Form

990

Return of Organization Exempt From Income Tax

Under section 501(c), 527 , or 4947(a)(1) of the Internal Revenue Code (except black lung benefit trust or private foundation)

OMB No 1545-0047

2006

Department of the Treasury Int e rnal R e v e nue Service

A
B

open to Publk ^ The organization may have to use a copy of this return to satisfy state reporting requirements i nspection For the 2006 calendar year , or tax year beginning 10 - 01 , 2006, and ending 0 9 - 3 0, 20 0 7
Please C Name of organization D Employer identiftation number

Check if applicable

K Address change
K
K K K K

use
print or Itype.

EAST

CAROLINA

DEVELOPMENT

CO,

INC
Room/suite

56-2044953
E Telephone number

Name change
Initial return Final return Amended return Application pending

Number and street (or P 0 box if mail is not delivered to street address)

see

'2 312 HODGES ROAD

City or town, state or country, and ZIP + 4

(252)523-7700
F Accounting method: K Cash Accrual ^

SP-ft

tip.

KI NS TON

NC 2 8 5 0 4
H(a) H(b)

K Other (specify)

Section 501(cx3 ) organizations and 4947(ax1) nonexempt chantable trusts n t attach a completed Schedule A (Form 990 or 990

H and I are not applicable to section 527 organizations Is this a group return for affiliates? If 'Yes,' enter number of affiliates Are all affiliates included? (I1 'No,' attach a list See instructions ) Is this separate return filed by an organization covered by a group rulmg9 Group Exemption Number ^ ^ K Y. K No Yes No

G Webszte :

^ (check only one) ^ 501(c) ( 3 ) (insert no) K 4947(a)(1) or and its gross K 527

H(c) H(d) I m ^ 50 1 , 0 6 5

J Organization type K Check here

^ K if the organization is not a 509(a)(3) supporting organization

K Yes

No

receipts are normally

not more than $25,000 A return is not required, but if the organization chooses

to file a return, be sure to file a complete return L Gross receipts Add lines 6b, 8b, 9b, and 10b to line 12

Check ^ N If the organization is not required to attach Sch B (Form 990, 990-EZ, or 990-PF).

far! I
1

Revenue, Expens es, and Chanqes in Net Assets or Fund Balances (See the instructions.)
Contributions , gifts, grants , and similar amounts received: Contributions to donor advised funds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Direct public support ( not included on line 1a) . . . . . . . . . . . . . . . . . . . . Indirect public support (not included on line 1a ) . . . . . . . . . . . . . . Government contributions (grants) ( not included on line ia) Total (add lines 1 a through 1 d) (cash $ 40 , 000 noncash $ Program service revenue including government fees and contracts (from Part VII, line 93 ) . . . . . . . . . . . . . . . . . . . . . . . . . Membership dues and assessments . . . . . . . . . . . . . . . . . Interest on savings and temporary cash investments . . . . . . . . . . . . . . . . . . . . . . . . Dividends and interest from securities Gross rents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Less rental expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ) . . la 1b 1c 1d 40, 000 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

R v n D Z Z M

a b c d A 2 3 4 5 6a b c Net rental income or ( loss) Subtract line 6b from line 6a 7 Other investment income (describe ^ 8a Gross amount from sales of assets other b c d 9 a b c 10a b c 11 12 13 14 15 16 17

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6a . . 6b

le 2 3 4 5

40 , 000 411,816

49 , 249

:n
-n

E
P

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ) ( A) Securities ( B) Other 8a than inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8b Less cost or other basis and sales expenses . . . . . . . . . . . . . 8c Gain or ( loss) (attach schedule ) . . . . . . . . . . . . . . . . . . . . . . . . . . . Net gain or (loss ). Combine line 8c , columns (A) and ( B) Special events and activities (attach schedule ). If any amount is from gaming , check here ^ K Gross revenue ( not including $ of . . . . . . . 9a contributions reported on line 1 b) 9b Less : direct expenses other than fundraising expenses . . . . . . . . . . . . . . . . . . Net income or (loss ) from special events Subtract line 9b from line 9a . . . . . . . . . . . . . . . . . . . . . . . . Gross sales of inventory, less returns and allowances . . . . . . . . . . . . . . . . . . . 10a Less cost of goods sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10b . . . . . . . . . . . . Gross profit or (loss ) from sales of inventory ( attach schedule ). Subtract line 10b from line 10a . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Other revenue (from Part VII , line 103) .......................... Total revenue . Add lines le , 2, 3, 4, 5 , 6c, 7, 8d , 9c, 10c , and 11 . . . Program services (from line 44 , column (B)) . . . . . . . . . . . . . . R C RE Management and general (from line 44 , column (C)) . . . . . . . . . . C.. ED . . . . . . . . . . . Fundraising (from line 44 , column ( D)) . . . . . . . . . . . . . . . . . p+tl co f ,- R . . . . . . . . . . . .

6c 7

8d

9c

10c 11 12 13 14 15 16 17 18

501,065

273,942

16 , 17 7
0 290 , 119 210 , 9 4 6

Payments to affiliates (attach schedule ) . . . . . . . . . . . . . . . . ^ F-^ Total expenses . Add lines 16 and 44 , column (A) 2 . ?U.$ N 18 Excess or (deficit) for the year . Subtract line 17 from line 12 . . . . . r Ar A 19 Net assets or fund balances at beginning of year (from line 73, column (A)) e r s 20 Other changes in net assets or fund balances (attach explanation) . . . . . . . . . . . . . . . . . . . t 21 Net assets or fund balances at end of year . Combine lines 18, 19, and 20 I-or Privacy Act and Paperwork Reduction Act Notice , see the separate instructions . EEA

5 e

19
20 21

544,456
755 , 402 Form 990 (2006)

Form990(2006), EAST CAROLINA DEVELOPMENT CO, INC 56-2044953 Page2 Statement of Part All organizations must complete column (A). Columns (B), (C), and (D) are required for section 501 (c)(3) and (4)
Functional Expenses organizations and section 4947(a)(1) nonexempt charitable trusts but optional for others. (See the instructions ) Do not include amounts reported on line ( B) Program (C) Management ( A) Total ( D) Fundraising 6b, 8b , 9b, 10b , or 16 of Part I services and general 22 a Grants paid from donor advised funds (attach schedule) (cash $ noncash $ If this amount includes foreign grants , check here ^ K 22a 22 b Other grants and allocations (attach schedule) (cash $ noncash $ If this amount includes foreign grants , check here ^ K 22b 23 Specific assistance to individuals (attach schedule) . . . . . . . . . . . . . . . . . . . . . . . . 23 24 Benefits paid to or for members (attach schedule) . . . . . . . . . . . . . . . . . . . . . . . . 24 25 a Compensation of current officers, directors, key employees , etc. listed in Part V-A (attach schedule ) ........................ b Compensation of former officers, directors, key employees , etc. listed in Part V- B (attach schedule) . . . . . . . . . . . . . . . . . . . . . . . . c Compensation and other distributions , not included above, to disqualified persons (as defined under section 4958 (f)(1)) and persons described in section 4958 (c)(3)(B) (attach schedule ) . . . . . . . . . . . . . . 26 Salaries and wages of employees not included on lines 25a , b, and c . . . . . . . . . . . . . . . . . . 27 Pension plan contributions not included on lines 25a , b, and c . . . . . . . . . . . . . . . . . . . . 28 Employee benefits not included on lines 25a - 27 . . . . . . . . . . . . . . . . . . . . . . . . . 29 Payroll taxes . . . . . . . . . . . . . . . . . . . . . . . 30 Professional fundraising fees . . . . . . . . . . . . . . .

