EFTA01127817.pdf

Blodi Faren, Pa't-02(5 Percentages evenerabionercentacits within I BF Neli:Ines (1r sfets oecternd on Amil 19.2007E of EntIty Values (as of Pont 19, 2007E Tow Namrzlo 4/16/203/ Va4abon JPM Loan Proceeds Stratege Proceeds Man 2007 motne Fran BFP Lar Hoiangs L8F14oldrgs LLC metan 'ovesi/rent Trust A (MI III) 0 0000% S S S - Stanarinam ut • Juan InVEISIMent Trost 8 (MI M S 838.243 0068% 0124% S 536.199 384.540 S 7,715 S 352254 Marusgmiont 636243 Jude, Invosinfom Tnal C (AM VI S 3,100,119 0328% 0457% S 1.983.065 1822934 S 28531 S 1450.895 Meneweint V 5 3.106119 Julah mvesrenl Trust D (4.4 S 45238,845 5178% 7255% S 31495360 22,587,152 3 453839 S 23.043291 Nanagement V1 5 49,236,845 Judah Investwent Trust E (MM) 5 205673.688 21.734% 30455% S 132.203.071 94.815501 S 1.902.071 S 95712.573 NM S 206.673.888 Judas Masivnem Trust F (VabJe) S 14145190 1551% 2.173% S 9.432.703 5788740 3 135.713 S 8.900.453 Vana Man/igrani S 14,745190 Jame Investrtlent Trust G (SW) S 104.220,741 10960% 15.358% S 66,668538 47,810.734 S 959.170 S 45769.904 SW Maregermint S 104,220.741 kodah Invotimant Trust II (MB) S 15.503.790 I 630% 2.265% S 9.917518 7,112.285 S 142,665 S 7.264.970 Asta Managernent S 15,503,790 Judah Wvestment Trust I (Europe) S 163,757,015 17221% 24.131% 5 104.760.539 75,122,696 3 1.507.098 5 76.629.744 &rope lAana0emere S 163,752015 Judah Invostment Trust J (MA) S 120535149 12678% 17.763% S 77105,343 56,24,720 S 1,109.353 i 56405.073 MA S 120530 149 Gamsa S 272.320,082 28637% S Goo:leni S 272,320,082 Total S C -6%,*~- w 100000% 100000% S 434.090.527 311,311.531 S 5245.477 5 317.537.004 434090527 311611531 3 5245.477 S 317,557.004 I‘ 5 Vabe AOPSOK S 10,469,702 %olLlFwleOW 71.363% m eQ#8.1*-151CNivy, SVF nimava S 43.386237 Asa NMSOM S 11,111,560 SOMA Admen 5 13.664,035 368-4-sk Ownership porcentaoes of Black tanilo Partner; (transl4Fa occurred on Arne 7.2007E (st of Fntity Valuti (as of June 7 20070 StraitepiC Proceeds adst122271an TOW Proceeds LI* HolcIng3 LLC 851.690.121 67.60% S 311.311,531 6,245,477 317,557.008 L8F HoeIngs S 851.650.121 Juan Inestanent Trust K (AA vi) 19961 216 158% S 7,259,713 S 14.5,643 7.405.356 SW Aenows S 44,803.073 Jati Instanten' TNP L 24.098.404 1.91% S 8508896 S 176,715 5995.213 Vas 404sors S 10,664,982 Mah Maniram Trost M 58791572 467% S 21.489,663 431,122 21.920.775 Asi* Adams S 11,359,014 Judah Instantni Duet N 49.073,988 369% S 17.937,465 359,881 I5297887 SOMA Athwors S 14,301,558 Judah 'nemirnem Trust O 53.838110 4 27% 5 19,679,017 S 394.797 20.073,814 Leon D Black Weestment Trusts A 25.352601 201% 9.269.925 105909 9452,736 Adviscies IV S 37,484,5es Black famet 1997 Trust 23.274.198 1.85% S 8507.233 S 170.671 8,677,904 Advison V S 84,143,973 4 separaw 1992 boste fce loon Mode* chatten 72831,735 575% S 26.475397 531,145 27.008.542 Senika V1 S 68.935,204 4 separate 1988 vests la Leon Moda obleten 3215,230 028% S 1.175,216 S 23,577 1,191615 AAA Assomates S 53538,110 Leon Black (neartuady) 78 339 645 6 22% S 28634 869 574 468 29108.336 TOTAL. 