On November 19, 2014, A-P-T Research, Inc. (“APT”) completed a transaction by which they became a 100% employee-owned company through their Employee Stock Ownership Plan (ESOP). This ESOP transaction created significant capital gains for many of the participating shareholders. Working with the Community Foundation, employees were given the option to donate appreciated shares with low-cost basis to the Community Foundation, which provided them with significant tax advantages while providing them an opportunity to support the community through philanthropy.
"We are proud that our employees continue the tradition of giving back to our community that APT has fostered for many years. Eleven of our employee shareholders have committed over $680,000 to charity in various forms, and the Community Foundation helped us devise the most flexible and tax-efficient means for us to make these charitable gifts,” stated APT President Tom Pfitzer.
Community Foundation President/CEO Stuart Obermann added: “We are thrilled that APT has partnered with us to help their employees meet their philanthropic goals, while significantly reducing their tax burden from the ESOP transaction. Many of the participants have created and funded new Donor Advised Funds, which operate much like a private family foundation but without the legal or accounting expenses a foundation normally incurs.”
Obermann continued: “In addition, APT also created a new Corporate Giving Fund, which will allow the company and their employees to contribute tax-deductible dollars into a charitable fund that can later be used for making grants to local nonprofit agencies in the community. Finally, APT employees and management also donated money to the Community Foundation’s new Community Catalyst Fund, which is a perpetual endowment at the Foundation that will make grants supporting projects that will have a lasting, positive impact on the quality of life in our community.”
“We salute APT’s management and employees for making this generous and strategic gift to our community, and thank them for their support of our Community Foundation,” stated Bob Ludwig, former Board Chair of the Community Foundation. “This multi-faceted transaction illustrates the visionary leadership of APT’s management and the versatility that the Community Foundation provides for corporate and individual philanthropists seeking to improve our local community, both today and in the future.”