25a

195,000

195,000

25b

5c 26 27 28 29 30

31
32

Accounting fees
Legal fees

.............. .......

31
32

3, 841
688 688

3, 841

. . . . . . . . . . . . . . . . . . . . . . . .

33
34 35

Supplies .........................
Telephone . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Postage and shipping

33
34 35

1 , 021 2, 554
470 470

1, 021 2, 554 6 , 161

36
37 38

Occupancy

.......................

36
37 38

6 , 161

Equipment rental and maintenance . . . . . . . . . . . . Printing and publications . . . . . . . . . . . . . . . . .

39 40

Travel ................ .......... Conferences , conventions , and meetings .........

39 40

2, 783 34

2,783 34

$1
$2

Interest ..........................
Depreciation , depletion , etc (attach schedule) . . . . . . .

41
42

68, 253

68,253

43

Other expenses not covered above ( itemize): a BANK FEES

b c d e
f 9

BAD DEBT INSURANCE/BONDING MARKETING MISC

43a 43b 43c

43d

596 6,152 2,566

596 6,152 2,566

43e
43f 439

Total functional expenses . Add lines 22a through 43g. (Organizations completing columns ( B)-(D), carry these totals to lines 13-15) Joint Costs . Check ^ K if you are following SOP 98-2.

14

44

2 9 0, 119

273,942

16 , 17 7

Are any joint costs from a combined educational campaign and fundraising solicitation reported in (B) Program services? . . . . . . ^ K Yes No If "Yes," enter (i) the aggregate amount of these joint costs $ , (ii) the amount allocated to Program services $ (iii) the amount allocated to Management and general $ and (iv) the amount allocated to Fundraising $ EEA Form 990(2006)

Form990(2006), EAST CAROLINA DEVELOPMENT CO, INC I Part fit Statement of Program Service Accomplishments (See the Instructions.)

56-2044953

Page3

Form 990 is available for public inspection and, for some people, serves as the primary or sole source of information about a particular organization. How the public perceives an organization in such cases may be determined by the information presented on its return. Therefore, please make sure the return is complete and accurate and fully describes, in Part III, the organization's programs and accomplishments Why it is the organization's primary exempt purpose? ^ EXPAND SMALL BUSINESSES All )rganizations must describe their exempt purpose achievements in a clear and concise manner State the number of c lients served , publications issued , etc. Discuss achievements that are not measurable. (Section 501(c)(3) and (4) orgl inizations and 4947 (a)(1) nonexempt charitable trusts must also enter the amount of grants and allocations to others)
Program Service Expenses (Required for 501(c)(3) and (4) ores , and 4947(a)(1) trusts, but optional for others

See

SERVICES

(Grants and allocations $

) If this amount includes foreign grants , check here

^ K

2 73 , 94 2

(Grants and allocations $

) If this amount includes foreign grants, check here

^ K

(Grants and allocations $

) If this amount includes foreign grants , check here

^ K

(Grants and allocations $ ) If this amount includes foreign grants , check here Other program services (attach schedule) (Grants and allocations $ ) If this amount includes foreign grants, check here Total of Program Service Expenses (should equal line 44, column (B), Program services) EEA

^ K ^ K . ^

2 73 , 942 Form 990(2006)

Form 990 ( 2006)' EAST CAROLINA DEVELOPMENT CO, Part L1! Balance Sheets (See the instructions.
Note :

INC
(A) Beginning of year

56-2044953
(B) End of year

Page 4

Where required, attached schedules and amounts within the description column should be for end-of-ye ar amounts only.

45
46

Cash - non-interest-bearing

.... .. ........... ..........

. . . . . . . . .. . . . . . . . . . . . 47a 47b

347 , 798
1,875,831

45
46

Savings and temporary cash investments

5 0 , 613 2,711,755

47 a Accounts receivable . . . . . . . . . . . . . . . . b Less allowance for doubtful accounts . . . . . . . . 48 a b 49 50 a A s s

7 , 3 74

47c

Pledges receivable . . . . . . . . . . . . . . . . . . 48a 48b Less. allowance for doubtful accounts . . . . . . . Grants receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Receivables from current and former officers, directors, trustees, and key employees (attach schedule) . . . . . . . . . . . . . . . . . . . . . . . . b Receivables from other disqualified persons (as defined under section 4958(f)(1)) and persons described in section 4958(c)(3)(B) (attach schedule) . . . . 51 a Other notes and loans receivable (attach

48c 49 3,145,780 50a 50b

e
t
s

schedule)

......................
........
. . . . . . . . . . . . . . . . . . .

51a
51b
. . . . . . 55a 55b . . ^ ^

3,101, 699
3,145,780
. . . . . . . . . . . . . . K Cost K K Cost K . . . . . . FMV FMV

b Less* allowance for doubtful accounts

51c
52 53 54a 54b

3,101,699

52 Inventories for sale or use . . . . . . . . . . 53 Prepaid expenses and deferred charges . . . 54 a Investments - publicly-traded securities . . . b Investments - other securities (attach schedule) 55 a Investments - land, buildings, and equipment basis . . . . . . . . . . . . . . . b Less. accumulated depreciation (attach schedule) . . . . . . . . . . . . . . . . . . 56 Investments - other (attach schedule) 57 a Land, buildings, and equipment basis b Less: accumulated depreciation (attach

. . . . . . . .

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57a 130,811

55c 56

schedule)
58 59 60 61 62 63

................ S TM116 57b

12 , 342
) . . . .

57c
58 59 60 61 62 63 4 , 8 9 2 , 317 64a 64b 65 66

118,469

L a b

Other assets, including program-related investments (describe ^ Total assets (must equal line 74) Add lines 45 through 58 Accounts payable and accrued expenses . . . . . . . . Grants payable . . . . . . . . . . . . . . . . . . . . . Deferred revenue . . . . . . . . . . . . . . . . . . . . Loans from officers, directors, trustees, and key employees schedule) . . . . . . . . . . . . . . . . . . . . . . .

. . . . . . .

. . . .

. . . .

. . . .

