Blackstone 8K Reports Fourth Quarter and Full Year 2020 Results | BX 27 Jan 21

Exhibit 99.1

LOGO

Blackstone Reports Fourth Quarter and Full Year 2020 Results

New York, January 27, 2021: Blackstone (NYSE:BX) today reported its fourth quarter and full year 2020 results.

Stephen A. Schwarzman, Chairman and Chief Executive Officer, said, “Blackstone achieved record results in the fourth quarter. Despite the highly challenged economic backdrop in 2020, we continued to deliver differentiated investment performance for our limited partners, leading to nearly $100 billion of capital inflows – the fourth consecutive year at this level or better. Looking forward, we have an extraordinary range of growth initiatives across every area of the firm, with an increasing focus on perpetual capital. The firm ended 2020 in a position of strength and we have great confidence in the path ahead.”

Blackstone issued a full detailed presentation of its fourth quarter and full year 2020 results, which can be viewed at www.blackstone.com.

Dividend

Blackstone has declared a quarterly dividend of $0.96 per share to record holders of Class A common stock at the close of business on February 8, 2021. This dividend will be paid on February 16, 2021.

Quarterly Investor Call Details

Blackstone will host its fourth quarter and full year 2020 investor conference via public webcast on January 27, 2021 at 9:00 a.m. ET. To register, please use the following link: https://event.webcasts.com/starthere.jsp?ei=1417556&tp_key=f411308b3b. For those unable to listen to the live broadcast, there will be a webcast replay on the Shareholders section of Blackstone’s website at https://ir.blackstone.com/.

Blackstone

345 Park Avenue New York NY 10154

T 212 583 5000

www.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 $619 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,” “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 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, 2019 and in our Quarterly Report on Form 10-Q for the quarter ended March 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

Blackstone’s Fourth

Quarter and Full Year

2020 Earnings

JANUARY 27, 2021

Exhibit 99.1

Blackstone |

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

4Q'19

4Q'20

FY'19

FY'20

Revenues

Management and Advisory Fees, Net

943,900

1,134,138

3,472,155

4,092,549

Incentive Fees

87,610

97,702

129,911

138,661

Investment Income (Loss)

Performance Allocations

Realized

717,555

1,465,154

1,739,000

2,106,000

Unrealized

128,231

597,285

1,126,332

(384,393)

Principal Investments

Realized

100,535

220,814

393,478

391,628

Unrealized

67,913

217,688

215,003

(114,607)

Total Investment Income

1,014,234

2,500,941

3,473,813

1,998,628

Interest and Dividend Revenue

52,146

39,726

182,398

125,231

Other

(6,410)

(143,583)

79,993

(253,142)

Total Revenues

2,091,480

3,628,924

7,338,270

6,101,927

Expenses

Compensation and Benefits

Compensation

447,646

459,636

1,820,330

1,855,619

Incentive Fee Compensation

24,589

22,086

44,300

44,425

Performance Allocations Compensation

Realized

295,059

590,089

662,942

843,230

Unrealized

93,845

278,575

540,285

(154,516)

Total Compensation and Benefits

861,139

1,350,386

3,067,857

2,588,758

General, Administrative and Other

186,971

214,124

679,408

711,782

Interest Expense

60,688

45,702

199,648

166,162

Fund Expenses

5,229

1,902

17,738

12,864

Total Expenses

1,114,027

1,612,114

3,964,651

3,479,566

Other Income

Change in Tax Receivable Agreement Liability

(13,039)

(27,171)

161,567

(35,383)

Net Gains from Fund Investment Activities

42,923

90,867

282,829

30,542

Income Before Provision for Taxes

1,007,337

2,080,506

3,818,015

2,617,520

Provision (Benefit) for Taxes

28,943

266,342

(47,952)

356,014

Net Income

978,394

1,814,164

3,865,967

2,261,506

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

(3,688)

(1,871)

(121)

(13,898)

Net Income Attributable to Non-Controlling Interests in Consolidated Entities

120,796

308,055

476,779

217,117

Net Income Attributable to Non-Controlling Interests in Blackstone Holdings

378,137

759,110

1,339,627

1,012,924

Net Income Attributable to The Blackstone Group Inc. (“BX”)

483,149

748,870

2,049,682

1,045,363

Net Income Per Share of Class A Common Stock, Basic

0.71

1.07

3.03

1.50

Net Income Per Share of Class A Common Stock, Diluted

0.71

1.07

3.03

1.50

Income Before Provision for Taxes Margin

48.2%

57.3%

52.0%

42.9%

BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2020 GAAP RESULTS

GAAP Net Income was $1.8 billion for the quarter and $2.3 billion for the year. GAAP Net Income Attributable to The

Blackstone Group Inc. was $749 million for the quarter and $1.0

billion for the year.

Throughout this presentation, all current period amounts are preliminary and unaudited. Totals may not add due to rounding. See pages 35-36, Definitions and Dividend

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

Blackstone |

BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2020 HIGHLIGHTS

Financial Measures

Fee Related Earnings (“FRE”) of $750 million ($0.62/share) in the quarter,

36%

year-over-year

–

FRE was $2.4 billion for the year ($1.97/share), up 33% year-over-year

Distributable Earnings (“DE”) of $1.5 billion ($1.13/share) in the quarter, up 60% year-

over-year

–

DE was $3.3 billion for the year ($2.65/share), up 16% year-over-year

Net Accrued Performance Revenues of $3.8 billion ($3.19/share)

Capital Metrics

Total Assets Under Management (“AUM”) of $618.6 billion, up 8% year-over-year

–

Fee-Earning AUM of $469.4 billion, up 15% year-over-year

Inflows of $32.3 billion in the quarter and $95.0 billion for the year

Realizations of $20.9 billion in the quarter and $42.6 billion for the year

Deployment of $25.4 billion in the quarter and $61.7 billion for the year

Capital Returned

to Shareholders

Dividend of $0.96 per common share payable on February 16, 2021

–

Dividends of $2.26 per common share for the year

$1.3 billion to be distributed to shareholders with respect to the fourth quarter and

$3.3 billion for the year through dividends and share repurchases

Notes on page 32.

Blackstone |

BLACKSTONE’S FOURTH QUARTER AND FULL YEAR 2020 SEGMENT EARNINGS

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.

% Change

($ in thousands, except per share data)

4Q'19

4Q'20

vs. 4Q'19

FY'19

FY'20

vs. FY'19

Management and Advisory Fees, Net

945,673

1,136,025

20%

3,484,236

4,111,165

18%

Fee Related Performance Revenues

156,373

286,227

83%

212,001

378,676

79%

Fee Related Compensation

(388,879)

(482,769)

24%

(1,336,578)

(1,496,570)

12%

Other Operating Expenses

(161,359)

(189,536)

17%

(571,142)

(623,217)

Fee Related Earnings

551,808

749,947

36%

1,788,517

2,370,054

33%

Realized Performance Revenues

651,647

1,276,629

96%

1,660,642

1,865,993

12%

Realized Performance Compensation

(249,359)

(483,528)

94%

(603,935)

(714,347)

18%

Realized Principal Investment Income

38,542

103,821

169%

224,155

158,933

(29)%

Net Realizations

440,830

896,922

103%

1,280,862

1,310,579

Total Segment Distributable Earnings

992,638

1,646,869

66%

3,069,379

3,680,633

20%

Net Interest Income (Loss)

(2,496)

(5,604)

125%

(2,441)

(34,910)

n/m

Taxes and Related Payables

(76,104)

(176,859)

132%

(196,159)

(304,127)

55%

Distributable Earnings

914,038

1,464,406

60%

2,870,779

3,341,596

16%

Additional Metrics:

FRE per Share

0.46

0.62

35%

1.49

1.97

32%

DE per Common Share

0.72

1.13

57%

2.31

2.65

15%

Total Segment Revenues

1,792,235

2,802,702

56%

5,581,034

6,514,767

17%

Total Assets Under Management

571,122,463

618,556,928

571,122,463

618,556,928

Fee-Earning Assets Under Management

408,074,852

469,433,114

15%

408,074,852

469,433,114

15%

Blackstone |

SUMMARY OF FINANCIALS

Full year Fee Related Earnings of $1.97 per share, an increase of 32% year-over-year.

Full year Total Segment Distributable Earnings were $3.7 billion, an increase of 20% 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

FY’20 total:

$3,681

$1,675

$1,202

$549

$254

$1.49

$1.97

48.4%

52.8%

FY'19

FY'20

Blackstone |

INVESTMENT PERFORMANCE AND NET ACCRUED PERFORMANCE REVENUES

Strong

appreciation

across

strategies

led

increase

Net

Accrued

Performance

Revenues

$3.8

billion

($3.19/share) quarter-over-quarter.

