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          <GrossSalesPrice>53236</GrossSalesPrice>
          <CostOrOtherBasis>44237</CostOrOtherBasis>
          <GainOrLoss>8999</GainOrLoss>
          <GainsMinusExcessOrLosses>8999</GainsMinusExcessOrLosses>
        </CapitalGainsAndLossesInfo>
        <CapitalGainsAndLossesInfo>
          <DescriptionOfAsset>1,000 SH KELLOGG COMPANY</DescriptionOfAsset>
          <HowAcquired>P</HowAcquired>
          <DateAcquired>2010-08-26</DateAcquired>
          <DateSold>2010-12-17</DateSold>
          <GrossSalesPrice>51788</GrossSalesPrice>
          <CostOrOtherBasis>49284</CostOrOtherBasis>
          <GainOrLoss>2504</GainOrLoss>
          <GainsMinusExcessOrLosses>2504</GainsMinusExcessOrLosses>
        </CapitalGainsAndLossesInfo>
        <CapitalGainNetIncome>247404</CapitalGainNetIncome>
        <NetShortTermCapitalGainOrLoss>108805</NetShortTermCapitalGainOrLoss>
      </CapitalGainsAndLosses>
      <QlfyUndSect4940eForReducedTax>
        <LiableFor4942Tax>false</LiableFor4942Tax>
        <QualifyingDistributionsYear1>397677</QualifyingDistributionsYear1>
        <NoncharitableAssetsYear1>7059519</NoncharitableAssetsYear1>
        <DistributionRatioYear1>0.056332</DistributionRatioYear1>
        <QualifyingDistributionsYear2>419443</QualifyingDistributionsYear2>
        <NoncharitableAssetsYear2>7867883</NoncharitableAssetsYear2>
        <DistributionRatioYear2>0.053311</DistributionRatioYear2>
        <QualifyingDistributionsYear3>410013</QualifyingDistributionsYear3>
        <NoncharitableAssetsYear3>8716814</NoncharitableAssetsYear3>
        <DistributionRatioYear3>0.047037</DistributionRatioYear3>
        <QualifyingDistributionsYear4>400012</QualifyingDistributionsYear4>
        <NoncharitableAssetsYear4>8462700</NoncharitableAssetsYear4>
        <DistributionRatioYear4>0.047268</DistributionRatioYear4>
        <QualifyingDistributionsYear5>410008</QualifyingDistributionsYear5>
        <NoncharitableAssetsYear5>8179223</NoncharitableAssetsYear5>
        <DistributionRatioYear5>0.050128</DistributionRatioYear5>
        <TotalDistributionRatio>0.254076</TotalDistributionRatio>
        <AverageDistributionRatio>0.050815</AverageDistributionRatio>
        <NetNoncharitableAssets>10475808</NetNoncharitableAssets>
        <AdjustedNoncharitableAssets>532328</AdjustedNoncharitableAssets>
        <OnePercentNetInvestmentIncome>7598</OnePercentNetInvestmentIncome>
        <AdjNonchrtblAssetsAndOnePct>539926</AdjNonchrtblAssetsAndOnePct>
        <QualifyingDistributions>395000</QualifyingDistributions>
      </QlfyUndSect4940eForReducedTax>
      <ExciseTaxBasedOnInvestmentIncm>
        <InvestmentIncomeExciseTax>15197</InvestmentIncomeExciseTax>
        <Subtotal>15197</Subtotal>
        <TaxBasedOnInvestmentIncome>15197</TaxBasedOnInvestmentIncome>
        <EstTaxPaymentsAndOverpayment>2400</EstTaxPaymentsAndOverpayment>
        <TotalCreditsAndPayments>2400</TotalCreditsAndPayments>
        <TaxDue>12797</TaxDue>
        <AmountCreditedToNextYear>0</AmountCreditedToNextYear>
      </ExciseTaxBasedOnInvestmentIncm>
      <StatementsRegardingActivities>
        <LegislativePoliticalActivities>false</LegislativePoliticalActivities>
        <MoreThan100Spent>false</MoreThan100Spent>
        <Form1120POLFiled>false</Form1120POLFiled>
        <ActivitiesNotPrevReported>false</ActivitiesNotPrevReported>
        <ChangesToArticlesOrBylaws>false</ChangesToArticlesOrBylaws>
        <UnrelatedBusIncomeOver1000>false</UnrelatedBusIncomeOver1000>
        <TerminationEtc>false</TerminationEtc>
        <RequirementsOfSect508e>true</RequirementsOfSect508e>
        <AtLeast5000InAssets>true</AtLeast5000InAssets>
        <StatesFiledWith>NC</StatesFiledWith>
        <PrivateOperatingFoundation>false</PrivateOperatingFoundation>
        <NewSubstantialContributors>false</NewSubstantialContributors>
        <InterestInControlledEntity>false</InterestInControlledEntity>
        <ApplicableInsuranceContract>false</ApplicableInsuranceContract>
        <ComplyWithPublicInspectionRqr>true</ComplyWithPublicInspectionRqr>
        <WebsiteAddress>N/A</WebsiteAddress>
        <BooksInCareOfPersonName>DONALD PARKER</BooksInCareOfPersonName>
        <BooksInCareOfPhoneNumber>9195316803</BooksInCareOfPhoneNumber>
