2013-05-10T09:16:47-05:00 2012-06-30 861065772 Deloitte Tax LLP 111 Monument Circle Suite 2000 Indianapolis IN 462045108 990 2011-07-01 356018940 Indiana University Foundation INDI 8128558311 PO Box 500 Bloomington IN 47402 Daniel Smith 8128558311 2013-05-01 1 Shawna M Jimenez P01222873 3174648600 2011 2016-02-25 16:41:14Z Daniel Smith PO Box 500 Bloomington IN 47402 4219978331 0 X www.iuf.indiana.edu X 1936 IN To maximize philanthropic support for Indiana University 21 19 765 1400 -210910 -621813 103770772 123927952 21248285 22093963 616010889 120831391 10170743 7868865 751200689 274722171 102173548 107057090 0 0 16591532 17201844 0 0 16680715 26710817 27405846 145475897 151664780 605724792 123057391 2054874726 2105534426 313266761 375453761 1741607965 1730080665 The mission of the Indiana University Foundation is to inspire donors to invest in Indiana University's power to transform lives and better the state, nation and world. 0 0 107057090 107057090 13391544 In accordance with the stated donor intent, IUF provides grants, scholarships, awards, Endowed Chairs & Professorships, fellowships, etc to members of the IU community. 16903106 14568862 IUF is responsible for the investment and management of funds raised for the benefit of IU. 123960196 1 1 0 0 0 0 1 0 0 1 1 1 0 0 1 1 1 0 0 0 1 0 0 0 1 0 0 1 1 1 0 0 0 0 1 0 1 0 1 0 0 0 0 1 1 1 0 0 1 419 0 1 765 1 1 1 0 0 0 0 1 1 1 6 0 0 0 X 21 19 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 CA IN AK AZ CO DC KY MA MD ME MI MN NH NJ NY OH OR SC UT WA WV WI X Gina M Reel CPA 8128558311 PO Box 500 Bloomington IN 47402 Eugene R Tempel 40.00 X X 373253 0 53525 Kathryn E Booth 0.00 X 0 0 0 William P Carmichael 0.00 X 0 0 0 Alecia A DeCoudreaux 0.00 X 0 0 0 Clarence H Doninger 0.00 X 0 0 0 David G Elmore 0.00 X 0 0 0 Jean A Ford 0.00 X 0 0 0 Richard E Ford 0.00 X 0 0 0 Ezra H Friedlander 0.00 X 0 0 0 Jack M Gill 0.00 X 0 0 0 Moses W Gray 0.00 X 0 0 0 Ann L Harrison 0.00 X 0 0 0 Steven H Henke 0.00 X 0 0 0 Adam W Herbert Jr 0.00 X 0 0 0 Jay B Hunt 0.00 X 0 0 0 V William Hunt 0.00 X 0 0 0 David H Jacobs Jr 0.00 X 0 0 0 Robert W Lanum 0.00 X 0 0 0 Dale Ellen Leff 0.00 X 0 0 0 Jane H Martin 0.00 X 0 0 0 William G Mays 0.00 X 0 0 0 Patricia Miller 0.00 X 0 0 0 Randall C Morgan Jr 0.00 X 0 0 0 Norman E Pfau Jr 0.00 X 0 0 0 Lynn E Reichle 0.00 X 0 0 0 Thomas D Rush 0.00 X 0 0 0 Scott C Schurz 0.00 X 0 0 0 Richard C Searles 0.00 X 0 0 0 Patrick A Shoulders 0.00 X 0 0 0 Cynthia Simon Skjodt 0.00 X 0 0 0 Julie Inskeep 0.00 X 0 0 0 James Sinclair 0.00 X 0 0 0 Fred Steingraber 0.00 X 0 0 0 Milton R Stewart 0.00 X 0 0 0 Stephen A Stitle 0.00 X 0 0 0 Gregg T Summerville 0.00 X 0 0 0 W Michael Wells 0.00 X 0 0 0 Desmond C Wong 0.00 X 0 0 0 Richard E Woosnam 0.00 X X 0 0 0 S Sue Aramian 0.00 X 0 0 0 Glenn L Banks 0.00 X 0 0 0 Richards D Barger 0.00 X 0 0 0 Clarence W Boone Sr 0.00 X 0 0 0 Bill C Brown 0.00 X 0 0 0 Gayle K Cook 0.00 X 0 0 0 James W Cozad 0.00 X 0 0 0 Donald C Danielson 0.00 X 0 0 0 Don B Earnhart 0.00 X 0 0 0 Ellen C Gignilliat 0.00 X 0 0 0 Alan B Gilman 0.00 X 0 0 0 Lawrence D Glaubinger 0.00 X 0 0 0 John F Kimberling 0.00 X 0 0 0 PA Mack Jr 0.00 X 0 0 0 Robert H McKinney 0.00 X 0 0 0 Joseph T Morrow 0.00 X 0 0 0 John D Peterson Jr 0.00 X 0 0 0 Ernestine M Raclin 0.00 X 0 0 0 J Fred Risk 0.00 X 0 0 0 James R Hodge 0.00 X 0 0 0 Robert A Borns 0.00 X 0 0 0 Thomas Ehrlich 0.00 X 0 0 0 Fredrick F Eichhorn Jr 0.00 X 0 0 0 Harry L Gonso 0.00 X X 0 0 0 Charles E Lanham 0.00 X 0 0 0 Thomas M Lofton 0.00 X 0 0 0 Phyllis E McCullough 0.00 X 0 0 0 James T Morris 0.00 X 0 0 0 Georgette Mosbacher 0.00 X 0 0 0 Frank P Popoff 0.00 X 0 0 0 Jill S Ruckelshaus 0.00 X 0 0 0 Marianne W Tobias 0.00 X 0 0 0 John D Walda 0.00 X 0 0 0 John Shoemaker 0.00 X 0 0 0 Sandra E Laney 0.00 X 0 0 0 Gary J Anderson 0.00 X 0 0 0 Lacy M Johnson 0.00 X 0 0 0 Michael McRobbie 0.00 X X 0 0 0 Michael D Shumate 0.00 X 0 0 0 Stephen R Springer 0.00 X 0 0 0 Randall L Tobias 0.00 X 