2016-06-30T09:26:22-07:00 2015-08-31 990 2014-09-01 042103550 BOSTON SYMPHONY ORCHESTRA INC BOST 6172661492 301 Massachusetts Avenue Boston MA 02115 Thomas D May Chief Financial Officer 6172661492 2016-06-30 2014 2016-09-27 15:27:22Z Mark Volpe 301 Massachusetts Avenue Boston MA 02115 271282044 0 X www.bso.org X 1918 MA The mission of the Boston Symphony Orchestra is to foster and maintain an organization dedicated to the making of music consonant with the highest aspirations of the musical art, creating performances and providing educational and training programs at the highest level of excellence and presenting this music to the widest audience possible. BSO concerts include: the Boston Symphony winter season in Symphony Hall in Boston; the Boston Symphony's summer festival at Tanglewood, its outdoor summer home in Lenox and Stockbridge, Massachusetts; and Boston Pops concerts in Symphony Hall that reach a third audience for whom orchestral music may not be as familiar. Additionally, an array of BSO education and community engagement programs are held each year that are intended to serve as a resource for educators, families and students. 35 34 1196 1323 2282014 1043977 29175439 41549636 38166106 37298148 28418951 23277983 4893386 4681562 100653882 106807329 0 0 0 0 47277189 48735643 0 0 7872521 41266212 42585408 88543401 91321051 12110481 15486278 571114027 558346417 59428654 83071196 511685373 475275221 The mission of the Boston Symphony Orchestra is to foster and maintain an organization dedicated to the making of music consonant with the highest aspirations of the musical art, creating performances and providing educational and training programs at the highest level of excellence and presenting this music to the widest audience possible. BSO concerts include: the Boston Symphony winter season in Symphony Hall in Boston; the Boston Symphony's summer festival at Tanglewood, its outdoor summer home in Lenox and Stockbridge, Massachusetts; and Boston Pops concerts in Symphony Hall that reach a third audience for whom orchestral music may not be as familiar. Additionally, an array of BSO education and community engagement programs are held each year that are intended to serve as a resource for educators, families and students. 0 0 62702497 35930413 Orchestra Music Programs: Through three distinct components-the Boston Symphony, the Boston Pops, and Tanglewood-the BSO offers some 320 concerts each year reaching more than 1.1 million audience members. Internationally recognized as one of the finest orchestras, the BSO is also one of the world's largest orchestras as measured by scope of operations and the fourth-largest performing arts institution in the U.S. 2014-2015 marked the inaugural season of Music Director Andris Nelsons-a season in which the conductor established an energetic commitment to the BSO. Under Nelsons' direction, the BSO attracted more than 224,000 patrons for its winter season, which included 26 concert weeks at Boston's Symphony Hall, three Carnegie Hall performances, and a 12-concert, eight-city European tour with stops in Berlin, Cologne, London, Milan, Paris, and the Lucerne, Salzburg, and Grafenegg festivals. Nelsons celebrated his arrival at the BSO by leading some of his favorite works from the German repertoire, including works by Beethoven, Haydn, and Mozart, as well as Brahms's Haydn Variations, Bruckner's Symphony No. 7, Mahler's Symphony No. 6, and Strauss's Don Quixote and Ein Heldenleben. Four premiere performances brought the best of new orchestral music to Symphony Hall, including BSO commissioned and co-commissioned works from Eriks Esenvalds, Michael Gandolfi, and Harrison Birtwistle and the American premiere of Brett Dean's "Dramatis personae." The Tanglewood season drew more than 300,000 patrons to concerts featuring the BSO, Tanglewood Music Center Fellows, and popular artists. 2015 saw the 75th Anniversary of the Tanglewood Music Center, which the organization celebrated by commissioning and presenting works from 31 TMC-affiliated composers; notable among the music performed was late Gunther Schuller's work Magical Trumpets. Finally, in Keith Lockhart's 20th year as conductor, the Boston Pops reached more than 182,000 patrons in 87 spring and Holiday concerts. In addition to the winter season's inventive and eclectic programming, the Boston Pops Esplanade Orchestra further entertained millions across the globe in its signature 4th of July performance, which was broadcast live on webcast and local television. 