2010 Annual Report

From Leading Voice to Cause Leader

Photo supplied by the Cherokee Tribune

The Arthritis Foundations vision is to create a world free of arthritis pain.

From Leading Voice to Cause Leader

TRANSFORMATION

TA B L E O F C O NT E NTS
2 Letter from President/CEO & National Chair What is Transformation? From Leading Voice to Cause Leader A Life Changed, Then Changed Again Reducing Arthritis-Related Disparity Jingle All The Way To a Cure for Arthritis Thank You to Our 2010 Donors Progress on Flagship Research Initiatives Advocating for Change Leadership Financial Report

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

3 4 6 8 10 12 14 17 18 19

The Arthritis Foundation aims to reduce the number of people suffering from arthritis-related activity limitations by 20 percent by the year 2030.

Arthritis Foundation

Annual Report 2010

From Leading Voice to Cause Leader

TRANSFORMATION

LETTER from PRESIDENT/CEO & NATIONAL CHAIR

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

2010 was a transformative year for the Arthritis Foundation, thanks to new initiatives to improve our power to communicate, advocate and conduct research to ght the devastating effects of arthritis. It was the year we crafted a new strategic plan, which promises to transform how society perceives and responds to arthritis, as well as reduce physical activity limitations by 20 percent over the next 20 years. We are prepared to achieve this goal through the many contributions of committed doctors, scientists, advocates, donors and other supporters. As you read this years report, we hope you will notice the phrase arthritis is unacceptable in several places. Not only does 13-yearold Zach Jamison say it, but the facts and gures surrounding health disparities among minorities also speak loud and clear. Because the fallacy that arthritis is only an inconvenience is so widespread, assertively conveying that arthritis is unacceptable rises to the top of our strategic plan. Arthritis is serious. It is debilitating. It is painful. Thats why the Arthritis Foundation exists. We are committed to giving people the tools and information they need to understand and minimize this diseases far-reaching impact; advocating for the inclusion of arthritis in any health-oriented legislation, funding or agenda; and encouraging, driving and supporting research that can lead to better therapies and cures. We do all of this because the nations leading cause of disability should not be considered inevitable and acceptable. And we cannot do it without you. As always, we are grateful for your unagging and enthusiastic support. What is Transformation? Clearly, the concept has something to do with change. But change can be simple. We change our clothes. We change the station on TV. Styles change. Tastes change. Transformation is something more dramatic and signicant. Transformation is so substantial that it forever divides perceptions into Before and After. The Arthritis Foundation is About Transformation The Arthritis Foundation already is the pre-eminent source for research, advocacy, information, communication and support for people with arthritis. Our leadership has driven a wide range of successful initiatives with proven results. Building on those strengths, our goal now is to lead the cause and to reduce the number of people with arthritis-related activity limitations by 20 percent by 2030. And weve established a plan to make it happen. David E. Shuey National Chair Arthritis Foundation John H. Klippel, MD President and CEO Arthritis Foundation

Arthritis Foundation

Annual Report 2010

From Leading Voice to Cause Leader

TRANSFORMATION

The Foundations annual Juvenile Arthritis Conference helps families learn to cope with this life-changing disease.

from LEADING VOICE to CAUSE LEADER

With an aging population and rising health care costs, the need to improve health outcomes has never been greater. But it is not enough to merely have a goal. We must have a multi-faceted plan to accomplish it. And we do. We are bringing together ve impact objectives that collectively will change the course of a disease that dramatically impacts the lives of millions of people every day. Transforming Perceptions The rst objective of our long-range strategic plan is to transform common, inaccurate perceptions of arthritis. Arthritis is not inevitable, or just minor aches and pains that come with age. Arthritis alters lives in many ways: Arthritis strikes 50 million Americans (one in ve) and that number is soaring. Arthritis impacts people of every age. Two-thirds of those who suffer from the disease are under age 65, including approximately 300,000 children unable to live a pain-free life. Arthritis is the nations leading cause of disability. It exerts a heavy nancial toll of $128 billion annually in medical expenses, lost earnings and reduced productivity. Arthritis adds insult to the nancial and physical injuries of the disease because it affects more than half of adults with diabetes or heart disease. Exercise is crucial to minimize those conditions, but arthritis makes exercise much more difcult. In short, the pain and disability of arthritis are unacceptable, physically, emotionally and nancially. And the Arthritis Foundation is doing something about it. Transforming Accessibility We will transform the publics and medical professionals access to the knowledge, skills and resources necessary to minimize the impact of arthritis. Right now, there are too few rheumatologists to serve a growing number of people. Other medical professionals often lack sufcient knowledge and information to recognize and minimize the life-changing effects of arthritis on peoples lives. This trend must be reversed. Eliminating Disparity We aim to reduce arthritis-related disparities in health and health care. Because arthritis causes more pain and limitations among some ethnic groups, we are deepening our relationships with health-oriented organizations to ensure access and treatment for underserved populations. Over our history of six decades, the Arthritis Foundation has accomplished much to help people with arthritis. With these transformative objectives guiding us and working closely with key partners in the public and private sector, along with the continued support of people like you we are prepared to achieve more than ever before. Transforming Health Policy We are working to transform how arthritis is regarded by national and local health policymakers and inuencers. Arthritis must be as highly regarded as any other serious chronic ailment. We must produce better outcomes for anyone burdened by this disease. Transforming Research The Arthritis Foundation will drive a research agenda to achieve major benets for people with arthritis. Real needs of real people must be heard by researchers and research must transcend treatment of symptoms. A true cure involves innovative approaches to personalized medicine and an immediate recognition that arthritis is not a one-size-ts-all disease.

