Lilly Endowment

Lilly Endowment Inc.
Founded1937; 87 years ago (1937)
FounderJosiah K. Lilly Sr. and sons,
Eli Jr., and Josiah (Joe) Jr.
FocusReligion
Education
Community development
Indianapolis
Indiana
Location
MethodGrants
Key people
Clay Robbins
(chairman and CEO)
Revenue (2020)
$929 million[1]
Expenses (2020)$822 million[2]
Endowment (2020)$21 billion in assets, $187 million in liabilities
Websitewww.lillyendowment.org

Lilly Endowment Inc., headquartered in Indianapolis, Indiana, is one of the world's largest private philanthropic foundations and among the largest endowments in the United States. It was founded in 1937 by Josiah K. (J. K.) Lilly Sr. and his sons, Eli Jr. and Josiah Jr. (Joe), with an initial gift of Eli Lilly and Company stock valued at $280,000 USD ($4,616,759 in 2015 chained dollars).[3] As of 2020, its total assets were worth $21 billion.[4]

The Lilly Endowment has historically focused on three primary grant areas: community development, education, and Christianity. It is known as the most influential philanthropy in its home city and state.[5] Its funding of projects related to religion is unusually large among foundations. It has given to some politically and religiously conservative causes, especially in the 1960s.[6]

J. K. Lilly Sr. initially served on the foundation board and became its largest contributor. Over time, he donated Eli Lilly and Company stock worth a total of $86.8 million to the foundation, including a $30 million bequest following his death in 1948. J. K.'s sons, Eli and Joe, contributed additional Eli Lilly and Company stock that had a combined value of $6.8 million. Eli also managed the foundation in its early years.[3][7] The Lilly Endowment's first full-time staff members, Josiah K. Lilly III and G. Harold Duling, were hired in 1951.[8] By the mid-1970s, the foundation staff had increased to 75 and it had moved to larger headquarters at 2801 North Meridian Street in Indianapolis.[9]

The endowment enabled the Lilly family to keep control of the company and continue their charitable giving without major income tax and inheritance tax penalties.[6] As required under the Tax Reform Act of 1969, the Lilly Endowment diversified its holdings, but its assets consist primarily of Eli Lilly and Company stock.[7] In 1998, the Lilly Endowment became the wealthiest philanthropic endowment in the world in terms of assets (estimated value of $15.4 billion) and charitable giving. As of 2014, it remains among the top five in terms of total assets ($9.96 billion).[10][7][needs update]

The private family foundation is a separate entity from the Eli Lilly and Company pharmaceutical firm, and maintains its headquarters in a different location. With the exception of the Eli Lilly and Company stock that the foundation holds in its portfolio, the Lilly Endowment is not linked to the Lilly pharmaceutical company. The nonprofit foundation has its own board of directors to manage its affairs and an executive committee (trustees) that reviews grant requests.[7][better source needed]

  1. ^ "Lilly Endowment Inc". Nonprofit Explorer. 9 May 2013.
  2. ^ "Lilly Endowment Inc". Nonprofit Explorer. 9 May 2013.
  3. ^ a b James H. Madison (1989). Eli Lilly: A Life, 1885–1977. Indianapolis: Indiana Historical Society. pp. 206–07. ISBN 0-87195-047-2.
  4. ^ Roberts, Ken Schwencke, Mike Tigas, Sisi Wei, Alec Glassford, Andrea Suozzo, Brandon (2013-05-09). "Lilly Endowment Inc - Nonprofit Explorer". ProPublica. Retrieved 2022-08-30.{{cite web}}: CS1 maint: multiple names: authors list (link)
  5. ^ Bodenhamer and Barrows, p. 158
  6. ^ a b Bodenhamer and Barrows, eds. p. 914-915.
  7. ^ a b c d Kelly A. Ivcevich. "Lilly Endowment, Inc". Learning to Give. Retrieved 2016-10-26.
  8. ^ David J. Bodenhamer and Robert G. Barrows, ed. (1994). The Encyclopedia of Indianapolis. Bloomington and Indianapolis: Indiana University Press. pp. 914–15. ISBN 0-253-31222-1.
  9. ^ Bodenhamer and Barrows, eds., pp. 915–16.
  10. ^ "Foundation Stats". Foundation Center. Retrieved 2016-10-26.