Lifechanging Awesome Caringhelpful Warmth

Giving Cleansing

Loving Impactful Excellent Leader Outstanding Wonderful InstrumentalTwelve Step Understanding Beautiful Recovery Phenomenal Safe Opportunity Groundbreaking Healing Saved My Life Standout Powerful Peaceful LifeChanging Awesome CaringHelpful Warmth

Hope Grateful Accepting Amazing Fantastic Supportive Compassionate Encouraging

2013 GraTitude Report 1 | Hazelden Betty Ford Foundation Our 2013 gratitude report is a celebration honoring that which was made possible by the support of donors like you. “At the Heart of the Numbers” represents the amazing transformations from addiction to recovery and all the life accomplishments that are a part of the journey. The wordcloud on the cover embodies the most commonly used words and phrases to describe people’s experiences at Hazelden. The bigger the word, the more often people used it to characterize their treatment experience.

As you can see, “Grateful” is at the top of the list. We find this very fitting, as it is exactly how we feel about you!

2013 Dear Friends,

It takes heart—and you. Your generous support helps further our shared mission to overcome addiction. In this annual report for 2013, you’ll see how. Peer into the numbers that quantify our continued successes. At the heart of the numbers are the 12,860 patients served at Hazelden. This attests to the growing number of patients we treat to meet rising demand.

With your support, we help fill the void that addiction creates with hope, healing and health. We are both proud and grateful this is true, as the metrics of success for 2013 presented in this report show. Yet for all the successes, we are keenly aware that recovery is truly work of the heart. It provides the motivation that enables us to help more people than ever before recover a life that is rich in meaning and rewarding in opportunity and in health.

At the heart of the numbers is action rooted in our commitment to fight emerging forms of addiction, innovate new means to support recovery and develop new programming formats. These include increasing youth services with the Freedom Susan Fox Gillis from Chemical Dependency (FCD) meter, expanding the Plymouth campus, launching the Mobile MORE “Field Guide to Life” app, innovating options such as the Comprehensive Opioid Response-12 (COR-12) program and introducing a new extended care program for women, intensive outpatient treatment for adults and a college-bound track to maintain that crucial developmental trajectory of young adults.

As 2013 came to a close, a tremendous opportunity, partnership and new beginning stood on the horizon; our merger with the Betty Ford Center. Both Hazelden and the Betty Ford Center developed into world class leaders in addiction treatment thanks to the generosity of our donors. Together in 2014—and beyond— we can continue to lead the field in addiction research and treatment.

Thank you so much for helping us be there for addicted and recovering patients, Mark G. Mishek wherever they are, providing all the services they need to live free of addiction. All of our success comes from the powerful synergy of your generous support and their passion, talents and commitment.

All of it begins in the heart—and with you.

Sincerely,

The Hon. Susan Fox Gillis Mark G. Mishek Chair, Hazelden Betty Ford Foundation President and CEO Board of Trustees Hazelden Betty Ford Foundation | 3 FROM THE HEART :: Employee Donor

Karen Bergh Family Parent Professional, loyal employee donor

I give to Hazelden because I know firsthand about the gift of recovery and the importance of healing families impacted by the disease of addiction.

I came to Hazelden for counselor training back in 1987 and had the privilege of interning on the family unit in Center City, MN. I have been a counselor on the unit for 22 years and in my role, I get to see miracles happen with every new person who comes to us for help. What keeps me coming back to my job each day is that wonderful transformation—to see people who are broken, angry, scared, disillusioned and not knowing what to do. And then, something miraculous happens, and people change. Their eyes become clear, their shoulders are back and they are filled with feelings of hope and possibility. It is a privilege for me to facilitate that kind of healing, and I think everyone deserves to experience this gift. By giving to patient aid scholarships for the family program, I am doing my part to ensure that families can and do heal, one person at a time. It is really a gift to myself, as well as to others! – Karen Bergh

4 | Hazelden Betty Ford Foundation

6,816 donors contributed over $8.25 million FROM THE HEART :: Annual Donors

Tony and Elana Arens Loyal Annual Donors

Completing treatment at Hazelden was probably the most profoundly influential experience in my life. I made the decision to seek help for my addiction when my life had truly spun out of control, and it was the best decision I have ever made. When I arrived at Hazelden, for the first time in my life I felt as though the people around me really understood me without judging me. I was able to hear what people were saying to me without defensiveness and I finally learned to love and be loved. My counselors and the people I met in the Tiebout group all faced the same struggles as me, and getting well required a group effort, along with a lot of broccoli!

