Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 10, 2017 | Jun. 30, 2016 | |
Entity Information [Line Items] | |||
Entity Registrant Name | Apollo Global Management LLC | ||
Entity Central Index Key | 1,411,494 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | APO | ||
Amendment Flag | false | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 2,761.8 | ||
Common Class A Shares | |||
Entity Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 187,144,092 | ||
Common Class B Shares | |||
Entity Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 1 |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Assets: | ||
Cash and cash equivalents | $ 806,329 | $ 612,505 |
Restricted cash | 4,680 | 5,700 |
Investments | 1,494,744 | 1,154,749 |
Other assets | 118,860 | 95,844 |
Carried interest receivable | 1,257,105 | 643,907 |
Due from related parties | 254,853 | 247,835 |
Deferred tax assets | 572,263 | 646,207 |
Goodwill | 88,852 | 88,852 |
Intangible assets, net | 22,721 | 28,620 |
Total Assets | 5,629,553 | 4,559,808 |
Liabilities: | ||
Accounts payable and accrued expenses | 57,465 | 92,012 |
Accrued compensation and benefits | 52,754 | 54,836 |
Deferred revenue | 174,893 | 177,875 |
Due to related parties | 638,126 | 594,536 |
Profit sharing payable | 550,148 | 295,674 |
Debt | 1,352,447 | 1,025,255 |
Other liabilities | 81,613 | 43,387 |
Total Liabilities | 3,762,025 | 3,170,827 |
Commitments and Contingencies (see note 15) | ||
Apollo Global Management, LLC shareholders’ equity: | ||
Additional paid in capital | 1,830,025 | 2,005,509 |
Accumulated deficit | (986,186) | (1,348,384) |
Accumulated other comprehensive loss | (8,723) | (7,620) |
Total Apollo Global Management, LLC shareholders’ equity | 835,116 | 649,505 |
Total Shareholders’ Equity | 1,867,528 | 1,388,981 |
Total Liabilities and Shareholders’ Equity | 5,629,553 | 4,559,808 |
Common Class A Shares | ||
Apollo Global Management, LLC shareholders’ equity: | ||
Common shares | 0 | 0 |
Common Class B Shares | ||
Apollo Global Management, LLC shareholders’ equity: | ||
Common shares | 0 | 0 |
Consolidated Entities | ||
Assets: | ||
Cash and cash equivalents held at consolidated funds | 7,335 | 4,817 |
Apollo Global Management, LLC shareholders’ equity: | ||
Non-Controlling Interests | 90,063 | 86,561 |
Consolidated Variable Interest Entities | ||
Assets: | ||
Cash and cash equivalents held at consolidated funds | 41,318 | 56,793 |
Investments, at fair value | 913,827 | 910,566 |
Other assets | 46,666 | 63,413 |
Liabilities: | ||
Debt, at fair value | 786,545 | 801,270 |
Other liabilities | 68,034 | 85,982 |
Net income attributable to Non-Controlling Interests in the Apollo Operating Group | ||
Apollo Global Management, LLC shareholders’ equity: | ||
Non-Controlling Interests | $ 942,349 | $ 652,915 |
CONSOLIDATED STATEMENTS OF FIN3
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parenthetical) - shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Common Stock, Shares Authorized (in shares) | Unlimited | Unlimited |
Common Class A Shares | ||
Shares issued (in shares) | 185,460,294 | 181,078,937 |
Shares outstanding (in shares) | 185,460,294 | 181,078,937 |
Common Class B Shares | ||
Shares issued (in shares) | 1 | 1 |
Shares outstanding (in shares) | 1 | 1 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues: | |||
Management fees from related parties | $ 1,043,513 | $ 930,194 | $ 850,441 |
Advisory and transaction fees from related parties, net | 146,665 | 14,186 | 315,587 |
Carried interest income from related parties | 780,206 | 97,290 | 394,055 |
Total Revenues | 1,970,384 | 1,041,670 | 1,560,083 |
Compensation and benefits: | |||
Salary, bonus and benefits | 389,130 | 354,524 | 338,049 |
Equity-based compensation | 102,983 | 97,676 | 126,320 |
Profit sharing expense | 357,074 | 85,229 | 276,190 |
Total Compensation and Benefits | 849,187 | 537,429 | 740,559 |
Interest expense | 43,482 | 30,071 | 22,393 |
General, administrative and other | 247,000 | 255,061 | 265,189 |
Placement fees | 26,249 | 8,414 | 15,422 |
Total Expenses | 1,165,918 | 830,975 | 1,043,563 |
Other Income: | |||
Net gains from investment activities | 139,721 | 121,723 | 213,243 |
Net gains from investment activities of consolidated variable interest entities | 5,015 | 19,050 | 22,564 |
Income from equity method investments | 103,178 | 14,855 | 53,856 |
Interest income | 4,072 | 3,232 | 10,392 |
Other income, net | 4,562 | 7,673 | 60,592 |
Total Other Income | 256,548 | 166,533 | 360,647 |
Income before income tax provision | 1,061,014 | 377,228 | 877,167 |
Income tax provision | (90,707) | (26,733) | (147,245) |
Net Income | 970,307 | 350,495 | 729,922 |
Net income attributable to Non-Controlling Interests | (567,457) | (215,998) | (561,693) |
Net Income Attributable to Apollo Global Management, LLC | $ 402,850 | $ 134,497 | $ 168,229 |
Distributions declared per Class A Share (USD per share) | $ 1.25 | $ 1.96 | $ 3.11 |
Earnings Per Share, Basic and Diluted | 2.11 | 0.61 | 0.62 |
Net Income Per Class A Share: | |||
Net Income Per Class A Share - Basic (USD per share) | 0.61 | 0.62 | |
Net Income Per Class A Share - Diluted (USD per share) | $ 2.11 | $ 0.61 | $ 0.62 |
Weighted Average Number of Class A Shares - Basic (in shares) | 183,998,080 | 173,271,666 | 155,349,017 |
Weighted Average Number of Class A Shares - Diluted (in shares) | 183,998,080 | 173,271,666 | 155,349,017 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 970,307 | $ 350,495 | $ 729,922 |
Other Comprehensive Income, net of tax: | |||
Allocation of currency translation adjustment of consolidated CLOs and funds (net of taxes of $0.3 million, $0.9 million and $0.0 million for Apollo Global Management, LLC for the years ended December 31, 2016, 2015 and 2014, respectively, and $0.0 million for Non-Controlling Interests in Apollo Operating Group for years ended December 31, 2016, 2015 and 2014) | (4,214) | (13,535) | 724 |
Net gain (loss) from change in fair value of cash flow hedge instruments | 106 | 105 | (990) |
Net income (loss) on available-for-sale securities | 418 | (904) | (2) |
Total Other Comprehensive Loss, net of tax | (3,690) | (14,334) | (268) |
Comprehensive Income | 966,617 | 336,161 | 729,654 |
Comprehensive Income attributable to Non-Controlling Interests | (564,870) | (208,978) | (631,831) |
Comprehensive Income Attributable to Apollo Global Management, LLC | $ 401,747 | $ 127,183 | $ 97,823 |
CONSOLIDATED STATEMENTS OF COM6
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Allocation of currency translation adjustment of consolidated CLOs and funds, tax | $ 0.3 | $ 0.9 | $ 0 |
Allocation of currency translation adjustment of consolidated CLOs and funds, NCI tax | $ 0 | $ 0 | $ 0 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Additional Paid in Capital | Accumulated Deficit | Appropriated Partners’ Capital | Accumulated Other Comprehensive Loss | Total Apollo Global Management, LLC Shareholders’ Equity | Non- Controlling Interests in Consolidated Entities | Non- Controlling Interests in Apollo Operating Group | Common Class A Shares | Common Class A SharesCommon Stock | Common Class B SharesCommon Stock |
Balance, Beginning of Period at Dec. 31, 2013 | $ 6,688,722 | $ 2,624,582 | $ (1,568,487) | $ 1,581,079 | $ 95 | $ 2,637,269 | $ 2,669,730 | $ 1,381,723 | |||
Balance, Beginning of Period (in shares) at Dec. 31, 2013 | 146,280,784 | 1 | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Dilution impact of issuance of Class A shares | 5,267 | 5,267 | 5,267 | ||||||||
Capital increase related to equity-based compensation | 108,871 | 108,871 | 108,871 | ||||||||
Capital contributions | 1,072,271 | 135,356 | 135,356 | 936,915 | |||||||
Distributions | (2,700,509) | (555,532) | (713,264) | (1,268,796) | (615,301) | (816,412) | |||||
Payments related to deliveries of Class A shares for RSUs | 27,496 | 27,899 | (403) | 27,496 | |||||||
Payments related to deliveries of Class A shares for RSUs and restricted shares (in shares) | 10,491,649 | ||||||||||
Purchase of AAA units | (312) | (312) | |||||||||
Net transfers of AAA ownership interest to (from) Non-Controlling Interests in consolidated entities | (3,423) | (3,423) | 3,423 | ||||||||
Satisfaction of liability related to AAA RDUs | 1,183 | 1,183 | 1,183 | ||||||||
Exchange of AOG Units for Class A shares | 10,818 | 45,436 | 45,436 | (34,618) | |||||||
Exchange of AOG units for class A shares (shares) | 6,274,121 | ||||||||||
Net income | 729,922 | 168,229 | (70,729) | 97,500 | 227,740 | 404,682 | |||||
Allocation of currency translation adjustment of consolidated CLOs and fund entities | 724 | 724 | 724 | ||||||||
Net gain (loss) from change in fair value of cash flow hedge instruments | (990) | (399) | (399) | (591) | |||||||
Net income (loss) on available-for-sale securities | (2) | (2) | (2) | ||||||||
Balance, End of Period at Dec. 31, 2014 | 5,943,461 | 2,254,283 | (1,400,661) | 933,166 | (306) | 1,786,482 | 3,222,195 | 934,784 | |||
Balance, End of Period (in shares) at Dec. 31, 2014 | 163,046,554 | 1 | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Cumulative effect adjustment from adoption of accounting guidance | (4,069,263) | 1,771 | (3,350) | (933,166) | (934,745) | (3,134,518) | |||||
Dilution impact of issuance of Class A shares | 3,588 | 3,588 | 3,588 | ||||||||
Capital increase related to equity-based compensation | 67,959 | 67,959 | 67,959 | ||||||||
Capital contributions | 5,916 | 5,916 | |||||||||
Distributions | (842,535) | (367,894) | (367,894) | (21,317) | (453,324) | ||||||
Payments related to deliveries of Class A shares for RSUs | (72,594) | 6,276 | (78,870) | (72,594) | |||||||
Payments related to deliveries of Class A shares for RSUs and restricted shares (in shares) | 11,521,762 | ||||||||||
Exchange of AOG Units for Class A shares | 16,288 | 39,526 | 39,526 | (23,238) | |||||||
Exchange of AOG units for class A shares (shares) | 6,510,621 | ||||||||||
Net income | 350,495 | 134,497 | 134,497 | 21,364 | 194,634 | ||||||
Allocation of currency translation adjustment of consolidated CLOs and fund entities | (13,535) | (6,456) | (6,456) | (7,079) | |||||||
Net gain (loss) from change in fair value of cash flow hedge instruments | 105 | 46 | 46 | 59 | |||||||
Net income (loss) on available-for-sale securities | (904) | (904) | (904) | ||||||||
Balance, End of Period at Dec. 31, 2015 | 1,388,981 | 2,005,509 | (1,348,384) | 0 | (7,620) | 649,505 | 86,561 | 652,915 | |||
Balance, End of Period (in shares) at Dec. 31, 2015 | 181,078,937 | 1 | |||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||
Dilution impact of issuance of Class A shares | 388 | 388 | 388 | ||||||||
Capital increase related to equity-based compensation | 69,587 | 69,587 | 69,587 | ||||||||
Capital contributions | 13,236 | 13,236 | |||||||||
Distributions | (521,667) | (239,109) | (239,109) | (12,777) | (269,781) | ||||||
Payments related to deliveries of Class A shares for RSUs | (40,466) | 186 | (40,652) | (40,466) | |||||||
Payments related to deliveries of Class A shares for RSUs and restricted shares (in shares) | 4,623,187 | ||||||||||
Repurchase of Class A shares | (12,902) | (12,902) | (12,902) | ||||||||
Repurchase of Class A shares (in shares) | (1,000,000) | (954,447) | |||||||||
Exchange of AOG Units for Class A shares | 3,754 | 6,366 | 6,366 | (2,612) | |||||||
Exchange of AOG units for class A shares (shares) | 712,617 | ||||||||||
Net income | 970,307 | 402,850 | 402,850 | 5,789 | 561,668 | ||||||
Allocation of currency translation adjustment of consolidated CLOs and fund entities | (4,214) | (1,571) | (1,571) | (2,746) | 103 | ||||||
Net gain (loss) from change in fair value of cash flow hedge instruments | 106 | 50 | 50 | 56 | |||||||
Net income (loss) on available-for-sale securities | 418 | 418 | 418 | ||||||||
Balance, End of Period at Dec. 31, 2016 | $ 1,867,528 | $ 1,830,025 | $ (986,186) | $ 0 | $ (8,723) | $ 835,116 | $ 90,063 | $ 942,349 | |||
Balance, End of Period (in shares) at Dec. 31, 2016 | 185,460,294 | 1 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash Flows from Operating Activities: | |||
Net income | $ 970,307 | $ 350,495 | $ 729,922 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||
Equity-based compensation | 102,983 | 97,676 | 126,320 |
Depreciation and amortization | 18,735 | 44,474 | 45,069 |
Unrealized gains from investment activities | (136,417) | (122,426) | (21,726) |
Cash distributions of earnings from equity method investments | 33,909 | 30,931 | 83,656 |
Satisfaction of contingent obligations | (13,721) | 0 | 0 |
Income from equity method investments | (103,178) | (14,855) | (53,856) |
Change in fair value of contingent obligations | 40,424 | (803) | 11,281 |
Deferred taxes, net | 81,880 | 26,431 | 80,356 |
Other non-cash amounts included in net income, net | (20,989) | (49,409) | (57,141) |
Changes in assets and liabilities: | |||
Carried interest receivable | (613,198) | 303,296 | 1,375,409 |
Due from related parties | (4,084) | 1,500 | (252,339) |
Accounts payable and accrued expenses | (34,360) | 49,403 | 33,986 |
Accrued compensation and benefits | (1,651) | (9,916) | 16,185 |
Deferred revenue | 387 | (18,370) | (79,865) |
Due to related parties | 41,094 | 12,521 | (97,521) |
Profit sharing payable | 227,771 | (122,632) | (518,003) |
Other assets and other liabilities, net | 1,250 | 13,994 | (17,979) |
Apollo Fund and VIE related: | |||
Net realized and unrealized gains from investing activities and debt | (572) | (18,437) | (68,408) |
Change in cash held at consolidated variable interest entities | 16,673 | 256,623 | (13,813) |
Purchases of investments | (581,226) | (521,205) | (10,330,057) |
Proceeds from sale of investments | 592,941 | 409,218 | 8,509,361 |
Changes in other assets and other liabilities, net | (3,698) | (135,836) | 126,246 |
Net Cash Provided by (Used in) Operating Activities | 615,260 | 582,673 | (372,917) |
Cash Flows from Investing Activities: | |||
Purchases of fixed assets | (6,356) | (6,203) | (5,949) |
Proceeds from sale of investments | 0 | 25,000 | 50,000 |
Purchase of investments | (46,880) | (25,000) | 0 |
Cash contributions to equity method investments | (224,946) | (234,382) | (109,923) |
Cash distributions from equity method investments | 102,768 | 61,576 | 76,343 |
Issuance of related party loans | (8,648) | (25,000) | 0 |
Other investing activities | 1,301 | 1,073 | 2,961 |
Net Cash (Used in) Provided by Investing Activities | (182,761) | (202,936) | 13,432 |
Cash Flows from Financing Activities: | |||
Principal repayments of debt | (200,000) | 0 | (250,000) |
Issuance of debt | 532,706 | 0 | 533,956 |
Satisfaction of tax receivable agreement | 0 | (48,420) | (32,032) |
Purchase of Class A shares | (13,377) | (3,120) | 0 |
Payments related to deliveries of Class A shares for RSUs | (40,652) | (78,870) | (403) |
Distributions paid | (239,109) | (354,434) | (506,043) |
Distributions paid to Non-Controlling Interests in Apollo Operating Group | (269,781) | (453,324) | (816,412) |
Other financing activities | (13,809) | (26,464) | (33,325) |
Net Cash (Used in) Provided by Financing Activities | (236,157) | (968,078) | 485,611 |
Net Increase (Decrease) in Cash and Cash Equivalents | 196,342 | (588,341) | 126,126 |
Cash and Cash Equivalents, Beginning of Period | 617,322 | 1,205,663 | 1,079,537 |
Cash and Cash Equivalents, End of Period | 813,664 | 617,322 | 1,205,663 |
Supplemental Disclosure of Cash Flow Information: | |||
Interest paid | 44,524 | 32,270 | 22,191 |
Interest paid by consolidated variable interest entities | 18,208 | 17,574 | 157,812 |
Income taxes paid | 8,353 | 7,922 | 57,276 |
Supplemental Disclosure of Non-Cash Investing Activities: | |||
Non-cash contributions to equity method investments | 1,231 | 36,634 | 0 |
Non-cash distributions from equity method investments | (13,433) | (7,724) | (6,720) |
Non-cash purchases of other investments, at fair value | 8,937 | 0 | 0 |
Supplemental Disclosure of Non-Cash Financing Activities: | |||
Declared and unpaid distributions | 0 | (13,460) | (49,489) |
Non-cash distributions from Non-Controlling Interests in consolidated entities to Appropriated Partners' Capital | 0 | 0 | (135,356) |
Capital increases related to equity-based compensation | 69,587 | 67,959 | 108,871 |
Other non-cash financing activities | 559 | 3,559 | 6,448 |
Adjustments related to exchange of Apollo Operating Group units: | |||
Deferred tax assets | 7,342 | 61,720 | 58,696 |
Due to related parties | (3,588) | (45,432) | (47,878) |
Additional paid in capital | (3,754) | (16,288) | (10,818) |
Non-Controlling Interest in Apollo Operating Group | 2,612 | 23,238 | 34,618 |
Net Assets Deconsolidated from Consolidated Variable Interest Entities and Funds: | |||
Cash and cash equivalents | 0 | 760,491 | 0 |
Investments, at fair value | 0 | 16,930,227 | 0 |
Other Assets | 0 | 280,428 | 0 |
Debt, at fair value | 0 | (13,229,570) | 0 |
Other liabilities | 0 | (529,080) | 0 |
Non-Controlling Interest in consolidated entities | 0 | (3,134,518) | 0 |
Appropriated partners' capital | 0 | (929,708) | 0 |
Consolidated Variable Interest Entities | |||
Cash Flows from Financing Activities: | |||
Principal repayments of debt | (397,275) | 0 | (2,371,499) |
Issuance of debt | 396,266 | 0 | 4,225,451 |
Purchase of Class A shares | 0 | 0 | (312) |
Distributions paid | 0 | 0 | (703,041) |
Distributions paid to Non-Controlling Interests in consolidated variable interest entities | (4,326) | (9,215) | (450,419) |
Contributions from Non-Controlling Interests in consolidated variable interest entities | $ 13,200 | $ 5,769 | $ 889,690 |
ORGANIZATION
ORGANIZATION | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION | ORGANIZATION Apollo Global Management, LLC (“AGM”, together with its consolidated subsidiaries, the “Company” or “Apollo”) is a global alternative investment manager whose predecessor was founded in 1990. Its primary business is to raise, invest and manage private equity, credit and real estate funds as well as strategic investment accounts, on behalf of pension, endowment and sovereign wealth funds, as well as other institutional and individual investors. For these investment management services, Apollo receives management fees generally related to the amount of assets managed, transaction and advisory fees and carried interest income related to the performance of the respective funds that it manages. Apollo has three primary business segments: • Private equity —primarily invests in control equity and related debt instruments, convertible securities and distressed debt investments; • Credit —primarily invests in non-control corporate and structured debt instruments including performing, stressed and distressed investments across the capital structure; and • Real estate —primarily invests in real estate equity for the acquisition and recapitalization of real estate assets, portfolios, platforms and operating companies, and real estate debt including first mortgage and mezzanine loans, preferred equity and commercial mortgage backed securities. Organization of the Company The Company was formed as a Delaware limited liability company on July 3, 2007 and completed a reorganization of its predecessor businesses on July 13, 2007 (the “2007 Reorganization”). The Company is managed and operated by its manager, AGM Management, LLC, which in turn is indirectly wholly-owned and controlled by Leon Black, Joshua Harris and Marc Rowan, our Managing Partners. As of December 31, 2016 , the Company owned, through five intermediate holding companies that include APO Corp., a Delaware corporation that is a domestic corporation for U.S. federal income tax purposes, APO Asset Co., LLC, a Delaware limited liability company that is a disregarded entity for U.S. federal income tax purposes, APO (FC), LLC, an Anguilla limited liability company that is treated as a corporation for U.S. federal income tax purposes, APO (FC II), LLC, an Anguilla limited liability company that is treated as a corporation for U.S. federal income tax purposes and APO UK (FC), Limited, a United Kingdom incorporated company that is treated as a corporation for U.S. federal income tax purposes (collectively, the “Intermediate Holding Companies”), 46.3% of the economic interests of, and operated and controlled all of the businesses and affairs of, the Apollo Operating Group through its wholly-owned subsidiaries. AP Professional Holdings, L.P., a Cayman Islands exempted limited partnership (“Holdings”), is the entity through which the Managing Partners and certain of the Company’s other partners (the “Contributing Partners”) indirectly beneficially own interests in each of the partnerships that comprise the Apollo Operating Group (“AOG Units”). As of December 31, 2016 , Holdings owned the remaining 53.7% of the economic interests in the Apollo Operating Group. The Company consolidates the financial results of the Apollo Operating Group and its consolidated subsidiaries. Holdings’ ownership interest in the Apollo Operating Group is reflected as a Non-Controlling Interest in the accompanying consolidated financial statements. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying consolidated financial statements are prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The consolidated financial statements include the accounts of the Company, its wholly-owned or majority-owned subsidiaries, the consolidated entities which are considered to be variable interest entities (“VIEs”) and for which the Company is considered the primary beneficiary, and certain entities which are not considered VIEs but which the Company controls through a majority voting interest. Intercompany accounts and transactions, if any, have been eliminated upon consolidation. Certain reclassifications, when applicable, have been made to the prior period’s consolidated financial statements and notes to conform to the current period’s presentation and are disclosed accordingly. Principles of Consolidation —The types of entities with which Apollo is involved generally include subsidiaries (e.g., general partners and management companies related to the funds the Company manages), entities that have all the attributes of an investment company (e.g., funds) and securitization vehicles (e.g., collateralized loan obligations). Each of these entities is assessed for consolidation on a case by case basis depending on the specific facts and circumstances surrounding that entity. In February 2015, the Financial Accounting Standards Board (“FASB”) issued new consolidation guidance which changed the analysis that a reporting entity must perform to determine whether it should consolidate certain types of legal entities. During the second quarter of 2015, the Company elected to adopt this new guidance using the modified retrospective method, which resulted in an effective date of adoption of January 1, 2015. Restatement of prior period results is not required. Amounts presented for the year ended December 31, 2015 in the consolidated statements of operations reflect the adoption of this accounting guidance as of January 1, 2015. Pursuant to the consolidation guidance, the Company first evaluates whether it holds a variable interest in an entity. Fees that are customary and commensurate with the level of services provided, and where the Company does not hold other economic interests in the entity that would absorb more than an insignificant amount of the expected losses or returns of the entity, would not be considered a variable interest. Apollo factors in all economic interests including proportionate interests through related parties, to determine if such interests are considered a variable interest. As Apollo’s interests in many of these entities are solely through market rate performance fees and/or insignificant indirect interests through related parties, Apollo is not considered to have a variable interest in many of these entities under the new guidance and no further consolidation analysis is performed. For entities where the Company has determined that it does hold a variable interest, the Company performs an assessment to determine whether each of those entities qualify as a variable interest entity (“VIE”). The determination as to whether an entity qualifies as a VIE depends on the facts and circumstances surrounding each entity and therefore certain of Apollo’s funds may qualify as VIEs under the variable interest model whereas others may qualify as voting interest entities (“VOEs”) under the voting interest model. The granting of substantive kick-out rights is a key consideration in determining whether a limited partnership or similar entity is a VIE and whether or not that entity should be consolidated. Under the variable interest model, Apollo consolidates those entities where it is determined that the Company is the primary beneficiary of the entity. The Company is determined to be the primary beneficiary when it has a controlling financial interest in the VIE, which is defined as possessing both (i) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. When Apollo alone is not considered to have a controlling financial interest in the VIE but Apollo and its related parties under common control in the aggregate have a controlling financial interest in the VIE, Apollo will be deemed the primary beneficiary if it is the party that is most closely associated with the VIE. When Apollo and its related parties not under common control in the aggregate have a controlling financial interest in the VIE, Apollo would be deemed to be the primary beneficiary if substantially all the activities of the entity are performed on behalf of Apollo. Apollo determines whether it is the primary beneficiary of a VIE at the time it becomes initially involved with the VIE and reconsiders that conclusion continuously. Investments and redemptions (either by Apollo, related parties of Apollo or third parties) or amendments to the governing documents of the respective entity may affect an entity’s status as a VIE or the determination of the primary beneficiary. The assessment of whether an entity is a VIE and the determination of whether Apollo should consolidate such VIE requires judgment by our management. Those judgments include, but are not limited to: (i) determining whether the total equity investment at risk is sufficient to permit the entity to finance its activities without additional subordinated financial support, (ii) evaluating whether the holders of equity investment at risk, as a group, can make decisions that have a significant effect on the success of the entity, (iii) determining whether the equity investors have proportionate voting rights to their obligations to absorb losses or rights to receive the expected residual returns from an entity and (iv) evaluating the nature of the relationship and activities of those related parties with shared power or under common control for purposes of determining which party within the related-party group is most closely associated with the VIE. Judgments are also made in determining whether a member in the equity group has a controlling financial interest including power to direct activities that most significantly impact the VIE’s economic performance and rights to receive benefits or obligations to absorb losses that could be potentially significant to the VIE. This analysis considers all economic interests including proportionate interests through related parties. Assets and liabilities of the consolidated VIEs are primarily shown in separate sections within the consolidated statements of financial condition. For additional disclosures regarding VIEs, see note 5 . Under the voting interest model, Apollo consolidates those entities it controls through a majority voting interest. Apollo does not consolidate those VOEs in which substantive kick-out rights have been granted to the unrelated investors to either dissolve the fund or remove the general partner. Cash and Cash Equivalents — Apollo considers all highly liquid short-term investments with original maturities of 90 days or less when purchased to be cash equivalents. Substantially all amounts are on deposit in interest bearing accounts with major financial institutions and exceed insured limits. Restricted Cash— Restricted Cash represents cash deposited at a bank, which is pledged as collateral in connection with leased premises. Deferred Revenue —Apollo earns management fees subject to the Management Fee Offset (described below). When advisory and transaction fees are earned by the management company, the Management Fee Offset reduces the management fee obligation of the fund. When the management company receives cash for advisory and transaction fees, a certain percentage of such advisory and/or transaction fees, as applicable, is allocated as a credit to reduce future management fees, otherwise payable by such fund. Such credit is recorded as deferred revenue in the consolidated statements of financial condition. A portion of any excess advisory and transaction fees may be required to be returned to the limited partners of certain funds upon such fund’s liquidation. As the management fees earned by the management company are presented on a gross basis, any Management Fee Offsets calculated are presented as a reduction to advisory and transaction fees from related parties in the consolidated statements of operations. Additionally, Apollo earns advisory fees pursuant to the terms of the advisory agreements with certain of the portfolio companies that are owned by the funds. When Apollo receives a payment from a portfolio company that exceeds the advisory fees earned at that point in time, the excess payment is recorded as deferred revenue in the consolidated statements of financial condition. The advisory agreements with the portfolio companies vary in duration and the associated fees are received monthly, quarterly or annually. Deferred revenue is reversed and recognized as revenue over the period that the agreed upon services are performed. Under the terms of the funds’ partnership agreements, Apollo is normally required to bear organizational expenses over a set dollar amount and placement fees or costs in connection with the offering and sale of interests in the funds to investors. The placement fees are payable to placement agents, who are independent third parties that assist in identifying potential investors, securing commitments to invest from such potential investors, preparing or revising offering and marketing materials, developing strategies for attempting to secure investments by potential investors and/or providing feedback and insight regarding issues and concerns of potential investors, when a limited partner either commits or funds a commitment to a fund. In certain instances the placement fees are paid over a period of time. Based on the management agreements with the funds, Apollo considers placement fees and organizational costs paid in determining if cash has been received in excess of the management fees earned. Placement fees and organizational costs are normally the obligation of Apollo but can be paid for by the funds. When these costs are paid by the fund, the resulting obligations are included within deferred revenue. The deferred revenue balance will also be reduced during future periods when management fees are earned but not paid. Due from/to Related Parties— Apollo considers its existing partners, employees, certain former employees, portfolio companies of the funds and nonconsolidated private equity, credit and real estate funds to be related parties. Fair Value of Financial Instruments — GAAP establishes a hierarchical disclosure framework which prioritizes and ranks the level of market price observability used in measuring financial instruments at fair value. Market price observability is affected by a number of factors, including the type of financial instrument, the characteristics specific to the financial instrument and the state of the marketplace, including the existence and transparency of transactions between market participants. Financial instruments with readily available quoted prices in active markets generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. Financial instruments measured and reported at fair value are classified and disclosed based on the observability of inputs used in the determination of fair values, as follows: • Level I - Quoted prices are available in active markets for identical financial instruments as of the reporting date. The type of financial instruments included in Level I include listed equities and listed derivatives. As required by U.S. GAAP, the Company does not adjust the quoted price for these financial instruments, even in situations where the Company holds a large position and the sale of such position would likely deviate from the quoted price. • Level II - Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reporting date, and fair value is determined through the use of models or other valuation methodologies. Financial instruments that are generally included in this category include corporate bonds and loans, less liquid and restricted equity securities and certain over-the-counter derivatives where the fair value is based on observable inputs. These financial instruments exhibit higher levels of liquid market observability as compared to Level III financial instruments. The Company subjects broker quotes to various criteria in making the determination as to whether a particular financial instrument would qualify for treatment as a Level II financial instrument. These criteria include, but are not limited to, the number and quality of broker quotes, the standard deviation of obtained broker quotes, and the percentage deviation from independent pricing services. • Level III - Pricing inputs are unobservable for the financial instrument and includes situations where there is little observable market activity for the financial instrument. The inputs into the determination of fair value may require significant management judgment or estimation. Financial instruments that are included in this category generally include general and limited partner interests in corporate private equity and real estate funds, opportunistic credit funds, distressed debt and non-investment grade residual interests in securitizations and CDOs and CLOs where the fair value is based on observable inputs as well as unobservable inputs. When a security is valued based on broker quotes, the Company subjects those quotes to various criteria in making the determination as to whether a particular financial instrument would qualify for treatment as a Level II or Level III financial instrument. These criteria include, but are not limited to, the number and quality of the broker quotes, the standard deviations of the observed broker quotes, and the percentage deviation from independent pricing services. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, a financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the financial instrument when the fair value is based on unobservable inputs. In cases where a financial instrument that is measured and reported at fair value is transferred between levels of the fair value hierarchy, the Company accounts for the transfer as of the end of the reporting period. On a quarterly basis, Apollo utilizes valuation committees consisting of members from senior management, to review and approve the valuation results related to the investments of the funds it manages. For certain publicly traded vehicles, a review is performed by an independent board of directors. The Company also retains independent valuation firms to provide third-party valuation consulting services to Apollo, which consist of certain limited procedures that management identifies and requests them to perform. The limited procedures provided by the independent valuation firms assist management with validating their valuation results or determining fair value. The Company performs various back-testing procedures to validate their valuation approaches, including comparisons between expected and observed outcomes, forecast evaluations and variance analyses. However, because of the inherent uncertainty of valuation, those estimated values may differ significantly from the values that would have been used had a ready market for the investments existed, and the differences could be material. Investments, at Fair Value —The Company follows U.S. GAAP attributable to fair value measurements which, among other things, requires enhanced disclosures about investments that are measured and reported at fair value. Investments, at fair value represent investments of the consolidated funds, investments of the consolidated VIEs and certain financial instruments for which the fair value option has been elected. The unrealized gains and losses resulting from changes in the fair value are reflected as net gains (losses) from investment activities and net gains (losses) from investment activities of the consolidated VIEs in the consolidated statements of operations. Derivatives —The Company records derivatives as assets or liabilities on its consolidated statements of financial condition at fair value. On the date the Company enters into a derivative contract, it designates and documents the derivative contract as one of the following: (a) a hedge of a recognized asset or liability (“fair value hedge”), (b) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”), (c) a hedge of a net investment in a foreign operation (“net investment hedge”) or (d) a derivative instrument not designated as a hedging instrument (“freestanding derivative”). The Company did not have any freestanding derivatives, fair value hedges or cash flow hedges as of December 31, 2016 or December 31, 2015 . For net investment hedges, the Company records changes in the fair value of the derivative in the cumulative translation adjustment section of other comprehensive income to the extent it is effective as a hedge. The fair values of the derivative instruments are reflected in other assets and other liabilities on the consolidated statements of financial condition. The Company formally documents at inception its hedge relationships, including identification of the hedging instruments and the hedged items, the Company’s risk management objectives, its strategy for undertaking the hedge transaction and the method for evaluating effectiveness of its hedged transactions. At least quarterly, the Company also formally assesses whether the derivatives it designated in each hedging relationship are expected to be, and have been, highly effective in offsetting changes in estimated fair values of the hedged items. The ineffective portion of a net investment hedge, if any, is recognized in current period earnings. The Company has elected to not offset derivative assets and liabilities or financial assets in its consolidated statements of financial condition, even when an enforceable master netting agreement is in place that provides the Company the right to offset derivative assets and liabilities in the same currency by specific derivative type or, in the event of default by the counterparty, to offset derivative assets and liabilities with the same counterparty. Equity Method Investments —For investments in entities over which the Company exercises significant influence but which do not meet the requirements for consolidation and for which the Company has not elected the fair value option, the Company uses the equity method of accounting, whereby the Company records its share of the underlying income or loss of such entities. The carrying amounts of equity method investments are recorded in investments in the consolidated statements of financial condition. As the underlying entities that the Company manages and invests in are, for U.S. GAAP purposes, primarily investment companies which reflect their investments at estimated fair value, the carrying value of the Company’s equity method investments in such entities approximates fair value. Private Equity Investments The value of liquid investments in Apollo’s private equity funds, where the primary market is an exchange (whether foreign or domestic) is determined using period end market prices. Such prices are generally based on the close price on the date of determination. Valuation approaches used to estimate the fair value of investments in Apollo’s private equity funds that are less liquid include the market approach and the income approach. The market approach provides an indication of fair value based on a comparison of the subject company to comparable publicly traded companies and transactions in the industry. The market approach is driven more by current market conditions, including actual trading levels of similar companies and, to the extent available, actual transaction data of similar companies. Judgment is required by management when assessing which companies are similar to the subject company being valued. Consideration may also be given to such factors as the Company’s historical and projected financial data, valuations given to comparable companies, the size and scope of the Company’s operations, the Company’s strengths, weaknesses, expectations relating to the market’s receptivity to an offering of the Company’s securities, applicable restrictions on transfer, industry and market information and assumptions, general economic and market conditions and other factors deemed relevant. The income approach provides an indication of fair value based on the present value of cash flows that a business or security is expected to generate in the future. The most widely used methodology in the income approach is a discounted cash flow method. Inherent in the discounted cash flow method are assumptions of expected results, the determination of a terminal value and a calculated discount rate. Credit Investments The majority of investments in Apollo’s credit funds are valued based on quoted market prices and valuation models. Quoted market prices are valued based on the average of the “bid” and the “ask” quotes provided by multiple brokers wherever possible without any adjustments. Apollo will designate certain brokers to use to value specific securities. In order to determine the designated brokers, Apollo considers the following: (i) brokers with which Apollo has previously transacted, (ii) the underwriter of the security and (iii) active brokers indicating executable quotes. In addition, when valuing a security based on broker quotes wherever possible Apollo tests the standard deviation amongst the quotes received and the variance between the concluded fair value and the value provided by a pricing service. When broker quotes are not available Apollo considers the use of pricing service quotes or other sources to mark a position. When relying on a pricing service as a primary source, Apollo (i) analyzes how the price has moved over the measurement period, (ii) reviews the number of brokers included in the pricing service’s population and (iii) validates the valuation levels with Apollo’s pricing team and traders. Debt and equity securities that are not publicly traded or whose market prices are not readily available are valued at fair value utilizing a model based approach to determine fair value. Valuation approaches used to estimate the fair value of illiquid credit investments also may include the market approach and the income approach, as previously described above. The valuation approaches used consider, as applicable, market risks, credit risks, counterparty risks and foreign currency risks. Real Estate Investments The estimated fair value of commercial mortgage-backed securities (“CMBS”) in Apollo’s real estate funds is determined by reference to market prices provided by certain dealers who make a market in these financial instruments. Broker quotes are only indicative of fair value and may not necessarily represent what the funds would receive in an actual trade for the applicable instrument. Additionally, the loans held-for-investment are stated at the principal amount outstanding, net of deferred loan fees and costs for certain investments. The loans in Apollo’s real estate funds are evaluated for possible impairment on a quarterly basis. For Apollo’s real estate funds, valuations of non-marketable underlying investments are determined using methods that include, but are not limited to (i) discounted cash flow estimates or comparable analysis prepared internally, (ii) third party appraisals or valuations by qualified real estate appraisers and (iii) contractual sales value of investments/properties subject to bona fide purchase contracts. Methods (i) and (ii) also incorporate consideration of the use of the income, cost, or sales comparison approaches of estimating property values. Certain of the private equity, credit, and real estate funds may also enter into foreign currency exchange contracts, total return swap contracts, credit default swap contracts, and other derivative contracts, which may include options, caps, collars and floors. Foreign currency exchange contracts are marked-to-market by recognizing the difference between the contract exchange rate and the current market rate as unrealized appreciation or depreciation. If securities are held at the end of this period, the changes in value are recorded in income as unrealized. Realized gains or losses are recognized when contracts are settled. Total return swap and credit default swap contracts are recorded at fair value as an asset or liability with changes in fair value recorded as unrealized appreciation or depreciation. Realized gains or losses are recognized at the termination of the contract based on the difference between the close-out price of the total return or credit default swap contract and the original contract price. Forward contracts are valued based on market rates obtained from counterparties or prices obtained from recognized financial data service providers. Fair Value of Financial Instruments The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions. Except for the Company’s debt obligations (as described in note 11 ), Apollo’s financial instruments are recorded at fair value or at amounts whose carrying values approximate fair value. See “Investments, at Fair Value” above. While Apollo’s valuations of portfolio investments are based on assumptions that Apollo believes are reasonable under the circumstances, the actual realized gains or losses will depend on, among other factors, future operating results, the value of the assets and market conditions at the time of disposition, any related transaction costs and the timing and manner of sale, all of which may ultimately differ significantly from the assumptions on which the valuations were based. Financial instruments’ carrying values generally approximate fair value because of the short-term nature of those instruments or variable interest rates related to the borrowings. Fair Value Option —Apollo has elected the fair value option for the Company’s investment in Athene Holding, the assets and liabilities of certain consolidated VIEs (including CLOs) and the Company’s investments in certain CLOs. Such election is irrevocable and is applied to financial instruments on an individual basis at initial recognition. Apollo has applied the fair value option for certain corporate loans, other investments and debt obligations held by the consolidated VIEs that otherwise would not have been carried at fair value. See notes 4 , 5 , and 6 for further disclosure on the investments in Athene Holding and financial instruments of the consolidated VIEs for which the fair value option has been elected. Financial Instruments held by Consolidated VIEs During the second quarter of 2015, the Company adopted the measurement alternative included in the collateralized financing entity (“CFE”) guidance using a modified retrospective approach by recording a cumulative-effect adjustment to shareholders’ equity as of January 1, 2015. Restatement of prior period results was not required. Amounts presented for the year ended December 31, 2015 in the consolidated statements of operations reflect the adoption of this accounting guidance as of January 1, 2015. The Company measures both the financial assets and financial liabilities of the consolidated CLOs in its consolidated financial statements using the fair value of the financial assets of the consolidated CLOs, which are more observable than the fair value of the financial liabilities of the consolidated CLOs. As a result, the financial assets of the consolidated CLOs are measured at fair value and the financial liabilities are measured in consolidation as: (i) the sum of the fair value of the financial assets and the carrying value of any non-financial assets that are incidental to the operations of the CLOs less (ii) the sum of the fair value of any beneficial interests retained by the reporting entity (other than those that represent compensation for services) and the Company’s carrying value of any beneficial interests that represent compensation for services. The resulting amount is allocated to the individual financial liabilities (other than the beneficial interest retained by the Company) using a reasonable and consistent methodology. Under the measurement alternative, the Company’s consolidated net income reflects the Company’s own economic interests in the consolidated CLOs including (i) changes in the fair value of the beneficial interests retained by the Company and (ii) beneficial interests that represent compensation for collateral management services. The consolidated VIEs hold investments that could be traded over-the-counter. Investments in securities that are traded on a securities exchange or comparable over-the-counter quotation systems are valued based on the last reported sale price at that date. If no sales of such investments are reported on such date, and in the case of over-the-counter securities or other investments for which the last sale date is not available, valuations are based on independent market quotations obtained from market participants, recognized pricing services or other sources deemed relevant, and the prices are based on the average of the “bid” and “ask” prices, or at ascertainable prices at the close of business on such day. Market quotations are generally based on valuation pricing models or market transactions of similar securities adjusted for security-specific factors such as relative capital structure priority and interest and yield risks, among other factors. When market quotations are not available, a model based approach is used to determine fair value. As previously noted, the Company measures the debt obligations of the consolidated CLOs on the basis of the fair value of the financial assets of the consolidated CLOs. Pending Deal Costs Pending deal costs consist of certain costs incurred (e.g. research costs, due diligence costs, professional fees, legal fees and other related items) related to private equity, credit and real estate fund transactions that the Company is pursuing but which have not yet been consummated. These costs are deferred until such transactions are broken or successfully completed. A transaction is determined to be broken upon management’s decision to no longer pursue the transaction. In accordance with the related fund agreements, in the event the deal is broken, all of the costs are generally reimbursed by the funds and considered in the calculation of the Management Fee Offset. These offsets are included in advisory and transaction fees from related parties, net in the Company’s consolidated statements of operations. If a deal is successfully completed, Apollo is reimbursed by the fund or a fund’s portfolio company for all costs incurred. Fixed Assets Fixed Assets consist primarily of leasehold improvements, furniture, fixtures and equipment, computer hardware and software and are recorded at cost, net of accumulated depreciation and amortization. Depreciation and amortization is calculated using the straight-line method over the assets’ estimated useful lives and in the case of leasehold improvements the lesser of the useful life or the term of the lease. Expenditures for repairs and maintenance are charged to expense when incurred. The Company evaluates long-lived assets for impairment periodically and whenever events or changes in circumstances indicate the carrying amounts of the assets may be impaired. Business Combinations The Company accounts for business combinations using the acquisition method of accounting, under which the purchase price of the acquisition is allocated to |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND INTANGIBLE ASSETS | GOODWILL AND INTANGIBLE ASSETS On May 5, 2015, the Company acquired 100% of the assets and liabilities of Venator Real Estate Capital Partners (Hong Kong) Limited and its wholly-owned subsidiary, Venator Investment Management Consulting (Shanghai) Limited (together referred to as “Venator”), in exchange for restricted shares of Apollo Global Management, LLC. The acquisition provided the Company’s real estate segment with additional real estate investment management and related service capabilities in Asia. The transaction was accounted for as a business combination. Identifiable assets with a combined fair value of $3.0 million were acquired and liabilities with a combined fair value of $2.1 million were assumed, resulting in a bargain purchase gain of $0.9 million as of the acquisition date, which was recorded in other income, net in the consolidated statement of operations. The carrying value of goodwill was $88.9 million as of both December 31, 2016 and 2015 . Goodwill primarily relates to the 2007 Reorganization and the Company’s acquisition of Stone Tower Capital LLC and its related management companies (“Stone Tower”). As of both December 31, 2016 and 2015 , there was $23.1 million , $64.8 million and 1.0 million of goodwill related to private equity, credit and real estate segments, respectively. Intangible assets, net consists of the following: As of December 31, 2016 2015 Finite-lived intangible assets/management contracts $ 246,060 $ 242,863 Accumulated amortization (223,339 ) (214,243 ) Intangible assets, net $ 22,721 $ 28,620 The changes in intangible assets, net consist of the following: For the Year Ended December 31, 2016 2015 2014 Balance, beginning of year $ 28,620 $ 60,039 $ 94,927 Amortization expense (9,095 ) (33,998 ) (34,888 ) Acquisitions / additions 3,196 2,579 — Balance, end of year $ 22,721 (1) $ 28,620 (1) $ 60,039 (1) Includes $1.0 million of indefinite-lived intangible assets as of both December 31, 2016 and 2015 . Expected amortization of these intangible assets for each of the next 5 years and thereafter is as follows: 2017 2018 2019 2020 2021 Thereafter Total Amortization of intangible assets $ 6,106 $ 4,486 $ 4,194 $ 3,677 $ 2,250 $ 1,048 $ 21,761 There was no impairment of indefinite-lived intangible assets as of December 31, 2016 . |
