Ats Facilities Inc

Part X, Line 2:

“ATS, Inc. and ATS Facilities, Inc. are not-for-profit organizations exempt from income tax under Section 501(c)(3) and 501(c)(2), respectively, of the Internal Revenue Code and exempt from similar state and local taxes. Although ATS, Inc. and ATS Facilities, Inc. were granted income tax exemption by the Internal Revenue Service, such exemption does not apply to unrelated business taxable income. Such income, pursuant to the Internal Revenue Code and related regulations, includes investment income such as interest received from sources other than directly from program fees. The organiation(s) have not been classified as a private foundation. The organization(s) file separately for ATS, Inc. and ATS Facilities, Inc. The Organizations analyze their income tax filing positions in the federal and state jurisdictions where they are required to file income tax returns, as well as all open tax years in these jurisdictions, to identify potential uncertain tax positions. The Organizations treat interest and penalties attributable to income taxes, and reflects any charges for such, to the extent they arise, as a component of its general and administrative expenses. The Organizations have evaluated their income tax filing positions for fiscal years 2013 through 2016, the years which remain subject to examination as of September 30, 2016. The Organizations concluded that there are no significant uncertain tax positions requiring recognition in the Organization?s consolidated financial statements. The Organizations does not expect the total amount of unrecognized tax benefits (UTB) (e.g. tax deductions, exclusions, or credits claimed or expected to be claimed) to significantly change in the next twelve months. The Organization do not have any amounts accrued for interest and penalties related to UTBs at September 30, 2016 or 2015, and are not aware of any claims for such amounts by federal or state income tax authorities.”