The Johnson School Annual Report 2007–2008 - Johnson Graduate ...

Financial Review 2007–2008
Year in Review 2007–2008
This section provides a brief financial overview of the Johnson
School as of June 30, 2008. It also includes a summary of
employment results for the Class of 2008, an overview of
prospective student recruiting for the fall, and a summary of
highlights and noteworthy accomplishments.
The Johnson School’s operating revenues exceeded operating
expenses again in 2008; revenues increased just over 11 percent
from 2006–07 while expense growth was held to just under
6 percent. Our Executive MBA and Cornell-Queen’s MBA
programs continue to provide over 20 percent of our operating
revenue; these programs comprise over 30 percent of our total
revenue from degree program tuition and fees.
As we continued our efforts in support of our $100 million
goal for Far Above…The Campaign for Cornell, we saw a
significant increase in the support and generosity of our
alumni, friends, corporations, and foundations. Gifts to the
Johnson School from generous alumni, friends, corporations,
and foundations accounted for 11 percent of our revenue in
2008. We also continue to rely substantially on the generosity
of past donors who, in adding to our endowment funding,
helped provide 13 percent of our revenue last year in the form
of investment income.
Our endowment market value increased by $4.5 million
during 2007–08, bringing our endowment to just over
$187 million. Continuing growth in our endowment comes
from investment performance and gifts from donors. This
year, donors created several new endowments for student
scholarships and support of school programs, including the
Business of Science and Technology Initiative.
Endowment Market Value by Designation
2007–2008 Actual Revenues
2007–2008 Actual Expenditures
June 30, 2008
Total Expenditures: $59,082,000
Research Support 3%
Student Aid 10%
Program Support 37%
Professorships 50%
June 30, 2008
Market Value: $187,400
Executive Education 2%
Other 3%
Gifts 11%
Investment Income 13%
Degree Program Tuition and Fees 71%
June 30, 2008
Total Revenues: $60,933,000
Other -1%
Executive Education 1%
PhD Support 4%
Executive MBA 6%
Cornell-Queen’s EMBA 7%
MBA Financial Aid 9%
Cornell Overhead 11%
General 15%
Salary and Benefits 48%
THE JOHNSON SCHOOL ANNUAL REPORT 2007–08
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