2018-11-13T17:57:47-06:00 2017-12-31 GRANT THORNTON LLP 757 THIRD AVENUE 3RD FLOOR NEW YORK NY 100172013 990 2017-01-01 134052259 Media Development Investment Fund Inc % MARI BUDESA MEDI 2128071304 37 West 20th Street Suite 801 New York NY 10011 HARLAN MADEL CEO 2128071852 2018-11-13 true Scott Thompsett P00741490 2125990100 209.220.136.124 26377520183175000025 2018-11-13 P 25D858DE85B81CAA8DEDDE0B47ADD735021FFE67 7D14034AF515942D2ABE7F7E27EA16D2649DB046 2017 2019-02-21 02:37:17Z Harlan Mandel CEO 37 West 20th Street New York NY 10011 9606970 false X www.mdif.org X 1995 NY MEDIA DEVELOPMENT INVESTMENT FUND INVESTS IN INDEPENDENT MEDIA AROUND THE WORLD PROVIDING THE NEWS, INFORMATION AND DEBATE THAT PEOPLE NEED TO BUILD FREE, THRIVING SOCIETIES. 9 8 14 0 0 0 6309054 7774799 866758 1405875 81720 59901 374056 366395 7631588 9606970 753297 1096394 0 0 3132176 3234020 0 0 0 2622753 2501770 6508226 6832184 1123362 2774786 40347085 38686299 17530571 14737460 22816514 23948839 X MDIF provides affordable financing and technical assistance to independent news and information businesses in challenging environments, helping them to become financially sustainable. We invest in media that provide the news, information and debate that people need to build free, thriving societies. MDIF has invested more than $173.4 million in over 113 independent news businesses in 39 countries since 1996. WHY WE ARE HERE TIMELY, ACCURATE, RELEVANT INFORMATION IS CRITICAL TO FREE SOCIETIES. IT ENABLES FULLER PARTICIPATION IN PUBLIC LIFE, HOLDS THE POWERFUL TO ACCOUNT AND PROTECTS THE RIGHTS OF THE INDIVIDUAL. HOW WE CHOOSE CLIENTS AND AREAS OF OPERATIONS MDIF INVESTS IN INDEPENDENT MEDIA COMPANIES IN A RANGE OF COUNTRIES WHERE ACCESS TO FREE AND INDEPENDENT MEDIA IS UNDER THREAT. CLIENTS ARE SELECTED BASED ON THREE BROAD CRITERIA: MISSION IMPACT IN RELATION TO INVESTMENT; POTENTIAL FOR LONG-TERM VIABILITY; EDITORIAL INTEGRITY. HOW WE WORK MDIF FINANCIAL INVESTMENTS INCLUDE AFFORDABLE false false 5674003 1096394 1405875 MDIF PROVIDES LOAN FINANCING BY WAY OF "PROGRAM RELATED INVESTMENTS" (PRIS), THAT ALLOW NON-PROFITS TO MAKE INVESTMENTS IN FIRMS WHOSE WORK WILL FURTHER THEIR CHARITABLE MISSION. MDIF MAINTAINS A SEGREGATED POOL OF FUNDS FROM WHICH IT MAKES LOANS AND OTHER PRIS. LOAN REPAYMENTS ARE RECYCLED THROUGH THE POOL AND LOANED OUT REPEATEDLY. WITH EVERY PRI, MDIF PROVIDES CUSTOMIZED TRAINING AND TECHNICAL ASSISTANCE TO ITS BENEFICIARIES, FROM THE FIRST STAGE OF DEVELOPING A BUSINESS PLAN THROUGH TO THE FINAL DISCHARGE OF THE LOAN. IN ADDITION, MDIF TRAINS ITS BORROWERS AND OTHER MEDIA ORGANIZATIONS IN THE USE AND TRANSFER OF INTERNET-BASED TECHNOLOGY AND ITS IMPACT ON THE FUTURE DEVELOPMENT OF MEDIA BUSINESS. IN DETERMINING WHETHER TO MAKE A LOAN OR OTHER PROGRAM-RELATED INVESTMENT, THE