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

Arthritis Foundation

Annual Report 2010

From Leading Voice to Cause Leader

TRANSFORMATION

ARTHRITIS WALK NATIONAL YOUTH HONOREE ZACH JAMISON A Life Changed, Then Changed Again
Zach Jamison of Woodstock, Ga., knows something about transformation. At age 6, juvenile arthritis in the form of multiple epiphyseal dysplasia (MED) attacked his hips and gave him a painful, awkward gait. Zach could no longer enjoy the sports he had always loved. It was awful when my body wouldnt let me play anymore, he recalls. Scott Jamison elaborates: We choose activities As Zach entered adolescence, his problems were exacerbated by bullying. based on what Zach can do. We cant take vacations, because much of our travel (vacation time) is used for things like doctor appointments and surgery. He and his wife recall that Zach Finding a Voice Then, Zach experienced another transformation this time, a positive one. Because of his support of and involvement with his local Arthritis Foundation ofce, Zach was named the 2011 Arthritis Walk national youth honoree. And his parents, Darice and Scott Jamison, encouraged him to join their churchs youth group, where he was befriended by kids from other schools. Having real close friends, combined with being the Arthritis Foundation youth honoree, has made a difference, says Zach, now 13. Its given me back some condence. And I have opportunities to speak out, to contribute to something bigger than myself. Its broadened my horizons. Its given me more of a voice. That voice was heard, rst by local media, then by CBS News. Zach has spoken with top leaders and, through the Foundations Advocacy Summit, speaks out all over the country. When U.S. Senator Johnny Isakson heard his story, he invited Zach to meet with him and has followed up on Zachs progress. Today, Zach speaks with ease and condence. Arthritis is three things: Its life changing. Its life threatening. And its unacceptable. No one should have to deal with that, especially not kids. He continues: Imagine being in pain, and feeling unable to do anything about it. Should you have to deal with someone making fun of you, too? No. Fighting Misperceptions When asked what people should know about arthritis, Zach responds, As painful as arthritis is, its more than that. Many kids with juvenile arthritis get it in their eyes and it can blind them. It can affect peoples organs. It can kill people. Even so, Zachs ght is far from over. Arthritis ruins dreams and crushes hopes, he says. I always wanted to be a Marine and a police ofcer like my dad. Arthritis made me give up on that. If theres ever a way to bring those hopes and dreams back, I cant imagine anything that I would want more. Zachs school identied the bullies and worked to re-focus their behavior. We havent become close friends, Zach explains, but I dont feel like I need to hide when I see them. He feels better and is happier than he has been in a long time. Renewed Strength and Hope for the Future The surgery brought yet another transformation. Last year, I missed 57 days of school. This year, Ive missed seven and not all in a row, he proudly states. Zach has even been able to return to swimming. That was our vacation, Darice says. Then she
Photo supplied by the Cherokee Tribune

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

Zachs parents know how arthritis impacts whole families. When your child or your sibling hurts, you hurt, says Darice Jamison. But thats not the only way were affected.

Classmates made fun of him, telling others to stay away. Isolated and lonely, Zach became deeply depressed.

needed a procedure to relieve intense pressure on his joints. But unable to nd a local doctor with experience and willingness to perform the surgery Zach required, they traveled to a hospital in Baltimore, Md., for the procedure.

smiles, We dont regret it for a second.

Arthritis is three things: Its life changing. Its life threatening. And its unacceptable. No one should have to deal with that, especially not kids. | Zach Jamison

Arthritis Foundation

Annual Report 2010

From Leading Voice to Cause Leader

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The more we look

REDUCING ARTHRITIS-RELATED DISPARITY

New Study Reveals Ethnic Differences in Arthritis Impact Both Dr. White and Dr. Delgado insist that health care professionals serving minority communities must become better informed. Too often, Hispanic people come to a health care professional with pain, only to have it dismissed as being all in their heads, says Dr. Delgado. Worse, this negative experience reinforces their resistance to see a doctor in the rst place. Weve got to erase barriers to health care access to ward off the effects of arthritis, Dr. White asserts. Through partnerships with and outreach to organizations such as the NAHH, the Arthritis Foundation is seeking to erase those barriers. Recognize Diversity to Achieve the Best Outcomes for All Dr. Delgado cautions against interpreting information about disparity in a way that suggests cookie-cutter medicine. There is so much to be learned from our diverse communities, she says. Hispanic people experience more arthritis but less heart disease than non-Hispanic whites. Its not genetic, so what are some people doing that keeps their lives from being as healthy as possible? We can learn so much about behaviors that make life better for everyone. Dr. White also speaks of the importance of individual experiences, praising the Orthopedic Associations Joint Replacement Registry initiative, where peoples joint replacement experiences can be documented and followed. The more we look at patterns across ethnic, racial, work-related and other arthritis experiences, the more likely we are to recognize ways to address the issues, she afrms. This is all part of a broader effort to achieve the best outcomes for everyone.

at patterns across ethnic, racial, workrelated and other arthritis experiences, the more likely we are to recognize ways to address the issues. | Patience White, MD