. . . .

. . . .

. . . .

. . . .

. . . .

. . . .

. . . .

8 , 522 , 563
16 , 0 7 8

5,982,536 3 3 , 141

t e s

64 a Tax-exempt bond liabilities (attach schedule) b Mortgages and other notes payable (attach schedule) 65 Other liabilities (describe ^

(attach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . )

5,193,993

66 Total liabilities . Add lines 60 through 65 ..................... and complete lines Organizations that follow SFAS 117, check here ^ 67 through 69 and lines 73 and 74.

4,908

,395

5,227,134

J F u n d B a a n C D e s

67

Unrestricted ..................................

4 7 0, 5 5 6
73 , 900 0

67
68 69

668,302
87,100 0

68 Temporarily restricted . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Permanently restricted . . . . . . . . . . . . . . . . . . . 69 check here ^ K and Organizations that do not follow SFAS 117, 70 71 72 73 complete lines 70 through 74 . . . . . . . . . . . . . . . . . . . Capital stock, trust principal, or current funds . . . . . . Paid-in or capital surplus, or land, building, and equipment fund . . . . . . . Retained earnings, endowment, accumulated income, or other funds Total net assets or fund balances . Add lines 67 through 69 or lines 70 through 72 (Column (A) must equal line 19 and column ( B) must

70 71 72

equal line 21) ...................................

74 Total liabilities and net assets /fund balances . Add lines 66 and 73 EEA

544, 456
5 , 4 5 2 , 8 51

73
74

755,402
5,982,536
Form 990 (2006)

56-2044953 Form990(2006) EAST CAROLINA DEVELOPMENT CO, INC Revenue per Return Statements With of Revenue Financial Reconciliation Audited per Rant IY-A
a (See the Instructions.) revenue, gains, and other support per audited financial Total b Amounts included on line a but not on Part I, line 12 I Net unrealized gains on investments . . . . . . . . . . . . . . . . . . . . . 2 Donated services and use of facilities . . . . . . . . . . . . . year grants Recoveries of prior 3 4 Other (specify). statements . . . . . . . . . . . . . . . . . . b1 b2 W a

Page5

501,065

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

c d

1 2 Other (specify):

b4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Add lines b1 through b4 .................................. ....... Subtract line b from line a Amounts included on Part I, line 12, but not on line a: d1 . . . . . . . . . . . . . Investment expenses not included on Part I, line 6b d2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . d1 and d2 lines Add . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ Total revenue (Part I, line 12) Add lines c and d

b c

501,065

e a b

d e a

501,065 2 9 0 , 119

. . Total expenses and losses per audited financial statements Amounts included on line a but not on Part I, line 17: 1 Donated services and use of facilities . . . . . . . . . . . . . on I, line 20 . . . . . . . . adjustments reported Part 2 Prior year . . . . . . . . . . . . . . . on Part I, line 20 3 Losses reported (specify): 4 Other

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . bi b2 W

c d

1 2 Other (specify):

b4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . b1 b4 lines through Add ... ...... ....................... ......... Subtract line b from line a Amounts included on Part I, line 17, but not on line a: d1 . . . . . . . . . . . . . Investment expenses not included on Part I, line 6b

b C

2 9 0 , 119

d2 d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . d1 d2 and Add lines e 290,119 ^ d . c and expenses 17) Add lines Total (Part I, line e an officer, director, Employees (List each person who was Trustees and Key Directors , , Officers , Current Part VA
+r-ree n, i,o,, er.,ntn..eo if ,, fimc rig irinn thn vcar n i n if thaw wnro not emmnanentarll 1 Mao tha mstn intinnc 1 (B) Title and average hours per week devoted to position (C) Compensation (If not pad. enter (D) Contnbutions to employee benefit plans & dgferr d com ensation pans (E) Expense account and other allowances

(A)

Name and address

STEPHEN LAROQUE 2312 HODGES RD KINSTON NC

EXECUTIVE DIR
28504 1 50

STMA01 195,000 0 0

RICKY LANIER 806 W VERNON AVE KINSTON NC

MEMBER
28504 1 5 0 0 0

SUSAN EATMAN 2264 SPRINGWOOD KINSTON NC

CHAIRMAN
28504 1 10 0 0 0

WALTER LAROQUE 1501 SURRY ST KINSTON NC

SEC/TREASURER
28504 1 VICE NEW BERN NC 5 CHAIRMAN 5 0 0 0 0 0 0

JOHN MELLING 1800 PEPPERCORN

28560 1

EEA

Form 990(2006)

Form 990 (200.6 ) EAST CAROLINA DEVELOPMENT CO, INC Pad V-A Current Officers, Directors , Trustees, and Key Employees (continued)
75 a Enter the total number of officers, directors, and trustees permitted to vote on organization business at board

56-2 044953

Page 6 Yes No

meetings

b Are any officers, directors, trustees, or key employees listed in Form 990, Part V-A, or highest compensated employees listed in Schedule A, Part I, or highest compensated professional and other independent contractors listed in Schedule A, Part II-A or II-B, related to each other through family or business . . . . . . . . . . . relationships If "Yes," attach a statement that identifies the individuals and explains the relationship(s) c Do any officers, directors, trustees, or key employees listed in Form 990, Part V-A, or highest compensated employees listed in Schedule A, Part I, or highest compensated professional and other independent contractors listed in Schedule A, Part II-A or II-B, receive compensation from any other organizations, whether tax exempt or taxable, that are related to the organization? See the instructions for . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ the definition of "related organization."

75b

75c

If "Yes," attach a statement that includes the information described in the instructions. . . . 75d X d Does the organization have a written conflict of interest policy? Former Officers , Directors , Trustees , and Key Employees That Received Compensation or Other Part V-B Benefits (If any former officer, director, trustee, or key employee received compensation or other benefits (described below) during the year, list that person below and enter the amount of compensation or other benefits in the appropriate column See the Instructions.)
(A) Name and address (B) Loans and Advances (C) Compensation (if not paid, enter 0 ) (D) Contributions to employee benefit plans & dgferted com p ensation lans (E) Expense account and other allowances

Part Vt
76

Other Information (See the instructions)

. . 76 77

Yes

No
X X

Did the organization make a change in its activities or methods of conducting activities? If "Yes," attach a detailed statement of each change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77 Were any changes made in the organizing or governing documents not reported to the IRS? If "Yes," attach a conformed copy of the changes. 78 a Did the organization have unrelated business gross income of $1,000 or more during the year covered by this return? . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . b If "Yes," has it filed a tax return on Form 990-T for this years 79 Was there a liquidation, dissolution, termination, or substantial contraction during the years If "Yes," attach a statement ......................................................

. . .

