2013-08-12T14:06:11-05:00 2012-12-31 202253063 TANNER LLC 36 S STATE STREET SUITE 600 SALT LAKE CITY UT 84111 990 2012-01-01 870387205 CHILDREN'S MIRACLE NETWORK CHIL 8012147400 205 WEST 700 SOUTH SALT LAKE CITY UT 84101 TERI NESTEL 8012147400 2013-08-12 1 JODIE HEWITSON P00180502 8015327444 2012 2016-02-24 21:20:13Z CHILDREN'S MIRACLE NETWORK HOSPITALS JOHN LAUCK 205 W 700 S SALT LAKE CITY UT 84101 39758235 0 X WWW.CHILDRENSMIRACLENETWORKHOSPITALS.ORG X 1982 UT CHILREN'S MIRACLE NETWORK (D/B/A "CHILDREN'S MIRACLE NETWORK HOSPITALS") WORKS TO SAVE KIDS' LIVES BY RAISING FUNDS AND AWARENESS FOR CHILDREN'S HOSPITALS ACROSS NORTH AMERICA. 19 19 159 20 35501 6707 3470474 12213184 4766595 19178574 218693 938489 560780 1647191 9016542 33977438 0 0 0 0 3864307 13777400 0 0 2485226 8440998 20500497 12305305 34277897 -3288763 -300459 65457887 71975830 45549727 49433187 19908160 22542643 X CHILDREN'S MIRACLE NETWORK (D/B/A "CHILDREN'S MIRACLE NETWORK HOSPITALS") WORKS TO SAVE KIDS' LIVES BY RAISING FUNDS AND AWARENESS FOR CHILDREN'S HOSPITALS ACROSS NORTH AMERICA. 0 0 13425208 12939485 CHILDREN'S MIRACLE NETWORK HOSPITALS RAISES FUNDS AND AWARENESS FOR 170 CHILDREN'S HOSPITALS ACROSS THE UNITED STATES AND CANADA, WHICH, IN TURN, USE THE MONEY WHERE IT'S NEEDED THE MOST. WHEN A DONATION IS GIVEN IT STAYS IN THE COMMUNITY, HELPING LOCAL KIDS. SINCE 1983, CHILDREN'S MIRACLE NETWORK HOSPITALS HAS RAISED MORE THAN $4.7 BILLION, MOST OF IT $1 AT A TIME. THESE DONATIONS HAVE GONE TO SUPPORT RESEARCH AND TRAINING, PURCHASE EQUIPMENT, AND PAY FOR UNCOMPENSATED CARE, ALL IN SUPPORT OF THE MISSION TO SAVE AND IMPROVE THE LIVES OF AS MANY CHILDREN AS POSSIBLE. FUNDRAISING FOR CHILDREN'S HOSPITALS FUNDS RAISED THROUGH CHILDREN'S MIRACLE NETWORK HOSPITALS PROGRAMS ARE UNUSUAL FOR TWO KEY REASONS: 1. FUNDS STAY IN THE COMMUNITY WHERE THEY ARE DONATED; AND 2. HOSPITALS RECEIVE THE FUNDS AS UNRESTRICTED-THEY CAN USE THEM HOWEVER THEY SEE FIT, AS THE HOSPITALS KNOW WHERE HELP IS NEEDED MOST. FUNDS ARE MOST COMMONLY USED FOR EQUIPMENT PURCHASES, RESEARCH, CHARITABLE CARE AND EDUCATION. THE CHILDREN'S MIRACLE NETWORK HOSPITALS DONATION STRUCTURE PROVIDES CONTRIBUTORS WITH THE ASSURANCE THEIR DONATIONS HELP KIDS IN THE LOCAL COMMUNITY FOR THE MOST PRESSING NEEDS.IN 2012, THE COMBINED EFFORTS OF CHILDREN'S MIRACLE NETWORK HOSPITALS AND ITS PARTNERS RAISED MORE THAN $300 MILLION TO HELP KIDS AT MEMBER HOSPITALS. CHILDREN'S MIRACLE NETWORK HOSPITALS DONATIONS ARE DISTRIBUTED AS DISCRETIONARY FUNDS TO EACH HOSPITAL, ALLOWING THEM TO ADDRESS THE MOST CRITICAL CHILDREN'S HEALTHCARE NEEDS IN THEIR RESPECTIVE COMMUNITIES. EACH YEAR, THE 170 MEMBER HOSPITALS OF CHILDREN'S MIRACLE NETWORK HOSPITALS PROVIDE MEDICAL CARE TO MORE THAN 10 MILLION CHILDREN DURING MORE THAN 32 MILLION PATIENT VISITS FOR CANCER, HEART PROBLEMS, BIRTH DEFECTS, CYSTIC FIBROSIS, DIABETES, MUSCULAR DYSTROPHY AND MANY OTHER SERIOUS ILLNESSES AND INJURIES. THE LIST OF WHAT CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDS HAVE PURCHASED IS EXHAUSTIVE, BUT THE FOLLOWING EXAMPLES ARE JUST A FEW WAYS DONATIONS HAVE MADE AN IMPACT IN COMMUNITIES THROUGHOUT NORTH AMERICA: MEDICAL EQUIPMENT FROM PREMATURE INFANTS TO GROWING TEENAGERS, CHILDREN'S HOSPITALS PROVIDE THE VAST MAJORITY OF HIGHLY SPECIALIZED CARE FOR CHILDREN WITH COMPLEX AND RARE CONDITIONS, IN ADDITION TO ROUTINE AND EMERGENCY CASES. ALL EQUIPMENT MUST BE CUSTOMIZED TO KIDS OF EVERY AGE AND SIZE, GREATLY MULTIPLYING THE EXPENSES AT CHILDREN'S HOSPITALS. EQUIPMENT THAT CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDS HAVE PURCHASED INCLUDES: CHILDREN'S HEALTHCARE OF ATLANTA CHILDREN'S MIRACLE NETWORK HOSPITALS DONATIONS HAVE FUNDED THE TRIAGE ROOMS IN CHILDREN'S HEALTHCARE OF ATLANTA'S EMERGENCY DEPARTMENT. THIS HIGH-TRAFFIC HOSPITAL DEPARTMENT TREATS MORE THAN 195,000 PATIENTS EVERY YEAR. ADDITIONALLY, CMN HOSPITALS FUNDS WERE USED TO PURCHASE THE MUCH-USED GROUND TRANSPORT PEDIATRIC AMBULANCE. THIS VEHICLE IS ALWAYS ON THE ROAD, TRANSPORTING CHILDREN WITHIN A 500-MILE RADIUS OF METRO ATLANTA AND DRIVING MORE THAN 350,000 MILES EACH YEAR. COOK CHILDREN'S MEDICAL CENTER THE COOK CHILDREN'S TEDDY BEAR TRANSPORT UNIT PEDIATRIC AMBULANCE WAS PURCHASED WITH CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDS. THIS PEDIATRIC AMBULANCE FEATURES EQUIPMENT SPECIFICALLY SIZED FOR A CHILD INCLUDING CHILD-SIZED GURNEYS, OXYGEN MASKS, BLOOD PRESSURE CUFFS AND MUCH MORE. THIS AMBULANCE IS AVAILABLE TO TRANSPORT EVEN THE SMALLEST OF PATIENTS; TRAVELING MORE THAN 100,000 MILES A YEAR IN TEXAS. ALL CHILDREN'S HOSPITAL THE NEONATAL INTENSIVE CARE UNIT AT ALL CHILDREN'S HOSPITAL IN ST. PETERSBURG, FLORIDA HAS CHANGED THE WAY THEY DO MRIS ON BABIES. THANKS TO A NEW MEDVAC IMMOBILIZATION BAG, PURCHASED WITH THE HELP OF CHILDREN'S MIRACLE NETWORK HOSPITALS, THEY CAN MAKE SURE THE BABY STAYS STILL. PRIOR TO THE MEDVAC, ALL BABIES HAVING TO UNDERGO MRIS HAD TO BE SEVERELY SEDATED AND OFTEN NEEDED A BREATHING TUBE INTO THEIR LUNGS DURING THE PROCEDURE. THE HOSPITAL NOW FEEDS THE BABIES AND AFTER THEY FALL ASLEEP, THE BABIES LIE COMFORTABLY IN A PAPOOSE THAT SIMULATES THE FEELING OF BEING CUDDLED AND HELD. THIS EQUIPMENT ALLOWS FOR THE TESTING TO BE DONE WITHOUT AN IV, BREATHING TUBE OR SEDATION-A BIG IMPROVEMENT FOR THE CHILDREN, PARENTS AND THE HOSPITAL STAFF. RESEARCH RESEARCH EFFORTS AT CHILDREN'S HOSPITALS HAVE LED TO NEW DISCOVERIES AND DEEPER UNDERSTANDING OF PEDIATRIC ILLNESSES AND INJURIES, WHICH ARE SWIFTLY TRANSLATED INTO ADVANCES IN CLINICAL PRACTICE AND BETTER OUTCOMES FOR PATIENTS. AT SHANDS CHILDREN'S HOSPITAL AT THE UNIVERSITY OF FLORIDA, CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDING PROVIDES $1.5 MILLION FOR RESEARCH GRANTS. AT OTHER CHILDREN'S MIRACLE NETWORK HOSPITALS, FUNDS HAVE HELPED RESEARCHERS IMPROVE THE SURVIVAL RATE OF PREMATURE INFANTS WEIGHING LESS THAN 2 POUNDS FROM 10 PERCENT TO 96 PERCENT; AND STUDIES ARE LEADING TO NEW DISCOVERIES ABOUT THE CAUSES OF NEUROLOGICAL DISORDERS LIKE AUTISM-A SMALL SAMPLING OF THE WAYS CHILDREN'S MIRACLE NETWORK HOSPITALS ARE CHANGING PEDIATRIC CARE EVERY DAY. 12513457 12060720 PUBLIC EDUCATION AND PUBLIC AWARENESS CHILDREN'S MIRACLE NETWORK HOSPITALS TRAIN 60 PERCENT OF THE NATION'S PEDIATRICIANS AND NEARLY 80 PERCENT OF PEDIATRIC SPECIALISTS. AT ONE HOSPITAL, ABOUT $125,000 OF FUNDS DONATED BY CHILDREN'S MIRACLE NETWORK HOSPITALS PAID FOR EDUCATIONAL PROGRAMS FOR PEDIATRIC DOCTORS AND NURSES AS WELL AS LOCAL EMERGENCY MEDICAL SPECIALISTS. BUT BEYOND TRAINING CAREGIVERS, MORE THAN 90 PERCENT OF CHILDREN'S HOSPITALS OFFER PROGRAMS SUCH AS CHILD SAFETY SEAT USE AND CONTINUALLY EDUCATE FAMILIES ABOUT OTHER HEALTH AND SAFETY ISSUES. FOR EXAMPLE, MINISTRY ST. JOSEPH'S CHILDREN'S HOSPITAL IN MARSHFIELD, WISCONSIN SPENT MORE THAN $31,500 IN CHILDREN'S ILLNESS AND INJURY PREVENTION PROGRAMS-ALL FUNDED BY CHILDREN'S MIRACLE NETWORK. CHILDREN'S MIRACLE NETWORK HOSPITALS HAS CULTIVATED RELATIONSHIPS WITH A WIDE RANGE OF NATIONAL CORPORATE AND MEDIA PARTNERS TO CREATE AWARENESS OF THE NEEDS OF CHILDREN'S HOSPITALS AND PUBLIC EDUCATION PROGRAMS. NATIONAL PUBLIC AWARENESS IS GENERATED THROUGH RADIO AND TELEVISION OUTREACH, OFTEN FOCUSING ON THE STORIES OF CHILDREN AND THEIR FAMILIES WHO HAVE EXPERIENCED SERIOUS ILLNESSES OR INJURIES AND WERE CARED FOR AT A LOCAL CHILDREN'S HOSPITAL. KEY CHILDREN'S MIRACLE NETWORK HOSPITAL PUBLIC EDUCATION AND AWARENESS CAMPAIGNS IN 2012 INCLUDE: -CHILDREN'S MIRACLE NETWORK HOSPITALS TELETHONS; -CHILDREN'S MIRACLE NETWORK HOSPITALS RADIOTHONS; -CHILDREN'S MIRACLE NETWORK HOSPITALS CHAMPIONS PROGRAM, WHERE ONE CHILD FROM EACH STATE IS SELECTED TO SERVE AS AN AMBASSADOR, MEETING WITH MEDIA, CONGRESSIONAL REPRESENTATIVES AND OTHERS TO SHARE THE IMPORTANT WORK OF CHILDREN'S HOSPITALS; -CHILDREN'S HOSPITALS HEROES SEGMENTS PRODUCED BY FOX OWNED & OPERATED STATIONS; -COMMUNITY EVENT OUTREACH FROM THE HUNDREDS OF MISS AMERICA ORGANIZATION PARTICIPANTS WHO SERVE AS AMBASSADORS FOR CHILDREN'S MIRACLE NETWORK HOSPITALS, THE OFFICIAL CHARITY PLATFORM OF THE ORGANIZATION; AND -OUT-OF-HOME ADVERTISEMENTS THROUGH THE OUTDOOR ADVERTISING ASSOCIATION OF AMERICA THAT CALL ATTENTION TO CHARITABLE NEEDS OF CHILDREN'S HOSPITALS. CHILDREN HELPED 10 MILLION KIDS ARE TREATED AT MEMBER HOSPITALS EVERY YEAR. A FEW EXAMPLES OF PATIENTS WHO HAVE BENEFITED FROM CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDS: IN APRIL 2011, 7-YEAR-OLD ANDREW WAS AT HIS GRANDMOTHER'S HOME WHEN A TORNADO STRUCK, KILLING SEVERAL OF HIS FAMILY MEMBERS. ANDREW WAS FOUND IN A NEARBY FIELD WITH MAJOR HEAD AND OTHER INJURIES AND TAKEN TO MEMBER HOSPITAL, TC THOMPSON CHILDREN'S HOSPITAL AT ERLANGER. THANKS TO CHILDREN'S MIRACLE NETWORK HOSPITALS DONATIONS, THE HOSPITAL HAD JUST COMPLETED A RENOVATION TO ITS PEDIATRIC INTENSIVE CARE UNIT (PICU) ROOMS TO ALLOW THE SICKEST PATIENTS TO BE WITH FAMILY MEMBERS IN A TIME OF ACUTE CRISIS (IT'S KNOWN THAT HAVING ACCESS TO FAMILY MEMBERS IS CRUCIAL FOR CHILDREN'S RECOVERY). ANDREW AND HIS REMAINING FAMILY WERE ABLE TO USE A NEW PICU ROOM AS THEY GATHERED AROUND AND COMFORT HIM AS THEY WERE ALL EXPERIENCING IMMENSE GRIEF FOR THE LOSSES OF THEIR FAMILY MEMBERS. TODAY, ANDREW IS CONTINUING TO MAKE A GREAT RECOVERY. WHEN SHE WAS 9 YEARS OLD, KAYLA WAS DIAGNOSED WITH EWINGS SARCOMA, A RARE FORM OF BONE CANCER THAT AFFECTS 250 AMERICAN CHILDREN EACH YEAR. BEAUMONT HOSPITAL IN ROYAL OAK IS A CHILDREN'S MIRACLE NETWORK HOSPITAL AND PROVIDED KAYLA WITH HER CHEMOTHERAPY TREATMENTS THAT SAVED HER LIFE. KAYLA SPENT MANY DAYS ON THE 5TH FLOOR PEDIATRIC UNIT AND ENJOYED THE CHILDREN'S MIRACLE NETWORK HOSPITALS-FUNDED 'GARDEN ROOM' WHERE SHE WAS ABLE TO RECOVER WHILE PLAYING GAMES, TOYS AND VIDEO GAMES IN A BRIGHTLY DECORATED AND CHEERFUL SPACE. HER FAMILY'S TIME THERE WAS ALSO MADE MORE COMFORTABLE AND LESS STRESSFUL AS THEY HAD ACCESS TO CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDED REFRIGERATORS AND BEDS, AS WELL AS COMPUTERS ALLOWING THEM TO STAY CONNECTED WITH FRIENDS AND FAMILY MEMBERS. SYDNIE IS A 10-YEAR-OLD CHILD IN GEORGIA BATTLING SHWACHMAN-DIAMOND SYNDROME, A DISEASE THAT AFFECTS THE PANCREAS, BONE MARROW AND SKELETAL SYSTEM, CAUSING VITAMIN DEFICIENCY AND MALABSORPTION. HER HOSPITAL, GEORGIA'S THE MEDICAL CENTER, USED ITS CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDS TO RENOVATE THE PEDIATRIC ONCOLOGY AREA, WHICH SYDNEY VISITS EVERY SIX WEEKS. THE ROOM'S CHILD-SIZE CHAIRS AND TELEVISION SCREENS HELP MAKE HER TREATMENTS LESS STRESSFUL. SYDNIE ALSO BENEFITS FROM THE CHILD LIFE SPECIALIST PROGRAM THAT HELPS PATIENTS WITH PROCEDURE PREPARATION, PROCEDURE DISTRACTION AND EDUCATION. CHILDREN'S MIRACLE NETWORK HOSPITALS FUNDS ARE USED TO PURCHASE THE MATERIALS FOR THIS PROGRAM. ABOUT THE NETWORK AS AN UMBRELLA ORGANIZATION FOR 170 CHILDREN'S HOSPITALS, CHILDREN'S MIRACLE NETWORK HOSPITALS PROVIDES COMPREHENSIVE EDUCATION, SUPPORT, INFORMATION AND RESOURCES TO ITS NETWORK FOR RAISING FUNDS, CREATING AWARENESS AND PUBLIC EDUCATION PROGRAMS FOR CHILDREN'S HEALTHCARE NEEDS AND THE IMPORTANT WORK OF THE HOSPITALS CARING FOR THEM. TO JOIN THE NETWORK, A HOSPITAL SIGNS A MEMBERSHIP AGREEMENT AND IS PROVIDED WITH AN ANNUAL EDUCATION CONFERENCE; REGIONAL CONFERENCES, MONTHLY NATIONAL CONFERENCE CALLS; ONLINE EDUCATION, INFORMATION AND NETWORKING TOOLS; PUBLICATIONS, TRAINING AND PROGRAM CONTENT FOR RADIO AND TELEVISION SPONSORS; AND TRAINING SUPPORT FOR AFFILIATES IN NATIONAL PROGRAMS AS APPROPRIATE AND NECESSARY TO ACHIEVE THE ORGANIZATION'S PURPOSES. 25938665 1 1 0 0 0 0 0 0 1 1 1 0 0 0 0 1 1 0 0 1 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 1 86 0 1 159 1 1 1 1 CA 0 0 0 0 0 0 0 0 X 19 19 1 0 0 0 0 0 0 1 1 0 0 1 1 1 1 1 1 1 1 0 AL AK AZ AR CA CO CT DC FL GA HI ID IL KS KY LA MD MA MI MN MS MO MT SC OH ND NC NY NM NJ NH NE RI PA OR OK TN TX UT VA WA WV WI X X STACY WEIGHT 8012147400 205 WEST 700 SOUTH SALT LAKE CITY UT 84101 DIANNA MORGAN 2.00 X 0 0 0 JIM SHMERLING 2.00 X 0 0 0 STEVE WEISZ 2.00 X 0 0 0 JOHN BOZARD 2.00 X 0 0 0 JON VICE 2.00 X 0 0 0 JOHN BEL 2.00 X 0 0 0 CATHY GREEN BURNS 2.00 X 0 0 0 NANA MENSAH 2.00 X 0 0 0 DR STEVEN ALTSCHULER 2.00 X 0 0 0 TED GARRARD 2.00 X 0 0 0 RICK MERRILL 2.00 X 0 0 0 TONY KENNEY 2.00 X 0 0 0 JEFF SPERRING 2.00 X 0 0 0 ANDREA THOMAS 2.00 X 0 0 0 JIMMY OSMOND 2.00 X 0 0 0 JOHN SCHNEIDER 2.00 X 0 0 0 MARIE OSMOND 2.00 X 0 0 0 KEN POTROCK 2.00 X 0 0 0 TOM SULLIVAN 2.00 X 0 0 0 JOHN LAUCK 50.00 X 419725 0 191593 CRAIG SORENSEN 50.00 X 284731 0 123346 TERI NESTEL 50.00 X 190399 0 92036 JOHN HARTMAN 50.00 X 249200 0 63401 CLARK SWEAT 50.00 X 233153 0 115684 STEVE OSHIN 50.00 X 228003 0 107732 SCOTT BURT 50.00 X 214859 0 39732 ANTHONY REHMER 50.00 X 164516 0 72763 PERRY ESLER 50.00 X 152093 0 33691 JOE TREVINO 50.00 X 145078 0 0 SHIRLEY M ROGERS 50.00 X 143668 0 0 ROBERT BANNER 50.00 X 132730 0 0 2558155 0 839978 17 1 1 0 JAMES M FURYK 301 EAST 69TH STREET NEW YORK NY 10021 ADVERTISING 500000 CORNERSTONE TECHNOLOGIES LLC 824 NORTH 1430 WEST OREM UT 84057 AUDIO VISUAL PRODUCTION 444652 US NEWS & WORLD REPORT 125 THEODORE CONRAD DRIVE JERSEY CITY NJ 073054698 ADVERTISING 230822 GRANT THORNTON PO BOX 51552 LOS ANGELES CA 900515852 ACCOUNTING SERVICES 138446 HOLLAND & HART LLP PO BOX 17283 DENVER CO 802170283 LEGAL SERVICES 125562 5 12213184 1239272 12213184 HOSPITAL FEES 515100 19178574 19143073 35501 19178574 592704 592704 124997 124997 2597596 3363 2251468 3706 346128 -343 345785 345785 3599037 3525623 73414 73414 ANCILLARY REVENUE 900099 1434362 1434362 FOREIGN CURRENCY GAIN 900099 14418 14418 1448780 33977438 20650849 35501 1077904 2976657 1716990 844288 415379 7569261 4625212 2294140 649909 1082897 654200 336327 92370 1441938 833684 406733 201521 706647 429601 209575 67471 173768 99623 49659 24486 219875 55316 67413 97146 627 182 12 433 6809875 6734512 56345 19018 217577 123749 62783 31045 2459828 1721960 608944 128924 210906 61163 4218 145525 436797 128678 10897 297222 93235 53763 26455 13017 CORPORATE CAMPAIGN 3525623 3525623 0 0 DIRECT MARKETING PROGRA 2543907 2543907 0 0 CONTRACT SERVICES 2466963 1755266 559418 152279 SPONSORSHIP SUPPORT 332165 251577 57859 22729 1009351 623659 258940 126752 34277897 25938665 5854006 2485226 3864325 3897527 36300267 39472547 4283230 4764478 245829 462365 10602060 1893017 8813236 8709043 11733531 14479014 217469 190856 65457887 71975830 1188033 4664327 11600477 11807237 28193310 28547592 4567907 4414031 45549727 49433187 X 17006962 19118387 567573 1079171 2333625 2345085 19908160 22542643 65457887 71975830 X -300459 648603 2286339 X X 0 1 X 1 0 X 13850008 11769926 10105406 3470474 12213184 51408998 20588628 20614897 23584422 5791969 24176472 94756388 34438636 32384823 33689828 9262443 36389656 146165386 6969361 4730360 3350139 425951 4242951 19718762 395627 557767 966825 33848 553000 2507067 7364988 5288127 4316964 459799 4795951 22225829 123939557 1200218 1051258 1122848 179810 717701 4271835 1200218 1051258 1122848 179810 717701 4271835 25371 14760 16846 13207 70184 35664225 33450841 34829522 9442253 37120564 150507405 0.82350 0.78990 0.02840 0.04330 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 1 X 3560330 78075 340435 3978840 3549306 15869 -4845 3560330 3041111 284925 223270 3549306 2816066 102412 122633 3041111 2125928 772363 -82225 2816066 0.30000 0.59000 0.11000 0 0 1912889 1912889 7068551 820021 6248530 7135 3458 3677 1613485 1069538 543947 8709043 X 38151664 648603 648603 37503061 -3525623 -3525623 33977438 35517181 1239284 1239284 34277897 0 34277897 PART IV, LINE 2B: CHILDREN'S MIRACLE NETWORK HOSPITALS DEVELOPS RELATIONSHIPS AT THE NATIONAL OR HEADQUARTERS LEVEL OF BUSINESS AND ORGANIZATIONS INTERESTED IN SUPPORTING HOSPITALS FOR CHILDREN. WE BUILD RELATIONSHIPS WITHIN THESE COMMUNITIES BY CONDUCTING AWARENESS ACTIVITIES AND PUBLIC EDUCATION PROGRAMS CONCERNING CHILDREN'S HOSPITALS. WE ALSO DEVELOP FUND RAISING INITIATIVES THAT ARE INTRODUCED AT THE NATIONAL LEVEL OF THE COMPANY OR GROUP, AND THEN CARRIED OUT THROUGH THE LOCAL STORE OR CLUB LEVEL. MEMBER HOSPITAL REPRESENTATIVES CARRY OUT PUBLIC EDUCATION PROGRAMS AND SUPPORT THE FUNDRAISING AT A LOCAL LEVEL. FUNDS FROM THESE ACTIVITIES ARE SOMETIMES GIVEN DIRECTLY TO THE LOCAL MEMBER HOSPITAL, AND SOMETIMES THE FUNDS ARE GIVEN TO CHILDREN'S MIRACLE NETWORK HOSPITALS ON BEHALF OF THE MEMBER HOSPITALS. WHEN THE FUNDS ARE GIVEN TO CHILDREN'S MIRACLE NETWORK HOSPITALS, THEY ARE HELD IN A SEPARATE ACCOUNT UNTIL DISTRIBUTION. FUNDS ARE RECEIVED THROUGHOUT THE YEAR AND ARE REMITTED ON A QUARTERLY BASIS TO THE HOSPITALS, WHICH HAVE ALSO BEEN DETERMINED TO BE AN ORGANIZATION RECOGNIZED AS EXEMPT BY THE INTERNAL REVENUE SERVICE UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. DESCRIPTION OF INTENDED USE OF ENDOWMENT FUNDS: PART V, LINE 4: THE PURPOSE OF THE ENDOWMENT FUND IS TO PROVIDE A PERMANENT SOURCE OF FUNDING FOR THE CREATION, DEVELOPMENT AND EXECUTION OF THE PROGRAMS, CAMPAIGNS, ACTIVITIES AND OPERATIONS OF CHILDREN'S MIRACLE NETWORK. DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48: PART X, LINE 2: THE FOLLOWING FIN 48 (ASC 740) FOOTNOTE APPEARED IN THE FINANCIAL STATEMENTS FOR THE 12 MONTH PERIOD EDNING DECEMBER 31, 2012, WHICH ENCOMPASSES THE PERIOD COVERED BY THIS FORM: "THE ORGANIZATION APPLIES THE PROVISIONS OF ASC 740-10 TO ACCOUNT FOR UNCERTAINTY IN INCOME TAXES. THE ORGANIZATION ANALYZED ALL TAX POSITIONS FOR ALL APPLICABLE TAX JURISDICTIONS FOR WHICH THE STATUTE OF LIMITATIONS REMAINED OPEN, INCLUDING U.S. FEDERAL, UTAH STATE AND FOREIGN JURISDICTIONS FOR THE YEARS ENDED AUGUST 31, 2007 THROUGH AUGUST 31, 2009 AND DETERMINED THERE WERE NO MATERIAL UNRECOGNIZED TAX BENEFITS AS OF THE DATE OF ADOPTION. IN ADDITION, THERE HAVE BEEN NO MATERIAL CHANGES IN UNRECOGNIZED BENEFITS FOR THE ABOVE TAX JURISDICTIONS SINCE SEPTEMBER 1, 2009, NOR WAS THERE A MATERIAL EFFECT DURING THE TAX PERIODS ENDED DECEMBER 31, 2012 AND DECEMBER 31, 2011, NOR IS IT EXPECTED THAT THERE WILL BE A MATERIAL CHANGE IN 2013." PART XI, LINE 4B - OTHER ADJUSTMENTS: COST OF GOODS SOLD -3,525,623. NORTH AMERICA 1 10 FUNDRAISING 124979 NORTH AMERICA PROGRAM SERVICES COMMUNITY SERVICES 1999658 NORTH AMERICA MAINTAINING OFFICES 374936 1 10 0 0 1 10 2499573 0 2499573 0 0 0 0 0 0 1 X X X X X X 0 1 0 0 0 0 0 0 0 JOHN LAUCK 416103 0 0 0 3622 0 172060 0 19533 0 611318 0 0 0 CRAIG SORENSEN 275000 0 8250 0 1481 0 100760 0 22586 0 408077 0 0 0 TERI NESTEL 188916 0 0 0 1483 0 72548 0 19488 0 282435 0 0 0 JOHN HARTMAN 249200 0 0 0 0 0 63401 0 0 0 312601 0 0 0 CLARK SWEAT 225000 0 6750 0 1403 0 96151 0 19533 0 348837 0 0 0 STEVE OSHIN 220000 0 6600 0 1403 0 82097 0 25635 0 335735 0 0 0 SCOTT BURT 100000 0 0 0 114859 0 18210 0 21522 0 254591 0 0 0 ANTHONY REHMER 163113 0 0 0 1403 0 53352 0 19411 0 237279 0 0 0 PERRY ESLER 152093 0 0 0 0 0 33691 0 0 0 185784 0 0 0 PART I, LINE 4B CHILDREN'S MIRACLE NETWORK EMPLOYEES PARTICIPATE IN A MONEY PURCHASE PLAN THAT IS CONSIDERED TO BE A NON-QUALIFIED DEFERRED COMPENSATION PLAN. THE CURRENT YEAR ACCRUAL FOR THIS BENEFIT FOR THE EMPLOYEES THAT ARE LISTED ON SCHEDULE J IS REFLECTED IN SCHEDULE J, PART II, COLUMN C. THIS PLAN TERMINATED ON 12/31/12 AND WAS REPLACED WITH A QUALIFIED PLAN. X AIRLINE MILES AND VOUCHERS 1 685110 FAIR MARKET VALUE X HOTEL GIFT CERTIFICATES 1 450000 FAIR MARKET VALUE 0 0 0 FORM 990, PART VI, SECTION A, LINE 2 TWO BOARD MEMBERS SHARE A FAMILY RELATIONSHIP: MARIE OSMOND AND JIMMY OSMOND ARE SIBLINGS. FORM 990, PART VI, SECTION B, LINE 11 CHILDREN'S MIRACLE NETWORK'S IRS FORM 990 IS PREPARED BY A PROFESSIONAL TAX PREPARER. ONCE IT IS COMPLETE, THE DRAFT IS PRESENTED BY THE PROFESSIONAL TAX PREPARER TO THE AUDIT & COMPLIANCE COMMITTEE OF THE BOARD OF TRUSTEES. THE AUDIT & COMPLIANCE COMMITTEE CAREFULLY REVIEWS THE DOCUMENT. AN ELECTRONIC COPY OF THE IRS FORM 990 IS THEN SENT TO THE FULL BOARD. AT A MEETING OF THE FULL BOARD, THE CHAIR OF THE AUDIT & COMPLIANCE COMMITTEE PROVIDES A REPORT AND RECOMMENDATION TO THE FULL BOARD TO APPROVE FILING WITH THE IRS. THE FULL BOARD OF TRUSTEES APPROVES THE FORM 990 IN ADVANCE OF ITS FILING WITH THE INTERNAL REVENUE SERVICE. FORM 990, PART VI, SECTION B, LINE 12C AT THE BEGINNING OF EACH FISCAL YEAR, THE CHAIR OF THE AUDIT AND COMPLIANCE COMMITTEE OF CHILDREN'S MIRACLE NETWORK ASKS EACH BOARD MEMBER AND EMPLOYEE TO REVIEW THE ORGANIZATION'S CONFLICT OF INTEREST POLICY AND THEN SIGN A STATEMENT CONFIRMING THAT THEY ADHERE TO THE CHILDREN'S MIRACLE NETWORK POLICIES AND PROCEDURES INCLUDING AVOIDANCE OF ANY ACTS THAT ARE CONTRARY TO THE CHILDREN'S MIRACLE NETWORK EXEMPT PURPOSES OR ANY ACTS THAT CONFLICT WITH THEIR RESPONSIBILITIES AT CHILDREN'S MIRACLE NETWORK. THEY ARE ALSO ASKED TO DISCLOSE ANY CONFLICTS THAT THEY ARE AWARE OF OR ANY POTENTIAL CONFLICTS OF INTEREST. EACH STATEMENT IS PRESENTED TO THE AUDIT & COMPLIANCE COMMITTEE OF THE BOARD OF TRUSTEES. EACH CONFLICT OR POTENTIAL CONFLICT IS THEN REVIEWED AND RESOLVED BY THE COMMITTEE AND A REPORT IS GIVEN TO THE FULL BOARD OF TRUSTEES DOCUMENTING THE DISPOSITION OF THE CONFLICT OR POTENTIAL CONFLICT. FORM 990, PART VI, SECTION B, LINE 15 EXECUTIVE COMPENSATION AN EXTENSIVE REVIEW AND ANALYSIS OF EXECUTIVE COMPENSATION WAS UNDERTAKEN BY THE GOVERNANCE COMMITTEE OF THE CHILDREN'S MIRACLE NETWORK BOARD OF TRUSTEES IN 2012 WITH THE ASSISTANCE OF A THIRD PARTY CONSULTING FIRM. COMPENSATION OF PAID EXECUTIVES IN 2012 WAS SET BASED ON THE COMPARISONS AND RECOMMENDATIONS OF THE CONSULTING FIRM AND THE BOARD AGREED TO ENGAGE AN OUTSIDE REVIEW EVERY TWO YEARS. THE NEXT REVIEW IS TO BE CONDUCTED IN 2014. FORM 990, PART VI, SECTION C, LINE 19 PUBLIC DISCLOSURE OF GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY AVAILABLE UPON REQUEST. THE ORGANIZATION INCLUDES ITS AUDITED FINANCIAL STATEMENTS IN ITS ANNUAL REPORT WHICH IS MADE AVAILABLE ON ITS WEBSITE. CHANGES IN NET ASSETS OR FUND BALANCES: FORM 990, PART XI, LINE 9: COST OF GOODS SOLD 3,525,611. IN-KIND EXPENSES -1,239,272. PART XII, LINE 2C THE ORGANIZATION HAS NOT CHANGED ITS OVERSIGHT PROCESS OR SELECTION PROCESS DURING THE TAX YEAR.