We write today to share good news about United States Artists and our investment in America's finest artists. While we currently operate at a challenging moment for the economy, we want you—our closest friends and allies—to know that USA is moving forward carefully and strategically to support and advocate for superb artistic talent.

Investing Prudently
Since USA's inception, we have managed our funds conservatively. At a time when the investments of most charities have lost value, USA has suffered no losses. In fact, USA has gained 3% in its portfolio in the last three quarters. We are proud that the important contributions from our generous founders and donors have remained secure during this tough period.

Advancing Artistic Excellence
This fall marks the fourth year funding our signature program, the USA Fellowships. Annually 50 artists are named USA Fellows; each receives an unrestricted grant of $50,000. With this year's announcement, we will have invested $10 million in 200 of America's most talented practitioners.

Responding to a Need That is Greater Than Ever
Why this commitment? A recent study conducted by the National Endowment for the Arts (NEA) discovered that America's two million artists were unemployed at twice the rate of all professionals in 2008. This rate would be even greater if not for the high number of artists leaving the workforce and therefore not being counted. Also, while we were pleased to see federal funding increased for the NEA, it was striking that none of these new monies will be directed specifically to individual artists. At a moment when America's challenges demand fresh ideas and innovative solutions, we believe our nation needs to value its artists, who are among our most inventive citizens.

Creating New Work
What is the return on this artistic investment? We know our $50,000 grants positively impact the individuals we support. In fact, 83% of the winners in our first year used USA funds to create original works of art. Fresh dances, poetry, films, theatrical productions, musical compositions, paintings, sculpture, and more have been realized. Audiences of all ages have encountered these stimulating new works in galleries, on stages, in print, and online worldwide.

Giving Generously
To date over $30 million has been contributed by USA founders and donors to realize our mission. While some of our wonderful investors cannot make gifts this year, others have increased their commitments and new donors have stepped up. This is indeed heartening, and we are most grateful to all USA contributors for your tremendous devotion to our work.

Moving Forward
We are getting ready to welcome eight USA Fellows Selection Panels to Los Angeles this summer. This is an exciting time as these colleagues—art experts and artists—are charged with picking the next 50 USA Fellows. The winners will be announced in early November in our hometown of Los Angeles. Stay tuned for the great news!

In closing, please know at USA we remain steadfastly committed to our mission of investing in artists who challenge, inspire, and delight us. We look forward to working with you to affirm the importance of artists to the creative potential of America.

Your continued support, enthusiasm, and participation are deeply appreciated.

Sincerely,

Susan Berresford Chair, USA Board of Directors		Katharine DeShaw Executive Director