Thank you for your generous support of our appeal to raise funds to acquire and manage a new reserve in south-west Western Australia. I am delighted to report that we have selected an outstanding property, featured in this newsletter. This new acquisition will increase the number of significant ecosystems protected by Bush Heritage by 20%, an indication of the very high biodiversity of the land. As I write we are finalising the terms of the sale.

With this and subsequent acquisitions we are enforcing the discipline of raising funds for the land, and its estimated management costs, at the time of purchase. Currently, we are also building additional funds for the future protection of all our existing reserves. In this way we will not over-extend ourselves with consecutive property purchases.

Increasing the Friends of the Bush, who provide regular support for both acquisition and conservation management activities, is particularly important to achieve these goals. In 2001 the number of 'Friends' increased by 20%, mainly from existing supporters either beginning or increasing regular contributions. Thank you.

To strengthen these efforts, a concerted campaign to build our supporter base and increase our profile in the community has begun. In the next few months you may see specially trained recruitment teams working on our behalf in some capital cities.

The Tasmanian Government's decision in late 2001 to provide National Park status for the entire Kent Group of islands in Bass Strait, including our Erith Island Reserve, caused us mixed emotions. We were pleased to have been a catalyst for National Park protection for the whole island group but sorry to be relinquishing the lease on this fine reserve. Over the last five years we have developed a close working relationship with the groups and individuals involved with Erith, especially the 'Erith Mob'. We thank them for their support and encouragement of our work. Details of the changes concerning Erith Island .

Earth Sanctuaries Limited has experienced well-publicised difficulties. This is unfortunate news and we share founder John Wamsley's disappointment. The company and/or its assets are for sale and we are assessing individual properties that may fit with our reserve selection criteria. I must reiterate our confidence that Bush Heritage's future is secure. Our growth and development are being underpinned by securing and investing funds for future land management.

We welcome Rick Farley to the Board. Known to many for his role with the National Farmers' Federation and National Council for Aboriginal Reconciliation, Rick has brought with him a new set of skills and experience which are particularly valuable as we develop our capacity to acquire larger properties.

I wish you all a happy and productive new year.

Doug Humann