Financial Report 2011 - Customsitesmedia.usc.edu

University of Southern CaliforniaYear in Review FY 2010-2011In his first year, USC president C. L. Max Nikiasbrought tireless vitality to the office, raising anunprecedented 1 billion in gifts. These transformativedonations included 200 million from Dana andDavid Dornsife to name USC’s College of Letters,Arts and Sciences — the single largest donation inthe university’s history; 150 million from the W. M.Keck Foundation for medicine; and 110 millionfrom Julie and John Mork for student scholarships.2010-11 1 BILLIONIN GIFTS 6 BILLIONFUNDRAISINGGOALTransformative PhilanthropyDuring President Nikias’ firstyear in office, USC achieved amagnificent landmark: raising 1 billion — more than anyother U.S. university in thecourse of a single year.In March 2011, USC received 200 million, the largest singlegift in its history, from Danaand David Dornsife. The giftprovides unrestricted endomentfor the college, which has beennamed the USC Dana and DavidDornsife College of Letters,Arts and Sciences. The newDornsife Scholars Programrecognizes outstanding graduatingseniors pursuing scholarly inquiryinto pressing social challenges.In June, the W. M. KeckFoundation announced a giftof 150 million that providesessential research funding andbrands USC’s academic medicalenterprise as a cohesive whole, tobe known as Keck Medicine ofUSC. Under that umbrella, theKeck Medical Center of USCcomprises the faculty physicians125568 Foldouts r1.indd 1GATEFOLD 1 FRONTassociated with the Keck Schoolof Medicine of USC, as wellas Keck Hospital of USC andUSC Norris Cancer Hospital.John and Julie Mork andtheir family made another historicgift: 110 million to create theUSC Mork Family ScholarsProgram. This gift — the singlelargest for scholarships in USC’shistory — benefits high schoolseniors who have demonstratedextraordinary academic achievement and civic engagement.Two leadership gifts were announced at Nikias’ inauguration: 50 million from Ming Hsiehto establish the USC MingHsieh Institute for Researchon Engineering-Medicine forCancer, and 50 million fromthe Annenberg Foundationfor a new building for the USCAnnenberg School for Communication and Journalism.Another major gift — 15 million from Roger and MicheleDedeaux Engemann — supports construction of the Rogerand Michele Dedeaux Engemann Student Health Centeron the University Park campus.Equally impressive, overthe course of the year another176 donors made gifts between 250,000 and 25 million, 874people provided gifts between 25,000 and 100,000, and atthe level of 25,000 and below,some 105,000 individuals gavean impressive 44 million.As an endorsement of USC’smission, the passion behind everygift of every size makes a statement that amplifies the TrojanFamily’s collective voice.Humanities ScholarsPostdoctoral studies, whichoccur between graduate schooland a scholar’s first facultyappointment, have become akey factor in ensuring successin academia, yet postdoctoralfellowships remain rare outsidedisciplines with ready accessto grant funding. To address thisimbalance — and to build onthe strengths of USC’s humanities programs — USC is providing funds for postdoctoralpositions for exceptional Ph.D.graduates in the humanities.Announced by USC provostElizabeth Garrett on Nov. 1, theProvost’s Postdoctoral ScholarsProgram in the Humanities,when fully implemented, willsupport up to 12 early-careerresearchers for two years. Juniorscholars from institutions aroundthe world are selected via acompetitive process involvingdistinguished faculty from USChumanities departments. Eligiblefields of study include Americanstudies, art history, classics, comparative studies in literature andculture, critical studies (cinema),East Asian languages and cultures,English, French, history, linguistics, musicology, philosophy, andSlavic languages and literatures.In addition to bringing freshideas and voices to ongoingconversations in the humanities, the scholars are expected toteach three courses during theirfour-semester appointments —one course per semester, withone semester free for full-timeresearch. In return, USCprepares the scholars for theacademy by providing facultymentoring, research support,and time to develop strong research and teaching portfolios.Selected from a pool ofmore than 900 applicants, theinaugural cohort comprises sixaccomplished thinkers whowill invigorate discussion withinand across fields ranging fromJapanese literature and visualculture to philosophical inquiryinto how theories of languageconstrain theories of the mind.New Era in MedicineWith the dedication of theEli and Edythe Broad CIRMCenter for Regenerative Medicine and Stem