558 Funding Update

[MrTim]

Now on VTST Home Page:-

Dear Supporter



Today, at 2.00pm, we launch XH558’s 50th Birthday Appeal.



Through the money pledged by the public at the start of this year, we have proudly delivered on our commitment to bring XH558 back to the public this summer, in a hugely spectacular and wide-spread set of displays around the country.



In the meantime, we have made significant progress at reshaping our business plan so as to be far less dependent on one revenue stream. We have also looked at our costs for the coming year, based on the experience of the last twelve months and in the knowledge of what we need to do to keep XH558 flying into the future.



We now know that we need £2.4million to keep XH558 flying in displays for another year, and crucially to ensure that she can fly on for as many years as possible. We also have confidence where £1.6million of that amount is coming from over the year, leaving £800,000 to raise from public donations. Full details of how these costs and funding streams are built up are available on our Appeal website.



Now that we entering the winter maintenance period, inevitably our cash reserves are dwindling rapidly. We need to generate immediate income over the next few weeks and months, to fund the Winter Service and critical modification work - work for which we have to pay up-front.



With an initial funding target of £400,000 by Christmas, and a further £400,000 after that, we hope to build a steady increase of regular standing orders, bringing further stability to our finances. These core tasks form the basis of our fresh appeal, with the vital goal of celebrating the Golden Anniversary of XH558’s first flight on 25th May 1960.



This time we are asking directly for donations, since we believe that we have proved that we make good on our commitments. Full details of the 50th Birthday Appeal and our 2010 budgets have been laid out within a dedicated Appeal site that will be clearly visible and active from 2pm. Forecast Income and Expenditure Charts are included, with historical data from this year, together with an extensive Question and Answer section.



Next week, we will start to mail out details to over 35,000 Members and Friends who have helped us in the past. We will include an Appeal Poster that we hope you will be able to place in a prominent place.



Our primary goal is to take our story out to the wider world and new audiences, who will be key to securing the many, many small donations we need.


There will be a widespread publicity campaign and other initiatives aimed at taking the project out to the wider public and corporate bodies. If you have not seen our Sponsorship Video, it is available here:
http://www.youtube.com/watch?v=NNDZvpScfIw



Over 2.5million people were thrilled by XH558 this summer, but only a fraction of those have helped keep her flying. We – you and the VTST team – need to bring many, many more people on board!



We will continue to provide regular updates throughout this new 50th Birthday Appeal Campaign, and hope you will find the time to fully explore all the aspects built into our future funding proposals. In turn, your support of the Appeal will be central to our success!



On behalf of all those who appreciate what XH558 is and what she stands for, many thanks for your continued support.



Robert Pleming

VTST Chief Executive

[Gully]

New 50th birthday appeal homepage has gone live - log in to http://www.vulcantothesky.org to see it!

Appeal statement:

XH558’s 50th Birthday Appeal
XH558 needs £400,000 by Christmas
and a further £400,000 by 31st March 2010.

Announcement on XH558’s Future Funding
Joint statement by Dr Robert Pleming, Chief Executive, Vulcan to the
Sky Trust and Richard Clarke, Chairman, Vulcan to the Sky Club.

At the start of the year, we promised that if we received £1million in pledges from you, our supporters, we would give XH558 back to you through the 2009 air display season. You delivered the pledges, and we made good on our commitment: XH558 has been ecstatically welcomed at events throughout the UK this summer, and even ventured to mainland Europe.
Flying 21 display sorties to 33 events, XH558 has been seen by over 2.5million spectators, plus countless more that have sighted her in transit across the country. We have proved the “Vulcan Effect”, with huge audiences flocking to the sight of XH558, the world’s only flying Avro Vulcan.

HONOURING THE PAST – INSPIRING THE FUTURE!