Giving money to the Foundation is part of step twelve for me—I know firsthand that Hazelden can change lives, having experienced that firsthand. I give because I know that so many people struggle with addiction and I know how important it is to have a place to turn to for help. – Tony Arens

Hazelden Betty Ford Foundation | 5

9,021 sobriety milestones celebrated through alumni network $6,716,000 distributed in patient aid FROM THE HEART :: National Advocacy Council Member

Marlena Wald Member of Hazelden Betty Ford Foundation’s National Advocacy Council and long-time donor

“Addiction drives trauma.”

After working for nine years as an epidemiologist in the emergency department of an urban Level I Trauma Center, I know all too well that short sentence summarizes what health care professionals in these settings encounter daily. Persons with addictions to alcohol, drugs, or both place themselves, their loved ones, co-workers, and communities at risk for physical, psychological, and economic trauma; not just for a day, but for months and years. The scope of this disease is vast, and few individuals in the U.S. are untouched by some facet of this treatable condition.

I support the Hazelden Foundation because throughout its long history it has pioneered effective clinical treatment and follow-up care, educated the nation regarding the disease of addiction and advocated for legal and social parity with other chronic diseases. The twin missions of individual treatment and public health policy are truly unique and deserve continued and expanded support as the U.S. health care environment changes. As a donor, I am confident that we can shape these changes for the betterment of all Americans. – Marlena Wald

6 | Hazelden Betty Ford Foundation

2,058 retweets in 2013 Volunteers donated over 9,909 hours of work FROM THE HEART :: Volunteers and Board Members

Mike and Pam Sime Loyal volunteers, board member and donors

Hazelden has had a miraculous impact on me, my family and my many friends by giving us the chance to forge a better life beyond addiction. From world-class treatment and the family programs to counselors trained by the graduate school and books used in our daily meditations, Hazelden has touched every aspect of our life-long journey in recovery.

Starting in 1981, as a direct result of my recovery, I’ve had the opportunity to raise a family in sobriety, and buy and lead successful businesses to provide professional growth, financial security and a better quality of life for my family, coworkers and myself. I am blessed beyond anything I could have asked for or even imagined. More than anything, I have had the opportunity to use my time, talent and treasure to give back to Hazelden so that thousands of others like me can be touched by the mission of this remarkable institution.

Today we are financial “investors” in Hazelden. Through our support, we give back so that others can be given the life-changing gifts of treatment and recovery. My wife, Pam, and I no longer think about giving ‘til it hurts. We are always compelled to give ‘til it feels good. And it does. To see what Hazelden has done with our investment makes our giving easy. In the past five years, Hazelden has doubled the people it serves, improved treatment outcomes and trained hundreds of people for a professional career in recovery. As a businessman, I’ve made a lot of investments over the years. But none like the return on our investment in Hazelden, which resulted in a priceless gift to those women, men and their families who received another chance to live life in recovery free from addiction. – Mike Sime

Hazelden Betty Ford Foundation | 7

701 donors gave their 10th (or more!) consecutive annual gift 18 gallons of ice cream served at Springbrook alumni social 2013 Financial Highlights

Hazelden Foundation and Subsidiaries Consolidated Financial Highlights Years Ended December 31 (in thousands)

Operating Revenues 2013 2012 Patient Service Revenue, Net $112,396 $105,479 Publishing Revenue, Net 21,422 21,660 Unrestricted Contributions 1,137 1,492 Tuition and Workshops, Net 2,084 2,379 Net Assets Released from Restrictions-Operations 2,849 2,298 Investment Earnings, allocated to operations 757 787 Other 2,133 1,733 Total Operating Revenue $142,778 $135,828

