2024-05-14T14:59:19-05:00 2023-06-30 135565207 KPMG LLP 8350 BROAD STREET SUITE 900 MCLEAN VA 22102 990 2022-07-01 980681431 EMBRY-RIDDLE AERONAUTICAL UNIVERSITY ASIA LTD EMBR 3863238078 1 AEROSPACE BLVD DAYTONA BEACH FL 32114 JOHN WATRET PHD CHANCELLOR-WORLDWIDE 3863238078 2024-05-14 1 JOHN WATRET PHD 999009999 1 BRIAN KEARNS P02061479 7032868000 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z JOHN WATRET PHD 1 AEROSPACE BLVD DAYTONA BEACH FL 32114 3321453 0 X WWW.ASIA.ERAU.EDU X 2009 SN SEE SCHEDULE O 4 0 0 0 0 0 50052 8701 3509969 3311606 25 1146 0 0 3560046 3321453 306416 158067 0 0 1381037 1394498 0 0 0 1644618 1546315 3332071 3098880 227975 222573 1824531 1751900 1269709 983705 554822 768195 THE MISSION OF EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, ASIA LTD (ERAU ASIA) IS TO EXTEND EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC'S (ERAU) OPPORTUNITY FOR DELIVERING HIGHER EDUCATION AND RESEARCH IN AVIATION AND AEROSPACE IN KEY COUNTRIES OF THE ASIA PACIFIC REGION. 0 0 1840854 158067 3311606 ERAU ASIA OFFERS PART-TIME AND FULL-TIME UNDERGRADUATE AND GRADUATE DEGREE PROGRAMS TO PRE-EMPLOYMENT AND WORKING PROFESSIONAL STUDENTS. 1840854 1 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 1 1 1 1 0 1 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 0 0 1 0 0 0 0 1 SN 0 0 0 0 0 0 0 0 0 0 X 4 0 0 0 0 0 1 1 1 1 1 0 0 1 1 1 1 1 1 0 0 0 X X JARE ALLOCCO ALLEN 3863238078 1 AEROSPACE BLVD DAYTONA BEACH FL 32114 JOHN WATRET CHAIRPERSON 5.00 45.00 X X 0 481320 45582 CHARLES SEVASTOS SECRETARY 3.00 45.00 X X 0 288418 36588 RANDALL B HOWARD BOARD MEMBER 3.00 50.00 X X 0 573724 46619 QUAY CHEW ENG BOARD MEMBER (UNTIL 04/01/2023) 3.00 0.00 X 0 0 0 MATTHEW FLAHERTY VICE CHANCELLOR AND EXEC DIR 50.00 0.00 X X 176003 58668 8439 176003 1402130 137228 1 0 1 0 ERC INSTITUTE 229 MOUNTBATTEN ROAD 01-30 MNTBATTEN SQ SN 398007 STUDENT SERVICES MGMT 671608 BS KAH PTE LTD 75 BUKIT TIMAH ROAD 05-03 BOON SIEW BLDG SN 229833 FACILITY RENTAL/MGMT 177674 2 8701 8701 TUITION REVENUE & FEES 900099 3279304 3279304 GRAD & ACADEMIC FEES 900099 32302 32302 3311606 1146 1146 3321453 3311606 0 1146 158067 158067 183554 5353 178201 1034365 300524 733841 122526 33099 89427 52177 137 52040 1876 1876 2273 2273 2312 2312 53193 53193 177494 161960 15534 89713 80772 8941 68386 293 68093 34784 27054 7730 30645 4505 26140 61804 53994 7810 12998 5854 7144 1164 1164 156165 156165 COMMISSION EXPENSE 796455 796455 MISC EXPENSES 32812 28193 4619 TAXES 15877 15877 COURSE MATERIALS 10240 10240 3098880 1840854 1258026 0 X 693222 745829 908709 939871 35472 32292 422270 404183 34082 18087 153046 15821 1824531 1751900 411240 403936 689696 541668 168773 38101 1269709 983705 X 554822 768195 554822 768195 1824531 1751900 X 222573 -9200 X X 0 1 X 1 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 290356 281963 8393 131914 122220 9694 18087 30905 RIGHT OF USE LEASE