BLACKSTONE INC Stock Forecasts | BX EPS & Price Predictions

EX-99.1 2 d290475dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

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Blackstone Reports Fourth Quarter and

Full Year 2021 Results

New York, January 27, 2022: Blackstone (NYSE:BX) today reported its fourth quarter and full year 2021 results.

Stephen A. Schwarzman, Chairman and Chief Executive Officer, said, “Blackstone’s fourth quarter results

represented a remarkable finish to a record-breaking year. Our limited partners entrusted us with $270 billion of

inflows in 2021, with assets under management rising 42% to $881 billion – our fastest growth rate in over a decade.

Outstanding investment performance and the power of our brand are leading to share gains in multiple customer

channels, driving exceptional earnings momentum for our shareholders.”

Blackstone issued a full detailed presentation of its fourth quarter and full year 2021 results, which can be viewed

at www.blackstone.com.

Dividend

Blackstone has declared a quarterly dividend of $1.45 per share to record holders of common stock at the close of

business on February 7, 2022. This dividend will be paid on February 14, 2022.

Quarterly Investor Call Details

Blackstone will host its fourth quarter and full year 2021 investor conference via public webcast on January 27,

2022 at 9:00 a.m. ET. To register, please use the following link:

https://event.webcasts.com/viewer/event.jsp?ei=1520327&tp_key=7f44bccae4. For those unable to listen to the

Blackstone

345 Park Avenue New York NY 10154

T 212 583 5000

www.blackstone.com

live broadcast, there will be a webcast replay on the Shareholders section of Blackstone’s website at

https://ir.blackstone.com/.

About Blackstone

Blackstone is the world’s largest alternative asset manager. We seek to create positive economic impact and long-

term value for our investors, the companies we invest in, and the communities in which we work. We do this by

using extraordinary people and flexible capital to help companies solve problems. Our $881 billion in assets under

management include investment vehicles focused on private equity, real estate, public debt and equity, life

sciences, growth equity, opportunistic, non-investment grade credit, real assets and secondary funds, all on a

global basis. Further information is available at www.blackstone.com. Follow Blackstone on Twitter @Blackstone.

Forward-Looking Statements

This presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act

of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect our

current views with respect to, among other things, our operations, taxes, earnings and financial performance, share

repurchases and dividends. You can identify these forward-looking statements by the use of words such as

“outlook,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,”

“approximately,” “predicts,” “intends,” “plans,” “scheduled,” “estimates,” “anticipates,” “opportunity,” “leads”

or the negative version of these words or other comparable words. Such forward-looking statements are subject to

various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual

outcomes or results to differ materially from those indicated in these statements. We believe these factors include

but are not limited to the impact of the novel coronavirus (“COVID-19”), as well as those described under the

section entitled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2020, as such

factors may be updated from time to time in our periodic filings with the United States Securities and Exchange

Commission (“SEC”), which are accessible on the SEC’s website at www.sec.gov. These factors should not be

construed as exhaustive and should be read in conjunction with the other cautionary statements that are included

in this report and in our other periodic filings. The forward-looking statements speak only as of the date of this

report, and we undertake no obligation to publicly update or review any forward-looking statement, whether as a

result of new information, future developments or otherwise.

This presentation does not constitute an offer of any Blackstone Fund.

Investor and Media Relations Contacts

Weston Tucker

Blackstone

Tel: +1 (212) 583-5231

tucker@blackstone.com

Christine Anderson

Blackstone

Tel: +1 (212) 583-5182

christine.anderson@blackstone.com

LOGO

Blackstone’s Fourth

Quarter and Full Year 2021 Earnings

JANUARY 27, 2022

BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2021 GAAP RESULTS

GAAP Net Income was $2.9 billion for the quarter and $12.4 billion for the year. GAAP Net Income Attributable to Blackstone Inc. was $1.4 billion for the quarter and $5.9 billion for the year.



($ in thousands, except per share data) (unaudited)	4Q’20		4Q’21		FY’20		FY’21
Revenues
Management and Advisory Fees, Net	$	1,134,138	$	1,459,548	$	4,092,549	$	5,170,707
Incentive Fees		97,702		136,454		138,661		253,991
Investment Income
Performance Allocations
Realized		1,465,154		2,787,970		2,106,000		5,653,452
Unrealized		597,285		789,213		(384,393)		8,675,246
Principal Investments
Realized		220,814		171,310		391,628		1,003,822
Unrealized		217,688		304,297		(114,607)		1,456,201
Total Investment Income		2,500,941		4,052,790		1,998,628		16,788,721
Interest and Dividend Revenue		39,726		63,166		125,231		160,643
Other		(143,583)		50,699		(253,142)		203,086
Total Revenues	$	3,628,924	$	5,762,657	$	6,101,927	$	22,577,148
Expenses
Compensation and Benefits
Compensation		459,636		576,032		1,855,619		2,161,973
Incentive Fee Compensation		22,086		49,349		44,425		98,112
Performance Allocations Compensation
Realized		590,089		1,119,911		843,230		2,311,993
Unrealized		278,575		384,007		(154,516)		3,778,048
Total Compensation and Benefits		1,350,386		2,129,299		2,588,758		8,350,126
General, Administrative and Other		214,124		309,673		711,782		917,847
Interest Expense		45,702		56,550		166,162		198,268
Fund Expenses		1,902		2,959		12,864		10,376
Total Expenses	$	1,612,114	$	2,498,481	$	3,479,566	$	9,476,617
Other Income (Loss)
Change in Tax Receivable Agreement Liability		(27,171)		32,044		(35,383)		(2,759)
Net Gains from Fund Investment Activities		90,867		81,843		30,542		461,624
Income Before Provision for Taxes	$	2,080,506	$	3,378,063	$	2,617,520	$	13,559,396
Provision for Taxes		266,342		437,694		356,014		1,184,401
Net Income	$	1,814,164	$	2,940,369	$	2,261,506	$	12,374,995
Net Income (Loss) Attributable to Redeemable Non-Controlling Interests in Consolidated Entities		(1,871)		2,924		(13,898)		5,740
Net Income Attributable to Non-Controlling Interests in Consolidated Entities		308,055		320,033		217,117		1,625,306
Net Income Attributable to Non-Controlling Interests in Blackstone Holdings		759,110		1,218,934		1,012,924		4,886,552
Net Income Attributable to Blackstone Inc. (“BX”)	$	748,870	$	1,398,478	$	1,045,363	$	5,857,397
Net Income Per Share of Common Stock, Basic	$	1.07	$	1.93	$	1.50	$	8.14
Net Income Per Share of Common Stock, Diluted	$	1.07	$	1.92	$	1.50	$	8.13
Income Before Provision for Taxes Margin		57.3%		58.6%		42.9%		60.1%

Throughout this presentation, all current period amounts are preliminary and unaudited. Totals may not add due to rounding. See pages 34-36, Definitions and
Dividend Policy, for definitions of terms used throughout this presentation. See additional notes on page 32.

Blackstone | 1

BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2021 HIGHLIGHTS


Financial Measures		§ Fee Related Earnings (“FRE”) and Distributable Earnings (“DE”) reached record levels for both the quarter and the year § FRE of $1.8 billion ($1.52/share) in the quarter, up 144% year-over-year – FRE was $4.1 billion for the year ($3.37/share), up 71% year-over-year § DE of $2.3 billion ($1.71/share) in the quarter, up 55% year-over-year – DE was $6.2 billion for the year ($4.77/share), up 85% year-over-year § Net Accrued Performance Revenues a record $8.7 billion ($7.28/share), up 128% year-over-year


Capital Metrics		§ Total Assets Under Management (“AUM”), Fee-Earning AUM, Perpetual Capital AUM, Inflows, and Deployment all records for both the quarter and the year § Total AUM of $880.9 billion, up 42% year-over-year – Fee-Earning AUM of $650.0 billion, up 38% year-over-year – Perpetual Capital AUM of $313.4 billion, up 132% year-over-year § Inflows of $154.8 billion in the quarter and $270.5 billion for the year § Realizations of $21.0 billion in the quarter and $77.2 billion for the year § Deployment of $65.8 billion in the quarter and $144.4 billion for the year


Capital Returned to Shareholders		§ Dividend of $1.45 per common share payable on February 14, 2022 – Dividends of $4.06 per common share for the year § Repurchased 4.2 million common shares in the quarter and 10.3 million common shares for the year § $2.5 billion to be distributed to shareholders with respect to the fourth quarter through dividends and share repurchases, and $6.5 billion for the year

Notes on page 32.

Blackstone | 2

BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2021 SEGMENT EARNINGS


							% Change							% Change
($ in thousands, except per share data)	4Q’20			4Q’21			vs. 4Q’20	FY’20			FY’21			vs. FY’20
Management and Advisory Fees, Net	$	1,136,025		$	1,456,220		28%	$	4,111,165		$	5,167,242		26%
Fee Related Performance Revenues		286,227			1,733,874		506%		378,676			2,025,244		435%
Fee Related Compensation		(482,769	)		(1,108,034	)	130%		(1,496,570	)		(2,348,010	)	57%
Other Operating Expenses		(189,536	)		(255,133	)	35%		(623,217	)		(793,677	)	27%
Fee Related Earnings	$	749,947		$	1,826,927		144%	$	2,370,054		$	4,050,799		71%


Realized Performance Revenues		1,276,629			1,191,374		(7)%		1,865,993			3,883,112		108%
Realized Performance Compensation		(483,528	)		(449,301	)	(7)%		(714,347	)		(1,557,570	)	118%
Realized Principal Investment Income		103,821			75,468		(27)%		158,933			587,766		270%
Net Realizations		896,922			817,541		(9)%		1,310,579			2,913,308		122%
Total Segment Distributable Earnings	$	1,646,869		$	2,644,468		61%	$	3,680,633		$	6,964,107		89%


Net Interest and Dividend Income (Loss)		(5,604	)		6,779		n/m		(34,910	)		(33,588	)	(4)%
Taxes and Related Payables		(176,859	)		(377,920	)	114%		(304,127	)		(759,682	)	150%
Distributable Earnings	$	1,464,406		$	2,273,327		55%	$	3,341,596		$	6,170,837		85%


Additional Metrics:
FRE per Share	$	0.62		$	1.52		145%	$	1.97		$	3.37		71%
DE per Common Share	$	1.13		$	1.71		51%	$	2.65		$	4.77		80%
Total Segment Revenues	$	2,802,702		$	4,456,936		59%	$	6,514,767		$	11,663,364		79%
Total Assets Under Management	$	618,556,928		$	880,901,720		42%	$	618,556,928		$	880,901,720		42%
Fee-Earning Assets Under Management	$	469,433,114		$	649,969,058		38%	$	469,433,114		$	649,969,058		38%

Fee Related Earnings per Share is based on end of period DE Shares Outstanding (see page 23, Share Summary). DE per Common Share is based on DE Attributable

to Common Shareholders (see page 22, Shareholder Dividends) and end of period Participating Common Shares outstanding. Full year per Share amounts

represent the sum of the last four quarters. See pages 30-31 for the Reconciliation of GAAP to Total Segment Measures.