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

In April 2010, the Centers for Disease Control and Prevention released a study on the prevalence and impact of arthritis among racial/ethnic groups. It revealed that arthritis causes more pain and limitations for African-Americans and Hispanics than for whites, despite lower prevalence among those groups. Additionally, African-Americans are 17 percent less likely than whites to report having arthritis and Hispanics are 46 percent less likely to report the condition. While the reason for these differences is unknown, insufcient access to health care, language barriers and cultural differences may all play a role in the problem. Dr. Jane Delgado of the National Alliance for Hispanic Health (NAHH) points out: Hispanics are more likely to be doing physical labor with repetitive motions. Thats a high risk factor. And because more than one-third of Hispanics in this country dont have health insurance, they usually dont see a health care provider until the pain is unbearable, at which point the disease has become severe. Alliances and Outreach are Essential The implications of these ndings are signicant. Arthritis is the leading cause of disability in the United States, with one-fth of the adult population having some form of the disease and that number is rising. If the trend continues, says Dr. Patience White, vice president of public health at the Arthritis Foundation, more than 45 percent of Americans with arthritis will be robbed of their ability to move freely by 2030. To reverse the trend, we must address the prevalence of arthritis in populations where it is often unrecognized and uncontrolled. With that in mind, the Arthritis Foundation has strengthened our relationship with the NAHH, ensuring that arthritis information is available in Spanish through a wide range of health care resources. Dr. Delgado has spoken about the disease on Univision (a leading Spanish language television network) and in a book in the organizations Buena Salud (Good Health) series, which focuses specically on arthritis. The Arthritis Foundations Spanish language website also focuses on specic needs of the Hispanic population (www.arthritis.org/espanol). Additionally, meetings between Foundation leaders and the U.S. Department of Health and Human Services Ofce of Minority Health have led to the inclusion of arthritis prevention and control in the departments published action plans.

Underserved populations get up and get moving, thanks to the Foundations efforts like this Vive tu Vida! event.

Arthritis Foundation

Annual Report 2010

From Leading Voice to Cause Leader

TRANSFORMATION

We see how the Arthritis Foundation changes the trajectory of this debilitating disease. Jingle Bell Run/Walk and the Arthritis Walk make sense for us.
An Unforgettable Sight and Sound
Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

JINGLE ALL the WAY To a CURE for ARTHRITIS

Success Carries Momentum Forward for the Future Parker sees the potential to take her team even further in 2011. Having made a commitment to health, especially as it relates to arthritis, she says, I know we can do more. Shes inspired by other companies, whose corporate and team spirit have made them top Jingle Bell Run/ Since the rst Jingle Bell Run/Walk in 1984, it has grown to include events all over the country, as well as outside the United States. In fact, when U.S. troops went overseas, some soldiers brought the Jingle Bell Run/Walk with them. In 2010, the nationwide event raised $6.2 million for Arthritis Foundation research and programs a 20 percent increase over previous years. A Great Event Transformed to be Better That increase is largely because of a change in the way Jingle Bell Run/ Walks are organized, promoted and embraced. In the past, many participants would run, get a T-shirt, then go home, says Lois Modell, Arthritis Foundation vice president of development. Transforming Jingle Bell Run/ Walk into a more team-centric event raises participation, and makes the event more meaningful and achieves better results, she explains. That transformation can be seen through the experiences of the Hap Yukon-Alaska/Princess Cruises team in Seattle, Wash. Trace Parker, ofce services mail clerk for the company, participated in her rst Jingle Bell Run/Walk with the companys eight-member team in 2007. She recalls that, despite a generous corporate contribution and individual fundraising, The event wasnt heavily pushed in the ofce. It was just something fun to do. Then, in 2009, Parker became captain of the Jingle Bell Run/Walk team, bringing new energy to the companys involvement. She inspired more people to join the team, and they organized events like bake sales, an ornament sale and even a model ship covered with jingle bells to promote the run and raise money. Equally important, an Arthritis Foundation youth honoree came to speak to employees. That was a real eye-opener, in terms of our awareness and commitment, Parker recalls. The team now includes more than 40 people who, along with the companys Princess Foundation, raised $3,500 in 2010 toward the overall Seattle event total of $625,000. Another Pennsylvania-based company, Endo Pharmaceuticals, also formed a top Jingle Bell Run/Walk team, with more than 70 participants and a contribution of $22,764 in 2010, much of which was raised through online tools. An electronic system made it easy for us to reach out to everyone we knew, says team co-captain Katie Meginnis, Endos corporate communications manager. Most of us know someone with arthritis or have it ourselves. Weve all been touched by it. Participating in events like Jingle Bell Run/Walk, we know were making a difference. Rothman Institute CEO Mike West notes, We see the impact of arthritis every day. Likewise, we see how the Arthritis Foundation enables information, programs, advocacy and research that can change the trajectory of this debilitating disease. Jingle Bell Run/Walk and the Arthritis Walk simply make sense for us. For instance, the Rothman Institute, the largest orthopedic practice in Pennsylvania, topped the Jingle Bell Run/Walk fundraising ladder with more than 180 team members and a contribution of $25,490, at least half of which came from grassroots fundraising. Walk contributors.

Letter

Imagine a sea of hundreds of people, decked in bright team costumes, many wearing Santa hats or antlers on their heads, all running or walking with jingle bells on their shoes. The sound is at once cheerful and unstoppable. Participants cant help but smile. Theyve raised money. Theyre having fun. Best of all, they and everyone around them know theyre literally taking steps to stop arthritis. Thats the Jingle Bell Run/Walk.

| Mike West CEO, Rothman Institute

For almost 30 years, the Foundations annual holiday

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Arthritis Foundation

Annual Report 2010

event has raised funds and visibility at increasing levels. From Leading Voice to Cause Leader

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11 1

THANK YOU to OUR 2010 DONORS

A Note of Gratitude to Our Donors

Mrs. Barbara J. Palm Fred & Mabel R. Parks Foundation Roche Diagnostics Corporation Jimmy Rollins Family Foundation SonicScrubbers LLC State of Oregon Tempur-Pedic International Inc. Tufts Health Plan Vons Foundation James & Virginia Wheeler Foundation Inc.

