Blackstone 8K Reports First Quarter 2020 Results | BX 23 Apr 20

Exhibit 99.1

LOGO

Blackstone Reports First Quarter 2020 Results

New York, April 23, 2020: Blackstone (NYSE:BX) today reported its first quarter 2020 results.

Stephen A. Schwarzman, Chairman and Chief Executive Officer, said, “Blackstone’s first-quarter financial results reflect the unprecedented market and global economic conditions caused by the COVID-19 pandemic. Despite the extremely challenging environment, we continued to generate significant cash flow for our shareholders, distributing over $700 million through dividends and share repurchases in the quarter, and $3.2 billion over the last twelve months. Throughout our firm’s 35-year history, we have weathered many difficult periods - including the global financial crisis - only to emerge stronger than before. Our experience has shown that although asset values may be temporarily marked down, strong assets ultimately recover.”

Mr. Schwarzman continued, “We entered this crisis in a position of great strength, having recently completed a two-year fundraising cycle of nearly $250 billion. With ample capital reserves, long-term fund structures, and over $150 billion of dry powder capital – more than anyone in our industry – we are uniquely positioned to invest on behalf of our clients at a time of historic dislocation.”

Blackstone issued a full detailed presentation of its first quarter 2020 results, which can be viewed atwww.blackstone.com.

Dividend

Blackstone has declared a quarterly dividend of $0.39 per share to record holders of Class A common stock at the close of business on May 4, 2020. This dividend will be paid on May 11, 2020.

Blackstone

345 Park Avenue New York NY 10154

T 212 583 5000

www.blackstone.com

Quarterly Investor Call Details

Blackstone will host its first quarter 2020 investor conference via public webcast on April 23, 2020 at 9:00 a.m. ET. To register, please use the following link:https://event.webcasts.com/starthere.jsp?ei=1296835&tp_key=a429fa7d99. For those unable to listen to the live broadcast, there will be a webcast replay on the Shareholders section of Blackstone’s website athttps://ir.blackstone.com/.

About Blackstone

Blackstone is one of the world’s leading investment firms. 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 asset management businesses, with $538 billion in assets under management, include investment vehicles focused on private equity, real estate, public debt and equity, growth equity, opportunistic,non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available atwww.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 and Section 21E of the Securities Exchange Act of 1934 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,” “estimates,” “anticipates” 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 ofCOVID-19 and energy market dislocation, as well as those described under the section entitled “Risk Factors” in our Annual Report on Form10-K for the year ended December 31, 2019, 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

Blackstone’s First

Quarter 2020 Earnings

APRIL 23, 2020

Blackstone |

BLACKSTONE’S FIRST QUARTER 2020 GAAP RESULTS

GAAP Net Income (Loss) was $(2.6) billion for the quarter and $186 million over the last twelve months (“LTM”).

GAAP Net Income (Loss) Attributable to The Blackstone Group Inc. was $(1.1) billion for the quarter and $502

million

over the LTM.

Throughout this presentation, all current period amounts are preliminary. Totals may not add due to rounding. See pages 34-35, Definitions and Dividend

Policy, for definitions of terms used throughout this presentation. See additional notes on page 32.

($ in thousands, except per share data. unaudited)

1Q'19

1Q'20

1Q'19 LTM

1Q'20 LTM

Revenues

Management and Advisory Fees, Net

809,726

934,832

3,108,673

3,597,261

Incentive Fees

12,132

12,161

57,106

129,940

Investment Income (Loss)

Performance Allocations

Realized

242,375

167,530

1,849,242

1,664,155

Unrealized

663,999

(3,453,081)

597,283

(2,990,748)

Principal Investments

Realized

73,261

48,695

446,978

368,912

Unrealized

169,044

(959,365)

107,187

(913,406)

Total Investment Income (Loss)

1,148,679

(4,196,221)

3,000,690

(1,871,087)

Interest and Dividend Revenue

44,084

35,084

180,646

173,398

Other

10,250

138,180

741,884

207,923

Total Revenues

2,024,871

(3,075,964)

7,088,999

2,237,435

Expenses

Compensation and Benefits

Compensation

471,397

476,543

1,691,951

1,825,476

Incentive Fee Compensation

5,406

6,522

32,660

45,416

Performance Allocations Compensation

Realized

86,395

72,423

685,409

648,970

Unrealized

287,015

(1,397,378)

352,322

(1,144,108)

Total Compensation and Benefits

850,213

(841,890)

2,762,342

1,375,754

General, Administrative and Other

146,062

157,566

614,222

690,912

Interest Expense

42,002

41,644

167,321

199,290

Fund Expenses

2,887

4,605

26,388

19,456

Total Expenses

1,041,164

(638,075)

3,570,273

2,285,412

Other Income (Loss)

Change in Tax Receivable Agreement Liability

(595)

160,972

Net Gains (Losses) from Fund Investment Activities

130,325

(327,374)

211,448

(174,870)

Income (Loss) Before Provision (Benefit) for Taxes

1,114,032

(2,765,858)

3,730,174

(61,875)

Provision (Benefit) for Taxes

41,155

(158,703)

236,050

(247,810)

Net Income (Loss)

1,072,877

(2,607,155)

3,494,124

185,935

Net Income (Loss) Attributable to Redeemable Non-Controlling Interests in Consolidated Entities

2,480

(15,469)

1,651

(18,070)

Net Income (Loss) Attributable to Non-Controlling Interests in Consolidated Entities

186,833

(645,077)

390,212

(355,131)

Net Income (Loss) Attributable to Non-Controlling Interests in Blackstone Holdings

402,260

(880,117)

1,447,041

57,250

Net Income (Loss) Attributable to The Blackstone Group Inc. ("BX")

481,304

(1,066,492)

1,655,220

501,886

Net Income (Loss) Per Share of Class A Common Stock, Basic

0.71

(1.58)

2.44

0.74

Net Income (Loss) Per Share of Class A Common Stock, Diluted

0.71

(1.58)

2.44

0.74

Income (Loss) Before Provision (Benefit) for Taxes Margin

55.0%

89.9%

52.6%

(2.8)%

Blackstone |

BLACKSTONE’S FIRST QUARTER 2020 HIGHLIGHTS

Financial Measures

Fee

Earnings

(“FRE”)

$468

million

($0.39/share)

the

quarter,

25%

year-

over-year

–

FRE was $1.9 billion for the LTM

($1.57/share), up 26% year-over-year

Distributable Earnings (“DE”) of $557 million ($0.46/share) in the quarter,

up 4% year-over-year

–

DE was $2.9 billion for the LTM

($2.33/share), up 6% year-over-year

Net Accrued Performance Revenues receivable of $2.2 billion ($1.83/share)

Capital Metrics

Total Assets Under Management (“AUM”) of $538.0 billion, up 5% year-over-year

–

Fee-Earning AUM of $423.1 billion, up 20% year-over-year

Inflows of $27.3 billion in the quarter and $118.8 billion for the LTM

Realizations of $6.4 billion in the quarter and $38.3 billion for the LTM

Deployment of $14.8 billion in the quarter and $66.0 billion for the LTM

Capital Returned

to Shareholders

Dividend of $0.39 per common share payable on May 11, 2020

–

Dividends of $1.97 per common share for the LTM

Repurchased 5.0 million common shares in the quarter and 16.2 million common shares

for the LTM, resulting in no net share count dilution

Over $700 million to be distributed to shareholders with respect to the first quarter

through dividends and share repurchases, and $3.2 billion for the LTM

Notes on page 32.

Blackstone |

BLACKSTONE’S FIRST QUARTER 2020 SEGMENT EARNINGS

Fee

Earnings

per

based

end

period

Outstanding

(see

page

23,

Summary).

per

Common

based

Attributable

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

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

% Change

($ in thousands, except per share data)

1Q'19

1Q'20

vs. 1Q'19

1Q'19 LTM

1Q'20 LTM

vs. 1Q'19 LTM

Management and Advisory Fees, Net

814,062

940,567

16%

3,114,470

3,610,741

16%

Fee Related Performance Revenues

7,779

12,466

60%

127,778

216,688

70%

Fee Related Compensation

(324,031)

(346,264)

(1,244,103)

(1,358,811)

Other Operating Expenses

(123,311)

(138,885)

13%

(504,547)

(586,716)

16%

Fee Related Earnings

374,499

467,884

25%

1,493,598

1,881,902

26%

Realized Performance Revenues

246,769

167,233

(32)%

1,780,169

1,581,106

(11)%

Realized Performance Compensation

(85,240)

(71,302)

(16)%

(648,552)

(589,997)

(9)%

Realized Principal Investment Income

25,908

20,290

(22)%

233,273

218,537

(6)%

Net Realizations

187,437

116,221

(38)%

1,364,890

1,209,646

(11)%

Total Segment Distributable Earnings

561,936

584,105

2,858,488

3,091,548

Net Interest Income (Loss)

5,061

(3,941)

n/m

28,839

(11,443)

n/m

Taxes and Related Payables

(29,039)

(23,053)

(21)%

(157,862)

(190,173)

20%

Distributable Earnings

537,958

557,111

2,729,465

2,889,932

Additional Metrics:

FRE per Share

0.31

0.39

26%

1.24

1.57

27%

DE per Common Share

0.44

0.46

2.20

2.33

Total Segment Revenues

1,094,518

1,140,556

5,255,690

5,627,072

Total Assets Under Management

511,777,762

538,007,285

511,777,762

538,007,285

Fee-Earning Assets Under Management

352,993,394

423,055,037

20%

352,993,394

423,055,037

20%

Blackstone |

SUMMARY OF FINANCIALS

LTM Fee Related Earnings of $1.57 per share, an increase of 27% year-over-year.

LTM Total Segment Distributable Earnings were $3.1 billion, an increase of 8% year-over-year.

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).