Cell Researchat USC on Oct. 29, 2010, theuniversity ushered in a new erain medical research. “This newcenter carries out our promiseto society,” said USC president C. L. Max Nikias. “In thefuture, historians will search forthe turning point in the age ofmedicine and biology, andwhen they do, they will lookto this place. They will look tothis time. They will look to thisCIRM Center and they willlook to Eli and Edythe Broad.”2011 FINANCIAL REPORT /5The 80 million, 87,500square-foot building — a cornerstone in the biomedical researchcorridor on USC’s HealthSciences campus that includesthe Zilkha Neurogenetic Institute, Keck Hospital of USC andUSC Norris ComprehensiveCancer Center and Hospital— is the product of a publicprivate partnership among theKeck School of Medicine ofUSC, California’s voter-createdCalifornia Institute for Regenerative Medicine, and Eli andEdythe Broad, who gave 30million toward its development.With eco-friendly featuresincluding a double-glazedcurtain wall on the east side ofthe structure and an innovativesystem that uses water instead ofair to cool the space, the building is the first on the campusto receive a silver Leadership inEnergy and EnvironmentalDesign (LEED) designation.The Broad Center houses fourcore laboratories and 11 researchteams, and is actively recruitingnew scientists who will investigate the biological mechanismsthat control stem cell behavior,with the goal of translating thiswork into new therapies for avast spectrum of diseases.12/8/11 2:18 AM

1billionin gifts during 2010-2011, an unprecedented achievement125568 Foldouts r1.indd 2GATEFOLD 1 BACK12/8/11 2:21 AM

University of Southern CaliforniaYear in Review FY 2010-2011In February, USC president C. L. Max Nikias leda delegation to India, where he met with key Indianpartners, bolstering USC’s commitment to being atruly global institution. “With our many connectionsto India, we believe we have an obligation to buildeven more bridges between Southern California andthe educational, political and technological hubsof India,” Nikias said.CHINATOP FIVECOUNTRIES FORINTERNATIONALSTUDENTSCANADATAIWANINDIASOUTH KOREA125568 Foldouts r1.indd 3GATEFOLD 2 FRONTPassage to IndiaThe international Trojan Familygrew stronger when USC president C. L. Max Nikias led a delegation of faculty, administratorsand trustees to India.USC has 1,600 students fromIndia, the most at any Americanuniversity, and generations ofalumni in Mumbai, New Delhiand Bangalore, the three citiesthe delegation visited.Nikias met Indian leaders,including Prime MinisterManmohan Singh and USCtrustee Ratan Tata, to explorenew avenues for collaboration.In each city, USC facultypresented their pioneering workto local media and dignitaries.Neuroscientists Antonio andHanna Damasio shared developments in brain research, cinematicarts expert Paul Debevec discussedhis Academy Award-winningvisual-effects work on Avatar, andprofessors Stephen Hora andErroll Southers of USC’s NationalCenter for Risk and EconomicAnalysis of Terrorism Eventsexplained science’s contributionsto the war on terror.The delegation also celebratedthe opening of USC offices inMumbai and Bangalore to support student recruitment, alumnirelations, fundraising and facultyresearch.“With the bonds that wereformed here, USC now has theopportunity to be a major playerin connecting the United Statesto one of the fastest-growingcultures and economies of thecoming decades,” said VarunSoni, USC’s dean of religiouslife and a native of India.near the campus and wereattending for the first time.Another highlight was a bookdrive benefiting libraries andclassrooms at the USC Family ofSchools and Target Corp.’s partner schools. Approximately 4,000new and gently used books werecollected, compared with about800 the previous year.Festival of BooksAfter 15 years on the Westside,the Los Angeles Times Festivalof Books — the country’s largestpublic literary festival — kickedoff its 16th year in a new homeon USC’s University Park campus April 30 and May 1, 2011.After a rousing performance bythe Trojan Marching Band atthe opening ceremony, USCpresident C. L. Max Nikias andTimes publisher Eddy Hartenstein said it was fitting that thetwo institutions had joinedforces. After all, as Nikias pointedout, USC and the Los AngelesTimes are the two oldest survivingsecular institutions in the city.The collaboration yieldeda packed but smoothly runfestival that brought together arecord number of exhibitors andauthors, featured more stagedevents and panels than everbefore, and attracted more than140,000 Los Angeles residents —including many who liveExcellence in AthleticsWhile USC athletics beganthe term with an impressive113 