0 0 0 William Cast 0.00 X 0 0 0 Thomas E Reilly Jr 0.00 X 0 0 0 William Buckner 0.00 X 0 0 0 Jeffrey Fettig 0.00 X 0 0 0 Alan Graf Jr 0.00 X 0 0 0 Rick Johnson 0.00 X 0 0 0 Louis Jordan 0.00 X 0 0 0 Kathleen Ligocki 0.00 X 0 0 0 Rose Mays 0.00 X 0 0 0 Glen Scolnik 0.00 X 0 0 0 Randolph Seger 0.00 X 0 0 0 Margaret Watanabe 0.00 X 0 0 0 Robert Zerbe 0.00 X 0 0 0 James P Perin thru June 2012 40.00 X 655098 0 64177 Gina M Reel 40.00 X 136190 0 25428 Philippa Guthrie 40.00 X 189315 0 29907 Karen Pieper 40.00 X 78035 0 23971 Gary Stratten 40.00 X 273889 0 69025 Steven A Martin 0.00 X 0 0 0 Marti Heil 40.00 X 278637 0 41743 Paula Jenkins 40.00 X 150110 0 26006 Dorothy Metaj 40.00 X 220468 0 38298 Chris Ritrievi 40.00 X 169526 0 36891 Jeffrey D Stumpffrom 61412 40.00 X 0 0 0 Eileen Savage 40.00 X 151092 0 31577 Jeff Lindauer 40.00 X 154074 0 24970 Curt Simic 40.00 X 299783 0 9744 Mary Bonk 40.00 X 138698 0 29565 Sheila Decker 40.00 X 131970 0 39108 John Keith 40.00 X 146693 0 31513 Laurie McRobbie 40.00 X 138106 0 21513 Sandra Bate 40.00 X 142062 0 25731 3826999 0 622692 24 0 1 0 Cambridge Associates PO Box 83232 Chicago IL 60691 Investment Consultant 2328972 Alliance Bernstein LP PO Box 7247-7497 Philadelphia PA 19170 Investment Manager 844561 Champlain Investment Partners 346 Shelburne Road 6th Floor Burlington VT 05401 Investment Manager 492214 Snyder Capital Management One Market Plaza Steuart Tower Su San Francisco CA 94105 Investment Manager 473085 Templeton Investment Management Counsel 500 E Broward Blvd Suite 2100 Fort Lauderdale FL 33394 Investment Manager 459572 10 8357 123919595 6202106 123927952 Management Fees 900099 14568862 14568862 Dev Service Fee 900099 4923219 4923219 Other Income 900099 1615523 1488150 127373 Telefund Service Fee 900099 986359 986359 22093963 10073352 10073352 2159710 2159710 4635336 2342581 2292755 2292755 2292755 4053198479 3942440440 110758039 110758039 110758039 526761 8357 473139 53622 53622 Other Income 900099 3573688 3573688 Income/Loss from K-1's 525990 -210910 -210910 3362778 274722171 27833033 -210910 123172096 107034590 107034590 22500 22500 3604730 1434350 2170380 8866550 3528069 5338481 1246550 496012 750538 2568837 1022160 1546677 915177 364156 551021 438564 174508 264056 114074 45391 68683 149841 59623 90218 722134 287343 434791 48123 19149 28974 1605668 638908 966760 509657 202796 306861 983583 391375 592208 1513621 602282 911339 229325 91250 138075 360549 143465 217084 269679 107307 162372 359478 143039 216439 Investment Mgmt Fees 16903106 16903106 Other Expenses 3198444 1272686 1925758 151664780 123960196 11023869 16680715 205497810 258009174 152765209 152822848 18234940 80824611 722006 695381 94078792 19195818 69411631 74882974 852960968 778969099 755282162 759330339 2054874726 2105534426 4646159 72449172 4110499 3980657 304510103 299023932 313266761 375453761 X 35243235 37357478 693053391 699881789 1013311339 992841398 1741607965 1730080665 2054874726 2105534426 X 123057391 -134584691 X 0 1 1 X 0 X 245955535 121323055 216728663 103770772 123927952 811705977 245955535 121323055 216728663 103770772 123927952 811705977 186925898 624780079 21080340 15752521 29218714 14771479 16868398 97691452 7655971 2285096 5178962 6033947 3573688 24727664 934125093 115414468 0.66880 0.67810 X Schedule A, Part IV, Supplemental Information: Schedule A, Part II, Line 10, Explanation for Other Income: 2007 Misc Income $7,655,971 2008 Misc Income $2,285,096 2009 Misc Income $5,178,962 2010 Misc Income $6,033,947 2011 Misc Income $3,573,688 RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED X 1 0.00 1 1 0 1 0 10.00 0 1 1440185795 79964190 -29939636 -73025751 1417184598 1196764277 78230329 231623300 -66432111 1440185795 1115937927 107663394 47307981 -74145025 1196764277 1422762970 59647302 -299258770 -67213575 1115937927 0.01700 0.62500 0.35800 0 0 19678883 19630139 39309022 48092550 14657639 33434911 77432 26884 50548 4303635 2810447 1493188 2296153 1700848 