78a 78b 79

K/A
X

80 a Is the organization related (other than by association with a statewide or nationwide organization) through common membership, governing bodies, trustees, officers, etc., to any other exempt or nonexempt organization' . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ P I EDMONT DEVELOPMENT CO b If "Yes," enter the name of the organization and check whether it is exempt or K nonexempt . . . . . . line 81 instructions.) 81a political expenditures (See . . . 81 a Enter direct and indirect b Did the orga nization file Form 1120-POL for this year? EEA .

80a

1b /A Form 990(2006)

Form990 (2006) EAST CAROLINA DEVELOPMENT CO, Part Vt Other Information rcontinuedi
82 a

INC

56-2044953

Pagel Yes No
X

Did the organization receive donated services or the use of materials, equipment, or facilities at no charge or at substantially less than fair rental value? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . b If "Yes," you may indicate the value of these items here. Do not include this amount as revenue in Part I or as an expense in Part II. 82b (See instructions in Part III .) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83 a Did the organization comply with the public inspection requirements for returns and exemption applications? . . . . . . . . . . . . b Did the organization comply with the disclosure requirements relating to quid pro quo contributions? 84 a Did the organization solicit any contributions or gifts that were not tax deductibles . . . . . . . . . . . . b If "Yes," did the organization include with every solicitation an express statement that such contributions or gifts were not tax deductible? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85 501(c)(4), (5), or (6) organizations. a Were substantially all dues nondeductible by members? . . . . . . b Did the organization make only in-house lobbying expenditures of $2,000 or less? . . . . . . . . . . . . If "Yes" was answered to either 85a or 85b , do not complete 85c through 85h below unless the organization c d e f g h . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

82a

83a X 83b i/A 84a 84b i/A 85a 85b q/A

received a waiver for proxy tax owed for the prior year. . . . . . . . . . . . . . . . . . 85c Dues, assessments, and similar amounts from members . . . . . . . . . . . . . . . . . . . . 85d Section 162(e) lobbying and political expenditures Aggregate nondeductible amount of section 6033(e)(1)(A) dues notices . . . . . . . . . . 85e . . . . . . . . . 85f Taxable amount of lobbying and political expenditures (line 85d less 85e) . . . . . . . . . . . . . . . . . . . Does the organization elect to pay the section 6033(e) tax on the amount on line 85f? If section 6033(e)(1)(A) dues notices were sent, does the organization agree to add the amount on line 85f to its reasonable estimate of dues allocable to nondeductible lobbying and political expenditures for the . . . . . . . . . . . . . following tax year? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 86a 86 501 (c)(7) orgs Enter a Initiation fees and capital contributions included on line 12 . . . . . . . . . . . . . 86b b Gross receipts, included on line 12, for public use of club facilities . . . . . . . . . . 87a 87 501(c)(12) orgs Enter: a Gross income from members or shareholders b Gross income from other sources (Do not net amounts due or paid to other 87b sources against amounts due or received from them.) . . . . . . . . . . . . . . . . . . 88 a At any time during the year, did the organization own a 50% or greater interest in a taxable corporation or partnership, or an entity disregarded as separate from the organization under Regulations sections 301.7701-2 and 301 7701-3? If "Yes," complete Part IX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . b At any time during the year, did the organization, directly or indirectly, own a controlled entity within the meaning of section 512(b)(13)? If "Yes," complete Part XI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ 89 a 501 (c)(3) organizations. Enter. Amount of tax imposed on the organization during the year under ; section 4912 ^ section 4955 ^ section 4911 ^ b 501 (c)(3) and 501 (c)(4) orgs. Did the organization engage in any section 4958 excess benefit transaction during the year or did it become aware of an excess benefit transaction from a prior year? If "Yes," attach a statement explaining each transaction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ ^ to a prohibited tax shelter . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . f All organizations Did the organization acquire a direct or indirect interest in any applicable insurance contract? g For supporting organizations and sponsoring organizations maintaining donor advised funds. Did the supporting organization, or a fund maintained by a sponsoring organization, have excess business holdings . at any time during the year? 90 a List the states with which a copy b Number of employees employed instructions ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . of this return is filed ^ in the pay period that includes March 12, 2006 (See . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 190b c Enter Amount of tax imposed on the organization managers or disqualified persons during the year under sections 4912, 4955, and 4958 . . . . . . . d Enter: Amount of tax on line 89c, above, reimbursed by the organization . . e All organizations At any time during the tax year, was the organization a party transaction? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

85g

85h

88a 88b

X X

89b

898 89f

X X

899

91 a The books are in care of ^ % STEPHEN LAROQUE KINSTON Located at ^ 2312 HODGES RD

Telephone no ^ 2 5 2 - 5 2 3 - 7 7 0 0 NC ZIP+4 ^ 28504

Yes 91 b No X

b At any time during the calendar year, did the organization have an interest in or a signature or other authority over a financial account in a foreign country (such as a bank account, securities account, or other financial account)? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ If "Yes," enter the name of the foreign country filing requirements for Form TD F 90-22.1, Report of Foreign Bank See the instructions for exceptions and and Financial Accounts. EEA

Form 990(2006)

Form 990 (2006)

Part Vt

EAST CAROLINA DEVELOPMENT CO,

(continued)

INC

56-2044953 Yes

Other Information

Page 8 No
X

91c c At any time during the calendar year , did the organization maintain an office outside of the United States? . . . . . . . . . . . . ^ If "Yes," enter the name of the foreign country . . . . . . . . . . . . ^ 92 Section 4947(a)(1) nonexempt charitable trusts filing Form 990 in lieu of Form 1041 - Check here . . . . . . . . . ^ 92 and enter the amount of tax -exempt interest received or accrued during the tax year

Part VII

Analysis of Income- Producing Activities (See the instructions.)

Unrelat ed business income Excluded by s ection 512, 513, or 514

Note : Enter gross amounts unless otherwise Indicated . 93 Program service revenue

(E)
Related exempt function income

( A)
Business code

(B)
Amount

(C)
Exclusion code

(D )
Amount

a I NTEREST/FEES ON RLF bI NTEREST/FEES ON RBE G cH OUSING SALES

d

401,925 4,103 5,788

e
If
9

Medicare/Medicaid payments

. . . . .

Fees and contracts from government agencies

94
95

Membership dues and assessments

interest on savings & temporary cash investments

49 , 249

96
97

Dividends and interest from securities

Net rental income or ( loss) from real estate

a b
98

. . . . . . . . debt-financed property not debt -financed property . . . . . . .

Net rental income or ( loss) from personal property

99
100

Other investment income . . . . . . . .

Gain or ( loss) from sales of assets other than inventory

101
102

Net income or (loss) from special events

Gross profit or (loss) from sales of inventory

103 b c d e 104 105

Other revenue a

Subtotal (add columns (B), (D), and (E)) Total (add line 104 , columns (B), (D), and (E))

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^

461,065 461,065

Note : Line 105 plus line 1e, Part I, should equal the amount on line 12, Part I Relationship of Activities to the Accomplishm ent of Exempt Purposes (See the instructions) Part VIII
Line No . 7 Explain how each activity for which income is reported in column ( E) of Part VII contributed importantly to the accomplishment of the organization 's exempt purposes (other than by providing funds for such purposes).

