Lloyd A. Fry Foundation Annual Report 2006 Lessons Learned Mission The Lloyd A. Fry Foundation supports organi- zations with the strength and commitment to address persistent problems of urban Chicago resulting from poverty,

About the Foundation Table of Contents In 1933, Lloyd A. Fry founded the Lloyd 2 Message from the Chairman violence, ignorance, and A. Fry Roofing Company on the Southwest 3 Message from the Executive Director Side of Chicago. During the next five 6 Grant Highlights decades, the company grew to become 22 High School Initiative despair. We seek to build the the world’s largest manufacturer of 25 2006 Grants asphalt roofing and allied products, with 33 Independent Auditors’ Report nearly 5,000 dedicated employees in 38 Grantmaking Programs capacity of individuals and manufacturing facilities nationwide. 39 Grant Application Procedures The company was sold to Owens-Corning 41 Board of Directors and Staff Fiberglass Corporation in 1977. In large part, the proceeds from the sale of the the systems that serve them. company now serve as the endowment of the Lloyd A. Fry Foundation. The Foundation has been addressing the needs Our vision is a Chicago that of the Chicago community since 1983. offers education, prosperity, and hope for all.

1 Lloyd A. Fry Foundation Message from the Chairman Message from the Executive Director

Fry Foundation board members spend a lot of time together on foundation activities. Perhaps I recently attended the opening day ceremonies of Silk Road Chicago, a new collaboration more than any other activity, we talk with one another (and with our extraordinary program between the Art Institute of Chicago, the Chicago Symphony Orchestra, and the Silk Road Project, staff) ceaselessly about tactical and strategic planning: What can we do better? How can we get which was founded by cellist Yo-Yo Ma. The Lloyd A. Fry Foundation is supporting work to more impact for our dollars? What should we be doing differently? How should we refocus our help bring the rich array of artistic and historical resources of Silk Road Chicago to Chicago areas of interest? We do this sort of planning in a formal way at a two-day retreat in August of public school students. A core theme of Silk Road Chicago is “what happens when strangers meet,” each year, but the conversation continues with barely a pause from one formal planning meeting when traditions are shared, technologies exchanged, and ideas are applied in new ways. to the next. Recognizing our own mildly compulsive tendencies, we have developed a shorthand This theme was illustrated beautifully by the Silk Road Ensemble. Beginning with what sounded characterization for the process: We refer to it as “Painting the Golden Gate Bridge,” with like a traditional Korean folk rhythm, the Ensemble then integrated rhythms from India and a nod to another process that never ends, realizing that, like those who labor at the mouth of Africa to form an altogether new set of unfamiliar, yet reminiscent rhythms. San Francisco Bay, whenever we think the process is completed we must dutifully go back to Fry Foundation grantees are like the Ensemble musicians, combining knowledge and the place of beginning and start again. techniques from diverse places in order to create something new——a new solution to old problems, 2006 was not a year of big new initiatives for us, rather it was a year in which we sharpened a different route, a possibly faster way of getting to desired ends. In this year’s annual report we our focus and instituted modest changes in our grantmaking, all intended to implement ideas that share the stories of four organizations that are applying knowledge in innovative ways and finding evolved from our process of Painting the Golden Gate Bridge. In August of 2005, at the beginning new approaches to their work——with impressive results. Common to them all is the story of of our 2006 fiscal year, we refined our grantmaking guidelines. We are interested in funding discovery, vision, know-how, and perseverance. grantee efforts that have potential long-term impact and benefits for our target population of need. Strategic Learning Initiatives, for example, borrowed strategies from business practices We are especially interested in efforts that will foster learning and innovation. We have an and combined them with educational approaches used in Chicago’s highest performing schools increasing emphasis on evaluation, asking our grantees to work with us as we try to maximize in order to create a new approach to helping low-achieving public schools improve. The result: the effectiveness of our grant dollars. reading and math scores that improved at rates two and three times higher than gains at In the pages that follow, you may read about some grantee efforts that we were pleased to comparable Chicago public schools. support. These inspired efforts should provide several good examples of the sorts of projects in Rush University Medical Center, a leading research hospital, used findings from the latest which we like to invest. There are many hard-working and dedicated people serving our grantees; diabetes research to develop a new set of inpatient care protocols which improved the health space does not permit us to recognize them all individually in these pages, but we salute them. outcomes of its patients with diabetes. With Fry Foundation support, Rush is now adapting We also spent some time in New Orleans in 2006 following Hurricane Katrina, trying to its protocols for use by Saint Anthony Hospital, a small, community hospital serving low-income determine how we could——as citizens of the nation and the world——use some of our resources to Chicago residents. Because the environment, circumstances, and types of patients at the two help that devastated community. More on that in next year’s annual report. Our focus remains hospitals are so different, the process of adaptation is likely to be similar to that of the percussion squarely on Chicago. And we are pleased to have the opportunity to serve this community. piece performed by the Silk Road Ensemble——resulting in something new, yet familiar. I must close by recognizing and thanking our extraordinary program staff. Our intelligent and As I complete my third year at the Foundation, I continue to be deeply impressed as well as thoughtful executive director, Unmi Song, has real leadership skills, and she is a catalyst for all inspired by the work of our grantees, their perseverance, and their creativity. This annual report the change that is best at the Fry Foundation. Ernest Vasseur has ably assumed responsibility for represents a small sampling of the ways in which Fry Foundation grantees are discovering new our health grants——which with his guidance include our world relief grants——and he has become knowledge, borrowing ideas, exchanging technology, and in doing so, improving the lives of our Senior Program Officer. Sharon Bush is starting her third year with us and has significantly low-income families throughout Chicago. improved the focus of our employment grantmaking. Yolanda Knight (education) and Sydney Sidwell (arts and culture) have brought to us extensive and valuable experience in their respective areas, and they both have wit, energy, and insight; we are fortunate to have them.

Howard M. McCue III Unmi Song Chairman Executive Director

2 Lloyd A. Fry Foundation 3 Lloyd A. Fry Foundation Education, prosperity, and hope for all. That is the vision behind the Fry Foundation’s grantmaking. We provide support to nonprofit organizations that have the strength and commitment to improve conditions for low-income, under- served Chicago residents. Grants are awarded in four major areas: Education, Employment, Arts and Culture, and Health. Across all of our funding areas, our focus is on helping organizations: Build capacity to enhance the quality of services and better assess the impact of programs; Develop successful program innovations that other organizations in the field can learn from or adopt; and Share knowledge so that information which canhelp low-income communities and individuals is widely and readily available.

4 Lloyd A. Fry Foundation 5 Lloyd A. Fry Foundation Education Strategic Learning Initiatives

Increasing the academic By integrating local lessons, national research, and business practices, Strategic Learning achievement of low-income Initiatives is working with networks of neighbor- students in Chicago has been a hood schools to help them improve student cornerstone of the Foundation’s achievement and transform the way schools operate. Developing shared leadership, providing grantmaking since its ongoing professional development for teachers, inception. Our interests focus and helping parents engage in their children’s on improving public education education are the core tenets of the program. and expanding educational For many years, Chicago’s public school system opportunities in order to increase was considered among the worst in the country. the academic achievement Today, however, many of the city’s schools and college graduation rates of demonstrate the potential to achieve powerful low-income students in results. The numbers are compelling. In 1990, 82 percent of all Chicago public elementary Chicago public schools. Teacher schools were considered low performing, professional development, with only 20 percent of students at or above the school leadership development, national average in reading. By 2005, 49 percent academic enrichment, and of students had risen to or were above the national average. What happened that led to such gains college preparation are among in student learning? Could the lessons from these the activities we fund to support local schools be applied to bring about school this goal. The Foundation improvements elsewhere? These were the questions the leadership of Strategic Learning also considers grant requests Initiatives (SLI) set out to answer. for policy advocacy when the connection to academic To do so, SLI identified the common characteristics achievement is clear. of the Chicago schools that made academic gains during the past fifteen years. They linked these characteristics with factors identified in national research as best practices for school improvement and with business practices used to improve the competitiveness of large companies such as Motorola, Southwest Airlines, and Ford Motor Company. The result: Scaling Up Best Practice, SLI’s partnership program with the Chicago Public Schools.

