friends of the earth annual report 2010

8/7/2019 Friends of the Earth Annual Report 2010

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Annua l Report 2010


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This year we demanded accountability from elected of cials for the contributions they received from Big Oil in thewake of the BP oil disaster. We also protested a U.S. Department of Agriculture announcement for increased fundingof biofuels with a demonstration thanking taxpayers for funding our Biofuels for Billionaires.

a t aglance

Our MissionFriends of the Earth defends the environment and champions a more healthy and just world.Were progressive environmental advocates who dont pull punches and speak sometimes uncom-fortable truths to power. Its an approach that for four decades has yielded victories protectingour planet and its people.

Our current campaigns focus on promoting clean energy and solutions to climate change, keepingtoxic and risky technologies out of the food we eat and products we use, and protecting marineecosystems and the people who live and work near them.

Our Guiding Princ iples Friends of the Earth is a force ghting for the sustainable and fair use of the Earths

resources. We believe that the movement to restore, preserve and protect the planet and the ght

for justice are part of the same struggle.

We believe that the problems we face demand systemic change.

And we believe that this transformation can only happen when we work together forpolicies that protect people and ecosystems for all of us and for future generations.

Wha t Ma kes Us Different We ght for whats needed over the longer term for all creatures on our planet, not for

what is easy or popular in the short term.

We are a loud and fearless voice for the environment and have been one for 41 years.

We are acting globally and locally. Worldwide collaboration is a powerful tool, whichis why we are a part the worlds largest environmental network, with activists in 76countries.

We know that solving deep-rooted environmental problems requires exposing andghting the economic forces that fuel them.

2 Friend s of the Ea rth ANNUAL REPORT 2010


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Dear Friends,

We are pleased to present our 2010 annual report and hope that within these pages you

will discover how your support has helped Friends of the Earth create positive change.At the state level, in South Carolina we are ghting to stop taxpayer money from beingused to build dangerous new nuclear reactors. In California, we won a ban on sewagedumping along the entire 1,600 mile California coastline and within San FranciscoBay. We also won a ban on cruise ships dumping wastewater while docked at the Portof Seattle.

Nationwide, we successfully campaigned to limit air pollution from ships along U.S.coastlines, winning new regulations that the EPA says will prevent millions of illnessesand 14,000 premature deaths by 2020. When Sen. Lisa Murkowski (R-Alaska) intro-duced a resolution to cripple the Clean Air Act, we launched a successful grassroots,media and public education campaign to defeat it. We found common ground with scal

conservatives, including Tea Party founders, to ght corn ethanol subsidies. We alsopublished a new Green Scissors report, which identi es $200 billion in environmentallyharmful and wasteful subsidies that should be cut from the federal budget.

Internationally, we helped unite a coalition of 287 groups spanning 54 countries callingon President Obama to support a global climate fund. This fund will provide supportto developing countries seeking to build clean energy economies. We collaborated withgroundWork (Friends of the Earth South Africa) to expose and ght internationalfunding for two massive coal projects in South Africa.

However, the results of the 2010 election are a stark reminder that we have muchwork to do. Bedrock environmental laws such as the Clean Air Act are under erceattack and key social programs are on the chopping block while Big Oil continues to

receive billions of dollars in tax breaks and handouts each year. To defend against thesethreats, we are expanding our campaign expertise on tax and budget policy. And inthe coming year well be taking our Green Scissors to the federal subsidies that propup the fossil fuel industry instead of supporting clean energy and ef ciency. In 2009we founded the Climate Reality Coalition, a coalition of more than 20 groups workingtowards solutions to climate change. Plans are underway for a major push in the yearahead to ensure that the American public understands the true reality of this threat.

Institutionally we will be increasingly emphasizing economic and social justice. This isimportant because at the root of many environmental problems is a global economic and

nancial system that seeks to put a price on the planets natural systems and people.

This shift in priorities is crucial in light of the tragedies of the past year. The BP oil

spill in the Gulf of Mexico was the largest ecological disaster in U.S. history, and thereports coming in point to a system that rewarded risk, cutting corners and careless-ness. It also illustrated an all-too-common practice of regulatory agencies bending tothe will of the very industries they are meant to regulate.

As we look to the year ahead we are buoyed by the knowledge that we are not alonein our struggle. We have the support of our international network of Friends of theEarth groups and of members like you.

Thank you for helping make our work possible.

Eric h Pic a ,President

Arlie Sc ha rd t,Chair

letter of introduction

Cover photo: Sixteen Friends of the Earth groups sent staff to Cancun in December to participate in the inter - national climate negotiations.