93A
93B Q'IC''

ADMINISTRATION OF THE REVOLVING LOAN FUNDS ALLOWS BUSINESSES TO EXPAND IN THE REGION
SAME gAMR AS AS ABOVE AROVR FOR RBEG GRANT LOANS

SMALL LOAN

Part IX

Information Regarding Taxable Subsid iaries and Disregarded Entities (See the Instructions.)
A Name, address, and IN of corporation, partnershi p, or disre garded entity B Percentage of ownershi p interest C Nature of activities (D) Total Income (E) End-of-year assets

Part X I
(a)

Information Regarding Transfers Associated with Personal Benefit Contracts (See the instructions)
K Yes K Yes No No

. Did the organization, during the year, receive any funds, directly or indirectly, to pay premiums on a personal benefit contracts . . . . . . . . . . . contracts or personal benefit year, pay premiums, directly indirectly, on a the (b) Did the organization, during and Form 4720 (see instructions) 8870 Note : If "Yes" to (b), file Form EEA

Form 990(2006)

Form 990 (20Q6)

Page 9

Pa>t Xt

Information Regarding Transfers To and From Controlled Entities .

is a controlling organization as defined in section 512(b)(13)

Complete only if the organization Yes No

106

Did the reporting organization make any transfers to a controlled entity as defined in section 512(b)(13) of the Codes If "Yes," complete the schedule below for each controlled entity. (A) Name , address , of each controlled entity (B) Employer Identification Number (C) Description of transfer (D) Amount of transfer

Totals Yes 107 Did the reporting organization receive any transfers from a controlled entity as defined in section 512(b)(13) of the Code? If "Yes," complete the schedule below for each controlled entity. (A) Name , address, of each controlled entity a (B) Employer Identification Number (C) Description of transfer (D) Amount of transfer No

Totals Yes 108 Did the organization have a binding written contract in effect on August 17, 2006, covering the interest, rents, royalties, and annuities described in question 107 above'
Under penalties of penury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is t (3, correct, and compi ec n of preparer (other than officer) is based on all information of which preparer has any knowledge

No

Please
S - lro g

Sign Here

Signature of officer

Date

S 7:ph,A) ^1ZoQ^E - ^REst^^i^r

Type or punt name and title s Date Check d LPreparees SSN or PTIN See Gen Inst X

Paid
Dmn^^u^ '^

signature
k) 11 TTTr T7
TrLTAT Q1-YKT /, T)

SCHEDULE A
(Form 990 or 990-EZ)

Organization Exempt Under Section 501(c)(3)

(Except Private Foundation) and Section 501(e), 501(f), 501(k), 501(n), or 4947(a)(1) Nonexempt Charitable Trust Supplementary Information -- (See separate instructions.)

OMB No 1545-0047

2006
on comber

Department of the Treasury I nternal Revenue Service

Name of the organization

^ MUST be completed by the above organizations and attached to their Form 990 or 990-EZ
Employer idantir

56-2044953 EAST CAROLINA DEVELOPME NT CO, INC Compensation of the Five Highest Paid Employees Other Than Officers , Directors, and Trustees Part 1
(Sac nano 9 of the inctrur.tlnnc List each nne If there are none. enter "None.")
(b) Title and average hours per week devoted to position (c) Compensation (d) Contributions to employee benefit plans & deferred com p ensation (e) Expense account and other allowances (a) Name and address of each employee paid more than $50,000

NONE

Total number of other employees pa id over $50,000

Part II-A Compensation of the Five Highest Paid Independent Contractors for Professional Services
(a) Name and address of each independent contractor paid more than $ 50,000 (b) Type of service (c) Compensation

STEPHEN LAROQUE

2312 HODGES ROAD

Kinston

NC 28504

EXECUTIVE DIRECTOR

195,000

Total number of others receiving over $50 ,000 for professional services
mir g IF t -F71 VVr^^IJCr^Jallvia VI aII UIV

^
a7raa ICJC r4IU it cpC I III vva^u aaa . av^.7 Ew vu^c^ ^aca^N.cJ

(List each contractor who performed services other than professional services, whether individuals or firms If there are none, enter "None." See page 2 of the instructions.)
NONE (a) Name and address of each independent contractor paid more than $50,000 (b) Type of service (c) Compensation

Total number of other contractors receiving over $50,000 for other services

^
EEA Schedtde A (foam 990 or 99o-EZ) 2006

For paperwork Redtx.;tion Act Nuha4 see the hstnctiam for Fenn 990 and Forth 990-EL

EAST CAROLINA DEVELOPMENT CO,

Schedule A ( Form 990 or 990-EZ) 2006 drt 1tt 1

INC

56-2044953
Page 2 Yes No

Statements About Activities ( See page 2 of the instructions .)

During the year , has the organization attempted to influence national , state , or local legislation , including any attempt to influence public opinion on a legislative matter or referendum? If "Yes," enter the total expenses paid (Must equal amounts on line 38, or incurred in connection with the lobbying activities Part VI- A, or line i of Part VI- B.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Organizations that made an election under section 501(h) by filing Form 5768 must complete Part VI-A. Other organizations checking "Yes" must complete Part VI-B AND attach a statement giving a detailed description of the lobbying activities

During the year, has the organization, either directly or indirectly, engaged in any of the following acts with any substantial contributors, trustees, directors, officers, creators, key employees, or members of their families, or with any taxable organization with which any such person is affiliated as an officer, director, trustee, majority owner, or principal beneficiary'? (If the answer to any question is "Yes," attach a detailed statement explaining the transactions ) a b c d e Sale , exchange , or leasing of property . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I 2a 2b 2c 2d 2e X X X X X

Lending of money or other extension of credit? Furnishing of goods, services, or facilities'

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Payment of compensation (or payment or reimbursement of expenses if more than $1,000)? Transfer of any part of its income or assets '

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

3a

Did the organization make grants for scholarships, fellowships, student loans, etc? (If "Yes," attach an explanation . . . . . . . . . . . . . . . . . . . . of how the organization determines that recipients qualify to receive payments.) . . . . . . . . . . . . . . . . . . . . . .

3a 3b

X X

b Did the organization have a section 403(b) annuity plan for its employees?

c Did the organization receive or hold an easement for conservation purposes, including easements to preserve open . . . . . . . . . space, the environment, historic land areas or historic structures? If "Yes," attach a detailed statement d Did the organization provide credit counseling, debt management, credit repair, or debt negotiation services? . . . . .