5173893 482839 Education: Education is integral to the BSO's mission and comprises two main components: 1) The Tanglewood Music Center (TMC), BSO's summer academy for rising professional musicians; and 2) Education and Community Engagement programs for individuals of all backgrounds. The TMC serves as a bridge from the conservatory to the professional world, where promising young musicians gain access to some of the world's finest professionals and become primed for successful performing careers. The TMC also functions as a think tank for faculty, who are encouraged to explore uncharted directions in composition, conducting, and collaboration in order to advance and influence the field. The principal areas of study and performance at the TMC are orchestral and chamber music, with an emphasis on contemporary music, vocal repertoire from art song to opera, composition, and conducting. TMC performances attracted more than 10,700 patrons in its 75th anniversary year. To honor the center's dedication to contemporary music, the organization commissioned 31 TMC-affiliated composers to create new works. These commissions, ranging from large-scale orchestral pieces to chamber works to short fanfares, premiered throughout the season and celebrated the diversity of compositional voices Tanglewood has nurtured over the course of its history. Notable among the programming was a concert in memory of the late Gunther Schuller featuring his recently completed commission for the TMC, Magical Trumpets. Education and Community Engagement programs serve some 35,000 people each year and offer individuals of all backgrounds the opportunity to develop their relationship with the BSO and build their ownership of and engagement with orchestral music. Notable among last season's community access options, the Community Chamber Concerts series offered expanded music access to nearly 4,000 residents of greater Boston. BSO musicians perfomed free concerts and led post-concert discussions in communities limited in access by distance or economics; additionally, augmented concerts in Lowell, East Boston, Roxbury, and Quincy featured "artistic exchanges" with local musicians, forging greater connections between the BSO and neighboring communities. Among youth programming, BSO's Youth and Family Concerts and Days in the Arts (DARTS) program brought the BSO's passion for the arts to students from across Massachusetts. In fall and spring, Youth and Family Concerts explored the theme "Keeping Good Company - Musical Partnerships of Inspiration and Innovation" and offered more than 24,000 young audience members and their families unique access to the full BSO and to Symphony Hall. In the summer, 377 students from urban, suburban, and rural communities participated in DARTS thanks to generous tuition subsidies. Each student gained a confidence-building introduction to the arts and inclusion in a diverse, supportive community. 1557177 1721484 Historic Preservation and Conservation and Facility Rental: The BSO's two main properties, Symphony Hall and Tanglewood, carry historical significance and represent popular sites supporting the Massachusetts tourist industry. Symphony Hall's acoustic qualities have earned it a place among the top three concert auditoriums in the world, a fact underscored by the hall's 1999 designation as a National Historic Landmark. Symphony Hall resonates with more than a century of performances by key artists spanning the history of classical music. In addition to BSO performances, the hall functions as a key performance venue for a number of local, national, and international ensembles and presenters, including the Handel & Haydn Society, the Celebrity Series of Boston, and the Boston Youth Symphony Orchestras. The hall has a 2625 seat capacity. Located in the Berkshire hills of Lenox, Massachusetts and established in 1936 by then-Music Director Serge Koussevitzky, Tanglewood is the summer performance home of the BSO. Tanglewood annually attracts more than 300,000 visitors and presents ten weeks of diverse programming, including