6 Lloyd A. Fry Foundation Scaling Up Best Practice builds networks of three “Fundamentally, Scaling Up is about creating a to five neighborhood schools that work together culture, structure, and process that develops and for four years to focus collectively on improving supports leadership at every level, ongoing student learning. They do so by developing learning for everyone involved with the school, shared leadership within each school and across and decision making by those closest to the prob- the network; providing teachers with training, lem,” notes John Simmons, SLI’s president. He coaching, and tools to enhance instructional believes that teachers, parents, and administrators methods; and increasing parents’ ability to have a lot of untapped energy and creativity. support and encourage their children’s learning Providing them with a way to take part in problem at home. solving and decision making will result in contin- uous school improvement and real student gains. A core tenet of the Scaling Up model is the business practice of developing high performing Scaling Up’s results are strong. Last year, teams——teams that maximize each member’s Scaling Up network schools increased the talents, use more of their potential, encourage number of students meeting or exceeding Illinois innovation, and move to a higher level of overall standards in reading and math at a rate two to performance. This is a significant departure for three times greater than comparable Chicago many schools, where traditionally teachers work public schools for the prior two years. Simmons in isolation, administrators try to accomplish attributes these outcomes to Scaling Up’s focus tasks alone, and the responsibility of on building shared leadership teams. When implementing new ideas falls to individuals. school administrators, teachers, and parents have shared goals, a sense of commitment, the ability to work together, and mutual accountability, increased student achievement is more likely. We have learned that clusters of schools working toward shared goals can learn more effectively and at a lower cost.

8 Lloyd A. Fry Foundation Employment Instituto del Progreso Latino

Helping families and individuals Through strong partnerships between community-based organizations and a community move out of poverty is the college, Instituto del Progreso Latino is modeling common thread that binds our a new way to prepare disadvantaged adults to Employment grantmaking. The further their education and advance to jobs that Foundation supports organiza- lift them out of poverty. tions that help low-income One in four working families in Illinois does not people prepare for, find, and keep earn enough to meet their basic needs. When jobs. Grantee organizations these adults try to improve their job prospects, provide an array of critical they are often faced with challenges such as lack of basic literacy skills, inability to afford services such as: employment- continuing education, and family and child care related literacy and English as a pressures. “Career pathways” is an approach to Second Language; pre-employ- helping individuals move from poverty and a ment, job placement, and job poor education to a promising career within local industries that have a growing demand for retention services; and vocational workers. In Chicago, the health care sector needs training connected to growing nurses and allied health professionals, as well as industries. Grants also support a diversified workforce that reflects the patient population. This need has opened an opportunity efforts to improve the quality to link bilingual Latinos to well-paying positions and effectiveness of employment in the health care industry——and Instituto del programs, and policy advocacy Progreso Latino had the vision and know-how to that improves the quality take advantage of the opportunity. and accessibility of education Building on a track record of developing effective and training programs for low- workforce training programs, Instituto created income adults. Carreras en Salud. Carreras is a career pathway program that sequences education and training opportunities to enable those with few skills and little experience to qualify for jobs as entry level Certified Nursing Assistants (CNAs) and then progress up to Licensed Practical Nurses (LPNs). Entry-level CNAs earn $9-$12 per hour; LPNs can earn $25,000–$40,000 annually. Students enter the program at various points along the pathway, depending on their backgrounds and skill levels.

10 Lloyd A. Fry Foundation At all levels of the program, students strengthen “I have been in education for thirty years and I their English language skills while learning have not ever seen advancement like this before. about the health care industry. “At Instituto, we One student, who was a Patient Care Technician use health care as a context for teaching math, when she came to the program, is now a language, computers, and other basic skills,” licensed LPN. She has job offers from four different explains program director Dr. Ricardo Estrada. hospitals and will make about $25 per hour, have “It’s a nontraditional way to teach the nontradi- the flexibility to organize her schedule, and be tional student.” eligible for tuition reimbursement to pay for her to become a Registered Nurse,” Estrada exclaims. The program is a partnership with Instituto and three other institutions——Humboldt Park The success of Carreras students has generated Vocational Education Center of Wilbur Wright interest in the program locally and nationally. College, Association House of Chicago, and Instituto wants to share its program model widely “At Instituto, we use health National Council of LaRaza. Wright College and is working to develop training materials that provides the LPN training for Carreras students will help other nonprofits develop and sustain care as a context for teaching while Instituto and Association House continue to a health career pathway program similar to math, language, computers, provide additional educational supports, such Carreras’. “Too often in the nonprofit world even and other basic skills.” as tutoring and child care assistance. And this is the most successful efforts end up fading away where Carreras’ early results are most impressive. due to lack of funding or interest over time. We In its first year of operation, 33 Carreras students are developing ways to share our program model entered the LPN program at Wright College; 88 that include walking people through the percent completed the program. financing mechanism and providing coaching on how to sustain and grow the program,” says Juan Salgado, Instituto’s executive director.

12 Lloyd A. Fry Foundation Arts and Culture Chicago Shakespeare Theater

Using the arts as a means to By developing a strong working knowledge of the education practices and theories that Chicago improve learning and provide Public Schools teachers are asked to implement in life enriching experiences their classrooms, Chicago Shakespeare Theater is the goal of the Foundation’s has been able to help teachers use Shakespeare to improve student literacy skills. Arts and Culture funding. We focus on arts education Many educators believe that a student who can programs for low-income read Shakespeare can read anything. Yet, faced Chicago youth and are especially with a classroom of struggling readers and under pressure to improve test scores, many teachers feel interested in programs that they and their students are ill-equipped to tackle provide a rich combination of: sophisticated classic texts. Thus, Shakespeare is arts instruction; performance often dreaded, shunned, hurried past, or stumbled or exhibition experiences; through. Chicago Shakespeare Theater is working to change this through an innovative professional interaction with professional development program for Chicago Public Schools artists; and training and (CPS) teachers called Bard Core. professional development opportunities for arts educators Bard Core grew out of a determined effort by Chicago Shakespeare Theater to help CPS teachers and classroom teachers. The with struggling readers improve student literacy Fry Foundation gives priority to through the use of Shakespeare’s texts in their partnerships between cultural classrooms. To accomplish this, the Theater’s education staff did two things. First, working with organizations and public reading and literacy experts, the Theater’s schools, as well as to cultural education department developed an understanding organizations directly serving of the education practices and theories that CPS low-income youth. teachers are asked to implement in the classrooms. Second, they began to think creatively about how their own set of skills and knowledge of Shakespeare could complement and support the classroom practice expected of these teachers.

14 Lloyd A. Fry Foundation “Instead of imposing an alien model upon the been read and discussed, students and teachers teachers, we came to understand the model that attend a matinee performance of the play at CPS teachers are asked to follow. As I delved into Chicago Shakespeare Theater. Not only do students the literacy literature, I realized how closely the encounter Shakespeare on the page, they are also two seemingly unconnected worlds of theater and introduced to Shakespeare the way it was written literacy intersected,” notes Marilyn Halperin, to be experienced——on the stage. director of education and communication at Chicago Shakespeare Theater. “Both theater artists Bard Core’s impact goes well beyond the and successful readers closely examine a text to teaching of Shakespeare. Teachers are using the discover the intention behind the written words techniques learned in this program to teach other and to visualize the action described on the page.” challenging texts in the English curriculum. “Teachers come with the hope of learning new The year-long program begins with an intensive ways to teach Shakespeare and discover how their week-long workshop that brings twenty-five CPS newly acquired skills are immediately transferable teachers together to study the techniques that across the language arts curriculum,” enable actors to capture the emotion and intention says Halperin. behind Shakespeare’s words. Curriculum experts and reading strategists participate as well and “We were able to bridge our knowledge base with translate the Chicago Shakespeare techniques into that of our teachers, and in so doing, our work practical classroom exercises for students. became critical to theirs. From the point of view of both the teachers involved and the CPS administra- Bard Core teachers meet throughout the school tion, our work in Bard Core, rooted in literacy year. In the spring, teachers and their students theory, is viewed as substantive, serious work—— tackle a selected Shakespeare work using the despite the fact that we are all having a great deal “Both theater artists and methods taught in Bard Core. After the text has of fun in the process,” Halperin explains. successful readers closely examine a text to discover the intention behind the written words and to visualize the action described on the page.”