FUND FACES BOTH POLITICAL AND LEGAL RISK. THE FUND MAKES LOANS AND OTHER PROGRAM-RELATED INVESTMENTS IN COUNTRIES WHERE POLITICAL STABILITY MAY BE OF CONCERN. THIS TYPE OF RISK IS ASSESSED BEFORE THE FUND STARTS OPERATIONS IN A CERTAIN COUNTRY. THE LEGAL RISK MAY ARISE AS A RESULT OF MAKING LOANS AND OTHER PROGRAM-RELATED INVESTMENTS IN COUNTRIES WITH DIFFERING LEGAL SYSTEMS THAN THOSE OF THE UNITED STATES OF AMERICA. THOSE SYSTEMS ARE SOMETIMES CHARACTERIZED BY UNCERTAINTY AND LACK OF INDEPENDENT LEGAL INSTITUTIONS, INCLUDING JUDICIARY. From 1996 to June 30, 2018, MDIF has provided more than $173.4 million in affordable financing, including: - $151 million in loans and equity investments; - Approximately $21.8 million in technical assistance and other grants; - Earned over $41.7 million in interest, dividends and capital gains; - Collected more than $71.8 million in recovered principal invested; - $0.6 million through Digital Kiosk, the secure payment service for independent media. MDIF has invested in 113 clients and 354 projects across 39 countries, writing off 10.6% of the total loaned and invested. MDIF has returned $46.6 million to investors. It ended June 30, 2018 with a portfolio of $60 million in outstanding loans and investments. 5674003 true true false false false false false false false true true false true false true true false true false true true true false false false false false true false true false false false false false false false false false false false false true true true false false false true 23 0 true 14 true false true UK EZ SZ RI PL false false false false false false false false X 9 8 false false false false false false false true true false false true true true true true true true true true true NY X MARI BUDESA 2128071852 37 WEST 20TH STREET NEW YORK NY 10011 Bernard Poulet CHAIRMAN 2.0 0.0 X X 0 0 0 Alexander Papachristou Treasurer 2.0 0.0 X X 0 0 0 Ying-Yuen Chan Director 2.0 0.0 X 0 0 0 Sheila Coronel vice chair 2.0 0.0 X 0 0 0 Alexej fulmek DIRECTOR 2.0 0.0 X 0 0 0 Judith Brandsma Director (thru 07/2017) 2.0 0.0 X 0 0 0 Houston Spencer DIRECTOR 2.0 0.0 X 0 0 0 Harlan Mandel CEO 40.0 0.0 X X 235922 0 61806 TONY HAILE DIRECTOR (as of 03/2017) 2.0 0.0 X 0 0 0 NANI JANSEN DIRECTOR (as of 11/2017) 2.0 0.0 X 0 0 0 Mari Budesa CFO 40.0 0.0 X 164924 0 39625 Elena Popovic Secretary/General Counsel 40.0 0.0 X 155717 0 2808 Mohamed Nanabhay Deputy CEO 40.0 0.0 X 186850 0 10891 Rilwan Meeran CIO of EMOF 40.0 0.0 X 175876 0 50480 Rashid Malik Principal Investment Officer 40.0 0.0 X 135105 0 33802 Patrice Schneider Chief Strategy Officer 40.0 0.0 X 142170 0 0 Jack R Settles Sr. Digital Media Advisor 40.0 0.0 X 109143 0 0 KEVIN BROCKLAND INVESTMENT OFFICER 40.0 0.0 X 111562 0 31318 1417269 0 230730 9 false true true 0 7774799 