2014-08-15T13:37:07-05:00 2013-12-31 521392008 GELMAN ROSENBERG & FREEDMAN 4550 MONTGOMERY AVE SUITE 650N BETHESDA MD 208142930 990 2013-01-01 272092468 WORLDREADERORG WORL 2065886057 C/O BRIGHTON JONES LLC 2030 1ST AVENUE NO 300 SEATTLE WA 98121 JOHN DAVID RISHER PRESIDENT & CEO 2065886057 2014-08-18 1 3019519090 2013 2015-11-30 17:44:51Z X JOHN DAVID RISHER C/O BRIGHTON JONES LLC 2030 1ST AVENUE NO SEATTLE WA 98121 3382569 0 X WWW.WORLDREADER.ORG X 2010 WA SEE PART III, LINE 1. 8 8 11 17 0 0 3452225 3135341 199499 246756 284 472 0 0 3652008 3382569 620861 950157 0 0 252369 546592 0 0 151336 1893480 2276594 2766710 3773343 885298 -390774 1321534 972897 3063 45200 1318471 927697 X SEE SCHEDULE O FOR DETAIL 0 0 3454087 950157 246756 AS OF DECEMBER OF 2013, WORLDREADER HAS DISTRIBUTED OVER 944,000 BOOKS TO OVER 13,000 CHILDREN AND TEACHERS IN NINE AFRICAN COUNTRIES THROUGH E-READER PROGRAMS. WORLDREADER REGULARLY PUBLISHES IMPACT RESULTS, AND CURRENTLY HAS DEEP MEASUREMENT AND EVALUATION ACTIVITIES ONGOING IN OVER 20 CLASSROOMS IN GHANA AND KENYA. EARLY RESULTS FROM WORLDREADER'S IREAD PROGRAM IN GHANA SHOWED A DRAMATIC INCREASE IN CHILDREN'S ACCESS TO BOOKS (FROM OWNING 3 BOOKS TO ACCESS TO 107), INCREASED PERFORMANCE ON STANDARDIZED TESTS (CHILDREN SCORED UP TO 135 POINTS HIGHER ON READING COMPREHENSION) AN INCREASED ENTHUSIASM TOWARD READING (STUDENTS DOWNLOADED OVER 6,000 ADDITIONAL FREE BOOKS.) (SEE SCHEDULE O FOR ADDITIONAL DETAIL) 3454087 1 1 0 0 0 0 0 0 0 0 0 0 0 1 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 8 0 1 11 1 0 0 0 0 0 0 0 0 0 0 X 8 8 0 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 0 0 0 WA CA NY X X X HEIDI WILLIAMS 2065886057 C/O BRIGHTON JONES LLC 506 2ND SEATTLE WA 98121 JOHN DAVID RISHER SEE SCHED O PRESIDENT & CEO 40.00 X X 0 0 0 COLIN MCELWEE VICE PRESIDENT & SECRETARY 1.00 X X 0 0 0 CHARLES BRIGHTON BOARD DIRECTOR 1.00 X 0 0 0 JENNY SHILLING STEIN BOARD DIRECTOR (FROM 10/13) 1.00 X 0 0 0 PETER SPIRO BOARD DIRECTOR 1.00 X 0 0 0 HARRISON MILLER BOARD DIRECTOR 1.00 X 0 0 0 SUE SANDERSON BOARD DIRECTOR 1.00 X 0 0 0 KARTIK RAGHAVAN BOARD DIRECTOR 1.00 X 0 0 0 ANNE MARIE BURGOYNE BOARD DIRECTOR (UNTIL 10/13) 1.00 X 0 0 0 HEIDI WILLIAMS DIRECTOR, FINANCE & CONTROL 40.00 X 38333 0 0 38333 0 0 0 0 0 0 0 3135341 1903096 3135341 PROGRAM INCOME 900099 246756 246756 246756 472 472 3382569 246756 0 472 950157 950157 38333 38333 447541 324325 2269 120947 22764 15195 1902 5667 37954 25334 3172 9448 1833 1191 642 13500 8769 4731 32772 5526 27246 88184 73189 12334 2661 61369 50645 193 10531 177850 129276 46512 2062 2162 1645 513 4 READING DEVICES/CONTENT 1857616 1857616 FACILITIES & EQUIPMENT 32568 4570 27998 CREDIT CARD FEES 7465 5679 1772 14 REGISTRATION FEES 1206 917 287 2 69 53 16 3773343 3454087 167920 151336 23521 46187 310272 685625 876224 174386 4717 10594 3852 106800 52253 1321534 972897 3063 45200 3063 45200 X 474956 427772 843515 499925 1318471 927697 1321534 972897 -390774 0 X 0 1 X 1 0 X 196394 1095036 3452225 3135341 7878996 196394 1095036 3452225 3135341 7878996 1751290 6127706 160 484 284 472 1400 7880396 448475 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 ADVANCE TO AFFILIATES 52253 52253 X 3417022 34453 34453 3382569 0 3382569 3807796 34453 34453 3773343 0 3773343 PART X, LINE 2: FOR THE YEAR ENDED DECEMBER 31, 2013, 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. 