2023-11-14T16:39:24-06:00 2022-12-31 366055558 GRANT THORNTON LLP 1415 VANTAGE PARK DRIVE SUITE 500 CHARLOTTE NC 28203 990 2022-01-01 237270511 FUND ESTABLISHED BY WILL OF NANALINE H DUKE FOR DUKE UNIVERSITY FUND 7043760291 800 EAST MOREHEAD STREET CHARLOTTE NC 282024012 KAREN H ROGERS CFO AND TREASURER 7043760291 2023-11-14 1 KAREN ROGERS 999009999 0 MICHELE N MELCHIOR P00488037 7046323500 2023-11-13 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z KAREN H ROGERS 800 EAST MOREHEAD STREET CHARLOTTE NC 282024012 1968932 0 X N/A X 1973 NY TO SUPPORT DUKE UNIVERSITY, AN INSTITUTION OF LEARNING IN DURHAM, N.C., TO BE USED BY IT FOR ITS HOSPITAL AND MEDICAL SCHOOL AND FOR FURTHERING AND PROMOTING MEDICAL RESEARCH AT SUCH HOSPITAL AND MEDICAL SCHOOL AND FOR THE GENERAL USE OF SAID DUKE UNIVERSITY. 15 15 0 0 0 0 0 0 0 0 1653740 1890020 0 0 1653740 1890020 1700000 1700000 0 0 44440 57930 0 0 0 68907 56261 1813347 1814191 -159607 75829 55031129 50643596 44440 57930 54986689 50585666 X TO SUPPORT DUKE UNIVERSITY, AN INSTITUTION OF LEARNING IN DURHAM, N.C., TO BE USED BY IT FOR ITS HOSPITAL AND MEDICAL SCHOOL AND FOR FURTHERING AND PROMOTING MEDICAL RESEARCH AT SUCH HOSPITAL AND MEDICAL SCHOOL AND FOR THE GENERAL USE OF SAID DUKE UNIVERSITY. 0 0 1700000 1700000 SEE SCHEDULE OITEM VIII OF THE WILL OF NANALINE H. DUKE, THE FUND'S GOVERNING INSTRUMENT, BEQUEATHED TO THE TRUSTEES OF THE DUKE ENDOWMENT, A CHARITABLE TRUST ESTABLISHED BY JAMES B. DUKE BY INDENTURE DATED DECEMBER 11, 1924, THE PRINCIPAL SUM NOW KNOWN AS THE FUND ESTABLISHED BY WILL OF NANALINE H. DUKE FOR DUKE UNIVERSITY. THEREFORE, THE TRUSTEES OF THE FUND ARE ALSO THE SAME AS THE TRUSTEES OF THE DUKE ENDOWMENT. THE OFFICERS OF THE FUND ARE ALSO THE SAME AS THE OFFICERS OF THE DUKE ENDOWMENT. THE ORGANIZATION FOR WHOSE BENEFIT THE FUND IS OPERATING IS DUKE UNIVERSITY, DURHAM, NORTH CAROLINA, AN ORGANIZATION DESCRIBED IN SECTION 509(A)(1). THE RELATIONSHIP BETWEEN THE FUND AND DUKE UNIVERSITY IS AS FOLLOWS: ITEM VIII OF THE WILL OF NANALINE H. DUKE, THE FUND'S GOVERNING INSTRUMENT, PROVIDES THAT INCOME AND PRINCIPAL BE PAID ONLY TO DUKE UNIVERSITY, TO BE USED FOR ITS HOSPITAL AND MEDICAL SCHOOL FOR GENERAL PURPOSES; THE FUND IS OPERATED IN CONNECTION WITH DUKE UNIVERSITY, PROVIDING SIGNIFICANT FINANCIAL AID FOR MAJOR CONSTRUCTION PROJECTS OF THE MEDICAL CENTER OF THE UNIVERSITY AND OTHER SUPPORT PROGRAMS; AND THE FUND IS NOT CONTROLLED DIRECTLY OR INDIRECTLY BY DISQUALIFIED PERSONS OTHER THAN FOUNDATION MANAGERS. 