595305 74882974 Institutional Funds, Cash and Equiv & Commercial Paper 8391823 F Private Equity 750938516 F 759330339 Accumulated Trust Liability 33570190 Collateral Under Securities Lending Agreement 53597169 Due to Indiana University 198080430 Assets Held for University Affiliates 13776143 299023932 274722171 151664780 123057391 -132329130 -2255561 -134584691 -11527300 128516565 -132329130 2815720 -129513410 258029975 16692196 16692196 274722171 140043865 2815720 2815720 137228145 14436635 14436635 151664780 Description of How Organization Reports Conservation Easements: Part II, Line 9: IUF reports its conservation easement on the income statement consistent with treatment for ordinary revenues and expenses on the financial statements. The building with the historical easement is being reported on the balance sheet at cost and is being depreciated over the life of the building. Part XI, Line 8 - Other Adjustments: Change in Value of Split Interest Agreement -2,466,471. Income/Loss from K-1's 210,910. Total to Schedule D, Part XI, Line 8: -2,255,561. Part XII Line 2d Detail: Part XII Line 4b Detail: Rental Expense $2,342,581 Management Fees $16,903,106 Fundraising Event Exp $473,139 Income/Loss from K-1's ($210,910) Part XIII Line 2d Detail: Part XIII Line 4b Detail: Rental Expense $2,342,581 Management Fee $16,903,106 Fundrais. Event Exp. $473,139 Chng in Val Split Int ($2,466,471) Schedule D, Part X, Line 2 explanation: Financial Accounting Standards Board (FASB) ASC 740-10 (formerly known as FASB Interpretation No. 48, Accounting for Uncertainty in Income Taxes), prescribes a comprehensive model for how an organization should measure, recognize, present, and disclose in its financial statements uncertain tax positions that an organization has taken or expects to take on a tax return. The Foundation is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any tax periods in progress. The Foundation believes it is no longer subject to income tax examinations for years prior to 2009. As of June 30, 2012 the Foundation has no uncertain tax positions. Central America and the Caribbean Investment 269387136 Europe (Including Iceland & Greenland) Investment 19004916 South Asia Fundraising 11200 Europe (Including Iceland & Greenland) Fundraising 32500 East Asia and the Pacific Fundraising 31400 0 0 0 0 0 0 288467152 0 288467152 1 0 1 1 1 0 Part I, Line 3: The foreign activities that the Indiana University Foundation has been able to reasonably identify for either direct or indirect (thru reimbursement) support have been listed in Schedule F. The Indiana University Foundation exists to support the activities of Indiana University. There are activities supported by Indiana University, both domestic and foreign, that are reimbursed from IUF accounts. The Indiana University Foundation does not have a feasible means to determine if expenses reimbursed to Indiana University are foreign or domestic in nature. Appropriate due diligence has been taken to identify those which may be reportable. Little 500 Races 499422 4494 494928 0 31188 102177 301704 Armstrong Memorial Golf Outing 15330 3863 11467 15185 2 20366 20366 3583 19302 535118 8357 526761 34771 102177 336191 473139 53622 1 Indiana University 401 E 7th Street Bloomington IN 47405 356001673 501(c)(3) 33469453 University Support Indiana University 401 E 7th Street Bloomington IN 47405 356001673 501(c)(3) 33003494 Student Scholarship and Financial Aid Indiana University 401 E 7th Street Bloomington IN 47405 356001673 501(c)(3) 22409432 Faculty Support & Research Indiana University 401 E 7th Street Bloomington IN 47405 356001673 501(c)(3) 17872211 Endowment and Capital Additions Brown County Community Foundation 91 W Mound St Nashville IN 47448 351960379 501(c)(3) 280000 Professional Appraisal Brown County Playhouse Transfer of the Brown County Playhouse to the Brown County Community Foundation 2 0 Scholarships, general 4 22500 Procedure for