344 



6 



Smithsonian Institution 



Report of the Chief Financial Officer 



Figure 3: Five Year Summary of Financial Highlights 



(Amounts shown are millions) 



Total Assets 



Total Property, Plant, and Equipment 

 Total Investments 



Total Operating Revenues and Other Additions 

 Federal Appropriation Revenue, including carryover 

 Unrestricted Trust Revenue 



1996 



1997 



1998 



1999 



2000 



1,325.9 



1,432.9 



1,537.5 



1,741.2 



2,077.4 



464.9 



516.5 



559.8 



600.3 



729.8 



538.7 



609.7 



646.5 



738.5 



849.8 



702.6 



728.8 



774.5 



869.6 



946.9 



354.3 



383.5 



393.0 



402.6 



445.5 



327.5 



319.1 



327.9 



343.3 



359.5 



Total Expenses 



718.7 



691.9 



701.6 



727.9 



780.3 



Total assets include cash and balances with the U.S. Treasury, receivables and advances, 

 prepaid and deferred expenses, inventory, investments, and net property and equipment. In 

 conformity with the practice generally followed by museums, the Smithsonian Institution's 

 policy is to not capitalize its collections (which include works of art, library books, 

 photographic archives, objects and specimens acquired with federal or trust funds or by 

 donation). Therefore, no value is assigned to the collections on the Statement of Financial 

 Position as indicated in the Notes to the Financial Statements. 



Total property, plant, and equipment consist of land, buildings and capital improvements, 

 equipment, and leasehold improvements, less the accumulated depreciation. Property and 

 equipment purchased with federal and trust funds by the Smithsonian Institution are 

 recorded at cost. Property and equipment acquired through transfer from government 

 agencies are recorded at net book value or fair value at the date of transfer, whichever is 

 more readily determined. Property and equipment acquired through donation are recorded 

 at appraised value at the date of the gift. These assets are depreciated on a straight-line basis 

 over dieir estimated useful lives, which range from 3 to 30 years. 



Investments include short-term, endowment, and gift annuity program investments for each 

 fiscal year. Short-term investments include cash equivalents and U.S. Government 

 obligations. Endowment (and similar investments) consists of pooled and nonpooled 

 investments. Pooled investments include cash equivalents, U.S. Government and agency 

 obligations, corporate bonds and other obligations, and common and preferred stocks. 

 Nonpooled investments are deposits with the U.S. Treasurv. 



Total operating revenue and other additions as identified on the Statement of Financial 

 Activity consist of government revenue (federal appropriations, government grants, and 

 contracts), contributions (program support and construction of facilities), business activities, 

 and other. Business activities revenue consists of magazines, The Smithsonian Associates, 

 museum stores and catalogues, Smithsonian Institution Press, concessions, and licensing. 

 Other includes investment income, endowment payout, private grants, and rental fees and 

 commissions. 



Federal appropriation revenue received by the Smithsonian Institution for a given fiscal year 

 reflects the amount of direct federal appropriated funds from current and prior fiscal years 



