WORLD TRADE
ORGANIZATIONWT/BFA/W/110
18 March 2004
(04-1223)
Committee on Budget, Finance and Administration
APPELLATE BODY OPERATING FUND
1. In its meeting of 25 September 2003, the Committee on Budget, Finance and Administration
examined document WT/BFA/W/106 which indicated th at the ABOF would be in deficit at the end
of 2003.  This situation resulted from the fact that the replenishment of the Fund, which had been
proposed by the Director-General in the budget estimates for 2003, had not been retained in theapproved budget.
2. The Secretariat outlined the following options which could be considered to address the
situation:
(a) Should the budgetary situation so permit, the deficit could be covered by an extra-
ordinary expenditure under the 2003 regular budget; or
(b) WTO Financial Regulation 29(b) could be invoked, authorizing the Director-General
to make an advance from the Working Capital Fund.  In accordance with Financial
Regulation 30, "Sums advanced under Regulation 29(b) shall be reimbursed to the
Working Capital Fund by including an appropriate credit in the budget for the next
earliest possible financial period."
3. One member of the Committee indicated a preference for option (a) while another was of the
opinion that one could consider combining both opti ons if necessary.  (WT/BFA/68, paragraph 30)
4. The accounts of the ABOF for 2003, as can be se en in the attached table (Annex 1), show a
deficit of CHF 831,038
∗.  In view of (i) the points of view  expressed in the Committee on Budget,
Finance and Administration, (ii) the fact that the deficit can be covered, within the overall limits of the2003 budget, by an extra-ordinary expenditure, and (iii) to avoid the necessity of including a credit in
a future budget as a reimbursement to the Working Capital Fund, it is the intention of the Secretariat
to implement the option outlined in paragraph 2 (a) above.
5. It will be recalled that the General Council approved the recommendations of the Committee
on Budget, Finance and Administration with regard to the budgets for 2004 and 2005, wherereplenishments of the ABOF has been included in the amounts of CHF 1,596,800 each year.
_______________
                                                     
∗ Unaudited figure.WT/BFA/W/110
Page 2
ANNEX 1
STATEMENT OF ABOF AS AT 31 DECEMBER 2003
APPELLATE BODY OPERATING FUND
1997 CHF 1998 CHF
Opening Funds12,500,000 Opening Balance 2,930,487
Expenditure (1,102,769) Expenditure (1,730,338)
Accrued interest 33,256 Accrued interest 28,581
Replenishment21,500,000 Replenishment -
________________________ ________________________
Balance 31 Dec. 97 2,930,487 Balance 31 Dec. 98 1,228,730
1999 CHF 2000 CHF
Opening Balance 1,228,730 Opening Balance 1,874,662
Expenditure (1,561,052) Expenditure (1,643,618)
Accrued interest 6,940 Accrued interest 28,038
Replenishment32,200,044 Replenishment41,627,110
________________________ ________________________
Balance 31 Dec. 99 1,874,662 Balance 31 Dec. 00 1,886,192
2001 CHF 2002 CHF
Opening Balance 1,886,192 Opening Balance 1,711,018
Expenditure (2,007,102) Expenditure (1,268,973)
Accrued interest 31,928 Accrued interest 34,760
Replenishment51,800,000 Replenishment -
______________________ ______________________
Balance on 31 Dec.01 1,711,018 Balance on 31 Dec.02  476,805
2003 CHF 
Opening Balance 476,805
Expenditure (1,307,843)
Accrued interest -
Replenishment -
_______________________
Balance on 31 Dec. 03 (831,038)
1 Funded as extra-ordinary expenditure under 1996 budget.
2 Transfer from 1996 Surplus.
3 Transfer from 1998 Surplus.
4 Transfer from 1999 Surplus.
5 Transfer from 2000 Surplus.WT/BFA/W/110
Page 3
Expenditure CHF
 1997 1998 1999 2000 2001 2002 2003
        
Interpreters 18,545 9,966 2,389 20,494 7,995 52,480 10,224
Transcribers 56,402 185,504 93,373 48,333 64,457 24,974 25,885
Temporary
Assistance 44,365 140,173 83,006 125,983 142,960 149,445 191,577
Members' Traveland Per Diem 404,457 614,327 528,988 682,104 804,205 491,258 561,153
Members' Fees 579,000 763,200 844,200 748,800 963,600 539,400 502,800
Reports/Miscellaneous  7,322  8,669 16,342 259 6,774
Postage        9,846        9,096        9,235        7,543      11,157        9,430
 1,102,769 1,730,338 1,561,052 1,643,618 2,007,102 1,268,973 1,307,843
Days worked by
Members 1,249 1,162 1,229 1,248 1,617 884 838
__________