16 Lloyd A. Fry Foundation Health Rush University Medical Center

Improving access to quality Spurred by the results of research and new stan- dards of care published by the American Diabetes health care is the focus of the Association, Rush University Medical Center Foundation’s Health Program. developed and tested new ways to better manage We give priority to efforts that: inpatients’ blood glucose levels. The protocols result in fewer complications, shorter hospital stays, and combine health education lower costs——but required a complete culture shift at on chronic diseases with early all levels of the hospital to implement. Rush is now disease detection screenings sharing its knowledge to help a smaller, community- and connect people with health based hospital achieve similar improvements to patient health outcomes. services; provide primary care to low-income and uninsured Generally diabetes is treated on an outpatient patients; enroll families into basis. When a patient is admitted to the hospital government-subsidized health for a non-diabetic problem, physicians and nurses tend to focus on the condition that brought the insurance programs; build on patient in and the diabetes is a secondary factor. strategic partnerships between a In 2002, Rush University Medical Center began health system and community- implementing a hospital-wide series of improve- based organizations; focus on ments for inpatient diabetic care that was based on the latest research in the field. This included linguistically and culturally more effective ways of administering insulin competent programs for patients and providing patient education, both while the with limited English proficiency; patient is in the hospital and after discharge. and improve knowledge The effectiveness of these changes was and practice in the health field. demonstrated last year when Rush outperformed 35 of 37 participating university teaching hospitals in a national comparison of their success in controlling patient blood sugar levels. These improvements resulted in fewer surgical compli- cations and infections, shorter hospital stays, and lower mortality. The Fry Foundation is assisting Rush to bring its proven practice into the broader community where diabetes runs rampant. Rush is working with Saint Anthony Hospital to adapt Rush’s inpatient diabetes protocols and to improve coordination of patient care with the hospital’s outpatient diabetes education program.

18 Lloyd A. Fry Foundation Saint Anthony is a small community-based “We hope, in the short term, to improve diabetes hospital serving a predominantly low-income, care for inpatients and strengthen outpatient uninsured, Hispanic patient population. diabetes programs. In the long term, we hope to Diabetes is the fourth leading cause of death see improvement in the overall health of the among Mexican Americans; 30 percent of Saint Anthony patient community. We also hope Mexican Americans have Type 2 diabetes, a rate our university hospital/community hospital twice as high as for other major ethnic groups in collaboration can be a model for other efforts to the United States. On its own, Saint Anthony address the epidemic of diabetes,” says lacks the resources and expertise to implement Dr. David Baldwin, director of the Rush Section the complex new standards of inpatient diabetes of Endocrinology and program leader. care. Rush and Saint Anthony will design and put into practice protocols for identifying hospitalized If successful, this effort will position Saint patients with diabetes, assessing their therapeutic Anthony to become a certified diabetes education and educational needs, and for effectively center, allowing the hospital to receive private administering insulin in the Emergency Room, and public insurance reimbursements for Intensive Care Unit, and general medical and diabetes and nutritional patient education. surgical units. Upon discharge from the hospital, These reimbursements would help sustain Saint patients will be referred for further outpatient Anthony’s ongoing diabetic care. Rush plans to education and medical care. share the outcomes of its work with Saint Anthony with other university teaching hospitals in the hopes of encouraging them to pursue similar partnerships with community hospitals that serve low-income and uninsured patients. “We hope, in the short term, to improve diabetes care for inpatients and strengthen outpatient diabetes programs.”

20 Lloyd A. Fry Foundation The High School Initiative The Fry Foundation’s High School Initiative is School Principal Richard Norman. “This and math outcomes and deepening the level moving into its final year, and of the six schools use of data has become a part of our school of professional development training offered that started with the Initiative, five remain: culture. We now have a successful model to to teachers. Improving high schools to Corliss, Crane, Curie, Kennedy, and Senn. For emulate that will live with us beyond the better prepare today’s students two schools——Corliss and Kennedy——2006 marked end of the Fry Foundation grant.” “Our school is unusual,” explains Jerryelyn for the complexities of 21st the completion of their fifth and final year of Jones, principal of Curie High School. “Many of the High School Initiative. The remaining three An annual retreat brings the school teams our teachers have been here for twenty to thirty century life, for further schools will complete their final year next together. This year’s annual retreat——Reaching years——since the school opened. I am losing education, and for careers is a spring. Each school has dedicated its principal and Sustaining High Levels of Achievement for teachers to retirement at an average of ten to top priority for school systems and a core team of teachers and staff to lead All Students——focused on deepening each school’s twenty per year. In the past five years, I have across the nation. The Fry the Initiative. Together, these teams have imple- capacity to use assessment data to understand hired one hundred new teachers in total. mented school improvement activities that academic trends taking place in the school and So our improvement efforts focused on creating Foundation’s High School research shows contribute to creating more respond appropriately. Each school practiced a culture of learning at every level. All teachers Initiative is designed to help successful high schools——helping teachers better working in teams to develop processes for participate in weekly professional development Chicago public high schools assess students’ strengths and needs, making analyzing school-wide and classroom data. workshops and new teachers are assigned take on this challenge. curriculum more coherent and relevant to And each school used its own data to analyze teacher-mentors during their first year.” students, improving the quality of instruction, and assess how it might better meet students’ The schools are now ready to build upon the Launched in 2001, this multi- developing and sustaining professional learning needs. Independent evaluators from Roosevelt rich store of experience gained and lessons year effort aims to build strong communities, and structuring opportunities for University, who are documenting the Initiative, learned through the Initiative. Crane High learning environments and students to have input into their own education. provided information collected from classroom School, for example, is one of fourteen schools improve students’ academic The Initiative has helped each school recognize observations, surveys and interviews with selected to participate in the High School the importance of learning how to use informa- students and teachers, as well as the more tradi- Transformation Project, a $25 million effort achievement through a collabo- tion about student progress as a tool to guide tional array of data from test scores, attendance funded by the Gates Foundation to help schools rative leadership process. decisions and raise student achievement. charts, and graduation rosters. Each school adopt rigorous college preparatory curricula in “Being part of the Fry Foundation High School identified the programs which were having the English, math, and science. “The Fry Foundation Initiative has taught us, among other things, the greatest impact on student academic achieve- Initiative prepared us to participate in the value of using data to set goals and expectations, ment and created plans for Initiative activities Transformation Project. It laid the groundwork. and as a way to measure our progress in next year. For almost all the schools, this Without it, we would not have been selected,” achieving the goals we set,” notes Senn High meant continuing a focus on improving literacy says Melver Scott, Crane’s principal.

22 Lloyd A. Fry Foundation 23 Lloyd A. Fry Foundation High School Initiative best practices in literacy education into classrooms throughout the school. Teachers are now integrating new School Profiles literacy practices in their lesson plans based on careful Lloyd A. Fry Foundation assessments of students’ academic performance, learning George Henry Corliss High School styles, and literacy needs. Teachers are also better Corliss’ long-term objective is to establish a community utilizing technology as a means of improving students’ 2006 Grants of student writers and to demonstrate an improvement academic achievement. Lesson plans, student grades, and in the quality of student writing. The school has classroom assignments are now posted on the Internet. offered a mix of classroom-based and supplemental This allows parents and students to access information after-school activities for students, and concentrated on easily and enables teachers to share curricular tools. building the instructional capacity of faculty. This has included the establishment of two Writing Centers with John F. Kennedy High School resources to help students practice and improve Research shows that freshman year is a vulnerable their writing skills; the creation of a Teacher Writing transition point for students. How well a student does Resource Center; working with the Illinois Writing during his or her freshman year is often a predictor of Project to develop new methods to teach writing; future high school success. Kennedy’s Fry Foundation teacher and student portfolios; a school-wide plan to Initiative focused on helping struggling freshmen by integrate writing across the curriculum; a “Step Up to providing after-school academic support. Students with Writing” program that teaches students to better the most need received intensive help through special organize their writing; and work with Measurement Saturday classes. In addition, Kennedy’s reading lab Incorporated, a company that provides professional provided students with extra help in reading and writ- hand-scoring services for essays and open-ended exams. ing and was a way to introduce students and teachers to new and sometimes individualized approaches to learning. Richard Crane Technical Prep Common High School Last year, Kennedy’s increase in reading scores was One of the key components of Crane’s Initiative among the highest in the Chicago Public School system. program is to close the technological divide and increase student engagement in school and academic Nicholas Senn High School work. The school now has a multi-purpose computer Senn’s Fry Foundation Initiative centers on raising lab, a math and science lab, a reading lab, and a teacher student achievement through school-wide, high-quality resource room. This year, Crane is implementing an professional development opportunities for teachers. intensive peer-based professional development program Over the past four years of the Initiative, more than to help teachers use the school’s new, state-of-the-art three-fourths of Senn’s teachers received professional technology as a means to increase student engagement development training from the nationally recognized and improve reading, math, writing, and overall tech- organization Research for Better Teaching. This training nology skills. This program will include training on provided teachers with a wide variety of techniques to how to analyze student data to identify student strengths keep students engaged in the classroom. Building on and weaknesses, helping teachers develop techniques to this experience, Senn will continue professional meet identified needs, and providing support to teachers development for faculty on advanced teaching tech- in using the new teaching strategies in their classrooms. niques. This includes workshops for teachers to create new classroom materials, the formation of teacher study Marie Sklowdowska Curie Metro High School groups, and peer coaching and feedback. This year, A core component of Curie’s program is to improve Senn will also develop student writing assessment tools student literacy skills school-wide. Curie has worked for use in all ninth and tenth grade core courses. with national literacy experts to deepen and expand its Data gathered from these assessments will be used to literacy programs and to train teachers to incorporate guide classroom instruction.