Volume 40, Numb er 4 Winte r 2010 3


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The Dirty Fuels campaign targets unconventionaland extremely polluting fuel sources such as tarsands, oil shale and liquid coal, which causeeven more climate and air pollution than normaloil and carry serious environmental and socialimpacts:

We mounted an aggressive campaign tostop the Keystone XL pipeline, which would

carry tar sands oil from Canada to re n -eries in Texas, putting communities andecosystems at risk of oil spills and air andwater pollution and making climate changeworse. We launched our campaign duringthe Olympics in Canada to draw attentionto the ecological disaster unfolding in thecountrys tar sands oil extraction areas.Since then, weve increased pressure onthe Obama administration to stop theKeystone XL pipeline, generating closeto 60,000 messages from activists to the

administration, turning out activists to

energyclimate &

local State Department hearings, orga-nizing protests with allies in New York City,Chicago and Washington, D.C., and helpingto rally 51 members of the U.S. House of Representatives and 12 U.S. Senators tospeak out about the pipelines dangers. Ourefforts have blocked Big Oils hopes for aswift rubber stamp for the pipeline, andwe continue our ght to stop it altogether.

The campaign against coal has a 40-yearhistory at Friends of the Earth. Coal is respon-sible for one-third of our countrys globalwarming emissions, and the extraction processdestroys mountains, pollutes water, and poisonscommunities:

Since settling a groundbreaking lawsuit tocompel the U.S. Export-Import Bank (Ex-Im)to consider the climate change impacts of its overseas lending, we are working to holdEx-Im accountable for its exorbitant fossil

fuel nancing. This year we protested its

With your support we promote clean energy and ef ciency, and ght to end the use of harmfulenergy sources that endanger people, cause pollution, and exacerbate the climate crisis. Atthe international level, we work to hold the United States accountable to its responsibility as

the worlds biggest historical emitter of global warming pollution to lead in forging equitablesolutions to the climate crisis.

Sev en te en p ipe line s c ross the [Housto n ship] c ha nne l c a rryinggasoline and diesel fuel. In 1994 there was an explosion andthe river b la zed for a w ee k. The re w a s a rsenic in the a ir a nd thebarges burned and the police evacuated the neighborhood.

- Karla Land, of Channelview, Texas, aka cancer alley, on why shes ghting the Keystone XL pipeline



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plans to support massive coal projects inSouth Africa and India. In a similar effort,we called on the World Bank to quit coalafter it announced a more than $3 billionloan for a separate coal plant in South Africa.

Our dedicated activists attended EPA

hearings in several states and sent morethan 9,000 messages to the EPA urging it toenact strong federal regulations to safeguardcommunities from coal ash, a toxic waste.

The campaign to prevent a nuclear resur-gence is ghting the Obama administrationsplan to preemptively bail out the construc-tion of dangerous and risky reactors throughloan guarantees that put taxpayers on the hookfor billions. Nuclear reactors endanger publichealth and safety, and there continues to beno safe way to deal with radioactive waste:

We sounded the alarm about the Obamaadministrations proposal to back theconstruction of the rst new nuclearreactors in the U.S. in 30 years withup-to-$55 billion in taxpayer loan guaran -tees, launching TV ads in South Carolinaand Georgia where new reactors areplanned, and getting our not anotherbailout message out to the public throughappearances on PBSs The NewsHour and

NBC Nightly News, as well as coverage inUSA Today , the New York Times and CNN.

We intervened in a case before the SouthCarolina Public Service Commission andencouraged citizens to testify at hearingsto convince regulators that conservation,energy ef ciency and alternatives shouldbe the focus of sound energy planning and

not pursuit of costly new nuclear reactors.Hundreds of people testi ed or submittedcomments.

We continue to work with the federal BlueRibbon Commission on the fate of thenations spent fuel, providing informa-

tion and guidance urging the commissionnot to pursue reprocessing, a dirty anddangerous process which magni es wasteand proliferation concerns, and to concen-trate on secure storage of commercial spentfuel at reactor sites and defense of high-level waste at Department of Energy sites.

The Biofuels campaign challenges policy incen-tives for the production of unsustainable and dirtybiofuels, particularly corn ethanol:

We sued the EPA for its failure to properlyregulate biofuels through the RenewableFuels Standard, which relies on outdateddata to determine the lifecycle greenhouse gasemissions caused by biofuels (the total amountof pollution produced at each stage of biofuelsproduction and use). Were asking the EPA tothoroughly account for the ecosystem destruc-tion caused by growing crops for fuel.

Campaign against coal: We joined Appalachia Risings mobilization in Washington, D.C., to call on the EPA and theObama administration to stop the destructive mining practice of mountaintop removal.

And the aw ard goe s to

Rep. Collin Peterson (D-Minn.)won our annual Biofool ofthe Year award for consis-tently scheming to blockEPAs authority to measure

and address global warmingemissions caused by biofuelsproduction. A growing body of researchind ic a tes tha t som e b iofuels result in m oreemissions tha n c onventiona l ga soline.



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We coordinated an unconventional coalition including environmental groups, scalconservatives, humanitarian and hunger

groups, meat processors, and even TeaParty backers to oppose the VolumetricEthanol Excise Tax Credit, a $6 billionper year giveaway to the oil industry forblending ethanol into gasoline. Our activistssent more than 20,000 emails to Congressopposing biodiesel and biomass tax credits.

