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2022-04-30-accounts

THE GRASSROOTS TRUST ANNUAL REPORT & FINANCIAL STATEMENTS FOR THE YEAR ENDED 30TH APRIL 2022

P KITTLE FFA FIPA FFTA Finacial Accountant

THE GRASSROOTS TRUST

TRUSTEES M Price – Chairman R Anderson Mrs K Hedges (resigned 21[st] May 2022) R Sweatman S Boreham Rev S Corley (resigned 1[st] May 2021) J Walker Rev C Corley (appointed 1[st] May 2021) EXECUTIVE OFFICERS Hugo and Sharon Anson TREASURER AND SECRETARY A Myall REGISTERED ADDRESS: 8 Meadow Way Rowledge Farnham Surrey GU10 4DY

CHARITY REGISTRATION NUMBER 1060034 (England & Wales) SC046121 (Scotland) INDEPENDENT EXAMINER P Kittle FFA FIPA FFTA 37 Fraser Close Chelmsford Essex CM2 OTD

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CONTENTS

PAGES

1 - 4 Trustees’ Report 5 Independent Examiners Report 6 Statement of Financial Activities 7 Balance Sheet 8- 14 Notes to the Accounts

Page 1

THE GRASSROOTS TRUST TRUSTEES’ REPORT FOR THE YEAR ENDED 30TH APRIL 2022

The Objects

To advance the Christian Gospel in accordance with the statement of faith set out in the schedule appended to the Charity’s declaration of Trust dated 20[th] December 1996 and to relieve poverty, sickness and distress throughout the world. There is no ambition to advance Grassroots as such, but only to advance the whole gospel, alleviating poverty and demonstrating Jesus to the world.

Achievements, descriptions of our activities and major incidences during the year

Coronavirus:

The worldwide pandemic continued throughout the year, though we were able to visit some of the projects we support in Tanzania, Kenya and Kyrgyzstan in the first few months of 2022. We did have another trip, at the end of 2021, to Zambia cancelled due to changing rules and we are aware that in the changing global environment, things can change very quickly and dramatically.

Tanzania:

The sponsorship programme based in Mbeya, for what Grassroots is best known and run in conjunction with our Tanzanian partner organisation: “Grassroots Trust Fund of Tanzania”, has continued throughout the year. As a Trust, we endeavour to work alongside passionate faithful locals on the ground who care about the places where God has placed them. This is especially the case in Tanzania, where over 80 volunteers and part-time staff help serve poor children and families on a weekly and sometimes daily basis. Between them they provide over 3000 meals a week for the 2400 children on the sponsorship programme and others. They also serve in many other ways, motivated by love, compassion and the ambition to be like Jesus to their community. In our first trip in over 2 years in early 2022 we were able to start up a 17[th] location, in Iyunga, and interview the first 29 children there. We have also set a free porridge scheme for anyone in need of food in 3 locations and we are looking for this to expand, as the need has increased as many people in the Mbeya have no access to income and very limited access to nutritious food. The younger children in the sponsorship scheme are given milk every day before they go to school, as well as the weekly nutritious meal for all the sponsored children. There are two doctors who provide medical services and support all the sponsored children as part of the scheme. We give out extra support to the children with HIV, helping them get the medication that they need as well as the better nutrition that is vital.

The Director of the work in Tanzania, Richard Mwaswala, regularly sends back photos and video of the work that goes on 52 weeks of the year, so it shows to our UK supporters what it really is: a team of Tanzanians serving their neighbours. Richard has again done a great job co-ordinating the extensive interviews, taking a location at a time and using young adults (many of whom have come through sponsorship themselves) to fill in the forms and meet the children and their carers. Alongside Sharon Anson and the Tanzanian purchasing committee, Richard makes policy decisions to drive the project forward. This has included more work on safer toilets and building more cookhouses (with chimneys).

In the UK, some sponsors have come and gone, but most stay for many years. Just under half our income as a trust is Tanzania-related, either given specifically for projects within Tanzania, or in an unrestricted manner to support the costs of the work wherever they occur. We do not overtly advertise the work in the UK, but we do have many key supporters who promote the work, finding new sponsors in their churches, workplaces and families. This has been a struggle in the last 2 years, with many churches not meeting (in person) but we have still managed to see a net increase of sponsorships. Many people also continue to sponsor through Benita in Romania, who successfully transfer the money they raise directly to Tanzania under the management of our team in the UK. This year they were able to transfer almost 44,000 Euros in sponsorship and support for the work.

