UH sees its endowment savaged by downturn

The University of Hawaii Foundation saw its endowment returns plummet almost 21 percent by year end, to $146.6 million, compared to $181.4 million six months earlier. The impact will be felt by students who might receive less scholarship money, although UH officials said the endowment drop will not impact university operations significantly.

As bad as it is, the drop is slightly less than the average endowment return loss of 22 percent for universities nationally. Last year's plunge was the first since the technology bubble burst in 2001 and the 9/11 terrorist attacks, according to the Chronicle of Higher Education.

Private Hawaii Pacific University reported its endowment dropped about 17 percent from roughly $72 million to $60 million between June 30 and the end of November. HPU is proceeding with a $70 million plan to expand its Windward campus. Money has already been set aside to design the new dorms, gym, performing arts center and lab space. The university will spend $2.5 million from its endowment for construction of sewer connections to the campus. Click here for more about the impact of the economic downturn on university endowments.