2012-06-25T12:57:10-05:00 2011-12-31 581729751 Metcalf Davis CPAs 3340 Peachtree Road NE Suite 2600 Atlanta GA 303261089 990 2011-01-01 581341679 Arthritis Foundation Inc ARTH 4048727100 1330 West Peachtree Street No 100 Atlanta GA 30309 Christopher Corrigan 4048727100 2012-06-22 1 Susan Hill P00846200 4042641700 2012-06-22 2011 2016-02-24 21:20:13Z Christopher Corrigan 1330 West Peachtree Street No 100 Atlanta GA 30309 60674844 0 8510 X www.arthritis.org X 1948 GA The mission of the Arthritis Foundation is to improve lives through leadership in prevention, control and cure of arthritis and related diseases. 35 35 169 136 6598045 -6583 36965299 38998639 7549150 6217776 804026 888397 5904652 7028591 51223127 53133403 6962750 8475600 0 0 13230112 13627834 3288723 2776615 6393779 27409358 29727624 50890943 54607673 332184 -1474270 65431377 64613117 26574378 29927777 38856999 34685340 The mission of the Arthritis Foundation is to improve lives through leadership in prevention, control and cure of arthritis and related diseases. 0 0 23633171 138157 6217776 Public Health: The Arthritis Foundation life Improvement Series empowers people in local communities nationwide. Our evidence-based aquatic, exercise and self-help programs are proven to reduce pain and physician visits, decrease stiffness and increase function. The people we reach through these programs and arm with information and self management strategies have a better perspective on their disease and, in turn, better outcomes. 10608677 8311139 Research: As the world's largest nonprofit supporter of arthritis research, the Arthritis Foundation fills a critical role in assuring progress of arthritis research. Our research program complements government and industry-based arthritis research by focusing on training new investigators and pursuing innovative strategies for preventing, controlling and curing arthritis. Our portfolio includes basic research to identify genes that cause arthritis and underlyingdisease processes, clinical and behavioral studies to test new treatments, and epidemiology studies and health services research to improve quality of care. Since 1948, we have funded more than 2,600 researchers with grants totaling over $400 million. 8055331 26304 Advocacy/Public Policy: Advocacy is valuable to both the Arthritis Foundation and to the individuals who make their voices heard on behalf of the 50 million Americans with arthritis. Helping people find their voices by meeting with Congressional representatives and speaking up to ensure access to health care and medications is empowering to patients and benefits millions more in the process. Part of our advocacy program includes the Arthritis Ambassador Program to strengthen relationships with members of Congress in each and every one of the 435 Congressional districts through advocacy training and relationship development. 42297179 1 1 0 1 0 0 0 0 1 1 0 0 1 1 1 1 0 0 0 0 0 0 1 1 0 0 1 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 1 152 0 1 169 1 1 1 0 0 0 0 1 1 1 0 0 0 1 0 0 0 0 X 35 35 0 0 1 0 0 1 0 1 1 0 1 1 1 1 1 1 1 1 1 1 0 GA X X Essil Washington 4049657502 1330 W Peachtree St Suite 100 Atlanta GA 30309 Bruce Ashcroft 0.00 X 0 0 0 Kenneth G Baltes 0.00 X 0 0 0 Peter WC Barnhart 0.00 X 0 0 0 Robert A Campbell CPA 0.00 X 0 0 0 Rowland W Chang MD MPH 0.00 X 0 0 0 Charles L Christian MD 0.00 X 0 0 0 Allen J Cizner 0.00 X 0 0 0 David C Clapp 0.00 X 0 0 0 K Andrew Crighton MD 0.00 X 0 0 0 Santiago M de Solo MD 0.00 X 0 0 0 Catherine T Dunlay 0.00 X 0 0 0 Helen Emery 0.00 X 0 0 0 Kathleen M Ferrell PT MLA 0.00 X 0 0 0 John A Geishecker Jr 0.00 X 0 0 0 John A Gilpin 0.00 X 0 0 0 E Robert Harris 0.00 X 0 0 0 Tanya N Harriston-Whitner 0.00 X 0 0 0 Lisa