An Intellectual Property based Merchant BankOsagie ImasogieSenior Managing PartnerOne Commerce Square2005 Market Street, Suite 2030Philadelphia, PA, 19103Phoenix IP VenturesCONFIDENTIALThe Emergence of Private, Mega Philanthropy Foundations and The Implications For Global Public Health

202x Trends and Perspectives- May 2, 2011, University Of Pennsylvania - CVEP

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The Nature of the Issue*CONFIDENTIAL

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*CONFIDENTIALThe Gates Foundation is one of the largest donors to the WHO, giving sums (approximately $150MM) that amount to about 4% of WHOs overall budget in 2008 [*]

* WHOs Budgetary Allocations and Burden of Disease: A Comparative Analysis, David Stuckler, Lawrence King, Helen Robinson, Martin McKee; Lancet 372: 1563-1569The Gates Foundation - Example

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*CONFIDENTIALThe Gates Foundation - ExampleBill and Melinda Gates Pledge $10 Billion in Call for Decade of Vaccines - Increased vaccination could save more than 8 million children by 2020; significant funding gaps remain, others must join effort

DAVOS, Switzerland -- Bill and Melinda Gates announced today that their foundation will commit $10 billion over the next 10 years to help research, develop and deliver vaccines for the worlds poorest countries.

The Gates said that increased investment in vaccines by governments and the private sector could help developing countries dramatically reduce child mortality by the end of the decade, and they called for others to help fill critical financing gaps in both research funding and childhood immunization programs.

January 29, 2010, Gates Foundation Press Release

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*CONFIDENTIALThe Gates Foundation - ExampleBERLIN -- German Development Minister, Dirk Niebel, met today with Bill Gates, Co-chair of the Bill & Melinda Gates Foundation, in Berlin. During this meeting, they signed an agreement for close cooperation between the Federal Ministry for Economic Cooperation and Development, BMZ, and the Gates Foundation. This agreement encompasses the areas of global health policy, agriculture and rural development, water and sanitation, urban development, as well as microfinance.

The Partnership will commence with a joint increase to the vaccine initiative, the GAVI alliance with the commitment of the BMZ to increase its contribution through innovative bilateral contributions. The ministry will increase its funding by 14m in 2011 for childhood immunization. In turn, the Gates Foundation will match this amount through multilateral contributions to GAVI; the foundation will also match any further increase in funds for 2012 and 2013 should Germany announce these contributions ahead of the June GAVI Pledging Conference.

Bill Gates said: We are very happy to sign this agreement that will make it easier to cooperate on our common priorities of investing in smart aid, which can save lives, improve living conditions and build a prosperous and stable society.

April 6, 2011, Gates Foundation, Press Release

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*CONFIDENTIALThe Gates Foundation - ExampleSmart Aid Works : The numbers are impressive:

In the last 50 years, child deaths in the developing world have been cut by more than 50 percent, despite the birth rate increasing;Polio cases have been reduced by 99 percent since 1988, and we are now on the threshold of eradicating only the second disease in history;Measles deaths in Africa dropped by 92 percent between 2000 and 2008;Malaria cases have been reduced by 50 percent in 38 countries between 2000 and 2008;Ghanas agriculture sector is growing at more than 5 percent a year and the country cut hunger levels by 75 percent from 1990 to 2004.

I come to Germany with the simple message that smart aid works, Bill Gates said. And while we have facts and figures as evidence, its the lives saved and the futures restored that are the real living proof that our investments in aid are working.

April 6, 2011, Press Release, Gates Foundation

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*CONFIDENTIALTop Five US Foundations-By Asset Size

The list below includes the five largest U.S. grant making foundations ranked by the market value of their assets, based on the most current audited financial data in the Foundation Center's database as of February 22, 2011. Fiscal records will be updated when more recent audited financial information is obtained.

RankName/(state)AssetsAs of FiscalYear EndDate1.Bill & Melinda Gates Foundation (WA)$33,912,320,60012/31/20092.Ford Foundation (NY)10,742,611,00009/30/20103.J. Paul Getty Trust (CA)9,339,172,13806/30/20094.The Robert Wood Johnson Foundation (NJ)8,490,415,78312/31/20095.W. K. Kellogg Foundation (MI)7,238,160,845 08/31/2010

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*CONFIDENTIALMore to Come To Date, 69 Billionaires My Philanthropic Pledge - Warren Buffett

In 2006, I made a commitment to gradually give all of my Berkshire Hathaway stock to philanthropic foundations. I couldn't be happier with that decision. Now, Bill and Melinda Gates and I are asking hundreds of rich Americans to pledge at least 50% of their wealth to charity. So I think it is fitting that I reiterate my intentions and explain the thinking that lies behind them. First, my pledge: More than 99% of my wealth will go to philanthropy during my lifetime or at death. Measured by dollars, this commitment is large.

My family and I will give up nothing we need or want by fulfilling this 99% pledge. Moreover, this pledge does not leave me contributing the most precious asset, which is time. what I call the ovarian lottery. (For starters, the odds against my 1930 birth taking place in the U.S. were at least 30 to 1. My being male and white also removed huge obstacles that a majority of Americans then faced.)