LIABILITIES 7196 38101 X 3163386 0 3163386 158067 158067 3321453 2950013 9200 9200 2940813 158067 158067 3098880 PART X, LINE 2: IN DETERMINING THE AMOUNT OF CURRENT AND DEFERRED TAX, ERAU ASIA TAKES INTO ACCOUNT THE IMPACT OF UNCERTAIN TAX POSITIONS AND WHETHER ADDITIONAL TAXES AND INTEREST MAY BE DUE. ERAU ASIA BELIEVES THAT ITS ACCRUALS FOR TAX LIABILITIES ARE ADEQUATE FOR ALL OPEN TAX YEARS BASED ON ITS ASSESSMENT OF MANY FACTORS, INCLUDING INTERPRETATIONS OF TAX LAW AND PRIOR EXPERIENCE. THIS ASSESSMENT RELIES ON ESTIMATES AND ASSUMPTIONS AND MAY INVOLVE A SERIES OF JUDGMENTS ABOUT FUTURE EVENTS. NEW INFORMATION MAY BECOME AVAILABLE THAT CAUSES ERAU ASIA TO CHANGE ITS JUDGMENT REGARDING THE ADEQUACY OF EXISTING TAX LIABILITIES; SUCH CHANGES TO TAX LIABILITIES WILL IMPACT TAX EXPENSE IN THE PERIOD THAT SUCH A DETERMINATION IS MADE. SCHEDULE D, PART XI, LINE 4B: $158,067 OF INSTITUTIONALLY FUNDED SCHOLARSHIP EXPENSE WAS REPORTED ON THE AUDITED FINANCIAL STATEMENT AS CONTRA-REVENUE. SCHEDULE D, PART XII, LINE 2D: $9,200 OF LOSS ON FOREIGN CURRENCY EXCHANGE WAS REPORTED ON THE AUDITED FINANCIAL STATEMENTS AS OTHER OPERATING EXPENSES. SCHEDULE D, PART XII, LINE 4B: $158,067 OF INSTITUTIONALLY FUNDED SCHOLARSHIP EXPENSE WAS REPORTED ON THE AUDITED FINANCIAL STATEMENT AS CONTRA-REVENUE. 1 1 1 1 1 1 1 0 0 0 0 0 0 0 0 0 0 1 SCHEDULE E, PART I, LINE 3: EXPLANATION OF NONDISCRIMINATION POLICY: ERAU ASIA IS A FOREIGN ORGANIZATION THAT DRAWS A SUBSTANTIAL PERCENTAGE OF ITS STUDENT BODY FROM ABROAD AND MEETS THE CRITERIA OF SECTION 4.03(2)(B) OF REVENUE PROCEDURE 75-50. ERAU ASIA FOLLOWS A RACIALLY NON-DISCRIMINATORY POLICY AND THE POLICY IS PUBLICIZED ON ITS ADMISSION APPLICATION AS WELL AS ON ITS WEBSITE, BOTH OF WHICH MAY BE ACCESSED BY THE GENERAL COMMUNITY IT SERVES AND THE PUBLIC. 0 EAST ASIA AND THE PACIFIC 1 58 PROGRAM SERVICES HIGHER EDUCATION 2940813 EAST ASIA AND THE PACIFIC 0 0 GRANTS TO RECIPIENTS 158067 1 58 0 0 1 58 3098880 0 3098880 FINANCIAL ASSISTANCE EAST ASIA AND THE PACIFIC 219 158067 SEE PART V EXPLANATION 0 0 1 0 0 0 PART III ACCOUNTING METHOD: SCHEDULE F, PART III, LINE 1, (E): MANNER OF CASH DISBURSEMENT ALL FINANCIAL AID IS APPLIED DIRECTLY TO STUDENTS' OUTSTANDING RECEIVABLE BALANCES. NO CASH IS PHYSICALLY TRANSMITTED. STUDENT AID AWARDED FROM INSTITUTIONAL SOURCES IS MONITORED CONTINUOUSLY THROUGHOUT THE FISCAL YEAR USING VARIOUS STUDENT ACCOUNT AND INSTITUTIONAL PROGRAM REPORTS. X X 1 1 0 0 0 0 0 0 0 1 0 RANDALL B HOWARD BOARD MEMBER 0 470791 0 100730 0 2203 0 30500 0 16119 0 620343 0 0 JOHN WATRET CHAIRPERSON 0 402707 0 75730 0 2883 0 30500 0 15082 0 526902 0 0 CHARLES SEVASTOS SECRETARY 0 265934 0 20730 0 1754 0 29156 0 7432 0 325006 0 0 MATTHEW FLAHERTY VICE CHANCELLOR AND EXEC DIR 141138 47046 543 181 34322 11441 0 0 0 8439 176003 67107 0 0 SCHEDULE J, PART I, LINE 1A: THE UNIVERSITY'S TRAVEL POLICY PROVIDES THE SPECIFIC