1159110,621 100.00% S 400545.640 3 9.239.384 09.784,964 Co-Investors 7.200,000 469.784.984 Co-Investors N 5 7603.000 %vdala 9078% Co.Investoes V S 22.503.000 64-InveaorS V1 S 34.050,000 NC Co-Investars S 7580,000 V•Ne CO-IfIVCJWIS S 6926003 SYF CO-Vert3SICCS SOMA CO•Invellpfli S 603,003 1259,968.621 EFTA01127817  ICJ • I —A I • i__M __A 1__ _-a Exhibit C APOLLO MANAGEMENT HOLDINGS. LP CONCLUSION OF EQUITY INTEREST AS OF APRIL 16, 2007 Assts Applicata* Lack of Aggregate Marketable Marketability Aggregate Fair Partners Pro Pro Rata Fair % Exhaling Asset Discount Market Value Rata Interest Market Value Contribution Value of Equity 10% SO 30,35% SO 0.0% Apollo 'Armor-nen, l P. Ma 13268101 10% 52.761.920 30.35% 1838.243 01% Apollo Management IV. L.P. 13.100.119 03% $12.017.131 15% $10214.562 30.35% Apollo Managnment V. L P. 30,36% 149.236246 49% *ago Mennutment vi. L P $1901/58.971 15% $162230.131 15% 1864.743.465 23.90% 1201.613268 205% Apollo Imestrnent Management, s P. 11.017.345253 15% 914.818.550 26.90% $14.746.190 1.5% $61.492Al2 • Alookt Value Management. L P, 15% 1236265,320 44.00% 1164,220.741 104% Apollo SW Management LP. 1278.665.002 $43Ji$23Ft' 84% Jr Apollo koa Atragetnent L P. 1124233.627 144.044259 20% 201E 399,786,902 135.235.887 44.00% 84.00% 115203.790 1.5% 1.1% tad Apollo I ;sore abnormal. LP. 13104.933 1,466.218,791 20% 20% 525253.546 1372.175.033 44.0)% 44,00% Warbeer $163,767,015 163% 20% 1273.952/611 48.02% 1120,539.149 12.0% Apollo Akernatve Assets. LP. 1342,440.764 L 1 t; 4ic yF-1 8136037,927 S7y471577- 729% Staloini $2.574.452.630 Planned rundoCi000Wif 30.36% $92.940.669 9.2% 1382.786.941 20% 1300220243 Apollo Management VW L.P. 24.64% 161220.427 8.1% 5439.504.477 25% 1329.628.358 Apollo Matson VV. IP. 44.00% 110.845211 1.1% Apollo EDF Management. L P. 630111.391 20% 124.649.115 20% $22242.185 44.00% 19,703.562 1.0% Apollo EPF Arhisors, LP. 127202232 20% 191742.284 44.00% 143.886605 4.4% New Find Management LP, 5124.577.856 20% 176455018 44.00% 133,640208 3 3% New Find Adatsors, L.Ps 196.568.772 $858946,513 1272.320.002 271% SIMOOY S1.101.152.171 $2.996.994,440 $lpof, 651 IGO 0% Total Assets $3.671404,801 -icy fiA-; 23 LiabiligeS S Equity Total Liabilities SO SO so $3.675.604201 52.996 904 440 $1.005.953658 Total Equity 33,675.604,601 52,996944.44 51,005,963.658 Total Liabilities and Equity 62,096 984.440 Aggregate Fair Marker Value 51005,053650 Pro Rata. Fair Market Value of Partners Interest 11.005.953,618 Pro Rata. Fair Market Value of Mutner's Interest 33.57% Concluded Equity Interest of Partner In AMHLP 50% (550297.683( Less- Investment Company Wean 966,655276 Worry Marketable Naha 100% (595.565.598) Less Leek of litarketablty Dni:O41,11 3660,090,376 Fat Market Value of 33.05% Interest in AMHLP 1866100.000 Fair Market Value of 33.67% Interest In AMHLP. Rounded le was meopmed thai Ma any S. own* curren0y pent to me respective Apollo Management comOseY woad be0a to be paid lo the Apollo Aqvisce entry. EFTA01127818  EXHIBIT A-1 