We exposed how the Obama administrationsefforts to increase demand and infrastruc-ture for biofuels would be bad for taxpayersand the planet through media outreach

and a creative street theater demonstra-tion featuring Billionaires for Biofuels.

The International Finance campaign championsequity and justice in its work to secure suf cientfunding for developing countries to addressclimate change impacts and transition to cleanenergy economies:

We generated momentum for the creation of a global climate fund under the authority of the UN Framework Convention on ClimateChange (UNFCCC) as the best way to deliverfunding to poor countries so they can addressclimate change. We helped unite 287 groupsspanning 54 countries to call on PresidentObama to support a fund with no role for theWorld Bank and other multilateral devel-opment banks, which have long histories of funding projects that threaten local commu-nities, human rights and ecosystems.

We advanced creative and fair solutions forgenerating public funds for global climateaction through the introduction of legisla-

tion by Rep. Pete Stark (D-Calif.) that wouldgenerate billions by levying an in nitesimalfee on foreign currency transactions by largecorporations.

The Clean Vehicles campaign works to reduceemissions from the transportation sectorby promoting the development of clean andsustainable alternative fuels and vehicles:

We led coalition efforts in California toensure that the states Low Carbon FuelStandard promotes only the most sustain-ably produced biofuels, so it can act as amodel to other states throughout the countrythat are implementing similar standards.

We secured dozens of of cial endorsementsfrom non-traditional allies in the public andprivate sector to strengthen Californiaslandmark fuel economy standards forpassenger vehicles .

We produced a report, A Survey of Bay Area

Permitting Procedures for Electric VehicleCharging Infrastructure, on how localgovernments across the nation can supportthe widespread adoption of electric vehicles.

We led a lawsuit challenging the EPAsfailure to regulate greenhouse gas emissionsfrom ocean-going ships, aircraft and non-roadvehicles and engines, which emit approxi-mately 290,000 tons of soot every year.

Last December we sent several of our staff to Cancun,Mexic o to pa rticipa te in the UN c lima te neg otiations. Som e

of you ma y have follow ed our b log p osts a t ww w.foe.org/ c a nc un. We we re d isa p p ointed b y the inc lusion in

the nal text of a paradigm that allows rich countriesto c ontinue p olluting how ever muc h they like, anda failure to provide suf cient funding to a globalc lima te fund. How ever we spe nt muc h of the last

year campaigning for the establishment of thisfund under the UN, and we were pleased thatc ountries a g ree d to c rea te it in Ca nc un. Thoug hnot p erfec t, the Green Clima te Fund rep resentsrea l p rog ress a nd mo me ntum . The ne xt roun d ofneg otiations will take p la c e in Durb a n, Sout h Afric a .

Left: Karen Orenstein speaks at the negotiations.



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From the top: Supporting the citizens arrest of BP; Clean Air Act billboard ad in Little Rock,Arkansas; Uncle Sam standing tall for Appalachia Rising; Earth Day on the National Mall.

The BP oil spill in the Gulf of Mexico destroyed lives and live-lihoods, as well as ocean habitats. Recovery will likely takedecades. Regulators can and should learn from their mistakes. Ourresponse to the spill was a call to reverse course on energy policiesthat lock us into further reliance on dirty, destructive fossil fuels:

We aired Drill, baby, drill means spill, baby, spill TV ads inFlorida and Virginia, where offshore drilling is being debated, andultimately achieved a decision by the Obama administration toplace a seven-year ban on drilling off the eastern coast of Florida.

Our members and activists responded to our call for an endto dangerous drilling by contributing close to 23,000 signa -tures for a petition urging the president to reverse course on hisdrilling plans, and by joining with allied groups to stage a citizensarrest of BP at the companys headquarters in Washington, D.C.

We asked the EPA to prevent the use of oil dispersants made withnanoparticles in clean-up efforts, based on research that they could do

more harm than good. We participated in a day of action in front of the U.S. Capitol on the

three-month anniversary of the spill to urge lawmakers to pass legis-lation to move us toward an oil-free future and to donate oil money toGulf recovery efforts.

While Congress continued to punt on comprehensive climate and energylegislation, we built a strong front in the ght for policies that deliver cutsin pollution and a clean energy transition urgently needed to protect peopleand the planet:

We waged a successful advertising, media and public educationcampaign to save the Clean Air Act, the most powerful andeffective existing tool for reducing climate-warming pollutionin the U.S. Our activists contacted lawmakers to demand thatthey protect the Clean Air Act and voted on a billboard that waserected in Little Rock, Ark., to hold Sen. Blanche Lincoln (D-Ark.)accountable for supporting a measure to roll back the Clean AirAct. Our efforts paid off, as the Senate defeated 53-47 a resolutionsponsored by Sen. Lisa Murkowski (R-Alaska) that would haverolled back Clean Air Act protections against climate pollution.

