Apollo Global Management, Inc. - FORM 8-K - EX-99.1 - EXHIBIT 99.1 - February 13, 2017

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EXHIBIT 99.1

UNAUDITED RECONCILIATION OF FINANCIAL DATA

The following tables present the historical unaudited financial information for the Apollo Operating Group as of and for the fiscal year ended December 31, 2016. The Apollo Operating Group does not report audited or unaudited financial information on a stand-alone basis. Accordingly, the financial data presented herein for the Apollo Operating Group has been reconciled to Apollo Global Management, LLC’s financial statements for the relevant periods.
 
As of December 31, 2016
 
Total Apollo Operating Group Consolidated
 
VIE & Consolidated Funds
 
Other (1)
 
Total Apollo Global Management, LLC Consolidated
Statement of Financial Data
(dollars in thousands)
Assets:
 
 
 
 
 
 
 
Cash and cash equivalents
$
801,569

 
$
—

 
$
4,760

 
$
806,329

Cash and cash equivalents held at consolidated funds
—

 
7,335

 
—

 
7,335

Restricted cash
4,680

 
—

 
—

 
4,680

Investments
1,567,388

 
5,378

 
(78,022
)
 
1,494,744

Assets of consolidated variable interest entities:
 
 
 
 
 
 
 
Cash and cash equivalents
—

 
41,318

 
—

 
41,318

Investments, at fair value
—

 
914,110

 
(283
)
 
913,827

Other assets
—

 
46,666

 
—

 
46,666

Carried interest receivable
1,258,887

 
—

 
(1,782
)
 
1,257,105

Due from related parties
518,678

 
—

 
(263,825
)
 
254,853

Deferred tax assets
9,949

 
—

 
562,314

 
572,263

Other assets
118,137

 
768

 
(45
)
 
118,860

Goodwill
88,852

 
—

 
—

 
88,852

Intangible assets, net
22,721

 
—

 
—

 
22,721

Total Assets
$
4,390,861

 
$
1,015,575

 
$
223,117

 
$
5,629,553

 
 
 
 
 
 
 
 
Liabilities and Shareholders’ Equity
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
Accounts payable and accrued expenses
$
57,139

 
$
—

 
$
326

 
$
57,465

Accrued compensation and benefits
52,754

 
—

 
—

 
52,754

Deferred revenue
174,893

 
—

 
—

 
174,893

Due to related parties
131,584

 
—

 
506,542

 
638,126

Profit sharing payable
550,148

 
—

 
—

 
550,148

Debt
1,352,447

 
—

 
—

 
1,352,447

Liabilities of consolidated variable interest entities:
 
 
 
 
 
 
 
Debt, at fair value
—

 
827,854

 
(41,309
)
 
786,545

Other liabilities
—

 
68,123

 
(89
)
 
68,034

Due to related parties
—

 
2,271

 
(2,271
)
 
—

Other liabilities
81,568

 
45

 
—

 
81,613

Total Liabilities
2,400,533

 
898,293

 
463,199

 
3,762,025

 
 
 
 
 
 
 
 
Shareholders’ Equity:
 
 
 
 
 
 
 
Apollo Global Management, LLC shareholders' equity:
 
 
 
 
 
 
 
Additional paid in capital
—

 
—

 
1,830,025

 
1,830,025

Accumulated deficit
1,048,009

 
16,131

 
(2,050,326
)
 
(986,186
)
Accumulated other comprehensive income (loss)
(6,835
)
 
(3,029
)
 
1,141

 
(8,723
)
Total Apollo Global Management, LLC shareholders’ equity
1,041,174

 
13,102

 
(219,160
)
 
835,116

Non-Controlling Interests in consolidated entities
6,805

 
104,180

 
(20,922
)
 
90,063

Non-Controlling Interests in Apollo Operating Group
942,349

 
—

 
—

 
942,349

Total Shareholders’ Equity
1,990,328

 
117,282

 
(240,082
)
 
1,867,528

Total Liabilities and Shareholders’ Equity
$
4,390,861

 
$
1,015,575

 
$
223,117

 
$
5,629,553


(1) Includes eliminations for VIE and Fund consolidation and entities not included in the Apollo Operating Group.








 
For the Fiscal Year Ended December 31, 2016
 
Total Apollo Operating Group Consolidated
 
VIE & Consolidated Funds
 
Other (1)
 
Total Apollo Global Management, LLC Consolidated
Statement of Operating Data
(dollars in thousands)
Revenues:
 
 
 
 
 
 
 
      Management fees from related parties
$
1,047,208

 
$
(77
)
 
$
(3,618
)
 
$
1,043,513

      Advisory and transaction fees from related parties, net
146,665

 
—

 
—

 
146,665

      Carried interest income from related parties
781,988

 
—

 
(1,782
)
 
780,206

Total Revenues
1,975,861

 
(77
)
 
(5,400
)
 
1,970,384

 
 
 
 
 
 
 
 
Expenses:
 
 
 
 
 
 
 
Compensation and benefits:
 
 
 
 
 
 
 
Salary, bonus and benefits
389,130

 
—

 
—

 
389,130

Equity-based compensation
102,983

 
—

 
—

 
102,983

Profit sharing expense
357,074

 
—

 
—

 
357,074

Total Compensation and Benefits
849,187

 
—

 
—

 
849,187

Interest expense
43,482

 
—

 
—

 
43,482

General, administrative and other
246,825

 
120

 
55

 
247,000

Placement fees
26,249

 
—

 
—

 
26,249

Total Expenses
1,165,743

 
120

 
55

 
1,165,918

 
 
 
 
 
 
 
 
Other Income:
 
 
 
 
 
 
 
      Net gains from investment activities
138,608

 
1,113

 
—

 
139,721

      Net gains (losses) from investment activities of consolidated variable interest entities
—

 
(2,023
)
 
7,038

 
5,015

      Income from equity method investments
104,841

 
—

 
(1,663
)
 
103,178

      Interest income
4,553

 
1,157

 
(1,638
)
 
4,072

      Other income, net
1,351

 
—

 
3,211

 
4,562

Total Other Income
249,353

 
247

 
6,948

 
256,548

      Income before income tax provision
1,059,471

 
50

 
1,493

 
1,061,014

      Income tax provision
(9,899
)
 
—

 
(80,808
)
 
(90,707
)
Net Income
1,049,572

 
50

 
(79,315
)
 
970,307

      Net (income) loss attributable to Non-Controlling Interests
(569,070
)
 
1,613

 
—

 
(567,457
)
Net Income Attributable to Apollo Global Management, LLC
$
480,502

 
$
1,663

 
$
(79,315
)
 
$
402,850


(1) Includes eliminations for VIE and Fund consolidation and entities not included in the Apollo Operating Group.


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