2023-10-02T09:33:57-05:00 2023-03-31 221478099 COHNREZNICK LLP 7501 WISCONSIN AVENUE SUITE 400E BETHESDA MD 20814 990 2022-04-01 135639689 AMERICAN YOUTH HOSTELS INC AMER 2406502100 8455 COLESVILLE ROAD 1225 SILVER SPRING MD 209106339 FREDERICA BROWNE CFO 2406502100 2023-09-29 1 FREDERICA BROWNE 999009999 0 LORI ROTHE YOKOBOSKY CPA P01273422 3016529100 2023-09-28 2 AAL1 IAL1 2022 2023-04-26 12:10:37Z HOSTELLING INTERNATIONAL USA RUSSELL HEDGE 8455 COLESVILLE ROAD 1225 SILVER SPRING MD 209106339 32257527 0 X WWW.HIUSA.ORG X 1949 NY SEE SCHEDULE O 12 12 372 122 0 0 7686080 2875634 10567888 27833879 9103575 -20170 516472 -63482 27874015 30625861 0 0 0 0 8901500 13632320 0 0 569819 11596216 15200792 20497716 28833112 7376299 1792749 60757084 69673394 38547749 45168049 22209335 24505345 X SEE SCHEDULE O 0 0 23503153 27873529 HOSTEL STAY: AYH PROVIDES A NETWORK OF 15 HOSTELS NATIONWIDE, AND IN A TYPICAL YEAR HOSTS TRAVELERS FROM MORE THAN 80 COUNTRIES WITH OVER 500,000 GUEST OVERNIGHT STAYS ANNUALLY. THE HOSTEL STAY CREATES THE OPPORTUNITY FOR CULTURAL EXCHANGE AND UNDERSTANDING AND IS FUNDAMENTAL TO ALL OTHER PROGRAMS WE OFFER. EACH HOSTEL IS PURPOSELY DESIGNED WITH SPACES AND AMENITIES THAT BRING PEOPLE TOGETHER AND ENCOURAGE INTERACTION IN AN INCLUSIVE AND INVITING WAY. WE STRATEGICALLY DEVELOP AND USE SPACES TO DELIVER CULTURAL EXCHANGE EXPERIENCES TO OUR TRAVELER GUESTS AND COMMUNITY MEMBERS. AS TRAVELERS GET TO KNOW EACH OTHER, THEY DISCOVER THEIR SIMILARITIES AND DIFFERENCES, BREAK DOWN STEREOTYPES AND SOCIAL BARRIERS, EXPAND WORLD VIEWS, AND HELP TO CREATE A MORE TOLERANT WORLD. 234945 GUEST LEARNING PROGRAMS: AYH DELIVERS EXPERIENTIAL LEARNING PROGRAMS AND ACTIVITIES IN AYH HOSTELS TO FACILITATE THE SHARING OF CULTURAL PERSPECTIVES AMONG GUESTS, AND FOR CONNECTING GUESTS WITH THE LOCAL COMMUNITY. THROUGH VOLUNTEER FACILITATION, PROGRAMS PROVIDE GUESTS WITH OPPORTUNITIES TO BETTER UNDERSTAND OTHER CULTURES, REFLECT ON THEIR OWN PERSPECTIVES AND UNDERSTANDING, AND TAKE ACTIONS CONSISTENT WITH THEIR LEARNINGS. PROGRAM DESIGN IS ALIGNED WITH AMERICAN ASSOCIATION OF COLLEGES AND UNIVERSITIES (AACU) LEARNING VALUE RUBRICS IN THE DISCIPLINES OF INTERCULTURAL COMMUNICATION, CIVIC ENGAGEMENT AND GLOBAL CITIZENSHIP. EACH YEAR, IN ADDITION TO THE HOSTEL STAY PROGRAM, AYH TYPICALLY DELIVERS MORE THAN 5,250 FACILITATED LEARNING PROGRAMS NATIONWIDE WITH 105,000 PARTICIPANTS NATIONAL SIGNATURE PROGRAMS: AYH DELIVERS NATIONAL SCOPE PROGRAMS THAT PROVIDE OPPORTUNITIES FOR PEOPLE TO ENHANCE THEIR INTERCULTURAL UNDERSTANDING AND CONTRIBUTE TO A MORE TOLERANT WORLD. TRAVEL SCHOLARSHIP GRANTS GIVE QUALIFIED 18 TO 30-YEAR OLD'S THE OPPORTUNITY TO ENGAGE IN EDUCATIONAL TRAVEL WITHIN THE USA AND AROUND THE WORLD. SAY HI FOR PEACE ENGAGES HOSTEL GUESTS AND COMMUNITY MEMBERS IN ACTIVITIES THAT CELEBRATE THE UNITED NATIONS INTERNATIONAL DAY OF PEACE AND EXPLORE HOW THEY CAN CONTRIBUTE TO A PEACEFUL SOCIETY. THE GREAT HOSTEL GIVE BACK PROGRAM OFFERS GROUPS OF SIX OR MORE PEOPLE AN OPPORTUNITY TO RECEIVE A FREE NIGHT'S STAY AT OUR HOSTELS DURING THE MONTHS OF JANUARY AND FEBRUARY FOR EACH DAY THEIR MEMBERS VOLUNTEER IN THE SURROUNDING COMMUNITY. IOU RESPECT BRINGS YOUNG PEOPLE TOGETHER FROM WESTERN AND MIDDLE EASTERN COUNTRIES INCLUDING THE US, GERMANY, FRANCE, TUNISIA, LEBANON AND EGYPT FOR TWO WEEK HOSTEL BASED INTENSIVE DIALOGUE, TRAVEL AND REFLECTION. THESE AND OTHER SIGNATURE PROGRAMS PROMOTE CROSS-CULTURAL EXCHANGE, MUTUAL UNDERSTANDING AND TOLERANCE. 23738098 1 1 0 0 0 0 0 0 0 1 1 0 0 0 1 1 0 1 0 0 0 0 0 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 1 107 0 1 372 1 0 0 0 0 0 0 0 0 0 0 0 0 X 12 12 0 0 0 0 1 0 0 1 1 0 1 1 1 1 1 1 1 1 1 1 0 AL AK AZ AR CA CO CT DC FL GA HI IL KS KY ME MD MA MI MS NH NJ NM NY NC OH PA RI SC TN TX WA WI X FREDERICA BROWNE 2406502100 8455 COLESVILLE ROAD SUITE 1225 SILVER SPRING MD 209106339 BERKITA BRADFORD DIRECTOR 1.00 1.00 X 0 0 0 BRUCE MARSDEN DIRECTOR 1.00 1.00 X 0 0 0 CHARLES HOKANSON DIRECTOR/CHAIR 1.00 2.00 X X 0 0 0 DEAN PAPADEMETRIOU DIRECTOR 1.00 1.00 X 0 0 0 ERIC OETJEN DIRECTOR (OUTGOING) 3.00 3.00 X 0 0 0 ERIKA BYRNISON DIRECTOR 2.00 3.00 X 0 0 0 ERIN HAMANT DIRECTOR/SECRETARY 2.00 2.00 X X 0 0 0 LISA GURWITCH DIRECTOR 1.00 1.00 X 0 0 0 MARCELLA MCCOY-DEH DIRECTOR (OUTGOING) 1.00 1.00 X 0 0 0 NICK ANDRADE DIRECTOR 1.00 1.00 X 0 0 0 NICOLE SANDOVAL DIRECTOR 1.00 1.00 X 0 0 0 VIOLET APPLE DIRECTOR/VICE CHAIR 1.00 1.00 X X 0 0 0 WALT KNOEPFEL DIRECTOR 1.00 1.00 X 0 0 0 WANGARI KAMAU DIRECTOR 1.00 1.00 X 0 0 0 RUSSELL HEDGE CEO/ASST SECRETARY 40.00 6.00 X 378080 0 42819 JASON FISHBAIN OUTGOING CHIEF DIGITAL OFFICER/ASST 40.00 1.00 X 160349 0 10419 AARON CHAFFEE VP, HOSTEL DEV/ASST TREASU 40.00 1.00 X 213675 0 11684 MICHELLE HIRSCHFELD VP SALES STAKEHOLDER ACTIV 40.00 1.00 X 202595 0 28165 LISA ZHU VP HR, ASST SECRETARY 40.00 1.00 X 185775 0 40300 DANIELLE BRUMFITT NORRIS VP EXTERNAL AFFAIRS/ASST T 40.00 1.00 X 153875 0 9889 SAM HUSSEIN VP HEAD OF IT AS OF 3/23) / IT APPLICATION SERV 40.00 2.00 X 141911 0 5094 FREDERICA BROWNE CFO/ASST TREASURER 40.00 6.00 X 187712 0 14925 DANIEL CASE VP, HOSTEL OPERATIONS 40.00 1.00 X 171547 0 12056 JENNIFER HUTCHERSON DIRECTOR, HR 40.00 1.00 X 125925 0 13627 ISABEL CRUZ GENERAL MANAGER 40.00 1.00 X 131763 0 15179 LOLITA BROWN CONTROLLER 40.00 1.00 X 144751 0 14469 NATALIE RAINFORD DIRECTOR, REVENUE MANAGER 40.00 1.00 X 116238 0 15631 CANDICE WASHINGTON VP OF EDUCATION AND EXPERIMENTAL LEARNING 40.00 1.00 X 115984 0 13614 2430180 0 247871 14 0 1 0 BOOKINGCOM BV 5295 PAYSHPERE CIRCLE CHICAGO IL 60674 ONLINE BOOKING SERVICE 2070318 PIONEER BUILDERS 3759 MISSION STREET SAN FRANCISCO CA 94110 BUILDING CONTRACTOR 491389 EXPEDIA INC PO BOX 844120 DALLAS TX 752844120 ONLINE BOOKING SERVICE 200177 B&R MAINTENANCE INC PO BOX 77348 SAN FRANCISCO CA 94107 HOUSEKEEPING CONTRACTOR 143634 COHNREZNICK LLP 7501 WISCONSIN AVE STE 400E BETHESDA MD 208146583 AUDITING AND TAX SERVICES 134495 8 2000000 875634 2875634 HOSTEL STAY 721199 27549057 27549057 MEMBERSHIP SERVICES 721199 284822 284822 27833879 209645 0 209645 209645 209645 1214586 1234756 -20170 -20170 -20170 84133 396910 -312777 -312777 39650 39650 39650 30625861 27873529 0 -123302 1971422 732813 1010561 228048 9090447 7636388 1176959 277100 93404 67877 20619 4908 1623191 1466615 130840 25736 853856 671442 148387 34027 197999 197999 96498 96498 1195610 255356 940254 235636 235636 267244 231201 36043 260893 143430 117463 3370452 3115222 255230 167956 125953 42003 109422 18250 91172 980657 980657 2087100 1921444 165656 651141 624597 26544 HOSTEL SUPPLIES & MAINT 2283354 2283354 BANK FEES 776429 749558 26871 HOSTELLER BREAKFAST SER 243310 243310 ASSET IMPAIRMENT LOSS 0 -5333 5333 2277091 2240328 36763 28833112 23738098 4525195 569819 1624647 3416455 14501036 1366415 2151028 2022827 17996 48059 262671 394683 73342364 34481574 27548423 38860790 14358968 23347432 292315 216733 60757084 69673394 3294938 3370441 2406731 3050262 22645594 28370514 2000000 8200486 10376832 38547749 45168049 X 8823626 10597909 13385709 13907436 22209335 24505345 60757084 69673394 X 1792749 503261 X 0 1 X 1 0 X 10211142 1439168 713062 7686080 2875634 22925086 37266401 36758196 924589 10567888 27833879 113350953 1058640 1014434 1369899 387883 84133 3914989 48536183 39211798 3007550 18641851 30793646 140191028 57983 78344 44325 58178 34751 273581 0 57983 78344 44325 58178 34751 273581 139917447 973683 255886 1576995 732373 209645 3748582 973683 255886 1576995 732373 209645 3748582 308150 341796 579398 39650 1268994 49818016 39809480 5163943 19374224 31042941 145208604 0.96360 0.96130 0.02580 0.02780 X SCHEDULE A, PART III, LINE 12, EXPLANATION OF OTHER INCOME: OTHER REVENUE - 2018 AMOUNT: $ 308,150. 2019 AMOUNT: $ 341,796. 2020 AMOUNT: $ 579,398. 2022 AMOUNT: $ 39,650. RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 431259 450000 -29984 4749 846526 430008 1251 431259 4024492 416237 125698 4136419 430008 3454083 970673 -396513 3751 4024492 3309814 6857 141151 3739 3454083 1.00000 0 0 1990897 1990897 33940286 16239433 17700853 13162096 8944431 4217665 9888154 7879957 2008197 14360931 1417753 12943178 38860790 INTEREST RATE SWAP AGREEMENT -423026 DUE TO AFFILIATES 10799858 10376832 X PART V, LINE 4: AYH HAS ADOPTED INVESTMENT AND SPENDING POLICIES FOR DONOR-RESTRICTED ENDOWMENT ASSETS THAT ATTEMPT TO GENERATE A SERIES OF CASH WITHDRAWALS THAT GROW WITH INFLATION TO PROGRAMS SUPPORTED BY ITS ENDOWMENT WHILE SEEKING TO MAINTAIN THE PURCHASING POWER OF THE DONOR-RESTRICTED ENDOWMENT ASSETS. DONOR-RESTRICTED ENDOWMENT ASSETS INCLUDE THOSE ASSETS OF DONOR-RESTRICTED FUNDS THAT AYH MUST HOLD IN PERPETUITY OR FOR DONOR-SPECIFIED PERIODS. THE PURPOSE OF THE AYH BOARD-DESIGNATED ENDOWMENT FUND IS TO GENERATE LONG-TERM APPRECIATION THAT CAN BE USED TO FUND FUTURE PROGRAMS AND TO PROVIDE A RESERVE OF MONEY TO AYH IN THE EVENT OF UNFORESEEN ECONOMIC CONDITIONS. UNDER BOTH POLICIES, AYH ACCEPTS A MODERATE LEVEL OF RISK IN INVESTMENT RETURN COMPARABLE TO THE RISK ASSOCIATED WITH THE S&P 500 EQUITY INDEX. FOUR PERCENT (4%) OF THE ASSET VALUE OF THE DONOR-RESTRICTED ENDOWMENT FUNDS AT THE END OF THE FISCAL YEAR MAY BE WITHDRAWN EACH YEAR FOR OPERATING PURPOSES, FIRST FROM DIVIDENDS AND INTEREST EARNED, AND THE REMAINDER FROM LIQUIDATION OF PRINCIPAL, LEAVING THE REMAINING ASSET VALUE TO APPRECIATE OVER TIME TO INCREASE THE DONOR-RESTRICTED FUND FOR FUTURE YEARS. PART X, LINE 2: AYH, HI CHICAGO, AND HI BOSTON ARE SUBJECT TO INCOME TAXES ON REVENUE GENERATED FROM OTHER SOURCES UNRELATED TO THEIR EXEMPT PURPOSE. DUE TO THEIR TAX-EXEMPT STATUS, THESE ENTITIES ARE NOT SUBJECT TO INCOME TAXES ON REVENUE THAT ARE GENERATED RELATED TO THEIR EXEMPT PURPOSE. AYH, HI CHICAGO, AND HI BOSTON ARE REQUIRED TO FILE AND DO FILE TAX RETURNS WITH THE IRS AND OTHER TAXING AUTHORITIES. ACCORDINGLY, THESE CONSOLIDATED FINANCIAL STATEMENTS REFLECT PROVISIONS FOR UNRELATED BUSINESS INCOME TAXES IN NOTE 16 AND NOTE 17. INCOME TAX RETURNS FILED BY AYH ARE SUBJECT TO EXAMINATION BY THE IRS FOR A PERIOD OF THREE YEARS. WHILE NO OTHER TAX RETURNS ARE CURRENTLY BEING EXAMINED BY THE IRS, TAX YEARS SINCE 2018 REMAIN OPEN. DURING THE YEARS ENDED MARCH 31, 2023 AND 2022, AYH DID NOT HAVE ANY UNRELATED BUSINESS TAXABLE INCOME AND NO INCOME TAX EXPENSE WAS INCURRED. DUE TO ITS TAX-EXEMPT STATUS, AYH IS REQUIRED TO FILE AND DOES FILE TAX RETURNS WITH THE IRS AND OTHER TAXING AUTHORITIES. AYH HAS ADOPTED THE ACCOUNTING GUIDANCE FROM THE ACCOUNTING STANDARDS CODIFICATION FOR ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES. AS OF MARCH 31, 2023 AND 2022, NO MATERIAL UNRECOGNIZED TAX PROVISION OR BENEFIT EXISTS. WHEN TAX RETURNS ARE FILED, IT IS HIGHLY CERTAIN THAT SOME POSITIONS TAKEN WOULD BE SUSTAINED UPON EXAMINATION BY THE TAXING AUTHORITIES, WHILE OTHERS ARE SUBJECT TO UNCERTAINTY ABOUT THE MERITS OF THE POSITION TAKEN OR THE AMOUNT OF THE POSITION THAT WOULD BE ULTIMATELY SUSTAINED. THE BENEFIT OF A TAX POSITION IS RECOGNIZED IN THE FINANCIAL STATEMENTS IN THE PERIOD DURING WHICH, BASED ON ALL AVAILABLE EVIDENCE, MANAGEMENT BELIEVES IT IS MORE LIKELY THAN NOT THAT THE POSITION WILL BE SUSTAINED UPON EXAMINATION, INCLUDING THE RESOLUTION OF APPEALS OR LITIGATION PROCESSES, IF ANY. TAX POSITIONS TAKEN ARE NOT OFFSET OR AGGREGATED WITH OTHER POSITIONS. TAX POSITIONS THAT MEET THE MORE-LIKELY-THAN-NOT RECOGNITION THRESHOLD ARE MEASURED AS THE LARGEST AMOUNT OF A TAX BENEFIT THAT IS MORE THAN 50% LIKELY OF BEING REALIZED UPON SETTLEMENT WITH THE APPLICABLE TAXING AUTHORITY. THE PORTION OF THE BENEFITS ASSOCIATED WITH TAX POSITIONS TAKEN THAT EXCEEDS THE AMOUNT MEASURED AS DESCRIBED ABOVE WOULD BE REFLECTED AS A LIABILITY FOR UNRECOGNIZED TAX BENEFITS IN THE ACCOMPANYING CONSOLIDATED STATEMENT OF FINANCIAL POSITION, ALONG WITH ANY ASSOCIATED INTEREST AND PENALTIES THAT WOULD BE PAYABLE TO THE TAXING AUTHORITIES UPON EXAMINATION. MANAGEMENT BELIEVES THERE ARE NO POSITIONS THAT WOULD RESULT IN ADDITIONAL TAX ASSETS OR LIABILITIES. X X X X 0 0 0 0 0 0 0 0 0 RUSSELL HEDGE CEO/ASST SECRETARY 349556 0 0 0 28524 0 5221 0 37598 0 420899 0 0 0 MICHELLE HIRSCHFELD VP SALES STAKEHOLDER ACTIV 202401 0 0 0 194 0 3188 0 24977 0 230760 0 0 0 LISA ZHU VP HR, ASST SECRETARY 185488 0 0 0 287 0 3106 0 37194 0 226075 0 0 0 AARON CHAFFEE VP, HOSTEL DEV/ASST TREASU 213119 0 0 0 556 0 64 0 11620 0 225359 0 0 0 FREDERICA BROWNE CFO/ASST TREASURER 186129 0 0 0 1583 0 2633 0 12292 0 202637 0 0 0 DANIEL CASE VP, HOSTEL OPERATIONS 171422 0 0 0 125 0 1698 0 10358 0 183603 0 0 0 JASON FISHBAIN OUTGOING CHIEF DIGITAL OFFICER/ASST 160137 0 0 0 212 0 1988 0 8431 0 170768 0 0 0 DANIELLE BRUMFITT NORRIS VP EXTERNAL AFFAIRS/ASST T 153688 0 0 0 187 0 2368 0 7521 0 163764 0 0 0 LOLITA BROWN CONTROLLER 143959 0 0 0 792 0 2296 0 12173 0 159220 0 0 0 FORM 990, PART I, LINE 1, DESCRIPTION OF ORGANIZATION MISSION: AYH PROMOTES A DEEPER UNDERSTANDING OF PEOPLE, PLACES AND CULTURES TO ADVANCE A MORE TOLERANT WORLD THROUGH OUR HOSTELS, LEARNING PROGRAMS AND NATIONAL SIGNATURE PROGRAMS. FORM 990, PART III, LINE 1, DESCRIPTION OF ORGANIZATION MISSION: OUR MISSION IS "TO HELP ALL, ESPECIALLY THE YOUNG, GAIN A GREATER UNDERSTANDING OF THE WORLD AND ITS PEOPLE THROUGH HOSTELLING." IN HOSTELS, LEARNING PROGRAMS AND NATIONAL SIGNATURE PROGRAMS, WE BRING PEOPLE TOGETHER FROM DIVERSE BACKGROUNDS TO CREATE INTERACTION, DIALOGUE AND RELATIONSHIPS THAT IMPROVE CULTURAL UNDERSTANDING AND CREATE A MORE TOLERANT WORLD. FORM 990, PART VI, SECTION A, LINE 6 THE CORPORATION HAS "TRANSACTIONAL MEMBERS AND SUCH STATUS IS AVAILABLE TO ANY PERSON INTERESTED IN ADVANCING THE PURPOSE OF THE CORPORATION. FEES AND REGULATIONS FOR SUCH TRANSACTIONAL MEMBERS ARE ESTABLISHED BY SENIOR MANAGEMENT. THESE TRANSACTIONAL MEMBERS ARE NOT CONSIDERED "MEMBERS" FOR PURPOSES OF NEW YORK NOT-FOR-PROFIT CORPORATION LAW. FORM 990, PART VI, SECTION B, LINE 11B THE ORGANIZATION'S FORM 990 IS REVIEWED BY THE AUDIT COMMITTEE PRIOR TO ITS FILING. THE AUDIT COMMITTEE MEETS WITH THE CFO, CONTROLLER AND THE ORGANIZATION'S AUDITORS AND TAX ACCOUNTANTS TO REVIEW AND DISCUSS THE AUDIT AND 990. THE AUDIT COMMITTEE THEN BRINGS A MOTION BEFORE THE BOARD OF DIRECTORS OF AMERICAN YOUTH HOSTELS, INC. TO ACCEPT THE AUDIT AND THE FILING OF FORM 990. FORM 990, PART VI, SECTION B, LINE 12C THE CONFLICT OF INTEREST POLICY HELPS ENSURE THAT ALL INSTITUTIONAL DECISIONS ARE MADE SOLELY TO PROMOTE THE BEST INTERESTS OF AMERICAN YOUTH HOSTELS, INC AND ITS AFFIILIATED ENTITIES. WITHOUT FAVOR OR PREFERENCE BASED ON PERSONAL CONSIDERATIONS, AND TO PROMOTE THE HIGHEST ETHICAL CONDUCT IN ALL TRANSACTIONS. ANNUALLY, EACH OFFICER, DIRECTOR AND KEY EMPLOYEE COMPLETES AND SIGNS A DISCLOSURE FORM TO DESCRIBE TRANSACTIONS AND RELATIONSHIPS THAT COULD RESULT IN A CONFLICT OR THE APPEARANCE THEREOF. AN UPDATED CONFLICT OF INTEREST POLICY WAS APPROVED BY THE BOARD OF DIRECTORS IN MARCH 2019, WHICH PROVIDES FOR THE AUDIT COMMITTEE TO REVIEW EACH DISCLOSURE FORM FILED BY EACH OFFICER, DIRECTOR AND KEY EMPLOYEE, AND TAKE APPROPRIATE ACTION TO ENSURE FULL TRANSPARENCY AND THAT THE HIGHEST ETHICAL STANDARD IS IN PLACE FOR ALL TRANSACTIONS AND/OR RELATIONSHIPS. THE GOAL IS TO PERMIT AYH TO MANAGE CONFLICTING INTERESTS SUCCESSFULLY AND TO REACH OPTIMUM DECISIONS WITH KNOWLEDGE OF THE CONFLICTS. ACCORDINGLY, SO LONG AS TRANSACTIONS ARE DISCLOSED BY BOARD MEMBERS TO THE AYH BOARD OF DIRECTORS; BY COMMITTEE MEMBERS TO THE RELEVANT AYH COMMITTEE; AND/OR BY EMPLOYEES OR VOLUNTEERS TO AYH SENIOR MANAGEMENT; AND THE TRANSACTIONS ARE BELIEVED TO BE IN THE BEST INTERESTS OF AYH, THEY MAY LAWFULLY BE UNDERTAKEN. FORM 990, PART VI, SECTION B, LINE 15 THE CEO'S COMPENSATION IS SET BY THE BOARD OF DIRECTORS OF AMERICAN YOUTH HOSTELS, INC. THE EXECUTIVE COMMITTEE ENGAGES AN OUTSIDE NONPROFIT COMPENSATION CONSULTANT TO PROVIDE COMPENSATION DATA FOR COMPARABLE POSITIONS. THE CEO'S PERFORMANCE IS DOCUMENTED ANNUALLY BY THE BOARD. BASED ON THE CEO'S PERFORMANCE AND CONSULTANT DATA, THE BOARD OF DIRECTORS SETS THE CEO'S ANNUAL COMPENSATION. THIS DECISION IS DOCUMENTED IN BOARD MEETING MINUTES. THE COMPENSATION OF ALL OTHER EMPLOYEES OF THE ORGANIZATION ARE SET BY USING COMPENSATION DATA FROM EXTERNAL SOURCES, ANNUAL PERFORMANCE REVIEWS AND COMPARABLE DATA. FORM 990, PART VI, SECTION C, LINE 19 THESE DOCUMENTS ARE AVAILABLE UPON REQUEST BY CONTACTING THE ORGANIZATION VIA MAIL, TELEPHONE, OR EMAIL AT: AMERICAN YOUTH HOSTELS ATTENTION: CFO 8455 COLESVILLE ROAD, SUITE 1225 SILVER SPRING, MD 20910 240-650-2100 FINANCE@HIUSA.ORG FORM 990, PART XI, LINE 9: GAIN ON INTEREST RATE SWAP 503,261. AMERICAN YOUTH HOSTELS - CHICAGO INC 8455 COLESVILLE ROAD SUITE 1225 SILVER SPRING MD 20910 364253842 HOSTELLING IL 501(C)(3) LINE 10 AYH 1 AYH BOSTON HOSTEL INC 8455 COLESVILLE ROAD SUITE 1225 SILVER SPRING MD 20910 271079973 HOSTELLING MA 501(C)(3) LINE 10 AYH 1 INDEPENDENT AFFILIATE HOSTELS INC 8455 COLESVILLE ROAD SUITE 1225 SILVER SPRING MD 20910 822136644 RENTAL OF PROPERTY DE AYH C 20525 1.00000 1 0 0 0 1 0 0 0 0 0 0 0 1 0 1 1 0 0 0 1 AYH BOSTON HOSTEL INC O 1404910 FMV AYH CHICAGO INC O 1540773 FMV AYH BOSTON HOSTEL INC D 7145282 FMV AYH CHICAGO INC D 3654586 FMV