7774799 PROGRAM RELATED INVESTMENTS 900099 1405875 1405875 1405875 59901 59901 0 0 86007 86007 0 86007 86007 0 0 0 0 0 0 0 0 0 0 PRI ADMINISTRATIVE/CONSULTING FEES (NET) 900099 280388 280388 280388 9606970 1405875 426296 100000 100000 0 996394 996394 0 743413 609599 133814 0 1863637 1528182 335455 175690 144066 31624 269327 220848 48479 181953 149201 32752 346590 346590 192030 111347 80683 165741 114361 51380 0 0 26201 19913 6288 52762 52762 0 57560 42839 14721 140634 111101 29533 0 347548 262662 84886 592825 511862 80963 0 0 323787 257895 65892 0 78315 60410 17905 61526 46810 14716 BANK FEES 22346 17285 5061 FOREIGN WITHHOLDING TAXES 26964 14069 12895 OTHER EXPENSES 66941 8569 58372 6832184 5674003 1158181 0 3324951 5035826 133102 122159 7476303 6411866 0 0 0 0 0 0 0 0 0 0 652778 1345089 1265502 1037376 293199 228126 3762121 4315108 0 0 22759926 21228125 0 0 1944705 0 40347085 38686299 566722 726131 0 0 0 0 0 0 0 0 0 0 0 0 16963849 13492438 0 518891 17530571 14737460 X 14104928 14103245 8711586 9845594 0 0 22816514 23948839 40347085 38686299 X 2774786 368433 -2010894 X false true X true false X 2641927 2008481 8129313 6309054 7774799 26863574 0 0 2641927 2008481 8129313 6309054 7774799 26863574 20282686 6580888 529171 362181 261631 226421 145908 1525312 0 20600 30822 9603 247711 543209 851945 29240831 6552018 0.22506 0.25120 X SCHEDULE A, PART II, LINE 17 MEDIA DEVELOPMENT INVESTMENT FUND (MDIF) IS A MISSION-DRIVEN INVESTMENT FUND FOR INDEPENDENT NEWS OUTLETS IN COUNTRIES WITH A HISTORY OF MEDIA OPPRESSION. MDIF PROVIDES LOW-COST CAPITAL AND TECHNICAL KNOW-HOW TO HELP JOURNALISTS IN CHALLENGING ENVIRONMENTS BUILD SUSTAINABLE BUSINESSES AROUND PROFESSIONAL, RESPONSIBLE, QUALITY JOURNALISM. DEPENDS ON THE GENEROSITY OF LARGE PRIVATE FOUNDATIONS, GOVERNMENTAL ENTITIES AND THE PUBLIC AT LARGE TO CONTINUE ITS IMPORTANT WORK. CHARITABLE GIVING HAS DIMINISHED ACROSS THE NOT-FOR-PROFIT SECTOR; AS A RESULT, ORGANIZATIONS LIKE MDIF THAT DEPEND UPON PUBLIC SUPPORT TO THRIVE ARE SUFFERING GREATLY. THIS HAS IMPACTED THE ORGANIZATION'S ABILITY TO RAISE FUNDS, TO SOLICIT CONTRIBUTIONS AND TO GENERATE REVENUES TO UNDERTAKE EXEMPT PROGRAMS. MDIF ENJOYS THE GENEROUS SUPPORT FROM A PRIVATE FOUNDATION, THAT HAS ENABLED IT TO WEATHER THE DIFFICULT ECONOMIC TIMES, LEAVING IT WITH ENOUGH FUNDS TO SUPPORT THOSE PROGRAMS THAT FURTHER ITS CHARITABLE MISSION. MDIF UNDERSTANDS THE NEED TO MEET THE PUBLIC SUPPORT TEST. TO THAT END, IT IS CONTINUALLY ATTEMPTING TO GENERATE NEW SOURCES OF FUNDRAISING, BOTH THROUGH BROAD DONOR APPEALS, TARGETED SOLICITATIONS, AND WEBSITE EXHORTATIONS. INTERNAL REVENUE CODE REGULATION 1.170A-9T LISTS SEVERAL CRITERIA THAT INDICATE FACTS AND CIRCUMSTANCES SUPPORTING AN ORGANIZATION'S CONTINUED PUBLIC CHARITY STATUS DESPITE NOT MEETING THE 33 1/3 SUPPORT