2016-07-21T09:22:11-05:00 2015-12-31 521392008 GELMAN ROSENBERG & FREEDMAN 4550 MONTGOMERY AVE SUITE 650N BETHESDA MD 208142930 990 2015-01-01 272092468 WORLDREADERORG WORL 4155624840 2030 1ST AVE NO 300 SEATTLE WA 98121 JOHN DAVID RISHER CEO 4155624840 2016-07-21 1 ROBERT ALBRECHT CPA P01003783 3019519090 2015 2016-12-15 16:53:06Z X WORLDREADER JOHN DAVID RISHER 2030 1ST AVE NO 300 SEATTLE WA 98121 12089141 0 X WWW.WORLDREADER.ORG X 2010 WA SEE PART III, LINE 1. 11 10 25 15 0 0 5653224 10552733 256002 1527541 2320 7795 0 1072 5911546 12089141 1105670 1365248 0 0 998389 1534182 0 0 283368 1652056 4916029 3756115 7815459 2155431 4273682 3185499 7523411 102371 166601 3083128 7356810 X SEE SCHEDULE O FOR DETAIL 0 0 6802124 1365248 1675582 USING E-READERS, MOBILE PHONES, AND OTHER DIGITAL TECHNOLOGY WORLDREADER REACHES PEOPLE IN 85 COUNTRIES, PROVIDING THEM WITH OVER 31,901 BOOK TITLES IN 43 LANGUAGES FROM AFRIKAANS TO SWAHILI. WE CURRENTLY WORK WITH OVER 331 PUBLISHERS FROM ALL OVER THE WORLD TO ACQUIRE AND DIGITIZE THE MOST COMPELLING AND RELEVANT CONTENT FOR OUR READERS. OVER 3.7M PEOPLE HAVE READ BOOKS AS A RESULT OF WORLDREADER'S WORK. (SEE SCHEDULE O FOR ADDITIONAL DETAIL) 6802124 1 1 0 0 0 0 0 0 0 0 1 0 0 0 0 1 1 0 0 0 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 12 0 1 25 1 0 0 0 0 0 0 0 0 0 0 X 11 10 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 0 0 AK AL AR AZ CA CO CT DE FL GA HI IA ID IL IN KS KY LA MA MD ME MI MN MO MS MT NC ND NE NH NJ NM NV NY OH OK OR PA RI SC SD TN TX UT VA VT WA WI WV WY X X X JESSICA MEUNIER 4155624840 2030 1ST AVENUE SUITE 300 SEATTLE WA 98121 JOHN DAVID RISHER CEO 40.00 X X 79572 0 12180 PETER SPIRO CHAIRMAN OF THE BOARD 1.00 X X 0 0 0 COLIN MCELWEE SEE SCHED O SECRETARY 1.00 X X 0 0 0 CHARLES BRIGHTON DIRECTOR 1.00 X 0 0 0 HARRISON MILLER DIRECTOR 1.00 X 0 0 0 KARTIK RAGHAVAN DIRECTOR 1.00 X 0 0 0 SUSAN COSTLEY SANDERSON DIRECTOR 1.00 X 0 0 0 CHRIS CAPOSELLA DIRECTOR 1.00 X 0 0 0 TERY ATKINSON DIRECTOR 1.00 X 0 0 0 AIKO BETHEA DIRECTOR 1.00 X 0 0 0 JIM BILDNER THROUGH 115 DIRECTOR 1.00 X 0 0 0 MARY CASE FROM 1215 DIRECTOR 1.00 X 0 0 0 JESSICA MEUNIER DIRECTOR OF FINANCE 40.00 X 83875 0 4800 163447 0 16980 0 0 0 0 0 10552733 3792030 10552733 PROGRAM INCOME 900099 1527541 1527541 1527541 7795 7795 MISCELLANEOUS 900099 1072 1072 1072 12089141 1527541 0 8867 1365248 1365248 180427 22938 111613 45876 1171032 817837 227233 125962 6163 4395 898 870 63915 47211 12851 3853 112645 70714 27940 13991 22535 19595 2841 99 24100 20956 3038 106 169269 45662 123556 51 25614 17584 5776 2254 143344 98403 32326 12615 9498 8259 1197 42 331331 331315 16 136722 95767 24459 16496 179061 122922 40380 15759 58953 40470 13295 5188 119942 82338 27048 10556 24717 16968 5574 2175 READING DEVICES/CONTENT 3360793 3360629 164 LICENSING 196649 134996 44346 17307 