Fee Related Earnings per Share

Segment Distributable Earnings

($ in millions)

FRE/Share

FRE Margin

Private

Equity

Real

Estate

Hedge Fund

Solutions

Credit &

Insurance

1Q’20 LTM total:

$3,092

Blackstone |

INVESTMENT PERFORMANCE AND NET ACCRUED PERFORMANCE REVENUES

Unrealized negative appreciation was driven by impact of COVID-19 on economic outlook and overall market

environment, leading to lower Net Accrued Performance Revenues of $2.2 billion ($1.83/share).

1Q'20

1Q'20 LTM

Real Estate

Opportunistic

(8.8)%

3.3%

Core+

(3.9)%

3.3%

Private Equity

Corporate Private Equity

(21.6)%

(17.3)%

Tactical Opportunities

(15.9)%

(7.2)%

Secondaries

1.8%

14.0%

Hedge Fund Solutions

BPS Composite

(8.6)%

(4.3)%

Credit & Insurance

Credit Composite

(13.6)%

(9.5)%

Investment Performance

(appreciation / gross returns)

Net Accrued Performance Revenues

($ in millions)

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

BPS Composite net returns were (8.7)% and (5.0)% for 1Q’20 and 1Q’20 LTM, respectively. Credit Composite net returns were (13.0)% and (9.5)% for 1Q’20

and 1Q’20 LTM, respectively. See notes on pages 32-33 for additional details on investment performance calculations for Core+, Corporate Private Equity,

Secondaries, BPS Composite and Credit Composite.

$3,837

$4,099

$2,187

$1,808

$103

1Q'19

4Q'19

Net

Performance

Revenues

Net

Realized

Distributions

1Q'20

Blackstone |

Corporate Private Equity also includes Core Private Equity, Life Sciences, and BTAS.

($ in millions)

1Q'20

1Q'20 LTM

1Q'20

1Q'20 LTM

1Q'20

1Q'20 LTM

Real Estate

12,653

41,810

2,519

17,559

5,329

24,697

Opportunistic

1,317

14,585

1,042

12,054

2,022

11,712

Core+

7,026

17,281

993

3,094

2,991

11,543

BREDS

4,310

9,944

484

2,411

317

1,442

Private Equity

8,869

37,234

2,031

11,829

5,539

25,034

Corporate Private Equity

7,305

16,684

771

5,839

3,047

11,951

Tactical Opportunities

979

4,223

649

3,192

1,919

5,319

Secondaries

584

9,138

611

2,799

573

7,737

Infrastructure

–

7,189

–

Hedge Fund Solutions

3,247

12,921

139

1,224

606

4,078

Credit & Insurance

2,544

26,818

1,700

7,718

3,345

12,175

Total Blackstone

27,313

118,783

6,389

38,330

14,819

65,984

Inflows

Realizations

Capital Deployed

Inflows were $27.3 billion in the quarter, bringing LTM inflows to $118.8 billion.

Realizations were $6.4 billion in the quarter and $38.3 billion for the LTM.

Deployed $14.8 billion in the quarter and $66.0 billion for the LTM.

–

Committed an additional $9.8 billion during the quarter that is not yet deployed.

CAPITAL METRICS – ADDITIONAL DETAIL

Blackstone |

ASSETS UNDER MANAGEMENT

Total AUM increased to $538.0 billion, up 5% year-over-year, with $27.3 billion of inflows in the quarter

and $118.8 billion for the LTM.

Fee-Earning AUM of $423.1 billion was up 20% year-over-year, with $50.8 billion of inflows in the quarter

and $146.1 billion for the LTM.

Perpetual Capital AUM reached $101.1 billion, up 32% year-over-year.

Total AUM

($ in billions)

Fee-Earning AUM

($ in billions)

Perpetual Capital AUM

($ in billions)

Private Equity

Real Estate

Hedge Fund Solutions

Credit & Insurance

Blackstone |

ADDITIONAL CAPITAL DETAIL

Invested Performance Eligible AUM reached $229.5 billion at quarter end, up 4% year-over-year.

Undrawn capital (“Total Dry Powder”) available for investment of $151.5 billion, driven by fundraising activity for

the latest flagship funds.

Private Equity

Real Estate

Hedge Fund Solutions

Credit & Insurance

Invested Performance Eligible AUM

($ in billions)

Total Dry Powder

($ in billions)

Private

Equity

Real

Estate

Hedge Fund

Solutions

Credit &

Insurance

1Q’20 total:

$151.5

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

Segment Highlights

Blackstone

Blackstone |

REAL ESTATE

Total AUM:

Increased 15% to $160.9 billion with inflows of $12.7 billion in the quarter and $41.8

billion for the LTM.

–

During the quarter raised $5.1 billion in BREIT, closed $2.7 billion in the fourth real estate debt fund, and held

the final close for BREP Europe VI, which now has total capital commitments of €9.8 billion.

–

Fee-Earning AUM increased 38% to $130.4 billion with inflows of $9.4 billion in the quarter and $59.1 billion for

the LTM.

Realizations:

$2.5 billion in the quarter and $17.6 billion for the LTM; realizations in the quarter were primarily

driven by asset sales in BREP.

Capital Deployed:

$5.3 billion in the quarter and $24.7 billion for the LTM.

–

Committed an additional $4.9 billion in the quarter that is not yet deployed.

Appreciation:

Opportunistic funds and Core+ funds declined (8.8)% and (3.9)% in the quarter as a result of COVID-19

market and economic impacts; up 3.3% and 3.3% for the LTM, respectively.

% Change

($ in thousands)

1Q'19

1Q'20

vs. 1Q'19

1Q'19 LTM

1Q'20 LTM

vs. 1Q'19 LTM

Management Fees, Net

283,876

386,121

36%

1,162,400

1,367,423

18%

Fee Related Performance Revenues

6,676

4,551

(32)%

126,675

196,112

55%

Fee Related Compensation

(114,816)

(120,296)

(473,636)

(536,739)

13%

Other Operating Expenses

(38,986)

(40,476)

(155,829)

(169,822)

Fee Related Earnings

136,750

229,900

68%

659,610

856,974

30%

Realized Performance Revenues

77,182

43,720

(43)%

840,985

998,875

19%

Realized Performance Compensation

(29,900)

(13,392)

(55)%

(258,104)

(357,588)

39%

Realized Principal Investment Income

(2,131)

7,300

n/m

75,704

89,164

18%

Net Realizations

45,151

37,628

(17)%

658,585

730,451

11%

Segment Distributable Earnings

181,901

267,528

47%

1,318,195

1,587,425

20%

Segment Revenues

365,603

441,692

21%

2,205,764

2,651,574

20%

Total AUM

140,334,043

160,934,849

15%

140,334,043

160,934,849

15%

Fee-Earning AUM

94,223,034

130,424,462

38%

94,223,034

130,424,462

38%

Blackstone |

PRIVATE EQUITY

Total AUM:

Increased 10% to $174.7 billion with inflows of $8.9 billion in the quarter and $37.2 billion for the LTM.

–

Inflows in the quarter included $4.8 billion for the initial close of the second Core Private Equity fund.

–

Fee-Earning AUM up 50% to $128.3 billion, driven by commencement of investment periods for BCP VIII, BEP III

and BXLS V in the quarter.

Realizations:

$2.0 billion in the quarter and $11.8 billion for the LTM.

Capital Deployed:

$5.5 billion in the quarter and $25.0 billion for the LTM across regions; committed an additional

$3.8 billion that was not yet deployed in the quarter.

Appreciation:

Corporate Private Equity declined (21.6)% in the quarter and (17.3)% for the LTM due to the market

and economic impacts of COVID-19 and energy market dislocation. Excluding energy, Corporate Private Equity

declined (11.1)% in the quarter.

–

Tactical Opportunities declined (15.9)% in the quarter and (7.2)% for the LTM due to COVID-19 impacts.

–

Secondaries’

appreciation of 1.8% in the quarter and 14.0% for the LTM reflects a reporting lag of its underlying

funds.

% Change

($ in thousands)

1Q'19

1Q'20

vs. 1Q'19

1Q'19 LTM

1Q'20 LTM

vs. 1Q'19 LTM

Management and Advisory Fees, Net

251,723

266,172

890,745

1,078,778

21%

Fee Related Compensation

(107,587)

(110,368)

(393,467)

(426,533)

Other Operating Expenses

(34,201)

(41,001)

20%

(136,146)

(166,810)

23%

Fee Related Earnings

109,935

114,803

361,132

485,435

34%

Realized Performance Revenues

156,599

112,076

(28)%

836,882

424,469

(49)%

Realized Performance Compensation

(50,556)

(54,643)

(335,678)

(196,653)

(41)%

Realized Principal Investment Income

25,139

10,347

(59)%

128,532

75,457

(41)%

Net Realizations

131,182

67,780

(48)%

629,736

303,273

(52)%

Segment Distributable Earnings

241,117

182,583

(24)%

990,868

788,708

(20)%

Segment Revenues

433,461

388,595

(10)%

1,856,159

1,578,704

(15)%

Total AUM

158,988,748

174,695,883

10%

158,988,748

174,695,883

10%

Fee-Earning AUM

85,446,868

128,300,802

50%

85,446,868

128,300,802

50%

Blackstone |

HEDGE FUND SOLUTIONS

Total AUM:

$73.7 billion with inflows of $3.2 billion in the quarter and $12.9

billion for the

LTM.

–

Positive net flows in the quarter of $365 million driven by $1.4 billion of fundraising in Special Situations and GP

Stakes strategies partially offset by net outflows in Individual Investor Solutions.

–

Decrease in AUM mainly driven by depreciation due to the market and economic impacts of COVID-19.

–

April 1 subscriptions of $1.1 billion are not yet included in Total AUM.

Returns:

BPS Composite gross return of (8.6)% in the quarter ((8.7)% net), compared to the S&P 500 Total Return

(down (19.6)%).

–

Gross return of (4.3)% for the LTM ((5.0)% net), with less than one half of the volatility of broader markets.

