Treasurer's Report

In 2001 CPMT had total revenue of $1,495K and total expenses of $1,497K, for a net operating loss of <$2K>. However, CPMT financial reserves will be reduced by approximately $965K due to long term investment unfavorable returns in 2001 and the allocation to CPMT of our share of the approximately $30,000K Institute-level operating deficit for the year. Still, CPMT starts 2002 with over $2,000K total financial reserves.

CPMT Publications and Conferences netted $432K and $328K, respectively, in 2001, compared to total dues income of just over $33K. Overall interest and investment income was $162K net loss due to loss in market value of long-term investments. CPMT Executive Office and Committees expenses were just over $447K for the year, which is $119K less than was budgeted. Expenses during the year included $114K for a major marketing initiative to increase CPMT visibility, recognition, and interest throughout the world. The CPMT share of 2000 Technical Activities Board expenses was $50K.

The approved CPMT budget for calendar year 2002 is deficit $362K after absorption of $563K in charges for IEEE Institute-level expenses. Projected 2002 CPMT income is $1,654K, with expenses of $1,453K prior to the Institute-level charge. This budget assumes net income of $432K net from publications and $384K net from meetings and conferences, both of which may be optimistic unless the economy improves significantly. The 2002 budget continues existing programs and services, emphasizes completing the marketing program implementation, funds student programs and international programs, and staffs electronic processing of Transactions papers.

The year 2003 budget is now being prepared. Recommendations for projects or programs to provide increased value to members, or of efforts to discontinue, are invited to be submitted to CPMT officers during March and April 2002.

There is continuing great concern among CPMT officers about Institute-level and Infrastructure deficits. These have been ongoing for several years but prior to 2000 were paid from now-depleted Institute reserves and the investment income generated by those reserves. 2000 was the first year that Societies and other sub-entities with reserves had those reserves taxed to cover the Institute budget deficit. Due to stock market reverses, the "hit" for 2001 will be even worse than for 2000. However, over $3.5.M was cut from IEEE corporate expenses during 2001 and efforts continue to further reduce these costs. The overall IEEE budget for 2002 is balanced.
-- Merrill Palmer, CPMT Treasurer