concerts from the BSO, the Tanglewood Music Center, and the Pops. Tanglewood spans more than 500 acres and remains open to the public year-round, much like a state park. 23 buildings reside on the grounds, including two performance venues: the Koussevitzky Music Shed and Seiji Ozawa Concert Hall. Built in 1938, the Koussevitzky Music Shed is a seasonal hall open on three sides with 5,121 seats and additional seating for more than 10,000 on the adjacent lawn. All BSO and visiting orchestra concerts are performed in the shed. Opened in 1994, Seiji Ozawa Hall is a brick and wood structure that provides a venue for chamber music performances and serves as the headquarters of the Tanglewood Music Center. It seats up to 750 audience members on the orchestra level and an additional 450 in the two balconies, as well as hundreds more on the adjacent lawn. 2015 saw the second phase of critical exterior renovations to Ozawa Hall, which focused on repairing, replacing, and restoring components of the building's roof, masonry, gutters, woodwork, windows, doors, and lightning protection system. Additional work at Tanglewood included upgrades to the backstage roof of the Koussevitzky Music Shed, accessible parking and gate improvements, Seranak Building, Highwood Building, and Tanglewood Music Center practice studio renovations, and campus-wide lightning protection enhancements. At Symphony Hall, facilities projects included basement and exterior stairway renovations and, in anticipation of increased recording activity with Andris Nelsons, a major upgrade to the BSO's recording studio. Finally, in order to increase data capacity and keep essential online operations consistent and reliable, the BSO moved its physical data centers from their former modest locations to two new spaces, one locally in Somerville, MA, with a backup location in Atlanta, GA. 884326 125780 Electronic Media: The BSO delivers its music not only to its live and in-house audiences but also to the millions who tune in via record, radio broadcast, and digital media. In FY15 the BSO launched a multi-year recordings project with Deutsche Grammophon entitled "Shostakovich Under Stalin's Shadow," drawn from live performances at Symphony Hall. The project's first recording resulted in a Grammy Award. The BSO has also signed on as one of a few select orchestras to be featured in Google Play Music's "Classical Live" store. Live local broadcasts of BSO concerts continued to be featured on 99.5 Classical New England (a subsidiary of public radio station WGBH), streamed live via the WGBH website, and a few days following, via the BSO Media Center at www.bso.org/media. The BSO's Media Center webpage receives an average of 2,000 visits per day and offers BSO-produced music both for free streaming and for purchase and download. In addition, the orchestra releases weekly concert-overview podcasts that provide background and context for each concert. 277391 180126 Merchandise Sales: The Boston Symphony operates retail shops at both Symphony Hall and Tanglewood. These shops sell recordings of the BSO and other featured performers, books, music, posters and clothing and other items that serve to promote and disseminate the name and music of the Boston Symphony, Boston Pops and Tanglewood. 1161717 0 305906 70595284 1 1 0 1 0 0 0 0 0 1 1 1 0 1 1 1 0 1 0 0 1 0 0 0 1 0 0 0 0 1 0 0 0 1 0 0 0 1 1 0 0 0 0 1 1 1 0 0 1 424 0 1 1196 1 1 1 0 0 0 0 1 1 0 0 0 0 X 35 34 1 0 0 0 0 0 0 1 0 0 0 1 1 1 1 1 1 1 1 0 MA NJ NY X Thomas D May 6172661492 301 Massachusetts Ave Boston MA 021154557 X William F Achtmeyer Chair 2 X X 0 0 0 David Altshuler Trustee 2 X 0 0 0 George D Behrakis Trustee 2 X 0 0 0 Paul Buttenwieser President 2 X X 0 0 0 Ronald G Casty Trustee 2 X 0 0 0 Richard F Connolly Jr Trustee 2 X 0 0 0 Diddy Cullinane Trustee 2 X 0 0 0 Cynthia Curme Trustee 2 X 0 0 0 Alan J Dworsky Trustee 2 X 0 0 0 William R Elfers Trustee 2 X 0 0 0 Thomas E Faust Jr Trustee 2 X 0 0 0 Michael Gordon Trustee 2 X 0 0 0 Brent L Henry Trustee 2 X 0 0 0 Susan Hockfield Trustee 2 X 0 0 0 Barbara W Hostetter Trustee 2 X 0 0 0 Stephen Kay Trustee 2 X 0 0 0 Edmund Kelly Trustee 2 X 0 0 0 Joyce G Linde Trustee 2 X 0 0 0 John M Loder Trustee 2 X 0 0 0 Nancy K Lubin Trustee 2 X 0 0 0 Joshua A Lutzker Trustee 2 X 0 0 0 