2008 SIU Annual Report - Advancing Above and Beyond

advancing

2008 Annual Report

above & beyond

Southern Illinois University Foundation

above & beyond

a tribute to a woman’s passion . . . . . . . 4 saluting our mentors . . . . . . . . . . . . . . 6 conquering challenges . . . . . . . . . . . . . 8 a family’s lifelong love affair . . . . . . . 10 inspiring future generations . . . . . . . . . 12 financials . . . . . . . . . . . . . . . . . . . . . 15

2008 Annual Report

advancing

Southern Illinois University’s first-ever comprehensive campaign came to a successful conclusion in 2008. With contributions from over 68,000 donors, the University was able to surpass its campaign goal of $100 million by $6.2 million.

While the success of the Opportunity Through Excellence Campaign for Southern marks

an important milestone in the University’s history, the need for private support at SIU has not come to an end. Private contributions continue to play a vital role in Southern’s future success.

Pamela K. Pfeffer President Southern Illinois University Foundation

Everyone who supported our University throughout this campaign provided inspiration to

the students and faculty who benefited from the gifts, as well as Southern’s future donors. The University’s alumni, donors, friends, and volunteers are beginning to create a culture of giving.

We must continue to develop this philosophy as we move beyond this successful campaign and on to future endeavors.

The following pages feature stories about devoted alumni and friends of the University who

are making an impact on Southern. Their contributions helped SIU establish scholarships, honor professors, improve facilities, and enhance campus programs.

The dedication of Southern’s alumni and friends made this campaign a success. Their

continued support is essential in SIU “Advancing Above and Beyond.”

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Rickey N. McCurry Chief Executive Officer Southern Illinois University Foundation

Southern Illinois University Foundation

advancing

2008 Annual Report

above & beyond

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2008 Annual Report

An SIU Carbondale graduate with devotion for students, performing arts and scholarship is being honored through an endowment established in her memory to benefit students and faculty of the University.

The Patricia Pace Memorial Endowment Fund has been

developed to enhance the Patricia Pace Performance Festival.

The festival, originally organized by the late Patricia Pace at Georgia Southern University in 2000, will alternate annually among three institutions – SIU Carbondale, Louisiana State University and Georgia Southern. Shortly after Patricia’s death in 2000, colleagues named the festival for Patricia. A Professor of Communication Arts, Director of Theatre and Director of Performance at Georgia Southern University, Pace received her Ph.D. from SIU Carbondale.

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a tribute to a wo

oman’s passion

Southern Illinois University Foundation

Tom Pace, a retired SIUC professor in the Department of

Speech Communication, says the endowment, named in his daughter’s honor, will cover expenses for students and faculty in the Department of Speech Communication who travel to the festival when it is held at one of the alternate locations. The endowment will help offset festival costs when Southern hosts the event.

“Patti very much believed in getting artists, teachers, scholars,

and theater professionals together so they could learn from each other. This was the impetus behind Patti’s dream of instituting this festival,” Pace says.

“Patti’s professor friends and students were and continue to

be committed to keeping her dream alive. I hope this encourages others to follow suit and contribute funds to this effort. I’m thankful for the opportunity and truly blessed that we are able to establish this endowment in my daughter’s memory.”

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2008 Annual Report

saluting our mentors

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Southern Illinois University Foundation

Greg A. Lee, a senior vice president for Motorola, says

Personally, great teachers have been essential in my life

SIU Carbondale faculty established a strong foundation for

and career.”

his subsequent success. This is the primary reason the 1972

graduate is contributing $250,000 to support the University’s

stipend to supplement their salaries. The recipient retains

efforts to retain and recruit distinguished professors to the

the honor indefinitely, subject to periodic review by select

College of Business.

college representatives.