Blackstone | 3

SUMMARY OF FINANCIALS

Full year Fee Related Earnings of $3.37 per share, an increase of 71% year-over-year.

Full year Total Segment Distributable Earnings were $7.0 billion, an increase of 89% year-over-year.

Fee Related Earnings per Share

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Segment Distributable Earnings

($ in millions)

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FRE Margin is calculated by dividing Fee Related Earnings by Fee Related Revenues (defined as the sum of Total Segment Management and Advisory Fees, Net and

Fee Related Performance Revenues).

Blackstone | 4

INVESTMENT PERFORMANCE AND NET ACCRUED PERFORMANCE REVENUES

Strong appreciation across strategies led to a 5% increase in Net Accrued Performance Revenues quarter-over-
quarter to $8.7 billion ($7.28/share).

Investment Performance

(appreciation / gross returns)


	4Q’21	FY’21
Real Estate
Opportunistic	12.0%	43.8%
Core+	7.2%	25.0%

Private Equity
Corporate Private Equity	4.8%	42.2%
Tactical Opportunities	11.0%	34.9%
Secondaries	9.1%	49.8%

Hedge Fund Solutions
BPS Composite	0.8%	8.1%

Credit & Insurance
Private Credit	4.6%	21.9%
Liquid Credit	0.8%	5.2%

Net Accrued Performance Revenues

($ in millions)

LOGO

Investment Performance represents fund appreciation for Real Estate and Private Equity and gross returns for Hedge Fund Solutions and Credit & Insurance. Secondaries appreciation

is reported on a three-month lag from the fund financial reporting. Effective 3Q’21, the Secondaries fund financial reporting process was updated to generally report underlying fund

investments on a same-quarter basis, if available. Previously such fund financial reporting was generally on a three-month lag. This update has permitted Secondaries appreciation to

be reported on a more current basis. Secondaries appreciation is presented above as if the updated reporting process was in place for prior periods. Secondaries appreciation for

4Q’21 is not impacted by the reporting process change. Including the “catch up” from the reporting process change to reflect the economic and market activity of five quarters in

FY’21, Secondaries appreciation was 61.2% for FY’21. BPS Composite net returns were 0.6% and 7.2% for 4Q’21 and FY’21, respectively. Private Credit net returns were 3.1% and

16.2% for 4Q’21 and FY’21, respectively. Liquid Credit net returns were 0.7% and 4.9% for 4Q’21 and FY’21, respectively. See notes on page 32 for additional details on investment

performance.

Blackstone | 5

CAPITAL METRICS – ADDITIONAL DETAIL

Inflows were $154.8 billion in the quarter, bringing full year inflows to $270.5 billion.

–

Inflows in the quarter include $77.6 billion across segments from the AIG Life & Retirement and Everlake transactions.

Realizations were $21.0 billion in the quarter and $77.2 billion for the year.

Deployed $65.8 billion in the quarter and $144.4 billion for the year.

–

Committed an additional $18.8 billion that was not yet deployed in the quarter.


	Inflows				Realizations				Capital Deployed

($ in millions)	4Q’21		FY’21		4Q’21		FY’21		4Q’21		FY’21
Real Estate	$	41,751	$	75,258	$	5,182	$	19,490	$	20,561	$	45,909
Opportunistic		3,436		8,548		2,351		12,467		3,141		11,096
Core+		12,599		38,272		1,884		4,628		16,802		32,102
BREDS		25,715		28,437		948		2,395		617		2,711
Private Equity		31,336		53,858		9,074		36,616		22,757		48,043
Corporate Private Equity		5,123		14,262		4,031		17,909		9,459		20,285
Tactical Opportunities		2,795		10,799		1,834		8,557		2,015		6,089
Secondaries		16,715		22,047		2,793		9,519		4,882		11,486
Infrastructure		6,703		6,749		416		632		6,401		10,184
Hedge Fund Solutions		4,316		11,922		707		1,628		1,763		4,973

Credit & Insurance		77,443		129,434		5,992		19,475		20,702		45,502

Total Blackstone	$	154,846	$	270,472	$	20,956	$	77,210	$	65,783	$	144,426

Corporate Private Equity also includes Life Sciences and BTAS. Tactical Opportunities also includes Blackstone Growth.

Blackstone | 6

ASSETS UNDER MANAGEMENT

Total AUM increased to $880.9 billion, up 42% year-over-year, with $154.8 billion of inflows in the quarter and $270.5 billion for the year.

Fee-Earning AUM of $650.0 billion was up 38% year-over-year, with $135.7 billion of inflows in the quarter and $224.5 billion for the year.

Perpetual Capital AUM reached $313.4 billion, up 132% year-over-year.

–

Fee-Earning Perpetual Capital AUM reached $275.4 billion, representing 42% of Fee-Earning AUM.


Total AUM ($ in billions)	Fee-Earning AUM ($ in billions)	Perpetual Capital AUM ($ in billions)

Blackstone | 7

ADDITIONAL CAPITAL DETAIL

Invested Performance Eligible AUM reached $450.8 billion at quarter end, up 54% year-over-year.

Undrawn capital (“Total Dry Powder”) available for investment of $135.8 billion.


Invested Performance Eligible AUM		Total Dry Powder
($ in billions)		($ in billions)

Invested Performance Eligible AUM represents the fair value of invested assets that are eligible to earn performance revenues.

Blackstone | 8

Segment Highlights

Blackstone | 9

REAL ESTATE

Total AUM: Increased 49% to $279.5 billion with inflows of $41.8 billion in the quarter and $75.3 billion for the year.

–

Inflows during the quarter include $25.7 billion in BREDS driven by the AIG Life & Retirement and Everlake transactions, a record $9.9 billion in BREIT, $2.4 billion in the third Asian opportunistic fund, $2.4 billion across BPP, and €510 million capital raised in BEPIF.

–

January 1 subscriptions of $2.4 billion in BREIT not yet included in AUM.

–

Perpetual AUM increased 98% to $152.0 billion, representing 54% of Total AUM.

Realizations: $5.2 billion in the quarter and $19.5 billion for the year.

Capital Deployed: $20.6 billion in the quarter and $45.9 billion for the year; deployments in the quarter include the acquisitions of AIG’s affordable housing portfolio, a 15 million square-foot U.S. industrial portfolio, a multifamily portfolio of 17 high-quality assets, and the privatization of WPT Industrial REIT.

–

Committed an additional $6.1 billion that was not yet deployed in the quarter.

Appreciation: Opportunistic funds and Core+ funds appreciated 12.0% and 7.2% for the quarter, and 43.8% and 25.0% for the year, respectively, driven by strong performance in global logistics and residential portfolios.


							% Change							% Change
($ in thousands)	4Q’20			4Q’21			vs. 4Q’20	FY’20			FY’21			vs. FY’20
Management Fees, Net	$	431,050		$	570,737		32%	$	1,638,688		$	2,052,308		25%
Fee Related Performance Revenues		271,778			1,470,226		441%		338,161			1,695,019		401%
Fee Related Compensation		(242,827	)		(713,587	)	194%		(618,105	)		(1,161,349	)	88%
Other Operating Expenses		(55,565	)		(73,985	)	33%		(183,132	)		(234,505	)	28%
Fee Related Earnings	$	404,436		$	1,253,391		210%	$	1,175,612		$	2,351,473		100%

Realized Performance Revenues		690,967			184,194		(73)%		787,768			1,119,612		42%
Realized Performance Compensation		(279,416	)		(66,430	)	(76)%		(312,698	)		(443,220	)	42%
Realized Principal Investment Income		10,945			25,243		131%		24,764			196,869		695%
Net Realizations		422,496			143,007		(66)%		499,834			873,261		75%
Segment Distributable Earnings	$	826,932		$	1,396,398		69%	$	1,675,446		$	3,224,734		92%

Segment Revenues	$	1,404,740		$	2,250,400		60%	$	2,789,381		$	5,063,808		82%
Total AUM	$	187,191,247		$	279,474,105		49%	$	187,191,247		$	279,474,105		49%
Fee-Earning AUM	$	149,121,461		$	221,476,699		49%	$	149,121,461		$	221,476,699		49%

Blackstone | 10

PRIVATE EQUITY

Total AUM: Increased 32% to $261.5 billion with inflows of $31.3 billion in the quarter and $53.9 billion for the year.

–

Inflows in the quarter included $12.8 billion for the ninth Secondaries fund and $6.7 billion in Blackstone Infrastructure Partners.

Realizations: $9.1 billion in the quarter and $36.6 billion for the year; realizations in the quarter included proceeds from Exeter Finance and Diamond Direct sales.

Capital Deployed: $22.8 billion in the quarter and $48.0 billion for the year, including Medline, Carrix, and Chamberlain during the quarter.

–

Committed an additional $5.2 billion that was not yet deployed in the quarter, including investments in Invenergy, VFS Global, and Renaissance Learning.

Appreciation: Corporate Private Equity appreciated 4.8% in the quarter and 42.2% for the year.

–

Tactical Opportunities appreciated 11.0% in the quarter and 34.9% for the year; Secondaries appreciated 9.1% in the quarter and 49.8% for the year.


