FINANCIAL INFORMATION

The Population Council is a nonprofit organization and is exempt from federal income tax under section 501(c)(3) of the US Internal Revenue Code.

The Council closed 2007 with operating revenue of $71.1 million, of which 88 percent consisted of donor grants and contributions. The balance of the year’s revenue was received from royalty income (7 percent), generated from the licensing of Council-developed products, and return on investments (5 percent). Operating expenditures for the year totaled $74.2 million.

The Council’s program spending ratio, a key financial indicator, was 85 percent for fiscal 2007, which means 85 cents of every dollar spent was invested directly in program activities.

During 2007 the Council implemented the transition from a “divisional” to a “programmatic” organizational structure; adopted the Financial Accounting Standard No. 158 (SFAS 158)—Employers’ Accounting for Defined Benefit Pension and Other Postretirement Plans; and completed a number of large-scale, long-term projects supported by donor-restricted contributions. The net effect of these changes was a modest decrease in the Council’s net assets.

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