24 Lloyd A. Fry Foundation 25 Lloyd A. Fry Foundation Chicago Campaign El Valor Lawrence Hall Youth Services 2006 Grants and Awards Totals Education to Expand Community Chicago, Illinois Chicago, Illinois Schools in Chicago For expansion of the For academic programs ACE Technical Charter School Chicago, Illinois Succeeding Through Advanced $10,000 Chicago, Illinois For support of the Jenner Reading Strategies For the after school Elementary School partnership (STARS) Reading Clinic Leap Learning Systems applied learning clubs $65,000 $25,000 Chicago, Illinois $15,000 For the Language and Chicago Coalition for Erie Neighborhood House Literacy Enrichment $2,000,000 Adler Planetarium & the Homeless Chicago, Illinois Teaching Project Astronomy Museum Chicago, Illinois For Tutoring to Educate $20,000 Chicago, Illinois For the Educational for Aims and Motivation For the Astronomy Rights Initiative (TEAM), a tutoring and Lincoln Park Connections Program, a $10,000 college prep program Zoological Society teacher professional $20,000 Chicago, Illinois $1,500,000 development program Chicago Foundation for For Project N.O.A.H.: $25,000 Education Facing History and Ourselves The Reading Ark Chicago, Illinois Chicago, Illinois $25,000 The Associated Colleges For the Grants for Teachers For professional development of Illinois Study Group Program for Chicago public school Link Unlimited Chicago, Illinois and the Teacher Network teachers Chicago, Illinois $1,000,000 For the College Readiness Leadership Institute $15,000 For the Academic Program $35,000 Enrichment and College $15,000 Family Focus Readiness Programs Chicago Horticultural Chicago, Illinois $25,000 Belle Center of Chicago Society For evaluation of Hug-A- Chicago, Illinois Glencoe, Illinois Book’s literacy programs Literature for All of Us $500,000 To partner with the Chicago For Science First and College $40,000 Evanston, Illinois International Charter School First programs and evaluation For the Book Group $25,000 $30,000 Family Matters Program at Simpson Academy Chicago, Illinois $20,000 Big Shoulders Fund Chicago Metro History For the Community Tutoring Chicago, Illinois Education Center Program Loyola University $100,000 Education EmploymentArts and Health High School World Relief Special For the Extended Day Chicago, Illinois $30,000 Chicago Culture Initiative Purposes Program For the Students Exploring Chicago, Illinois $150,000 and Researching Community Gads Hill Center For the Science Education History (SEARCH) Program Chicago, Illinois for Public Understanding Brighton Park $30,000 For Teen Connection, a college Program Neighborhood Council preparatory program $35,000 Education $ 1,591,840 Chicago, Illinois Chicago Youth Programs, Inc. $25,000 For the School Reform Chicago, Illinois Midtown Educational Employment 995,000 Committee For the Teen Career and High Jump Foundation Arts and Culture 1,240,000 $15,000 Teen Tutoring Programs Chicago, Illinois Chicago, Illinois $25,000 For general operating support For the Metro Health 1,320,534 Business and Professional $50,000 Achievement Program People for the Public Interest Civitas Schools $20,000 High School Initiative 1,182,871 Chicago, Illinois Chicago, Illinois HighSight World Relief 450,000 For the Alliance for For professional Chicago, Illinois Mikva Challenge Innovation and Excellence, development programs For college readiness Chicago, Illinois Special Purposes 542,287 a learning and advocacy $30,000 programming For the Civic Educator network for Chicago Public $10,000 Network Total $ 7,322,532 Schools Community Renewal $20,000 $30,000 Society Inner–City Teaching Corps Chicago, Illinois Chicago, Illinois Namaste Charter School Centro Romero For Catalyst Chicago For the UrbaN Impact Chicago, Illinois Chicago, Illinois $25,000 Through Education (UNITE) For the Teacher Quality For the After School Program Program Initiative $15,000 Dominican University $25,000 $20,000 River Forest, Illinois Chicago Academy of Third payment of a Jumpstart Chicago– Near Northwest Sciences three-year $90,000 grant DePaul University Neighborhood Network Chicago, Illinois to support the Special Chicago, Illinois Chicago, Illinois For the Science on the Go Education Degree Program For Early Childhood For Project TEAM (Teachers education program for CPS Teachers Enrichment Program Engaged as Mentors) $20,000 $30,000 $25,000 $15,000