							% Change							% Change
($ in thousands)	4Q’20			4Q’21			vs. 4Q’20	FY’20			FY’21			vs. FY’20
Management and Advisory Fees, Net	$	385,935		$	442,872		15%	$	1,269,840		$	1,662,931		31%
Fee Related Performance Revenues		—			212,128		n/m		—			212,128		n/m
Fee Related Compensation		(133,044	)		(246,249	)	85%		(455,538	)		(662,824	)	46%
Other Operating Expenses		(63,683	)		(95,580	)	50%		(195,213	)		(264,468	)	35%
Fee Related Earnings	$	189,208		$	313,171		66%	$	619,089		$	947,767		53%

Realized Performance Revenues		405,665			635,913		57%		877,493			2,263,099		158%
Realized Performance Compensation		(174,577	)		(255,229	)	46%		(366,949	)		(943,199	)	157%
Realized Principal Investment Income		34,078			42,599		25%		72,089			263,368		265%
Net Realizations		265,166			423,283		60%		582,633			1,583,268		172%
Segment Distributable Earnings	$	454,374		$	736,454		62%	$	1,201,722		$	2,531,035		111%

Segment Revenues	$	825,678		$	1,333,512		62%	$	2,219,422		$	4,401,526		98%
Total AUM	$	197,549,222		$	261,471,007		32%	$	197,549,222		$	261,471,007		32%
Fee-Earning AUM	$	129,539,630		$	156,556,959		21%	$	129,539,630		$	156,556,959		21%

See note on page 5 for additional details on Secondaries appreciation.

Blackstone | 11

HEDGE FUND SOLUTIONS

Total AUM: Increased 2% to $81.3 billion with inflows of $4.3 billion in the quarter and $11.9 billion for the year.

–

Held final close for the second GP stakes fund in the quarter, bringing total committed capital to $5.6 billion.

–

Market appreciation of $6.2 billion for the year driven by fund returns and portfolio performance.

Returns: BPS Composite gross return of 0.8% in the quarter (0.6% net), outperforming the HFRX Global Hedge Fund Return Index, which was up 0.1%

–

Gross returns of 8.1% for the year (7.2% net), with significantly less volatility than the broader markets, compared to 3.7% return for the HFRX Global Hedge Fund Return Index.


							% Change							% Change
($ in thousands)	4Q’20			4Q’21			vs. 4Q’20	FY’20			FY’21			vs. FY’20
Management Fees, Net	$	154,074		$	179,299		16%	$	588,079		$	647,883		10%
Fee Related Compensation		(33,764	)		(43,935	)	30%		(161,713	)		(156,515	)	(3)%
Other Operating Expenses		(23,632	)		(28,271	)	20%		(79,758	)		(94,792	)	19%
Fee Related Earnings	$	96,678		$	107,093		11%	$	346,608		$	396,576		14%

Realized Performance Revenues		170,922			235,080		38%		179,789			290,980		62%
Realized Performance Compensation		(29,022	)		(62,724	)	116%		(31,224	)		(76,701	)	146%
Realized Principal Investment Income		55,200			4,115		(93)%		54,110			56,733		5%
Net Realizations		197,100			176,471		(10)%		202,675			271,012		34%
Segment Distributable Earnings	$	293,778		$	283,564		(3)%	$	549,283		$	667,588		22%

Segment Revenues	$	380,196		$	418,494		10%	$	821,978		$	995,596		21%
Total AUM	$	79,422,869		$	81,334,141		2%	$	79,422,869		$	81,334,141		2%
Fee-Earning AUM	$	74,126,610		$	74,034,568		(0)%	$	74,126,610		$	74,034,568		(0)%

Blackstone | 12

CREDIT & INSURANCE

Total AUM: Increased 68% to $258.6 billion with inflows of $77.4 billion in the quarter and $129.4 billion for the year.

–

Inflows during the quarter include $52.0 billion from the AIG Life & Retirement and Everlake transactions, as well as the final close for the fourth Mezzanine / Opportunistic fund.

–

Record $4.4 billion of equity raised in the quarter for BCRED, a continuously offered non-traded BDC.

–

BXSL completed its IPO and began trading on the NYSE on October 28 in the largest BDC IPO in 15 years.

–

Closed 10 new CLOs / reissued CLOs (9 U.S. and 1 European) for $5.5 billion and closed 5 CLO refinancings and resets (3 U.S. and 2 European) for $2.4 billion in the quarter, capping another record year of CLO issuance.

Realizations: $6.0 billion in the quarter and $19.5 billion for the year.

Capital Deployed: Record $20.7 billion in the quarter, driven by $18.4 billion in Direct Lending, and $45.5 billion for the year; committed an additional $7.2 billion that was not yet deployed in the quarter.

Returns: Private Credit gross return of 4.6% (3.1% net) for the quarter, positively impacted by strengthening fundamentals and opportunistic exits, and Liquid Credit gross return of 0.8% (0.7% net) for the quarter.


							% Change							% Change
($ in thousands)	4Q’20			4Q’21			vs. 4Q’20	FY’20			FY’21			vs. FY’20
Management Fees, Net	$	164,966		$	263,312		60%	$	614,558		$	804,120		31%
Fee Related Performance Revenues		14,449			51,520		257%		40,515			118,097		191%
Fee Related Compensation		(73,134	)		(104,263	)	43%		(261,214	)		(367,322	)	41%
Other Operating Expenses		(46,656	)		(57,297	)	23%		(165,114	)		(199,912	)	21%
Fee Related Earnings	$	59,625		$	153,272		157%	$	228,745		$	354,983		55%

Realized Performance Revenues		9,075			136,187		n/m		20,943			209,421		900%
Realized Performance Compensation		(513	)		(64,918	)	n/m		(3,476	)		(94,450	)	n/m
Realized Principal Investment Income		3,598			3,511		(2)%		7,970			70,796		788%
Net Realizations		12,160			74,780		515%		25,437			185,767		630%
Segment Distributable Earnings	$	71,785		$	228,052		218%	$	254,182		$	540,750		113%

Segment Revenues	$	192,088		$	454,530		137%	$	683,986		$	1,202,434		76%
Total AUM	$	154,393,590		$	258,622,467		68%	$	154,393,590		$	258,622,467		68%
Fee-Earning AUM	$	116,645,413		$	197,900,832		70%	$	116,645,413		$	197,900,832		70%

Blackstone | 13

Supplemental Details

Blackstone | 14

TOTAL SEGMENTS


($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21

Base Management Fees	$	1,076,094		$	1,117,290		$	1,140,051		$	1,207,866		$	1,354,068		$	3,972,054		$	4,819,275

Transaction, Advisory and Other Fees, Net		75,290			78,640			78,125			114,784			120,389			207,875			391,938

Management Fee Offsets		(15,359	)		(17,725	)		(5,434	)		(2,575	)		(18,237	)		(68,764	)		(43,971	)

Total Management and Advisory Fees, Net		1,136,025			1,178,205			1,212,742			1,320,075			1,456,220			4,111,165			5,167,242

Fee Related Performance Revenues		286,227			169,168			48,889			73,313			1,733,874			378,676			2,025,244

Fee Related Compensation		(482,769	)		(445,110	)		(375,385	)		(419,481	)		(1,108,034	)		(1,496,570	)		(2,348,010	)

Other Operating Expenses		(189,536	)		(161,424	)		(182,178	)		(194,942	)		(255,133	)		(623,217	)		(793,677	)

Fee Related Earnings	$	749,947		$	740,839		$	704,068		$	778,965		$	1,826,927		$	2,370,054		$	4,050,799



Realized Performance Revenues		1,276,629			401,323			792,938			1,497,477			1,191,374			1,865,993			3,883,112

Realized Performance Compensation		(483,528	)		(150,924	)		(338,271	)		(619,074	)		(449,301	)		(714,347	)		(1,557,570	)

Realized Principal Investment Income		103,821			298,156			63,132			151,010			75,468			158,933			587,766

Total Net Realizations		896,922			548,555			517,799			1,029,413			817,541			1,310,579			2,913,308

Total Segment Distributable Earnings	$	1,646,869		$	1,289,394		$	1,221,867		$	1,808,378		$	2,644,468		$	3,680,633		$	6,964,107



Net Interest and Dividend Income (Loss)		(5,604	)		(12,928	)		(11,201	)		(16,238	)		6,779			(34,910	)		(33,588	)

Taxes and Related Payables		(176,859	)		(84,222	)		(140,673	)		(156,867	)		(377,920	)		(304,127	)		(759,682	)

Distributable Earnings	$	1,464,406		$	1,192,244		$	1,069,993		$	1,635,273		$	2,273,327		$	3,341,596		$	6,170,837



Additional Metrics:

Total Segment Revenues	$	2,802,702		$	2,046,852		$	2,117,701		$	3,041,875		$	4,456,936		$	6,514,767		$	11,663,364

Total Assets Under Management	$	618,556,928		$	648,803,007		$	684,028,712		$	730,662,712		$	880,901,720		$	618,556,928		$	880,901,720

Fee-Earning Assets Under Management	$	469,433,114		$	481,225,407		$	498,932,526		$	528,412,550		$	649,969,058		$	469,433,114		$	649,969,058

Blackstone | 15

ASSETS UNDER MANAGEMENT - ROLLFORWARD

Total AUM Rollforward

($ in millions)



	Three Months Ended December 31, 2021										Twelve Months Ended December 31, 2021


	Real Estate		Private Equity		Hedge Fund Solutions		Credit & Insurance		Total		Real Estate		Private Equity		Hedge Fund Solutions		Credit & Insurance		Total
Beginning Balance	$	230,183	$	231,521	$	80,602	$	188,356	$	730,663	$	187,191	$	197,549	$	79,423	$	154,394	$	618,557
Inflows		41,751		31,336		4,316		77,443		154,846		75,258		53,858		11,922		129,434		270,472
Outflows		(1,641)		(691)		(3,282)		(2,260)		(7,873)		(5,146)		(2,969)		(14,563)		(13,412)		(36,090)
Net Flows		40,110		30,645		1,034		75,183		146,972		70,112		50,889		(2,641)		116,022		234,382
Realizations		(5,182)		(9,074)		(707)		(5,992)		(20,956)		(19,490)		(36,616)		(1,628)		(19,475)		(77,210)
Market Activity		14,363		8,380		405		1,075		24,223		41,661		49,649		6,180		7,683		105,172
Ending Balance	$	279,474	$	261,471	$	81,334	$	258,622	$	880,902	$	279,474	$	261,471	$	81,334	$	258,622	$	880,902
% Change		21%		13%		1%		37%		21%		49%		32%		2%		68%		42%