% Change

($ in thousands)

1Q'19

1Q'20

vs. 1Q'19

1Q'19 LTM

1Q'20 LTM

vs. 1Q'19 LTM

Management Fees, Net

137,646

140,372

530,942

562,851

Fee Related Compensation

(42,954)

(46,191)

(165,487)

(155,197)

(6)%

Other Operating Expenses

(17,885)

(18,667)

(76,872)

(82,781)

Fee Related Earnings

76,807

75,514

(2)%

288,583

324,873

13%

Realized Performance Revenues

4,091

1,767

(57)%

36,333

124,252

242%

Realized Performance Compensation

(1,413)

(945)

(33)%

(20,282)

(23,833)

18%

Realized Principal Investment Income

(283)

(609)

115%

16,116

21,381

33%

Net Realizations

2,395

213

(91)%

32,167

121,800

279%

Segment Distributable Earnings

79,202

75,727

(4)%

320,750

446,673

39%

Segment Revenues

141,454

141,530

583,391

708,484

21%

Total AUM

80,182,772

73,720,792

(8)%

80,182,772

73,720,792

(8)%

Fee-Earning AUM

73,647,014

68,214,435

(7)%

73,647,014

68,214,435

(7)%

Blackstone |

CREDIT & INSURANCE

Total AUM:

$128.7 billion with inflows of $2.5 billion in the quarter and $26.8

billion for the

LTM.

–

Closed 1 U.S. CLO and priced 2 others (1 U.S. and 1 Euro) in the quarter, and subsequent to quarter end, priced

and closed the first CLO in the market since March 12.

–

European Direct Lending strategy held its final close for the second senior debt fund, raising $777 million in the

quarter, bringing total equity raised to $4.8 billion and total investable capital to $6.2 billion, inclusive of

anticipated leverage.

Realizations:

$1.7 billion in the quarter and $7.7 billion for the LTM.

Capital Deployed:

$3.3 billion in the quarter, driven by U.S. Direct Lending as well as increased public market

investment activity in our drawdown funds, and $12.2 billion for the LTM; committed an additional $466 million in

the quarter that is not yet deployed.

Returns:

Gross Credit Composite return of (13.6)% for the quarter, driven by economic and market impacts of

COVID-19 and energy market dislocation.

Credit Composite net return was (13.0)% for 1Q’20.

% Change

($ in thousands)

1Q'19

1Q'20

vs. 1Q'19

1Q'19 LTM

1Q'20 LTM

vs. 1Q'19 LTM

Management Fees, Net

140,817

147,902

530,383

601,689

13%

Fee Related Performance Revenues

1,103

7,915

618%

1,103

20,576

n/m

Fee Related Compensation

(58,674)

(69,409)

18%

(211,513)

(240,342)

14%

Other Operating Expenses

(32,239)

(38,741)

20%

(135,700)

(167,303)

23%

Fee Related Earnings

51,007

47,667

(7)%

184,273

214,620

16%

Realized Performance Revenues

8,897

9,670

65,969

33,510

(49)%

Realized Performance Compensation

(3,371)

(2,322)

(31)%

(34,488)

(11,923)

(65)%

Realized Principal Investment Income

3,183

3,252

12,921

32,535

152%

Net Realizations

8,709

10,600

22%

44,402

54,122

22%

Segment Distributable Earnings

59,716

58,267

(2)%

228,675

268,742

18%

Segment Revenues

154,000

168,739

10%

610,376

688,310

13%

Total AUM

132,272,199

128,655,761

(3)%

132,272,199

128,655,761

(3)%

Fee-Earning AUM

99,676,478

96,115,338

(4)%

99,676,478

96,115,338

(4)%

Supplemental Details

Blackstone

Blackstone |

($ in thousands)

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19 LTM

1Q'20 LTM

Base Management Fees

757,518

805,315

809,729

873,368

910,396

2,894,687

3,398,808

Transaction, Advisory and Other Fees, Net

65,150

61,495

92,702

95,073

50,665

257,582

299,935

Management Fee Offsets

(8,606)

(22,654)

(22,086)

(22,768)

(20,494)

(37,799)

(88,002)

Total Management and Advisory Fees, Net

814,062

844,156

880,345

945,673

940,567

3,114,470

3,610,741

Fee Related Performance Revenues

7,779

13,624

34,225

156,373

12,466

127,778

216,688

Fee Related Compensation

(324,031)

(293,834)

(329,834)

(388,879)

(346,264)

(1,244,103)

(1,358,811)

Other Operating Expenses

(123,311)

(142,121)

(144,351)

(161,359)

(138,885)

(504,547)

(586,716)

Fee Related Earnings

374,499

421,825

440,385

551,808

467,884

1,493,598

1,881,902

Realized Performance Revenues

246,769

341,386

420,840

651,647

167,233

1,780,169

1,581,106

Realized Performance Compensation

(85,240)

(125,466)

(143,870)

(249,359)

(71,302)

(648,552)

(589,997)

Realized Principal Investment Income

25,908

123,557

36,148

38,542

20,290

233,273

218,537

Total Net Realizations

187,437

339,477

313,118

440,830

116,221

1,364,890

1,209,646

Total Segment Distributable Earnings

561,936

761,302

753,503

992,638

584,105

2,858,488

3,091,548

Net Interest Income (Loss)

5,061

2,761

(7,767)

(2,496)

(3,941)

28,839

(11,443)

Taxes and Related Payables

(29,039)

(55,201)

(35,815)

(76,104)

(23,053)

(157,862)

(190,173)

Distributable Earnings

537,958

708,862

709,921

914,038

557,111

2,729,465

2,889,932

Additional Metrics:

Total Segment Revenues

1,094,518

1,322,723

1,371,558

1,792,235

1,140,556

5,255,690

5,627,072

Total Assets Under Management

511,777,762

545,482,337

554,022,343

571,122,463

538,007,285

511,777,762

538,007,285

Fee-Earning Assets Under Management

352,993,394

387,864,642

394,138,443

408,074,852

423,055,037

352,993,394

423,055,037

TOTAL SEGMENTS

Blackstone |

Total AUM Rollforward

($ in millions)

Fee-Earning AUM Rollforward

($ in millions)

Inflows include contributions, capital raised, other increases in available capital, purchases, inter-segment allocations and acquisitions. Outflows represent

redemptions, client withdrawals and other decreases in available capital. Realizations represent realizations from the disposition of assets. Market Activity

represents gains (losses) on portfolio investments and the impact of foreign exchange rate fluctuations. AUM is reported in the segment where the assets are

managed.

Three Months Ended March 31, 2020

Twelve Months Ended March 31, 2020

Real

Private

Hedge Fund

Credit &

Real

Private

Hedge Fund

Credit &

Estate

Equity

Solutions

Insurance

Estate

Equity

Solutions

Insurance

Beginning Balance

163,156

182,886

80,738

144,342

571,122

140,334

158,989

80,183

132,272

511,778

Inflows

12,653

8,869

3,247

2,544

27,313

41,810

37,234

12,921

26,818

118,783

Outflows

(794)

(398)

(2,881)

(2,841)

(6,915)

(2,308)

(1,221)

(14,207)

(9,915)

(27,652)

Net Flows

11,859

8,470

365

(297)

20,398

39,502

36,013

(1,287)

16,903

91,131

Realizations

(2,519)

(2,031)

(139)

(1,700)

(6,389)

(17,559)

(11,829)

(1,224)

(7,718)

(38,330)

Market Activity

(11,562)

(14,629)

(7,244)

(13,689)

(47,124)

(1,342)

(8,477)

(3,951)

(12,801)

(26,571)

Ending Balance

160,935

174,696

73,721

128,656

538,007

160,935

174,696

73,721

128,656

538,007

% Change

(1)%

(4)%

(9)%

(11)%

(6)%

15%

10%

(8)%

(3)%

Total

Three Months Ended March 31, 2020

Twelve Months Ended March 31, 2020

Real

Private

Hedge Fund

Credit &

Real

Private

Hedge Fund

Credit &

Estate

Equity

Solutions

Insurance

Estate

Equity

Solutions

Insurance

Beginning Balance

128,214

97,774

75,636

106,451

408,075

94,223

85,447

73,647

99,676

352,993

Inflows

9,429

35,326

2,367

3,636

50,758

59,120

53,924

12,221

20,839

146,104

Outflows

(1,011)

(3,612)

(2,652)

(2,741)

(10,016)

(10,436)

(5,237)

(12,513)

(8,566)

(36,752)

Net Flows

8,418

31,714

(285)

895

40,742

48,683

48,687

(293)

12,273

109,351

Realizations

(2,698)

(925)

(135)

(1,430)

(5,188)

(11,838)

(5,577)

(1,124)

(6,092)

(24,631)

Market Activity

(3,510)

(261)

(7,002)

(9,800)

(20,573)

(644)

(256)

(4,016)

(9,742)

(14,658)

Ending Balance

130,424

128,301

68,214

96,115

423,055

130,424

128,301

68,214

96,115

423,055

% Change

31%

(10)%

38%

50%

(7)%

(4)%

20%

Total

ASSETS UNDER MANAGEMENT - ROLLFORWARD

Blackstone |

DECONSOLIDATED BALANCE SHEET HIGHLIGHTS

At March 31, 2020, Blackstone had $4.2 billion in total cash, cash equivalents, and corporate treasury investments

and $8.0

billion of cash and net investments, or $6.69 per share.

Blackstone has a $1.6 billion undrawn credit revolver and maintains A+/A+ ratings.

Balance Sheet Highlights exclude the consolidated Blackstone Funds. GP/Fund Investments include Blackstone investments in Real Estate, Private Equity,

Hedge Fund Solutions, and Credit & Insurance, which were $689 million, $609 million, $100 million, and $230 million, respectively, as of March 31, 2020.

Cash and Net Investments per share amounts are calculated using period end DE Shares Outstanding (see page 23, Share Summary).