Carmine A Martignetti Vice-Chair 2 X X 0 0 0 Robert J Mayer MD Trustee 2 X 0 0 0 Robert P O'Block Trustee 2 X 0 0 0 Susan W Paine Trustee 2 X 0 0 0 John Reed Trustee 2 X 0 0 0 Carol Reich Trustee 2 X 0 0 0 Arthur I Segel Vice-Chair 2 X X 0 0 0 Roger T Servison Trustee 2 X 0 0 0 Wendy Shattuck Trustee 2 X 0 0 0 Theresa M Stone Treasurer 2 X X 0 0 0 Caroline Taylor Trustee 2 X 0 0 0 Stephen R Weber Vice-Chair 2 X X 0 0 0 Roberta S Weiner Trustee 2 X 0 0 0 Robert C Winters Trustee 2 X 0 0 0 Mark Volpe Managing Director 50 1 X 718832 0 58464 Thomas D May Chief Financial Officer 50 1 X 253757 0 84635 Bart Reidy Clerk of the Board 50 X 204661 0 45471 Kim Noltemy Chief Marketing & Communications Officer 50 X 229872 0 54567 Malcolm Lowe Concertmaster 40 X 410506 0 33209 John A Ferrillo Jr Principal Oboe 40 X 289875 0 56776 Thomas C Rolfs Jr Principal Trumpet 40 X 259733 0 60323 Timothy Genis Timpanist 40 X 250614 0 32302 Steven Ansell Principal Viola 40 X 247404 0 65565 2865254 0 491312 135 0 1 0 Walsh Brothers Inc 210 Commercial Street Boston MA 021091314 Construction Contractor 1426263 Tisbury Tours Inc 360 Hamilton Avenue Ste 100 White Plains NY 10601 Services of James Taylor 1011560 Opus 3 Artists 470 Park Avenue 9th Floor New York NY 10016 Guest Artists 660666 Isole Inc 252 Kent Street Brookline MA 02446 Services of K. Lockhart 655014 Allied Security Holdings LLC PO BOX 828854 Philadelphia PA 191828854 Security Services 556602 17 0 0 3135237 0 208231 38206168 4099393 41549636 Concerts & tours 900099 35930413 35930413 0 0 Program advertising 511190 700008 0 700008 0 Education 900099 482839 482839 0 0 Electronic media 900099 125780 125780 0 0 Parking 900099 59108 0 0 59108 0 0 0 0 37298148 1940983 0 0 1940983 0 0 0 0 0 0 0 0 4355938 0 1386049 0 2969889 0 2969889 1721484 0 1248405 182648065 0 161311065 0 21337000 0 21337000 0 1228063 20108937 289137 3135237 1216841 -927704 0 -927704 1094829 560760 534069 180126 353943 0 Food and beverage 900099 2105308 0 0 2105308 0 0 0 0 2105308 106807329 38440642 2282014 24535037 X 1681168 1225214 455954 36213010 27721842 5436339 3054829 2691886 1873586 558218 260082 5586787 3377400 1549161 660226 2562792 1543236 717477 302079 75000 75000 160180 160180 124910 124910 40807 40807 1700000 1700000 13666493 13252272 412901 1320 3926251 3588915 88896 248440 2472000 1862857 204213 404930 1490765 355595 736835 398335 17816 17816 3134510 2444918 438831 250761 5961557 5531770 240038 189749 500436 54164 39477 406795 55834 53601 2233 5070523 3853201 734647 482675 195729 11166 184563 Concert production expenses 1362254 1360908 1346 Credit card fees 747301 679033 0 68268 1883042 1238004 645038 91321051 70595284 12853246 7872521 6551718 8353362 6789194 5851572 18969329 26164339 1555549 2807653 56883 42144 484473 547372 1976722 3299472 130439442 78510360 50418707 51929082 123854389 78814082 322566948 344860891 37890115 35676448 571114027 558346417 9553700 10225173 9815287 10767007 5500000 10000000 34559667 52079016 59428654 83071196 X 77388359 62526357 231889157 205145770 202407857 207603094 511685373 475275221 571114027 558346417 X 15486278 -35155026 0 0 0 -16741404 X 0 1 X 1 0 X 24734705 34676732 35806641 29175439 41549636 165943153 0 0 0 0 0 0 0 0 0 0 0 0 24734705 34676732 35806641 29175439 41549636 165943153 14095991 151847162 2788795 2563448 3046527 4407284 4575437 17381491 0 199946 595756 1043977 1839679 0 0 0 0 0 0 185164323 187383712 0.82007 0.82358 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 0 0 0 0 1 48807 0 0 48807 0 Schedule C, Part II-B, Line 1 The lobbying activities of the BSO address issues such as state funding and proposed legislation related to historic preservation, tourism, transportation, and education all in the context of the arts and not-for-profit organizations. A small allocation of the salary of one employee who engages in lobbying activities on the issues noted above is included in the amount reported. 