national championshipsand 122 Olympic gold medals,2010-2011 was one of themost remarkable years in theprogram’s storied history.In January, the universitybroke ground on a 70 million,110,000-square-foot facilitythat will house all 21 varsitysports. Set to open in summer2012, the center, named forformer Trojan football coachJohn McKay, provides space foran academic center, coaches’offices, meeting rooms, an athletics training room, a digitalmedia production facility anda state-of-the-art locker roomfor the football team.USC also welcomed two newwomen’s sports — lacrosse andsand volleyball. Lindsey Munday,a former All-World member ofthe U.S. women’s lacrosse team,was chosen as first head coach ofUSC’s women’s lacrosse team,which will begin its inaugural season in 2013. And USCalumna Anna Biller Collier, whocoached in two Olympics, willlead the women’s sand volleyballteam starting in spring 2012.Also in 2010-2011, two ofUSC’s athletic teams — men’swater polo and men’s tennis —made their own marks in history. Both squads claimed theirthird consecutive NCAA championships. For men’s tennis,junior Steve Johnson also tookhome the NCAA singles title —becoming the first Trojan todo so since 1996.Faculty DistinctionsUSC’s faculty grew in staturein 2010-2011 with the hiringof two more Nobel laureates:physicist Murray Gell-Mann andeconomist Daniel L. McFadden.The university also welcomedtwo new Provost Professors —Lee Epstein (law and politicalscience) and Kate Flint (Englishand art history) — as well astwo Judge Widney Professors —Dana Gioia (poet and formerNEA chairman) and alumnusFrank Gehry (Pritzker Prizewinning architect).Faculty scholarship wasacknowledged by election tothe National Academy of Engineering (Mark Humayun andAristides Requicha), RoyalSociety (Simon Tavaré), American Academy of Arts and Sciences (James Higginbothamand trustee Wanda Austin),2011 FINANCIAL REPORT /7American Academy of Politicaland Social Sciences (ManuelCastells), and American Academy for Social Work and SocialWelfare (John Brekke).President Obama bestowedthe Presidential Citizens Medalon neuroscientist Roberta DiazBrinton and the PresidentialAward for Excellence in Science,Mathematics and EngineeringMentoring on robotics expertMaja Matarić. NeuroscientistAntonio Damasio received Japan’s Honda Prize for ScientificAchievement, electronic gamingexpert Bing Gordon won theAcademy of Interactive Arts andSciences’ Lifetime AchievementAward, and health economistDana Goldman was honoredwith the inaugural SilverScholar Award of the Alliancefor Aging Research and theMetLife Foundation.In the arts and humanities,historian Kevin Starr was inducted into the California Hallof Fame, violinist Midori Gotoreceived the Kennedy CenterInternational Committee GoldMedal in the Arts, and FatherJames Heft of the Institute forAdvanced Catholic Studiesreceived the Theodore M.Hesburgh Award for LeadershipExcellence. Faculty authorsreceiving acclaim includedPercival Everett (Rezzori Prizefor best fiction translated intoItalian) and Vicki Forman(PEN USA Literary Awardfor Creative Nonfiction).12/12/11 4:39 PM

8 / 2011 FINANCIAL REPORT University of Southern CaliforniaAcademic Unit Milestones35,794applicants for 2,972 places in the 2010 freshman classWith some 37,000 students and 3,300 full-timefaculty in the USC Dana and David Dornsife Collegeof Letters, Arts and Sciences and 17 professionalschools, the University of Southern California canattribute its success to excellence in teaching andinnovative research, a commitment to civic engagement, and a loyal educational community, theTrojan Family.USC Leventhal Schoolof AccountingThe USC Leventhal School ofAccounting welcomed WilliamW. Holder as its new dean.Holder, who has been a professorat USC since 1979 and previously served as Ernst & YoungProfessor of Accounting at theuniversity, is an expert on auditing and financial accounting andreporting. His research has beenpublished in the Journal of Accountancy, The Accounting Review andother journals. He has directedthe USC SEC and FinancialReporting Institute since 1994and also has a distinguished careeras a consultant.125568 Foldouts r1.indd 4GATEFOLD 2 BACKUSC School of ArchitectureGraduate studies at the USCSchool of Architecture, enrollingmore than 200 students, nowencompass five programs: themaster of architecture, the master of landscape architecture, themaster of historic preservation,the Chase L. Leavitt master ofbuilding science and the Ph.D.Faculty and graduate students areconducting leading-edge researchin digital technology, parametricdesign and robotic fabrication.Sponsored by the school andthe USC American Academyin China, a month-long exhibition