For the six month period ending June 30, 2010, Local 802 realized a gain of $160,911, compared with a loss of $17,124 during the prior year. The audited financial statements for the six- month period appear in this issue of Allegro.
The increased profitability for this period was due to overall income being favorable by $61,875. However, basic dues are down $24,637 and work dues are also down $53,757 due to a weaker economy and reduced work available to our members. Investment income has increased $33,333 from last year’s numbers, which is attributable to the changes we made to our investment strategy yielding positive results. (Offsetting this, we incurred investment expenses of $13,277.)
We have reduced our expenses by $116,160 with careful monitoring of expenditures and attrition in payroll positions. We must be mindful that staff reductions could jeopardize our ability to provide services to our members.
Allegro production expenses have gone down by $24,921 since our editor is now doing the newspaper’s graphic design himself. (Up until last year, we were using an outside designer.) Our editor also agreed to take on the job of advertising manager for both Allegro and the Local 802 directory, thus consolidating three jobs into one and saving more payroll. Advertising income has gone up $20,155 due to increased advertising in the Local 802 membership directory and in Allegro.
We have also only spent $30,990 in public relations of a $170,500 six-month budget. However, reduced spending jeopardizes our ability to keep the public aware of our fight for live music. Still, we are planning to spend more of this budget in the latter part of 2010 in a continuing effort to keep live music awareness.
Lastly, legal fees have gone down by $71,398.
In summary, although income was slightly up from last year, we did have a drop in income last year that was reflective of the tough economy. The income continues to be questionable in this economy. The officers and I have struggled to keep a tight control of the expenses and continue to keep us profitable. The balance of 2010 will also be tough to meet the challenges ahead.
The bottom line is that care must be taken in 2010, and thereafter, to control expenses within the bounds of what may be a weakening level of work dues.