Economic Downturn Hasn't Dimmed Teens’ holiday season Consumer Confidence

National Junior Achievement poll takes pulse to forecast teen spending on gifts.

Colorado Springs, Colo. – For retailers expecting lumps of coal in their cash registers this holiday season, teens’ consumer confidence about holiday spending may provide an unexpected gift. According to Junior Achievement’s 2008 Teen Holiday Spending poll, more than three quarters of teens surveyed (76 percent) plan to spend as much—or more—this year than last year on holiday gifts.

Are teens looking at the economy through rose-colored glasses, or has the impact of the current financial crisis not yet trickled down to their wallets? The results of the poll may reveal a disconnect between teens’ expectations and the reality that many families may have to curtail spending on gifts this year.

The 2008 Teen Holiday Spending Poll’s other key findings revealed that 47 percent of teens surveyed said they’d spend at least $100 on gifts, a four percent increase over last year. And, of those who said they’d spend at least some money on holiday gifts, 87 percent said they’d use their own money, 49 percent said they’d use money given to them by a parent, 19 percent said they’d use their parents’ debit or credit card, and 16 percent said they’d use their own debit or credit card (multiple responses were permitted).

Jack E. Kosakowski, president of Junior Achievement USA, noted, “Given the current state of the economy, the holiday shopping season provides an ideal opportunity for parents to talk to their children about appropriate budgeting and spending, so that they are staying within their financial means. Junior Achievement programs can also provide young people with practical financial tools so that they understand how to appropriately save, spend and invest."

Among teens who said they would spend less this year or not spend any money on gifts, 71 percent said they were trying to save money, 48 percent cited concern about the state of the U.S. economy, and 41 percent cited a change in their family’s financial circumstances (multiple responses were permitted).

The poll was conducted for Junior Achievement by Opinion Research Corporation the week of October 23, 2008, and queried 500 U.S. teens ages 12-17. This is the eighth year that Junior Achievement has conducted this poll. Last year, 78 percent of teens who took the poll (conducted in 2007 using an online survey tool) indicated they’d spend as much or more than the previous year on holiday gifts.

About Junior Achievement® (JA)
Junior Achievement is the world's largest organization dedicated to inspiring and preparing young people to succeed in a global economy. Through a dedicated volunteer network, Junior Achievement provides in-school and after-school programs for students which focus on three key content areas: work readiness, entrepreneurship, and financial literacy. Today, 138 individual area operations reach more than four million students in the United States, with an additional five million students served by operations in 120 other countries worldwide. For more information, visit http://www.ja.org/.

Credit Unions join forces in program to educate students

By Randal Mays
Special to the Business Press
Fall 2008 Private/Public School Guide

With an ever-changing and unpredictable economy, the need for financial literacy education is crucial to prepare our next generation leaders. Educators and policy makers all over the country are making efforts to increase the requirements for and access to financial literacy education in
public schools.

Community members and financial institutions also are joining forces to help prepare and guide students to make wise and informed financial decisions. During the past school year, local credit unions and Junior Achievement of the Chisholm Trail in Fort Worth joined in a unique effort to
increase community involvement in financial literacy education. JA is a youth development organization that provides hands-on classroom instruction focusing on work and college readiness, financial literacy and dropout prevention.

The Fort Worth Chapter of Credit Unions, the Texas Credit Union Foundation and JA created a pilot program through a first-of-its-kind collaboration that will be replicated across the state. There are 26 credit union chapters in Texas, and each has an emphasis on improving the financial literacy of students. Organizers developed the Fort Worth initiative to model how other
credit unions chapters can work together to achieve that goal.

Here’s how it worked: Through its membership, the Fort Worth Chapter of Credit Unions provided 30 volunteers to deliver JA programs to every kindergarten, first- and second-grader at Sam Rosen Elementary in Fort Worth Independent School District and Webb Elementary in
Arlington Independent School District. The member credit unions combined to provide $7,500 in funding, and the Texas Credit Union Foundation matched it to fully sponsor JA programs
at both schools.

Volunteers spent about an hour each for five weeks in classrooms teaching students how money is earned, used and saved. Students learned the importance of determining needs versus
wants in purchasing items, how money moves through the economy and the role of taxation. Students also learned important concepts and skills relating education to the workforce and how to make informed financial decisions.

The program launched this past spring and will be expanded this fall. By the time the pilot phase ends, more than 1,000 students at both schools will have benefited from this collaboration. The goal is to continue collaborating each year in order to reach every
student in both schools.

“With financial education as our key focus, we are proud to be a part of this groundbreaking partnership,” says Jill Pharr, executive director of the Texas Credit Union Foundation, a 501(c)3
charitable organization representing more than 500 credit unions in the state. The foundation promotes financial literacy with community and statewide grants for financial education
programs as well as partnerships with credit unions and other organizations to offer financial education to their communities and members.

“In the current economic climate, it makes great business sense both for credit unions and the foundation to bring the JA program to Texas students,” Pharr says. “More importantly, helping
to ensure that more young Texans have the knowledge and skills to build a better financial future for themselves and their families is a cause we all share.”

In April, the Fort Worth Chapter of Credit Unions won the Foundation’s prestigious FOCUS award recognizing its commitment and efforts to promote financial education throughout the
state. This is the third time the Fort Worth Chapter has been awarded this honor by the Texas Credit Union Foundation.

“Promoting financial literacy through the JA partnership lines up perfectly with the mission of credit unions to give back to our local communities,” says Cindy Baker, recently appointed
chair of JA’s Board of Directors. “As a credit union employee, and the board chair of JA, it is terrific to witness this level of partnership coming to fruition.”

JA’s programs prepare students for college and the workplace, provide financial literacy skills, develop future entrepreneurs and motivate students to stay in school. By emphasizing the need to prepare students to be future leaders and teaching them the skills they need to know today, we can be assured that the future of our country and economy will be in the hands of informed and educated leaders.

Randal Mays is president of Junior Achievement of the Chisholm Trail Inc., a youth development organization based in Fort Worth that serves children in Tarrant, Parker, Johnson, and Wise counties. For more information, visit http://www.jafortworth.org/.

Financial institutions give back to help kids prepare for future

BY RANDAL MAYS
Fort Worth Business Press
April 21, 2008

For decades, financial institutions have been viewed as cornerstones of support throughout the community. Fort Worth and Tarrant County benefit from the generosity of its local banks, credit unions and other financial institutions, which provide money and a volunteer base to local organizations and community initiatives, such as Junior Achievement.

In 1977, Congress passed the Community Reinvestment Act, which encourages depository institutions to help meet the credit needs of the communities in which they operate, including low-and-moderate-income neighborhoods. Junior Achievement of the Chisholm Trail, partners with financial institutions and other local businesses to provide a means to reinvest in the community through financial literacy education and meet the CRA requirements.

This type of partnership truly makes a difference in the lives of children, thus the community. Studies show that individuals who do not understand the purpose of financial institutions or how to use their products and services are at a distinct disadvantage when it comes to their personal finance management....

For the full article....click here.

Randal Mays is president of Junior Achievement of the Chisholm Trail Inc., a youth development organization based in Fort Worth that serves children in Tarrant, Parker, Johnson, and Wise counties. For more information, visit www.jafortworth.org.