On the morning of Thursday 20 May a coach set off early from RNLI HQ in Poole, full of excited and ever-so-slightly nervous RNLI staff. They were destined for the Barbican Hall in London and a day of rare celebration. They were to Literally set the stage for the players in two landmarks in the RNLI's year: its Annual General Meeting (AGM) and the Annual Presentation of Awards (APA). A few hours later hundreds more coach, car and train passengers converged on the venue from all parts of the UK and IrelandNot just a legal obligation, the ACM provides the opportunity to pause and review the past year, assess the current scene and look ahead to the future of the Institution. All RNLI Governors were invited to attend. On arrival, they were treated to two floors of informative RNLI-themed exhibits and then ushered into the auditorium for the morning's business. Suitably equipped with copies of the Annual Review, Report and Accounts, voting cards and other ACM paraphernalia, they were welcomed by the Chairman of the RNLI, Peter Nicholson, who introduced the Trustee Committee, seated with him on stage. After approval of the last minutes, adoption of the accounts and appointment of Council members and auditors, Mr Nicholson moved on to his address, excerpts of which are shown opposite. Questions were then taken from the floor, including: What future does the RNLI have in this increasingly risk-averse society? The RNLI is committed to both actively promoting safety and to enabling its crew and lifeguards to take appropriate risks to meet its purpose of saving lives.

Websites are now such powerful tools to inform and publicise but vary so much in quality - what is the RNU doing in this area? The RNLI fundraising and communications department has recently formed a small e-media unit to develop this kind of work. In time, both the main RNLI website and those of stations round the coast will be significantly upgraded.

Could a future ACM be held outside of London, perhaps in Dublin? This is being actively considered.

The Meeting ended with the showing of a short promotional film that dramatically demonstrated the work of the RNLI.

After a break for lunch, the auditorium was filled with the returning Governors and the friends and families of those who were to receive Awards. Prompt attendance was required, to allow for suitable security arrangements outside for the later arrival of the Guest of Honour, the President of Ireland, Mary McAleese.

After the playing of the British National Anthem, Chairman Peter Nicholson addressed the gathering and proposed a Resolution thanking all those whose contributions make the RNLI what it is, including crews, lifeguards, shore helpers, fundraisers, members and donors. This was unanimously carried, with a round of applause. Mr Nicholson then presented the first Awards of the day, to twomembers of the media in recognition of their informed and supportive coverage of the RNLI: BBC TV South West and Longbow Productions, and the Western Morning News.

President McAleese then joined proceedings and the Irish National Anthem was played. She delivered an informed and amusing address, highlighting the pioneering cross-border work of the RNLI in the island of Ireland and mentioning her longstanding belief that there was a special place in heaven for fundraisers - and another for their families! Next, RNLI Chief Executive Andrew Freemantle introduced the Honorary Life Governors, Bar to Gold Badge and Gold Badge recipients - an amazing 80 or so individuals. A Record of Thanks was also presented to the Communications and Public Service Lifeboat Fund for its 130 years of fundraising for the RNLI. Every awardee had a few moments with the President and she was notable for her attention to each.

Then followed the Gallantry Awards.

Two short drama-documentary films were shown portraying the services at Filey, North Yorkshire, and St Mary's, Isles of Scilly, before the awardees came on stage.

(Accounts of both these rescues can be found in the Lifeboat spring 2004.) The pride of recipients and supporters was palpable at this ceremony, which closed with a vote of thanks - a real celebration of and by the people at the heart of the RNLI.'I am particularly pleased and proud to be here this morning; not only because this is my fourth and last annual report but this year the Institution celebrates its 180th anniversary...

'Looking back over the East few years, I am relieved, but also pleased, to be able to say that the RNLI has managed its financial affairs prudently during what can certainly be described as a stormy period, and has done so without any adverse impact on rescue cover...

The most important new activities that we have undertaken include the introduction of beach lifeguards, hovercraft operations, the Thames lifeboats, and the development of both a new all weather craft (the Tamar) and a new D class inshore lifeboat (the IB1)...

'In our core area of activity, 2003 proved to be our busiest year on record. Lifeboats around the British Isles launched an unprecedented 8,109 times, and rescued 7,987 people, an average of 22 every day...

'I reported at last year's meeting our intention to launch the RNLI Family association for former and retired staff and lifeboat station volunteers.

'Although some legal complications have resulted in a slight delay, the first edition of the association's magazine Lookout has now been produced and invitations to join the association have been issued... enabling a growing number of those who have given service in the past to retain their relationship with the RNLI...

'Turning now to money; the total cost of the lifeboat service increased in 2003 to £119M.

This was £8M more than the RNLI's income for the year.

'While we remain in a satisfactory financial position, we must not continue to run at a deficit. We are, therefore, concentrating all our efforts on raising income, both to cover all our essential running costs and to restore our free reserves to more robust levels.

'The main reason for the increase in expenditure was a £2M growth in rescue costs and an increase of just over £1M in fundraising and communications expenditure... Income fell by over £5M in the year, principally because of the decline in legacies. Raised voluntary income, however, did grow by over £ 1M, responding to the campaign to enlist more regular supporters... A concerted effort to increase the number of supporters signing up to Gift Aid provided over £2.7M of additional income from reclaimed tax in 2003.

'After three years of decline in the value of our investments, 2003 saw a welcome stock market recovery, which brought us £31M of investment gains for the year. This recouped some of the £65M by which our investments fell in value in 2002, and meant that our reserves actually rose slightly during the year despite the operating deficit.

'Capital expenditure increased by almost £7M in the year, mainly reflecting the substantial progress being made on the Poole construction projects. This development is not only a sound investment in the future of the lifeboat service but will also provide a very solid reserve of realisable value for our successors, should this be needed.

The combined effect of these factors is, I am glad to say, a strengthening balance sheet, with fixed assets increasing and investments reducing, as a proportion of the total...

'Finally, as an independent lifesaving charity, we should not forget the absolutely central role of the general public. For in its 180th year, the RNLI continues to rely on voluntary donations and legacies to carry out its lifesaving work.

'In other words, the message in our purpose and vision can be extended to say: to save lives at sea, thanks to people like you.'.