As the year closes, we naturally look forward to the future. In May 2010, we will all celebrate the 50th Anniversary of XH558’s first ever flight. We have two things to do to get there: we need to build on the success of 2009 and generate the funds for XH558’s future, and we have some engineering work to do to prepare XH558 for 2010 and beyond.
Despite excellent reliability through most of the season, XH558 is due for a “Minor” service this winter, a more in-depth service than last winter. Certain calendar-lifed components need to be overhauled or replaced. Importantly, with some experience now behind us, we need to ask BAE Systems and Rolls-Royce for very detailed advice and guidance on how best to manage XH558’s remaining flying life. With the Vulcan’s - & HM the Queen’s - Diamond Jubilees in 2012, we must ensure XH558 continues to fly!
So our budget for the next year, including everything we need to do, is £2.4million. The pie charts over the page show how this has been built up. As a baseline, our costs for the 12 months ending 31st August were £1.7million. This baseline rises to £2million for next year, mainly due to hangar & office rental costs and a large allowance for fuel. Including the one-off life management and overhaul costs this brings the bill for next year to £2.4million.

How are we going to meet this funding requirement? We are now able with confidence to see £1.6million in firm revenue streams, made up of £810,000 from known and secured sources, and a further £800,000 in planned income in which we have high confidence. This leaves £800,000 to find – see Income pie chart.
We are therefore now launching XH558’s 50th Birthday Appeal! Given that only a fraction of those who were awed by the sight of XH558 in 2009 have contributed directly to her funding, we believe that there is a significant source of new funds into which we can tap!
This Appeal is urgent, because we need to commit to this Winter’s work now, and that means committing to pay for it.

This time we are directly asking for donations, not pledges, because we feel we now have earned your trust to deliver what we promise. So please do what you can, and ask your family, friends and colleagues as well, to ensure XH558 flies on into the future.

Statement ends

Gully

[Bubbles]

Another "give us a shed load of moeny in a month or we close" panic appeal then.

[Wedgy]

Thanks for posting here guys - Ive not seen the other side in a while.

[Mayfly]

The fact that more funding is required should not be a surprise to anyone

First the positive - I must say it is very well presented compared to previous years, however.....

at first glance because I haven't studied what it says in depth - I don't see anything radical about this appeal at all. I gained the impression from a couple of posts on tvoc that it was something totally new & inspiring!!! Other than its now asking for Birthday Bash Donations instead of pledges how is it differant?

Am I missing something fundemental here? Why couldn't this have been published at least 6 weeks ago whilst 558 was still flying?

Does anyone know if there is a radically new comercial push that I may be getting mixed up with?

[MrTim]

The fact that more funding is required should not be a surprise to anyone

Very true - we all know very well that there is an on-going need to fund this project. It is far from a panic appeal.

[Dee]

I think its a realistic approach, at least it states that £1 million or just over has already been identified from sources for next year? Can't see what the moaning is about surely we ALL knew we would have to dip in our pockets again? And isnt she worth it?

[Xplumberlives]

And just WHO do they employ as the PROOF READER?

How come yet again there are mistakes within such an important statement?

I suppose I shouldn't really be shocked, after all it's just what we have come to expect!

[Bubbles]

I think its a realistic approach, at least it states that £1 million or just over has already been identified from sources for next year? Can't see what the moaning is about surely we ALL knew we would have to dip in our pockets again? And isnt she worth it?

This is lifted from the common questions page of the site.

The Trust currently holds only sufficient cash reserves to allow us to trade to the end of November, assuming no extra money comes in.

If we are going to meet the deadlines of another display season, we not only need the money for the work detailed, but to cover the overheads of the support operation behind XH558.

If cashflow decreases to the point no funding is possible beyond this timeframe, the Trust will need to consider giving notice to staff and putting the project into administration. The future would then be very bleak – but we have been here before, surviving due to the support we have been given by those who wish to see XH558 continue to fly.


According to the appeal page cash reserves run out at the end of november, its mid october .
I know people are busy etc,etc but the financial aspect should be sorted why before now, no matter how you dress it up it is another last minute plea for money and anyone with half a brain cell will see through it.

As for is she worth it? 558 is an aeroplane, sheet metal rivetted together and frankly im not so sure it is worth it.

[Dee]

As for is she worth it? 558 is an aeroplane, sheet metal rivetted together and frankly im not so sure it is worth it.
Might be best if you pack it in then? To me she is pure emotion, she fills me with so many differant emotions that of course shes Bloody worth it.

[Wedgy]

According to the appeal page cash reserves run out at the end of November, its mid October .
I know people are busy etc,etc but the financial aspect should be sorted why before now, no matter how you dress it up it is another last minute plea for money

Not wanting this to turn into another TVOC bashing thread .... but can't help but not shut up and agree with that.

