The document provides an overview of the finances of PEA Leadership Weekend - 2012. It discusses PEA's resources including its people, campus, and endowment. It outlines PEA's revenues and expenses for FY2013, with the largest sources being tuition/fees and the endowment draw. Trends over time in areas like tuition, financial aid, headcount, compensation, and plant costs are also reviewed. Finally, the presentation identifies PEA's financial challenges as compensating employees, maintaining facilities, keeping up with technology, preserving accessibility, reduced endowment returns, limits on tuition hikes, and constraints on annual giving. In closing, it notes that PEA is fortunate but never complacent, and is driven to

1. PEA LEADERSHIP WEEKEND - 2012
Managing The Academy’s Finances
Chris Wejchert, Chief Financial Officer
Tony Downer ‘75, Trustee

2. PRESENTATION OVERVIEW
• Resources

3. PRESENTATION OVERVIEW
• Resources
• Trends

4. PRESENTATION OVERVIEW
• Resources
• Trends
• Challenges

5. PEA RESOURCES
• Our People
 202 FTE Faculty, 409 FTE Staff
• Our Campus
 130 Buildings, 1.5mm Square Feet
 670 acres
• Our Endowment
 $992.5mm (7/31/12), $50mm in debt

6. PEA “Revenues”: FY 2013 - $107.4mm
• Tuition and Fees
 $46.3 (43.1%)
• The Endowment Draw
 $46.1mm (42.9%)
• Annual Giving & Current Gifts
 $8.1MM (7.5%)
• Other
 $6.9mm (6.4%)

7. PEA EXPENSES: FY 2013 - $107.1mm
• Compensation & Benefits
 $50.3mm (47.0%)
• Financial Aid
 $18.9mm (17.6%)
• Plant & Technology
 $16.1MM (15.0%)
• Department Expenses
 $12.1MM (11.3%)
• Other
 $9.7mm (9.1%)

8. PEA TRENDS - I
• Tuition
 FY 2003: $28.5k, FY 2013: $44.5k
 CAGR – 4.6%
• Net Endowment
 6/30/04: $614mm, 6/3012: $942mm
 CAGR – 5.5%
• Financial Aid
 FY 2003: $7.1mm, FY 2013: $17.4mm
 CAGR – 9.4%
 Percentage receiving aid: 34% / 45%

9. PEA TRENDS - II
• Headcount
 FY 2005: 521, FY 2013: 528
 CAGR – 0.2%
• Compensation & Benefits
 FY 2003: $31.2mm, FY 2013: $50.3mm
 CAGR – 4.9%
• Plant and Technology
 FY 2003: $6.4mm, FY 2013: $16.1mm
 CAGR – 9.7%

10. PEA FINANCIAL CHALLENGES - I
• Compensating our people

11. PEA FINANCIAL CHALLENGES - I
• Compensating our people
• Maintaining our plant

12. PEA FINANCIAL CHALLENGES - I
• Compensating our people
• Maintaining our plant
• Keeping up with technology

13. PEA FINANCIAL CHALLENGES - I
• Compensating our people
• Maintaining our plant
• Keeping up with technology
• Preserving accessibility

14. PEA FINANCIAL CHALLENGES - II
• Reduction in Projected
Endowment Returns

15. PEA FINANCIAL CHALLENGES - II
• Reduction in Projected
Endowment Returns
• Limits on Tuition Increases

16. PEA FINANCIAL CHALLENGES - II
• Reduction in Projected
Endowment Returns
• Limits on Tuition Increases
• Annual Giving Constraints

17. PEA FINANCIAL CONDITION
• We are extraordinarily fortunate.
• Our community is NEVER
complacent, NEVER satisfied
• Driven to do more
• Determined to be the best