Operating Expenses 2013 2012 Salaries, Wages, and Benefits $80,642 $77,631 Other Operating Expenses 42,912 38,965 Depreciation, Amortization, and Accretion 14,543 12,354 Total Operating Expenses 138,097 128,950 Operating Income 4,681 6,878 Nonoperating Gains, principally investment earnings 13,238 4,457 Other Changes in Unrestricted Net Assets, principally unrealized gains on investments 9,278 9,306 Total Change in Unrestricted Net Assets 27,197 20,641 Change in Temporarily Restricted Net Assets 2,747 2,711 Change in Permanently Restricted Net Assets (959) 127 Total Change in Net Assets 28,985 23,479 Net Assets, Beginning of Year $220,511 $197,032 Net Assets, End of Year $249,496 $220,511

A copy of the audited Consolidated Financial Statements of the Hazelden Foundation and Subsidiaries is available by contacting Dawn Severson, Corporate Controller, 651-213-4253

8 | Hazelden Betty Ford Foundation FUNCTIONAL EXPENSES 2013–2009 (in thousands)

2013 2012 2011 2010 2009 Recovery Services 88,876 64% 82,848 64% 74,809 62% 73,752 65% 65,183 62% Publishing 17,618 13% 15,884 12% 17,101 14% 15,403 14% 15,066 14% Higher Education and 2,524 2% 2,539 2% 2,273 2% 2,153 2% 2,066 2% Professional Training General and 26,733 19% 25,497 20% 23,786 20% 20,274 18% 19,985 19% Administrative Development 2,346 2% 2,182 2% 2,037 2% 2,167 2% 2,352 2% 138,097 100% 128,950 100% 120,006 100% 113,749 100% 104,652 100%

Operating Margin (%)

5.15% 5.06% 4%

3.28% 2.97% 2% 2.82%

0% 2009 2010 2011 2012 2013

Patients Served

14,000

12,821 12,860 12,366 12,000 10,977

10,000 9,572

8,000 2009 2010 2011 2012 2013

Hazelden Betty Ford Foundation | 9 2013 Hazelden Trustees, GivingDirectors, and Governors Hazelden Foundation Board Of Trustees The Hon. Susan Fox Gillis Chair Cleansing

Loving Impactful Excellent LeaderMr. Paul L. Gossling Vice Chair Wonderful Ms. Terry M. Rubenstein Secretary Outstanding Mr. Mark G. Mishek* President and CEO InstrumentalTwelve StepMr. James A. Blaha* Treasurer Mr. John K. Butler Mr.Beautiful William Cirone Understanding Mr. Kelly W. G. Clark Phenomenal Ms. Susan S. Engeleiter Mr. Harve Ferrill The Hon. Susan Fox Gillis Recovery Mr. Paul L. Gossling Mr. A. John Huss, Jr. Opportunity Groundbreaking Safe Mr. Andrew Jeon, M.D. Mr. Paul Karon Mr. William J. Lammers Ms. Cheryl S. McKinley Healing Saved My Life Standout Ms. Catherine W. Weyerhaeuser Powerful Mr. Lester Munson

Mr.Peaceful Austin P. “Pierre” Olney Ms. Gloria Perez Ms. Terry Awesome M. Rubenstein LifeChanging Mr. Michael Sime Mr. W. Christopher White Mrs. Mary Farnham Whitney CaringHelpfulMr. Frank B. Wilderson Jr., Ph.D. Warmth