        <BooksInCareOfUSAddress>
          <AddressLine1>100 SAS CAMPUS DRIVE</AddressLine1>
          <City>CARY</City>
          <State>NC</State>
          <ZIPCode>27513</ZIPCode>
        </BooksInCareOfUSAddress>
      </StatementsRegardingActivities>
      <StatementsRegardingActy4720>
        <SaleOrExchangeWithDsqflyPerson>false</SaleOrExchangeWithDsqflyPerson>
        <BorrowOrLendWithDsqflyPerson>false</BorrowOrLendWithDsqflyPerson>
        <FurnishedGoodsWithDsqflyPerson>false</FurnishedGoodsWithDsqflyPerson>
        <PayCompensationToDsqflyPerson>false</PayCompensationToDsqflyPerson>
        <TransferAssetsToDsqflyPerson>false</TransferAssetsToDsqflyPerson>
        <PaymentToGovernmentOffical>false</PaymentToGovernmentOffical>
        <UndistributedIncomePriorYears>false</UndistributedIncomePriorYears>
        <BusinessHoldings>false</BusinessHoldings>
        <JeopardyInvestments>false</JeopardyInvestments>
        <UncorrectedJeopardyInvestments>false</UncorrectedJeopardyInvestments>
        <InfluenceLegislation>false</InfluenceLegislation>
        <InfluenceElection>false</InfluenceElection>
        <GrantsToIndividuals>false</GrantsToIndividuals>
        <GrantsToOrganizations>false</GrantsToOrganizations>
        <NoncharitablePurpose>false</NoncharitablePurpose>
        <RcvFundsToPayPrsnlBnftContract>false</RcvFundsToPayPrsnlBnftContract>
        <PayPremiumsPrsnlBnftContract>false</PayPremiumsPrsnlBnftContract>
      </StatementsRegardingActy4720>
      <OfcrDirTrusteesKeyEmployeeInfo>
        <OfcrDirTrusteesOrKeyEmployee>
          <PersonName referenceDocumentId="RetDoc3">JAMES H GOODNIGHT</PersonName>
          <USAddress>
            <AddressLine1>100 SAS CAMPUS DRIVE</AddressLine1>
            <City>CARY</City>
            <State>NC</State>
            <ZIPCode>27513</ZIPCode>
          </USAddress>
          <Title>DIRECTOR</Title>
          <AvgHoursPerWkDevotedToPosition>0.10</AvgHoursPerWkDevotedToPosition>
          <Compensation>0</Compensation>
          <ContriToEmplBenefitPlansEtc>0</ContriToEmplBenefitPlansEtc>
          <ExpenseAccountOtherAllowances>0</ExpenseAccountOtherAllowances>
        </OfcrDirTrusteesOrKeyEmployee>
        <OfcrDirTrusteesOrKeyEmployee>
          <PersonName referenceDocumentId="RetDoc3">ANN BAGGETT GOODNIGHT</PersonName>
          <USAddress>
            <AddressLine1>100 SAS CAMPUS DRIVE</AddressLine1>
            <City>CARY</City>
            <State>NC</State>
            <ZIPCode>27513</ZIPCode>
          </USAddress>
          <Title>DIRECTOR</Title>
          <AvgHoursPerWkDevotedToPosition>0.10</AvgHoursPerWkDevotedToPosition>
          <Compensation>0</Compensation>
          <ContriToEmplBenefitPlansEtc>0</ContriToEmplBenefitPlansEtc>
          <ExpenseAccountOtherAllowances>0</ExpenseAccountOtherAllowances>
        </OfcrDirTrusteesOrKeyEmployee>
        <OfcrDirTrusteesOrKeyEmployee>
          <PersonName referenceDocumentId="RetDoc3">LEAH A GOODNIGHT</PersonName>
          <USAddress>
            <AddressLine1>100 SAS CAMPUS DRIVE</AddressLine1>
            <City>CARY</City>
            <State>NC</State>
            <ZIPCode>27513</ZIPCode>
          </USAddress>
          <Title>DIRECTOR</Title>
          <AvgHoursPerWkDevotedToPosition>0.10</AvgHoursPerWkDevotedToPosition>
          <Compensation>0</Compensation>
          <ContriToEmplBenefitPlansEtc>0</ContriToEmplBenefitPlansEtc>
          <ExpenseAccountOtherAllowances>0</ExpenseAccountOtherAllowances>
        </OfcrDirTrusteesOrKeyEmployee>
        <OfcrDirTrusteesOrKeyEmployee>
          <PersonName referenceDocumentId="RetDoc3">SUSAN G ELLIS</PersonName>
          <USAddress>
            <AddressLine1>100 SAS CAMPUS DRIVE</AddressLine1>
            <City>CARY</City>
            <State>NC</State>
            <ZIPCode>27513</ZIPCode>
          </USAddress>
          <Title>DIRECTOR</Title>
          <AvgHoursPerWkDevotedToPosition>0.10</AvgHoursPerWkDevotedToPosition>
          <Compensation>0</Compensation>
          <ContriToEmplBenefitPlansEtc>0</ContriToEmplBenefitPlansEtc>
          <ExpenseAccountOtherAllowances>0</ExpenseAccountOtherAllowances>
        </OfcrDirTrusteesOrKeyEmployee>
        <CompOfHighestPaidEmplNONE>NONE</CompOfHighestPaidEmplNONE>