Lee is donating funds through the SIU Foundation to

Prominent professors receiving the honor receive a

“There were a handful of professors who truly made

establish the Gregory A. Lee Professorship in Management.

my learning experience both challenging and personally

His gift will assist the College in recruiting and retaining an

meaningful here at SIU,” Lee says. “They not only got

outstanding faculty member, providing additional prestige and

me engaged in a learning process that I’ve kept with me

recognition for the individual.

my entire career, but I also benefitted from instructors

who sparked my imagination and challenged me to think

“The best way I know to give back to the school that

provided so much in building my career is to help ensure that

differently and from other perspectives.”

SIU has the best possible teachers and instructors,” Lee says.

“If we are going to continue attracting top-caliber students, we

to the University and business school in a fashion that is

have to attract and retain outstanding faculty members at SIU.

sustainable over a period of time.”

“This presented me with an opportunity to give back

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2008 Annual Report

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As a former statewide-appointed official, SIU Carbondale

but require financial assistance to attain a college education. I want

alumnus Randy Daniels is fully aware of budget issues facing public

to help both types of student.”

institutions. The 1973 SIU radio-television graduate, who served

as New York’s Secretary of State from 2001 to 2005, is making a

board, says public institutions, including SIU Carbondale, are

commitment to assist his alma mater in conquering this challenge.

becoming more reliant on private fundraising to offer quality

education to students.

Daniels has committed $100,000 to fund scholarships in the

Daniels, vice chairman of the State University of New York

College of Mass Communication and Media Arts at Southern, with

a preference to provide support to underrepresented populations.

have a responsibility to give something back. This has to become

The gift will be evenly split to provide awards to students in financial

a part of our culture,” he says. “We can’t rely on the government;

need and to others who have attained academic excellence.

therefore, we have to raise private funds. Public institutions must be

creative and aggressive to keep pace.

“We don’t live in a world with a level playing field. Some

“Those who have benefited from an excellent public education

students struggle because they haven’t received excellent

“If you are willing and able to do the work, there should be a

preparatory education, but they are capable of succeeding at the

seat for you in a public university setting. I want every kid who is

college level,” he says. “Others are high achievers academically,

prepared to work to have that opportunity.”

Southern Illinois University Foundation

conquering challenges

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2008 Annual Report

a family’s lifelong love affair

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Southern Illinois University Foundation

Shortly before Greg Cook’s father died in 2005, one

graduate, committed $1 million to Saluki Way in memory of

of the last outings he made was attending an SIU Carbondale

his father, John.

football game at McAndrew Stadium, an event that moved the

elder Cook to tears.

include constructing a new football stadium and retrofitting

the SIU Arena. Saluki Way broke ground in March 2009,

“As I think back about why my father was crying that day,

Two components of the first phase of Saluki Way

I realize – he was a lifelong Saluki fan and knew this was his

with plans for the first football game to be played in the

last game. Your days are few, and one of the last places you go

new stadium in 2010.

is to a Saluki athletic event. That is passion,” says Cook about

his father’s love of the Salukis. “It’s that sort of passion that

in the late 1970s, hopes fellow alumni and Saluki fans will

will help build a football stadium and renovate an arena at SIU

follow suit.

Carbondale. When people all over this country are wondering

how we can get it done … it’s passion.”

Southern Illinois University and Saluki Athletics. Nancy and

I are honored to be able to contribute to Saluki Way, and

Cook, president and co-founder of Cook Portable

Warehouses, and his wife, Nancy, a 1980 SIU Carbondale

Cook, a business administration student at Southern

“My family and I have had a lifelong love affair with

hope that our commitment may inspire others to follow.”

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2008 Annual Report

Gus Smith, a two-degree graduate of SIU Carbondale, and his

wife, Debra, pride themselves on making a long-term impact on

the SIU Foundation’s charitable remainder trust option. Through

entities with which they are associated. The couple has made a

this agreement, their gift is set up in a charitable trust. The Smiths

$1-million gift through the SIU Foundation to establish the Gus and

will receive annual payments from the SIU Foundation and a tax

Debra Smith Undergraduate Student Experience Endowment Fund in

deduction for the Foundation’s remainder interest. When the trust

the College of Business.

matures, the College of Business will be the beneficiary of the

remaining funds.

