2018-11-14T14:49:40-06:00 2017-12-31 042943536 Tonneson & Company PC 401 Edgewater Place Suite 300 Wakefield MA 018806208 990 2017-01-01 046001677 Appalachian Mountain Club APPA 6175230636 10 City Square Boston MA 02129 Charles W Johnston Jr CFO 6175230655 2018-11-09 1 Heidi E MacLean P00840184 7812459999 2018-11-09 64.88.174.3 2018-11-09 16:00:43 ES P F68289ABC827F747D407BE03B2766E395DD981B8 1EDAB4D9EA662BD6A3AB8AA53BEC5FD4DF690529 2017 2019-02-21 02:37:17Z X Charles W Johnston Jr 10 City Square Boston MA 02129 34904262 0 X www.outdoors.org X 1876 MA Refer to Schedule O, Pages 52-53 24 23 807 16000 150731 68794 15246890 13976519 14464412 15226869 15608440 2841985 922297 1024647 46242039 33070020 0 0 0 0 15644562 16225798 68354 20167 1899563 14271519 15541845 29984435 31787810 16257604 1282210 148845347 156587279 16868123 16672476 131977224 139914803 X Since 1876, the Appalachian Mountain Club has promoted the protection, enjoyment, and understanding of the mountains, forests, waters, and trails of the Appalachian region. We are the nation's oldest outdoor recreation and conservation organization. 0 0 11205683 0 11152516 Outdoor Program Centers - The Appalachian Mountain Club (The AMC) manages more than 40 outdoor program centers and backcountry facilities, including lodges, mountain huts, full-service camps, cabins, shelters and campgrounds. These AMC facilities serve as a base for 4-season recreational activities, nature and environmental education courses, programs, scientific research, outdoor artistic pursuits, and other conservation-related activities. Visitors and overnight guests enjoy a broad range of walk-on programs, guided naturalist activities, outdoor recreational safety and skill building workshops, and backcountry activities to choose from. AMC facilities *Refer to Schedule O, Page 45 for Continuation*Outdoor Program Centers (Continued):are managed to reduce environmental impact by providing environmentally sensitive septic systems, composting, public drinking water, and overnight accommodations (some near treeline and in sensitive alpine areas) in areas where camping would have severe effects on the alpine plant life. The AMC facilities provide information and education on the local environment, recreational opportunities, outdoor safety, trails, and emergency shelter. The AMC staff also participates in search-and-rescue efforts throughout the White Mountains of NH and other regions. In 2017, The AMC provided 185,418 overnight guest accommodations at its facilities and information and other services to more than 2 million visitors. 3308902 0 304770 Membership - The Appalachian Mountain Club (The AMC) members provide the grassroots network through which the AMC delivers its programming on a local level throughout our 12 state and district regions. The more than 285,000 members, advocates and supporters of The AMC provide a base of volunteers for trail projects, local clean-up and conservation projects, outdoor education and safety instruction. These members and volunteers organize and lead thousands of recreational outings and provide the local governance structure for the 12 local AMC chapters. Member dues and participation in the above mentioned activities provide a critical base of support for carrying out The AMC mission. 2177021 0 57399 Conservation Research and Policy - The AMC actively promotes the protection, enjoyment and understanding of the mountains, forests, waters and trails of the Appalachian region including critical areas of the four-state Northern Forest, the Mid-Atlantic Highlands of PA, NJ, NY, and CT, and Maine's 100-Mile Wilderness region. The AMC's Research and Policy Program conducts analyses of natural ecosystems to guide its efforts to protect these areas. This includes studying changes in land cover and land use and the impact on ecological and recreational resources; monitoring air quality and climate change impacts on Northeastern mountain ecosystems; analyzing in-stream flow criteria and hydroelectric dam operation impacts on river ecosystems and*Refer to Schedule O, Pages 45-46 for Continuation*Conservation Research and Policy (Continued):recreational resources; developing methods to reduce recreational user impacts on the region's mountains; and studying the benefits and impacts of different transportation options and energy sources, including renewable energy, on the ecosystems of concern to the AMC. Achievements are exemplified by the development and successful implementation of the recovery plan for an alpine plant formerly listed on the federal endangered species list, publication of a national award winning "Ecological Atlas of the Upper Androscoggin Watershed", adoption by states of elements of AMC's wind power siting guidelines and AMC's successful citizen science mountain monitoring program, Mountain Watch.The AMC's Research and Policy program also works with conservation partners and local communities to build grassroots support for priority conservation projects. The Research and Policy Program participates in and comments on formal resource management programs and decisions at the local, state, and federal level; consults with industry and land owners to find equitable solutions to environmental problems; advocates for state and federal land protection, clean air and energy policies, and trails funding, and facilitates member and public participation in local, state and federal environmental issues and policy. 10292809 3637229 1. Education Program - The Appalachian Mountain Club (The AMC) works with approximately 80,000 young people each year through guided and self-guided programs designed to make the outdoors and the environment accessible and meaningful to youth from all socioeconomic backgrounds. The programs serve youth and adults from Maine to New Jersey and range from day and overnight school programs (grades K-12); walk on activities offered to families coming through The AMC's huts and lodges, weekend long skill-based trainings, to one to three-week outdoor summer adventures for teens. Staff-led programs include our long-standing A Mountain Classroom, Teen Wilderness Adventures, Youth Opportunities Program, Mountain Leadership School, Family Adventure Camps, and destination-based naturalist programs. The AMC has recently launched a new program called Outdoors Rx in four Metro-Boston communities in which healthcare professionals receive training to prescribe regular outdoor physical activity to children. The AMC fills the prescription by providing free, local activities for families to get them active and introduce them to rewarding outdoor activities. Through The AMC's hands-on experiences participants learn how to enjoy the outdoors through skills and improved understanding of the natural world as well as how to minimize their impact on the environment. The AMC is a national provider of Master Educator training in Leave No Trace principles. The AMC serves young people in urban areas through its Youth Opportunities Program by training teachers and youth workers to lead their own outdoor experiences with youth. The AMC also serves rural youth through programming offered in community settings in New Hampshire and Maine. The AMC's regional chapters run outdoor skills programming, recreational hikes and family programs.2. Trails Program - The AMC staff and over 4,000 volunteers are engaged in on-the-ground recreation management and trail maintenance on 1,823 miles of trails, including over 300 miles of the Appalachian National Scenic Trail (AT) in five states. Many of these trails are on public lands, including the White Mountain National Forest, Delaware Water Gap National Recreation Area, Acadia National Park and state parks throughout the region. The AMC offers a broad range of trail volunteer opportunities, including an adopt-a-trail program, teen trail crew programs, and Volunteer Vacations for adults interested in giving back through trail stewardship. The AMC Alpine Stewards educate hikers on how to care for fragile alpine areas. The AMC is collaboratively planning a trail network that will protect and connect the ecological, historic and recreational assets of the Pennsylvania Highlands and create "close-to-home" outdoor recreational opportunities. The Pennsylvania Highlands Trail Network will extend the Highlands Trail (currently 130 miles in New York and New Jersey) along the length of the Pennsylvania Highlands, from the Delaware River at Rieglesville, PA south to the Maryland border in south-central PA. Encompassing roughly 1.9 million acres, the Pennsylvania Highlands includes portions of 13 counties. The AMC is leading the Bay Circuit Alliance in the completion, enhancement, and long-term care of the 230-mile Bay Circuit Trail and Greenway. Our goal is to promote the trail as a vital resource for running, walking, hiking, skiing, and biking for the 4 million people who live in the Greater Boston area. The Bay Circuit Alliance is a collaboration of more than 50 cities, towns, and land trusts, as well as hundreds of dedicated volunteers, working in support of the Bay Circuit Trail and Greenway. As Congressionally designated stewards of the New England National Scenic Trail (NET), which runs from the New Hampshire border to Long Island Sound, The AMC and the Connecticut Forest and Parks Association collaborate on protecting and enhancing recreational opportunities on the NET. The AMC is leading an effort to the complete the Connecticut River Paddlers Trail by developing primitive campsites on the river in Massachusetts and Connecticut. This trail will provide paddlers the opportunity to paddle and camp along the entire 410-mile Connecticut River from New Hampshire to the Long Island Sound. 3. Publications/Communications - Through a variety of publications, The AMC encourages safe and responsible outdoor recreation and stewardship of the region's natural resources. The AMC's member magazine, journal, books, and maps seek to inspire the public to get outdoors in all four seasons. Each publication also stresses safety and stewardship and encourages volunteerism. The AMC's magazine, AMC Outdoors, features recreation and conservation news around the Northeast and Mid-Atlantic, and offers departments on outdoor skills, gear, kids, the environment, first-person perspectives, and history, as well as features on issues such as climate change, ecology, and the challenges of getting young people outdoors. The AMC's website (www.outdoors.org) is an online resource for members and non-members seeking the latest information on local outdoor trips, trip ideas, lodging and program opportunities, backcountry conditions, volunteer opportunities, and web-exclusive narrative stories and how-to videos. The AMC's Appalachia, published biannually since 1876, is the nation's longest running journal on mountaineering and conservation, frequently covering climate change and natural and social history, in addition to international mountaineering news and safety-oriented accident trip reports. The AMC Books publishes a variety of narrative books and guides for hiking, backpacking, biking, paddling, skiing, and more, including the White Mountain Guide, the premier hiking guide for New Hampshire's White Mountains for 110 years. The AMC also publishes field guides and outdoor how-to books on outdoor leadership, trail building, outdoor skills and safety, and outdoor photography. 10292809 3637229 26984415 1 1 0 1 0 0 0 1 0 1 1 1 0 0 0 1 0 1 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 1 0 0 1 X 179 0 1 807 1 1 1 1 CJ UK HK CA 0 0 0 0 0 0 0 0 X 24 23 0 0 0 0 1 1 1 1 1 0 1 1 1 1 1 1 1 1 1 1 0 CT ME MD MA NH NJ NY PA RI VA VT X X X Charles W Johnston Jr 6173916624 10 City Square Boston MA 02129 Rol Fessenden Chair 2.00 X X 0 0 0 Elizabeth Ehrenfeld Vice Chair 2.00 X X 0 0 0 Ann Lesk Secretary 2.00 X X 0 0 0 Cliff Krauss Treasurer 2.00 X X 0 0 0 Janet Ainsworth Director 2.00 X 0 0 0 Ed Belove Director 2.00 X 0 0 0 Peter Bergh Director 2.00 X 0 0 0 Thomas Eagan Director 2.00 X 0 0 0 Michael Feldberg Director 2.00 X 0 0 0 Moses Feldman Director 2.00 X 0 0 0 Sharon Foster Director 2.00 X 0 0 0 Rob Hecht Director 2.00 X 0 0 0 Jody Inglis Director 2.00 X 0 0 0 Scott Livingston Director 2.00 X 0 0 0 P Andrews McLane Director 2.00 X 0 0 0 John Mullens Director 2.00 X 0 0 0 Elizabeth Munro Director 2.00 X 0 0 0 Diane Nordin Director 2.00 X 0 0 0 Imari Paris-Jeffries Director 2.00 X 0 0 0 Dana Pope Director 2.00 X 0 0 0 Stephen Rushmore Jr Director 2.00 X 0 0 0 Stephen Smith Director 2.00 X 0 0 0 Yvette Austin Smith Director 2.00 X 0 0 0 John Judge President & Chief Executive Officer 35.00 X X 263898 0 15400 Walter Graff Senior Vice President 35.00 X 194979 0 25628 Bruce Glabe VP & Chief Strategy Officer 35.00 X 190698 0 19775 Charles W Johnston Jr VP & Chief Financial Officer 35.00 X 135652 0 16693 Paul Cunha VP Outdoor Program Centers 35.00 X 128527 0 22407 Susan Arnold VP for Conservation 35.00 X 133568 0 10591 Stefanie Brochu VP of Outdoor Learning & Leadership 35.00 X 107037 0 26274 Jennifer Norris VP & Chief Development Officer 35.00 X 107441 0 4991 Rebecca Rollins VP & Chief Comm. & Marketing Officer 35.00 X 42599 0 11926 Jacqueline Albrecht Director of Information System 35.00 X 122545 0 23134 Kenneth Kimball Research Director 35.00 X 116628 0 21480 Roger Foisy Director of Marketing 35.00 X 122136 0 10669 Margaret McNamara Dir. of Corp. & Foundation Relations 35.00 X 111701 0 16025 Michelle Murphy Human Resources Director 35.00 X 106737 0 7980 1884146 0 232973 17 0 1 0 Rubicon Builders LLC 792 South Main Street Mansfield MA 02048 Construction 1711089 Silvertech Inc 196 Bridge Street Manchester NH 03104 IT Consulting 500754 EW Littlefield Inc 2715 Athens Road Hartland ME 04943 Construction 474890 Ayantek LLC 54 Middlesex Turnpike Bedford MA 01730 IT Consulting 417203 Federal Direct 95 Main Avenue Clifton NJ 07014 Printing/Outside Mailing Service 315709 13 2695913 447636 10832970 967363 13976519 Outdoor Program Centers 721000 11152516 11152516 Education 611710 1157573 1157573 Trails 713990 566250 566250 Membership 900099 304770 304770 Advertising 541800 74955 74955 1970805 1970805 15226869 2822585 75776 2746809 887137 643415 243722 243722 243722 19400 0 19400 19400 19400 1971752 1190827 780925 780925 33070020 15151914 150731 3790856 1473454 491160 869862 112432 11543714 10219819 481459 842436 531809 436243 64296 31270 1688260 1391078 139220 157962 988561 819616 80963 87982 25065 5216 19849 76559 76559 20167 20167 1905770 1555816 157577 192377 262553 257991 1425 3137 1817421 1717696 35416 64309 747378 667280 39179 40919 886398 736742 130046 19610 270992 197005 42904 31083 148992 78994 26089 43909 124868 124868 2187075 1878834 282337 25904 512416 438780 54538 19098 Instrs,Partcpts & Volnt 2276201 2156597 2554 117050 Food 1250818 1250818 Repairs & Maintenance 871074 711583 157596 1895 Printing & Publications 513752 427357 1631 84764 1664513 1420922 240332 3259 31787810 26984415 2903832 1899563 6625571 5759482 4553677 2759481 2557188 3409635 548821 602657 12660730 8660730 733272 985031 295019 264842 90823248 24997822 62304480 65825426 44893255 53880283 13673334 14439712 148845347 156587279 2516249 1960311 2237493 2513276 12114381 12198889 16868123 16672476 X 112736569 118747820 15574256 17258817 3666399 3908166 131977224 139914803 148845347 156587279 1282210 6655369 0 X X 0 1 X 1 0 X 8768456 11080048 14851660 15246890 13976519 63923573 8768456 11080048 14851660 15246890 13976519 63923573 817584 63105989 1543670 2101426 3000737 964045 3709722 11319600 75243173 67478102 0.83870 0.84120 X 0 0 0 0 101895 62465 164360 31623450 31787810 1000000 250000 0 0 1000000 1000000 1000000 1000000 4000000 6000000 152907 190063 158894 164360 666224 250000 250000 250000 250000 1000000 1500000 96066 111379 97673 101895 407013 Part I-A, Line 1: The Organization has not participated in any political campaign activity, either directly or indirectly. X X 0 0 59789063 405080 9018727 2628589 151250 66433031 58418226 369825 3711515 2555503 155000 59789063 61929583 81076 -915159 2505274 172000 58418226 60505358 -6494 3945110 2376891 137500 61929583 54764262 379335 7877606 2380526 135319 60505358 0.75880 0.05880 0.18240 1 0 26685594 26685594 52764156 16115835 36648321 9131319 6442844 2688475 2242179 2439143 -196964 65825426 Private Partnerships 13738156 F Split Interest Agreements 701556 F 14439712 X 41559631 6655369 6655369 34904262 -1834242 -1834242 33070020 33401816 1834242 1834242 31567574 220236 220236 31787810 Part III, Line 1a: AMC Library & Archive Collection: Collection items are primary and secondary source documents, institutional records, and artifacts related to the historical programs of the AMC, which are catalogued and preserved for educational and research purposes. No collection items were capitalized as of December 31, 2017 and 2016. Part III, Line 4: The AMC Library & Archives have been an integral part of the AMC since the Club's founding year. They anchor a remarkable landscape in which the past lies alongside the present and future of the Club and the Northeast outdoors. The Library's collection consists of over 2,500 monograph and serial titles. It represents one of the most extensive outdoor recreation book collections in the Northeast and counts among its holdings works on the history of mountaineering, early climbing expeditions, and early explorations. The book collection also contains a vast amount of background information on environmental issues and outdoor activities. At the center of the historical book collection is the Kilbourne Collection of over 500 books on the White Mountains of New Hampshire. Other mountain areas of the Northeast are also well documented. The library has no less than 22 titles on Mount Katahdin alone! The Archive's collection consists of meeting minutes, annual reports, AMC bulletins and journals, scrapbooks, climbing journals, manuscripts, summit registers, photographic works, films, memorabilia, and maps. Logbooks that are no longer sound enough to reside in AMC's historic White Mountain huts can be found here, recording the thoughts and feelings of mountain travelers from decades past. The Archives are particularly rich in visual images, with well over 20,000 images covering the 1870's to the present. The library owns an extensive collection of lantern slides documenting the AMC's early history, and hundreds of postcards and stereograph cards with views of the mountains of the Northeast. The Frederick Endicott and Ralph C. Larrabee photo collections contain hundreds of photographs by these two local photographers of the White Mountains and Adirondacks taken between 1895 and 1935. The historic map collection consists of cartographer Edward G. Chamberlain's detailed maps and itineraries documenting AMC outings from 1876 to 1935. Other maps include contemporary and historic maps of the Northeast, and those published in conjunction with our many guidebooks. The Library & Archives are strongly linked to the AMC's mission. They help to build awareness of AMC using the club's images and information in a wide range of publications, educational programming, and display materials. The Library & Archives support the all departments in their historical documentation needs from preserving their departmental records to providing materials for AMC's magazine, journal, website, marketing campaigns, development efforts, programming, lodging, and the like. The long history of the organization that is housed by the Library & Archives lends credibility and understanding to the Club's current organization and its initiatives. Part V, Line 4: The purpose of the AMC's endowment funds is to serve as a perpetual source of financial support for the Club's programs and activities. The financial goal of these funds is to preserve their purchasing power by investing in a diverse portfolio of equity and fixed income securities while, at the same time, providing a reasonable level of annual cash flow to the Club. Permanently restricted endowment funds are subject to donor stipulations requiring such gifts be invested in perpetuity and only the income earned on the invested gifts can be expended. Use of term endowments proceeds are limited to either specific program activities or designated periods of time as stipulated by the donor. Board designated endowment funds, commonly known as unrestricted endowments, can only be expended pursuant to approval of AMC's Board of Directors. Part X, Line 2: In determining the recognition of uncertain tax positions, the AMC recognizes the financial statement impact of a tax position when it is more likely than not that the position will be sustained upon examination by a taxing authority. As of December 31, 2017, the AMC has no uncertain tax positions that qualify for either recognition or disclosure in the consolidated financial statements. Part XI, Line 4b - Other Adjustments: Cost of Merchandise Sold -1,190,827. Rental Expenses -643,415. Part XII, Line 2d - Other Adjustments: Cost of Merchandise Sold 1,190,827. Rental Expenses 643,415. Part XII, Line 4b - Other Adjustments: Huber Depreciation and Depletion 220,236. X X X X X X 1 Telefund Inc 186 Lincoln Street Suite 100 Boston MA 02111 Telemarketing 0 40944 20167 0 40944 20167 CT ME MD MA NH NJ NY PA RI VT VA X X X X 0 0 0 0 0 0 0 0 0 John Judge President & Chief Executive Officer 259375 0 0 0 4523 0 15400 0 0 0 279298 0 0 0 Walter Graff Senior Vice President 189613 0 0 0 5366 0 15441 0 10187 0 220607 0 0 0 Bruce Glabe VP & Chief Strategy Officer 187146 0 0 0 3552 0 15096 0 4679 0 210473 0 0 0 Charles W Johnston Jr VP & Chief Financial Officer 134826 0 0 0 826 0 8400 0 8293 0 152345 0 0 0 Paul Cunha VP Outdoor Program Centers 127757 0 0 0 770 0 10620 0 11787 0 150934 0 0 0 X 74 967363 Cash rec'd on sale 0 1 0 Form 990, Part VI, Section A, line 6 AMC has approximately 105,000 members, primarily in the Northeast. Form 990, Part VI, Section A, line 7a The members elected the Board of Directors at the AMC Annual Meeting held on January 27, 2017. Form 990, Part VI, Section A, line 7b Decisions of the Board subject to approval by members include annual elections of individuals to the Board, and changes to the Bylaws. Form 990, Part VI, Section B, line 11b A special committee comprised of board members of AMC's Audit Committee and Finance Committee plus AMC's Chief Financial Officer and President is responsible for overseeing the preparation of IRS Form 990 (990). The 990 and its supporting schedules was prepared by the public accounting firm, Tonneson + Co (Tonneson), responsible for auditing the AMC's financial statements. Tonneson's work was based on information provided to them during the course of the audit by AMC's Finance Department staff, plus additional work requested specific to the 990. The special committee performed a detailed review of the completed 990 and reported the results of its review to the Board of Directors. Subsequent to this review, each member of AMC's Board of Directors received a copy of the 990 prior to filing the form with the IRS. Form 990, Part VI, Section B, line 12c Pursuant to the AMC's Bylaws, each Board of Director is responsible for disclosing any possible conflict of interest at the earliest practicable time. Additionally, each board member receives a "Conflict of Interest Disclosure Statement and is requested to disclose any potential conflicts of interest on an annual basis. Form 990, Part VI, Section B, line 15 The Board of Directors has appointed a Compensation Committee comprised of three board members who are not employees of AMC or related to any employee of AMC. The Compensation Committee meets annually and is responsible for reviewing and making recommendations to the Board on the compensation of AMC officers, such as the President, key employees and specific highly compensated employees. As part of its review, the Compensation Committee evaluates various criteria including, but not limited to, the organization's goals and objectives, the performance of the staff, and comparative third-party compensation data. Form 990, Part VI, Section C, line 19 AMC makes its governing documents, conflict of interest policy, financial statements and Form 990 available to the public upon request. Also, the Form 990 and financial statements are available through the Massachusetts Attorney General's office/website and Guidestar. In addition, AMC's audited financial statements and Form 990 are available on our website, www.outdoors.org. Form 990, Part XII, Line 2c: The AMC has an Audit Committee of four members appointed by the Board of Directors, one of whom is a member of the Finance Committee and none of whom are officers of AMC. The Audit Committee is charged with annually recommending the designation of an independent auditor to prepare and submit an audited set of financial statements of the Club to the Board of Directors; meeting with the auditors and any officers, employees or committee members they require to report on and respond to any questions they have on the financial conditions or operations of the Club; and periodically assessing the financial controls and accounting system of the Club and recommending any changes deemed appropriate. Form 990, Part I, Line 1 Founded in 1876, The Appalachian Mountain Club (The AMC) is the nation's oldest outdoor recreation and conservation organization. The AMC has nearly 105,000 members and 16,000 volunteers in twelve chapters from Maine to Washington D.C. We offer over 8,000 outdoor oriented trips each year from hiking and climbing to paddling, snowshoeing and skiing. We serve over 180,000 guests each year at our AMC Outdoor Program Centers, Huts, Camps, Cabins, and Shelters - The AMC destinations are a model for environmental education and stewardship. We teach people the skills to be safe outdoors and care for the natural world around us through outdoor education programs for children, adults, and families as well as outdoor leadership training. We maintain 1,823 miles of trails throughout the Northeast including 300 miles of the Appalachian Trail in five states. We advocate for land and river way conservation, monitor air quality and work to protect alpine and forest ecosystems through the Northern Forest and Atlantic Highlands regions. Through The AMC's Maine Woods Initiative, we own and manage 75,000 acres of working forest as part of an innovative approach to conservation combining outdoor recreation, natural resource protection, sustainable forestry and community partnership. We seek to educate and inform our members, volunteers and conservation partners through our books, magazines, White Mountain visitor centers, The AMC destinations and website. Lastly, The AMC offers thousands of events and activities every year, encouraging members and volunteers to get out, get active and get involved. Form 990, Schedule R, Parts I(B) and III(B), Primary Activity for AMC Maine Woods Funding, LLC (MWF) and AMC Maine Woods Initiative, LLC (MW Initiative): AMC Maine Woods Funding, LLC (MWF) and AMC Maine Woods Initiative, LLC (MW Initiative) are related organizations created and controlled by the AMC to secure long-term financing to carry out the AMC's Maine Woods Initiative program. The Maine Woods Initiative is the AMC's strategy for land conservation in the 100-Mile Wilderness region in Maine - addressing regional ecological and economic needs through outdoor recreation, resource protection, sustainable forestry and community partnerships. In August 2015, AMC Maine Woods Initiative, LLC, a wholly owned subsidiary of the Appalachian Mountain Club and a disregarded entity for tax purposes, was formed for the purpose of facilitating a $12.6 million financing structured under the New Markets Tax Credit ("NMTC") program of the U.S. Treasury Department. In conjunction with the NMTC financings, which occurred in September and October 2015, the assets of AMC Maine Woods, Inc. and AMC Maine Woods II, LLC, were transferred to AMC Maine Woods Initiative, LLC, and these entities were dissolved in December 2015. A note receivable was created as part of the financing structured under the New Markets Tax Credit ("NMTC") program of the U.S. Treasury Department and will be paid concurrent with the settlement of the corresponding loans payable mentioned below. In connection with these notes, AMC and an outside organization made contributions to AMC Maine Woods Funding, LLC, treated as a partnership under tax law, resulting in a 5% minority ownership by the outside organization. The above referenced loans payable are also part of a financing structure under the NMTC program of the U.S. Treasury Department. Loan proceeds are to be used for specified project expenses in Piscataquis County, Maine by the AMC's wholly owned subsidiary AMC Maine Woods Initiative, LLC. The loans are secured by certain assets. The loan and related agreements specify debt forgiveness provisions at maturity, and require the AMC to comply with certain covenants. In conjunction with the Loans Payable, single purpose lending entities were established by the lenders whose sole activities are the loans to the AMC Maine Woods Initiative, LLC. The AMC has entered into a put and call agreement with the lenders whereby the AMC may acquire the lending entities from the bank in 2022 or thereafter. It is expected that the AMC will acquire the entities in 2022 and will repay all amounts outstanding, less debt forgiveness amounts, at that time. AMC Maine Woods Initiative LLC 10 City Square Charlestown MA 02129 474706933 See Schedule O, Pages 53-54 for AMC MW Initiative, LLC's primary activities. ME 3416440 35515860 Appalachian Mountain Club AMC MW Funding LLC 10 City Square Charlestown MA 02129 271413785 See Schedule O, Pgs 53-54 for its primary activities. ME Appalachian Mountain Club Investment 119238 8344640 1 0 0.95000 KI-Jo Mary Inc PO Box 425 Ashland ME 04732 010437627 Manage recreational use of timberlands owned by stockholders ME None C 3136 20589 0.22200 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 AMC Maine Woods Initiative LLC P 3416440