Amherst College Annual Report Fiscal Year Ended June 30, 2012 Table of Contents The Corporation . 2 A Message from the President . 4 Report of the Treasurer . 7 Amherst College Statement of Operating Resources and Expenses . 9 Folger Shakespeare Memorial Library Statement of Operating Resources and Expenses . .13 Emily Dickinson Museum . .15 Amherst College Twenty Years in Review . 16 Report of Independent Auditors . 17. Balance Sheet . 18 Amherst College Statement of Activities . 19 Folger Shakespeare Memorial Library Statement of Activities . 20 Total Statement of Activities . 21 Statement of Cash Flows . .22 Notes to Financial Statements . .24 Amherst College Gifts, Bequests and Grants Received . 43 The Trustees of Amherst College Folger Shakespeare Memorial Library administer Amherst College in Gifts, Bequests and Grants Received . 43 Amherst, Massachusetts, and the Folger Shakespeare Memorial Amherst College Library in Washington, D .C . Descriptive Analysis of Endowment and Other Similar Funds . 44 Folger Shakespeare Memorial Library Descriptive Analysis of Endowment and Other Similar Funds . 62 Amherst College Statistical Information 2012 . 64 The cover: Orientation 2012 . Photograph by Rob Mattson 1 Laura J . Yerkovich ’80, M .B .A . Katherine K . Chia ’88, M .Arch . The Corporation Riverside, CT New York, NY FISCAL YEAR 2011–12 William A . Davis, Jr . ’63, J .D . Secretary of the Corporation Washington, DC Susan Pikor, A .B . Hadley, MA Michele Y . Deitch ’82, J .D . Austin, TX Life Trustees Chairman of the Corporation Colin S . Diver ’65, LL .B . K . Frank Austen ’50, M .D . Jide J . Zeitlin ’85, M B. .A . Boston, MA New York, NY Boston, MA Anne Melissa Dowling ’80, M .B .A . George B . Beitzel ’50, M .B .A .* 1 West Hartford, CT President of the College Ridgefield, CT Gregory S . Call, Ph .D . Charles C . Eldredge ’66, Ph .D . Martha L . Byorum, M .B .A . Amherst, MA Lawrence, KS New York, NY Carolyn “Biddy” Martin, Ph D. Willie J . Epps, Jr . ’92, J .D . Rosanne M . Haggerty ’82, A .B . Amherst, MA Kansas City, MO New York, NY John C . Esty, Jr . ’50, M .A . Members of the Corporation Amos B . Hostetter, Jr . ’58, M .B .A .* Concord, MA Danielle S . Allen, Ph .D . Boston, MA Princeton, NJ Nicholas M . Evans ’52, M .B .A . Charles A . Lewis ’64, M .B .A . Vero Beach, FL Wei Sun Christianson ’85, J .D . Evanston, IL Beijing, China Steven M . Gluckstern ’72, Ed .D . Charles R . Longsworth ’51, M .B .A .* San Francisco, CA Brian J . Conway ’80, M B. .A . Royalston, MA Boston, MA Frederick E . Hoxie ’69, Ph .D . Robert J . McKean, Jr . ’50, LL .B . Evanston, IL Walter C . Donovan ’85, B .A . Lantana, FL Boston, MA Richard (Dick) F . Hubert ’60, A .B . Mary Patterson McPherson, Ph .D . Rye Brook, NY William E . Ford ’83, M B. .A . Rosemont, PA New York, NY George R . Johnson, Jr . ’73, J .D . Peter A . Nadosy, M .B .A . Greensboro, NC Howard Gardner, Ph D. New York, NY Cambridge, MA David A . Kessler ’73, M .D . Edward N . Ney ’46, A .B . San Francisco, CA Christopher S . Lehane ’90, J .D . New York, NY San Francisco, CA Woodward Kingman ’49, M .B .A . Edward E . Phillips ’52, LL .B . Belvedere, CA John S . Middleton ’77, M .B A. Weston, MA Bryn Mawr, PA David L . Kirp ’65, LL .B . H . Axel Schupf ’57, M .B .A . San Francisco, CA Cullen Murphy ’74, A .B . New York, NY Medfield, MA Jonathan I . Landman ’74, M .S . George L . Shinn ’45, Ph .D .* New York, NY Andrew J . Nussbaum, ’85, J D. Scarborough, ME New York, NY Thai-Hi T . Lee ’80, M .B .A . John I . Williams, Jr . ’75, J .D . Lebanon, NJ Hope E . Pascucci ’90, A .B . Jamaica Plain, MA Wellesley, MA Richard S . LeFrak ’67, J .D . Philip S . Winterer ’53, LL .B . New York, NY Paula K . Rauch ’77, M .D . New York, NY Boston, MA Van Doorn Ooms ’56, Ph .D . Julia A . Segre ’87, Ph D. Trustees Emeriti Bethesda, MD John E . Abele ’59, A .B . Bethesda, MD Stephen B . Oresman ’54, M .B .A . Natick, MA Joseph E . Stiglitz ’64, Ph D. Darien, CT Margaret A . Bangser ’81, M .P .P .M . New York, NY George E . Peterson ’63, Ph .D . Dar es Salaam, Tanzania Blair H . Taylor ’85, M B. .A . Washington, DC Alan S . Bernstein ’63, M .B .A . Seattle, WA Mark J . Sandler ’64, LL .B . Coral Gables, FL James C . Tsai ’85, M .D . New York, NY Paul E . Bragdon ’50, LL .B . New Haven, CT W . Lloyd Snyder III ’66, M .B .A . Portland, OR Scott F . Turow ’70, J .D . Conshohocken, PA Robert W . Carington ’53, M .Arch . Chicago, IL Joan E . Spero, Ph .D . Bloomfield Hills, MI New York, NY 2 Richard R . Spies ’67, Ph .D . Advancement Committee Treasurer’s Staff Providence, RI Ms . Pascucci (Chair), Ms . Christianson, Peter J . Shea, M .S .B .A . Messrs . Conway, Donovan, Ford, Treasurer through June 30, 2012 Bradley A . Stirn ’72, M .B .A . Lehane, Middleton, Murphy, Nussbaum, Woodside, CA Dawn M . Bates, B .B .A . Tsai, Ms .Yerkovich Investment Manager—Operations Louis B . Thalheimer ’66, J D. Towson, MD Audit Committee Laurie M . Bouchard, B .S . Ms . Yerkovich (Chair), Messrs . Lehane, Assistant Comptroller Diana Chapman Walsh, Ph .D . Nussbaum, Mss . Pascucci, Rauch, Brookline, MA Messrs . Stiglitz, Tsai James D . Brassord, M .B .A ., M .S . Director of Facilities/Associate Treasurer Gail T . Wickes, Ph D. for Campus Services Dallas, TX Budget and Finance Committee Mr . Conway (Chair), Mss . Allen, John R . Dailey, M .B .A ., M .S . Karen Hastie Williams, J .D . Christianson, Messrs . Donovan, Ford, Investment Officer Washington, DC Middleton, Ms . Pascucci, Messrs . Kendall D . Doble, IV, B .A . David S . Wolff ’62, M .B .A . Stiglitz, Tsai Investment Analyst Houston, TX Buildings and Grounds Committee Mauricia A . Geissler, B .B .A . Kimba M . Wood, J .D . Mr . Murphy (Chair), Mss . Allen, Chief Investment Officer New York, NY Christianson, Messrs . Donovan, Ford, Gardner, Middleton, Ms . Segre, Shannon D . Gurek, M .B .A . Messrs . Taylor, Turow Associate Treasurer/Director of the Budget through June 30, 2012 Compensation Interim Treasurer as of July 1, 2012 Mr . Zeitlin (Chair), Ms . Allen, Stephen M . Nigro, B .S . Messrs . Conway, Ford, Murphy, Comptroller Ms . Rauch Barbara A . St . Onge Digital Strategy (Ad Hoc) Manager, Office of Administrative Mr . Lehane (Chair), Ms . Allen, Services/Mailing Center Messrs . Conway, Gardner Charles G . Thompson, A .O .S . Director of Dining Services Honorary Degrees Committee Mr . Turow (Chair), Ms . Christianson, Treasurer Emeritus Messrs . Gardner, Lehane, Murphy, Kurt M . Hertzfeld, M .B .A . Nussbaum, Mss . Pascucci, Segre, Mr . Stiglitz, Ms . Yerkovich Assistant Treasurer Emeritus William McC . Vickery, M .B .A . Human Resources Committee Mss . Rauch (Chair), Allen, Segre, Messrs . Stiglitz, Taylor, Turow Instruction Committee Ms . Allen (Chair), Messrs . Conway, Gardner, Lehane, Murphy, Nussbaum, Mss . Rauch, Segre, Messrs . Stiglitz, Taylor, Tsai, Turow Investment Committee Mr . Ford (Chair), Messrs . Donovan, Middleton, Zeitlin ex officio: Messrs . Hostetter, Nadosy Student Life Committee Messrs . Gardner (Chair), Lehane, Murphy, Nussbaum, Mss . Rauch, Segre, Messrs . Taylor, Turow, Ms . Yerkovich * Chair Emeritus Trusteeship Committee 1 Gregory S . Call, Acting President from Mr . Zeitlin (Chair), Ms . Allen, July 1, 2011 to August 19, 2011 Messrs . Conway, Ford, Murphy, Mss . Pascuccci, Rauch, Messrs . Stiglitz, Carolyn “Biddy” Martin beginning Turow August 20, 2011 3 It has been an historically signifi- and music and athletics programs . cant fiscal year for the College, as As of November, the campaign we exceeded the ambitious goals of total was $463 million toward a the Lives of Consequence campaign, $500 million goal . embarked on the largest build- The new science center proj- ing project in Amherst’s history, ect, described in detail in last and remained stable financially as year’s letter, is well under way . Site economic conditions improved . preparation work for the new sci- A Message This end-of-year letter will touch on ence center began this past summer from the some of the highlights of this past and will continue through May, year and take a brief look toward with the first phase of construction President the future . beginning in June of 2013 . When When the Lives of Consequence completed in 2018, the four-story, campaign was announced in Oc- 250,000-square-foot building will tober of 2008, the stock market be located at the heart of the Col- seemed to be in free fall, and the lege, where it will gracefully blend world was about to enter a sustained into the rest of campus by having global recession the likes of which much of its mass situated in the sur- had not been seen for a genera- rounding topography . The project’s tion . The timing could not have estimated $230 million cost arises, seemed worse from the outside, but in part, from our desire to preserve the members of this community the feel of our beautiful and tranquil stepped up to ensure we reached campus . It will be funded from a the campaign’s $425 million goal, number of key sources, including supporting priorities such as faculty Creating Connections, reserve funds, hiring and student scholarships . and a recent successful $100 million Thanks in part to two anonymous bond issuance . and historic donations made in Financial support for impor- 2009, of $100 million and $25 mil- tant initiatives such as the science lion respectively, the College was center is made possible through the able to fulfill the campaign goal a generosity of alumni and parent year ahead of schedule, by January donors, as well as returns generated of 2012 . Upon meeting our goal, by our carefully managed endow- we launched a second, final phase ment .