ATHENS, Ga. -- University of Georgia officials plan to cut back grants for scholarships, faculty travel and other expenditures funded by profits from the hundreds of millions of dollars in assets owned by the UGA Foundation and its younger cousin, the Arch Foundation.
Usually, the foundations' investments generate millions of dollars in profits. Managers spend some on university programs, then plow the rest back into investments.
But this year, UGA's endowments and other investments lost a third of their value as prices for stocks, real estate and other investments tanked.
In some cases, administrators will use UGA operating funds to replace foundation money that pays expenses such as faculty research travel.