Thomas Jefferson University

“Form 990, Part VI, Section A, Line 2 JACK FARBER AND REBECCA MATTHIAS (SPOUSE OF TJU TRUSTEE) - THIS BUSINESS RELATIONSHIP DOES NOT INVOLVE ANY TRANSACTIONS WITH TJU. MICHAEL HELLER, MARK ALDERMAN, AND CHARLES KOPP - THIS BUSINESS RELATIONSHIP DOES NOT INVOLVE ANY TRANSACTIONS WITH TJU. MICHAEL HELLER AND WILLIAM LANDMAN - THIS BUSINESS RELATIONSHIP DOES NOT INVOLVE ANY TRANSACTIONS WITH TJU. IRA BRIND, WILLIAM LANDMAN, LAWRENCE SMITH, AND JACK FARBER - THIS BUSINESS RELATIONSHIP DOES NOT INVOLVE ANY TRANSACTIONS WITH TJU. DAVID BINSWANGER, GERARD SWEENEY, AND MICHAEL HELLER - THIS BUSINESS RELATIONSHIP DOES NOT INVOLVE ANY TRANSACTIONS WITH TJU. CHRISTOPHER KNEIZYS AND RICHARD RILEY - THIS BUSINESS RELATIONSHIP DOES NOT INVOLVE ANY TRANSACTIONS WITH TJU. DAN MATTHIAS, RICHARD PESTELL, REBECCA MATTHIAS (SPOUSE OF TJU TRUSTEE) AND TJU HAVE A FINANCIAL RELATIONSHIP WITH THE SAME COMMERCIAL COMPANY. FORM 990, PART VI, SECTION A, LINE 4 On June 30, 2014, TJUH System separated from Jefferson Health System and affiliated with with TJU to form a new affiliated group, hereafter referred to as the University, to enhance their tripartite mission of education, research and patient care. All TJUH System trustees joined the TJU board of trustees. TJU became the sole member of TJUH System, and TJUH System became the sole member of Jefferson University Physicians. Form 990, Part VI, Section B, Line 11a The Form 990 is prepared in conjunction with PricewaterhouseCoopers LLP and reviewed internally by management. It is then sent to the board of trustees for their review. The Form 990 is reviewed and approved at a meeting of the Audit Committee as designated by Board of Trustees prior to filing. FORM 990, PART VI, SECTION B, LINE 12A TJU's Conflicts of Interest Policy for the Board of Trustees, set forth in Section XII of the University bylaws, adopted by the Board of Trustees on September 14, 1998 and revised on November 10 2004, requires members of the Board of Trustees to participate in an annual Conflicts of Interest Disclosure process. Written and Electronic questionaires are distributed to all voting members of the Board of Trustees and all Senior Management Officials employed by the University during fiscal year 2014 (July 1, 2013 through June 30, 2014). In certain instances, this summary report also includes information retrieved from other publicly filed documents pertaining to members of the university's board of trustees. This report outlines only disclosed relationships and transactions that pertain to governance related questions contained within the 2013 Internal Revenue Service Form 990. The dollar amount aggregate business with third-party organizations appears on this report only if the transaction exceeds $10,000 during fiscal year 2014. If the dollar amount of aggregate business with any entity exceeds $10,000, all transactions, regardless of their total dollar amount, are included in the report. A comprehensive report outlining all existing or potential financial or other interests maintained by members of the board of trustees and senior management officials will be provided separately. All original disclosure forms remain on file in the office of university counsel. FORM 990, PART VI, SECTION B, LINE 12C TJU regularly and consistently monitors conflicts of interests pursuant to its annual disclosure process. TJU's conflicts of interest policy applies to all officers, directors and key employees of the organization and members of those individuals' immediate family. Review of potential conflicts of interests and determinations if such conflicts exist, is within the jurisdiction of the Executive Committee. A person who may have a potential conflict is precluded from voting on decisions regarding any such transaction. such transaction.”

“FORM 990, PART VI, SECTION B, LINE 15 Each year, the human resources committee (the "HR Committee") evaluates the performance and compensation of the President and reviews the President's determinations regarding his evaluation of the performance and compensation of each senior officer. The Committee's deliberations and decisions regarding executive compensation and other matters are documented in contemporaneous minutes taken by the Chairman of the HR Committee and approved by the Committee. In determining compensation of the President, and in reviewing the compensation approved by the President for the senior officers, the HR Committee takes into account its objective of attracting, retaining and motivating talented executives with appropriate experience and skill sets to achieve the institution's strategic objectives. In addition, the HR Committee reviews certain peer group information and pre-established quantitative and qualitative performance criteria which measures achievement and contributions to TJU's strategic objectives. The weight given any one criterion and the mix of criteria included in determining compensation depends on position and principal areas of responsibility. Each year, the President and Chairman of the Board of Directors agree upon the President's goals and objectives for the ensuing year, which goals and objectives are approved by the HR Committee. The CEO's performance against targets and compensation is measured, evaluated and approved annually by the HR Committee. Since TJU's senior officers report directly to, and work on a daily basis with, the President, the Committee gives considerable weight to the President's evaluations of TJU's senior officers when reviewing the President's determinations regarding the senior officer's compensation. The President bases his evaluation primarily on whether each senior officer has met or exceeded the pre-established performance criteria. Each year, the senior officers and the President agree upon goals and objectives for the ensuing year. The agreed-upon goals and objectives are documented and then reviewed annually by the President with the HR Committee. The President evaluates each senior officer's performance against targets, and determines compensation, which determination is then reviewed with the HR Committee.”

“FORM 990, PART VI, SECTION C, LINE 19 The organization makes its governing documents, conflicts of interest policy, and financial statements available upon request. FORM 990, PART VII, SECTION B - INDEPENDENT CONTRACTORS Thomas Jefferson University Hospital (TJUH) and TJU have maintained a close academic affiliation. Services provided by TJU to TJUH include physician and non-physician personnel and other support services necessary to preserve and maintain the tertiary care capacity of Thomas Jefferson University Hospital. TJU also provides office and clinical space, as well as administrative, finance, human resources, information technology, maintenance, security, temporary staffing and other ancillary services to TJUH. Expenses charged for these services aggregated $227.7M for the year ended June 30, 2014.”