TEST. THOSE CRITERIA ARE AS FOLLOWS: 1. ATTRACTION OF PUBLIC SUPPORT - IN THE PAST FEW YEARS, MDIF HAS SOUGHT TO EXPAND ITS FUNDRAISING CAPABILITIES TO GENERATE GREATER PUBLIC SUPPORT. THE ORGANIZATION'S WEBSITE NOW DIRECTLY APPEALS TO NET USERS TO INVEST IN PRESS FREEDOM. SPECIFICALLY, THE WEBPAGE NOTES: THERE ARE THREE WAYS TO INVEST, DEPENDING ON THE FINANCIAL RETURNS YOU SEEK, THE AMOUNT YOU WOULD LIKE TO INVEST AND WHERE YOU ARE IN THE WORLD. THESE ACTIVITIES TARGET PROSPECTIVE DONORS WHO SUPPORT MDIF'S MISSION AND PROGRAMS. 2. PERCENTAGE OF FINANCIAL SUPPORT - THE FOUNDATION'S PUBLIC SUPPORT PERCENTAGE EXCEEDS 12%. THE HIGHER THE PERCENTAGE OF SUPPORT ABOVE THE 10 PERCENT REQUIREMENT OF PARAGRAPH (F)(3)(I) OF 1.170A-9T, THE LESSER WILL BE THE BURDEN OF ESTABLISHING THE PUBLICLY SUPPORTED NATURE OF THE ORGANIZATION THROUGH OTHER FACTORS DESCRIBED IN PARAGRAPH (F)(3), WHILE THE LOWER THE PERCENTAGE, THE GREATER WILL BE THE BURDEN. MDIF'S SUPPORT PERCENTAGE IS LOW BECAUSE IT RECEIVES A LARGE PERCENTAGE OF ITS CONTRIBUTIONS FROM A PRIVATE FOUNDATION. 3. SOURCES OF SUPPORT - MDIF HAS HISTORICALLY RECEIVED SIGNIFICANT SUPPORT FROM GOVERNMENTAL ENTITIES; DUE TO TOUGH ECONOMIC TIMES, THE AMOUNTS OF THESE DONATIONS HAS BEEN SIGNIFICANTLY REDUCED. AS THE ECONOMY REBOUNDS, THE HOPE IS THAT MDIF WILL SEE AN INCREASE IN FUNDING. 4. REPRESENTATIVE GOVERNING BODY -MDIF HAS A GOVERNING BODY THAT IS BROADLY REPRESENTED BY MEMBERS OF THE COMMUNITY. EACH OF THESE FACTORS ARE SIGNIFICANT POSITIVE EVIDENCE OF MDIF'S PUBLICLY SUPPORTED NATURE. 3762121 5270000 428171 5118983 26201 4315108 5975709 2713910 138963 5038930 27531 3762121 8030958 2000 -212706 1800000 44543 5975709 13559675 -363066 5100000 65651 8030958 22409477 1303396 10050000 103198 13559675 1.00000 false false 373000 295019 77981 425040 397063 27977 467462 345294 122168 228126 PRINT 16955243 C TELEVISION 6159078 C RADIO 1148627 C ONLINE 7555987 C NEWS AGENCY 357124 C UNREMITTED EQUITY IN NET -4480043 C ALLOWANCE FOR DOUBTFUL PRIS -6467891 C 21228125 0 DEFERRED CAPITAL GAIN ON PRIS 518891 518891 X SCHEDULE D, PART V, LINE IV IN MARCH OF 2008, THE BOARD OF DIRECTORS OF MEDIA DEVELOPMENT INVESTMENT FUND ESTABLISHED THE CLIENT SUBSIDY FUND ("CSF"). THE BOARD RESTRICTED THE USE OF THE ASSETS AND EARNING THEREON TO MEET BUDGETED SHORTFALL BETWEEN THE FUND'S ANNUAL OPERATING COSTS AND ITS ANNUAL NON-CSF INCOME, WITH THE PURPOSE OF SUPPORTING THE BELOW-MARKET INTEREST RATES CHARGED BY THE FUND ON ITS PROGRAM-RELATED LOANS AND LEASES. SCHEDULE D, PART X, LINE 2 MANAGEMENT EVALUATED THE TAX POSITIONS FOR MDIF AND EACH OF THE CONSOLIDATED ENTITIES AND CONCLUDED THAT THE FUND HAD TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT OR DISCLOSURE TO THESE CONSOLIDATED FINANCIAL STATEMENTS. Schedule D, Part XI & XII Reconciliation