Fee-Earning AUM Rollforward

($ in millions)



	Three Months Ended December 31, 2021										Twelve Months Ended December 31, 2021


	Real Estate		Private Equity		Hedge Fund Solutions		Credit & Insurance		Total		Real Estate		Private Equity		Hedge Fund Solutions		Credit & Insurance		Total
Beginning Balance	$	180,168	$	139,080	$	73,267	$	135,897	$	528,413	$	149,121	$	129,540	$	74,127	$	116,645	$	469,433
Inflows		41,088		22,366		3,844		68,368		135,666		73,052		37,527		10,656		103,312		224,547
Outflows		(847)		(1,806)		(2,798)		(2,416)		(7,866)		(3,093)		(3,694)		(14,704)		(11,948)		(33,439)
Net Flows		40,241		20,560		1,046		65,953		127,800		69,959		33,833		(4,048)		91,364		191,108
Realizations		(5,057)		(4,163)		(673)		(3,717)		(13,610)		(14,210)		(13,188)		(1,569)		(12,775)		(41,743)
Market Activity		6,124		1,080		394		(232)		7,367		16,607		6,372		5,525		2,667		31,171
Ending Balance	$	221,477	$	156,557	$	74,035	$	197,901	$	649,969	$	221,477	$	156,557	$	74,035	$	197,901	$	649,969
% Change		23%		13%		1%		46%		23%		49%		21%		(0)%		70%		38%

Inflows include contributions, capital raised, other increases in available capital (recallable capital and increased side-by-side commitments), purchases, inter-segment

allocations and acquisitions. Outflows represent redemptions, client withdrawals and decreases in available capital (expired capital, expense drawdowns and decreased side-by-

side commitments). Realizations represent realization proceeds from the disposition or other monetization of assets, current income or capital returned to investors from CLOs.

Market Activity includes realized and unrealized gains (losses) on portfolio investments and the impact of foreign exchange rate fluctuations. AUM is reported in the segment

where the assets are managed. Total AUM Market Activity for the full year period includes an adjustment for a change in methodology, see additional notes on page 33.

Blackstone | 16

DECONSOLIDATED BALANCE SHEET HIGHLIGHTS

At December 31, 2021, Blackstone had $6.9 billion in total cash, cash equivalents, corporate treasury, and other investments and $17.7 billion of cash and net investments, or $14.75 per share.

Blackstone has a $2.3 billion credit revolver and maintains A+/A+ ratings.

–

On January 10, 2022, Blackstone issued $500 million of 10-year notes at a 2.55% coupon and $1.0 billion of 30-
year notes at a 3.20% coupon.



($ in millions)	4Q’21

Cash and Cash Equivalents	$	2,120

Corporate Treasury and Other Investments		4,762

GP/Fund Investments		2,083

Net Accrued Performance Revenues		8,738

Cash and Net Investments	$	17,702

Outstanding Debt (at par)		7,856

Cash and Net Investments

(per share)

LOGO

A+ / A+

rated by S&P and Fitch

$2.3B

credit revolver with

November 2025 maturity

$6.9B

total cash, corporate

treasury and other

Balance Sheet Highlights exclude the consolidated Blackstone Funds. Other Investments was $3.2 billion as of December 31, 2021, which was comprised of

$727 million of liquid investments and $2.5 billion of illiquid investments. At December 31, 2021, there was $250 million of borrowings outstanding on the credit

revolver which reduced the capacity; this amount was repaid subsequent to the end of 4Q’21, restoring the revolver to full capacity. See notes on pages 29 and

33 for additional details on non-GAAP balance sheet measures.

Blackstone | 17

NET ACCRUED PERFORMANCE REVENUES – ADDITIONAL DETAIL


($ in millions, except per share data)	4Q’20		3Q’21		4Q’21		4Q’21
($ in millions, except per share data)	4Q’20		3Q’21		4Q’21		Per Share
Real Estate
BREP IV	$	9	$	22	$	22	$	0.02
BREP V		13		44		36		0.03
BREP VI		42		34		33		0.03
BREP VII		236		476		481		0.40
BREP VIII		475		713		962		0.80
BREP IX		137		551		901		0.75
BREP Europe IV		97		90		89		0.07
BREP Europe V		211		476		521		0.43
BREP Europe VI		-		176		253		0.21
BREP Asia I		127		112		126		0.11
BREP Asia II		-		116		162		0.13
BPP		264		362		505		0.42
BREIT		-		513		-		-
BEPIF		-		-		2		0.00
BREDS		23		40		46		0.04
BTAS		21		23		57		0.05
Real Estate	$	1,656	$	3,747	$	4,197	$	3.50
Private Equity
BCP IV		18		8		8	$	0.01
BCP V		-		57		45		0.04
BCP VI		680		561		469		0.39
BCP VII		688		1,278		1,313		1.09
BCP VIII		-		216		275		0.23
BCP Asia I		72		407		380		0.32
BEP I		29		33		27		0.02
BEP III		16		64		68		0.06
BCEP		105		198		214		0.18
Tactical Opportunities		189		296		382		0.32
Growth		15		45		36		0.03
Secondaries		105		430		489		0.41
Infrastructure		-		79		-		-
Life Sciences		10		33		21		0.02
BTAS/Other		45		195		211		0.18
Private Equity	$	1,971	$	3,899	$	3,939	$	3.28

Hedge Fund Solutions	$	29	$	362	$	280	$	0.23

Credit & Insurance	$	170	$	302	$	323	$	0.27

Net Accrued Performance Revenues	$	3,826	$	8,311	$	8,738	$	7.28

4Q’21 QoQ Rollforward

($ in millions)


			Net		Net
			Performance		Realized
	3Q’21		Revenues		Distributions			4Q’21

Real Estate	$	3,747	$	1,442	$	(992	)	$	4,197

Private Equity		3,899		537		(497	)		3,939

HFS		362		100		(182	)		280

Credit & Insurance		302		120		(100	)		323

Total	$	8,311	$	2,198	$	(1,771	)	$	8,738

QoQ Change									5%

FY’21 Rollforward

($ in millions)


			Net		Net
			Performance		Realized
	4Q’20		Revenues		Distributions			4Q’21

Real Estate	$	1,656	$	4,220	$	(1,678	)	$	4,197

Private Equity		1,971		3,408		(1,440	)		3,939

HFS		29		476		(225	)		280

Credit & Insurance		170		333		(181	)		323

Total	$	3,826	$	8,437	$	(3,524	)	$	8,738

YoY Change									128%

Net Accrued Performance Revenues (“NAPR”) are presented net of performance compensation and excludes Performance Revenues realized but not yet distributed

as of the reporting date and clawback amounts, if any, which are disclosed in the 10-K/Q. Real Estate and Private Equity include co-investments, as applicable. Per

Share calculations are based on end of period DE Shares Outstanding (see page 23, Share Summary).

Blackstone | 18

INVESTMENT RECORDS AS OF DECEMBER 31, 2021^(a)


($/€ in thousands, except where noted)	Committed		Available		Unrealized Investments			Realized Investments			Total Investments			Net IRRs (d)
Fund (Investment Period Beginning Date / Ending Date)	Capital		Capital (b)		Value		MOIC (c)	Value		MOIC (c)	Value		MOIC (c)	Realized	Total
Real Estate
Pre-BREP	$	140,714	$	-	$	-	n/a	$	345,190	2.5x	$	345,190	2.5x	33%	33%
BREP I (Sep 1994 / Oct 1996)		380,708		-		-	n/a		1,327,708	2.8x		1,327,708	2.8x	40%	40%
BREP II (Oct 1996 / Mar 1999)		1,198,339		-		-	n/a		2,531,614	2.1x		2,531,614	2.1x	19%	19%
BREP III (Apr 1999 / Apr 2003)		1,522,708		-		-	n/a		3,330,406	2.4x		3,330,406	2.4x	21%	21%
BREP IV (Apr 2003 / Dec 2005)		2,198,694		-		86,217	1.7x		4,579,740	1.7x		4,665,957	1.7x	13%	12%
BREP V (Dec 2005 / Feb 2007)		5,539,418		230,597		225,785	1.9x		13,222,089	2.3x		13,447,874	2.3x	11%	11%
BREP VI (Feb 2007 / Aug 2011)		11,060,444		550,464		368,991	2.0x		27,395,812	2.5x		27,764,803	2.5x	13%	13%
BREP VII (Aug 2011 / Apr 2015)		13,496,823		1,513,419		7,227,075	1.6x		23,739,753	2.1x		30,966,828	2.0x	22%	15%
BREP VIII (Apr 2015 / Jun 2019)		16,576,617		2,408,621		17,141,352	1.7x		17,214,412	2.4x		34,355,764	2.0x	29%	18%
*BREP IX (Jun 2019 / Dec 2024)		21,007,890		9,286,121		20,046,447	1.7x		3,831,613	1.7x		23,878,060	1.7x	69%	43%
Total Global BREP	$	73,122,355	$	13,989,222	$	45,095,867	1.7x	$	97,518,337	2.3x	$	142,614,204	2.1x	17%	16%
BREP Int’l (Jan 2001 / Sep 2005)	€	824,172	€	-	€	-	n/a	€	1,373,170	2.1x	€	1,373,170	2.1x	23%	23%
BREP Int’l II (Sep 2005 / Jun 2008) (e)		1,629,748		-		-	n/a		2,583,032	1.8x		2,583,032	1.8x	8%	8%
BREP Europe III (Jun 2008 / Sep 2013)		3,205,167		418,580		301,469	0.5x		5,790,308	2.4x		6,091,777	2.0x	19%	14%
BREP Europe IV (Sep 2013 / Dec 2016)		6,675,950		1,358,287		1,859,069	1.3x		9,660,569	2.0x		11,519,638	1.8x	20%	14%
BREP Europe V (Dec 2016 / Oct 2019)		7,937,730		1,507,062		9,423,656	1.6x		2,244,531	2.7x		11,668,187	1.8x	40%	14%
*BREP Europe VI (Oct 2019 / Apr 2025)		9,838,021		5,535,286		6,465,502	1.5x		336,091	1.8x		6,801,593	1.5x	58%	33%
Total BREP Europe	€	30,110,788	€	8,819,215	€	18,049,696	1.5x	€	21,987,701	2.1x	€	40,037,397	1.8x	16%	13%
BREP Asia I (Jun 2013 / Dec 2017)	$	4,261,983	$	916,881	$	2,552,222	1.4x	$	6,021,459	2.1x	$	8,573,681	1.9x	21%	13%
*BREP Asia II (Dec 2017 / Jun 2023)		7,339,220		2,425,009		6,713,549	1.4x		580,190	1.8x		7,293,739	1.4x	50%	13%
BREP Asia III (TBD)		6,381,667		6,381,667		-	n/a		-	n/a		-	n/a	n/a	n/a
BREP Co-Investment (f)		7,055,974		31,920		796,536	2.1x		14,948,870	2.2x		15,745,406	2.2x	16%	16%
Total BREP	$	133,185,559	$	33,772,146	$	75,965,536	1.6x	$	146,475,632	2.2x	$	222,441,168	2.0x	17%	16%
*Core+ BPP (Various) (g)		n/a		n/a		57,324,295	n/a		10,728,817	n/a		68,053,112	n/a	n/a	11%
*Core+ BREIT (Various) (h)		n/a		n/a		54,080,977	n/a		1,480,927	n/a		55,561,904	n/a	n/a	13%
*BREDS High-Yield (Various) (i)		19,986,922		5,933,947		5,829,078	1.1x		14,959,035	1.3x		20,788,113	1.2x	11%	10%

