THE VIRGINIA TECH FOUNDATION AND VIRGINIA TECH PHILANTHROPY ANNUAL REPORTS FOR FISCAL YEAR 2014-2015 The Virginia Tech Foundation does not discriminate against employees, students, or applicants on the basis of age, color, disability, gender, gender identity, gender expression, national origin, political affiliation, race, religion, sexual orientation, genetic information, veteran status, or any other basis protected by law. For inquiries regarding non-discrimination policies, contact the human resources manager at 540-231-7168 or Virginia Tech Foundation, University Gateway Center, 902 Prices Fork Rd., Suite 4400, Blacksburg, VA 24061. FOUNDATION ANNUAL REPORT 2014-2015 Virginia Tech Foundation officers and administration 044 055 Virginia Tech Foundation Board of Directors 066 Virginia Tech Foundation properties 088 Ben J. Davenport Jr., Chairman of the Board 0910 John E. Dooley, Chief Executive Officer and Secretary-Treasurer 1012 A foundation for excellence 2020 Accomplishments and initiatives 2324 Financial highlights 2829 Foundation endowment highlights PHILANTHROPY ANNUAL REPORT 2014-2015 3032 University Development administration and directors 3133 Elizabeth A. “Betsy” Flanagan, Senior Fellow for Advancement 3234 Major gift highlights 3741 Uses and sources of contributions 3842 Designation of contributions 44 Virginia Tech giving societies 45 Ut Prosim Society membership list 55 Caldwell Society membership list 63 Legacy Society membership list Virginia Tech Foundation 3 Annual Report | 2015 Chairman of the Board Ben J. Davenport Jr. Chairman, Davenport Energy Inc. OFFICERS and First Piedmont Corporation Executive Vice President Elizabeth A. "Betsy" Flanagan Vice President for Development and University Relations, Virginia Tech Executive Vice President M. Dwight Shelton Jr. Vice President for Finance and CFO, Virginia Tech Chief Executive Officer and Secretary-Treasurer John E. Dooley CEO and Secretary-Treasurer, Virginia Tech Foundation Inc. ADMINISTRATION John E. Dooley CEO and Secretary-Treasurer 540-231-2265 [email protected] Terri T. Mitchell Associate Vice President for Administration and Controller 540-231-0420 [email protected] Kevin G. Sullivan Associate Vice President for Administration and General Counsel 540-231-2875 [email protected] John J. Cusimano Associate Vice President for Finance 540-231-7094 [email protected] 4 Virginia Tech Foundation 4 VirginiaAnnual Tech Report Foundation | 2015 Annual Report | 2015 BOARD OF DIRECTORS Nancy H. Agee Robert D. Moser Jr. James K. Asselstine James E. Pearman Jr. Mary Blackwood James A. Pearson David L. Calhoun Brandon D. Perry George B. Clarke IV Deborah Petrine Michael W. Clarke Douglas C. Curling John B. Rowsell Ben J. Davenport Jr. Kristi L. Rowsell Sandra C. Davis Peter M. Rup Theodore S. Hanson Winston A. Samuels Leonard P. Harris Timothy D. Sands Amy B. Hayes Benjamin Z. Stallings II Gregory J. Herrema Fay H. Street W. Todd Holtzman Shawn C. Johnson John A. “Alex” Urquhart Jr. John R. Lawson II Carl G. Verboncoeur Darrell D. Martin Matthew M. Winston Jr. Virginia Tech Foundation 5 VirginiaAnnual ReportTech Foundation | 2015 5 Annual Report | 2015 The Virginia Tech Foundation is a 501(c)(3) VIRGINIA TECH FOUNDATION PROPERTIES nonprofit, non-stock corporation established in 1948. It provides private financial support to enable 1 Corporate Research Center, Blacksburg the forward progress of Virginia Tech. Through 2 417 Clay Street, Blacksburg successful asset management and the generosity of 3 Heth Property, Blacksburg Virginia Tech alumni and friends, the foundation continues to increase its real estate portfolio, 4 North End, Blacksburg endowment value, and support to university 5 Quarry, Blacksburg initiatives. 6 Smith’s Landing, Blacksburg The foundation’s real estate portfolio includes 14 7 University Gateway Center, Blacksburg properties across the Commonwealth of Virginia 13 Kentland Farm, Montgomery County and in Switzerland. These properties range 8 from ones focused on innovation and economic 9 Pete Dye River Course, Pulaski County development, such as the Corporate Research 16 10 Hotel Roanoke, Roanoke 15 Center and the Virginia Tech Research Center 11 WVTF Public Radio, Roanoke – Arlington; to ones focused on academics, which include the Steger Center for International 12 Reynolds Homestead, Patrick County Scholarship and the Reynolds Homestead; to ones 13 Marion duPont Scott Equine Medical Center, Leesburg in the travel or recreation business, such as the Pete 14 Virginia Tech Research Center – Arlington, Arlington Dye River Course of Virginia Tech and the Hotel Washington Alexandria Architecture Center, Alexandria Roanoke. This diverse portfolio provides program 15 facilities and generates private resources to enable 16 School of Public and International Affairs, Alexandria Virginia Tech to invent the future. 