This is not out of line for any large charity actually. United Way, Red Cross, etc. They all collect massive revenue in the form of charitable contributions and distribute pennies on the dollar to the needy. The rest goes into exec's pockets.
The only way they can stay in business (and, it's exactly that, viz. a business) is they count on people ignoring the scam, but who continue to give just to make themselves feel good.
The Salvation Army is a notable exception.