Monitoring Grants in the U.S.: Part I, Line 2: Schedule I, Part I, Line 2: The grant and assistance payments are verified with internal documents to ensure donor intent and criteria have been met before the payments are made. X X X X X 1 1 X X X 0 1 0 1 0 0 0 0 0 Eugene R Tempel 294122 0 0 0 79131 0 31410 0 22115 0 426778 0 0 0 James P Perin thru June 2012 221152 0 0 0 433946 0 38007 0 26170 0 719275 0 0 0 Gina M Reel 134561 0 0 0 1629 0 14999 0 10429 0 161618 0 0 0 Philippa Guthrie 176177 0 0 0 13138 0 21087 0 8820 0 219222 0 0 0 Gary Stratten 208299 0 52272 0 13318 0 41410 0 27615 0 342914 0 0 0 Marti Heil 260075 0 0 0 18562 0 31410 0 10333 0 320380 0 0 0 Paula Jenkins 130868 0 0 0 19242 0 14355 0 11651 0 176116 0 0 0 Dorothy Metaj 204568 0 0 0 15900 0 25717 0 12581 0 258766 0 0 0 Chris Ritrievi 156560 0 0 0 12966 0 18814 0 18077 0 206417 0 0 0 Eileen Savage 149313 0 0 0 1779 0 17287 0 14290 0 182669 0 0 0 Jeff Lindauer 152445 0 0 0 1629 0 17677 0 7293 0 179044 0 0 0 Curt Simic 160949 0 0 0 138834 0 0 0 9744 0 309527 0 0 0 Mary Bonk 136706 0 0 0 1992 0 15486 0 14079 0 168263 0 0 0 Sheila Decker 130341 0 0 0 1629 0 14771 0 24337 0 171078 0 0 0 John Keith 145064 0 0 0 1629 0 17287 0 14226 0 178206 0 0 0 Laurie McRobbie 132725 0 0 0 5381 0 14569 0 6944 0 159619 0 0 0 Sandra Bate 140283 0 0 0 1779 0 16082 0 9649 0 167793 0 0 0 Part I, Line 1a First Class or charter travel: The Indiana University Foundation maintains a policy governing all business expenses including travel. Should a business need (e.g. length of flight time, security concerns, lack of commercial air options) require the use of first class or charter travel, the IU Foundation Board of Directors have authorized the IU Foundation CEO to approve its use. Chartered travel was provided to IUF Chairman of the Board; VP for Development; Associate to the President of IU; Senior VP - Development; President and CEO; Associate VP, Development; VP for Development, Regional Campuses; and one IUF Non-Fiduciary Director. These costs were not treated as taxable income because the travel was business related. In all cases first class and charter travel is considered in the Foundation's efforts to ensure compliance with the intermediate sanctions law. Travel for Companions: The Indiana University Foundation maintains a policy governing all business expenses which prohibits companion related expenses except for the specifically defined role of Associate to the IU Foundation President. The duties of this position, which are outlined in a formal policy and support the organization's mission, are fulfilled by the IUF President & CEO's spouse. The Associate to the IU Foundation President incurs business related expenses on behalf of IUF and those amounts are not treated as taxable. In all cases travel for companions is considered in the Foundation's efforts to ensure compliance with the intermediate sanctions law. Tax indemnification and gross-up payments: Tax indemnification and gross-up payments are only paid to staff in limited circumstances, and must be approved in accordance with Indiana University Foundation policies governing these types of payments. In the case of disqualified persons, indemnification payments are considered in the Foundation's efforts to ensure compliance with the intermediate sanctions law. At least annually, the expenses incurred by all employees are reviewed to ensure appropriate taxation and reporting. Gross-up payments are established taking into account an estimated tax rate. However, employees receiving the payment are not grossed up for actual taxes incurred. The following gross-up payments were provided in 2011 in connection with the following items, and in all cases were treated as taxable income to the recipient: With the approval by the IUF Chief Financial Officer: *a wireless communication allowance for cell phone and data services is made available to those staff who demonstrate a business purpose for