Carnegie Endowment for International Peace

“The endowment is subject to the enacted new york version of the uniform prudent management of institutional funds act (nypmifa). The board of trustees has interpreted nypmifa as requiring permanently restricted net assets to include the original value of the gifts donated and additions made to the permanent endowment in accordance with the donor gift instrument. The remaining portion of the endowment that is not classified as permanently restricted net assets is classified as temporarily restricted net assets until those amounts are appropriated for expenditure in a manner consistent with the donor gift instruments and the standard of prudence prescribed by nypmifa. The endowment maintains a $10 million permanently restricted fund, consisting of the original sums received from andrew carnegie and accumulated income thereon. The terms of the gift instrument stipulated that the principal may never be expended; however, the income is expendable. The endowment reports the original sums received from andrew carnegie as permanently restricted net assets. Accumulated income of $243,225,767 as of the fiscal year ending june 30, 2014 is reported as temporarily restricted net asset. The endowment adopted an investment policy and a spending rate policy designed to provide a relatively predictable and growing stream of revenues to the operating budget. The endowment follows an investment policy that attempts to maximize annualized returns, net of costs over rolling ten-year periods, while adhering to the endowment's risk parameters. Appropriations from the endowment funds are not available for expenditure until the annual budget has been approved. Appropriations must further programmatic goals, adhere to the terms of the donor's gift instrument, and the standard of prudence prescribed by nypmifa.”

“The endowment is exempt from federal income taxes on its exempt activities under section 501(c)(3) of the internal revenue code (the code), and has been designated by the internal revenue service as a "publicly supported" organization under section 509(a)(1) of the code. The endowment engages in certain activities that produce unrelated business income as defined by federal income tax regulations. When tax returns are filed, it is highly certain that some positions taken would be sustained upon examination by the taxing authorities, while others are subject to uncertainty about the merits of the position taken or the amount of the position that would be ultimately sustained. The benefit of a tax position is recognized in the financial statements in the period during which, based on all available evidence, management believes it is more likely than not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50% likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying balance sheet along with any associated interest and penalties that would be payable to the taxing authorities upon examination. The endowment files income tax returns in the u.s. Federal jurisdiction. As of june 30, 2014, and for the year ended, there were no material unrecognized/derecognized tax benefits or tax penalties or interest. With few exceptions, the endowment is no longer subject to u.s. Federal income tax examinations by tax authorities for years before 2010.”

“Curreny exchange - gain 319,956.”

“Fair value loss on interest rate swap 278,526.”