Industry risk report nonprofits.

INDUSTRY RISK REPORT NONPROFITS

The nonprofit s listed in this report are engaged in human services
that range from betting on horses at a racetrack in Iowa to providing
reproductive counseling to men and Women across the country. As such,
their risk exposures run the gamut from property/casualty, to, medical
malpractice, to the interest rate and market risks inherent in
managing and investing millions and billions in pension fund

Company Name                      Location              CRO

American National Red Cross       Washington, D.C.      Judy Nolan, Sr,
                                                        Director, Risk
                                                        Management
                                                        Division

Battelle Memorial Institute       Columbus, Ohio        Martin Inglis,
                                                        EVP and CFO

Wal-Mart Stores Inc. Associate    Bentonville, Ark.     Linda Dillman,
Health and Welfare Trust                                EVP Risk
                                                        Management

Southwestern Bell Corp.           San Antonio, Texas    None
Voluntary Employees
Beneficiary Trust (AT&T)

National Rural Utilities          Herndon, Va.          John Borak, SVP
Cooperative Finance Corp.                               Credit Risk
                                                        Management

Boeing Company Master Trust       Chicago, III.         Steve Larsen,
(Boeing)                                                Director of
                                                        Insurance
                                                        Procurement and
                                                        Policy
                                                        Management

Carnegie Corporation of New       New York, N.Y         Withheld
York

Planned Parenthood Federation     New York, N.Y         Handled by
of America Inc.                                         multiple
                                                        officers

National Multiple Sclerosis       New York, N.Y         Carolyn H.
Society                                                 Hayes-Gulston,
                                                        Sr. Insurance
                                                        Risk Manager

Prairie Meadows Racetrack &       Altoona, Iowa         Jim Allpress,
Casino                                                  Loss and
                                                        prevention
                                                        manager

                                                        2007 Total
Company Name                      CFO                   Revenue

American National Red Cross       Robert P. McDonald    $6.00 billion

Battelle Memorial Institute       Martin Inglis, EVP    $3.8 billion
                                  and CFO.

Wal-Mart Stores Inc. Associate    Thomas Schoewe, EVP   $2.67 billion
Health and Welfare Trust          and CFO

Southwestern Bell Corp.           Richard Lindner,      $2.46 billion
Voluntary Employees               SEVP and CFO
Beneficiary Trust (AT&T)

National Rural Utilities          Steven Lilly, SVP,    $1.85 billion
Cooperative Finance Corp.         CFO

Boeing Company Master Trust       James Bell            $1.74 billion
(Boeing)

Carnegie Corporation of New       Robert Seman,         $1.69 billion
York                              Director of Finance

Planned Parenthood Federation     Julia Nelson          $902.80 million
of America Inc.

National Multiple Sclerosis       Adrienne Glasgow,     $250 million
Society                           CFO

Prairie Meadows Racetrack &       Ann Long-Richards,    $184.25 million
Casino                            VP, CFO

                                  No. of       Primary
Company Name                      Employees    Broker

American National Red Cross       35,000       Withheld

Battelle Memorial Institute       20,400       USI

Wal-Mart Stores Inc. Associate    1,900,000    Withheld
Health and Welfare Trust

Southwestern Bell Corp.           302,000      Withheld
Voluntary Employees
Beneficiary Trust (AT&T)

National Rural Utilities          218          Withheld
Cooperative Finance Corp.

Boeing Company Master Trust       154,000      Aon
(Boeing)

Carnegie Corporation of New       76           Withheld
York

Planned Parenthood Federation     Withheld     Withheld
of America Inc.

National Multiple Sclerosis       1,200        Aon
Society

Prairie Meadows Racetrack &       1,362        Holmes Murphy
Casino

Company Name                      Captives

American National Red Cross       Boardman Indemnity Ltd.
                                  (Bermuda)

Battelle Memorial Institute       Research Insurance Co.
                                  (Bermuda)

Wal-Mart Stores Inc. Associate    Withheld
Health and Welfare Trust

Southwestern Bell Corp.           Campanile Assurance Line
Voluntary Employees               Ltd. (Vt.)
Beneficiary Trust (AT&T)

National Rural Utilities          Withheld
Cooperative Finance Corp.