Private Equity
Corporate Private Equity
BCP I (Oct 1987 / Oct 1993)	$	859,081	$	-	$	-	n/a	$	1,741,738	2.6x	$	1,741,738	2.6x	19%	19%
BCP II (Oct 1993 / Aug 1997)		1,361,100		-		-	n/a		3,256,819	2.5x		3,256,819	2.5x	32%	32%
BCP III (Aug 1997 / Nov 2002)		3,967,422		-		-	n/a		9,184,688	2.3x		9,184,688	2.3x	14%	14%
BCOM (Jun 2000 / Jun 2006)		2,137,330		24,575		16,409	n/a		2,953,649	1.4x		2,970,058	1.4x	6%	6%
BCP IV (Nov 2002 / Dec 2005)		6,773,182		169,884		128,004	1.3x		21,479,599	2.9x		21,607,603	2.8x	36%	36%
BCP V (Dec 2005 / Jan 2011)		21,009,112		1,035,259		501,086	33.9x		37,985,864	1.9x		38,486,950	1.9x	8%	8%
BCP VI (Jan 2011 / May 2016)		15,202,513		1,378,295		8,021,296	1.8x		23,309,039	2.3x		31,330,335	2.1x	17%	13%
BCP VII (May 2016 / Feb 2020)		18,854,243		1,933,503		26,725,915	1.9x		8,448,126	2.3x		35,174,041	2.0x	34%	21%
*BCP VIII (Feb 2020 / Feb 2026)		25,179,610		18,004,146		10,614,496	1.5x		514,890	2.9x		11,129,386	1.5x	n/m	n/m
Energy I (Aug 2011 / Feb 2015)		2,441,558		174,492		685,652	1.4x		3,740,214	2.0x		4,425,866	1.8x	15%	11%
Energy II (Feb 2015 / Feb 2020)		4,933,284		1,030,529		4,413,862	1.4x		1,405,060	1.0x		5,818,922	1.3x	(0)%	4%
*Energy III (Feb 2020 / Feb 2026)		4,303,030		3,104,547		1,952,422	1.7x		297,794	2.5x		2,250,216	1.8x	110%	64%
BCP Asia I (Dec 2017 / Sep 2021)		2,454,139		1,118,140		4,879,474	3.7x		959,974	5.1x		5,839,448	3.9x	118%	74%
*BCP Asia II (Sep 2021 / Sep 2027)		6,491,738		6,477,858		-	n/a		-	n/a		-	n/a	n/a	n/a
Core Private Equity I (Jan 2017 / Mar 2021) (j)		4,766,232		1,148,177		7,884,413	2.1x		1,845,111	3.3x		9,729,524	2.2x	49%	27%
*Core Private Equity II (Mar 2021 / Mar 2026) (j)		8,180,704		6,749,990		1,461,615	1.0x		-	n/a		1,461,615	1.0x	n/a	n/m
Total Corporate Private Equity	$	128,914,278	$	42,349,395	$	67,284,644	1.8x	$	117,122,565	2.2x	$	184,407,209	2.0x	16%	16%

Notes on page 21. BREP – Blackstone Real Estate Partners, BREIT – Blackstone Real Estate Income Trust, BPP – Blackstone Property Partners, BREDS – Blackstone Real Estate Debt

Strategies, BCP – Blackstone Capital Partners, BCOM – Blackstone Communications.

* Represents funds that are currently in their investment period and open ended funds.

Blackstone | 19

INVESTMENT RECORDS AS OF DECEMBER 31, 2021^(a) – (CONT’D)


($/€ in thousands, except where noted)	Committed		Available		Unrealized Investments				Realized Investments			Total Investments			Net IRRs (d)
Fund (Investment Period Beginning Date / Ending Date)	Capital		Capital (b)		Value		MOIC (c)		Value		MOIC (c)	Value		MOIC (c)	Realized	Total
Private Equity (continued)
Tactical Opportunities
*Tactical Opportunities (Various)	$	22,759,261	$	7,559,204	$	14,145,210		1.4x	$	17,666,444	1.9x	$	31,811,654	1.6x	18%	13%
*Tactical Opportunities Co-Investment and Other (Various)		12,949,322		5,251,126		5,963,952		1.8x		6,493,793	1.6x		12,457,745	1.7x	19%	20%
Total Tactical Opportunities	$	35,708,583	$	12,810,330	$	20,109,162		1.5x	$	24,160,237	1.8x	$	44,269,399	1.7x	19%	15%
*Growth (Jul 2020 / Jul 2025)		4,987,303		2,294,812		3,288,600		1.2x		332,887	3.2x		3,621,487	1.3x	n/m	43%
Strategic Partners (Secondaries)
Strategic Partners I-V (Various) (k)		11,863,351		914,512		584,239		n/a		17,444,252	n/a		18,028,491	1.7x	n/a	13%
Strategic Partners VI (Apr 2014 / Apr 2016) (k)		4,362,750		1,405,799		1,265,351		n/a		3,841,661	n/a		5,107,012	1.7x	n/a	15%
Strategic Partners VII (May 2016 / Mar 2019) (k)		7,489,970		1,959,485		5,667,109		n/a		4,538,807	n/a		10,205,916	2.0x	n/a	23%
Strategic Partners Real Assets II (May 2017 / Jun 2020) (k)		1,749,807		446,763		1,185,225		n/a		722,811	n/a		1,908,036	1.4x	n/a	15%
Strategic Partners VIII (Mar 2019 / Oct 2021) (k)		10,763,600		4,356,481		9,904,521		n/a		2,852,354	n/a		12,756,875	1.9x	n/a	62%
*Strategic Partners Real Estate, SMA and Other (Various) (k)		7,878,498		2,567,247		3,123,973		n/a		2,536,724	n/a		5,660,697	1.6x	n/a	19%
*Strategic Partners Infra III (Jun 2020 / Jul 2024) (k)		3,250,100		2,135,928		487,301		n/a		65,044	n/a		552,345	1.4x	n/a	93%
*Strategic Partners IX (Oct 2021 / Jul 2026) (k)		12,787,918		10,352,530		1,214,852		n/a		-	n/a		1,214,852	1.0x	n/a	n/m
Total Strategic Partners (Secondaries)	$	60,145,994	$	24,138,745	$	23,432,571		n/a	$	32,001,653	n/a	$	55,434,224	1.7x	n/a	16%
*Infrastructure (Various)		17,118,991		5,813,496		13,386,607		1.2x		615,083	n/a		14,001,690	1.2x	n/a	17%
Life Sciences
Clarus IV (Jan 2018 / Jan 2020)		910,000		198,477		792,011		1.6x		230,278	1.9x		1,022,289	1.6x	25%	17%
*BXLS V (Jan 2020 / Jan 2025)		4,822,625		3,588,057		1,186,694		1.2x		-	n/a		1,186,694	1.2x	n/a	6%

Credit
Mezzanine / Opportunistic I (Jul 2007 / Oct 2011)	$	2,000,000	$	97,114	$	18,004		1.4x	$	4,785,346	1.6x	$	4,803,350	1.6x	n/a	17%
Mezzanine / Opportunistic II (Nov 2011 / Nov 2016)		4,120,000		1,007,436		456,774		0.4x		6,318,337	1.6x		6,775,111	1.4x	n/a	10%
Mezzanine / Opportunistic III (Sep 2016 / Jan 2021)		6,639,133		951,810		4,671,432		1.1x		4,725,460	1.6x		9,396,892	1.3x	n/a	12%
*Mezzanine / Opportunistic IV (Jan 2021 / Jan 2026)		5,016,771		3,917,329		1,140,074		1.0x		17,999	17.5x		1,158,073	1.0x	n/a	n/m
Stressed / Distressed I (Sep 2009 / May 2013)		3,253,143		76,000		-		n/a		5,776,841	1.3x		5,776,841	1.3x	n/a	9%
Stressed / Distressed II (Jun 2013 / Jun 2018)		5,125,000		547,430		475,897		0.6x		5,163,266	1.2x		5,639,163	1.1x	n/a	2%
*Stressed / Distressed III (Dec 2017 / Dec 2022)		7,356,380		3,477,014		2,179,843		1.0x		2,240,073	1.4x		4,419,916	1.2x	n/a	9%
Energy I (Nov 2015 / Nov 2018)		2,856,867		1,049,896		997,985		1.0x		2,148,795	1.6x		3,146,780	1.3x	n/a	8%
*Energy II (Feb 2019 / Feb 2024)		3,616,081		2,259,493		1,629,250		1.2x		674,471	1.5x		2,303,721	1.3x	n/a	32%
European Senior Debt I (Feb 2015 / Feb 2019)	€	1,964,689	€	342,587	€	1,020,952		1.0x	€	2,258,855	1.4x	€	3,279,807	1.2x	n/a	6%
*European Senior Debt II (Jun 2019 / Jun 2024)	€	4,088,344	€	2,392,801	€	2,821,177		1.0x	€	955,757	1.3x	€	3,776,934	1.1x	n/a	18%
Total Credit Drawdown Funds (l)	$	46,889,033	$	16,494,206	$	15,938,527		1.0x	$	35,541,870	1.4x	$	51,480,397	1.3x	n/a	10%
*Direct Lending BCRED (Various) (m)		n/a		n/a		12,854,821		n/a		315,805	n/a		13,170,626	n/a	n/a	12%

Notes on page 21. BXLS – Blackstone Life Sciences, BCRED – Blackstone Private Credit Fund.