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 5.3% and 4.6% for 4Q’20 and FY’20, respectively. Credit Composite net returns were 4.2% and 3.2% for 4Q’20 and FY’20, respectively. See notes on

pages 32-33 for additional details on investment performance.

4Q'20

FY'20

Real Estate

Opportunistic

4.3%

3.4%

Core+

5.5%

7.9%

Private Equity

Corporate Private Equity

10.6%

11.9%

Tactical Opportunities

11.3%

14.1%

Secondaries

9.4%

0.1%

Hedge Fund Solutions

BPS Composite

5.6%

5.5%

Credit & Insurance

Credit Composite

4.6%

4.0%

$3,550

$3,826

$1,231

$955

3Q'20

Net

Performance

Revenues

Net

Realized

Distributions

4Q'20

Blackstone |

Inflows were $32.3 billion in the quarter, bringing full year inflows to $95.0 billion.

Realizations were $20.9 billion in the quarter and $42.6 billion for the year.

Deployed $25.4 billion in the quarter and $61.7 billion for the year.

–

Committed an additional $7.1 billion that was not yet deployed in the quarter.

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

($ in millions)

4Q'20

FY'20

4Q'20

FY'20

4Q'20

FY'20

Real Estate

12,016

33,427

9,619

16,257

11,697

25,008

Opportunistic

176

2,268

8,309

11,144

1,172

7,951

Core+

11,564

22,347

966

3,174

9,598

14,840

BREDS

276

8,812

345

1,938

927

2,216

Private Equity

5,017

23,030

7,618

17,305

8,177

22,888

Corporate Private Equity

3,398

12,476

3,085

8,742

4,539

10,442

Tactical Opportunities

1,485

5,553

3,824

6,093

2,312

6,108

Secondaries

134

4,114

709

2,470

1,175

3,335

Infrastructure

888

151

3,003

Hedge Fund Solutions

2,127

10,415

544

1,393

647

2,689

Credit & Insurance

13,134

28,141

3,166

7,671

4,922

11,112

Total Blackstone

32,294

95,013

20,948

42,625

25,444

61,696

Inflows

Realizations

Capital Deployed

CAPITAL METRICS – ADDITIONAL DETAIL

Blackstone |

ASSETS UNDER MANAGEMENT

Total AUM increased to $618.6 billion, up 8% year-over-year, with $32.3 billion of inflows in the quarter

and $95.0 billion for the year.

Fee-Earning AUM of $469.4 billion was up 15% year-over-year, with $31.0 billion of inflows in the quarter

and $109.2 billion for the year.

Perpetual Capital AUM reached $134.9 billion, up 30% 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

$144.3

$154.4

$80.7

$79.4

$182.9

$197.5

$163.2

$187.2

$571.1

$618.6

4Q'19

4Q'20

$106.5

$116.6

$75.6

$74.1

$97.8

$129.5

$128.2

$149.1

$408.1

$469.4

4Q'19

4Q'20

$30.2

$34.7

$6.1

$8.1

$14.5

$15.2

$52.9

$76.9

$103.7

$134.9

4Q'19

4Q'20

Blackstone |

ADDITIONAL CAPITAL DETAIL

Invested Performance Eligible AUM reached $293.6 billion at quarter end, up 18% year-over-year.

Undrawn capital (“Total Dry Powder”) available for investment of $147.7 billion.

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

4Q’20 total:

$147.7

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

$26.0

$28.9

$43.8

$47.1

$73.5

$93.1

$105.4

$124.5

$248.7

$293.6

4Q'19

4Q'20

$46.1

$71.6

$4.2

$25.8

Click icon to add picture

Blackstone |

Segment Highlights

Blackstone |

REAL ESTATE

Total

AUM:

Increased

15%

$187.2

billion

with

inflows

$12.0

billion

the

quarter

and

$33.4

billion

for

the

year.

–

Inflows during the quarter included $8.0 billion in BPP Life Sciences, $1.6 billion across BPP Europe, Asia, and U.S., and

$2.0 billion in BREIT.

–

Perpetual Capital increased 45% to $76.9 billion, representing approximately 41% of Total AUM.

Realizations:

$9.6 billion in the quarter and $16.3 billion for the year; realizations in the quarter included the

recapitalization of BioMed Realty Trust.

Capital Deployed:

Record $11.7 billion in the quarter and record $25.0 billion for the year; deployment in the quarter was

highlighted by the launch of a new perpetual capital vehicle, BPP Life Sciences, which will manage the BioMed Realty Trust

portfolio as its first investment.

–

Committed an additional $3.2 billion that was not yet deployed in the quarter; commitments include a

2.3 million square-foot lab office portfolio concentrated in Cambridge, MA and a 13 million square-foot urban

logistics park in China.

Appreciation:

Opportunistic funds and Core+ funds appreciated 4.3% and 5.5% for the quarter, and 3.4% and 7.9% for the

year, respectively, reflecting continued strong performance from investments in global logistics properties.

% Change

($ in thousands)

4Q'19

4Q'20

vs. 4Q'19

FY'19

FY'20

vs. FY'19

Management Fees, Net

370,833

431,050

16%

1,265,178

1,638,688

30%

Fee Related Performance Revenues

149,889

271,778

81%

198,237

338,161

71%

Fee Related Compensation

(186,465)

(242,827)

30%

(531,259)

(618,105)

16%

Other Operating Expenses

(45,335)

(55,565)

23%

(168,332)

(183,132)

Fee Related Earnings

288,922

404,436

40%

763,824

1,175,612

54%

Realized Performance Revenues

474,203

690,967

46%

1,032,337

787,768

(24)%

Realized Performance Compensation

(190,910)

(279,416)

46%

(374,096)

(312,698)

(16)%

Realized Principal Investment Income

16,476

10,945

(34)%

79,733

24,764

(69)%

Net Realizations

299,769

422,496

41%

737,974

499,834

(32)%

Segment Distributable Earnings

588,691

826,932

40%

1,501,798

1,675,446

12%

Segment Revenues

1,011,401

1,404,740

39%

2,575,485

2,789,381

Total AUM

163,156,064

187,191,247

15%

163,156,064

187,191,247

15%

Fee-Earning AUM

128,214,137

149,121,461

16%

128,214,137

149,121,461

16%

Blackstone |

PRIVATE EQUITY

Total

AUM:

Increased

$197.5

billion

with

inflows

$5.0

billion

the

quarter

and

$23.0

billion

for

the

year.

–

Inflows in the quarter included $2.4 billion for the final close of the second Core Private Equity fund, bringing

total capital raised during the year to $8.2 billion.

–

Fee-Earning AUM increased 32% to $129.5 billion, driven by commencement of investment periods during the year

for BCP VIII, BEP III, BXLS V, Secondaries’ third infrastructure fund, and Blackstone Growth.

Realizations:

$7.6 billion in the quarter and $17.3 billion for the year; realizations in the quarter included sale of

Rothesay Life and Sunrun

shares in connection with the Vivint

Solar merger.

Capital Deployed:

$8.2 billion in the quarter and $22.9 billion for the year, including Ancestry.com, Precision

Medicine Group, and NIBC during the quarter.

–

Committed an additional $2.4 billion that was not yet deployed in the quarter, including Corporate Private

Equity’s investments in Piramal Glass and Liftoff, and Infrastructure’s investment in Applegreen.

Appreciation:

Corporate Private Equity increased 10.6% in the quarter, driven by continued strong performance in

both private and public holdings.

–

Tactical Opportunities increased 11.3% in the quarter; Secondaries increased 9.4% in the quarter.

% Change

($ in thousands)

4Q'19

4Q'20

vs. 4Q'19

FY'19

FY'20

vs. FY'19

Management and Advisory Fees, Net

278,352

385,935

39%

1,064,329

1,269,840

19%

Fee Related Compensation

(105,285)

(133,044)

26%

(423,752)

(455,538)

Other Operating Expenses

(47,145)

(63,683)

35%

(160,010)

(195,213)

22%

Fee Related Earnings

125,922

189,208

50%

480,567

619,089

29%

Realized Performance Revenues

65,255

405,665

522%

468,992

877,493

87%

Realized Performance Compensation

(37,895)

(174,577)

361%

(192,566)

(366,949)

91%

Realized Principal Investment Income

10,227

34,078

233%

90,249

72,089

(20)%

Net Realizations

37,587

265,166

605%

366,675

582,633

59%

Segment Distributable Earnings

163,509

454,374

178%

847,242

1,201,722

42%

Segment Revenues

353,834

825,678

133%

1,623,570

2,219,422

37%

Total AUM

182,886,109

197,549,222

182,886,109

197,549,222

Fee-Earning AUM

97,773,964

129,539,630

32%

97,773,964

129,539,630

32%

Secondaries’ appreciation reflects a reporting lag of its underlying funds.