Boeing Company Master Trust       Astro II Inc.
(Boeing)

Carnegie Corporation of New       Withheld
York

Planned Parenthood Federation     Affiliates Property
of America Inc.                   Reciprocal, (Vt.)

National Multiple Sclerosis       None
Society

Prairie Meadows Racetrack &       None
Casino

Company Name             Risk Exposure:

American National        Actuarial studies of the Red Cross' exposure
Red Cross                indicate that the organization has liabilities
                         for outstanding losses and incurred but not
                         reported claims of approximately $91 million
                         as of June 30, 2007. The organization's debt
                         increased substantially in fiscal 2007 over
                         fiscal 2006, by some 13.5 percent.

Battelle Memorial        The executives with Battelle oversee a network
Institute                of highly sensitive and valuable research
                         facilities for the U.S. Department of Energy.
                         The labs conduct research on potentially
                         dangerous nuclear energy technology and
                         technology implemented by the U.S. Department
                         of Defense. Battelle also experiences
                         financial risk and has shown losses in recent
                         years in some investments by a subsidiary.

Wal-Mart Stores Inc.     Wal-Mart and its employee health and welfare
Associate Health and     plan specifically have been the subject of
Welfare Trust            numerous class-action lawsuits brought on
                         behalf of various legal classes within the
                         company's U.S. employee population of some
                         1.36 million. Recently, the company agreed to
                         compensate female employees for the purchase
                         of contraceptives under a class-action
                         lawsuit filed under the heading Maudlin vs.
                         Wal-Mart Stores Inc.

southwestern Bell        Like all pension and benefit funds managed by
Corp. Voluntary          parent company AT&T, the trust is exposed tox
Employees                interest rate risk and the volatility in
Beneficiary Trust        pricing of any equities or real estate owned
                         by the trust Those risks include the
                         volatility in the price of AT&T stock which
                         the trust owns. AT& T stock price has shown
                         good strength in the past five years.

National Rural           As a lender to its rural utility members,
Utilities Cooperative    the NRU-CFC is itself a significant borrower.
Finance Corp.            At the end of May, 2007, the nonprofit held
                         $4.3 billion in notes of varying due dates.
                         As such, the NRU-CFC is exposed to interest
                         rate risk and fluidity risk. For example, the
                         payment terms that the NRU-CFC accords to a
                         borrower may not directly coincide with the
                         terms the NRU-CFC has received from a capital
                         market lender.

Boeing Company           The trust's investment vehicles include
Master Trust             synthetic guaranteed contract investments in
                         which the assets of the trust are invested by
                         third parties such as AIG and Bank of America
                         in equities that may in some cases involve
                         mortgage-backed securities and other
                         investment vehicles that currently represent
                         a substantial degree of market and credit
                         risk.

Carnegie Corporation     As a part of its investment strategies, the
of New York              Carnegie Corporation engages in futures
                         markets. As a result, the nonprofit is
                         exposed to market risk and credit risk. The
                         nonprofit is also exposed to currency risk
                         because it holds securities in the
                         denominations of foreign countries.

Planned Parenthood       The clinics of reproductive services
Federation of            nonprofit Planned Parenthood dispense
America Inc.             contraception and provide healthcare services
                         such as abortions, vasectomies and tubal
                         sterilizations. As such, the nonprofit is
                         exposed to medical malpractice lawsuits.

National Multiple        Since the National MS Society is among a group
Sclerosis Society        of non profits providing premier special
                         events, which in its case involves a 50-state
                         network of chapters successfully holding more
                         than 600 walks and 100 bike rides each year,
                         its events accommodate hundreds of thousands
                         of participants with various levels of
                         experience and training.