26 Lloyd A. Fry Foundation 27 Lloyd A. Fry Foundation New Hope Community Strategic Learning Initiatives Casa Central Harborquest, Inc. La Casa Norte Polish American Association Chicago Children’s Museum Service Center Chicago, Illinois Chicago, Illinois Chicago, Illinois Chicago, Illinois Chicago, Illinois Arts and Chicago, Illinois Chicago, Illinois For the Scaling Up Best For employment assistance For the Business For Esperanza Trabajando, For the Employment Services For CLIMB: Collaborative For the Tutoring for Youth Practice Program services at La Posada Development Unit an employment assistance and Vocational Training Culture Learning Museums & Beyond Program $50,000 $25,000 $35,000 program Programs $10,000 $15,000 $15,000 $30,000 Albany Park Theater Project Catholic Charities, Haymarket Center Chicago Children’s Theatre TARGET Area Development Chicago, Illinois New Leaders for Diocese of Joliet Chicago, Illinois Latino Union of Chicago Chicago, Illinois Corporation Project Match For theater education activities New Schools Joliet, Illinois For the employment Chicago, Illinois For arts and science education Chicago, Illinois Chicago, Illinois $25,000 Chicago, Illinois For the Campaign to Improve For the Daybreak Center services of the Family For employment assistance For Financial Services for activities to complement the For the Residents Training $10,000 Enrichment Center services for the Day Laborer production of A Year with School Attendance and Low-Income Populations: Art Institute of Chicago Program $25,000 Program Frog and Toad Achievement Program Getting Employment Service Chicago, Illinois $40,000 Center for Economic $15,000 $15,000 $20,000 Providers on the Right Track For the Silk Road Teacher Progress Housing Opportunities $40,000 Institute Noble Street Charter School Chicago, Illinois for Women Life Span The Chicago The University of Chicago, $42,000 Chicago, Illinois Center for Urban School For the Financial Chicago, Illinois Chicago, Illinois Protestants for the Community Trust For literacy programs Empowerment Project, For the Employment Services For the Employment Services Chicago, Illinois Improvement Common Good Art Resources in Teaching $40,000 a workplace-based financial Support Program Project For the Arts Education Chicago, Illinois Chicago, Illinois Chicago, Illinois education program $25,000 $25,000 Initiative For scaling up the New For the Providing For Building Arts Capacity in North Lawndale College $25,000 $25,000 Teachers Network Employment Opportunities the Classroom in Volta and Preparatory Charter i.c.stars Literacy Works $115,000 for Ex-Offenders Program Dodge Schools High School Chicago House and Social Chicago, Illinois Chicago, Illinois Chicago Dramatists Workshop $20,000 $15,000 Chicago, Illinois WBEZ Chicago Public Radio Service Agency For the Information For Succeed with Literacy, an Chicago, Illinois For the instructional support Chicago, Illinois Technology Training employment focused English For the playwriting programs Chicago, Illinois Public Allies Black Ensemble Theater program for at-risk students For the Increase Independence Program as a Second Language and in Chicago public schools To establish an Education Chicago, Illinois Chicago, Illinois $20,000 and Income Initiative $30,000 Adult Basic Education instruc- $15,000 Desk For the Apprenticeship For Strengthening the School $30,000 tional training program $60,000 Program, a leadership through Theater Arts Program The Oriental Institute Museum Inspiration Corporation $20,000 Chicago Opera Theater development program $10,000 Chicago, Illinois Wicker Park Learning Center Chicago Lights Chicago, Illinois for young adults Chicago, Illinois For the Ancient Nubia: Chicago, Illinois For the Employment Local Economic and For in-school opera residency Chicago, Illinois $20,000 Chicago Architecture Teacher Training and Student For the Job Training and Services Program Employment at Von Homboldt Elementary For the pilot tutoring project Foundation Achievement Program Readiness Program $40,000 Development Council School and after-school at the South Side YMCA Renaissance Collaborative Chicago, Illinois $25,000 $15,000 Chicago, Illinois program at Victor Herbert $21,840 Chicago, Illinois For the Newhouse Program Instituto del Progreso For the Entry-Level Industrial Elementary School For the Education and and Architecture Competition Perspectives Charter School Chicago Women in Trades Latino Skills Training Program $15,000 Employment Initiative and the development and Chicago, Illinois Chicago, Illinois Chicago, Illinois $20,000 Employment $20,000 implementation of the New For the Brain Builders For the Technical For Carreras en Salud Chicago Shakespeare Theater High School Architecture Initiative, a teacher Opportunities Program, Bilingual Healthcare Metropolitan Family Services Chicago, Illinois Access Living Spanish Coalition for Jobs Curriculum professional development and a pre-apprenticeship Bridge Program Chicago, Illinois For Team Shakespeare Chicago, Illinois Chicago, Illinois $35,000 student support program For the Community and training program for the $50,000 For employment assistance For employment services Bard Core Curriculum $30,000 skilled trades services for the Young Fathers $25,000 Economic Development and the Bilingual Medical Chicago Arts $30,000 Jane Addams Resource Initiative Team Assistant and Office Partnerships in Education The Posse Foundation Corporation $15,000 Chicago Sinfonietta $25,000 Technology Training Chicago, Illinois Chicago, Illinois Chicago Workers’ Chicago, Illinois Chicago, Illinois Programs For the Arts in Education For the Pre-collegiate Collaboration For the Workplace North Lawndale Employment For Audience Matters, an Albany Park $40,000 Partnership Design Training Program Chicago, Illinois English as a Second Network in-school music instruction Community Center Seminars $25,000 For the Worker Rights Language Program Chicago, Illinois program, and the SEED Chicago, Illinois Vital Bridges $30,000 To support the vocational Promoters Program $20,000 For the employment assistance Chicago, Illinois Program: Student Ensembles Project Exploration $15,000 services at the Resource Center with Excellence and Diversity counselor at the For the Learning Center at Chicago Chamber Chicago, Illinois Jobs for Youth/Chicago $25,000 $25,000 Adult Education Center the Garfield Park site Musicians For the Sisters4Science The Enterprising Kitchen Chicago, Illinois $25,000 $25,000 Chicago, Illinois Program Chicago, Illinois For the Customer Pan-African Association Chicago Theatre Company For support of artist $15,000 For Transitioning Service Skills Training Chicago, Illinois Chicago, Illinois Alternatives, Inc. Women Employed Institute residencies and music Women from Poverty to Program and to To support the salary of the For the Construction Chicago, Illinois Chicago, Illinois education in four Chicago Providence-St. Mel School Self-Sufficiency through develop a tracking and employer outreach specialist Company Program For the Career and For the Career Coach, an online public elementary schools Chicago, Illinois Social Enterprise project evaluation system for the Workforce Development $15,000 Employment Services Program career development program $20,000 For the Intervention Program $15,000 $25,000 $40,000 Program $40,000 $35,000 $25,000 Chicago Children’s Columbia College Asian Human Services, Inc. Goodwill Industries of Kenwood YMCA of Metropolitan Choir Chicago, Center for Black St. Agatha Family Chicago, Illinois Metropolitan Chicago Oakland Community Poder Learning Center Chicago Chicago, Illinois Music Research Empowerment For the ESL component Chicago, Illinois Organization Chicago, Illinois Chicago, Illinois For choral training Chicago, Illinois Chicago, Illinois of the Literacy Education For Job Counseling Chicago, Illinois For English as a Second For the Customer Service and performance programs For the Chicago Public For educational enrichment for Adults and Services for the Deaf and For the Employment Language and Computer and Employment Training in Chicago schools Schools Educational Outreach programs Families Program Hard of Hearing Development Program Training Programs Program and neighborhoods Initiative $15,000 $20,000 $15,000 $15,000 $20,000 $25,000 $20,000 $30,000