I'm sure as usual, people have worked hard on this and its been in the pipeline for a long time but the bottle neck was upper TVOC management once again no doubt.

From personal experience, Ive just about had it with TVOC in the last month or so .... many "you can shove it up your ***"'s have been uttered under my breath.

I think I said this a few months back ... but will say it again.
If the club ran 558 ... it would be a different story .....
Bugger off Trust .... long live the club

[Xplumberlives]

Here here!

[Old Rigger]

The Trust currently holds only sufficient cash reserves to allow us to trade to the end of November, assuming no extra money comes in.

I am assuming that the extra money is what comes in from standing orders each month, flying fund draw and donations from club etc, in which case there is no assumption as money will continue to come in from these sources, unless a bit off creative accounting has been applied and these have been included in the 'sufficient cash reserves to trade to the end of November', there again what about this same income for December, Jan etc or does that stop at the end of November some how.

But it is that threat again that really gets up my nose of 'we will have to go through the redundancy process again if the money does not appear', I thought this approach was not going to be used again.

[Mayfly]

Ooooo I could say barrow loads but as usual will keep my mouth shut.... [almost]


558 will always be emotive - thats why threads about her on all the popular aviation sites are 10 times as long as any others...

What are reasonable questions or statements to one are moans & grumbles to others....but whatever way you look at it EVERYTHING is always last minute....

[MrTim]

If people don't think she's worth it, then best they leave the club and stop their involvement. Feel free to state your opinions on forums though.

This isn't a surprise to the VTST or anyone here really, is it? It seems to me that rather than rushing in with some half-baked appeal, they have actually thought about it properly (for once) and launched it when they are ready. I'm sure we'd all like it to be sorted long before now, but it isn't and that's the reality of the situation. By the looks of it quite a bit of work has gone this appeal, and it's pretty open and up-front. The November date isn't really a deadline, since it assumes no more money will come in at all, which won't happen. It's there simply to demonstrate the amount of cash they are currently holding.

The thing that surprises me is that the amount we require is so little compared to what a lot of people thought. With £2.4m being mentioned, it was assumed we'd need far more than last year. Obviously a lot of work has gone in to securing the rest of the funding.

[Xplumberlives]

If people don't think she's worth it, then best they leave the club and stop their involvement. Feel free to state your opinions on forums though.

This isn't a surprise to the VTST or anyone here really, is it? It seems to me that rather than rushing in with some half-baked appeal, they have actually thought about it properly (for once) and launched it when they are ready. I'm sure we'd all like it to be sorted long before now, but it isn't and that's the reality of the situation. By the looks of it quite a bit of work has gone this appeal, and it's pretty open and up-front. The November date isn't really a deadline, since it assumes no more money will come in at all, which won't happen. It's there simply to demonstrate the amount of cash they are currently holding.

The thing that surprises me is that the amount we require is so little compared to what a lot of people thought. With £2.4m being mentioned, it was assumed we'd need far more than last year. Obviously a lot of work has gone in to securing the rest of the funding.

If that REALLY is the case, then things are indeed far better than may have been supposed and it should be easy to achieve!

[Bubbles]

If people don't think she's worth it, then best they leave the club and stop their involvement. Feel free to state your opinions on forums though.

Why thanks for allowing me to express my opinion.

Pull the plug on the whole mess and return her back to Brunty. thats the opinion of someone who has been involved in 558 before there was a Vulcan To The Sky Club.

[RLN]

It is good that at last they are forwardly thinking, but, why oh why, does everything seem to be last minute.
I'm sorry, but 558 isn't unique in the restoration/emotion stakes. Anything from pushbikes to the space race involves the emotions of someone, and I would be far more outraged (and would take far more positive action) if they decided to dismantle HMS Victory (Trafalgar Day 21/10/09). Horses for courses, really. Either pay up, or shut up. Is that harsh? Sorry.

[Pujgnie]

Dunno why people are complaining.. We all knew it was comming.

The figure is achievable, and not half as bad as last years 'Mega' ask for funds. Time to knuckle down and get on with it I'm affraid. No doubt there will be another appeal this time next year.. so be warned in advance.