3c I 3d

X LX

4 a Did the organization maintain any donor advised funds? If "Yes," complete lines 4b through 4g If "No," complete lines 4f and 4g . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . b Did the organization make any taxable distributions under section 4966" c Did the organization make a distribution to a donor, donor advisor, or related person ? d Enter the total number of donor advised funds owned at the end of the tax year . . . . . . . . . . . . . . . . .

4a 4b L4c _L

X X I X

. . . . . . . . . . . . . . . . . . . ^ . . . . . . . . ^

e Enter the aggregate value of assets held in all donor advised funds owned at the end of the tax year f

Enter the total number of separate funds or accounts owned at the end of the tax year (excluding donor advised funds included on line 4d) where donors have the right to provide advice on the distribution or investment of amounts in such funds or accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ . . . . ^
Schedide A (Form 990 or 994Ez) 2006

9 Enter the aggregate value of assets held in all funds or accounts included on line 4f at the end of the tax year
EEA

.EAST CAROLINA DEVELOPMENT CO,

Schedule A (Form 990 or 990-EZ) 2006 Fdrt IV

INC

56-2044953
Page 3

Reason for Non-Private Foundation Status (See pages 4 through 7 of the instructions.)

I certify that the organization is not a private foundation because it is- (Please check only ONE applicable box ) 5 6 7 8 9 K A church, convention of churches, or association of churches Section 170(b)(1)(A)(i) K A school Section 170(b)(1)(A)(ii) (Also complete Part V) K A hospital or a cooperative hospital service organization. Section 170(b)(1)(A)(11i) K A federal, state, or local government or governmental unit. Section 170(b)(1)(A)(v). K A medical research organization operated in conjunction with a hospital. Section 170(b)(1)(A)(iii) Enter the hospital's name, city, and state ^ K An organization operated for the benefit of a college or university owned or operated by a governmental unit. Section 170(b)(1)(A)(iv) (Also complete the Support Schedule in Part IV-A.)

10

11a An organization that normally receives a substantial part of its support from a governmental unit or from the general public. Section 170(b)(1)(A)(vi). (Also complete the Support Schedule in Part IV-A.) 1lb K A community trust Section 170(b)(1)(A)(vi) (Also complete the Support Schedule in Part IV-A) 12 K An organization that normally receives : (1) more than 33 1/3% of its support from contributions, membership fees, and gross receipts from activities related to its charitable, etc , functions - subject to certain exceptions, and (2) no more than 33 1/3% of its support from gross investment income and unrelated business taxable income (less section 511 tax) from businesses acquired by the organization after June 30, 1975 See section 509(a)(2). (Also complete the Support Schedule in Part IV-A) K An organization that is not controlled by any disqualified persons (other than foundation managers) and otherwise meets the requirements of section 509(a)(3). Check the box that descibes the type of supporting organization* K Type III-Other K Type III-Functionally Integrated K Type I K Type II
Provide the following information about the suooorted organizations . (See nacre 7 of the instructions )

13

(a) Name( s) of supported organization ( s)

(b) Employer identification number (EIN)

(c) Type of organization (described in lines 5 through 12 above or IRC section )

(d) Is the supported organization listed in the supporting organization's governing documents? Yes No

(e) Amount of support

Total 14

1 K An organization organized and operated to test for public safety. Section 509(a)(4). (See page 7 of the instructions )
EEA Schec e A (Form 990 or 990.EZ) 2006

EAST CAROLINA DEVELOPMENT CO,

INC

56-2044953

Schedule A ( Form 990 or 990-EZ) 2006 Page 4 Part EV-A Support Schedule ( Complete only if you checked a box on line 10, 11, or 12.) Use cash method of accounting. Note : You may use the worksheet in the instructions for convertina from the accrual to the cash method of accounting. (e) Total Calendar year ( or fiscal year beginning in) . (a) 2005 ^ ( b) 2004 (c) 2003 ( d) 2002 15 Gifts , grants , and contributions received. (Do

not include unusual grants . See line 28 .)

16 17 Membership fees received Gross receipts from admissions , merchandise sold or services performed , or furnishing of

99,900

99,900
0

facilities in any activity that is related to the organization's charitable etc purpose
18 Gross income from interest , dividends, amounts received from payments on securities loans ( section 512 (a)(5)), rents, royalties, and unrelated business taxable income (less section 511 taxes ) from businesses acquired by the organization after June 30 , 1975 Net income from unrelated business activities not included in line 18 Tax revenues levied for the organization's benefit and either paid to it or expended on its behalf ................... The value of services or facilities furnished to the organization by a governmental unit without charge . Do not include the value of services or facilities generally furnished to the public without charge . Other income . Attach a schedule Do not

276,546

289,272

272,932

212, 4 9 7

, 0 51, 2 4 7

45,948

3,066

6,082

5, 9 0 9

61 , 0 0 5
0

19 20

21

22 23 24 25 26 b

include gain or (loss) from sale of capital assets

11,935

300

12 , 2 3 5

c d e f 27

Total of lines 15 through 22 318, 606 1 334,429 292,338 279,014 Line 23 minus line 17 . 57,883 3,066 6,082 106,109 Enter 1 % of line 23 3,344 1 2,923 , 2,790 1 3, 186 1 Organizations described on lines 10 or 11 : a Enter 2% of amount in column (e), line 24 . . . . . . . . . . ^ 26a Prepare a list for your records to show the name of and amount contributed by each person (other than a governmental unit or publicly supported organization) whose total gifts for 2002 through 2005 exceeded the 26b amount shown in line 26a . Do not file this list with your return . Enter the total of all these excess amounts ^ . . . . . . . . . . . . . . . . . . . . . . . ^ 26c Total support for section 509 (a)(1) test Enter line 24 , column ( e) 18 Add Amounts from column (e) for lines. 61 , 0 0 5 19 0

,224,387 173,140
3 , 463

17 3 , 14 0

22
Public support ( line 26c minus line 26d Public support percentage ( line 26e Organizations described on line 12: person," prepare a list for your records Do not file this list with your return .