these types of payments such as staff who have need to have access via cell and data communication and information after hours. During 2011 seventy-five(75) employees received a wireless communication allowance. With the approval of the IUF Board of Directors: *allowances are made available to the IU Foundation President & CEO for housing, long-term disability, and supplemental retirement payments to provide future retirement restoration. *allowances for vehicles are made available to Vice Presidents, Senior Vice Presidents, and the President & CEO of the IU Foundation. Housing allowance or residence for personal use: Upon approval by the IUF Board of Directors, the Indiana University Foundation provides a housing allowance and leases a residence to the IUF President & CEO. The lease is an arm's length transaction and is at market rates. The housing allowance is treated as income and taxed accordingly. The residence is also utilized for various Indiana University and IU Foundation business related functions and receptions. Housing allowance is considered in the Foundation's efforts to ensure compliance with the intermediate sanctions law. Health or social club dues or initiation fees: The Indiana University Foundation maintains a policy governing all business expenses including payment of club dues. Generally, health or social club dues and fees are not permitted but may be authorized for certain executive level managers by the IUF Board of Directors. Club memberships that have been authorized are the IUF President & CEO's membership in the University Faculty Club and the Rotary Club of Indianapolis. These dues were not treated as taxable income due to the business nature of the membership. Social club dues are considered in the Foundation's efforts to ensure compliance with the intermediate sanctions law. Part I, Line 4b Part I, Line 4b: All employees and amounts listed are company contributions to various non-qualified deferred compensation plans organized under code section 457(f). The exact purpose of each plan varies but they include, compensation limitation make-up plans, deferral of a portion of incentive bonus type plans and other attributes of a deferred compensation plan. James Perin $417,085 Curtis Simic $129,864 Part I, Line 5 The Indiana University Foundation Incentive Compensation Plan is available to key personnel in the Investment Department. The primary goal of the plan is retention of key investment staff whom are responsible for helping the IU Foundation to achieve top quartile investment performance relative to its peers while reducing the volatility of performance over time. This plan is based on the theory of true value of dollars added by staff over an appropriate benchmark, IUF's Target Weighted Benchmark, and over a three year period. The calculation of amount of bonus to pay is based on a formula similar to the industry standard and provides for a cap as a percentage of salary. This plan was developed and recommended by the Investment Committee of the IUF Board of Directors and approved by the Compensation Committee. Academic Scholarship Family member of Director Scholarship Laurie McRobbie See Part V 159619 Employment 0 Schedule L,Part IV,Business Transactions Involving Interested Persons: Relationship between interested person and the organization: (a) Name of Interested Person: Laurie McRobbie(b) Relationship Between Interested Person and the Organization: Wife of Michael McRobbie, IUF Chairman of IUF Board(c) Amount of Transaction: $159,619(d) Description of Transaction: Employment(e) Sharing of organization's revenues? No X 574 Cost X 515 5765085 Listed Values X 2 423600 Professional Appraisals X 6 3115 Opinion of Expert X 3 2718 Cost X Gift Cards/Tickets 21 3765 Face Value X Musical Instruments 1 3250 Opinion of Expert 31 0 1 1 Third Party Use: Part I, Line 32b: IUF hires Realtors and Auctioneers to assist with selling donated items. Form 990, Part VI, Section