AIESEC INTERNATIONAL NOTES TO THE FINANCIAL STATEMENTS AS AT MAY 31, 2020

1. Status and purpose of the Organization

AIESEC International (the Organization) is a not-for-profit organization incorporated under the Canada Not-for-profit Corporations Act on February 8, 2018. It is a global, non-political and independent organization run by students and recent graduates of institutions of higher education. Its membership is composed of member committees representing the Organization throughout the world. The Organization does not discriminate on the basis of gender, sexual orientation, disability, religion, nationality, ethnic or social origin.

The purpose of the Organization is to achieve peace and fulfillment of humankind potential by enabling young people to develop their leadership potential and entrepreneurial spirit. The Organization offers its members an integrated development experience comprised of leadership opportunities, international exchanges and participation in a global learning environment. The Organization partners with local communities, non-governmental organizations, companies and other organizations, which aim to foster sustainable development.

2. Impact of the COVID-19 pandemic

In March 2020, the World Health Organization declared a worldwide pandemic due to the novel coronavirus (COVID-19). The situation regarding the pandemic is constantly evolving and the new measures taken impact the economy internationally, nationally, provincially and locally.

The Organization has implemented actions impacting its operations due to COVID-19 such as hosting all of their conferences virtually rather than physically and urged all AIESEC offices to stop running operations. As the situation is developing differently in different countries and territories, the Organization assessed on a per-situation basis how best to move forward.

Management continues to monitor the situation and has taken action to ensure the viability of the organization including monitoring their cash flows and obligations and applying for the Canada Emergency Wage Subsidy (CEWS) relief measure described in Note 13.