12,235

26b

.......... ^

26d

73, 240

total ) ^ 26e 99 , 900 ( numerator ) divided by line 26c (denominator )) . ^ 26f 57.70% a For amounts included in lines 15, 16, and 17 that were received from a "disqualified to show the name of, and total amounts received in each year from, each "disqualified person Enter the sum of such amounts for each year

(2004) (2003) (2002) (2005) For any amount included in line 17 that was received from each person (other than "disqualified persons"), prepare a list for your records to show the name of, and amount received for each year, that was more than the larger of (1) the amount on line 25 for the year or (2) $5,000 (Include in the list organizations described in lines 5 through 11 b, as well as individuals .) Do not file this list with your return . After computing the difference between the amount received and the larger amount described in (1) or (2), enter the sum of these differences (the excess amounts) for each year: (2005) (2004) (2003) (2002)

c d e f g h 28

15 16 Add: Amounts from column (e) for lines: . . . . . . 17 20 21 . . . . . . and line 27b total . Add Line 27a total . . Public support (line 27c total minus line 27d total) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ^ 27f Total support for section 509(a)(2) test: Enter amount from line 23, column (e) Public support percentage ( line 27e ( numerator ) divided by line 27f (denominator)) . . . . . . . . Investment incom e percentage ( line 18, column ( e) (numerator ) divided by line 27f (denominator))

. . . . ^ . . . . ^ . . . . ^ 0 . . . . ^ . . . . ^

27c 27d 27e 27g 27h % %

Unusual Grants : For an organization described in line 10, 11, or 12 that received any unusual grants during 2002 through 2005, prepare a list for your records to show, for each year, the name of the contributor, the date and amount of the grant, and a brief description of the nature of the grant. Do not file this list with your return . Do not include these grants in line 15.
EEA SchmMe A (Farts 990 or 996EZ) 2006

EAST CAROLINA DEVELOPMENT CO,

INC

56-2044953
Page 5

Schedule A (Form 990 or 990-EZ) 2006 Private School Questionnaire (See page 9 of the instructions.) Part Y

(To be completed ONLY by schools that checked the box on line 6 in Part IV)
29 30 Does the organization have a racially nondiscriminatory policy toward students by statement in its charter, bylaws, other governing instrument, or in a resolution of its governing body . . . . . . . . . . . . . . . . . . . . . . . . . Does the organization include a statement of its racially nondiscriminatory policy toward students in all its brochures, catalogues, and other written communications with the public dealing with student admissions, programs, and scholarships? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Has the organization publicized its racially nondiscriminatory policy through newspaper or broadcast media during the period of solicitation for students, or during the registration period if it has no solicitation program, in a way that makes the policy known to all parts of the general community it serves . . . . . . . . . . . . . . . . . . . . . If "Yes," please describe; if "No," please explain. (If you need more space, attach a separate statement) Yes 29 No

30

31

31

32 a b c d

Does the organization maintain the following: Records indicating the racial composition of the student body, faculty, and administrative staff? . . . . . . . . . . . . . Records documenting that scholarships and other financial assistance are awarded on a racially nondiscriminatory basis ....................................................... Copies of all catalogues, brochures, announcements, and other written communications to the public dealing with student admissions, programs, and scholarships' . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Copies of all material used by the organization or on its behalf to solicit contributions If you answered "No" to any of the above, please explain. (If you need more space, attach a separate statement.)

32a 32b 32c 32d

33 a b c d e f g h

Does the organization discriminate by race in any way with respect to Students' rights or privileges? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Admissions policies? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Employment of faculty or administrative staff? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33a 133b 33c 33d 33e 133f

Scholarships or other financial assistance? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Educational policies? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Use of facilities ? Athletic programs? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Other extracurricular activities?

133h

If you answered "Yes" to any of the above, please explain (If you need more space, attach a separate statement.)

34a b

Does the organization receive any financial aid or assistance from a governmental agency9

. . . . . . . . . . . . . .

34a 34b

Has the organization's right to such aid ever been revoked or suspended ? . . . . . . . . . . . . . . . . . . . . . . If you answered "Yes" to either 34a or b, please explain using an attached statement. Does the organization certify that it has complied with the applicable requirements of sections 4.01 through 4.05 of Rev Proc. 75-50, 1975-2 C.B. 587, covering racial nondiscrimination? If "No," attach an explanation
EEA

35

35

Schedide A (Forth 990 or 994EZ) 2006

EAST CAROLINA DEVELOPMENT CO,

INC

56-2044953

Page 6 Schedule A ( Form 990 or 990-EZ) 2006 Part VI-At Lobbying Expenditures by Electing Public Charities (See page 10 of the instructions.) (To be completed ONLY by an eligible organization that filed Form 5768) Check ^ b Check ^ a if you checked a" and 'limited control' provisions apply if the organization belongs to an affiliated group .

Limits on Lobbying Expenditures

36 37 38 39 40 41 (The term "expenditures" means amounts paid or incurred.) . Total lobbying expenditures to influence public opinion (grassroots lobbying) . . Total lobbying expenditures to influence a legislative body (direct lobbying) Total lobbying expenditures (add lines 36 and 37) . . . . . . . . . . . . . . . Other exempt purpose expenditures . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Total exempt purpose expenditures (add lines 38 and 39) Lobbying nontaxable amount. Enter the amount from the following tableIf the amount on line 40 isThe lobbying nontaxable amount Not over $500,000 . . . . . . . . . . . . 20% of the amount on line 40 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . is. . . . . . . 41 36 37 38 39 40

(a) Affiliated group totals

(b) To be completed for all electing organizations

42 43 44

Over $500,000 but not over $1,000,000 . . $100,000 plus 15% of the excess over $500,000 Over $1,000,000 but not over $1,500,000 . $175,000 plus 10% of the excess over $1,000,000 Over $1,500,000 but not over $17,000,000 $225,000 plus 5% of the excess over $1,500,000 Over $17,000,000 . . . . . . . . . . . . . $1,000,000 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Grassroots nontaxable amount (enter 25% of line 41) . . . . . . . . . . . . . Subtract line 42 from line 36. Enter -0- if line 42 is more than line 36 Subtract line 41 from line 38. Enter -0- if line 41 is more than line 38 . . . . . . . . . . . . . Caution : If there is an amount on either line 43 or line 44, you must file Form 4720.

42 43 44

4-Year Averaging Period Under Section 501(h)

(Some organizations that made a section 501(h) election do not have to complete all of the five columns below See the instructions for lines 45 through 50 on page 13 of the instructions.) Lobbying Expenditures During 4-Year Averaging Period Calendar year ( or fiscal year beginning in) ^ 45 46 47 48 49 50 Lobbying nontaxable amount Lobbying ceiling amount (150% of line 45(e)) Total lobbying expenditures Grassroots nontaxable amount Grassroots ceiling amount (150% of line 48(e)) Grassroots lobbying expenditures . (a) 2006 (b) 2005 ( c) 2004 (d) 2003 (e) Total

E Pact VI-Bj

Lobbying Activity by Nonelecting Public Charities

(For reporting only by organizations that did not complete Part VI-A) (See page 13 of the instructions.) During the year, did the organization attempt to influence national, state or local legislation, including any Yes attempt to influence public opinion on a legislative matter or referendum, through the use of: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . a Volunteers . . . . . . . b Paid staff or management (Include compensation in expenses reported on lines c through h.) c d e f g h i Media advertisements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Mailings to members, legislators, or the public . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Publications, or published or broadcast statements . . . . . . . . . . . . . . . . . . . . . . . . Grants to other organizations for lobbying purposes Direct contact with legislators, their staffs, government officials, or a legislative body . . . . . . . . . . . . . . . . . Rallies , demonstrations, seminars, conventions, speeches, lectures, or any other means . . . . . . . . . . . . . . . . . . . . . . . . Total lobbying expenditures (Add lines c through h.) If "Yes" to any of the above, also attach a statement giving a detailed description of the lobbying activities.
EEA

No

Amount

. . . .