1700000 1 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 0 0 0 1 16 0 1 0 1 1 0 0 0 0 0 0 0 0 0 0 0 X 15 15 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 0 0 0 NY X KAREN H ROGERS 7043760291 800 EAST MOREHEAD STREET CHARLOTTE NC 28202 X CHARLES C LUCAS III CHAIR 0.50 15.00 X X 3862 169897 5436 JEAN G SPAULDING VICE CHAIR 0.50 6.00 X X 3862 169897 5436 DENNIS M CAMPBELL VICE CHAIR 0.50 6.00 X X 3862 169897 5436 WILLIAM BARNET III TRUSTEE 0.50 6.00 X 3862 169897 5436 JOHN FAV CECIL TRUSTEE 0.50 6.00 X 3862 169897 5436 RAVENEL B CURRY III TRUSTEE 0.50 6.00 X 3862 169897 5436 PAMELA L DAVIES TRUSTEE 0.50 6.00 X 3862 169897 5436 HARRIS E DELOACH JR TRUSTEE 0.50 6.00 X 3862 169897 5436 ALLYSON K DUNCAN TRUSTEE 0.50 6.00 X 3862 169897 5436 CONSTANCE F GRAY TRUSTEE 0.50 6.00 X 3862 169897 5436 J TRENT JONES TRUSTEE 0.50 6.00 X 3862 169897 5436 CLARENCE G NEWSOME TRUSTEE 0.50 6.00 X 3862 169897 5436 MINOR M SHAW TRUSTEE 0.50 6.00 X 3862 169897 5436 KENNETH D WEEKS JR TRUSTEE 0.50 6.00 X 3862 169897 5436 JUDY WOODRUFF TRUSTEE 0.50 6.00 X 3862 169897 5436 RHETT N MABRY PRESIDENT 0.25 40.25 X 0 665767 242412 KAREN H ROGERS CFO, TREASURER & SECRETARY 0.25 40.25 X 0 388114 92968 SUSAN L MCCONNELL VP & DIR. OF HR & HIGHER ED 0.25 40.50 X 0 386169 64431 WILLIAM F BACON VP & DIRECTOR OF EVALUATION 0.25 40.25 X 0 346504 71094 K TODD WALKER DIRECTOR OF INVESTMENTS 0.50 40.50 X 0 387961 85275 PHILLIP REDMOND JR DIR OF CHILD & FAMILY WELL 0.25 40.25 X 0 328647 53800 LINWOOD HOLLOWELL DIRECTOR OF HEALTH CARE 0.50 40.25 X 0 328391 55950 ROBERT WEBB DIRECTOR OF RURAL CHURCH 0.25 40.25 X 0 328976 45409 MEKA S SALES DIR OF SI 0.25 40.25 X 0 319971 61829 57930 6028955 854708 0 0 1 0 0 1930820 1930820 38112 78912 -40800 -40800 -40800 1890020 0 0 1890020 1700000 1700000 57930 57930 17005 17005 38800 38800 MISCELLANEOUS EXPENSES 456 456 1814191 1700000 114191 0 712023 880254 54319106 49763342 55031129 50643596 44440 57930 44440 57930 X 54986689 50585666 54986689 50585666 55031129 50643596 75829 -4476852 0 X 0 1 X 1 0 X X 1 DUKE UNIVERSITY 560532129 2 1 1700000 0 1 1700000 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 1514945 1930820 1514945 1930820 0 0 105888 106431 0 0 1409057 1824389 48501913 52693659 1021944 1069725 0 0 49523857 53763384 0 0 0 49523857 53763384 742858 806451 48780999 52956933 1707335 1853493 0 0 1707335 1853493 1409057 1197698 1707335 1707335 0 1707335 1700000 0 0 0 0 0 1700000 1700000 1707335 99.570000000000 1707335 0 0 0 0 0 1626376 1626376 0 1626376 0 0 1700000 0 80959 1619041 0 0 1619041 0 0 0 0 1619041 SCHEDULE A, PART IV, SECTION D, LINE 2, CLOSE AND CONTINUOUS WORKING THIS IS EVIDENCED BY THE FACT THIS ORGANIZATION (THE NANALINE FUND) HAS PROVIDED SUPPORT TO DUKE UNIVERSITY FOR MANY YEARS AND THE STAFF, OFFICERS