CONDITIONS FOR WHICH FIRST-CLASS TRAVEL IS ALLOWABLE IF PREAPPROVED BY THE EMPLOYEE'S SENIOR LEADERSHIP AND THE SENIOR VICE PRESIDENT AND CFO OR UNIVERSITY PRESIDENT (E.G.: TRAVEL INVOLVING FLIGHT SEGMENTS OVER SIX HOURS, RED-EYE FLIGHTS THAT SAVE LODGING EXPENSE, CASES WHERE THE TRAVELER HAS A DOCUMENTED PHYSICAL DISABILITY OR LIMITATION, ETC). SCHEDULE J, PART I, LINE 3: USE OF RELATED ORGANIZATION IN DETERMINING COMPENSATION APPROVAL AND COMPENSATION OF ALL EMPLOYEES IS MADE IN CONSULTATION WITH APPROPRIATE PERSONNEL AT EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC. SPECIFIC LEVELS OF COMPENSATION ARE DETERMINED BY COMPARING THE COMPENSATION FOR SIMILAR POSITIONS. SCHEDULE J, PART I, LINE 7: NON-FIXED PAYMENTS: SELECT PERSONS LISTED ON FORM 990, PART VII, SECTION A, LINE 1, RECEIVED AN ADDITIONAL PERFORMANCE BASED BONUS. ADDITIONALLY, ALL REFERENCED EMPLOYEES RECEIVE A HOLIDAY BONUS IN THE SAME AMOUNT THAT ALL UNIVERSITY EMPLOYEES RECEIVE. FORM 990, PART I, LINE 1: THE MISSION OF EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, ASIA LTD (ERAU ASIA) IS TO EXTEND EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC'S (ERAU'S) OPPORTUNITIES FOR DELIVERING HIGHER EDUCATION AND RESEARCH IN AVIATION AND AEROSPACE IN KEY COUNTRIES OF THE ASIA PACIFIC REGION. FORM 990, PART I, LINE 4 AND FORM 990, PART VI, LINE 1B INDEPENDENT VOTING MEMBERS: EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC. WISHED TO EXPAND OPERATIONS IN ASIA AND WAS ADVISED TO ESTABLISH A LOCAL COMPANY. MOST OF THE VOTING MEMBERS HAVE EXISTING RELATIONSHIPS AND ARE COMPENSATED BY THE PARENT, EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC., TO ASSURE THAT ERAU ASIA SUPPORTS THE MISSION AND GOALS OF EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC. AN INDEPENDENT VOTING MEMBER RESIGNED APRIL 2023; A NEW INDEPENDENT VOTING MEMBER JOINED ERAU ASIA NOVEMBER 2023. FORM 990, PART VI, SECTION A, LINE 6 MEMBERS AND STOCKHOLDERS: EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC. IS THE SOLE MEMBER OF ERAU ASIA. FORM 990, PART VI, SECTION A, LINE 7A EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC., AS THE SOLE MEMBER SET OUT IN THE ARTICLES OF ASSOCIATION, HAS THE POWER TO APPOINT AND REMOVE THE VICE CHANCELLOR AND EXECUTIVE DIRECTOR, AS WELL AS VOTE TO DIRECT THE AFFAIRS OF ERAU ASIA. FORM 990, PART VI, SECTION A, LINE 7B DECISIONS OF THE ORGANIZATION RESERVED TO MEMBERS: EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC., AS THE FOUNDING MEMBER, HAS THE SOLE RIGHT TO APPOINT AND REMOVE THE VICE CHANCELLOR AND EXECUTIVE DIRECTOR OF ERAU ASIA. ADDITIONALLY, THE FOUNDING MEMBER HAS THE FINAL CONSENT TO REMOVE ANY OTHER MEMBER WHOM THE DIRECTORS WISH TO REMOVE FROM THE BOARD. THE FOUNDING MEMBER CANNOT BE EXPELLED, EXCLUDED OR REMOVED FROM THE ORGANIZATION, AND HAS THE ABSOLUTE DISCRETION AND POWER TO EXPEL, EXCLUDE, OR REMOVE AND/OR