Report from the Society Committee on Budget and Finance New Orleans, LA March 2018

2017 Financial Highlights* Net from Operations – $28.6M $4.8M higher than 2016 Actual Total Revenues – $553.1M $26.4M (5.0%) higher than 2016 Actual Total Expenses – $524.5M $21.6M (4.3%) higher than 2016 Actual Unrestricted Net Assets – $284.4M $77.9M (37.7%) increase from Dec. 31, 2016 *Note: Excludes ACS Petroleum Research Fund and the Member Insurance Program American Chemical Society

Net from Operations 2017 Actuals ($ in Millions) Information Services Investments Net Dues Revenue All Other Scientific Advancement Governance Web Strategy & Operations External Affairs & Communication Education Membership & Society Services Net From Operations Notes: All Other includes Unallocated Indirect Costs, Development, Grants and Awards, Governance, HDS, and ACS International Ltd. Net from Operations excludes the ACS Petroleum Research Fund and the Member Insurance Program. American Chemical Society

Unrestricted Net Assets 2013 – 2017 Actuals ($ in Millions) Net from Ops. $ 28.6M Investment Gains 37.7M PRBP Acct. Credit 11.6M Total Increase $ 77.9M Note: PRBP stands for post-retirement benefit plans. Excludes the Member Insurance Program and the ACS Petroleum Research Fund. American Chemical Society

Governing Board for Publishing 2/15/2019 Financial Guidelines Guideline Target 2017 Actuals 0.66x Current Ratio 0.65x target 0% Debt Ratio 50% maximum N/A $4.0M 3-year rolling average of free cash flow > 0 Free Cash Flow 5.2% 2.5% - 5.0% ROR target Sustainability 54% This last slide summarizes how ACS ended 2017 relative to the five financial guidelines approved by the ACS Board. As you can see, we ended in full compliance – including the Fund Balance Ratio at the bottom. This is the first time in a decade (since 2008) we’ve achieved full compliance. [CLICK] Fund Balance Ratio 50% minimum

At www.acs.org Step #1 American Chemical Society

At www.acs.org Step #2 American Chemical Society

2019 Fully Escalated Dues Calculation 2018 Dues Rate x CPI $171.00 x 1.0259 = $175.43 $175.00 American Chemical Society

Comparison of ACS with Other Scientific Societies - 2018 American Chemical Society

2019 Fully Escalated Dues Calculation 2018 Dues Rate x CPI $171.00 x 1.0259 = $175.43 $175.00 The Society Committee on Budget and Finance recommends to Council that the 2019 dues be set at the fully escalated rate of $175. American Chemical Society

Report from the Society Committee on Budget and Finance (CLICK) New Orleans, LA March 2018