INVESTMENTS
INVESTMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
INVESTMENTS | INVESTMENTS The following table represents Apollo’s investments: As of As of Investments, at fair value $ 708,080 $ 539,080 Equity method investments 786,664 615,669 Total Investments $ 1,494,744 $ 1,154,749 Investments, at Fair Value Investments, at fair value, consist of investments for which the fair value option has been elected and include the Company’s investment in Athene Holding, investments held by the Company’s consolidated funds, investments in debt of unconsolidated CLOs, and other investments held by the Company. See note 6 for further discussion regarding investments, at fair value. Net Gains from Investment Activities The following table presents the realized and net change in unrealized gains on investments, at fair value for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Realized gains (losses) on sales of investments $ 400 $ 889 $ (12,651 ) Net change in unrealized gains due to changes in fair value 139,321 (1) 120,834 (1) 225,894 Net gains from investment activities $ 139,721 $ 121,723 $ 213,243 (1) Primarily relates to the Company’s investment in Athene Holding. See note 6 for further information regarding the Company’s investment in Athene Holding. Equity Method Investments Apollo’s equity method investments include its investments in Apollo private equity, credit and real estate funds, which are not consolidated, but in which the Company exerts significant influence. Apollo’s share of net income generated by these investments is recorded within income from equity method investments in the consolidated statements of operations. Equity method investments, excluding those for which the fair value option was elected, as of December 31, 2016 and December 31, 2015 consisted of the following: Equity Held as of December 31, 2016 (5) December 31, 2015 (5) Private Equity (1)(2) $ 428,581 $ 273,074 Credit (1)(3) 327,012 313,116 Real Estate 31,071 29,479 Total equity method investments (4) $ 786,664 $ 615,669 (1) As of December 31, 2016 , equity method investments include Fund VIII (Private Equity) and MidCap (Credit) of $260.9 million and $79.5 million , respectively, representing an ownership percentage of 2.2% and 4.3% , respectively. As of December 31, 2015 , equity method investments include Fund VIII (Private Equity) and MidCap (Credit) of $116.4 million and $79.3 million , respectively, representing an ownership percentage of 2.2% and 4.9% , respectively. (2) The equity method investment in AP Alternative Assets, L.P. (“AAA”) was $66.8 million and $66.0 million as of December 31, 2016 and 2015, respectively. The value of the Company’s investment in AAA was $64.9 million and $57.2 million based on the quoted market price as of December 31, 2016 and 2015, respectively. (3) The equity method investment in AINV was $58.6 million and $61.9 million as of December 31, 2016 and 2015, respectively. The value of the Company’s investment in AINV was $52.1 million and $41.8 million based on the quoted market price as of December 31, 2016 and 2015, respectively. (4) Certain funds invest across multiple segments. The presentation in the table above is based on the classification of the majority of such funds’ investments. (5) Some amounts are included a quarter in arrears. The Company’s equity investment in Athene Holding, for which the fair value option was elected, met the significance criteria as defined by the SEC on an aggregate basis as of December 31, 2016 and for the year ended December 31, 2016 . As such, the following tables present summarized financial information of Athene Holding as of December 31, 2016 and for the years ended December 31, 2016 , 2015 and 2014 . As of December 31, 2016 (1) 2015 (in millions) Statements of Financial Condition Investments $ 71,223 $ 62,703 Assets 87,000 80,854 Liabilities 79,926 75,491 Equity 7,074 5,363 (1) The financial statement information for the year ended December 31, 2016 is presented a quarter in arrears and is comprised of the financial information as of September 30, 2016 , which represents the latest available financial information as of the date of this report. For the Years Ended December 31, 2016 (1) 2015 2014 (in millions) Statements of Operations Revenues $ 4,090 $ 2,616 $ 4,100 Expenses 3,503 2,024 3,568 Income before income tax provision 587 592 532 Income tax provision (benefit) (92 ) 14 54 Net income 679 578 478 Net income attributable to Non-Controlling Interests — (16 ) (15 ) Net income available to Athene common shareholders $ 679 $ 562 $ 463 (1) The financial statement information for the year ended December 31, 2016 is presented a quarter in arrears and is comprised of the financial information for the twelve months ended September 30, 2016 , which represents the latest available financial information as of the date of this report. The tables below present summarized aggregate financial information of the Company’s equity method investments in aggregate, as of December 31, 2016 and 2015 , and for the years ended December 31, 2016 , 2015 and 2014 . Private Equity Credit Real Estate Aggregate Totals As of As of As of As of Statement of Financial Condition 2016 (1) 2015 (1) 2016 (1) 2015 (1) 2016 (1) 2015 (1) 2016 (1) 2015 (1) Investments $ 27,084,486 $ 17,080,292 $ 19,085,779 $ 18,830,120 $ 3,512,344 $ 3,188,822 $ 49,682,609 $ 39,099,234 Assets 27,832,718 17,970,417 21,077,051 21,255,463 3,966,337 3,484,842 52,876,106 42,710,722 Liabilities 45,583 37,416 4,327,790 7,646,492 1,516,103 1,287,051 5,889,476 8,970,959 Equity 27,787,135 17,933,001 16,749,261 13,608,971 2,450,234 2,197,791 46,986,630 33,739,763 Private Equity Credit Real Estate Aggregate Totals For the Years Ended For the Years Ended For the Years Ended For the Years Ended Statement of Operations 2016 (1) 2015 (1) 2014 (1) 2016 (1) 2015 (1) 2014 (1) 2016 (1) 2015 (1) 2014 (1) 2016 (1) 2015 (1) 2014 (1) Revenues/Investment Income $ 235,231 $ 408,971 $ 340,380 $ 1,384,414 $ 1,352,017 $ 1,954,270 $ 215,738 $ 120,340 $ 89,579 $ 1,835,383 $ 1,881,328 $ 2,384,229 Expenses 298,705 306,044 326,126 483,335 464,610 417,967 66,869 35,340 29,022 848,909 805,994 773,115 Net Investment Income (63,474 ) 102,927 14,254 901,079 887,407 1,536,303 148,869 85,000 60,557 986,474 1,075,334 1,611,114 Net Realized and Unrealized Gain (Loss) 2,999,627 20,757 1,300,343 1,033,550 (1,643,758 ) (548,088 ) 21,193 (1,699 ) 62,516 4,054,370 (1,624,700 ) 814,771 Net Income $ 2,936,153 $ 123,684 $ 1,314,597 $ 1,934,629 $ (756,351 ) $ 988,215 $ 170,062 $ 83,301 $ 123,073 $ 5,040,844 $ (549,366 ) $ 2,425,885 (1) Certain private equity, credit and real estate fund amounts are as of and for the twelve months ended September 30, 2016 , 2015 and 2014 . |
VARIABLE INTEREST ENTITIES
VARIABLE INTEREST ENTITIES | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VARIABLE INTEREST ENTITIES | VARIABLE INTEREST ENTITIES As described in note 2 , the Company consolidates entities that are VIEs for which the Company has been designated as the primary beneficiary. There is no recourse to the Company for the consolidated VIEs’ liabilities. Consolidated Variable Interest Entities Apollo has consolidated VIEs in accordance with the policy described in note 2 . Through its role as investment manager of these VIEs, the Company determined that Apollo has the power to direct the activities that most significantly impact the economic performance of these VIEs. Additionally, Apollo determined that its interests, both directly and indirectly from these VIEs, represent rights to returns that could potentially be significant to such VIEs. As a result, Apollo determined that it is the primary beneficiary and therefore should consolidate the VIEs. Consolidated CLOs Certain CLOs are consolidated by Apollo as the Company is considered to hold a controlling financial interest through direct and indirect interests in these CLOs exclusive of management and performance based fees received. Through its role as collateral manager of these VIEs, the Company determined that Apollo has the power to direct the activities that most significantly impact the economic performance of these VIEs. These CLOs were formed for the sole purpose of issuing collateralized notes to investors. The assets of these VIEs are primarily comprised of senior secured loans and the liabilities are primarily comprised of debt. The assets of these consolidated CLOs are not available to creditors of the Company. In addition, the investors in these consolidated CLOs have no recourse against the assets of the Company. The Company measures both the financial assets and the financial liabilities of the CLOs using the fair value of the financial assets as further described in note 2 . The Company has elected the fair value option for financial instruments held by its consolidated CLOs, which includes investments in loans and corporate bonds, as well as debt obligations and contingent obligations held by such consolidated CLOs. Other assets include amounts due from brokers and interest receivables. Other liabilities include payables for securities purchased, which represent open trades within the consolidated VIEs and primarily relate to corporate loans that are expected to settle within the next 60 days . From time to time, Apollo makes investments in certain consolidated CLOs denominated in foreign currencies. As of December 31, 2016 and December 31, 2015 , the Company held an investment of $41.3 million and $42.3 million , respectively, in consolidated foreign currency denominated CLOs, which eliminates in consolidation. Net Gains from Investment Activities of Consolidated Variable Interest Entities The following table presents net gains from investment activities of the consolidated VIEs for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 (1) 2015 (1) 2014 (1) Net gains (losses) from investment activities $ 10,334 $ 15,787 $ (238,534 ) Net gains (losses) from debt (11,921 ) 3,057 102,554 Interest and other income 41,791 37,404 666,486 Interest and other expenses (35,189 ) (37,198 ) (507,942 ) Net gains from investment activities of consolidated variable interest entities $ 5,015 $ 19,050 $ 22,564 (1) Amounts reflect consolidation eliminations. Senior Secured Notes and Subordinated Note s—Included within debt are amounts due to third-party institutions by the consolidated VIEs. The following table summarizes the principal provisions of the debt of the consolidated VIEs as of December 31, 2016 and December 31, 2015 : As of December 31, 2016 As of December 31, 2015 Principal Outstanding Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Principal Outstanding Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Senior Secured Notes (2)(3) $ 704,976 1.83 % 12.3 $ 735,792 2.17 % 12.1 Subordinated Notes (2)(3) 87,794 N/A (1) 19.2 82,365 N/A 15.1 Total $ 792,770 $ 818,157 (1) The subordinated notes do not have contractual interest rates but instead receive distributions from the excess cash flows of the VIEs. (2) The fair value of Senior Secured Notes and Subordinated Notes as of December 31, 2016 and December 31, 2015 was $786.5 million and $801.3 million , respectively. (3) The debt at fair value of the consolidated VIEs is collateralized by assets of the consolidated VIEs and assets of one vehicle may not be used to satisfy the liabilities of another vehicle. As of December 31, 2016 and December 31, 2015 , the fair value of the consolidated VIE assets was $1,001.8 million and $1,030.8 million , respectively. This collateral consisted of cash and cash equivalents, investments, at fair value, and other assets. The consolidated VIEs’ debt obligations contain various customary loan covenants. As of December 31, 2016 , the Company was not aware of any instances of non-compliance with any of these covenants. As of December 31, 2016 , the table below presents the contractual maturities for debt of the consolidated VIEs: 2017 2018 2019 2020 2021 Thereafter Total Senior Secured Notes $ — $ — $ — $ — $ — $ 704,976 $ 704,976 Subordinated Notes — — — — — 87,794 87,794 Total Obligations as of December 31, 2016 $ — $ — $ — $ — $ — $ 792,770 $ 792,770 Variable Interest Entities Which are Not Consolidated The Company holds variable interests in certain VIEs which are not consolidated, as it has been determined that Apollo is not the primary beneficiary. The following tables present the carrying amounts of the assets and liabilities of the VIEs for which Apollo has concluded that it holds a significant variable interest, but that it is not the primary beneficiary as of December 31, 2016 and December 31, 2015 . In addition, the tables present the maximum exposure to losses relating to these VIEs. As of December 31, 2016 Total Assets Total Liabilities Apollo Exposure Total $ 7,523,335 (1) $ 2,818,459 (2) $ 272,191 (3) (1) Consists of $231.9 million in cash, $7,253.9 million in investments and $37.5 million in receivables. (2) Represents $2,818.5 million in debt and other payables. (3) Represents Apollo’s direct investment in those entities in which Apollo holds a significant variable interest and certain other investments. Additionally, cumulative carried interest income is subject to reversal in the event of future losses. The maximum amount of future reversal of carried interest income from all of Apollo’s funds, including those entities in which Apollo holds a significant variable interest, was $2.9 billion as of December 31, 2016 , as discussed in note 15 . As of December 31, 2015 Total Assets Total Liabilities Apollo Exposure Total $ 5,378,456 (1) $ 1,626,743 (2) $ 202,146 (3) (1) Consists of $219.8 million in cash, $5,149.0 million in investments and $9.6 million in receivables. (2) Represents $1,626.7 million in debt and other payables. (3) Represents Apollo’s direct investment in those entities in which Apollo holds a significant variable interest. Additionally, cumulative carried interest income is subject to reversal in the event of future losses. The maximum amount of future reversal of carried interest income from all of Apollo’s funds, including those entities in which Apollo holds a significant variable interest, was $2.4 billion as of December 31, 2015 . |
FAIR VALUE MEASUREMENTS OF FINA
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS | FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS The following tables summarize the valuation of the Company’s financial assets and liabilities for which the fair value option has been elected by the fair value hierarchy as of December 31, 2016 and December 31, 2015 : As of December 31, 2016 Level I (1) Level II (1) Level III Total Cost of Investments, at Fair Value Assets Investments, at fair value: Investments of consolidated Apollo funds $ 3,336 $ 1,475 $ 567 $ 5,378 $ 5,463 Other investments — — 45,154 45,154 47,690 Investment in Athene Holding (2) — 657,548 — 657,548 387,526 Total investments, at fair value 3,336 659,023 45,721 708,080 (7) $ 440,679 Investments of VIEs, at fair value (3) — 816,167 92,474 908,641 Investments of VIEs, valued using NAV (4) — — — 5,186 Total investments of VIEs, at fair value — 816,167 92,474 913,827 Derivative assets — 1,360 — 1,360 Total Assets $ 3,336 $ 1,476,550 $ 138,195 $ 1,623,267 Liabilities Liabilities of VIEs, at fair value (3)(5) $ — $ 786,545 $ 11,055 $ 797,600 Contingent consideration obligations (6) — — 106,282 106,282 Derivative liabilities — 1,167 — 1,167 Total Liabilities $ — $ 787,712 $ 117,337 $ 905,049 As of December 31, 2015 Level I (1) Level II (1) Level III Total Cost of Investments, Assets Investments, at fair value: Investments of consolidated Apollo funds $ — $ 26,913 $ 1,634 $ 28,547 $ 29,344 Other investments — — 434 434 831 Investment in Athene Holding (2) — — 510,099 510,099 387,526 Total investments, at fair value — 26,913 512,167 539,080 (7) $ 417,701 Investments of VIEs, at fair value (3)(4) — 803,412 100,941 904,353 Investments of VIEs, valued using NAV (4) — — — 6,213 Total investments of VIEs, at fair value — 803,412 100,941 910,566 Total Assets $ — $ 830,325 $ 613,108 $ 1,449,646 Liabilities Liabilities of VIEs, at fair value (3)(5) $ — $ 801,270 $ 11,411 $ 812,681 Contingent consideration obligations (6) — — 79,579 79,579 Total Liabilities $ — $ 801,270 $ 90,990 $ 892,260 (1) All Level I and Level II assets and liabilities were valued using third party pricing, with the exception of the investment in Athene Holding. (2) See note 14 for further disclosure regarding the investment in Athene Holding. (3) See note 5 for further disclosure regarding VIEs. (4) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. As such, prior periods have been recast to conform with the current period presentation. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy disclosure to the amounts presented in the consolidated statement of financial condition. See note 2 for further discussion of recent accounting pronouncements. (5) As of December 31, 2016 , liabilities of VIEs, at fair value included debt and other liabilities of $786.5 million and $11.1 million , respectively. As of December 31, 2015 , liabilities of VIEs, at fair value included debt and other liabilities of $801.3 million and $11.4 million , respectively. Other liabilities include contingent obligations classified as Level III. (6) See note 15 for further disclosure regarding contingent consideration obligations. (7) See note 4 to our consolidated financial statements for further detail regarding our investments at fair value and reconciliation to the consolidated statements of financial condition. There were no transfers of financial assets or liabilities between Level I and Level II for the years ended December 31, 2016 and 2015 . The following tables summarize the changes in fair value in financial assets measured at fair value for which Level III inputs have been used to determine fair value for the years ended December 31, 2016 and 2015 : For the Year Ended December 31, 2016 Investments of Consolidated Apollo Funds Other Investments Investment in Athene Holding Investments of Consolidated VIEs Total Balance, Beginning of Period (1) $ 1,634 $ 434 $ 510,099 $ 100,941 $ 613,108 Purchases 1,430 46,880 8,937 (4) 74,043 131,290 Sale of investments/Distributions (1,630 ) — — (68,653 ) (70,283 ) Net realized gains (losses) (77 ) — — 3,086 3,009 Changes in net unrealized gains (losses) 230 1 138,512 (2,842 ) 135,901 Cumulative translation adjustment — (2,161 ) — (2,691 ) (4,852 ) Transfer into Level III (2) 1,496 — — 30,173 31,669 Transfer out of Level III (2)(3) (2,516 ) — (657,548 ) (41,583 ) (701,647 ) Balance, End of Period $ 567 $ 45,154 $ — $ 92,474 $ 138,195 Change in net unrealized gains included in net gains from investment activities related to investments still held at reporting date $ 55 $ 1 $ — $ — $ 56 Change in net unrealized gains included in net gains from investment activities of consolidated VIEs related to investments still held at reporting date — — — 30 30 (1) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. See note 2 for further discussion of recent accounting pronouncements. (2) Transfers between Level II and III, with the exception of the investment in Athene Holding, were a result of subjecting the broker quotes on these financial assets to various criteria which include the number and quality of broker quotes, the standard deviation of obtained broker quotes and the percentage deviation from independent pricing services. (3) The investment in the Athene Holding was transferred from Level III to Level II at December 31, 2016, as the Company changed the valuation method used to value the investment in Athene Holding from the GAAP book value multiple approach to the use of Athene’s closing market price, adjusted for a discount due to a lack of marketability (“DLOM”). (4) Represents a AAA distribution in kind in the form of shares of Athene Holding. For the Year Ended December 31, 2015 Investments of Consolidated Apollo Funds Other Investments Investment in Athene Holding AAA/Athene Receivable Investment in RCAP (3) Investments of Consolidated VIEs Total Balance, Beginning of Period (1) $ 4,359 $ 600 $ 324,514 $ 61,292 $ — $ 2,522,913 $ 2,913,678 Adoption of accounting guidance — — — — — (2,407,923 ) (2,407,923 ) Fees — — — 1,942 — — 1,942 Purchases 5,913 272 — — 25,000 44,116 75,301 Sale of investments/Distributions (6,996 ) (115 ) — — (25,667 ) (34,548 ) (67,326 ) Net realized gains 48 — — — 667 3,178 3,893 Changes in net unrealized gains (losses) (263 ) (323 ) 122,351 — — 11,396 133,161 Cumulative translation adjustment — — — — — (12,111 ) (12,111 ) Transfer into Level III (2) 5,439 — — — — 59,316 64,755 Transfer out of Level III (2) (6,866 ) — — — — (85,396 ) (92,262 ) Settlement of receivable — — 63,234 (63,234 ) — — — Balance, End of Period (1) $ 1,634 $ 434 $ 510,099 $ — $ — $ 100,941 $ 613,108 Change in net unrealized gains (losses) included in net gains from investment activities related to investments still held at reporting date $ (677 ) $ (323 ) $ 122,351 $ — $ — $ — $ 121,351 Change in net unrealized gains included in net gains from investment activities of consolidated VIEs related to investments still held at reporting date — — — — — 11,543 11,543 (1) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. As such, prior periods have been recast to conform with the current period presentation. See note 2 for further discussion of recent accounting pronouncements. (2) Transfers between Level II and III were a result of subjecting the broker quotes on these financial assets to various criteria which include the number and quality of broker quotes, the standard deviation of obtained broker quotes and the percentage deviation from independent pricing services. (3) Represents Apollo’s investment in preferred stock of RCS Capital Corporation (“RCAP”), which was sold in November 2015. The following table summarizes the changes in fair value in financial liabilities measured at fair value for which Level III inputs have been used to determine fair value for the years ended December 31, 2016 and 2015 : For the Years Ended December 31, 2016 2015 Liabilities of Consolidated VIEs Contingent Consideration Obligations Total Liabilities of Consolidated VIEs Contingent Consideration Obligations Total Balance, Beginning of Period $ 11,411 $ 79,579 $ 90,990 $ 12,343,021 $ 96,126 $ 12,439,147 Adoption of accounting guidance — — — (11,433,815 ) — (11,433,815 ) Payments/Extinguishment — (13,721 ) (13,721 ) — (15,743 ) (15,743 ) Changes in net unrealized (gains) losses (1) (356 ) 40,424 40,068 (8,244 ) (804 ) (9,048 ) Cumulative translation adjustment — — — (92,593 ) — (92,593 ) Transfers out of Level III — — — (796,958 ) — (796,958 ) Balance, End of Period $ 11,055 $ 106,282 $ 117,337 $ 11,411 $ 79,579 $ 90,990 Change in net unrealized gains included in net gains from investment activities of consolidated VIEs related to liabilities still held at reporting date $ (356 ) $ — $ (356 ) $ — $ — $ — (1) Changes in fair value of contingent consideration obligations are recorded in profit sharing expense in the consolidated statements of operations. The following tables summarize the quantitative inputs and assumptions used for financial assets and liabilities categorized as Level III under the fair value hierarchy as of December 31, 2016 and December 31, 2015 : As of December 31, 2016 Fair Value Valuation Techniques Unobservable Inputs Ranges Weighted Average Financial Assets Investments of consolidated Apollo funds $ 567 Third party pricing (1) N/A N/A N/A Investments in other 45,154 Third party pricing (1) N/A N/A N/A Investments of consolidated VIEs: Bank debt term loans 4,701 Third party pricing (1) N/A N/A N/A Corporate loans/bonds/CLO notes 15,496 Third party pricing (1) N/A N/A N/A Equity securities 72,277 Transaction N/A N/A N/A Total investments of consolidated VIEs 92,474 Total Financial Assets $ 138,195 Financial Liabilities Liabilities of consolidated VIEs: Contingent obligation $ 11,055 Other N/A N/A N/A Contingent consideration obligation 106,282 Discounted cash flow Discount rate 13.0% - 17.3% 17.2% Total Financial Liabilities $ 117,337 (1) These securities are valued primarily using unadjusted broker quotes. As of December 31, 2015 Fair Value Valuation Techniques Unobservable Inputs Ranges Weighted Average Financial Assets Investments of consolidated Apollo funds $ 1,634 Third party pricing (1) N/A N/A N/A Investments in other 434 Other N/A N/A N/A Investment in Athene Holding 510,099 Book value multiple Book value multiple 1.18x 1.18x Investments of consolidated VIEs: Bank debt term loans 15,776 Third party pricing (1) N/A N/A N/A Corporate loans/bonds/CLO notes 22,409 Third party pricing (1) N/A N/A N/A Equity securities 62,756 Market comparable companies Comparable multiples 0.60x 0.60x Discounted cash flow Discount rate 14.6% 14.6% Total investments of consolidated VIEs (2) 100,941 Total Financial Assets $ 613,108 Financial Liabilities Liabilities of Consolidated VIEs: Contingent obligation $ 11,411 Other N/A N/A N/A Contingent consideration obligation 79,579 Discounted cash flow Discount rate 11.0% - 18.5% 17.0% Total Financial Liabilities $ 90,990 (1) These securities are valued primarily using unadjusted broker quotes. (2) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. As such, prior periods have been recast to conform with the current period presentation. See note 2 for further discussion of recent accounting pronouncements. Investment in Athene Holding As of December 31, 2016, Apollo changed the valuation method used to value the opportunistic investment in Athene Holding from the GAAP book value multiple approach to the use of Athene’s closing market price, adjusted for a DLOM in order to reflect the post IPO sales restriction on such shares of Athene Holding. The DLOM is calculated based on the remaining length of such sales restrictions and the estimated market price volatility of the associated shares. As of December 31, 2016 the fair value of Apollo’s investment in Athene Holding was estimated using the closing market price of Athene shares of $47.99 less a DLOM of 9.5% . The DLOM was derived based on the average remaining lock up restrictions on the shares of Athene Holding held by Apollo ( 23.3 months) and the estimated volatility in such shares of Athene Holding. Due to the limited trading history in Athene Holding shares, the historical share price volatility of a representative set of Athene Holding’s publicly traded insurance peers was calculated over a period equivalent to the remaining average lock up on the shares of Athene Holding held by Apollo and used as a proxy to estimate the projected volatility in Athene Holding’s shares. The fair value of Apollo’s investment in Athene Holding after the application of the DLOM was estimated at a price of $43.43 per share. As of December 31, 2015 , the fair value of Apollo’s investment in Athene Holding was estimated under the U.S. GAAP book value multiple approach by applying a book value multiple to the U.S. GAAP book value per share of Athene Holding. The adjustment for the conversion of all Athene management incentive shares was added to Athene’s U.S. GAAP book value excluding accumulated other comprehensive income (“AOCI”) for purposes of determining U.S. GAAP book value per share. Apollo calculated a multiple for public company peers of Athene by dividing each peer’s market capitalization by its reported U.S. GAAP equity, excluding AOCI. A regression analysis was then prepared based on the calculated multiple of each peer relative to its expected return on U.S. GAAP equity, excluding AOCI, relative to Athene. As of December 31, 2015 , the significant unobservable input used in the fair value measurement of the investment in Athene Holding was the U.S. GAAP book value multiple. This input in isolation can cause significant increases or decreases in fair value. Specifically, when the U.S. GAAP book value multiple method is used to determine fair value, the significant input used in the valuation model is the U.S. GAAP book value multiple itself. An increase in the U.S. GAAP book value multiple can significantly increase the fair value of an investment; conversely a decrease in the U.S. GAAP book value multiple can significantly decrease the fair value of an investment. The sensitivity of the valuation to changes in the multiple is directly proportional to the change in the multiple itself. Investments of Consolidated Apollo Funds The Company is the sole investor in the Apollo Senior Loan Fund, L.P. and Apollo Alternative Credit Long Short Fund L.P. and therefore consolidates the assets and liabilities of these funds. These funds invest in U.S. denominated senior secured loans, senior secured bonds and other income generating fixed-income investments. Amounts related to these consolidated funds are primarily presented in net gains from investment activities on the consolidated statements of operations and in investments in the consolidated statements of financial condition. Other Investments Other investments primarily consists of Apollo’s investments in debt of unconsolidated CLOs. The change in the fair value related to these investments is presented in net gains from investment activities on the consolidated statements of operations. Consolidated VIEs Investments As of December 31, 2016 , there were no significant unobservable inputs used in the fair value measurement of the equity securities. The significant unobservable inputs used in the fair value measurement of the equity securities as of December 31, 2015 include the discount rate applied and the multiples applied in the valuation models. These unobservable inputs in isolation can cause significant increases or decreases in fair value. Specifically, when a discounted cash flow model is used to determine fair value, the significant input used in the valuation model is the discount rate applied to present value the projected cash flows. Increases in the discount rate can significantly lower the fair value of an investment; conversely decreases in the discount rate can significantly increase the fair value of an investment. The discount rate is determined based on the market rates an investor would expect for a similar investment with similar risks. When a comparable multiple model is used to determine fair value, the comparable multiples are generally multiplied by the underlying companies’ earnings before interest, taxes, depreciation and amortization (“EBITDA”) to establish the total enterprise value of the company. The comparable multiple is determined based on the implied trading multiple of public industry peers. Liabilities As of December 31, 2016 and December 31, 2015 , the debt obligations of the consolidated CLOs were measured on the basis of the fair value of the financial assets of the CLOs as the financial assets were determined to be more observable and, as a result, categorized as Level II in the fair value hierarchy. See note 2 for further discussion of the Company’s adoption of CFE guidance. Contingent Consideration Obligations The significant unobservable input used in the fair value measurement of the contingent consideration obligations is the discount rate applied in the valuation models. This input in isolation can cause significant increases or decreases in fair value. Specifically, when a discounted cash flow model is used to determine fair value, the significant input used in the valuation model is the discount rate applied to present value the projected cash flows. Increases in the discount rate can significantly lower the fair value of the contingent consideration obligations; conversely, a decrease in the discount rate can significantly increase the fair value of the contingent consideration obligations. The discount rate was based on the hypothetical cost of equity for Stone Tower. See note 15 for further discussion of the contingent consideration obligations. Net Investment Hedge To manage the potential exposure from adverse changes in currency exchange rates arising from the Company’s net investment in foreign operations related to Bremer Kreditbank AG, the German subsidiary of Belgian KBC Group NV (“BKB Bank”) during June 2016, the Company entered into a foreign currency option contract to hedge a portion of the net investment in the Company’s non-U.S. dollar denominated foreign operations related to BKB Bank. As of December 31, 2016 , the notional amount of the net investment hedge was €17.6 million . The gains and losses due to changes in fair value attributable to foreign currency derivatives designated as net investment hedges are recognized in other comprehensive income (loss), net of tax. No portion of the net investment hedge was subsequently reclassified to net income or deemed ineffective for the year ended December 31, 2016 . The resulting gain on derivative assets was $0.02 million for the year ended December 31, 2016 . The resulting loss on derivative liabilities was $0.1 million for the year ended December 31, 2016 . |
CARRIED INTEREST RECEIVABLE
CARRIED INTEREST RECEIVABLE | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure Carried Interest Receivable Balance [Abstract] | |
CARRIED INTEREST RECEIVABLE | CARRIED INTEREST RECEIVABLE Carried interest receivable from private equity, credit and real estate funds consisted of the following: As of December 31, 2016 As of December 31, 2015 Private Equity $ 798,465 $ 373,871 Credit 426,114 240,844 Real Estate 32,526 29,192 Total carried interest receivable $ 1,257,105 $ 643,907 The table below provides a roll-forward of the carried interest receivable balance for the years ended December 31, 2016 and 2015 : Private Equity Credit Real Estate Total Carried interest receivable, January 1, 2015 $ 672,119 $ 226,430 $ 13,117 $ 911,666 Change related to fair value of funds 42,016 126,426 13,074 181,516 Fund distributions to the Company (340,264 ) (152,370 ) (4,035 ) (496,669 ) Adoption of new accounting guidance — 40,358 7,036 47,394 Carried interest receivable, December 31, 2015 $ 373,871 $ 240,844 $ 29,192 $ 643,907 Change in fair value of funds 492,910 318,735 17,375 829,020 Fund distributions to the Company (68,316 ) (133,465 ) (14,041 ) (215,822 ) Carried interest receivable, December 31, 2016 $ 798,465 $ 426,114 $ 32,526 $ 1,257,105 The change in fair value of funds excludes the reversal of previously realized carried interest income due to the general partner obligation to return previously distributed carried interest income. The general partner obligation is recognized based upon a hypothetical liquidation of a fund’s net assets as of the reporting date. The actual determination and any required payment of any such general partner obligation would not take place until the final disposition of a fund’s investments based on the contractual termination of the fund or as otherwise set forth in the respective limited partnership agreement of the fund. See note 14 for further disclosure regarding the general partner obligation. The timing of the payment of carried interest due to the general partner or investment manager varies depending on the terms of the applicable fund agreements. Generally, carried interest with respect to the private equity funds and certain credit and real estate funds is payable and is distributed to the fund’s general partner upon realization of an investment if the fund’s cumulative returns are in excess of the preferred return. For most credit funds, carried interest is payable based on realizations after the end of the relevant fund’s fiscal year or fiscal quarter, subject to certain return thresholds, or “high water marks,” having been achieved. |
PROFIT SHARING PAYABLE
PROFIT SHARING PAYABLE | 12 Months Ended |
Dec. 31, 2016 | |
Profit Sharing Payable [Abstract] | |
PROFIT SHARING PAYABLE | PROFIT SHARING PAYABLE Profit sharing payable from private equity, credit and real estate funds consisted of the following: As of December 31, 2016 As of December 31, 2015 Private Equity $ 268,170 $ 118,963 Credit 268,855 165,392 Real Estate 13,123 11,319 Total profit sharing payable $ 550,148 $ 295,674 The table below provides a roll-forward of the profit sharing payable balance for the years ended December 31, 2016 and 2015 : Private Equity Credit Real Estate Total Profit sharing payable, January 1, 2015 $ 240,595 $ 186,307 $ 7,950 $ 434,852 Profit sharing expense (1)(2) 52,807 42,172 5,076 100,055 Payments/other (174,439 ) (63,087 ) (1,707 ) (239,233 ) Profit sharing payable, December 31, 2015 $ 118,963 $ 165,392 $ 11,319 $ 295,674 Profit sharing expense (1)(2) 184,852 186,345 10,387 381,584 Payments/other (35,645 ) (82,882 ) (8,583 ) (127,110 ) Profit sharing payable, December 31, 2016 $ 268,170 $ 268,855 $ 13,123 $ 550,148 (1) Includes (i) changes in amounts payable to employees and former employees entitled to a share of carried interest income in Apollo’s funds and (ii) changes to the fair value of the contingent consideration obligations recognized in connection with certain Apollo acquisitions. See notes 6 and 15 for further disclosure regarding the contingent consideration obligations. (2) The Company has recorded a receivable from the Contributing Partners, certain employees and former employees for the potential return of profit sharing distributions that would be due if certain funds were liquidated in the amount of $39.3 million and $14.7 million as of December 31, 2016 and December 31, 2015 , respectively. Profit sharing expense excludes the potential return of these profit sharing distributions. See note 14 for further discussion regarding the potential return of profit sharing distributions. |
OTHER ASSETS
OTHER ASSETS | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
OTHER ASSETS | OTHER ASSETS Other assets consisted of the following: As of December 31, 2016 2015 Fixed assets $ 108,422 $ 105,439 Less: Accumulated depreciation and amortization (83,268 ) (73,803 ) Fixed assets, net 25,154 31,636 Prepaid expenses (1) 78,300 48,421 Tax receivables 5,617 4,466 Other 9,789 11,321 Total Other Assets $ 118,860 $ 95,844 (1) Includes $42.6 million and $7.0 million as of December 31, 2016 and 2015 , respectively, related to the restricted shares that are expected to be granted in connection with the settlement of certain profit sharing arrangements. A corresponding amount is included in other liabilities on the consolidated statements of financial condition. Depreciation expense for the years ended December 31, 2016 , 2015 and 2014 was $9.6 million , $10.5 million and $10.2 million , respectively. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The Company is treated as a partnership for income tax purposes and is therefore not subject to U.S. federal, state and local income taxes. Certain consolidated entities are, or are treated as, corporations for U.S. and non-U.S. tax purposes and therefore subject to U.S. federal, state, and local corporate income tax. Certain other subsidiaries of the Company are subject to NYC UBT attributable to the Company’s operations apportioned to New York City. In addition, certain non-U.S. subsidiaries of the Company are subject to income taxes in their local jurisdictions. The Company’s income tax provision totaled $90.7 million , $26.7 million and $147.2 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. The Company’s effective tax rate was approximately 8.5% , 7.1% and 16.8% for the years ended December 31, 2016 , 2015 and 2014 , respectively. The provision for income taxes is presented in the following table: For the Years Ended December 31, 2016 2015 2014 Current: Federal income tax $ — $ (10,108 ) $ 53,426 Foreign income tax 5,843 (1) 7,842 (1) 6,080 State and local income tax 2,847 2,573 7,369 Subtotal 8,690 307 66,875 Deferred: Federal income tax 66,567 19,581 28,702 Foreign income tax (16 ) (1) (256 ) (1) (137 ) State and local income tax 15,466 7,101 51,805 Subtotal 82,017 26,426 80,370 Total Income Tax Provision $ 90,707 $ 26,733 $ 147,245 (1) The foreign income tax provision was calculated on $38.8 million and $27.6 million of pre-tax income generated in foreign jurisdictions for the years ended December 31, 2016 and 2015 , respectively. The following table reconciles the U.S. Federal statutory tax rate to the effective income tax rate: For the Years Ended December 31, 2016 2015 2014 U.S. Statutory Tax Rate 35.0 % 35.0 % 35.0 % Income Passed Through to Non-Controlling Interests (21.0 ) (26.4 ) (23.4 ) Income Passed Through to Class A Shareholders (7.1 ) (4.4 ) 0.1 State and Local Income Taxes (net of Federal Benefit) 1.4 2.1 4.7 Other 0.2 0.8 0.4 Effective Income Tax Rate 8.5 % 7.1 % 16.8 % Deferred income taxes are provided for the effects of temporary differences between the tax basis of an asset or liability and its reported amount in the consolidated statements of financial condition. These temporary differences result in taxable or deductible amounts in future years. The Company’s deferred tax assets and liabilities on the consolidated statements of financial condition consist of the following: As of December 31, 2016 2015 Deferred Tax Assets: Depreciation and amortization $ 525,261 $ 567,018 Revenue recognition 26,629 31,363 Net operating loss carryforwards 43,733 47,139 Equity-based compensation - RSUs and AAA RDUs 1,801 4,551 Foreign tax credit 11,746 8,996 Other 4,947 5,472 Total Deferred Tax Assets 614,117 664,539 Deferred Tax Liabilities: Unrealized gains from investments 41,346 13,274 Other 508 5,058 Total Deferred Tax Liabilities $ 41,854 $ 18,332 As of December 31, 2016 , the Company had approximately $111.1 million of federal net operating loss (“NOL”) carryforwards and $86.6 million of state and local net operating loss carryforwards that will begin to expire after 2035. As a result of certain realization requirements, the Company does not include certain deferred tax assets as of December 31, 2016 that arose directly from tax deductions related to equity-based compensation greater than compensation recognized for financial reporting. As discussed in note 2, upon adoption of new guidance that amends the accounting for employee share-based payment awards, $22.8 million of deferred tax asset will be recognized with a corresponding increase to retained earnings. In addition, the Company’s foreign tax credit carryforwards will begin to expire after 2020. The Company considered its historical and current year earnings, current utilization of existing deferred tax assets and deferred tax liabilities, the 15 year amortization periods of the tax basis of its intangible assets, the 20 year carry forward periods of any NOLs, and short and long term business forecasts in evaluating whether it should establish a valuation allowance. Based on this positive evidence, the Company concluded it is more likely than not that the deferred tax assets will be realized and that no valuation allowance was needed at December 31, 2016 . Under U.S. GAAP, a tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, based on the technical merits of the position. Based upon the Company’s review of its federal, state, local and foreign income tax returns and tax filing positions, the Company determined that no unrecognized tax benefits for uncertain tax positions were required to be recorded. In addition, the Company does not believe that it has any tax positions for which it is reasonably possible that it will be required to record significant amounts of unrecognized tax benefits within the next twelve months. The Company’s primary jurisdictions in which it operates are the United States, New York State, New York City, California and the United Kingdom. There are no unremitted earnings with respect to the United Kingdom and other foreign entities due to the flow-through nature of these entities. In the normal course of business, the Company is subject to examination by federal and certain state, local and foreign tax authorities. With a few exceptions, as of December 31, 2016 , the Company’s U.S. federal, state, local and foreign income tax returns for the years 2013 through 2016 are open under the general statute of limitations provisions and therefore subject to examination. Currently, the Internal Revenue Service is examining the tax return of a subsidiary for the 2012 tax year. The State and City of New York is examining certain subsidiaries’ tax returns for tax years 2011 to 2013. The Company has recorded a deferred tax asset for the future amortization of tax basis intangibles as a result of the 2007 Reorganization. The Company recorded additional deferred tax assets as a result of the step-up in tax basis of intangibles from subsequent exchanges of AOG Units for Class A shares. A related tax receivable agreement liability was recorded in due to related parties in the consolidated statements of financial condition for the expected payments under the tax receivable agreement entered into by and among APO Corp., the Managing Partners, the Contributing Partners, and other parties thereto (as amended, the “tax receivable agreement”) (see note 14 ). The increases in the deferred tax asset less the related liability resulted in increases to additional paid in capital which were recorded in the consolidated statements of changes in shareholders’ equity for the years ended December 31, 2016 , 2015 and 2014 . The amortization period for these tax basis intangibles is 15 years and the deferred tax assets will reverse over the same period. Pursuant to an exchange agreement between Apollo, Holdings and the other parties thereto (as amended, the “Exchange Agreement”), the holders of the AOG Units (and certain permitted transferees thereof) may, upon notice and subject to the applicable vesting and minimum retained ownership requirements, transfer restrictions and other terms of the Exchange Agreement, exchange their AOG Units for the Company’s Class A shares on a one -for- one basis a limited number of times each year, subject to customary conversion rate adjustments for splits, distributions and reclassifications. Pursuant to the Exchange Agreement, a holder of AOG Units must simultaneously exchange one partnership unit in each of the Apollo Operating Group partnerships to effectuate an exchange for one Class A share. As a holder exchanges its AOG Units, the Company’s indirect interest in the Apollo Operating Group is correspondingly increased. The tables below present the impact to the deferred tax asset, tax receivable agreement liability and additional paid in capital related to the exchange of AOG Units for Class A shares during the years ended December 31, 2016 , 2015 and 2014 . Exchange of AOG Units for Class A shares Increase in Deferred Tax Asset Increase in Tax Receivable Agreement Liability Increase to Additional Paid In Capital For the Year Ended December 31, 2016 $ 7,342 $ 6,187 $ 1,155 For the Year Ended December 31, 2015 61,720 45,432 16,288 For the Year Ended December 31, 2014 58,696 47,878 10,818 During the years ended December 31, 2016 and 2014, the Company adjusted the estimated rate of tax it expects to pay in the future and thereby reduced its net deferred tax assets, and increased its income tax provision, by $4.5 million and $36.2 million , respectively (see note 14 for details regarding the impact on the tax receivable agreement liability). During the year ended December 31, 2016, an additional $2.6 million of return-to-provision was recorded to additional paid in capital, reflected in the consolidated statements of changes in shareholders’ equity. |
DEBT
