EFTA02338157

From: Richard Joslin Sent: Monday, September 8, 2014 3:09 PM To: jeffrey E. Subject: RE: Heritage update Josh CFO indicates Josh had meeting with Apollo CFO last week — Apollo finance have Josh's questions they need to respond to with regard to the calculations From: jeffrey E. [mailto:[email protected] Sent: Tuesday, July 15, 2014 3:11 PM To: Richard Joslin Subject: Re: Heritage update no On Tue, Jul 15, 2014 at 3:09 PM, Richard Joslin c <mailto » wrote: Apparently Apollo has not been able to explain the calculation to Josh's COO/CFO. The Apollo controller is contacting COO to set up meeting. I can call CFO if permitted. Apollo is sending me calculation detail over last two years. Heritage adjustment is carry from Fund V and VI that is divvyed up between MR/JH and LDB. As a founder sells BRH in taxable exchange, the public APO Corp acquires a slice of Fund V and VI carry vehicle. BRH receives lesser carry in future and as a consequence LDB gets less Heritage adjustment. APO Corp does not pay LDB any Heritage adjustment. The Heritage adjustment/ share changes per Apollo accounting dept— I asked for backup. It would seem that a selling founder (MR) will pay less in future and a non-selling founder (JH) would be unchanged. Richard Joslin CFO EFTA_R1_01300038 EFTA02338157 Elysium Management LLC 445 Park Ave Ste. 1401 New York, NY 10022 please note The information contained in this communication is confidential, may be attorney-client privileged, may constitute inside information, and is intended only for the use of the addressee. It is the property of JEE Unauthorized use, disclosure or copying of this communication or any part thereof is strictly prohibited and may be unlawful. If you have received this communication in error, please notify us immediately by return e-mail or by e-mail to [email protected] <mailto:[email protected]> , and destroy this communication and all copies thereof, including all attachments. copyright -all rights reserved 2 EFTA_R1_01300039 EFTA02338158