EFTA01386820.pdf

RIN 11.094 Alpha Group Capital LLC St Historical Infrastructure Debt Issuance ($ billions)* 90 ea 70 ea so 40 30 20 10 0 2014 2015 2016 Nov.17 Historically, the majority of debt capital used to finance private sector acquisitions of infrastructure assets has been provided by the bank loan market, with European banks playing a dominant role. Insufficient private Event-Driven financing has been exacerbated by increasingly constrained bank lending resulting from: • Increased bank capital cost from regulatory pressure (e.g., Basel II & Ill risk-based capital requirements), particularly for loans below investment grade or with intermediate to long tenor • Bank withdrawal — Many European lenders continue to shrink their balance sheets and re-focus on domestic markets 16 Source: Proprietary DeAM database as of November 1. 2017. Confidential 14 February 2018 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0088691 CONFIDENTIAL SDNY_GM_00234875 EFTA01386820