Annual ReportJuly 1, 2011 —June 30, 2012 A Supplement to The Catholic Accent • Jan. 3, 2013

The Catholic Accent The Catholic Foundation Thursday, Jan. 3, 2013CF2 CF3

Mission Statement:The Catholic Foundation for the Diocese of Greensburg, through its philanthropic initiatives that are rooted in Gospel values and in the teaching of the Catholic Church, raises funds, awards grants, and stewards assets in order to advance the mission of the Roman Catholic Diocese of Greensburg to proclaim in word and action the Gospel of Jesus Christ and to build up the kingdom of God on earth.

Statements of Financial PositionAs of June 30, 2012 2011 2010Assets

Cash and cash equivalents $ 24,129 $ 7,034 $ 5,498

Temporary deposits 175,948 175,611 160,264

Investments:

Managed balanced portfolio 46,885,318 43,515,116 32,305,910

Equity in other investments 272,552 308,256 242,646

Interest in perpetual trust 1,108,501 1,124,707 945,226

Interest in charitable remainder trust - - 472,865

Temporary investments and deposits 142,975 180,529 174,952

Total investments 48,409,346 45,128,608 34,141,599

Interest receivable 98.310 106,891 98,437

Due from other diocesan entities - - 875,170

Total Assets 48,707,733 $ 45,418,144 $ 35,280,968

Liabilities and Net Assets

Liabilities:

Gift annuity payable 326,517 $ 281,296 $ 344,000

Accounts payable - 1,236 -

Due to other Diocesan entities 48,616 156,914 146,733

Total Liabilities 375,133 439,446 490,733

Net assets:

Unrestricted: Undesignated 1,194,965 1,313,558 465,525

Designated 5,689,882 5,226,909 4,804,623

Total unrestricted 6,884,847 6,540,467 5,270,148

Temporarily restricted 14,550,161 14,716,959 12,519,009

Permanently restricted 26,897,592 23,721,272 17,001,078

Total Net Assets 48,332,600 44,978,698 34,790,235

Total Liabilities and Net Assets $ 48,707,733 $ 45,418,144 $ 35,280,968

Statements of ActivitiesYears Ended June 30, 2012 2011 2010

UNRESTRICTED NET ASSETS

Revenues, Gains and Other Support:

Gifts and bequests $ 462,983 $ 422,287 $ 370,491

Investment income 192,283 1,095,475 545,633

Foundation subsidy 310,000 530,000 530,000

Endowment administration fee 112,674 86,103 -

Net assets released from restrictions 1,567,247 1,489,928 1,415,684

Total Revenues, Gains and Other Support 2,645,187 3,623,793 2,861,808

Expenses:

Professional fees 46,858 33,368 57,980

Special grant - 7,500 -

Administrative expenses 395,647 606,370 535,712

Payments to beneficiaries 675,080 662,328 641,501

Transfers to diocesan entities 1,183,222 1,043,908 861,697

Total Expenses 2,300,807 2,353,474 2,096,890

Transfers to other diocesan entities - - (1,433)

Change in unrestricted net assets 344,380 1,270,319 763,485

TEMPORARILY RESTRICTED NET ASSETS

Revenues, Gains and Other Support:

Gifts and bequests 210,188 616,128 309,364

Investment income 1,204,853 3,082,069 1,963,303 Change in value of split-interest agreements (14,592) (10,319) (5,130)

Net assets released from restrictions (1,567,247) (1,489,928) (1,415,684)Change in temporarily restricted net assets (166,798) 2,197,950 851,853PERMANENTLY RESTRICTED NET ASSETS

Revenues, Gains and Other Support:

Gifts and bequests 3,693,420 4,184,795 1,226,126

Investment income (460,576) 2,563,500 717,513 Change in value of split-interest agreements (56,524) (28,101) (22,606)Change in permanently restricted net assets 3,176,320 6,720,194 1,921,033

Change in net assets 3,353,902 10,188,463 3,536,371

Net assets, beginning of year 44,978,698 34,790,235 31,253,864

Net assets, end of year $ 48,332,600 $ 44,978,698 $ 34,790,235

Dear Brothers and Sisters in Christ,

During fiscal year 2011-12, total net assets of The Catholic Foundation increased by $3.4 million, raising the foundation’s assets to nearly $49 million. This 7.5 percent increase was primarily due to the influx of money generated from the “Today’s Challenge ~ Tomorrow’s Hope” Capital & Endowment Campaign for the Diocese of Greensburg.

Several of the foundation’s existing endowments realized a significant increase in value as a result of capital campaign disbursements. They were: Diocesan Capital Maintenance Fund, $1.4 million; Diocesan Catholic School Tuition Assistance Fund, $900,000; and the Diocesan Evangelization & Faith Formation Fund, $464,830. Additionally, a new $800,000 endowment, titled Catholic Charities, was created during the fiscal year.

Judicious management of the foundation’s investment portfolio, diversification of investments and careful oversight by its asset managers, Institutional Investment Group at PNC, clearly played a key role in the

portfolio’s performance during the fiscal year. The foundation continued to benefit from a relatively new

multifaceted initiative designed to educate and encourage Catholics and benefactors of the church about the importance of estate planning and planned giving.