        <CompOfHghstPaidCntrctNONE>NONE</CompOfHghstPaidCntrctNONE>
      </OfcrDirTrusteesKeyEmployeeInfo>
      <SumOfProgramRelatedInvestments>
        <Description1>N/A</Description1>
      </SumOfProgramRelatedInvestments>
      <MinimumInvestmentReturn>
        <AvgMonthlyFMVOfSecurities>9898574</AvgMonthlyFMVOfSecurities>
        <AvgMonthlyCashBalances>736764</AvgMonthlyCashBalances>
        <FMVAllOtherNoncharitableAssets>0</FMVAllOtherNoncharitableAssets>
        <TotalFMVOfUnusedAssets>10635338</TotalFMVOfUnusedAssets>
        <AdjTotalFMVOfUnusedAssets>10635338</AdjTotalFMVOfUnusedAssets>
        <CashDeemedCharitable>159530</CashDeemedCharitable>
        <NetNoncharitableAssets>10475808</NetNoncharitableAssets>
        <MinimumInvestmentReturn>523790</MinimumInvestmentReturn>
      </MinimumInvestmentReturn>
      <DistributableAmount>
        <MinimumInvestmentReturn>523790</MinimumInvestmentReturn>
        <TaxBasedOnInvestmentIncome>15197</TaxBasedOnInvestmentIncome>
        <TotalTax>15197</TotalTax>
        <DistributableAmountBeforeAdj>508593</DistributableAmountBeforeAdj>
        <DistributableAmountBeforeDed>508593</DistributableAmountBeforeDed>
        <DistributableAmountAsAdjusted>508593</DistributableAmountAsAdjusted>
      </DistributableAmount>
      <QualifyingDistributions>
        <ExpensesAndContributions>395000</ExpensesAndContributions>
        <QualifyingDistributions>395000</QualifyingDistributions>
        <AdjQualifyingDistributions>395000</AdjQualifyingDistributions>
      </QualifyingDistributions>
      <UndistributedIncome>
        <DistributableAmountAsAdjusted>508593</DistributableAmountAsAdjusted>
        <UndistributedIncomePriorYear>340756</UndistributedIncomePriorYear>
        <QualifyingDistributions>395000</QualifyingDistributions>
        <AppliedToYear1>340756</AppliedToYear1>
        <AppliedToCurrentYear>54244</AppliedToCurrentYear>
        <UndistributedIncomeCY>454349</UndistributedIncomeCY>
      </UndistributedIncome>
      <SupplementaryInformation>
        <ContributingManager>JAMES H GOODNIGHT</ContributingManager>
        <OnlyContributesToPreselected>X</OnlyContributesToPreselected>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>BLOWING ROCK ART &amp; HISTOR</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>P O BOX 828</AddressLine1>
            <City>BLOWING ROCK</City>
            <State>NC</State>
            <ZIPCode>28723</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>BOYS CLUB OF WAKE COUNTY</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>701 N RALEIGH BLVD</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27610</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>COMMUNITIES IN SCHOOLS OF</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>871 HARP STREET</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27604</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>CONTEMP ART FOUNDATION</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>P O BOX 19609</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27619</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>SLICK FAMILY FOUNDATION CHALLENGE</PurposeOfGrantOrContribution>
          <Amount>100000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>DEV'T FOUNDATION OF NCCAT</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>276 NCCAT DRIVE</AddressLine1>
            <City>CULLOWHEE</City>
            <State>NC</State>
            <ZIPCode>28723</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>15000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>HIGH FIVE REGIONAL PARTNE</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>750 S MERRITT MILL ROAD</AddressLine1>
            <City>CHAPEL HILL</City>
            <State>NC</State>
            <ZIPCode>27516</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>25000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>MARBLES KIDS MUSEUM</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>201 E HARGETT ST</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27601</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>MEREDITH COLLEGE</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>3800 HILLSBOROUGH STREET</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27607</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>MINORITY TEACHER SCHOLARSHIP</PurposeOfGrantOrContribution>