B Hogan Esq 0.00 X 0 0 0 Margaret Oldham Jackson 0.00 X 0 0 0 Stuart S Kassan MD FACP FACR 0.00 X 0 0 0 Armin U Kruder Esq 0.00 X 0 0 0 Jerry G Langley 0.00 X 0 0 0 Debra R Lappin JD 0.00 X 0 0 0 Richard L Lautizenheiser MD 0.00 X 0 0 0 George Liberatore 0.00 X 0 0 0 Kip L Lilly 0.00 X 0 0 0 Frank P Longobardi 0.00 X 0 0 0 Kathy Lubbers 0.00 X 0 0 0 Kevin Mandrell 0.00 X 0 0 0 Glenn T Marrichi 0.00 X 0 0 0 Peter R Martin 0.00 X 0 0 0 Pamela R Massey PT MS 0.00 X 0 0 0 Daniel T McGowan 0.00 X 0 0 0 Pattye L Moore Apr 0.00 X 0 0 0 William J Mulvihill 0.00 X 0 0 0 Patricia Novak Nelson 0.00 X 0 0 0 Dennis R Olden 0.00 X 0 0 0 Micheal V Ortman 0.00 X 0 0 0 Eugene Overfelt CPA 0.00 X 0 0 0 Cecile Perich 0.00 X 0 0 0 Laura Robbins DSW 0.00 X 0 0 0 Stanford K Rubin Esq 0.00 X 0 0 0 William W Satterfield 0.00 X 0 0 0 Kevin Short 0.00 X 0 0 0 David E Shuey 0.00 X 0 0 0 Janalee Taylor MSN RN CPNP 0.00 X 0 0 0 Kelli L Thompson 0.00 X 0 0 0 L Brunson White 0.00 X 0 0 0 W Hayes Wilson 0.00 X 0 0 0 Janet S Wyatt PhD RN CRNP 0.00 X 0 0 0 Roberta K Byrum CPA 37.50 X 291192 0 30757 Christopher Corrigan 37.50 X 215248 0 20078 John H Klippel MD 37.50 X 457731 0 50926 Debra Neuman 37.50 X 279423 0 24238 Marla F Davidson 37.50 X 182972 0 25620 Lois Modell 37.50 X 157146 0 19759 Amy Melnick Scharf 37.50 X 192180 0 18820 Marva C Stanford 37.50 X 141058 0 12776 Brennan George P 37.50 X 157406 0 19161 2074356 0 222135 9 0 1 0 Merkle Inc PO Box 64897 Baltimore MD 212644897 Direct Mail Counsel 11090284 Paradysz Matera & Co Inc 5 Hanover Square New York NY 10004 List Rental Broker 943987 Blackbaud Internet Solutions Division PO Box 930256 Atlanta GA 311930256 Technology and Software Services 823428 The Advertising Council Inc 815 Second Avenue New York NY 100174503 Advertising Services 741021 Palm Coast Data LLC 3 Commerce Blvd Palm Coast FL 32164 Media Services 631104 29 9372 548922 38440345 81258 38998639 Sales and service fees 624100 6217776 6217776 6217776 713845 713845 84514 84514 692850 705665 -12815 -12815 -12815 7002316 6827764 174552 174552 174552 19022 8012 11010 11010 Advertising revenue 541800 6610860 6610860 Miscellaneous revenues 900099 335022 335022 6945882 53133403 6217776 6598045 1318943 8475600 8475600 2296491 114825 2112771 68895 8791732 6056619 976043 1759070 773669 416030 249166 108473 983867 519322 319080 145465 782075 439611 215275 127189 260219 187304 35830 37085 129242 21109 108133 45786 43497 2289 2776615 2776615 6424736 5754182 368620 301934 704931 556014 10265 138652 4281651 3309562 684148 287941 292179 222055 35062 35062 1025633 668975 123671 232987 500194 438481 28117 33596 74122 56333 8894 8895 290732 220956 34888 34888 153714 116822 18446 18446 Year-round program serv 8985164 8985164 Printing, publications, 2870847 2824027 9126 37694 Data processing service 1301319 720208 449915 131196 Advertising commissions 713635 713635 1673520 1436848 126976 109696 54607673 42297179 5916715 6393779 X 11761779 8985164 121947 2654668 10076296 9278452 4636742 6652569 11031883 10516621 610750 430906 1485629 1672474 13002841 5825216 7331283 7177625 21607941 21581174 8650853 7303296 65431377 64613117 5574753 6434961 3821886 5836605 2800000 2400000 14377739 15256211 26574378 29927777 X 9565439 9167433 15249247 13036516 14042313 12481391 38856999 34685340 65431377 64613117 X -1474270 -2697389 X 0 1 1 X 1 1 X 53280562 45636230 37690176 36965299 38998639 212570906 53280562 45636230 37690176 36965299 38998639 212570906 1579472 210991434 1213951 1305115 1276403 913383 798359 5507211 598896 140717 92134 8046 -6583 833210 595171 205486 10531 -175300 335022 970910 219882237 34301887 0.95960 0.96430 X Schedule A, Part IV, Supplemental Information: Other income is an accumulation of individually insignificant transactions of revenues and expenses incurred during normal day-to-day operations of the Organization and were not orginally recorded in specific income or expense accounts during the year. For financial reporting purposes this accumulated balance was deemed immaterial and remained separately reported on the Organization's financial statements as 'Miscellaneous revenues and (losses).' Additionally, a portion of other income is due to unused grant expenditures that were refunded to the Organization during the year. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 181854 222266 404120 54203553 54607673 1000000 250000 0 0 1000000 1000000 1000000 1000000 4000000 6000000 533571 395127 416762 404120 1749580 250000 250000 250000 250000 1000000 1500000 240107 177807 187543 181854 787311 6068156 -42379 636849 5388928 7126682 306960 552774 1918260 6068156 6163456 200000 1085046 321820 7126682 6795413 250000 -881957 6163456 0.00000 0.96090 0.03910 0 0 2400000 2400000 4577787 2436682 2141105 2777207 2136844 640363 1749665 1251690 497975 1498182 1498182 7177625 Beneficial interests in perpetual trusts 7303296 7303296 Liability under SIA 9699538 Debt obligations 2599093 Related party payable 2957580 15256211 53133403 54607673 -1474270 -1549836 -1147553 -2697389 -4171659 51889505 -1549836 102459 203479 -1243898 53133403 0 53133403 55415796 102459 705664 808123 54607673 0 54607673 Description of Uncertain Tax Positions Under FIN 48: Part X: Income Taxes - The National Office is a not-for-profit corporation and has been recognized as exempt from federal income taxes on related income under Section 501(c)(3) of the Internal Revenue Code ("IRC"). At times the National Office may be engaged in certain activities for which it is responsible for payment of unrelated business income tax. Deferred tax assets and liabilities are measured based on enacted tax laws and rates expected to apply to taxable income in the years in which temporary differences are expected to be recorded or settled. Income taxes did not have a material impact on the financial position or change in net assets of the National Office as of and for the years ended December 31, 2011 and 2010. The National Office adopted certain provisions of FASB Accounting Standards Codification ("ASC") 740 "Income Taxes" relating to accounting for uncertainty in income taxes on January 1, 2009. This standard requires that the Foundation recognize in its financial statements the financial effects of a tax position, if that position is more likely than not of being sustained upon examination, including any appeals or litigation processes, based upon the technical merits of the position. Also this standard recognizes related guidance on measurement, classification, interest and penalties, and disclosure. The implementation of this standard had no impact on the National Office's statement of financial position or statement of activities and management does not believe that there are any unrecognized tax benefits or costs that should be recorded. Part XI, Line 8 - Other Adjustments: - Net change in valuation of split interest agreement. -502,186. - Net assets for chartered entities which relinquished charters. -645,367. Total to Schedule D, Part XI, Line 8: -1,147,553. Part XII, Line 2d - Other Adjustments: Net of rental expense and change in valuation of split interest agreements. 203,479. Part XIII, Line 2d - Other Adjustments: Net rental expense and rounding variance between financials and Form 990. 