Buckner Retirement Services Inc.

“FORM 990, PART VI, LINE 11b: THE BOARD CHAIR APPOINTS A BOARD MEMBER FAMILIAR AND QUALIFIED IN ACCOUNTING MATTERS TO REVIEW AND DISCUSS THE TAX FORMS WITH STAFF, AND UPON APPROVAL OF THIS REVIEW, THE TAX FORM IS SENT TO THE FULL BOARD PRIOR TO THE FIING OF THE FORM.”

“FORM 990, PART VI, LINE 12c: TRUSTEES, DIRECTORS AND OFFICERS ARE REQUIRED TO SUBMIT A STATEMENT OF DISCLOSURE UPON APPOINTMENT TO THE BOARD AND THEREAFTER ANNUALLY. THE PURPOSE OF THIS STATEMENT IS TO PROVIDE A MECHANISM FOR THE DISCLOSURE OF ANY ACTUAL OR POTENTIAL CONFLICT(S) OF INTEREST. ANY ACTUAL OR POTENTIAL CONFLICTS THAT ARISE BETWEEN ANNUAL STATEMENT SUBMISSIONS ARE REQUIRED TO BE COMMUNICATED AS SOON AS POSSIBLE IN WRITING TO THE GENERAL COUNSEL. THE CONFLICT OF INTEREST POLICY (COI) IS EXPLAINED AT TIME OF ISSUANCE FOR SIGNATURE. THE COI DEFINES DISQUALIFIED PERSONS AND POTENTIAL CONFLICTS. ANY CONFLICTS THAT ARISE ARE REVIEWED AND APPROVED BY THE BUCKNER RETIREMENT SERVICES BOARD OUTSIDE OF THE PRESENCE OF THE INDIVIDUAL(S) INVOLVED.”

“FORM 990, PART VI, LINES 15A&B: Compensation decisions for the executive jobs are based on relevant compensation survey data, evidenced jobholder performance and available resources. The chairman of the board of trustees of Buckner International, a related entity, in consultation with the trustees is responsible for setting the compensation for the President/CEO job. The board chair coordinates with the human resources consultant to conduct a formal evaluation of the job performance of the president. The evaluation involves feedback from the president, his direct reports and the trustees. That data is reviewed by the board members and a report is reviewed with the president during his annual job performance evaluation meeting. This meeting occurs during the last 6 months of each year. A similar process is used for all executive job holders.”

“Form 990, part vi, line 19: governing documents, conflict of interest policy, and financial statements are available for review by request. They may be reviewed at the corporate office in dallas or may also be sent by mail.”

“Form 990, part xi, line 9: Net fund balance transfer to organizations $ (143,957) RECLASS REALIZED GAINS TO REVENUE $ (133,651) TOTAL $ (277,608)”

“FORM 990, PART XII, LINE 2B: BUCKNER RETIREMENT SERVICES, INC. IS A SUBSIDIARY OF BUCKNER INTERNATIONAL. BUCKNER INTERNATIONAL IS AUDITED ON AN ANNUAL BASIS. THE OPERATIONS OF BUCKNER RETIREMENT SERVICES ARE DISCLOSED IN THE SUPPLEMENTAL INFORMATION SECTION OF THE BUCKNER INTERNATIONAL AUDIT REPORT. A separate audit report is issued that consolidates only the operations of Buckner Retirement Services and Baptist Memorials Ministries and Buckner Senior Living.”

“SCHEDULE K: Buckner Retirement Services monitors compliance with the rules of section 145 of the Internal Revenue Code based primarily on private business use. Buckner Retirement Services has received private payments with respect to bond-financed assets or space but monitors compliance with the private activity bond tests of sections 141 and 145 of the Internal Revenue Code based primarily on limiting private business use.”