2005/06 Annual Report

DEFENDING OUR OCEANS

What We’re About

Greenpeace is an independent campaigning

organization that uses peaceful protest and creative

communication to expose global environmental

problems and promote solutions for the future.

With 40 offices located throughout the world,

Greenpeace works to protect our oceans and

ancient forests, and to end toxic pollution, global

warming, nuclear threats, and genetic engineering.

Since 1971, Greenpeace has been the leading

voice of the environmental movement by taking a

stand against powerful political and corporate

interests whose policies put the planet at risk.

TABLE OF CONTENTS

1 From the Executive Director

3 Clean Energy Now!

5 Defending Our Oceans

7 Protecting Endangered Forests

9 Combating Hazards to the Planet’s Health

11 Witness Our New Boat

13 Thirty-Five Years of Inspiring Action

15 Creating a Movement

17 Financial Highlights

19 Our Supporters

21 Board of Directors

ABOVE: ©OWE/GREENPEACE; RIGHT: ©1999 ROBERT VISSER/GREENPEACE; COVER: ©GREENPEACE/JEREMY SUTTON-HIBBERT2005

Tucked away in the back of an annualreport is the centerpiece of the year: thefinancial information. We offer ours eagerly,proud to show how well we use the pre-cious resources of our generous support-ers. If you don’t happen to enjoy spread-sheets, then by all means, delve into everyother page of this report. You’ll find reflec-tions on our programs, our victories, andthe challenges that lie ahead. And know, itis you who makes this work possible.

Work like blocking the Japanese fleet fromslaughtering whales in the SouthernOcean. Like stopping the illegal trade intrees from ancient forests in Indonesia,Africa, and the Amazon. Like sendingexplorers to complete the first-ever sum-mer crossing of the North Pole to highlightthe alarming effects of global warming.

But keep in mind as you page throughthe report: Behind every action, behindevery campaign, behind every pressstatement, webcast, outreach – we arefanatically determined to wring maximumhorsepower from the funds you provide.Our work is too important (and your trusttoo valued) to do anything less..

Tight financial stewardship gives us theability to work locally – or globally. Bycoordinating with colleagues around theworld, we are better poised to stop thedestruction of the world’s great ecologicalsystems that enable our very lives. This is

why we work to protect the oceans, tostop global warming, halt toxic contami-nation, preserve ancient forests, resistnuclear proliferation and the spread ofgenetically engineered organisms.

So enjoy this report… but don’t passover the financial information too quickly.Every dollar listed came from an individ-ual or a foundation. Greenpeace stead-fastly refuses all donations from corpora-tions or governments. That gives us thekind of independence we need to remainimpartial and fair and completely inde-pendent. But it also means that every-thing we do is possible only as long aswe remain a mission of and for you.

We cherish your contribution and see itas the expression of your passion, ofyour determination to not let corporationsor the politicians they influence makedecisions that harm our world. And wewill never forget that Greenpeace existsbecause of your commitment.

One person railing against planetarydestruction is a voice in the wilderness.Greenpeace unites 2.7 million people fromaround the world – and together, we are amighty roar. As you will see in this annualreport, together, we are making a difference.

John Passacantando

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Above: Greenpeace explorers Lonnie Dupreand Eric Larsen become the first-ever totrek to the North Pole in summer drawingthe world’s attention to global warmingand the plight of polar bears.

On the Cover: 44 activists from theGreenpeace ships Esperanza and ArcticSunrise spell out a message from Antarcticaafter confronting the whaling fleet in theSouthern Ocean Whale Sanctuary.

Below: Greenpeace launched legal action tohave polar bears listed as “threatened”under America’s Endangered Species Act.

From the Executive Director

Cut 2 lines

• • •

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Denouncing Europe’s biggest climate pol-luter Greenpeace projects a message ontothe cooling tower of the Neurath browncoal power plant near Cologne, Germany.

Right:

• • •

Greenpeace launchedSolarChill, a new ozone-layerfriendly refrigeration technologyrunning entirely on solar power,enabling the safe delivery ofvaccines and food to regions ofthe world without electricity.

Interim results of the nation’slargest mercury hair samplingproject sponsored byGreenpeace found mercury lev-els exceeding the EPA’s recom-mended limit in one in fivewomen of childbearing agetested.