The fund will support various initiatives establishing better

communication with community college students, enhancing the

connection with prospective students serving in the military and

gain. There is nothing wrong with receiving some benefit today,

preparing students for their careers after college.

but we want the University to continue moving forward 10 years

from now. The primary objective is for us to have resources in

Gus, a retired managing partner of Accenture, a global

Debra says, “We both like to establish plans for long-term

management consulting firm, says, “Debra and I have always wanted

places that allow SIU students to walk out of here in positions to

to give back to something that helped us become successful. My

make the world a better place.”

education went a long way in preparing me for the business world.”

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The Smiths provided this support to the University through

Southern Illinois University Foundation

inspiring future generations

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2008 Annual Report

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Southern Illinois University Foundation

endowments The SIU Foundation holds endowment contributions and invests them for perpetuity. A portion of the revenue generated from the endowment accounts is transferred to corresponding current accounts and used according to donors’ restrictions. The SIU Foundation reinvests the remaining portion of the investment revenue into the endowment to help hedge against inflation.

Donors contributed more than $2.3 million to endowment accounts during FY08. Many of the contributions were designated for scholarships, research and for the general support of colleges and departments. The SIU Foundation edowment is invested as follows:

Alternatives $3,127

Cash $1,900

International Equities (Stocks) $14,265

Fixed Income (Bonds) $19,940

U.S. Equities (Stocks) $44,008

In Thousands Total: $83,240

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2008 Annual Report

contributions The SIU Foundation accepts contributions in the form of cash, securities and real or personal property. Many corporations will match the contribution of employees, officers, directors and in some instances, spouses and retirees. The SIU Foundation also offers and accepts various types of planned gifts, whereby the donor makes a gift during his or her lifetime that will benefit the University in the future. Planned gifts are in the form of bequests, gift annuities, charitable remainder trusts, charitable lead trusts and life estate agreements.

The SIU Foundation applies a one-time six percent supplement fee to all gifts of cash and securities. The Foundation uses five percent of the fee to fund central advancement operations and returns one percent to the generating colleges or units to support their specific advancement activities. It is the Foundation’s goal to increase private support which will assist the various colleges of the University in providing quality services to its students, alumni, and the communities we serve. Donors contributed a total of $43.7 million during FY08.

Gift in Kind

Deferred Gifts

$21,446,780

$344,290 Gifts Given Directly to SIU $548,133

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Total: $43,673,409

Cash and Securities $9,449,227

Net Pledges $11,884,979

Southern Illinois University Foundation

statement of net assets as of june 30, 2008 ASSETS Current Assets Cash and cash equivalents Short-term investments Accounts receivable Pledge receivable, net Accrued investment income

26,537,937 6,122 1,220,061 139,469 88,094

Other assets

66,413 28,608,217

8,505

Endowment investments

79,183,198

Other long-term investments

11,350,752

Pledge receivable, net Irrevocable trust held by other

9,658,104 99,928

Cash value of life insurance

332,023

Investment in real estate

288,000

Capital assets, net of accumulated depreciation

238,681

Other assets

Accounts payable and accrued liabilities Annuities payable-current portion

583,661 546,461

Long-term liabilities-current portion

88,094

TOTAL CURRENT LIABILITIES

1,218,216

Noncurrent Liabilities Annuities payable Agency funds payable Deposits held for others Other accrued liabilities

3,907,337 1,992,254 345,533 8,498

Total Noncurrent Liabilities

6,253,622

TOTAL LIABILITIES

7,471,838

NET ASSETS

Noncurrent Assets Restricted cash and cash equivalents

Current Liabilities

$550,121

Net investment in financing leases TOTAL CURRENT ASSETS

LIABILITIES

3,605,467

Total Noncurrent Assets

104,764,658

TOTAL ASSETS

133,372,875

Invested in capital assets, net of related debt

238,681

Restricted for: Nonexpendable Scholarships, research, instruction and other Loans Capital projects Expendable Scholarships, research, instruction and other Loans