The Media Development Investment Fund (MDIF) receives consolidated audited financial statements that include the activities of various wholly owned subsidiaries that file their own income tax returns with the Internal Revenue Service or other taxing authorities. Accordingly, the MDIF Form 990 only includes its own activities, and the activities of its disregarded entities, and the Form 990 will not reconcile directly back to the issued audited financial statements. true East Asia and the Pacific 5 Grantmaking 242550 Europe (Including Iceland and Greenland) 1 12 Grantmaking 17326 Russia and the Newly Independent States Grantmaking 134980 South America Grantmaking 601537 North America Investments 14369 East Asia and the Pacific Investments 1000000 Europe (Including Iceland and Greenland) Investments 1016928 South America Investments 150000 South Asia 1 Investments 1000000 Sub-Saharan Africa 4 Investments 691982 1 22 1 22 4869672 4869672 South America GENERAL SUPPORT 518687 Russia and the Newly Independent States GENERAL SUPPORT 55470 Russia and the Newly Independent States GENERAL SUPPORT 69145 South Asia GENERAL SUPPORT 35105 Russia and the Newly Independent States LOAN MODIFICATION 5366 South Asia TA GRANT 20765 South Asia TA GRANT 98360 South Asia TA GRANT 6400 South Asia TA GRANT 13800 South Asia TA GRANT 21334 South Asia TA GRANT 14600 South Asia TA GRANT 7200 Europe (Including Iceland and Greenland) GENERAL SUPPORT 10000 Europe (Including Iceland and Greenland) TA GRANT 6000 South America GENERAL SUPPORT 75000 East Asia and the Pacific TRAVEL 6115 East Asia and the Pacific TA GRANT 18871 0 17 true false true false false false SCHEDULE F, PART I, LINE 2 APPLYING FOR MDIF FINANCING IS A DETAILED PROCESS THAT USUALLY TAKES SEVERAL MONTHS. MDIF UNDERTAKES A RIGOROUS PROCESS TO FULLY UNDERSTAND A BENEFICIARY'S BUSINESS AND THE INTENDED USE OF THE FUNDS TO BE GRANTED OR LOANED TO THE ORGANIZATION. POTENTIAL BENEFICIARIES NEED TO UNDERSTAND THE DEMANDS THAT MDIF WILL MAKE ON THEM SHOULD THEIR APPLICATION BE SUCCESSFUL, SUCH AS INTENDED AND ACTUAL USE OF FUNDS LOANED OR GRANTED. TO BE ELIGIBLE TO APPLY FOR MDIF FINANCING, A MEDIA OUTLET MUST HAVE BEEN OPERATING LEGALLY IN ITS HOME COUNTRY FOR AT LEAST A YEAR, ALTHOUGH THE BOARD MAY WAIVE THE ONE-YEAR REQUIREMENT WHEN THE MISSION SO REQUIRES, HAVE AN ESTABLISHED REPUTATION FOR PROMOTING DEMOCRATIC INSTITUTIONS AND PRACTICES AND EXERCISING THE PRINCIPLES OF A FREE, INDEPENDENT AND RESPONSIBLE PRESS, DEVOTE A SIGNIFICANT PART OF EDITORIAL CONTENT OR PROGRAMMING TO BE FACT-BASED NEWS AND DOCUMENTARIES, INDEPENDENT FROM THE INFLUENCE OF THE GOVERNMENT OR ANY OTHER INTEREST GROUP, OFFER COVERAGE OF DIFFERENT POLITICAL OPINIONS AND PROMOTE HUMAN RIGHTS, THE RIGHTS OF ETHNIC MINORITIES AND INTER-ETHNIC CO-EXISTENCE, NOT