Thank you, David, for your kind introduction. I also welcome all of you to this second annual in-person meeting of Periclean Presidents. Like Abou ben Ahdem, you can see that our presidential tribe has increased impressively. Also, many thanks to The Andrew W. Mellon Foundation for today's generous accommodation. In that connection, special regards to Mellon Vice-President, Pat McPherson, who could not, as intended, be here today. Pat is a charter member of our National Board of Advisors --- in fact, even before we existed, I was encouraged by her guidance. By the same token, I am happy that Gene Tobin is with us --- his active interest in Project Pericles also goes back to our early days.

As today's agenda suggests, this has been a year of continuing progress. The foundation of Project Pericles has gained much strength. As planned, the roster of committed Pericleans has doubled. Periclean Program developments --- including some remarkable student and faculty initiatives --- have contributed to the definition and fulfillment of our objectives. The policies of Project Pericles are clearly endowing our efforts with constructive distinction. The contagious esprit and interactions of Pericleans --- the quality of our expanding communications --- all of us assembled here today --- these realities have vested our mission with credibility.

Over the year, circumstances --- personal and institutional --- have induced changes. I will summarize them briefly. At the personal level, I note two changes. First, and most traumatic, last July our first Executive Director, Karen Holt, advised that personal circumstances have obliged her to leave by the end of the year and return to Charlottesville. I'm sure everybody in this room has come to know Karen --- to appreciate her extraordinary talents and abilities --- how central she=s been to all aspects of our progress since she joined us almost three years ago. She's been a devoted, conscientious, effective, productive, and considerate colleague --- more adjectives could be added, but I think you get the idea. I recall --- when she gently gave her notice --- and its reality began to sink in, I stood up at my desk and looked toward the window. Fortunately, it was closed.

Anyway, I am convinced that the Lord is on the side of Project Pericles. Two weeks ago, after an intensive search and a procedural review of some 150 vitae with interviews, checking and discussions by a committee of veteran Pericleans, a successor was unanimously chosen --- and, at its November 15 meeting, approved by our Executive Planning Board. For the past ten days, our next Executive Director, Jan Liss, has been serving her apprenticeship under Karen=s tutelage. I believe you've already met her and the statement in your conference papers has provided a sense of her excellent qualifications. We'll be hearing from her as our meeting progresses. Meanwhile, Jan, please take a bow.

At its meeting two weeks ago, our Executive Planning Board appropriately conveyed our esteem and appreciation to Karen. I was also able to report that Karen is not lost to us. She will maintain an active ongoing relationship as Program Counselor to Project Pericles.
At this point, let me ask David Caputo to take over.

Caputo recognized Karen --- who responded

The second personal change this year was less traumatic. After four years of noble service as this Presidents' Council's first chair, Leo Lambert asked for relief --- noting that he had completed the term of office prescribed by the Council By-Laws. I can honestly say that, without Leo's support, initiatives, patience, wise guidance, and organized teleconferences, we wouldn't be here now. He's been --- and will remain --- a magnificent colleague. However, by unanimous consent, David Caputo has taken over. Perhaps, if I last another four years, I will have the privilege of elaborating on his virtues. Meanwhile, I'd like Leo come forward and accept this token of our highest regard and appreciation.

Leo Lambert accepted plaque --- and acknowledged it

As to changes at an institutional level, the by-laws and operating procedures of the Presidents' Council were modified to facilitate its operation and accommodate its growing membership. David will review these modifications in his statement of the Council's operating agenda. Karen will report and invite your comments on the major undertakings of Project Pericles. However, I will touch on two items:

First, with respect to the Project Pericles Board. Up until now, we have operated with a nominal Board to handle procedural corporate items. Substantive matters of policy and operations have been essentially dealt with by our Executive Planning Board. Recognizing the responsibilities of maturation, we have decided to establish a formal Board of Directors and reconstitute the existing EPB as the EPC --- the Executive Planning Committee. You have just received a list of our newly constituted Board that includes existing EPB Members and some distinguished Periclean partisans. You will note that, in addition to the Chair of the Presidents= Council, the Co-Chairs of our National Board of Advisors are now also ex officio members of the Board. Every board member is committed to an annual board meeting and ad hoc teleconferences and will have the opportunity to serve on Board committees.

My second institutional item concerns the Five-Year Plan that was considered by the EPB last June. It contemplated the gradual separation of operational and financial administration and responsibilities of Project Pericles from the Eugene M. Lang Foundation over a period of the next three years. Also, for obvious reasons, I intend and want to be able to relinquish the titles and responsibilities of President and CEO by the end of next year. Likewise, I expect that, over the next three years, the operating budget of Project Pericles will be increasingly provided by independent donors. To that end, we intend to create an endowment of at least $10 million, of which, on a challenge basis, my foundation will provide 25%. This funding effort will be independent of the intention of Project Pericles to help raise funds for Project Pericles initiatives and Periclean collaborations.

With respect to the growth of Project Pericles, we want to keep it measured and deliberate. For our part, we --- Project Pericles --- must continue to develop our operational capabilities. We must define and be organized to fill our service responsibilities to Pericleans. Word of Project Pericles has been spreading. We get frequent inquiries and have a flattering list of interested institutions. However, we still must deal with a learning curve. Demonstrable impact of Periclean Program initiatives is more important and must precede active publicity. You, our twenty diverse members, are still THE pilot Pericleans. We are leading the way for higher education to learn how effectively to prepare America=s youth for socially responsible and participatory citizenship. We must not allow our enthusiasm and the nobility of commitment to get too far ahead of demonstrably successful experience. We dare not compromise our historic mission. Our five-year plan anticipates a total of 80 Pericleans. Your licensed use of the Project Pericles Logo will build its national recognition. It will identify Periclean colleges and universities as institutions where the idealism of American youth can blossom, and the future of our country as a democracy will be assured.

Thank you.