APOLLO MANAGEMENT, LP DISCOUNTED FUTURE EARNINGS AS OF APRIL 16, 2007 HISTORY PROJECT PROJECT 2006 2007 2008 Adjusted Invested Capital $341,800,000 $119.600,000 $0 Management Fees $6,034,471 $0 $0 Operating Expense Ratio Estimate 68.6% 0.0% 0.0% Operating Expenses ($4,137,805) $0 $0 Operating Income $1,896,666 $0 $0 Margin: Adjustment Adjusted Pre-Tax Income $1,896,666 $0 $0 Tax Rate 42% 42% 42% Tax $796,600 $0 $0 Net Income $1,100,066 $0 $0 Days 259 624 Present Value Factors 11% 1.0000 0.9286 0.8366 Present Value $0 $0 Sum of Present Values $0 Pass-through premium 15% $0 Aggregate Marketable Value of Invested Capital $0 Less: Outstanding Debt $0 Aggregate Marketable Value of Partners' Capital $0 Partners Pro Rata Percentage 30.35% $0 Discount for Lack of Marketability 10% $0 Pro Rata, Fair Market Value of Partners Capital $0 Pro Rata, Fair Market Value of Partner's Capital, rounded EFTA01127819  EXHIBIT A-2 APOLLO MANAGEMENT IV, LP DISCOUNTED FUTURE EARNINGS AS OF APRIL 16, 2007 HISTORY PROJECT PROJECT PROJECT PROJECT 2006 2007 2008 2009 2010 Adjusted Invested Capital' $1.043.700.000 $649.128.201 $0 $0 $0 Management Fees' Operating Expense Ratio Estimate $6.142.871 $3.164,500 $0 $0 Operating Expenses• 51.7% 32.0% 0.0% 0.0% Pre-Tax Income ($3,176.672) ($1,012,209) $0 $0 $2.966.199 $2,152,291 $0 $0 Adjustments Adjusted Pre-Tax Income $0 $0 $0 $0 Tax Rate $2,966,199 $2,152,291 $0 $0 Tax 42% 42% 42% 42% Net Income $1245.804 $903,962 $0 $0 $1,720,395 $1.248,329 $0 $0 Horizon Value (Gordon Growth Model)• Days Present Value Factors 259 624 989 1,354 Present Value 0.9346 0.8496 0.7724 0.7022 $1,607.891 $1,060,632 $0 $0 Discount Rate: 10% Sum of Present Values Pass-through premium $2,668,522 Aggregate Marketable Value of Invested Capital 15% $400,278 Less: Outstanding Debt $3,068,801 Aggregate Marketable Value of Partners' Capital $0 $3,068,801 Partners Pro Rata Percentage 30.35% $931,381 Discount for Lack of Marketability Pro Rata, Fair Market Value of Partners Capital 10% ($93,138) $838,243 Pro Rata, Fair Market Value of Partners Capital, rounded $840,000 'Sand on projections provided by manspoment EFTA01127820  EXHIBIT A-3 APOLLO MANAGEMENT V, LP DISCOUNTED FUTURE EARNINGS AS OF APRIL 16, 2007 HISTORY PROJECT PROJECT PROJECT PROJECT PROJECT 2006 2007 2008 2009 2010 2011 Adjusted Invested Capital' 51,808,400,000 $1.694200.000 $984,976,667 $593,497,619 $150,000,000 $0 Management Fees' $13.348,875 $11,376,706 $6,653,302 $3.619,674 $843,750 Operating Expense Ratio Estimate 51.7% 32.0% 36.1% 41.9% 32.3% Operating Expenses' ($6.903.123) ($3.638.995) ($2.400.520) (61,516.158) ($272,830) Pre-Tax Income 56,445.752 $7,737,711 $4,252,782 $2,103.516 $570,920 Adjustments $0 $0 SO $0 $0 Adjusted Pre-Tax Income $6,445,752 $7,737,711 $4,252,782 $2.103,516 $570,920 Tax Rate 42% 42% 42% 42% 42% Tax $2.707.216 53.249,839 $1,786,168 5883,477 $239,787 Net Income $3,738,536 $4,487,872 $2,466,614 51.220,040 $331,134 Days 259 624 989 1,354 1,719 Present Value Factors 0.9407 0.8630 0.7918 