Blackstone |

HEDGE FUND SOLUTIONS

Total

AUM:

$79.4

billion

with

inflows

$2.1

billion

the

quarter

and

$10.4

billion

for

the

year.

–

Record market appreciation of $4.2 billion in the quarter.

–

Held additional closes for second GP stakes fund, bringing LTD commitments to $4.0 billion.

Returns:

BPS Composite gross return of 5.6% in the quarter (5.3% net).

–

Gross returns of 5.5% for the year (4.6% net), with significantly less volatility than the broader markets.

–

For the final nine months of the year, BPS Composite generated a gross return of 15.3% (14.5% net).

% Change

($ in thousands)

4Q'19

4Q'20

vs. 4Q'19

FY'19

FY'20

vs. FY'19

Management Fees, Net

143,399

154,074

560,125

588,079

Fee Related Compensation

(33,486)

(33,764)

(151,960)

(161,713)

Other Operating Expenses

(22,507)

(23,632)

(81,999)

(79,758)

(3)%

Fee Related Earnings

87,406

96,678

11%

326,166

346,608

Realized Performance Revenues

108,677

170,922

57%

126,576

179,789

42%

Realized Performance Compensation

(19,713)

(29,022)

47%

(24,301)

(31,224)

28%

Realized Principal Investment Income

8,204

55,200

573%

21,707

54,110

149%

Net Realizations

97,168

197,100

103%

123,982

202,675

63%

Segment Distributable Earnings

184,574

293,778

59%

450,148

549,283

22%

Segment Revenues

260,280

380,196

46%

708,408

821,978

16%

Total AUM

80,738,112

79,422,869

(2)%

80,738,112

79,422,869

(2)%

Fee-Earning AUM

75,636,004

74,126,610

(2)%

75,636,004

74,126,610

(2)%

Blackstone |

CREDIT & INSURANCE

Total

AUM:

$154.4

billion

with

inflows

$13.1

billion

the

quarter

and

$28.1

billion

for

the

year.

–

Acquired DCI, a pioneer in quantitative credit investing, in the quarter, contributing $7.8 billion to Total AUM.

–

Mezzanine / opportunistic strategy closed $1.1 billion in the quarter, bringing total equity raise to $3.7 billion

and total investable capital to $4.5 billion, inclusive of anticipated leverage.

–

Global Direct Lending had inflows of $1.7 billion in the quarter, bringing Total AUM to $22.1 billion, including the

final close for BXSL; subsequent to quarter end, launched BCRED, a continuously offered, non-traded BDC, with

an initial $814

million equity raise resulting in $1.8 billion of investable capital, including anticipated leverage.

–

Subsequent to quarter end, Blackstone funds agreed to acquire Allstate Life Insurance Company, a life and

annuity insurance company with $27.9 billion of assets, bringing pro forma insurance AUM to $96.6 billion.

Realizations:

$3.2 billion in the quarter and $7.7 billion for the year.

Capital Deployed: Record $4.9 billion in the quarter and record $11.1 billion for the year; committed an additional

$1.2

billion that was not yet deployed in the quarter.

Returns:

Gross Credit Composite return of 4.6% for the quarter (4.2% net), driven by strong portfolio performance

as well as continued recovery in both public and private credit markets.

BXSL

–

Blackstone

Secured

Lending

Fund,

BCRED

–

Blackstone

Private

Credit

Fund. Allstate Life Insurance Company assets of $27.9 billion represents fair value

as of 3Q'20.

% Change

($ in thousands)

4Q'19

4Q'20

vs. 4Q'19

FY'19

FY'20

vs. FY'19

Management Fees, Net

153,089

164,966

594,604

614,558

Fee Related Performance Revenues

6,484

14,449

123%

13,764

40,515

194%

Fee Related Compensation

(63,643)

(73,134)

15%

(229,607)

(261,214)

14%

Other Operating Expenses

(46,372)

(46,656)

(160,801)

(165,114)

Fee Related Earnings

49,558

59,625

20%

217,960

228,745

Realized Performance Revenues

3,512

9,075

158%

32,737

20,943

(36)%

Realized Performance Compensation

(841)

(513)

(39)%

(12,972)

(3,476)

(73)%

Realized Principal Investment Income

3,635

3,598

(1)%

32,466

7,970

(75)%

Net Realizations

6,306

12,160

93%

52,231

25,437

(51)%

Segment Distributable Earnings

55,864

71,785

28%

270,191

254,182

(6)%

Segment Revenues

166,720

192,088

15%

673,571

683,986

Total AUM

144,342,178

154,393,590

144,342,178

154,393,590

Fee-Earning AUM

106,450,747

116,645,413

10%

106,450,747

116,645,413

10%

Blackstone |

Supplemental Details

Blackstone |

TOTAL SEGMENTS

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

Base Management Fees

873,368

910,396

941,794

1,043,770

1,076,094

3,245,930

3,972,054

Transaction, Advisory and Other Fees, Net

95,073

50,665

48,292

33,628

75,290

314,420

207,875

Management Fee Offsets

(22,768)

(20,494)

(13,353)

(19,558)

(15,359)

(76,114)

(68,764)

Total Management and Advisory Fees, Net

945,673

940,567

976,733

1,057,840

1,136,025

3,484,236

4,111,165

Fee Related Performance Revenues

156,373

12,466

15,033

64,950

286,227

212,001

378,676

Fee Related Compensation

(388,879)

(346,264)

(306,904)

(360,633)

(482,769)

(1,336,578)

(1,496,570)

Other Operating Expenses

(161,359)

(138,885)

(143,583)

(151,213)

(189,536)

(571,142)

(623,217)

Fee Related Earnings

551,808

467,884

541,279

610,944

749,947

1,788,517

2,370,054

Realized Performance Revenues

651,647

167,233

102,177

319,954

1,276,629

1,660,642

1,865,993

Realized Performance Compensation

(249,359)

(71,302)

(37,787)

(121,730)

(483,528)

(603,935)

(714,347)

Realized Principal Investment Income

38,542

20,290

18,938

15,884

103,821

224,155

158,933

Total Net Realizations

440,830

116,221

83,328

214,108

896,922

1,280,862

1,310,579

Total Segment Distributable Earnings

992,638

584,105

624,607

825,052

1,646,869

3,069,379

3,680,633

Net Interest Income (Loss)

(2,496)

(3,941)

(12,634)

(12,731)

(5,604)

(2,441)

(34,910)

Taxes and Related Payables

(76,104)

(23,053)

(63,990)

(40,225)

(176,859)

(196,159)

(304,127)

Distributable Earnings

914,038

557,111

547,983

772,096

1,464,406

2,870,779

3,341,596

Additional Metrics:

Total Segment Revenues

1,792,235

1,140,556

1,112,881

1,458,628

2,802,702

5,581,034

6,514,767

Total Assets Under Management

571,122,463

538,007,285

564,330,088

584,376,213

618,556,928

571,122,463

618,556,928

Fee-Earning Assets Under Management

408,074,852

423,055,037

435,825,935

444,511,078

469,433,114

408,074,852

469,433,114

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 realization proceeds from the disposition

other monetization of assets and current

income. 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. Total AUM Market Activity includes a one-time adjustment for a change in methodology, see additional notes on page 33.