AND TRUSTEES OF BOTH ORGANIZATIONS HAVE MAINTAINED A CLOSE WORKING RELATIONSHIP TO DETERMINE THE BEST NEEDS FOR DUKE UNIVERSITY BY HOLDING REGULAR PERIODIC FACE TO FACE AND TELEPHONIC MEETINGS TO DISCUSS SPECIAL PROJECTS AND ACTIVITIES REQUIRING FUNDING UNIVERSITY BY HOLDING REGULAR PERIODIC FACE TO FACE AND TELEPHONIC MEETINGS TO DISCUSS SPECIAL PROJECTS AND ACTIVITIES REQUIRING FUNDING AND THE MONETARY AND TIMING NEEDS FOR THE FUNDS PROVIDED. SCHEDULE A, PART IV, SECTION D, LINE 3, SIGNIFICANT VOICE AS DESCRIBED PREVIOUSLY, THE NANALINE FUND HAS PROVIDED SUPPORT TO DUKE UNIVERSITY FOR MANY YEARS AND THE STAFF, OFFICERS AND TRUSTEES OF BOTH ORGANIZATIONS HAVE MAINTAINED A CLOSE WORKING RELATIONSHIP WHICH INCLUDES DISCUSSION OF THE APPROPRIATE INVESTMENT STRATEGY OF ASSETS AND USE OF THE ASSETS. THE NANALINE FUND'S ASSETS ARE INVESTED IN THE SAME POOL OF FUNDS AND IN THE SAME MANNER IN WHICH DUKE UNIVERSITY INVESTS ITS OWN ASSETS. SCHEDULE A, PART V, SECTION D, LINE 8, DISTRIBUTED ASSETS TO ATTENTIVE ORGANIZATIONS DISTRIBUTIONS ARE PROVIDED TO SUPPORT ACTIVITIES AT DUKE UNIVERSITY SCHOOL OF MEDICINE AND THE HOSPITAL BASED ON MEETINGS AND DISCUSSIONS HELD WITH DUKE UNIVERSITY STAFF. DUKE UNIVERSITY STAFF IDENTIFY SPECIFIC PROGRAM AND DEPARTMENT NEEDS WITHIN THE MEDICAL SCHOOL AND HOSPITAL WHICH OTHERWISE CANNOT BE FUNDED OR ARE DIFFICULT TO OBTAIN FUNDING FOR. DISTRIBUTIONS ARE DESIGNATED FOR AND EARMARKED FOR PURPOSES THAT ARE MEANINGFUL AND IMPACTFUL TO THE MEDICAL SCHOOL AND HOSPITAL. DISTRIBUTIONS DURING 2022: IN 2016, THE NANALINE FUND BEGAN FUNDING A JUNIOR PHYSICIAN SCIENTIST PROGRAM THAT IS USED TO DEVELOP THE CAREERS OF LABORATORY-BASED PHYSICIAN-SCIENTISTS. DURING THE CURRENT YEAR, $1,700,000 WAS PAID TO FUND THE PROGRAM. THIS PROGRAM IS FUNDED SOLEY BY THE NANALINE FUND. 54986689 -2586832 1700000 114191 50585666 40931455 15868581 1700000 113347 54986689 38260102 4431257 1650000 109904 40931455 35586672 4069874 1300000 96445 38260101 35368230 1619495 1300000 101053 35586672 1.00000 0 0 0 INVESTMENTS IN LONG TERM POOL 49424012 F PRIVATE EQUITIES 339330 F 49763342 -2586832 -4476852 -4476852 1890020 0 1890020 1814191 0 1814191 0 1814191 PART V, LINE 4: TO SUPPORT DUKE UNIVERSITY, AN INSTITUTION OF LEARNING IN DURHAM, NC, TO BE USED BY IT FOR ITS HOSPITAL AND MEDICAL SCHOOL AND FOR FURTHERING AND PROMOTING MEDICAL RESEARCH AT SUCH HOSPITAL AND MEDICAL SCHOOL AND FOR THE GENERAL USE OF SAID DUKE UNIVERSITY. PART X, LINE 2: ASC 740 (FIN 48) FOOTNOTE THE ORGANIZATION ADOPTED FIN 48 IN AN EARLIER YEAR. THE CURRENT YEAR FINANCIAL STATEMENTS DO NOT INCLUDE A FIN 48 FOOTNOTE AS THE ORGANIZATION DID NOT HAVE ANY UNCERTAIN POSITIONS TO DISCLOSE. 