0.7264 0.6664 Present Value $3,516,771 53,873,081 51,952,948 $886,211 $220,668 Discount Rate: 9% Sum of Present Values $10,449,679 Pass-through premium 15% $1.567.452 Aggregate Marketable Value of Invested Capital $12,017,131 Less! Outstanding Debt $0 Aggregate Marketable Value of Partners Capital $12.017,131 Partners Pro Rata Percentage 30.35% $3,647.199 Discount for Lack of Marketability 15% $547.080 Pro Rata, Fair Market Value of Partner's Capital $3,100,119 Pro Rata, Fair Market Value of Partner's Capital, rounded $3,100,000 Vend on ponotOons prove*:by management EFTA01127821  EXHIBIT B-4 APOLLO MANAGEMENT VI, LP DISCOUNTED FUTURE EARNINGS AS OF APRIL 16, 2007 HISTORY PROJECT PROJECT PROJECT PROJECT PROJECT 2006 2007 2008 2009 2010 2011 Adsusted Invested CaPitEll' $1601.000.000 $6,802,600,000 39.061,250,000 $8.479.508,333 $5.951.797,917 $1,200,000,000 Management Fees' 3120,175,978 $62,470,081 381,860,872 550.332.330 $22,943,613 Transacocn And Monitonng Fees' $357,252,000 3144,000,000 36 30 SO Broken Deal Fees' ($34,534,581) ($17,481,288) $0 SO SO LP Rebate' ($219,468,245) ($88.032,724) SO $0 SO Net Transaction and Mon4oring Fees 3103,279,174 340.485,988 30 SO 50 Total Management Fees and Net Transaction and Moneorirg Fees $223,456,152 $102,956.069 $61,660,872 $50.332.530 $22.943,613 Operating Expense Ratio Estimate 27.8% 32.0% 38.1% 41.9% 32.3% Operating Expenses' ($62,146,750) 019,981,910) (522.247,321) ($21,082,575) ($7.418.900) Pre-Tax Income $161,308,372 $82,974,158 339.413,552 329.249,955 $15.524,713 Adiustments $0 $0 $0 $0 SO Adiusted Pre-Tax Income $181,308,372 $82,974,158 $39,413,652 $29,249.955 $15,524,713 Tax Rate 42% 42% 42% 42% 42% Less: Tax 367.749.516 334,845147 316,553,692 $12.284.981 $8,520,380 Net Income $93,558,856 $48,125,012 $22,859,860 $16,964,974 $9,004,334 HOCIZOB Value (Gorckn Growth Model)* Darr 259 624 989 1.354 7,719 Present Value Factors 1.0000 0.9407 0.8630 0.7918 0.7264 0.6664 Present Value $88.009,078 $41,532,390 $18.099.357 $12.322.995 56.000.510 Discount Rate 9% Sum of Present Values $165,964,329 Pass-through premiwn 15% 524.894.649 Aggregate Marketable Value of Invested Capital $190,8,38.978 LOSS Outstanding Debt SO Aggregate Marketable Value of Padners Capital 5190,858,978 Partner's Pro Rata Percentage 30 35% $57.925,700 Drsoount for Lack of Marketabfirty 15% ($8,688,855) Pro Rata. Fair Market Value of Panne's Capital $49236,845 Pro Rata, Felt Market Value of Partner's Capital $49,200,000 Sued on goings.% peavaxI fry 01.14394470if EFTA01127822  E XHIBIT A-s DISCOUNTED FUTURE EARNINGS AS OF APRIL 16, 2007 HISTORY PROJECT PROJECT PROJECT PROJECT PROJECT 2006 2007 2008 2009 2010 2011 HOWLON Assets Under Management (June 30) 52800800,000 53,450.000,000 34.300.000.000 35,150,000,000 56.000.000.000 Assets Under Management (December 31) S2.178000,000 33,025,000,000 $3,875.000.000 34.725.000,000 55,575,000,000 36,425,000.030 Leverage 33.0% Unleveraged Assets Under Management (June 30) $1,954,887,218 32,593 984,982 S3,233882.707 53,872,180.451 