Dear Sponsors and Supporters,

The Directors in the UK and Egypt are writing to ask for your help at this important time in SunShine history. We have had some very good news from Luxor regarding the children's village; however nothing ever goes completely smoothly. To bring you up to date: at Christmas 2006 the Egyptian Army offered us a contract to build the village at approximately £250,000. By February they were telling us that the cost of the foundations might increase the overall cost by 10%. We were then told that building costs in Egypt were rising at a terrific rate, particularly cement and steel which are governed by World prices, and the exchange rate of Egyptian pounds to World currencies. The net result is that the cost of the village has increased to something around £350,000.

The UK trustees and The Egyptian Foundation have now decided to fund the village and we are currently transferring the funds to Egypt so that a fixed price contract can be signed by June 17th 2007. The contract will transfer the ownership of the land to SunShine Foundation in Egypt and will be for the building of four houses, a boundary wall and landscaping and foundations capable of supporting another two-storey building for the future. This means we would be able to accommodate 80 children in the new village within about a year.

We have had to defer the building of the last remaining house, the administration block and the children's club house and kindergarten to a later time, as we no longer have the funds available for these buildings.

The total cost of completing the remaining buildings is likely to be in the order of £100,000 depending on the price of materials. Lorna and the Trustees in Egypt are concerned that the contract for the three remaining buildings should be signed as soon as possible, so they can be built at roughly the same time as the other buildings, in order that the children will not have to live on a building site during the construction - not least for the safety concerns that would bring.

SunShine UK and Egypt need to raise £100,000 in the next few months so a contract can be signed for the remaining three buildings. We are writing to ask you to help us in the next three months if you possibly can.

The Charity would be so grateful if you could help us to achieve our goal by organising an event; coffee morning, bring-and-buy, car boot or garage sale or any sponsored event you can think of, or simply by making a donation, however small. Every penny counts; if you are a UK taxpayer you can download form C and fill in a Gift Aid declaration form, allowing us to reclaim from Inland Revenue the tax paid on your donation, which is an extra 28 pence for every pound donated. You can also donate on line if you prefer.

Please help as we desperately need to raise the £100,000 before the end of August. By doing that little bit extra we will achieve our dream of seeing the remaining buildings finished and completion of the SunShine village for the needy children of Egypt.

26th June - The laying of the Foundation Stone of The SunShine Village

With many thanks for all your efforts and support.

Best wishes,

Eve Lawton
Company Secretary

Donations

Please send cheques (made payable to Sunshine Project) to:

Eve Lawton
Sunshine Project
Scope House-Unit F6
Weston Road
Crewe, Cheshire CW1 6DD Tel/Fax: 01270 254545

THANK YOU FOR YOUR HELP AND SUPPORT