We remain committed to using 100% of the money given by children’s sponsors for the support of the children. We also continue to see the benefit of taking people and volunteers to help interview the children and gather data for the sponsors. The first major trip in 3 years has been planned for autumn 2022, as well as a finance overseeing and business trip in May 2022. (http://grassroots.org.uk/tanzania)

Page 2

THE GRASSROOTS TRUST TRUSTEES’ REPORT FOR THE YEAR ENDED 30TH APRIL 2022

Kenya:

The “Good Neighbours” project headed up by our Kenyan friend George Kibe in the former rock mining district of Theta is run along the same lines as our main Tanzania project, where we are looking at helping the children in this poor area to get healthier, fed, clothed and educated. We had been working in partnership with the school in the area: “Judah Excellence School”, however, with educational changes within Kenya, the school has proved to be impossible to run as a business as well as a service to the community. We have been in the process of attempting to move the children onto other local government schools and we have almost achieved this aim and as such, it has released more funds for food for the children. The children have been able to attend educational sessions in the church building, receiving nutritious food at the same time. Sharon Anson was able to visit the project for the first time in over 2 years in April 2022 and be involved in the interview process which was a blessing for all.

We remain involved with Watu Wa Maana Street Children’s Centre, in Ruiru, where we sponsor 28 children. The centre works hard at providing a caring and secure environment for children who have had to endure many extreme problems in their young lives and they are often asked by the local authorities to take on specific children. At the same time, they remain committed to the rehabilitation of the boys and girls into society taking place as they mature into adults. Sharon Anson was pleased to be able to visit and meet the children and again in April 2022. (http://grassroots.org.uk/kenya)

Romania:

This year, Iacob Murza, the Romanian who leads the building project, was also able to use funds to help families whose properties needed work as well as co-ordinate Romanian volunteers to build another three houses for families in dire need of one. (http://grassroots.org.uk/romania)

We continue to be able to support 200 children in partnership with Benita, a Romanian social-care organisation. The children receive everything they need to attend school (such as uniform and equipment), a medical certificate and a place at a Christian summer camp. The workers co-ordinating the work have changed to some extent in the 2 years of pandemic and we are looking forward to meeting the new team on our first visit in 3 years in the late summer of 2022. This year we have also been able to help put Benita in touch with significant financial help for their work helping Ukrainian refugees.

India:

There are now over 312 children from the Dalit caste who live around the open sewers of the city of Chennai and who come to a homework club run by Kevin and Deborah Kamalraj and the team of Sovereign King Ministries (SKM) and supported by Grassroots’ sponsors. They are provided with food, medical care and extra educational support as well as shoes and important school equipment. The pandemic has been very hard for those in India, with many local lockdowns. Thankfully the young volunteers from SKM have been able to distribute hot food on a daily basis to the children who have been stuck in their small cramped homes for a number of months.

As a result of the lack of travel, it has been particularly hard to get support out to SKM but we are hopeful we are going to greet the children and the team for the first time in 3 years in late 2022 or early 2023. It has not yet been possible to get information out to the sponsors about the children, but the sponsors have been very gracious about this situation (http://grassroots.org.uk/india)

Zambia:

In 2020 we started a sponsorship programme in Zambia, connecting with five churches around Ndola and with the Kabushi Entrepreneurship and Vocational Training Centre (KEVTC). This has continued this year and increased to 200 children by the end of our financial year. It is run along similar lines as our Tanzanian project and is intertwined with the “Raising Families” project, which works with churches to enable them to help the poorest families in the local area. We will visit again in August 2022 and interview the children in their 5 locations. (https://www.grassroots.org.uk/zambia/)

Page 3

THE GRASSROOTS TRUST TRUSTEES’ REPORT FOR THE YEAR ENDED 30TH APRIL 2022

Kyrgyzstan:

We have been supporting the “Path to Victory” project (run on similar lines to “Raising Families” in Zambia) in Kyrgyzstan for a few years and last year we agreed with the leader of this project, Irina Trofimova, to start a sponsorship programme for children, run along similar lines to the project in Romania. Sharon Anson was able to visit the project for the first time in the Spring of 2022 and interview the children and she was very impressed by the organisation. By the end of this financial year we were supporting 61 children and on the lookout for more sponsors for these children. (http://www.grassroots.org.uk/kyrgyzstan/)

Egypt :

Grassroots have continued to support an Egyptian Anglican church who are serving their community, helping the poor where it is needed and providing a micro-finance initiative. We are also supporting individuals within the Suez region trying to make a difference for the poor in the community, regardless of their religion or background. Hugo Anson and Stuart Boreham will visit for the first time in 3 years in December 2022.

Prayer Everywhere:

After two years of being unable to travel, Hugo Anson, with the support of Grassroots, is planning to join a prayer walk with friends in the Summer of 2022 in North Macedonia and Albania and he continues to support churches in countries around the world in prayer, often through internet meetings.

Peru :

The “Hope and Song to Freedom” (HSF) project supports ladies who are either in prison (many of whom have been subject to human rights abuses) or recently released. The women in prison are given nutritious food, nappies, medication and a bible study when they are visited every Wednesday. Unfortunately, these visits have not happened through the coronavirus lockdown.

For the recently released, the project provides help with paperwork, life after prison and secure, temporary accommodation. The leader of project in Peru, Miriam Brena Torres has twice visited the UK to promote the work. She was hosted by the UK HSF leaders: Liz and Andy Lake. (http://hopesongfreedom.org.uk/)

Malawi:

Les and Kathie Craske moved out to Malawi in May 2011 and have now been granted their permanent residency. They have set up a Malawian charity: “Chifona Trust” and we pass on the funds raised by UK supporters, most of whom are friends from their days when they lived in Norfolk. The SKILL Development Centre for deaf students, remains open and Les and Kathie continue to support the other people they have promised to, with support from their friends and others who give through Grassroots.

Laos:

We had been running a small child sponsorship scheme alongside the Empathy International’s (charity no. 1156970) Fish Aid project along the banks of the Mekong river. Unfortunately, we have had to close this project as a result of irreconcilable differences. The sponsors were very understanding, and we sent the last of all the money raised for the project in August 2021.

Other Business:

The charity is in good financial condition with the number of standing orders coming in for our main sponsorship schemes increasing again.

After many years of self-employment and invoicing Grassroots for their work, in view of the government’s IR-35 legislation it was felt that Hugo and Sharon Anson should be employed from April 2021. As the amount that they work is dependent on what is required, they are now employed on a zero hours basis, but within the PAYE framework. They have, however, kept their self-employed status as they also receive payment and income for the other work (out with Grassroots) they partake in.

Page 4

THE GRASSROOTS TRUST TRUSTEES’ REPORT FOR THE YEAR ENDED 30TH APRIL 2022

Andy Myall has continued working part-time as a finance manager/administrator. Ruth Boreham has continued to work when we have needed her.

As a result of being promoted to the position of Bishop in the Church of England, Sam Corley felt he should stand down as a trustee after nearly 15 years of service, however, the trust was pleased when long term supporter Claire Corley agreed to become a trustee, replacing Sam during our May 2021 meeting.

Risk Management

The Trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide insurance cover and reasonable policies are in place to provide assurance against fraud and error. The Trustees consider Risk Management an important part of their role, regularly reviewing and managing areas of potential risk. All our policies and procedures are regularly reviewed and updated.

Public Benefit

The Trustees have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Charities Commission. They have referred to the guidance in the Charity Commission’s general guidance on Public Benefit when reviewing the Trust’s aims and objectives and in planning future activities as demonstrated above.

Related party transactions:

During the year Ruth Boreham (employee and daughter of the trustee Stuart Boreham) continued to work for the trust, originally on a one day a week basis and since August 2020 on a zero hours basis. Liberty Anson, daughter of Hugo and Sharon Anson, accompanied Sharon on the trip to Tanzania on February 2022 and is planned to accompany Hugo to Zambia in August 2022. Grassroots trustees agreed to cover her expenses on these trips.