We continued to collaborate with the Climate Reality Check coalition,an alliance of more than 20 groups dedicated to achieving progres-sive solutions to climate change that we co-founded in 2009. WhenSenators John Kerry (D-Mass.) and Joe Lieberman (D-Conn.)released a dangerous climate bill containing billions in giveawaysto polluters and undermining the Clean Air Act, the coalition coor-dinated activist brie ng calls to inform our members about thebills faults and produced a scorecard that graded the bill on keybottom-lines for progress and delivered it to the media and Congress.



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In addition to supporting our campaigns, occasionally we nd ourselves responding to breakingnew s eve nts tha t tug a t our co nsc ienc e. This yea r we wa nt to tha nk all of our me mb ers a nd a c tivistswho joined us in ac tion.

Rapid Response

Our activists: sent messages to the Federal Communications Commission and Congress to stop a deal betweenGoogle and Verizon that would kill Net Neutrality; signed a Hip Hop Caucus petition calling for the restoration andrebuilding of New Orleans; and marched in support of comprehensive immigration reform.

Donor Pro le: Ma rc Fried

One of the bumper stickers on Marc Frieds22-year-old car reads, Question Consumption.This is a motto he lives by. He g rows his ow n food ,hea ts his house w ith w oo d fro m his la nd , g et smost of his clothing at thrift stores, doesnt owna television, and has never had a c red it c ard.

Sa ys Ma rc , The re s a long -sta nd ing t en sio nb etw ee n inc rea sing c onsump tion of c onsume rgoods, which brings an improvement in theec ono my a nd in e mp loym ent, versus environ-mental imperatives, whic h d ema nd a systematic

decrease in consumption in af uent societies. This tension w ill only b e resolved whe n t hefundamental desire for excess materialpossession beg ins to eva p orate , whe n soc ietyagrees to em p loy its we a lth a nd its labor forc ein environmentally and socially productiveenterprises, instead of war and the endlessac c umulation of stuff.A historian and nature writer with ve bookspublished, and a columnist for a localnewspaper, Marcs special interest is the

relationship of rura l peo p le to the land , pa rtic u-larly in New Yorks Sha wa ngunk Mounta in reg ion,whe re he lives. Says Ma rc , I hop e to tea c h b yexam p le a nd to insp ire o thers throug h wha t Iwrite.Anothe r wa y that M a rc is setting a n exam ple isthroug h e sta te p lanning . His sup p ort o f Friend sof the Earth throug h annua l c ontributions da tesback ma ny years, and Marc has ma de Friend s ofthe Earth a bene ciary of a portion of his estate.

Afte r ta king c are of my family responsibilities, Ivec ho sen Friend s of the Ea rth, a long w ith a fewother charities, to b e inc luded in my will. Besidesaddressing immediate environmental issues,Friend s of the Earth see s the b igger p icture mo rec lea rly tha n som e ma instrea m environm enta lorga niza tions tha t are too ready to co mp rom isein the name of p rag ma tism.

For more information on ways to includeFriends of the Ea rth in yo ur esta te p lans, p lea seconta c t Erich Pica a t 1-877-843-8687, ext. 740 oreric hpica @foe .org.

Photo: Mt Ranier



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food &technologyEmerging technologies and harmful chemicals are rampant in consumer products and inour communities. Through advocacy and grassroots organizing, our campaigners educatepolicymakers and the public about potential dangers and ght for the necessary regulationsand safety measures to protect human health and the environment.The Biotechnology Policy campaign works tosafeguard people and ecosystems from dangersposed by emerging biotechnologies and practices,such as gene patenting, human genetic engi-neering, animal genetic engineering and syntheticbiology:

We have become a leading voice on issuesof synthetic biology. In the wake of a scien-tists announcement that he had createdthe rst fully synthetic organism, ourresponse was covered in The New YorkTimes , AP, Reuters, and an interview onBBC radio. We published the rst report onthe dangers of synthetic biology to producebiofuels, and we advocated at the UNConvention on Biological Diversity for aninternational review of the possible risks.

Last March a court ruled that all genes andDNA sequences are naturally occurring andtherefore cannot be patented. Unfortunately,the biotech industry is ghting back andtrying to have this decision reversed. Weare pushing for legislation to permanentlyban the patenting of human genes andall naturally occurring DNA sequences toensure that people can access medical testsand treatments without having to pay exor-bitant prices to private corporations thatown the rights to genes they did not invent.

We netted nearly 14,000 public commentsdirected at the Food and DrugAdministration (FDA) asking them not toapprove AquaBountys genetically engi-neered salmon, or if they do, to label it assuch. Our press conference in front of theWhite House and testimony before theFDA, which was covered by CBS EveningNews, NBC Nightly News and CNN,led the agency to agree to update andstrengthen its environmental assessment.

We are ghting to stop genetic engineeringand the cloning of animals, believing thatthis is a precursor to human genetic engi-neering and cloning. We are a part of theTarrytown Meeting, which leads the worldin addressing concerns with human biotech-nologies. In addition to sitting on the steeringcommittee, we present annually on theconvergence of emerging technologies withattempts to re-engineer the human species.

