Special Olympics Inc.

“Timothy p shriver, chairman, and bobby shriver, director have a family relationship. Chairman, timothy shriver and directors, and angelo moratti individually own interests that together control lovin scoopful, llc, whose purposes are (1) to merchandise ice cream and (2) to use its profits to support charities (particularly special olympics).”

“The special olympics federal form 990 is prepared by an external firm, rsm, and reviewed internally by senior management. After which, it is submitted by the chief financial officer and chief legal officer to the board of directors' audit and finance committee for review and approval. The final federal form 990 is sent to each board member by email prior to filing with the internal revenue service.”

“Special olympics' conflict of interest policy applies to all special olympics directors, officers, and employees and requires the avoidance of the appearance of a conflict as well as actual conflicts. Special olympics' chief legal officer is charged with enforcing the conflict of interest policy. Potential or actual conflicts are dealt with according to whether the conflict involves a director, ceo, or president (in which case the matter is submitted to the board of directors) or involves another officer or employee (in which case the matter is submitted to the president or ceo). Violations may result in sanctions up to termination. Each spring, special olympics asks each officer, director, trustee, and key employee to complete and sign a questionnaire that includes a copy of the special olympics conflict of interest policy, an acknowledgment that the recipient has read the policy, confirmation that the recipient complied with the policy during the preceding year and up to the date of completing the questionnaire, a statement that the recipient has no conflicts to report or has reported them on the questionnaire, and an undertaking to promptly advise the ceo of special olympics upon becoming aware of any conflict. No special olympics director, officer, or employee who has a conflict of interest may vote or otherwise participate in any final deliberation or decision on behalf of special olympics regarding any contract, transaction, or other matter in which the director, officer, or employee has a conflict.”

“Special olympics' bylaws provide that the board of directors compensation committee shall, subject to approval of the board of directors, annually review, set, and document the reasonableness of the total compensation (including benefits and deferred compensation) for the chair (if compensated) and the chief executive officer and review, approve, and document the total compensation (including benefits and deferred compensation) for the senior executives who report directly to the chief executive officer. At least once every two years, the compensation committee presents to the board of directors a written evaluation of the chief executive officer's performance. No member of the board of directors who receives compensation from special olympics serves on the compensation committee. In 2016 compensation of the board chair, chief executive officer, and each position reporting to the chief executive officer was reviewed and approved by the compensation committee based on 2015 performance. Positions reporting to the chief executive officer are: chief legal officer, senior vice president of global development and government relations, senior vice president and chief financial officer, chief marketing officer, chief of organizational excellence, chief development officer, chief technology officer, chief executive producer of special olympics 50th anniversary, chief of regional and program operations, chief of games and competitions and senior vice president of sport and health. Special olympics international's compensation committee uses a market analysis of the compensation and benefits packages provided to executives of comparable organizations. This review is used as benchmarking information for determining the market value of positions.”

“Special olympics makes its articles of incorporation, bylaws, general rules, and conflict of interest policy documents available to the public on its website at www specialolympics.org and upon request for the same period of disclosure as set forth in section 6104(d).”

“From march 30 - june 30, 2016, mary davis, the first non-american global ceo of soi, was employed full time and worked and was compensated by soi's ireland field office for activities conducted fully in ireland. These amounts paid, were not reportable on form w-2 but are reported in part vii and schedule j, part ii. From the period july 1 - december 31, 2016, ms. Davis was fully employed in the u.s. As ceo and a w-2 was issued to her in the for services in this capacity and performed in the united states and is also reported in part vii and schedule j, part ii. Specifics related to this unique reporting arrangement for this person in this bifurcated period is available only to the irs upon request. As such, the total amount reported in part vii and schedule j, part ii for ms. Davis will not equal amounts required to be reported on form w-2 for calendar tax year 2016.”

“Unrealized gain on foreign currency 198,611. Assets for soi endowment fund, inc -198,584.”

“The process for overseeing the audit of the financial statements and selection of an independent accountant that audited the financial statements has been consistent with prior years.”

“According to the 2016 special olympics reach report, in 2016 the special olympics movement had 1,086,192 adult volunteers, 339,394 youth volunteers between the ages of 12 and 15, more than 100,000 law enforcement volunteers, more than 20,000 health volunteers, and 432,286 coaches. The special olympics reach report is an annual summary of key programmatic results achieved by the special olympics movement each year and includes data from all special olympics programs across the globe. Also included are the uncompensated directors.”