Reserves policy:

We are committed to paying for our sponsorship and worker commitment in our seven main projects as well as for our workers in the UK. Six months of necessary commitments in Tanzania amounts to approximately £60,000. In addition, 6 months of sponsorship and bills in the other projects amount to a further £25,000. Most of the money for these bills are raised and come out of restricted funds, however in order to meet our obligations we endeavour to make sure that we have always at least £85,000 in our unrestricted funds, as our reserves. We aim to keep some of our (yet to be used) restricted funds in a higher interest account or bond, however, should all the restricted funds require money at the same time, the money is there to be used. Grassroots restricted funds never run into the red.

We are also aware that the economic situation could get worse quite quickly and so we are now being more careful to ensure we do not keep more than £85,000 in any one financial institution.

Mark Price Chairman

Date: 24[th] October 2022

Page 5

INDEPENDENT EXAMINER'S REPORT TO

THE TRUSTEES OF GRASSROOTS TRUST

This report on the accounts of the trustees for the year ended 30th April 2022, which are set out on pages 6 to 14, is in respect of an examination carried out under Section 145 of the Charities Act 2011 and the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

Respective responsibilities of the trustees and examiner

The charity’s trustees are responsible for the preparation of the accounts; The charity’s trustees consider that an audit is not required for this year under section144 of the Charities Act 2011 (The Charities Act) and that an independent examination is needed.

It is my responsibility to:

Basis of independent examiner's report

My examination was carried out in accordance with general directions given by the Charity Commissioner. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair’ view and the report is limited to those matters set out in the statement below.

Independent examiner's statement

In connection with my examination, no matter has come to my attention:

Respect, requirements

to keep accounting records in accordance with Section 130 of the Charities Act; and

to prepare accounts which accord with accounting records and comply with the accounting requirements of the Charities Act have not been met; or

P Kittle FFA FIPA FFTA Financial Accountant 37 Fraser Close Chelmsford Essex CM2 OTD Date: 25[th] October 2022

Page 6

THE GRASSROOTS TRUST STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30TH APRIL 2022

Unrestricted Restricted TOTAL FUNDS
Funds Funds 2022 2021
Notes £ £ £ £
INCOMING RESOURCES
Incoming resources from generated funds
Voluntary income 2 144,191 300,870 445,061 452,683
Activities for generating funds 3 665 20 685 4,445
Income from investments 4 1,220 - 1,220 2,335
_____ ______
TOTAL INCOMING RESOURCES 146,076 300,890 446,966 459,463
_____ ______
RESOURCES EXPENDED
Charitable Activities 5 151,148 317,315 468,463 439,477
Governance Costs 6 675 - 675 642
_____ ______
TOTAL RESOURCES EXPENDED 151,823 317,315 469,138 440,119
_____ ______
NET MOVEMENT IN FUNDS (5,747) (16,425) (22,172) 19,344
BEFORE TRANSFERS
Transfers (356) 356 - -
____ _____
NET MOVEMENTS IN FUNDS (6,103) (16,069) (22,172) 19,344
FOR THE YEAR
Balances brought forward
At 1st May 2021 154,945 171,859 326,804 307,490
BALANCES CARRIED FORWARD _____ ______
At 30th April 2022 148,842 155,790 304,632 326,804
_____ ______

The notes on pages 8 to 14 form part of these accounts.

Page 7

THE GRASSROOTS TRUST

BALANCE SHEET – 30TH APRIL 2021

Notes 2022 2021
£ £ £ £
FIXED ASSETS 7 - -
CURRENT ASSETS
Cash at bank and in hand 305,307 327,476
Debtors 8 - -
______ ______
305,307 327,476
LIABILITIES
Amounts falling due within one year 9 675 642
___ ___
NET CURRENT ASSETS 304,632 326,834
______ ______
NET ASSETS 304,632 326,834
______ ______
FUNDS
Unrestricted 148,842 154,946
Restricted 155,790 171,859
______ ______
304,632 326,834
______ ______

Approved by the Committee of Trustees and signed on its behalf by:

M Price Chairman

Date of Approval: 24[th] October 2022

The notes on pages 8 to 14 form part of these accounts.