VIDEO PRODUCTION 40410 27741 9113 3556 HARDWARE 20035 13754 4518 1763 53056 36422 11965 4669 7815459 6802124 729967 283368 16330 86940 621076 2248199 2063436 4982181 46776 30806 6296 7395 290250 122360 287832 167890 143753 0 3185499 7523411 48227 114999 54144 51602 102371 166601 X 628136 1021356 2454992 6335454 3083128 7356810 3185499 7523411 4273682 0 X 0 1 X 1 0 X 1095036 3452225 3135341 5653224 10404692 23740518 1095036 3452225 3135341 5653224 10404692 23740518 4829992 18910526 484 284 472 2320 7795 11355 1072 1072 23752945 2379931 0.79610 0.87890 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 290250 122360 167890 167890 X 13211638 1122497 1122497 12089141 0 12089141 8937956 1122497 1122497 7815459 0 7815459 PART X, LINE 2: FOR THE YEARS ENDED DECEMBER 31, 2015 AND 2014, WORLDREADER HAS DOCUMENTED ITS CONSIDERATION OF FASB ASC 740-10, INCOME TAXES, THAT PROVIDES GUIDANCE FOR REPORTING UNCERTAINTY IN INCOME TAXES AND HAS DETERMINED THAT NO MATERIAL UNCERTAIN TAX POSITIONS QUALIFY FOR EITHER RECOGNITION OR DISCLOSURE IN THE FINANCIAL STATEMENTS. THE FEDERAL FORM 990, RETURN OF ORGANIZATION EXEMPT FROM INCOME TAX, IS SUBJECT TO EXAMINATION BY THE INTERNAL REVENUE SERVICE, GENERALLY FOR THREE YEARS AFTER IT IS FILED. 1 EUROPE 0 0 GRANTS TO RECIPIENTS LOCATED IN REGION 1160247 SUB-SAHARAN AFRICA 0 0 GRANTS TO RECIPIENTS LOCATED IN REGION 205001 0 0 0 0 0 0 1365248 0 1365248 EUROPE GENERAL OPERATIONS, FUNDACION WORLD READER. 1160247 WIRE SUB-SAHARAN AFRICA GENERAL OPERATIONS, WORLDREADER GHANA. 148451 WIRE 56550 600 E-READERS & ACCESSORIES FMV 2 0 1 0 1 0 0 0 PART I, LINE 2: WORLDREADER GRANTS WENT TO FOREIGN AFFILIATES IN SPAIN AND GHANA. WORLDREADER REVIEWS THE FINANCIAL STATEMENTS OF THE AFFILIATE ENTITIES QUARTERLY AND CONTINUALLY MONITORS HOW GRANT FUNDS ARE SPENT. X 2366515 AVERAGE COST X 11 1116735 FMV X E-READER ACCESSORIES 6 308780 RETAIL VALUE 0 0 0 0 PART I, COLUMN (B): PART I, COLUMN B REPRESENTS THE NUMBER OF CONTRIBUTORS WHO PROVIDED CONTRIBUTIONS TO THE ORGANIZATION DURING THE YEAR. FORM 990, PART III, LINE 1: WORLDREADER IS A GLOBAL NON-PROFIT THAT USES TECHNOLOGY TO BRING DIGITAL BOOKS TO EVERY CHILD AND THEIR FAMILY, SO THEY CAN IMPROVE THEIR LIVES. IN ITS FIRST FIVE YEARS, WORLDREADER HAS REACHED 3,077,000 READERS IN 69 COUNTRIES WITH A DIGITAL LIBRARY OF 31,900 LOCAL AND INTERNATIONAL E-BOOKS VIA E-READERS AND MOBILE PHONES, AND PLANS TO REACH 15 MILLION READERS BY 2018. FOUNDED IN 2010 BY FORMER MICROSOFT AND AMAZON EXECUTIVE DAVID RISHER, AND FORMER MARKETING DIRECTOR AT BARCELONA'S ESADE BUSINESS SCHOOL COLIN MCELWEE, WORLDREADER WORKS WITH DEVICE MANUFACTURERS, LOCAL AND INTERNATIONAL PUBLISHERS, GOVERNMENTS, EDUCATION OFFICIALS, AND LOCAL COMMUNITIES TO BRING BOOKS TO ALL. FOR MORE INFORMATION ON WORLDREADER, PLEASE VISIT WWW.WORLDREADER.ORG. FORM 