1 DUKE UNIVERSITY 201 ALLEN BUILDING DURHAM NC 27708 560532129 501(C)(3) 1700000 0 FUNDING FOR THE JUNIOR PHYSICIAN SCIENTIST PROGRAM. 1 0 SCHEDULE I, PART I, LINE 2 ORGANIZATION'S PROCEDURES FOR MONITORING THE GRANT FUNDS IN THE U.S DUKE UNIVERSITY SENDS IN A REPORT DETAILING THEIR REQUEST OF FUNDS. THE REQUEST IS THEN TAKEN TO THE TRUSTEES FOR APPROVAL. WHEN THE GRANT IS APPROVED A GRANT AGREEMENT IS SIGNED BY BOTH STAFF AND DUKE UNIVERSITY. THE STAFF HAS A CLOSE RELATIONSHIP WITH DUKE UNIVERSITY AND MONITORS THE PROGRESS OF THE GRANT FUNDS WHICH INCLUDES ANNUAL SITE VISITS. 0 1 0 1 0 0 0 0 0 RHETT N MABRY PRESIDENT 0 645260 0 0 0 20507 0 194244 0 48168 0 908179 0 0 KAREN H ROGERS CFO, TREASURER & SECRETARY 0 382841 0 0 0 5273 0 45992 0 46976 0 481082 0 0 K TODD WALKER DIRECTOR OF INVESTMENTS 0 381991 0 0 0 5970 0 38401 0 46874 0 473236 0 0 SUSAN L MCCONNELL VP & DIR. OF HR & HIGHER ED 0 374873 0 0 0 11296 0 40189 0 24242 0 450600 0 0 WILLIAM F BACON VP & DIRECTOR OF EVALUATION 0 339443 0 0 0 7061 0 25799 0 45295 0 417598 0 0 LINWOOD HOLLOWELL DIRECTOR OF HEALTH CARE 0 315266 0 0 0 13125 0 12200 0 43750 0 384341 0 0 PHILLIP REDMOND JR DIR OF CHILD & FAMILY WELL 0 314695 0 0 0 13952 0 12200 0 41600 0 382447 0 0 MEKA S SALES DIR OF SI 0 307881 0 0 0 12090 0 12200 0 49629 0 381800 0 0 ROBERT WEBB DIRECTOR OF RURAL CHURCH 0 318161 0 0 0 10815 0 12200 0 33209 0 374385 0 0 CHARLES C LUCAS III CHAIR 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 JEAN G SPAULDING VICE CHAIR 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 DENNIS M CAMPBELL VICE CHAIR 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 WILLIAM BARNET III TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 JOHN FAV CECIL TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 RAVENEL B CURRY III TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 PAMELA L DAVIES TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 HARRIS E DELOACH JR TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 ALLYSON K DUNCAN TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 CONSTANCE F GRAY TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 J TRENT JONES TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 CLARENCE G NEWSOME TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 MINOR M SHAW TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 KENNETH D WEEKS JR TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 JUDY WOODRUFF TRUSTEE 3862 169897 0 0 0 0 0 0 0 5436 3862 175333 0 0 PART I, LINE 4B SUPPLEMENTAL NONQUALIFIED RETIREMENT PLAN THE DUKE ENDOWMENT, A RELATED