International Association of Business Communicators financial statements.

INTERNATIONAL ASSOCIATION OF BUSINESS COMMUNICATORS FINANCIAL
STATEMENTS

CONSOLIDATED STATEMENT OF FINANCIAL POSITION,
31 DECEMBER 2003

All amounts in US$.

ASSETS

CASH AND CASH EQUIVALENTS (Includes restricted cash of
$490,000)                                                     $581,024
ACCOUNTS RECEIVABLE (Note 8)                                   434,966
INVENTORY                                                       87,777
PREPAID EXPENSES AND OTHER ASSETS                               94,604
FURNITURE, EQUIPMENT AND LEASEHOLD  IMPROVEMENTS, Net           10,898
TOTAL ASSETS                                                $1,209,269

LIABILITIES AND NET ASSETS

LIABILITIES
  Accounts payable                                            $213,947
  Line of credit                                                50,000
  Accrued expenses                                              75,308
  Deterred dues revenue                                      1,583,446
  Capital lease obligations                                      2,261
    Total liabilities                                       $1,924,962

NET ASSETS
  Unrestricted                                               (731,854)
  Temporarily restricted                                        16,161
    Total net assets (accumulated deficit)                   (715,693)

TOTAL LIABILITIES AND NET ASSETS                            $1,209,269

CONSOLIDATED STATEMENT OF ACTIVITIES AND CHANGES IN NET ASSETS,
FIFTEEN-MONTH PERIOD ENDED 31 DECEMBER 2003

CHANGES IN UNRESTRICTED NET ASSETS

Revenue and support
  Membership dues and fees                                  $2,586,809
  Conferences, seminars and awards (Note 8)                  1,931,283
  Information resources and publications                       538,766
  Advertising, exhibit and list rental                         127,509
  Interest and dividends                                        11,098
  Contributions                                                 41,010
  Other revenue                                                191,750
    Total revenue and support                                5,428,225

Expenses
  Program expenses
    International and other conferences                      1,067,275
    Membership                                                 337,687
    Information resources                                      307,728
    Communication World                                        442,291
    Seminars                                                    34,669
    Research and information                                   221,390
    International development                                  253,578
    Gold Quill Awards                                          170,286
    Public relations                                           114,014
    Leader services                                             70,738
    Leader/chapter visit                                        78,303
    Advertisements and exhibits                                 29,813
    Accreditation                                               47,670
    Other professional development                              80,468
      Total program expenses                                 3,255,910

General administration                                       1,288,025
Executive Board                                                275,697
Fundraising                                                     17,144
    Total expenses                                           4,836,776

INCREASE IN UNRESTRICTED NET ASSETS                            591,449
CHANGES IN TEMPORARILY RESTRICTED NET ASSETS                        --
INCREASE IN NET ASSETS                                         591,449
NET ASSETS (ACCUMULATED DEFICIT), Beginning of period      ($1,307,142)
NET ASSETS (ACCUMULATED DEFICIT), End of period               $(715,69)

CONSOLIDATED STATEMENT OF CASH FLOWS,
FIFTEEN-MONTH PERIOD ENDED 31 DECEMBER 2003

CASH FLOWS FROM OPERATING ACTIVITIES
  Increase in net assets                                      $591,449
  Adjustments to reconcile increase in net
  assets to net cash provided by operating
  activities:
    Depreciation and amortization                               87,782
    Change in assets and liabilities:
      Accounts receivable                                     (414,145)
      Inventory                                                (38,860)
      Prepaid expenses and other assets                        (48,442)
      Accounts payable                                        (138,719)
      Accrued expenses                                         (12,126)
      Deferred dues revenues                                   191,421
        Net cash provided by operating activities             (218,360)

CASH FLOWS FROM INVESTING ACTIVITIES
  Purchases of equipment                                       (12,052)

CASH FLOWS FROM FINANCING ACTIVITIES
  Repayment of borrowings under line of credit                (120,000)
  Principal payments on capital leases                         (40,335)
        Net cash used in financing activities                 (160,335)

NET INCREASE IN CASH AND CASH EQUIVALENTS                       45,973
CASH AND CASH EQUIVALENTS, Beginning of period                 535,051
CASH AND CASH EQUIVALENTS, End of period                      $581,024

SUPPLEMENTAL CASH FLOW DISCLOSURE
  Cash paid for interest                                        $4,345

This summary of financial information has been extracted from the IABC consolidated audited financial statements, on which an independent public accounting firm has expressed an unqualification. To obtain copies of the complete audited financial statements, contact IABC world headquarters.