          <Amount>15000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>NC MUSEUM OF ART FOUNDATI</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>4630 MAIL SERVICE</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27699</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>100000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>NC MUSEUM OF HISTORY FOUN</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>P O BOX 25937</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27611</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>NC POTTERY MUSEUM INC</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>P O BOX 531</AddressLine1>
            <City>SEAGROVE</City>
            <State>NC</State>
            <ZIPCode>27341</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>NCSU FOUNDATION INC</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>CAMPUS BOX 7474</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27695</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>FRIDAY INSTITUTE DISCRETIONARY FUND</PurposeOfGrantOrContribution>
          <Amount>15000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>NCSU FOUNDATION INC</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>CAMPUS BOX 7474</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27695</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>KENAN FELLOWS</PurposeOfGrantOrContribution>
          <Amount>10000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>NCSU FOUNDATION INC</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>CAMPUS BOX 7474</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27695</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>CHANCELLOR'S DISCRETIONARY FUND</PurposeOfGrantOrContribution>
          <Amount>10000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>NC CENTER FOR INT'L UNDER</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>100 EAST SIX FORKS RD</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27609</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED FUNDS</PurposeOfGrantOrContribution>
          <Amount>10000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>PUBLIC SCHOOL FORUM OF NC</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>3739 NATIONAL DRIVE</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27612</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED FUNDS</PurposeOfGrantOrContribution>
          <Amount>20000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>SALVATION ARMY</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>P O BOX 27584</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27611</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>AFTER SCHOOL TUTORING</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>TAMMY LYNN MEMORIAL FOUND</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>739 CHAPPELL DRIVE</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27606</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>THE NAVIGATORS</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>P O BOX 6000</AddressLine1>
            <City>COLORADO SPRINGS</City>
            <State>CO</State>
            <ZIPCode>80934</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>URBAN HOPE NAVIGATORS</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>UNC SCHOOL OF THE ARTS FO</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>1533 SOUTH MAIN STREET</AddressLine1>
            <City>WINSTON SALEM</City>
            <State>NC</State>
            <ZIPCode>27127</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>UNIVERSITY OF NC AT GREEN</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>P O BOX 26170</AddressLine1>
            <City>GREENSBORO</City>
            <State>NC</State>
            <ZIPCode>27402</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>CHANCELLOR'S DISCRETIONARY FUND</PurposeOfGrantOrContribution>
          <Amount>5000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>WAKE EDUCATION PARTNERSHI</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>706 HILLSBOROUGH STREET</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27603</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>TRIANGLE LEADERSHIP ACADEMY</PurposeOfGrantOrContribution>