474899000 8892000 -13587000 0 19885000 0 450319000 421650000 18200000 59358000 0 24309000 0 474899000 379963000 21780000 36543000 0 16636000 0 421650000 387370000 8067000 7551000 0 23025000 0 379963000 354476000 5920000 49369000 0 22395000 0 387370000 0.1513 0.439 0.4097 1 1 1 0 6554782 6554782 0 79871058 47847788 32023270 0 0 0 0 0 36046932 25856289 10190643 0 7966670 4806283 3160387 51929082 Marketable Alternatives (equity LPs) 281076190 F Illiquid Equities (private equity LPs) 18577100 F Real Assets 14147897 F Commingled Funds 12088492 F Real Estate 10893710 F Investment in 263 HA Limited Partnership 8077502 F 344860891 Assets Held by Others 26643781 Assets of Split Interest Agreements 9032667 35676448 Accrued Liability for Pension & Post Retirement 52079016 52079016 X 71321138 -35155026 662986 0 145089 -34346951 105668089 1700000 -560760 1139240 106807329 90844797 662986 0 0 560760 1223746 89621051 1700000 0 1700000 91321051 Schedule D, Part V, Line 4 The purpose of the endowment is to provide enduring support for the mission of the Orchestra by releasing a substantial and reliable flow of funds to the operating budget. The income earned on the Orchestra's endowment assets may be used for general or donor-restricted purposes and is recorded in unrestricted net assets or temporarily restricted net assets, as appropriate. Schedule D, Part VI, Line 1e Other includes land improvements and related depreciation and construction in progress. Schedule D, Part VII, Line 3 The investment in 263 HA Limited Partnership is valued at net cost plus accumulated earnings reduced by distributions to the BSO. Schedule D, Part X, Line 2 The Orchestra accounts for the effect of any uncertain tax positions based on a "more likely than not" threshold to recognition of tax positions being sustained based on the technical merits of the position under scrutiny by the applicable taxing authority. If a tax position or positions are deemed to result in uncertainties of those positions, the unrecognized tax benefit is estimated based on a "cumulative probability assessment" that aggregates the estimated tax liability for all uncertain tax positions. The Orchestra has identified its tax status as a tax exempt entity and its determinations relative to income that is considered related and unrelated as its only significant tax positions; however, the Orchestra has determined that such tax positions do not result in an uncertainty requiring recognition. The Orchestra is not currently under examination by any taxing jurisdiction. Its Federal and state income tax returns are generally open for examination for the past three years following the date filed by the appropriate tax authorities. Schedule D, Part XI, Line 2d Change in value of split interest agreements. Schedule D, Part XI, Line 4b Cost of goods sold. Schedule D, Part XII, Line 2d Cost of goods sold. Central America and the Caribbean 0 0 Investments 85735034 Europe (including Iceland and Greenland) 0 0 Program Services Concert Tour 1648411 0 0 87383445 1 0 1 1 1 0 Opening Gala 1510981 1389744 121237 0 0 0 74920 4423 366462 Corporate Event 868214 816810 51404 0 0 0 79815 48349 81809 4 1045179 928683 116496 0 0 0 159377 43501 358185 3424374 3135237 289137 0 0 0 314112 96273 806456 1216841 -927704 X X X 1 1 X X X X X 0 1 0 0 0 0 0 1 0 Mark Volpe Managing Director 496736 0 0 0 222096 0 29069 0 29395 0 777296 0 Thomas D May Chief Financial Officer 251232 0 0 0 2525 0 55623 0 29012 0 338392 0 Bart Reidy Clerk of the Board 203607 0 0 0 1054 0 19986 0 25485 0 250132 0 Kim Noltemy Chief Mrktg & Communications Officer 228666 0 0 0 1206 0 21901 0 32666 0 284439 0 Malcolm Lowe Concertmaster 383095 0 10000 0 17411 0 0 0 33209 0 443715 0 John A Ferrillo Jr Principal Oboe 278370 0 0 0 11505 0 30558 0 26218 0 346651 0 Thomas C Rolfs Jr Principal Trumpet 240902 0 0 0 18831 0 27719 0 32604 0 320056 0 Steven Ansell Principal Viola 239535 0 0 0 7869 0 30461 0 35104 0 312969 0 Timothy Genis Timpanist 212864 0 0 0 37750 0 21668 0 10634 0 282916 0 Schedule J, Part I, Line 1a 1) In connection with the business needs of the Boston Symphony Orchestra, (BSO), charter travel is used when transporting large numbers of personnel in connection with the orchestra's touring. As a general rule, the BSO does not provide first class travel for employees. 