Prairie Meadows          Protecting the assets of Prairie Meadows
Racetrack & Casino       Racetrack and Casino, Inc., and maintaining a
                         safe and secure environment for its guests
                         and employees.

Company Name             Risk Strategies:

American National        The Red Cross maintains various insurance
Red Cross                policies under which it assumes a portion of
                         each loss. Assumed losses are retained by the
                         Red Cross through its wholly owned insurance
                         subsidiary Boardman Indemnity Ltd. The Red
                         Cross also purchases insurance to supplement
                         the coverage offered by Boardman.

Battelle Memorial        Battelle operates an offshore, Bermuda-based
Institute                insurance captive with more than $50 million
                         in assets, according to the nonprofit's form
                         990 filing with the U.S. Government The
                         nonprofit self-insures for its active
                         employee medical expenses. Battelle paid
                         Liberty Mutual Insurance Co. $276 million for
                         insurance services in 2005, according to its
                         annual filing.

Wal-Mart Stores Inc.     Wal-Mart uses a combination of insurance,
Associate Health and     self-insured retention and self-insurance for
Welfare Trust            a number of risks, including workers'
                         compensation, general liability and
                         employee-related healthcare benefits. The
                         company says it applies appropriate loss
                         development factors to the incurred costs
                         associated.

southwestern Bell        To manage the market risk in the trust's
Corp. Voluntary          portfolio, the trust managers spread the
Employees                trust's investments according to a formula
Beneficiary Trust        of percentages between domestic securities,
                         international securities, debt securities and
                         real estate investments. Pension fund
                         managers with AT&T lowered the percentage of
                         the trusts debt securities holdings from 29
                         percent in 2005 to 27 percent in 2006,
                         according to SEC filings.

National Rural           To spread its risk, the nonprofit disperses
Utilities Cooperative    its loans widely throughout the U.S. As of
Finance Corp.            the end of May, 2007, loans outstanding to
                         any one state or territory in the U.S. did
                         not exceed 15 percent of the total loans
                         outstanding.

Boeing Company           The trust uses various derivative financial
Master Trust             instruments for hedging related strategies.
                         Boeing has authorized the use of certain
                         derivative instruments in certain investment
                         management accounts. The trust also uses
                         wrapper contracts to provide cash flow and
                         market risk protection for any assets that
                         are being held via guaranteed investment
                         contracts with third parties.

Carnegie Corporation     The nonprofit reduces the credit risk in its
of New York              swap contracts by dealing only with major U.S.
                         broker-dealers. The nonprofit also uses
                         forward foreign currency contracts to manage
                         its currency risk. Its investment managers
                         monitor the financial condition of trading
                         partners to minimize losses.

Planned Parenthood       Planned Parenthood uses interest rate swaps
Federation of            to manage the credit risk inherent in
America Inc.             borrowings it undertakes to finance the
                         renovation of leashold premises in New York.
                         The federation retains any additional
                         interest rate risk.

National Multiple        The NMSS provide participants with support
Sclerosis Society        throughout its events to ensure that they
                         have a positive and successful experience
                         while they do their part to help create a
                         world free of MS. The society checks its
                         event routes and has support stationed in key
                         locations. Participants are also reminded to
                         review the rules of the road and are
                         encouraged to report unsafe behavior. The NMS
                         Society collaborates with organizations that
                         support safety, and promotes communication,
                         awareness and training for participants and
                         staff.

Prairie Meadows          Prairie Meadows uses four fundamental risk
Racetrack & Casino       strategies 1) Avoidance by safe policies,
                         procedures, and audits 2) Reduction by
                         proactively using available technology to
                         reduce frequency or severity by prevention
                         and control by timely contact with claimants
                         and coordinate claims with carriers 3) Risk
                         transfer by purchasing insurance 4) Retention
                         by being self insured on some items.

COMPILED BY DAN REYNOLDS FROM THE FOLLOWING SOURCES: HOOVER'S, RISK
AND INSURANCE MANAGEMENT SOCIETY INC. DATABASES; COMPANY FILINGS AND
REPRESENTATIVES.