ORGANIZATION, OFFERED A SUPPLEMENTAL NON-QUALIFIED RETIREMENT PLAN TO CERTAIN EXECUTIVE OFFICERS OF THAT ORGANIZATION. THE FOLLOWING PERSONS PARTICIPATED IN THE PLAN DURING 2022: RHETT N. MABRY, KAREN H. ROGERS, K. TODD WALKER, SUSAN L. MCCONNELL, AND WILLIAM F. BACON. NO DISTRIBUTIONS WERE MADE OUT OF THE PLAN DURING 2022. PART I, LINE 5 COMPENSATION CONTINGENT ON REVENUE IN ACCORDANCE WITH THE LAST WILL AND TESTAMENT OF NANALINE H. DUKE DATED SEPTEMBER 18, 1958, COMPENSATION IS PAID TO THE TRUSTEES OF THE FUND IN THE SAME MANNER SET FORTH IN JAMES B. DUKE'S INDENTURE OF TRUST DATED DECEMBER 11, 1924. ALL TRUSTEES LISTED IN SCHEDULE J PART II AND IN FORM 990 PART VII-A RECEIVED COMPENSATION DURING TAX YEAR UNDER THE TERMS OF THE INDENTURE. FORM 990, PART VI, SECTION A, LINE 2 FAMILY OR BUSINESS RELATIONSHIPS TRUSTEES CHARLES C. LUCAS, III AND J. TRENT JONES HAVE A FAMILY RELATIONSHIP. FORM 990, PART VI, SECTION B, LINE 11B PROCESS USED TO REVIEW FORM 990 THE FUND'S FINANCE STAFF PREPARES A DRAFT OF THE ANNUAL FORM 990 FOR REVIEW BY THE BOARD'S TAX FIRM. THE BOARD'S TAX FIRM WORKS WITH STAFF TO COMPLETE THE FORM 990, WHICH IS THEN DISTRIBUTED TO THE FULL BOARD OF TRUSTEES PRIOR TO FILING. FORM 990, PART VI, SECTION B, LINE 12C CONFLICT OF INTEREST POLICY MONITORING & ENFORCEMENT THE FUND DOES HAVE A CONFLICT OF INTEREST POLICY. FOLLOWING AN ANNUAL REVIEW OF THE CONFLICT OF INTEREST POLICY BY THE BOARD'S COMMITTEE ON TRUSTEES AND GOVERNANCE, EACH TRUSTEE AND OFFICER ACKNOWLEDGES REVIEW AND COMPLIANCE WITH THE POLICY. THE SECRETARY OF THE FUND, DISTRIBUTES THE POLICY TO EACH TRUSTEE AND OFFICER FOR UPDATING DISCLOSURE STATEMENTS. THE SECRETARY REVIEWS ALL UPDATED DISCLOSURE STATEMENTS, AND THE STATEMENTS ARE CIRCULATED TO THE CHAIRMAN OF THE BOARD OF TRUSTEES, THE CHAIRMAN OF EACH BOARD COMMITTEE AND TO THE OFFICERS. THE SECRETARY IS RESPONSIBLE FOR MONITORING AND ENFORCING COMPLIANCE WITH THE POLICY THROUGHOUT THE YEAR. A COPY OF EACH RESPONSE IS KEPT ON FILE IN THE OFFICE OF THE SECRETARY FOR THE FUND. FORM 990, PART VI, SECTION B, LINE 15 PROCESS FOR DETERMINING COMPENSATION TRUSTEES AND OFFICERS OF THE DUKE ENDOWMENT (THE "ENDOWMENT") SERVE AS TRUSTEES AND OFFICERS OF THE FUND. THEREFORE, THE FUND DOES NOT HAVE SEPARATE PAID EMPLOYEES. HOWEVER, THE ENDOWMENT HAS A COMMITTEE ON HUMAN RESOURCES THAT REVIEWS AND APPROVES ALL COMPENSATION OF THE ENDOWMENT'S EMPLOYEES. THE ENDOWMENT'S COMMITTEE ON HUMAN RESOURCES CONDUCTS AN IN-DEPTH COMPENSATION ANALYSIS EVERY 3-4 YEARS, WHICH INCLUDES, BUT IS NOT LIMITED TO, HIRING AN INDEPENDENT COMPENSATION CONSULTANT TO BENCHMARK STAFF POSITIONS AGAINST MARKET DATA OF PEER