[Saracenman]

i have a few simple opinions

i knew about this appeal, and roughly what the required amount was, a few weeks ago. in my opinion, it IS worth the effort, although i will not disguise the fact that i will NOT be donating any money. my reason is simple - I've long been frustrated being begged to help pay the salaries of those who i think should be fired, but the last few weeks have compounded that for me. i will NOT contribute to the salaries of those who've been obstructive to 558's future.

sadly, this also means that those who DO deserve to keep their jobs will not receive my support either, and for that i can only apologise.

the sad thing is that there ARE some extremely capable people who DO understand what 558 and VTS are genuinely about, and how the business should be run.

in short, Dr Pleming needs to go, as does Mr. Edmondson, before 558 truly has a chance of thriving.

sm

[Stigish]

In my opinion VTTST deperately need someone involved in the project who is there for marketing & fundraising only (I'll hang my head in shame if there is already ). Someone who can look at the project from the general public point of view and see where they can really tap into peoples pockets. Something that will very much grab the attention of everyone, not just members/forumers/family and friends. Aside from all the doom & gloom everyone is quite frankly sick of hearing, the bottom line is, most can't afford it. Including me.

The one thing that did impress me from the fundraising side of things this year was the Text Message donations that were being pushed every 5mins at Bournemouth. I think this is probably the easiest way of getting the public to cough up. Unfortunately I haven't heard it being mentioned once since then .

I'd bet if you had £5 credit on your phone & £5 in your pocket you'd much rather donate £1.50 by Text than hand it over in cash. A perfect example of this was at Bournemouth. A young lad of about 9 was sitting near me, as soon as 558 started her display and they mentioned the text service he couldn't get his mobile out quick enough. I'd guess if he didn't have a phone & someone came round with a bucket asking for donations he'd rather spend his cash on ice creams & sweets.

Pretty much everyone has a mobile and its a revenue stream that has guaranteed success. Help the Heroes charity is the perfect example of this success. Not everyone has access to a bank account & children cannot do standing orders.

They also really need to start getting in on websites that really get hit on from all over the world & not just on places where the chat is mainly about aircraft. I work in an office that has over 1200 employees, when 558 flew over Bournemouth on the Thursday there were all of about 3 people out to see her on our roof terrace. On the monday everyone was talking about 558. That to me proves how little people are aware of her unless they go to the airshows or use forums like this. I'd imagine only a small fraction of people who have seen her this year will here of this campaign, which is a real shame.

Apologies if this is a bit all over the place, but I'm writing this in between customer appointments. So I haven't checked it makes sense. I hope I get to the point though .

[RLN]

I have to agree, SM. If I made the same mistakes in my job, I would have killed somebody,or been sacked. The buck stops at the top. Please get a grip.

[Saracenman]

Stigish, VTS do have someone with superb PR and marketing skills - Ian Homer. it is he who has put together most of that appeal, with input from others of course.

he works very closely with Michael Trotter, the VTST Business Development Manager. Michael is about the only member of the management who knows what's gong on! he fully understands where the business needs to go, and what needs to be done, and has NEVER failed to act on every promise he's made. he is one of the best assets that VTST has.

the trouble is is that (in MY opinion) others around these two extremely capable individuals make things very difficult. today's appeal has been delayed because of this, my own activities have been hampered in the same way, for no other reason other than ignorance, laziness, disorganisation and ineptitude of others.

their bank account will NOT be receiving a single penny from me!

the Club, however, i will support with 100% commitment.

edit: as for the text message idea - it already exists! Ian Homer set it up in August. I'll see if i can find the number, but it DID get included in the press releases, and it WAS mentioned in 558's display commentary.

sorry Stigish - i misread your post

sm

[Old Rigger]

The thing that surprises me is that the amount we require is so little compared to what a lot of people thought. With £2.4m being mentioned, it was assumed we'd need far more than last year. Obviously a lot of work has gone in to securing the rest of the funding.

I am not sure if I am reading this right but according to my maths 1.4 million is over double what we needed last time for the pledges (1 million if memory serves) to see her flying this year which is, in my eyes, far more than we needed last year.

[Spitfire]

Typed a long response - got fed up with the whole deal and wiped it all

Just pi$$ed off with Pleming bleating about needing more money from the 'core'

Nothing from me Mr P I'm afraid ..... I'd rather support Andy's genuine hard work with the Lightnings

There comes a point ..................................