990, PART III, LINE 4A: WORLDREADER'S 3 LARGEST PROGRAM SERVICES ARE: - READ TO KIDS IS A 2-YEAR BEHAVIORAL AND CULTURAL CHANGE PROJECT IN NEW DELHI, INDIA, AIMED AT GETTING PARENTS AND CAREGIVERS TO READ TO THEIR YOUNG CHILDREN AGED 0 TO 6. THE VISION IS THAT THE CHILDREN'S PRE-LITERACY SKILLS AND SCHOOL READINESS WILL IMPROVE. THIS PROJECT IS A COLLABORATION WITH PEARSON PLC AND RESULTS FOR DEVELOPMENT, AS WELL AS CENTERS FOR KNOWLEDGE SOCIETY, KATHA, PRATHAM BOOKS, AND A NUMBER OF OTHER INDIA-BASED PARTNERS. - WORLDREADER HAS 132 EARLY READING PROJECTS THAT ENCOMPASS 281 SCHOOLS AND 34 LIBRARIES IN 13 SUB-SAHARAN AFRICAN COUNTRIES. STUDENTS IN WORLDREADER'S E-READER PROGRAM COULD READ 19-25 MORE CORRECT WORDS PER MINUTE AND THEIR READING COMPREHENSION DOUBLED IN THEIR MOTHER TONGUE AND ENGLISH AFTER 18 MONTHS IN WORLDREADER'S PROGRAM. IN ADDITION, ONE WORLDREADER PARTNER SCHOOL REPORTED A 18.7% INCREASE IN LITERACY PROFICIENCY IN ITS 6TH GRADE STUDENTS IN GHANA AS COMPARED TO CONTROL (PENCILS OF PROMISE QUARTERLY TRANSPARENCY REPORT Q1 2016). - THROUGH ITS LIFELONG READING PROGRAM, WORLDREADER ALLOWS INDIVIDUALS WITH MOBILE PHONES TO READ BOOKS FOR FREE. 3.6M PEOPLE HAVE TAKEN ADVANTAGE OF THIS SERVICE SO FAR. LIFELONG READERS INCLUDE YOUNG WOMEN WHO USE THE PRIVACY OF READING ON A SCREEN TO READ REPRODUCTIVE HEALTH MATERIALS WITHOUT STIGMA, POST-SECONDARY STUDENTS WHO WISH TO ACCESS INFORMATION THAT FURTHERS THEIR KNOWLEDGE, AND PEOPLE WHO WISH TO PICK UP A NOVEL SO THEY CAN BE INSPIRED OR ENTERTAINED. USING LOW-COST TECHNOLOGY, CULTURALLY RELEVANT DIGITAL LIBRARIES, AND A GLOBAL NETWORK OF CORPORATE AND NONPROFIT PARTNERS, WORLDREADER HELPS MILLIONS OF CHILDREN AND THEIR FAMILIES READ FOR THE FIRST TIME AND THROUGHOUT THEIR LIFETIME - ULTIMATELY WORKING TOWARDS A WORLD IN WHICH EVERYONE CAN BE A READER. FORM 990, PART VI, SECTION B, LINE 11 THE FORM 990 WAS PREPARED BY THE OUTSIDE ACCOUNTANTS AND REVIEWED BY THE FINANCE COMMITTEE. A COPY OF THE FINAL FORM 990 WAS PROVIDED TO THE FULL BOARD PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C ALL OFFICERS AND DIRECTORS ARE REQUIRED TO ANNUALLY SIGN THE CONFLICT OF INTEREST POLICY. IN CONNECTION WITH ANY ACTUAL OR POSSIBLE CONFLICT OF INTEREST, AN INTERESTED PERSON DISCLOSES THE EXISTENCE OF THE FINANCIAL INTEREST AND IS GIVEN THE OPPORTUNITY TO DISCLOSE ALL MATERIAL FACTS TO THE DIRECTORS AND MEMBERS OF COMMITTEES WITH GOVERNING BOARD DELEGATED POWERS CONSIDERING THE PROPOSED TRANSACTION OR ARRANGEMENT. AFTER DISCLOSURE OF THE FINANCIAL INTEREST AND ALL MATERIAL FACTS, AND AFTER ANY DISCUSSION WITH THE INTERESTED PERSON, HE/SHE LEAVES THE GOVERNING BOARD OR COMMITTEE MEETING WHILE THE DETERMINATION OF A CONFLICT OF INTEREST IS DISCUSSED AND VOTED UPON. THE REMAINING BOARD OR COMMITTEE MEMBERS DECIDE IF A CONFLICT OF INTEREST