Amherst College ANNUAL REPORT Fiscal Year Ended June 30, 2005 Table of Contents The Corporation . 2 A Message from the President . 4 Report of the Treasurer . 6 Amherst College Statement of Operating Resources and Expenses . 8 Folger Shakespeare Memorial Library Statement of Operating Resources and Expenses . 10 Amherst College Twenty Years in Review . 12 Report of Independent Accountants . 13 Balance Sheet . 14 Statement of Activities . 15 Statement of Cash Flows . 16 Notes to Financial Statements . 18 Amherst College Gifts, Bequests and Grants Received . 32 Folger Shakespeare Memorial Library Gifts, Bequests and Grants Received . 32 The Trustees of Amherst College administer Amherst College in Amherst College Amherst, Massachusetts, and the Descriptive Analysis of Endowment and Other Similar Funds . 33 Folger Shakespeare Memorial Library in Washington, D.C. Folger Shakespeare Memorial Library Descriptive Analysis of Endowment and Other Similar Funds . 50 Amherst College Statistical Information 2004–05 . 52 The cover: The new James (left) and Stearns dormitories, as seen from Johnson Chapel. Stearns Steeple and the Mead Art Museum are visible in the background. Philip S. Winterer, LL.B. Robert W. Carington, M.Arch. The Corporation New York, NY Bloomfield Hills, MI FISCAL YEAR 2004–05 Jide J. Zeitlin, M.B.A. Philip H. Coombs, A.B. New York, NY Chester, CT Secretary of the Corporation William A. Davis, Jr., J.D. Susan Pikor, A.B. Washington, DC Chairman of the Corporation Hadley, MA Michele Y. Deitch, J.D. Amos B. Hostetter, Jr., M.B.A. Austin, TX Boston, MA Life Trustees K. Frank Austen, M.D. Charles C. Eldredge, Ph.D. President of the College Wellesley Hills, MA Lawrence, KS Anthony W. Marx, Ph.D. George B. Beitzel, M.B.A.* Willie J. Epps, Jr., J.D. Amherst, MA Chappaqua, NY Kansas City, MO Martha L. Byorum, M.B.A. John C. Esty, Jr., M.A. Members of the Corporation New York, NY Concord, MA Alan S. Bernstein, M.B.A. Coral Gables, FL Theodore L. Cross, J.D. Nicholas M. Evans, M.B.A. Princeton, NJ Vero Beach, FL Katherine K. Chia, M.Arch. New York, NY Rosanne M. Haggerty, A.B. Richard (Dick) F. Hubert, A.B. New York, NY Rye Brook, NY Brian J. Conway, M.B.A. Boston, MA Charles A. Lewis, M.B.A. George R. Johnson, Jr., J.D. Evanston, IL Washington, DC Colin S. Diver, LL.B. Portland, OR Charles R. Longsworth, M.B.A.* Woodward Kingman, M.B.A. Royalston, MA Belvedere, CA Anne Melissa Dowling, M.B.A. Hartford, CT Robert J. McKean, Jr., LL.B. David L. Kirp, LL.B. Reston, VA San Francisco, CA Nelson J. Fernandez, M.P.A. New York, NY Mary Patterson McPherson, Ph.D. Samuel F. Kitchell, A.B. Rosemont, PA Scottsdale, AZ William E. Ford, M.B.A. Greenwich, CT Peter A. Nadosy, M.B.A. Thai-Hi T. Lee, M.B.A. New York, NY Somerset, NJ Steven M. Gluckstern, Ed.D. New York, NY Edward N. Ney, A.B. Van Doorn Ooms, Ph.D. New York, NY Bethesda, MD Frederick E. Hoxie, Ph.D. Evanston, IL Edward E. Phillips, LL.B. Stephen B. Oresman, M.B.A. Weston, MA Darien, CT David A. Kessler, M.D. San Francisco, CA George L. Shinn, Ph.D.* George E. Peterson, Ph.D. Scarborough, ME Washington, DC Jonathan I. Landman, M.S. New York, NY John I. Williams, Jr., J.D. Mark J. Sandler, LL.B. Jamaica Plain, MA New York, NY Cullen Murphy, A.B. Boston, MA Talcott W. Seelye, A.B. Trustees Emeriti Bethesda, MD H. Axel Schupf, M.B.A. John E. Abele, A.B. New York, NY Natick, MA W. Lloyd Snyder III, M.B.A. Philadelphia, PA Joseph E. Stiglitz, Ph.D. Kenneth H. Bacon, M.B.A. New York, NY Washington, DC Joan E. Spero, Ph.D. New York, NY Scott F. Turow, J.D. Margaret A. Bangser, M.P.P.M. Chicago, IL Dar es Salaam, Tanzania Richard R. Spies, Ph.D. Providence, RI Diana Chapman Walsh, Ph.D. Paul E. Bragdon, LL.B. Wellesley, MA Portland, OR Karen Hastie Williams, J.D. George L. Cadigan, A.B. Washington, DC Topsham, ME * Chair Emeritus 2 ▲ Bradley A. Stirn, M.B.A. Advancement Committee Treasurer’s Staff Woodside, CA Messrs. Schupf (Co-Chair), Peter J. Shea, M.S.B.A. Conway (Co-Chair), Bernstein, Treasurer Louis B. Thalheimer, J.D. Ms. Dowling, Messrs. Ford, Gluckstern, Baltimore, MD Dawn M. Bates, B.B.A. Murphy, Zeitlin Investment Analyst Jane D. Weinberger, B.S. Washington, DC Audit Committee Laurie M. Bouchard, B.S. Ms. Dowling (Chair), Messrs. Bernstein, Assistant Comptroller Gail T. Wickes, Ph.D. Conway, Ford Dallas, TX James D. Brassord, M.B.A., M.S. Director, Facilities Planning and W. Willard Wirtz, LL.B. Budget and Finance Committee Management Washington, DC Messrs. Zeitlin (Chair), Bernstein, Conway, Ms. Dowling, Messrs. Ford, Kathryn V. Bryne, M.B.A. David S. Wolff, M.B.A. Gluckstern, Hoxie, Kessler, Schupf, Director of Human Resources Houston, TX Stiglitz, Ms. Williams Mauricia A. Geissler, B.B.A. Kimba Wood, J.D. Director of Investments New York, NY Buildings and Grounds Committee Mr. Winterer (Chair), Ms. Chia, Shannon