64,819,841 2,436,024 142,410 50,080,868 521,128

Capital projects

1,960,095

Unrestricted

5,701,990

TOTAL NET ASSETS

$125,901,037

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2008 Annual Report

expenditures Donors can designate their contributions for items such as scholarships, faculty support, research, facilities and equipment. Donors also can contribute toward the general support of the University with an unrestricted gift. The SIU Foundation provides for expenditures in support of the University through contributions received and investment revenue generated. SIU Foundation’s expenditures break down as follows:

Expendable Goods $889,105

Prof. Development & Travel

Equipment

$259,429

$202,091

Scholarships & Awards $1,401,453

Teaching & Research Grants to the University $4,026,085

Total: $29,440,579

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$22,662,416

Southern Illinois University Foundation

statement of revenues, expenses, and changes in net assets

NON-OPERATING REVENUES (EXPENSES)

as of june 30, 2008

Contributions

REVENUES Operating revenues Payments from SIU Budget allocation from SIU Other operating revenues Total Operating Revenues

$34,180 4,014,621 931,322 4,980,123

Grants from University Related Organizations

33,107

Grants from other government agencies

16,685

Investment income Payments received on capital financing leases Reduction in capital financing leases Interest on capital indebtedness Adjustment of actuarial liability for annuities payable

EXPENSES Operating expenses

30,612,259

Bad debt expense Net nonoperating revenues

(7,800,593) 248,027 (166,472) (5,681) (786,755) 2,394 22,152,971

General and operating expenses

2,555,254

Budget expended at SIU

4,014,621

Income (Loss) before other revenues, expenses, gains and losses

Scholarships and cash grants to SIU

6,651,511

Contributions for capital assets

1,894,384

Additions to permanent endowments

2,338,203

Expenditures for the benefit of SIU Noncash grants to SIU Amortization and depreciation expense Other Total operating expenses Operating loss

22,499,615 1,034,107

Increase (Decrease) in net assets

(10,009,900)

(5,777,313)

386,279 1,607 37,142,994 (32,162,871)

NET ASSETS Net assets - beginning of year

131,678,350

Net assets - end of year

$125,901,037

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2008 Annual Report

SIU Foundation Board of Directors as of June 30, 2008

President Pamela K. Pfeffer ‘67 Community Leader Nashville, TN

Members John S. Brewster, J.D. ‘76 Partner Winters Brewster Crosby & Schafer LLC Herrin, IL Michael C. Carr ’74, J.D. ‘79 Asst. U. S. Attorney United States Attorney’s Office Carbondale, IL Robert A. Chamberlin ‘68 Owner Chamberlin Consulting Group, Inc. Lemont, IL

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Juh Wah Chen Dean Emeritus College of Engineering Southern Illinois University Carbondale Murphysboro, IL Paul L. Conti ’72, M.B.A. ‘74 Retired Chief Assets Officer VeriClaim, Inc. Glen Ellyn, IL Greg N. Cook President Cook Portable Warehouses Makanda, IL Harry L. Crisp III ‘92 President/Chief Operating Officer Pepsi MidAmerica and President/Chief Executive Officer Crisp Container Corporation Marion, IL

Larry R. DeJarnett ’62, M.S. ‘63 Managing Director The LAMAR Group Rancho Palos Verdes, CA John C. Dosier President, CEO First Southern Bank Carbondale, IL James T. Gildersleeve ‘72 President Gildersleeve Fertilizer Co. Hudson, IL Samuel Goldman Chancellor Southern Illinois University Carbondale, IL Roger G. Gray ‘64 Retired Central Bank of Marion Cobden, IL

Southern Illinois University Foundation

Michael R. Howell ’80, J.D. ‘83 President Howell Financial Services Sparta, IL Kenneth J. Hull ‘58 Retired Chairman and CEO Follett Corporation Downers Grove, IL Carl A. Jennings ’67, Ph.D. ‘71 Retired President North American Chemicals Division BASF Corporation Marco Island, FL & Raleigh, NC

Dianne Meeks Community Leader Carbondale, IL Christoph E. Micha ‘83 Manager, TeleDiagnostic Program DaimlerChrysler Corp.