Hope Grateful Accepting Amazing Fantastic Supportive Compassionate

10 | Hazelden Betty Ford Foundation Encouraging* Nonvoting member Hazelden Chicago HAZELDEN Freedom from Board Of Directors Chemical Dependency (FCD) Board of Directors Mr. Chris Jenkins Chair Mr. William P. Cowhey, Sr. Vice Chair Mr. Emmett Lyne Co-Chair Mr. Mark G. Mishek* President and CEO Mr. Austin P. “Pierre” Olney Co-Chair Mr. James A. Blaha* Secretary/Treasurer Mr. Mark G. Mishek* President and CEO Mr. James A. Blaha* Secretary/Treasurer Mr. Cary Cicurel Mr. William P. Cowhey, Sr. Ms. Ruth Barker Mr. James C. Dowdle Mr. William Chamberlin Mr. Harve Ferrill Mr. Jermaine Kidd Mr. Bill Fitzgerald Mr. Emmett Lyne The Hon. Susan Fox Gillis Mr. Austin P. “Pierre” Olney Mr. Dal Frost Mr. Andrew Pasquina Mr. Thomas A. Hale Mr. Tingey Sewall Mr. Chris Jenkins Mr. Gursimarjit Singh Ms. Lois Joast Mr. David Slye Ms. Louise Lane Mr. Milton C. Smith Mr. Brendan M. Mulshine Hazelden Graduate School Mr. Lester Munson Of Addiction Studies Mr. Francis Patrick Murphy Board Of Governors Mr. Danny Nikitas Mr. Arch W. Shaw II Mr. Frank B. Wilderson Jr., Ph.D. Chair Mr. John Shlofrock Mr. Mark G. Mishek* President and CEO Ms. Karen Smilie Mr. J. Nelson Wood Mr. William Cirone Ms. Cheryl S. McKinley Hazelden New York Ms. Ruth Mickelsen Board Of Directors Mr. Larry G. Osnes, Ph.D. Mr. Paul C. Pribbenow, Ph.D. Mr. W. Christopher White Chair The Hon. David B. Washington Mr. Mark G. Mishek* President and CEO Mr. Frank B. Wilderson Jr., Ph.D. Mr. James A. Blaha* Secretary/Treasurer Hazelden Springbrook Ms. Judy Collins Board Of Directors Ms. Valery Craane Mr. Donald N. B. Hall, Ph.D. Chair Mr. Paul L. Gossling Mr. Mark G. Mishek* President and CEO Ms. Margaret Brennan Hassett Mr. James A. Blaha* Secretary/Treasurer Mr. Leonard Holzer Mr. Robert M. Manocherian Mr. Howard Carsman Ms. Judith Davidson Moyers Mr. John Girard Mr. William Paulsen Mr. Donald N. B. Hall, Ph.D. Ms. Brooke Picotte Ms. Sonja Haugen Mr. Charlie Rubenstein Mr. William Koltun, M.D. Mr. W. Christopher White Ms. Ann B. Highet Mr. Craig Logan Ms. Loni Parrish Mr. Paul Ridgway

Hazelden Betty Ford Foundation | 11 HAZELDEN BETTY FORD LOCATIONS Beaverton, Oregon Center City, Minnesota Chaska, Minnesota Chicago, Illinois Dallas, Texas Denver, Colorado Maple Grove, Minnesota Naples, Florida Newton, Massachusetts New York, New York Plymouth, Minnesota Springbrook, Oregon Saint Paul, Minnesota Rancho Mirage, California

Mission We are a force of healing and hope for individuals, families and communities affected by addiction to alcohol and other drugs.

Vision Together we will overcome addiction.

Values • Treat the whole person as well as the illness. • Treat every person with dignity and respect. • Continue a commitment to the Twelve Step fellowship. • Be of service. • Remain open to innovation.

The Hazelden Betty Ford Foundation helps people reclaim their lives from the disease of addiction. It is the nation’s largest nonprofit treatment provider, with a legacy that began in 1949 and includes the 1982 founding of the Betty Ford Center. With 15 sites in California, Minnesota, Oregon, Illinois, New York, Florida, Massachusetts, Colorado and Texas, the Foundation offers prevention and recovery 12 | Hazelden Betty Ford Foundation solutions nationwide and across the entire continuum of care for youth and adults. It includes the largest recovery publishing house in the country, a fully-accredited graduate school of addiction studies, an addiction research center, an education arm for medical professionals and a unique children’s program, and is the nation’s leader in advocacy and policy for treatment and recovery.