Thomas Jefferson University Hospitals Inc

“The following trustees have business relationships, not involving any transactions with tjuh: hyman kahn and jack farber michael heller, charles kopp, and mark alderman michael heller and ira lubert harold honickman, leonard korman, and ira lubert 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. Thomas jefferson university health system ("tjuh system") and tju formed as an affiliated group on june 30, 2014, with tju becoming the sole member of tjuh system. The bylaws of tjuh system have subsequently changed to reflect the changes to the tju bylaws, including tju becoming the sole corporate member of ah. 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. Thomas jefferson university health system ("tjuh system") and tju formed as an affiliated group on june 30, 2014, with tju becoming the sole member of tjuh system. Tjuh system is the sole member of tjuh. Of tjuh.”

“Tjuh system is the sole member of tjuh. The board of trustees shall be those persons who serve from time to time on the tjuh system board. Tjuh system recommends individuals for appointment to its board of trustees to its sole member, tju. Tju elects members to the tjuh system board of trustees who automatically become members of the tjuh board of trustees for resolution.”

“The form 990 is prepared by an independent accounting firm in conjunction with tju finance personnel 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 final approval before filing. Form 990, part vi, line 12c annual conflict of interest statements are completed by the board of trustees, senior management, and key representatives of tjuh. All conflicts are referred to the corporate compliance officer for resolution. The chairman of the board and the president of tjuh are responsible for monitoring the conduct of and disclosure by key representatives and they identify, address, and/or resolve actual or potential conflicts in consultation with legal counsel and/or the corporate compliance officer. If deemed necessary or advisable, individual cases may be referred to the full board or a committee thereof for resolution.”

“THE PROCESS FOR DETERMINING COMPENSATION OF THE OFFICERS AND KEY employees of TJUH uses several external market survey data providers such as Mercer Sullivan Cotter, and Gallagher Surveys. The salaries in the surveys are anonymous and contain several other participating organizations in healthcare. The TJU Board hires and determines the base and incentive compensation for the President of TJUH. (In his role as President for TJUH System). While presidents are not officers or employees of the TJU legal entity itself, they do report to the TJU CEO. TJUH formulates market data sheets by sharing the 25th, 50th, and 75th percentiles. For compensation, TJUH targets the 50th percentile of the market. However lower and higher percentiles may be used depending upon a candidate's depth of experience. TJUH also targets organizations such as teaching hospitals, those from northeastern U.S.A., and those with revenue greater than one billion dollars as a gauge for determining compensation ranges.”

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

“Other changes in net assets or fund balances increase in pension liability (30,752,422) change in noncontrolling interest in joint venture 438,316 temporarily restricted unrealized gains 829,363 change in assets held by affiliated foundation 219,902 donated capital received 4,215 equity transfers 8,134,536 net assets released from restriction - purchase of p,p&e - unrestricted 411,840 net assets released from restriction - purchase of p,p&e - temporarily restricted (411,840) perm. Restricted unrealized loss on externally held trusts (99,993) 6/30/14 jura and jccc balance sheet 396,758 ------------- total $ (20,829,325) =============”