Greenpeace secured a reviewof the Thai Government’s ener-gy policy the Thai NationalEconomic and Social AdvisoryCouncil of the Prime Minister’soffice after a blockade of theBCLP coal facility at Map TaPhut.

ABOVE: ©BERND ARNOLD/GREENPEACE; RIGHT: ©1999 ROBERT VISSER/GREENPEACE

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Below: Greenpeace’s Project Hot Seatvolunteers send a message to con-gressional candidates calling for lead-ership on global warming.

“America is addicted to oil.”—President George W. Bush

With these words in his State of the Union,President Bush finally acknowledged theharsh truth that Greenpeace and our sup-porters have been trumpeting: our nationaldependence on oil is dangerous, and isaffecting our climate – and our future.

Public concern about global warming hasgrown dramatically in the last twelvemonths. 82% of registered voters nowsay global warming is a problem. AlGore’s movie, “An Inconvenient Truth,”has helped. But Hurricane Katrina, asuper-storm, driven by rising ocean tem-peratures, really brought it home.Scientific confirmation of global warmingcontinues to grow.

Last year, before Katrina, Greenpeaceraised awareness of the issue with ourProject Thin Ice expedition to the NorthPole. Our explorers Lonnie Dupre andEric Larsen didn’t succeed then. Thisyear, at the second attempt, they did,becoming the first people—and probablythe last—to reach the North Pole in sum-mer. We used their expedition to highlightthe plight of the polar bear, which scien-tists predict could become extinct thiscentury because of the melting icecap.

Greenpeace’s work on regional cleanenergy solutions has carried on apace. In

May, activists rallied in front of SanFrancisco’s City Hall to support“Community Choice,” a precedent-settinglocal clean energy ordinance that wouldbe the largest renewable energy networkin the country. And we generated morethan 10,000 phone calls from supportersto Senators Ted Kennedy and TedStephens when they tried to block CapeWind, America’s first offshore wind farm.Because of our collective efforts, theprocess to site the wind farm continues.

But the lack of national political leader-ship is the biggest obstacle to curbingglobal warming. We launched “ProjectHot Seat” appealing to candidates in keycongressional districts this summer, tochange their opinions and actions onglobal warming. As we go to press, withseveral weeks still left before the mid-term elections, we have already moved 5of the 12 candidates to commit toactions on global warming.

Elsewhere in the world Greenpeace pres-sure led China to commit to develop 30GW of wind power by 2020 puttingChina on track to become the world’sbiggest wind energy market.

Clean Energy Now!

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Above: Greenpeace ship Esperanza andher inflatables, hinder the shooting of aminke whale by a Japanese catcher ship.

Right: A sea turtle caught up in fishingnets is cut loose by Greenpeace activistsand released back into the sea.

In a major campaign victory,Gorton’s of Gloucester – thefisherman you trust to bring youfrozen fish sticks – opted out ofthe whaling industry.We hadbeen campaigning againstGorton’s for the better part ofthe year and after encouraging

over 25,000 supporters to con-tact the company, Gorton’sJapanese parent companyagreed to get out of the whalingbusiness for good!

Port authorities in Russia tookaction against five of the mostnotorious pirate fishing ships inEurope, dubbed the “Rostockpirates,” after Greenpeace presented a dossier of evidenceagainst this pirate fleet compiled over the last year.

• •

ABOVE: ©GREENPEACE/JEREMY SUTTON-HIBBERT; RIGHT: ©GREENPEACE/GRACE, ©GREENPEACE/GAVIN NEWMAN

Greenpeace launched its 16-month “Defen-ding our Oceans” voyage in late 2005 tomake sure the world could see our marineworld as it truly is. Greenpeace is campaign-ing for the creation of a global network ofmarine reserves, an essential part of restoringthe diversity once found in our seas, and haspresented these plans to the United Nations.

The voyage began by confronting the whalingfleet in the Southern Ocean and savingwhales by reducing visibility for harpooners.Back in the USA, activists scored a majorvictory for the whales when Gorton’s ofGloucester responded to 25,000 messagesof protest and pressured their Japaneseparent company to end its investments inthe whaling industry. And we were able toalter corporate policies in Argentina andNew Zealand as well to further isolate thewhaling industry economically.