A+ / A+

rated by S&P and Fitch

$1.6B

undrawn credit revolver

with September 2023 maturity

$4.2B

total cash

and corporate treasury

Cash and Net Investments

(per share)

($ in millions)

1Q'20

Cash and Cash Equivalents

2,068

Corporate Treasury

Investments

2,113

GP/Fund Investments

1,627

Net Accrued Performance

Revenues

2,187

Cash and Net Investments

7,996

Outstanding Bonds (at par)

4,655

Blackstone |

1Q’20 QoQ

Rollforward

($ in millions)

1Q’20 LTM Rollforward

($ in millions)

Net

Accrued

Performance

Revenues

(“NAPR”)

are

presented

net

performance

compensation

and

not

include

clawback

amounts,

any,

which

are

disclosed

in the 10-K/Q. See additional notes on page 33.

($ in millions, except per share data)

1Q'19

4Q'19

1Q'20

Per Share

Real Estate

BREP IV

0.01

BREP V

BREP VI

0.04

BREP VII

552

445

309

0.26

BREP VIII

464

674

517

0.43

BREP IX

BREP International II

BREP Europe IV

209

158

123

0.10

BREP Europe V

133

193

110

0.09

BREP Asia I

136

152

0.07

BREP Asia II

BPP

245

281

196

0.16

BREIT

BREDS

0.00

BTAS

0.04

Real Estate

1,962

2,112

1,446

1.21

Private Equity

BCP IV

0.02

BCP VI

789

705

283

0.24

BCP VII

256

471

115

0.10

BCP Asia

0.01

BEP I

131

102

BEP II

BCEP

0.03

Tactical Opportunities

157

0.03

Secondaries

109

144

136

0.11

Life Sciences

0.01

BTAS/Other

0.06

Private Equity

1,630

1,735

720

0.60

Hedge Fund Solutions

0.01

Credit & Insurance

221

237

0.00

Net Accrued Performance Revenues

3,837

4,099

2,187

1.83

4Q'19

Net

Performance

Revenues

Net

Realized

Distributions

1Q'20

Real Estate

2,112

(633)

(33)

1,446

Private Equity

1,735

(957)

(57)

720

HFS

(1)

Credit &

Insurance

237

(219)

(12)

Total

4,099

(1,808)

(103)

2,187

QoQ Change

(47)%

1Q'19

Net

Performance

Revenues

Net

Realized

Distributions

1Q'20

Real Estate

1,962

242

(759)

1,446

Private Equity

1,630

(670)

(239)

720

HFS

(93)

Credit &

Insurance

221

(166)

(49)

Total

3,837

(510)

(1,140)

2,187

YoY Change

(43)%

NET ACCRUED PERFORMANCE REVENUES – ADDITIONAL DETAIL

Blackstone |

Notes

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

their

investment

period

and

open

ended

funds.

($ 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%

BREP I (Sep 1994 / Oct 1996)

380,708

n/a

1,327,708

2.8x

1,327,708

2.8x

40%

BREP II (Oct 1996 / Mar 1999)

1,198,339

n/a

2,531,614

2.1x

2,531,614

2.1x

19%

BREP III (Apr 1999 / Apr 2003)

1,522,708

n/a

3,330,406

2.4x

3,330,406

2.4x

21%

BREP IV (Apr 2003 / Dec 2005)

2,198,694

50,342

0.1x

4,521,164

2.2x

4,571,506

1.7x

28%

12%

BREP V (Dec 2005 / Feb 2007)

5,539,418

150,992

0.6x

13,040,016

2.4x

13,191,008

2.3x

12%

11%

BREP VI (Feb 2007 / Aug 2011)

11,060,444

646,626

2.3x

27,045,357

2.5x

27,691,983

2.5x

13%

BREP VII (Aug 2011 / Apr 2015)

13,496,823

1,874,491

6,063,694

1.4x

22,735,792

2.1x

28,799,486

1.9x

22%

15%

BREP VIII (Apr 2015 / Jun 2019)

16,545,433

3,052,617

16,560,812

1.3x

7,110,842

1.7x

23,671,654

1.4x

26%

12%

*BREP IX (Jun 2019 / Dec 2024)

20,891,657

16,015,834

4,813,344

1.0x

140,918

1.8x

4,954,262

1.0x

n/m

Total Global BREP

72,974,938

20,942,942

$28,285,810

1.2x

82,129,007

2.2x

110,414,817

1.9x

18%

15%

BREP Int'l (Jan 2001 / Sep 2005)

824,172

€

n/a

1,373,170

€

2.1x

1,373,170

€

2.1x

23%

BREP Int'l II (Sep 2005 / Jun 2008) (e)

1,629,748

3,566

n/a

2,572,920

1.8x

2,576,486

1.8x

BREP Europe III (Jun 2008 / Sep 2013)

3,205,167

469,493

446,619

0.7x

5,737,320

2.5x

6,183,939

2.1x

20%

14%

BREP Europe IV (Sep 2013 / Dec 2016)

6,709,145

1,351,071

2,742,370

1.4x

8,988,619

2.0x

11,730,989

1.8x

23%

16%

BREP Europe V (Dec 2016 / Oct 2019)

7,945,251

1,762,669

7,309,063

1.2x

721,076

2.7x

8,030,139

1.3x

53%

*BREP Europe VI (Oct 2019 / Apr 2025)

9,797,734

8,833,563

994,596

1.0x

n/a

994,596

1.0x

n/m

Total BREP Europe

30,111,217

€

12,416,796

€

11,496,214

€

1.2x

19,393,105

€

2.1x

30,889,319

€

1.6x

16%

13%

BREP Asia I (Jun 2013 / Dec 2017)

5,096,753

1,728,262

3,186,403

1.3x

4,072,708

1.9x

7,259,111

1.6x

21%

12%

*BREP Asia II (Dec 2017 / Jun 2023)

7,302,307

4,768,630

2,657,881

1.1x

120,378

1.6x

2,778,259

1.1x

n/m

(2)%

BREP Co-Investment (f)

7,055,974

170,047

1,535,066

2.1x

13,284,359

2.1x

14,819,425

2.1x

15%

16%

Total BREP

125,853,226

41,306,848

48,901,532

1.2x

124,071,007

2.2x

172,972,539

1.8x

17%

15%

*Core+ BPP (Various) (g)

n/a

31,614,603

n/a

6,726,049

n/a

38,340,652

n/a

n/m

*Core+ BREIT (Various) (h)

n/a

16,287,116

n/a

353,170

n/a

16,640,286

n/a

n/m

*BREDS High-Yield (Various) (i)

16,528,666

7,240,067

2,692,832

1.0x

12,248,508

1.3x

14,941,340

1.2x

11%

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%

BCP II (Oct 1993 / Aug 1997)

1,361,100

n/a

3,256,819

2.5x

3,256,819

2.5x

32%

BCP III (Aug 1997 / Nov 2002)

3,967,422

n/a

9,184,688

2.3x

9,184,688

2.3x

14%

BCOM (Jun 2000 / Jun 2006)

2,137,330

24,575

13,571

n/a

2,953,649

1.4x

2,967,220

1.4x

BCP IV (Nov 2002 / Dec 2005)

6,773,182

197,294

182,216

2.5x

21,417,821

2.9x

21,600,037

2.9x

36%

BCP V (Dec 2005 / Jan 2011)

21,013,658

1,039,805

547,749

0.5x

37,166,513

1.9x

37,714,262

1.9x

BCP VI (Jan 2011 / May 2016)

15,192,985

1,462,121

8,803,625

1.2x

15,459,280

2.0x

24,262,905

1.6x

18%

BCP VII (May 2016 / Feb 2020)

18,814,389

3,712,977

16,769,010

1.2x

1,684,779

1.8x

18,453,789

1.2x

47%

*BCP VIII (Feb 2020 / Feb 2026)

25,519,504

n/a

Energy I (Aug 2011 / Feb 2015)

2,435,454

204,075

821,842

0.8x

2,744,575

1.9x

3,566,417

1.5x

17%

Energy II (Feb 2015 / Feb 2020)

4,918,748

328,306

3,017,136

0.7x

309,888

2.0x

3,327,024

0.7x

64%

(24)%

*Energy III (Feb 2020 / Feb 2026)

4,218,419

3,588,893

(82,173)

n/m

n/a

(82,173)

n/m

n/a

*BCP Asia (Dec 2017 / Dec 2023)

2,421,776

1,303,205

1,013,043

1.3x

54,308

1.7x

1,067,351

1.3x

88%

15%

*Core Private Equity (Jan 2017 / Jan 2021) (j)

4,756,716

1,384,441

4,079,837

1.2x

418,053

1.6x

4,497,890

1.2x

36%

10%

Total Corporate Private Equity

114,389,764

38,765,196

35,165,856

1.1x

96,392,111

2.1x

131,557,967

1.7x

16%

14%

INVESTMENT RECORDS AS OF MARCH 31, 2020

(a)

Blackstone |

Notes

page

21.

BXLS

–

Blackstone

Life

Sciences.