Were we to use more than 1% of my claim checks on ourselves, neither our happiness nor our well-being would be enhanced. In contrast, that remaining 99% can have a huge effect on the health and welfare of others. That reality sets an obvious course for me and my family: Keep all we can conceivably need and distribute the rest to society, for its needs

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*CONFIDENTIALPrivate foundations

Data on the contribution made by private foundations towards international development are relatively limited. The World Bank stated that in 2005 private donors gave roughly US$44.5 billion to international development, but noted that philanthropic giving is significantly under-researched due to the lack of a world-wide data collection procedure (Sulla 2006).

The entry of the Bill & Melinda Gates Foundation into the global health landscape (bringing with it also the donation of US$30 billion by Warren Buffett) has taken private, philanthropic funding for international development, especially for health, to new and unprecedented heights. One estimate of the amount of private foundation spending on global health in 2005 was US$1.6 billion, much of it coming from the Gates Foundation (MacArthur 2006).

In 2006, the Gates Foundation awarded 195 global health grants amounting to US$2.25bn in total (McCoy et al. 2009). In terms of money paid out to global health grants, US$916 million and US$1.22 billion were disbursed in 2006 and 2007, respectively. The Foundation is now a bigger international health donor than all governments bar the United States and the United Kingdom.

Global Health Funding: How Much, Where It Comes From And Where It Goes, Health Policy Plan 24: 407-417, 2009The Issues Power & Influence Re: Public Policy

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*CONFIDENTIALThe Rockefeller Foundation grew out of the Standard Oil Company and was criticised for becoming a leading funder of the eugenics movement[1], and subsequently for population control programmes linked to President Nixons declaration that population growth in developing countries reduced access to key raw materials and was therefore a national security threat[2].

[1] Black E (2003) Eugenics and the Nazis -- the California connection. San Francisco Chronicle. http://www.sfgate.com/cgi-bin/article.cgi?file=/chronicle/archive/2003/11/09/ING9C2QSKB1.DTL.

[2] Engdhal W (2005) Seeds of destruction: The geopolitics of GM food: connection between Monsanto and The Rockefeller Foundation. http://www.politicalfriendster.com/showConnection.php?id1=238&id2=2472

The Issues Power & Influence Re: Public Policy

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*CONFIDENTIALMoney which ought to be in the hands of the public is being retained by aristocrats for purposes beyond the control of democratic institutions; the academic freedom of universities is being subverted by control of academic budgets by the foundations; public policy is being determined by private groups; the scientific and scholarly research and the artistic creativity of individuals are being stifled by the emphasis of foundations on group-research; smallness and individual effort are thwarted by materialistic and business-oriented demands of foundation management; foundations are bastions of an elite of white, Anglo-Saxon, Protestant managers holding out against the normal development of a pluralistic and ethnic society.Karl B, Katz, SN (1981) The American Private Philanthropic Foundation And The Public Sphere, 1890-1930. Minerva 19: 236-270.

The Issues Power & Influence Re: Public Policy

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*CONFIDENTIAL The Rockefeller Foundation was criticised for having advanced the entry of genetically-modified crops into new markets against popular opposition, while having financial investments in genetically-modified-seed-producing companies [3].

[3] Maessen J (2009) Beyond golden rice: The Rockefeller Foundation's long-term agenda behind Genetically Modified Food. http://www.globalresearch.ca/index.php?context=va&aid=13944The Issues Real and/or Perceived Conflict of Interest

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http://mapper.nndb.com/maps/087/000012051/

CONFIDENTIAL*The Issues Real and/or Perceived Conflict of Interest

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CONFIDENTIAL*The Flip Side of The Issues

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CONFIDENTIAL*The Flip Side of The Issues

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Report

CountryYearPer capita total expenditure on health at average exchange rate (US$)Per capita total expenditure on health (PPP int. $)Per capita government expenditure on health at average exchange rate (US$)Per capita government expenditure on health (PPP int. $)

Monaco20088,9052,5596,6671,916

Germany20084,6283,6923,5562,837

United States of America20087,5367,5363,5063,506

United Kingdom20083,9243,2303,2482,674

Canada20084,6314,0953,2342,860

Australia20084,3013,4482,9232,343

Japan20083,1022,7512,5102,226

Cuba20086671,1326421,089

Botswana2008392779291579

South Africa2008464826187333

Angola2008126161103131

China200814225966121

Zimbabwe20077920369

Ghana2008561132856

Rwanda2008481072350

Nigeria2008901342233

Cameroon2008671211934

Cte d'Ivoire200847681116

Afghanistan200848841018

Ethiopia20081130617

Sierra Leone2008153249

CONFIDENTIAL*Reflections Private, Mega Foundations are major players in International Public Health

These Foundations are and will continue to form, shape and direct International Public Health issues and policy

A major reason for the relevance of these Foundations is the failure and/or inability of governments in multiple countries to care for the health of their citizens

These Foundations are here to stay

There are important policy issues that this phenomenon raise and that need to be reflected on and further discussed

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An Intellectual Property based Merchant BankOne Commerce Square2005 Market Street, Suite 2030Philadelphia, PA, 19103Phoenix IP VenturesCONFIDENTIAL

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