KEY EMPLOYEES MUST ALSO DISCLOSE ANY POTENTIAL OR REAL CONFLICT OF INTEREST AS THEY ARISE. EACH REAL OR POTENTIAL CONFLICT MUST BE EVALUATED BY INDEPENDENT, DISINTERESTED DIRECTORS SERVING ON THE AUDIT & GOVERNANCE COMMITTEE OF THE BOARD OF DIRECTORS, AND IF A REAL OR POTENTIAL CONFLICT OF INTEREST IS DETERMINED TO EXIST, THAT CONFLICT SITUATION MUST BE DETERMINED TO BE FAIR AND REASONABLE TO THE CORPORATION AND THUS WAIVED BEFORE THE AFFECTED OFFICER, DIRECTOR, OR KEY EMPLOYEE MAY PROCEED. FORM 990, PART VI, SECTION B, LINE 15 ACCION INTERNATIONAL HAS A COMPENSATION POLICY AND PROCEDURE WHICH APPLIES TO ALL OFFICERS AND KEY EMPLOYEES. COMPENSATION FOR OFFICERS AND KEY EMPLOYEES IS APPROVED BY THE COMPENSATION & ORGANIZATIONAL STRUCTURE COMMITTEE OF THE BOARD OF DIRECTORS AFTER CONSIDERATION OF DATA PROVIDED BY THIRD PARTY EXPERTS WHICH INDICATES COMPARABLE COMPENSATION FOR SIMILARLY QUALIFIED PERSONS IN FUNCTIONALLY COMPARABLE POSITIONS AT SIMILARLY SITUATED ORGANIZATIONS. THE COMPENSATION & ORGANIZATIONAL STRUCTURE COMMITTEE MAINTAINS CONTEMPORANEOUS DOCUMENTATION AND RECORDKEEPING WITH RESPECT TO THE DELIBERATIONS AND DECISIONS REGARDING THE COMPENSATION ARRANGEMENTS. FORM 990, PART VI, SECTION C, LINE 19 ACCION INTERNATIONAL AUDITED FINANCIAL STATEMENTS, GOVERNING DOCUMENTS AND CONFLICTS OF INTEREST POLICY ARE AVAILABLE TO THE PUBLIC UPON REQUEST. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 5: NET UNREALIZED GAINS ON INVESTMENTS: 44,009,858. EQUITY IN INCOME OF EQUITY INVESTMENTS 8,054,687. CURRENCY GAIN ON CONSOLIDATION -21,147. MISCELLANEOUS ADJUSTMENT 58. TOTAL TO FORM 990, PART XI, LINE 5: 52,043,456. FINANCIAL STATEMENTS FORM 990, PART XI, LINE 2B ACCION INTERNATIONAL'S FINANCIAL STATEMENTS ARE AUDITED AND PRESENTED ON A CONSOLIDATED BASIS, INCLUDING FOREIGN ENTITIES IN COLOMBIA, INDIA, AND CHINA. THE US ORGANIZATION'S FINANCIALS AS REFLECTED FOR TAX PURPOSES ON A STAND-ALONE BASIS ARE NOT SEPARATELY AUDITED. OVERSIGHT OF AUDIT FORM 990, PART XI, LINE 2C THERE WAS NO CHANGE IN THE AUDIT OVERSIGHT PROCESS FROM THE PRIOR YEAR. ACCION GATEWAY FUND LLC 56 ROLAND ST STE 300 BOSTON MA 02129 PROGRAM RELATED INVESTMENT MA 3107806 220114081 N/A ACCION INVESTMENT MANAGEMENT CO LLC 56 ROLAND ST STE 300 BOSTON MA 02129 043322187 INVESTMENT MANAGEMENT MA 1207299 809030 N/A ACCION AFRICA-ASIA INVESTMENT COMPANY IFC COURT TWENTYEIGHT CYBERCITY, EBENE MP PROGRAM RELATED INVESTMENT MP 0 2094050 ACCION GATEWAY FUND LLC ACCION TECHNICAL ADVISORS INDIA NO 9/3 KAISER-E-HIND3RD FLOOR-RI BANGALORE IN 560025 TECHNICAL ASSISTANCE & EDUCATION RELATED TO MICROFINANCE IN SECTION 25 COMPANY N/A 0 FUNDACION CENTRO ACCION MICROEMPRESARIAL CARRERA 45 128B-41 CENTRO COMMERC BOGOTA D.C. CO TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE CO FUNDACION N/A 0 CHIFENG CITY YUANBAOSHAN DISTRICT ACCION MICRO-CREDIT COMPANY LTD 9TH FLOOR HONGXING BUILDING ZHAOWU CHIFENG HONGSHAN DISTRICT CH 24000 PROVISION OF FINANCIAL SERVICES TO MICROENTREPRENEURS CH ACCION GATEWAY FUND LLC 376887 4975222 1.00000 ACCION (BEIJING) CONSULTATION SERVICES CO LTD ROOM 606 3RD BLOCK WANDA PLAZA N BEIJING CHAOYANG CH TECHNICAL ASSISTANCE AND EDUCATION RELATED TO MICROFINANCE CH N/A 5908 35289 1.00000 ACCION MICROFINANCAS SOCIEDADE DE CREDITO AVENIDA DJALMA BATISTA 946-SALA 8 MANAUS AMAZONAS BR PROVISION OF FINANCIAL SERVICES TO MICROENTREPRENEURS BR ACCION GATEWAY FUND LLC 3247167 0.73000 0 1 0 1 0 0 0 0 0 0 0 0 0 0 1 1 0 0 FUNDACION CENTRO ACCION MICROEMPRESARIAL B 3044372 FMV CHIFENG CITY YUANBAOSHAN DISTRICT ACCION MICRO-CREDIT COMPANY LTD D 500000 FMV ACCION (BEIJING) CONSULTATION SERVICES CO LTD B 115000 FMV ACCION TECHNICAL ADVISORS INDIA B 1635023 FMV ACCION MICROFINANCAS SOCIEDADE DE CREDITO AO MICROEMPREENDEDOR E A EMPRESA B 2462920 FMV FUNDACION CENTRO ACCION MICROEMPRESARIAL P 405973 FMV FUNDACION CENTRO ACCION MICROEMPRESARIAL O 154182 FMV ACCION (BEIJING) CONSULTATION SERVICES CO LTD P 32960 FMV ACCION (BEIJING) CONSULTATION SERVICES CO LTD O 391847 FMV CHIFENG CITY YUANBAOSHAN DISTRICT ACCION MICRO-CREDIT COMPANY LTD P 3288 FMV NAME OF ORGANIZATION SCH R, PART IV, COLUMN A THE FULL NAME OF THE LAST ORGANIZATION LISTED ON SCHEDULE R, PART IV IS "ACCION MICROFINANCAS SOCIEDADE DE CREDITO AO MICROEMPREENDEDOR E A EMPRESA DE PEQUENO PORTE, SA".