GROUP NONPROFIT ORGANIZATIONS AND COMPARABLE POSITIONS WITHIN FOR-PROFIT ORGANIZATIONS. FORM 990, PART VI, SECTION C, LINE 19 AVAILABILITY OF DOCUMENTS TO THE PUBLIC THE GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS OF THE FUND ESTABLISHED BY WILL OF NANALINE H. DUKE FOR DUKE UNIVERSITY ARE AVAILABLE UPON REQUEST. FORM 990, PART VII, COLUMN B - TRUSTEE HOURS TRUSTEE COMPENSATION WAS SET FORTH IN THE SECOND DIVISION OF MR. DUKE'S INDENTURE OF TRUST DATED DECEMBER 11, 1924, AS AMENDED. TRUSTEES DO NOT RECEIVE REIMBURSEMENT FOR TRAVEL-RELATED EXPENSES. THE MINIMUM HOURS FOR TRUSTEES IS BASED UPON 10 BOARD MEETINGS, RELATED COMMITTEE MEETINGS, TRAVEL AND PREPARATION TIME. TRUSTEES ARE ALSO FREQUENTLY CONSULTED BETWEEN MEETINGS AND ASKED TO REVIEW AND COMMENT ON E-MAILS, REPORTS AND PAPERS PREPARED BY STAFF AND ASSIST ON OTHER ENDOWMENT RELATED MATTERS. BROKEN DOWN ON A WEEKLY BASIS, THE MINIMUM TIME IS APPROXIMATELY 4 TO 7 HOURS PER WEEK PER TRUSTEE. THE DUKE ENDOWMENT 800 EAST MOREHEAD STREET CHARLOTTE NC 28202 560529965 PRIVATE FOUNDATION NC 501(C)(3) PF N/A 1 ANGIER B DUKE MEMORIAL 800 EAST MOREHEAD STREET CHARLOTTE NC 28202 136113895 SUPPORTING ORGANIZATION NC 501(C)(3) LINE 12D, III-NFI N/A 1 DUKE UNIVERSITY 201 ALLEN BUILDING DURHAM NC 27708 560532129 UNIVERSITY NC 501(C)(3) LINE 2 N/A 0 0 1 0 0 0 0 0 0 0 0 0 0 1 1 1 1 0 0 0 SCHEDULE R, PART V, LINE 1(B) AS A SUPPORTING ORGANIZATION TO DUKE UNIVERSITY, THE FUND MADE A GRANT TO DUKE UNIVERSITY (SEE SCHEDULE I, PART II FOR GRANTS PAID DURING THE YEAR). SCHEDULE R, PART V, LINE 1(M, N, O AND P) THE FUND'S OFFICE IS LOCATED IN THE OFFICE OF THE DUKE ENDOWMENT. ALTHOUGH TRUSTEES AND OFFICERS OF THE FUND HOLD LIKE POSITIONS WITH THE ENDOWMENT, AND OTHER PERSONNEL OF THE ENDOWMENT MAY PERFORM DUTIES FOR THE FUND, THE ADMINISTRATIVE, INVESTMENT AND ACCOUNTING FUNCTIONS REMAIN SEPARATE. THE FUND PAYS FOR MANY OF ITS DIRECT EXPENSES SUCH AS AUDIT AND TAX FEES, TRUSTEE FEES, LEGAL FEES, CUSTODY SERVICES AND OTHER ADMINISTRATIVE EXPENSES. PART VII, SECTION A, COLUMN (B) REPRESENTS AGGREGATE HOURS WORKED PER WEEK ON THIS ORGANIZATION, THE DUKE ENDOWMENT AND ANGIER B. DUKE MEMORIAL, INC. BECAUSE THE FUND SHARES PERSONNEL AND OFFICE FACILITIES WITH THE ENDOWMENT, THE FUND REIMBURSES THE ENDOWMENT FOR ITS PORTION OF SUCH SHARED EXPENSES. PURSUANT TO EACH ENTITY'S RESPECTIVE AUDIT CHARTER, THE REIMBURSEMENT PROCEDURES ARE REVIEWED AND APPROVED ANNUALLY BY THE RESPECTIVE COMMITTEES ON AUDIT. IN ADDITION, DURING THE ANNUAL AUDIT FOR EACH ENTITY, THE AMOUNT REIMBURSED BY THE FUND TO THE ENDOWMENT IS RECALCULATED FOR ACCURACY AND REVIEWED FOR REASONABLENESS.