New York, NY, January 18, 2007--Total corporate contributions in the U.S. and abroad (among 211 corporations and foundations) amounted to $9.8 billion in 2005, The Conference Board reports today in its annual survey of corporate giving to worthy causes.
This represents 71 percent of the overall estimated $13.77 billion in corporate charitable giving in the U.S. in 2005. Total U.S. giving (among 209 corporations polled) was $7.8 billion.
The Conference Board study compared U.S.-giving among 130 corporations and foundations between 2004 and 2005. These contributions to worthy causes have increased by 18 percent among the largest corporations and foundations. These matched cases grew from $5.8 billion in 2004 to $6.9 billion in 2005. Median U.S. giving among this group increased by 8 percent, from $10.7 million in 2004 to $12.5 million in 2005. These matched cases provide the most accurate analysis of year-to-year trends in U.S. giving.
Total overseas charitable contributions (as reported by 98 companies surveyed) were approximately $2 billion in 2005.
The Conference Board compared 60 international-giving companies and foundations between 2004 and 2005. These contributions to worthy causes have increased by 14 percent.
Corporate U.S. giving ranged from a low of $71,529 to a high of $1.22 billion, with median U.S. contributions at $8.7 million compared to $7.6 million in 2004, an increase of 14 percent.
Support for health and human services maintained its position as a top priority in U.S. corporate contributions by garnering approximately 56 percent of the U.S. contributions, compared with the 15 percent earmarked for education, which ranked second.
"The dominance of health and human services as the beneficiary of the lion's share of U.S. giving is primarily attributable to the pharmaceutical industry which accounted for 43 percent of U.S. giving tracked by The Conference Board," says Sophia A. Muirhead, Associate Director, Research Working Groups at The Conference Board and author of the report. "Pharmaceutical companies donate mostly product, and, since they are in the healthcare business, health and human services are the primary recipients of their largesse."
Among matched-case respondents, there was an increase in giving to health and human services (59 percent), while the percentage of contributions to education decreased from 17 percent to 14 percent.
Sixty matched cases, representing 68 percent and 61 percent of the survey participants reporting international contributions in 2004 and 2005, respectively, provide the most accurate analysis of year-to-year trends in international giving.
The matched cases indicate that international corporate giving among the largest contributors is on the rise. Their total giving rose from approximately $1.4 billion in 2004 to $1.56 billion in 2005, representing 14 percent growth. Among these matched cases, median contributions totaled $1.7 million in 2004, compared with $2.7 million in 2005, a median increase of 28 percent. Most of the international budget consisted of non-cash donations from headquarters.
The survey also reports:
U.S. corporate contributions as a median percent of U.S. pretax income decreased to 1 percent in 2005, compared to 1.6 percent in 2004 and 1.7 percent in 2003.
The ratio of U.S. contributions measured as a median percent of worldwide sales has remained stable from 2004 to 2005 at 0.08 percent.
In 2005, median total (U.S. and international) contributions per worldwide employee stood at $434, up from $392 in 2004.
In 2005, non-cash giving surpassed cash giving and, for the third consecutive year, accounted for the largest portion of U.S. corporate contributions at 53 percent of total U.S. and international giving.
Among the 160 surveyed companies that maintain corporate foundations, 62.5 percent made gifts to their foundations in 2005, up from 57 percent in 2004.
