Crystal Cathedral

A New Chapter for Crystal Cathedral

October 18, 2010

Despite the current and ongoing economic climate, the most recent financial reports for the Crystal Cathedral Ministries indicate the best cash flow the Ministry has experienced in 10 years. The Ministry is continuing to reach and change lives in the community, across America and around the world with its unique weekly message of hope.

Dr. Sheila Schuller Coleman, Senior Pastor of the Crystal Cathedral said, "We are pleased to report that the current Ministry outreach and operations will continue while we address the past due expenses that were incurred in 2009, when budgets could not be cut fast enough to keep up with the unprecedented rapid decline in revenue due to the recession."

The Ministry decided to proactively address payments to the vendors under the oversight of Credit Managers Association of California. A meeting held in April 2010 resulted in a voluntary moratorium with the vendors to allow an equitable repayment plan to be negotiated with the committee appointed to represent the vendors. As is often the case, negotiations and decisions do not move fast enough to satisfy all parties. A small number of creditors chose to file lawsuits and obtained writs of attachment. Ultimately, the Creditors Committee decided not to extend the moratorium. For these reasons, the Ministry now finds it necessary to seek the protection of a Chapter 11. The Ministry is extremely grateful for the time and effort expended by the Creditors Committee to date, and looks forward to working with them to finalize a payment plan that is fair to all vendors and consistent with our belief as a Ministry and emerge from Chapter 11 as quickly as possible.

The Ministry will continue as is - all Sunday services, the weekly nationally and internationally telecast Hour of Power, all weekly church activities and the Crystal Cathedral Academy & High School.

"Just as we have taught for years, this is an opportunity to model God's sustaining strength through anything," Dr. Sheila Schuller Coleman said. "Many of the persons who support our Ministry are facing similar challenges and when they hear our message of hope, they know we are speaking from a point of true understanding."

The Ministry brings a weekly, televised message of hope from the 40-acre campus of the Crystal Cathedral to millions of people across America and around the world in multiple languages. The viewers continue to give sacrificially. Scientific quantitative data collected and analyzed by an independent researcher, revealed that the supporters and the viewers of the Hour of Power are happy with the Ministry and have faith in its leadership. They also reported, however, that their giving had been reduced due to the economy. This mirrored what the Ministry experienced in 2009 and first quarter 2010.

Persons everywhere continue to write, call or email the church and Hour of Power testifying to the life-saving impact that the ministry's message is having on human lives. "I'm very proud that we've completed 40 years on television," Dr. Robert H. Schuller said. "We were America's first, weekly televised church service and our audience today is as strong as ever," he continued, "...no doubt there will always be a need for this TV ministry to continue-people need our positive message now more than ever - "Tough Times Never Last, But Tough People DO!'"

"Challenging situations are nothing new to our 55-year Ministry," Dr. Coleman said. "Many people said we'd fail when we started our church in a drive-in theater. But look how successful that was! Many said we'd fail in 1970 when we made the commitment to televise our first worship service in Los Angeles and then New York...but look how far we've come! In 1977, countless persons predicted that our plans to build a 2,800-seat all-glass church in earthquake-prone Southern California would never get off the ground, but we have made history. We've always believed in a big God...a God Who is greater than any problem or challenge we could ever face. Our announcement today to file for the protection of Chapter 11 is just one more chapter in the book that He is continuing to write - and we know that God's plans are good - we have no doubt His chapter will be good!"