. . . . . .

. . . . . . . . .
schedul e A (Form 990 or 99QEZ) 2006

ScheduleA (Form 990or990-EZ)2006 EAST CAROLINA DEVELOP MENT CO,

VII
51 a

INC

56-2044953

Page7

Information Regarding Transfers To and Transactions and Relationships With Noncharitable Exempt Organizations (See page 13 of the instructions.)

Did the reporting organization directly or indirectly engage in any of the following with any other organization described in section 501(c) of the Code (other than section 501 (c)(3) organizations) or in section 527, relating to political organizations? Transfers from the reporting organization to a nonchantable exempt organization of. 51a(i) (i) Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . a(ii) (ii) Other assets ................................................. Other transactions. . . (i) Sales or exchanges of assets with a noncharitable exempt organization (ii) Purchases of assets from a noncharitable exempt organization . . . . . . . . . . . . . . . . . . . . . . (iii) Rental of facilities , equipment, or other assets (iv) Reimbursement arrangements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . b(i) b(ii) b(iii) b(iv) b(v) b(vi)

Yes

No X X X X X X X X X

(v) Loans or loan guarantees . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (vi) Performance of services or membership or fundraising solicitations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . c Sharing of facilities , equipment, mailing lists , other assets , or paid employees If the answer to any of the above is "Yes," complete the following schedule. Column (b) should always show the fair market value of the goods, other assets, or services given by the reporting organization. If the organization received less than fair market value in any

52a

Is the organization directly or indirectly affiliated with, or related to, one or more tax-exempt organizations . . . . . . . . . . . . . 00. R Yes described in section 501(c) of the Code (other than section 501(c)(3)) or in section 5279

No

EEA

Sche kde A (Forth 990 or 994EZ) 2005

Statement of Program Service Accomplishments

Name (s) as shown on return

2006

01

Your Social Security Number

EAST CAROLINA DEVELOPMENT CO,

INC
PART III (a)

56-2044953

FORM 990,

Grants and Allocations Program Service Expenses

Includes Foreign Grants

$0 $273942
NO

Explanation
SEE STATEMENT NO 1

STM LD

Form 4562
Department of the Treasury Internal Revenue Service Name (s) shown on return

Depreciation and Amortization

(Including information on Listed Property)
^ See separate instructions . ^ Attach to your tax return. Business or activity to which this form relates

OMB No . 1545-0172

2006
Attachment Sequence No. 67 Identifying

PROGRAM SERVICES EAST CAROLINA DEVELOPMENT CO. IN Election To Expense Certain Property Under Section 179 Part 1
1 2 3 4 5 Note : If you have any listed property, complete Part V before you complete Part I. Maximum amount. See the instructions for a higher limit for certain businesses . . . . . . . . . . . . . . . . . Total cost of section 179 property placed in service (see instructions) . . . . . . . . . . . . Threshold cost of section 179 property before reduction in limitation . . . . . . . . Reduction in limitation Subtract line 3 from line 2 If zero or less, enter -0Dollar limitation for tax year. Subtract line 4 from line 1 If zero or less, enter -0- If married filing
separately, see instructions (a) Description of property (b) Cost (business use only)

56-2044953

. . . .

. . . .

. . . .

. . . .

. . . .

. . . .

. . . .

1 2 3 4
5

...................................... (c) Elected cost

6 . . . . . . . . . . . . . . . 7 Listed property. Enter the amount from line 29 7 . . . . . . . . . . . 8 Total elected cost of section 179 property Add amounts in column (c), lines 6 and 7 9 Tentative deduction. Enter the smaller of line 5 or line 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Carryover of disallowed deduction from line 13 of your 2005 Form 4562 11 Business income limitation Enter the smaller of business income (not less than zero) or line 5 (see instructions) 12 Section 179 expense deduction. Add lines 9 and 10, but do not enter more than line 11 13 Carryover of disallowed deduction to 2007. Add lines 9 and 10, less line 12 ^ 13 Note : Do not use Part II or Part III below for listed property. Instead, use Part V

8 9 10 11 12

Part LI
14 15 16

Special Depreciation Allowance and Other Depreciation ( Do not include listed property
14 15 16

Instructions

Special allowance for qualified New York Liberty or Gulf Opportunity Zone property (other than listed . . . . . . . . . . . . . . . . . . . . property) placed in service during the tax year (see instructions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . section 168(f)(1) election Property subject to Other depreciation (including ACRS)

Part It!
17 18

MACRS Depreciation

(Do not include listed property) (See instructions)

. . . . . . . . . . . 17 more . . . . . . . ^ n the General Depreciation System
(e) Convention (f) Method ( g) Depreciation deduction

Section A MACRS deductions for assets placed in service in tax years beginning before 2006 If you are electing to group any assets placed in service during the tax year into one or . . . . . . . . . . . . . . . . . . . . . . . general asset accounts, check here Section B - Assets Placed in Service During 2006 Tax Year Using
(a) Classification of property Month and year placed in service C Basis for depreciation (businesslnvestment use only-see instructions)

(d ) Recovery period

19a b c d e f

3-year property 5-year property 7-year property 10-year property

15-year property 20-year property 25 yrs S/L g 25-year property 27 5 yrs. MM S/L h Residential rental 27 5 yrs MM S/L property MM 39 yrs. S/L i Nonresidential real MM S/L property Section C - Assets Placed in Servi ce During 2006 Tax Year Using the Alternative Depreciation System S/L 20a Class life 12 yrs. S/L b 12-year 40 yrs. MM S/L c 40-year Listed property. Enter amount from line 28 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Total . Add amounts from line 12, lines 14 through 17, lines 19 and 20 in column (g), and line 21. Enter here and on the appropriate lines of your return. Partnerships and S corporations - see instr. 23 For assets shown above and placed in service during the current year, 23 enter the portion of the basis attributable to section 263A costs EEA For Paperwork Reduction Act Notice , see separate instructions . 21 22 21 22

Form 4562 (2006)

Federal Su pp ortin g Statements

Name (s) as shown on return

2006
FEIN

PG 01

EAST CAROLINA DEVELOPMENT CO,

INC
57

56-2044953
Statement #116

FORM 990, SCH FOR PART IV , LINE LAND ETC. SCHEDULE

Accumulated
Category or Item Basis Depriciation End of Year

EQUIPMENT LAND BUILDING AND LAND TOTAL

12,342 42,400 76,069 130,811

12,342 42,400 76,069 12, 342 118,469

Statement

#AO1

STEPHEN LAROQUE

Explanation
CONTRACT LABOR FOR ADMINISTRATION AND OPERATION

STATMENTLD