2021 Annual Report

The Brethren in Christ Foundation continues to serve the needs of BIC U.S. congregations, pastors and members through our investment options, lending programs and charitable and planned‐giving products. Our goal has been to remain a strong and stable financial option for our borrowers and investors even when markets fluctuate.

The strength and stability of the Foundation has never been needed more than in 2020. The global pandemic has affected our constituency in ways we could never have imagined. Congregations had to transition to fully virtual operations, camps closed for the year and some individual investors struggled financially. Each time the Foundation has been called upon; we have been able to respond with the same high-quality service our members expect.

The pandemic made it necessary to close our physical location in Mechanicsburg, PA. The closure did not prevent the Foundation staff from continuing to meet the needs of our members. We upgraded to a cloud based operating software package in the later months of 2019. Our staff have been able to operate from their homes with little to no interruption. We continue to work on improving our on‐line experience for our members.

The Foundation extended an interest‐only option on our mortgage loans to relieve some of the pressure on our congregational and organizational borrowers. As of December 31, 2020, this option has resulted in approximately $400,000 of total cash flow reductions during the interest-only period for those borrowers who elected this option. Even though the financial pressures on our borrowers have been unprecedented, they have been able to meet their mortgage obligations to the Foundation. We are proud to report that as of year-end 2020, all outstanding mortgage loans are current. This is quite the achievement and our borrowers need to be congratulated.

In addition to our standard lending services, the Foundation has made a line of credit option available to any BIC church or organization needing extra cash flow and meeting certain minimum conditions. To date, one borrower has applied and been approved for a line of credit.

The Foundation funded several new mortgage loans during 2020. While the number of new loans was less than previous years, this is proof that not even a pandemic can keep the Church from growing. We congratulate those congregations who continue to grow the ministry of our Lord through the BIC U.S.

In March of 2020, we took steps to ensure we would be able to meet demand should the COVID-19 pandemic negatively affect demand for our securities and/or result in holders of our securities requesting early redemption or declining to renew their securities at maturity. We increased our cash position and obtained an increase in our line of credit facility at our bank. While we have had early redemption and nonrenewal requests, since March 2020, the dollar volume of new and additional investments in the Foundation’s securities have exceeded such requests. As of December 31, 2020, our debt securities portfolio increased by over $1.5 million. We would like to thank our investors for trusting the Foundation with their investment needs.

While 2020 was full of many trials and tribulations, we are grateful for the blessings we have received. We face uncertain times, yet we know our Lord will stand with us and continue to guide us through the storm.


Your partner in ministry,

Jim Reynolds, Executive Director
Brethren in Christ Foundation