The Health and Environment campaign worksto eliminate toxins from cosmetics and personalcare products, as well as stem the unregulateduse of potentially dangerous nanotechnologies:

We worked with several members of Congress to introduce the Safe CosmeticsAct of 2010, which gives the Food and DrugAdministration authority to ensure thatpersonal care products are free of chemicalslinked to cancer, birth defects, learningdisabilities and other illnesses. Consumershave a right to safe personal care products,companies have a responsibility to under-stand the health effects of the chemicals intheir products, and the government shouldprovide consumer protection. The legislationincludes a provision for labeling nanomate-rials in cosmetics and personal care products.

We launched an online advertising campaignto alert the public to the risks posed bysunscreens that contain nanoparticles.We pressured sunscreen manufacturers tostop using nanoparticles and urged federalof cials to mandate the labeling of suchproducts. Manufactured nanoparticles maydamage cells and have harmful health reper-cussions. They also pose risks to workers andthe environment, and theres no evidencethat they make sunscreens more effectiveat blocking the suns harmful rays.



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&vessels

oceans

The Oceans and Vessels campaign works to protect coastal communities and marine life fromharmful vessel air pollution including greenhouse gases and black carbon, and the sewage,oil and other water pollutants discharged from cruise ships, cargo ships, oil tankers and ferries.

This year our campaign to regulate cruise shipsand ocean-going vessels made the oceans safer:

We released the 2010 Cruise Ship ReportCard, which compares the environmentalfootprint of 11 cruise lines and more than 100cruise ships, allowing vacationers to choosea cruise based on its environmental and

human health impacts. The report generatedmore web traf c than ever before and led tohits in major outlets including USA Today ,AOL and The Washington Post , causing astir in the cruise industry. It was timed tocoincide with the introduction of the Clean

Cruise Ship Act, which would amend theClean Water Act to regulate the millionsof gallons of wastewater discharged in U.S.waters ever y day by cruise ships. Find th ereport here: www.foe.org/cruisereportcard .

We won a decade-long battle to establish aNorth American zone, or Emission ControlArea (ECA), to limit air pollution from

ships. The low-pollution zone was approvedby the international body governing theshipping industry in March of 2010 andwill prevent millions of illnesses and 14,000premature deaths by 2020. We continue towork with allies to protect the ECA fromindustry efforts to weaken it, and supporteda proposal to include Puerto Rico and the

U.S. Virgin Islands in the protective zone tosafeguard the highly sensitive ecosystems inthe Caribbean region.

We won a ban on sewage dumping alongthe entire 1,600 mile California coastline

within three miles of shore and within SanFrancisco Bay. This victory built on our 2005work to pass the California Clean Coast Actand 2009 call on the U.S. EPA to implementthe ban, which it nally approved this year.

We achieved a ban on discharges of waste-water from cruise ships docked at the Portof Seattle.

An oil tanker run aground in Cook Inlet, Alaska (Photo credit: Bob Shavelson-Marine Photobank); an endangeredSouthern Resident killer whale observes an oil tanker passing through its critical habitat in Puget Sound (Photo credit:Fred Felleman); a container ship in Santa Barbara Channel (Photo credit: Wolcott Henry 2005-Marine Photobank).

A recent report on the cruise industrys environmental perfor-mance clearly shows that not all companies are making an equaleffort to safeguard the ocean waters on which they depend.

- Rep. Sam Farr (D-Calif.)

http://www.foe.org/cruisereportcardhttp://www.foe.org/cruisereportcardhttp://www.foe.org/cruisereportcard


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Last fall two of our staff attended the Friends of the Earth International Biennial Generalmeeting that brings together representatives from groups around the world to discuss thepolicies and activities of the federation, and during which all members have an equal say:

More than 80 people from 60 groups came together in Penang, Malaysia for a memorable meeting.This year was a turning point for Friends of the Earth U.S. for increasing collaboration with groupsin Central and South America; the meeting also marked the addition of seven new member groups.

The assembled group elected the new Executive Committee, of which our own Ian Illuminatois a part, in addition to Nnimmo Bassey (Chair, FoE-I), Karin Nansen (FoE Uruguay), JagodaMunic (FoE Croatia), Meena Raman (FoE Malaysia), Sarah-Jayne Clifton (FoE England, Walesand Northern Ireland), Bobby Peek (groundWork / FoE South Africa), Ricardo Navarro (FoE ElSalvador), and Hemantha Withanage (FoE Sri Lanka).

We are part of the worlds largest grassroots environmental federation, Friends of the EarthInternational, which unites 76 national member groups and some 5,000 local activist groupsaround the globe.

Our Internationa l Network

After four years of advocacy, Congress passedthe Coast Guard Authorization Act withstrong provisions for oil spill response andprotection of the Arctic.

We secured the installation of cruise shipshore-based power at the Port of San

Francisco after many years of advocacy. We led a petition with the National Oceanic

and Atmospheric Administration (NOAA)to slow down ships in Californias NationalMarine Sanctuaries.