DEBT | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Debt consisted of the following: As of December 31, 2016 As of December 31, 2015 Outstanding Balance Fair Value Annualized Weighted Average Interest Rate Outstanding Balance Fair Value Annualized Weighted Average Interest Rate 2013 AMH Credit Facilities - Term Facility (1) $ 299,543 $ 298,500 (5) 1.82 % $ 499,327 $ 501,300 (5) 1.44 % 2024 Senior Notes (2) 495,208 498,336 (6) 4.00 494,555 495,300 (6) 4.00 2026 Senior Notes (3) 495,165 497,923 (6) 4.40 — — — 2014 AMI Term Facility I (4) 14,449 14,449 (5) 2.00 14,543 14,549 (5) 2.15 2014 AMI Term Facility II (4) 16,306 16,306 (5) 1.75 16,830 16,830 (5) 1.85 2016 AMI Term Facility I (4) 17,852 17,852 (5) 1.75 — — — 2016 AMI Term Facility II (4) 13,924 13,924 (5) 2.00 — — — Total Debt $ 1,352,447 $ 1,357,290 $ 1,025,255 $ 1,027,979 (1) Outstanding balance is presented net of unamortized debt issuance costs of $0.5 million and $0.7 million as of December 31, 2016 and December 31, 2015 , respectively. (2) Includes impact of any amortization of note discount. Outstanding balance is presented net of unamortized debt issuance costs of $4.1 million and $4.6 million as of December 31, 2016 and December 31, 2015 , respectively. (3) Includes impact of any amortization of note discount. Outstanding balance is presented net of unamortized debt issuance costs of $4.4 million as of December 31, 2016 . (4) Apollo Management International LLP (“AMI”), a subsidiary of the Company, entered into the following five year credit agreements and proceeds from the borrowings were used to fund the Company’s investment in European CLOs it manages: Facility Date Loan Amount 2014 AMI Term Facility I July 3, 2014 € 13,736 2014 AMI Term Facility II December 9, 2014 € 15,500 2016 AMI Term Facility I January 18, 2016 € 16,970 2016 AMI Term Facility II June 22, 2016 € 13,236 (5) Fair value is based on obtained broker quotes and these notes would be classified as a Level III liability within the fair value hierarchy based on the number and quality of broker quotes obtained, the standard deviations of the observed broker quotes and the percentage deviation from independent pricing services. For instances where broker quotes are not available, a discounted cash flow method is used to obtain a fair value. (6) Fair value is based on obtained broker quotes and these notes would be classified as a Level II liability within the fair value hierarchy based on the number and quality of broker quotes obtained, the standard deviations of the observed broker quotes and the percentage deviation from independent pricing services. 2013 AMH Credit Facilities —On December 18, 2013, AMH and its subsidiaries and certain other subsidiaries of the Company (collectively, the “Borrowers”) entered into new credit facilities (the “2013 AMH Credit Facilities”) with JPMorgan Chase Bank, N.A. The 2013 AMH Credit Facilities provide for (i) a term loan facility to AMH (the “Term Facility”) that includes $750 million of the term loan from third-party lenders and $271.7 million of the term loan held by a subsidiary of the Company and (ii) a $500 million revolving credit facility (the “Revolver Facility”), in each case, with an original maturity date of January 18, 2019. On March 11, 2016, the maturity date of both the Term Facility and the Revolver Facility was extended by two years to January 18, 2021. The extension was determined to be a modification of the 2013 AMH Credit Facilities in accordance with U.S. GAAP. Interest on the borrowings is based on an adjusted LIBOR rate or alternate base rate, in each case plus an applicable margin, and undrawn revolving commitments bear a commitment fee. In connection with the issuance of the 2024 Senior Notes and the 2026 Senior Notes (as defined below), $250 million of the proceeds and $200 million of the proceeds, respectively, were used to repay a portion of the Term Facility outstanding with third party lenders at par. The interest rate on the $300 million Term Facility as of December 31, 2016 was 2.12% and the commitment fee as of December 31, 2016 on the $500 million undrawn Revolver Facility was 0.125% . The $300 million carrying value of debt that is recorded on the consolidated statements of financial condition at December 31, 2016 is the amount for which the Company is obligated to settle the 2013 AMH Credit Facilities. As of December 31, 2016 , the 2013 AMH Credit Facilities were guaranteed by AMH and its subsidiaries, Apollo Management, L.P., Apollo Capital Management, L.P., Apollo International Management, L.P., AAA Holdings, L.P., Apollo Principal Holdings I, L.P., Apollo Principal Holdings II, L.P., Apollo Principal Holdings III, L.P., Apollo Principal Holdings IV, L.P., Apollo Principal Holdings V, L.P., Apollo Principal Holdings VI, L.P., Apollo Principal Holdings VII, L.P., Apollo Principal Holdings VIII, L.P., Apollo Principal Holdings IX, L.P., Apollo Principal Holdings X, L.P., Apollo Principal Holdings XI, LLC, ST Holdings GP, LLC and ST Management Holdings, LLC. The 2013 AMH Credit Facilities contain affirmative and negative covenants which limit the ability of the Borrowers, the guarantors and certain of their subsidiaries to, among other things, incur indebtedness and create liens. Additionally, the 2013 AMH Credit Facilities contain financial covenants which require the Borrowers and their subsidiaries to maintain (1) at least $40 billion of Fee-Generating Assets Under Management and (2) a maximum total net leverage ratio of not more than 4.00 to 1.00 (subject to customary equity cure rights). The 2013 AMH Credit Facilities also contain customary events of default, including events of default arising from non-payment, material misrepresentations, breaches of covenants, cross default to material indebtedness, bankruptcy and changes in control of the Company. Borrowings under the Revolver Facility may be used for working capital and general corporate purposes, including, without limitation, permitted acquisitions. In addition, the Borrowers may incur incremental facilities in respect of the Revolver Facility and the Term Facility in an aggregate amount not to exceed $500 million plus additional amounts so long as the Borrowers are in compliance with a net leverage ratio not to exceed 3.75 to 1.00 . As of December 31, 2016 and December 31, 2015 , the Revolver Facility was undrawn. 2024 Senior Notes —On May 30, 2014, AMH issued $500 million in aggregate principal amount of its 4.000% Senior Notes due 2024 (the “2024 Senior Notes”), at an issue price of 99.722% of par. Interest on the 2024 Senior Notes is payable semi-annually in arrears on May 30 and November 30 of each year. The 2024 Senior Notes will mature on May 30, 2024. The discount will be amortized into interest expense on the consolidated statements of operations over the term of the 2024 Senior Notes. The face amount of $500 million related to the 2024 Senior Notes is the amount for which the Company is obligated to settle the 2024 Senior Notes. 2026 Senior Notes —On May 27, 2016, AMH issued $500 million in aggregate principal amount of its 4.400% Senior Notes due 2026 (the “2026 Senior Notes”), at an issue price of 99.912% of par. Interest on the 2026 Senior Notes is payable semi-annually in arrears on May 27 and November 27 of each year. The 2026 Senior Notes will mature on May 27, 2026. The discount will be amortized into interest expense on the consolidated statements of operations over the term of the 2026 Senior Notes. The face amount of $500 million related to the 2026 Senior Notes is the amount for which the Company is obligated to settle the 2026 Senior Notes. As of December 31, 2016 , the 2026 Senior Notes and the 2024 Senior Notes were guaranteed by Apollo Principal Holdings I, L.P., Apollo Principal Holdings II, L.P., Apollo Principal Holdings III, L.P., Apollo Principal Holdings IV, L.P., Apollo Principal Holdings V, L.P., Apollo Principal Holdings VI, L.P., Apollo Principal Holdings VII, L.P., Apollo Principal Holdings VIII, L.P., Apollo Principal Holdings IX, L.P., Apollo Principal Holdings X, L.P., Apollo Principal Holdings XI, LLC, AMH Holdings (Cayman), L.P. and any other entity that is required to become a guarantor of the notes under the terms of the indentures governing the 2026 Senior Notes and the 2024 Senior Notes (the “Indentures”). The Indentures include covenants that restrict the ability of AMH and, as applicable, the guarantors to incur indebtedness secured by liens on voting stock or profit participating equity interests of their respective subsidiaries or merge, consolidate or sell, transfer or lease assets. The Indentures also provide for customary events of default. The following table presents the interest expense incurred related to the Company’s debt for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Interest Expense: (1) 2013 AMH Term Facility $ 8,253 $ 8,672 $ 10,112 2024 Senior Notes 20,652 20,759 12,062 2026 Senior Notes 13,372 — — AMI Term Facilities 1,205 640 219 Total Interest Expense $ 43,482 $ 30,071 $ 22,393 (1) Debt issuance costs incurred in connection with the Term Facility, the 2024 Senior Notes and the 2026 Senior Notes are amortized into interest expense over the term of the debt arrangement. The table below presents the contractual maturities for the Company's debt arrangements as of December 31, 2016 : 2017 2018 2019 2020 2021 Thereafter Total 2013 AMH Credit Facilities - Term Facility $ — $ — $ — $ — $ 300,000 $ — $ 300,000 2024 Senior Notes — — — — — 500,000 500,000 2026 Senior Notes — — — — — 500,000 500,000 2014 AMI Term Facility I — — — — 14,449 — 14,449 2014 AMI Term Facility II — — 16,306 — — — 16,306 2016 AMI Term Facility I — — — — 17,852 17,852 2016 AMI Term Facility II — — — — 13,924 13,924 Total Obligations as of December 31, 2016 $ — $ — $ 16,306 $ — $ 346,225 $ 1,000,000 $ 1,362,531 |
NET INCOME PER CLASS A SHARE
NET INCOME PER CLASS A SHARE | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
NET INCOME PER CLASS A SHARE | NET INCOME PER CLASS A SHARE U.S. GAAP requires use of the two-class method of computing earnings per share for all periods presented for each class of common stock and participating security as if all earnings for the period had been distributed. Under the two-class method, during periods of net income, the net income is first reduced for distributions declared on all classes of securities to arrive at undistributed earnings. During periods of undistributed losses, the undistributed loss is allocated to a participating security only if the security has the right to participate in the earnings of the entity and an objectively determinable contractual obligation to share in net losses of the entity. The remaining undistributed earnings are allocated to Class A shares and participating securities to the extent that each security shares in earnings as if all of the earnings for the period had been distributed. Earnings or losses allocated to each class of security are then divided by the applicable number of shares to arrive at basic earnings per share. For the diluted earnings, the denominator includes all outstanding Class A shares and includes the number of additional Class A shares that would have been outstanding if the dilutive Class A shares had been issued. The numerator is adjusted for any changes in income or loss that would result if the dilutive Class A shares were issued. The table below presents basic and diluted net income (loss) per Class A share using the two-class method for the years ended December 31, 2016 , 2015 and 2014 : Basic and Diluted For the Years Ended December 31, 2016 2015 2014 Numerator: Net income attributable to Apollo Global Management, LLC $ 402,850 $ 134,497 $ 168,229 Distributions declared on Class A shares (230,713 ) (1) (339,397 ) (1) (483,458 ) (1) Distributions on participating securities (3) (8,396 ) (28,497 ) (72,074 ) Earnings allocable to participating securities (6,430 ) — (2) — (2) Undistributed income (loss) attributable to Class A shareholders: Basic and Diluted $ 157,311 $ (233,397 ) $ (387,303 ) Denominator: Weighted average number of Class A shares outstanding: Basic and Diluted 183,998,080 173,271,666 155,349,017 Net Income per Class A Share: Basic and Diluted (4) Distributed Income $ 1.25 $ 1.96 $ 3.11 Undistributed Income (Loss) 0.86 (1.35 ) (2.49 ) Net Income per Class A Share: Basic and Diluted $ 2.11 $ 0.61 $ 0.62 (1) See note 14 for information regarding the quarterly distributions declared and paid during 2016 , 2015 and 2014 . (2) No allocation of undistributed losses was made to the participating securities as the holders do not have a contractual obligation to share in the losses of the Company with Class A shareholders. (3) Participating securities consist of vested and unvested RSUs that have rights to distributions and unvested restricted shares. (4) For the years ended December 31, 2016 , 2015 and 2014 , all of the classes of securities were determined to be anti-dilutive. The Company has granted RSUs that provide the right to receive, subject to vesting, Class A shares of Apollo Global Management, LLC, pursuant to the Company’s 2007 Omnibus Equity Incentive Plan (the “2007 Equity Plan”). Certain RSU grants to employees provide the right to receive distribution equivalents on vested RSUs on an equal basis any time a distribution is declared. The Company refers to these RSU grants as “Plan Grants.” For certain Plan Grants, distribution equivalents are paid in January of the calendar year next following the calendar year in which a distribution on Class A shares was declared. In addition, certain RSU grants to employees provide that both vested and unvested RSUs participate in distribution equivalents on an equal basis with the Class A shareholders any time a distribution is declared. The Company refers to these as “Bonus Grants.” Any distribution equivalent paid to an employee will not be returned to the Company upon forfeiture of the award by the employee. Vested and unvested RSUs that are entitled to non-forfeitable distribution equivalents qualify as participating securities and are included in the Company’s basic and diluted earnings per share computations using the two-class method. The holder of an RSU participating security would have a contractual obligation to share in the losses of the entity if the holder is obligated to fund the losses of the issuing entity or if the contractual principal or mandatory redemption amount of the participating security is reduced as a result of losses incurred by the issuing entity. Because the RSU participating securities do not have a mandatory redemption amount and the holders of the participating securities are not obligated to fund losses, neither the vested RSUs nor the unvested RSUs are subject to any contractual obligation to share in losses of the Company. Holders of AOG Units are subject to the vesting requirements (all of which have fully vested) and transfer restrictions set forth in the agreements with the respective holders, and may a limited number of times each year, upon notice (subject to the terms of the Exchange Agreement), exchange their AOG Units for Class A shares on a one -for- one basis. An AOG Unit holder must exchange one unit in each of the Apollo Operating Group partnerships to effectuate an exchange for one Class A share. Apollo Global Management, LLC has one Class B share outstanding, which is held by BRH Holdings GP, Ltd. (“BRH”). The voting power of the Class B share is reduced on a one vote per one AOG Unit basis in the event of an exchange of AOG Units for Class A shares, as discussed above. The Class B share has no net income (loss) per share as it does not participate in Apollo’s earnings (losses) or distributions. The Class B share has no distribution or liquidation rights. The Class B share has voting rights on a pari passu basis with the Class A shares. The Class B share represented 60.5% , 61.4% and 65.4% of the total voting power of the Company’s shares entitled to vote as of December 31, 2016 , 2015 and 2014 , respectively. The following table summarizes the anti-dilutive securities for the years ended December 31, 2016 , 2015 and 2014 , respectively. For the Years Ended December 31, 2016 2015 2014 Weighted average vested RSUs 1,466,803 9,984,862 19,541,458 Weighted average unvested RSUs 5,975,293 4,858,935 9,556,131 Weighted average unexercised options 222,920 227,086 548,441 Weighted average AOG Units outstanding 215,917,462 219,575,738 225,005,386 Weighted average unvested restricted shares 82,301 90,985 — Issuance of Class A Shares During the years ended December 31, 2016 , 2015 and 2014 , the Company issued Class A shares in settlement of vested RSUs. The Company has generally allowed holders of vested RSUs and exercised share options to settle their tax liabilities by reducing the number of Class A shares issued to them, which the Company refers to as “net share settlement.” Additionally, the Company has generally allowed holders of share options to settle their exercise price by reducing the number of Class A shares issued to them at the time of exercise by an amount sufficient to cover the exercise price. The net share settlement results in a liability for the Company and a corresponding accumulated deficit adjustment. This adjustment for the years ended December 31, 2016 , 2015 and 2014 was $40.7 million , $78.9 million and $0.4 million , respectively. The table below summarizes the issuances of Class A shares in settlement of vested RSUs and share options for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Class A shares issued 4,625,304 11,296,338 10,491,649 Gross value of shares (1) $ 108,716 $ 325,747 $ 289,000 (1) Based on the closing price of a Class A share at the time of issuance. Share Repurchase Plan In February 2016, Apollo adopted a plan to repurchase up to $250 million in the aggregate of its Class A shares, including up to $150 million in the aggregate of its outstanding Class A shares through a share repurchase program and up to $100 million through net share settlement of equity-based awards granted under the 2007 Equity Plan. During the year ended December 31, 2016 , the Company repurchased and canceled 1.0 million Class A shares for $12.9 million and, in connection with net share settlements, reduced Class A shares to be issued to employees under the 2007 Equity Plan by 2.7 million Class A shares resulting in a payment by the Company of $40.7 million to satisfy the applicable withholding obligation. |
EQUITY-BASED COMPENSATION
EQUITY-BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
EQUITY-BASED COMPENSATION | EQUITY-BASED COMPENSATION RSUs The Company grants RSUs under the 2007 Omnibus Equity Incentive Plan. These grants are accounted for as a grant of equity awards in accordance with U.S. GAAP. The fair value of all grants is based on the grant date fair value, which considers the public share price of the Company’s Class A shares subject to certain discounts, as applicable. The following table summarizes the weighted average discounts for Plan Grants and Bonus Grants for the years ended December 31, 2016 , 2015 and 2014 . For the Years Ended December 31, 2016 2015 2014 Plan Grants: Discount for the lack of distributions until vested (1) 14.0 % 26.0 % 32.5 % Marketability discount for transfer restrictions (2) 3.8 % 4.2 % 5.1 % Bonus Grants: Marketability discount for transfer restrictions (2) 2.1 % 2.2 % 3.2 % (1) Based on the present value of a growing annuity calculation. (2) Based on the Finnerty Model calculation. The estimated total grant date fair value is charged to compensation expense on a straight-line basis over the vesting period, which for Plan Grants is generally up to six years, with the first installment vesting one year after grant and quarterly vesting thereafter, and for Bonus Grants is generally annual vesting over three years. The fair value of grants made during the years ended December 31, 2016 , 2015 and 2014 was $62.6 million , $70.6 million and $149.1 million , respectively. The following table presents the forfeiture rate and equity-based compensation expense recognized for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Actual forfeiture rate 8.8 % 1.2 % 6.7 % Equity-based compensation $ 67,958 $ 65,661 $ 80,695 The following table summarizes RSU activity for the year ended December 31, 2016 : Unvested Weighted Average Grant Date Fair Value Vested Total Number Balance at January 1, 2016 11,040,143 $ 16.40 6,294,053 17,334,196 (1) Granted 3,406,655 18.37 — 3,406,655 Forfeited (1,270,579 ) 19.74 — (1,270,579 ) Issued — 16.43 (7,326,251 ) (7,326,251 ) Vested (3,784,653 ) 18.54 3,784,653 — Balance at December 31, 2016 9,391,566 $ 15.80 2,752,455 12,144,021 (1) (1) Amount excludes RSUs which have vested and have been issued in the form of Class A shares. Units Expected to Vest —As of December 31, 2016 , approximately 9.0 million RSUs were expected to vest over the next 2.8 years. Restricted Share Awards The Company has granted restricted share awards under the 2007 Omnibus Equity Incentive Plan in connection with certain performance-based incentive plans and in connection with the 2015 Venator acquisition. These grants are accounted for as a grant of equity awards in accordance with U.S. GAAP. The fair value of all grants is based on the grant date fair value, which considers the public share price of the Company’s Class A shares discounted primarily for transfer restrictions. The grant date fair value of these awards is recognized as equity based compensation expense on a straight-line basis over the vesting period of two to three years. The following table presents the actual forfeiture rate and equity-based compensation expense recognized for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 (1) Actual forfeiture rate 1.6 % — % — % Equity-based compensation $ 3,478 $ 2,749 $ — (1) There were no Restricted Share Awards granted in 2014. The following table summarizes the restricted share award activity related to a performance-based incentive plan and the 2015 Venator acquisition for the year ended December 31, 2016 : Unvested Weighted Average Grant Date Fair Value Vested Total Number Balance at January 1, 2016 105,866 $ 21.53 — 105,866 Granted 27,151 17.53 — 27,151 Forfeited (2,117 ) 19.81 — (2,117 ) Issued — 21.42 (51,764 ) (51,764 ) Vested (51,764 ) 21.42 51,764 — Balance at December 31, 2016 79,136 $ 20.27 — 79,136 Units Expected to Vest —As of December 31, 2016 , approximately 75,971 restricted share awards were expected to vest over the next 1.5 years. Share Options The Company has granted options under the 2007 Equity Plan. For the years ended December 31, 2016 , 2015 and 2014 , compensation expense of $0.1 million , $0.1 million and $28.2 million was recognized as a result of these grants, respectively. There were no share options granted during the years ended December 31, 2016 , 2015 and 2014 . Apollo measures the fair value of each option award on the date of grant using the Black-Scholes option-pricing model. As of December 31, 2016 , there were 222,920 options outstanding, 160,417 options exercisable and 60,000 options. Unamortized compensation cost related to unvested share options at December 31, 2016 was $0.2 million and is expected to be recognized over a weighted average period of 1.5 years. There were no options exercised or forfeited during the year ended December 31, 2016. The intrinsic value of options exercised was $0.0 million $0.1 million , and $26.6 million for the years ended December 31, 2016 , 2015 and 2014 , respectively. AAA RDUs Incentive units that provide the right to receive AAA restricted depositary units (“RDUs”) following vesting have been granted to employees of the Company. The incentive units granted to employees generally vest over three years and vested AAA RDUs can be converted into ordinary common units of AAA subject to applicable securities law restrictions. For the years ended December 31, 2016 , 2015 and 2014 , compensation expense of $1.7 million , $0.7 million and $0.4 million was recognized, respectively, in connection with AAA RDU grants. All AAA incentive units were fully vested and settled in the form of RDUs as of December 31, 2016. Restricted Stock and Restricted Stock Unit Awards—ARI and AMTG ARI granted restricted stock awards and restricted stock unit awards ("ARI Awards") and Apollo Residential Mortgage, Inc. (“AMTG”) granted restricted stock unit awards (“AMTG RSUs”) to the Company and certain employees of the Company. These awards generally vest over three years, either quarterly or annually. The awards granted to the Company are recorded as investments under the equity method of accounting and deferred revenue in the consolidated statements of financial condition. As these awards vest, the deferred revenue is recognized as management fees. The ARI Awards and AMTG RSUs granted to the Company’s employees are recorded in other assets and other liabilities in the consolidated statements of financial condition. The grant date fair value of the asset is amortized through equity-based compensation on a straight-line basis over the vesting period. The fair value of the liability is remeasured each period with any changes in fair value recorded in compensation expense in the consolidated statements of operations. Compensation expense is offset by related management fees earned by the Company from ARI and AMTG, respectively. The grant date fair value of the employees’ awards is based on the then public share price of ARI and AMTG at grant, less discounts for transfer restrictions as well as timing of distributions. On August 31, 2016, pursuant to the terms and conditions of the Agreement and Plan of Merger, dated February 26, 2016 by and among ARI, AMTG and Arrow Merger Sub, Inc., a wholly owned subsidiary of the Company (“Merger Sub”), Merger Sub was merged with and into AMTG (the “first merger”), with AMTG continuing as the surviving entity and as a subsidiary of the Company, and AMTG merged with and into ARI (the “second merger”) with ARI continuing as the surviving entity in the second merger. At the effective time of the first merger, each share of common stock of AMTG issued and outstanding immediately prior to the First Merger was converted into the right to receive $6.86 in cash, without interest and 0.417571 shares of ARI’s common stock, with limited exceptions. The following table summarizes the management fees, equity-based compensation expense, and actual forfeiture rates for the ARI Awards for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Management fees $ 6,643 $ 3,334 $ 1,326 Equity-based compensation 6,643 3,081 1,329 Actual forfeiture rate 3.8 % 1.3 % — % The following table summarizes the management fees, compensation expense, and actual forfeiture rates for the AMTG RSUs for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Management fees $ 2,478 $ 1,171 $ 915 Equity-based compensation 2,478 1,171 828 Actual forfeiture rate 0.1 % 2.5 % 2.5 % The following tables summarize activity for the ARI Awards and AMTG RSUs that were granted to certain of the Company’s employees for the year ended December 31, 2016 : ARI Awards Weighted Average Grant Date Fair Value ARI Awards Vested Total Number of ARI Awards Outstanding Balance at January 1, 2016 893,810 $ 16.88 365,000 1,258,810 Granted 903,068 16.35 — 903,068 Forfeited (68,698 ) 16.35 — (68,698 ) Delivered (390,051 ) 17.23 — (390,051 ) Vested (404,383 ) 16.38 404,383 — Balance at December 31, 2016 933,746 $ 16.48 769,383 1,703,129 Units Expected to Vest —As of December 31, 2016 , approximately 896,396 ARI Awards were expected to vest over the next 2.5 years. AMTG RSUs Weighted Average Grant Date AMTG RSUs Vested Total Number of AMTG RSUs Outstanding Balance at January 1, 2016 90,591 $ 15.85 57,581 148,172 Granted 91,427 12.53 — 91,427 Forfeited (207 ) 13.38 — (207 ) Delivered — 13.65 (239,392 ) (239,392 ) Vested (181,811 ) 12.91 181,811 — Balance at December 31, 2016 — $ — — — Restricted Share Awards—Athene Holding The Company has granted Athene Holding restricted share awards to certain employees of the Company. Separately, Athene Holding has also granted restricted share awards to certain employees of the Company. Both awards are collectively referred to as the “AHL Awards”. Certain of the AHL Awards function similarly to options as they are exchangeable for Class A shares of Athene Holding upon payment of a conversion price and the satisfaction of certain other conditions. The awards granted are either subject to time-based vesting conditions that generally vest over three to five years or vest upon achieving certain metrics, such as attainment of certain rates of return and realized cash received by certain investors in Athene Holding upon sale of their shares. The Company records the AHL Awards in other assets and other liabilities in the consolidated statements of financial condition. The fair value of the asset is amortized through equity-based compensation over the vesting period. The fair value of the liability is remeasured each period with any changes in fair value recorded in compensation expense in the consolidated statements of operations. For AHL Awards granted by Athene Holding, compensation expense related to amortization of the asset is offset by related management fees earned by the Company from Athene. The grant date fair value of the AHL Awards is based on the share price of Athene Holding, less discounts for transfer restrictions. The AHL Awards that function similarly to options were valued using a multiple-scenario model, which considers the price volatility of the underlying stock price of Athene Holding, time to expiration and the risk-free rate, while the other awards were valued using the share price of Athene Holding less any discounts for transfer restrictions. The following table summarizes the management fees, equity-based compensation expense and actual forfeiture rates for the AHL Awards for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Management fees $ 19,173 $ 23,697 $ 16,738 Equity-based compensation 20,560 24,180 16,738 Actual forfeiture rate 3.2 % — % — % The following table summarizes activity for the AHL Awards that were granted to certain employees of the Company for the year ended December 31, 2016 : AHL Awards Weighted Average Grant Date Fair Value AHL Awards Vested Total Number of AHL Awards Outstanding Balance at January 1, 2016 1,515,878 $ 3.54 1,044,869 2,560,747 Granted 181,105 33.89 — 181,105 Vested (981,617 ) 3.68 981,617 — Forfeited (54,478 ) 1.23 — (54,478 ) Delivered — 4.75 (1,018,462 ) (1,018,462 ) Balance at December 31, 2016 660,888 $ 11.83 1,008,024 1,668,912 Certain of the AHL Awards were not convertible into Class A shares of Athene Holding until the completion of an initial public offering of Athene Holding. Units Expected to Vest —As of December 31, 2016 , 423,990 AHL Awards are expected to vest over the next 2.5 years and 236,898 AHL Awards may vest if certain metrics are achieved. Equity-Based Compensation Allocation Equity-based compensation is allocated based on ownership interests. Therefore, the amortization of equity-based compensation is allocated to shareholders’ equity attributable to Apollo Global Management, LLC and the Non-Controlling Interests, which results in a difference in the amounts charged to equity-based compensation expense and the amounts credited to shareholders’ equity attributable to Apollo Global Management, LLC in the Company’s consolidated financial statements. Below is a reconciliation of the equity-based compensation allocated to Apollo Global Management, LLC for the years ended December 31, 2016 , 2015 and 2014 : For the Year Ended December 31, 2016 Total Amount Non- Controlling Interest % in Apollo Operating Group Allocated to Non-Controlling Interest in Apollo Operating Group (1) Allocated to Apollo Global Management, LLC RSUs, share options and restricted share awards $ 71,562 — % $ — $ 71,562 AHL Awards 20,560 53.7 11,049 9,511 Other equity-based compensation awards 10,861 53.7 5,837 5,024 Total equity-based compensation $ 102,983 16,886 86,097 Less other equity-based compensation awards (2) (16,886 ) (16,510 ) Capital increase related to equity-based compensation $ — $ 69,587 For the Year Ended December 31, 2015 Total Amount Non- Controlling Interest % in Apollo Operating Group Allocated to Non-Controlling Interest in Apollo Operating Group (1) Allocated to Apollo Global Management, LLC RSUs, share options and restricted share awards $ 68,535 — % $ — $ 68,535 AHL Awards 24,180 54.4 13,158 11,022 Other equity-based compensation awards 4,961 54.4 2,699 2,262 Total equity-based compensation $ 97,676 15,857 81,819 Less other equity-based compensation awards (2) (15,857 ) (13,860 ) Capital increase related to equity-based compensation $ — $ 67,959 For the Year Ended December 31, 2014 Total Amount Non- Controlling Interest % in Apollo Operating Group Allocated to Non-Controlling Interest in Apollo Operating Group (1) Allocated to Apollo Global Management, LLC RSUs, share options and restricted share awards $ 107,017 — % $ — $ 107,017 AHL Awards 16,738 57.7 9,938 6,800 Other equity-based compensation awards 2,565 57.7 1,517 1,048 Total equity-based compensation $ 126,320 11,455 114,865 Less other equity-based compensation awards (2) (11,455 ) (5,994 ) Capital increase related to equity-based compensation $ — $ 108,871 (1) Calculated based on average ownership percentage for the period considering Class A share issuances during the period. (2) Includes equity-based compensation reimbursable by certain funds. |
RELATED PARTY TRANSACTIONS AND
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES | RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES Management fees, transaction and advisory fees and reimbursable expenses from the funds and portfolio companies that the Company manages are included in due from related parties in the consolidated statements of financial condition. The Company also typically facilitates the initial payment of certain operating costs incurred by the funds that it manages as well as their related parties. These costs are normally reimbursed by such funds and are included in due from related parties. Due from related parties and due to related parties are comprised of the following: As of As of Due from Related Parties: Due from private equity funds $ 19,089 $ 21,532 Due from portfolio companies 34,339 36,424 Due from credit funds 112,516 124,660 Due from Contributing Partners, employees and former employees 72,305 42,491 Due from real estate funds 16,604 22,728 Total Due from Related Parties $ 254,853 $ 247,835 Due to Related Parties: Due to Managing Partners and Contributing Partners $ 506,542 $ 506,162 Due to private equity funds 56,880 16,293 Due to credit funds 66,859 57,981 Due to real estate funds 281 580 Distributions payable to employees 7,564 13,520 Total Due to Related Parties $ 638,126 $ 594,536 Tax Receivable Agreement and Other Subject to certain restrictions, each of the Managing Partners and Contributing Partners has the right to exchange their vested AOG Units for the Company’s Class A shares. Certain Apollo Operating Group entities have made an election under Section 754 of the U.S. Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), which will result in an adjustment to the tax basis of the assets owned by the Apollo Operating Group at the time of the exchange. These exchanges will result in increases in tax deductions that will reduce the amount of tax that APO Corp. will otherwise be required to pay in the future. The tax receivable agreement provides for the payment to the Managing Partners and Contributing Partners of 85% of the amount of cash savings, if any, in U.S. federal, state, local and foreign income taxes that APO Corp. would realize as a result of the increases in tax basis of assets that resulted from the 2007 Reorganization and exchanges of AOG Units for Class A shares. APO Corp. retains the benefit from the remaining 15% of actual cash tax savings. If the Company does not make the required annual payment on a timely basis as outlined in the tax receivable agreement, interest is accrued on the balance until the payment date. These payments are expected to occur approximately over the next 15 years . As a result of the exchanges of AOG Units for Class A shares during the years ended December 31, 2016 , 2015 and 2014 , a $6.2 million , $45.4 million and $47.9 million liability was recorded, respectively, to estimate the amount of the future expected payments to be made by APO Corp. to the Managing Partners and Contributing Partners pursuant to the tax receivable agreement. In April, 2015 and 2014 , Apollo made cash payments pursuant to the tax receivable agreement resulting from the realized tax benefit for each preceding tax year. Included in the payments was interest paid to the Managing Partners and Contributing Partners. There were no such cash payments made in 2016 . The table below presents the cash payments made during 2015 and 2014 . Date Cash Payment Interest Paid to Managing Partners Interest Paid to Contributing Partners April, 2015 $ 48,420 $ 13,090 $ 555 April, 2014 32,032 8,272 469 During the years ended December 31, 2016 and 2014, the Company reduced the tax receivable agreement liability and recorded $3.2 million and $32.2 million , respectively, in other income, net in the consolidated statement of operations due to changes in estimated tax rates. Distributions In addition to other distributions such as payments pursuant to the tax receivable agreement, the table below presents information regarding the quarterly distributions which were made at the sole discretion of the manager of the Company during 2016 , 2015 and 2014 (in millions, except per share data): Distribution Declaration Date Distribution per Class A Share Distribution Payment Date Distribution to Class A Shareholders Distribution to Non-Controlling Interest Holders in the Apollo Operating Group Total Distributions from Apollo Operating Group Distribution Equivalents on Participating Securities February 7, 2014 $ 1.08 February 26, 2014 $ 160.9 $ 247.3 $ 408.2 $ 25.5 April 3, 2014 — April 3, 2014 — 49.5 (1) 49.5 — May 8, 2014 0.84 May 30, 2014 130.0 188.4 318.4 20.9 June 16, 2014 — June 16, 2014 — 28.5 (1) 28.5 — August 6, 2014 0.46 August 29, 2014 73.6 102.5 176.1 10.2 September 11, 2014 — September 11, 2014 — 12.4 (1) 12.4 — October 30, 2014 0.73 November 21, 2014 119.0 162.6 281.6 15.5 December 15, 2014 — December 15, 2014 — 25.2 (1) 25.2 — For the year ended December 31, 2014 $ 3.11 $ 483.5 $ 816.4 $ 1,299.9 $ 72.1 February 5, 2015 $ 0.86 February 27, 2015 $ 144.4 $ 191.3 $ 335.7 $ 15.3 April 11, 2015 — April 11, 2015 — 22.4 (1) 22.4 — May 7, 2015 0.33 May 29, 2015 56.8 72.8 129.6 4.9 July 29, 2015 0.42 August 31, 2015 74.8 91.2 166.0 5.1 October 28, 2015 0.35 November 30, 2015 63.4 75.7 139.1 3.1 For the year ended December 31, 2015 $ 1.96 $ 339.4 $ 453.4 $ 792.8 $ 28.4 February 3, 2016 $ 0.28 February 29, 2016 $ 51.4 $ 60.5 $ 111.9 $ 2.1 May 6, 2016 0.25 May 31, 2016 46.0 54.0 100.0 1.8 August 3, 2016 0.37 August 31, 2016 68.4 79.9 148.3 2.4 October 28, 2016 0.35 November 30, 2016 64.9 75.4 140.3 2.1 For the year ended December 31, 2016 $ 1.25 $ 230.7 $ 269.8 $ 500.5 $ 8.4 (1) On April 3, 2014, June 16, 2014, September 11, 2014, December 15, 2014 and April 11, 2015, the Company made a $0.22 , $0.13 , $0.06 , $0.11 and $0.10 distribution per AOG Unit to the Non-Controlling Interest holders in the Apollo Operating Group. Due from Contributing Partners, Employees and Former Employees As of December 31, 2016 and December 31, 2015 , due from Contributing Partners, Employees and Former Employees includes various amounts due to the Company including employee loans and return of profit sharing distributions. As of December 31, 2016 and December 31, 2015 , the balance included interest-bearing employee loans receivable of $26.1 million and $25.0 million , respectively. The outstanding principal amount of the loans as well as all accrued and unpaid interest is required to be repaid at the earlier of the eighth anniversary of the date of the relevant loan or at the date of the relevant employee’s resignation from the Company. The Company recorded a receivable from the Contributing Partners and certain employees and former employees for the potential return of profit sharing distributions that would be due if certain funds were liquidated as of December 31, 2016 and December 31, 2015 of $39.3 million and $14.7 million , respectively. Indemnity Carried interest income from certain funds that the Company manages can be distributed to the Company on a current basis, but is subject to repayment by the subsidiary of the Apollo Operating Group that acts as general partner of the fund in the event that certain specified return thresholds are not ultimately achieved. The Managing Partners, Contributing Partners and certain other investment professionals have personally guaranteed, subject to certain limitations, the obligation of these subsidiaries in respect of this general partner obligation. Such guarantees are several and not joint and are limited to a particular Managing Partner’s or Contributing Partner’s distributions. Pursuant to an existing shareholders agreement includes clauses that the Company has agreed to indemnify each of the Company’s Managing Partners and certain Contributing Partners against all amounts that they pay pursuant to any of these personal guarantees in favor of certain funds that the Company manages (including costs and expenses related to investigating the basis for or objecting to any claims made in respect of the guarantees) for all interests that the Company’s Managing Partners and Contributing Partners have contributed or sold to the Apollo Operating Group. Accordingly, in the event that the Company’s Managing Partners, Contributing Partners and certain investment professionals are required to pay amounts in connection with a general partner obligation for the return of previously made distributions, the Company will be obligated to reimburse the Company’s Managing Partners and certain Contributing Partners for the indemnifiable percentage of amounts that they are required to pay even though the Company did not receive the certain distribution to which that general partner obligation related. The Company recorded an indemnification liability of $5.9 million and $4.6 million , respectively, as of December 31, 2016 and December 31, 2015 . Due to Private Equity Funds Based upon a hypothetical liquidation of certain funds as of December 31, 2016 , the Company has recorded a general partner obligation to return previously distributed carried interest income, which represents amounts due to these funds. As such, there was a general partner obligation to return previously distributed carried interest income of $56.0 million accrued as of December 31, 2016 . As of December 31, 2015 , the Company accrued a general partner obligation to return previously distributed carried interest income of $14.2 million . The actual determination and any required payment of a general partner obligation would not take place until the final disposition of the fund’s investments based on contractual termination of the fund or as otherwise set forth in the respective limited partnership agreement of the fund. Due to Credit Funds Based upon a hypothetical liquidation of certain of our credit funds, as of December 31, 2016 and December 31, 2015 , the Company has recorded a general partner obligation to return previously distributed carried interest income, which represents amounts due to these funds. As such, there was a general partner obligation to return previously distributed carried interest income of $60.6 million accrued as of December 31, 2016 . As of December 31, 2015 , the Company accrued a general partner obligation to return previously distributed carried interest income of $57.8 million . The actual determination and any required payment of a general partner obligation would not take place until the final disposition of the fund’s investments based on contractual termination of the fund or as otherwise set forth in the respective limited partnership agreement or other governing document of the fund. Athene Athene Holding was founded in 2009 to capitalize on favorable market conditions in the dislocated life insurance sector. Athene Holding, through its subsidiaries, is a leading retirement services company that issues, reinsures and acquires retirement savings products designed for the increasing number of individuals and institutions seeking to fund retirement needs. The products and services offered by Athene include: fixed and fixed indexed annuity products; reinsurance services offered to third-party annuity providers; and institutional products, such as funding agreements. Athene Holding became an effective registrant on December 9, 2016 under the U.S. Securities Exchange Act of 1934, as amended, and trades on the New York Stock Exchange (NYSE) under the symbol “ATH”. The Company, through its consolidated subsidiary, Athene Asset Management, provides asset management services to Athene, including asset allocation services, direct asset management services, asset and liability matching management, mergers and acquisitions, asset diligence hedging and other asset management services, and receives a gross management fee of 0.40% per annum on all assets under management in accounts owned by or related to Athene (the “Athene Accounts”) with certain limited exceptions. Another subsidiary of the Company, AAME, provides investment advisory services to Athene and receives a gross fee of 0.10% per annum on the assets with respect to which it advises. Under a transaction advisory services agreement with Athene (the “Athene Services Agreement”), effective February 5, 2013 through December 31, 2014, Apollo earned a quarterly monitoring fee of 0.50% of Athene’s capital and surplus as of the end of the applicable quarter multiplied by 2.5 , excluding the shares of Athene Holding that were newly acquired (and not in satisfaction of prior commitments to buy such shares) by AAA Investments in the contribution of certain assets by AAA to Athene in October 2012 (the “Excluded Athene Shares”). The Athene Services Agreement was amended in connection with the Athene Private Placement described below (the “Amended Athene Services Agreement”). The Amended Athene Services Agreement adjusted the calculation of Athene Holding’s capital and surplus downward by an amount equal to (x) the equity capital raised in the Athene Private Placement and (y) certain disproportionate increases to the statutory capital and surplus of Athene, as compared to the stockholders’ equity of Athene calculated on a U.S. GAAP basis, as a result of certain future acquisitions by Athene. Prior to the consummation of the Athene Private Placement, all such monitoring fees were paid pursuant to the Athene Services Derivative. In connection with the Athene Private Placement, the Athene Services Derivative was settled on April 29, 2014 by delivery to Apollo of common shares of Athene Holding, and as a result, such derivative was terminated. Following settlement of the Athene Services Derivative, future monitoring fees paid to Apollo pursuant to the Amended Athene Services Agreement, were paid on a quarterly basis in arrears by delivery to Apollo of common shares of Athene Holding. Unsettled monitoring fees pursuant to the Amended Athene Services Agreement are recorded as due from affiliates in the consolidated statements of financial condition. For the year ended December 31, 2014, Apollo earned $226.4 million related to this monitoring fee. The monitoring fee is recorded in advisory and transaction fees from affiliates, net, in the consolidated statements of operations. In accordance with the services agreement among AAA, AAA Investments and the other service recipients party thereto and Apollo (the “AAA Services Agreement”), Apollo receives a management fee for managing the assets of AAA Investments. In connection with each of the contribution of certain assets by AAA to Athene in October 2012, and the initial closing of the Athene Private Placement on April 4, 2014, the AAA Services Agreement was amended (the “Amended AAA Services Agreement”). Pursuant to the Amended AAA Services Agreement, the parties agreed that there will be no management fees payable by AAA Investments with respect to the Excluded Athene Shares. AAA Investments agreed to continue to pay Apollo the same management fee on its investment in Athene Holding (other than with respect to the Excluded Athene Shares), except that Apollo agreed that the obligation to pay the existing management fee terminated on December 31, 2014 (although services will continue through December 31, 2020). Prior to the consummation of the Athene Private Placement, all such management fees were accrued pursuant to the AAA Services Derivative. In connection with the Athene Private Placement, the AAA Services Derivative was settled on April 29, 2014 by delivery to Apollo of common shares of Athene Holding, and as a result, such derivative was terminated. Following settlement of the AAA Services Derivative, future management fees paid to Apollo pursuant to the Amended AAA Services Agreement were paid on a quarterly basis in arrears by delivery to Apollo of common shares of Athene Holding. There were no management fees receivable as of December 31, 2016 and December 31, 2015 as AAA Investments’ obligation to pay the existing management fee terminated on December 31, 2014. The total management fees earned by Apollo related to the Amended AAA Services Agreement were $3.4 million , $3.4 million and $1.9 million for the years ended December 31, 2016, 2015 and 2014, respectively. These management fees are recorded in management fees from affiliates in the consolidated statements of operations. The Company provides sub-advisory services with respect to a portion of the assets in the Athene Accounts. In addition, from time to time, Athene also invests in funds and investment vehicles that Apollo manages. The Company broadly refers to “Athene Sub-Advised” assets under management as those assets in the Athene Accounts which the Company explicitly sub-advises as well as those assets in the Athene Accounts which are invested directly in funds and investment vehicles Apollo manages (“Athene Assets Directly Invested”). With respect to assets in the Athene Accounts which the Company explicitly sub-advises, the Company earns up to 0.40% per annum on assets up to $10 billion and 0.35% per annum on all such assets in excess of $10 billion , with certain limited exceptions. These fees are in addition to the gross management fee of 0.40% per annum paid to Athene Asset Management on the portion of such assets that it manages and the gross fee of 0.10% per annum paid to AAME on the portion of such assets that it advises. A majority of the assets in the Athene Accounts which the Company explicitly sub-advises are in accounts that invest in high-grade credit asset classes, such as CLO debt, commercial mortgage backed securities and insurance-linked securities. With respect to Athene Assets Directly Invested, Apollo receives management fees and carried interest, if applicable, directly from the relevant funds under the investment management agreements and other governing documents of such funds. Fees paid to the Company related to such fund investments vary from 0% per annum to 1.75% per annum with respect to management fees and 0% to 20% with respect to carried interest. These fees are in addition to the gross management fee of 0.40% per annum paid to Athene Asset Management on the portion of such assets that it manages and the gross fee of 0.10% per annum paid to AAME on the portion of such assets it advises. The Company refers to the portion of the Athene Asset Management assets under management that is not Athene Sub-Advised as “Athene Non-Sub-Advised”. Athene Asset Management and other Apollo subsidiaries incur all expenses associated with their provision of services to Athene. Apollo, as general partner of AAA Investments, is generally entitled to a carried interest that allocates to it 20% of the realized returns (net of related expenses, including borrowing costs) on the investments of AAA Investments, except that Apollo is not entitled to receive any carried interest with respect to the shares of Athene Holding that were acquired (and not in satisfaction of prior commitments to buy such shares) by AAA Investments in the contribution of certain assets by AAA to Athene in October 2012. Apollo may elect to receive payment of carried interest receivable from AAA Investments in cash or in common shares of Athene Holding (valued at the then fair market value); and if Apollo elects to receive payment of such carried interest in cash, then common shares of Athene Holding shall be distributed to Apollo and immediately sold by Apollo to pay for such carried interest in cash. For the years ended December 31, 2016 , 2015 and 2014 , the Company recorded carried interest income, taking into account the related profit sharing expense, of $47.8 million , $36.1 million and $14.6 million , respectively, from AAA Investments, which is recorded in the consolidated statements of operations. As of December 31, 2016 and December 31, 2015 , the Company had a $229.8 million and $185.5 million carried interest receivable, respectively, related to AAA Investments. As of December 31, 2016 and December 31, 2015 , the Company had a related profit sharing payable of $80.6 million and $62.8 million , respectively, recorded in profit sharing payable in the consolidated statements of financial condition. For the years ended December 31, 2016 , 2015 and 2014 , Apollo earned revenues in the aggregate totaling $547.0 million , $526.5 million and $546.5 million , respectively, consisting of management fees, sub-advisory, monitoring fees and carried interest income from Athene after considering the related profit sharing expense and changes in the market value of the Athene Holding shares owned directly by Apollo, which is recorded in the consolidated statements of operations. These amounts exclude the deferred revenue recognized as management fees associated with the vesting of AHL Awards granted to employees of Athene Asset Management as further described in note 13 . The Company had an approximate 8.9% economic ownership interest in Athene Holding as of December 31, 2016 , which comprises Apollo’s direct 8.0% economic ownership interest in Athene Holding plus an additional 0.9% economic ownership interest, which is calculated as the sum of the Company’s approximate 2.2% economic ownership interest in AAA and the Company’s approximate 0.06% economic ownership interest in AAA Investments, multiplied by AAA Investments’ approximate 39.4% economic ownership interest in Athene, calculated without giving effect to restricted common shares issued under Athene’s management equity plan as of December 31, 2016 . The Company had an approximate 9.2% economic ownership interest in Athene Holding as of December 31, 2015 , which comprises Apollo’s direct ownership of 8.0% of the economic equity of Athene Holding plus an additional 1.2% economic ownership interest, which is calculated as the sum of the Company’s approximate 2.4% economic ownership interest in AAA and the Company’s approximate 0.06% economic ownership interest in AAA Investments, multiplied by AAA Investments’ approximate 46.3% economic ownership interest in Athene, calculated without giving effect to restricted common shares issued under Athene’s management equity plan as of December 31, 2015 . AAA Investments Credit Agreement On April 30, 2015, Apollo entered into a revolving credit agreement with AAA Investments (“AAA Investments Credit Agreement”). Under the terms of the AAA Investments Credit Agreement, the Company shall make available to AAA Investments one or more advances at the discretion of AAA Investments in the aggregate amount not to exceed a balance of $10.0 million at an applicable rate of LIBOR plus 1.5% . The Company receives an annual commitment fee of 0.125% on the unused portion of the loan. As of December 31, 2016 , $4.0 million had been advanced by the Company and remained outstanding on the AAA Investments Credit Agreement. Regulated Entities Apollo Global Securities, LLC (“AGS”) is a registered broker dealer with the SEC and is a member of the Financial Industry Regulatory Authority, subject to the minimum net capital requirements of the SEC. AGS was in compliance with these requirements at December 31, 2016 . From time to time, this entity is involved in transactions with related parties of Apollo, including portfolio companies of the funds Apollo manages, whereby AGS earns underwriting and transaction fees for its services. Interests in Consolidated Entities The table below presents equity interests in Apollo’s consolidated, but not wholly-owned, subsidiaries and funds. Net income and comprehensive income attributable to Non-Controlling Interests consisted of the following: For the Years Ended December 31, 2016 2015 2014 AAA (1) $ — $ — $ (196,964 ) Interest in management companies and a co-investment vehicle (2) (7,403 ) (10,543 ) (13,186 ) Other consolidated entities 1,614 (10,821 ) (17,590 ) Net income attributable to Non-Controlling Interests in consolidated entities (5,789 ) (21,364 ) (227,740 ) Net income attributable to Appropriated Partners’ Capital (3) — — 70,729 Net income attributable to Non-Controlling Interests in the Apollo Operating Group (561,668 ) (194,634 ) (404,682 ) Net Income attributable to Non-Controlling Interests $ (567,457 ) $ (215,998 ) $ (561,693 ) Net income attributable to Appropriated Partners’ Capital (4) — — (70,729 ) Other comprehensive loss attributable to Non-Controlling Interests 2,587 7,020 591 Comprehensive Income Attributable to Non-Controlling Interests $ (564,870 ) $ (208,978 ) $ (631,831 ) (1) Reflects the Non-Controlling Interests in the net (income) loss of AAA and is calculated based on the Non-Controlling Interests ownership percentage in AAA as of December 31, 2014, which was approximately 97.5% . As of December 31, 2014, Apollo owned approximately 2.5% of AAA. AAA was deconsolidated effective January 1, 2015 as a result of the Company’s adoption of new accounting guidance, as described in note 2. (2) Reflects the remaining interest held by certain individuals who receive an allocation of income from certain of our credit funds. (3) Reflects net income of the consolidated CLOs classified as VIEs. (4) Appropriated Partners’ Capital is included in total Apollo Global Management, LLC shareholders’ equity and is therefore not a component of comprehensive income attributable to Non-Controlling Interests on the consolidated statements of comprehensive income. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Investment Commitments— As a limited partner, general partner and manager of the Apollo funds, Apollo had unfunded capital commitments as of December 31, 2016 and December 31, 2015 of $607.9 million and $566.3 million , respectively. Debt Covenants— Apollo’s debt obligations contain various customary loan covenants. As of December 31, 2016 , the Company was not aware of any instances of non-compliance with the financial covenants contained in the documents governing the Company’s debt obligations. Litigation and Contingencies— Apollo is, from time to time, party to various legal actions arising in the ordinary course of business including claims and lawsuits, reviews, investigations or proceedings by governmental and self regulatory agencies regarding its business. Various state attorneys general and federal and state agencies have initiated industry-wide investigations into the use of placement agents in connection with the solicitation of investments, particularly with respect to investments by public pension funds. Certain affiliates of Apollo have received subpoenas and other requests for information from various government regulatory agencies and investors in Apollo’s funds, seeking information regarding the use of placement agents. California Public Employees’ Retirement System (“CalPERS”), one of Apollo’s Strategic Investors, announced on October 14, 2009, that it had initiated a special review of placement agents and related issues. The report of the CalPERS’ Special Review was issued on March 14, 2011. That report does not allege any wrongdoing on the part of Apollo or its affiliates. Apollo is continuing to cooperate with all such investigations and other reviews. In addition, on May 6, 2010, the California Attorney General filed a civil complaint against Alfred Villalobos and his company, Arvco Capital Research, LLC (“Arvco”) (a placement agent that Apollo has used) and Federico Buenrostro Jr., the former CEO of CalPERS, alleging conduct in violation of certain California laws in connection with CalPERS’s purchase of securities in various funds managed by Apollo and another asset manager. Apollo is not a party to the civil lawsuit and the lawsuit does not allege any misconduct on the part of Apollo. Likewise, on April 23, 2012, the SEC filed a lawsuit alleging securities fraud on the part of Arvco, as well as Messrs. Buenrostro and Villalobos, in connection with their activities concerning certain CalPERS investments in funds managed by Apollo. This lawsuit also does not allege wrongdoing on the part of Apollo, and alleges that Apollo was defrauded by Arvco, Villalobos, and Buenrostro. On March 14, 2013, the United States Department of Justice unsealed an indictment against Messrs. Villalobos and Buenrostro alleging, among other crimes, fraud in connection with those same activities; again, Apollo is not accused of any wrongdoing and in fact is alleged to have been defrauded by the defendants. The criminal action was set for trial in a San Francisco federal court in July 2014, but was put on hold after Mr. Buenrostro pleaded guilty on July 11, 2014. As part of Mr. Buenrostro’s plea agreement, he admitted to taking cash and other bribes from Mr. Villalobos in exchange for several improprieties, including attempting to influence CalPERS’ investing decisions and improperly preparing disclosure letters to satisfy Apollo’s requirements. There is no suggestion that Apollo was aware that Mr. Buenrostro had signed the letters with a corrupt motive. The government has indicated that they will file new charges against Mr. Villalobos incorporating Mr. Buenrostro’s admissions. On August 7, 2014, the government filed a superseding indictment against Mr. Villalobos asserting additional charges. Trial had been scheduled for February 23, 2015, but Mr. Villalobos passed away on January 13, 2015. Additionally, on April 15, 2013, Mr. Villalobos, Arvco and related entities (the “Arvco Debtors”) brought a civil action in the United States Bankruptcy Court for the District of Nevada (the “Bankruptcy Court”) against Apollo. The action is related to the ongoing bankruptcy proceedings of the Arvco Debtors. This action alleges that Arvco served as a placement agent for Apollo in connection with several funds associated with Apollo, and seeks to recover purported fees the Arvco Debtors claim Apollo has not paid them for a portion of Arvco’s placement agent services. In addition, the Arvco Debtors allege that Apollo has interfered with the Arvco Debtors’ commercial relationships with third parties, purportedly causing the Arvco Debtors to lose business and to incur fees and expenses in the defense of various investigations and litigations. The Arvco Debtors also seek compensation from Apollo for these alleged lost profits and fees and expenses. The Arvco Debtors’ complaint asserts various theories of recovery under the Bankruptcy Code and common law. Apollo denies the merit of all of the Arvco Debtors’ claims and will vigorously contest them. The Bankruptcy Court had stayed this action pending the result in the criminal case against Mr. Villalobos but lifted the stay on May 1, 2015; in light of Mr. Villalobos’s death, the criminal case was dismissed. On August 25, 2016, Christina Lovato, in her capacity as the Chapter 7 Trustee for the Arvco Debtors, filed an amended complaint. No estimate of possible loss, if any, can be made at this time. On June 18, 2014, BOKF N.A. (the “First Lien Trustee”), the successor indenture trustee under the indenture governing the First Lien Notes issued by Momentive Performance Materials, Inc. (“Momentive”), commenced a lawsuit in the Supreme Court for the State of New York, New York County against AGM and members of an ad hoc group of Second Lien Noteholders (including, but not limited to, Euro VI (BC) S.a.r.l.). The First Lien Trustee amended its complaint on July 2, 2014 (the “First Lien Intercreditor Action”). In the First Lien Intercreditor Action, the First Lien Trustee seeks, among other things, a declaration that the defendants violated an intercreditor agreement entered into between holders of the First Lien Notes and holders of the second lien notes. On July 16, 2014, the successor indenture trustee under the indenture governing the 1.5 Lien Notes (the “1.5 Lien Trustee,” and, together with the First Lien Trustee, the “Indenture Trustees”) filed an action in the Supreme Court of the State of New York, New York County that is substantially similar to the First Lien Intercreditor Action (the “1.5 Lien Intercreditor Action,” and, together with the First Lien Intercreditor Action, the “Intercreditor Actions”). AGM subsequently removed the Intercreditor Actions to federal district court, and the Intercreditor Actions were automatically referred to the Bankruptcy Court adjudicating the Momentive chapter 11 bankruptcy cases. The Indenture Trustees then filed motions with the Bankruptcy Court to remand the Intercreditor Actions back to the state court (the “Remand Motions”). On September 9, 2014, the Bankruptcy Court denied the Remand Motions. On August 15, 2014, the defendants in the Intercreditor Actions (including AGM) filed a motion to dismiss the 1.5 Lien Intercreditor Action and a motion for judgment on the pleadings in the First Lien Intercreditor Action (the “Dismissal Motions”). On September 30, 2014, the Bankruptcy Court granted the Dismissal Motions. In its order granting the Dismissal Motions, the Bankruptcy Court gave the Indenture Trustees until mid-November 2014 to move to amend some, but not all, of the claims alleged in their respective complaints. On November 14, 2014, the Indenture Trustees moved to amend their respective complaints pursuant to the Bankruptcy Court’s order (the “Motions to Amend”). On January 9, 2015, the defendants filed their oppositions to the Motions to Amend. On January 16, 2015, the Bankruptcy Court denied the Motions to Amend (the “Dismissal Order”), but gave the Indenture Trustees until March 2, 2015 to seek to amend their respective complaints. On March 2, 2015, the First Lien Trustee filed a motion seeking to amend its complaint. On April 10, 2015, the defendants, including AGM and Euro VI (BC) S.a.r.l., filed an opposition to the First Lien Trustee’s motion to amend. Instead of moving again to amend its complaint, the 1.5 Lien Trustee chose to appeal the Dismissal Order (the “1.5 Lien Appeal”). On March 30, 2015, the 1.5 Lien Trustee filed its Statement of Issues and Designation of Record on Appeal. On March 31, 2015, because the legal issues presented in the 1.5 Lien Appeal are substantially similar to those presented in the First Lien Intercreditor Action, the parties in the 1.5 Lien Appeal submitted a joint stipulation and proposed order to the District Court staying the briefing schedule on the 1.5 Lien Appeal pending the outcome of the First Lien Trustee’s most recent motion to amend. On April 13, 2015, the Defendants filed their Counter-Designation of the Record on Appeal in the 1.5 Lien Appeal. On May 8, 2015, the Bankruptcy Court denied the motion to amend filed on March 2, 2015 by the First Lien Trustee. On May 27, 2015, the First Lien Trustee filed a notice of appeal from the orders of the Bankruptcy Court dismissing the First Lien Intercreditor Action and denying the First Lien Trustee’s motions to amend (the “First Lien Appeal”). On June 2, 2015, the First Lien Trustee filed its Statement of Issues and Designation of Record on Appeal. On June 24, 2015, the defendants filed their Counter-Designation of the Record on Appeal in the First Lien Appeal. On July 31, 2015, the 1.5 Lien Trustee sent a letter to the federal district court hearing the 1.5 Lien Appeal asking the court to consolidate the 1.5 Lien Appeal with the First Lien Appeal which had been assigned to a different judge (the “Consolidation Request”). On April 8, 2016, the court granted the Consolidation Request. On May 20, 2016, the Indenture Trustees filed their opening appellate brief. The Appellees filed their response brief on July 14, 2016, and the Indenture Trustees filed their reply brief on August 5, 2016. The court has not yet set a date for oral argument. Apollo is unable at this time to assess a potential risk of loss. In addition, Apollo does not believe that AGM is a proper defendant in these actions. There are several pending actions concerning transactions related to Caesars Entertainment Corporation (“Caesars Entertainment”), Caesars Entertainment Operating Company, Inc. (“CEOC”) and certain of their respective subsidiaries. A. In re: Caesars Entertainment Operating Company, Inc. bankruptcy proceedings, No. 15-01145 (N.D. Ill. Bankr.) (the “Illinois Bankruptcy Action”). On January 17, 2017, an order was entered in the Illinois Bankruptcy Action confirming a plan of reorganization for CEOC and its debtor subsidiaries (the “Plan”) which, inter alia, grants broad releases to Apollo (as defined below) and others. The Plan is likely to become effective in the third quarter of 2017 after the conditions to its effectiveness have been satisfied. On the effective date of the Plan (the “Plan Effective Date”), the Apollo Released Parties (as defined below) will be released from the claims in the WSFS Action, the UMB Action, the Trilogy Action, the Danner Action, the BOKF Action, the UMB SDNY Action, the Wilmington Trust Action and the CEOC Action (each as defined below). • Background: On January 12, 2015, three holders of CEOC second lien notes filed an involuntary bankruptcy petition against CEOC in the United States Bankruptcy Court for the District of Delaware (the “Delaware Bankruptcy Action”). On January 15, 2015, CEOC and certain of its affiliates (collectively the “Debtors”) filed the Illinois Bankruptcy Action under Chapter 11 in the Northern District of Illinois. On February 2, 2015, the court in the Delaware Bankruptcy Action ordered that all bankruptcy proceedings relating to the Debtors should take place in the Illinois Bankruptcy Action. The Illinois Bankruptcy Court held an evidentiary hearing to determine whether the Debtors’ petition date was January 12, 2015 or January 15, 2015; this motion has not yet been ruled on by the Illinois Bankruptcy Court, and pursuant to the Plan this motion will be dismissed as moot. Certain of the Debtors’ creditors indicated in filings with the Illinois Bankruptcy Court that an investigation into certain acts and transactions that predated the Debtors’ bankruptcy filing could lead to claims against a number of parties, including AGM and certain of its affiliates. No such claims were brought by the Debtors’ prepetition creditors against Apollo in the Illinois Bankruptcy Action. On May 13, 2016, the Official Committee of Second Priority Noteholders (the “Second Lien Noteholders Committee”) filed a motion seeking an Order granting it standing to commence, prosecute and settle claims on behalf of the Debtors’ estates (the “Standing Motion”). The proposed complaint filed with the Standing Motion names Apollo and many others as defendants (see also “H” below). On or about September 27, 2016, Caesars Entertainment and the Debtors announced that they had received confirmations from representatives of the Debtors’ major creditor groups of those groups’ support for a term sheet that describes the key economic terms of a proposed consensual chapter 11 plan for the Debtors. On October 4, 2016, the Debtors filed the Third Amended Joint Plan of Reorganization which subsequently was amended and became the Plan. As part of the Plan, and in connection with the merger between Caesars Entertainment and Caesars Acquisition Company (“CAC”), funds managed by Apollo will not retain any of their equity interests in the merged Caesars Entertainment on account of their pre-merger Caesars Entertainment shares. Such equity interests would, instead, be for the benefit of CEOC’s creditors. Funds managed by Apollo will, however, retain their equity interests in the merged Caesars Entertainment on account of their CAC shares. The voting deadline on the Plan was November 21, 2016, and approximately 90% in dollar amount of the Debtors’ creditors voted in favor of the Plan. On October 17, 2016, the Bankruptcy Court granted the Debtors’ requested injunction of the WSFS, Trilogy, Danner, UMB, Wilmington Trust and BOKF Actions (defined below “B”, “C”, “D”, “F” and “G”) (the “105 Injunction”) through the first omnibus hearing after Plan confirmation, and by order dated January 26, 2017 the 105 Injunction was extended to, inter alia, the Plan Effective Date. At the confirmation hearing, no creditor presented any objection to the Plan. As noted above, the Plan was confirmed by the Illinois Bankruptcy Court and will become effective after the conditions to its effectiveness have been satisfied. The Plan provides several parties, including, Apollo and certain of its affiliates (collectively referred to as the "Apollo Released Parties") with a release of claims that the Debtors and the Debtors’ creditors have or may have against any or all of the Apollo Released Parties, including those described below in the WSFS Action, the Trilogy Action, the Danner Action, the UMB Action, the BOKF Action, the Wilmington Trust Action and the CEOC Action. B. Wilmington Savings Fund Society, FSB v. Caesars Entertainment Corp. et al., No. 10004-CVG (Del. Ch.) (the “WSFS Action”). On August 4, 2014, Wilmington Savings Fund Society, FSB (“WSFS”), as trustee for certain CEOC second-lien notes, sued Caesars Entertainment, CEOC, other Caesars Entertainment-affiliated entities, and certain of Caesars Entertainment’s directors, including Marc Rowan, Eric Press, David Sambur (each an Apollo Partner) and Jeffrey Benjamin (a consultant to Apollo), in Delaware’s Court of Chancery (the “Delaware Court”). WSFS (i) asserts claims (against some or all of the defendants) for fraudulent conveyance, breach of fiduciary duty, breach of contract, corporate waste, and aiding and abetting related to certain transactions among CEOC and certain of its subsidiaries and Caesars Entertainment and certain of its affiliates, and (ii) requests (among other things) that the Delaware Court unwind the challenged transactions and award damages. WSFS served a subpoena for documents on Apollo on September 11, 2014, but Apollo’s response was stayed during the pendency of motions to dismiss under a September 23, 2014 stipulated order. On March 18, 2015, the Delaware Court denied Defendants’ motion to dismiss. Apollo served responses and objections to WSFS’ subpoena on March 25, 2015. Caesars Entertainment answered the complaint on April 1, 2015. During the pendency of CEOC’s bankruptcy proceedings, the WSFS Action has been automatically stayed with respect to CEOC. WSFS additionally advised the Illinois Bankruptcy Court that, during CEOC’s bankruptcy proceedings, WSFS would only pursue claims in the WSFS Action relating to whether Caesars Entertainment remains liable on a guarantee of certain of CEOC’s second priority notes. On July 17, 2015, WSFS served supplemental subpoenas to several entities affiliated with AGM, and AGM and these entities have substantially completed their production of non-privileged documents responsive to those subpoenas. On March 11, 2016, WSFS filed a motion for partial summary judgment (the “Summary Judgment Motion”) on its breach of contract claim against Caesars Entertainment. On April 25, 2016, Caesars Entertainment filed a joint Cross-Motion for Partial Summary Judgment and answering brief in opposition to WSFS’ Summary Judgment Motion (the “Cross-Motion”). WSFS filed its joint reply and opposition to Caesars Entertainment’s Cross-Motion on May 25, 2016, and Caesars Entertainment filed a reply to WSFS’ opposition on June 9, 2016. On June 15, 2016, the Illinois Bankruptcy Court issued a temporary restraining order and preliminary injunction pursuant to Section 105(a) of the Bankruptcy Code enjoining the plaintiffs in the WSFS Action from prosecuting actions against Caesars Entertainment until August 29, 2016. On October 17, 2016, the Illinois Bankruptcy Court granted the 105 Injunction staying the WSFS Action initially through the first omnibus hearing after Plan confirmation, and now through, inter alia, the Plan Effective Date. Pursuant to the Plan, the Apollo Released Parties will be released from all claims relating to the WSFS Action. As aforementioned, the Plan was confirmed by an order dated January 17, 2017. C. Trilogy Portfolio Company, L.L.C., et al. v. Caesars Entertainment Corp., et al., No. 14-cv-7091 (S.D.N.Y.) (the “Trilogy Action”). On September 3, 2014, institutional investors allegedly holding approximately $137 million in CEOC unsecured senior notes sued CEOC and Caesars Entertainment in federal court in New York (the “New York Court”) for breach of contract and the implied covenant of good faith, Trust Indenture Act (“TIA”) violations, and a declaratory judgment challenging the August 2014 private financing transaction in which a portion of outstanding senior unsecured notes were purchased by Caesars Entertainment, and a majority of the noteholders agreed to amend the indenture to terminate Caesars Entertainment’s guarantee of the notes and modify certain restrictions on CEOC’s ability to sell assets. Caesars Entertainment and CEOC filed a motion to dismiss on November 12, 2014. On January 15, 2015, the New York Court granted the motion with respect to a TIA claim by Trilogy but otherwise denied the motion. On January 30, 2015, plaintiffs filed an amended complaint seeking relief against Caesars Entertainment only, and Caesars Entertainment answered on February 12, 2015. On October 2, 2014, a related putative class action complaint was filed on behalf of the holders of these notes captioned Danner v. Caesars Entertainment Corp., et al., No. 14-cv-7973 (S.D.N.Y.) (the “Danner Action”), against Caesars Entertainment alleging claims similar to those in the Trilogy Action. On February 19, 2015, plaintiffs filed an amended complaint, and Caesars Entertainment answered the amended complaint on February 25, 2015. In March 2015, each of Trilogy and Danner served subpoenas for documents on Apollo. Apollo produced responsive, non-privileged documents in response to those subpoenas. In July 2015, Trilogy and Danner served subpoenas for depositions on Apollo and those depositions were completed on September 22, 2015. On October 23, 2015, Trilogy and Danner filed motions for partial summary judgment, related to TIA and breach of contract claims. On December 29, 2015, the New York Court denied the motions for partial summary judgment. On March 23, 2016, the judge presiding over the Trilogy and Danner Actions announced that she was retiring from the bench effective April 28, 2016. A new judge was assigned to preside over the Trilogy and Danner Actions (in addition to the BOKF, UMB SDNY and Wilmington Trust Actions, defined below). On April 6, 2016, the parties agreed to a renewed summary judgment schedule for the Trilogy, Danner, BOKF, UMB SDNY (as defined below) and Wilmington Trust Actions. The moving parties submitted their briefs to the New York Court on May 10, 2016. Opposition briefs were filed on May 31, 2016. Reply briefs were filed on June 14, 2016. On June 15, 2016, the Illinois Bankruptcy Court issued a temporary restraining order and preliminary injunction pursuant to Section 105(a) of the Bankruptcy Code, enjoining the plaintiffs in the Trilogy and Danner Actions from prosecuting actions against Caesars Entertainment until August 29, 2016. On October 17, 2016, the Illinois Bankruptcy Court granted the 105 Injunction, staying the Trilogy and Danner Actions initially through the first omnibus hearing after Plan confirmation and now by order dated January 26, 2017 through, inter alia, the Plan Effective Date. Pursuant to the Plan, the Apollo Released Parties will be released from all claims relating to the Trilogy and Danner Actions. As aforementioned, the Plan was confirmed by an order dated January 17, 2017. D. UMB Bank v. Caesars Entertainment Corporation, et al., No. 10393 (Del. Ch.) (the “UMB Action”). On November 25, 2014, UMB Bank, as trustee for certain CEOC notes, sued Caesars Entertainment, CEOC, other Caesars Entertainment-affiliated entities and certain of Caesars Entertainment’s directors, including Marc Rowan, Eric Press, David Sambur (each an Apollo Partner) and Jeffrey Benjamin (an Apollo consultant), in the Delaware Court. The UMB Action alleges claims for actual and constructive fraudulent conveyance and transfer, insider preferences, illegal dividends, breach of contract, intentional interference with contractual relations, breach of fiduciary duty, aiding and abetting breach of fiduciary duty, usurpation of corporate opportunities, and unjust enrichment. The UMB Action seeks appointment of a receiver for CEOC, a constructive trust and other relief. The UMB Action has been assigned to the same judge overseeing the WSFS Action. The UMB Action has effectively been stayed since April 7, 2016, and on October 17, 2016, the Illinois Bankruptcy Court granted the 105 Injunction staying the UMB Action initially through the first omnibus hearing after Plan confirmation and now by order dated January 26, 2017 through, inter alia, the Plan Effective Date. Pursuant to the Plan, the Apollo Released Parties will be released from all claims relating to the UMB Action. As aforementioned, the Plan was confirmed by an order dated January 17, 2017. E. Koskie v. Caesars Acquisition Company, et al., No. A-14-711712-C (Clark Cnty Nev. Dist. Ct.) (the “Koskie Action”). On December 30, 2014, Nicholas Koskie brought a shareholder class action on behalf of shareholders of Caesars Acquisition Company (“CAC”) against CAC, Caesars Entertainment, and members of CAC’s Board of Directors, including Marc Rowan and David Sambur (each an Apollo partner). The lawsuit challenges CAC’s and Caesars Entertainment’s plan to merge, alleging that the proposed transaction will not give CAC shareholders fair value. Koskie asserts claims for breach of fiduciary duty relating to the director defendants’ interrelationships with the entities involved the proposed transaction. The case has been dismissed for failure to prosecute, and the time granted to the plaintiff to refile has passed without there being any refiling. F. BOKF, N.A. v. Caesars Entertainment Corporation, No. 15-156 (S.D.N.Y) (the “BOKF Action”). On March 3, 2015, BOKF, N.A., as trustee for certain CEOC notes, sued Caesars Entertainment in the New York Court. The lawsuit alleges claims for breach of contract, intentional interference with contractual relations and a declaratory judgment, and seeks to enforce Caesars Entertainment’s guarantee of certain CEOC notes. The BOKF Action has been assigned to the same judge in the New York Court as the Trilogy and Danner Actions. On March 25, 2015, Caesars Entertainment filed an answer to the complaint. On May 19, 2015, BOKF sent the New York Court a letter requesting permission to file a partial summary judgment motion on Counts II and V of its complaint, related to the validity and enforceability of Caesars Entertainment’s guarantee of certain notes issued by CEOC and alleged violations of the Trust Indenture Act, 15 U.S.C. §§ 76aaa, et seq. The Trilogy and Danner plaintiffs did not join BOKF’s request to file for partial summary judgment. On May 28, 2015, the New York Court granted BOKF permission to move for partial summary judgment. On June 15, 2015, another related complaint captioned UMB Bank, N.A. v. Caesars Entertainment Corp., et al., No. 15-cv-4634 (S.D.N.Y.) (the “UMB SDNY Action”) was filed by UMB Bank, N.A., solely in its capacity as Indenture Trustee of certain first lien notes (“UMB”), against Caesars Entertainment alleging claims similar to those alleged in the BOKF, Trilogy and Danner Actions. On June 16, 2015, UMB sent a letter to the New York Court requesting permission to file a partial summary judgment motion on the same schedule with BOKF. On June 26, 2015, BOKF and UMB filed partial summary judgment motions (the “Partial Summary Judgment Motions”). On July 24, 2015, Caesars Entertainment filed its opposition to the Partial Summary Judgment Motions, and on August 7, 2015, BOKF and UMB filed reply briefs in further support of the Partial Summary Judgment Motions. On August 27, 2015, the New York Court denied the Partial Summary Judgment Motions and certified its opinion for an interlocutory appeal to the United States Court of Appeals for the Second Circuit. On December 22, 2015, the Second Circuit declined to hear the interlocutory appeal. Separately, on November 20, 2015, BOKF and UMB filed a second set of motions for partial summary judgment, on the issue of the disputed contract interpretation related to indenture release provisions. On January 5, 2016 the New York Court denied these motions. At a hearing on February 22, 2016, the New York Court bifurcated the trial in the BOKF and UMB SDNY Actions and scheduled the trial on the breach of contract and TIA claims to begin on March 14, 2016. The New York Court ordered a separate trial on the claims for breach of the covenant of good faith and fair dealing and tortious interference with contract to begin at a later date to be determined. On February 26, 2016, the Illinois Bankruptcy Court granted the stay request as to the BOKF Action until May 9, 2016, resulting in a stay of the trial on the breach of contract and TIA claims in the BOKF and UMB SDNY Actions. On February 24, 2016, Caesars Entertainment filed a motion for partial summary judgment to dispose of the claims for (1) breach of the implied covenant of good faith and fair dealing brought by BOKF and UMB, and (2) intentional interference with contractual relations brought by BOKF. The moving parties submitted their briefs on May 10, 2016. Opposition briefs were filed on May 31, 2016. Reply briefs were filed on June 14, 2016. On June 15, 2016, the Illinois Bankruptcy Court issued a temporary restraining order and preliminary injunction pursuant to Section 105(a) of the Bankruptcy Code, enjoining the plaintiffs in the BOKF Action from prosecuting actions against Caesars Entertainment until August 29, 2016. On October 17, 2016, after several motions and appeals relating to extending the stay past August 29, 2016, the Illinois Bankruptcy Court granted the 105 Injunction staying the BOKF Action initially through the first omnibus hearing after Plan confirmation and now by order dated January 26, 2017 through, inter alia, the Plan Effective Date. Pursuant to the Plan, the Apollo Released Parties will be released from all claims relating to the BOKF Action. As aforementioned, the Plan was confirmed by an order dated January 17, 2017. G. Wilmington Trust, National Association v. Caesars Entertainment Corporation, No. 15-cv-08280 (S.D.N.Y.) (the “Wilmington Trust Action”). On October 20, 2015, Wilmington Trust, N.A., solely in its capacity as Indenture Trustee for the 10.75% Notes due 2016 (“Wilmington Trust”), sued Caesars Entertainment in the New York Court alleging claims similar to those alleged in the BOKF, UMB, Trilogy, and Danner Actions. The parties cross-moved for partial summary judgment on the same schedule as the Trilogy Action. Caesars Entertainment argued that its actions did not violate the TIA and that its guarantee of the 10.75% Notes was automatically released under a certain clause contained in the indenture governing the 10.75% Notes. Wilmington Trust argued that Caesars Entertainment’s actions constituted an improper out-of-court reorganization under the TIA and that Caesars Entertainment’s guarantee was not released because the necessary conditions precedent did not occur. Although the temporary restraining order and preliminary injunction issued by the Illinois Bankruptcy Court did not apply to the Wilmington Trust Action, on July 6, 2016, Wilmington Trust and Caesars Entertainment filed a stipulation staying the Wilmington Trust Action until August 29, 2016. The New York Court scheduled oral argument for August 30, 2016. A motion was made by CEOC and the other Debtors to the Illinois Bankruptcy Court to extend the stay beyond August 29, 2016, which motion was denied. On October 17, 2016, the Illinois Bankruptcy Court granted the 105 Injunction staying the Wilmington Trust Action initially through the first omnibus hearing after Plan confirmation and now by order dated January 26, 2017 through, inter alia, the Plan Effective Date. Pursuant to the Plan, the Apollo Released Parties will be released from all claims relating to the Wilmington Trust Action. As aforementioned, the Plan was confirmed by an order dated January 17, 2017. H. CEOC v. Caesars Entertainment et al., Illinois Bankruptcy Court (the “CEOC Action”). On or about August 9, 2016, CEOC and certain of the other Debtors commenced a “placeholder” lawsuit against Caesars Entertainment, AGM, Caesars Entertainment directors (including Messrs. Rowan, Sambur, Press and Benjamin) and certain of its officers, and many others to, inter alia, prevent the statute of limitations from running respecting any claim owned by a Debtor’s estate. This lawsuit basically asserts the claims identified in the Examiner’s Report and has been stayed by an order of the Bankruptcy Court. Pursuant to the Plan, the Apollo Released Parties will be released from all claims relating to the CEOC Action. As aforementioned, the Plan was confirmed by an order dated January 17, 2017. Apollo believes that the claims in the WSFS Action, the UMB Action, the Trilogy Action, the Danner Action, the Koskie Action, the BOKF Action, the UMB SDNY Action, the Wilmington Trust Action and the CEOC Action are without merit. For this reason, and because the confirmed Plan has not become effective yet, no reasonable estimate of possible loss, if any, can be made at this time. The Bankruptcy Court administering the CEOC bankruptcy proceedings appointed an examiner (the “Examiner”) to report on certain transactions engaged in by CEOC and certain of its subsidiaries. The Examiner issued his report on March 16, 2016. The Examiner’s report states that potential claims may exist against “Apollo” and persons affiliated with it relating to certain transactions that occurred in the years preceding CEOC’s bankruptcy filing, principally relating to Bankruptcy Code fraudulent conveyance claims as well as aiding and abetting claims. Apollo and persons affiliated with it deny any wrongdoing and deny any liability in connection with such transactions, and if any new claim is asserted against any of them, such claim will be vigorously contested. Following t |
SEGMENT REPORTING
SEGMENT REPORTING | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING Apollo conducts its business primarily in the United States and substantially all of its revenues are generated domestically. Apollo’s business is conducted through three reportable segments: private equity, credit and real estate. Segment information is utilized by our Managing Partners, who operate collectively as our chief operating decision maker, to assess performance and to allocate resources. These segments were established based on the nature of investment activities in each underlying fund, including the specific type of investment made and the level of control over the investment. The performance is measured by the Company’s chief operating decision maker on an unconsolidated basis because management makes operating decisions and assesses the performance of each of Apollo’s business segments based on financial and operating metrics and data that exclude the effects of consolidation of any of the affiliated funds. Economic Income Economic Income, or “EI”, is a key performance measure used by management in evaluating the performance of Apollo’s private equity, credit and real estate segments. Management believes the components of EI, such as the amount of management fees, advisory and transaction fees and carried interest income, are indicative of the Company’s performance. Management uses EI in making key operating decisions such as the following: • Decisions related to the allocation of resources such as staffing decisions including hiring and locations for deployment of the new hires; • Decisions related to capital deployment such as providing capital to facilitate growth for the business and/or to facilitate expansion into new businesses; and • Decisions relating to expenses, such as determining annual discretionary bonuses and equity-based compensation awards to its employees. With respect to compensation, management seeks to align the interests of certain professionals and selected other individuals with those of the investors in such funds and those of the Company’s shareholders by providing such individuals a profit sharing interest in the carried interest income earned in relation to the funds. To achieve that objective, a certain amount of compensation is based on the Company’s performance and growth for the year. EI is a measure of profitability and has certain limitations in that it does not take into account certain items included under U.S. GAAP. EI represents segment income before income tax provision excluding transaction-related charges arising from the 2007 private placement, and any acquisitions. Transaction-related charges include equity-based compensation charges, the amortization of intangible assets, contingent consideration and certain other charges associated with acquisitions. In addition, segment data excludes non-cash revenue and expense related to equity awards granted by unconsolidated related parties to employees of the Company, compensation and administrative related expense reimbursements, as well as the assets, liabilities and operating results of the funds and VIEs that are included in the consolidated financial statements. Economic Income (Loss) for the years ended December 31, 2015 and 2014 includes a recast of salary, bonus and benefits due to management’s change in allocation methodology among the segments during the first quarter of 2016 . All prior periods have been recast to conform to the current presentation. The impact to the combined segments’ total Economic Income (Loss) for all periods was zero . Impact on Economic Income (Loss) For the Year Ended December 31, 2015 Private Equity Segment Credit Segment Real Estate Segment Total Total Economic Income (Loss), as previously presented $ 70,968 $ 325,116 $ (427 ) $ 395,657 Impact of reclassification (19,286 ) 13,447 5,839 — Total Economic Income, as currently presented $ 51,682 $ 338,563 $ 5,412 $ 395,657 Impact on Economic Income For the Year Ended December 31, 2014 Private Equity Segment Credit Segment Real Estate Segment Total Total Economic Income, as previously presented $ 246,981 $ 507,986 $ 84 $ 755,051 Impact of reclassification (32,858 ) 26,049 6,809 — Total Economic Income, as currently presented $ 214,123 $ 534,035 $ 6,893 $ 755,051 The following tables present financial data for Apollo’s reportable segments as of and for the years ended December 31, 2016 and 2015 and for the year ended December 31, 2014 : As of and for the Year Ended December 31, 2016 Private Equity Segment Credit Segment Real Estate Segment Total Reportable Segments Revenues: Management fees from related parties $ 321,995 $ 596,709 $ 58,945 $ 977,649 Advisory and transaction fees from related parties, net 128,675 12,533 5,907 147,115 Carried interest income from related parties: Unrealized (1) 368,807 137,274 4,918 510,999 Realized 82,292 180,029 12,566 274,887 Total Revenues (2) 901,769 926,545 82,336 1,910,650 Expenses: Compensation and benefits: Salary, bonus and benefits 124,463 209,256 33,171 366,890 Equity-based compensation 27,549 34,185 2,734 64,468 Profit sharing expense 158,536 147,727 10,387 316,650 Total compensation and benefits 310,548 391,168 46,292 748,008 Non-compensation expenses: General, administrative and other 71,323 125,639 21,528 218,490 Placement fees 2,297 22,047 89 24,433 Total non-compensation expenses 73,620 147,686 21,617 242,923 Total Expenses (2) 384,168 538,854 67,909 990,931 Other Income (Loss): Income from equity method investments 66,281 33,290 3,010 102,581 Net gains from investment activities 11,379 127,229 — 138,608 Net interest loss (14,187 ) (20,669 ) (4,163 ) (39,019 ) Other income (loss), net 1,650 (4,500 ) 692 (2,158 ) Total Other Income (Loss) (2) 65,123 135,350 (461 ) 200,012 Non-Controlling Interests — (7,464 ) — (7,464 ) Economic Income (2) $ 582,724 $ 515,577 $ 13,966 $ 1,112,267 Total Assets (2) $ 2,004,833 $ 2,505,980 $ 183,830 $ 4,694,643 (1) Included in unrealized carried interest gains (losses) from related parties for the year ended December 31, 2016 was a reversal of previously realized carried interest income due to the general partner obligation to return previously distributed carried interest income. See note 14 for further details regarding the general partner obligation. (2) Refer below for a reconciliation of total revenues, total expenses, other income and total assets for Apollo’s total reportable segments to total consolidated revenues, total consolidated expenses, total consolidated other income (loss) and total assets. As of and for the Year Ended December 31, 2015 Private Credit Real Total Revenues: Management fees from related parties $ 295,836 $ 565,241 $ 50,816 $ 911,893 Advisory and transaction fees from related parties, net (7,485 ) 17,246 4,425 14,186 Carried interest income (loss) from related parties: Unrealized (1) (314,161 ) (80,534 ) 7,154 (387,541 ) Realized 339,822 139,152 5,857 484,831 Total Revenues (2) 314,012 641,105 68,252 1,023,369 Expenses: Compensation and benefits: Salary, bonus and benefits 123,653 200,032 32,237 355,922 Equity-based compensation 31,324 26,683 4,177 62,184 Profit sharing expense 46,572 34,384 5,075 86,031 Total compensation and benefits 201,549 261,099 41,489 504,137 Non-compensation expenses: General, administrative and other 75,559 123,378 22,869 221,806 Placement fees 4,550 4,389 — 8,939 Total non-compensation expenses 80,109 127,767 22,869 230,745 Total Expenses (2) 281,658 388,866 64,358 734,882 Other Income: Income (loss) from equity method investments 19,125 (6,025 ) 2,978 16,078 Net gains from investment activities 6,933 114,199 — 121,132 Net interest loss (9,878 ) (13,740 ) (2,915 ) (26,533 ) Other income, net 3,148 3,574 1,455 8,177 Total Other Income (2) 19,328 98,008 1,518 118,854 Non-Controlling Interests — (11,684 ) — (11,684 ) Economic Income (2) $ 51,682 $ 338,563 $ 5,412 $ 395,657 Total Assets (2) $ 1,255,340 $ 2,143,813 $ 192,469 $ 3,591,622 (1) Included in unrealized carried interest gains from related parties for the year ended December 31, 2015 was a reversal of previously realized carried interest income due to the general partner obligation to return previously distributed carried interest income. See note 14 for further detail regarding the general partner obligation. (2) Refer below for a reconciliation of total revenues, total expenses and other income for Apollo’s total reportable segments to total consolidated revenues, total consolidated expenses and total consolidated other income (loss). For the Year Ended December 31, 2014 Private Credit Real Total Revenues: Management fees from related parties $ 315,069 $ 538,742 $ 47,213 $ 901,024 Advisory and transaction fees from related parties, net 58,241 255,186 2,655 316,082 Carried interest income (loss) from related parties: Unrealized (1) (1,196,093 ) (156,644 ) 4,951 (1,347,786 ) Realized 1,428,076 322,233 3,998 1,754,307 Total Revenues (2) 605,293 959,517 58,817 1,623,627 Expenses: Compensation and benefits: Salary, bonus and benefits 129,547 184,497 25,802 339,846 Equity-based compensation 49,526 47,120 8,849 105,495 Profit sharing expense 178,373 83,788 2,747 264,908 Total compensation and benefits 357,446 315,405 37,398 710,249 Non-compensation Expenses: General, administrative and other 68,092 138,024 21,669 227,785 Placement fees 2,194 13,228 — 15,422 Total non-compensation expenses 70,286 151,252 21,669 243,207 Total Expenses (2) 427,732 466,657 59,067 953,456 Other Income: Income from equity method investments 30,418 18,812 5,675 54,905 Net gains from investment activities — 9,062 — 9,062 Net interest loss (7,883 ) (9,274 ) (1,941 ) (19,098 ) Other income, net 14,027 35,263 3,409 52,699 Total Other Income (2) 36,562 53,863 7,143 97,568 Non-Controlling Interests — (12,688 ) — (12,688 ) Economic Income (2) $ 214,123 $ 534,035 $ 6,893 $ 755,051 (1) Included in unrealized carried interest gains from related parties for the year ended December 31, 2014 was a reversal of previously realized carried interest income due to the general partner obligation to return previously distributed carried interest income. (2) Refer below for a reconciliation of total revenues, total expenses and other income for Apollo’s total reportable segments to total consolidated revenues, total consolidated expenses and total consolidated other income (loss). The following table reconciles total consolidated revenues to total revenues for Apollo’s reportable segments for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Total Consolidated Revenues $ 1,970,384 $ 1,041,670 $ 1,560,083 Equity awards granted by unconsolidated related parties and reimbursable expenses (1) (73,913 ) (27,949 ) (18,665 ) Adjustments related to consolidated funds and VIEs (1) 5,477 3,696 75,830 Other (1) 8,702 5,952 6,379 Total Reportable Segments Revenues $ 1,910,650 $ 1,023,369 $ 1,623,627 (1) Represents advisory fees, management fees and carried interest income earned from consolidated VIEs which are eliminated in consolidation. Includes non-cash revenues related to equity awards granted by unconsolidated related parties to employees of the Company and certain compensation and administrative related expense reimbursements. The following table reconciles total consolidated expenses to total expenses for Apollo’s reportable segments for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Total Consolidated Expenses $ 1,165,918 $ 830,975 $ 1,043,563 Equity awards granted by unconsolidated related parties and reimbursable expenses (1) (75,653 ) (28,658 ) (19,207 ) Transaction-related compensation charges (1) (46,293 ) (4,825 ) (12,903 ) Reclassification of interest expenses (43,482 ) (30,071 ) (22,393 ) Amortization of transaction-related intangibles (1) (8,807 ) (33,998 ) (34,887 ) Other (1) (752 ) 1,459 (717 ) Total Reportable Segments Expenses $ 990,931 $ 734,882 $ 953,456 (1) Represents the addition of expenses of consolidated funds and VIEs, transaction-related charges, non-cash expenses related to equity awards granted by unconsolidated related parties to employees of the Company and certain compensation and administrative expenses. Transaction-related charges include equity-based compensation charges, the amortization of intangible assets, contingent consideration and certain other charges associated with acquisitions. The following table reconciles total consolidated other income to total other income for Apollo’s reportable segments for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Total Consolidated Other Income $ 256,548 $ 166,533 $ 360,647 Reclassification of interest expense (43,482 ) (30,071 ) (22,393 ) Adjustments related to consolidated funds and VIEs (1) (3,982 ) (14,652 ) (222,129 ) Other (9,072 ) (2,956 ) (18,557 ) Total Reportable Segments Other Income $ 200,012 $ 118,854 $ 97,568 (1) Represents the addition of other income of consolidated funds and VIEs. The following table presents the reconciliation of income before income tax provision reported in the consolidated statements of operations to Economic Income for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Income before income tax provision $ 1,061,014 $ 377,228 $ 877,167 Adjustments: Net income attributable to Non-Controlling Interests in consolidated entities and appropriated partners’ capital (5,789 ) (21,364 ) (157,011 ) Transaction-related charges (1) 57,042 39,793 34,895 Total consolidation adjustments and other 51,253 18,429 (122,116 ) Economic Income $ 1,112,267 $ 395,657 $ 755,051 (1) Transaction-related charges include equity-based compensation charges, the amortization of intangible assets, contingent consideration and certain other charges associated with acquisitions. Equity-based compensation adjustment includes non-cash revenues and expenses related to equity awards granted by unconsolidated related parties to employees of the Company. The following table presents the reconciliation of Apollo’s total reportable segment assets to total assets as of December 31, 2016 and 2015 : As of As of Total reportable segment assets $ 4,694,643 $ 3,591,622 Adjustments (1) 934,910 968,186 Total assets $ 5,629,553 $ 4,559,808 (1) Represents the addition of assets of consolidated funds and VIEs and consolidation elimination adjustments. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS On February 3, 2017 , the Company declared a cash distribution of $0.45 per Class A share, which will be paid on February 28, 2017 to holders of record on February 21, 2017 . On February 7, 2017 , the Company issued 1,683,662 Class A shares in settlement of vested RSUs. These issuances caused the Company’s ownership interest in the Apollo Operating Group to increase from 46.3% to 46.5% . |