Three Months Ended December 31, 2020

Twelve Months Ended December 31, 2020

Real

Private

Hedge Fund

Credit &

Real

Private

Hedge Fund

Credit &

Estate

Equity

Solutions

Insurance

Estate

Equity

Solutions

Insurance

Beginning Balance

173,797

189,154

77,789

143,637

584,376

163,156

182,886

80,738

144,342

571,122

Inflows

12,016

5,017

2,127

13,134

32,294

33,427

23,030

10,415

28,141

95,013

Outflows

(674)

(1,095)

(4,189)

(2,514)

(8,471)

(3,837)

(2,708)

(13,353)

(9,380)

(29,279)

Net Flows

11,342

3,922

(2,062)

10,621

23,823

29,590

20,323

(2,938)

18,761

65,735

Realizations

(9,619)

(7,618)

(544)

(3,166)

(20,948)

(16,257)

(17,305)

(1,393)

(7,671)

(42,625)

Market Activity

11,672

12,092

4,240

3,302

31,305

10,702

11,645

3,016

(1,039)

24,324

Ending Balance

187,191

197,549

79,423

154,394

618,557

187,191

197,549

79,423

154,394

618,557

% Change

15%

(2)%

Total

Three Months Ended December 31, 2020

Twelve Months Ended December 31, 2020

Real

Private

Hedge Fund

Credit &

Real

Private

Hedge Fund

Credit &

Estate

Equity

Solutions

Insurance

Estate

Equity

Solutions

Insurance

Beginning Balance

137,878

129,702

71,700

105,232

444,511

128,214

97,774

75,636

106,451

408,075

Inflows

12,371

2,568

2,653

13,452

31,044

28,071

45,360

9,713

26,035

109,179

Outflows

(1,179)

(50)

(3,741)

(2,370)

(7,339)

(3,518)

(5,956)

(12,539)

(9,417)

(31,430)

Net Flows

11,192

2,518

(1,088)

11,082

23,704

24,554

39,404

(2,826)

16,618

77,749

Realizations

(3,877)

(3,648)

(508)

(2,130)

(10,163)

(9,007)

(7,291)

(1,346)

(5,506)

(23,151)

Market Activity

3,929

967

4,023

2,461

11,380

5,361

(347)

2,663

(917)

6,760

Ending Balance

149,121

129,540

74,127

116,645

469,433

149,121

129,540

74,127

116,645

469,433

% Change

(0)%

11%

16%

32%

(2)%

10%

15%

Total

ASSETS UNDER MANAGEMENT - ROLLFORWARD

Blackstone |

$9.42

$9.61

4Q'19

4Q'20

DECONSOLIDATED BALANCE SHEET HIGHLIGHTS

At December 31, 2020, Blackstone had $5.6 billion in total cash, cash equivalents, and corporate treasury

investments and $11.5

billion of cash and net investments, or $9.61 per share.

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

Balance

Sheet

Highlights

exclude

the

consolidated

Blackstone

Funds.

GP/Fund

Investments

include

Blackstone

investments

Real

Estate,

Private

Equity,

Hedge

Fund

Solutions,

and

Credit

Insurance,

which

were

$923

million,

$746

million,

$117

million,

and

$278

million,

respectively,

December

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

$2.3B

undrawn credit revolver

with November 2025 maturity

$5.6B

total cash

and corporate treasury

Cash and Net Investments

(per share)

($ in millions)

4Q'20

Cash and Cash Equivalents

1,999

Corporate Treasury

Investments

3,646

GP/Fund Investments

2,064

Net Accrued Performance

Revenues

3,826

Cash and Net Investments

11,535

Outstanding Bonds (at par)

5,732

Blackstone |

4Q’20 QoQ Rollforward

($ in millions)

FY’20 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. Tactical Opportunities includes Blackstone Growth. See additional notes on page 33.

($ in millions, except per share data)

4Q'19

3Q'20

4Q'20

Per Share

Real Estate

BREP IV

0.01

BREP V

0.01

BREP VI

0.04

BREP VII

445

238

236

0.20

BREP VIII

674

782

475

0.40

BREP IX

137

0.11

BREP Europe IV

158

104

0.08

BREP Europe V

193

179

211

0.18

BREP Asia I

152

102

127

0.11

BREP Asia II

BPP

281

227

264

0.22

BREDS

0.02

BTAS

0.02

Real Estate

2,112

1,831

1,656

1.38

Private Equity

BCP IV

0.01

BCP VI

705

668

680

0.57

BCP VII

471

458

688

0.57

BCP Asia

0.06

BEP I

102

0.02

BEP III

0.01

BCEP I

105

0.09

Tactical Opportunities

157

148

204

0.17

Secondaries

144

105

0.09

Life Sciences

0.01

BTAS/Other

0.04

Private Equity

1,735

1,544

1,971

1.64

Hedge Fund Solutions

0.02

Credit & Insurance

237

121

170

0.14

Net Accrued Performance Revenues

4,099

3,550

3,826

3.19

3Q'20

Net

Performance

Revenues

Net

Realized

Distributions

4Q'20

Real Estate

1,831

388

(563)

1,656

Private Equity

1,544

660

��

(233)

1,971

HFS

117

(142)

Credit &

Insurance

121

(17)

170

Total

3,550

1,231

(955)

3,826

QoQ Change

4Q'19

Net

Performance

Revenues

Net

Realized

Distributions

4Q'20

Real Estate

2,112

211

(666)

1,656

Private Equity

1,735

752

(516)

1,971

HFS

163

(149)

Credit &

Insurance

237

(27)

(40)

170

Total

4,099

1,099

(1,371)

3,826

YoY Change

(7)%

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 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

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

89,243

1.8x

4,544,926

1.7x

4,634,169

1.7x

13%

12%

BREP V (Dec 2005 / Feb 2007) (e)

5,539,418

231,919

191,895

0.8x

13,080,463

2.4x

13,272,358

2.3x

12%

11%

BREP VI (Feb 2007 / Aug 2011) (e)

11,060,444

550,734

512,439

2.3x

27,223,779

2.5x

27,736,218

2.5x

13%

BREP VII (Aug 2011 / Apr 2015)

13,496,823

1,525,946

5,584,753

1.2x

23,030,962

2.1x

28,615,715

1.8x

22%

14%

BREP VIII (Apr 2015 / Jun 2019)

16,567,256

2,729,536

13,706,200

1.2x

13,362,963

2.3x

27,069,163

1.6x

29%

14%

*BREP IX (Jun 2019 / Dec 2024)

20,891,658

14,175,042

8,173,444

1.2x

1,204,084

1.4x

9,377,528

1.3x

n/m

20%

Total Global BREP

72,996,762

19,213,177

28,257,974

1.2x

89,982,095

2.3x

118,240,069

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) (f)

1,629,748

n/a

2,576,670

1.8x

2,576,670

1.8x

BREP Europe III (Jun 2008 / Sep 2013) (e)

3,205,167

456,744

362,083

0.6x

5,738,120

2.5x

6,100,203

2.1x

20%

14%

BREP Europe IV (Sep 2013 / Dec 2016)

6,710,146

1,308,972

2,441,555

1.3x

9,045,059

2.0x

11,486,614

1.8x

22%

14%

BREP Europe V (Dec 2016 / Oct 2019)

7,949,959

1,563,722

8,006,708

1.3x

853,905

2.8x

8,860,613

1.4x

51%

*BREP Europe VI (Oct 2019 / Apr 2025)

9,786,439

7,021,025

2,670,641

1.1x

4,800

n/a

2,675,441

1.1x

n/m

(0)%

Total BREP Europe

30,105,631

€

10,350,463

€

13,480,987

€

1.2x

19,591,724

€

2.1x

33,072,711

€

1.6x

16%

12%

BREP Asia I (Jun 2013 / Dec 2017)

4,598,089

1,277,077

3,227,787

1.4x

4,422,796

1.9x

7,650,583

1.7x

21%

12%

*BREP Asia II (Dec 2017 / Jun 2023)

7,302,307

3,989,162

3,830,476

1.2x

267,905

1.5x

4,098,381

1.2x

47%

BREP Co-Investment (g)

7,055,974

52,499

556,811

1.4x

14,780,923

2.2x

15,337,734

2.2x

16%

Total BREP

128,730,171

37,176,041

51,343,542

1.2x

134,129,927

2.2x

185,473,469

1.8x

17%

15%

*Core+ BPP (Various) (h)

n/a

43,373,269

n/a

7,884,244

n/a

51,257,513

n/a

n/m

*Core+ BREIT (Various) (i)

n/a

21,046,096

n/a

706,600

n/a

21,752,696

n/a

*BREDS High-Yield (Various) (j)

19,991,345

9,009,057

3,983,786

1.0x

13,213,838

1.3x

17,197,624

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%

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

12,891

n/a

2,953,649

1.4x

2,966,540

1.4x

BCP IV (Nov 2002 / Dec 2005)

6,773,182

188,664

161,420

2.0x

21,417,821

2.9x

21,579,241

2.9x

36%

BCP V (Dec 2005 / Jan 2011)

21,009,112

1,035,259

534,817

5.9x

37,465,460

1.9x

38,000,277

1.9x

BCP VI (Jan 2011 / May 2016)

15,202,400

1,164,970

10,785,320

1.8x

18,844,732

2.2x

29,630,052

2.0x

17%

13%

BCP VII (May 2016 / Feb 2020)

18,853,440

1,500,064

23,833,391

1.5x

2,127,704

1.4x

25,961,095

1.5x

20%

15%

*BCP VIII (Feb 2020 / Feb 2026)

24,839,835

24,780,233

55,918

n/a

55,918

n/a

Energy I (Aug 2011 / Feb 2015)

2,441,558

142,138

707,832

1.0x

3,332,406

1.9x

4,040,238

1.7x

15%

10%

Energy II (Feb 2015 / Feb 2020)

4,913,589

452,250

3,542,696

0.9x

538,308

0.8x

4,081,004

0.9x

(18)%

(9)%

*Energy III (Feb 2020 / Feb 2026)

4,230,317

3,659,611

740,313

1.5x

n/a

740,313

1.5x

n/a

n/m

*BCP Asia (Dec 2017 / Dec 2023)

2,407,749

1,314,996

1,882,785

1.8x

160,023

2.2x

2,042,808

1.8x

145%

35%

*Core Private Equity I (Jan 2017 / Jul 2021) (k)

4,756,127

1,704,858

5,140,800

1.6x

1,007,863

1.9x

6,148,663

1.7x

33%

20%

Core Private Equity II (TBD) (k)

8,160,000

n/a

Total Corporate Private Equity

121,912,242

44,127,618

47,398,183

1.5x

102,031,211

2.1x

149,429,394

1.8x

16%

15%

INVESTMENT RECORDS AS OF DECEMBER 31, 2020

(a)

Blackstone |

Notes

page

21.