705,664. X X X X X X X 1 Merkle Inc PO Box 64897 Baltimore MD 212644897 Year-Round Direct Response Marketing 1 14086464 11090284 2996180 MDS Communication Corporation 545 W Juanita Ave Mesa AZ 85210 Telemarketing service 0 166906 76381 90525 Strategic Fundraising Inc 7591 9th St N St Paul MN 55128 Telemarketing service 0 142978 166735 -23757 Advanced Remarketing Services 308 Market Street Warren RI 02885 Auto's for Arthritis - Donated Vehicles 1 66350 10160 56190 14462698 11343560 3119138 AL AK AZ AR CA CO CT DE FL GA HI ID IL IN IA KS KY LA ME MD MA MI MN MS MO MT NE NV NH NJ NM NY NC ND OH OK OR PA RI SC SD TN TX UT VT VA WA WV WI WY DC Virtual Joints In Motion 19022 19022 8012 19022 19022 8012 8012 11010 1 Albert Einstein College of Medicine of Yeshiva University 1300 Morris Park Avenue Bronx NY 10461 131624225 501(c)(3) 150000 research Benaroya Research Institute at Virginia Mason 1201 Ninth Avenue Seattle WA 981012795 910653422 501(c)(3) 50000 research Beth Israel Deaconess Medical Center 330 Brookline Avenue BR 109 Boston MA 02215 042103881 501(c)(3) 50000 research Boston University Office of Research Administration 85 East Newton Street M-921 Boston MA 021182394 042103547 501(c)(3) 90000 research Brigham and Women's Hospital Inc Research Management PO Box 3149 Boston MA 022413149 042312909 501(c)(3) 150000 research Children's Hospital Boston Research Finance Boston MA 02441 042744411 501(c)(3) 100000 research Children's Hospital at Montefiore Montefiore Medical Center for CARRA 3415 Brainbridge Avenue Bronx NY 10467 131740114 501(c)(3) 750000 research Cincinnati Children's Hospital Medical Center - Research Foundation 3333 Burnet Avenuem ML 7030 Cincinnati OH 45229 310833936 501(c)(3) 100000 research Cleveland Clinic Foundation 9500 Euclid Avenue PO Box 931531 Cleveland OH 44193 340714585 501(c)(3) 50000 research Duke University Office of Sponsored Programs 2200 W Main Street Suite 300 Durham NC 27708 560532129 501(c)(3) 480000 research Georgia Tech Research Corporation PO Box 100117 Atlanta GA 303840117 580602146 501(c)(3) 100000 research Hackensack University Medical Center 30 Prospect Avenue Research Building Hackensack NJ 07601 221487576 501(c)(3) 200000 research Harvard School of Public Health President and Fellows of Harvard College 677 Huntington Avenue Boston MA 02115 042103580 501(c)(3) 50000 research Harvard School of Public Health PO Box 415649 Boston MA 022415649 042103580 501(c)(3) 150000 research Hospital for Special Surgery 535 East 70th Street New York NY 10021 131671474 501(c)(3) 100000 research Johns Hopkins University 3400 N Charles Street Baltimore MD 21218 520595110 501(c)(3) 93625 research Massachusetts General Hospital (The General Hospital Corp) MGH Research Finance PO Box 414876 Boston MA 022414876 042697983 509 (a) (1) 140000 research Mayo Clinic 200 First St SW Rochester MN 559050001 416011702 501(c)(3) 50000 research Medical University of South Carolina Research Sponsored Programs Charleston SC 294258060 576000722 501(c)(3) 50000 research Mount Sinai School of Medicine One Gustave L Levy Place New York City NY 10029 136171197 501(c)(3) 50000 research Nemours Children's Clinic - Delaware Valley 1600 Rockland Road Admin/Research Bldg Room 227 Wilmington DE 19803 590634433 501(c)(3) 100000 research New York University School of Medicine PO Box 415026 Boston MA 022415026 135562308 501(c)(3) 240000 research Northwestern University 633 Clark Street Evanston IL 60208 362167817 501(c)(3) 80000 research Oklahoma Medical Research Foundation 825 NE 13 Street Oklahoma City OK 73104 730580274 501(c)(3) 150000 research Oregon Health & Science University Sponsored Projects Administration Portland OR 972393098 931176109 501(c)(3) 50000 research Rush University Medical Center 1700 West Van Buren Rm277 Chicago IL 60612 362174823 501(c)(3) 200000 research Saint Francis Hospital and Medical Center Department of Research 114 Woodland Street Hartford CT 061051299 