called DigitalFUTURE inShanghai, China, illuminatedinnovative projects in integrateddigital technology and roboticsconducted by USC faculty andgraduate students along withprofessionals and academicsworldwide.USC Marshall Schoolof BusinessUnder the leadership of DeanJames G. Ellis, the USC MarshallSchool of Business completed FY2010-11 with major curriculumenhancements at the undergraduate and MBA levels. A centerpiece of the MBA curriculum is anew global context course featuring worldwide economics, globalstrategy and an internationalexperience. USC Marshall’s Society and Business Lab created aninterdisciplinary social entrepreneurship minor in conjunctionwith the USC School of Policy,Planning, and Development. USCMarshall attracted 21 new facultymembers from institutions such asthe London School of Economicsand Stanford. Marshall MBAstudents won the coveted GoldenBriefcase award in the Challengefor Charity competition for WestCoast business schools.USC School of Cinematic ArtsOver the past year, the USCSchool of Cinematic Arts inaugurated the Marilyn and JeffreyKatzenberg Center for Animationand dedicated the John WilliamsScoring Stage. “These incredibleresources, made possible by longtime friends and supporters of theschool, will greatly enhance theeducational experience of futuregenerations of the SCA family,”said Dean Elizabeth M. Daley.In August, the school will beginconstruction on Phase III of theCinematic Arts Complex: a stateof-the-art facility that will housethe Interactive Media Division,the Institute for MultimediaLiteracy and the InterdivisionalMedia Arts and Practice program.12/12/11 4:24 PM

University of Southern California2011 FINANCIAL REPORT /91,600STUDENTS IN USC ROSSIER MAT@USCONLINE PROGRAM10 students andalumni namedFulbright fellowsINCLUDING SEVEN FROMUSC DORNSIFEUSC Dornsife Collegeof Letters, Arts and SciencesIn 2010-11, a historic 200 million naming gift of unrestrictedendowment dramatically underscored USC Dornsife’s placeat the heart of the university.Faculty from the humanities, socialsciences and natural sciences continued to receive internationalrecognition, including AntonioDamasio (Honda Prize), JamesHigginbotham (fellow of theAmerican Academy of Arts andSciences), Larry Swanson (president of the Society for Neuroscience) and Simon Tavaré (fellowof the Royal Society). At USC’sAcademic Honors Convocation,15 out of 19 student award winners and four of five new Distinguished and University Professorswere from USC Dornsife, aswere seven of USC’s 10 studentand alumni Fulbright fellows.125568 Text r1.indd 9USC Annenberg Schoolfor Communicationand JournalismIn October 2010, USC Annenberg celebrated a 50 milliongift from Wallis Annenberg toconstruct a building where collaborative learning and researchspaces will spark innovation,enabling the school to takeadvantage of future technologiesand teaching approaches. Theschool also launched two majorinitiatives: the USC AnnenbergInnovation Lab, where studentsand faculty collaborated with fivemajor corporations on projectswith real-world applications andsocietal impact, and the USCAnnenberg Institute of Sports,Media and Society, which examines sports’ impact on culture,business and media.Ostrow Schoolof Dentistry of USCUSC Rossier Schoolof EducationA five-year, 2.6 million NIHgrant received by Prof. MichaelPaine will support Ph.D. andpostdoctoral students at theOstrow School of Dentistryof USC. The school was alsoawarded a 1.5 million NIHgrant, allowing for the hiring ofassistant professors Amy MerrillBrugger and Ruchi Bajpai. Prof.Yang Chai received a prestigiousfive-year, 2 million Methodto Extend Research in Time(MERIT) award. Physicalupgrades included a new CADCAM facility, a renovated clinic,and remodeled lecture hallsfunded by significant gifts fromVident, a Vita company; theCentury Club support group;and many alumni and friends.At the USC Rossier School ofEducation, about 1,600 currentand aspiring teachers are earning degrees through its onlineMAT@USC — more studentsthan Stanford (415) and Harvard(972) combined. Cutting-edgetechnology has increased enrollment tenfold over USC Rossier’son-campus MAT program. Theschool is helping transform urbanand high-need schools not onlyby preparing teachers, but alsoby preparing counselors, principals and superintendents, and byattracting scholars and researcherswhose work advances policiesand practice in K-12 and highereducation. The school is alsofocused on filling the pipelineof STEM (science, technology,engineering, mathematics)teachers and expanding worldwide partnerships.12/12/11 4:24 PM

