Trustees of LifeWay Christian Resources recently adopted a record 2005 operating budget of $446 million and approved a significant investment in the company’s conference centers to fast-track their revitalization efforts.
LifeWay expects record revenues this year of $427.5 million, $13.2 million more than last year but $21 million short of budget, Chief Operating Officer Ted Warren told trustees during their semiannual meeting at LifeWay Ridgecrest Conference Center near Asheville, N.C. The fiscal year ends Sept. 30. “The fact that we plan to achieve record revenues is good news,” said Warren, “yet every one of our divisions’ revenues will come in below budget. That means we’ve had less than a successful year.”
“The 2005 budget is based on what we believe to be an achievable revenue target of $446 million, which assumes a continued recovery in the economy,” said Warren. “The revenue budget reflects an $18.2 million or 4.3 percent increase over 2004 projected revenue.”
In 2004, funds provided from operations — money for reinvestment in ministry expansion after all expenses are paid — are expected to be $13.4 million, or 3.1 percent of revenue, consistent with LifeWay’s goal of financial performance. The same amount is budgeted for 2005.
In a significant move to hasten revitalization efforts at LifeWay’s conference centers, the trustees approved a business plan that includes an investment of $27 million over the next four years.
Conference centers
This investment will “enable the centers to be financially viable and continue their ministry into the 21st century as places where God’s people experience spiritual transformation and renewal,” according to Mike Arrington, vice president of the corporate affairs division.
At Ridgecrest, the business plan calls for the construction of a new 120-room hotel, new convention and indoor recreation centers, the renovation of Pritchell Hall and the demolition of seven aging and expensive-to-maintain buildings. At Glorieta, plans are for a new 140-room hotel, a new indoor recreation center, a renovated chapel and the demolition of 24 outdated buildings, significantly reducing the center’s adult capacity but nearly tripling its youth capacity to better fit seasonal demand.
Luis Aranguren, director of the international department, told trustees that rebounding economies in South America have improved the department’s financial performance.
At the same time, ministry gains have been substantial. The department hosted a three-day training conference in Miami, during which it trained 25 international Spanish-speaking volunteer consultants from seven countries, bringing the department’s total since 1998 to 279 trained international volunteer consultants from 36 countries. The department’s year-to-date total is 550 leadership workshops, which trained 40,050 participants from 2,932 churches in 31 countries.
Worldwide growth
Aranguren said there are now 574 distributors of LifeWay products in 81 countries, representing 661 titles in 102 languages and dialects.
Goals for 2005 include selling Spanish LifeWay Church Resources (both dated and undated) to the Spanish trade audience throughout the United States under the new LifeWay ¡Español! brand. The international department will assume responsibilities for coordinating LifeWay missions trips.
Aranguren announced trips to India, Dominican Republic, Brazil, Bangladesh, Japan and two trips to Russia
(BP)
Share with others: