SRS Newsletter
June 2012
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Treasurer's Report

Paul D. Sponseller, MD
Treasurer

Paul D. Sponseller, MD

The Financial Health of the SRS remains strong.  We continue to be blessed by excellent professional management under the supervision of Tressa Goulding, CAE, CMP and her staff.  Dan Nemec CPA, Vice President of Executive Director Inc., is intimately involved in the process and is a trusted professional advisor. Last year SRS had a general income over expenses of almost $100,000, led mostly by the overage of the Annual Meeting. IMAST had a small loss, due, in part to the expense of its location in Copenhagen, Denmark. Each of the Worldwide Courses made a slight profit.

Key leadership met for a financial summit in Chicago, Illinois, USA in January and prepared this year’s budget. According to budget, we will essentially break even in 2012. The Annual Meeting in Chicago is expected to have a smaller profit due to the expense of Chicago, and IMAST in Istanbul will likely have income slightly above expenses.  In addition, industry support is slightly down over previous years from its peak in 2008. Consolidation within the spine industry creates challenges for maintaining levels of support.  If the trend continues, we will rely more on member support and other avenues.

The Research, Education and Outreach (REO) Fund, under the able management of Rockefeller Financial Asset Management, has done well. The portfolio has out-performed its benchmark.  REO has a return of 17% net after expenses over the past six months, versus a bench mark return of 16% percent. I’m also grateful to the Investment Task force of James Roach, MD and Serena Hu, MD for their advice and support as we monitor the progress of the REO Fund. The REO Fund will be an additional source of support for research and other projects beginning in 2013. The Board of Directors has approved an endowment style use of these funds, taking 4% of the principal averaged over the lesser of the last eight quarters or life of the fund. The work of Steven M. Mardjetko, MD and the Development Committee is important as we strive to grow this corpus as much as possible.  Please also see the report from the Corporate Supporters Committee to understand the projected trends in this sector of our income. 

Please also feel free to contact me if you have any questions about the financial health of SRS.