Graham Gund Gallery

“THE FOLLOWING FOOTNOTE IS INCLUDED IN THE CONSOLIDATED FINANCIAL STATEMENTS: COLLECTIONS AND WORKS OF ART - COLLECTIONS ARE NOT CAPITALIZED UNDER THE PROVISIONS OF ASC 958-605, REVENUE ROCOGNITION - CONTRIBUTIONS RECEIVED. ALL WORKS OF ART AND COLLECTIONS ARE HELD FOR PUBLIC EXHIBITION, EDUCATION, OR RESEARCH; ARE PROTECTED, KEPT UNENCUMBERED, CARED FOR AND PRESERVED; AND ARE SUBJECT TO POLICIES GOVERNING THEIR USE. PRIOR TO ASC 958-605 ADOPTION, THE COLLEGE (KENYON COLLEGE, A RELATED SECTION 501(c)(3) EDUCATIONAL INSTITUTION AND SOLE MEMBER OF THE GALLERY) DID CAPITALIZE WORKS OF ART AND COLLECTIONS. AT JUNE 30, 2015 AND 2014, THE NET BOOK VALUE OF THESE ITEMS IS $1,862,696 AND IS REFLECTED IN THE EQUIPMENT SECTION OF THE CONSOLIDATED STATEMENTS OF FINANCIAL POSITION.”

“The gund gallery prioritizes modern and contemporary art for its gallery collection, which is separate from kenyon college's art collection. A collection focus on modern and contemporary art presents an opportunity for the gund gallery to assist kenyon college in uniquely positioning itself as a top-tier liberal arts college in the united states. This focus also capitalizes on the strengths of the collecting expertise of alumni, donors, and friends of kenyon college. Finally, the gallery collection focus presents opportunities for contemporary art to be commissioned or gifted by artists who may be affiliated with the programming of the gund gallery through residencies, exhibitions, visiting artist talks, and other programmatic formats.”

“THE FOLLOWING EXCERPT IS FROM KENYON COLLEGE'S CONSOLIDATED FINANCIAL STATEMENTS WHICH INCLUDE THE GRAHAM GUND GALLERY: THE INTERNAL REVENUE SERVICE HAS DETERMINED THAT THE COLLEGE, THE KENYON REVIEW, THE GUND GALLERY, THE KOKOSING NATURE PRESERVE, AND THE PHILANDER CHASE CORPORATION ARE EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(A) OF THE INTERNAL REVENUE CODE AS PUBLIC CHARITIES DESCRIBED IN SECTION 501(c)(3); ACCORDINGLY, NO PROVISION FOR FEDERAL INCOME TAXES HAS BEEN MADE IN THE CONSOLIDATED FINANCIAL STATEMENTS. THE KENYON INN MANAGEMENT COMPANY IS SUBJECT TO FEDERAL INCOME TAXES, WHICH FOR JUNE 30, 2015 AND 2014 WERE NOT SIGNIFICANT TO THESE CONSOLIDATED FINANCIAL STATEMENTS. THERE WERE NO UNRECOGNIZED TAX BENEFITS AS OF JUNE 30, 2015. THE INCOME TAX RETURNS FOR ALL ENTITIES REMAIN SUBJECT TO EXAMINATION BY THE INTERNAL REVENUE SERVICE, AS WELL AS VARIOUS STATE AND LOCAL TAXING AUTHORITIES, GENERALLY FOR THREE YEARS.”

“The amounts in part v have been restated from prior years to reflect expenditures and other amounts that were inadvertently omitted on prior years' schedule d.”