28 Lloyd A. Fry Foundation 29 Lloyd A. Fry Foundation Columbia College Chicago, Lookingglass Theatre Music Theatre Workshop River North Chicago American Heart Chicago Christian Illinois Caucus for PCC Community Museum of Contemporary Company Chicago, Illinois Dance Company Association Industrial League Adolescent Health Wellness Center Photography Chicago, Illinois For the Artist Training Chicago, Illinois Chicago, Illinois Chicago, Illinois Chicago, Illinois Oak Park, Illinois Chicago, Illinois For Education and Program For the Beat Goes On dance For the Search Your For on-site health care For general operating For the Maternal and Child For Picture Me after-school Community Programs in $20,000 education program in West Heart Program services support Health Community Services photography programs Chicago public schools Park Academy and Daniel $20,000 $25,000 $20,000 Program in Chicago in Curie and Juarez high $25,000 Pegasus Players Boone Elementary School $45,000 schools, a summer program Chicago, Illinois $10,000 The Ark Chicago Family Health Illinois College of at the Jane Addams Hull Luna Negra Dance Theater For the Artists in Residency Chicago, Illinois Center Optometry Planned Parenthood of the House Center for Arts Chicago, Illinois with Teachers in the Schools Sherwood For the Health Center Chicago, Illinois Chicago, Illinois Chicago Area & Culture in Uptown, For support of a dance (ARTS) Program Conservatory of Music $25,000 For the Health Disparities For the Vision of Hope Chicago, Illinois and a culminating student education program in Sabin $25,000 Chicago, Illinois Initiative Health Alliance For the Healthy Sexuality exhibition Elementary Magnet School For the Tuition Support Asian Health Coalition $30,000 $35,000 Program in Chicago public $20,000 $20,000 People’s Music School Program and for the of Illinois schools Chicago, Illinois in-school instruction program Chicago, Illinois Chicago Women’s Illinois Poison Center $20,000 Congo Square Theatre Lyric Opera of Chicago For music instruction at Benito Juarez For Opening Doors Health Center Chicago, Illinois Company Chicago, Illinois programs Community Academy Cultural Competency Chicago, Illinois For the Latino Outreach The Research and Education Chicago, Illinois For Meet the Artist, $20,000 $18,000 Training for Healthcare For the Well-Woman Program Foundation of the Michael For the Ensemble in OperaKids! and Teen Opera Professionals Program Gynecology Program $15,000 Reese Medical Staff Action Program in Calumet Circle programming The Poetry Center Steppenwolf Theatre $20,000 $20,000 Chicago, Illinois Academy, Hyde Park $25,000 of Chicago Company Interfaith Council for the For the Family Planning Career Academy, and Chicago, Illinois Chicago, Illinois Beacon Therapeutic The Children’s Place Homeless Program, a sex education South Shore Academy Marwen Foundation For the Hands on Stanzas For Steppenwolf for Young Diagnostic & Association Chicago, Illinois and pregnancy prevention $15,000 Chicago, Illinois poetry education program in Adults, a theater education Treatment Center Chicago, Illinois For Healthcare Services program For the Studio Program Chicago public schools program Chicago, Illinois For specialized medical Program $20,020 Court Theatre $20,000 $25,000 $25,000 For mental health services and therapeutic services at $25,000 Chicago, Illinois at Su Casa Shelter the Residential Center Roseland Christian For the Student Merit School of Music Puerto Rican Arts Street-Level Youth Media $15,000 $20,000 La Rabida Children’s Health Ministries Education Program in Chicago, Illinois Alliance Chicago, Illinois Hospital and Chicago, Illinois Chicago public high In support of the Bridges: Chicago, Illinois For the Summer Arts Better Existence Chinese American Research Center For the Dental Clinic schools Partners in Music Program In support of Cuatro and Apprenticeship Program with HIV Service League Chicago, Illinois $35,000 $25,000 and the Windows Program Spanish Guitar after-school $20,000 Evanston, Illinois Chicago, Illinois For the Community Asthma $40,000 classes in Chopin and For the Healthier Women For the Community Program Rush University Medical Center ETA Creative Arts Lowell elementary schools Urban Gateways HIV Prevention Program Health Program $25,000 Chicago, Illinois Foundation Millennium Park/ and Clementé and Chicago, Illinois in Chicago $25,000 First payment of a two-year Chicago, Illinois The Joan W. and Irving B. Kelvyn Park high schools For the Summer Institute, a $10,000 Lawndale Christian $300,855 grant to partner with For the Showfolk Daytime Harris Music and Dance $15,000 professional development Deborah’s Place Health Center Saint Anthony Hospital to Performance Series and the Theater seminar for Chicago public Carole Robertson Center Chicago, Illinois Chicago, Illinois improve diabetes care Arts in Education Programs Chicago, Illinois Raven Theatre school teachers for Learning For the Health Services For the Diabetes $170,514 $20,000 For the endowment Chicago, Illinois $20,000 Chicago, Illinois Program Component of the Chronic $200,000 For the Public School For the Family Health $20,000 Care Program Saint Anthony Hospital Intuit: The Center Partnership Program Young Chicago Authors Education Program $40,000 Chicago, Illinois for Intuitive and Museum of $15,000 Chicago, Illinois $35,000 Erie Family Health Center For the Primary Prevention Outsider Art Contemporary Art For a literary arts Chicago, Illinois Mobile C.A.R.E. Project Chicago, Illinois Chicago, Illinois Ravinia Festival program in Lindblom Centro Comunitario To support mental health Chicago, Illinois $35,000 For the Teacher Fellowship To underwrite student and Association Academy High School Juan Diego services for teens at the For the Community Asthma Program to provide teacher educational programs Highland Park, Illinois $20,000 Chicago, Illinois Teen Health Center Educator Component Sargent Shriver National professional development for $30,000 In support of Ravinia For the Community Health and Pedro Albizu Campos $30,000 Center on Poverty Law CPS teachers and implement in the Schools and the Promoters Program High School Chicago, Illinois in-school art lessons Music Institute of Chicago Lawndale Community $20,000 $35,000 Mount Sinai Hospital For the Illinois Health Policy based on outsider art Winnetka, Illinois Music Conservatory Health Medical Center Advocacy Project $10,000 For the Music Integration $50,000 Centro San Bonifacio Health and Medicine Chicago, Illinois $50,000 Project, a series of teacher Access Community Health Chicago, Illinois Policy Research Group For Project Advantage, a Joffrey Ballet training workshops, in-school Reading In Motion Network For the Multipliers Chicago, Illinois program to improve SGA Youth & Family Services Chicago, Illinois performances, and instruction Chicago, Illinois Chicago, Illinois Program, a community For the Initiative to Improve screening, treatment, and Chicago, Illinois For Education and in eight Chicago public For the Benchmarks For the Chronic Disease Care health education and the Health of Incarcerated follow-up for children with For the Bellas Artes Project, an Community schools Initiative Management Initiative referral program and Recently Released Girls developmental delays art therapy program Engagement Programs $15,000 $50,000 $35,000 $20,000 $25,000 $35,000 $20,000 $30,000 Music of the Baroque Redmoon Theatre AIDS Foundation of Chicago Chicago Children’s Howard Brown Health Near North Health St. Bernard Hospital and Lifeline Theatre Chicago, Illinois Chicago, Illinois Chicago, Illinois Advocacy Center Center Service Corporation Health Care Center Chicago, Illinois For choral education in public For the School For the Primary Care Case Chicago, Illinois Chicago, Illinois Chicago, Illinois Chicago, Illinois For the arts residency at high schools and the People's Partnership Program in Management and Disease For salary support for the To provide primary medical For the Asthma Patient For the Pediatric Mobile Field Elementary School Music School Audubon School Management Programs Medical Advocate position care to uninsured clients Education Program Health Unit $10,000 $15,000 $15,000 $40,000 $25,000 $35,000 $25,000 $30,000

30 Lloyd A. Fry Foundation 31 Lloyd A. Fry Foundation The University of Chicago Church World Service John G. Shedd Aquarium Hospitals & Health System Elkhart, Indiana Chicago, Illinois Independent Auditors’ Report Chicago, Illinois For the Emergency For general support For the Pediatric Mobile Care Response to Earthquakes $1,350 Program and the Teen Clinic in Pakistan/Kashmir $30,000 $100,000 Ravinia Festival Association Board of Directors of Lloyd A. Fry Foundation Highland Park, Illinois Vietnamese Association Doctors Without For the CSO performance of of Illinois Borders USA the Brandenburg Concertos in We have audited the accompanying statements of financial position Chicago, Illinois New York, New York the Martin Theater For the Family Health For the Emergency Relief Fund $10,000 of the Lloyd A. Fry Foundation as of June 30, 2006 and 2005, and the related Program $100,000 $25,000 Other Grants statements of activities and cash flows for the years then ended. These Heartland Alliance Grants made to 142 financial statements are the responsibility of the Foundation’s management. Villa Guadalupe Senior for Human Needs & organizations upon the Services, Inc. Human Rights recommendation of the Our responsibility is to express an opinion on these financial statements Chicago, Illinois Chicago, Illinois members of the Board of based on our audits. For the Health Component of For the resettlement of Directors, the Fry family, the Vecinos Program Hurricane Katrina and the employee matching $15,000 evacuees in Chicago grants program $50,000 $484,420 We conducted our audits in accordance with U.S. generally accepted White Crane Wellness Center auditing standards. Those standards require that we plan and perform the Chicago, Illinois Oxfam America For the Holistic Health Boston, Massachuetts audit to obtain reasonable assurance about whether the financial statements Outreach Initiative For the Humanitarian are free of material misstatement. An audit includes examining, on a test $25,000 Response Department $100,000 basis, evidence supporting the amounts and disclosures in the financial The Women’s Treatment Center statements. An audit also includes assessing the accounting principles used Chicago, Illinois Special Purposes and significant estimates made by management as well as evaluating For salary support of the pediatric nurse the overall financial statement presentation. We believe that our audits $25,000 Asian Americans/ Pacific Islanders in provide a reasonable basis for our opinion. YWCA of Metropolitan Philanthropy Chicago San Francisco, California Chicago, Illinois For membership dues In our opinion, the financial statements referred to above present fairly, For the RISE Children’s $200 in all material respects, the financial position of the Lloyd A. Fry Foundation Counseling Center $25,000 Chicago Council on as of June 30, 2006 and 2005, and its activities and cash flows for the years Foreign Relations Chicago, Illinois then ended in conformity with U.S. generally accepted accounting principles. For the President’s Circle High School $250

Initiative Council on Foundations Washington, DC For the activities of a multi- For membership dues year initiative to improve stu- $18,480 dent achievement and create Altschuler, Melvoin and Glasser LLP lasting improvements in the Donors Forum of Chicago learning environments at five Chicago, Illinois Chicago, Illinois Chicago public high schools For membership dues $1,182,871 $17,104 August 31, 2006

Grantmakers for Education World Relief Portland, Oregon For membership dues CARE, Inc. $1,000 Chicago, Illinois For the Earthquake Independent Sector Relief Fund for Pakistan Washington, DC and India For membership dues $100,000 $9,483