* Represents funds that are currently in their investment period and open ended funds.

Blackstone | 20

INVESTMENT RECORDS AS OF DECEMBER 31, 2021 – NOTES

The returns presented herein represent those of the applicable Blackstone Funds and not those of Blackstone Inc.

n/m

Not meaningful generally due to the limited time since initial investment.

n/a

Not applicable.

(a)

Excludes investment vehicles where Blackstone does not earn fees.

(b)

Available Capital represents total investable capital commitments, including side-by-side, adjusted for certain expenses and expired or recallable capital and may include leverage, less invested capital. This amount is not reduced by outstanding commitments to investments.

(c)

Multiple of Invested Capital (“MOIC”) represents carrying value, before management fees, expenses and Performance Revenues, divided by invested capital.

(d)

Unless otherwise indicated, Net Internal Rate of Return (“IRR”) represents the annualized inception to December 31, 2021 IRR on total invested capital based on realized proceeds and unrealized value, as applicable, after management fees, expenses and Performance Revenues. IRRs are calculated using actual timing of limited partner cash flows. Initial inception date of cash flows may differ from the Investment Period Beginning Date.

(e)

The 8% Realized Net IRR and 8% Total Net IRR exclude investors that opted out of the Hilton investment opportunity. Overall BREP International II performance reflects a 7% Realized Net IRR and a 7% Total Net IRR.

(f)

BREP Co-Investment represents co-investment capital raised for various BREP investments. The Net IRR reflected is calculated by aggregating each co-investment’s realized proceeds and unrealized value, as applicable, after management fees, expenses and Performance Revenues.

(g)

BPP represents the Core+ real estate funds which invest with a more modest risk profile and lower leverage. Committed Capital and Available Capital are not regularly reported to investors in our Core+ strategy and are not applicable in the context of these funds.

(h)

Unrealized Investment Value reflects BREIT’s net asset value as of December 31, 2021. Realized Investment Value represents BREIT’s cash distributions, net of servicing fees. The BREIT net return reflects a per share blended return, assuming BREIT had a single share class, reinvestment of all dividends received during the period, and no upfront selling commission, net of all fees and expenses incurred by BREIT. These returns are not representative of the returns experienced by any particular investor or share class. Inception to date net returns are presented on an annualized basis and are from January 1, 2017. Committed Capital and Available Capital are not regularly reported to investors in our Core+ strategy and are not applicable in the context of this vehicle.

(i)

BREDS High-Yield represents the flagship real estate debt drawdown funds only.

(j)

Blackstone Core Equity Partners is a core private equity strategy which invests with a more modest risk profile and longer hold period than traditional private equity.

(k)

Realizations are treated as return of capital until fully recovered and therefore unrealized and realized MOICs are not applicable. Returns are calculated from results that are reported on a three-month lag from Strategic Partners’ fund financial statements and therefore do not include the impact of economic and market activities in the current quarter. Effective 4Q’21, the MOIC calculation was updated to exclude capital called for management fees and expenses from invested capital.

(l)

Funds presented represent the flagship credit drawdown funds only. The Total Credit Net IRR is the combined IRR of the credit drawdown funds presented.

(m)

Unrealized Investment Value reflects Blackstone Private Credit Fund’s (“BCRED”) net asset value as of December 31, 2021. Realized Investment Value represents BCRED’s cash distributions, net of servicing fees. The BCRED net return reflects a per share blended return, assuming BCRED had a single share class, reinvestment of all dividends received during the period, and no upfront selling commission, net of all fees and expenses incurred by BCRED. These returns are not representative of the returns experienced by any particular investor or share class. Inception to date net returns are presented on an unannualized basis and are from January 7, 2021. Committed Capital and Available Capital are not regularly reported to investors in BCRED and are not applicable in the context of this vehicle. Does not include Blackstone Secured Lending Fund (“BXSL”) as it is now a publicly traded BDC following its IPO on October 28, 2021.

Blackstone | 21

SHAREHOLDER DIVIDENDS

Generated $1.71 of Distributable Earnings per common share during the quarter, bringing the full year amount to
$4.77 per common share.

Blackstone declared a quarterly dividend of $1.45 per common share to record holders as of February 7, 2022;
payable on February 14, 2022.


																% Change							% Change
($ in thousands, except per share data)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			vs. 4Q’20	FY’20			FY’21			vs. FY’20

Distributable Earnings	$	1,464,406		$	1,192,244		$	1,069,993		$	1,635,273		$	2,273,327		55%	$	3,341,596		$	6,170,837		85%

Add: Other Payables Attributable to Common Shareholders		154,783			61,249			120,336			133,841			352,514		128%		233,117			667,939		187%

DE before Certain Payables		1,619,189			1,253,493			1,190,329			1,769,114			2,625,841		62%		3,574,713			6,838,776		91%

Percent to Common Shareholders		59%			59%			60%			60%			61%				58%			60%
DE before Certain Payables Attributable to Common Shareholders		949,854			741,662			710,081			1,059,142			1,601,199		69%		2,084,467			4,112,084		97%

Less: Other Payables Attributable to Common Shareholders		(154,783	)		(61,249	)		(120,336	)		(133,841	)		(352,514	)	128%		(233,117	)		(667,939	)	187%

DE Attributable to Common Shareholders		795,071			680,413			589,745			925,301			1,248,685		57%		1,851,350			3,444,145		86%

DE per Common Share	$	1.13		$	0.96		$	0.82		$	1.28		$	1.71		51%	$	2.65		$	4.77		80%

Less: Retained Capital per Common Share	$	(0.17)		$	(0.14)		$	(0.12)		$	(0.19)		$	(0.26)		53%	$	(0.39)		$	(0.71)		82%

Actual Dividend per Common Share	$	0.96		$	0.82		$	0.70		$	1.09		$	1.45		51%	$	2.26		$	4.06		80%

Record Date														Feb 7, 2022

Payable Date														Feb 14, 2022

A detailed description of Blackstone’s dividend policy and the definition of Distributable Earnings can be found on pages 34-36, Definitions and Dividend Policy.

See additional notes on page 33.

Blackstone | 22

SHARE SUMMARY

Distributable Earnings Shares Outstanding as of quarter end of 1.200 billion shares.

–

Repurchased 4.2 million common shares in the quarter and 10.3 million common shares for the year.

–

Available authorization remaining was $1.5 billion at December 31, 2021.



	4Q’20		1Q’21		2Q’21		3Q’21		4Q’21

Participating Common Shares		703,959,789		711,065,543		720,474,539		721,369,398		732,037,197

Participating Partnership Units		496,060,455		490,716,529		487,276,882		483,553,949		468,446,388

Distributable Earnings Shares Outstanding		1,200,020,244		1,201,782,072		1,207,751,421		1,204,923,347		1,200,483,585

Participating Common Shares and Participating Partnership Units include both issued and outstanding shares and unvested shares that participate in dividends.

Blackstone | 23

Reconciliations and Disclosures

Blackstone | 24

RECONCILIATION OF GAAP TO NON-GAAP MEASURES


	QTD															FY


($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21

Net Income Attributable to Blackstone Inc.	$	748,870		$	1,747,872		$	1,309,152		$	1,401,895		$	1,398,478		$	1,045,363		$	5,857,397

Net Income Attributable to Non-Controlling Interests in Blackstone Holdings		759,110			1,235,784			1,116,193			1,315,641			1,218,934			1,012,924			4,886,552

Net Income (Loss) Attributable to Non-Controlling Interests in Consolidated Entities		308,055			386,850			431,516			486,907			320,033			217,117			1,625,306

Net Income (Loss) Attributable to Redeemable Non-Controlling Interests in Consolidated Entities		(1,871	)		629			637			1,550			2,924			(13,898	)		5,740

Net Income	$	1,814,164		$	3,371,135		$	2,857,498		$	3,205,993		$	2,940,369		$	2,261,506		$	12,374,995

Provision (Benefit) for Taxes		266,342			(447	)		288,250			458,904			437,694			356,014			1,184,401

Income Before Provision for Taxes	$	2,080,506		$	3,370,688		$	3,145,748		$	3,664,897		$	3,378,063		$	2,617,520		$	13,559,396

Transaction-Related Charges (a)		70,292			27,888			35,533			59,193			21,424			240,729			144,038

Amortization of Intangibles (b)		16,535			17,124			17,044			17,044			17,044			65,984			68,256

Impact of Consolidation (c)		(306,184	)		(387,479	)		(432,153	)		(488,457	)		(322,957	)		(203,219	)		(1,631,046	)

Unrealized Performance Revenues (d)		(597,285	)		(2,464,497	)		(2,697,170	)		(2,724,366	)		(789,213	)		384,758			(8,675,246	)

Unrealized Performance Allocations Compensation (e)		278,575			1,049,969			1,150,219			1,193,853			384,007			(154,516	)		3,778,048

Unrealized Principal Investment (Income) Loss (f)		(114,427	)		(423,934	)		(104,658	)		2,343			(153,518	)		101,742			(679,767	)

Other Revenues (g)		143,615			(60,273	)		(27,870	)		(64,109	)		(50,633	)		253,693			(202,885	)

Equity-Based Compensation (h)		67,092			144,272			121,422			129,254			164,589			333,767			559,537

Administrative Fee Adjustment (i)		2,546			2,708			2,551			2,488			2,441			5,265			10,188

Taxes and Related Payables (j)		(176,859	)		(84,222	)		(140,673	)		(156,867	)		(377,920	)		(304,127	)		(759,682	)

Distributable Earnings	$	1,464,406		$	1,192,244		$	1,069,993		$	1,635,273		$	2,273,327		$	3,341,596		$	6,170,837

Taxes and Related Payables (j)		176,859			84,222			140,673			156,867			377,920			304,127			759,682