During this second year of the initiative, outreach to households continued through the “Legacy of Faith” newsletter, which was circulated via direct mail and email. This year’s response to the initiative was markedly improved from the prior year, and additional Catholics throughout the diocese were added as members to the Our Lady of the Assumption Society. These legacy and life income gifts from our parishioners and other donors will continue to provide a future income stream for diocesan entities.

People who share their blessings through planned gifts to their parish or another diocesan entity, such as including the Church in their will, are included in the Our Lady of the Assumption Society. Details about the society can be found in the box below.

I am genuinely grateful to all who contributed to the growth of The Catholic Foundation through their financial contributions or volunteering their gifts of time and talent. As people who generously responded to God’s call for the benefit of his people, you inspire others to follow your good example.

With sentiments of deep gratitude, I remain,

The Most Reverend Lawrence E. Brandt, JCD, PhDBishop of Greensburg

Our Lady of the Assumption Society

If you have chosen to share the blessings you’ve received from God through a planned gift to your parish or one of our other diocesan entities, you join a group of supporters who share your love for the church. We call this inspirational group the Our Lady of the Assumption Society, in honor of our diocesan patroness. It is easy to become a member. If you have included the church in your estate plans, please contact The Catholic Foundation office at 724-552-2502. We will explain how your gift will benefit the church and mail you the “Legacy of Faith” newsletter. Any details of your gift that you disclose are held in confidence.

On the cover: Clockwise from top left: Students visit Visitation Cemetery, Mount Pleasant;Bishop Brandt and priests gather before chrism Mass at Blessed Sacrament Cathedral, Greensburg; students pose at St. John the Evangelist Regional Catholic School, Uniontown; at-tendees enjoy Catholic Charities’ Senior Enrichment Workshop. The Catholic Accent file photos

2011-2012

Members of the Corporation

The Most Reverend Lawrence E. Brandt, JCD, PhD, ChairpersonThe Reverend Monsignor Lawrence T. Persico, JCL, Vice Chairperson

Board of Trustees (voting)

Lawrence S. Busch, PresidentMarc B. Robertshaw, SecretaryDaniel L. Chess, Treasurer Raymond J. Hanley Leo N. Hitt

Ex-Officio Trustees (nonvoting)

DeansThe Reverend Monsignor James T. Gaston, VF, Deanery IThe Very Reverend Lawrence L. Manchas, VF, Deanery IIThe Very Reverend Kenneth G. Zaccagnini, VF, Deanery IIIThe Very Reverend Daniel C. Mahoney, VF, Deanery IVThe Reverend Monsignor Michael W. Matusak, VF, Deanery V

Diocese of Greensburg Managing Directors

Sheila R. Murray, FinanceTrent D. Bocan, Catholic SchoolsThe Reverend Monsignor Raymond E. Riffle, Catholic CharitiesRobert A. Sherwin, Evangelization and Faith FormationJerome M. Zufelt, Communications

Diocese of Greensburg Development Personnel

Judith M. Modecki, Catholic Charities

Father Bryan F. Summers at Christ, Prince of Peace Parish, Ford City

Catholic Schools Mass at Blessed Sacrament Cathedral, Greensburg Day of Recollection for permanent diaconate program

Media room at Geibel Catholic Junior-Senior High School, Connellsville Communion at Christ the King Parish, Leechburg Youth rally at Greensburg Central Catholic Junior-Senior High School

Confirmation at SS. Simon and Jude Parish, Blairsville

Priests concelebrate Chrism Mass Catholic Charities booth at Westmoreland Arts & Heritage Festival

Letter fromthe Bishop

+ Lawrence E. Brandt

The Catholic Accent The Catholic Foundation Thursday, Jan. 3, 2013CF4

THE CATHOLIC FOUNDATIONInvesting in a Catholic future

Ordained Ministry Funds

The following endowed funds provide income to support the education and formation of seminarians for the priesthood, ongoing education of clergy and education of the permanent diaconate:

Clergy Continuing Formation and Education Fund John and Anne Duff FundJohn and Elizabeth Sapara & John and Helen Ezzyk Memorial FundJohn P. and Mary B. Baran Memorial FundPermanent Diaconate FundPriestly Vocations FundRev. Msgr. Francis J. Tambellini FundSt. John the Baptist Memorial FundSt. Joseph the Carpenter Fund

Donor Designated (gifts made by donors designated to these funds):Anonymous

Lay Ministry Education Grants and Program Funds

The following endowed funds provide income to support operations and various needs of lay ministry formation and education programs:

Ministry Formation FundSt. Anselm FundSt. Francis of Assisi Fund

Priests’ Health and Retirement Funds

The following endowed funds provide income to support the costs of health care and other needs of retired diocesan priests:

Neumann House FundPriest Post Retirement FundRev. Joseph A. Tamilowski FundRev. Msgr. Augustine Marzhauser Memorial Fund