Flexcin International Inc. Foot Solutions Inc. Ford Motor Company Forest City Enterprises Sidney E. Frank Foundation Genentech/Biogen Idec GoDaddy.com Harvard Pilgrim Health Care HealthAmerica HealthSouth Hillcrest Foundation Hoag Memorial Hospital Presbyterian The Hougen Foundation Hoveround Corporation

Rothman Institute S. C. Johnson & Son Inc. Harry & Carol Saal Adolph & Ruth Schnurmacher Foundation Charles & Mildred Schnurmacher Foundation State of Missouri Team One Eastern The Alma M. & Harry R. Templeton Medical Research Foundation ThermaCare Arthritis Thomas J. & Karen W. Thomsen Revocable Trust Mr. & Mrs. David A. Trebour Troy Healthcare LLC UAW-GM University Hospitals Health System Mr. & Mrs. Peter Vican The Womens Auxiliary of the Arthritis Foundation

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

We are very pleased to recognize the individuals, corporations, foundations and organizations whose generous support enables the Arthritis Foundation to lead the ght against arthritis the leading cause of disability in the United States. As the nations primary arthritis organization, helping 50 million Americans take greater control of their arthritis, we are committed to being efcient, effective and responsible stewards of your contributions.

BREAKTHROUGH SOCIETY
$1, 000, 000 and ab o v e

CENTURY SOCIETY
$100,000 $299,999

JUBILEE SOCIETY
$50,000 $99,999

Winston Brands Inc. Xenacare Holdings Inc. Mr. Owen G. Zook

Bristol-Myers Squibb Company

Alpha Omicron Pi Foundation Arthro 7 Inc.

3M Company Bank of America Foundation Mr. & Mrs. Jeffrey S. Bass Biogen Idec Inc. Blue Cross Blue Shield of Arizona Mr. & Mrs. Herman Bolden Dr. Mark S. Box Edwin & Joyce Calvert Fund of Denver Foundation The Christ Hospital Commonwealth of Pennsylvania Delek Fund for Hope of The Community Foundation of Middle Tennessee Delta Air Lines Inc. Desert Healthcare District Endo Pharmaceuticals Inc. Saul & Theresa Esman Family Foundation Forest Laboratories Inc. Genzyme Health Net of Arizona Hoffman Auto Group Johnson & Johnson Consumer Products Company Joint Juice F. M. Kirby Foundation Inc. Mrs. Gus Levin MeadWestVaco Merial Limited Michigan Department of Community Health Midwest Orthopaedics at Rush LLC Minnesota Department of Health Pactiv Corporation

DISCOVERY SOCIETY
$500, 000 $99 9 , 9 9 9

AstraZeneca Pharmaceuticals LP Biomet Inc. Covidien Company DJO Global Joseph Drown Foundation Duracell, A Division of Procter & Gamble Company Flexon Industries Hagedorn Fund

ENRICHMENT SOCIETY
$25,000 $49,999

Hummingbird Foundation Inc. Immunex Rhode Island Corp. INTEGRIS Health Michael J. Kosloski Foundation Kraft Food Global Inc. Leon Levine Foundation Dr. Robert Majumder MasterBrand Cabinets Inc. Ms. Sharon T. McCarthy McCormick & Company Inc. The Memorial Foundation Inc. Milgard Manufacturing Inc. National Bank of Arizona New Mexico Department of Health Mary & Ted Nixon Northside Hospital Norton Healthcare NuStep Inc. Pawlowski Family Foundation The Peierls Foundation Inc. Pennsylvania Department of Health Pharmaceutical Research & Manufacturers of America Pilot Corporation of America Mr. & Mrs. W. Davis Pilot Jr. Patricia L. Pratt Prudential Financial, Inc. The Leslie C. Quick & Regina A. Quick Charitable Trust Foundation

Abbott Laboratories Amgen USA Inc. Independent Order of Odd Fellows & Rebekahs McNeil Consumer Healthcare Pzer Inc.

Adams Foundation Albers Consulting LLC Apothecary Products Inc. BB&T Blue Cross Blue Shield of Georgia Bosselman Companies Mary Allen Lindsey Branan Foundation Braun, A Division of Procter & Gamble Company Brown Medical Industries Bruder Healthcare Company Llewellyn Burchell Charitable Trust Chesapeake Energy Corporation Chickasaw Nation Cincinnati Concours DElegance Foundation Clarity, A Division of Plantronics Inc. Cleveland Clinic Coca-Cola Enterprises Inc. The Colorado Health Foundation Convacare Management Inc. Dana Holding Corporation Dexter-Russell Inc. Direct Digital LLC Mr. Thomas P. Dupree Enzyme Labs Terry Fator & Taylor Makakoa Fiskars Brands Inc.