BE OWNED BY THE GOVERNMENT, A STATE AGENCY, A FOREIGN LEGAL ENTITY, OR AN OLIGARCH BUSINESS INTEREST THAT MAY INTERFERE WITH EDITORIAL POLICY FOR ITS OWN INTERESTS, PRESENT A DETAILED PROJECT AIMED AT BROADENING AND STRENGTHENING THE OUTLET'S OPERATION, HAVE STRONG PROSPECTS OF BEING ABLE TO REPAY THE LOAN AND BECOMING SELF SUSTAINING, ENSURE THAT FUNDS WILL BE USED AS STIPULATED, AND PROVIDE MDIF WITH UNRESTRICTED ACCESS TO ACCOUNTING RECORDS. SCHEDULE F, PART I, LINE 3, COLUMN F MDIF HAS REPORTED TWO DIFFERENT TYPES OF TRANSACTIONS ON SCHEDULE F: 1. GRANTS MADE TO FOREIGN ORGANIZATIONS. THESE ARE DETAILED IN PART OF SCHEDULE F AND THE SUM REPORTED IN PART I TIES BACK TO FORM 990, PART IX, LINE 3. 2. LOAN AND EQUITY DISBURSEMENTS MADE TO FOREIGN ORGANIZATIONS DURING THE CURRENT YEAR. THE AMOUNTS REPORTED IN PART I, LINE 3, COLUMN (F) REPRESENT THE PROGRAM RELATED INVESTMENTS MDIF DISBURSED IN THE FORM OF LOANS, FINANCE LEASES AND EQUITY INVESTMENTS TO NEWSPAPER PUBLISHERS, TV AND RADIO STATIONS, PRINTING HOUSES, NEWS AGENCIES AND ONLINE PUBLISHERS IN VARIOUS COUNTRIES. THE AMOUNTS LISTED REPRESENT THE CURRENT YEAR EXPENDITURES AND NOT THE CUMULATIVE VALUE OF MDIF'S INVESTMENT. SCHEDULE F, PART II, LINE 1, COL D MDIF'S PRIMARY EXEMPT PURPOSE IS TO SUPPORT NEWS OUTLETS IN COUNTRIES WITH A HISTORY OF OPPRESSION OF THE FREEDOM OF EXPRESSION. OCCASIONALLY, MDIF WILL MAKE GRANTS TO ORGANIZATIONS IN THESE COUNTRIES TO PROVIDE LEADING JOURNALISTS WITH THE SUPPORT THEY NEED TO CREATE LASTING INSTITUTIONS FOR CHANGE. SCHEDULE F, PART IV MEDIA DEVELOPMENT INVESTMENT FUND, INC. HOLDS SEVERAL PROGRAM RELATED INVESTMENTS OUTSIDE THE UNITED STATES. TO THE EXTENT THAT ITS OWNERSHIP OF THESE INVESTMENTS EXCEEDS THE THRESHOLDS FOR REQUIRING A FORM 926 OR FORM 5471, THOSE FILINGS HAVE BEEN ATTACHED TO THE ORGANIZATION'S FORM 990-T AS REQUIRED. true THE CORRESPONDENT 37 WEST 20TH STREET NEW YORK NY 10011 821682050 100000 GENERAL SUPPORT 0 1 FORM 990, SCHEDULE I MDIF VERY RARELY MAKES GRANTS TO OTHER ORGANIZATIONS WITHIN THE UNITED STATES AS ITS MISSION IS TO SUPPORT THE GROWTH OF INDEPENDENT, INDIGENOUS MEDIA IN DEVELOPING DEMOCRACIES PRIMARILY IN EASTERN EUROPE, THE FORMER SOVIET UNION, ASIA, AFRICA AND LATIN AMERICA. MDIF made one grant in 2017 to a domestic entity to support the launch of The Correspondent, an ad-free world-wide independent journalism platform by De Correspondent. X X false false false false false false false false false Harlan Mandel CEO 235922 0 0 0 0 0 35388 0 26418 0 297728 0 0 0 Mari Budesa CFO 164924 0 0 0 0 0 24739 0 14886 0 204549 0 0 0 Elena Popovic Secretary/General Counsel 155717 0 0 0 0 0 0 0 2808 0 158525 0 0 0 Mohamed Nanabhay Deputy CEO 186850 0 0 0 0 0 0 0 10891 0 197741 0 0 0 Rilwan Meeran CIO of EMOF 175876 0 0 0 0 0 17588 0 32892 0 226356 0 0 0 Rashid Malik Principal Investment Officer 135105 0 0 0 0 0 20266 0 13536 0 168907 0 0 0 FORM 990, PART V, LINE 2A IN MARCH OF 2016. MDIF HIRED A PROFESSIONAL EMPLOYER ORGANIZATION OR "PEO" TO HANDLE ITS PAYROLL RESPONSIBILITIES. 