VETO THE EXPULSION, EXCLUSION OR REMOVAL OF ANY MEMBER. FORM 990, PART VI, SECTION B, LINE 11B MANAGEMENT AND/OR THE GOVERNING BODY REVIEW PROCESS: PRIOR TO FILING, THE FORM 990 IS REVIEWED BY THE ORGANIZATION'S MANAGEMENT AND INDEPENDENT TAX ACCOUNTANTS AT KPMG. ALL MEMBERS OF THE BOARD OF DIRECTORS ARE PROVIDED AN ELECTRONIC COPY OF THE COMPLETE FORM PRIOR TO FILING WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C CONFLICT OF INTEREST POLICY: ERAU ASIA IS MANAGED IN ACCORDANCE WITH EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC.'S POLICIES AND PROCEDURES EXCEPT WHERE SPECIFIC POLICIES AND PROCEDURES CANNOT OR DO NOT APPLY TO SINGAPORE. ERAU ASIA'S BOARD MEMBERS ARE REQUIRED TO COMPLETE AN ANNUAL CONFLICT OF INTEREST DISCLOSURE FORM SUBMITTED TO THE INTERNAL AUDIT, RISK, AND COMPLIANCE DEPARTMENT OF EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC. TO ENSURE COMPLIANCE WITH THE UNIVERSITY'S CONFLICT OF INTEREST POLICY. FORM 990, PART VI, SECTION B, LINE 15 OFFICERS AND KEY EMPLOYEES OF THE ORGANIZATION: APPROVAL AND COMPENSATION OF ALL EMPLOYEES IS MADE IN CONSULTATION WITH APPROPRIATE PERSONNEL AT EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, INC. SPECIFIC LEVELS OF COMPENSATION ARE DETERMINED BY COMPARING THE COMPENSATION FOR SIMILAR POSITIONS. FORM 990, PART VI, SECTION C, LINE 19 DISCLOSURE: ERAU ASIA MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY, AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. THE FORM 990 AND AUDITED FINANCIAL STATEMENTS ARE DISCLOSED ON ERAU ASIA'S WEBSITE. FORM 990, PART X, LINE 19: DEFERRED REVENUE REPRESENTS THE UNEARNED PORTION OF REVENUE FROM TUITION AND FEES BILLED IN ADVANCE OF AN ACADEMIC TERM. FORM 990, PART XI, LINE 9: CURRENCY CONVERSION ADJUSTMENT -9,200. FORM 990, PART XII, LINE 2C: ERAU ASIA DID NOT CHANGE ITS OVERSIGHT OR SELECTION PROCESSES DURING THE TAX YEAR. FORM 990, PART XII, LINE 3A: ERAU ASIA DOES NOT RECEIVE U.S. FEDERAL AWARDS NOR WAS THE UNIVERSITY REQUIRED TO UNDERGO AN AUDIT AS SET FORTH IN THE UNIFORM GRANT GUIDANCE. EMBRY-RIDDLE AERONAUTICAL UNIV INC 1 AEROSPACE BOULEVARD DAYTONA BEACH FL 32114 590936101 HIGHER EDUCATION FL 501(C)(3) 2 N/A 0 ERAU ASIA INSTITUTE LTD 75 BUKIT TIMAH ROAD 02-01/02 BOON SIEW SN 229833 HIGHER EDUCATION SN ERAU ASIA C 1.00000 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 ERAU ASIA INSTITUTE LTD R 403997 FMV RELATED ORGANIZATION: ERAU ASIA INSTITUTE, LTD. THE PRIVATE EDUCATION SECTOR IN SINGAPORE IS REGULATED BY THE COMMITTEE FOR PRIVATE EDUCATION (CPE), A STATUTORY BOARD UNDER THE MINISTRY OF EDUCATION (MOE) CREATED THROUGH THE 2009 PASSAGE OF THE PRIVATE EDUCATION ACT. THE CPE IS CENTRAL TO ENSURING QUALITY AND STUDENT PROTECTION WITHIN PRIVATE EDUCATIONAL INSTITUTIONS. TWO KEY INITIATIVES ENABLING PRIVATE EDUCATION OVERSIGHT IN SINGAPORE ARE THE ENHANCED REGISTRATION FRAMEWORK (ERF) AND THE EDUTRUST CERTIFICATION SCHEME. THE ERF IS MANDATORY FOR ALL PRIVATE EDUCATION INSTITUTES (PEIS) OR FOREIGN UNIVERSITIES OPERATING IN SINGAPORE. IT SETS OUT A RIGOROUS FRAMEWORK FOR GOVERNANCE, QUALITY OF SERVICE, STUDENT WELFARE, AND FINANCIAL TRANSPARENCY. REGISTRATION UNDER THE ERF SIGNIFIES A BASELINE LEVEL OF ACCREDITATION, ASSURING STUDENTS OF A REPUTABLE INSTITUTION. VOLUNTARY BUT HIGHLY SOUGHT-AFTER, THE EDUTRUST CERTIFICATION GOES BEYOND THE ERF, DEMANDING EVEN STRICTER QUALITY STANDARDS ACROSS ALL ASPECTS OF DELIVERING HIGHER EDUCATION. THE CERTIFICATION SCHEME REPRESENTS THE PINNACLE OF QUALITY ASSURANCE IN SINGAPORE'S PRIVATE EDUCATION SECTOR. IT INVOLVES A SELF-ASSESSMENT, A RIGOROUS EXTERNAL AUDIT, AND ONGOING COMPLIANCE MONITORING. THE ERF AND EDUTRUST CERTIFICATION SCHEME ARE SIGNIFICANT UNDERTAKINGS FOR ANY PEI INVOLVING THOROUGH DOCUMENTATION, SELF-ASSESSMENT, AND EXTERNAL AUDITS TO ENSURE COMPLIANCE WITH REGULATORY REQUIREMENTS AND QUALITY STANDARDS. PEIS MUST ALLOCATE RESOURCES FOR REVIEWING AND ENHANCING THEIR MANAGEMENT PRACTICES, PLANNING, CORPORATE GOVERNANCE, DEGREE PROGRAM DELIVERY, FACULTY DEVELOPMENT, STUDENT PROTECTION AND SUPPORT SERVICES, INFRASTRUCTURE AND LEARNING RESOURCE UPGRADES, STUDENT OUTCOMES, AND DATA PROTECTION PRACTICES. AFTER ESTABLISHING ITSELF IN SINGAPORE IN 2010, DELIVERING DEGREE PROGRAMS THROUGH PARTNERSHIPS WITH PUBLIC INSTITUTIONS AND OTHER PEIS, IN 2019, EMBRY-RIDDLE AERONAUTICAL UNIVERSITY, ASIA LTD. (ERAU ASIA) CREATED A SUBSIDIARY COMPANY, ERAU ASIA INSTITUTE, LTD. (ERAU-AI), THE FIRST STEP IN CREATING A PEI. AFTER FULFILLING ALL THE REQUIREMENTS OF THE ERF, ERAU-AI WAS AWARDED A FOUR-YEAR REGISTRATION IN FEBRUARY 2021. ITS INAUGURAL COHORT OF STUDENTS STARTED IN JANUARY 2022, PAVING THE WAY FOR THE NEXT LEVEL OF CERTIFICATION. AFTER THOROUGHLY REVIEWING ITS PROCESSES AND PROCEDURES AND CONDUCTING AN ON-SITE ASSESSMENT OF ITS OPERATIONS, THE CPE AWARDED ERAU-AI A FOUR-YEAR EDUTRUST CERTIFICATION IN FEBRUARY 2023. FROM JULY 2023, ALL NEW ERAU STUDENTS IN SINGAPORE (EXCEPT THOSE JOINING GRADUATE DEGREE PROGRAMS OFFERED THROUGH A PARTNERSHIP WITH THE CIVIL AVIATION AUTHORITY OF SINGAPORE) WERE ENROLLED UNDER ERAU-AI. FROM JANUARY 2024, STUDENTS ENROLLED IN ERAU DEGREE PROGRAMS UNDER A SEPARATE PARTNERSHIP IN SINGAPORE WERE ALLOWED TO TRANSFER TO ERAU-AI. THESE MOVES WILL REPRESENT A SIGNIFICANT SHIFT IN OPERATIONS FROM ERAU ASIA TO ERAU-AI IN THE COMING YEARS. THE CREATION OF ERAU-AI STRENGTHENS THE UNIVERSITY'S POSITION IN SINGAPORE AND THE SURROUNDING ASIA REGION, WHERE SEVERAL DECADES OF GROWTH IN THE AVIATION/AEROSPACE SECTOR ARE PROJECTED FOR THE FUTURE. THE PEI ENHANCES THE UNIVERSITY'S REPUTATION AND ITS ABILITY TO ATTRACT STUDENTS WHO VALUE ITS HIGH-QUALITY AVIATION/AEROSPACE DEGREE PROGRAMS. IT ALSO FOSTERS GREATER TRUST WITH INTERNATIONAL PARTNERS, STRENGTHENING THE UNIVERSITY'S OPPORTUNITY FOR GROWTH.