We sued the state of Alaskas Departmentof Environmental Conservation for its inad-equate cruise ship permitting.

The Next Big Thing: Arc tic Pollution

The Arct ic is me lting , expo sing it to increa sedship activity and pollution. Cargo shipslooking to shorten their trips and govern-ments vying for natural resources arecreating new lanes for ship traf c byb rea king throug h the thin sea ic e. Friend sof t he Ea rth is working a t the Inte rna tiona lMaritime Organization, the internationalb od y g ove rning the ship p ing ind ustry, tod evelop a Polar Co de that w ould set rulesfor shipping at both poles to safeguarda ga inst po llution, ac c id ents and em ergen-c ies, and to p rotec t the ma rine e nvironme nt.

Volume 40, Number 4 Winter 2010 11


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economicpolicy

Friends of the Earth promotes the wise use of money to alleviate climate change, halt air andwater pollution, reduce poverty, and end injustice. We recognize that the common root of many environmental and social problems is an economic system that favors polluters andcorporations over the protection of people and natural resources.

The Green Scissors campaign works to exposeunnecessary funding for environmentally destruc-tive projects and hold our elected of cials account -able to saving taxpayers money and the planet:

Our Green Scissors 2010 report identi ed$200 billion in environmentally harmfulfederal spending; most of the $36 billionin subsidies for fossil fuels that PresidentObama called for the repeal of were includedin our report. Sen. Menendez (D-N.J.) andRep. Blumenauer (D-Ore.) introducedseparate bills to eliminate many of theoil and gas subsidies that we identi ed.

Our Carbon Trading campaign works tocounter the false notion that climate changecan be mitigated by Wall Street-drivenapproaches. We expose the loopholes andopportunities for manipulation often rife inmarket-based systems for pollution reduction:

We successfully educated members of Congress about the risks of carbon markets.The result was that leading Senate climatebills proposed a smaller role for Wall Streetin carbon trading, and the Frank-Dodd

nancial reform bill requires a govern -ment study on carbon market regulation.

We released a report, Ten Ways toGame the Carbon Market, which servesas a warning about the fraud, corrup-tion and gaming abuses that are inherentto carbon trading systems. We havehelped regulators and law enforcementagencies such as FBI, Interpol and theCommodities Future Trading Corporationprepare to combat market malfeasance.

Our Trade and Forests campaign works to enactclimate policies that achieve lasting forest protec-tions while safeguarding the rights of indige-nous peoples and forest-dependent communities:

We championed protections for the rightsof indigenous peoples and the full participa-tion of local communities in the UN climate

We joined our coalition partners on Capitol Hill to release the 2010 Green Scissors report; we demonstrated againstWorld Bank coal funding; and we marched to end subsidies to dirty fuels.

Carbon offsets are a way for corpora - tions to pass the buck allowing themto send money overseas for projectsthat promise to reduce emissions sothey can continue to pollute in theUnited States. To have any bene t,carbon offset projects need to resultin real reductions in climate-disruptingemissions. But weve seen that not all

offset projects clearly lead to reductions.



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negotiations on Reducing Emissions fromDeforestation and Forest Degradation(REDD+), a policy framework for assistingpoor countries in managing and restoringforests and measuring the carbon theylock away. Our advocacy prevented theinclusion of forest carbon offsets as theprimary means of funding forest protection.

Our campaign on Trade and Investment chal -lenges investment provisions in trade agree-ments that threaten environmental and healthprotections:

After a Canadian mining company suedthe government of El Salvador for notgiving it a mining permit, we broughtSalvadoran allies (including the siblingof a slain mining activist) to Washington,D.C., to meet with policymakers and thepress. The mining project didnt receive itspermit because of a shoddy environmentalassessment and erce popular opposition tothe project, prompting the company to suethe government for lost pro ts under theCentral American Free Trade Agreement.

We continued to intervene in currenttrade negotiations, such as the Korea FreeTrade Agreement and the Transpaci cPartnership, in an effort to stop companiesfrom having the ability to veto environ-mental, labor and public health laws.

As Wall Street banks and Chinese nanciersbecome increasingly in uential in internationaldevelopment, we promote ecological and social

standards in the international nancial sector toimprove banks and investors impacts on environ-ments and communities in developing countries:

Fresh from Friends of the Earth-sponsoredtrainings on green nance and advocacy,11 Chinese NGOs called on the HongKong and Shanghai stock exchanges toimprove information disclosure regula-tion of Chinese listed companies. Theirletter was prompted by a major chemicalspill at a gold mine owned by Zijin MiningGroup, a nine-day delay by the companyin reporting the accident, and attemptsto bribe journalists covering the news.

After ve years of our publishing reports onhow companies were failing to adequatelydisclose climate change risks to theirinvestors, the Securities and ExchangeCommission (SEC) issued interpretiveguidance to U.S.-listed companies on theneed to disclose climate risks in SEC lings.