Page 8

THE GRASSROOTS TRUST

NOTES TO THE FINANCIAL STATEMENTS – 30TH APRIL 2022

1. PRINCIPAL ACCOUNTING POLICIES OF THE GRASSROOTS TRUST

The financial statements have been prepared under historical cost convention and in accordance with the Financial Reporting Standard for Small Entities (effective January 2007), the Statement of Recommended Practice ‘Accounting and Reporting by Charities’ issued in March 2005 (SORP 2005) and the Charities Act 1993.

The principal accounting policies of the Trust are set out below.

Fund accounting

The Trust's general reserves consist of reserves which the Trust may use for its purpose at its own discretion.

The Trust's restricted funds are those on the use of which the donor has imposed restrictions, which are legally binding.

Income

General income relates to transactions, which are unallocated to departmental activities.

Interest, rental and dividend income is credited when receivable to income and expenditure account.

All voluntary income is included in the financial statements on receipt.

Restricted income is credited to the restricted fund balance on receipt. Expenditure fulfilling the restrictions is charged against the restricted fund on an accruals basis.

Donations under gift aid plus the associated income tax recovery are recognised as income when received.

Legacies to which the charity is entitled are included in the statement of financial activities unless they are incapable of measurement.

Intangible income is valued and included in income to the extent that it represents goods or services, which would otherwise be purchased. An equivalent amount is charged as expenditure. Voluntary help is not included as income.

Page 9

THE GRASSROOTS TRUST

NOTES TO THE FINANCIAL STATEMENTS – 30TH APRIL 2022

(Continued)

Fixed assets and depreciation

Fixed assets are included in financial statements at historical cost less depreciation.

Donated assets are recognised in financial statements on receipt.

Depreciation is calculated to write down the cost of all tangible fixed assets (other than freehold property) over their expected useful economic lives. The periods or rates generally applicable are:

Leasehold property and improvements - Over the remaining life of the lease Motor vehicles - 4 years reducing balance Computer equipment - 3 years reducing balance Fixtures and fittings - 5 to 10 years reducing balance

Stock

Stock is stated at the lower of cost and net realisable value.

Taxation

The Trust has charitable status and is afforded the tax exemptions set out in the Income and Corporation Taxes Act 1988.

Foreign currencies

Income received from overseas in foreign currencies is translated at the rate of exchange ruling at the transaction date. Similarly, for payments made.

Page 10

THE GRASSROOTS TRUST

NOTES TO THE FINANCIAL STATEMENTS – 30TH APRIL 2022

(Continued)

2. VOLUNTARY INCOME

2. VOLUNTARY INCOME
Unrestricted Restricted TOTAL FUNDS
Funds Funds 2022 2021
£ £ £ £
Gifts and donations 99,913 284,767 384,680 391,610
Gift Aid 43,778 16,103 59,881 61,073
Legacies and bequests 500 - 500 -
_______ ______
Total Voluntary Income 144,191 300,870 445,061 452,683

3. ACTIVITIES FOR THE GENERATION

OF FUNDS:

Funds generated by:
Unrestricted Restricted TOTAL FUNDS
Funds Funds 2022 2021
£ £ £ £
Merchandise 665 20 685 4,445
_____ ____
4. INCOME FROM INVESTMENTS
Unrestricted Restricted TOTAL FUNDS
Funds Funds 2022 2021
£ £ £ £
Bank interest 1,220 - 1,220 2,335
_____ ____

Page 11

THE GRASSROOTS TRUST

NOTES TO THE FINANCIAL STATEMENTS – 30TH APRIL 2022

5. CHARITABLE ACTIVITIES

. CHARITABLE ACTIVITIES
Unrestricted Restricted TOTAL FUNDS
Funds Funds 2022 2021
£ £
Grants and gifts to individuals 39,523 274,814 314,337 313,993
Grants and gifts to institutions and charities 12,181 41,088 53,269 59,769
Payroll, fees and expenses 77,638 - 77,638 60,390
Travelling 12,759 1,017 13,776 (2,167)
Small equipment and repairs 2,166 - 2,166 1,628
Printing, postage & stationery 1,670 - 1,670 1,847
Insurance 3,044 - 3,044 1,619
Professional fees 349 - 349 112
Telephone and utilities - - - 111
Bank charges 1,818 396 2,214 1,974
Depreciation - - - 201
________ ______
151,148 317,315 468,463 439,477
________ ______
6. GOVERNANCE COSTS
Independent review 675 - 675 642
________ ______
TOTAL RESOURCES USED 151,823 317,315 469,138 440,119
________ ______

