Penn Names New Vice President for Finance

Tuesday, January 11, 2000

PHILADELPHIA -- Craig Carnaroli, Director of the Health Care Finance Department at Merrill Lynch & Co., has been named Vice President for Finance and Treasurer at the University of Pennsylvania by Executive Vice President John A. Fry.

As Vice President for Finance and Treasurer, Carnaroli is responsible for the University's financial planning processes and coordinates the financial activities for the University and its component parts. He is directly responsible for the offices of the Comptroller, Treasurer, Investments, Student Financial Services, Risk Management, Research Services and Acquisition Services.

"Craig is an outstanding financial executive, who has spent his entire career in public finance investment banking, working primarily with hospitals and colleges and universities," said Fry. "His expertise in these areas will enable him to lead the Division of Finance forward in a strategic and progressive manner, as well as enable him to play a key role in planning financial strategies for the University and the Health System."

Carnaroli joined Merrill Lynch in 1995, where he led a team of professionals responsible for structuring and marketing tax-exempt and taxable debt issues for non-profit education and healthcare institutions. During the course of his investment banking career, Carnaroli raised more than $5 billion of capital for non-profit institutions. His accomplishments include the implementation of a debt recapitalization for an academic health system; the introduction of a new credit to the capital markets through the formation of an obligated group comprised of community-based Catholic hospitals; and development of a rating agency strategy resulting in the first "Aaa/AAA" rating for a private secondary school. For the past year, he has been advising the University and its Health System on a broad range of financial strategy, rating agency and institutional investor relations issues.

Carnaroli came to Merrill Lynch from CS First Boston, where he had served most recently as Vice President, Municipal Securities Division. While at CS First Boston, he assisted the University in the development of the Health System's borrowing structure through the development of the Master Trust Indenture. He joined CS First Boston in 1985.

He received a B.S. in Economics cum laude from the Wharton School of the University of Pennsylvania, and an M.B.A. from the Stanford University Graduate School of Business.

Fry said Carnaroli's appointment is expected to be approved by Penn's Board of Trustees at its Stated Meeting in February.