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

($ 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)

22,572,493

8,879,110

8,426,422

0.9x

9,481,153

1.7x

17,907,575

1.2x

18%

*Tactical Opportunities Co-Investment and Other (Various)

8,514,502

2,297,930

5,065,155

1.2x

1,988,734

1.6x

7,053,889

1.3x

23%

11%

Total Tactical Opportunities

31,086,995

11,177,040

13,491,577

1.0x

11,469,887

1.7x

24,961,464

1.3x

19%

Strategic Partners (Secondaries)

Strategic Partners I-V (Various) (k)

11,865,053

1,713,744

970,995

n/m

16,803,497

n/m

17,774,492

1.5x

n/a

13%

Strategic Partners VI (Apr 2014 / Apr 2016) (k)

4,362,750

1,164,549

1,455,316

n/m

3,171,774

n/m

4,627,090

1.5x

n/a

15%

Strategic Partners VII (May 2016 / Mar 2019) (k)

7,489,970

2,438,824

5,397,627

n/m

1,754,124

n/m

7,151,751

1.5x

n/a

21%

*Strategic Partners Real Assets II (May 2017 / Mar 2022) (k)

1,749,807

618,582

811,051

n/m

349,039

n/m

1,160,090

1.2x

n/a

16%

*Strategic Partners VIII (Mar 2019 / Jul 2023) (k)

10,763,600

5,424,702

3,263,413

n/m

80,727

n/m

3,344,140

1.4x

n/a

n/m

*Strategic Partners Real Estate, SMA and Other (Various) (k)

6,840,060

2,189,640

2,553,670

n/m

1,256,577

n/m

3,810,247

1.3x

n/a

16%

Total Strategic Partners (Secondaries)

43,071,240

13,550,041

14,452,072

n/m

23,415,738

n/m

37,867,810

1.5x

n/a

14%

*Infrastructure (Various)

13,659,163

11,309,149

2,131,958

0.9x

n/a

2,131,958

0.9x

n/a

(18)%

Life Sciences

Clarus IV (Jan 2018 / Jan 2020)

910,000

470,576

554,463

1.4x

4,992

1.2x

559,455

1.4x

18%

23%

*BXLS V (Jan 2020 / Jan 2025)

4,270,552

4,037,552

21,803

1.1x

n/a

21,803

1.1x

n/a

n/m

Credit (l)

Mezzanine / Opportunistic I (Jul 2007 / Oct 2011)

2,000,000

97,114

15,513

0.8x

4,772,316

1.6x

4,787,829

1.6x

n/a

17%

Mezzanine / Opportunistic II (Nov 2011 / Nov 2016)

4,120,000

1,033,255

846,611

0.6x

5,474,187

1.6x

6,320,798

1.3x

n/a

*Mezzanine / Opportunistic III (Sep 2016 / Sep 2021)

6,639,133

2,530,761

4,031,200

1.0x

1,905,173

1.6x

5,936,373

1.1x

n/a

Stressed / Distressed I (Sep 2009 / May 2013)

3,253,143

76,000

17,897

0.0x

5,772,945

1.6x

5,790,842

1.3x

n/a

Stressed / Distressed II (Jun 2013 / Jun 2018)

5,125,000

565,481

928,656

0.5x

4,367,226

1.3x

5,295,882

1.0x

n/a

(2)%

*Stressed / Distressed III (Dec 2017 / Dec 2022)

7,356,380

4,495,807

1,702,749

0.8x

990,236

1.4x

2,692,985

0.9x

n/a

(23)%

Energy I (Nov 2015 / Nov 2018)

2,856,867

1,070,297

1,216,670

0.7x

1,036,046

1.7x

2,252,716

1.0x

n/a

(3)%

*Energy II (Feb 2019 / Feb 2024)

3,616,081

2,920,584

652,174

0.9x

44,826

2.8x

697,000

1.0x

n/a

n/m

Euro

European Senior Debt I (Feb 2015 / Feb 2019)

1,964,689

€

324,426

€

1,601,714

€

0.9x

1,356,846

€

1.4x

2,958,560

€

1.1x

n/a

*European Senior Debt II (Jun 2019 / Jun 2024)

4,088,344

€

3,615,837

€

471,370

€

1.0x

€

n/a

471,370

€

1.0x

n/a

n/m

Total Credit

41,872,262

17,112,933

11,686,235

0.8x

25,896,535

1.5x

37,582,770

1.2x

n/a

INVESTMENT RECORDS AS OF MARCH 31, 2020

(a)

–

(CONT’D)

Blackstone |

n/m

Not

meaningful

generally

due

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)

Net Internal Rate of Return (“IRR”) represents the annualized inception to March 31, 2020 IRR on total invested capital based

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 cash flow 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 March 31, 2020. Realized Investment Value represents BREIT’s cash

distributions, net of servicing fees. 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 and excludes BREDS High-Grade.

(j)

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

(k)

Realizations are treated as return of capital until fully recovered and therefore unrealized and realized MOICs are not meaningful. If information

is not available on a timely basis, returns are calculated from results that are reported on a three month lag and therefore do not include the

impact of economic activities in the current quarter.

(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.

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

INVESTMENT RECORDS AS OF MARCH 31, 2020 – NOTES

Blackstone |

SHAREHOLDER DIVIDENDS

Generated $0.46 of Distributable Earnings per common share during the quarter, bringing the LTM amount to $2.33

per common share.

Blackstone declared a quarterly dividend of $0.39 per common share to record holders as of May 4, 2020; payable on

May 11, 2020.

A detailed

description

Blackstone’s

dividend

policy

and

the

definition

Distributable

Earnings

can

found

pages

34-35,

Definitions

and

Dividend

Policy.

See additional notes on page 33.

% Change

($ in thousands, except per share data)

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

vs. 1Q'19

1Q'19 LTM

1Q'20 LTM

vs. 1Q'19 LTM

Distributable Earnings

537,958

708,862

709,921

914,038

557,111

2,729,465

2,889,932

Add: Other Payables Attributable

to Common Shareholders

14,598

39,673

24,578

63,796

9,200

(37)%

110,302

137,247

24%

DE before Certain Payables

552,556

748,535

734,499

977,834

566,311

2,839,767

3,027,179

Percent to Common Shareholders

56%

57%

58%

56%

57%

DE before Certain Payables Attributable to

Common Shareholders

310,832

419,502

413,900

556,133

325,990

1,601,852

1,715,525

Less: Other Payables Attributable to Common

Shareholders

(14,598)

(39,673)

(24,578)

(63,796)

(9,200)

(37)%

(110,302)

(137,247)

24%

DE Attributable to Common Shareholders

296,234

379,829

389,322

492,337

316,790

1,491,550

1,578,278

DE per Common Share

0.44

0.57

0.58

0.72

0.46

$2.20

$2.33

Less: Retained Capital per Common Share

(0.07)

(0.09)

(0.11)

(0.07)

(0.33)

(0.36)

Special Cash Dividend per Common Share

n/m

0.30

n/m

Actual Dividend per Common Share

0.37

0.48

0.49

0.61

0.39

2.17

1.97

(9)%

Record Date

May 4, 2020

Payable Date

May 11, 2020

Blackstone |

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

Participating Common Shares

674,457,578

669,561,793

675,640,119

680,457,424

687,869,905

Participating Partnership Units

524,504,626

525,165,724

523,338,040

515,973,657

507,101,000

Distributable Earnings Shares Outstanding

1,198,962,204

1,194,727,517

1,198,978,159

1,196,431,081

1,194,970,905

SHARE SUMMARY

Distributable Earnings Shares Outstanding as of quarter end of 1,195 million shares.

–

Repurchased 5.0 million common shares in the quarter and 16.2 million common shares for the LTM.

–

Available authorization remaining was $528 million at March 31, 2020.

Notes on page 33.

Reconciliations and

Disclosures

Blackstone

Blackstone |

Notes on page 26-27.

QTD

LTM

($ in thousands)

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

Net Income (Loss) Attributable to The Blackstone Group Inc.

481,304

305,792

779,437

483,149

(1,066,492)

1,655,220

501,886

Net Income (Loss) Attributable to Non-Controlling Interests

in Blackstone Holdings

402,260

259,330

299,900

378,137

(880,117)

1,447,041

57,250

Net Income (Loss) Attributable to Non-Controlling Interests

in Consolidated Entities

186,833

80,744

88,406

120,796

(645,077)

390,212

(355,131)

Net Income (Loss) Attributable to Redeemable

Non-Controlling Interests in Consolidated Entities

2,480

1,095

(8)

(3,688)

(15,469)

1,651

(18,070)

Net Income (Loss)

1,072,877

646,961

1,167,735

978,394

(2,607,155)

3,494,124

185,935

Provision (Benefit) for Taxes

41,155

38,736

(156,786)

28,943

(158,703)

236,050

(247,810)

Income (Loss) Before Provision (Benefit) for Taxes

1,114,032

685,697

1,010,949

1,007,337

(2,765,858)

3,730,174

(61,875)

Transaction-Related Charges (a)

89,451

106,994

(82,547)

94,715

46,994

(224,954)

166,156

Amortization of Intangibles (b)

16,483

16,482

16,483

61,604

65,931

Impact of Consolidation (c)

(189,313)

(81,839)

(88,398)

(117,108)

660,546

(391,863)

373,201

Unrealized Performance Revenues (d)

(664,333)

(157,398)

(176,604)

(128,333)

3,453,446

(597,157)

2,991,111

Unrealized Performance Allocations Compensation (e)

287,015

64,518

94,907

93,845

(1,397,378)

352,322

(1,144,108)

Unrealized Principal Investment (Income) Loss (f)

(139,925)

56,353

5,219

(34,974)

616,610

(60,096)

643,208

Other Revenues (g)

(13,189)

20,150

(92,843)

6,435

(138,151)

(163,551)

(204,409)

Equity-Based Compensation (h)

66,776

53,105

58,570

51,743

87,472

180,848

250,890

Taxes and Related Payables (i)

(29,039)

(55,201)

(35,815)

(76,104)

(23,053)

(157,862)

(190,173)

Distributable Earnings

537,958

708,862

709,921

914,038

557,111

2,729,465

2,889,932

Taxes and Related Payables (i)

29,039

55,201

35,815

76,104

23,053

157,862

190,173

Net Interest (Income) Loss (j)

(5,061)

(2,761)

7,767

2,496

3,941

(28,839)

11,443

Total Segment Distributable Earnings

561,936

761,302

753,503

992,638

584,105

2,858,488

3,091,548

Realized Performance Revenues (k)

(246,769)

(341,386)

(420,840)

(651,647)

(167,233)

(1,780,169)

(1,581,106)

Realized Performance Compensation (l)

85,240

125,466

143,870

249,359

71,302

648,552

589,997

Realized Principal Investment Income (m)

(25,908)

(123,557)

(36,148)

(38,542)

(20,290)

(233,273)

(218,537)

Fee Related Earnings

374,499

421,825

440,385

551,808

467,884

1,493,598

1,881,902

Adjusted EBITDA Reconciliation

Distributable Earnings

537,958

708,862

709,921

914,038

557,111

2,729,465

2,889,932

Interest Expense (n)

41,638

43,230

52,815

57,351

41,540

163,238

194,936

Taxes and Related Payables (i)

29,039

55,201

35,815

76,104

23,053

157,862

190,173

Depreciation and Amortization

5,789

6,000

6,895

7,666

7,512

23,420

28,073

Adjusted EBITDA

614,424

813,293

805,446

1,055,159

629,216

3,073,985

3,303,114

RECONCILIATION OF GAAP TO NON-GAAP MEASURES

Blackstone |

Note:

See pages 34-35, 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

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 is accounted for under the equity method.

