Report of Treasurer of University.

An annual statement of the Treasurer of the University, for the year ending July 31, 1903, was presented to the Board of Overseers at the meeting on January 13. The statement gives four and sixty-eight one-hundredths per cent as the rate of income on the general investments,--a decrease of twelve one-hundredths from the rate of the preceding year. The investments of the University amounted on July 31, 1903, to $15,863,521.70, showing a gain of $1,748,979.85 over the preceding year. Of gifts the total amount received during the year, not counting announcements of future gifts and testamentary benefactions not actually paid in, was $1,756,418.40, of which $1,340,876.28 was for capital account and $415,542.12 for immediate use.

The most striking feature of the statement is the deficit of $40,403.07, appearing in the account known as "University, College, and Library." The Corporation had increased the salaries in the Faculty of Arts and Sciences by $43,784.99 in the year under review and this increase was more than met by the remarkable gain of $48,926.47 in receipts from students; but the assignment to restricted uses of funds, the income of which was available in the preceding year, contributed to a loss of income amounting to $18,242.99. Furthermore, the cost of maintaining the New Lecture Hall, the Germanic Museum, the Semitic Museum and the Stillman Infirmary, contributed largely to an increase of $16,892.42 in the item of expenses on College buildings. The closing of the Veterinary School account by a final payment of $11,161.60 on its debt and expenses, was a further burden on the University. These items, it will be seen, more than account for the year's deficit. Unfortunately the deficit has been charged to the "Insurance and Guaranty Fund," thus encroaching on the principal of the University's resources.