Farmington Hills, MI Mary Kay Moore ’78, M.S. ‘81 Community Leader Carbondale, IL Thomas E. Nielson, M.D. ‘81 Emergency Physician Heartland Emergency Specialist Bloomington, IL

Roger B. Tedrick ‘70 SIU Board of Trustees Owner Tedrick Insurance Agency Mount Vernon, IL H. Wesley Wilkins ‘77 Attorney-at-Law Cobden, IL

Honorary Director Dorothy M. Morris, Hon. L.H.D. ‘98 Retired Chapel Hill, NC

Alternates

Julius A. Johnson ‘57 Retired Administrative Law Judge U.S. Department of Labor Washington, DC

Glenn W. Poshard ’70, M.S.Ed. ’75, Ph.D. ‘84 President Southern Illinois University Murphysboro, IL

Michelle J. Suarez ’85, M.S.Ed. ‘04 Associate Vice Chancellor Executive Director SIU Alumni Association Carbondale, IL

Marvin K. Kaiser ‘63 Retired Chief Administrative Officer Doe Run Company Mayfield, KY

Marsha G. Ryan, J.D. ‘87 Physician, Surgeon, Professor of Law Murphysboro, IL

Vacant SIU Board of Trustees

F. Lynn McPheeters ‘64 Retired Vice President/CFO Caterpillar, Inc. Peoria, IL

Howard M. Spiegel ‘75 Account Manager Arrow Semi-Conductor Buffalo Grove, IL

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2008 Annual Report

- CAMPAIGN STEERING COMMITTEE -

Campaign Leadership Honorary Chair Dorothy M. Morris, Hon. L.H.D. ‘98 Former First Lady Southern Illinois University Chapel Hill, North Carolina Campaign Chair Marsha G. Ryan, M.D., J.D. ‘87 Physician, Surgeon, Professor of Law Murphysboro, Illinois Campaign Vice Chair Philip M. Pfeffer, ‘65, M.A. ’66, Hon. L.H.D. ‘97 President, CEO Treemont Capital, Inc. Nashville, Tennessee President, SIU Foundation Larry R. DeJarnett, ‘62, M.S. ‘63 Managing Director The LAMAR Group Rancho Palos Verdes, California

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Past President, SIU Foundation Michael C. Carr, ‘74, J.D. ‘79 Assistant U.S. Attorney United States Attorney’s Office Carbondale, Illinois

President, SIU Alumni Association Sheri Hunter, ‘76, M.S.Ed. ‘88 Retired Teacher Marion, Illinois Past President, SIU Alumni Association Mimi Wallace, ‘62 Community Volunteer Beverly Hills, California Southern Illinois University Carbondale Samuel Goldman Interim Chancellor Campaign Executive Director Rickey N. McCurry Vice Chancellor for Institutional Advancement and Chief Executive Officer, SIU Foundation Campaign Director Jeff Lorber Associate Vice Chancellor for Institutional Advancement and Executive Director of Development

John S. Brewster, J.D. ‘76 Partner Winters Brewster Crosby & Schafer LLC Marion, Illinois Carolyn F. Donow, ‘74, M.S.Ed. ‘76, Ph.D. ‘82 Retired Associate Director Office of Research Development & Administration Southern Illinois University Carbondale Makanda, Illinois Bob G. Gower, ’58, M.A. ‘60 Director Unidym Houston, Texas Christoph E. Micha, ‘83 Manager, TeleDiagnostic Program DaimlerChrysler Corporation Farmington Hills, Michigan Willie Pearson, Jr., Ph.D. ‘81 Professor of Sociology & Chair, School of History, Technology & Society Georgia Institute of Technology Atlanta, Georgia Pamela K. Pfeffer, ‘67 Community Leader Nashville, Tennessee