Net Interest and Dividend (Income) Loss (k)		5,604			12,928			11,201			16,238			(6,779	)		34,910			33,588

Total Segment Distributable Earnings	$	1,646,869		$	1,289,394		$	1,221,867		$	1,808,378		$	2,644,468		$	3,680,633		$	6,964,107

Realized Performance Revenues (l)		(1,276,629	)		(401,323	)		(792,938	)		(1,497,477	)		(1,191,374	)		(1,865,993	)		(3,883,112	)

Realized Performance Compensation (m)		483,528			150,924			338,271			619,074			449,301			714,347			1,557,570

Realized Principal Investment Income (n)		(103,821	)		(298,156	)		(63,132	)		(151,010	)		(75,468	)		(158,933	)		(587,766	)

Fee Related Earnings	$	749,947		$	740,839		$	704,068		$	778,965		$	1,826,927		$	2,370,054		$	4,050,799

Adjusted EBITDA Reconciliation

Distributable Earnings	$	1,464,406		$	1,192,244		$	1,069,993		$	1,635,273		$	2,273,327		$	3,341,596		$	6,170,837

Interest Expense (o)		45,330			44,340			44,132			51,773			56,387			165,022			196,632

Taxes and Related Payables (j)		176,859			84,222			140,673			156,867			377,920			304,127			759,682

Depreciation and Amortization (p)		9,946			12,293			12,581			12,771			14,542			35,136			52,187

Adjusted EBITDA	$	1,696,541		$	1,333,099		$	1,267,379		$	1,856,684		$	2,722,176		$	3,845,881		$	7,179,338

Notes on pages 26-27.

Blackstone | 25

RECONCILIATION OF GAAP TO NON-GAAP MEASURES – NOTES

Note: See pages 34-36, Definitions and Dividend Policy.

(a)

This adjustment removes Transaction-Related Charges, which are excluded from Blackstone’s segment presentation. Transaction-Related Charges arise from corporate actions including acquisitions, divestitures, and Blackstone’s initial public offering. They consist primarily of equity-based compensation charges, gains and losses on contingent consideration arrangements, changes in the balance of the Tax Receivable Agreement resulting from a change in tax law or similar event, transaction costs and any gains or losses associated with these corporate actions.

(b)

This adjustment removes the amortization of transaction-related intangibles, which are excluded from Blackstone’s segment presentation. This amount includes amortization of intangibles associated with Blackstone’s investment in Pátria, which was historically accounted for under the equity method. As a result of Pátria’s IPO in January 2021, equity method has been discontinued and there will no longer be amortization of intangibles associated with the
investment.

(c)

This adjustment reverses the effect of consolidating Blackstone Funds, which are excluded from Blackstone’s segment presentation. This adjustment includes the elimination of Blackstone’s interest in these funds and the removal of amounts associated with the ownership of Blackstone consolidated operating partnerships held by non-controlling interests.

(d)	This adjustment removes Unrealized Performance Revenues on a segment basis. The Segment Adjustment represents the add back of performance revenues earned from consolidated Blackstone Funds which have been eliminated in consolidation.


	QTD															FY
($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21
GAAP Unrealized Performance Allocations	$	597,285		$	2,464,497		$	2,697,170		$	2,724,366		$	789,213		$	(384,393	)	$	8,675,246
Segment Adjustment		-			-			-			-			-			(365	)		-
Unrealized Principal Investment Income (Loss)	$	597,285		$	2,464,497		$	2,697,170		$	2,724,366		$	789,213		$	(384,758	)	$	8,675,246
(e) This adjustment removes Unrealized Performance Allocations Compensation. (f) This adjustment removes Unrealized Principal Investment Income (Loss) on a segment basis. The Segment Adjustment represents (1) the add back of Principal Investment Income, including general partner income, earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of amounts associated with the ownership of Blackstone consolidated operating partnerships held by non-controlling interests.
	QTD															FY
($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21
GAAP Unrealized Principal Investment Income (Loss)	$	217,688		$	639,315		$	328,835		$	183,754		$	304,297		$	(114,607	)	$	1,456,201
Segment Adjustment		(103,261	)		(215,381	)		(224,177	)		(186,097	)		(150,779	)		12,865			(776,434	)
Unrealized Principal Investment Income (Loss)	$	114,427		$	423,934		$	104,658		$	(2,343	)	$	153,518		$	(101,742	)	$	679,767
(g) This adjustment removes Other Revenues on a segment basis. The Segment Adjustment represents (1) the add back of Other Revenues earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of certain Transaction-Related Charges.
	QTD															FY
($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21
GAAP Other Revenue	$	(143,583	)	$	60,304		$	27,896		$	64,187		$	50,699		$	(253,142	)	$	203,086
Segment Adjustment		(32	)		(31	)		(26	)		(78	)		(66	)		(551	)		(201	)
Other Revenues	$	(143,615	)	$	60,273		$	27,870		$	64,109		$	50,633		$	(253,693	)	$	202,885
(h) This adjustment removes Equity-Based Compensation on a segment basis. (i) This adjustment adds an amount equal to an administrative fee collected on a quarterly basis from certain holders of Blackstone Holdings Partnership Units. The administrative fee is accounted for as a capital contribution under GAAP, but is reflected as a reduction of Other Operating Expenses in Blackstone’s segment presentation.

Blackstone | 26

RECONCILIATION OF GAAP TO NON-GAAP MEASURES – NOTES (CONT’D)

(j)

Taxes represent the total GAAP tax provision adjusted to include only the current tax provision (benefit) calculated on Income (Loss) Before Provision (Benefit) for Taxes and adjusted to exclude the tax impact of any divestitures. Related Payables represent tax-related payables including the amount payable under the Tax Receivable Agreement. Please refer to page 34 for the full definition of Taxes and Related Payables.


	QTD															FY
($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21
Taxes	$	163,315		$	69,609		$	127,809		$	140,548		$	365,109		$	260,569		$	703,075
Related Payables		13,544			14,613			12,864			16,319			12,811			43,558			56,607
Taxes and Related Payables	$	176,859		$	84,222		$	140,673		$	156,867		$	377,920		$	304,127		$	759,682

(k) This adjustment removes Interest and Dividend Revenue less Interest Expense on a segment basis. The Segment Adjustment represents (1) the add back of Interest and Dividend Revenue earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of interest expense associated with the Tax Receivable Agreement.

	QTD															FY
($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21
GAAP Interest and Dividend Revenue	$	39,726		$	31,412		$	31,017		$	35,048		$	63,166		$	125,231		$	160,643
Segment Adjustment		-			-			1,914			487			-			4,881			2,401
Interest and Dividend Revenue	$	39,726		$	31,412		$	32,931		$	35,535		$	63,166		$	130,112		$	163,044

GAAP Interest Expense	$	45,702		$	44,983		$	44,322		$	52,413		$	56,550		$	166,162		$	198,268
Segment Adjustment		(372	)		(643	)		(190	)		(640	)		(163	)		(1,140	)		(1,636	)
Interest Expense	$	45,330		$	44,340		$	44,132		$	51,773		$	56,387		$	165,022		$	196,632
Net Interest and Dividend Income (Loss)	$	(5,604	)	$	(12,928	)	$	(11,201	)	$	(16,238	)	$	6,779		$	(34,910	)	$	(33,588	)
(l) This adjustment removes the total segment amount of Realized Performance Revenues. (m) This adjustment removes the total segment amount of Realized Performance Compensation. (n) This adjustment removes the total segment amount of Realized Principal Investment Income. (o) This adjustment adds back Interest Expense on a segment basis, excluding interest expense related to the Tax Receivable Agreement. (p) This adjustment adds back Depreciation and Amortization on a segment basis. Reconciliation of GAAP Shares of Common Stock Outstanding to Distributable Earnings Shares Outstanding

	QTD
	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21
GAAP Shares of Common Stock Outstanding		683,875,544			690,569,563			691,093,463			693,612,698			704,339,774
Unvested Participating Common Shares		20,084,245			20,495,980			29,381,076			27,756,700			27,697,423
Total Participating Common Shares		703,959,789			711,065,543			720,474,539			721,369,398			732,037,197
Participating Partnership Units		496,060,455			490,716,529			487,276,882			483,553,949			468,446,388
Distributable Earnings Shares Outstanding		1,200,020,244			1,201,782,072			1,207,751,421			1,204,923,347			1,200,483,585

Disclosure of Weighted-Average Shares Common Stock Outstanding

	QTD															FY
	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21

Total GAAP Weighted-Average Shares of Common Stock Outstanding - Basic		702,543,279			709,033,212			721,141,954			722,229,117			726,445,206			696,933,548			719,766,879

Weighted-Average Shares of Unvested Deferred Restricted Common Stock		436,255			879,132			123,226			203,982			226,315			324,748			358,164

Total GAAP Weighted-Average Shares of Common Stock Outstanding - Diluted		702,979,534			709,912,344			721,265,180			722,433,099			726,671,521			697,258,296			720,125,043

Blackstone | 27

BLACKSTONE’S FOURTH QUARTER 2021 GAAP BALANCE SHEET RESULTS



($ in thousands) (unaudited)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21

Assets

Cash and Cash Equivalents	$	1,999,484		$	2,862,422		$	2,467,444		$	5,011,433		$	2,119,738

Cash Held by Blackstone Funds and Other		64,972			109,285			109,676			113,731			79,994

Investments		15,617,142			17,943,309			22,163,322			25,104,195			28,665,043

Accounts Receivable		866,158			975,610			582,542			496,265			636,616

Due from Affiliates		3,221,515			3,015,318			3,159,829			3,718,119			4,656,867

Intangible Assets, Net		347,955			340,478			321,780			303,082			284,384

Goodwill		1,901,485			1,890,185			1,890,202			1,890,202			1,890,202

Other Assets		481,022			434,475			556,714			538,567			492,936

Right-of-Use Assets		526,943			736,633			723,539			745,886			788,991

Deferred Tax Assets		1,242,576			1,402,271			1,322,144			1,116,612			1,581,637

Total Assets	$	26,269,252		$	29,709,986		$	33,297,192		$	39,038,092		$	41,196,408