10 / 2011 FINANCIAL REPORT University of Southern California 50mFaculty membersreceive White HouserecognitionUSC VITERBI SCHOOL OF ENGINEERINGPROFESSORS HONOREDFOR NEW ANNENBERG COLLABORATIVELEARNING BUILDINGZemeckis Center for Digital ArtsUSC Viterbi Schoolof EngineeringThe past year at the USC ViterbiSchool of Engineering was asexciting as it was historic. Threefaculty members were recognizedby the White House for theirachievements, two joined theNational Academy of Engineering(NAE), and the school hosted thesecond National Summit on theNAE’s Grand Challenges.The latter convened the mostinnovative minds across disciplines— beyond just engineering —to tackle what have been identified as the 14 Grand Challengesof our planet and society. USCViterbi’s reputation as a researchpowerhouse was bolstered withmore than 183 million in grantfunding, representing a 13 percentgrowth over the previous year.125568 Text r1.indd 10USC Roski School of Fine ArtsIn late 2010, the USC RoskiSchool of Fine Arts announcedthe launch of its new M.A. inart and curatorial practices in thepublic sphere program, a platformfor scholarship in contemporaryart and curatorial practice thatuniquely addresses social questions of public space. The following spring, the undergraduatesculpture area welcomed artistJason Meadows for a special sixweek workshop, during whichhe worked with students to conceptualize, fabricate and install atemporary sculpture outside WattHall. Students had the opportunity to hear from and interactwith a number of visiting artistsand curators, including OlafurEliasson, Thelma Golden andMichael Snow.USC Davis Schoolof GerontologyIndependent HealthProfessionsIn FY 2010-11, the USC DavisSchool of Gerontology recruitedits biggest-ever incoming class,as well as recording its largestnumber of graduates. The schoolwelcomed two new facultymembers: Cleopatra Abdou andSean Curran, who won the Ellison Medical Foundation’s NewScholar in Aging Award. In addition, Valter Longo received an 11 million National Institute onAging research grant and spearheaded the launch of the school’sfirst study-abroad program.Senior Laura Corrales-DiazPomatto won the USC StevensInstitute’s grand prize, and Ph.D.student Morgan Canon won aGerontological Society of America award for the best studentresearch paper.The number-one-ranked USCDivision of Biokinesiology andPhysical Therapy continued toinnovate in education, research andpractice in FY 2010-2011. Thedivision opened the Bice ClinicalResearch Center and the SullivanClinical Skills Technology Center,and expanded space and treatmentservices at USC PT Associates onthe Health Sciences campus. InFY 2010-2011, the USC Divisionof Occupational Science andOccupational Therapy receiveda record number of educationalprogram applications, appointedseven new faculty members, wonfive extramurally funded researchgrants including one establishing arehabilitation science postdoctoraltraining program, and publishedresearch outcomes demonstratingthe effectiveness of preventiveoccupational therapy.12/12/11 4:59 PM

University of Southern California2011 FINANCIAL REPORT /116,900INTERNATIONAL STUDENTSENROLLED 2010-11Record numberof incoming studentsand graduatesIN THE USC DAVIS SCHOOLOF GERONTOLOGYUSC School of Cinematic ArtsUSC Gould School of LawUSC LibrariesThe National Institutes ofHealth honored Tom Lyon witha 2 million grant to refine andtest his protocol for interviewingmaltreated children about theirabuse — methods he developedwith support from a previous 1.7 million NIH grant. TheUSC Gould School of Lawestablished two new certificateprograms: Business Law, directedby Daniel Klerman; and Entertainment Law, directed by formerWarner Brothers executiveJohn Schulman. Hannah Garrylaunched the InternationalHuman Rights Clinic, which willpartner students with judges andlegal staffs at the InternationalCriminal Tribunal for Rwandaand the Extraordinary Chambersin the Courts of Cambodia.In FY 2010-2011, inspired andsupported by the late SidneyHarman, the USC Librariesbecame the home of the Academyfor Polymathic Study, an entitythat promotes integrated, interdisciplinary thinking — and doing —at USC. The libraries added 33new electronic resources andsecured a 200,000 grant fromthe National Endowment forthe Humanities to digitize photographic images of historicalLos Angeles. Events — from therevival of the original 1973 Festivalde Flor y Canto to the 23rdannual Scripter Award to the seventh annual Wonder

USC Thornton School of Music Elizabeth M. Daley USC School of Cinematic Arts Gerald C. Davison USC Davis School of Gerontology James G. Ellis USC Marshall School of Business Marilyn L. Flynn USC School of Social Work Karen Symms Gallagher USC Rossier School of Education Howard Gillman USC Dor