(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

LTM

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

GAAP Unrealized Performance Allocations

663,999

157,732

176,370

128,231

(3,453,081)

597,283

(2,990,748)

Segment Adjustment

334

(334)

234

102

(365)

(126)

(363)

Unrealized Performance Revenues

664,333

157,398

176,604

128,333

(3,453,446)

597,157

(2,991,111)

(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

LTM

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

GAAP Unrealized Principal Investment Income (Loss)

169,044

(37,345)

15,391

67,913

(959,365)

107,187

(913,406)

Segment Adjustment

(29,119)

(19,008)

(20,610)

(32,939)

342,755

(47,091)

270,198

Unrealized Principal Investment Income (Loss)

139,925

(56,353)

(5,219)

34,974

(616,610)

60,096

(643,208)

(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

LTM

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

GAAP Other Revenue

10,250

(17,120)

93,273

(6,410)

138,180

741,884

207,923

Segment Adjustment

2,939

(3,030)

(430)

(25)

(29)

(578,333)

(3,514)

Other Revenues

13,189

(20,150)

92,843

(6,435)

138,151

163,551

204,409

(h)

This adjustment removes Equity-Based Compensation on a segment basis.

RECONCILIATION OF GAAP TO NON-GAAP MEASURES – NOTES

Blackstone |

(i)

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.

(j)

This adjustment removes Interest and Dividend Revenue less Interest Expense 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 interest expense

associated with the Tax Receivable Agreement.

(k)

This adjustment removes the total segment amounts of Realized Performance Revenues.

(l)

This adjustment removes the total segment amounts of Realized Performance Compensation.

(m)

This adjustment removes the total segment amount of Realized Principal Investment Income.

(n)

This adjustment adds back Interest Expense on a segment basis.

Reconciliation of GAAP Shares of Class A Common Stock Outstanding to Distributable Earnings Shares Outstanding

Disclosure of Weighted-Average Shares of Class A Common Stock Outstanding

QTD

LTM

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

Taxes

15,344

34,209

26,933

63,930

16,274

87,138

141,346

Related Payables

13,695

20,992

8,882

12,174

6,779

70,724

48,827

Taxes and Related Payables

29,039

55,201

35,815

76,104

23,053

157,862

190,173

QTD

LTM

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

GAAP Interest and Dividend Revenue

44,084

43,686

42,482

52,146

35,084

180,646

173,398

Segment Adjustment

2,615

2,305

2,566

2,709

2,515

11,431

10,095

Interest and Dividend Revenue

46,699

45,991

45,048

54,855

37,599

192,077

183,493

GAAP Interest Expense

42,002

43,596

53,362

60,688

41,644

167,321

199,290

Segment Adjustment

(364)

(366)

(547)

(3,337)

(104)

(4,083)

(4,354)

Interest Expense

41,638

43,230

52,815

57,351

41,540

163,238

194,936

Net Interest Income (Loss)

5,061

2,761

(7,767)

(2,496)

(3,941)

28,839

(11,443)

QTD

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

GAAP Shares of Class A Common Stock Outstanding

665,331,887

660,588,369

666,257,305

671,157,692

676,630,489

Unvested Participating Common Shares

9,125,691

8,973,424

9,382,814

9,299,732

11,239,416

Total Participating Common Shares

674,457,578

669,561,793

675,640,119

680,457,424

687,869,905

Participating Partnership Units

524,504,626

525,165,724

523,338,040

515,973,657

507,101,000

Distributable Earnings Shares Outstanding

1,198,962,204

1,194,727,517

1,198,978,159

1,196,431,081

1,194,970,905

QTD

LTM

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

Total GAAP Weighted-Average Shares of Class A Common Stock

Outstanding -

Basic

674,507,698

673,655,305

675,963,129

679,420,988

676,305,359

678,857,331

678,847,270

Weighted-Average Shares of Unvested Deferred Restricted Class

A Common Stock

207,752

330,639

256,629

274,520

228,692

314,450

Weighted-Average Blackstone Holdings Partnership Units

525,764,790

524,123,434

Total GAAP Weighted-Average Shares of Class A Common Stock

Outstanding -

Diluted

1,200,480,240

673,985,944

676,219,758

679,695,508

676,305,359

1,203,209,457

679,161,720

RECONCILIATION OF GAAP TO NON-GAAP MEASURES - NOTES

Blackstone |

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

($ in thousands) (Unaudited)

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

Assets

Cash and Cash Equivalents

1,570,741

1,484,444

2,468,563

2,172,441

2,068,326

Cash Held by Blackstone Funds and Other

217,625

324,609

375,981

351,210

318,003

Investments

21,180,950

22,242,040

22,204,460

22,281,682

16,430,701

Accounts Receivable

711,889

802,066

755,777

975,075

696,729

Due from Affiliates

2,320,291

2,211,737

2,464,163

2,594,873

2,706,112

Intangible Assets, Net

450,757

433,007

415,257

397,508

379,758

Goodwill

1,869,860

Other Assets

302,033

354,253

402,670

382,493

541,896

Right-of-Use Assets

521,932

507,065

490,882

471,059

542,757

Deferred Tax Assets

728,873

743,132

938,158

1,089,305

1,392,352

Total Assets

29,874,951

30,972,213

32,385,771

32,585,506

26,946,494

Liabilities and Equity

Loans Payable

10,011,155

10,676,138

11,270,245

11,080,723

10,392,903

Due to Affiliates

1,045,452

1,081,899

984,969

1,026,871

1,247,098

Accrued Compensation and Benefits

3,001,597

3,308,595

3,623,258

3,796,044

1,965,237

Securities Sold, Not Yet Purchased

128,106

128,512

87,051

75,545

51,498

Repurchase Agreements

218,865

207,676

163,059

154,118

105,133

Operating Lease Liabilities

587,408

574,619

558,253

542,994

605,809

Accounts Payable, Accrued Expenses and Other Liabilities

735,667

929,688

1,069,475

806,159

1,000,708

Total Liabilities

15,728,250

16,907,127

17,756,310

17,482,454

15,368,386

Redeemable Non-Controlling Interests in Consolidated Entities

136,941

101,310

93,667

87,651

72,066

Equity

The Blackstone Group L.P. Partners’ Capital

6,501,072

6,335,897

Class A Common Stock, $0.00001 par value (676,630,489 shares

issued and outstanding as of March 31, 2020)

Class B Common Stock, $0.00001 par value (1 share issued and

outstanding as of March 31, 2020)

Class C Common Stock, $0.00001 par value (1 share issued and

outstanding as of March 31, 2020)

Additional Paid-in-Capital

6,292,765

6,428,647

6,298,093

Retained Earnings

456,814

609,625

(871,948)

Accumulated Other Comprehensive Loss

(32,430)

(27,542)

(35,173)

(28,495)

(41,533)

Non-Controlling Interests in Consolidated Entities

3,852,346

3,869,303

4,035,513

4,186,069

3,591,160

Non-Controlling Interests in Blackstone Holdings

3,688,772

3,786,118

3,785,868

3,819,548

2,530,263

Total Equity

14,009,760

13,963,776

14,535,794

15,015,401

11,506,042

Total Liabilities and Equity

29,874,951

30,972,213

32,385,771

32,585,506

26,946,494

BLACKSTONE’S FIRST QUARTER 2020 GAAP BALANCE SHEET RESULTS

Blackstone |

(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)

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

Affiliates.

(f)

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.

(g)

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.

(h)

This adjustment removes amounts related to consolidated Blackstone Funds.

