Jha Services Inc.

“Gregory C. Shapiro and Bernard Shapiro Gerontological Education and Research Fund: This fund was created to financially support the education and advancement of the staff's ability to care for the elderly. Support may be provided by conferences, symposiums, seminars, periodicals, training manuals, research grants, and scholarships for advanced education. Kriger Education Fund: The Kriger Education Fund's purpose is to provide a source of continuing education for the nursing staff, and is particularly directed where possible to enhance the CNA program. Bennett & Esther Webber Arts Fund: This Fund is used to support musical programs and art therapy programs for residents of The Cedars. Bernstein Gift: This Fund was established to support charitable purposes of the Organization. Draws from this fund are restricted to income earned on a principal amount of $331,500. Resident Subsidy Fund: This Fund was established to provide financial subsidies for eligible residents of The Hoffman Center and The Osher Inn.”

“JHA Services is exempt from federal income taxes under Section 501(c)(3) of the Internal Revenue Code. Tax-exempt organizations could be required to record an obligation for income taxes as the result of a tax position they have historically taken on various tax exposure items including unrelated business income or tax status. Under guidance issued by the Financial Accounting Standards Board (FASB), assets and liabilities are established for uncertain tax positions taken or positions expected to be taken in income tax returns when such positions are judged to not meet the "more-likely-than-not" threshold, based upon the technical merits of the position. Estimated interest and penalties, if applicable, related to uncertain tax positions are included as a component of income tax expense. JHA Services has evaluated the position taken on its filed tax returns. JHA Services has concluded no uncertain income tax positions exist at April 30, 2013. JHA Services' tax years from 2011 through 2014 are open and subject to examination.”