Colorado Ballet Foundation

“Investment policies for the endowment attempt to provide a predictable stream of funding for operations while seeking to maintain the purchasing power of the endowment assets. Over time, long-term rates of return should be equal to an amount sufficient to maintain the purchasing power of the endowment assets to provide the necessary capital to fund the spending policy and to cover the costs of managing the endowment investments. We expect our endowment funds, over time, to provide an average annual rate of return sufficient to preserve the original fair values of our endowment assets while providing an opportunity for real growth. Actual returns in any given year may vary from this amount. To satisfy this long-term objective, the investment portfolio is structured on a total-return approach through which investment returns are achieved through both capital appreciation (realized and unrealized) and current yield (interest and dividends). A significant portion of the funds are invested to seek growth of principal over time. In extraordinary circumstances, additional distributions may be made subject to the foundation's board approval.”

“The organization believes that they have appropriate support for any tax positions taken affecting the ballet foundation's annual filing requirements, and as such, do not have any uncertain tax positions that are material to the consolidated financial statements. The organization would recognize future accrued interest and penalties related to unrecognized tax benefits and liabilities in income tax expense if such interest and penalties are incurred. The ballet foundation's forms 990 and other income tax filings required by state, local, or non-u.s. Tax authorities are no longer subject to tax examination for years before 2021.”