BXLS

–

Blackstone

Life

Sciences,

BXSL

–

Blackstone

Secured

Lending

Fund.

* 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)

23,059,743

9,485,052

13,781,064

1.3x

11,484,767

1.8x

25,265,831

1.4x

17%

11%

*Tactical Opportunities Co-Investment and Other (Various)

8,752,000

2,219,611

3,412,302

1.2x

5,404,166

1.7x

8,816,468

1.5x

19%

15%

Total Tactical Opportunities

31,811,743

11,704,663

17,193,366

1.3x

16,888,933

1.7x

34,082,299

1.4x

18%

12%

*Blackstone Growth (Jul 2020 / Jul 2025)

3,378,427

2,590,318

480,643

n/m

n/a

480,643

n/m

n/a

n/m

Strategic Partners (Secondaries)

Strategic Partners I-V (Various) (l)

11,863,351

1,163,562

767,152

n/m

17,047,367

n/m

17,814,519

1.5x

n/a

13%

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

4,362,750

1,231,443

1,140,668

n/m

3,420,227

n/m

4,560,895

1.4x

n/a

13%

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

7,489,970

2,236,145

4,502,593

n/m

2,501,199

n/m

7,003,792

1.4x

n/a

13%

Strategic Partners Real Assets II (May 2017 / Jun 2020) (l)

1,749,807

342,200

1,146,290

n/m

457,411

n/m

1,603,701

1.2x

n/a

12%

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

10,763,600

6,057,212

3,116,224

n/m

349,817

n/m

3,466,041

1.3x

n/a

25%

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

7,678,498

2,637,711

2,721,040

n/m

1,515,801

n/m

4,236,841

1.2x

n/a

12%

*Strategic Partners Infra III (Jun 2020 / Jul 2024) (l)

3,250,100

2,945,629

95,680

n/m

n/a

95,680

1.9x

n/a

n/m

Total Strategic Partners (Secondaries)

47,158,076

16,613,902

13,489,647

n/m

25,291,822

n/m

38,781,469

1.4x

n/a

13%

*Infrastructure (Various)

13,658,063

10,643,283

3,221,714

1.1x

n/a

3,221,714

1.1x

n/a

(0)%

Life Sciences

Clarus IV (Jan 2018 / Jan 2020)

910,000

376,877

620,930

1.3x

25,626

1.3x

646,556

1.3x

15%

11%

*BXLS V (Jan 2020 / Jan 2025)

4,711,227

4,124,901

659,008

1.2x

n/a

659,008

1.2x

n/a

n/m

Credit

Mezzanine / Opportunistic I (Jul 2007 / Oct 2011)

2,000,000

97,114

19,479

1.0x

4,774,747

1.6x

4,794,226

1.6x

n/a

17%

Mezzanine / Opportunistic II (Nov 2011 / Nov 2016)

4,120,000

1,033,222

837,744

0.6x

5,741,374

1.6x

6,579,118

1.3x

n/a

10%

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

6,639,133

1,523,459

5,183,034

1.1x

2,714,002

1.7x

7,897,036

1.2x

n/a

10%

Stressed / Distressed I (Sep 2009 / May 2013)

3,253,143

76,000

n/a

5,775,572

1.3x

5,775,572

1.3x

n/a

Stressed / Distressed II (Jun 2013 / Jun 2018)

5,125,000

552,970

887,348

0.7x

4,511,189

1.2x

5,398,537

1.0x

n/a

(1)%

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

7,356,380

3,913,986

2,167,831

0.9x

1,502,127

1.4x

3,669,958

1.1x

n/a

Energy I (Nov 2015 / Nov 2018)

2,856,867

999,173

1,459,608

0.9x

1,236,203

1.7x

2,695,811

1.2x

n/a

*Energy II (Feb 2019 / Feb 2024)

3,616,081

2,797,654

890,262

1.1x

227,003

1.6x

1,117,265

1.2x

n/a

23%

European Senior Debt I (Feb 2015 / Feb 2019)

1,964,689

€

267,442

€

1,684,033

€

1.0x

1,428,233

€

1.5x

3,112,266

€

1.2x

n/a

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

4,088,344

€

3,362,428

€

921,206

€

1.1x

267,489

€

1.1x

1,188,695

€

1.1x

n/a

16%

Total Credit Drawdown Funds (m)

41,872,262

15,434,919

14,629,225

1.0x

28,421,511

1.4x

43,050,736

1.2x

n/a

*Direct Lending BDC BXSL (Various) (n)

3,926,295

713,254

3,267,808

n/a

267,134

n/a

3,534,942

n/a

INVESTMENT RECORDS AS OF DECEMBER 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)

Unless otherwise indicated, Net Internal Rate of Return (“IRR”) represents the annualized inception to December 31, 2020 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

limited

partner

cash

flows.

Initial

inception

date

cash

flows

may

differ

from

the

Investment

Period

Beginning

Date.

(e)

Effective 4Q’20, Available Capital was updated to include uncalled capital commitments until they are legally expired, which increased Available

Capital.

(f)

The

Realized

Net

IRR

and

Total

Net

IRR

exclude

investors

that

opted

out

the

Hilton

investment

opportunity.

Overall

BREP

International

performance reflects a 7% Realized Net IRR and a 7% Total Net IRR.

(g)

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.

(h)

BPP

represents

the

Core+

real

estate

funds

which

invest

with

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.

(i)

Unrealized Investment Value reflects BREIT’s net asset value as of December 31, 2020. 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

upfront

selling

commission,

net

all

fees

and

expenses

incurred

BREIT.

These

returns

are

not

representative

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.

(j)

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

(k)

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.

(l)

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 and market activities in the quarter in which such events occur.

(m)

Funds

presented

represent

the

flagship

credit

drawdown

funds

only.

The

Total

Credit

Net

IRR

the

combined

IRR

the

credit

drawdown

funds

presented.

(n)

Unrealized

Investment

Value

reflects

BXSL’s

net

asset

value

December

31,

2020.

Realized

Investment

Value

represents

BXSL’s

cash

distributions.

BXSL’s net return is annualized and calculated since inception starting on November 20, 2018, as the change in NAV per share during the period, plus

distributions per share (assuming dividends and distributions are reinvested in accordance with the Company’s dividend reinvestment plan) divided by

the beginning NAV per share.

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

INVESTMENT RECORDS AS OF DECEMBER 31, 2020 – NOTES

Blackstone |

SHAREHOLDER DIVIDENDS

Generated $1.13 of Distributable Earnings per common share during the quarter, bringing the full year amount to

$2.65 per common share.

Blackstone declared a quarterly dividend of $0.96 per common share to record holders as of February 8, 2021;

payable on February 16, 2021.

detailed

description

Blackstone’s

dividend

policy

and

the

definition

Distributable

Earnings

can

found

pages

35-36,

Definitions

and

Dividend

Policy.

See additional notes on page 34.