INVESTMENT SOCIETY
$10,000 $24,999

Aetna Foundation Inc. Akron General All Waste Charitable Foundation Ms. Denise Allessio Allianz Life Insurance Company of North America AMDC Physicians American Direct Marketing The A. W. Anderson Foundation Argonne National Laboratory AthletiCo Ltd. Aviva Charitable Foundation Mr. & Mrs. James Barksdale Mr. & Mrs. Steve Benson Mr. & Mrs. James H. Berick Black Equities Group Ltd. Blue Cross Blue Shield of Massachusetts Bone & Joint Hospital Emilie Borda Charitable Fund BP Cherry Point Renery The Braddock Foundation Brahman Capital Corporation I. J. & Hilda M. Breeden Foundation

ADVANCEMENT SOCIETY
$300, 000 $49 9 , 9 9 9

Hisamitu America Inc. Mr. Chester H. Johnson Novartis Pharmaceuticals Corporation Purdue University Rexam Plastic Packaging Inc. Schering Corporation Schiff Nutrition Group Inc. State of Tennessee Department of Health Stryker Orthopaedics Takeda Pharmaceuticals North America Inc. The Nancy Taylor Foundation for Chronic Diseases Tenet California Tina C. Foundation Inc. TOPS Products US Nutrition Inc Walmart Foundation Jane Wyman Trust Zimmer

Bayer HealthCare LLC Centocor Ortho Biotech Services LLC Genentech Pharmavite LLC UCB Inc. Wyeth Pharmaceuticals

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Arthritis Foundation

Annual Report 2010

From Leading Voice to Cause Leader

TRANSFORMATION

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Progress on Flagship Research Initiatives

In 2010, the Arthritis Foundation made significant progress on several key research initiatives. We supported research grants for 149 scientists and doctors nationwide. We also continued exploring the idea that individual experiences with arthritis are not all the same and that different people respond best to personalized treatment plans. We partnered with the Foundation for the National Institutes of Health (FNIH) to pursue the development of biomarkers for osteoarthritis. Biomarkers are measurable characteristics that can indicate biological responses to a disease and its interventions. For instance, high cholesterol is a biomarker for heart disease. Though still in the early stages, results so far in biomarker research show great potential for streamlining treatment and developing arthritis cures. We also supported new registries through which biological and treatment information can be analyzed and correlated for development of personalized medicine. The Arthritis Internet Registry (AIR) was launched by the Arthritis Foundation in July 2010 in collaboration with Dr. Kaleb Michaud at the National Data Bank for Arthritis in Omaha, Neb., and Dr. Robert Plenge at Harvard Medical School AIR seeks to collect and correlate clinical and genetic information about individual responses to arthritis treatments. AIR can be accessed on our own website. It simplifies collection of patient information and enables correlations to be made with outcomes of treatments. As of May 2011, over 800 people have participated, and that number is growing. These initiatives have shown very promising early successes, says Dr. John Hardin, Arthritis Foundation vice president of research. The same way that tooth decay was much more common before we discovered the preventative benefits of fluoride, we believe we can identify risk factors, refine and personalize the use of drugs and other therapies, and effectively cure arthritis. For more information about these and other initiatives, download our latest research report at http://www.arthritis.org/research.php.

2010 DONORS
INVESTMENT (contd)
Brescome Barton Inc. Arden & Patricia Brower Trust Dr. William J. & Mrs. Sandra Bryan Michael Burns Memorial Fund The California Rheumatology Alliance Campbell Clinic Capitol Federal Foundation Cardinal Health The Carrell Clinic Ms. Frances Castle Celgene Corporation Change a Life Foundation Chicago Running & Special Events Management Inc. Citizens for Tom Gulotta CMGRP Inc. CNO Financial Colliers Meredith & Grew The Community Foundation of Louisville Corporate Depository Inc. The Community Foundation of Middle Tennessee Cooper-Standard Automotive Inc. Country Fair White Elephant Inc. Leslie J. Crofford, MD Crosslink Orthopaedics LLC Crystal Clinic Orthopaedic Center Inc. Mr. Frank Darras Dell Kevin & Amanda DeMeritt Des Moines Orthopaedic Surgeons PC Desert Regional Medical Center Doctors Hospital of Manteca Doctors Medical Center of Modesto Dominion Resources Inc. The Sandy Donaty Yellow Rose Dyer Family Foundation Dynasplint Systems Inc. East Lake Woodlands Country Club Eastern Packaging Inc. Marriner S Eccles Foundation Elliott Family Foundation EMH Regional Healthcare System Energen Corporation Florence C. & Harry L. English Memorial Fund Enon Tabernacle Baptist Church The Enrichment Foundation Mr. & Mrs. James H. Everest Federal Home Loan Bank Mr. & Mrs. David Federman Ms. Marcia Feldman Fialkoff Family Marilyn Flint FMF Givingstation Fountain Valley Regional Hospital & Medical Center Tully & Elise Friedman J. B. Fuqua Foundation Inc. John & Paula Gambs GCI - Environmental & Engineering Consultants Gila River Gaming Enterprises Inc. Price Gilbert Jr. Charitable Fund Ms. Terry L. Gilmore The Gingrich Foundation Mr. & Mrs. John D. Goldman William & Serra Falk Goldman Goldstein & Associates Mr. & Mrs. John Gottschalk The Greater Kansas City Community Foundation Mr. & Mrs. Mark Grier Rod & Patricia Handeland Mrs. Dorothy Harris Hartford Foundation Ms. Jill Hartman HealthPlus of Michigan Bruce & Helen Heiden Donald & Lois Heirman Memorial Unitrust Horizon Pharma USA Inc. Hospital for Special Surgery Hughston Clinic Huntington National Bank Ms. Arlene Inch Mr. Matthew C. Iseman J & J Ortho Biotech Inc. Jennings Strouss & Salmon PLC J.H. Cohn LLP Johnson & Wales University The K. H. Jordan Foundation Soto Kafetzopoulos Josh & Melanie Kaplan Frank & Alice Keating Key Foundation KeyBank Ms. Carol Kling Dr. & Mrs. John H. Klippel Mrs. Florence M. Lanz LAZ Parking Lear Corporation The Lerner Foundation LewisGale Medical Center Liberty Mutual Lifelock Inc. Mr. Kip Lilly & Mrs. Jeannine Bayard Links for Life Foundation - California Local 40, Iron Workers Mr. & Mrs. Frank Longobardi Longwood Orthopedic Associates Los Alamitos Medical Center Loves Travel Stops & Country Stores Inc. Manuel A. & Joanie Loya Mandell Family Foundation Mr. Harold S. Marsh Mr. Peter R. Martin Chuck Massey Mr. Daniel T. McGowan Mrs. Annie McTavish & Mr. Bruce McTavish Medical Mutual of Ohio Mellam Family Foundation Methodist Hospital The Robert Meyer Foundation Gordon H. & Karen M. Millner Family Foundation The Sidney Milton & Leon Simon Foundation Milwaukee Insurance Foundation Inc. The Mirage Las Vegas Moore Family Foundation Gordon & Betty Moore Foundation Mr. & Mrs. James Moore Mount Auburn Hospital Mr. Smiths of Georgetown Mrs. Pamela Mudd & Mr. Dennis Mudd Mr. Daniel L. Murphy Laurie & Peter Mychaels New England Baptist Hospital New York Commercial Bank New York Community Bank Foundation North Central Surgical Center LLP North Shore-LIJ Health System Northrop Grumman Company Ochsner Medical Center Mr. & Mrs. Peter ODonnell Jr. OG&E Energy Corporation Mr. Dennis R. Olden Omaha Community Foundation ONeill & Associates Oreck Corporation OrthoIndy Orthopaedic & Spine Center The Orthopedic Clinic Association PC Orthopedic Foundation-Rothman Institute Jane D. Owen Mrs. Sarah J. Papageorge & Mr. Charles P. Papageorge Parkview Health Partners HealthCare Ms. E Grace G. Pilot Placentia-Linda Hospital PNC Posner Foundation of Pittsburgh The Price Family Charitable Fund Prime Buchholz Providence Holy Cross Medical Center Purdue University Student Organization Quality Building Maintenance Reconstructive Orthopaedic Associates II PC & Rothman Institute Red Diamond Inc. Resurgens Charitable Foundation Rheumatology & Dermatology Associates PC Mr. & Mrs. James H. Ring William G. Rohrer Charitable Foundation Michael Alan Rosen Foundation RPM International Inc. Mr. & Mrs. Paul Rubschlager The Sani Family Foundation

