Better Business Bureau

Charity Contact Information BBB Wise Giving Alliance Comments Programs

Tax Status Governance Fund Raising Financial

Name:	Operation Gratitude
Address:	16444 Refugio Road
	Encino, CA 91436
Phone:	818-789-0569
Web Address:	www.OperationGratitude.com

Operation Gratitude does not meet the following Standard for Charity Accountability.

Standard 19: Cause Related Marketing - Clearly disclose how the charity benefits from the sale of products or services (i.e., cause-related marketing) that state or imply that a charity will benefit from a consumer sale or transaction. Such promotions should disclose, at the point of solicitation: (a) the actual or anticipated portion of the purchase price that will benefit the charity (e.g., 5 cents will be contributed to abc charity for every xyz company product sold), (b) the duration of the campaign (e.g., the month of October), (c) any maximum or guaranteed minimum contribution amount (e.g., up to a maximum of $200,000). Operation Gratitude does not meet this Standard because: The organization participates in promotional campaigns where Operation Gratitude is to benefit from purchases, but the promotional materials do not disclose the specified amounts that benefits the organization with each purchase.

In addition, the BBB Wise Giving Alliance requested but did not receive complete information on the organization’s finances and is unable to verify the organization's compliance with the following 2 Standards for Charity Accountability: 11 and 13.

Operation Gratitude meets the remaining 17 Standards for Charity Accountability.

Through collection drives, letter writing campaigns, recycling programs and donations of requested items or funds for shipping expenses, Operation Gratitude provides civilians in America a way to express their respect and appreciation to the men and women of the U.S. military. The organization reports that it assembles and ships 100,000 care packages every year through the efforts of 10,000+ volunteers who meet at the Armory during Patriotic and Holiday Drive events, forming a human assembly line to produce the care packages. Boxes are filled with snacks, entertainment items, toiletries, the Operation Gratitude Magazine and personal notes from Americans back home. Operation Gratitude works with representatives at military hospitals and Wounded Warrior Transition Units to provide care packages for wounded warriors/veterans. Recognizing that servicemen and women, when first injured, are most concerned with the well-being of their comrades still on the frontlines, the organization also offers a service to send care packages to the wounded’s buddies. In cooperation with Family Readiness Officers and battalion leaders nationwide, Operation Gratitude provides stuffed toys – known as "Battalion Buddies" – to the sons and daughters of U.S. military personnel as their units prepare to deploy. The organization’s Battalion Buddy care packages contain a stuffed animal, along with other snacks and items. The Battalion Buddy packages are given to each child at their parent’s pre-deployment or farewell event so the child has something to hug while their parent is away.

For the year ended December 31, 2010, Operation Gratitude's program expenses were:

Program services	13,379,028
Total Program Expenses:	$13,379,028

Chief Executive : Carolyn Blashek, President

Compensation*:

$0

Highest Paid Executive: Cheryl Zerah,Corporate Secretary
Compensation*: $74,000

Chair of the Board: Carolyn Blashek
Chair's Profession / Business Affiliation: Attorney

Board Size: 5

Paid Staff Size: 9

*2010 compensation includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances. The organization reports that Ms. Blashek received no compensation.

Method(s) Used:

Special events, grant proposals, Internet appeals, and cause-related marketing.

Fund raising costs were 2% of related contributions. (Related contributions, which totaled $11,170,577, are donations received as a result of fund raising activities.)

This organization is tax-exempt under section 501(c)(3) of the Internal Revenue Code. It is eligible to receive contributions deductible as charitable donations for federal income tax purposes.

The following information is based on Operation Gratitude's audited financial statements for the year ended December 31, 2010.

Source of Funds
Donated goods for distribution	8,327,671
Contributions	1,638,297
Donated advertising	538,335
Donated management services	466,274
Donated use of facilities	200,000
Unrealized gain	1,093
Interest income	64
Total Income	$11,171,734

Uses of Funds as a % of Total Expenses

Programs: 97%  Fund Raising: 1%  Administrative: 2%

Total income				$11,171,734
	Program expenses			$13,379,028
	Fund raising expenses			185,575
	Administrative expenses			344,946
Total expenses				$13,909,549
Expenses in Excess of Income				(2,737,815)
Beginning net assets				7,654,702
Ending net assets				4,916,887
Total liabilities				9,413
Total assets				$4,926,300

Note: According to Operation Gratitude's audited financial statements for the year ended December 31, 2010, the organization received in-kind contributions in the amount of $11,171,734 consisting of goods for distribution ($8,327,671), advertising ($538,335), management services ($466,274), and use of facilities ($200,000).