EXISTS. THE CHAIRPERSON OF THE GOVERNING BOARD OR COMMITTEE, IF APPROPRIATE, APPOINTS A DISINTERESTED PERSON OR COMMITTEE TO INVESTIGATE ALTERNATIVES TO THE PROPOSED TRANSACTION OR ARRANGEMENT. AFTER EXERCISING DUE DILIGENCE, THE GOVERNING BOARD OR COMMITTEE DETERMINE WHETHER THE ORGANIZATION CAN OBTAIN WITH REASONABLE EFFORTS A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT FROM A PERSON OR ENTITY THAT WOULD NOT GIVE RISE TO A CONFLICT OF INTEREST. IF A MORE ADVANTAGEOUS TRANSACTION OR ARRANGEMENT IS NOT REASONABLY POSSIBLE UNDER CIRCUMSTANCES NOT PRODUCING A CONFLICT OF INTEREST, THE GOVERNING BOARD OR COMMITTEE DETERMINE BY A MAJORITY VOTE OF THE DISINTERESTED DIRECTORS WHETHER THE TRANSACTION OR ARRANGEMENT IS IN THE ORGANIZATION'S BEST INTEREST, FOR ITS OWN BENEFIT, AND WHETHER IT IS FAIR AND REASONABLE. IN CONFORMITY WITH THE ABOVE DETERMINATION IT MAKE ITS DECISION AS TO WHETHER TO ENTER INTO THE TRANSACTION OR ARRANGEMENT. FORM 990, PART VI, SECTION B, LINE 15A WORLDREADER COMPENSATES ITS PRESIDENT/CEO AS OF 6/1/2015. WORLDREADER'S BOARD SET THE PRESIDENT/CEO'S COMPENSATION, USING EXTERNAL SALARY BENCHMARKING DATA AND DOCUMENTED ITS DELIBERATIONS AND CONCLUSIONS. COMPENSATION FOR ALL EMPLOYEES, INCLUDING SENIOR MANAGEMENT, IS SET BY THE PRESIDENT/CEO AS DETERMINED BY MARKET BASED PAY SCALES AND JOB LEVEL AND RESPONSIBILITY. THE BOARD DOES NOT DIRECTLY DETERMINE OR APPROVE EACH EMPLOYEE'S COMPENSATION, BUT DOES APPROVE THE BUDGET WHICH INCLUDES THESE SALARY FIGURES. THE LAST COMPENSATION REVIEW WAS PERFORMED IN JUNE 2015. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. THE FINANCIAL STATEMENTS ARE ALSO AVAILABLE THROUGH THE ORGANIZATION'S WEBSITE, WWW.WORLDREADER.ORG. FORM 990, PART VI, LINES 1A AND B: ON FORM 990, PART VI, LINES 1A AND B, WORLDREADER HAS INDICATED THAT TEN MEMBERS OF THE BOARD OF DIRECTORS ARE INDEPENDENT. THIS CONCLUSION IS CONSISTENT WITH THE FORM 990 INSTRUCTIONS FOR THESE LINES. IN THE SPIRIT OF TRANSPARENCY, WORLDREADER WISHES TO PROVIDE ADDITIONAL INFORMATION REGARDING ONE OF THE MEMBERS OF THE BOARD OF DIRECTORS THAT IT FEELS IS IMPORTANT TO THE READER OF FORM 990. ONE OF THE DIRECTORS, COLIN MCELWEE PLAYS A SIGNIFICANT ROLE IN THE EXERCISE OF THE ORGANIZATION'S EXEMPT FUNCTION. COLIN MCELWEE IS A FULL-TIME, PAID EMPLOYEE OF FUNDACION WORLDREADER, A SPANISH ENTITY THAT RECEIVES A MAJORITY OF ITS FUNDING FROM WORLDREADER. HE IS ALSO REPORTED ON FORM 990 PART VII AS BOTH A MEMBER OF THE BOARD AND AN OFFICER OF THE ORGANIZATION. FUNDACION WORLDREADER IS NOT A RELATED ORGANIZATION UNDER THE DEFINITION PROVIDED IN THE FORM 990 INSTRUCTIONS; HOWEVER, IT IS AN ORGANIZATION WITH WHICH WORLDREADER HAS A CLOSE WORKING RELATIONSHIP. IF FUNDACION WORLDREADER WAS CONSIDERED A RELATED ORGANIZATION, MR. MCELWEE WOULD NOT BE CONSIDERED INDEPENDENT.