Next the Esperanza traveled north tounmask pirate and longline fishing fleetsoff the coast of Africa. Pirate fisheries steal$1 billion worth of fish a year from some ofthe poorest nations on earth. In just fourweeks, the Esperanza documented 61 piratevessels off the coast of West Africa andworked with authorities to arrest the vesselsred-handed. We took action in the CanaryIslands against a large refrigerator ship fullof illegally caught fish, forcing the Spanishauthorities prosecute the vessel. TheEsperanza then traveled to the Mediterran-ean, India and the Philippines, and through

the Pacific Islands to work with communitiesand governments on the development ofmarine reserves and to document theactivities of pirate fishing fleets.

In the summer we also undertook a majorexpedition to the Bering Sea, home of thelargest fishery in US waters and the largestfood-producing fishery in the world. While thisfishery is being “managed” within a govern-ment quota system, the sad truth is that it isbeing pillaged by massive factory trawlers.Our expedition documented the vast beautyof the Bering Sea and the threats it faces.We built relationships with native communi-ties that depend on the fishery for survivaland worked with scientists to deepen theknowledge of this remarkable ecosystem.

As we look towards 2007 and theEsperanza’s voyage finally concludes, wewill have mapped and highlighted locationsacross the world that must be protectedthrough marine reserves, we will againtravel to the Bering Sea to ensure that theUS is leading the way for marine reservesand protected fisheries and we must pre-pare to defend whales again, this time onhome soil, when the International WhalingCommission meets in Alaska in June 2007.

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Below: Greenpeace divers highlightingover-fishing of tuna in the BalearicIslands, Spain—a breeding ground forthe blue-fin tuna—during the DefendingOur Oceans voyage.

Defending Our Oceans

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Above: The US-based corporation Cargillburns large areas of the Amazon rainforestto clear land for soy plantations.

Right: McDonald's outlets were visited byseven-foot-tall Greenpeace chickens protest-ing the role played by the fast food giant inthe destruction of the Amazon rainforest.

After 10 years of Greenpeacecampaigning, the Canadiangovernment has saved an areaof magnificent forest fromdestruction.The Great BearRainforest is a coastal temper-ate rainforest on the west coastof British Columbia and is oneof the world’s treasures.

The intervention of somehomegrown celebrities to finallytip the balance in favor of pro-tecting the forests of northernArgentina after a long fight byGreenpeace and the indigenousWichi people.

After 30,000 emails and letterssent to their European head-quarters, McDonald’s hasagreed to stop selling chickenfed on soy grown in newlydeforested areas of the Amazonrainforest.

• • •

ABOVE: © GREENPEACE/BELTRA; RIGHT: ©GREENPEACE/TOUHIG, ©GREENPEACE/TOUHIG

At Greenpeace, we’re used to the longbattles. You can’t change the world forthe better if you’re not willing to put in,quite literally, years of effort. But whendecades of work finally pays off, theresults are world-altering.This year, wecelebrate some major victories.

First, the Canadian government finallyenacted protections for the Great BearRainforest. Greenpeace worked for tenyears to protect this magnificent forestand helped to craft a partnership that willnot only conserve one of the continent’slast remaining natural treasures but alsocan be used as a model to protect otherthreatened places.

Our Amazon work got a heartening boostwhen Brazilian President Lula da Silvaissued a decree to protect an area of theAmazon twice the size of Maryland. Thecreation of a 16-million acre conservationarea is an inspiration to all who are battlinglandgrabbers, cattle ranchers and loggers.

One of our most significant victories inthe Amazon was about soy production,which has accelerated in Brazil to meetglobal demand, fueling yet more destruc-tion of this fragile habitat. Fast foodgiants have been using chickens fed onsoy grown in the Amazon. Greenpeacetraced the supply route of soy toMcDonald’s Europe and generated30,000 e-mails and letters in protest.

McDonald’s has promised to change itssourcing policy, but Kentucky FriedChicken has not, and our campaignagainst them continues.