Catholic Education Funds

The following endowed funds provide income for tuition assistance for families of Catholic school students. Future plans include funds to support parish-based evangelization and faith formation programs for youth, young adults and adults:

Diocesan Catholic School Tuition Assistance FundDiocesan Evangelization & Faith Formation FundFayette County Catholic Schools FundSt. Gerard Tuition Assistance Fund Catholic Charities Funds

The following endowed funds provide income to support Catholic Charities’ programs for families and individuals in the four counties of the diocese:

Catholic Charities FundCatherine P. and Michael Moran FundElijah FundMinistry for Seniors FundThomas Lynch Memorial Fund

Diocesan Pastoral Care Funds

The following endowed funds provide income to fund the needs of the diocese and support a variety of spiritual, educational and operational programs:

Adolph and Julia Bartolomucci Memorial FundBishop Hugh L. Lamb Memorial FundBishop William G. Connare Memorial FundCapital Maintenance FundCharles E. Salizzoni FundCharles L. and Rose Sweeney Melenyzer Memorial FundCharles M. and Mary Ellen Fischer FundLeo F. Hughes Jr. and Rose G. Hughes Memorial Trust FundMary Catherine Collier Memorial FundRose and Michael Gribik Memorial FundSt. Maximilian Kolbe FundThomas L. Kinsey, Sr. Memorial Scholarship Fund

Parish Funds The following endowed funds provide supplemental income for pastoral programs and other general needs of the parish:

All Saints, MasontownAscension, JeannetteBlessed Sacrament Cathedral, GreensburgBlessed Sacrament Cathedral, Bethlehem Project Memorial Fund, GreensburgBlessed Sacrament Cathedral, Maintenance, GreensburgChrist the King, LeechburgChurch of the Good Shepherd, KentChurch of the Resurrection, Northern Indiana CountyHoly Cross, YoungwoodHoly Family, SewardHoly Family, West NewtonHoly Rosary, Catholic Education Fund, RepublicHoly Trinity, Educational Fund, LigonierHoly Trinity, Holy Name Society, LigonierHoly Trinity, Operational Fund, LigonierImmaculate Conception, ConnellsvilleImmaculate Conception, IrwinImmaculate Conception, Outreach, IrwinMount St. Peter, New KensingtonMount St. Peter, St. Anthony Guild, New KensingtonSS. Simon and Jude, BlairsvilleSt. Agnes, Bishop Anthony G. Bosco Center, North HuntingdonSt. Ambrose, AvonmoreSt. Barbara, Harrison CitySt. Bernard of Clairvaux, IndianaSt. Boniface, LatrobeSt. Florian, UnitedSt. Hubert, Point MarionSt. James, New AlexandriaSt. John Baptist de La Salle, DelmontSt. John the Evangelist, LatrobeSt. John the Evangelist, UniontownSt. Joseph, EversonSt. Lawrence, CadoganSt. Margaret Mary, Lower BurrellSt. Patrick, Brady’s BendSt. Regis, TraffordSt. Rita, ConnellsvilleSt. Sebastian, Belle VernonSt. Sylvester, SlickvilleSt. Therese, Little Flower of Jesus, UniontownSt. Thomas More University, Indiana

Catholic School Funds

The following endowed funds provide supplemental income to assist in the overall operation of Catholic schools in the diocese:

Elementary SchoolsAll Saints Regional, MasontownChrist the Divine Teacher, LatrobeMary Queen of Apostles, New KensingtonQueen of Angels Catholic, North HuntingdonSt. Bernard, IndianaSt. John the Evangelist Regional Catholic, UniontownSt. Sebastian, Belle VernonThe Divine Redeemer, Ford City

Secondary SchoolsGeibel Catholic Junior-Senior High, ConnellsvilleGreensburg Central Catholic Junior-Senior High, Greensburg

The following Catholic schools receive support from these specific funds:

Conn-Area Catholic, Connellsville: Joseph B. Velucci Memorial FundConn-Area Catholic, Connellsville: Rev. Thomas J. Kalasky Memorial FundGeibel Catholic Junior-Senior High, Connellsville: Rita P. and Stephen A. Peters FundHoly Trinity, Ligonier: Sarni Family Tuition Assistance FundSt. Bernard, Indiana: Cecil Spadafora Athletic FundThe Divine Redeemer, Ford City: Wallace and Cecilia Burdette Memorial Fund

Catholic Cemetery Perpetual Care Funds

The following endowed funds provide supplemental income for the perpetual care of 68 parish cemeteries in the diocese:

Cemetery Perpetual Care (68 funds)

Allocation of funds — June 30, 2012

Catholic Education Funds$8,227,887

Ordained Ministry Funds$5,251,936

Lay Ministry EducationGrants and Programs Funds

$3,737,414

Catholic Charities Funds$1,780,681

Priests’ Health andRetirement Funds

$5,785,830

Catholic School Funds$1,064,6302%4%

24%

17%

14%12%

11%

8%

8%

Parish Funds$4,132,113

Catholic CemeteryPerpetual Care Funds

$11,604,261

Diocesan Pastoral Care Funds$6,922,904