1 EUROPE 0 0 GRANTS TO RECIPIENTS LOCATED IN REGION 826112 SUB-SAHARAN AFRICA 0 0 GRANTS TO RECIPIENTS LOCATED IN REGION 124045 0 0 0 0 0 0 950157 0 950157 EUROPE (INCLUDING ICELAND & GREENLAND) GENERAL OPERATIONS OF FUNDACION WORLDREADER 826112 WIRE SUB-SAHARAN AFRICA WORLDREADER GHANA, IREAD PROJECT 124045 KINDLES AND CASES FMV 2 0 1 0 0 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 1029039 AVERAGE COST X 2 512026 FMV X E-READER ACCE 3 362031 RETAIL PRICE 0 0 0 0 PART I, COLUMN (B): THE NUMBERS REPORTED IN COLUMN (B) REPRESENT THE NUMBER OF CONTRIBUTIONS. FORM 990, PART III, LINE 1: THE MISSION OF WORLDREADER IS TO ERADICATE ILLITERACY BY DELIVERING THE LARGEST CULTURALLY RELEVANT LIBRARY OF E-BOOKS TO PEOPLE IN LOW-INCOME COUNTRIES - DIGITALLY AND INEXPENSIVELY. WITH ITS SPAIN-BASED AFFILIATE, FUNDACION WORLDREADER.ORG, WORLDREADER.ORG WORKS WITH SCHOOLS, LIBRARIES, COMMUNITIES AND PUBLISHERS TO BRING DIGITAL BOOKS TO CHILDREN AND THEIR FAMILIES IN THE DEVELOPING WORLD. FORM 990, PART III, LINE 4A: IN 2013, WE PARTNERED WITH CHARITABLE ORGANIZATIONS TO BRING WORLDREADER PROGRAMS TO 52 SCHOOLS IN GHANA, KENYA, TANZANIA, ETHIOPIA, UGANDA, MALAWI, ZAMBIA, SOUTH AFRICA AND ZIMBABWE INCLUDING A PROJECT WITH THE UN REFUGEE AGENCY (UNHCR) TO DELIVER 30,000 E-BOOKS TO STUDENTS AND FAMILIES IN TWO REFUGEE SETTLEMENTS IN WESTERN TANZANIA. IN PARTNERSHIP WITH THE BILL AND MELINDA GATES FOUNDATION, WE IMPLEMENTED OUR FIRST E-READER PROGRAMS IN EIGHT LIBRARIES IN KENYA. IN PARTNERSHIP WITH NOKIA AND UNESCO, WORLDREADER COMPLETED A ONE-YEAR RESEARCH PROJECT WHOSE GOAL IS TO PROMOTE MOBILE READING AND ENSURE THAT NEW TOOLS ARE USED TO ADVANCE LITERACY AND LEARNING IN COUNTRIES THAT FACE CHRONIC BOOK SHORTAGES. THE REPORT ISSUED IN APRIL 2014. MILLIONS OF PEOPLE IN THE DEVELOPING WORLD HAVE ACCESS TO A LIBRARY OF BOOKS USING A DEVICE THEY ALREADY OWN: THEIR MOBILE PHONE. WITH ITS APPLICATION FOR FEATURE AND ANDROID PHONES, WORLDREADER HAS REACHED 335,000 READERS EACH MONTH WITH A LIBRARY OF NEARLY 3000 BOOKS IN 23 LANGUAGES. 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 15 WORLDREADER CURRENTLY DOES NOT COMPENSATE ITS PRESIDENT/CEO. IF IN THE FUTURE THE PRESIDENT/CEO IS COMPENSATED, WORLDREADER'S BOARD OR A COMMITTEE THEREOF, WILL SET THE PRESIDENT/CEO'S COMPENSATION, USING COMPARABLE DATA AND WILL DOCUMENT 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 JULY, 2013. 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 ALL 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 TWO OF THE MEMBERS OF THE BOARD OF DIRECTORS THAT IT FEELS IS IMPORTANT TO THE READER OF FORM 990. TWO OF THE DIRECTORS, DAVID RISHER AND COLIN MCELWEE PLAY A SIGNIFICANT ROLE IN THE EXERCISE OF THE ORGANIZATION'S EXEMPT FUNCTION. DAVID RISHER IS A FULL-TIME, NON-COMPENSATED PRESIDENT AND CEO. HE IS REPORTED ON FORM 990 PART VII AS BOTH A MEMBER OF THE BOARD AND AN OFFICER OF THE ORGANIZATION. IF MR. RISHER RECEIVED COMPENSATION FROM WORLDREADER OR A RELATED PARTY FOR HIS ROLE AS PRESIDENT AND CEO, HE WOULD NOT BE CONSIDERED INDEPENDENT. 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. FORM 990, PART VII, SECTION A: THE DAY-TO-DAY AFFAIRS OF THE ORGANIZATION ARE RUN BY A NON-COMPENSATED PRESIDENT & CEO.