32 Lloyd A. Fry Foundation 33 Lloyd A. Fry Foundation Statements of Financial Position Statements of Cash Flows

June 30, 2006 June 30, 2005 June 30, 2006 June 30, 2005 Assets Operating activities Cash and equivalent $ 4,420,029 $ 4,464,790 Net increase in unrestricted net assets $ 5,629,305 $ 5,084,570 Accrued dividends and interest receivable 426,190 460,672 Depreciation 30,482 42,788 Excise tax refund receivable 171,754 Net realized and unrealized gains on investments (11,622,108) (10,099,585) Prepaid expenses 8,749 10,516 Changes in Investments 170,403,104 164,122,643 Accrued dividends and interest receivable 34,482 (103,338) Furniture and equipment, net 78,650 101,831 Excise tax refund receivable 171,754 44,916 $ 175,336,722 $ 169,332,206 Prepaid expenses 1,767 8,775 Liabilities and Net Assets Accrued expenses 1,530 3,694 Accrued expenses $ 63,630 $ 62,100 Excise tax payable 25,410 Excise tax payable 25,410 Unconditional grants payable 80,341 (562,045) Unconditional grants payable 420,341 340,000 Deferred federal excise tax 267,930 6,680 Deferred federal excise tax 535,035 267,105 Net cash used in operating activities (5,379,107) (5,573,545) 1,044,416 669,205 Investing activities Unrestricted net assets 174,292,306 168,663,001 Additions to furniture and equipment (7,301) (20,443) $ 175,336,722 $ 169,332,206 Proceeds from sales of investments 125,181,991 112,380,845 Purchases of investments (119,840,344) (109,356,715) Statements of Activities Net cash provided by investing activities 5,334,346 3,003,687 Decrease in cash and equivalent (44,761) (2,569,858) June 30, 2006 June 30, 2005 Cash and equivalent Revenue Beginning of year 4,464,790 7,034,648 Fixed income investments $ 1,556,989 $ 1,688,538 End of year $ 4,420,029 $ 4,464,790 Dividends 2,011,683 1,848,896 Distributions from Lloyd A. Fry Trusts 676,906 865,563 4,245,578 4,402,997 See accompanying notes. Expenditures Grants authorized 7,511,354 7,127,054 Administrative and other expenses 1,450,916 1,471,550 Investment management fees 720,417 696,246 Federal excise tax 555,694 123,162 10,238,381 9,418,012 Expenditures over revenue (5,992,803) (5,015,015) Net gains on investments Realized 11,523,612 9,519,613 Unrealized 98,496 579,972 11,622,108 10,099,585 Net increase in unrestricted net assets 5,629,305 5,084,570 Unrestricted net assets Beginning of year 168,663,001 163,578,431 End of year $ 174,292,306 $ 168,663,001

See accompanying notes.

34 Lloyd A. Fry Foundation 35 Lloyd A. Fry Foundation Notes to the Financial Statements

Note 1 Cash Equivalents—The Foundation considers all Note 4 unrealized gain on investments and accrued investment Nature of Activities and Significant Accounting Policies investments purchased with a maturity of three months Grant Commitments income. The tax was provided for at a 2 and 1 percent rate for Nature of Activities—Lloyd A. Fry Foundation (the “Foundation”) or less to be cash equivalents. The Foundation maintains Unconditional grants payable at June 30, 2006 are estimated to fiscal year 2006 and 2005, respectively. Private foundations are is a nonprofit private charitable foundation which distributes its cash in bank accounts which, at times, may be distributed in fiscal 2007. also required to make minimum annual distributions of grants grants principally to charitable organizations. exceed federally insured limits. The Foundation has not in accordance with a specified formula. The Foundation met experienced any losses in such accounts. Management The Foundation had approved grants amounting to the distribution requirement for fiscal years 2006 and 2005. The Foundation is exempt from income taxes under Section believes that the Foundation is not exposed to any approximately $65,000 at June 30, 2006 (2005–$300,000) which 501(c)(3) of the Internal Revenue Code and applicable state law. significant credit risk on cash. are subject to the satisfaction of prior conditions by the Note 7 intended recipients before payments will be made. These Grant Distributions Investments—Investments are stated at market value. Furniture and Equipment—Furniture and equipment conditional grants are not reflected in the financial statements. During the current year, grants totaling $7,456,013 were paid, The fair values of investment partnerships are estimated by are stated at cost. Depreciation is being computed including Foundation Grants of $6,157,741, Employee Matching management based on the fair value of the assets owned over the estimated useful lives of the assets using the Note 5 Grants of $6,920 and payments relating to the High School by the partnerships (as determined by managing partners straightline method. Other Commitments Initiative of $1,291,352. Unconditional grants authorized but not of the partnerships) and the liquidity of the Foundation’s The Foundation is required to make the following minimum distributed as of June 30, 2006 totaled $420,341. Grant expense investments in those partnerships. The Foundation relies on Use of Estimates—The preparation of financial annual rental payments under a noncancelable lease for for fiscal year 2006 consisted of the following: the underlying investment partnerships’ audited financial statements in conformity with U.S. generally accepted office space through 2010: statements as of December 31, 2005 to assist in the determina- accounting principles requires management Unconditional grants payable tion of fair value. The market value of corporate bonds and to make estimates and assumptions affecting the 2007 $ 139,918 at June 30, 2005 $ (340,000) equity securities traded on national securities exchanges is amounts reported in the financial statements and 2008 144,149 Grants distributed from the last reported sales price. Purchases and sales of securities accompanying notes. Actual results could differ from 2009 148,453 July 1, 2005 to June 30, 2006 7,456,013 are accounted for on the trade date. Interest is recorded as those estimates. 2010 88,075 Grants returned (25,000) earned and dividends are recorded on the exdividend date. $ 520,595 Unconditional grants payable Note 2 at June 30, 2006 420,341 The Foundation invests in various investments. Such Distributions from Lloyd A. Fry Trusts Rental expense (primarily for office space) was approximately $ 7,511,354 investments are exposed to various risks such as interest rate, The Foundation has a residual interest in several trusts $137,000 for fiscal year 2006 (2005–$136,000). market, and credit risk. Due to the level of risk associated established by the Estate of Lloyd A. Fry. Note 8 with certain investments, it is at least reasonably possible that The Trusts made distributions to the Foundation of Note 6 Employee Benefit Plan changes in the values of investments will occur in the $676,906 during fiscal year 2006 (2005–$865,563). Federal Excise Taxes The Foundation maintains a Section 403(b) salary reduction near term and that such changes could materially affect the Future residual amounts to be received by the Foundation The Foundation is classified as a private foundation retirement plan. The plan covers all fulltime employees. amounts reported in the statements of financial position. cannot be determined. pursuant to Section 509(a) of the Internal Revenue Code The plan agreement provides for employer contributions and, therefore, is subject to an excise tax on net investment based on a set percentage of salary up to the annual Note 3 income, including realized net gains on sales of securities. maximum. The Foundation’s contributions for 2006 and 2005 Investments A liability for deferred excise taxes is provided on the were $48,295 and $44,569, respectively. Marketable securities consisted of the following: 2006 2005 Cost Market Cost Market Domestic common stock $ 51,128,804 $ 62,154,089 $ 61,885,955 $ 76,596,037 Foreign common stock 1,849,587 2,252,745 Mutual funds equity 44,501,788 58,855,586 25,610,975 35,677,416 Mutual funds fixed income 5,171,295 4,854,598 5,024,154 4,826,825 U.S. Government bonds 24,130,879 23,632,172 17,594,599 17,679,700 Corporate bonds 4,075,531 3,828,461 10,872,102 10,700,691 Foreign bonds 603,851 581,668 438,592 444,092 Asset backed securities 4,646,764 4,574,075 5,575,580 5,546,511 Limited liability company (hedge funds) 7,000,000 8,853,870 7,000,000 8,281,805 Real estate investment trusts 616,854 809,090 555,654 631,241 Certificate of deposit 1,000,000 1,000,000 1,000,000 1,000,000 Investment partnerships 1,193,875 1,259,495 496,375 485,580 $ 144,069,641 $ 170,403,104 $ 137,903,573 $ 164,122,643

Investment partnerships consist of limited partnership interests in venture capital funds, buyout funds, mezzanine and subordinated debt funds, and restructuring and distressed debt and securities funds. The Foundation had open commitments to make additional partnership investments of $3,806,125 at June 30, 2006 (2005–$4,503,625).

