From: Richard Joslin -4 To: "[email protected]" [email protected]>, Brad Wechsler Subject: FW: Questions on BRH Date: Wed, 04 Nov 2015 13:23:50 +0000 Attachments: Leon_Black_Q3_Estimates_(00000003)_6.pdf; Leon_Black_Q3_Estimates_(00000003)_extract.pdf Please see attached. Apollo is paying out AOG units as stock compensation to employees. This gives rise to a tax deduction. Cash earnings are not reduced by stock compensation. Cash earnings/ distributions will be greater than taxable income. The excess of cash distributed over taxable income will reduce tax basis. Note that the transfer of AOG units to employees reduces the number of AOG units that the founders/ AP Professionals own. The September projection estimates stock compensation $0.88/sh. Suzanne Wong in the tax group sent the message last night regarding stock compensation. From: Suzanne Wong Sent: Tuesday, November 3, 2015 7:25 PM To: Richard Joslin Subject: RE: Questions on BRH Rich — Left you a voicemail also. The following are items that would not reduce cash distributions but are tax deductions: 1) Noncash compensation such as the RSU's 2) Depreciation and Amortization As noted on my voicemail, depreciation and amortization are not as impactful as the noncash compensation. Also we are revisiting the historical data in the basis rollforward to confirm amounts. Best, Suzanne Wong I Apollo Global Management L.L.C. 730 Firth auc-n. Office From: Richard Joslin [mailto: Sent: Monday, November 02, 2015 3:33 PM To: Suzanne Wong Subject: FW: Questions on BRH From: Katie Gregory Newman [mailto Sent: Friday, October 30, 2015 5:49 PM To: Richard Joslin .ic > Subject: Questions on BRH Rich, EFTA00841519