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

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2010 DONORS
INVESTMENT (contd)
Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report Santa Barbara Foundation Savings Bank Life Insurance Savitsky, Satin & Bacon Steve Savitsky Robert E. Schneider Foundation Frances Seebe Trust Bob & Tami Shepherd Sierra Vista Hospital San Luis Obispo The Slomo & Cindy Silvian Foundation Inc. Simon & Schuster Skechers Mr. Thomas Slocum Small Business Service Bureau Inc. Smith & Nephew Inc. Dorothy D. Smith Charitable Foundation Ms. Laurel Johnson Smith Mr. & Mrs. Richard Snyder Southview Medical Center The Spaulding Foundation Spudman Charity Open SSM Health Care of Oklahoma St. Vincent Health State of Delaware Mr. John C. Stevens & Mrs. Toni J. Spencer Stevens Stifel Nicolaus Stormont Vail Inc. William & Jennie Svigel Swarovski North America Ltd. Swedish Orthopedic Institute Swenson Granite Company LLC Target Mr. & Mrs. Edward L. Taylor Ms. Suzanne J. Taylor Team Sage Productions Thomas Jefferson University Time Warner Cable Mobile Internet Transel Elevator Inc. UAB Health System UDOLF UMass Memorial Medical CenterMr. & Mrs. Ryan Underwood Selma Andrews Patricia Ash Edward Bellett Richard Binder Walter Brooks Mary D. Clapham Martha F. Cromley Anna Stoekl Doub Hulda Duggan Muriel Elliott Barbara June Erickson Olga Farmer
Arthritis Foundation advocates raise their hands to make arthritis a national public health priority. $100,000 $999,999

United Healthcare Services Inc. University of Minnesota Amplatz Childrens Hospital UPMC The Wachovia/Wells Fargo Foundation Mr. Everett J. Wahls Walbridge Walgreens The Shaw and Betty Walker Foundation Del E. Webb Foundation Webster Bank Wellington Orthopedics & Sports Medicine Wells Fargo Bank NA The Winston-Salem Foundation Wood-Claeyssens Foundation Wright Medical Technology Inc. Mr. Ed Wyatt & Dr. Janet Wyatt Mr. Bruce Yarde Yavapai-Prescott Indian Tribe Paul & Elinore G. Ziegelmaier Endowment Fund of the Sacramento Region Community Foundation

Jaques Gerard Robert & Alice Gerlach Katherine Gilman Arlene V. Harrison Ruth P. Heleld Jane Louise Hemphill Lucille Holloway Charles Horne Elizabeth N. Johnson Charlotte Jones-Kopence Mildred Kaminsky Ray Kathren Jean E. Keib Letha Klumpp Ruth Kuehl Alice Lytle Sharon Magruder Minnie Dunk Meier Mary Moffatt Gloria Nerenberg Theodore Patterson Dorothy Peterson