In North America, Greenpeace launchedan international campaign againstKimberly-Clark, the maker of Kleenex,Scott and Cottonelle. Kimberly-Clark hasall but refused to use recycled paper inits products, instead continuing to flushold growth trees down the toilet. As longas they persist, we’ll keep up the pres-sure and make sure consumers under-stand that Kimberly-Clark is knowinglyharming irreplaceable ancient forests.

Finally, our efforts to protect the Alaskatemperate rainforest have made greatstrides this year. This rainforest is home tothe Sitka Spruce, one of several rarewoods used in the manufacture of musicalinstruments. Our Music Wood campaignhas forged an alliance with manufacturerssuch as Gibson and Fender to promotesustainable management of the wood theyneed, under Forest Stewardship Councilcertification. Greenpeace facilitated a tourby Japanese manufacturers to Alaska, tofurther encourage local suppliers to go FSC.

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Below: Greenpeace activists scale the AdmiraltyArch wing of the Cabinet Office in protestagainst the UK Government’s use of illegallylogged timber from the rainforests of PapuaNew Guinea, in the building’s refurbishment.

Protecting Endangered Forests

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Above: Greenpeace activists create agigantic crop circle in a maize field inMexico to highlight the threats to biodiver-sity from genetic engineering. Identicalactions took place in Europe, SouthAmerica and Asia.

• • •

The city of Buenos Airesannounces plans to implementa zero waste policy after acampaign by Greenpeace inArgentina.

Spain has confirmed that thecountry’s eight operatingnuclear plants will be phasedout in favor of clean, renewableenergy. Spain joins Sweden,Germany, Italy and Belgium asthe fifth European country toabandon nuclear power.

The Estonian government detainedthe Probo Koala, which dumpedtoxic waste in the Ivory Coast, killingseven people and causing masspanic. 44,000 sought medical assis-tance. Our activists tracked andblocked the toxic ship in Estonia andbranded it an ‘EU Toxic Crime Scene’until authorities agreed to act.

ABOVE: ©GREENPEACE/GUSTAVO GRAF; FAR RIGHT: © GREENPEACE/PETER FRENCH

The Greenpeace Nuclear Campaign hasbeen working around the world to ensurethat global warming doesn’t lead govern-ments to invest in nuclear energy.Greenpeace released a report this yearthat chronicles almost 200 “near melt-downs” at U.S. nuclear reactors since1986 – the year the infamous Chernobylaccident devastated the lives of millions.This was a sober reminder to PresidentBush and Congress that nuclear energyis not the clean or renewable sourceneeded to fuel America’s growing energyneeds.

Despite the protests of the nuclear indus-try, building enough nuclear power sta-tions to make a meaningful reduction ingreenhouse gas emissions would costtrillions of dollars, and create thousandsof tons of lethal high-level radioactivewaste, that we’d leave future generationsto deal with, for thousands of years. Thebiggest threat from nuclear power is in

the opportunity cost – the misdirecting ofinvestments away from the developmentof the clean energy of the future.

Globally, the Toxics Campaign is focusedon the growing problem that accompa-nies the conveniences of our modernera: electronic waste. Greenpeacereleased a scorecard ranking the majorelectronics companies by their efforts toremove the worst toxic chemicals andrecycle their products. And we achieveda substantial victory when HewlettPackard (HP) and Dell agreed to elimi-nate a range of hazardous chemicals intheir computers after Greenpeace gener-ated consumer pressure.

We continued our actions against geneti-cally engineered (GE) foods around theworld. In Hawaii, Greenpeace activistsdecontaminated an organic papaya farm,removing GE trees that had migratedfrom a nearby agri-business.

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Below: A Greenpeace volunteer removesgenetically modified contaminated fruitfrom a papaya farm in Hawaii.

Combating Hazards to the Planet’s Health

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The Greenpeace fleet of ships is a unique asset in the battle to save planet Earth

and protect the global commons. Our ships are used at the forefront of

Greenpeace campaigning, often sailing to remote areas to bear witness and take

action against environmental destruction.

ABOVE: ©GREENPEACE/GAVIN NEWMAN; RIGHT: ©GREENPEACE/JEREMY SUTTON-HIBBERT; FAR RIGHT: ©GREENPEACE

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Above: The Greenpeace shipsRainbow Warrior and Esperanza meetin the Mediterranean Sea.