% Change

($ in thousands, except per share data)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

vs. 4Q'19

FY'19

FY'20

vs. FY'19

Distributable Earnings

914,038

557,111

547,983

772,096

1,464,406

60%

2,870,779

3,341,596

16%

Add: Other Payables Attributable to

Common Shareholders

63,796

9,200

45,673

23,461

154,783

143%

142,645

233,117

63%

DE before Certain Payables

977,834

566,311

593,656

795,557

1,619,189

66%

3,013,424

3,574,713

19%

Percent to Common Shareholders

57%

58%

59%

56%

58%

DE before Certain Payables Attributable to

Common Shareholders

556,133

325,990

344,390

464,233

949,854

71%

1,700,367

2,084,467

23%

Less: Other Payables Attributable to

Common Shareholders

(63,796)

(9,200)

(45,673)

(23,461)

(154,783)

143%

(142,645)

(233,117)

63%

DE Attributable to Common Shareholders

492,337

316,790

298,717

440,772

795,071

61%

1,557,722

1,851,350

19%

DE per Common Share

0.72

0.46

0.43

0.63

1.13

57%

2.31

2.65

15%

Less: Retained Capital per Common Share

(0.11)

(0.07)

(0.06)

(0.09)

(0.17)

55%

(0.36)

(0.39)

Actual Dividend per Common Share

0.61

0.39

0.37

0.54

0.96

57%

1.95

2.26

16%

Record Date

Feb 8, 2021

Payable Date

Feb 16, 2021

Blackstone |

SHARE SUMMARY

Distributable Earnings Shares Outstanding as of quarter end of 1,200 million shares.

–

Repurchased 9.0 million common shares for the year.

Notes on page 34.

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

Participating Common Shares

680,457,424

687,869,905

697,597,036

700,649,135

703,959,789

Participating Partnership Units

515,973,657

507,101,000

504,912,855

500,054,874

496,060,455

Distributable Earnings Shares Outstanding

1,196,431,081

1,194,970,905

1,202,509,891

1,200,704,009

1,200,020,244

Blackstone |

Reconciliations and

Disclosures

Blackstone |

RECONCILIATION OF GAAP TO NON-GAAP MEASURES

Notes on page 26-27.

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

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

483,149

(1,066,492)

568,266

794,719

748,870

2,049,682

1,045,363

Net Income (Loss) Attributable to Non-Controlling Interests

in Blackstone Holdings

378,137

(880,117)

495,128

638,803

759,110

1,339,627

1,012,924

Net Income (Loss) Attributable to Non-Controlling Interests

in Consolidated Entities

120,796

(645,077)

294,378

259,761

308,055

476,779

217,117

Net Income (Loss) Attributable to Redeemable Non-Controlling

Interests in Consolidated Entities

(3,688)

(15,469)

(3,426)

6,868

(1,871)

(121)

(13,898)

Net Income (Loss)

978,394

(2,607,155)

1,354,346

1,700,151

1,814,164

3,865,967

2,261,506

Provision (Benefit) for Taxes

28,943

(158,703)

147,415

100,960

266,342

(47,952)

356,014

Income (Loss) Before Provision (Benefit)

for Taxes

1,007,337

(2,765,858)

1,501,761

1,801,111

2,080,506

3,818,015

2,617,520

Transaction-Related Charges (a)

94,715

46,994

76,160

47,283

70,292

208,613

240,729

Amortization of Intangibles (b)

16,482

16,483

16,535

65,931

65,984

Impact of Consolidation (c)

(117,108)

660,546

(290,952)

(266,629)

(306,184)

(476,658)

(203,219)

Unrealized Performance Revenues (d)

(128,333)

3,453,446

(1,067,923)

(1,403,480)

(597,285)

(1,126,668)

384,758

Unrealized Performance Allocations Compensation (e)

93,845

(1,397,378)

454,813

509,474

278,575

540,285

(154,516)

Unrealized Principal Investment (Income) Loss (f)

(34,974)

616,610

(223,316)

(177,125)

(114,427)

(113,327)

101,742

Other Revenues (g)

6,435

(138,151)

55,606

192,623

143,615

(79,447)

253,693

Equity-Based Compensation (h)

51,743

87,472

89,341

89,862

67,092

230,194

333,767

Administrative Fee Adjustment (i)

2,719

2,546

5,265

Taxes and Related Payables (j)

(76,104)

(23,053)

(63,990)

(40,225)

(176,859)

(196,159)

(304,127)

Distributable Earnings

914,038

557,111

547,983

772,096

1,464,406

2,870,779

3,341,596

Taxes and Related Payables (j)

76,104

23,053

63,990

40,225

176,859

196,159

304,127

Net Interest (Income) Loss (k)

2,496

3,941

12,634

12,731

5,604

2,441

34,910

Total Segment Distributable Earnings

992,638

584,105

624,607

825,052

1,646,869

3,069,379

3,680,633

Realized Performance Revenues (l)

(651,647)

(167,233)

(102,177)

(319,954)

(1,276,629)

(1,660,642)

(1,865,993)

Realized Performance Compensation (m)

249,359

71,302

37,787

121,730

483,528

603,935

714,347

Realized Principal Investment Income (n)

(38,542)

(20,290)

(18,938)

(15,884)

(103,821)

(224,155)

(158,933)

Fee Related Earnings

551,808

467,884

541,279

610,944

749,947

1,788,517

2,370,054

Adjusted EBITDA Reconciliation

Distributable Earnings

914,038

557,111

547,983

772,096

1,464,406

2,870,779

3,341,596

Interest Expense (o)

57,351

41,540

38,924

39,228

45,330

195,034

165,022

Taxes and Related Payables (j)

76,104

23,053

63,990

40,225

176,859

196,159

304,127

Depreciation and Amortization

7,666

7,512

8,110

9,568

9,946

26,350

35,136

Adjusted EBITDA

1,055,159

629,216

659,007

861,117

1,696,541

3,288,322

3,845,881

Blackstone |

Note:

See pages 35-36, 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

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.

(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.

(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.

(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

accounted

for

capital

contribution

under

GAAP,

but

reflected

reduction

Other

Operating

Expenses

Blackstone’s segment presentation.

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

GAAP Other Revenue

(6,410)

138,180

(55,580)

(192,159)

(143,583)

79,993

(253,142)

Segment Adjustment

(25)

(29)

(26)

(464)

(32)

(546)

(551)

Other Revenues

(6,435)

138,151

(55,606)

(192,623)

(143,615)

79,447

(253,693)

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

GAAP Unrealized Principal Investment Income (Loss)

67,913

(959,365)

331,762

295,308

217,688

215,003

(114,607)

Segment Adjustment

(32,939)

342,755

(108,446)

(118,183)

(103,261)

(101,676)

12,865

Unrealized Principal Investment Income (Loss)

34,974

(616,610)

223,316

177,125

114,427

113,327

(101,742)

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

GAAP Unrealized Performance Allocations

128,231

(3,453,081)

1,067,923

1,403,480

597,285

1,126,332

(384,393)

Segment Adjustment

102

(365)

336

(365)

Unrealized Performance Revenues

128,333

(3,453,446)

1,067,923

1,403,480

597,285

1,126,668

(384,758)

RECONCILIATION OF GAAP TO NON-GAAP MEASURES – NOTES

Blackstone |

(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.

(k)

(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.

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

(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 35 for the full definition of Taxes and Related Payables.

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

GAAP Interest and Dividend Revenue

52,146

35,084

23,924

26,497

39,726

182,398

125,231

Segment Adjustment

2,709

2,515

2,366

10,195

4,881

Interest and Dividend Revenue

54,855

37,599

26,290

26,497

39,726

192,593

130,112

GAAP Interest Expense

60,688

41,644

39,276

39,540

45,702

199,648

166,162

Segment Adjustment

(3,337)

(104)

(352)

(312)

(372)

(4,614)

(1,140)

Interest Expense

57,351

41,540

38,924

39,228

45,330

195,034

165,022

Net Interest Income (Loss)

(2,496)

(3,941)

(12,634)

(12,731)

(5,604)

(2,441)

(34,910)

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

Taxes

63,930

16,274

48,462

32,518

163,315

140,416

260,569

Related Payables

12,174

6,779

15,528

7,707

13,544

55,743

43,558

Taxes and Related Payables

76,104

23,053

63,990

40,225

176,859

196,159

304,127

QTD

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

GAAP Shares of Class A Common Stock Outstanding

671,157,692

676,630,489

676,874,583

680,680,748

683,875,544

Unvested Participating Common Shares

9,299,732

11,239,416

20,722,453

19,968,387

20,084,245

Total Participating Common Shares

680,457,424

687,869,905

697,597,036

700,649,135

703,959,789

Participating Partnership Units

515,973,657

507,101,000

504,912,855

500,054,874

496,060,455

Distributable Earnings Shares Outstanding

1,196,431,081

1,194,970,905

1,202,509,891

1,200,704,009

1,200,020,244

QTD

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

Total GAAP Weighted-Average Shares of Class A Common Stock

Outstanding -

Basic

679,420,988

676,305,359

698,534,168

700,184,580

702,543,279

675,900,466

696,933,548

Weighted-Average Shares of Unvested Deferred Restricted

Class A Common Stock

274,520

123,340

343,386

436,255

267,385

324,748

Weighted-Average Blackstone Holdings Partnership Units

505,754,449

Total GAAP Weighted-Average Shares of Class A Common

Stock Outstanding -

Diluted

679,695,508

676,305,359

1,204,411,957

700,527,966

702,979,534

676,167,851

697,258,296

RECONCILIATION OF GAAP TO NON-GAAP MEASURES – NOTES

Blackstone |

BLACKSTONE’S FOURTH QUARTER 2020 GAAP BALANCE SHEET RESULTS

During

3Q’20,

Blackstone

deconsolidated

CLO

vehicles

result

ownership

restructuring.