QUARTERLY FINANCIAL DATA (UNAUD
QUARTERLY FINANCIAL DATA (UNAUDITED) | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
QUARTERLY FINANCIAL DATA (UNAUDITED) | QUARTERLY FINANCIAL DATA (UNAUDITED) For the Three Months Ended March 31, June 30, September 30, December 31, 2016 Revenues $ 120,826 $ 660,447 $ 503,731 $ 685,380 Expenses 141,899 343,398 282,257 398,364 Other Income (Loss) (58,635 ) 136,742 42,911 135,530 Income (Loss) Before Provision for Taxes $ (79,708 ) $ 453,791 $ 264,385 $ 422,546 Net Income (Loss) $ (74,561 ) $ 415,803 $ 234,718 $ 394,347 Net Income (Loss) Attributable to Apollo Global Management, LLC $ (32,828 ) $ 174,092 $ 94,619 $ 166,967 Net Income (Loss) per Class A Share-Basic $ (0.19 ) $ 0.91 $ 0.50 $ 0.87 Net Income (Loss) per Class A Share - Diluted $ (0.19 ) $ 0.91 $ 0.50 $ 0.87 For the Three Months Ended March 31, June 30, September 30, December 31, 2015 Revenues $ 303,024 $ 351,727 $ 193,268 $ 193,651 Expenses 223,996 244,539 174,911 187,529 Other Income 7,984 49,978 84,793 23,778 Income Before Provision for Taxes $ 87,012 $ 157,166 $ 103,150 $ 29,900 Net Income $ 81,498 $ 148,074 $ 96,559 $ 24,364 Net Income Attributable to Apollo Global Management, LLC $ 30,927 $ 56,428 $ 41,051 $ 6,091 Net Income per Class A Share - Basic $ 0.09 $ 0.30 $ 0.20 $ 0.02 Net Income per Class A Share - Diluted $ 0.09 $ 0.30 $ 0.20 $ 0.02 |
SUMMARY OF SIGNIFICANT ACCOUN27
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Organization of the Company | Organization of the Company The Company was formed as a Delaware limited liability company on July 3, 2007 and completed a reorganization of its predecessor businesses on July 13, 2007 (the “2007 Reorganization”). The Company is managed and operated by its manager, AGM Management, LLC, which in turn is indirectly wholly-owned and controlled by Leon Black, Joshua Harris and Marc Rowan, our Managing Partners. As of December 31, 2016 , the Company owned, through five intermediate holding companies that include APO Corp., a Delaware corporation that is a domestic corporation for U.S. federal income tax purposes, APO Asset Co., LLC, a Delaware limited liability company that is a disregarded entity for U.S. federal income tax purposes, APO (FC), LLC, an Anguilla limited liability company that is treated as a corporation for U.S. federal income tax purposes, APO (FC II), LLC, an Anguilla limited liability company that is treated as a corporation for U.S. federal income tax purposes and APO UK (FC), Limited, a United Kingdom incorporated company that is treated as a corporation for U.S. federal income tax purposes (collectively, the “Intermediate Holding Companies”), 46.3% of the economic interests of, and operated and controlled all of the businesses and affairs of, the Apollo Operating Group through its wholly-owned subsidiaries. AP Professional Holdings, L.P., a Cayman Islands exempted limited partnership (“Holdings”), is the entity through which the Managing Partners and certain of the Company’s other partners (the “Contributing Partners”) indirectly beneficially own interests in each of the partnerships that comprise the Apollo Operating Group (“AOG Units”). As of December 31, 2016 , Holdings owned the remaining 53.7% of the economic interests in the Apollo Operating Group. The Company consolidates the financial results of the Apollo Operating Group and its consolidated subsidiaries. Holdings’ ownership interest in the Apollo Operating Group is reflected as a Non-Controlling Interest in the accompanying consolidated financial statements. |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements are prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). The consolidated financial statements include the accounts of the Company, its wholly-owned or majority-owned subsidiaries, the consolidated entities which are considered to be variable interest entities (“VIEs”) and for which the Company is considered the primary beneficiary, and certain entities which are not considered VIEs but which the Company controls through a majority voting interest. Intercompany accounts and transactions, if any, have been eliminated upon consolidation. Certain reclassifications, when applicable, have been made to the prior period’s consolidated financial statements and notes to conform to the current period’s presentation and are disclosed accordingly. |
Principles of Consolidation | Principles of Consolidation —The types of entities with which Apollo is involved generally include subsidiaries (e.g., general partners and management companies related to the funds the Company manages), entities that have all the attributes of an investment company (e.g., funds) and securitization vehicles (e.g., collateralized loan obligations). Each of these entities is assessed for consolidation on a case by case basis depending on the specific facts and circumstances surrounding that entity. In February 2015, the Financial Accounting Standards Board (“FASB”) issued new consolidation guidance which changed the analysis that a reporting entity must perform to determine whether it should consolidate certain types of legal entities. During the second quarter of 2015, the Company elected to adopt this new guidance using the modified retrospective method, which resulted in an effective date of adoption of January 1, 2015. Restatement of prior period results is not required. Amounts presented for the year ended December 31, 2015 in the consolidated statements of operations reflect the adoption of this accounting guidance as of January 1, 2015. Pursuant to the consolidation guidance, the Company first evaluates whether it holds a variable interest in an entity. Fees that are customary and commensurate with the level of services provided, and where the Company does not hold other economic interests in the entity that would absorb more than an insignificant amount of the expected losses or returns of the entity, would not be considered a variable interest. Apollo factors in all economic interests including proportionate interests through related parties, to determine if such interests are considered a variable interest. As Apollo’s interests in many of these entities are solely through market rate performance fees and/or insignificant indirect interests through related parties, Apollo is not considered to have a variable interest in many of these entities under the new guidance and no further consolidation analysis is performed. For entities where the Company has determined that it does hold a variable interest, the Company performs an assessment to determine whether each of those entities qualify as a variable interest entity (“VIE”). The determination as to whether an entity qualifies as a VIE depends on the facts and circumstances surrounding each entity and therefore certain of Apollo’s funds may qualify as VIEs under the variable interest model whereas others may qualify as voting interest entities (“VOEs”) under the voting interest model. The granting of substantive kick-out rights is a key consideration in determining whether a limited partnership or similar entity is a VIE and whether or not that entity should be consolidated. Under the variable interest model, Apollo consolidates those entities where it is determined that the Company is the primary beneficiary of the entity. The Company is determined to be the primary beneficiary when it has a controlling financial interest in the VIE, which is defined as possessing both (i) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance and (ii) the obligation to absorb losses of the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. When Apollo alone is not considered to have a controlling financial interest in the VIE but Apollo and its related parties under common control in the aggregate have a controlling financial interest in the VIE, Apollo will be deemed the primary beneficiary if it is the party that is most closely associated with the VIE. When Apollo and its related parties not under common control in the aggregate have a controlling financial interest in the VIE, Apollo would be deemed to be the primary beneficiary if substantially all the activities of the entity are performed on behalf of Apollo. Apollo determines whether it is the primary beneficiary of a VIE at the time it becomes initially involved with the VIE and reconsiders that conclusion continuously. Investments and redemptions (either by Apollo, related parties of Apollo or third parties) or amendments to the governing documents of the respective entity may affect an entity’s status as a VIE or the determination of the primary beneficiary. The assessment of whether an entity is a VIE and the determination of whether Apollo should consolidate such VIE requires judgment by our management. Those judgments include, but are not limited to: (i) determining whether the total equity investment at risk is sufficient to permit the entity to finance its activities without additional subordinated financial support, (ii) evaluating whether the holders of equity investment at risk, as a group, can make decisions that have a significant effect on the success of the entity, (iii) determining whether the equity investors have proportionate voting rights to their obligations to absorb losses or rights to receive the expected residual returns from an entity and (iv) evaluating the nature of the relationship and activities of those related parties with shared power or under common control for purposes of determining which party within the related-party group is most closely associated with the VIE. Judgments are also made in determining whether a member in the equity group has a controlling financial interest including power to direct activities that most significantly impact the VIE’s economic performance and rights to receive benefits or obligations to absorb losses that could be potentially significant to the VIE. This analysis considers all economic interests including proportionate interests through related parties. Assets and liabilities of the consolidated VIEs are primarily shown in separate sections within the consolidated statements of financial condition. |
Cash and Cash Equivalents and Restricted Cash | Cash and Cash Equivalents — Apollo considers all highly liquid short-term investments with original maturities of 90 days or less when purchased to be cash equivalents. Substantially all amounts are on deposit in interest bearing accounts with major financial institutions and exceed insured limits. Restricted Cash— Restricted Cash represents cash deposited at a bank, which is pledged as collateral in connection with leased premises. |
Deferred Revenue | Deferred Revenue —Apollo earns management fees subject to the Management Fee Offset (described below). When advisory and transaction fees are earned by the management company, the Management Fee Offset reduces the management fee obligation of the fund. When the management company receives cash for advisory and transaction fees, a certain percentage of such advisory and/or transaction fees, as applicable, is allocated as a credit to reduce future management fees, otherwise payable by such fund. Such credit is recorded as deferred revenue in the consolidated statements of financial condition. A portion of any excess advisory and transaction fees may be required to be returned to the limited partners of certain funds upon such fund’s liquidation. As the management fees earned by the management company are presented on a gross basis, any Management Fee Offsets calculated are presented as a reduction to advisory and transaction fees from related parties in the consolidated statements of operations. Additionally, Apollo earns advisory fees pursuant to the terms of the advisory agreements with certain of the portfolio companies that are owned by the funds. When Apollo receives a payment from a portfolio company that exceeds the advisory fees earned at that point in time, the excess payment is recorded as deferred revenue in the consolidated statements of financial condition. The advisory agreements with the portfolio companies vary in duration and the associated fees are received monthly, quarterly or annually. Deferred revenue is reversed and recognized as revenue over the period that the agreed upon services are performed. Under the terms of the funds’ partnership agreements, Apollo is normally required to bear organizational expenses over a set dollar amount and placement fees or costs in connection with the offering and sale of interests in the funds to investors. The placement fees are payable to placement agents, who are independent third parties that assist in identifying potential investors, securing commitments to invest from such potential investors, preparing or revising offering and marketing materials, developing strategies for attempting to secure investments by potential investors and/or providing feedback and insight regarding issues and concerns of potential investors, when a limited partner either commits or funds a commitment to a fund. In certain instances the placement fees are paid over a period of time. Based on the management agreements with the funds, Apollo considers placement fees and organizational costs paid in determining if cash has been received in excess of the management fees earned. Placement fees and organizational costs are normally the obligation of Apollo but can be paid for by the funds. When these costs are paid by the fund, the resulting obligations are included within deferred revenue. The deferred revenue balance will also be reduced during future periods when management fees are earned but not paid. |
Due from/to Related Parties | Due from/to Related Parties— Apollo considers its existing partners, employees, certain former employees, portfolio companies of the funds and nonconsolidated private equity, credit and real estate funds to be related parties. |
Investments, at Fair Value | Investments, at Fair Value —The Company follows U.S. GAAP attributable to fair value measurements which, among other things, requires enhanced disclosures about investments that are measured and reported at fair value. Investments, at fair value represent investments of the consolidated funds, investments of the consolidated VIEs and certain financial instruments for which the fair value option has been elected. The unrealized gains and losses resulting from changes in the fair value are reflected as net gains (losses) from investment activities and net gains (losses) from investment activities of the consolidated VIEs in the consolidated statements of operations. |
Derivatives | Derivatives —The Company records derivatives as assets or liabilities on its consolidated statements of financial condition at fair value. On the date the Company enters into a derivative contract, it designates and documents the derivative contract as one of the following: (a) a hedge of a recognized asset or liability (“fair value hedge”), (b) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”), (c) a hedge of a net investment in a foreign operation (“net investment hedge”) or (d) a derivative instrument not designated as a hedging instrument (“freestanding derivative”). The Company did not have any freestanding derivatives, fair value hedges or cash flow hedges as of December 31, 2016 or December 31, 2015 . For net investment hedges, the Company records changes in the fair value of the derivative in the cumulative translation adjustment section of other comprehensive income to the extent it is effective as a hedge. The fair values of the derivative instruments are reflected in other assets and other liabilities on the consolidated statements of financial condition. The Company formally documents at inception its hedge relationships, including identification of the hedging instruments and the hedged items, the Company’s risk management objectives, its strategy for undertaking the hedge transaction and the method for evaluating effectiveness of its hedged transactions. At least quarterly, the Company also formally assesses whether the derivatives it designated in each hedging relationship are expected to be, and have been, highly effective in offsetting changes in estimated fair values of the hedged items. The ineffective portion of a net investment hedge, if any, is recognized in current period earnings. The Company has elected to not offset derivative assets and liabilities or financial assets in its consolidated statements of financial condition, even when an enforceable master netting agreement is in place that provides the Company the right to offset derivative assets and liabilities in the same currency by specific derivative type or, in the event of default by the counterparty, to offset derivative assets and liabilities with the same counterparty. |
Equity Method Investments | Equity Method Investments —For investments in entities over which the Company exercises significant influence but which do not meet the requirements for consolidation and for which the Company has not elected the fair value option, the Company uses the equity method of accounting, whereby the Company records its share of the underlying income or loss of such entities. The carrying amounts of equity method investments are recorded in investments in the consolidated statements of financial condition. As the underlying entities that the Company manages and invests in are, for U.S. GAAP purposes, primarily investment companies which reflect their investments at estimated fair value, the carrying value of the Company’s equity method investments in such entities approximates fair value. |
Private Equity Investments | Private Equity Investments The value of liquid investments in Apollo’s private equity funds, where the primary market is an exchange (whether foreign or domestic) is determined using period end market prices. Such prices are generally based on the close price on the date of determination. Valuation approaches used to estimate the fair value of investments in Apollo’s private equity funds that are less liquid include the market approach and the income approach. The market approach provides an indication of fair value based on a comparison of the subject company to comparable publicly traded companies and transactions in the industry. The market approach is driven more by current market conditions, including actual trading levels of similar companies and, to the extent available, actual transaction data of similar companies. Judgment is required by management when assessing which companies are similar to the subject company being valued. Consideration may also be given to such factors as the Company’s historical and projected financial data, valuations given to comparable companies, the size and scope of the Company’s operations, the Company’s strengths, weaknesses, expectations relating to the market’s receptivity to an offering of the Company’s securities, applicable restrictions on transfer, industry and market information and assumptions, general economic and market conditions and other factors deemed relevant. The income approach provides an indication of fair value based on the present value of cash flows that a business or security is expected to generate in the future. The most widely used methodology in the income approach is a discounted cash flow method. Inherent in the discounted cash flow method are assumptions of expected results, the determination of a terminal value and a calculated discount rate. |
Credit Investments | Credit Investments The majority of investments in Apollo’s credit funds are valued based on quoted market prices and valuation models. Quoted market prices are valued based on the average of the “bid” and the “ask” quotes provided by multiple brokers wherever possible without any adjustments. Apollo will designate certain brokers to use to value specific securities. In order to determine the designated brokers, Apollo considers the following: (i) brokers with which Apollo has previously transacted, (ii) the underwriter of the security and (iii) active brokers indicating executable quotes. In addition, when valuing a security based on broker quotes wherever possible Apollo tests the standard deviation amongst the quotes received and the variance between the concluded fair value and the value provided by a pricing service. When broker quotes are not available Apollo considers the use of pricing service quotes or other sources to mark a position. When relying on a pricing service as a primary source, Apollo (i) analyzes how the price has moved over the measurement period, (ii) reviews the number of brokers included in the pricing service’s population and (iii) validates the valuation levels with Apollo’s pricing team and traders. Debt and equity securities that are not publicly traded or whose market prices are not readily available are valued at fair value utilizing a model based approach to determine fair value. Valuation approaches used to estimate the fair value of illiquid credit investments also may include the market approach and the income approach, as previously described above. The valuation approaches used consider, as applicable, market risks, credit risks, counterparty risks and foreign currency risks. |
Real Estate Investments | Real Estate Investments The estimated fair value of commercial mortgage-backed securities (“CMBS”) in Apollo’s real estate funds is determined by reference to market prices provided by certain dealers who make a market in these financial instruments. Broker quotes are only indicative of fair value and may not necessarily represent what the funds would receive in an actual trade for the applicable instrument. Additionally, the loans held-for-investment are stated at the principal amount outstanding, net of deferred loan fees and costs for certain investments. The loans in Apollo’s real estate funds are evaluated for possible impairment on a quarterly basis. For Apollo’s real estate funds, valuations of non-marketable underlying investments are determined using methods that include, but are not limited to (i) discounted cash flow estimates or comparable analysis prepared internally, (ii) third party appraisals or valuations by qualified real estate appraisers and (iii) contractual sales value of investments/properties subject to bona fide purchase contracts. Methods (i) and (ii) also incorporate consideration of the use of the income, cost, or sales comparison approaches of estimating property values. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions. Except for the Company’s debt obligations (as described in note 11 ), Apollo’s financial instruments are recorded at fair value or at amounts whose carrying values approximate fair value. See “Investments, at Fair Value” above. While Apollo’s valuations of portfolio investments are based on assumptions that Apollo believes are reasonable under the circumstances, the actual realized gains or losses will depend on, among other factors, future operating results, the value of the assets and market conditions at the time of disposition, any related transaction costs and the timing and manner of sale, all of which may ultimately differ significantly from the assumptions on which the valuations were based. Financial instruments’ carrying values generally approximate fair value because of the short-term nature of those instruments or variable interest rates related to the borrowings. Fair Value Option —Apollo has elected the fair value option for the Company’s investment in Athene Holding, the assets and liabilities of certain consolidated VIEs (including CLOs) and the Company’s investments in certain CLOs. Such election is irrevocable and is applied to financial instruments on an individual basis at initial recognition. Apollo has applied the fair value option for certain corporate loans, other investments and debt obligations held by the consolidated VIEs that otherwise would not have been carried at fair value. |
Financial Instruments held by Consolidated VIEs | Financial Instruments held by Consolidated VIEs During the second quarter of 2015, the Company adopted the measurement alternative included in the collateralized financing entity (“CFE”) guidance using a modified retrospective approach by recording a cumulative-effect adjustment to shareholders’ equity as of January 1, 2015. Restatement of prior period results was not required. Amounts presented for the year ended December 31, 2015 in the consolidated statements of operations reflect the adoption of this accounting guidance as of January 1, 2015. The Company measures both the financial assets and financial liabilities of the consolidated CLOs in its consolidated financial statements using the fair value of the financial assets of the consolidated CLOs, which are more observable than the fair value of the financial liabilities of the consolidated CLOs. As a result, the financial assets of the consolidated CLOs are measured at fair value and the financial liabilities are measured in consolidation as: (i) the sum of the fair value of the financial assets and the carrying value of any non-financial assets that are incidental to the operations of the CLOs less (ii) the sum of the fair value of any beneficial interests retained by the reporting entity (other than those that represent compensation for services) and the Company’s carrying value of any beneficial interests that represent compensation for services. The resulting amount is allocated to the individual financial liabilities (other than the beneficial interest retained by the Company) using a reasonable and consistent methodology. Under the measurement alternative, the Company’s consolidated net income reflects the Company’s own economic interests in the consolidated CLOs including (i) changes in the fair value of the beneficial interests retained by the Company and (ii) beneficial interests that represent compensation for collateral management services. The consolidated VIEs hold investments that could be traded over-the-counter. Investments in securities that are traded on a securities exchange or comparable over-the-counter quotation systems are valued based on the last reported sale price at that date. If no sales of such investments are reported on such date, and in the case of over-the-counter securities or other investments for which the last sale date is not available, valuations are based on independent market quotations obtained from market participants, recognized pricing services or other sources deemed relevant, and the prices are based on the average of the “bid” and “ask” prices, or at ascertainable prices at the close of business on such day. Market quotations are generally based on valuation pricing models or market transactions of similar securities adjusted for security-specific factors such as relative capital structure priority and interest and yield risks, among other factors. When market quotations are not available, a model based approach is used to determine fair value. As previously noted, the Company measures the debt obligations of the consolidated CLOs on the basis of the fair value of the financial assets of the consolidated CLOs. |
Pending Deal Costs | Pending Deal Costs Pending deal costs consist of certain costs incurred (e.g. research costs, due diligence costs, professional fees, legal fees and other related items) related to private equity, credit and real estate fund transactions that the Company is pursuing but which have not yet been consummated. These costs are deferred until such transactions are broken or successfully completed. A transaction is determined to be broken upon management’s decision to no longer pursue the transaction. In accordance with the related fund agreements, in the event the deal is broken, all of the costs are generally reimbursed by the funds and considered in the calculation of the Management Fee Offset. These offsets are included in advisory and transaction fees from related parties, net in the Company’s consolidated statements of operations. If a deal is successfully completed, Apollo is reimbursed by the fund or a fund’s portfolio company for all costs incurred. |
Fixed Assets | Fixed Assets Fixed Assets consist primarily of leasehold improvements, furniture, fixtures and equipment, computer hardware and software and are recorded at cost, net of accumulated depreciation and amortization. Depreciation and amortization is calculated using the straight-line method over the assets’ estimated useful lives and in the case of leasehold improvements the lesser of the useful life or the term of the lease. Expenditures for repairs and maintenance are charged to expense when incurred. The Company evaluates long-lived assets for impairment periodically and whenever events or changes in circumstances indicate the carrying amounts of the assets may be impaired. |
Business Combinations | Business Combinations The Company accounts for business combinations using the acquisition method of accounting, under which the purchase price of the acquisition is allocated to the assets acquired and liabilities assumed using the fair values determined by management as of the acquisition date. Contingent consideration obligations that are elements of the consideration transferred are recognized as of the acquisition date as part of the fair value transferred in exchange for the acquired business. Acquisition-related costs incurred in connection with a business combination are expensed as incurred. |
Goodwill and Intangible Assets | G oodwill and Intangible Assets Goodwill represents the excess of cost over the fair value of identifiable net assets of an acquired business. Goodwill and other indefinite lived intangible assets are tested annually for impairment or more frequently if circumstances indicate impairment may have occurred. The Company has historically performed its annual goodwill impairment test as of June 30 each year. During the year ended December 31, 2016, the Company voluntarily changed its annual impairment assessment date from June 30 to October 1. The change in measurement date represents a change in method of applying an accounting principle. This change is preferable because it better aligns the Company’s goodwill impairment testing procedures with the completion of its annual financial statements and provides the Company with additional time to evaluate goodwill for impairment. In connection with the change in the date of the annual goodwill impairment test, the Company performed a goodwill impairment test as of October 1, 2016 and did not identify any impairment. The change in accounting principle did not delay, accelerate or avoid an impairment charge. The Company determined that it would be impracticable to objectively determine projected cash flows and related valuation estimates that would have been used for each of its prior reporting periods without the use of hindsight. As such, the Company prospectively applied the change in the annual goodwill impairment assessment date beginning October 1, 2016. Finite-lived intangible assets such as contractual rights to earn future management fees and incentive fees acquired in business combinations are amortized over their estimated useful lives, which are periodically re-evaluated for impairment or when circumstances indicate an impairment may have occurred. Apollo amortizes its identifiable finite-lived intangible assets using a method of amortization reflecting the pattern in which the economic benefits of the finite-lived intangible assets are consumed or otherwise used up. If that pattern cannot be reliably determined, Apollo uses the straight-line method of amortization. |
Debt Issuance Costs | Debt Issuance Costs Debt issuance costs consist of costs incurred in obtaining financing and are amortized over the term of the financing using the effective interest method. These costs are recorded as a direct deduction from the carrying amount of the related debt liability on the consolidated statements of financial condition. |
Foreign Currency | Foreign Currency The Company may, from time to time, hold foreign currency denominated assets and liabilities. Such assets and liabilities are translated using the exchange rates prevailing at the end of each reporting period. The functional currency of the Company’s international subsidiaries is the U.S. Dollar, as their operations are considered an extension of U.S. parent operations. Non-monetary assets and liabilities of the Company’s international subsidiaries are remeasured into the functional currency using historical exchange rates specific to each asset and liability. The results of the Company’s foreign operations are normally remeasured using an average exchange rate for the respective reporting period. All currency remeasurement adjustments are included within other income (loss), net in the consolidated statements of operations. Gains and losses on the settlement of foreign currency transactions are also included within other income (loss), net in the consolidated statements of operations. |
Revenues | Revenues —Revenues are reported in three separate categories that include (i) advisory and transaction fees from related parties, net, which relate to the investments of the funds and may include individual monitoring agreements the Company has with the portfolio companies and debt investment vehicles of the private equity funds and credit funds; (ii) management fees from related parties, which are based on committed capital, invested capital, net asset value, gross assets or as otherwise defined in the respective agreements; and (iii) carried interest income (loss) from related parties, which is normally based on the performance of the funds subject to preferred return. |
Management Fees from Related Parties | Management Fees from Related Parties —Management fees for private equity, credit, and real estate funds are recognized in the period during which the related services are performed in accordance with the contractual terms of the related agreement, and are generally based upon (1) a percentage of the capital committed during the commitment period, and thereafter based on the remaining invested capital of unrealized investments, or (2) net asset value, gross assets or as otherwise defined in the respective agreements. Included in management fees are certain expense reimbursements where the Company is considered the principal under the agreements and is required to record the expense and related reimbursement revenue on a gross basis. |
Advisory and Transaction Fees from Affiliates, Net | Advisory and Transaction Fees from Related Parties, Net —Advisory and transaction fees, including directors’ fees, are recognized when the underlying services rendered are substantially completed in accordance with the terms of the transaction and advisory agreements. Additionally, during the normal course of business, the Company incurs certain costs related to certain transactions that are not consummated (“broken deal costs”). These costs (e.g., research costs, due diligence costs, professional fees, legal fees and other related items) are determined to be broken deal costs upon management’s decision to no longer pursue the transaction. In accordance with the related fund agreement, in the event the deal is deemed broken, all of the costs are reimbursed by the funds and then included as a component of the calculation of the Management Fee Offset (described below). If a deal is successfully completed, Apollo is reimbursed by the fund or fund’s portfolio company for all costs incurred and no offset is generated. As the Company acts as an agent for the funds it manages, any transaction costs incurred and paid by the Company on behalf of the respective funds relating to successful or broken deals are recorded net on the Company’s consolidated statements of operations, and any receivable from the respective funds is recorded in due from related parties on the consolidated statements of financial condition. Advisory and transaction fees from related parties, net, also includes underwriting fees. Underwriting fees include gains, losses and fees, net of syndicate expenses, arising from securities offerings in which one of the Company’s subsidiaries participates in the underwriter syndicate. Underwriting fees are recognized at the time the underwriting is completed and the income is reasonably assured and are included in the consolidated statements of operations. Underwriting fees recognized but not received are recorded in other assets on the consolidated statements of financial condition. As a result of providing advisory services to certain private equity and credit portfolio companies, Apollo is generally entitled to receive fees for transactions related to the acquisition, in certain cases, and disposition of portfolio companies as well as ongoing monitoring of portfolio company operations and directors’ fees. The amounts due from portfolio companies are recorded in due from related parties, which is discussed further in note 14 . Under the terms of the limited partnership agreements for certain funds, the management fee payable by the funds may be subject to a reduction based on a certain percentage of such advisory and transaction fees, net of applicable broken deal costs (“Management Fee Offset”). Advisory and transaction fees from related parties are presented net of the Management Fee Offset in the consolidated statements of operations. |
Carried Interest Income (Loss) from Related Parties | Carried Interest Income (Loss) from Related Parties —Apollo is entitled to an incentive return that can normally amount to as much as 20% of the total returns on a fund’s capital, depending upon performance. Performance fees are assessed as a percentage of the investment performance of the funds. The carried interest income from related parties for any period is based upon an assumed liquidation of the fund’s net assets on the reporting date, and distribution of the net proceeds in accordance with the fund’s income allocation provisions. Carried interest receivable is presented separately in the consolidated statements of financial condition. The carried interest income from related parties may be subject to reversal to the extent that the carried interest income recorded exceeds the amount due to the general partner based on a fund’s cumulative investment returns. When applicable, the accrual for potential repayment of previously received carried interest income, which is a component of due to related parties, represents all amounts previously distributed to the general partner that would need to be repaid to the Apollo funds if these funds were to be liquidated based on the current fair value of the underlying funds’ investments as of the reporting date. The actual general partner obligation, however, would not become payable or realized until the end of a fund’s life. Carried interest income from related parties also includes a quarterly performance fee on the pre-incentive fee net investment income (“AINV Part I Fees”) of Apollo Investment Corporation (“AINV”). For purposes of the AINV Part I Fees, the net investment income of AINV includes interest income, dividend income and certain other income but excludes any realized and unrealized capital gains or losses. Such AINV Part I Fees are paid quarterly and are not subject to repayment (or clawback). |
Equity-Based Compensation | Equity-Based Compensation —Equity-based awards granted to employees as compensation are measured based on the grant date fair value of the award. Equity-based awards that do not require future service (i.e., vested awards) are expensed immediately. Equity-based employee awards that require future service are expensed over the relevant service period. The Company estimates forfeitures for equity-based awards that are not expected to vest. Equity-based awards granted to non-employees for services provided to related parties are remeasured to fair value at the end of each reporting period and expensed over the relevant service period. |
Salaries Bonus and Benefits | Salaries, Bonus and Benefits —Salaries, bonus and benefits include base salaries, discretionary and non-discretionary bonuses, severance and employee benefits. Bonuses are generally accrued over the related service period. The Company sponsors a 401(k) savings plan whereby U.S.-based employees are entitled to participate in the plan based upon satisfying certain eligibility requirements. The Company may provide discretionary contributions from time to time. |
Profit Sharing Expense | Profit Sharing —Profit sharing expense and profit sharing payable primarily consist of a portion of carried interest earned from certain funds that is allocated to employees, former employees and Contributing Partners. Profit sharing amounts are recognized on an accrued basis as the related carried interest income is earned. Accordingly, profit sharing amounts can be reversed during periods when there is a decline in carried interest income that was previously recognized. Profit sharing amounts are generally not paid until the related carried interest is distributed to the general partner upon realization of the fund’s investments. Under certain profit sharing arrangements, a portion of the carried interest distributed to the general partner is settled by issuance of restricted shares, rather than cash to employees. Prior to distribution of the carried interest to the general partner, the Company records the value of the restricted shares expected to be granted in other assets and other liabilities within the consolidated statements of financial condition. Upon distribution of the carried interest to the general partner, the general partner expects to purchase the Class A restricted shares on behalf of employees and simultaneously grant those shares to the employee. Such shares are recorded as equity-based compensation expense over the relevant service period. Additionally, profit sharing amounts previously distributed may be subject to clawback from employees, former employees and Contributing Partners. When applicable, the accrual for potential clawback of previously distributed profit sharing amounts, which is a component of due from related parties on the consolidated statements of financial condition, represents all amounts previously distributed to employees, former employees and Contributing Partners that would need to be returned to the general partner if the Apollo funds were to be liquidated based on the fair value of the underlying funds’ investments as of the reporting date. The actual general partner receivable, however, would not become realized until the end of a fund’s life. Profit sharing payable also includes contingent consideration obligations that were recognized in connection with certain Apollo acquisitions. Changes in the fair value of the contingent consideration obligations are reflected in the Company’s consolidated statements of operations as profit sharing expense. The Company has a performance based incentive arrangement for certain Apollo partners and employees designed to more closely align compensation on an annual basis with the overall realized performance of the Company. This arrangement enables certain partners and employees to earn discretionary compensation based on carried interest realizations earned by the Company in a given year, which amounts are reflected in profit sharing expense in the accompanying consolidated financial statements. |
General, Administrative and Other | General, Administrative and Other General, administrative and other primarily includes professional fees, occupancy, depreciation and amortization, travel, information technology, and administration. For the year ended December 31, 2016, presentation of professional fees, occupancy, and depreciation and amortization was combined with general, administrative and other on the consolidated statements of operations and the prior periods were recast to conform to the current presentation. |
Other Income (Loss) | Other Income (Loss) Net Gains (Losses) from Investment Activities —Net gains (losses) from investment activities include both realized gains and losses and the change in unrealized gains and losses in the Company’s investments, at fair value between the opening reporting date and the closing reporting date. Net Gains (Losses) from Investment Activities of Consolidated Variable Interest Entities —Changes in the fair value of the consolidated VIEs’ assets and liabilities and related interest, dividend and other income and expenses are presented within net gains (losses) from investment activities of consolidated variable interest entities and are attributable to Non-Controlling Interests in the consolidated statements of operations. Income from Equity Method Investments —Income from equity method investments includes the Company’s share of net income generated from its investments in the private equity, credit and real estate funds it manages, which are not consolidated, but in which the Company exerts significant influence. Other Income (Loss), Net —Other income (loss), net includes the recognition of gains (losses) arising from the remeasurement of foreign currency denominated assets and liabilities, reversal of a portion of the tax receivable agreement liability (see note 14 ), gains (losses) arising from the remeasurement of derivative instruments associated with fees from certain of the Company’s affiliates, gains arising from extinguishment of contingent consideration obligations and other miscellaneous non-operating income and expenses. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) —U.S. GAAP guidance establishes standards for reporting comprehensive income and its components in a financial statement that is displayed with the same prominence as other financial statements. U.S. GAAP requires that the Company classify items of OCI by their nature in the financial statements and display the accumulated balance of OCI separately in the shareholders’ equity section of the Company’s consolidated statements of financial condition. Comprehensive income (loss) consists of net income (loss) and OCI. Apollo’s OCI is primarily comprised of the effective portion of changes in the fair value of the interest rate swap agreements discussed previously and foreign currency translation adjustments associated with the Company's non-U.S. dollar denominated subsidiaries. |
Income Taxes | Income Taxes —The Apollo Operating Group and its subsidiaries generally operate as partnerships for U.S. Federal income tax purposes. As a result, except as described below, the Apollo Operating Group has not been subject to U.S. income taxes. However, these entities in some cases are subject to New York City unincorporated business taxes (“NYC UBT”) and non-U.S. entities, in some cases, are subject to non-U.S. corporate income taxes. In addition, certain consolidated entities are, or are treated as, corporations for U.S. and non-U.S. tax purposes and therefore subject to U.S. federal, state and local corporate income tax, and the Company's provision for income taxes is accounted for in accordance with U.S. GAAP. Significant judgment is required in determining tax expense and in evaluating tax positions, including evaluating uncertainties. The Company recognizes the tax benefits of uncertain tax positions only where the position is “more likely than not” to be sustained upon examination, including resolutions of any related appeals or litigation processes, based on the technical merits of the position. The tax benefit is measured as the largest amount of benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. If a tax position is not considered more likely than not to be sustained, then no benefits of the position are recognized. The Company’s tax positions are reviewed and evaluated quarterly to determine whether or not the Company has uncertain tax positions that require financial statement recognition. Deferred tax assets and liabilities are recognized for the expected future tax consequences of differences between the carrying amount of assets and liabilities and their respective tax basis using currently enacted tax rates. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period when the change is enacted. Deferred tax assets are reduced by a valuation allowance when it is more likely than not that some portion or all of the deferred tax assets will not be realized. |
