Letters to Campus Community
A Letter to the U-M Community about the Financial Crisis
October 16, 2008
To the U-M Community:
A number of people in our community have expressed concern about the possible effects of the turmoil on Wall Street on the operations of the University. We are pleased to report that, thanks in large part to the prudence of our financial management policies and practices, the University is in sound financial shape.
Our investment, debt, and cash management/liquidity policies are all structured to withstand significant volatility in the financial markets. Our ongoing focus on operations, cost containment, and flexibility mean that we fully expect to be able continue forward with our FY09 plans and maintain our focus on excellence in all teaching, research, clinical, and auxiliary operations and initiatives.
Although the recent upheavals in the market have had little direct or immediate impact on us, we must be mindful of the ramifications resulting from a potential downturn in state, national and global economies. As we plan for the next fiscal year, we will keep a close watch on how the crisis is likely to play out, and develop contingencies as necessary to ensure we sustain and enhance our commitment to excellence in all our operations.
Further summary information on the University’s key financial policies, practices and principles that are helping us weather the current world financial crisis, is available online.
Mary Sue Coleman, President
Teresa Sullivan, Provost and Executive Vice President for Academic Affairs
Timothy Slottow, Executive Vice President & Chief Financial Officer
Robert Kelch, M.D., Executive Vice President for Medical Affairs