          <Amount>10000</Amount>
        </GrantOrContriPaidDuringYear>
        <GrantOrContriPaidDuringYear>
          <RecipientBusinessName>
            <BusinessNameLine1>WAKE EDUCATION PARTNERSHI</BusinessNameLine1>
          </RecipientBusinessName>
          <RecipientUSAddress>
            <AddressLine1>706 HILLSBOROUGH STREET</AddressLine1>
            <City>RALEIGH</City>
            <State>NC</State>
            <ZIPCode>27603</ZIPCode>
          </RecipientUSAddress>
          <RecipientRelationship>NONE</RecipientRelationship>
          <RecipientFoundationStatus>501(C)(3)</RecipientFoundationStatus>
          <PurposeOfGrantOrContribution>UNRESTRICTED</PurposeOfGrantOrContribution>
          <Amount>10000</Amount>
        </GrantOrContriPaidDuringYear>
        <TotGrantOrContriPaidDuringYear>395000</TotGrantOrContriPaidDuringYear>
      </SupplementaryInformation>
      <AnalysisIncomeProducingActy>
        <IntOnSavingsAndTempCashInvst>
          <ExclusionCode>14</ExclusionCode>
          <ExclusionAmount>81517</ExclusionAmount>
        </IntOnSavingsAndTempCashInvst>
        <DividendsAndIntFromSecPartVII>
          <ExclusionCode>14</ExclusionCode>
          <ExclusionAmount>435048</ExclusionAmount>
        </DividendsAndIntFromSecPartVII>
        <GainSalesAssetsOthThanInvntry>
          <ExclusionCode>18</ExclusionCode>
          <ExclusionAmount>247404</ExclusionAmount>
        </GainSalesAssetsOthThanInvntry>
        <SubtotalsPartXVIA>
          <ExclusionAmount>763969</ExclusionAmount>
        </SubtotalsPartXVIA>
        <TotalPartXVIA>763969</TotalPartXVIA>
      </AnalysisIncomeProducingActy>
      <TrnsfrTrRlnWithNoncharitableEO>
        <TrnsfrOfCashToNoncharitableEO>false</TrnsfrOfCashToNoncharitableEO>
        <TrnsfrOthAssetsNoncharitableEO>false</TrnsfrOthAssetsNoncharitableEO>
        <SalesOrExchangesOfAssets>false</SalesOrExchangesOfAssets>
        <PurchaseAssetsNoncharitableEO>false</PurchaseAssetsNoncharitableEO>
        <RentalOfFacilitiesEtc>false</RentalOfFacilitiesEtc>
        <ReimbursementArrangements>false</ReimbursementArrangements>
        <LoansOrLoanGuarantees>false</LoansOrLoanGuarantees>
        <PerformanceOfServicesEtc>false</PerformanceOfServicesEtc>
        <SharingOfFacilitiesEtc>false</SharingOfFacilitiesEtc>
        <RelationshipsNoncharitableEOs>false</RelationshipsNoncharitableEOs>
      </TrnsfrTrRlnWithNoncharitableEO>
    </IRS990PF>
    <AccountingFeesSchedule documentId="RetDoc2">
      <AccountingFees>
        <Category>TAX PREPARATION FEE</Category>
        <Amount>2000</Amount>
        <NetInvestmentIncome>2000</NetInvestmentIncome>
      </AccountingFees>
    </AccountingFeesSchedule>
    <CompensationExplanation documentId="RetDoc3">
      <Compensation>
        <PersonName>JAMES H GOODNIGHT</PersonName>
      </Compensation>
      <Compensation>
        <PersonName>ANN BAGGETT GOODNIGHT</PersonName>
      </Compensation>
      <Compensation>
        <PersonName>LEAH A GOODNIGHT</PersonName>
      </Compensation>
      <Compensation>
        <PersonName>SUSAN G ELLIS</PersonName>
      </Compensation>
    </CompensationExplanation>
    <InvestmentsCorpBondsSchedule documentId="RetDoc4">
      <InvestmentsCorpBonds>
        <NameOfBond>FIDELITY - Z85-467731</NameOfBond>
        <EOYBookValue>110159</EOYBookValue>
        <EOYFMV>104845</EOYFMV>
      </InvestmentsCorpBonds>
    </InvestmentsCorpBondsSchedule>
    <InvestmentsCorpStockSchedule documentId="RetDoc5">
      <InvestmentsCorpStock>
        <NameOfStock>FIDELITY - Z85-467731</NameOfStock>
        <EOYBookValue>9562678</EOYBookValue>
        <EOYFMV>10205835</EOYFMV>
      </InvestmentsCorpStock>
    </InvestmentsCorpStockSchedule>
    <InvestmentsGovtObligationsSch documentId="RetDoc6">
      <USGovtSecuritiesEOYBookValue>12110</USGovtSecuritiesEOYBookValue>
      <USGovtSecuritiesEOYFMV>10739</USGovtSecuritiesEOYFMV>
    </InvestmentsGovtObligationsSch>
    <TaxesSchedule documentId="RetDoc7">
      <Taxes>
        <Category>FEDERAL EXCISE TAX</Category>
        <Amount>2123</Amount>
        <NetInvestmentIncome>2123</NetInvestmentIncome>
      </Taxes>
    </TaxesSchedule>
  </ReturnData>
</Return>