17 Hampton Seafood Lab, Hampton 18 Steger Center for International Scholarship, Riva San Vitale, Switzerland - 10 -11 1-7 17 8 12 6 Virginia Tech Foundation 6 VirginiaAnnual Tech Report Foundation | Annual Report | 20152015 Ù WVTF translator WVTF transmitter Transmitters are full power radio stations. Translators are lower- power broadcasts that repeat the signals of transmitters. 14 13 Riva San Vitale, Switzerland 16 15 - 10 -11 1-7 17 8 12 Virginia Tech Foundation 7 VirginiaAnnual Tech Report Foundation | 7 Annual Report | 2015 Funding the future A message from Ben J. Davenport Jr., Chairman of the Virginia Tech Foundation Board In his October 2014 installation speech Virginia Tech President Timothy D. Sands pointed out that, “The greatness of this university today is the product of bold vision and investment of multiple generations.” He called upon our entire university community to envision Virginia Tech at its 175th anniversary and take steps now to ensure our school will be even greater then. As someone who would turn 105 the year that anniversary comes, in 2047, I may not see it. But I’m still inspired by the call to action. One of the great pleasures of giving back to my university through philanthropy and by serving on the Virginia Tech Foundation Board is knowing that my actions today can make a difference well into the future. That dynamic is reflected in this report’s feature story, which illustrates how endowed giving from many years ago continues to make a difference. Such stories show the impact of our endowment at an individual level, and there are Ben J. Davenport Jr. literally thousands of them worth telling each year. At the institutional level, meanwhile, our endowment’s importance cannot be overstated. We must increase our endowment dramatically over the next several years in order to maintain our university’s impressive momentum. The numbers back this up. The market value of our endowment stood at $817.8 million as of June 30, 2015. That is the largest it has ever been, but is smaller than the endowments at many other top-tier schools. According to the latest comparison figures available from the National Association of College and University Business Officers, which reflect fiscal year 2013-2014: the value of our endowment was 115th largest in absolute dollar terms among 851 U.S. and Canadian institutions tracked; our endowment per student was eighth largest among public schools in the Atlantic Coast Conference; and at least four of Virginia’s public universities—the College of William and Mary, University of Virginia, Virginia Commonwealth University, and Virginia Military Institute—had larger endowments per student. With state support for higher education having eroded nationwide, including in Virginia, top-tier universities need the financial stability and flexibility that large endowments provide. This is particularly the case at a school like ours, due to the broad scope of our land-grant mission. We must remain accessible to students from a wide range of socioeconomic backgrounds, conduct research that matters, and make a difference not just on our campus, but in communities around the world. At the Virginia Tech Foundation, we strive to help our university embody what a land- grant institution can be. And we embrace our new president’s call to help Virginia Tech advance toward 2047 on a solid financial footing, shored up by our growing endowment. 8 Virginia Tech Foundation Annual Report | 2015 “We must increase our endowment dramatically over the next several years in order to maintain our university’s impressive momentum.” Virginia Tech Foundation 9 Annual Report | 2015 Looking forward with Aenthusiasm message from John E. Dooley, CEO and Secretary-Treasurer One of many highlights of an exciting fiscal year for the Virginia Tech Foundation came in April. We celebrated the 20th anniversary of the reopening of the Hotel Roanoke, which along with its attached conference center has injected $616 million into Roanoke’s economy since 1995. It was just cause for celebration. Yet as much as I and other stakeholders in the hotel enjoyed marking that anniversary, we were equally excited by another statistic related to the facility. The hotel’s occupancy rate for the fiscal year was 83.3 percent—its highest level since the reopening. Occasions such as major anniversaries often lead us not only to look back on our progress, but to take stock of where we stand today and look forward to where we hope to be years from now. Something similar happens when a new leader takes over an organization, as was the case John E. Dooley at Virginia Tech this past fiscal year. Timothy D. Sands’ formal installation ceremony in October was a