Sabre Foundation, Inc.

Statement of Support and Revenue, Expenses and Change in Net Assets
(Excerpted from Sabre's audited financial statements, prepared by Kerr Forster, P.C.)

Year Ended December 31, 1996:
Unrestricted Restricted [a] Total
Support and revenue
Contributions and grants
$5,110 $338,525 $343,635
Books and materials
5,658,374[b] 5,658,374
181,041[b] 181,041
5,844,525 6,183,050
Investment income
20,957 20,957
Net assets released from restrictions
554,589 (554,589) __________
Total revenues, gains and other support
6,420,071 (216,064) 6,204,007
Operating expenses
Scientific Assistance Project
Expenditures, including in-kind services of $68,193[b]
530,827[c] 530,827
Grants in-kind of books and materials
5,658,374[b] 5,658,374
Philosophy of Institutions Project
10,342 10,342
13,000 13,000
Total program services
6,212,543 6,212,543
Supporting services
General administration, imcluding in-kind services of $112,848[b]
180,818 180,818
Fund raising
6,061 6,061
Total supporting services
186,879 186,879
Total operating expenses
6,399,422 6,399,422
Change in net assests 20,649 (216,064) (195,415)
Net assets - beginning of year as restated 91,919 441,888 [d] 533,807
Net assetes - end of year $112,568 $225,824[d] $338,392

Notes: [a] In 1996, Sabre adopted the Statement of Financial Accounting Standards (SFAS) Nos. 116, 117 and 124. SFAS No. 116 provides: │Contributions are recognized when the donor makes a promise to give that is, in substance, unconditional, and are recorded as unrestricted, temporarily restricted, or permanently restricted, depending on the existence or nature of any donor restrictions.▓ Due to multi-year grants provided in 1995 and the adoption of the new accounting standards, Net Assets were restated and increased in the fiscal year endings 12/31/95. In 1996, Net Assets were then reduced by expenditures under those grants. [b] For tax and financial statement purposes, in-kind services and donated materials are reported as expended in the same year in which they are received. Therefore, inventory of books and materials is not carried on Sabre╣s audited financial statement. The amount of materials actually shipped in 1996 amounted to $8,137,314. The fair market value of inventory at year end was $9,391,427. [c] Of these expenditures, $126,000 relate to the Library and Information Technology Services. [d] Except for $1,400 in permanently restricted endowment, these figures refer to assets restricted temporarily.

Sabre Foundation
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