Non-Controlling Interests | Non-Controlling Interests —For entities that are consolidated, but not 100% owned, a portion of the income or loss and corresponding equity is allocated to owners other than Apollo. The aggregate of the income or loss and corresponding equity that is not owned by the Company is included in Non-Controlling Interests in the consolidated financial statements. The Non-Controlling Interests relating to Apollo Global Management, LLC primarily include the ownership interest in the Apollo Operating Group held by the Managing Partners and Contributing Partners through their limited partner interests in Holdings and other ownership interests in consolidated entities. Non-Controlling Interests also include limited partner interests of Apollo managed funds in certain consolidated VIEs. Non-Controlling Interests are presented as a separate component of shareholders’ equity on the Company’s consolidated statements of financial condition. The primary components of Non-Controlling Interests are separately presented in the Company’s consolidated statements of changes in shareholders’ equity to clearly distinguish the interest in the Apollo Operating Group and other ownership interests in the consolidated entities. Net income (loss) includes the net income (loss) attributable to the holders of Non-Controlling Interests on the Company’s consolidated statements of operations. Profits and losses are allocated to Non-Controlling Interests in proportion to their relative ownership interests regardless of their basis. |
Net Income (Loss) Per Class A Share | Net Income (Loss) Per Class A Share —As Apollo has issued participating securities, U.S. GAAP requires use of the two-class method of computing earnings per share for all periods presented for each class of common stock and participating security as if all earnings for the period had been distributed. Under the two-class method, during periods of net income, the net income is first reduced for distributions declared on all classes of securities to arrive at undistributed earnings. During periods of net losses, the net loss is reduced for distributions declared on participating securities only if the security has the right to participate in the earnings of the entity and an objectively determinable contractual obligation to share in net losses of the entity. Participating securities include vested and unvested restricted share units (“RSUs”) that participate in distributions, as well as unvested restricted shares. Whether during a period of net income or net loss, under the two-class method the remaining earnings are allocated to Class A shares and participating securities to the extent that each security shares in earnings as if all of the earnings for the period had been distributed. Earnings or losses allocated to each class of security are then divided by the applicable weighted average outstanding shares to arrive at basic earnings per share. For the diluted earnings, the denominator includes all outstanding Class A shares and includes the number of additional Class A shares that would have been outstanding if the dilutive potential Class A shares had been issued. The numerator is adjusted for any changes in income or loss that would result from the issuance of these potential Class A shares. |
Use Of Estimates | Use of Estimates The preparation of the consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements, the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Apollo’s most significant estimates include goodwill, intangible assets, income taxes, carried interest income from related parties, contingent consideration obligations related to acquisitions, non-cash compensation, and fair value of investments and debt. Actual results could differ materially from those estimates. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the FASB issued guidance to establish a comprehensive and converged standard on revenue recognition to enable financial statement users to better understand and consistently analyze an entity’s revenue across industries, transactions, and geographies. The new guidance requires that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services (i.e., the transaction price). When determining the transaction price under the new guidance, an entity may include variable consideration only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized would not occur when the uncertainty associated with the variable consideration is resolved. The new guidance also requires improved disclosures to help users of financial statements better understand the nature, amount, timing, and uncertainty of revenue that is recognized. The new guidance will apply to all entities. In August 2015, the FASB issued its final standard formally amending the effective date of the new revenue recognition guidance. The amended guidance defers the effective date of the new guidance to interim reporting periods within annual reporting periods beginning after December 15, 2017. Upon adoption, the guidance currently applied by the Company in which it recognizes carried interest income from performance fees on an assumed liquidation basis at each reporting date will no longer be permitted. The Company expects the recognition of carried interest income from incentive fees, which are a form of variable consideration, to be deferred until such fees are no longer subject to significant reversal. Incentive fees are performance fees that are not capital allocations to the general partner or investment manager. Performance fees, that are capital allocations to the general partner or investment manager, represent the remaining portion of carried interest income on the Company’s consolidated statements of operations. In connection with the adoption of the new revenue guidance, the Company will apply a new accounting policy for its performance fees that are capital allocations to the general partner or investment manager. The Company intends to account for such performance fees as financial instruments under the equity method of accounting. The pattern and amount of recognition under the new policy is not expected to differ materially from the Company’s existing recognition for such fees. Such performance fees will be reported as a separate line item within revenue (i.e., separate from incentive fee revenue). As performances fees and the related general partner investments are considered to be a single unit of account under the Company’s new accounting policy, the equity method income associated with the general partner interests will be combined with the associated performance fees and reported in a single line within revenue. The Company is currently in the process of implementing the new revenue guidance and is continuing to evaluate the effect this guidance will have on other less material revenue streams, including advisory and transaction fees and management fees, as well as any principal versus agent considerations for reporting revenue gross versus net. The Company expects to adopt the new revenue recognition guidance effective January 1, 2018. In August 2014, the FASB issued guidance regarding management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. The new guidance requires that management evaluate each annual and interim reporting period whether conditions exist that give rise to substantial doubt about the entity’s ability to continue as a going concern within one year from the financial statement issuance date, and if so, provide related disclosures. Substantial doubt exists when conditions and events, considered in the aggregate, indicate that it is probable that a company will be unable to meet its obligations as they become due within one year after the financial statement issuance date. The new guidance applies to all companies. The guidance is effective for annual reporting periods ending after December 15, 2016, and for annual and interim periods thereafter. The Company adopted the guidance for the year ended December 31, 2016. The guidance did not have an impact on the consolidated financial statements of the Company. In May 2015, the FASB issued guidance to eliminate diversity in practice related to how certain investments measured at NAV are categorized within the fair value hierarchy. The guidance removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the NAV per share practical expedient. The guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2015. Pursuant to the guidance, a reporting entity should apply the amendments retrospectively to all periods presented. The retrospective approach requires that an investment for which fair value is measured using the NAV per share practical expedient be removed from the fair value hierarchy in all periods presented in an entity’s financial statements. The Company adopted the guidance for the quarter ended March 31, 2016 and applied the guidance retrospectively. Adoption of the guidance did not have a material impact on the Company’s consolidated financial statements. See note 6 for further disclosure related to the adoption of this guidance. In January 2016, the FASB issued guidance that revises the accounting related to the classification and measurement of investments in equity securities as well as the presentation for certain fair value changes in financial liabilities measured at fair value, and amends certain disclosure requirements. The guidance requires that all equity investments, except those accounted for under the equity method of accounting or those resulting in the consolidation of the investee, be accounted for at fair value with all fair value changes recognized in income. For financial liabilities measured using the fair value option, the guidance requires that any change in fair value caused by a change in instrument-specific credit risk be presented separately in other comprehensive income until the liability is settled or reaches maturity. The guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2017, with early adoption permitted for certain provisions. A reporting entity would generally record a cumulative-effect adjustment to beginning retained earnings as of the beginning of the first reporting period in which the guidance is adopted. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements. However, the guidance is not expected to have a material impact on the consolidated financial statements of the Company. In February 2016, the FASB issued guidance that amends the accounting for leases. The amended guidance requires recognition of a lease asset and a lease liability by lessees for leases classified as operating leases. The recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee have not significantly changed from existing guidance and accounting applied by a lessor is largely unchanged from existing guidance. The amended guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2018. Early application is permitted for all entities. The Company expects its total assets and total liabilities on its consolidated statement of financial condition to increase upon adoption of this guidance as a result of recording a lease asset and lease liability related to our operating leases. The Company is continuing to evaluate the impact that this guidance will have on its consolidated financial statements. The Company expects to adopt the new leasing guidance on January 1, 2019. In March 2016, the FASB issued guidance that amends the accounting for employee share-based payment awards. The amended guidance affects all entities that issue share-based payment awards to their employees. The amended guidance affects several aspects of accounting for share-based payment transactions including: (1) accounting for income taxes: all excess tax benefits and tax deficiencies should be recognized as income tax expense or benefit in the statements of operations, (2) classification of excess tax benefits on the statements of cash flows: excess tax benefits should be classified along with other income tax cash flows as an operating activity, (3) forfeitures: an entity can make an entity-wide accounting policy election to either estimate the number of awards that are expected to vest or account for forfeitures when they occur, (4) minimum statutory tax withholding requirements: the threshold to qualify for equity classification permits withholding up to the maximum statutory tax rates in the applicable jurisdictions; and (5) classification of employee taxes paid on the statements of cash flows when an employer withholds shares for tax-withholding purposes: cash paid by an employer when directly withholding shares for tax-withholding purposes should be classified as a financing activity. The amended guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2016. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements. In August 2016, the FASB issued guidance intended to reduce diversity in practice in how certain cash receipts and payments are classified in the statement of cash flows, including debt prepayment or extinguishment costs, the settlement of contingent liabilities arising from a business combination, proceeds from insurance settlements, and distributions from certain equity method investments. The guidance is effective for interim and annual periods beginning after December 15, 2017. Early adoption is permitted. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements. However, the guidance is not expected to have a material impact on the consolidated financial statements of the Company. In October 2016, the FASB issued guidance that amends the consolidation guidance issued in February 2015. Under the amended guidance a decision maker will need to consider only its proportionate indirect interest in a VIE that is held through a related party under common control. Under the originally issued guidance, a decision maker treats the interest of the related party under common control in the VIE as if the decision maker held the interest itself. The amended guidance is effective for interim and annual reporting periods in fiscal years beginning after December 15, 2016. Early adoption is permitted for all entities. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements. In November 2016, the FASB issued guidance to reduce diversity in practice in the classification and presentation of changes in restricted cash on the statement of cash flows. The new guidance requires that a statement of cash flows explain the change during the period in the total of cash, cash equivalents, and amounts generally described as restricted cash. Entities will also be required to reconcile such total to amounts on the Company’s statement of financial condition and disclose the nature of the restrictions. The guidance is effective for interim and annual periods beginning after December 15, 2017. Early adoption is permitted. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements. In January 2017, the FASB issued guidance that changes the definition of a business with the objective of adding guidance to assist companies with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The guidance is effective for interim and annual periods beginning after December 15, 2017. Early adoption is permitted. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements. In January 2017, the FASB issued guidance to simplify the test for goodwill impairment. The new guidance removes the requirement to perform a hypothetical purchase price allocation to measure goodwill impairment (Step 2). Under the new guidance, a goodwill impairment is calculated as the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill in the reporting unit. The guidance is effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 and should be performed prospectively. Early adoption is permitted for interim or annual goodwill impairment tests performed after January 1, 2017. The Company is in the process of evaluating the impact that this guidance will have on its consolidated financial statements. However, the guidance is not expected to have an impact on the consolidated financial statements of the Company. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets | Intangible assets, net consists of the following: As of December 31, 2016 2015 Finite-lived intangible assets/management contracts $ 246,060 $ 242,863 Accumulated amortization (223,339 ) (214,243 ) Intangible assets, net $ 22,721 $ 28,620 The changes in intangible assets, net consist of the following: For the Year Ended December 31, 2016 2015 2014 Balance, beginning of year $ 28,620 $ 60,039 $ 94,927 Amortization expense (9,095 ) (33,998 ) (34,888 ) Acquisitions / additions 3,196 2,579 — Balance, end of year $ 22,721 (1) $ 28,620 (1) $ 60,039 (1) Includes $1.0 million of indefinite-lived intangible assets as of both December 31, 2016 and 2015 . |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Expected amortization of these intangible assets for each of the next 5 years and thereafter is as follows: 2017 2018 2019 2020 2021 Thereafter Total Amortization of intangible assets $ 6,106 $ 4,486 $ 4,194 $ 3,677 $ 2,250 $ 1,048 $ 21,761 |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Summary of investments | The following table represents Apollo’s investments: As of As of Investments, at fair value $ 708,080 $ 539,080 Equity method investments 786,664 615,669 Total Investments $ 1,494,744 $ 1,154,749 |
Net Gains from Investment Activities | The following table presents the realized and net change in unrealized gains on investments, at fair value for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Realized gains (losses) on sales of investments $ 400 $ 889 $ (12,651 ) Net change in unrealized gains due to changes in fair value 139,321 (1) 120,834 (1) 225,894 Net gains from investment activities $ 139,721 $ 121,723 $ 213,243 (1) Primarily relates to the Company’s investment in Athene Holding. See note 6 for further information regarding the Company’s investment in Athene Holding. |
Summary of equity method investments | Equity method investments, excluding those for which the fair value option was elected, as of December 31, 2016 and December 31, 2015 consisted of the following: Equity Held as of December 31, 2016 (5) December 31, 2015 (5) Private Equity (1)(2) $ 428,581 $ 273,074 Credit (1)(3) 327,012 313,116 Real Estate 31,071 29,479 Total equity method investments (4) $ 786,664 $ 615,669 (1) As of December 31, 2016 , equity method investments include Fund VIII (Private Equity) and MidCap (Credit) of $260.9 million and $79.5 million , respectively, representing an ownership percentage of 2.2% and 4.3% , respectively. As of December 31, 2015 , equity method investments include Fund VIII (Private Equity) and MidCap (Credit) of $116.4 million and $79.3 million , respectively, representing an ownership percentage of 2.2% and 4.9% , respectively. (2) The equity method investment in AP Alternative Assets, L.P. (“AAA”) was $66.8 million and $66.0 million as of December 31, 2016 and 2015, respectively. The value of the Company’s investment in AAA was $64.9 million and $57.2 million based on the quoted market price as of December 31, 2016 and 2015, respectively. (3) The equity method investment in AINV was $58.6 million and $61.9 million as of December 31, 2016 and 2015, respectively. The value of the Company’s investment in AINV was $52.1 million and $41.8 million based on the quoted market price as of December 31, 2016 and 2015, respectively. (4) Certain funds invest across multiple segments. The presentation in the table above is based on the classification of the majority of such funds’ investments. (5) Some amounts are included a quarter in arrears. The Company’s equity investment in Athene Holding, for which the fair value option was elected, met the significance criteria as defined by the SEC on an aggregate basis as of December 31, 2016 and for the year ended December 31, 2016 . As such, the following tables present summarized financial information of Athene Holding as of December 31, 2016 and for the years ended December 31, 2016 , 2015 and 2014 . As of December 31, 2016 (1) 2015 (in millions) Statements of Financial Condition Investments $ 71,223 $ 62,703 Assets 87,000 80,854 Liabilities 79,926 75,491 Equity 7,074 5,363 (1) The financial statement information for the year ended December 31, 2016 is presented a quarter in arrears and is comprised of the financial information as of September 30, 2016 , which represents the latest available financial information as of the date of this report. For the Years Ended December 31, 2016 (1) 2015 2014 (in millions) Statements of Operations Revenues $ 4,090 $ 2,616 $ 4,100 Expenses 3,503 2,024 3,568 Income before income tax provision 587 592 532 Income tax provision (benefit) (92 ) 14 54 Net income 679 578 478 Net income attributable to Non-Controlling Interests — (16 ) (15 ) Net income available to Athene common shareholders $ 679 $ 562 $ 463 (1) The financial statement information for the year ended December 31, 2016 is presented a quarter in arrears and is comprised of the financial information for the twelve months ended September 30, 2016 , which represents the latest available financial information as of the date of this report. The tables below present summarized aggregate financial information of the Company’s equity method investments in aggregate, as of December 31, 2016 and 2015 , and for the years ended December 31, 2016 , 2015 and 2014 . Private Equity Credit Real Estate Aggregate Totals As of As of As of As of Statement of Financial Condition 2016 (1) 2015 (1) 2016 (1) 2015 (1) 2016 (1) 2015 (1) 2016 (1) 2015 (1) Investments $ 27,084,486 $ 17,080,292 $ 19,085,779 $ 18,830,120 $ 3,512,344 $ 3,188,822 $ 49,682,609 $ 39,099,234 Assets 27,832,718 17,970,417 21,077,051 21,255,463 3,966,337 3,484,842 52,876,106 42,710,722 Liabilities 45,583 37,416 4,327,790 7,646,492 1,516,103 1,287,051 5,889,476 8,970,959 Equity 27,787,135 17,933,001 16,749,261 13,608,971 2,450,234 2,197,791 46,986,630 33,739,763 Private Equity Credit Real Estate Aggregate Totals For the Years Ended For the Years Ended For the Years Ended For the Years Ended Statement of Operations 2016 (1) 2015 (1) 2014 (1) 2016 (1) 2015 (1) 2014 (1) 2016 (1) 2015 (1) 2014 (1) 2016 (1) 2015 (1) 2014 (1) Revenues/Investment Income $ 235,231 $ 408,971 $ 340,380 $ 1,384,414 $ 1,352,017 $ 1,954,270 $ 215,738 $ 120,340 $ 89,579 $ 1,835,383 $ 1,881,328 $ 2,384,229 Expenses 298,705 306,044 326,126 483,335 464,610 417,967 66,869 35,340 29,022 848,909 805,994 773,115 Net Investment Income (63,474 ) 102,927 14,254 901,079 887,407 1,536,303 148,869 85,000 60,557 986,474 1,075,334 1,611,114 Net Realized and Unrealized Gain (Loss) 2,999,627 20,757 1,300,343 1,033,550 (1,643,758 ) (548,088 ) 21,193 (1,699 ) 62,516 4,054,370 (1,624,700 ) 814,771 Net Income $ 2,936,153 $ 123,684 $ 1,314,597 $ 1,934,629 $ (756,351 ) $ 988,215 $ 170,062 $ 83,301 $ 123,073 $ 5,040,844 $ (549,366 ) $ 2,425,885 (1) Certain private equity, credit and real estate fund amounts are as of and for the twelve months ended September 30, 2016 , 2015 and 2014 . |
VARIABLE INTEREST ENTITIES (Tab
VARIABLE INTEREST ENTITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Net Gains (Losses) from Investment Activities of Consolidated VIEs | The following table presents net gains from investment activities of the consolidated VIEs for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 (1) 2015 (1) 2014 (1) Net gains (losses) from investment activities $ 10,334 $ 15,787 $ (238,534 ) Net gains (losses) from debt (11,921 ) 3,057 102,554 Interest and other income 41,791 37,404 666,486 Interest and other expenses (35,189 ) (37,198 ) (507,942 ) Net gains from investment activities of consolidated variable interest entities $ 5,015 $ 19,050 $ 22,564 (1) Amounts reflect consolidation eliminations. |
Principal Provisions of Debt | The following table summarizes the principal provisions of the debt of the consolidated VIEs as of December 31, 2016 and December 31, 2015 : As of December 31, 2016 As of December 31, 2015 Principal Outstanding Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Principal Outstanding Weighted Average Interest Rate Weighted Average Remaining Maturity in Years Senior Secured Notes (2)(3) $ 704,976 1.83 % 12.3 $ 735,792 2.17 % 12.1 Subordinated Notes (2)(3) 87,794 N/A (1) 19.2 82,365 N/A 15.1 Total $ 792,770 $ 818,157 (1) The subordinated notes do not have contractual interest rates but instead receive distributions from the excess cash flows of the VIEs. (2) The fair value of Senior Secured Notes and Subordinated Notes as of December 31, 2016 and December 31, 2015 was $786.5 million and $801.3 million , respectively. (3) The debt at fair value of the consolidated VIEs is collateralized by assets of the consolidated VIEs and assets of one vehicle may not be used to satisfy the liabilities of another vehicle. As of December 31, 2016 and December 31, 2015 , the fair value of the consolidated VIE assets was $1,001.8 million and $1,030.8 million , respectively. This collateral consisted of cash and cash equivalents, investments, at fair value, and other assets. |
Schedule of Maturities of Long-term Debt | As of December 31, 2016 , the table below presents the contractual maturities for debt of the consolidated VIEs: 2017 2018 2019 2020 2021 Thereafter Total Senior Secured Notes $ — $ — $ — $ — $ — $ 704,976 $ 704,976 Subordinated Notes — — — — — 87,794 87,794 Total Obligations as of December 31, 2016 $ — $ — $ — $ — $ — $ 792,770 $ 792,770 The table below presents the contractual maturities for the Company's debt arrangements as of December 31, 2016 : 2017 2018 2019 2020 2021 Thereafter Total 2013 AMH Credit Facilities - Term Facility $ — $ — $ — $ — $ 300,000 $ — $ 300,000 2024 Senior Notes — — — — — 500,000 500,000 2026 Senior Notes — — — — — 500,000 500,000 2014 AMI Term Facility I — — — — 14,449 — 14,449 2014 AMI Term Facility II — — 16,306 — — — 16,306 2016 AMI Term Facility I — — — — 17,852 17,852 2016 AMI Term Facility II — — — — 13,924 13,924 Total Obligations as of December 31, 2016 $ — $ — $ 16,306 $ — $ 346,225 $ 1,000,000 $ 1,362,531 |
Carrying Amounts of Assets and Liabilities | The following tables present the carrying amounts of the assets and liabilities of the VIEs for which Apollo has concluded that it holds a significant variable interest, but that it is not the primary beneficiary as of December 31, 2016 and December 31, 2015 . In addition, the tables present the maximum exposure to losses relating to these VIEs. As of December 31, 2016 Total Assets Total Liabilities Apollo Exposure Total $ 7,523,335 (1) $ 2,818,459 (2) $ 272,191 (3) (1) Consists of $231.9 million in cash, $7,253.9 million in investments and $37.5 million in receivables. (2) Represents $2,818.5 million in debt and other payables. (3) Represents Apollo’s direct investment in those entities in which Apollo holds a significant variable interest and certain other investments. Additionally, cumulative carried interest income is subject to reversal in the event of future losses. The maximum amount of future reversal of carried interest income from all of Apollo’s funds, including those entities in which Apollo holds a significant variable interest, was $2.9 billion as of December 31, 2016 , as discussed in note 15 . As of December 31, 2015 Total Assets Total Liabilities Apollo Exposure Total $ 5,378,456 (1) $ 1,626,743 (2) $ 202,146 (3) (1) Consists of $219.8 million in cash, $5,149.0 million in investments and $9.6 million in receivables. (2) Represents $1,626.7 million in debt and other payables. (3) Represents Apollo’s direct investment in those entities in which Apollo holds a significant variable interest. Additionally, cumulative carried interest income is subject to reversal in the event of future losses. The maximum amount of future reversal of carried interest income from all of Apollo’s funds, including those entities in which Apollo holds a significant variable interest, was $2.4 billion as of December 31, 2015 . |
FAIR VALUE MEASUREMENTS OF FI31
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Valuation of the Financial Assets and Liabilities by the Fair Value Hierarchy | The following tables summarize the valuation of the Company’s financial assets and liabilities for which the fair value option has been elected by the fair value hierarchy as of December 31, 2016 and December 31, 2015 : As of December 31, 2016 Level I (1) Level II (1) Level III Total Cost of Investments, at Fair Value Assets Investments, at fair value: Investments of consolidated Apollo funds $ 3,336 $ 1,475 $ 567 $ 5,378 $ 5,463 Other investments — — 45,154 45,154 47,690 Investment in Athene Holding (2) — 657,548 — 657,548 387,526 Total investments, at fair value 3,336 659,023 45,721 708,080 (7) $ 440,679 Investments of VIEs, at fair value (3) — 816,167 92,474 908,641 Investments of VIEs, valued using NAV (4) — — — 5,186 Total investments of VIEs, at fair value — 816,167 92,474 913,827 Derivative assets — 1,360 — 1,360 Total Assets $ 3,336 $ 1,476,550 $ 138,195 $ 1,623,267 Liabilities Liabilities of VIEs, at fair value (3)(5) $ — $ 786,545 $ 11,055 $ 797,600 Contingent consideration obligations (6) — — 106,282 106,282 Derivative liabilities — 1,167 — 1,167 Total Liabilities $ — $ 787,712 $ 117,337 $ 905,049 As of December 31, 2015 Level I (1) Level II (1) Level III Total Cost of Investments, Assets Investments, at fair value: Investments of consolidated Apollo funds $ — $ 26,913 $ 1,634 $ 28,547 $ 29,344 Other investments — — 434 434 831 Investment in Athene Holding (2) — — 510,099 510,099 387,526 Total investments, at fair value — 26,913 512,167 539,080 (7) $ 417,701 Investments of VIEs, at fair value (3)(4) — 803,412 100,941 904,353 Investments of VIEs, valued using NAV (4) — — — 6,213 Total investments of VIEs, at fair value — 803,412 100,941 910,566 Total Assets $ — $ 830,325 $ 613,108 $ 1,449,646 Liabilities Liabilities of VIEs, at fair value (3)(5) $ — $ 801,270 $ 11,411 $ 812,681 Contingent consideration obligations (6) — — 79,579 79,579 Total Liabilities $ — $ 801,270 $ 90,990 $ 892,260 (1) All Level I and Level II assets and liabilities were valued using third party pricing, with the exception of the investment in Athene Holding. (2) See note 14 for further disclosure regarding the investment in Athene Holding. (3) See note 5 for further disclosure regarding VIEs. (4) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. As such, prior periods have been recast to conform with the current period presentation. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy disclosure to the amounts presented in the consolidated statement of financial condition. See note 2 for further discussion of recent accounting pronouncements. (5) As of December 31, 2016 , liabilities of VIEs, at fair value included debt and other liabilities of $786.5 million and $11.1 million , respectively. As of December 31, 2015 , liabilities of VIEs, at fair value included debt and other liabilities of $801.3 million and $11.4 million , respectively. Other liabilities include contingent obligations classified as Level III. (6) See note 15 for further disclosure regarding contingent consideration obligations. (7) See note 4 to our consolidated financial statements for further detail regarding our investments at fair value and reconciliation to the consolidated statements of financial condition. |
Changes in Fair Value in Financial Assets, Measured at Fair Value and Characterized as Level III Investments | The following tables summarize the changes in fair value in financial assets measured at fair value for which Level III inputs have been used to determine fair value for the years ended December 31, 2016 and 2015 : For the Year Ended December 31, 2016 Investments of Consolidated Apollo Funds Other Investments Investment in Athene Holding Investments of Consolidated VIEs Total Balance, Beginning of Period (1) $ 1,634 $ 434 $ 510,099 $ 100,941 $ 613,108 Purchases 1,430 46,880 8,937 (4) 74,043 131,290 Sale of investments/Distributions (1,630 ) — — (68,653 ) (70,283 ) Net realized gains (losses) (77 ) — — 3,086 3,009 Changes in net unrealized gains (losses) 230 1 138,512 (2,842 ) 135,901 Cumulative translation adjustment — (2,161 ) — (2,691 ) (4,852 ) Transfer into Level III (2) 1,496 — — 30,173 31,669 Transfer out of Level III (2)(3) (2,516 ) — (657,548 ) (41,583 ) (701,647 ) Balance, End of Period $ 567 $ 45,154 $ — $ 92,474 $ 138,195 Change in net unrealized gains included in net gains from investment activities related to investments still held at reporting date $ 55 $ 1 $ — $ — $ 56 Change in net unrealized gains included in net gains from investment activities of consolidated VIEs related to investments still held at reporting date — — — 30 30 (1) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. See note 2 for further discussion of recent accounting pronouncements. (2) Transfers between Level II and III, with the exception of the investment in Athene Holding, were a result of subjecting the broker quotes on these financial assets to various criteria which include the number and quality of broker quotes, the standard deviation of obtained broker quotes and the percentage deviation from independent pricing services. (3) The investment in the Athene Holding was transferred from Level III to Level II at December 31, 2016, as the Company changed the valuation method used to value the investment in Athene Holding from the GAAP book value multiple approach to the use of Athene’s closing market price, adjusted for a discount due to a lack of marketability (“DLOM”). (4) Represents a AAA distribution in kind in the form of shares of Athene Holding. For the Year Ended December 31, 2015 Investments of Consolidated Apollo Funds Other Investments Investment in Athene Holding AAA/Athene Receivable Investment in RCAP (3) Investments of Consolidated VIEs Total Balance, Beginning of Period (1) $ 4,359 $ 600 $ 324,514 $ 61,292 $ — $ 2,522,913 $ 2,913,678 Adoption of accounting guidance — — — — — (2,407,923 ) (2,407,923 ) Fees — — — 1,942 — — 1,942 Purchases 5,913 272 — — 25,000 44,116 75,301 Sale of investments/Distributions (6,996 ) (115 ) — — (25,667 ) (34,548 ) (67,326 ) Net realized gains 48 — — — 667 3,178 3,893 Changes in net unrealized gains (losses) (263 ) (323 ) 122,351 — — 11,396 133,161 Cumulative translation adjustment — — — — — (12,111 ) (12,111 ) Transfer into Level III (2) 5,439 — — — — 59,316 64,755 Transfer out of Level III (2) (6,866 ) — — — — (85,396 ) (92,262 ) Settlement of receivable — — 63,234 (63,234 ) — — — Balance, End of Period (1) $ 1,634 $ 434 $ 510,099 $ — $ — $ 100,941 $ 613,108 Change in net unrealized gains (losses) included in net gains from investment activities related to investments still held at reporting date $ (677 ) $ (323 ) $ 122,351 $ — $ — $ — $ 121,351 Change in net unrealized gains included in net gains from investment activities of consolidated VIEs related to investments still held at reporting date — — — — — 11,543 11,543 (1) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. As such, prior periods have been recast to conform with the current period presentation. See note 2 for further discussion of recent accounting pronouncements. (2) Transfers between Level II and III were a result of subjecting the broker quotes on these financial assets to various criteria which include the number and quality of broker quotes, the standard deviation of obtained broker quotes and the percentage deviation from independent pricing services. (3) Represents Apollo’s investment in preferred stock of RCS Capital Corporation (“RCAP”), which was sold in November 2015. |
Changes in Fair Value in Financial Liabilities, Measured at Fair Value and Characterized as Level III Liabilities | The following table summarizes the changes in fair value in financial liabilities measured at fair value for which Level III inputs have been used to determine fair value for the years ended December 31, 2016 and 2015 : For the Years Ended December 31, 2016 2015 Liabilities of Consolidated VIEs Contingent Consideration Obligations Total Liabilities of Consolidated VIEs Contingent Consideration Obligations Total Balance, Beginning of Period $ 11,411 $ 79,579 $ 90,990 $ 12,343,021 $ 96,126 $ 12,439,147 Adoption of accounting guidance — — — (11,433,815 ) — (11,433,815 ) Payments/Extinguishment — (13,721 ) (13,721 ) — (15,743 ) (15,743 ) Changes in net unrealized (gains) losses (1) (356 ) 40,424 40,068 (8,244 ) (804 ) (9,048 ) Cumulative translation adjustment — — — (92,593 ) — (92,593 ) Transfers out of Level III — — — (796,958 ) — (796,958 ) Balance, End of Period $ 11,055 $ 106,282 $ 117,337 $ 11,411 $ 79,579 $ 90,990 Change in net unrealized gains included in net gains from investment activities of consolidated VIEs related to liabilities still held at reporting date $ (356 ) $ — $ (356 ) $ — $ — $ — (1) Changes in fair value of contingent consideration obligations are recorded in profit sharing expense in the consolidated statements of operations. |
Quantitative Inputs and Assumptions used for Financial Assets and Liabilities Categorized in Level III | The following tables summarize the quantitative inputs and assumptions used for financial assets and liabilities categorized as Level III under the fair value hierarchy as of December 31, 2016 and December 31, 2015 : As of December 31, 2016 Fair Value Valuation Techniques Unobservable Inputs Ranges Weighted Average Financial Assets Investments of consolidated Apollo funds $ 567 Third party pricing (1) N/A N/A N/A Investments in other 45,154 Third party pricing (1) N/A N/A N/A Investments of consolidated VIEs: Bank debt term loans 4,701 Third party pricing (1) N/A N/A N/A Corporate loans/bonds/CLO notes 15,496 Third party pricing (1) N/A N/A N/A Equity securities 72,277 Transaction N/A N/A N/A Total investments of consolidated VIEs 92,474 Total Financial Assets $ 138,195 Financial Liabilities Liabilities of consolidated VIEs: Contingent obligation $ 11,055 Other N/A N/A N/A Contingent consideration obligation 106,282 Discounted cash flow Discount rate 13.0% - 17.3% 17.2% Total Financial Liabilities $ 117,337 (1) These securities are valued primarily using unadjusted broker quotes. As of December 31, 2015 Fair Value Valuation Techniques Unobservable Inputs Ranges Weighted Average Financial Assets Investments of consolidated Apollo funds $ 1,634 Third party pricing (1) N/A N/A N/A Investments in other 434 Other N/A N/A N/A Investment in Athene Holding 510,099 Book value multiple Book value multiple 1.18x 1.18x Investments of consolidated VIEs: Bank debt term loans 15,776 Third party pricing (1) N/A N/A N/A Corporate loans/bonds/CLO notes 22,409 Third party pricing (1) N/A N/A N/A Equity securities 62,756 Market comparable companies Comparable multiples 0.60x 0.60x Discounted cash flow Discount rate 14.6% 14.6% Total investments of consolidated VIEs (2) 100,941 Total Financial Assets $ 613,108 Financial Liabilities Liabilities of Consolidated VIEs: Contingent obligation $ 11,411 Other N/A N/A N/A Contingent consideration obligation 79,579 Discounted cash flow Discount rate 11.0% - 18.5% 17.0% Total Financial Liabilities $ 90,990 (1) These securities are valued primarily using unadjusted broker quotes. (2) Pursuant to the adoption of amended fair value guidance effective January 1, 2016, investments for which fair value is based on NAV are no longer required to be included in the fair value hierarchy. As such, prior periods have been recast to conform with the current period presentation. See note 2 for further discussion of recent accounting pronouncements. |
CARRIED INTEREST RECEIVABLE (Ta
CARRIED INTEREST RECEIVABLE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure Carried Interest Receivable Balance [Abstract] | |
Carried Interest Receivable from Private Equity and Capital Markets Funds | Carried interest receivable from private equity, credit and real estate funds consisted of the following: As of December 31, 2016 As of December 31, 2015 Private Equity $ 798,465 $ 373,871 Credit 426,114 240,844 Real Estate 32,526 29,192 Total carried interest receivable $ 1,257,105 $ 643,907 |
Carried Interest Receivable Balance | The table below provides a roll-forward of the carried interest receivable balance for the years ended December 31, 2016 and 2015 : Private Equity Credit Real Estate Total Carried interest receivable, January 1, 2015 $ 672,119 $ 226,430 $ 13,117 $ 911,666 Change related to fair value of funds 42,016 126,426 13,074 181,516 Fund distributions to the Company (340,264 ) (152,370 ) (4,035 ) (496,669 ) Adoption of new accounting guidance — 40,358 7,036 47,394 Carried interest receivable, December 31, 2015 $ 373,871 $ 240,844 $ 29,192 $ 643,907 Change in fair value of funds 492,910 318,735 17,375 829,020 Fund distributions to the Company (68,316 ) (133,465 ) (14,041 ) (215,822 ) Carried interest receivable, December 31, 2016 $ 798,465 $ 426,114 $ 32,526 $ 1,257,105 |
PROFIT SHARING PAYABLE (Tables)
PROFIT SHARING PAYABLE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Profit Sharing Payable [Abstract] | |
Summary of Profit Sharing From Private Equity, Credit, and Real Estate Funds | Profit sharing payable from private equity, credit and real estate funds consisted of the following: As of December 31, 2016 As of December 31, 2015 Private Equity $ 268,170 $ 118,963 Credit 268,855 165,392 Real Estate 13,123 11,319 Total profit sharing payable $ 550,148 $ 295,674 |
Rollforward Summary of Profit Sharing From Private Equity, Credit, and Real Estate Funds | The table below provides a roll-forward of the profit sharing payable balance for the years ended December 31, 2016 and 2015 : Private Equity Credit Real Estate Total Profit sharing payable, January 1, 2015 $ 240,595 $ 186,307 $ 7,950 $ 434,852 Profit sharing expense (1)(2) 52,807 42,172 5,076 100,055 Payments/other (174,439 ) (63,087 ) (1,707 ) (239,233 ) Profit sharing payable, December 31, 2015 $ 118,963 $ 165,392 $ 11,319 $ 295,674 Profit sharing expense (1)(2) 184,852 186,345 10,387 381,584 Payments/other (35,645 ) (82,882 ) (8,583 ) (127,110 ) Profit sharing payable, December 31, 2016 $ 268,170 $ 268,855 $ 13,123 $ 550,148 (1) Includes (i) changes in amounts payable to employees and former employees entitled to a share of carried interest income in Apollo’s funds and (ii) changes to the fair value of the contingent consideration obligations recognized in connection with certain Apollo acquisitions. See notes 6 and 15 for further disclosure regarding the contingent consideration obligations. (2) The Company has recorded a receivable from the Contributing Partners, certain employees and former employees for the potential return of profit sharing distributions that would be due if certain funds were liquidated in the amount of $39.3 million and $14.7 million as of December 31, 2016 and December 31, 2015 , respectively. Profit sharing expense excludes the potential return of these profit sharing distributions. See note 14 for further discussion regarding the potential return of profit sharing distributions |
OTHER ASSETS (Tables)
OTHER ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of Other Assets | Other assets consisted of the following: As of December 31, 2016 2015 Fixed assets $ 108,422 $ 105,439 Less: Accumulated depreciation and amortization (83,268 ) (73,803 ) Fixed assets, net 25,154 31,636 Prepaid expenses (1) 78,300 48,421 Tax receivables 5,617 4,466 Other 9,789 11,321 Total Other Assets $ 118,860 $ 95,844 (1) Includes $42.6 million and $7.0 million as of December 31, 2016 and 2015 , respectively, related to the restricted shares that are expected to be granted in connection with the settlement of certain profit sharing arrangements. A corresponding amount is included in other liabilities on the consolidated statements of financial condition. |
INCOME TAXES Income Taxes (Tabl
INCOME TAXES Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes is presented in the following table: For the Years Ended December 31, 2016 2015 2014 Current: Federal income tax $ — $ (10,108 ) $ 53,426 Foreign income tax 5,843 (1) 7,842 (1) 6,080 State and local income tax 2,847 2,573 7,369 Subtotal 8,690 307 66,875 Deferred: Federal income tax 66,567 19,581 28,702 Foreign income tax (16 ) (1) (256 ) (1) (137 ) State and local income tax 15,466 7,101 51,805 Subtotal 82,017 26,426 80,370 Total Income Tax Provision $ 90,707 $ 26,733 $ 147,245 (1) The foreign income tax provision was calculated on $38.8 million and $27.6 million of pre-tax income generated in foreign jurisdictions for the years ended December 31, 2016 and 2015 , respectively. |
Schedule of Effective Income Tax Rate Reconciliation | The following table reconciles the U.S. Federal statutory tax rate to the effective income tax rate: For the Years Ended December 31, 2016 2015 2014 U.S. Statutory Tax Rate 35.0 % 35.0 % 35.0 % Income Passed Through to Non-Controlling Interests (21.0 ) (26.4 ) (23.4 ) Income Passed Through to Class A Shareholders (7.1 ) (4.4 ) 0.1 State and Local Income Taxes (net of Federal Benefit) 1.4 2.1 4.7 Other 0.2 0.8 0.4 Effective Income Tax Rate 8.5 % 7.1 % 16.8 % |
Schedule of Deferred Tax Assets and Liabilities | The Company’s deferred tax assets and liabilities on the consolidated statements of financial condition consist of the following: As of December 31, 2016 2015 Deferred Tax Assets: Depreciation and amortization $ 525,261 $ 567,018 Revenue recognition 26,629 31,363 Net operating loss carryforwards 43,733 47,139 Equity-based compensation - RSUs and AAA RDUs 1,801 4,551 Foreign tax credit 11,746 8,996 Other 4,947 5,472 Total Deferred Tax Assets 614,117 664,539 Deferred Tax Liabilities: Unrealized gains from investments 41,346 13,274 Other 508 5,058 Total Deferred Tax Liabilities $ 41,854 $ 18,332 |
Change in Deferred Tax Assets and Deferred Tax Liabilities | The tables below present the impact to the deferred tax asset, tax receivable agreement liability and additional paid in capital related to the exchange of AOG Units for Class A shares during the years ended December 31, 2016 , 2015 and 2014 . Exchange of AOG Units for Class A shares Increase in Deferred Tax Asset Increase in Tax Receivable Agreement Liability Increase to Additional Paid In Capital For the Year Ended December 31, 2016 $ 7,342 $ 6,187 $ 1,155 For the Year Ended December 31, 2015 61,720 45,432 16,288 For the Year Ended December 31, 2014 58,696 47,878 10,818 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
Summary of Debt | Debt consisted of the following: As of December 31, 2016 As of December 31, 2015 Outstanding Balance Fair Value Annualized Weighted Average Interest Rate Outstanding Balance Fair Value Annualized Weighted Average Interest Rate 2013 AMH Credit Facilities - Term Facility (1) $ 299,543 $ 298,500 (5) 1.82 % $ 499,327 $ 501,300 (5) 1.44 % 2024 Senior Notes (2) 495,208 498,336 (6) 4.00 494,555 495,300 (6) 4.00 2026 Senior Notes (3) 495,165 497,923 (6) 4.40 — — — 2014 AMI Term Facility I (4) 14,449 14,449 (5) 2.00 14,543 14,549 (5) 2.15 2014 AMI Term Facility II (4) 16,306 16,306 (5) 1.75 16,830 16,830 (5) 1.85 2016 AMI Term Facility I (4) 17,852 17,852 (5) 1.75 — — — 2016 AMI Term Facility II (4) 13,924 13,924 (5) 2.00 — — — Total Debt $ 1,352,447 $ 1,357,290 $ 1,025,255 $ 1,027,979 (1) Outstanding balance is presented net of unamortized debt issuance costs of $0.5 million and $0.7 million as of December 31, 2016 and December 31, 2015 , respectively. (2) Includes impact of any amortization of note discount. Outstanding balance is presented net of unamortized debt issuance costs of $4.1 million and $4.6 million as of December 31, 2016 and December 31, 2015 , respectively. (3) Includes impact of any amortization of note discount. Outstanding balance is presented net of unamortized debt issuance costs of $4.4 million as of December 31, 2016 . (4) Apollo Management International LLP (“AMI”), a subsidiary of the Company, entered into the following five year credit agreements and proceeds from the borrowings were used to fund the Company’s investment in European CLOs it manages: Facility Date Loan Amount 2014 AMI Term Facility I July 3, 2014 € 13,736 2014 AMI Term Facility II December 9, 2014 € 15,500 2016 AMI Term Facility I January 18, 2016 € 16,970 2016 AMI Term Facility II June 22, 2016 € 13,236 (5) Fair value is based on obtained broker quotes and these notes would be classified as a Level III liability within the fair value hierarchy based on the number and quality of broker quotes obtained, the standard deviations of the observed broker quotes and the percentage deviation from independent pricing services. For instances where broker quotes are not available, a discounted cash flow method is used to obtain a fair value. (6) Fair value is based on obtained broker quotes and these notes would be classified as a Level II liability within the fair value hierarchy based on the number and quality of broker quotes obtained, the standard deviations of the observed broker quotes and the percentage deviation from independent pricing services. The following table presents the interest expense incurred related to the Company’s debt for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Interest Expense: (1) 2013 AMH Term Facility $ 8,253 $ 8,672 $ 10,112 2024 Senior Notes 20,652 20,759 12,062 2026 Senior Notes 13,372 — — AMI Term Facilities 1,205 640 219 Total Interest Expense $ 43,482 $ 30,071 $ 22,393 (1) Debt issuance costs incurred in connection with the Term Facility, the 2024 Senior Notes and the 2026 Senior Notes are amortized into interest expense over the term of the debt arrangement. |
Schedule of Maturities of Long-term Debt | As of December 31, 2016 , the table below presents the contractual maturities for debt of the consolidated VIEs: 2017 2018 2019 2020 2021 Thereafter Total Senior Secured Notes $ — $ — $ — $ — $ — $ 704,976 $ 704,976 Subordinated Notes — — — — — 87,794 87,794 Total Obligations as of December 31, 2016 $ — $ — $ — $ — $ — $ 792,770 $ 792,770 The table below presents the contractual maturities for the Company's debt arrangements as of December 31, 2016 : 2017 2018 2019 2020 2021 Thereafter Total 2013 AMH Credit Facilities - Term Facility $ — $ — $ — $ — $ 300,000 $ — $ 300,000 2024 Senior Notes — — — — — 500,000 500,000 2026 Senior Notes — — — — — 500,000 500,000 2014 AMI Term Facility I — — — — 14,449 — 14,449 2014 AMI Term Facility II — — 16,306 — — — 16,306 2016 AMI Term Facility I — — — — 17,852 17,852 2016 AMI Term Facility II — — — — 13,924 13,924 Total Obligations as of December 31, 2016 $ — $ — $ 16,306 $ — $ 346,225 $ 1,000,000 $ 1,362,531 |
NET INCOME PER CLASS A SHARE (T