34,511,278,195 Management Fees 2.0% 552,000,000 569.000.000 586.000,000 5103,000,000 $120.000,000 Yield on assets 12.0% $312,000,000 3414,900,000 5516.000,000 $618,000,000 5720.000,000 Other expense GSA ($1,000.000)i (52.000.000) ($3,000,000) (54.000.000) (45,000,000) Cost of debt 6.4% ($41,287,218) (1/54.784.952) (3613.282,707) (381,780,451) (395,278,195) Gross carry 20.0% 343,542,556 357,643,008 S71.743,459 385,843,910 399.944,361 399.944.361 Management Fees 352,000,000 389,000,000 586,000,000 $103,000,000 3120800,000 5120,000,000 Total Fees 395,542,656 $126.643.008 3157.743.459 3188843,910 3219,944,361 3219,944,361 45% 45% 45% 45% 45% 45% Less. Operating Expenses (342,994,150) (S56,989,353) (570.984,5561 (384,979,759) (3985174.9621 (6138.974,962) Pre-Tax Income 352,548,406 569,653,654 $86.758,902 $103884,150 5120.969,398 S120.969.398 Adjustment Adjusted Pre-Tax Income $52,548,406 369,653,654 586,758,902 $103.864,150 $120.969,398 3120.969.398 Tax Rate 42% 42% 42% 42% 42% 42% Tax (22,070,331) (29,254,535) (36,438.739) (43.622,943) (50.807,147) (50.807.147) Net Income 330,478,075 $40,399.119 350.320,163 580.241.207 370.162.251 370,162,251 Horizon Value (Gordon Growth Model)' 31,032.387,409 Discount Rate: 10.0% Long-Term Growth Rale 3.0% Days 259 624 989 1,354 1,719 1,719 PreSOnt Value Factors 0.9346 0.8496 0.7724 0.7022 0.6383 0.8383 Present Value $28,484,959 $34,324,753 $38.867.345 $42,300,336 344,787,929 3859,022.380 Sum of Present Values 2007 Multiples Aggregate Fully Marketable Minority Interest 5847,787,711 % of AUM MVICiRev MVIC./Op Inc Pass-through premium 20.0% $169,557,542 $2,600800,000 395.542,556 $52,548,406 Aggregate Marketable Value of Invested Capital $1.017,345,263 39.13% 10.8 19.4 Less: Outstanding Debt $0 Aggregate Marketable Value or Partners' Capital $1,017.345.253 Partner's Pro Rats Percenlage 23.93'4. 5243,145,515 Discount for Lack of Manualabdsty 15% (S30,471,827) Pro Rata, Ear Market Value of Partners Capital $208,673,688 Pro Rata, Fair Market Value of Partners Capital 3206,700,000 Gordon Growth Model ((baron Net Incisme x (1•grow4h rate)! (Capitalization rate • eta risk)] EFTA01127823  tAlusll Ay APOLLO VIF MANAGEMENT. LP DISCOUNTED FUTURE EARNINGS AS OF APRIL 16, 2007 PROJECT PROJECT PROJECT PROJECT HISTORY PROJECT HORIZON 2008 2009 2010 2011 2006 2007 Assets Under Management 3732.615.000 3809,539.575 3894,541130 5456.000.000 5600.000,000 3663.000000 Class A Assets MF) 510,989.225 312.143.004 510418.110 313.418,118 39.000,000 39.940000 1.5% Management Fees 45% 45% 45% 45% 45% 45% ($5064,392) (36.038.153) (36.038,153) Operating Expense Raba Estimate 154,050,000) ($4,475,250) (54.945,151) 36.044.074 16,678.701 57.370966 37.379.965 Operating Expenses 34.950,000 55.469,750 Pre-Tax Income $0 so so so so so 38.044,074 56,670701 17,379.965 17,379,965 Adjustments 35.469.750 42% 42% 42% 42% Adorned Pre-Tax Income 42% 42% (33.099.585) (32.538.511) 512.805.055) (53,099.565) Tax Rate (12.079.000) (32.297,295) 33.873.647 34,280180 34.280.380 Tax