($ in thousands)

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

Investments of Consolidated Blackstone Funds

8,603,847

8,633,794

8,481,233

8,380,698

7,275,752

Equity Method Investments

Partnership Investments

3,815,993

3,802,565

3,864,453

4,035,675

3,553,538

Accrued Performance Allocations

6,486,450

6,743,542

7,003,889

7,180,449

3,761,585

Corporate Treasury Investments

2,005,174

2,797,908

2,588,529

2,419,587

1,653,950

Other Investments

269,486

264,231

266,356

265,273

185,876

Total GAAP Investments

21,180,950

22,242,040

22,204,460

22,281,682

16,430,701

Accrued

Performance

Allocations

GAAP

6,486,450

6,743,542

7,003,889

7,180,449

3,761,585

Impact of Consolidation (a)

374

607

237

384

Due from Affiliates -

GAAP (b)

9,483

25,022

18,955

154,980

20,910

Less: Net Realized Performance Revenues (c)

(21,225)

(71,352)

(129,129)

(214,662)

(31,719)

Less:

Accrued

Performance

Compensation

GAAP

(d)

(2,638,374)

(2,724,998)

(2,851,817)

(3,021,899)

(1,563,672)

Net Accrued Performance Revenues

3,836,708

3,972,821

4,042,135

4,099,252

2,187,123

Corporate

Treasury

Investments

GAAP

2,005,174

2,797,908

2,588,529

2,419,587

1,653,950

Impact of Consolidation (a)

75,988

160,644

163,183

164,243

131,248

Other Assets (e)

519,884

425,823

440,982

602,707

374,064

Other Liabilities (f)

(101,605)

(91,016)

(80,086)

(74,898)

(46,635)

Corporate

Treasury

Investments

Deconsolidated

2,499,441

3,293,359

3,112,608

3,111,639

2,112,627

Partnership

and

Other

Investments

GAAP

4,085,479

4,066,796

4,130,809

4,300,948

3,739,414

Impact of Consolidation (g)

(2,095,717)

(2,209,825)

(2,289,139)

(2,409,218)

(2,111,945)

GP/Fund

Investments

Deconsolidated

1,989,762

1,856,971

1,841,670

1,891,730

1,627,469

Loans Payable -

GAAP

10,011,155

10,676,138

11,270,245

11,080,723

10,392,903

Impact of Consolidation (h)

(6,561,111)

(6,536,221)

(6,492,686)

(6,479,867)

(5,817,702)

Outstanding Bonds (Carrying Value)

3,450,044

4,139,917

4,777,559

4,600,856

4,575,201

Unamortized Discount/Premium

59,576

66,033

82,336

81,094

79,449

Outstanding

Bonds

(at

par)

Deconsolidated

3,509,620

4,205,950

4,859,895

4,681,950

4,654,650

RECONCILIATION OF GAAP TO NON-GAAP BALANCE SHEET MEASURES

Blackstone |

QTD

LTM

($ in thousands)

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

Management and Advisory Fees, Net

GAAP

809,726

840,378

878,151

943,900

934,832

3,108,673

3,597,261

Segment Adjustment (a)

4,336

3,778

2,194

1,773

5,735

5,797

13,480

Total Segment

814,062

844,156

880,345

945,673

940,567

3,114,470

3,610,741

GAAP Realized Performance Revenues to Total Segment Fee Related Performance Revenues

GAAP

Incentive Fees

12,132

21,915

8,254

87,610

12,161

57,106

129,940

Investment

Income

Realized

Performance

Allocations

242,375

332,520

446,550

717,555

167,530

1,849,242

1,664,155

GAAP

254,507

354,435

454,804

805,165

179,691

1,906,348

1,794,095

Total Segment

Less: Realized Performance Revenues

(246,769)

(341,386)

(420,840)

(651,647)

(167,233)

(1,780,169)

(1,581,106)

Segment Adjustment (b)

575

261

2,855

1,599

3,699

Total Segment

7,779

13,624

34,225

156,373

12,466

127,778

216,688

GAAP Compensation to Total Segment Fee Related Compensation

GAAP

Compensation

471,397

438,521

462,766

447,646

476,543

1,691,951

1,825,476

Incentive Fees Compensation

5,406

8,886

5,419

24,589

6,522

32,660

45,416

Realized Performance Allocations Compensation

86,395

125,825

155,663

295,059

72,423

685,409

648,970

GAAP

563,198

573,232

623,848

767,294

555,488

2,410,020

2,519,862

Total Segment

Less: Realized Performance Compensation

(85,240)

(125,466)

(143,870)

(249,359)

(71,302)

(648,552)

(589,997)

Less:

Equity-Based

Compensation

Operating

Compensation

(63,708)

(50,225)

(56,139)

(51,612)

(85,334)

(168,673)

(243,310)

Less:

Equity-Based

Compensation

Performance

Compensation

(3,068)

(2,880)

(2,431)

(131)

(2,138)

(12,175)

(7,580)

Segment Adjustment (c)

(87,151)

(100,827)

(91,574)

(77,313)

(50,450)

(336,517)

(320,164)

Total Segment

324,031

293,834

329,834

388,879

346,264

1,244,103

1,358,811

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

GAAP

146,062

175,308

171,067

186,971

157,566

614,222

690,912

Segment Adjustment (d)

(22,751)

(33,187)

(26,716)

(25,612)

(18,681)

(109,675)

(104,196)

Total Segment

123,311

142,121

144,351

161,359

138,885

504,547

586,716

Realized Performance Revenues

GAAP

Incentive Fees

12,132

21,915

8,254

87,610

12,161

57,106

129,940

Investment Income -

Realized Performance Allocations

242,375

332,520

446,550

717,555

167,530

1,849,242

1,664,155

GAAP

254,507

354,435

454,804

805,165

179,691

1,906,348

1,794,095

Total Segment

Less: Fee Related Performance Revenues

(7,779)

(13,624)

(34,225)

(156,373)

(12,466)

(127,778)

(216,688)

Segment Adjustment (b)

575

261

2,855

1,599

3,699

Total Segment

246,769

341,386

420,840

651,647

167,233

1,780,169

1,581,106

RECONCILIATION OF GAAP TO TOTAL SEGMENTS

Blackstone |

This analysis reconciles the components of Total Segment Distributable Earnings (page 3) to their equivalent GAAP measures, reported on the Consolidated

Statement of Operations (page 1). Segment basis presents revenues and expenses on a basis that deconsolidates the investment funds

Blackstone manages and

excludes the amortization of intangibles, the expense of equity-based awards and Transaction-Related Charges.

(a)

Represents (1) the add back of net management fees earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2)

the removal of revenue from the reimbursement of certain expenses by the Blackstone Funds, which are presented gross under GAAP but netted

against Management and Advisory Fees, Net in the Total Segment measures.

(b)

Represents the add back of Performance Revenues earned from consolidated Blackstone Funds which have been eliminated in consolidation.

(c)

Represents the removal of Transaction-Related Charges that are not recorded in the Total Segment measures.

(d)

Represents the removal of (1) the amortization of transaction-related intangibles, and (2) certain expenses reimbursed by the Blackstone Funds,

which are presented gross under GAAP but netted against Management and Advisory Fees, Net

in the Total Segment measures.

(e)

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.

(f)

Represents (1) the add back of Other Revenues 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

LTM

($ in thousands)

1Q'19

2Q'19

3Q'19

4Q'19

1Q'20

1Q'19

1Q'20

Realized Performance Compensation

GAAP

Incentive Fee Compensation

5,406

8,886

5,419

24,589

6,522

32,660

45,416

Realized Performance Allocations Compensation

86,395

125,825

155,663

295,059

72,423

685,409

648,970

GAAP

91,801

134,711

161,082

319,648

78,945

718,069

694,386

Total Segment

Less: Fee Related Performance Compensation

(3,493)

(6,365)

(14,781)

(70,158)

(5,505)

(57,342)

(96,809)

Less:

Equity-Based

Compensation

Performance

Compensation

(3,068)

(2,880)

(2,431)

(131)

(2,138)

(12,175)

(7,580)

Total Segment

85,240

125,466

143,870

249,359

71,302

648,552

589,997

Realized Principal Investment Income

GAAP

73,261

145,040

74,642

100,535

48,695

446,978

368,912

Segment Adjustment (e)

(47,353)

(21,483)

(38,494)

(61,993)

(28,405)

(213,705)

(150,375)

Total Segment

25,908

123,557

36,148

38,542

20,290

233,273

218,537

GAAP Interest and Dividend Revenue net of Interest Expense to Total Segment Net Interest Income (Loss)

GAAP

Interest and Dividend Revenue

44,084

43,686

42,482

52,146

35,084

180,646

173,398

Interest Expense

(42,002)

(43,596)

(53,362)

(60,688)

(41,644)

(167,321)

(199,290)

GAAP

2,082

(10,880)

(8,542)

(6,560)

13,325

(25,892)

Segment Adjustment (f)

2,979

2,671

3,113

6,046

2,619

15,514

14,449

Total Segment

5,061

2,761

(7,767)

(2,496)

(3,941)

28,839

(11,443)

RECONCILIATION OF GAAP TO TOTAL SEGMENTS – (CONT’D)

Blackstone |

NOTES

Notes

page

Blackstone’s

First

Quarter

2020

GAAP

Results

Effective July 1, 2019, The Blackstone Group L.P. converted from a Delaware limited partnership to a Delaware corporation, The Blackstone

Group Inc. (the “Conversion”). This presentation includes results for The Blackstone Group L.P. prior to the Conversion. As of any time prior to

the Conversion, references to “Blackstone,” “the Company,” “our” and similar terms mean The Blackstone Group L.P. and its consolidated

subsidiaries and, as of any time after the Conversion, The Blackstone Group Inc. and its consolidated subsidiaries.

All references to shares or per share amounts prior to the Conversion refer to units or per unit amounts. Unless otherwise noted, references to

“common stock” and “common shares” refer to Class A common stock.

Income

(Loss)

Before

Provision

(Benefit)

for

Taxes

Margin

calculated

dividing

Income

(Loss)

Before

Provision

(Benefit)

for

Taxes

Total

Revenues.

Notes

page

Blackstone’s

First

Quarter

2020

Highlights

The changes in carrying value, fund returns and composite returns presented throughout this presentation represent those of the applicable

Blackstone Funds and not those of Blackstone.

See Notes to page 18 regarding Net Accrued Performance Revenue redefinition.

Notes

page

Investment

Performance

and

Net

Accrued

Performance

Revenues

Effective 1Q’20, the Credit segment was renamed Credit & Insurance; however, there was no change to the composition of the segment or

historical results.

Effective 1Q’20, Core+ appreciation was updated to include BREIT and represents a weighted average of BREIT’s per share appreciation and BPP

appreciation for the period. The returns are weighted based on the average of BREIT’s monthly net asset values and the average of BPP’s

quarterly

adjusted

beginning

period

market

values

for

the

period.

This

presentation

provides

holistic

view

Core+

including

BREIT

performance. Core+ excluding BREIT appreciation was (2.4)% and 3.4% for 1Q’20 and 1Q’20 LTM, respectively.

Effective 1Q’20, Corporate Private Equity appreciation was updated to include Core Private Equity appreciation.