NET INCOME PER CLASS A SHARE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Net Income (Loss) Per Class A Share | The table below presents basic and diluted net income (loss) per Class A share using the two-class method for the years ended December 31, 2016 , 2015 and 2014 : Basic and Diluted For the Years Ended December 31, 2016 2015 2014 Numerator: Net income attributable to Apollo Global Management, LLC $ 402,850 $ 134,497 $ 168,229 Distributions declared on Class A shares (230,713 ) (1) (339,397 ) (1) (483,458 ) (1) Distributions on participating securities (3) (8,396 ) (28,497 ) (72,074 ) Earnings allocable to participating securities (6,430 ) — (2) — (2) Undistributed income (loss) attributable to Class A shareholders: Basic and Diluted $ 157,311 $ (233,397 ) $ (387,303 ) Denominator: Weighted average number of Class A shares outstanding: Basic and Diluted 183,998,080 173,271,666 155,349,017 Net Income per Class A Share: Basic and Diluted (4) Distributed Income $ 1.25 $ 1.96 $ 3.11 Undistributed Income (Loss) 0.86 (1.35 ) (2.49 ) Net Income per Class A Share: Basic and Diluted $ 2.11 $ 0.61 $ 0.62 (1) See note 14 for information regarding the quarterly distributions declared and paid during 2016 , 2015 and 2014 . (2) No allocation of undistributed losses was made to the participating securities as the holders do not have a contractual obligation to share in the losses of the Company with Class A shareholders. (3) Participating securities consist of vested and unvested RSUs that have rights to distributions and unvested restricted shares. (4) For the years ended December 31, 2016 , 2015 and 2014 , all of the classes of securities were determined to be anti-dilutive |
Schedule of Weighted Average Number of Shares | The following table summarizes the anti-dilutive securities for the years ended December 31, 2016 , 2015 and 2014 , respectively. For the Years Ended December 31, 2016 2015 2014 Weighted average vested RSUs 1,466,803 9,984,862 19,541,458 Weighted average unvested RSUs 5,975,293 4,858,935 9,556,131 Weighted average unexercised options 222,920 227,086 548,441 Weighted average AOG Units outstanding 215,917,462 219,575,738 225,005,386 Weighted average unvested restricted shares 82,301 90,985 — |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award | The table below summarizes the issuances of Class A shares in settlement of vested RSUs and share options for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Class A shares issued 4,625,304 11,296,338 10,491,649 Gross value of shares (1) $ 108,716 $ 325,747 $ 289,000 (1) Based on the closing price of a Class A share at the time of issuance |
EQUITY-BASED COMPENSATION (Tabl
EQUITY-BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule or Description of Weighted Average Discount Rate | The following table summarizes the weighted average discounts for Plan Grants and Bonus Grants for the years ended December 31, 2016 , 2015 and 2014 . For the Years Ended December 31, 2016 2015 2014 Plan Grants: Discount for the lack of distributions until vested (1) 14.0 % 26.0 % 32.5 % Marketability discount for transfer restrictions (2) 3.8 % 4.2 % 5.1 % Bonus Grants: Marketability discount for transfer restrictions (2) 2.1 % 2.2 % 3.2 % (1) Based on the present value of a growing annuity calculation. (2) Based on the Finnerty Model calculation. |
Schedule or Description of Forfeiture Rate and Compensation Expense | The following table presents the forfeiture rate and equity-based compensation expense recognized for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Actual forfeiture rate 8.8 % 1.2 % 6.7 % Equity-based compensation $ 67,958 $ 65,661 $ 80,695 The following table presents the actual forfeiture rate and equity-based compensation expense recognized for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 (1) Actual forfeiture rate 1.6 % — % — % Equity-based compensation $ 3,478 $ 2,749 $ — (1) There were no Restricted Share Awards granted in 2014. The following table summarizes the management fees, equity-based compensation expense and actual forfeiture rates for the AHL Awards for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Management fees $ 19,173 $ 23,697 $ 16,738 Equity-based compensation 20,560 24,180 16,738 Actual forfeiture rate 3.2 % — % — % |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | The following table summarizes RSU activity for the year ended December 31, 2016 : Unvested Weighted Average Grant Date Fair Value Vested Total Number Balance at January 1, 2016 11,040,143 $ 16.40 6,294,053 17,334,196 (1) Granted 3,406,655 18.37 — 3,406,655 Forfeited (1,270,579 ) 19.74 — (1,270,579 ) Issued — 16.43 (7,326,251 ) (7,326,251 ) Vested (3,784,653 ) 18.54 3,784,653 — Balance at December 31, 2016 9,391,566 $ 15.80 2,752,455 12,144,021 (1) (1) Amount excludes RSUs which have vested and have been issued in the form of Class A shares. The following table summarizes activity for the AHL Awards that were granted to certain employees of the Company for the year ended December 31, 2016 : AHL Awards Weighted Average Grant Date Fair Value AHL Awards Vested Total Number of AHL Awards Outstanding Balance at January 1, 2016 1,515,878 $ 3.54 1,044,869 2,560,747 Granted 181,105 33.89 — 181,105 Vested (981,617 ) 3.68 981,617 — Forfeited (54,478 ) 1.23 — (54,478 ) Delivered — 4.75 (1,018,462 ) (1,018,462 ) Balance at December 31, 2016 660,888 $ 11.83 1,008,024 1,668,912 The following tables summarize activity for the ARI Awards and AMTG RSUs that were granted to certain of the Company’s employees for the year ended December 31, 2016 : ARI Awards Weighted Average Grant Date Fair Value ARI Awards Vested Total Number of ARI Awards Outstanding Balance at January 1, 2016 893,810 $ 16.88 365,000 1,258,810 Granted 903,068 16.35 — 903,068 Forfeited (68,698 ) 16.35 — (68,698 ) Delivered (390,051 ) 17.23 — (390,051 ) Vested (404,383 ) 16.38 404,383 — Balance at December 31, 2016 933,746 $ 16.48 769,383 1,703,129 Units Expected to Vest —As of December 31, 2016 , approximately 896,396 ARI Awards were expected to vest over the next 2.5 years. AMTG RSUs Weighted Average Grant Date AMTG RSUs Vested Total Number of AMTG RSUs Outstanding Balance at January 1, 2016 90,591 $ 15.85 57,581 148,172 Granted 91,427 12.53 — 91,427 Forfeited (207 ) 13.38 — (207 ) Delivered — 13.65 (239,392 ) (239,392 ) Vested (181,811 ) 12.91 181,811 — Balance at December 31, 2016 — $ — — — The following table summarizes the restricted share award activity related to a performance-based incentive plan and the 2015 Venator acquisition for the year ended December 31, 2016 : Unvested Weighted Average Grant Date Fair Value Vested Total Number Balance at January 1, 2016 105,866 $ 21.53 — 105,866 Granted 27,151 17.53 — 27,151 Forfeited (2,117 ) 19.81 — (2,117 ) Issued — 21.42 (51,764 ) (51,764 ) Vested (51,764 ) 21.42 51,764 — Balance at December 31, 2016 79,136 $ 20.27 — 79,136 |
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs | The following table summarizes the management fees, equity-based compensation expense, and actual forfeiture rates for the ARI Awards for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Management fees $ 6,643 $ 3,334 $ 1,326 Equity-based compensation 6,643 3,081 1,329 Actual forfeiture rate 3.8 % 1.3 % — % The following table summarizes the management fees, compensation expense, and actual forfeiture rates for the AMTG RSUs for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Management fees $ 2,478 $ 1,171 $ 915 Equity-based compensation 2,478 1,171 828 Actual forfeiture rate 0.1 % 2.5 % 2.5 % |
Schedule of Share-based Compensation, Activity | Below is a reconciliation of the equity-based compensation allocated to Apollo Global Management, LLC for the years ended December 31, 2016 , 2015 and 2014 : For the Year Ended December 31, 2016 Total Amount Non- Controlling Interest % in Apollo Operating Group Allocated to Non-Controlling Interest in Apollo Operating Group (1) Allocated to Apollo Global Management, LLC RSUs, share options and restricted share awards $ 71,562 — % $ — $ 71,562 AHL Awards 20,560 53.7 11,049 9,511 Other equity-based compensation awards 10,861 53.7 5,837 5,024 Total equity-based compensation $ 102,983 16,886 86,097 Less other equity-based compensation awards (2) (16,886 ) (16,510 ) Capital increase related to equity-based compensation $ — $ 69,587 For the Year Ended December 31, 2015 Total Amount Non- Controlling Interest % in Apollo Operating Group Allocated to Non-Controlling Interest in Apollo Operating Group (1) Allocated to Apollo Global Management, LLC RSUs, share options and restricted share awards $ 68,535 — % $ — $ 68,535 AHL Awards 24,180 54.4 13,158 11,022 Other equity-based compensation awards 4,961 54.4 2,699 2,262 Total equity-based compensation $ 97,676 15,857 81,819 Less other equity-based compensation awards (2) (15,857 ) (13,860 ) Capital increase related to equity-based compensation $ — $ 67,959 For the Year Ended December 31, 2014 Total Amount Non- Controlling Interest % in Apollo Operating Group Allocated to Non-Controlling Interest in Apollo Operating Group (1) Allocated to Apollo Global Management, LLC RSUs, share options and restricted share awards $ 107,017 — % $ — $ 107,017 AHL Awards 16,738 57.7 9,938 6,800 Other equity-based compensation awards 2,565 57.7 1,517 1,048 Total equity-based compensation $ 126,320 11,455 114,865 Less other equity-based compensation awards (2) (11,455 ) (5,994 ) Capital increase related to equity-based compensation $ — $ 108,871 (1) Calculated based on average ownership percentage for the period considering Class A share issuances during the period. (2) Includes equity-based compensation reimbursable by certain funds. |
RELATED PARTY TRANSACTIONS AN39
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions | Due from related parties and due to related parties are comprised of the following: As of As of Due from Related Parties: Due from private equity funds $ 19,089 $ 21,532 Due from portfolio companies 34,339 36,424 Due from credit funds 112,516 124,660 Due from Contributing Partners, employees and former employees 72,305 42,491 Due from real estate funds 16,604 22,728 Total Due from Related Parties $ 254,853 $ 247,835 Due to Related Parties: Due to Managing Partners and Contributing Partners $ 506,542 $ 506,162 Due to private equity funds 56,880 16,293 Due to credit funds 66,859 57,981 Due to real estate funds 281 580 Distributions payable to employees 7,564 13,520 Total Due to Related Parties $ 638,126 $ 594,536 The table below presents the cash payments made during 2015 and 2014 . Date Cash Payment Interest Paid to Managing Partners Interest Paid to Contributing Partners April, 2015 $ 48,420 $ 13,090 $ 555 April, 2014 32,032 8,272 469 |
Amount of Quarterly Distribution | In addition to other distributions such as payments pursuant to the tax receivable agreement, the table below presents information regarding the quarterly distributions which were made at the sole discretion of the manager of the Company during 2016 , 2015 and 2014 (in millions, except per share data): Distribution Declaration Date Distribution per Class A Share Distribution Payment Date Distribution to Class A Shareholders Distribution to Non-Controlling Interest Holders in the Apollo Operating Group Total Distributions from Apollo Operating Group Distribution Equivalents on Participating Securities February 7, 2014 $ 1.08 February 26, 2014 $ 160.9 $ 247.3 $ 408.2 $ 25.5 April 3, 2014 — April 3, 2014 — 49.5 (1) 49.5 — May 8, 2014 0.84 May 30, 2014 130.0 188.4 318.4 20.9 June 16, 2014 — June 16, 2014 — 28.5 (1) 28.5 — August 6, 2014 0.46 August 29, 2014 73.6 102.5 176.1 10.2 September 11, 2014 — September 11, 2014 — 12.4 (1) 12.4 — October 30, 2014 0.73 November 21, 2014 119.0 162.6 281.6 15.5 December 15, 2014 — December 15, 2014 — 25.2 (1) 25.2 — For the year ended December 31, 2014 $ 3.11 $ 483.5 $ 816.4 $ 1,299.9 $ 72.1 February 5, 2015 $ 0.86 February 27, 2015 $ 144.4 $ 191.3 $ 335.7 $ 15.3 April 11, 2015 — April 11, 2015 — 22.4 (1) 22.4 — May 7, 2015 0.33 May 29, 2015 56.8 72.8 129.6 4.9 July 29, 2015 0.42 August 31, 2015 74.8 91.2 166.0 5.1 October 28, 2015 0.35 November 30, 2015 63.4 75.7 139.1 3.1 For the year ended December 31, 2015 $ 1.96 $ 339.4 $ 453.4 $ 792.8 $ 28.4 February 3, 2016 $ 0.28 February 29, 2016 $ 51.4 $ 60.5 $ 111.9 $ 2.1 May 6, 2016 0.25 May 31, 2016 46.0 54.0 100.0 1.8 August 3, 2016 0.37 August 31, 2016 68.4 79.9 148.3 2.4 October 28, 2016 0.35 November 30, 2016 64.9 75.4 140.3 2.1 For the year ended December 31, 2016 $ 1.25 $ 230.7 $ 269.8 $ 500.5 $ 8.4 (1) On April 3, 2014, June 16, 2014, September 11, 2014, December 15, 2014 and April 11, 2015, the Company made a $0.22 , $0.13 , $0.06 , $0.11 and $0.10 distribution per AOG Unit to the Non-Controlling Interest holders in the Apollo Operating Group. |
Net Income Attributable to Non-Controlling Interests | The table below presents equity interests in Apollo’s consolidated, but not wholly-owned, subsidiaries and funds. Net income and comprehensive income attributable to Non-Controlling Interests consisted of the following: For the Years Ended December 31, 2016 2015 2014 AAA (1) $ — $ — $ (196,964 ) Interest in management companies and a co-investment vehicle (2) (7,403 ) (10,543 ) (13,186 ) Other consolidated entities 1,614 (10,821 ) (17,590 ) Net income attributable to Non-Controlling Interests in consolidated entities (5,789 ) (21,364 ) (227,740 ) Net income attributable to Appropriated Partners’ Capital (3) — — 70,729 Net income attributable to Non-Controlling Interests in the Apollo Operating Group (561,668 ) (194,634 ) (404,682 ) Net Income attributable to Non-Controlling Interests $ (567,457 ) $ (215,998 ) $ (561,693 ) Net income attributable to Appropriated Partners’ Capital (4) — — (70,729 ) Other comprehensive loss attributable to Non-Controlling Interests 2,587 7,020 591 Comprehensive Income Attributable to Non-Controlling Interests $ (564,870 ) $ (208,978 ) $ (631,831 ) (1) Reflects the Non-Controlling Interests in the net (income) loss of AAA and is calculated based on the Non-Controlling Interests ownership percentage in AAA as of December 31, 2014, which was approximately 97.5% . As of December 31, 2014, Apollo owned approximately 2.5% of AAA. AAA was deconsolidated effective January 1, 2015 as a result of the Company’s adoption of new accounting guidance, as described in note 2. (2) Reflects the remaining interest held by certain individuals who receive an allocation of income from certain of our credit funds. (3) Reflects net income of the consolidated CLOs classified as VIEs. (4) Appropriated Partners’ Capital is included in total Apollo Global Management, LLC shareholders’ equity and is therefore not a component of comprehensive income attributable to Non-Controlling Interests on the consolidated statements of comprehensive income. |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Approximate Aggregate Minimum Future Payments Required for Operating Leases | As of December 31, 2016 , the approximate aggregate minimum future payments required for operating leases were as follows: 2017 2018 2019 2020 2021 Thereafter Total Aggregate minimum future payments $ 34,705 $ 30,969 $ 30,198 $ 13,473 $ 4,572 $ 6,853 $ 120,770 |
Summary of Fixed and Determinable Payments | As of December 31, 2016 , fixed and determinable payments due in connection with these obligations were as follows: 2017 2018 2019 2020 2021 Thereafter Total Other long-term obligations $ 19,229 $ 6,398 $ 3,694 $ 1,365 $ 1,365 $ 1,365 $ 33,416 |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Schedule of Economic Net Income | Economic Income (Loss) for the years ended December 31, 2015 and 2014 includes a recast of salary, bonus and benefits due to management’s change in allocation methodology among the segments during the first quarter of 2016 . All prior periods have been recast to conform to the current presentation. The impact to the combined segments’ total Economic Income (Loss) for all periods was zero . Impact on Economic Income (Loss) For the Year Ended December 31, 2015 Private Equity Segment Credit Segment Real Estate Segment Total Total Economic Income (Loss), as previously presented $ 70,968 $ 325,116 $ (427 ) $ 395,657 Impact of reclassification (19,286 ) 13,447 5,839 — Total Economic Income, as currently presented $ 51,682 $ 338,563 $ 5,412 $ 395,657 Impact on Economic Income For the Year Ended December 31, 2014 Private Equity Segment Credit Segment Real Estate Segment Total Total Economic Income, as previously presented $ 246,981 $ 507,986 $ 84 $ 755,051 Impact of reclassification (32,858 ) 26,049 6,809 — Total Economic Income, as currently presented $ 214,123 $ 534,035 $ 6,893 $ 755,051 |
Schedule of Financial Data for Reportable Segments | The following tables present financial data for Apollo’s reportable segments as of and for the years ended December 31, 2016 and 2015 and for the year ended December 31, 2014 : As of and for the Year Ended December 31, 2016 Private Equity Segment Credit Segment Real Estate Segment Total Reportable Segments Revenues: Management fees from related parties $ 321,995 $ 596,709 $ 58,945 $ 977,649 Advisory and transaction fees from related parties, net 128,675 12,533 5,907 147,115 Carried interest income from related parties: Unrealized (1) 368,807 137,274 4,918 510,999 Realized 82,292 180,029 12,566 274,887 Total Revenues (2) 901,769 926,545 82,336 1,910,650 Expenses: Compensation and benefits: Salary, bonus and benefits 124,463 209,256 33,171 366,890 Equity-based compensation 27,549 34,185 2,734 64,468 Profit sharing expense 158,536 147,727 10,387 316,650 Total compensation and benefits 310,548 391,168 46,292 748,008 Non-compensation expenses: General, administrative and other 71,323 125,639 21,528 218,490 Placement fees 2,297 22,047 89 24,433 Total non-compensation expenses 73,620 147,686 21,617 242,923 Total Expenses (2) 384,168 538,854 67,909 990,931 Other Income (Loss): Income from equity method investments 66,281 33,290 3,010 102,581 Net gains from investment activities 11,379 127,229 — 138,608 Net interest loss (14,187 ) (20,669 ) (4,163 ) (39,019 ) Other income (loss), net 1,650 (4,500 ) 692 (2,158 ) Total Other Income (Loss) (2) 65,123 135,350 (461 ) 200,012 Non-Controlling Interests — (7,464 ) — (7,464 ) Economic Income (2) $ 582,724 $ 515,577 $ 13,966 $ 1,112,267 Total Assets (2) $ 2,004,833 $ 2,505,980 $ 183,830 $ 4,694,643 (1) Included in unrealized carried interest gains (losses) from related parties for the year ended December 31, 2016 was a reversal of previously realized carried interest income due to the general partner obligation to return previously distributed carried interest income. See note 14 for further details regarding the general partner obligation. (2) Refer below for a reconciliation of total revenues, total expenses, other income and total assets for Apollo’s total reportable segments to total consolidated revenues, total consolidated expenses, total consolidated other income (loss) and total assets. As of and for the Year Ended December 31, 2015 Private Credit Real Total Revenues: Management fees from related parties $ 295,836 $ 565,241 $ 50,816 $ 911,893 Advisory and transaction fees from related parties, net (7,485 ) 17,246 4,425 14,186 Carried interest income (loss) from related parties: Unrealized (1) (314,161 ) (80,534 ) 7,154 (387,541 ) Realized 339,822 139,152 5,857 484,831 Total Revenues (2) 314,012 641,105 68,252 1,023,369 Expenses: Compensation and benefits: Salary, bonus and benefits 123,653 200,032 32,237 355,922 Equity-based compensation 31,324 26,683 4,177 62,184 Profit sharing expense 46,572 34,384 5,075 86,031 Total compensation and benefits 201,549 261,099 41,489 504,137 Non-compensation expenses: General, administrative and other 75,559 123,378 22,869 221,806 Placement fees 4,550 4,389 — 8,939 Total non-compensation expenses 80,109 127,767 22,869 230,745 Total Expenses (2) 281,658 388,866 64,358 734,882 Other Income: Income (loss) from equity method investments 19,125 (6,025 ) 2,978 16,078 Net gains from investment activities 6,933 114,199 — 121,132 Net interest loss (9,878 ) (13,740 ) (2,915 ) (26,533 ) Other income, net 3,148 3,574 1,455 8,177 Total Other Income (2) 19,328 98,008 1,518 118,854 Non-Controlling Interests — (11,684 ) — (11,684 ) Economic Income (2) $ 51,682 $ 338,563 $ 5,412 $ 395,657 Total Assets (2) $ 1,255,340 $ 2,143,813 $ 192,469 $ 3,591,622 (1) Included in unrealized carried interest gains from related parties for the year ended December 31, 2015 was a reversal of previously realized carried interest income due to the general partner obligation to return previously distributed carried interest income. See note 14 for further detail regarding the general partner obligation. (2) Refer below for a reconciliation of total revenues, total expenses and other income for Apollo’s total reportable segments to total consolidated revenues, total consolidated expenses and total consolidated other income (loss). For the Year Ended December 31, 2014 Private Credit Real Total Revenues: Management fees from related parties $ 315,069 $ 538,742 $ 47,213 $ 901,024 Advisory and transaction fees from related parties, net 58,241 255,186 2,655 316,082 Carried interest income (loss) from related parties: Unrealized (1) (1,196,093 ) (156,644 ) 4,951 (1,347,786 ) Realized 1,428,076 322,233 3,998 1,754,307 Total Revenues (2) 605,293 959,517 58,817 1,623,627 Expenses: Compensation and benefits: Salary, bonus and benefits 129,547 184,497 25,802 339,846 Equity-based compensation 49,526 47,120 8,849 105,495 Profit sharing expense 178,373 83,788 2,747 264,908 Total compensation and benefits 357,446 315,405 37,398 710,249 Non-compensation Expenses: General, administrative and other 68,092 138,024 21,669 227,785 Placement fees 2,194 13,228 — 15,422 Total non-compensation expenses 70,286 151,252 21,669 243,207 Total Expenses (2) 427,732 466,657 59,067 953,456 Other Income: Income from equity method investments 30,418 18,812 5,675 54,905 Net gains from investment activities — 9,062 — 9,062 Net interest loss (7,883 ) (9,274 ) (1,941 ) (19,098 ) Other income, net 14,027 35,263 3,409 52,699 Total Other Income (2) 36,562 53,863 7,143 97,568 Non-Controlling Interests — (12,688 ) — (12,688 ) Economic Income (2) $ 214,123 $ 534,035 $ 6,893 $ 755,051 (1) Included in unrealized carried interest gains from related parties for the year ended December 31, 2014 was a reversal of previously realized carried interest income due to the general partner obligation to return previously distributed carried interest income. (2) Refer below for a reconciliation of total revenues, total expenses and other income for Apollo’s total reportable segments to total consolidated revenues, total consolidated expenses and total consolidated other income (loss). The following table reconciles total consolidated revenues to total revenues for Apollo’s reportable segments for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Total Consolidated Revenues $ 1,970,384 $ 1,041,670 $ 1,560,083 Equity awards granted by unconsolidated related parties and reimbursable expenses (1) (73,913 ) (27,949 ) (18,665 ) Adjustments related to consolidated funds and VIEs (1) 5,477 3,696 75,830 Other (1) 8,702 5,952 6,379 Total Reportable Segments Revenues $ 1,910,650 $ 1,023,369 $ 1,623,627 (1) Represents advisory fees, management fees and carried interest income earned from consolidated VIEs which are eliminated in consolidation. Includes non-cash revenues related to equity awards granted by unconsolidated related parties to employees of the Company and certain compensation and administrative related expense reimbursements. The following table reconciles total consolidated expenses to total expenses for Apollo’s reportable segments for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Total Consolidated Expenses $ 1,165,918 $ 830,975 $ 1,043,563 Equity awards granted by unconsolidated related parties and reimbursable expenses (1) (75,653 ) (28,658 ) (19,207 ) Transaction-related compensation charges (1) (46,293 ) (4,825 ) (12,903 ) Reclassification of interest expenses (43,482 ) (30,071 ) (22,393 ) Amortization of transaction-related intangibles (1) (8,807 ) (33,998 ) (34,887 ) Other (1) (752 ) 1,459 (717 ) Total Reportable Segments Expenses $ 990,931 $ 734,882 $ 953,456 (1) Represents the addition of expenses of consolidated funds and VIEs, transaction-related charges, non-cash expenses related to equity awards granted by unconsolidated related parties to employees of the Company and certain compensation and administrative expenses. Transaction-related charges include equity-based compensation charges, the amortization of intangible assets, contingent consideration and certain other charges associated with acquisitions. |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | The following table reconciles total consolidated other income to total other income for Apollo’s reportable segments for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Total Consolidated Other Income $ 256,548 $ 166,533 $ 360,647 Reclassification of interest expense (43,482 ) (30,071 ) (22,393 ) Adjustments related to consolidated funds and VIEs (1) (3,982 ) (14,652 ) (222,129 ) Other (9,072 ) (2,956 ) (18,557 ) Total Reportable Segments Other Income $ 200,012 $ 118,854 $ 97,568 (1) Represents the addition of other income of consolidated funds and VIEs. The following table presents the reconciliation of income before income tax provision reported in the consolidated statements of operations to Economic Income for the years ended December 31, 2016 , 2015 and 2014 : For the Years Ended December 31, 2016 2015 2014 Income before income tax provision $ 1,061,014 $ 377,228 $ 877,167 Adjustments: Net income attributable to Non-Controlling Interests in consolidated entities and appropriated partners’ capital (5,789 ) (21,364 ) (157,011 ) Transaction-related charges (1) 57,042 39,793 34,895 Total consolidation adjustments and other 51,253 18,429 (122,116 ) Economic Income $ 1,112,267 $ 395,657 $ 755,051 (1) Transaction-related charges include equity-based compensation charges, the amortization of intangible assets, contingent consideration and certain other charges associated with acquisitions. Equity-based compensation adjustment includes non-cash revenues and expenses related to equity awards granted by unconsolidated related parties to employees of the Company. |
Reconciliation of Assets from Segment to Consolidated | The following table presents the reconciliation of Apollo’s total reportable segment assets to total assets as of December 31, 2016 and 2015 : As of As of Total reportable segment assets $ 4,694,643 $ 3,591,622 Adjustments (1) 934,910 968,186 Total assets $ 5,629,553 $ 4,559,808 (1) Represents the addition of assets of consolidated funds and VIEs and consolidation elimination adjustments. |
QUARTERLY FINANCIAL DATA (UNA42
QUARTERLY FINANCIAL DATA (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Quarterly Financial Information | QUARTERLY FINANCIAL DATA (UNAUDITED) For the Three Months Ended March 31, June 30, September 30, December 31, 2016 Revenues $ 120,826 $ 660,447 $ 503,731 $ 685,380 Expenses 141,899 343,398 282,257 398,364 Other Income (Loss) (58,635 ) 136,742 42,911 135,530 Income (Loss) Before Provision for Taxes $ (79,708 ) $ 453,791 $ 264,385 $ 422,546 Net Income (Loss) $ (74,561 ) $ 415,803 $ 234,718 $ 394,347 Net Income (Loss) Attributable to Apollo Global Management, LLC $ (32,828 ) $ 174,092 $ 94,619 $ 166,967 Net Income (Loss) per Class A Share-Basic $ (0.19 ) $ 0.91 $ 0.50 $ 0.87 Net Income (Loss) per Class A Share - Diluted $ (0.19 ) $ 0.91 $ 0.50 $ 0.87 For the Three Months Ended March 31, June 30, September 30, December 31, 2015 Revenues $ 303,024 $ 351,727 $ 193,268 $ 193,651 Expenses 223,996 244,539 174,911 187,529 Other Income 7,984 49,978 84,793 23,778 Income Before Provision for Taxes $ 87,012 $ 157,166 $ 103,150 $ 29,900 Net Income $ 81,498 $ 148,074 $ 96,559 $ 24,364 Net Income Attributable to Apollo Global Management, LLC $ 30,927 $ 56,428 $ 41,051 $ 6,091 Net Income per Class A Share - Basic $ 0.09 $ 0.30 $ 0.20 $ 0.02 Net Income per Class A Share - Diluted $ 0.09 $ 0.30 $ 0.20 $ 0.02 |
ORGANIZATION - Narrative (Detai
ORGANIZATION - Narrative (Detail) | 12 Months Ended | |||
Dec. 31, 2016holding_companySegment | Feb. 07, 2017 | Feb. 06, 2017 | Dec. 31, 2015 | |
Entity Information [Line Items] | ||||
Number of segments | Segment | 3 | |||
Number of holding company | holding_company | 5 | |||
Economic interest | 0.06% | 0.06% | ||
Subsidiaries | ||||
Entity Information [Line Items] | ||||
Economic interest | 53.70% | |||
Subsequent Event | Parent Company | ||||
Entity Information [Line Items] | ||||
Economic interest | 46.50% | 46.30% |
SUMMARY OF SIGNIFICANT ACCOUN44
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accounting Policies [Abstract] | |||
Percent of returns (as much as) | 20.00% | ||
Employer contribution | $ 0 | $ 0 | $ 0 |
GOODWILL AND INTANGIBLE ASSET45
GOODWILL AND INTANGIBLE ASSETS - Narrative (Details) - USD ($) | May 05, 2015 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | |||
Goodwill | $ 88,852,000 | $ 88,852,000 | |
Impairment of goodwill | 0 | ||
Impairment of indefinite-life intangible assets | 0 | ||
Venator HK | |||
Business Acquisition [Line Items] | |||
Percentage of assets and liabilities acquired | 100.00% | ||
Assets combined fair value | $ 3,000,000 | ||
Liabilities combined fair value | 2,100,000 | ||
Bargain purchase gain | $ 900,000 | ||
Private Equity | |||
Business Acquisition [Line Items] | |||
Goodwill | 23,100,000 | 23,100,000 | |
Credit | |||
Business Acquisition [Line Items] | |||
Goodwill | 64,800,000 | 64,800,000 | |
Real Estate | |||
Business Acquisition [Line Items] | |||
Goodwill | $ 1,000,000 | $ 1,000,000 |
GOODWILL AND INTANGIBLE ASSET46
GOODWILL AND INTANGIBLE ASSETS - Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Finite-lived intangible assets/management contracts | $ 246,060 | $ 242,863 |
Accumulated amortization | (223,339) | (214,243) |
Intangible assets, net | $ 22,721 | $ 28,620 |
GOODWILL AND INTANGIBLE ASSET47
GOODWILL AND INTANGIBLE ASSETS - Finite-Lived Intangible Assets Rollforward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-lived Intangible Assets [Roll Forward] | |||
Balance, beginning of year | $ 28,620 | ||
Balance, end of year | 22,721 | $ 28,620 | |
Indefinite-lived intangible assets | 1,000 | 1,000 | |
Total Apollo Global Management, LLC Shareholders’ Equity | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Balance, beginning of year | 28,620 | 60,039 | $ 94,927 |
Amortization expense | (9,095) | (33,998) | (34,888) |
Acquisitions / additions | 3,196 | 2,579 | 0 |
Balance, end of year | $ 22,721 | $ 28,620 | $ 60,039 |
GOODWILL AND INTANGIBLE ASSET48
GOODWILL AND INTANGIBLE ASSETS - Schedule of Finite-Lived Intangible Assets, Future Amortization Expense (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,017 | $ 6,106 |
2,018 | 4,486 |
2,019 | 4,194 |
2,020 | 3,677 |
2,021 | 2,250 |
Thereafter | 1,048 |
Total | $ 21,761 |
INVESTMENTS - Apollo's Investme
INVESTMENTS - Apollo's Investments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Equity Method Investments and Joint Ventures [Abstract] | ||
Investments, at fair value | $ 708,080 | $ 539,080 |
Equity method investments | 786,664 | 615,669 |
Total Investments | $ 1,494,744 | $ 1,154,749 |
INVESTMENTS - Net Gains from In
INVESTMENTS - Net Gains from Investment Activities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Equity Method Investments and Joint Ventures [Abstract] | |||
Realized gains (losses) on sales of investments | $ 400 | $ 889 | $ (12,651) |
Net change in unrealized gains (losses) due to changes in fair value(1) | 139,321 | 120,834 | 225,894 |
Net gains (losses) from investment activities | $ 139,721 | $ 121,723 | $ 213,243 |
INVESTMENTS - Summary of Equity
INVESTMENTS - Summary of Equity Method Investments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | $ 786,664 | $ 615,669 |
Private Equity Segment | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | 428,581 | 273,074 |
Credit Funds | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | 327,012 | 313,116 |
Real Estate Segment | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | 31,071 | 29,479 |
Fund Eight Investments | Private Equity Segment | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | $ 260,900 | $ 116,400 |
% of Ownership | 2.20% | 2.20% |
Midcap Investments | Credit Funds | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | $ 79,500 | $ 79,300 |
% of Ownership | 4.30% | 4.90% |
AP Alternative Assets, L.P. | Private Equity Segment | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | $ 66,800 | $ 66,000 |
Value of company's investment | 64,871 | 57,159 |
Apollo Investment Corporation | Credit Funds | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity Method Investments | 58,605 | 61,944 |
Value of company's investment | $ 52,072 | $ 41,833 |
INVESTMENTS - Equity Method Inv
INVESTMENTS - Equity Method Investment Financial Condition for Athene Holdings (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | ||
Investments | $ 49,682,609 | $ 39,099,234 |
Assets | 52,876,106 | 42,710,722 |
Liabilities | 5,889,476 | 8,970,959 |
Equity | 46,986,630 | 33,739,763 |
Investment in Athene Holding | ||
Schedule of Equity Method Investments [Line Items] | ||
Investments | 71,223 | 62,703 |
Assets | 87,000 | 80,854 |
Liabilities | 79,926 | 75,491 |
Equity | $ 7,074 | $ 5,363 |
INVESTMENTS - Equity Method I53
INVESTMENTS - Equity Method Investment Income for Athene Holdings (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||
Revenues | $ 1,835,383 | $ 1,881,328 | $ 2,384,229 |
Expenses | 848,909 | 805,994 | 773,115 |
Income before income tax provision | 986,474 | 1,075,334 | 1,611,114 |
Net income | 5,040,844 | (549,366) | 2,425,885 |
Investment in Athene Holding | |||
Schedule of Equity Method Investments [Line Items] | |||
Revenues | 4,090 | 2,616 | 4,100 |
Expenses | 3,503 | 2,024 | 3,568 |
Income before income tax provision | 587 | 592 | 532 |
Income tax provision (benefit) | (92) | 14 | 54 |
Net income | 679 | 578 | 478 |
Net income attributable to Non-Controlling Interests | 0 | (16) | (15) |
Net income available to Athene common shareholders | $ 679 | $ 562 | $ 463 |
INVESTMENTS - Equity Method I54
INVESTMENTS - Equity Method Investments Financial Condition (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Schedule of Equity Method Investments [Line Items] | ||
Investments | $ 49,682,609 | $ 39,099,234 |
Assets | 52,876,106 | 42,710,722 |
Liabilities | 5,889,476 | 8,970,959 |
Equity | 46,986,630 | 33,739,763 |
Private Equity Segment | ||
Schedule of Equity Method Investments [Line Items] | ||
Investments | 27,084,486 | 17,080,292 |
Assets | 27,832,718 | 17,970,417 |
Liabilities | 45,583 | 37,416 |
Equity | 27,787,135 | 17,933,001 |
Credit | ||
Schedule of Equity Method Investments [Line Items] | ||
Investments | 19,085,779 | 18,830,120 |
Assets | 21,077,051 | 21,255,463 |
Liabilities | 4,327,790 | 7,646,492 |
Equity | 16,749,261 | 13,608,971 |
Real Estate Segment | ||
Schedule of Equity Method Investments [Line Items] | ||
Investments | 3,512,344 | 3,188,822 |
Assets | 3,966,337 | 3,484,842 |
Liabilities | 1,516,103 | 1,287,051 |
Equity | $ 2,450,234 | $ 2,197,791 |
INVESTMENTS - Equity Method I55
INVESTMENTS - Equity Method Investments Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||
Revenues/Investment Income | $ 1,835,383 | $ 1,881,328 | $ 2,384,229 |
Expenses | 848,909 | 805,994 | 773,115 |
Net Investment Income | 986,474 | 1,075,334 | 1,611,114 |
Net Realized and Unrealized Gain (Loss) | 4,054,370 | (1,624,700) | 814,771 |
Net Income | 5,040,844 | (549,366) | 2,425,885 |
Private Equity Segment | |||
Schedule of Equity Method Investments [Line Items] | |||
Revenues/Investment Income | 235,231 | 408,971 | 340,380 |
Expenses | 298,705 | 306,044 | 326,126 |
Net Investment Income | (63,474) | 102,927 | 14,254 |
Net Realized and Unrealized Gain (Loss) | 2,999,627 | 20,757 | 1,300,343 |
Net Income | 2,936,153 | 123,684 | 1,314,597 |
Credit Funds | |||
Schedule of Equity Method Investments [Line Items] | |||
Revenues/Investment Income | 1,384,414 | 1,352,017 | 1,954,270 |
Expenses | 483,335 | 464,610 | 417,967 |
Net Investment Income | 901,079 | 887,407 | 1,536,303 |
Net Realized and Unrealized Gain (Loss) | 1,033,550 | (1,643,758) | (548,088) |
Net Income | 1,934,629 | (756,351) | 988,215 |
Real Estate Segment | |||
Schedule of Equity Method Investments [Line Items] | |||
Revenues/Investment Income | 215,738 | 120,340 | 89,579 |
Expenses | 66,869 | 35,340 | 29,022 |
Net Investment Income | 148,869 | 85,000 | 60,557 |
Net Realized and Unrealized Gain (Loss) | 21,193 | (1,699) | 62,516 |
Net Income | $ 170,062 | $ 83,301 | $ 123,073 |
VARIABLE INTEREST ENTITIES - Na
VARIABLE INTEREST ENTITIES - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Number of days trade is open with VIE | 60 days | |
Investment in CLO | $ 41.3 | $ 42.3 |
VARIABLE INTEREST ENTITIES - Ne
VARIABLE INTEREST ENTITIES - Net Gains (Losses) from Investment Activities of Consolidated VIEs (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Net gains (losses) from investment activities | $ 10,334 | $ 15,787 | $ (238,534) |
Net gains (losses) from debt | (11,921) | 3,057 | 102,554 |
Interest and other income | 41,791 | 37,404 | 666,486 |
Interest and other expenses | (35,189) | (37,198) | (507,942) |
Net gains from investment activities of consolidated variable interest entities | $ 5,015 | $ 19,050 | $ 22,564 |
VARIABLE INTEREST ENTITIES - Pr
VARIABLE INTEREST ENTITIES - Principal Provisions of Debt (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | ||
Principal Outstanding | $ 1,362,531 | |
Consolidated Variable Interest Entities | ||
Debt Instrument [Line Items] | ||
Principal Outstanding | 792,770 | $ 818,157 |
VIE assets | 1,001,800 | 1,030,800 |
Senior Secured Notes | Consolidated Variable Interest Entities | ||
Debt Instrument [Line Items] | ||
Principal Outstanding | $ 704,976 | $ 735,792 |
Weighted Average Interest Rate | 1.83% | 2.17% |
Weighted Average Remaining Maturity in Years | 12 years 3 months 18 days | 12 years 1 month 6 days |
Subordinated Notes | Consolidated Variable Interest Entities | ||
Debt Instrument [Line Items] | ||
Principal Outstanding | $ 87,794 | $ 82,365 |
Weighted Average Remaining Maturity in Years | 19 years 2 months 12 days | 15 years 1 month 6 days |
VARIABLE INTEREST ENTITIES - Sc
VARIABLE INTEREST ENTITIES - Schedule of Maturities of Long-term Debt (Details) - Consolidated Variable Interest Entities $ in Thousands | Dec. 31, 2016USD ($) |
Variable Interest Entity [Line Items] | |
2,017 | $ 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 792,770 |
Total | 792,770 |
Senior Secured Notes | |
Variable Interest Entity [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 704,976 |
Total | 704,976 |
Subordinated Notes | |
Variable Interest Entity [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 87,794 |
Total | $ 87,794 |
VARIABLE INTEREST ENTITIES - Ca
VARIABLE INTEREST ENTITIES - Carrying Amounts of Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Variable Interest Entity [Line Items] | ||
Total Assets | $ 7,523,335 | $ 5,378,456 |
Total Liabilities | 2,818,459 | 1,626,743 |
Apollo Exposure | 272,191 | 202,146 |
Investments | 1,494,744 | 1,154,749 |
Cumulative revenues recognized if existing investments become worthless | 2,900,000 | 2,400,000 |
Variable Interest Entity, Not Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Cash | 231,900 | 219,800 |
Investments | 7,253,900 | 5,149,000 |
Receivables | 37,500 | 9,600 |
Debt and other payables | $ 2,818,500 | $ 1,626,700 |
FAIR VALUE MEASUREMENTS OF FI61
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS - Narrative (Details) $ / shares in Units, € in Millions | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2016USD ($)$ / shares | Dec. 31, 2016USD ($)$ / shares | Dec. 31, 2016EUR (€) | |
Foreign Exchange Option | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Gain (loss) on derivative asset | $ | $ (300,000) | $ 0 | |
Gain (loss) on derivative liability | $ | $ 3,300 | $ (100,000) | |
Net Investment Hedging | Designated as Hedging Instrument | Foreign Exchange Option | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Notional amount | € | € 17.6 | ||
Investment in Athene Holding | Market Approach Valuation Technique | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Market price (in dollars per share) | $ / shares | $ 47.99 | $ 47.99 | |
DLOM percent | 9.50% | ||
Holding period | 23 months 9 days | ||
Price per share adjusted for DLOM (in dollars per share) | $ / shares | $ 43.43 | $ 43.43 |
FAIR VALUE MEASUREMENTS OF FI62
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS - Valuation of Financial Assets and Liabilities by the Fair Value Hierarchy (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Consolidated Variable Interest Entities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Assets | $ 1,001,800 | $ 1,030,800 |
Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1,360 | |
Total Assets | 1,623,267 | 1,449,646 |
Derivative liabilities | 1,167 | |
Total Liabilities | 905,049 | 892,260 |
Fair Value, Measurements, Recurring | Consolidated Variable Interest Entities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments of VIEs, at fair value | 908,641 | 904,353 |
Investments of VIEs, valued using NAV | 5,186 | 6,213 |
Investments, at fair value | 913,827 | 910,566 |
Debt, at fair value | 797,600 | 812,681 |
Fair Value, Measurements, Recurring | Contingent Consideration Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent consideration obligations | 106,282 | 79,579 |
Fair Value, Measurements, Recurring | Investments held by Apollo Senior Loan Fund | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 5,378 | 28,547 |
Cost of Investments, at Fair Value | 5,463 | 29,344 |
Fair Value, Measurements, Recurring | Other Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 45,154 | 434 |
Cost of Investments, at Fair Value | 47,690 | 831 |
Fair Value, Measurements, Recurring | Investment in Athene Holding | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 657,548 | 510,099 |
Cost of Investments, at Fair Value | 387,526 | 387,526 |
Fair Value, Measurements, Recurring | Total investments, at fair value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 708,080 | 539,080 |
Cost of Investments, at Fair Value | 440,679 | 417,701 |
Fair Value, Measurements, Recurring | Level I | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Total Assets | 3,336 | 0 |
Derivative liabilities | 0 | |
Total Liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Consolidated Variable Interest Entities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments of VIEs, at fair value | 0 | 0 |
Investments of VIEs, valued using NAV | 0 | 0 |
Investments, at fair value | 0 | 0 |
Debt, at fair value | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Contingent Consideration Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent consideration obligations | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Investments held by Apollo Senior Loan Fund | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 3,336 | 0 |
Fair Value, Measurements, Recurring | Level I | Other Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Investment in Athene Holding | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Total investments, at fair value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 3,336 | 0 |
Fair Value, Measurements, Recurring | Level II | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1,360 | |
Total Assets | 1,476,550 | 830,325 |
Derivative liabilities | 1,167 | |
Total Liabilities | 787,712 | 801,270 |
Fair Value, Measurements, Recurring | Level II | Consolidated Variable Interest Entities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments of VIEs, at fair value | 816,167 | 803,412 |
Investments of VIEs, valued using NAV | 0 | 0 |
Investments, at fair value | 816,167 | 803,412 |
Debt, at fair value | 786,545 | 801,270 |
Fair Value, Measurements, Recurring | Level II | Contingent Consideration Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent consideration obligations | 0 | 0 |
Fair Value, Measurements, Recurring | Level II | Investments held by Apollo Senior Loan Fund | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 1,475 | 26,913 |
Fair Value, Measurements, Recurring | Level II | Other Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 0 | 0 |
Fair Value, Measurements, Recurring | Level II | Investment in Athene Holding | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 657,548 | 0 |
Fair Value, Measurements, Recurring | Level II | Total investments, at fair value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 659,023 | 26,913 |
Fair Value, Measurements, Recurring | Level III | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Total Assets | 138,195 | 613,108 |
Derivative liabilities | 0 | |
Total Liabilities | 117,337 | 90,990 |
Fair Value, Measurements, Recurring | Level III | Consolidated Variable Interest Entities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments of VIEs, at fair value | 92,474 | 100,941 |
Investments of VIEs, valued using NAV | 0 | 0 |
Investments, at fair value | 92,474 | 100,941 |
Debt, at fair value | 11,055 | 11,411 |
Fair Value, Measurements, Recurring | Level III | Contingent Consideration Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent consideration obligations | 106,282 | 79,579 |
Fair Value, Measurements, Recurring | Level III | Investments held by Apollo Senior Loan Fund | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 1,634 | |
Fair Value, Measurements, Recurring | Level III | Other Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 434 | |
Fair Value, Measurements, Recurring | Level III | Investment in Athene Holding | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | 510,099 | |
Fair Value, Measurements, Recurring | Level III | Total investments, at fair value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investments, at fair value | $ 45,721 | $ 512,167 |
FAIR VALUE MEASUREMENTS OF FI63
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS - Changes in Fair Value in Financial Assets (Details) - Level III - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | $ 613,108 | $ 2,913,678 |
Adoption of accounting guidance | (2,407,923) | |
Fees | 1,942 | |
Purchases | 131,290 | 75,301 |
Sales of investments/distributions | (70,283) | (67,326) |
Net realized gains | 3,009 | 3,893 |
Changes in net unrealized gains (losses) | 135,901 | 133,161 |
Cumulative translation adjustment | (4,852) | (12,111) |
Transfer into Level III | 31,669 | 64,755 |
Transfer out of Level III | (701,647) | (92,262) |
Settlement of receivable | 0 | |
Balance, End of Period | 138,195 | 613,108 |
Gains on investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 56 | 121,351 |
Consolidated Variable Interest Entities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | 100,941 | 2,522,913 |
Adoption of accounting guidance | (2,407,923) | |
Fees | 0 | |
Purchases | 74,043 | 44,116 |
Sales of investments/distributions | (68,653) | (34,548) |
Net realized gains | 3,086 | 3,178 |
Changes in net unrealized gains (losses) | (2,842) | 11,396 |
Cumulative translation adjustment | (2,691) | (12,111) |
Transfer into Level III | 30,173 | 59,316 |
Transfer out of Level III | (41,583) | (85,396) |
Settlement of receivable | 0 | |
Balance, End of Period | 92,474 | 100,941 |
Consolidated Variable Interest Entities | Gains on investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | 0 |
Consolidated Variable Interest Entities | Unrealized gains (losses) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 30 | 11,543 |
Investments held by Apollo Senior Loan Fund | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | 1,634 | 4,359 |
Adoption of accounting guidance | 0 | |
Fees | 0 | |
Purchases | 1,430 | 5,913 |
Sales of investments/distributions | (1,630) | (6,996) |
Net realized gains | (77) | 48 |
Changes in net unrealized gains (losses) | 230 | (263) |
Cumulative translation adjustment | 0 | |
Transfer into Level III | 1,496 | 5,439 |
Transfer out of Level III | (2,516) | (6,866) |
Settlement of receivable | 0 | |
Balance, End of Period | 1,634 | |
Investments held by Apollo Senior Loan Fund | Gains on investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 55 | (677) |
Investments held by Apollo Senior Loan Fund | Consolidated Variable Interest Entities | Unrealized gains (losses) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | |
Other Investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | 434 | 600 |
Adoption of accounting guidance | 0 | |
Fees | 0 | |
Purchases | 46,880 | 272 |
Sales of investments/distributions | (115) | |
Net realized gains | 0 | |
Changes in net unrealized gains (losses) | 1 | (323) |
Cumulative translation adjustment | (2,161) | 0 |
Transfer into Level III | 0 | 0 |
Transfer out of Level III | 0 | |
Settlement of receivable | 0 | |
Balance, End of Period | 434 | |
Other Investments | Gains on investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 1 | (323) |
Other Investments | Consolidated Variable Interest Entities | Unrealized gains (losses) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | |
Investment in Athene Holding | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | 510,099 | 324,514 |
Adoption of accounting guidance | 0 | |
Fees | 0 | |
Purchases | 8,937 | 0 |
Sales of investments/distributions | 0 | |
Net realized gains | 0 | |
Changes in net unrealized gains (losses) | 138,512 | 122,351 |
Cumulative translation adjustment | 0 | |
Transfer into Level III | 0 | 0 |
Transfer out of Level III | (657,548) | 0 |
Settlement of receivable | 63,234 | |
Balance, End of Period | 510,099 | |
Investment in Athene Holding | Gains on investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | 122,351 |
Investment in Athene Holding | Consolidated Variable Interest Entities | Unrealized gains (losses) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | 0 |
AAA/Athene Receivable | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | 0 | 61,292 |
Adoption of accounting guidance | 0 | |
Fees | 1,942 | |
Purchases | 0 | |
Sales of investments/distributions | 0 | |
Net realized gains | 0 | |
Changes in net unrealized gains (losses) | 0 | |
Cumulative translation adjustment | 0 | |
Transfer into Level III | 0 | |
Transfer out of Level III | 0 | |
Settlement of receivable | (63,234) | |
Balance, End of Period | 0 | |
AAA/Athene Receivable | Gains on investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | |
AAA/Athene Receivable | Consolidated Variable Interest Entities | Unrealized gains (losses) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | |
Investment in RCAP | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | $ 0 | 0 |
Adoption of accounting guidance | 0 | |
Fees | 0 | |
Purchases | 25,000 | |
Sales of investments/distributions | (25,667) | |
Net realized gains | 667 | |
Changes in net unrealized gains (losses) | 0 | |
Cumulative translation adjustment | 0 | |
Transfer into Level III | 0 | |
Transfer out of Level III | 0 | |
Settlement of receivable | 0 | |
Balance, End of Period | 0 | |
Investment in RCAP | Gains on investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | 0 | |
Investment in RCAP | Consolidated Variable Interest Entities | Unrealized gains (losses) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized gains (losses) | $ 0 |
FAIR VALUE MEASUREMENTS OF FI64
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS - Changes in Fair Value in Financial Liabilities (Details) - Level III - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | $ 90,990 | $ 12,439,147 |
Adoption of accounting guidance | 0 | (11,433,815) |
Payments/Extinguishment | (13,721) | (15,743) |
Changes in net unrealized (gains) losses | 40,068 | (9,048) |
Cumulative translation adjustment | 0 | (92,593) |
Transfers out of Level III | 0 | (796,958) |
Balance, End of Period | 117,337 | 90,990 |