Mary M. Roe, ’65, M.S. ‘66 Retired VP of Student Services Rend Lake College Pinckneyville, Illinois Stephen J. Scates, ‘59 Partner Pat Scates & Sons Shawneetown, IL Herbert S. Shear, ‘69 Chairman & CEO Genco Distribution System Pittsburgh, Pennsylvania Donald A. Stork, ‘61 Consultant Media Management Inc. Belleville, Illinois Harvey Welch, Jr., ‘55, M.S.Ed. ‘58 Retired Vice Chancellor Southern Illinois University Carbondale Carbondale, Illinois David P. Will, ‘75 Manager of Global Machine Development Caterpillar, Inc. Peoria, Illinois

Southern Illinois University Foundation

SIU Foundation and Related Staff SIU Foundation Rickey N. McCurry, Vice Chancellor for Institutional Advancement and Chief Executive Officer Elizabeth Banycky, Director and Treasurer

Jeff Lorber, Associate Vice Chancellor for Institutional Advancement and Executive Director of Development Bryan C. Vagner, Assistant Vice Chancellor for Institutional Advancement and Managing Director Nancy A. Vallino, Business Administrative Associate and Corporate Secretary

Annual Giving Nanditha Balasubramanian, Director of Annual Giving, SIU Foundation Leah Bahr, Director of Annual Giving, Student Affairs

Tracee Tyner Norris, College of Liberal Arts Rebecca Stenhaug, Central Development and College of Agricultural Sciences

Constituent Development Directors David Ardrey, College of Education and Human Services

Corporate & Foundation Relations Jill Gobert, Director

Matthew C. Baughman, Paul Simon Public Policy Institute Mary Carroll, Chicago Region Deborah Case, School of Medicine Tammy C. Cavarretta, College of Business George R. Cotton, Sr., College of Science

Beth L. Mohlenbrock, Executive Director

Kevin Ginther, Intercollegiate Athletics

Linda Wright, Director of Gift and Biographical Processing

Eden Thorne, College of Engineering

Amber Kinkelaar, Assistant Director of Annual Giving, SIU Foundation

Advancement Services Twyla D. Adkisson-Peak, Director of Research and Data Integrity

David B. Schwartz, Director of Information Systems

Judith Ray, School of Law

Michael Ellis, College of Applied Sciences and Arts Ronald D. Graves, College of Mass Communication and Media Arts Kevin Lister, Central Development Kristine McGuire, Library Affairs Tanna Morgan, Central Development

Development Communication Emily Britton, Editorial Assistant Greg Scott, Director Planned Giving Yvonne M. Spencer, Director Financial Services Cindy Ciganovich, Investment Specialist Marla Fuller, Director of Gift Accounting Kimberly Hawk, Director of Accounts Payable Kristy McClurken, Budget Officer Coordinator Cindy Moreno, Director of Accounting Services, Springfield Office

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2008 Annual Report

The Southern Illinois University Foundation was established in 1942 to solicit, receive, hold, and administer gifts from private sources for educational purposes. The SIU Foundation provides alumni and other friends a means to invest in the future of their University. The Foundation is an independent, non-profit corporation which exists solely to further the mission of Southern Illinois University Carbondale.

The SIU Foundation is a designated 501(c)3 organization with appropriate approval from the Internal Revenue Service to issue tax deductible receipts for private gifts received to support Southern Illinois University Carbondale.

Southern Illinois University Foundation Colyer Hall – Mail Code 6805 Southern Illinois University Carbondale 1235 Douglas Drive Carbondale, Illinois 62901 618/453-4900 siuf@siu.edu www.siuf.org

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Southern Illinois University Foundation

Produced by Department of Development Communication Mail Code 4309 Southern Illinois University Foundation 1235 Douglas Drive Carbondale, Illinois 62901 618/453.4900 www.siuf.org Editor: Greg Scott Art Direction: Jay Bruce Designer: Nathan Krummel Photographers: Steve Buhman, Rusty Bailey Photo on page 4-5 courtesy of Robert Holcombe Contributors: Libby Banycky, Emily Britton, Nancy Vallino Printer: Print Group Inc. Ozark, Missouri A special thanks to University Communications