D. Gurek, M.B.A. Robert L. Woodbury, Ph.D. Messrs. Ford, Gluckstern, Landman, Associate Treasurer/Director Harpswell, ME Schupf, Ms. Williams, Mr. Zeitlin of the Budget Mark Healy, B.A. Folger Shakespeare Library Director of Rental Property Committee Ms. Williams (Chair), Messrs. Stephen M. Nigro, B.S. Fernandez, Hoxie, Stiglitz, Winterer Comptroller Barbara A. St. Onge Honorary Degrees Committee Manager, Office of Administrative Mr. Diver (Chair), Ms. Chia, Services/Mailing Center Messrs. Fernandez, Hoxie, Kessler, Landman, Murphy, Stiglitz, Turow Charles G. Thompson, A.O.S. Director of Dining Services Human Resources Committee William McC. Vickery, M.B.A. Messrs. Fernandez (Chair), Ms. Chia, Assistant Treasurer/Associate Messrs. Diver, Landman, Murphy, Director of Alumni Programs Turow, Ms. Walsh, Mr. Winterer Treasurer Emeritus Instruction Committee Kurt M. Hertzfeld, M.B.A. Ms. Walsh (Chair), Messrs. Bernstein, Conway, Diver, Ms. Dowling, Messrs. Fernandez, Hoxie, Kessler, Murphy, Stiglitz, Turow Investment Committee Mr. Ford (Chair), Ms. Dowling, Messrs. Gluckstern, Schupf, Zeitlin ex officio: Mr. Nadosy Student Life Committee Mr. Turow (Chair), Ms. Chia, Messrs. Diver, Kessler, Landman Trusteeship Committee Messrs. Hostetter (Chair), Diver, Gluckstern, Schupf, Ms. Walsh, Ms. Williams, Messrs. Winterer, Zeitlin 3 ▲ Last May, more than 1,200 Amherst sound. We are grateful that we con- students, faculty, staff, alumni and par- tinue to attract generous support from ents filled St. Bartholomew’s Church unparalleled numbers of alumni, par- in Manhattan to participate in the ents, and friends. Our admission pic- awarding of honorary degrees to for- ture is healthy; the most talented mer South African President Nelson young people, from a range of back- Mandela and his wife, Graça Machel, grounds, and from our own nation the former education minister of and around the world, compete for Mozambique. This was a rare privi- a place in Amherst’s classrooms. A Message lege, the opportunity to recognize But the members of CAP and two individuals whose strength, perse- I are exceedingly aware that this is no from the verance and vision have changed the time for complacency. We must con- world in ways that few could have tinue to challenge ourselves, and our President imagined only a short time ago. peers, to do more. The world around In a brief but powerful address us is changing rapidly, and we must after receiving his degree, President work ever harder to engage and lead Mandela challenged Amherst to be a the diverse groups that make up our world leader in increasing efforts to global community. make education available to all, regard- To that end, we have redoubled less of ideology, background, or per- our efforts at engagement, while re- sonal circumstance. “In South Africa, maining focused on our fundamental in America, in all the world,” he said, educational mission. On the admission “we must provide education not as front, we continue our fruitful rela- a privilege, but as a right; not for tionship with Questbridge, a national some, but for all. Let the doors of organization that connects high school learning open.” students of extraordinary ability but President Mandela’s message, modest means with colleges and uni- his simple but urgent challenge to versities that will challenge them to “do more,” couldn’t have been more succeed. In addition, last year we es- timely, as this is a pivotal moment for tablished the Amherst Telementoring Amherst College. The Committee on Project, through which Amherst stu- Academic Priorities (CAP), created last dents from underprivileged back- year and charged with identifying and grounds contact gifted high school defining emerging priorities for the students from similar backgrounds College, spent the 2004–05 academic to encourage them to think about year examining every aspect of the college. Already, high school students College’s intellectual life, assessing contacted through this program have our current comparative status and dis- enrolled at Amherst, though that is cussing strategies for future enhance- not the point; our goal is to encourage ment and progress. The committee’s these gifted young people to imagine, deliberations have been thoughtful perhaps for the first time, pursuing a and thorough. The group has engaged college education—not necessarily at in energetic discussions with a full Amherst, but at the school that best range of faculty, students, and staff, as meets their needs. well as alumni and parent representa- Similarly, we are redoubling our tives. Later this year, we will begin a efforts to foster alumni engagement in more formal faculty review of CAP’s the intellectual life of the College, not recommendations, and then outline only through Association events and future directions for the College.