This presentation provides a

more holistic view of Corporate Private Equity by including Core Private Equity performance. Corporate Private Equity appreciation excluding

Core Private Equity was (23.4)% and (19.9)% for 1Q’20 and 1Q’20 LTM, respectively.

Results

for

the

Secondaries

business

(also

referred

Strategic

Partners)

are

reported

three

month

lag

from

the

Secondaries’

fund

financial statements, which generally report based on a three month lag from the underlying fund investments unless information is available on

a more timely basis. As a result, the appreciation presented herein does not include the impact of economic and market activity in the current

quarter. Current market activity is expected to affect reported results in upcoming quarters.

The BPS Composite gross and net returns

are

based on the BAAM Principal Solutions (“BPS”) Composite, which does not include BAAM’s

individual

investor solutions (liquid alternatives), strategic capital (seeding and minority interests), strategic opportunities (co-invests), and advisory (non-

discretionary) platforms, except for investments by BPS funds directly into those platforms. BAAM-managed funds in liquidation and non fee-

paying

assets

(net

returns

only)

are

also

excluded.

The

funds/accounts

that

comprise

the

BPS

Composite

are

not

managed

within

single

fund

account and are managed with different mandates. There is no guarantee that BAAM would have made the same mix of investments in a stand-

alone fund/account. The BPS Composite is not an investible product and, as such, the performance of the BPS Composite does not represent the

performance of an actual fund or account.

Blackstone |

Notes

page

Investment

Performance

and

Net

Accrued

Performance

Revenues

(Cont’d)

Effective 1Q’20, Credit returns are presented as a composite return instead of separate returns for performing credit and distressed. The Credit

Composite

now

also

includes

the

long

only

strategy.

The

Credit

Composite

return

weighted

average

(a)

the

return

based

the

combined

quarterly

cash flows of performing credit and distressed fee-earning funds and (b) the weighted average quarterly return of all long only strategy

fee-earning funds.

Only

fee-earning

funds

exceeding

$100

million

fair

value

the

beginning

each

respective

quarter-

end

are

included

and

funds

in liquidation are excluded. Credit returns exclude Blackstone Funds that were contributed to GSO as part of

Blackstone’s acquisition of GSO in

March

2008.

Performing

Credit

gross

returns

were

(16.7)%

and

(11.2)%

for

1Q’20

and

1Q’20

LTM,

respectively.

Performing

Credit

net

returns

were

(14.1)%

and

(10.5)%

for

1Q’20

and

1Q’20

LTM,

respectively.

Distressed

gross

returns

were

(31.8)%

and

(36.2)%

for

1Q’20

and

1Q’20

LTM,

respectively. Distressed net returns were (30.3)% and (35.3)% for 1Q’20 and 1Q’20 LTM, respectively.

Notes

page

–

Net

Accrued

Performance

Revenues

–

Additional

Detail

Effective

1Q’20,

NAPR

has

been

redefined

exclude

Performance

Revenues

realized

but

not

yet

distributed

the

reporting

date.

This

update aligns the presentation of DE and NAPR. All prior periods have been recast to reflect this definition.

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

Notes

page

–

Shareholder

Dividends

before

Certain

Payables

represents

Distributable

Earnings

before

the

deduction

for

the

Payable

Under

Tax

Receivable

Agreement

and

tax

expense (benefit) of wholly owned subsidiaries.

Per Share calculations are based on end of period Participating Common Shares (page 23, Share Summary); actual dividends are paid to

shareholders as of the applicable record date.

Retained capital is withheld pro rata from common and Blackstone Holdings Partnership unitholders. Common shareholders’ share was

$48

million for 1Q’20 and $244 million for 1Q’20 LTM.

Common Shareholders receive tax benefits from deductions taken by Blackstone’s corporate tax paying subsidiaries and bear responsibility for

the deduction from Distributable Earnings of the Payable Under Tax Receivable Agreement and certain other tax-related payables.

Notes

page

–

Summary

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

in dividends.

NOTES – (CONT’D)

Blackstone |

DEFINITIONS AND DIVIDEND POLICY

Blackstone

discloses

the

following

operating

metrics

and

financial

measures

that

are

calculated

and

presented

the

basis

methodologies

other

than in accordance with generally accepted accounting principles in the United States of America (“non-GAAP”) in this presentation:

Segment

Distributable

Earnings,

“Segment

DE”,

Blackstone’s

segment

profitability

measure

used

make

operating

decisions

and

assess

performance across Blackstone’s four segments. Segment DE represents the net realized earnings of Blackstone’s segments and is the sum of Fee

Related Earnings and Net Realizations for each segment. Blackstone’s segments are presented on a basis that deconsolidates Blackstone Funds,

eliminates non-controlling ownership interests in Blackstone’s consolidated Operating Partnerships, removes the amortization of intangible assets

and removes Transaction-Related Charges. Segment DE excludes unrealized activity and is derived from and reconciled to, but not equivalent to,

its most directly comparable GAAP measure of Income (Loss) Before Provision (Benefit) for Taxes.

–

Net

Realizations

presented

segment

basis

and

the

sum

Realized

Principal

Investment

Income

and

Realized

Performance

Revenues

(which refers to Realized Performance Revenues excluding Fee Related Performance Revenues), less Realized Performance Compensation

(which refers to Realized Performance Compensation excluding Fee Related Performance Compensation and Equity-Based Performance

Compensation).

–

Total

Segment

Revenues

and

Segment

Revenues

represent

Net

Management

and

Advisory

Fees,

Fee

Performance

Revenues, Realized

Performance Revenues and Realized Principal Investment Income.

Distributable Earnings, or “DE”, is derived from Blackstone’s segment reported results. DE is used to assess performance and amounts available

for dividends to Blackstone shareholders, including Blackstone personnel and others who are limited partners of the Blackstone Holdings

Partnerships. DE is the sum of Segment DE plus Net Interest Income (Loss) less Taxes and Related Payables. DE excludes unrealized activity and is

derived from and reconciled to, but not equivalent to, its most directly comparable GAAP measure of Income (Loss) Before Provision (Benefit) for

Taxes.

–

Net Interest Income (Loss)

is presented on a segment basis and is equal to Interest and Dividend Revenue less Interest Expense, adjusted for

the impact of consolidation of Blackstone Funds, and interest expense associated with the Tax Receivable Agreement.

–

Taxes and Related Payables

represent the total GAAP tax provision adjusted to include only the current tax provision (benefit) calculated on

Income (Loss) Before Provision (Benefit) for Taxes excluding the tax impact of any divestitures and including the Payable under the Tax

Receivable Agreement.

Fee Related Earnings, or “FRE”, is a performance measure used to assess Blackstone’s ability to generate profits from revenues that are

measured

and

received

recurring

basis

and

not

subject

future

realization

events.

FRE

equals

management

and

advisory

fees

(net

management fee reductions and offsets) plus Fee Related Performance Revenues, less (a) Fee Related Compensation on a segment basis, and

(b)

Other Operating Expenses. FRE is derived from and reconciled to, but not equivalent to, its most directly comparable GAAP measure of Income

(Loss) Before Provision (Benefit) for Taxes.

–

Fee Related Compensation

is presented on a segment basis and refers to the compensation expense, excluding Equity-Based Compensation,

directly related to (a) Management and Advisory Fees, Net and (b) Fee Related Performance Revenues, referred to as Fee Related

Performance Compensation.

–

Fee Related Performance Revenues

refers to the realized portion of Performance Revenues from Perpetual Capital that are (a) measured

and received on a recurring basis, and (b) not dependent on realization events from the underlying investments.

Blackstone |

–

Perpetual Capital

refers to the component of assets under management with an indefinite term, that is not in liquidation, and for which

there

requirement

return

capital

investors

through

redemption

requests

the

ordinary

course

business,

except

where

funded

by new capital inflows. Includes co-investment capital with an investor right to convert into Perpetual Capital.

Adjusted

Earnings

Before

Interest,

Taxes

and

Depreciation

and

Amortization,

“Adjusted

EBITDA”,

supplemental

measure

used

assess

performance

derived

from

Blackstone’s

segment

results

and

may

used

assess

its

ability

service

its

borrowings.

Adjusted

EBITDA

represents Distributable Earnings plus the addition of (a) Interest Expense on a segment basis, (b) Taxes and Related Payables, and

(c)

Depreciation and Amortization. Adjusted EBITDA is derived from and reconciled to, but not equivalent to, its most directly comparable GAAP

measure of Income (Loss) Before Provision (Benefit) for Taxes.

Performance Revenues

collectively refers to: (a) Incentive Fees, and (b) Performance Allocations.

Performance Compensation

collectively refers to: (a) Incentive Fee Compensation, and (b) Performance Allocations Compensation.

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.

Dividend Policy. Blackstone’s intention is to pay to holders of Class A common stock a quarterly dividend representing approximately 85% of The

Blackstone

Group

Inc.’s

Distributable

Earnings,

subject

adjustment

amounts

determined

Blackstone’s

board

directors

necessary or appropriate to provide for the conduct of its business, to make appropriate investments in its business and funds, to comply with

applicable law, any of its debt instruments or other agreements, or to provide for future cash requirements such as tax-related payments, clawback

obligations and dividends to shareholders for any ensuing quarter. The dividend amount could also be adjusted upward in any one quarter. All of the

foregoing is subject to the qualification that the declaration and payment of any dividends are at the sole discretion of Blackstone’s board of

directors and our board of directors may change our dividend policy at any time, including, without limitation, to eliminate such dividends entirely.

DEFINITIONS AND DIVIDEND POLICY – (CONT’D)

Blackstone |

FORWARD-LOOKING STATEMENTS

This presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the

Securities Exchange Act of 1934 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,”

“estimates,”

“anticipates”

the

negative

version

these

words

other

comparable

words.

Such

forward-looking

statements

are

subject

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 COVID-19 and energy market dislocation, 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, 2019, 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.

Blackstone (BX) 8-KBlackstone Reports First Quarter 2020 Results