Ellis Hospital D/B/A Ellis Medicine

“A copy of the Ellis Hospital's 990 was prepared and submitted for review to the Senior Management team comprised of the Chief Executive Officer, the Chief Operating Officer, Chief Financial Officer, and Vice Presidents. After their review was completed, the Form 990 was sent to each member of the Audit Committee for review. After review by the Audit committee, a copy of the Form 990, including all required schedules, as ultimately filed with the IRS, was given to each voting member of Ellis' Board of Trustees, prior to its filing with the IRS. After review by the Board of Trustees, and upon the recommendation of the Audit Committee, approval is given for filing the return with the IRS.”

“Ellis Hospital's Conflict of Interest Policy applies to all Hospital Trustees, Officers, employees, Medical/Dental staff members, Directors, Managers, appointees with administrative and/or decision-making responsibilities, Volunteers or any of these parties' immediate families (collectively called Hospital Agents). The Ellis Hospital Corporate Bylaws require Hospital Agents and other selected individuals as identified by the Vice President, Human Resources and the Corporate Compliance Officer/Director of Internal Audit (CCO), to file a conflict of interest disclosure statement with the Hospital on a annual basis. When the statements are completed they are returned to the CCO. Upon receipt, the CCO will review the disclosure and, if a potential conflict is disclosed, will meet with the Hospital Agent and/or his/her appropriate supervisor to discuss the disclosure and need for action if any. All statements for Trustees are also reviewed by the CCO, and if a potential conflict has been disclosed, he/she will meet with the Board Chairperson to discuss the disclosure and need for action, if any. All potential conflicts involving the Board of Trustees will be summarized by the CCO and reported to the Audit Committee of the Board. This Committee will then share this information with the Board Chairperson. When a potential or actual conflict exists, An interested person may make a presentation to the Board or at a Committee meeting, but after such presentation, he/she shall leave the meeting during the discussion of, and the vote upon, the transaction or arrangement that could constitute the conflict of interest. The Board or Committee members shall determine by a majority vote whether the transaction or arrangement is in the Hospital's best interest.”

“The current Executive Compensation and Executive Incentive/At Risk Compensation plan are in full compliance with all existing rules and regulations applicable to a 501(c) corporation. The following is a summary of each plan:Executive Compensation Plan-The President, and all other corporate officers are governed by our Executive Compensation Program established by the Board of Trustees. A present range is set (less than 50%) based on a comparable salary survey by an external agency. This base salary is reviewed by the Executive Compensation Committee of the Board of Trustees and the full Board of Trustees.Incentive Compensation Plan (ICP)-The ICP program is administered also by the Executive Compensation Committee under the direction of the Board of Trustees. The Plan is based on preset goals and includes corporate qualitative goals, departmental goals, financial benchmarks and individual goals. All payments from this program are based on audited results and reviewed by the Board of Trustees prior to any payments being made. Payments are made annually after the year has been completed.The review of compensation agreements and gathering of comparability data in determining the reasonableness of compensation follow the procedures described in treasury regulation section 53.4958-6.”

“Corporate Compliance Policies (including Conflicts of Interest Policy) and audited Financial Statements are available to the general public via posting on the Ellis Hospital website: www.ellismedicine.org. In addition, these documents and governing documents are available to the public upon request.”

“= $0”

“Additional Min. Postretire Liability = $26743188”

“Change in Interest in Foundation = $1813508”

“transfer to Foundation = -$1429917”