Although these are trying times for our nation’s economy, I am pleased to report that Drexel’s finances are solid, leading indicators of growth are positive for the near future and the University remains poised for continued success.

Together, we have transformed Drexel into a comprehensive university with an expanded mission and a reputation for academic, research and service excellence as well as innovation. At the same time, we have focused on the business of higher education and maintained our commitment to sound financial principles. As the stock market’s plunge has driven down endowment levels throughout academia, our peers who rely on endowment earnings for as much as 45 percent of their operating budgets have faced difficult decisions in funding day-to-day operations. Drexel’s revenue-based approach to spending means that only 3.5 percent of our operating funds come from our endowment, and our budget is not severely impacted by investment performance.

As a result of our strong fiscal management, we are able to continue full steam ahead to achieve Drexel’s strategic goals. We have not had to implement the salary or hiring freezes seen at many institutions. And with four new building projects underway, whose financing was secured before the downturn, we continue to advance one of the nation’s most ambitious university construction programs at a time when campus buildings are being cancelled or deferred nationwide.

The University is building new facilities for the best possible reason: We need them. Our enrollment indicators remain strong, including a freshman applicant pool projected to reach a record 30,000, an increase of 36 percent over last year.

Many of these applicants are drawn by the future job-market advantages provided by The Drexel Co-op. Current students are finding no reduction in the number of co-op jobs available for the spring/summer cycle versus last year, according to the Steinbright Career Development Center.

Drexel’s research enterprise, gaining national recognition for our focus on translational or “use-inspired” research, is on pace once again to exceed $100 million in research expenditures for the fourth straight fiscal year.

Drexel remains a top philanthropic priority for our alumni, our friends and our foundation partners, and I thank them. We expect to see continued increases in funds raised and the number of individuals providing philanthropic support to the University. Our focus for the balance of the year is to raise money for scholarship support, so that every Drexel student has the opportunity to complete his or her education.

These and other indicators suggest that, although there are tough times ahead for the nation and fiscal prudence is more critical than ever, Drexel is positioned not just to weather the storm but to seize new opportunities as they arise.

C.R. "Chuck" Pennoni Interim President