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June 30, 2010 June 30, 2009Unrestric ted Unrestric tedOp era ting Te mp ora rily Op era ting Te mp ora rily

Fund Restricte d Tot a l Fund Restricte d Tot a lASSETS

CURRENT ASSETS:Cash and Cash Equivalents $145,382 $1,709,363 $1,854,745 - $1,471,866 $1,471,866Ac co unts Rec eivable:

Grants, Contributions and Bequests 21,651 - 21,651 266,463 - 266,463Ot he r 32,728 - 32,728 36,152 - 36,152

Tot a l Ac c ou nts Rec eiva b le 54,379 - 54,379 302,615 - 302,615

Due from Frien d s of the Ea rth (Ac tion), Inc. 128,065 - 128,065 59,403 - 59,403Due (To) From Fund s - - - (320,314) 320,314 -Promises to Give , Cu rrent Portion - 391,915 391,915 - 430,510 430,510Prep a id Expe nses a nd Othe r Asset s 69,153 - 69,153 97,057 - 97,057

Tota l Current Asse ts 396,979 2,101,278 2,498,257 138,761 2,222,690 2,361,451

FIXED ASSETSFurniture and Equipment 970,259 - 970,259 809,822 - 809,822Lea seh old Imp rove me nts 478,556 - 478,556 - - -Less Ac c umu late d Dep recia tion a nd Am ortizat ion 778,379 - 778,379 712,759 - 712,759

Total xed assets 670,436 - 670,436 97,063 - 97,063

OTHER ASSETSProm ises to Give , Net o f Cu rren t Portion - 20,000 20,000 - 30,000 30,000Poo led Inc om e Fund , a t Ma rket Value - - - - 1,881 1,881Charitable Gift Annuity, at Market Value 69,433 - 69,433 67,294 - 67,294Investme nts 57,627 - 57,627 - - -Dep osits 64,024 - 64,024 30,979 - 30,979

Tota l Ot he r Assets 191,084 20,000 211,084 98,273 31,881 130,154

Tota l Assets $1,258,499 $2,121,278 $3,379,777 $334,097 $2,254,571 $2,588,668

LIABILITIES AND NET ASSETSCURRENT LIABILITIESAc c ou nts Pa ya b le a nd Ac c rued Expe nses $167,082 - $167,082 $114,575 - $114,575Ac c rued Lea ve 113,569 - 113,569 116,490 - 116,490Ca p ital Lea se Ob lig a tion 10,428 - 10,428 10,428 - 10,428

Tot a l Cu rren t Liab ilities 291,079 - 291,079 241,493 - 241,493

OTHER LIABILITIESCa p ital Lea se Ob lig a tion 22,988 - 22,988 29,893 - 29,893Deferred Reve nue - Poo led Inc om e Fund - - - - 55 55Deferred Rent 118,611 - 118,611 7,682 - 7,682Lea seho ld Imp rovem ent Allow an c e 517,236 - 517,236 - - -Ch a rita b le Gift Ann uity Liab ility 41,241 - 41,241 42,563 - 42,563

Tota l Ot he r Liab ilities 700,076 - 700,076 80,138 55 80,193Tota l Liab ilities 991,155 - 991,155 321,631 55 321,686

COMMITMENTSNET ASSETSUnrestrict ed 267,344 - 267,344 12,466 - 12,466Tem p ora rily Restricte d :

Op era ting Fund - 1,922,857 1,922,857 - 2,056,095 2,056,095Reserve Fun d - 145,000 145,000 - 145,000 145,000End owm en t Fund - 53,421 53,421 - 53,421 53,421

Tota l Net Assets 267,344 2,121,278 2,388,622 12,466 2,254,516 2,266,982

Tota l Liab ilities and Net Assets $1,258,499 $2,121,278 $3,379,777 $334,097 $2,254,571 $2,588,668

Bala nc e Shee ts


nancials


15/16

Statements of Activities

2010 2009Unrestricted UnrestrictedOperating Temp orarily Operating Temp orarily

Fund Re stric te d To ta l Fund Re stric te d To ta lREVENUEGrants, Bequests and Member Contributions $1,471,263 $2,784,869 $4,256,132 $1,387,548 $3,322,491 $4,710,039Investment Inc ome 17,286 - 17,286 (12,443) - (12,443)Renta l Inc ome 64,123 - 64,123 56,921 - 56,921Ma iling List Sa les 2,286 - 2,286 6,785 - 6,785Ad ministra tive Fees 199 - 199 37,575 - 37,575Other 129,877 - 129,877 146,743 - 146,743Ne t A sse ts Re le a se d fro m Re st ric t io ns 2,918,107 (2,918,107) - 2,744,803 ( 2,744,803) -

Tota l Revenue 4,603,141 (133,238) 4,469,903 4,367,932 577,688 4,945,620

EXPENSESProgram Expenses:

Dom estic 1,209,355 - 1,209,355 1,204,874 - 1,204,874

Interna tiona l 928,415 - 928,415 927,165 - 927,165Blue wa te r Ne tw ork 648,037 - 648,037 653,241 - 653,241Outrea c h 789,360 - 789,360 925,871 - 925,871Memb ership 72,524 - 72,524 96,981 - 96,981

Total Program Expenses 3,647,691 - 3,647,691 3,808,132 - 3,808,132

Supporting Expenses:M a na g e m e nt a n d G e ne ra l 320,284 - 320,284 337,941 - 337,941Fun d ra ising 380,288 - 380,288 372,167 - 372,167

Tota l Support ing Expenses 700,572 - 700,572 710,108 - 710,108

To ta l Exp e nse s 4,348,263 - 4,348,263 4,518,240 - 4,518,240

CHANGE IN NET ASSETS 254,878 (133,238) 121,640 (150,308) 577,688 427,380Net Assets - Beginning of Year 12,466 2,254,516 2,266,982 162,774 1,676,828 1,839,602

NET ASSETS - END OF YEAR $267,344 $2,121,278 $2,388,622 $12,466 $2,254,516 $2,266,982

For the yea rs End ed June 30,

For the yea r end ed June 30, 2010:

Programs

Domestic33%

International25%

Outreach22%

Membership 2%

BluewaterNetwork 18%

Expenses

Programs84%

Fundraising9%

Management &General 7%

Revenues

Foundations64%

Membership/ Gifts 31%

Other 5%

This repo rt is an op po rtunity for us to d emonstrate o ur commitment to ma king the m ost of yo ur gifts. If you w ould p referto rec eive an e lectronic ve rsion of the a nnua l rep ort rather than the p rint version, please ema il us a t lmatthe s@foeo rg.

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Board of DirectorsArlie Schardt, Cha ir; Clarence Ditlow, Vice Chair;Ma rion Ede y, Sec reta ry; David Zwick, Trea surer; JayniCha se; Harriett Crosby; Dan Ga be l; Jeffrey Gluec k;Mike Herz; Russell Long; Patricia Ma tthe ws; Avis Og ilvyMo ore; Sorou sh Sheh ab i; Doria Steed ma n; Rick Take ta ;Peyton West.

Brent Blackwelder, President Emeritus and Ex-Of cio.

StaffErich Pica , Preside ntNick Berning, Director of Co mmunic ationsMichelle Cha n, Director of Econom ic Policy Projec tTom Clement s, Southe astern Nuclear Cam pa ign

CoordinatorRebec ca Connors, Deputy Director of Co mmunications

and Online Comm unications Manag erKenney Elkom ous, Fed eral Transporta tion Policy

CoordinatorCae ly French, Develop ment Assoc iateDavid Hirsch, Ma nag ing Direc torEric Hoffman, Biotec hnolog y Policy Cam pa igner

Kate Horner, Trade and Forest Policy AnalystIan Illuminato, Health and Environment CampaignerJohn Kaltenstein, Ca lifornia Clea n Ve ssels Coordinato rMarcie Keeve r, Director o f Oc ea ns and Ve ssels ProjectSelina Khakasa, Exec utive A ssista nt to the Preside ntLisa Matth es, Publica tions Manag erAdina Matisoff, China Banks CampaignerKate McMa hon, Biofuels Campaign CoordinatorDamon Moglen, Director of Climate and Energy ProjectAlex Moore, Dirty Fuels Ca mpa ignerKaren Orenstein, Internationa l Finance Cam pa ignerSara Sche dler, Clea n Vehicles Cam pa ign Coo rdinatorBen Sch reibe r, Tax Ana lystLivia Shma von ian, Energy an d Tax Policy A na lystPeter Stoc ker, Donor Services Mana ge rKelly Trout, Com mun ica tions Assoc iate

InternsSco tt Baum ga rtner, Com munica tionsSmita Biswa s, Clea n Veh iclesMatthew Ca in, CommunicationsKara Fed ors, Stanb ac k Clean Ve hiclesHeather Kangas, Dirty FuelsKim Huynh, Com munica tions

Sarah Mier, Comm unicationsJosef Palermo, Biofuels Communica tionsAaron Petcoff, Dirty FuelsCarly Pildis, Co mmunic ationsAnge la Nicholas, Stanb ac k Oce ans and Ve sselsLindsay Shade, Biofuels Research a nd Advo ca cy

Consultants/ Adv isorsAgiitpop C ommunicationsMichael BarnesBrent Blac kweld er, Forme r Preside nt an d Spe cia l AdvisorSue Claytor, The Personnel Of ceFred Felleman, Paci c NW ConsultantKevin FingermanRebecc a GoodmanRobert GuildHarmon , Curran, Spie lbe rg & Eisenb erg, LLPIra Horowitz. Fire y Partners, LLCDoug Kop low, EarthTrac kRoss KleinRubino & McGee hinNick Simmo ns, Tec hgn om e.orgLaura Zylstra

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Annual ReportWinter 2010: Volume 40, Number 4

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friends of the earth annual report 2010

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