061008255 501(c)(3) 50000 research Seattle Children's Hospital Foundation PO Box 5371M/S S-200 Seattle WA 981455005 910564748 501(c)(3) 100000 research St Jude Children's Research Hospital PO Box 1000 Dept 949 Memphis TN 381480949 162064601 501(c)(3) 50000 research Stanford University PO Box 44253 San Francisco CA 941444253 941156365 501(c)(3) 245833 research Temple University Research Accounting Services PO Box 824242 Philadelphia PA 191824242 231365791 501(c)(3) 90000 research The Children's Hospital of Philadelphia Research Instittute Lockbox 1457 CHOP Research Philadelphia PA 191781457 231352166 509 (a) (1) 150100 research The Feinstein Institute for Medical Research Grants Contracts 350 Community Drive Manhasset NY 11030 112673595 501(c)(3) 50000 research The Medical College of Wisconsin 8701 Watertown Plank Road Milwaukee WI 53226 390806261 501(c)(3) 40000 research The MetroHealth System PO Box 73308 Cleveland OH 44193 346004382 501(c)(3) 60000 research The Regents of the University of California Cachiers Office West Sacramento CA 957989062 946036494 501(c)(3) 150000 research The Regents of the University of California Los Angeles University of California Los Angeles Los Angeles CA 90095 956006143 501(c)(3) 90000 research The Regents of the University of Michigan 3003 S State Street Room 1054 Ann Arbor MI 481091274 386006309 501(c)(3) 170000 research The Research Institute at Nationwide Children's Hospital 700 Childrens Drive Columbus OH 43205 131605623 501(c)(3) 40000 research The Scripps Research Institute Office of Sponsored Programs 10550 North Torrey Pines Road TPC-7 La Jolla CA 92037 330435951 501(c)(3) 150000 research The Trustees of the University of Pennsylvania PO Box 785541 Philadelphia PA 191785541 231352685 501(c)(3) 50000 research The University of Alabama at Birmingham 701 20th Street South AdmBldg Room 990D Birmingham AL 352940109 636005396 501(c)(3) 90000 research The University of Chicago Gift Services Chicago IL 60637 362177139 501(c)(3) 50000 research The University of Tennessee-Health Science Center 62 South Dunlap Suite 300 Memphis TN 38163 626001636 501(c)(3) 50000 research The University of Texas Health Science Center at Houston P O Box 203382 Houston TX 772216338 741761309 501(c)(3) 100000 research The University of Texas Southwestern Medical Center at Dallas Bank of America Lockbox Services Lockbox 841753 Dallas TX 75207 756002868 501(c)(3) 45834 research University of California San Diego - Health Sciences Cashers Office 9500 Gilman Drive 0009 La Jolla CA 920930012 966006144 501(c)(3) 45833 research University of California San Francisco Controllers Office 1855 Folsom Street Suite 425 Box 0897 San Francisco CA 94143 946036493 501(c)(3) 190000 research University of Colorado Denver Grants and Contracts Mail Stop F428 Department 238 Denver CO 802910238 846000555 501(c)(3) 40000 research University of Illinois at Chicago Grants and Contracts Springfield IL 627080787 376000511 501(c)(3) 100000 research University of Iowa Grant Accounting Office Iowa City IA 522421316 426004813 115 100000 research University of Kentucky Research Foundation C/O PNC Bank Cleveland KY 44193 616033693 501(c)(3) 100000 research University of Maryland Baltimore PO Box 41428 Baltimore MD 212036428 526002033 501(c)(3) 50000 research University of Massachusetts Medical School 55 Lake Avenue North Worcester MA 01655 043167352 170(c) (1) 50000 research University of North Carolina at Chapel Hill Thurston Arthritis Research Center CB 7280 3330 Thurston Building Chapel Hill NC 275997280 566001393 501(c)(3) 150000 research University of Pittsburgh Office of Research/Cost Accounting PO Box 371220 Pittsburgh PA 152517220 250965591 501(c)(3) 100000 research University of