SOF III - 1081 Southern Financial LLC Certain risk factors In considering investment performance information contained in this presentation. prospective investors should bear in mind that past or projected performance is not necessarily indicative of future results and there can be no assurance that the Fund will achieve comparable results or that any projected returns will be met Unless otherwise indicated, all internal rates of return are presented on a "gross" basis (i.e , they do not reflect the management fees, organizational expenses, carried interest, and other expenses to be borne by investors, which in the aggregate are expected to be substantial. and do not take into account potential defaults on unrealized investments). Actual realized value of currently unrealized investments will depend on. among other factors. future operating results. the value of the assets and market conditions at the time of disposition, any related transaction costs and the timing and manner of sale, all of which may differ from the assumptions and circumstances on which the current unrealized valuations are based. Accordingly. the actual realized values of unrealized irivestmerts may differ materially from the values indicated herein. Prospective Investors should be aware that an investment in the Onshore Feeder Fund involves a high degree of risk. In addition, because the Onshore Feeder Fund will hold an interest in the Fund. the Onshore Feeder Fund will be subject to all risks and conflicts inherent in such an investment. The following is a summary of only certain considerations and is qualified in its entirety by the more detailed 'Risk Factors' set forth in the Offering Memorandum and the "Risk Factors" set forth in in the Confidential Private Placement Memorandum of the Fund. Capitalized terms used below not defined herein have the meanings set forth in the Offering Memorandum, which must be read carefully prior to investing in the Onshore Feeder Fund. Investors