Thomas Jefferson University

“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, HYMAN KAHN, ROBERT ADELSON, 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. FORM 990, PART VI, SECTION A, LINE 4 EFFECTIVE APRIL 30, 2015 AT 11:59 PM, THOMAS JEFFERSON UNIVERSITY ("TJU"), A PENNSYLVANIA NONRPOFIT ORGANIZATION THAT IS EXEMPT FROM FEDERAL INCOME TAXATION PURSUANT TO SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE, BECAME THE SOLE CORPORATE MEMBER OF ABINGTON HEALTH ("AH"). THIS TRANSACTION WAS ACHIEVED BY THE FILING OF THE AMENDED AND RESTATED ARTICLES OF INCORPORATION. AS A RESULT OF THIS TRANSACTIONS, AH AND ITS SUBSIDIARIES, ABINGTON MEMORIAL HOSPITAL, LANSDALE HOSPITAL CORPORATION, AND ABINGTON HEALTH FOUNDATION (COLLECTIVELY, THE "SUBSIDIARIES"), BECAME SUBSIDIARIES OF TJU, CREATING A UNIVERSITY HEALTH SYSTEM, KNOWN AS JEFFERSON, THAT ENCOMPASSES THOMAS JEFFERSON UNIVERSITY PLUS JEFFERSON HEALTH, A NEW COMBINED CLINICAL BRAND FOR FIVE HOSPITALS AND PHYSICIAN NETWORKS WITHIN THE SYSTEM. THE ORGANIZATION IS UNIQUE IN ITS GOVERNANCE STRUCTURE WITH ONE COMBINED BOARD AND EQUAL REPRESENTATION FROM JEFFERSON AND ABINGTON. RICHARD HEVNER, OF JEFFERSON, WILL BE THE CHAIR FOR THE FIRST TWO YEARS FOLLOWED BY CHAIR-ELECT STEPHEN CRANE, OF ABINGTON. TWO INDEPENDENT DIRECTORS HAVE ALSO BEEN APPOINTED. Form 990, Part VI, Section B, Line 11B THE FORM 990 IS PREPARED BY AN INDEPENDENT ACCOUNTING FIRM IN CONJUNCTION WITH TJU FINANCE AND IS REVIEWED INTERNALLY BY MANAGEMENT OF TJU. IT IS THEN PRESENTED TO THE AUDIT AND COMPLIANCE COMMITTEE OF THE BOARD OF TRUSTEES FOR REVIEW AND APPROVAL BEFORE FILING. FORM 990, PART VI, SECTION B, LINE 12C 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 2015 (July 1, 2014 through June 30, 2015). 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 2014 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 2015. 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 is maintained separately. All original disclosure forms remain on file in the office of university counsel. 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 c”

“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.”

“The organization makes its governing documents, conflicts of interest policy, and financial statements available upon request.”

“Other changes in net assets or fund balance increase in pension liability (75,842) temporarily restricted unrealized gains 4,883,884 equity transfers (8,134,536) perm. Restricted unrealized loss on externally held trusts (1,655,009) ----------- total (4,981,503)”