Right: Greenpeace ship Esperanzain pursuit of the whale fleet’s processing ship Nisshin Maru.

Witness Our New Boat

Earlier this year, Greenpeace took pos-session of an immaculate 44-foot seven-berth yacht, gifted to us from the estateof Jerome LaPides, who died last yearafter a lifetime of passionate support forenvironmental causes. In July, at a cere-mony in Friendship, Maryland, the boatwas re-named Witness.

This summer, the clean energy campaignhas been on board Witness to promoteoffshore wind energy facilities proposedfor the southern shore of New York’sLong Island and for Massachusetts’Nantucket Sound. We look forward toher adding to our presence in U.S.waters in support of all of our campaignsto defend the planet.

Our heartfelt thanks go to Jerome for hisvision and generosity.

If we can help with your bequest plans,or any other planned giving needs,please contact John Watkins, PlannedGiving Manager, at 1-800-328-0678.

Above: Greenpeace’s newest sailing vessel, Witness, donated and launchedin 2006

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Above: Greenpeace’s first supporters waiting in the wetsnow for the Phyllis Cormack to return to Vancouverafter Greenpeace’s first protest against nuclear testingin Alaska.

Right: GOur three ships are supported by “Tweety”- asmall four person helicopter used for aerial photogra-phy, supply transport, and surveillance and monitoring.

ABOVE: ©GREENPEACE/ROBERT KEZIERE; RIGHT: ©GREENPEACE; FAR RIGHT: GREENPEACE/SHIRLEY

Thirty-five years ago, two hundred peoplewaited patiently under umbrellas on adock in Vancouver. They didn’t know theywere part of the birth of Greenpeace.

All they knew was that they wanted toprovide a hero’s welcome to a leaky oldboat limping back to port, bearing abearded and bedraggled team who haddone the unthinkable – set off to stopnuclear testing in the Bering Sea. Thosetwo hundred came to wait on the pier inthe cold October rain because they wereinspired to take a stand together. It wasthe right thing to do.

And that’s how Greenpeace was born.

Today, that group of 200 has grown toover 2.5 million members in 40 nations—including in the world’s fastest-growingeconomies—Brazil, China, India, andRussia—where the risks of environmentaldegradation are high, and where theopportunity exists now to shape a moresustainable future. We must be ready.

We’re expanding in the United States,too. Our Greenpeace Organizing Term istraining a hundred students a year asactivists on college campuses and futureenvironmental leaders. Our FrontlineOutreach puts activists on the streets toraise support and awareness; we’veopened four new offices for this programin the last year alone.

Our award winning web presence hasbeen increasingly effective. Peoplearound the world visit the website to seelive video from various campaigns, readand contribute blogs, and find out howthey can take action.

The use of new communication technologies has supercharged our mission.We’re reaching farther, accomplishingmore, and changing more minds thanever before – and our every victory isbased in that one simple principle:

People take action to do what is right.

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Below: Greenpeace and local studentsmarch to demand protection of mangrovesin Ecuador.

Celebrating Thirty-Five Years of Inspiring Action

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Above: “Change It” students form a gianthuman arrow pointing to the U.S. Capitolbuilding in Washington, D.C. to demand polit-ical action to stop global warming.

Right: Vermont citizens joined Greenpeace ina five-day walk across Vermont to raiseawareness of global warming and press local politicians to take action.

ABOVE: ©GREENPEACE/MANNIE GARCIA; RIGHT: ©JON ORLANDO/GREENPEACE; FAR RIGHT: ©DAVID PAUL MORRIS/ZUMA PRESS/GREENPEACE

The public image of Greenpeace is oftenof our big bold actions – our activists andships in action, confronting corporationsand highlighting their detrimental environ-mental impact.

Less evident to the public is our grass-roots presence across the US. While ourcore activists volunteer and are highlytrained, our campaign impact could notdo without the efforts of individual sup-porters. Over the last few years, particu-larly with the opportunities provided bythe internet, we have enabled an increas-ing number of supporters to engagedirectly in campaign actions.

