2003-04 ANNUAL REPORT

CREATING AND DISSEMINATING LEADING-EDGE KNOWLEDGE.

VENTURE PHILANTHROPIST ELI BROAD COMMITTED TO BUSINESS
EDUCATION AT MSU

The son of Lithuanian immigrants who settled in Detroit, Eli Broad now lives in Los Angeles and is a major presence in the global financial market. He is chairman of AIG SunAmerica Inc., a leading financial services company specializing in retirement savings and investment products and services. Broad also serves on the board of SunAmerica’s parent company, American International Group, Inc. (AIG), world leaders in insurance and financial services, operating in 130 countries worldwide.

Broad graduated with honors from Michigan State University (MSU) in 1954 with a degree in accounting. He went on to found not one, but two multi-billion dollar S&P 500 companies (SunAmerica, and home building giant, KB Homes, formerly Kaufman and Broad Home Corporation).

On June 25, 1991, Eli Broad made the largest gift commitment ever made to a public business school. His $20 million commitment to the Eli Broad College of Business and the Eli Broad Graduate School of Management, both renamed in his honor, was designed to help Michigan State University’s new MBA program emerge as one of the nation’s top graduate management programs. The original endowment funds MBA program operations, four endowed professorships and the Broad Scholars program. An additional contribution of nearly $2 million in 1998 was used to expand the MBA program’s emphasis on information technology, funding an endowed professorship and remodeling two classrooms to serve as dedicated information systems labs.

Broad said the Midwest land grant university was the ideal candidate to help America regain its industrial competitiveness through offering an enlightened curriculum and making quality education accessible to exceptional future business leaders from diverse cultural and economic backgrounds.

“By focusing Michigan State University’s MBA program on new management realities, and not simply on theory, by addressing real life problems of industry, and by attracting prestigious faculty and top students throughout the world, we will become more international in our thoughts and insights, and more competitive worldwide,” predicted Broad.

Throughout the years, Broad has continued to add to his original gift. His recent gifts to support student scholarships in the MBA program brought his giving commitment to The Campaign for MSU to $16.6 million. The Campaign for MSU will continue through 2007, in an effort to raise $1.2 billion.

Avid supporters of the arts and tireless advocates for education, Broad and his wife, Edythe, have committed time and resources to a variety of community initiatives, arts organizations and educational institutions. They established The Broad Art Foundation in 1984, with an active “lending library” of its extensive collection to museums and galleries worldwide. In 1999, the Broads founded The Broad Foundation, whose mission is to dramatically improve K-12 student achievement by investing in new ideas and innovative leadership in governance, management and labor relations in the nation’s largest urban school systems. The Broads also provided the founding gift for the Eli and Edythe L. Broad Institute, a new type of biomedical research institute aimed at realizing the promise of the human genome to revolutionize clinical medicine and to make knowledge widely available to scientists around the world.