TCNJ

EXECUTIVE SUMMARY JUNE 30, 2015 CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS AND INVESTMENTS (IN THOUSANDS) INVESTMENTS - SHORT TERM INVESTMENTS - LONG TERM 2015 $39,817 2014 $50,026 $54,055 $20,106 $36,494 $20,941 $17,561 ($835) TOTAL CASH AND CASH EQUIVALENTS AND INVESTMENTS $113,978 $107,461 $6,517 VARIANCE ($10,209) TCNJ INVESTMENT PERFORMANCE FISCAL YEAR 2015 HIGHLIGHTS TCNJ remained focused on providing steady and consistent earnings growth in its investment portfolio. In aggregate, the portfolio generated over $1.7 million, or approximately 2.5%, in capital appreciation in fiscal year 2015. e portfolio contains two components: a short duration fixed income fund ("Short-Duration Fixed Income"), which holds high quality fixed income securities generally maturing between zero and three years, and a longer-term Multi Asset Class Management ("MACM") fund, which follows a broader approach that focuses on the global investment universe. At June 30, 2015, cash and investments was approximately $114.0 million, representing a net increase of $6.7 million or 6.1%, primarily due to the net cash receipts from operations, coupled with $1.7 million in investment income and appreciation. 4 TCNJ LONG-TERM DEBT e use of debt has been a key component in TCNJ's transformation into a highly selective institution that has earned national recognitions for its commitment to academic excellence. e attractiveness of the College's facilities is an important factor in its ability to recruit highly qualified students. At June 30, 2015, the College had $375.9 million in outstanding bonds (including unamortized bond premium) and other long term obligations. TCNJ's debt burden is a characteristic of many New Jersey state colleges and universities due primarily to the lack of state capital support historically and the TCNJ's strategic choice to invest and reinvest in state-of-the-art facilities. According to the rating agencies, TCNJ's bond ratings reflect strong student demand and conservative financial management, which have translated into excellent operating performance and significant growth in cash and investments. At June 30, 2015, the College's bond ratings and outlook were as follows: LONG TERM RATING RATING OUTLOOK FITCH AA A2 A MOODY'S INVESTORS SERVICE Stable Stable STANDARD & POOR'S Stable BOND RATING AND OUTLOOK

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