Rochester Research Accounting Rochester PA 146113847 160743209 501(c)(3) 40000 research University of Washington Grants Contracts Accounting 12455 Collections Drive Chicago IL 60693 916001537 115 40000 research Vanderbilt University Medical Center Dept of Finance Atlanta GA 311920303 620476822 501(c)(3) 140000 research Wake Forest University Health Sciences Medical Center Blvd WinstonSalem NC 27157 223849199 501(c)(3) 100000 research Washington University School of Medicine 7700 Rosedale Campus Box 1034 St Louis MO 631121408 430653611 501(c)(3) 190000 research Yale University Grants Contract Financial Administr tion PO Box 1873 New Haven CT 065081873 060646973 501(c)(3) 250000 research ACR Research & Education Foundation 2200 Lake Boulevard NE Atlanta GA 30319 581654301 501(c)(3) 131250 research Foundation for the National Institutes of Health 9650 Rockville Pike Bethesda MD 20814 521986675 501(c)(3) 600000 research Arthritis Research Center Foundation Inc 1035 N Emporia Suite 288 Wichita KS 67214 481223461 501(c)(3) 250000 research 60 5 Procedure for Monitoring Grants in the U.S.: Part I, Line 2: Schedule I, Part I, Line 2: Monitoring is provided by the Arthritis Foundation's National Office through oversight of the terms and conditions of a written grant agreement. Multiyear agreements require yearly progress and financial reports for continuation of funding. X X X X X X 1 1 0 0 0 0 0 1 0 Roberta K Byrum CPA 251192 0 40000 0 0 0 29600 0 1157 0 321949 0 0 0 Christopher Corrigan 196248 0 19000 0 0 0 12915 0 7163 0 235326 0 0 0 John H Klippel MD 379231 0 70000 0 8500 0 40945 0 9981 0 508657 0 0 0 Debra Neuman 254423 0 25000 0 0 0 14100 0 10138 0 303661 0 0 0 Marla F Davidson 182972 0 0 0 0 0 18297 0 7323 0 208592 0 0 0 Lois Modell 157146 0 0 0 0 0 9429 0 10330 0 176905 0 0 0 Amy Melnick Scharf 189180 0 0 0 3000 0 11351 0 7469 0 211000 0 0 0 Marva C Stanford 62308 0 0 0 78750 0 6390 0 6386 0 153834 0 0 0 Brennan George P 107692 0 0 0 49714 0 8960 0 10201 0 176567 0 0 0 Part I, Line 7 Senior management performance based incentive compensation plan. Part I, Line 8 CEO has a contract. X 1 11855 Realized sales price X Airline Tickets 1 69403 Fair market value 27 0 1 1 Third Party Use: Part I, Line 32b: Auto's for Arthritis- Advanced Remarketing Services delivers professional remarketing services to the Arthritis Foundation car donation programs. Services include state of the art call center, nationwide towing coverage, established network of buyers and auctions, comprehensive reporting and processing of all required State and IRS documents. Funds collected (gross, less applicable fees) are direct deposited into the National Office bank account. National Office accounting staff has been given access to the online report system to generate report used to disburse funds to the appropriate chartered entities based on the donor zip code. Form 990, Part VI, Section A, line 4 The Foundation's Board of Directors approved an amendment and restatement to its Bylaws by which the right to approve certain Board actions (those relating to the share of certain revenues and the relationship between the national organization and its chartered entities) was removed from a representative "Leadership Forum" and in its place approval of 2/3rds of the Board's Regionally Elected Directors was required for such Board actions to pass. The amendment and restatement of the Bylaws also included several clarifications and other non-substantive changes which would not be considered "significant." Form 990, Part VI, Section A, line 7a Twenty members of the Foundation's Board of Directors are elected by the Regional Corporations as each Region has the right to elect two members. Form 990, Part VI, Section