36 Lloyd A. Fry Foundation 37 Lloyd A. Fry Foundation Grantmaking Programs Grant Application Procedures

The Lloyd A. Fry Foundation supports organizations with efforts might include professional development for Health How to Apply the strength and commitment to address persistent problems program staff, incorporating new program elements, or the The Health Program seeks to improve access to quality care The Lloyd A. Fry Foundation makes grants in the of urban Chicago resulting from poverty, violence, ignorance, development of evaluation tools, among others. for Chicago’s low-income residents. We support programs following program areas: education, employment, arts and and despair. We seek to build the capacity of individuals that target Chicago’s underserved neighborhoods and culture, and health. We make grants only to tax-exempt and the systems that serve them. Our vision is a Chicago that We generally do not fund unsolicited proposals from individual communities with needed primary care (including medical, organizations and rarely fund organizations outside offers education, prosperity, and hope for all. schools. On occasion, the Foundation will solicit proposals vision, dental, and mental health care), community outreach Chicago. We give priority to proposals for specific projects from individual schools for programs that demonstrate and disease prevention programs, and policy advocacy efforts. rather than for general operating support. The Foundation is interested in programs that improve exemplary success or a promising innovation in one of the We give priority to research-based initiatives that: incorporate conditions for low-income, underserved communities in Foundation’s priority areas. In soliciting proposals from individual health education, early disease detection, and treatment Letters of Inquiry Chicago. We award grants in four major fields: Education, schools, we look for: a record of strong academic performance interventions for chronic diseases (such as asthma, diabetes, If you are seeking support for the first time or if you Employment, Arts and Culture, and Health. Within these among students; a focus on improving academic achievement; HIV/AIDS, and hypertension); enroll families into government- are a returning grantee seeking support for a new project, funding areas, we give priority to: and indicators that the work funded by the grant will subsidized health insurance programs (such as All Kids, we highly recommend that you send us a letter of contribute valuable lessons and strategies that can be adopted FamilyCare, Medicaid, and Medicare); include strategic inquiry before you submit a full proposal. This would allow G Programs with a demonstrated record of high-quality, by other schools. After an initial year of funding, schools partnerships between a health system and community-based us to give you preliminary feedback concerning your effective services may be required to develop plans for making the organizations; focus on linguistically and culturally competent request and its potential fit within our funding priorities. lessons learned under the grant available to other schools. programs for limited-English speaking immigrants; Letters of inquiry should include a brief description of G Efforts to improve the quality and effectiveness of and improve knowledge and practice in the health field. the proposed project, a project budget, and other projected programs and services (these might include program Employment sources of support. design, evaluation or staff development efforts, Our Employment Program addresses our commitment to We will consider programs operated by nonprofit community among others) helping families and individuals move out of poverty. service organizations, community health centers, hospitals, Proposal Application Procedures We support employment programs that help low-income and policy advocacy organizations. Programs must We do not use a grant application form; we accept G The development of innovative approaches that individuals build the knowledge and skills necessary to find demonstrate the ability to measure improvements in access proposals of varying length that adhere to the procedures will contribute valuable examples, information, and and keep jobs. We are particularly interested in programs to care and health status within an accessible, culturally and described below. Although we accept the Chicago Area knowledge to others working in the field that help individuals improve their potential to advance to linguistically competent environment. Common Grant Application form distributed by the living-wage jobs and careers. Donors Forum of Chicago, we consider this application a The Foundation is also interested in policy advocacy What the Foundation Does Not Fund supplement to, rather than a replacement for, a efforts that help ensure low-income communities and Grants are made to projects that focus on: employment- In general, the Foundation does not make grants to full proposal. individuals in Chicago are treated fairly and have access related literacy and English as a Second Language; individuals or governmental entities. We also do not provide to the services they need and deserve. employment assistance programs that offer pre-employment, funding for: general operating expenses for new grantees, For new and renewal requests, full proposals should contain job placement, and job retention services; and vocational capital projects, endowments, fund-raising events, political the following elements: Our funding guidelines are described below. training connected to growing industries. activities, medical research, or religious purposes. For instructions on how to apply for a grant, please see our 1 A brief history of the organization, including a general Grant Application Procedures. We recognize the need to improve the quality and effective- We rarely fund unsolicited proposals from organizations statement of its primary functions and goals. ness of employment programs. We encourage proposals based outside Chicago. When exceptions are made, we look Education for efforts to build the capacity of organizations to deliver for organizations with strong local board leaders who are 2 A project description which includes: The Education Program has been a cornerstone of our high-quality employment services. We also welcome responsible for establishing program priorities and policies in G A statement of the need to be addressed and the grantmaking since the Foundation’s inception. Our interests proposals for policy advocacy efforts to improve the quality Chicago. In addition, organizations must agree that funds population to be served in education focus on improving public education and of education and training programs and to increase access to awarded for Chicago-based programs remain in Chicago and G A description of how the planned project will address the expanding educational opportunities in order to increase the education and training for low-income adults. are not included in calculations of funds exchanged between identified need academic achievement and college graduation rates of local and national offices. G Clearly stated goals and objectives low-income students in Chicago public schools. Arts and Culture G Plans for assessing and reporting the results and impact Our Arts and Culture funding focuses on arts education of the project’s activities (for further information, see the Teacher professional development, school leadership programs for low-income Chicago youth that use the arts as Outcomes and Assessments page of our Web site) development, academic enrichment, and college preparation a means to improve learning and provide life enriching G A timeline for project activities are among the activities we fund to support this goal. The experiences. We are especially interested in arts education Foundation also considers grant requests for policy advocacy programs that provide a rich combination of: arts instruction; 3 An income and expense budget for the project during the when the connection to academic achievement is clear. performance or exhibition experiences; interaction with duration of the proposed grant. professional artists; and training and professional develop- We give priority to programs that measure improvements ment opportunities for arts educators and classroom teachers. 4 An operating budget for the organization with income and to academic achievement, instructional quality, or college The Foundation gives priority to partnerships between expense projections that pertain to the fiscal year in which enrollment rates. The Foundation encourages proposals that cultural organizations and public schools, as well as to the project will take place. include efforts to enhance the quality of programs. These cultural organizations directly serving low-income youth.

38 Lloyd A. Fry Foundation 39 Lloyd A. Fry Foundation 5 A list of current and projected funding sources and Submission Dates and Board Meetings Board of Directors Staff Lloyd A. Fry Foundation amounts (government, corporate, and foundation sources) The Board of Directors meets quarterly to consider David A. Donovan Unmi Song 120 South LaSalle Street for both the organization and the project for the fiscal year requests for grants. These meetings are held in February, Director Executive Director Suite 1950 in which the project will take place. May, August, and November. We must receive your Chicago, Illinois 60603-3419 proposal by 5 p.m. on the deadline date in order to review Lloyd A. Fry III Ernest Vasseur Telephone: 312.580.0310 6 A copy of the organization’s most recent audited it at the corresponding board meeting: Vice Chairman Senior Program Officer Fax: 312.580.0980 financial report. Health www.fryfoundation.org Proposal Deadline Board Meeting Stephanie Pace Marshall Vice President 7 A list of board members and their affiliations. December 1 February Sharon Bush Photography: Jean Clough March 1 May Program Officer Writing: Marcia K. Festen Employment 8 A list of professional staff of the organization and June 1 August Howard M. McCue III Design: Sam Silvio Chairman Printing: Active Graphics resumes of key personnel involved in the project. September 1 November Proposals for organizational capacity-building activities Yolanda Knight Program Officer that involve outside consultants should include a copy of In the event that a deadline falls on a weekend or M. James Termondt President and Treasurer Education the consultant’s resume and a list of clients. holiday, requests may be submitted by 5 p.m. on the following business day. 9 A copy of the organization’s 501(c)(3) tax exemption letter Unmi Song Sydney R. Sidwell Executive Director and Program Officer from the Internal Revenue Service. Proposals and letters of inquiry should be sent to: Secretary Arts and Culture 10 A copy of the organization’s employment hiring policy. Ms. Unmi Song Executive Director Cornelia G. Speed Grants Administrator 11 Returning grantees must submit a full narrative and Lloyd A. Fry Foundation financial report on the previous grant before a new request 120 S. LaSalle Street is considered. We ask that final reports and proposals be Suite 1950 Lisa Torres Secretary submitted under separate cover. (For more information, Chicago, Illinois 60603-3419 see the Grant Reporting Requirements page of our Melissa Hixon Web site.) Office Manager Renewal Policy An organization which has received five consecutive years Diane Sotiros C.P.A., Controller of Fry Foundation funding will be asked to take a year off in seeking support for the following twelve-month period. Guy A. Sell The Foundation recognizes that there may be unusual C.P.A. circumstances in which support for one additional year may be appropriate. While we wish to be flexible in recognizing the needs of our grantees, there will be few exceptions to this policy.

Following a year off, grantee organizations are welcome to apply for renewed support. These proposals will be evaluated under the Foundation’s grantmaking guidelines. As with all proposals, these should target Chicago residents in financial need.

For further clarification of the Foundation’s grantmaking priorities, please refer to the description of our Grantmaking Programs.

40 Lloyd A. Fry Foundation Lloyd A. Fry Foundation 120 South LaSalle Street Suite 1950 Chicago, Illinois 60603-3419

Telephone: 312.580.0310 Fax: 312.580.0980 www.fryfoundation.org