franklin_m

There's nothing magic about a non-profit, so their balance sheet is close to zero at the end of the year and they don't pay taxes. Not a big deal. A non-profit still has to respond to and manage market forces.

In this case, AMA has an aging membership. That's been a discussion from time to time in the magazine / meeting minutes, as they see this wave of discounts coming. Without fresh new members to offset the reduction in revenue, the money has to come from somewhere. Since total assets are down, despite a pretty substantial reduction in liabilities and expenses, the money has to come from somewhere. Absent a money tree growing in Muncie, then it either comes from cash or selling assets. Paying members are up 2.2%, but the issue is will that be enough to offset the wave of discounts. Or will they also have to drop the discount? Or raise fees? Don't know.