Liabilities and Equity

Loans Payable	$	5,644,653		$	5,573,965		$	5,594,648		$	7,527,576		$	7,748,163

Due to Affiliates		1,135,041			1,161,775			1,226,504			1,426,209			1,906,098

Accrued Compensation and Benefits		3,433,260			4,376,226			5,789,662			7,399,559			7,905,070

Securities Sold, Not Yet Purchased		51,033			33,160			35,783			35,657			27,849

Repurchase Agreements		76,808			58,050			57,247			36,545			57,980

Operating Lease Liabilities		620,844			842,692			841,152			863,020			908,033

Accounts Payable, Accrued Expenses and Other Liabilities		717,104			838,930			1,205,182			871,661			937,169

Total Liabilities		11,678,743			12,884,798			14,750,178			18,160,227			19,490,362

Redeemable Non-Controlling Interests in Consolidated Entities		65,161			65,546			65,568			66,824			68,028

Equity

Common Stock, $0.00001 par value (704,339,774 shares issued and outstanding as of December 31, 2021)		7			7			7			7			7

Series I Preferred Stock, $0.00001 par value (1 share issued and outstanding as of December 31, 2021)		—			—			—			—			—

Series II Preferred Stock, $0.00001 par value (1 share issued and outstanding as of December 31, 2021)		—			—			—			—			—

Additional Paid-in-Capital		6,332,105			6,446,829			6,282,600			6,037,628			5,794,727

Retained Earnings		335,762			1,408,768			2,133,794			3,031,765			3,647,785

Accumulated Other Comprehensive Loss		(15,831	)		(11,454	)		(10,245	)		(15,357	)		(19,626	)

Non-Controlling Interests in Consolidated Entities		4,042,157			4,390,594			4,860,442			5,638,612			5,600,653

Non-Controlling Interests in Blackstone Holdings		3,831,148			4,524,898			5,214,848			6,118,386			6,614,472

Total Equity		14,525,348			16,759,642			18,481,446			20,811,041			21,638,018

Total Liabilities and Equity	$	26,269,252		$	29,709,986		$	33,297,192		$	39,038,092		$	41,196,408

See page 29, Reconciliation of GAAP to Non-GAAP Balance Sheet Measures.

Blackstone | 28

RECONCILIATION OF GAAP TO NON-GAAP BALANCE SHEET MEASURES



($ in thousands)	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21

Investments of Consolidated Blackstone Funds	$	1,455,008		$	1,459,804		$	1,871,269		$	2,104,705		$	2,018,829

Equity Method Investments

Partnership Investments		4,353,234			4,676,341			4,916,675			5,303,334			5,635,212

Accrued Performance Allocations		6,891,262			9,367,251			12,101,142			15,063,648			17,096,873

Corporate Treasury Investments		2,579,716			1,726,285			2,440,325			1,520,426			658,066

Other Investments		337,922			713,628			833,911			1,112,082			3,256,063

Total GAAP Investments		15,617,142			17,943,309			22,163,322			25,104,195			28,665,043



Accrued Performance Allocations - GAAP	$	6,891,262		$	9,367,251		$	12,101,142		$	15,063,648		$	17,096,873

Impact of Consolidation (a)		1			1			1			1			1

Due from Affiliates - GAAP (b)		165,678			56,274			59,304			59,669			260,993

Less: Net Realized Performance Revenues (c)		(313,610	)		(269,426	)		(261,760	)		(416,336	)		(1,294,884	)

Less: Accrued Performance Compensation - GAAP (d)		(2,917,609	)		(3,952,253	)		(5,137,933	)		(6,395,903	)		(7,324,906	)

Net Accrued Performance Revenues	$	3,825,722		$	5,201,847		$	6,760,754		$	8,311,079		$	8,738,077

Corporate Treasury and Other Investments - GAAP (e)	$	2,917,638		$	2,439,913		$	3,274,236		$	2,632,508		$	3,914,129

Impact of Consolidation (a)		137,745			142,187			176,320			178,407			144,354

Other Assets (f)		947,565			766,285			479,591			580,641			797,843

Other Liabilities (g)		(30,355	)		(61,599	)		(494,119	)		(169,863	)		(94,314	)

Corporate Treasury and Other Investments - Deconsolidated (h)	$	3,972,593		$	3,286,786		$	3,436,028		$	3,221,693		$	4,762,012

Partnership Investments - GAAP	$	4,353,234		$	4,676,341		$	4,916,675		$	5,303,334		$	5,635,212

Impact of Consolidation (i)		(2,615,599	)		(2,923,029	)		(3,091,175	)		(3,459,004	)		(3,552,599	)

GP/Fund Investments - Deconsolidated	$	1,737,635		$	1,753,312		$	1,825,500		$	1,844,330		$	2,082,613

Loans Payable - GAAP	$	5,644,653		$	5,573,965		$	5,594,648		$	7,527,576		$	7,748,163

Impact of Consolidation (j)		(99	)		(100	)		(99	)		(100	)		(101	)

Outstanding Debt - Carrying Value		5,644,554			5,573,865			5,594,549			7,527,476			7,748,062

Unamortized Discount		87,846			85,635			84,151			109,524			107,438

Outstanding Debt (at par) - Deconsolidated	$	5,732,400		$	5,659,500		$	5,678,700		$	7,637,000		$	7,855,500

(a)

This adjustment adds back investments in consolidated Blackstone Funds which have been eliminated in consolidation.

(b)

Represents GAAP accrued performance revenue recorded within Due from Affiliates.

(c)

Represents Performance Revenues realized but not yet distributed as of the reporting date and are included in Distributable Earnings in the period they are realized.

(d)

Represents GAAP accrued performance compensation associated with Accrued Performance Allocations and is recorded within Accrued Compensation and Benefits and Due to Affiliates.

(e)

Effective 3Q’21, Corporate Treasury includes Other Investments and has been renamed to Corporate Treasury and Other Investments. Prior periods have been recast to reflect the revised classification.

(f)

This adjustment adds other assets related to Treasury Operations that are recorded within Accounts Receivable, reverse repurchase agreements and Due from Affiliates.

(g)

This adjustment adds other liabilities related to Treasury Operations that are recorded within Accounts Payable, Accrued Expenses and Other Liabilities, Repurchase Agreements and securities sold short, not yet purchased.

(h)

Deconsolidated Other Investments was $3.2 billion as of December 31, 2021, which was comprised of $727 million of liquid investments and $2.5 billion of illiquid investments. The liquid portion of Other Investments relates to public equity securities, which may include equity securities subject to lockup periods, and other investments held by Blackstone that can be easily converted to cash.

(i)

This adjustment removes amounts associated with the ownership of Blackstone consolidated operating partnerships held by non-controlling interests and adds back investments in consolidated Blackstone Funds which have been eliminated in consolidation.

(j)

This adjustment removes amounts related to consolidated Blackstone Funds.

Blackstone | 29

RECONCILIATION OF GAAP TO TOTAL SEGMENTS


($ in thousands)	QTD															FY


	4Q’20			1Q’21			2Q’21			3Q’21			4Q’21			FY’20			FY’21

Management and Advisory Fees, Net

GAAP	$	1,134,138		$	1,177,815		$	1,212,549		$	1,320,795		$	1,459,548		$	4,092,549		$	5,170,707

Segment Adjustment (a)		1,887			390			193			(720	)		(3,328	)		18,616			(3,465	)

Total Segment	$	1,136,025		$	1,178,205		$	1,212,742		$	1,320,075		$	1,456,220		$	4,111,165		$	5,167,242

GAAP Realized Performance Revenues to Total Segment Fee Related Performance Revenues

GAAP

Incentive Fees		97,702			36,124			33,207			48,206			136,454			138,661			253,991

Investment Income - Realized Performance Allocations		1,465,154			534,367			808,620			1,522,495			2,787,970			2,106,000			5,653,452

GAAP	$	1,562,856		$	570,491		$	841,827		$	1,570,701		$	2,924,424		$	2,244,661		$	5,907,443

Total Segment

Less: Realized Performance Revenues		(1,276,629	)		(401,323	)		(792,938	)		(1,497,477	)		(1,191,374	)		(1,865,993	)		(3,883,112	)

Segment Adjustment (b)		-			-			-			89			824			8			913

Total Segment	$	286,227		$	169,168		$	48,889		$	73,313		$	1,733,874		$	378,676		$	2,025,244

GAAP Compensation to Total Segment Fee Related Compensation

GAAP

Compensation		459,636			542,638			507,104			536,199			576,032			1,855,619			2,161,973

Incentive Fees Compensation		22,086			13,325			14,431			21,007			49,349			44,425			98,112

Realized Performance Allocations Compensation		590,089			213,027			347,423			631,632			1,119,911			843,230			2,311,993

GAAP	$	1,071,811		$	768,990		$	868,958		$	1,188,838		$	1,745,292		$	2,743,274		$	4,572,078

Total Segment

Less: Realized Performance Compensation		(483,528	)		(150,924	)		(338,271	)		(619,074	)		(449,301	)		(714,347	)		(1,557,570	)

Less: Equity-Based Compensation - Fee Related Compensation		(65,397	)		(141,674	)		(119,491	)		(127,442	)		(162,656	)		(326,116	)		(551,263	)

Less: Equity-Based Compensation - Performance Compensation		(1,695	)		(2,598	)		(1,931	)		(1,812	)		(1,933	)		(7,651	)		(8,274	)

Segment Adjustment (c)		(38,422	)		(28,684	)		(33,880	)		(21,029	)		(23,368	)		(198,590	)		(106,961	)

Total Segment	$	482,769		$	445,110		$	375,385		$	419,481		$	1,108,034		$	1,496,570		$	2,348,010

GAAP General, Administrative and Other to Total Segment Other Operating Expenses

GAAP	$	214,124		$	185,122		$	205,057		$	217,995		$	309,673		$	711,782		$	917,847

Segment Adjustment (d)		(24,588	)		(23,698	)		(22,879	)		(23,053	)		(54,540	)		(88,565	)		(124,170	)

Total Segment	$	189,536		$	161,424		$	182,178		$	194,942		$	255,133		$	623,217		$	793,677

Realized Performance Revenues

GAAP

Incentive Fees		97,702			36,124			33,207			48,206			136,454			138,661			253,991

Investment Income - Realized Performance Allocations		1,465,154			534,367			808,620			1,522,495			2,787,970			2,106,000			5,653,452

GAAP	$	1,562,856		$	570,491		$