2) In rare instances, the Managing Director's spouse may travel with him for donor cultivation and fund-raising purposes. Events attended are related to the business purposes of the Boston Symphony. Such travel is entered into and substantiated in accordance with the spousal travel policy adopted by the BSO. 3) Housing for Mark Volpe, Managing Director, is provided during the summer for the convenience of the BSO in connection with the Orchestra's activities away from Boston at Tanglewood, and is not considered taxable. Schedule J, Part I, Line 4 The compensation listed for Mark Volpe, Managing Director, for calendar year 2014 includes Base Compensation of $496,736. Other Reportable Compensation includes 1) taxable fringe in the amount of $10,874 mainly for life and disability insurance and for personal use of a vehicle provided by the BSO; 2) contributions of $17,500 made by Mr. Volpe into a 457(b) plan; and 3) a payment of $193,722 which represents the current year obligation related to a retirement compensation plan established for Mr. Volpe in fiscal 2007 in recognition of his 10 years of outstanding service to the BSO. As amended in 2013, the plan is designed to provide Mr. Volpe an annual retirement benefit at age 60 equal to approximately 50% of the average compensation earned during his last 5 years of employment. An irrevocable portion of this benefit is accrued and paid each year that he is employed. Schedule J, Part I, Line 7 One highly compensated employee is eligible for annual bonuses payable at management's discretion for the satisfactory fulfillment of certain responsibilities. Mark Volpe Officer Mortgage X 200000 42144 0 1 1 42144 Tisbury Tours Co. owned by spouse of trustee 535150 Enganged to perform concerts 0 Schedule L, Part II On September 12, 1997, a thirty-year, $200,000 loan was made to the Managing Director, Mark Volpe. This loan, which is secured by a mortgage on his principal residence, is payable in biweekly installments of principal and interest. During 2003, the loan was refinanced and the term was changed to fifteen years. The interest rate was determined by using the IRS approved market rate in effect at the time of the inception and the refinancing of the loan. X 118 4044579 Fair Market Value X Hospitality goods 10 24814 Fair Market Value X Piano 1 30000 Fair Market Value 1 0 1 0 Schedule M, Part I Column B responses represent the number of contributions. Form 990, Part I, Line 6 Volunteers comprise the 720 members of the Boston Symphony Association of Volunteers (BSAV), who provide a variety of services both at Symphony Hall and Tanglewood. Also included as volunteers are the 351 members of the Tanglewood Festival Chorus (TFC), who donate their time and talent performing year-round with the Boston Symphony Orchestra and the Boston Pops Orchestra. Also included are 35 voting trustees and 217 non-voting members of the governing body. Form 990, Part VI, Section A, Line 2 Trustee Stephen Kay serves on the Board of the Dana-Farber Cancer Institute. The Dana-Farber Cancer Institute employs another trustee, Dr. Robert J. Mayer, MD. Form 990, Part VI, Section A, Line 8b In general, the Boston Symphony Orchestra (BSO) keeps minutes of all committees with authority to act on behalf of the boards. Form 990, Part VI, Section B, Line 11b The Form 990 is prepared by BSO management and reviewed by a paid preparer. The complete 990 is then reviewed by the Audit Committee of the Board of Trustees. The Audit Committee reviews each section and schedule of the 990, focusing on key changes and substantive disclosures. Subsequent to this review, a copy of the final draft 990, which is the version to be filed with the IRS, is placed in a password-protected website for all members of the Board of Trustees to review in advance of their next board meeting. All members of the Board of Trustees receive an email notifying them that the Form 990 is available for review on the site. The final 990 is signed by the Chief Financial Officer and the paid preparer. Form 990, Part VI, Section B, Line 12c The Boston Symphony Orchestra has a Conflict of Interest Policy that encompasses all employees and board members. The policy requires that Trustees, Officers, Overseers, Ex-Officio Board members, members of a committee with board-delegated powers, senior staff members or any person with substantial influence over the BSO to disclose the existence of any potential or actual conflicts of interest to the Board or to members of the Executive Committee. The Board or Executive Committee then discusses and votes in order to determine whether an actual conflict of interest exists. If a