Annual Report 2019-2020

With the entire Clubhouse closed, revenue plummeted. The Club was only permitted to have a small number of staff on site, so most staff worked from home. Fortunately, support from the government enabled The Club to continue to pay salaries to staff even when they were at home. At the same time, The Club quickly pivoted to a digital model that enabled Members to enjoy it from the comfort of their homes. Fitness and Leisure activities were among the first to go virtual, with everything from group classes and personal training to tennis lessons and Pilates online. The Club developed TAC2Go! and Essentials2Go! so that Members could order their favorite meals or supplies they needed from The Club and pick them up or have them delivered. For younger Members, The Club developed an online summer camp as well as virtual activities ranging from storytelling and crafts, to cooking and first aid. Online events replaced on-site events with, for example, speakers who spoke about American politics, resilience and more. There were thousands of sign-ups for virtual services. We also continued to support our staff through development programs internally and training programs externally, with many staff taking classes online and being trained as Safe Distancing Ambassadors or certified health experts to ensure Member safety. The study of compensation by the globally recognized consultant that was mentioned in last year’s annual report was completed in May 2020. The General Committee approved changes to the bonus structure that align performance more closely with goals for The Club and, while finding that salaries are close to market averages, approved small adjustments to ensure competitive yet prudent remuneration. Several initiatives reflected the spirit in The Club community of caring for each other and working for the greater good. When Covid-19 restrictions resulted in layoffs of employees’ family members and children staying at home or other disruptions, we set up the

Employee Care Program and distributed financial support to help 167 staff members. The Green Team expanded its efforts to make The Club more sustainable, with programs and communications that reduced The Club’s carbon footprint and saved money. We also initiated a Diversity Dashboard to ensure that we have a wide range of staff at all levels and train them for promotions. While redevelopment and the restrictions due to Covid-19 made it harder for Members to enjoy the usual benefits of being part of The Club community, online activities have resulted in new friendships united by common interests and new learning. Hundreds of Members contributed to the Employee Care Program. And Members flocked back to The Club as soon as Covid-19 restrictions eased while continuing to interact online too. On a daily basis, each of us gets to see The Club’s vision in action, as we are part of a vibrant community with a distinct American culture and a place that families call their home away from home. As I reach term limits and leave the General Committee after a decade of service, I am heartened that our values of safety, respect and integrity remain strong, and I would ask Members to ensure compassion and kindness in all we do. Be safe and be well.

Richard Hartung