A, line 2 John Peterson, IUF Non Fiduciary Director, and Donald Danielson, IUF Non Fiduciary Director, are Chairman and Vice-Chairman of City Securities Corp, respectively. Additionally, John Peterson and Donald Danielson are brothers-in-law. Gayle Cook, IUF Non Fiduciary Director and Phyllis McCullough, IUF Honorary Director, are Co-Owner and Executive Vice Chairman, respectively, of Cook Group, Inc. Michael McRobbie, Board Chair, Thomas Reilly, Jr., IUF Fiduciary Director and James T. Morris, IUF Non Fiduciary Director are directors of OneAmerica Financial Partners, Inc. Lacy M. Johnson, IUF Non Fiduciary Director and Harry L. Gonso, IUF Vice Chairman are partners at Ice Miller, LLP. Form 990, Part VI, Section B, line 11 The Form 990 is completed by Indiana University Foundation staff. A management team comprised of the Senior Vice President for Finance and Operations; Vice President and General Counsel; Assistant Vice President and Controller for Finance; Vice President and Chief Investment Officer; Assistant Vice President and Chief Compliance Officer; Director, Investment & Tax Accounting; and Chief of Staff review the Form 990 including all schedules line by line to determine accuracy and validity. The Indiana University Foundation engages an independent accounting firm to review the Form 990. The President & CEO then reviews and signs the Form 990 and the independent accounting firm signs as preparer. The Indiana University Foundation Audit Committee reviews the completed Form 990, including all schedules. Once signed, an electronic version of the Form 990 is made available to the Indiana University Foundation Board of Directors via the internet. The Form 990 is then filed electronically with the IRS. Form 990, Part VI, Section B, line 12c Each July, the Indiana University Foundation provides a copy of its Conflicts of Interest Policy to all directors and officers. Directors and officers are required to read and comply with the policy which requires, at a minimum, annually disclosing the existence or non-existence of any conflicts of interest, real or perceived, in writing to the Indiana University Foundation Corporate Secretary. The disclosures are reviewed by Indiana University Foundation staff including the Senior Vice President for Finance and Operations; Vice President and General Counsel; Vice President and Chief Investment Officer; Corporate Secretary; Assistant Vice President and Chief Compliance Officer; and the Executive Director, Real Estate to determine validity and completeness based on staff knowledge of Indiana University Foundation activities and transactions. The results of this review, along with every disclosure in its entirety, are provided to the Indiana University Foundation Audit Committee Chair and Vice Chair. A report is then made by the Audit Committee Chair to the full Audit Committee. When applicable, the Audit Committee Chair will also report any disclosure requiring action to the Indiana University Foundation nominating and executive committees. When applicable, the Audit Committee Chair will also report any disclosure requiring action to the Indiana University Foundation Board and all relevant Board committees. In addition to the Conflicts of Interest Policy, each July the Indiana University Foundation provides a background survey and a request for information for Form 990 disclosures to all officers and directors. As with the Conflicts of Interest, disclosures related to the survey and Form 990 are reviewed by staff and provided verbatim to the Indiana University Foundation Audit Committee Chair and Vice Chair. A report is then made by the Audit Committee Chair to the full Audit Committee. When applicable, the Audit Committee Chair will also report any disclosure requiring action to the Indiana University Foundation nominating and executive committees. When applicable, the Audit Committee Chair will also report any disclosure requiring action