UA-R-GC-1914-01-01-1951-11-16_Page-072

224 Finano e Com.-2 13. Reports from the Committee on Buildings and Grounds were received and recommendations from that Committee to the Board were approved. 14. As of June 15, 1950, loans at the Union National Bank of Pittsburgh for the current account totaled $225,000 - w99,500 at 2% interest and $85,500 at 2Z per annum. On June b , 1951., this amount stands at $185,000. As of August 1st the interest was increased to 21% on the indebtedness se-oured by Government bonds and 3% on the indebtedness secured by stook col-lateral. Overdrafts at Barclays Bank, Cairo, as of June 50, 1951, amount-ed to L.E.24,142. Interest on loans in Egypt amounted to L.E.857.60 for the financial year 1950-51. It was suggested that loans in America be paid off when funds are available to a balance of $175,000 or $185,000 and then any reductions to be made might be sent to Cairo to reduce the over-draft there. It was also suggested that the Bursar be directed to deposit savings each year to reduce the indebtedness in Egypt. 15. The Finance Committee in commending the sub-committee on investments es-pecially on the increased inoome for 1950-51, voted to approve adoption of the following statement of principles under which the investments are cur-rently being handled: Per Minute #708 in Finance Committee Minutes of March 19, 1951: Inasmuch as the percentage invested in common stooks at the last review date of February 8, 1951, showed 63.2% of the market value in common stooks and 4 in preferred stocks, the Committee felt that it would be unwise at this time to increase the holdings in common or preferred stocks. It was decided to review the matter again at a later date should conditions change. Current yield on endowment funds for the past year was 4.6%. 16. Participation in Social Security - In accordance with actionn of the Board at its meeting on November 24, 1950, the entire American staff, with one exception, voted to participate in the Social Security plan of the U.S. Government beginning with January 1st, 1951. The necessary tax of 3%. has been paid during 1951, 1 7o being paid by the individual and 12% by the University. 17. Retirement Plan - The Finance Committee was instructed at the last meting of the Trustees to "study the pension plan of the University. . . and re-port its findings and recommendations to the Board of Trustees for appro-priate action." A sub-committee with Mr. Craig as Chairman has made an extensive study of the existing plan, as well as plans of similar organiz-ations. The Executive Secretary is conferring with the staff in Egypt to secure their thoughts on the matter. As a result of this study and various discussions, the Finance Committee requests action by the Board under ecommendati on #1 following. 18. It was noted that because of Mr. Harrell Beak's marriage in Egypt, planned for December, he will be included in the budget of the School of Oriental Studies after that date on the basic salary and residence scale for a married man. z