The

deconsolidation

CLO

vehicles

reduced

Blackstone’s

GAAP

consolidated Total Assets, Total Liabilities and Non-Controlling Interests in Consolidated Entities by $6.8 billion, $6.6 billion, and $216 million, respectively.

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

($ in thousands) (unaudited)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

Assets

Cash and Cash Equivalents

2,172,441

2,068,326

1,976,512

2,628,895

1,999,484

Cash Held by Blackstone Funds and Other

351,210

318,003

343,201

85,218

64,972

Investments

22,281,682

16,430,701

18,973,373

14,423,456

15,617,142

Accounts Receivable

975,075

696,729

498,600

477,601

866,158

Due from Affiliates

2,594,873

2,706,112

2,431,512

2,817,304

3,221,515

Intangible Assets, Net

397,508

379,758

362,008

344,258

347,955

Goodwill

1,869,860

1,901,485

Other Assets

382,493

541,896

501,351

544,905

481,022

Right-of-Use Assets

471,059

542,757

568,663

544,361

526,943

Deferred Tax Assets

1,089,305

1,392,352

1,319,301

1,305,707

1,242,576

Total Assets

32,585,506

26,946,494

28,844,381

25,041,565

26,269,252

Liabilities and Equity

Loans Payable

11,080,723

10,392,903

10,839,568

5,570,888

5,644,653

Due to Affiliates

1,026,871

1,247,098

1,268,571

1,064,336

1,135,041

Accrued Compensation and Benefits

3,796,044

1,965,237

2,551,056

3,349,418

3,433,260

Securities Sold, Not Yet Purchased

75,545

51,498

51,395

51,231

51,033

Repurchase Agreements

154,118

105,133

80,620

80,597

76,808

Operating Lease Liabilities

542,994

605,809

637,946

621,408

620,844

Accounts Payable, Accrued Expenses and Other Liabilities

806,159

1,000,708

919,195

804,009

717,104

Total Liabilities

17,482,454

15,368,386

16,348,351

11,541,887

11,678,743

Redeemable Non-Controlling Interests in Consolidated Entities

87,651

72,066

68,564

63,384

65,161

Equity

Class A Common Stock, $0.00001 par value (683,875,544 shares

issued and outstanding as of December 31, 2020)

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

outstanding as of December 31, 2020)

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

outstanding as of December 31, 2020)

Additional Paid-in-Capital

6,428,647

6,298,093

6,272,040

6,243,722

6,332,105

Retained Earnings

609,625

(871,948)

(574,295)

(36,432)

335,762

Accumulated Other Comprehensive Loss

(28,495)

(41,533)

(36,758)

(27,407)

(15,831)

Non-Controlling Interests in Consolidated Entities

4,186,069

3,591,160

3,900,429

3,946,190

4,042,157

Non-Controlling Interests in Blackstone Holdings

3,819,548

2,530,263

2,866,043

3,310,214

3,831,148

Total Equity

15,015,401

11,506,042

12,427,466

13,436,294

14,525,348

Total Liabilities and Equity

32,585,506

26,946,494

28,844,381

25,041,565

26,269,252

Blackstone |

RECONCILIATION OF GAAP TO NON-GAAP BALANCE SHEET MEASURES

(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)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

Investments of Consolidated Blackstone Funds

8,380,698

7,275,752

7,943,531

1,500,398

1,455,008

Equity Method Investments

Partnership Investments

4,035,675

3,553,538

3,873,346

4,144,249

4,353,234

Accrued Performance Allocations

7,180,449

3,761,585

4,715,510

6,112,904

6,891,262

Corporate Treasury Investments

2,419,587

1,653,950

2,205,843

2,390,982

2,579,716

Other Investments

265,273

185,876

235,143

274,923

337,922

Total GAAP Investments

22,281,682

16,430,701

18,973,373

14,423,456

15,617,142

Accrued Performance Allocations - GAAP

7,180,449

3,761,585

4,715,510

6,112,904

6,891,262

Impact of Consolidation (a)

384

Due from Affiliates - GAAP (b)

154,980

20,910

20,642

21,499

165,678

Less: Net Realized Performance Revenues (c)

(214,662)

(31,719)

(38,592)

(75,328)

(313,610)

Less: Accrued Performance Compensation - GAAP (d)

(3,021,899)

(1,563,672)

(1,989,219)

(2,509,357)

(2,917,609)

Net Accrued Performance Revenues

4,099,252

2,187,123

2,708,360

3,549,719

3,825,722

Corporate Treasury Investments - GAAP

2,419,587

1,653,950

2,205,843

2,390,982

2,579,716

Impact of Consolidation (a)

164,243

131,248

141,371

143,131

148,911

Other Assets (e)

602,707

374,064

271,615

525,864

947,565

Other Liabilities (f)

(74,898)

(46,635)

(69,326)

(124,734)

(30,355)

Corporate Treasury Investments - Deconsolidated

3,111,639

2,112,627

2,549,503

2,935,243

3,645,837

Partnership and Other Investments - GAAP

4,300,948

3,739,414

4,108,489

4,419,172

4,691,156

Impact of Consolidation (g)

(2,409,218)

(2,111,945)

(2,316,855)

(2,470,797)

(2,626,765)

GP/Fund Investments - Deconsolidated

1,891,730

1,627,469

1,791,634

1,948,375

2,064,391

Loans Payable - GAAP

11,080,723

10,392,903

10,839,568

5,570,888

5,644,653

Impact of Consolidation (h)

(6,479,867)

(5,817,702)

(6,232,787)

(99)

Outstanding Bonds - Carrying Value

4,600,856

4,575,201

4,606,781

5,570,789

5,644,554

Unamortized Discount

81,094

79,449

78,319

87,361

87,846

Outstanding Bonds (at par) - Deconsolidated

4,681,950

4,654,650

4,685,100

5,658,150

5,732,400

Blackstone |

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

Management and Advisory Fees, Net

GAAP

943,900

934,832

969,728

1,053,851

1,134,138

3,472,155

4,092,549

Segment Adjustment (a)

1,773

5,735

7,005

3,989

1,887

12,081

18,616

Total Segment

945,673

940,567

976,733

1,057,840

1,136,025

3,484,236

4,111,165

GAAP Realized Performance Revenues to Total Segment Fee Related Performance Revenues

GAAP

Incentive Fees

87,610

12,161

15,300

13,498

97,702

129,911

138,661

Investment Income -

Realized Performance Allocations

717,555

167,530

101,910

371,406

1,465,154

1,739,000

2,106,000

GAAP

805,165

179,691

117,210

384,904

1,562,856

1,868,911

2,244,661

Total Segment

Less: Realized Performance Revenues

(651,647)

(167,233)

(102,177)

(319,954)

(1,276,629)

(1,660,642)

(1,865,993)

Segment Adjustment (b)

2,855

3,732

Total Segment

156,373

12,466

15,033

64,950

286,227

212,001

378,676

GAAP Compensation to Total Segment Fee Related Compensation

GAAP

Compensation

447,646

476,543

458,457

460,983

459,636

1,820,330

1,855,619

Incentive Fees Compensation

24,589

6,522

8,432

7,385

22,086

44,300

44,425

Realized Performance Allocations Compensation

295,059

72,423

38,569

142,149

590,089

662,942

843,230

GAAP

767,294

555,488

505,458

610,517

1,071,811

2,527,572

2,743,274

Total Segment

Less: Realized Performance Compensation

(249,359)

(71,302)

(37,787)

(121,730)

(483,528)

(603,935)

(714,347)

Less:

Equity-Based

Compensation

Operating

Compensation

(51,612)

(85,334)

(87,205)

(88,180)

(65,397)

(221,684)

(326,116)

Less:

Equity-Based

Compensation

Performance

Compensation

(131)