EASE-OF-USE SPONSORS
3M Company Abbott Laboratories Amgen USA Inc. Apothecary Products Inc. Bayer HealthCare LLC Braun, A Division of Procter & Gamble Company Brown Medical Industries Bruder Healthcare Company Centocor Ortho Biotech Services LLC Clarity, A Division of Plantronics Inc. Dexter-Russell Inc. DJO Global Duracell, A Division of Procter & Gamble Company Fiskars Brands Inc. Flexon Industries Hoveround Corporation Johnson & Johnson Consumer Products Company MeadWestVaco Milgard Manufacturing Inc. NuStep Inc. Oreck Corporation Pactiv Corporation Pzer Inc. Pilot Corporation of America Rexam Plastic Packaging Inc. Roche Diagnostics Corporation Schering Corporation SonicScrubbers LLC Tempur-Pedic International Inc. ThermaCare Arthritis UCB Inc. Wyeth Pharmaceuticals

Advocating for Change

Whether working for increased funding for arthritis research or mobilizing members of Congress to make arthritis a national priority, Arthritis Foundation advocates provide a voice for people with arthritis and help shape public policy around the disease. The Arthritis Foundation has played an instrumental role in shaping the funding for arthritis research by advocating for the American Reinvestment and Recovery Act (ARRA), which augmented the amount of money the National Institutes of Health (NIH) could invest in research in general by an additional $10 billion. This meant an additional $6 million was directed toward arthritisspecific research in 2009, and another $35 million in 2010. The Arthritis Foundation also advocates for the congressionally directed research program at the Department of Defense (DOD). Because of the high incidence of osteoarthritis among military veterans, the DOD has allocated approximately $3.5 million for osteoarthritis research. In 2010, the Foundation formed the Bicameral Congressional Arthritis Caucus to educate members of Congress about the impact of arthritis on our nation. Sponsored by U.S. Reps. Anna Eshoo, D-Calif., and Sue Myrick, R-N.C., the Caucus is helping lawmakers work together to address arthritis. Policymakers and Congress need to wake up and see that the unacceptable pain, cost and disability of arthritis are a true public health crisis, insists Amy Melnick, vice president for public policy at the Arthritis Foundation.

2010 BEQUESTS
$ 1 m i l l io n a nd a b o ve

Iren Peterson Ida Quina Florence Schedler Jennie Schneider Wells K. Schuppner Dorothy Settlage Donna Mae Spooner Frances Thornton Thieriot Margaret Thompson Lucille Traeger Jane Vorreuter Dorothy Waddle Ray Whitaker Jean M. Wiese

Edward H. Baher Mary Mears Muriel Roche John A. Wootton

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LEADERSHIP
BOARD OFFICERS & EXECUTIVE COMMITTEE DIRECTORS EMERITUS
Charles L. Christian, MD | Amelia Island, Fla. David C. Clapp | Tequesta, Fla. Kathleen M. Ferrell, PT, MLA | St. Louis, Mo. Armin U. Kuder, Esq. | Washington, D.C. Jerry G. Langley | Notre Dame, Ind. Debra R. Lappin, JD | Denver, Colo. Richard L. Lautzenheiser, MD | Indianapolis, Ind.

LETTER from the TREASURER and CFO

Donors continued to contribute generously to the Arthritis Foundation in 2010. We raised over $96 million from donors and other sources, and income and market gains on our investments added another $15.6 million to overall revenue, for total income of $111,597,303. In 2010, the Arthritis Foundation grew our net assets by $6.3 million, aided by market growth in our investments, which are mostly donorrestricted funds held for use according to donors intentions, including $36 million in permanently-restricted endowments. In the eld of nonprot health care advocacy and support, best practice is to direct at least 75 percent of all funds raised toward program services. Once again, the Arthritis Foundation has exceeded this standard, with 76 percent of our expenses spent on improving lives through our mission activities. These activities include research, public health education, public policy, and patient and community service efforts. The accounts and nancial statements of the Arthritis Foundation are NATIONAL LEADERSHIP
John H. Klippel, MD, President & CEO | Atlanta, Ga. Roberta K. Byrum, CPA, Chief Operating Ofcer | Atlanta, Ga. Christopher Corrigan, Chief Financial Ofcer | Atlanta, Ga. Debra Neuman, Chief External Relations Ofcer | Atlanta, Ga.

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy

David E. Shuey, Chair | West Chester, Pa. Daniel T. McGowan, Vice Chair | Centerport, N.Y. Frank Kelly Jr., Vice Chair & Secretary | Duluth, Ga. Kenneth G. Baltes, PhD, Treasurer | White Bear Lake, Minn. Patricia Novak Nelson, CLU, ChFC, FLMI | Basking Ridge, N.J. Cecile Perich, Immediate Past Chair | Sparks, Md.