The number of employees at the end of the year was 4 (2021: 4) No employee received more than £50,000 in emoluments during the year (2021: Nil)

Trustee remuneration and expenses:

No trustees were remunerated during the year.

Related party transactions:

£2,616.19 was paid in total as salary to Ruth Boreham (daughter of a trustee) for administrative work during the year.

Page 12

THE GRASSROOTS TRUST

NOTES TO THE FINANCIAL STATEMENTS – 30TH APRIL 2022

(Continued)

7. FIXED ASSETS
Office
Equipment
£
COST
At 1st May 2021
16,029
Disposals in year
-
__
At 30th April 2022
16,029
_
DEPRECIATION
At 1st May 2021
16,029
Charge for the year
-
__
At 30th April 2022
16,029
_

WRITTEN DOWN VALUE
At 30th April 2022
-
_
At 30th April 2021
-
_
8 . DEBTORS:
2022
£
Gift aid tax repayment
-

9 . CREDITORS:
amounts falling due within one year
2022
£
Accruals
675
Total
£
16,029
-
__
16,029
_
16,029
-

16,029

-

-

2021
£
-

2021
£
642
___

Page 13

THE GRASSROOTS TRUST

RESTRICTED FUNDS YEAR ENDED 30TH APRIL 2022

INCOMING RESOURCES
Voluntary Income
Merchandise
RESOURCES USED
Grants to individuals
Grants to institutions
Travelling
Bank charges
NET INCOMING
RESOURCES
Transfers
Balances at 30.4.21
Balances at 30.4.22
TANZANIA
£
148,007
20
_
148,027
_
149,372
10,472
-
152
_
159,996
_
(11,968)
855
_
(11,113)
61,882
_

50,769
___
KENYA
£
23,842
-
_
23,842
_
19,075
1,558
-
100
_
20,733
_
3,109
-
_
3,109
17,463
_
20,572
____
ROMANIA
£
34,995
-
___
34,995
__
32,554
-
93
9
_
32,656
_
2,338
-
_
2,338
27,118
_
29,456
____
INDIA
OTHER
FUNDS
£
£
56,820
37,206
-
-
__
56,820
37,206
__

43,335
30,478
24,195
4,863
-
924
4
131
__
67,534
36,396
__

(10,714)
810
-
(499)
__
(10,714)
311
48,085
17,311
__

37,371
17,622
____
TOTAL
£
300,870
20
__
300,890
_
274,814
41,088
1,017
396

317,315

(16,425)
356
__
(16,069)
171,859
__
155,790
____

Page 14

THE GRASSROOTS TRUST

MONEY IN FROM OVERSEAS

Grassroots is supported by individuals, schools and churches. However, we do make use of the UK Government’s Gift aid scheme for UK Income taxpayers and the GASD scheme. Most of our income does come from the UK but during the year it has also come from individuals and churches from the following countries:

ollowing countries:
£
Latvia 4,143
U.S.A 1,165
Australia 1,100
Germany 933
Canada 228
Finland 211
Greece 194
Japan 42
Ireland 42
France 42
Denmark 42
_
TOTAL FROM OVERSEAS 8,142

MONEY SPENT OVERSEAS

We are a UK charity, but most of our income activity regarding the money which we spend and send is abroad. We are regularly asked to provide this information to the UK government and so have decided to provide this on our annual report. These figures are higher than in the restricted fund figures on page 13 because we spend all our restricted funds in each country as well as some of our unrestricted funds.

£
Tanzania 190,247
India 70,053
Romania 34,909
Kenya 23,050
Zambia 20,103
Kyrgyzstan 17,433
Egypt 7,638
Malawi 6,600
Peru 3,975
Laos 887
___
TOTAL SPENT OVERSEAS 374,895
___