Financial Report 2008

Hofstra’s financial strength reflects increased fund-raising activities, strong endowment growth, strengthened operating margins, and enhanced control over expenses, particularly relating to health care and post-retirement benefits. Financial resources have increased by 157 percent during the last five years, and Hofstra continues to enjoy debt ratings in the A category from both Moody’s and Standard & Poors. The Capital Campaign, officially launched at the 2006 Hofstra Gala, raised $110 million as of December 2008. The University continues to expand its fund-raising activities and maintain tight control over expenses.

Endowment Investment Market Value

Hofstra University endowment investments grew to $232 million by 2007, increasing by more than 130 percent in five years. The endowment value in 2008 reflects the recent global economic difficulties faced by all institutions. The University has set its sights on an endowment goal of $400 to $500 million to provide enhanced scholarships to better compete with institutions with significantly larger endowments.

Tuition Scholarships and Fellowships

A larger endowment gives Hofstra the edge it needs to attract and retain the most highly qualified students by providing a greater number of scholarships. The University continues to make the growth of tuition scholarships a top priority. During the past six years, the University has increased scholarship funding by 127 percent to just over $57 million.

That increase is reflected in the changing make-up of the student body. The 2008 average SAT score for first-year students was 1182, up 121 points from fall 2000. Our first-time freshman high school GPA stood at 3.35 in fall 2008, compared with just 2.80 in fall 2000. Selectivity — the number of students accepted to Hofstra as a percentage of all those who apply — was 53 percent this year, compared to 80 percent in 2000. The percentage of students in the top 10 percent of their high school classes was 26 percent this year, compared to 12 percent eight years ago. The percentage of first-year students from out of New York State is more than 50 percent, compared to 32 percent in 2000.

Components of Endowment Support 2007-08

Hofstra University relies on philanthropic support from alumni and friends. This investment in the University is critical to Hofstra’s long-term success. Here’s why:

• Alumni support is measured by US News & World Report and has a direct impact on the University’s ranking. Participation at any level is critical. Our goal is to increase alumni participation each year.
• Hofstra remains a university largely reliant on tuition. Your support and the growth of our endowment allows Hofstra to undertake new initiatives to maintain its excellent reputation.
• Your gift provides for student scholarships, faculty support and program initiatives, and overall operations at Hofstra.
• Your investment in Hofstra will allow the University to reach its annual and long-term goals.

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