Over 180,000 people receive on-lineaction alerts through our e-newsletter,regularly delivering thousands of mes-sages to campaign targets. We havepiloted “house-parties” this year too, with150 being hosted around the Whalingcampaign, and another 100 around ourglobal warming Project Hot Seat, for themid-term elections. Supporters haveturned out in person for protests fromVermont to Florida, Oregon to California.

Grassroots activism doesn't happen byaccident, and needs the support of dedi-cated organizers. That is why Greenpeacehas been investing in training the environ-mental activists of the future. Sixty-sevenstudents graduated from own GreenpeaceOrganizing Term this year, each completing

a full term of tuition on activism, manyearning college credits. And we alsolaunched the “Change It” summer schoolfor 130 aspiring activists, in partnershipwith Seventh Generation, who providedscholarships.

Active on over 40 campuses, our studentactivist groups have pushed 49 campusesto set clean energy standards, and keptthe pressure on Kimberly Clark and othertargets with community-based activitiesacross the country.

Greenpeace has also expanded ourFrontline canvass program to take cam-paign outreach and supporter recruitmentto new cities. In the last year alone, wehave opened new offices in Los Angeles,Seattle, New York and Boston, to com-plement offices in Washington DC andSan Francisco.

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Below: Greenpeace and people rally at theSan Francisco city hall for Clean Energy onMay 15, 2006 in San Francisco. California.

A Movement of People

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GREENPEACE, INC. STATEMENT OF ACTIVITIES Year Ended December 31, 2005

SUPPORT AND REVENUE

Contributions and donations 11,440,636Investment return 3,468Grants from Greenpeace Fund 3,595,390Grants from Greenpeace International 600,000Licensing, royalties and merchandise 76,110

TOTAL SUPPORT AND REVENUE 15,715,604

EXPENSES

Grants and Program Services

Oceans Campaign 927,349Climate Campaign 2,344,507Forest Campaign 1,399,907Action resources 1,612,659Outreach 643,901Toxics Campaign 303,134Public Information and education 2,680,441

Total program services 9,911,898

Support Services

Recruitment of New Supporters 811,583Fundraising 1,530,774Management and general 513,571

Total support services 2,855,928

TOTAL EXPENSES 12,767,826

Change in net assets 2,947,778

GREENPEACE, INC. GREENPEACE FUND, INC.Campaigns$10,383,327

Fundraising$3,801,154

Fundraising$1,244.974

Grants toGreenpeace Affiliates

$1,500,000 Grants toGreenpeace,Inc.$5,981.055

Administration$479,319

Administration$363,202

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Above: Salmon Lake, Alaska.

GREENPEACE FUND, INC. STATEMENT OF ACTIVITIESYear Ended December 31, 2005

SUPPORT AND REVENUE

Contributions and donations 6,267,013Investment return and net assets released from restrictions 421,933Grants 771,488

TOTAL SUPPORT AND REVENUE 77,,446600,,443344

EXPENSES

Grants and Program Services

Grants to Greenpeace International

Oceans Campaign 1,320,900Forest Campaign 601,600Toxics Campaign 143,500Research Unit 791,000Ships 429,300Campaign Support 775,700

Grants to Greenpeace Affiliates 76,400

Grants to Greenpeace, Inc. 3,595,390

Oceans Campaign 313,880Forests Campaign 944,780Climate Campaign 485,088Research 485,088Outreach 456,554Campaign Support 910,000

Total grants to Greenpeace Inc. 33,,559955,,339900

Grants to NGOs 8,800

Communications 18,419

Total grants and program services 77,,776611,,000099

Support Services

Fundraising 1,404,989Management and general 379,486

Total support services 11,,778844,,447755

TOTAL EXPENSES 99,,554455,,448844

Change in net assets (2,085,050)

Financial Highlights

Greenpeace does not solicit funds from corporations or from

the government. Financial independence is core to our work

and one of our greatest strengths. It gives us the ability to take

on environmental destruction wherever and whenever it occurs.

This independence is possible because of individuals like you

who form the backbone of our work and support our autonomy.

You and over 2.7 million members worldwide are the reason we

can do our work so effectively.

© DANG NGO/GREENPEACE

ANCHORAGE, AK , BOSTON, MA , LOS ANGELES, CA , NEW YORK, NY, SEATTLE , WA

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