Albert Einstein Healthcare Network Group Letter Ruling

“The form 990 is prepared in connection with albert einstein healthcare network's independent accounting firm, pricewaterhousecoopers llp, and is reviewed internally by albert einstein healthcare network's management. The form 990 is then provided to the audit committee of the governing body for review. After review, but prior to filing, the returns are electronically mailed to the governing board.”

“In accordance with organization policy, each member of the board of trustees, all key employees and officers are required annually to complete a comprehensive conflict of interest disclosure for review by the governance committee of the board of trustees and are required to update such disclosures if there are any changes. Any actual or potential conflicts of interest are discussed and resolved in accordance with specific guidelines and reported to the board of trustees.”

“The board of trustees has delegated the responsibility for compensation review to the compensation committee of the board of trustees. Independent members of the compensation committee review and approve the compensation for the ceo and all other officers and key employees of albert einstein healthcare network. The compensation committee requires that one or more independent compensation experts review the compensation of all such persons to determine that such compensation is appropriate and reasonable and such independent expert uses applicable comparability data. The committee reviews the reports of the independent experts in detail and documents the data reviewed, the deliberation and discussion contemporaneously.”

“The organization makes its governing documents, conflict of interest policy, and financial statements available upon request. Form 990, part x balance sheet certain prior year balances have been restated to conform to the current year presentation.”

“The organization's mission is the provision of compassionate, high quality health care in order to elevate the health status of the patients it serves in southeastern pennsylvania, southern new jersey and delaware. The group serves these individuals and others with health care programs and services ranging from community health education and preventive medicine to complex and specialized care requiring advanced technology and highly expert staff. The group enthusiastically embraces its special responsibility to the most vulnerable residents in its primary service area and to the members of the jewish community. The group reflects the values of the jewish community by caring for any person regardless of race, religion, national origin, or the ability to pay. The group's educational commitment includes providing health education to the community, and training and educating medical school students, graduate and practicing physicians, and other health care professionals. The group also supports clinical research for the purpose of enhancing the quality of patient care and advancing the science of medicine.”

“AEHN GROUP IS LICENSED TO OPERATE 721 ACUTE CARE BEDS. TERTIARY CARE IS PROVIDED THROUGH THREE LOCATIONS, ITS MAIN CAMPUS IN NORTH PHILADELPHIA, ITS CAMPUS AT ELKINS PARK AND ITS CAMPUS AT MONTGOMERY COUNTY. IN ADDITION, ITS MAIN CAMPUS OPERATES A 24-HOUR LEVEL I TRAUMA CENTER WITH AN OPEN ADMISSIONS POLICY PROVIDING EMERGENCY SERVICES TO THE COMMUNITY. AEHN GROUP PROVIDES HEALTH AND HEALING SERVICES TO THE COMMUNITIES IT SERVES AND TRAINS PHYSICIANS TO BE ACCOMPLISHED LEADERS THROUGH SCHOLARLY ACTIVITY, EXCELLENCE IN TEACHING AND PARTICIPATION IN RESEARCH.AEHN GROUP IS LICENSED TO OPERATE 197 REHABILITATION BEDS. REHABILITATION SERVICES ARE PROVIDED IN A 17-BED SETTING ON ITS MAIN CAMPUS AND 50-BED SETTING AT FOUR OTHER HOSPITALS AND IN A 130-BED SETTING AT THE ELKINS PARK LOCATION. AEHN GROUP OPERATES AND MAINTAINS HOSPITALS AND CLINICAL FACILITIES FOR THE STUDY, DIAGNOSIS, CARE, TREATMENT, AND REHABILITATION OF PERSONS WITH MENTAL OR EMOTIONAL DISORDERS. AEHN GROUP PROVIDES EDUCATION AND COUNSELING OF SUCH PERSONS AND THEIR FAMILIES AND ENGAGES IN EDUCATIONAL AND RESEARCH PROGRAMS TO FACILITATE AND SUPPORT SUCH ACTIVITIES. FORM 990, PART V, LINE 15 ALBERT EINSTEIN MEDICAL CENTER (EIN 23-1396794) IS THE COMMON PAYING AGENT FOR THE ALBERT EINSTEIN HEALTHCARE NETWORK. ACCORDINGLY, IT FILED FORM 4720 TO REPORT THE INTERNAL REVENUE CODE SECTION 4960 TAX ON EXCESS COMPENSATION. FORM 990, PART VI, SECTION A, LINES 6, 7A and 7B THE ALBERT EINSTEIN HEALTHCARE NETWORK IS A NOT-FOR-PROFIT CORPORATION THAT CONTROLS RELATED ORGANIZATIONS IN A HEALTH CARE DELIVERY SYSTEM SERVING THE GREATER DELAWARE VALLEY THROUGH SOLE MEMBERSHIP IN THOSE RELATED ORGANIZATIONS. THE ALBERT EINSTEIN HEALTHCARE NETWORK ("AEHN"), THE PARENT COMPANY, TOGETHER WITH ITS RELATED MEMBER ORGANIZATIONS, COMPRISES THE ALBERT EINSTEIN HEALTHCARE NETWORK ("NETWORK"). ALBERT EINSTEIN HEALTHCARE NETWORK GROUP IS A CONTROLLED ORGANIZATION THROUGH SOLE AEHN MEMBERSHIP. THE ENTITIES INCLUDED IN THE GROUP FILING ARE AS FOLLOWS: ALBERT EINSTEIN MEDICAL CENTER - EIN: 23-1396794 BCCT OVER CORP. - EIN: 23-1352200 EINSTEIN COMMUNITY HEALTH ASSOCIATES - EIN: 23-2760086 EINSTEIN MEDICAL CENTER MONTGOMERY - EIN: 20-4193243 EINSTEIN PRACTICE PLAN, INC. - EIN: 23-2664784 FORNANCE PHYSICIAN SERVICES, INC. - EIN: 23-2275991”

“Other changes in net assets (44,996,183) change in pension liability (37,836) investment impairment (111,663) change in beneficial interest in perpetual trusts 360,000 quasi endowment fund ------------ (44,785,682) ============”

“Description:other expenses total expenses:xxx-xx-xxxx program services:xxx-xx-xxxx management and general:425000 fundraising:”