B, line 11 The Form 990 was prepared by a public accounting firm with input from the Foundation's accounting staff and CFO. A draft copy of the Form 990 was reviewed by key accounting staff and senior management, including the Foundation's COO. Each person individually reviewed the Form (including schedules) and submitted questions or comments to management as necessary. Questions and comments were resolved appropriately to the satisfaction of the Foundation's CFO. The Form 990 (including schedules) was then reviewed and approved by the Audit Committee of the Board of Directors at a scheduled meeting. Comments and suggested changes were incorporated into a subsequent draft of the Form 990, the final draft of the Form 990 was presented to the full Board of Directors prior to submission. The final form was provided to the entire board of directors prior to filing. The form is filed after review before the entire board at a scheduled meeting Form 990, Part VI, Section B, line 12c At least annually, all employees must sign a Conflict of Interest disclosure form. Volunteers in positions of governance such as for Board members, Committee members and ad hoc task force members shall complete a conflict of interest disclosure form annually and prior to initial appointment to serve in these various positions. The board of directors audit committee reviews and adjudicates potential volunteer conflicts. If potential conflicts exist as to Arthritis Foundation Staff, the appropriate management and/or the Human Resources department shall address them. Form 990, Part VI, Section B, line 15 The Compensation and Personnel Committee met on 11/4/11 to review total compensation and benefits for the CEO and seven other key employees. The Committee received compensation reports prepared by an independent compensation consultant, James E. Rocco Associates, and reviewed the comparative analysis of market data for peer organizations with the total compensation paid by the Arthritis Foundation for each position. It was the consultant's unreserved opinion that the base salaries and total compensation provided to the Foundation's ten senior management executives, including the CEO, meet all standards of reasonableness and are not excessive. The Committee meets annually to complete this review and reports to the Board of Directors. Form 990, Part VI, Section C, line 19 The organization makes public the majority of its governing documents, conflict of interest policy, and financial statements via the National Office's website at www.arthritis.org. All other documents not readily avialible via this website are available upon request. Changes in Net Assets or Fund Balances: Form 990, Part XI, line 5: Net unrealized losses on investments: -1,549,836. - Net change in valuation of split interest agreement. -502,186. - Net assets for chartered entities which relinquished charters. -645,367. Total to Form 990, Part XI, Line 5: -2,697,389. Form 990, PART VI, Section A, Line 1a, Executive Committee The Arthritis Foundation Board of Directors has established in its Bylaws an Executive Committee comprised of the Officers of the Board of Directors (the Chair, the Vice Chair, the Secretary, the Treasurer, the Immediate Past Chair and such other officers as the Board may determine) and up to eight additional Directors. All members of the Executive Committee are required under the Bylaws to be Directors of the Corporation. Subject to any restrictions imposed by law or the corporation's Bylaws (such as amendment of the Bylaws), the Executive Committee may exercise any and all powers of the Board of Directors between meetings of the Board, and shall be subject at all times to the control and direction of the Board.