Broad School donors use endowment dollars to strengthen college for the long term

Endowments are a particularly meaningful way for donors to have a tangible impact on the Broad School, as they offer a dependable, perpetual source of funding. Endowments may be established to support such endeavors as endowed chairs and professorships, graduate fellowships, student scholarships, study abroad initiatives, program and equipment needs and excellence funds.

An endowed gift is immediately invested and a portion of the income earned is spent annually while the remainder adds to the principal growth. Faculty members — the single most critical factor in the excellence of a college — are attracted to schools that offer endowments, Broad School donorsuse endowment dollars to strengthen college for the long term because they provide continuous support over the course of their careers. These resources support quality teaching and research. This is especially important as state support for higher education continues to decline.

Endowed funds given to the Broad School are deposited into the university's Common Investment Fund (CIF), with the goal of generating sufficient returns that can be used for annual spending while still increasing the total value of the fund - the original gift from the donor is never spent.

There are also personal benefits gained from giving endowed funds. Donors have their names connected with prestige and advancement while becoming a visible presence on campus. They have the knowledge that their gift will benefit the college forever.

In order to ensure the college's sustainability for future generations, it's necessary to build an endowment that's much greater than the current level to achieve continuous success in an increasingly competitive environment. Through the gift of endowment, donors can be proud of the role they play in helping the Broad School maintain its stature as one of the best business schools in the world.

Executive MBA grad pledges $1.5 million

Jack Rutherford's respect for Broad School Dean Emeritus James B. Henry (left, with his wife Elizabeth) inspired the Rutherfords (right) to designate part of their pledge to the Henry Center.

Former Chairman and CEO of Clarion Technologies and ICM Industries Jack Rutherford (MBA '78) and his wife, Marilyn, recently pledged gifts totaling $1.5 million to Michigan State University. The gifts included $100,000 for the James B. Henry Center for Executive Development and $875,000 to establish the Jack D. and Marilyn Rutherford Endowment in Business to fund a scholarship for undergraduate and graduate students.

In addition, the Rutherfords pledged $350,000 to establish the Jack D. and Marilyn Rutherford Endowed Fellowship in Engineering and $175,000 to augment the already-established Michael J. Rutherford Memorial Scholarship in Criminal Justice. The scholarship in criminal justice is in memory of their son, Michael.

The Rutherfords are both loyal MSU alumni: Jack received a Distinguished Alumni Award in 1997, and Marilyn received an Honorary Alumni Award in 2001, both from the MSU Alumni Association. Jack is a member of the MSU Foundation Board and the President's Campaign Cabinet for The Campaign for MSU.

Addys establish two new endowments totaling $10 million

The Broad School and the Department of Economics will share a new endowment from long-time Michigan State University supporters Frederick and Marilyn Addy. The Frederick S. & Marilyn Marshall Addy Endowment Fund will be used alternately by the Broad School and the College of Social Sciences (where the Economics department now resides) to create new faculty and scholarship endowments.

The Addys hope is to provide lasting support for faculty initiatives within the Broad School and the Department of Economics, while giving the deans of the two colleges discretion to use the funds to build new scholarship endowments if that becomes a greater need.

Robert B. Duncan, the Eli and Edythe L. Broad Dean says, "As a result of their previous gifts — two Frederick S. Addy Distinguished Faculty Chairs, one in the Broad School's Finance Department — we have seen our finance program grow into one of the most in demand among both students and employers seeking such talent. This outstanding new gift from Fred and Marilyn Addy will enable us, in perpetuity, to support faculty who distinguish themselves in both their teaching and their research, and to build on the tremendous program strength they have already helped us establish."

Fred received his undergraduate degree in Marketing from the Eli Broad College of Business in 1953, his master's in Marketing in 1957 and an honorary doctorate from Michigan State in 1999. Marilyn earned a bachelor's degree from the College of Arts and Letters in 1953 with a major in music.

Before his retirement in 1994, Fred had a distinguished career with BP Amoco Corporation, ultimately serving as executive vice president, chief financial officer and director of Amoco Corporation. Marilyn taught music for several years, and left her professional musical career to raise the couple's three children.

The Addys were honored with the MSU Philanthropist Award from the MSU Alumni Association, and Fred is a past recipient of the Broad School Outstanding Alumni Award and the MSU Distinguished Alumni Award.

New alumni show their school pride

While many high schools and colleges have had class gift programs throughout their history, the idea of new graduates pledging funds as a class is a fairly recent practice for MBA alumni of the Broad School. However, it's a practice that seems to be gaining momentum: The Weekend MBA Class of 2005, graduating in December of this year, will be building on the progress made by the 2005 Full-Time MBA and Executive MBA classes.

Members of the Broad School's 2005 Full-Time MBA program pledged nearly $83,000 as their class gift, half of which will be added to the Full-Time MBA Endowment Fund established two years ago, and half of which will go to help renovate the MBA lounge. This year's campaign had a 70 percent participation rate.

The Executive MBA Class of 2005 pledged nearly $116,000, with 80 percent of the students participating. The gift will support the EMBA Educational Lecture Series, a fund established last year.

New Endowments

The Frederick S. and Marilyn Marshall Addy Endowment Fund
Provides support toward endowed chair(s) in the Broad School.

The Douglas E. Bergman Endowment for Faculty and Program Enhancement in Business
Supports the recruitment, retention, development and programmatic needs of faculty in the Broad School.

The Daniel R. and Barbara C. Coulson Faculty Fellowship Endowment
Supports faculty fellowships.

HFTP Endowed Finance and Technology Scholarship Endowment Agreement
Provides scholarships to students enrolled in The School of Hospitality Business.

The James F. Rainey Endowed Fund in Hospitality Business
Supports academic student services, scholarships and student activities in The School of Hospitality Business.

The Richard L. Ritchie Endowment for the Department of Accounting and Information Systems
Provides support for the Department of Accounting and Information Systems at the discretion of its chair.

The School of Hospitality Business Alumni Association and the Student Hospitality Association - Hospitality Business Faculty and Staff Award Endowment
The fund was created by students and alumni to support an annual Hospitality Faculty and Staff Award.

The Shull Family Faculty Excellence Fund
Supports the recruitment, retention, development and programmatic needs of faculty in the Broad School.

The Kenneth and Elizabeth Sommer Faculty Excellence Fund
Supports the hiring, training and retention of faculty in the Broad School.

Weekend MBA Scholarship Endowment
Initially funded through the 2003 Weekend MBA Class with the hope that future classes will provide continued support; provides scholarships to students who are enrolled in the Weekend MBA Program that do not receive educational tuition reimbursement (benefits) or do not receive full tuition sponsorship from their current employer.

The Dr. Eileen M. Wilson Endowed Fund for Undergraduate Academic Services
Supports programmatic needs of Undergraduate Student Academic Services.

The David and Holli Winclechter Faculty Excellence Fund
Supports the hiring, training and retention of faculty in the Broad School.

Broad School Honor Roll recognizes supporters

The Broad School is indebted to many individuals, corporations, foundations and associations for their commitment to and investment in the school. The latest list of donors is available at the Broad School Web site at www.bus.msu.edu/development/donors.html.