4 OF THE EMPLOYEES REPORTED ON PART V, LINE 2A RECEIVE THEIR W-2 FROM MDIF SERVICE CORP., A CORPORATE AGENCY ACCOUNT. THE OTHER 10 EMPLOYEES RECEIVE THEIR W-2 DIRECTLY FROM THE PEO. ONE OF THE EMPLOYEES WAS TRANSITIONED FROM MDIF SERVICE CORP., TO THE PEO IN 2017 AND THEREFORE RECEIVED 2 W-2S. FORM 990, PART VI, LINE 11 THE FORM 990 HAS BEEN PROVIDED TO THE AUDIT COMMITTEE OF THE BOARD OF DIRECTORS FOR APPROVAL PRIOR TO FILING. ONCE APPROVED, A COPY OF THE FORM 990 WAS PROVIDED TO THE FULL BOARD. THE FORM 990 WAS PREPARED BY A NATIONALLY RENOWNED ACCOUNTING FIRM AND REVIEWED IN DETAIL BY THE FUND'S MANAGING DIRECTOR AND ASSISTANT TREASURER. FORM 990, PART VI, LINE 12C EACH OFFICER, DIRECTOR, TRUSTEE AND KEY EMPLOYEE OF MDIF IS REQUIRED TO ANNUALLY DISCLOSE ANY CONFLICTS OF INTEREST THAT ARISE BY VIRTUE OF THEIR EMPLOYMENT, BOARD SERVICE, OR POSITION WITH THE COLLEGE. MDIF MONITORS COMPLIANCE WITH ITS CONFLICT OF INTEREST POLICY THROUGH AN ANNUAL QUESTIONNAIRE/DISCLOSURE STATEMENT THAT IS DISTRIBUTED TO THESE INDIVIDUALS. POTENTIAL CONFLICTS ARE INVESTIGATED IMMEDIATELY. FORM 990, PART VI, LINE 15A Media Development Investment Fund's Board of Directors has authorized the Compensation committee to conduct a review of the Chief Executive Officer's performance and determine his compensation package. The committee is comprised of independent directors (the Chair, the Vice-Chair and the Treasurer) who establish the CEO's compensation commensurate with the salaries paid by similar organizations in both the not-for-profit and impact investing sectors. The Committee then reports its findings to the full Board of Directors and recommends a salary a compensation package. The full Board reviews the Committee's recommendations and approves the final compensation package. FORM 990, PART VI, LINE 15B The Board of Directors has fully delegated the authority to review performance and set the compensation of MDIF's other officers to the Chief Executive Officer. In making his determination, the CEO employs the same comparability metrics as the Compensation Committee utilizes (as outlined in the Part VI, Line 15A narrative). FORM 990, PART VI, LINE 19 THE TAXPAYER MAKES ITS FORM 990 AND FORM 1023 AVAILABLE TO THE PUBLIC BY RETAINING A COPY OF EACH AT THE ADDRESSES LISTED ON PAGE 1 OF THIS RETURN. ANY INDIVIDUAL REQUESTING A COPY OF THESE DOCUMENTS IS PROVIDED THAT COPY ON THE SAME BUSINESS DAY. THE ORGANIZATION'S FORM 990 IS ALSO AVAILABLE FOR PUBLIC INSPECTION ON WWW.GUIDESTAR.ORG. THE ORGANIZATION'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS ARE AVAILABLE AT THE PUBLIC REQUEST AND AT MANAGEMENT'S DISCRETION. PART XI, Line 9 EQUITY IN NET EARNINGS OF INVESTEES ($107,073) Foreign Currency Translation gain $125,857 Adjustment for provision for doubtful program-related investments, net ($604,860) OFFERING COSTS ($57,163) Partner's Capital Contributions $2,768,626 Net Assets of Subsidiary consolidated within financial statements ($4,136,281) -------------------------------------------------------- TOTAL: ($2,010,894) Digital News Ventures LLC 37 west 20th street new york NY 10011 134052259 PRI NY 0 0 MDIF MDIF Equities LLC 37 West 20th Street New York NY 10011 134052259 PRI NY 0 0 MDIF MDIF Media Holdings I LLC 37 WEST 20TH STREET NEW YORK NY 10011 134052259 PRI NY 0 0 MDIF MDIF Media Holdings II LLC 37 WEST 20TH STREET New York NY 10011 134052259 PRI NY 0 0 MDIF MDIF Media Finance I BV 37 WEST 20TH STREET NEW YORK NY 10011 134052259 PRI NL 53864 1146760 MDIF Emerging Media Opportunity Fund I LP 37 WEST 20TH STREET NEW YORK NY 10011 134052259 PRI NY NA PRI 0 215884 false true 0.05000 MDLF Service Corp 37 west 20th street new york NY 10011 800049286 Agency Account DE MDIF C 0 12650 1.00000 true MDIF MEDIA FINANCE II BV 37 west 20th street new york NY 10011 INACTIVE NL MDIF C 0 0 1.00000 true false false false false false false false false false false false false false true true false false false false SCHEDULE R, PART I MEDIA DEVELOPMENT INVESTMENT FUND HAS A WHOLLY-OWNED SUBSIDIARY, DIGITAL NEWS VENTURES, LLC (WHICH IS TREATED AS A DISREGARDED ENTITY FOR US TAX PURPOSES). THIS ORGANIZATION'S PRINCIPAL ACTIVITY IS TO MAKE SEED INVESTMENTS IN NEWS AND INFORMATION START-UPS. DIGITAL NEWS VENTURES INVESTS IN EXPERIMENTAL DIGITAL PRODUCTS AND BUSINESSES THAT CONTRIBUTE TO THE PROVISION OF INFORMATION IN THE PUBLIC INTEREST. Media Development Investment Fund has three wholly owned subsidiaries created to serve as special purpose vehicles for program related investments. These subsidiaries, MDIF Equities LLC, MDIF Media Holdings I, LLC and MDIF Media Holdings II, LLC are treated as disregarded for federal tax purposes. Finally MDIF established a foreign disregarded entity in the Netherlands called MDIF Media Finance I, B.V. that acts as a separate fund providing program-related investments. Finally, MDIF established two LLC equivalents in the Netherlands, both wholly owned by MDIF: MDIF Media Finance I, B.V. (MMF I) in 2016, and MDIF Media Finance II, B.V. (MMF II) in 2017. MMF I is a separate fund providing program-related investments. It is active and it has been recognized by the Internal Revenue Service as a disregarded entity for tax purposes. MMF II is inactive and the Fund deferred seeking classification as a disregarded entity until the subsidiary has some assets and activities.