(2,138)

(2,136)

(1,682)

(1,695)

(8,510)

(7,651)

Segment Adjustment (c)

(77,313)

(50,450)

(71,426)

(38,292)

(38,422)

(356,865)

(198,590)

Total Segment

388,879

346,264

306,904

360,633

482,769

1,336,578

1,496,570

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

GAAP

186,971

157,566

169,051

171,041

214,124

679,408

711,782

Segment Adjustment (d)

(25,612)

(18,681)

(25,468)

(19,828)

(24,588)

(108,266)

(88,565)

Total Segment

161,359

138,885

143,583

151,213

189,536

571,142

623,217

Realized Performance Revenues

GAAP

Incentive Fees

87,610

12,161

15,300

13,498

97,702

129,911

138,661

Investment

Income

Realized

Performance

Allocations

717,555

167,530

101,910

371,406

1,465,154

1,739,000

2,106,000

GAAP

805,165

179,691

117,210

384,904

1,562,856

1,868,911

2,244,661

Total Segment

Less: Fee Related Performance Revenues

(156,373)

(12,466)

(15,033)

(64,950)

(286,227)

(212,001)

(378,676)

Segment Adjustment (b)

2,855

3,732

Total Segment

651,647

167,233

102,177

319,954

1,276,629

1,660,642

1,865,993

RECONCILIATION OF GAAP TO TOTAL SEGMENTS

Blackstone |

QTD

($ in thousands)

4Q'19

1Q'20

2Q'20

3Q'20

4Q'20

FY'19

FY'20

Realized Performance Compensation

GAAP

Incentive Fee Compensation

24,589

6,522

8,432

7,385

22,086

44,300

44,425

Realized Performance Allocations Compensation

295,059

72,423

38,569

142,149

590,089

662,942

843,230

GAAP

319,648

78,945

47,001

149,534

612,175

707,242

887,655

Total Segment

Less: Fee Related Performance Compensation

(70,158)

(5,505)

(7,078)

(26,122)

(126,952)

(94,797)

(165,657)

Less:

Equity-Based

Compensation

Performance

Compensation

(131)

(2,138)

(2,136)

(1,682)

(1,695)

(8,510)

(7,651)

Total Segment

249,359

71,302

37,787

121,730

483,528

603,935

714,347

Realized Principal Investment Income

GAAP

100,535

48,695

61,102

61,017

220,814

393,478

391,628

Segment Adjustment (e)

(61,993)

(28,405)

(42,164)

(45,133)

(116,993)

(169,323)

(232,695)

Total Segment

38,542

20,290

18,938

15,884

103,821

224,155

158,933

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

GAAP

Interest and Dividend Revenue

52,146

35,084

23,924

26,497

39,726

182,398

125,231

Interest Expense

(60,688)

(41,644)

(39,276)

(39,540)

(45,702)

(199,648)

(166,162)

GAAP

(8,542)

(6,560)

(15,352)

(13,043)

(5,976)

(17,250)

(40,931)

Segment Adjustment (f)

6,046

2,619

2,718

312

372

14,809

6,021

Total Segment

(2,496)

(3,941)

(12,634)

(12,731)

(5,604)

(2,441)

(34,910)

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

Statement

Operations

(page

1).

Segment

basis

presents

revenues

and

expenses

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

the

Total

Segment

measures.

Beginning

3Q'20,

includes a reduction equal to an administrative fee collected on a quarterly basis from certain holders of Blackstone Holdings Partnership Units which

is accounted for as a capital contribution under GAAP, but is reflected as a reduction of Other Operating Expenses in Blackstone's segment

presentation.

(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 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.

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

Blackstone |

NOTES

Notes to page 1 -

Blackstone’s Fourth Quarter and Full Year 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 to page 2 -

Blackstone’s Fourth Quarter and Full Year 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 to page 5 -

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.

Effective

1Q’20,

Corporate

Private

Equity

appreciation

was

updated

include

Core

Private

Equity

appreciation.

This

presentation

provides

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

Results for the Secondaries business (also referred to as Strategic Partners) are reported on a 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

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

–

(CONT’D)

Notes to page 5 -

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 of fair value at the beginning of each respective quarter-end are included and

funds

liquidation

are

excluded.

Credit

returns

exclude

Blackstone

Funds

that

were

contributed

Blackstone

Credit

part

Blackstone’s

acquisition of Blackstone Credit, formerly known as GSO, in March 2008.

Notes to page 16 –

Assets Under Management -

Rollforward

Effective 4Q’20, the methodology for Total AUM was updated with respect to the relevant segment for certain real estate, secondaries and credit

funds

include

permanent

fund

level

leverage

(as

this

represents

additional

capital

the

fund

managing),

include

uncalled

capital

commitments

until

they

are

legally

expired

and

exclude

certain

uncalled

capital

commitments

where

the

investors

have

complete

discretion

over

investment.

Funds

without

adjustment

were

either

already

applying

that

methodology

reporting

Total

AUM

the

updates

were

not

applicable. Additional detail on these adjustments is included below:

Subsequent

4Q’20,

increases/decreases

permanent

fund

level

leverage

and

uncalled

capital

commitments

that

have

not

legally

expired

where investors do not have complete discretion over investment for the aforementioned funds will be reflected as inflows, outflows,

realizations and/or market activity, as the case may be.

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).

Three Months Ended December 31, 2020

Twelve Months Ended December 31, 2020

Real

Private

Hedge Fund

Credit &

Real

Private

Hedge Fund

Credit &

($ in millions)

Estate

Equity

Solutions

Insurance

Estate

Equity

Solutions

Insurance

Market Activity

7,893

10,223

4,240

4,816

27,173

6,923

9,776

3,016

476

20,192

One-Time Methodology Adjustment

3,779

1,869

(1,514)

4,133

3,779

1,869

(1,514)

4,133

Reported Market Activity

11,672

12,092

4,240

3,302

31,305

10,702

11,645

3,016

(1,039)

24,324

Total

Blackstone |

NOTES

–

(CONT’D)

Notes to page 22 –

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. Common Shareholders receive tax benefits from deductions taken by Blackstone’s corporate tax

paying

subsidiaries

and

bear

responsibility

for

the

deduction

from

Distributable

Earnings

the

Payable

Under

Tax

Receivable

Agreement

and

certain other tax-related payables.

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

withheld

pro

rata

from

common

and

Blackstone

Holdings

Partnership

unitholders.

Common

shareholders’

was

$120

million for 4Q’20 and $273 million for FY’20.

Notes

page

–

Summary

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

in dividends.

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, or “Segment DE”, is Blackstone’s segment profitability measure used to 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

is presented on a segment basis and is the sum of 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

Payables

represent

the

total

GAAP

tax

provision

adjusted

include

only

the

current

tax

provision

(benefit)

calculated

Income

(Loss)

Before

Provision

(Benefit)

for

Taxes

and

including

the

Payable

under

the

Tax

Receivable

Agreement.

Further,

the

current

tax provision utilized when calculating Taxes and Related Payables and DE reflects the benefit of deductions available to the company on

certain expense items that are excluded from the underlying calculation of Segment DE and Total Segment Distributable Earnings, such as

equity-based compensation charges and certain Transaction-Related Charges where there is a current tax provision or benefit.

The

economic

assumptions and methodologies that impact the implied income tax provision are the same as those methodologies and

assumptions used in calculating the current income tax provision for Blackstone’s consolidated statements of operations under

U.S.

GAAP,

excluding

the

impact

divestitures

and

accrued

tax

contingencies

and

refunds

which

are

reflected

when

paid

received.

Management

believes

that

including

the

amount

payable

under

the

tax

receivable

agreement

and

utilizing

the

current

income

tax

provision

adjusted

described

above

when calculating DE is meaningful as it increases comparability between periods and more accurately reflects

earnings that are available for distribution to shareholders.

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.

Blackstone |

–

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

Performance

Revenues

refers

the

realized

portion

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.

–

Other Operating Expenses is presented on a segment basis and is equal to General, Administrative and Other Expenses, adjusted to (a)

remove

the

amortization

transaction-related

intangibles,

(b)

remove

certain

expenses

reimbursed

the

Blackstone

Funds

which

are

netted against Management and Advisory Fees, Net in Blackstone's segment presentation, and (c) give effect 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.

–

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 reduce such quarterly dividends or

even 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, as amended, and Section

21E

the

Securities

Exchange

Act

1934,

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,” “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 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, 2019 and in

our Quarterly Report on Form 10-Q for the quarter ended March 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.

Blackstone (BX) 8-KBlackstone Reports Fourth Quarter and Full Year 2020 Results