Economic slowdown hits hard - Stephanie Toone, Augusta Chronicle

Paine College is one of many historically black colleges hit hard by the sour economy. The United Methodist-affiliated, predominantly black college's $8 million endowment has dropped 20 percent over the past three months because of the nosedive in the stock market, said Brandon Brown, the vice president of development. President George Bradley has placed a freeze on endowment spending and has no plans to hire new faculty, he said. The university typically spends about 5 percent of the endowment each year, Mr. Brown said. "That was a great hit for a school our size, so we are eagerly anticipating a recovery," he said. "We're reviewing all spending practices to make sure we're being as fiscally responsible as possible."