conflict exists, the Board or Executive Committee evaluates the particular transaction or arrangement to determine the most reasonable course of action. The individual who disclosed the conflict must leave the Board or Executive Committee meeting during the discussion of, and the vote on, the transaction or arrangement that results in the conflict of interest. Additionally, the policy also requires any staff member that has information about a possible conflict, to report the matter promptly to their supervisor, the Director of Human Resources or to the Chief Financial Officer. The Director of Human Resources and the Chief Financial Officer will review the circumstances of the possible conflict with other appropriate management to make a determination about the most reasonable course of action. A breach of the conflict of interest policy is grounds for disciplinary action, up to and including termination. Additionally, on an annual basis, all Trustees, Officers, Overseers, Ex-Officio Board members, members of a committee with board-delegated powers, senior staff members or any person with substantial influence over the BSO is provided with a copy of the policy and must sign a statement affirming that they have received, read and understand the policy; they must also affirm that they agree to comply with the policy. As part of this Annual Notice of Policy, each individual is also required to disclose any potential or actual conflicts of interest in writing. All responses indicating a potential or actual conflict are subject to review by the Board or the Executive Committee as described above. Form 990, Part VI, Section B, Line 15 The BSO has a designated Compensation Committee, comprised of trustees of the BSO, which sets the process for determining and approving compensation for officers and key employees. The Compensation Committee's process includes: (a) development and consideration of comparability data to provide a basis for the Committee's decisions and (b) consideration of the (i) applicable accounting and disclosure rules, (ii) emerging trends in corporate governance, and (iii) standards and guidelines promulgated by the Division of Public Charities of the Massachusetts office of the Attorney General (collectively, the "Compensation Process"). Deliberations of the Compensation Committee in connection with the Compensation Process are contemporaneously documented. When evaluating officers and key employees, the Compensation Committee carefully considers the following factors: (i) duties and responsibilities, (ii) background and experience, (iii) dedication, commitment and work schedule, (iv) leadership, management and professional skills, (v) overall performance and standing, (vi) the BSO's salary scale of employees generally, and (vii) the BSO's annual budget. The Compensation Committee's most recent review of officer and key employee compensation was in progress as of August 31, 2015. Form 990, Part VI, Section C, Line 19 The Boston Symphony Orchestra's audited financial statements, conflict of interest policy and other governing documents are available upon request. Form 990, Part VII, Section A, Line 1b Compensation reported is based on calendar 2014 amounts. Form 990, Part VII, Section B, Line 1(C) Compensation reported is based on calendar 2014 amounts. The compensation listed for Opus 3 Artists includes fees for 16 guest artists. Form 990, Part IX, Line 11g Line 11g Other comprises $12,163,818 of artistic and other concert related fees and $1,502,675 of security, medical, parking and other services. Form 990, Part XI, Line 9 Other changes in net assets or fund balances of ($16,741,404) comprise of change in value of split interest agreements of $145,089 and retirement plan-related charges other than net periodic benefit cost of ($16,886,493). 263 HA Limited Partnership 301 Massachusetts Avenue Boston MA 02115 Real Estate MA 263 Realty Corporation Excluded 1355210 8032617 0 0 0.99 263 Realty Corporation 301 Massachusetts Avenue Boston MA 02115 Real Estate MA N/A C 6148 42661 1 1 Trust 301 Massachusetts Avenue Boston MA 02115 Trust MA Boston Symphony Orchestra Inc T 1 0 0 0 0 0 0 0 1 0 0 1 0 0 1 1 0 0 0 1 263 HA Limited Partnership s 1215168 Actual partnership distribution 263 HA Limited Partnership k 314220 Fair market