The Robert Wood Johnson Foundation | Annual Report 2004

For the years ended December 31, 2004 and 2003 (in thousands)	2004	2003
Changes in unrestricted net assets Support and revenue:
Investment income	$ 178,748	$ 150,525
Less: Federal and state tax	(2,917)	(1,288)
Less: Investment expense	(33,108)	(24,503)
Contributions	—	11
Net assets released from restrictions	2,451	2,593
	145,174	127,338
Program costs and administrative expenses:
Grants, net	228,109	285,107
Program contracts and related activities	31,506	55,399
Program development and evaluation	27,701	25,580
General administration	20,983	20,760
	308,299	386,846
Excess of program costs and expenses over income	(163,125)	(259,508)
Other changes to unrestricted net assets, net of related federal and state tax:
Realized gains on sale of securities	902,711	446,758
Unrealized appreciation (depreciation) on investments	420,806	(82,794)
	1,323,517	363,964
Change in unrestricted net assets	1,160,392	104,456
Changes in temporarily restricted net assets
Contributions	2,201	1,117
Change in value of charitable remainder trust	1,497	(3,873)
Net assets released from restrictions	(2,451)	(2,593)
Change in temporarily restricted net assets	1,247	(5,349)
Change in net assets	1,161,639	99,107
Net assets, beginning of year	7,171,243	7,072,136
Net assets, end of year	$8,332,882	$7,171,243

Investment income