BOARD OF DIRECTORS
Bruce Ashcroft | Salt Lake City, Utah Peter W.C. Barnhart | Worthington, Ohio Jeff Bass | Newbury Park, Calif. Ellen Bradbury | Franklin, Tenn. Robert A. Campbell, CPA | Dallas, Texas Rowland W. Chang, MD, MPH | Chicago, Ill. Allen J. Cizner | Chicago, Ill. Catherine T. Dunlay | Columbus, Ohio Helen M. Emery, MD | Seattle, Wash. John A. Geishecker Jr. | Burlington, Mass. John A. Gilpin | Baltimore, Md. E. Robert Harris, MD, FACR | Whittier, Calif. Lisa B. Hogan, Esq. | Miami, Fla. Margaret Oldham Jackson | Dallas, Texas Stuart S. Kassan, MD, FACP, FACR | Lakewood, Colo. Leadership George Liberatore | Milwaukee, Wis. Kip Lilly, MAUS, IOM | St. Paul, Minn. Frank P. Longobardi, CPA | Glastonbury, Conn. Kathy Lubbers | Key Biscayne, Fla. Kevin Mandrell, CLU, RHU | Carmel, Ind. Peter R. Martin, Esq. | Saratoga Springs, N.Y. Pamela Massey, PT, MS | Montgomery, Texas Bernard M. Murphy | Encinitas, Calif. Dennis R. Olden, CFP, CSA | Tampa, Fla. Warren C. Rizzo, MD, FACR | Scottsdale, Ariz. Kevin C. Short | Tulsa, Okla. Janalee Taylor, MSN, RN, CNP | Cincinnati, Ohio W. Hayes Wilson, MD | Atlanta, Ga. Janet S. Wyatt, PhD, CRNP, FAANP | Round Hill, Va.

Glenn T. Marrichi | Lake Bluff, Ill. Pattye L. Moore, APR | Edmond, Okla. William J. Mulvihill | Cincinnati, Ohio Eugene Overfelt, CPA | Salt Lake City, Utah Laura Robbins, DSW | New York, N.Y. Stanford K. Rubin, Esq. | Los Angeles, Calif. William W. Sattereld | Little Rock, Ark. L. Brunson White | Birmingham, Ala.

Christopher Corrigan Chief Financial Ofcer Arthritis Foundation

maintained in accordance with generally accepted accounting principles for nonprot organizations as established by the American Institute of Certied Public Accountants. For a complete copy of our annual nancial audit report, conducted by BKR Metcalf Davis LLP, and our nonprot tax return (IRS form 990), contact the Finance Department at the Arthritis Foundations National Ofce at 1330 West Peachtree Street, Suite 100, Atlanta, GA 30309, or visit www.arthritis.org/nancials.

Kenneth G. Baltes, PhD Treasurer Arthritis Foundation

FIELD LEADERSHIP
Suzanne Bliss, Northeast Region CEO | New York, N.Y. Stephen Evangelista, New England Region CEO | Rocky Hill, Conn. Tom Fite, CAE, CFRE, Heartland Region CEO | Chicago, Ill. Karen Larson, Upper Midwest Region CEO | St. Paul, Minn. Manuel Loya, Pacic Region CEO | Los Angeles, Calif. Barbara Newhouse, Mid Atlantic Region CEO | Bethesda, Md. David Popen, Southeast Region CEO | Nashville, Tenn. Christopher Smith, Great Lakes Region CEO | Pittsburgh, Pa. Karen Stern, South Central Region CEO | Dallas, Texas Scott Weaver, Great West Region CEO | Seattle, Wash.

Financial Report

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FINANCIAL REPORT
PUBLIC SUPPORT AND REVENUE

STATEMENT OF FINANCIAL POSITION

ASSETS $35,774,458 $19,620,878 $22,508,953 $15,591,376 $18,101,638 30.2% 19.2% 19.0% 16.3% 15.3% Cash and Cash Equivalents $28,967,815 $98,024,882 $5,054,289 $19,489,678 $2,752,158 $610,750 $31,603,637 $12,144,383

Letter Cause Leader Changed Lives Disparities Jingle Bell Run Donors Research Advocacy Leadership Financial Report

Contributions Government Grants & Other Income Bequests Investment & Other Non-operating Income Special Events (net)

16.3% 30.2% 19.2% 15.3% 19.0%

Investments Accounts and Notes Receivable (net) Contributions Receivable (net) Prepaid Expenses and Other Assets Inventory Beneficial Interests in Perpetual Trusts Property and Equipment (net)

Total Income

$111,597,303

100.0%

Total Assets

$198,647,592

LIABILITIES Accounts Payable EXPENSES Public Health Education Patient & Community Services Fundraising Management & General Research Professional Education & Training $41,613,979 $23,833,926 $13,229,432 $11,606,418 $10,737,435 $4,266,873 39.5% Accrued Expenses and Other Liabilities $3,254,850 $6,912,044 $4,620,636 $10,140,360 $5,274,441

11.0%
22.7% 12.6% 11.0% 10.2% 4.0%

10.2%

Research Awards and Grants Payable Liabilities Under Split Interest Agreements

12.6% 39.5% 22.7%

Debt Obligations

Total Liabilities

$30,202,331

NET ASSETS Unrestricted $46,833,684 $52,537,095 $69,074,482

Total Expenses

$105,288,063

100.0%
4.0%

Temporarily Restricted Permanently Restricted

Total Net Assets

$168,445,261

Note : Complete aud i ted fi nanc ial s t at ement s a re a va i l a b l e o n l i ne a t www. a r t h r i t i s. o rg /f i na nc ia l s.

Note : C om ple te a udite d f ina ncia l s ta te me nts a re a va ila ble online a t w w w.a r thritis.org/ financ ial s.

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Arthritis Foundation National Ofce 1330 West Peachtree Street, Suite 100 Atlanta, GA 30309
Information is available 24 hours a day, seven days a week at 1-800-283-7800 or www.arthritis.org

The Arthritis Foundation is proud to meet the National Health Councils highest standards of efciency, accountability and public stewardship.

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The mission of the Arthritis Foundation is to improve lives through leadership in the prevention, control and cure of arthritis and related diseases.
www.arthritis.org | 1-800-283-7800