to the Indiana University Foundation Board and all relevant Board committees. Form 990, Part VI, Section B, line 15 Each June, the Indiana University Foundation Compensation Committee approves the compensation arrangements for disqualified persons in accordance with IRS regulation section 53.4958-6 "Rebuttable presumption that a transaction is not an excess benefit transaction". Individuals defined as disqualified persons who receive compensation from the Indiana University Foundation include: the President & Chief Executive Officer; Senior Vice President for Finance and Operations; Senior Vice President for Development; Vice President and Chief Investment Officer; Vice President for Development, Regional Campuses; Vice President and General Counsel; Assistant Vice President and Controller for Finance; Corporate Secretary; Vice President for Development, Indianapolis; IU Foundation President Emeritus; and the Indiana University Associate to the President. The compensation arrangement for each individual is approved in advance for the upcoming fiscal year period July 1 thru June 30 by the Compensation Committee which is an authorized body of the Indiana University Foundation Board of Directors. The Compensation Committee is composed entirely of independent directors who do not have a conflict of interest (within the meaning of paragraph (c)(1)(iii) of section 53.4958-6) with respect to the compensation arrangement for each disqualified person. The Compensation Committee determines if each compensation arrangement in its entirety is reasonable through the use of relevant information including, but not limited to, compensation levels paid by similarly situated organizations, both taxable and tax-exempt, for functionally comparable positions; the availability of similar services in the geographic area of the applicable tax-exempt organization; current compensation surveys compiled by independent firms; and actual written offers from similar institutions competing for the services of the disqualified person. Upon approval of the compensation arrangement for each disqualified person, the Compensation Committee provides written documentation noting the terms of the transaction that was approved and the date it was approved; the members of the Committee who were present during debate on the arrangement that was approved and those who voted on it; the comparability data obtained and relied upon by the Committee and how the data was obtained; and, if applicable, any actions taken with respect to consideration of the arrangement by anyone who is otherwise a member of the Committee but who had a conflict of interest with respect to the arrangement. The Compensation Committee's most recent review and approval of compensation arrangements for ALL disqualified persons was June 14, 2012. Additionally, the Compensation Committee's review and approval of compensation arrangements for the new CEO, who began work November 1, 2012, occurred on October 4, 2012. Form 990, Part VI, Section C, line 19 The governing documents, conflict of interest and financial statements are available to the public on the IU Foundation's public website; www.iufoundation.iu.edu. Changes in Net Assets or Fund Balances: Form 990, Part XI, line 5: Net unrealized losses on investments: -132,329,130. Change in Value of Split Interest Agreement -2,466,471. Income/Loss from K-1's 210,910. Total to Form 990, Part XI, Line 5: -134,584,691. Additional Explanation for Fundraising Events Schedule G Part II IUF annually holds the Little 500 Races. While these events do raise some funds, their main objective is to increase awareness of Philanthropy among the student population and create bonds upon which to base future giving potential. CVI GVF Holdings 8 Ltd PO Box 309 Grand Cayman CJ KY1-1104 Investment CJ IU Foundation C 5063763 35447737 0.99000 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 CVI GVF Holdings 8 Ltd R 7828001 FMV