Contingent Consideration Obligations | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | 79,579 | 96,126 |
Adoption of accounting guidance | 0 | 0 |
Payments/Extinguishment | (13,721) | (15,743) |
Changes in net unrealized (gains) losses | 40,424 | (804) |
Cumulative translation adjustment | 0 | 0 |
Transfers out of Level III | 0 | 0 |
Balance, End of Period | 106,282 | 79,579 |
Consolidated Variable Interest Entities | Liabilities of Consolidated VIEs | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Balance, Beginning of Period | 11,411 | 12,343,021 |
Adoption of accounting guidance | 0 | (11,433,815) |
Changes in net unrealized (gains) losses | (356) | (8,244) |
Cumulative translation adjustment | (92,593) | |
Transfers out of Level III | 0 | (796,958) |
Balance, End of Period | 11,055 | 11,411 |
Consolidated Variable Interest Entities | Unrealized gains (losses) | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized (gains) losses | (356) | $ 0 |
Consolidated Variable Interest Entities | Unrealized gains (losses) | Liabilities of Consolidated VIEs | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Changes in net unrealized (gains) losses | $ (356) |
FAIR VALUE MEASUREMENTS OF FI65
FAIR VALUE MEASUREMENTS OF FINANCIAL INSTRUMENTS - Quantitative Inputs and Assumptions used for Financial Assets and Liabilities Categories (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Contingent Consideration Obligations | Minimum | Income Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Discount rate | 13.00% | 11.00% | |
Contingent Consideration Obligations | Maximum | Income Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Discount rate | 17.30% | 18.50% | |
Investment in Athene Holding | Cost Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Book multiple | 1.18 | ||
Investment in Athene Holding | Weighted Average | Cost Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Book multiple | 1.18 | ||
Common Stock | Market Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Comparable Multiple | 0.60 | ||
Common Stock | Weighted Average | Market Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Comparable Multiple | 0.60 | ||
Consolidated Variable Interest Entities | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | $ 913,827 | $ 910,566 | |
Fair Value, Measurements, Recurring | Investments held by Apollo Senior Loan Fund | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | 5,378 | 28,547 | |
Fair Value, Measurements, Recurring | Other Investments | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | 45,154 | 434 | |
Fair Value, Measurements, Recurring | Investment in Athene Holding | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | 657,548 | 510,099 | |
Level III | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 138,195 | 613,108 | $ 2,913,678 |
Liabilities | 117,337 | 90,990 | 12,439,147 |
Level III | Contingent Consideration Obligations | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Liabilities | $ 106,282 | 79,579 | 96,126 |
Level III | Contingent Consideration Obligations | Income Approach Valuation Technique | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Liabilities | $ 79,579 | ||
Level III | Contingent Consideration Obligations | Weighted Average | Income Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Discount rate | 17.20% | 17.00% | |
Level III | Investments held by Apollo Senior Loan Fund | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | $ 1,634 | 4,359 | |
Level III | Investments held by Apollo Senior Loan Fund | Third Party Pricing | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | $ 567 | 1,634 | |
Level III | Other Investments | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 434 | 600 | |
Level III | Other Investments | Other Valuation Technique | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 45,154 | 434 | |
Level III | Investment in Athene Holding | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 510,099 | 324,514 | |
Level III | Investment in Athene Holding | Cost Approach Valuation Technique | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 510,099 | ||
Level III | Consolidated Variable Interest Entities | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 92,474 | 100,941 | $ 2,522,913 |
Level III | Consolidated Variable Interest Entities | Contingent Consideration Obligations | Other Valuation Technique | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Liabilities | 11,411 | ||
Level III | Consolidated Variable Interest Entities | Bank Debt Term Loans | Third Party Pricing | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 4,701 | 15,776 | |
Level III | Consolidated Variable Interest Entities | Corporate Loans/Bonds | Third Party Pricing | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 15,496 | 22,409 | |
Level III | Consolidated Variable Interest Entities | Common Stock | Income Approach Valuation Technique | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Assets | 72,277 | $ 62,756 | |
Fair Value Inputs, Quantitative Information [Abstract] | |||
Discount rate | 14.60% | ||
Level III | Consolidated Variable Interest Entities | Common Stock | Weighted Average | Income Approach Valuation Technique | |||
Fair Value Inputs, Quantitative Information [Abstract] | |||
Discount rate | 14.60% | ||
Level III | Fair Value, Measurements, Recurring | Investments held by Apollo Senior Loan Fund | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | $ 1,634 | ||
Level III | Fair Value, Measurements, Recurring | Investments held by Apollo Senior Loan Fund | Third Party Pricing | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | 567 | ||
Level III | Fair Value, Measurements, Recurring | Other Investments | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | 434 | ||
Level III | Fair Value, Measurements, Recurring | Other Investments | Other Valuation Technique | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | 45,154 | ||
Level III | Fair Value, Measurements, Recurring | Investment in Athene Holding | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | $ 510,099 | ||
Level III | Fair Value, Measurements, Recurring | Investment in Athene Holding | Cost Approach Valuation Technique | |||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | |||
Investments, at fair value | $ 0 |
CARRIED INTEREST RECEIVABLE - C
CARRIED INTEREST RECEIVABLE - Carried Interest Receivable from Private Equity and Capital Markets Funds (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Receivables [Line Items] | |||
Total carried interest receivable | $ 1,257,105 | $ 643,907 | $ 911,666 |
Private Equity Segment | |||
Receivables [Line Items] | |||
Total carried interest receivable | 798,465 | 373,871 | 672,119 |
Credit | |||
Receivables [Line Items] | |||
Total carried interest receivable | 426,114 | 240,844 | 226,430 |
Real Estate | |||
Receivables [Line Items] | |||
Total carried interest receivable | $ 32,526 | $ 29,192 | $ 13,117 |
CARRIED INTEREST RECEIVABLE -67
CARRIED INTEREST RECEIVABLE - Carried Interest Receivable Balance (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Carried Interest Receivables [Roll Forward] | ||
Carried interest receivable, beginning of period | $ 643,907 | $ 911,666 |
Change in fair value of funds | 829,020 | 181,516 |
Fund distributions to the Company | (215,822) | (496,669) |
Adoption of new accounting guidance | 47,394 | |
Carried interest receivable, ending of period | 1,257,105 | 643,907 |
Private Equity Segment | ||
Carried Interest Receivables [Roll Forward] | ||
Carried interest receivable, beginning of period | 373,871 | 672,119 |
Change in fair value of funds | 492,910 | 42,016 |
Fund distributions to the Company | (68,316) | (340,264) |
Adoption of new accounting guidance | 0 | |
Carried interest receivable, ending of period | 798,465 | 373,871 |
Credit | ||
Carried Interest Receivables [Roll Forward] | ||
Carried interest receivable, beginning of period | 240,844 | 226,430 |
Change in fair value of funds | 318,735 | 126,426 |
Fund distributions to the Company | (133,465) | (152,370) |
Adoption of new accounting guidance | 40,358 | |
Carried interest receivable, ending of period | 426,114 | 240,844 |
Real Estate | ||
Carried Interest Receivables [Roll Forward] | ||
Carried interest receivable, beginning of period | 29,192 | 13,117 |
Change in fair value of funds | 17,375 | 13,074 |
Fund distributions to the Company | (14,041) | (4,035) |
Adoption of new accounting guidance | 7,036 | |
Carried interest receivable, ending of period | $ 32,526 | $ 29,192 |
PROFIT SHARING PAYABLE - Summar
PROFIT SHARING PAYABLE - Summary of Profit Sharing From Private Equity, Credit, and Real Estate Funds (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Profit Sharing Payable Summary [Line Items] | |||
Profit sharing payable | $ 550,148 | $ 295,674 | $ 434,852 |
Private Equity Segment | |||
Profit Sharing Payable Summary [Line Items] | |||
Profit sharing payable | 268,170 | 118,963 | 240,595 |
Credit | |||
Profit Sharing Payable Summary [Line Items] | |||
Profit sharing payable | 268,855 | 165,392 | 186,307 |
Real Estate Segment | |||
Profit Sharing Payable Summary [Line Items] | |||
Profit sharing payable | $ 13,123 | $ 11,319 | $ 7,950 |
PROFIT SHARING PAYABLE - Rollfo
PROFIT SHARING PAYABLE - Rollforward Summary of Profit Sharing From Private Equity, Credit, and Real Estate Funds (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Profit Sharing Payable Rollforward [Roll Forward] | ||
Beginning of period | $ 295,674 | $ 434,852 |
Profit sharing expense | 381,584 | 100,055 |
Payments/other | (127,110) | (239,233) |
End of period | 550,148 | 295,674 |
Loans due upon liquidation of fund | 39,300 | 14,700 |
Private Equity Segment | ||
Profit Sharing Payable Rollforward [Roll Forward] | ||
Beginning of period | 118,963 | 240,595 |
Profit sharing expense | 184,852 | 52,807 |
Payments/other | (35,645) | (174,439) |
End of period | 268,170 | 118,963 |
Credit | ||
Profit Sharing Payable Rollforward [Roll Forward] | ||
Beginning of period | 165,392 | 186,307 |
Profit sharing expense | 186,345 | 42,172 |
Payments/other | (82,882) | (63,087) |
End of period | 268,855 | 165,392 |
Real Estate Segment | ||
Profit Sharing Payable Rollforward [Roll Forward] | ||
Beginning of period | 11,319 | 7,950 |
Profit sharing expense | 10,387 | 5,076 |
Payments/other | (8,583) | (1,707) |
End of period | $ 13,123 | $ 11,319 |
OTHER ASSETS - Schedule of Othe
OTHER ASSETS - Schedule of Other Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Fixed assets | $ 108,422 | $ 105,439 |
Less: Accumulated depreciation and amortization | (83,268) | (73,803) |
Fixed assets, net | 25,154 | 31,636 |
Prepaid expenses | 78,300 | 48,421 |
Tax receivables | 5,617 | 4,466 |
Other | 9,789 | 11,321 |
Total Other Assets | 118,860 | 95,844 |
Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Fair value of grants | $ 42,600 | $ 7,000 |
OTHER ASSETS - Narrative (Detai
OTHER ASSETS - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |||
Depreciation expense | $ 9.6 | $ 10.5 | $ 10.2 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Detail) | 12 Months Ended | ||
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Class of Stock [Line Items] | |||
Income tax provision | $ 90,707,000 | $ 26,733,000 | $ 147,245,000 |
Effective tax rate | 8.50% | 7.10% | 16.80% |
Increase in equity | $ 22,800,000 | ||
Period of recognition for tax intangibles | 15 years | ||
Valuation allowance | $ 0 | ||
Unrecognized tax benefits | 0 | ||
Change in income tax provision | 4,500,000 | $ 36,200,000 | |
Return-to-provision adjustment | $ (2,600,000) | ||
Common Class A Shares | |||
Class of Stock [Line Items] | |||
Exchange agreement conversion ratio | 1 | ||
Domestic Tax Authority | |||
Class of Stock [Line Items] | |||
Net operating loss | $ 111,100,000 | ||
State and Local Jurisdiction | |||
Class of Stock [Line Items] | |||
Net operating loss | $ 86,600,000 |
INCOME TAXES - Schedule of Comp
INCOME TAXES - Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current: | |||
Federal income tax | $ 0 | $ (10,108) | $ 53,426 |
Foreign income tax | 5,843 | 7,842 | 6,080 |
State and local income tax | 2,847 | 2,573 | 7,369 |
Subtotal | 8,690 | 307 | 66,875 |
Deferred: | |||
Federal income tax | 66,567 | 19,581 | 28,702 |
Foreign income tax | (16) | (256) | (137) |
State and local income tax | 15,466 | 7,101 | 51,805 |
Subtotal | 82,017 | 26,426 | 80,370 |
Total Income Tax Provision | 90,707 | 26,733 | $ 147,245 |
Pre-tax income | $ 38,800 | $ 27,600 |
INCOME TAXES - Schedule of Effe
INCOME TAXES - Schedule of Effective Income Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
U.S. Statutory Tax Rate | 35.00% | 35.00% | 35.00% |
Income Passed Through to Non-Controlling Interests | (21.00%) | (26.40%) | (23.40%) |
Income Passed Through to Class A Shareholders | (7.10%) | (4.40%) | 0.10% |
State and Local Income Taxes (net of Federal Benefit) | 1.40% | 2.10% | 4.70% |
Other | 0.20% | 0.80% | 0.40% |
Effective Income Tax Rate | 8.50% | 7.10% | 16.80% |
INCOME TAXES - Schedule of Defe
INCOME TAXES - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred Tax Assets: | ||
Depreciation and amortization | $ 525,261 | $ 567,018 |
Revenue recognition | 26,629 | 31,363 |
Net operating loss carryforwards | 43,733 | 47,139 |
Equity-based compensation - RSUs and AAA RDUs | 1,801 | 4,551 |
Foreign tax credit | 11,746 | 8,996 |
Other | 4,947 | 5,472 |
Total Deferred Tax Assets | 614,117 | 664,539 |
Deferred Tax Liabilities: | ||
Unrealized gains from investments | 41,346 | 13,274 |
Other | 508 | 5,058 |
Total Deferred Tax Liabilities | $ 41,854 | $ 18,332 |
INCOME TAXES - Change in Deferr
INCOME TAXES - Change in Deferred Tax Assets and Deferred Tax Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Increase in Deferred Tax Asset | $ 7,342 | $ 61,720 | $ 58,696 |
Increase in Tax Receivable Agreement Liability | 6,187 | 45,432 | 47,878 |
Increase to Additional Paid In Capital | $ 1,155 | $ 16,288 | $ 10,818 |
DEBT - Summary of Debt (Detail)
DEBT - Summary of Debt (Detail) € in Thousands, $ in Thousands | Dec. 31, 2016USD ($) | Jun. 22, 2016EUR (€) | Jan. 18, 2016EUR (€) | Dec. 31, 2015USD ($) | Dec. 09, 2014EUR (€) | Jul. 03, 2014EUR (€) |
Debt Instrument [Line Items] | ||||||
Debt | $ 1,352,447 | $ 1,025,255 | ||||
Fair Value | 1,357,290 | 1,027,979 | ||||
2013 AMH Credit Facilities - Term Facility | Line of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Debt | 299,543 | 499,327 | ||||
Fair Value | $ 298,500 | $ 501,300 | ||||
Weighted Average Interest Rate | 1.82% | 1.44% | ||||
Unamortized debt issuance cost | $ 500 | $ 700 | ||||
2024 Senior Notes | Senior Secured Notes | ||||||
Debt Instrument [Line Items] | ||||||
Debt | 495,208 | 494,555 | ||||
Fair Value | $ 498,336 | $ 495,300 | ||||
Weighted Average Interest Rate | 4.00% | 4.00% | ||||
Unamortized debt issuance cost | $ 4,100 | $ 4,600 | ||||
2026 Senior Notes | Senior Secured Notes | ||||||
Debt Instrument [Line Items] | ||||||
Debt | 495,165 | 0 | ||||
Fair Value | $ 497,923 | $ 0 | ||||
Weighted Average Interest Rate | 4.40% | 0.00% | ||||
Unamortized debt issuance cost | $ 4,400 | |||||
2014 AMI Term Facility I | Line of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Debt | 14,449 | $ 14,543 | ||||
Fair Value | $ 14,449 | $ 14,549 | ||||
Weighted Average Interest Rate | 2.00% | 2.15% | ||||
Credit facility borrowing capacity | € | € 13,736 | |||||
2014 AMI Term Facility II | Line of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Debt | $ 16,306 | $ 16,830 | ||||
Fair Value | $ 16,306 | $ 16,830 | ||||
Weighted Average Interest Rate | 1.75% | 1.85% | ||||
Credit facility borrowing capacity | € | € 15,500 | |||||
2016 AMI Term Facility | Line of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Debt | $ 17,852 | $ 0 | ||||
Fair Value | $ 17,852 | |||||
Weighted Average Interest Rate | 1.75% | 0.00% | ||||
Credit facility borrowing capacity | € | € 16,970 | |||||
2016 AMI Term Facility II | Line of Credit | ||||||
Debt Instrument [Line Items] | ||||||
Debt | $ 13,924 | $ 0 | ||||
Fair Value | $ 13,924 | |||||
Weighted Average Interest Rate | 2.00% | 0.00% | ||||
Credit facility borrowing capacity | € | € 13,236 |
DEBT - Narrative (Detail)
DEBT - Narrative (Detail) | Mar. 11, 2016 | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | May 27, 2016USD ($) | May 30, 2014USD ($) | Dec. 18, 2013USD ($) |
Debt Instrument [Line Items] | |||||||
Debt | $ 1,352,447,000 | $ 1,025,255,000 | |||||
Principal payments on debt | 200,000,000 | 0 | $ 250,000,000 | ||||
2013 AMH Credit Facilities - Term Facility | |||||||
Debt Instrument [Line Items] | |||||||
Minimum carrying amount of assets under management | $ 40,000,000,000 | ||||||
Leverage ratio | 4 | ||||||
Term Loan | 2013 AMH Credit Facilities - Term Facility | |||||||
Debt Instrument [Line Items] | |||||||
Debt | $ 750,000,000 | ||||||
Term Loan held by affiliate | 2013 AMH Credit Facilities - Term Facility | |||||||
Debt Instrument [Line Items] | |||||||
Debt | 271,700,000 | ||||||
Debt face amount | $ 300,000,000 | ||||||
Debt interest rate | 2.12% | ||||||
Revolving Credit Facility | |||||||
Debt Instrument [Line Items] | |||||||
Debt | $ 500,000,000 | ||||||
Leverage ratio | 3.75 | ||||||
Revolving Credit Facility | 2013 AMH Credit Facilities - Term Facility | |||||||
Debt Instrument [Line Items] | |||||||
Debt | $ 500,000,000 | ||||||
Extension of debt | 2 years | ||||||
Commitment fee percent | 0.125% | ||||||
Line of Credit | 2013 AMH Credit Facilities - Term Facility | |||||||
Debt Instrument [Line Items] | |||||||
Debt | $ 299,543,000 | 499,327,000 | |||||
Principal payments on debt | 250,000,000 | ||||||
Senior Secured Notes | 2026 Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Debt | 495,165,000 | 0 | |||||
Principal payments on debt | 200,000,000 | ||||||
Debt face amount | $ 500,000,000 | ||||||
Debt interest rate | 4.40% | ||||||
Debt issuance price percent | 99.912% | ||||||
Senior Secured Notes | 2024 Senior Notes | |||||||
Debt Instrument [Line Items] | |||||||
Debt | $ 495,208,000 | $ 494,555,000 | |||||
Debt face amount | $ 500,000,000 | ||||||
Debt interest rate | 4.00% | ||||||
Debt issuance price percent | 99.722% |
DEBT - Debt Expense (Details)
DEBT - Debt Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | |||
Interest expense | $ 43,482 | $ 30,071 | $ 22,393 |
Line of Credit | 2013 AMH Credit Facilities - Term Facility | |||
Debt Instrument [Line Items] | |||
Interest expense | 8,253 | 8,672 | 10,112 |
Line of Credit | AMI Term Facilities | |||
Debt Instrument [Line Items] | |||
Interest expense | 1,205 | 640 | 219 |
Senior Secured Notes | 2024 Senior Notes | |||
Debt Instrument [Line Items] | |||
Interest expense | 20,652 | 20,759 | 12,062 |
Senior Secured Notes | 2026 Senior Notes | |||
Debt Instrument [Line Items] | |||
Interest expense | $ 13,372 | $ 0 | $ 0 |
DEBT - Schedule of Maturities o
DEBT - Schedule of Maturities of Long-term Debt (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Debt Instrument [Line Items] | |
2,017 | $ 0 |
2,018 | 0 |
2,019 | 16,306 |
2,020 | 0 |
2,021 | 346,225 |
Thereafter | 1,000,000 |
Total | 1,362,531 |
Line of Credit | 2013 AMH Credit Facilities - Term Facility | |
Debt Instrument [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 300,000 |
Thereafter | 0 |
Total | 300,000 |
Line of Credit | 2014 AMI Term Facility I | |
Debt Instrument [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 14,449 |
Thereafter | 0 |
Total | 14,449 |
Line of Credit | 2014 AMI Term Facility II | |
Debt Instrument [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 16,306 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 0 |
Total | 16,306 |
Line of Credit | 2016 AMI Term Facility | |
Debt Instrument [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 17,852 |
Thereafter | |
Total | 17,852 |
Line of Credit | 2016 AMI Term Facility II | |
Debt Instrument [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 13,924 |
Thereafter | |
Total | 13,924 |
Senior Secured Notes | 2024 Senior Notes | |
Debt Instrument [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 500,000 |
Total | 500,000 |
Senior Secured Notes | 2026 Senior Notes | |
Debt Instrument [Line Items] | |
2,017 | 0 |
2,018 | 0 |
2,019 | 0 |
2,020 | 0 |
2,021 | 0 |
Thereafter | 500,000 |
Total | $ 500,000 |
NET INCOME PER CLASS A SHARE -
NET INCOME PER CLASS A SHARE - Basic and Diluted Net Income (Loss) Per Class A Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Numerator: | |||||||||||
Net income attributable to Apollo Global Management, LLC | $ 166,967 | $ 94,619 | $ 174,092 | $ (32,828) | $ 6,091 | $ 41,051 | $ 56,428 | $ 30,927 | $ 402,850 | $ 134,497 | $ 168,229 |
Distributions declared on Class A shares | (230,713) | (339,397) | (483,458) | ||||||||
Distributions on participating securities | (8,396) | (28,497) | (72,074) | ||||||||
Earnings allocable to participating securities | (6,430) | 0 | 0 | ||||||||
Undistributed income (loss) attributable to Class A shareholders: Basic and Diluted | $ 157,311 | $ (233,397) | $ (387,303) | ||||||||
Denominator: | |||||||||||
Weighted average number of Class A shares outstanding: Basic and Diluted (in shares) | 183,998,080 | 173,271,666 | 155,349,017 | ||||||||
Net Income per Class A Share: Basic and Diluted | |||||||||||
Distributed Income (in USD per share) | $ 1.25 | $ 1.96 | $ 3.11 | ||||||||
Undistributed Income (Loss) (in USD per share) | 0.86 | (1.35) | (2.49) | ||||||||
Net Income per Class A Share: Basic and Diluted (in USD per share) | $ 2.11 | $ 0.61 | $ 0.62 |
NET INCOME PER CLASS A SHARE 82
NET INCOME PER CLASS A SHARE - Weighted Average Shares Issued (Details) - shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average vested units (in shares) | 1,466,803 | 9,984,862 | 19,541,458 |
Weighted average unvested units (in shares) | 5,975,293 | 4,858,935 | 9,556,131 |
Stock Option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average unexercised options (in shares) | 222,920 | 227,086 | 548,441 |
Apollo Operating Group (AOG) Unit | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average unvested units (in shares) | 215,917,462 | 219,575,738 | 225,005,386 |
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average unvested units (in shares) | 82,301 | 90,985 | 0 |
NET INCOME PER CLASS A SHARE 83
NET INCOME PER CLASS A SHARE - Narrative (Detail) | 12 Months Ended | |||
Dec. 31, 2016USD ($)voteshares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($) | Feb. 29, 2016USD ($) | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Adjustment amount | $ | $ (40,466,000) | $ (72,594,000) | $ 27,496,000 | |
Authorized shares for repurchase (up to) | $ | $ 250,000,000 | |||
Repurchases and cancelled amount | $ | $ 12,902,000 | |||
Common Class A Shares | ||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Conversion ratio of AOG units (in shares) | 1 | |||
Shares outstanding (in shares) | 185,460,294 | 181,078,937 | ||
Authorized shares for repurchase (up to) | $ | 150,000,000 | |||
Authorized shares to be repurchased to satisfy obligations (up to) | $ | $ 100,000,000 | |||
Repurchase and cancelled (in shares) | 1,000,000 | |||
Reduction in employee shares issued (in shares) | 2,700,000 | |||
Common Class B Shares | ||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||
Conversion ratio of AOG units (in shares) | 1 | |||
Shares outstanding (in shares) | 1 | 1 | ||
Number of votes (in votes) | vote | 1 | |||
Class B share net income (loss) | $ | $ 0 | |||
Class B share distribution or liquidation rights | 0 | |||
Class B voting power, percent of voting rights | 60.50% | 61.40% | 65.40% |
NET INCOME PER CLASS A SHARE 84
NET INCOME PER CLASS A SHARE - Disclosure of Share-based Compensation Arrangements by Share-based Payment Award (Details) - Common Class A Shares - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Class of Stock [Line Items] | |||
Class A shares issued | 4,625,304 | 11,296,338 | 10,491,649 |
Gross value of shares | $ 108,716 | $ 325,747 | $ 289,000 |
EQUITY-BASED COMPENSATION - Wei
EQUITY-BASED COMPENSATION - Weighted Average Discounts (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
2007 Omnibus Equity Incentive Plan, Plan Grants | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Discount for the lack of distributions until vested | 14.00% | 26.00% | 32.50% |
Marketability discount for transfer restrictions | 3.80% | 4.20% | 5.10% |
2007 Omnibus Equity Incentive Plan, Bonus Grants | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Marketability discount for transfer restrictions | 2.10% | 2.20% | 3.20% |
EQUITY-BASED COMPENSATION - Sch
EQUITY-BASED COMPENSATION - Schedule or Description of Forfeiture Rate and Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | $ 102,983 | $ 97,676 | $ 126,320 |
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Actual forfeiture rate | 8.80% | 1.20% | 6.70% |
Equity-based compensation | $ 67,958 | $ 65,661 | $ 80,695 |
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Actual forfeiture rate | 1.60% | 0.00% | 0.00% |
Equity-based compensation | $ 3,478 | $ 2,749 | $ 0 |
Aaa Restricted Depositary Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | 1,700 | 700 | 400 |
ARI | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Management Fees | $ 6,643 | $ 3,334 | $ 1,326 |
Actual forfeiture rate | 3.80% | 1.30% | 0.00% |
Equity-based compensation | $ 6,643 | $ 3,081 | $ 1,329 |
AMTG | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Management Fees | $ 2,478 | $ 1,171 | $ 915 |
Actual forfeiture rate | 0.10% | 2.50% | 2.50% |
Equity-based compensation | $ 2,478 | $ 1,171 | $ 828 |
Athene Holding | Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Management Fees | $ 19,173 | $ 23,697 | $ 16,738 |
Actual forfeiture rate | 3.20% | 0.00% | 0.00% |
Equity-based compensation | $ 20,560 | $ 24,180 | $ 16,738 |
EQUITY-BASED COMPENSATION - Uni
EQUITY-BASED COMPENSATION - Units and Award Activity (Detail) | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Restricted Stock Units (RSUs) | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Beginning balance (in shares) | 11,040,143 |
Granted (in shares) | 3,406,655 |
Forfeited (in shares) | (1,270,579) |
Vested (in shares) | (3,784,653) |
Ending balance (in shares) | 9,391,566 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Beginning of period (in USD per share) | $ / shares | $ 16.40 |
Granted (in USD per share) | $ / shares | 18.37 |
Forfeited (in USD per share) | $ / shares | 19.74 |
Issued (in USD per share) | $ / shares | 16.43 |
Vested (in USD per share) | $ / shares | 18.54 |
End of period (in USD per share) | $ / shares | $ 15.80 |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 17,334,196 |
Granted (in shares) | 3,406,655 |
Forfeited (in shares) | (1,270,579) |
Issued (in shares) | (7,326,251) |
Vested (in shares) | (3,784,653) |
Ending balance (in shares) | 12,144,021 |
Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Beginning balance (in shares) | 105,866 |
Granted (in shares) | 27,151 |
Forfeited (in shares) | (2,117) |
Vested (in shares) | (51,764) |
Ending balance (in shares) | 79,136 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Beginning of period (in USD per share) | $ / shares | $ 21.53 |
Granted (in USD per share) | $ / shares | 17.53 |
Forfeited (in USD per share) | $ / shares | 19.81 |
Issued (in USD per share) | $ / shares | 21.42 |
Vested (in USD per share) | $ / shares | 21.42 |
End of period (in USD per share) | $ / shares | $ 20.27 |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 105,866 |
Granted (in shares) | 27,151 |
Forfeited (in shares) | (2,117) |
Issued (in shares) | (51,764) |
Vested (in shares) | (51,764) |
Ending balance (in shares) | 79,136 |
ARI Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Beginning balance (in shares) | 893,810 |
Granted (in shares) | 903,068 |
Forfeited (in shares) | (68,698) |
Delivered (in shares) | (390,051) |
Vested (in shares) | (404,383) |
Ending balance (in shares) | 933,746 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Beginning of period (in USD per share) | $ / shares | $ 16.88 |
Granted (in USD per share) | $ / shares | 16.35 |
Forfeited (in USD per share) | $ / shares | 16.35 |
Issued (in USD per share) | $ / shares | 17.23 |
Vested (in USD per share) | $ / shares | 16.38 |
End of period (in USD per share) | $ / shares | $ 16.48 |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 1,258,810 |
Granted (in shares) | 903,068 |
Forfeited (in shares) | (68,698) |
Issued (in shares) | (390,051) |
Vested (in shares) | (404,383) |
Ending balance (in shares) | 1,703,129 |
Amtg Restricted Stock Unit | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Beginning balance (in shares) | 90,591 |
Granted (in shares) | 91,427 |
Forfeited (in shares) | (207) |
Delivered (in shares) | 0 |
Vested (in shares) | (181,811) |
Ending balance (in shares) | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Beginning of period (in USD per share) | $ / shares | $ 15.85 |
Granted (in USD per share) | $ / shares | 12.53 |
Forfeited (in USD per share) | $ / shares | 13.38 |
Issued (in USD per share) | $ / shares | 13.65 |
Vested (in USD per share) | $ / shares | 12.91 |
End of period (in USD per share) | $ / shares | $ 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 148,172 |
Granted (in shares) | 91,427 |
Forfeited (in shares) | (207) |
Issued (in shares) | (239,392) |
Vested (in shares) | (181,811) |
Ending balance (in shares) | 0 |
Vested | Restricted Stock Units (RSUs) | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Vested (in shares) | (3,784,653) |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 6,294,053 |
Issued (in shares) | (7,326,251) |
Vested (in shares) | (3,784,653) |
Ending balance (in shares) | 2,752,455 |
Vested | Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Vested (in shares) | (51,764) |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 0 |
Issued (in shares) | (51,764) |
Vested (in shares) | (51,764) |
Ending balance (in shares) | 0 |
Vested | ARI Restricted Stock Units | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Vested (in shares) | (404,383) |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 365,000 |
Issued (in shares) | 0 |
Vested (in shares) | (404,383) |
Ending balance (in shares) | 769,383 |
Vested | Amtg Restricted Stock Unit | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Vested (in shares) | (181,811) |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 57,581 |
Issued (in shares) | (239,392) |
Vested (in shares) | (181,811) |
Ending balance (in shares) | 0 |
Athene Holding | Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Beginning balance (in shares) | 1,515,878,000 |
Granted (in shares) | 181,105,000 |
Forfeited (in shares) | (54,478,000) |
Delivered (in shares) | 0 |
Vested (in shares) | (981,617,000) |
Ending balance (in shares) | 660,888,000 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |
Beginning of period (in USD per share) | $ / shares | $ 3.54 |
Granted (in USD per share) | $ / shares | 33.89 |
Forfeited (in USD per share) | $ / shares | 1.23 |
Issued (in USD per share) | $ / shares | 4.75 |
Vested (in USD per share) | $ / shares | 3.68 |
End of period (in USD per share) | $ / shares | $ 11.83 |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 2,560,747,000 |
Granted (in shares) | 181,105,000 |
Forfeited (in shares) | (54,478,000) |
Issued (in shares) | (1,018,462,000) |
Vested (in shares) | (981,617,000) |
Ending balance (in shares) | 1,668,912,000 |
Athene Holding | Vested | Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Vested (in shares) | (981,617,000) |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward] | |
Beginning balance (in shares) | 1,044,869,000 |
Issued (in shares) | (1,018,462,000) |
Vested (in shares) | (981,617,000) |
Ending balance (in shares) | 1,008,024,000 |
EQUITY-BASED COMPENSATION - Rec
EQUITY-BASED COMPENSATION - Reconciliation of Equity-Based Compensation (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | $ 102,983 | $ 97,676 | $ 126,320 |
Non-Controlling Interests in Apollo Operating Group | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | 16,886 | 15,857 | 11,455 |
Less other equity-based compensation awards | (16,886) | (15,857) | (11,455) |
Capital increase related to equity-based compensation | 0 | 0 | 0 |
Total Apollo Global Management, LLC Shareholders’ Equity | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | 86,097 | 81,819 | 114,865 |
Less other equity-based compensation awards | (16,510) | (13,860) | (5,994) |
Capital increase related to equity-based compensation | 69,587 | 67,959 | 108,871 |
Restricted Stock Units and Share Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | $ 71,562 | $ 68,535 | $ 107,017 |
Restricted Stock Units and Share Options [Member] | Non-Controlling Interests in Apollo Operating Group | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non- Controlling Interest % in Apollo Operating Group | 0.00% | 0.00% | 0.00% |
Equity-based compensation | $ 0 | $ 0 | $ 0 |
Restricted Stock Units and Share Options [Member] | Total Apollo Global Management, LLC Shareholders’ Equity | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | 71,562 | 68,535 | 107,017 |
Athene Holding Limited Award | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | $ 20,560 | $ 24,180 | $ 16,738 |
Athene Holding Limited Award | Non-Controlling Interests in Apollo Operating Group | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non- Controlling Interest % in Apollo Operating Group | 53.70% | 54.40% | 57.70% |
Equity-based compensation | $ 11,049 | $ 13,158 | $ 9,938 |
Athene Holding Limited Award | Total Apollo Global Management, LLC Shareholders’ Equity | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | 9,511 | 11,022 | 6,800 |
Other Equity Based Compensation Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | $ 10,861 | $ 4,961 | $ 2,565 |
Other Equity Based Compensation Awards [Member] | Non-Controlling Interests in Apollo Operating Group | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Non- Controlling Interest % in Apollo Operating Group | 53.70% | 54.40% | 57.70% |
Equity-based compensation | $ 5,837 | $ 2,699 | $ 1,517 |
Other Equity Based Compensation Awards [Member] | Total Apollo Global Management, LLC Shareholders’ Equity | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Equity-based compensation | $ 5,024 | $ 2,262 | $ 1,048 |
EQUITY-BASED COMPENSATION - Nar
EQUITY-BASED COMPENSATION - Narrative (Detail) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($)shares | Aug. 31, 2016$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation | $ | $ 102,983 | $ 97,676 | $ 126,320 | |
Number of shares granted (in shares) | shares | 0 | 0 | 0 | |
Options outstanding (shares) | shares | 222,920 | |||
Options exercisable (in shares) | shares | 160,417 | |||
Unamortized compensation cost related to unvested share options | $ | $ 200 | |||
Number of options exercised (in shares) | shares | 0 | |||
Number of options forfeited (in shares) | shares | 0 | |||
Intrinsic value | $ | $ 0 | $ 100 | $ 26,600 | |
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 2 years 9 months 18 days | |||
Fair value of grants | $ | $ 62,600 | 70,600 | 149,100 | |
Number of units expected to vest (in shares) | shares | 9,000,000 | |||
Equity-based compensation | $ | $ 67,958 | 65,661 | 80,695 | |
Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year 6 months | |||
Fair value of grants | $ | $ 42,600 | 7,000 | ||
Number of units expected to vest (in shares) | shares | 76,000 | |||
Equity-based compensation | $ | $ 3,478 | 2,749 | 0 | |
Stock Option | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year 6 months | |||
Number of units expected to vest (in shares) | shares | 60,000 | |||
Equity-based compensation | $ | $ 100 | 100 | 28,200 | |
Recognition period | 1 year 6 months | |||
Aaa Restricted Depositary Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Equity-based compensation | $ | $ 1,700 | 700 | 400 | |
Amtg Restricted Stock Unit | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
ARI Restricted Stock Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 2 years 6 months | |||
Number of units expected to vest (in shares) | shares | 896,396 | |||
Athene Holding Limited Award | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 2 years 6 months | |||
Number of units expected to vest (in shares) | shares | 423,990 | |||
Equity-based compensation | $ | $ 20,560 | 24,180 | 16,738 | |
Awards converted (in shares) | shares | 1,018,462 | |||
2007 Omnibus Equity Incentive Plan, Plan Grants | Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 6 years | |||
2007 Omnibus Equity Incentive Plan, Bonus Grants | Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Vesting | 2007 Omnibus Equity Incentive Plan, Plan Grants | Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Share-based Compensation Award, Tranche Three | Athene Holding Limited Award | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of units expected to vest (in shares) | shares | 236,898 | |||
AMTG | Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation | $ | $ 2,478 | 1,171 | 828 | |
Athene Holding | Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity-based compensation | $ | $ 20,560 | $ 24,180 | $ 16,738 | |
Minimum | Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 2 years | |||
Minimum | Athene Holding | Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Maximum | Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Maximum | Athene Holding | Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 5 years | |||
The Merger Agreement | AMTG | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Cash amount | $ / shares | $ 6.86 | |||
Shares of common stock ratio | 0.417571 |
RELATED PARTY TRANSACTIONS AN90
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES - Due from Affiliates and Due to Affiliates (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Due from Affiliates: | ||
Due from related parties | $ 254,853 | $ 247,835 |
Due to Affiliates: | ||
Due to related parties | 638,126 | 594,536 |
Private Equity Segment | ||
Due from Affiliates: | ||
Due from related parties | 19,089 | 21,532 |
Due to Affiliates: | ||
Due to related parties | 56,880 | 16,293 |
Portfolio companies | ||
Due from Affiliates: | ||
Due from related parties | 34,339 | 36,424 |
Credit | ||
Due from Affiliates: | ||
Due from related parties | 112,516 | 124,660 |
Due to Affiliates: | ||
Due to related parties | 66,859 | 57,981 |
Employees | ||
Due from Affiliates: | ||
Due from related parties | 72,305 | 42,491 |
Due to Affiliates: | ||
Due to related parties | 7,564 | 13,520 |
Real Estate Segment | ||
Due from Affiliates: | ||
Due from related parties | 16,604 | 22,728 |
Due to Affiliates: | ||
Due to related parties | 281 | 580 |
Managing Partners | ||
Due to Affiliates: | ||
Due to related parties | $ 506,542 | $ 506,162 |
RELATED PARTY TRANSACTIONS AN91
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES - Cash Payments (Details) - Liability for AOG Unit Exchange with Managing and Contributing Partners - USD ($) $ in Thousands | 1 Months Ended | |
Apr. 30, 2015 | Apr. 30, 2014 | |
Related Party Transaction [Line Items] | ||
Cash Payment | $ 48,420 | $ 32,032 |
Managing Partners | ||
Related Party Transaction [Line Items] | ||
Interest Paid | 13,090 | 8,272 |
Contributing Partners | ||
Related Party Transaction [Line Items] | ||
Interest Paid | $ 555 | $ 469 |
RELATED PARTY TRANSACTIONS AN92
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES - Amount of Quarterly Distribution (Detail) - USD ($) $ / shares in Units, $ in Millions | Nov. 30, 2016 | Oct. 28, 2016 | Aug. 31, 2016 | Aug. 03, 2016 | May 31, 2016 | May 06, 2016 | Feb. 29, 2016 | Feb. 03, 2016 | Nov. 30, 2015 | Oct. 28, 2015 | Aug. 31, 2015 | Jul. 29, 2015 | May 29, 2015 | May 07, 2015 | Apr. 11, 2015 | Feb. 27, 2015 | Feb. 05, 2015 | Dec. 15, 2014 | Nov. 21, 2014 | Oct. 30, 2014 | Sep. 11, 2014 | Aug. 29, 2014 | Aug. 06, 2014 | Jun. 16, 2014 | May 30, 2014 | May 08, 2014 | Apr. 03, 2014 | Feb. 26, 2014 | Feb. 07, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Related Party Transaction [Line Items] | ||||||||||||||||||||||||||||||||
Distributions declared per Class A Share (USD per share) | $ 0.35 | $ 0.37 | $ 0.25 | $ 0.28 | $ 0.35 | $ 0.42 | $ 0.33 | $ 0 | $ 0.86 | $ 0 | $ 0.73 | $ 0 | $ 0.46 | $ 0 | $ 0.84 | $ 0 | $ 1.08 | $ 1.25 | $ 1.96 | $ 3.11 | ||||||||||||
Distributions paid | $ 140.3 | $ 148.3 | $ 100 | $ 111.9 | $ 139.1 | $ 166 | $ 129.6 | $ 22.4 | $ 335.7 | $ 25.2 | $ 281.6 | $ 12.4 | $ 176.1 | $ 28.5 | $ 318.4 | $ 49.5 | $ 408.2 | $ 500.5 | $ 792.8 | $ 1,299.9 | ||||||||||||
Noncontrolling Interest | ||||||||||||||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||||||||||||||
Distributions paid to noncontrolling interest | 75.4 | 79.9 | 54 | 60.5 | 75.7 | 91.2 | 72.8 | 22.4 | 191.3 | 25.2 | 162.6 | 12.4 | 102.5 | 28.5 | 188.4 | 49.5 | 247.3 | 269.8 | 453.4 | 816.4 | ||||||||||||
Common Class A Shares | ||||||||||||||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||||||||||||||
Distributions paid | 64.9 | 68.4 | 46 | 51.4 | 63.4 | 74.8 | 56.8 | 0 | 144.4 | 0 | 119 | 0 | 73.6 | 0 | 130 | 0 | 160.9 | 230.7 | 339.4 | 483.5 | ||||||||||||
Participating Security | ||||||||||||||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||||||||||||||
Distributions paid | $ 2.1 | $ 2.4 | $ 1.8 | $ 2.1 | $ 3.1 | $ 5.1 | $ 4.9 | $ 0 | $ 15.3 | $ 0 | $ 15.5 | $ 0 | $ 10.2 | $ 0 | $ 20.9 | $ 0 | $ 25.5 | $ 8.4 | $ 28.4 | $ 72.1 | ||||||||||||
Apollo Operating Group (AOG) Unit | ||||||||||||||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||||||||||||||
Distributions declared per Class A Share (USD per share) | $ 0.10 | $ 0.11 | $ 0.06 | $ 0.13 | $ 0.22 |
RELATED PARTY TRANSACTIONS AN93
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES - Net Income Attributable to Non-Controlling Interests (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Related Party Transaction [Line Items] | |||
Net income attributable to Non-Controlling Interests | $ (567,457) | $ (215,998) | $ (561,693) |
Other comprehensive loss attributable to Non-Controlling Interests | 2,587 | 7,020 | 591 |
Comprehensive Income Attributable to Non-Controlling Interests | 564,870 | 208,978 | $ 631,831 |
NCI ownership percent | 97.50% | ||
AAA | |||
Related Party Transaction [Line Items] | |||
Net income attributable to Non-Controlling Interests | 0 | 0 | $ (196,964) |
Ownership percent | 2.50% | ||
Interest in management companies and co-investment vehicle | |||
Related Party Transaction [Line Items] | |||
Net income attributable to Non-Controlling Interests | (7,403) | (10,543) | $ (13,186) |
Other consolidated entities | |||
Related Party Transaction [Line Items] | |||
Net income attributable to Non-Controlling Interests | 1,614 | (10,821) | (17,590) |
Consolidated Entities | |||
Related Party Transaction [Line Items] | |||
Net income attributable to Non-Controlling Interests | (5,789) | (21,364) | (227,740) |
Appropriated Partners’ Capital | |||
Related Party Transaction [Line Items] | |||
Net income attributable to Non-Controlling Interests | 0 | 0 | 70,729 |
Net income attributable to Appropriated Partners’ Capital(4) | 0 | 0 | (70,729) |
Net income attributable to Non-Controlling Interests in the Apollo Operating Group | |||
Related Party Transaction [Line Items] | |||
Net income attributable to Non-Controlling Interests | $ (561,668) | $ (194,634) | $ (404,682) |
RELATED PARTY TRANSACTIONS AN94
RELATED PARTY TRANSACTIONS AND INTERESTS IN CONSOLIDATED ENTITIES - Narrative (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Related Party Transaction [Line Items] | |||
Percentage of amount of cash savings | 15.00% | ||
Period of payments pursuant to tax receivable agreement | 15 years | ||
Liability recorded | $ 6,187,000 | $ 45,432,000 | $ 47,878,000 |
Income tax adjustment | 3,200,000 | $ 32,200,000 | |
Loans to related party | 26,100,000 | 25,000,000 | |
Loans due upon liquidation of fund | 39,300,000 | 14,700,000 | |
Indemnity liability | $ 5,900,000 | 4,600,000 | |
Management fee rate | 0.40% | ||
Earned quarterly monitoring fee percent | 0.50% | ||
Quarterly monitoring fee multiplier | 2.5 | ||
Earned quarterly monitoring fee | $ 146,665,000 | 14,186,000 | $ 315,587,000 |
Advisory fee percent, less than $10 billion | 0.40% | ||
Assets under management, Less than | $ 10,000,000,000 | ||
Assets under management, Greater than | 0.35% | ||
Carried interest payable rate | 20.00% | ||
Carried interest from AAA Investments' Investment in Athene | $ 47,800,000 | 36,100,000 | 14,600,000 |
Carried interest receivable related to AAA investments | 229,800,000 | 185,500,000 | |
Profit sharing payable for AAA investment | $ 80,600,000 | $ 62,800,000 | |
Economic interest | 0.06% | 0.06% | |
Private Placement | Athene Holding | |||
Related Party Transaction [Line Items] | |||
Economic interest | 39.40% | 46.30% | |
AAA Investment Credit Agreement | |||
Related Party Transaction [Line Items] | |||
Maximum advance | $ 10,000,000 | ||
Commitment fee on advance | 0.125% | ||
Advances to affiliate | $ 4,000,000 | ||
Private Equity Fund | |||
Related Party Transaction [Line Items] | |||
General partner obligation | 56,000,000 | $ 14,200,000 | |
Credit | |||
Related Party Transaction [Line Items] | |||
General partner obligation | $ 60,600,000 | $ 57,800,000 | |
Athene Holding | |||
Related Party Transaction [Line Items] | |||
Economic interest | 8.90% | 9.20% | |
% of Ownership | 0.90% | 1.20% | |
Athene Holding | Total Apollo Global Management, LLC Shareholders’ Equity | |||
Related Party Transaction [Line Items] | |||
% of Ownership | 8.00% | 8.00% | |
AAA and AAA Guarantor - Athene L.P. | |||
Related Party Transaction [Line Items] | |||
% of Ownership | 2.20% | 2.40% | |
Managing Partners | |||
Related Party Transaction [Line Items] | |||
Percentage of amount of cash savings | 85.00% | ||
Subsidiary of Common Parent | |||
Related Party Transaction [Line Items] | |||
Management fee rate | 0.10% | ||
Athene and Athene Life Re Ltd. | |||
Related Party Transaction [Line Items] | |||
Earned quarterly monitoring fee | 226,400,000 | ||
Athene aggregate income earned by Apollo | $ 547,000,000 | $ 526,500,000 | 546,500,000 |
AAA and AAA Guarantor - Athene L.P. | |||
Related Party Transaction [Line Items] | |||
Management fee including derivative | $ 3,400,000 | $ 3,400,000 | $ 1,900,000 |
Minimum | |||
Related Party Transaction [Line Items] | |||
Fund investment fee rates | 0.00% | ||
Carried interest payable rate | 0.00% | ||
Maximum | |||
Related Party Transaction [Line Items] | |||
Fund investment fee rates | 1.75% | ||
Carried interest payable rate | 20.00% | ||
LIBOR | AAA Investment Credit Agreement | |||
Related Party Transaction [Line Items] | |||
Spread on advance | 1.50% |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Narrative (Detail) $ / shares in Units, € in Millions | Jun. 20, 2016EUR (€) | May 06, 2016litigation | Mar. 15, 2016litigation | Jul. 21, 2015defendant | Jan. 12, 2015plaintiff | Jan. 21, 2014litigation | Mar. 23, 2016litigation | Dec. 31, 2016USD ($)litigationunderwriting_commitment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Feb. 13, 2017USD ($) | Dec. 12, 2016USD ($) | Oct. 04, 2016 | Aug. 22, 2016shares | May 23, 2016shares | Apr. 12, 2016$ / shares | Apr. 11, 2016$ / shares | Sep. 03, 2014USD ($) |
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Unfunded capital commitments | $ 607,900,000 | $ 566,300,000 | ||||||||||||||||
Number of suits (in litigation) | litigation | 4 | 2 | ||||||||||||||||
Amount of loans | $ 1,352,447,000 | 1,025,255,000 | ||||||||||||||||
Expenses related to non-cancellable contractual obligations | 40,500,000 | 41,900,000 | $ 42,500,000 | |||||||||||||||
Cumulative revenues recognized if existing investments become worthless | $ 2,900,000,000 | 2,400,000,000 | ||||||||||||||||
Underwriting commitment | underwriting_commitment | 0 | |||||||||||||||||
Fair value of the contingent obligation | $ 106,300,000 | 70,900,000 | ||||||||||||||||
re: Caesars Entertainment Operating Company, Inc. bankruptcy proceedings, No. 15-10047 and No. 15-01145 | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Number of plaintiffs (in plaintiff) | plaintiff | 3 | |||||||||||||||||
In Re Apollo Residential Mortgage, Inc. Shareholder Litigation, Case No.: 24-C-16-002610 | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Number of suits (in litigation) | litigation | 3 | |||||||||||||||||
Dolores Balint v. The Fresh Market, Inc., et. al., Case No. 16-CVS-4144 | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Number of suits (in litigation) | litigation | 2 | |||||||||||||||||
In re Apollo Education Group, Inc. Shareholder Litigation, Lead Case No. CV2016-001905 (Ariz. Super. Ct.) | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Number of suits (in litigation) | litigation | 5 | |||||||||||||||||
Price per share (in dollars per share) | $ / shares | $ 10 | $ 9.50 | ||||||||||||||||
The Fresh Market Inc | Hudson Bay Master Fund, Ltd. and Brigade Leveraged Capital Structures Fund, Ltd. v. The Fresh Market, Inc., Case No. 12372-VCG | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Common stock outstanding held by plaintiff (in shares) | shares | 1,660,000 | |||||||||||||||||
The Fresh Market Inc | Verition Multi-Strategy Master Ltd. and Verition Partners Master Fund Ltd. v. The Fresh Market, Inc. | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Common stock outstanding held by plaintiff (in shares) | shares | 1,198,318 | |||||||||||||||||
Gulf Stream | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Fair Value of contingent liability | 0 | $ 8,700,000 | ||||||||||||||||
Caesars Entertainment Corp | Wilmington Trust, National Association v. Caesars Entertainment Corp., No. 15-cv-08280 | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Percent in dollar amount | 90.00% | |||||||||||||||||
Caesars Entertainment Corp | Meehancombs Global Credit Opportunities Master Fund, L.P., et al. v. Caesars Entertainment Corp., et al., No. 14-cv-7091 | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
CEOC debt | $ 137,000,000 | |||||||||||||||||
Director | CEC Entertainment, Inc. Stockholder Litigation, Case No. 14C57 | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Number of defendants | defendant | 2 | |||||||||||||||||
Sale of Insurance Business | Court of Genoa (Italy) (No. 8965/2016) | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Damages sought | € | € 450 | |||||||||||||||||
Other Losses | Court of Genoa (Italy) (No. 8965/2016) | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Damages sought | € | € 800 | |||||||||||||||||
Unfunded Loan Commitment | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Unfunded capital commitments | $ 22,100,000 | |||||||||||||||||
Subsequent Event | Unfunded Loan Commitment | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Unfunded capital commitments | $ 1,000,000 | |||||||||||||||||
Loan Agreements 2011 | Core Litigation Trust v. Apollo Global Management, LLC, et al., Case No. BC 643732 | ||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||
Amount of loans | $ 360,000,000 |
COMMITMENTS AND CONTINGENCIES96
COMMITMENTS AND CONTINGENCIES - Summary of Approximate Aggregate Minimum Future Payments Required for Operating Leases (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Remaining 2,017 | $ 34,705 |
2,018 | 30,969 |
2,019 | 30,198 |
2,020 | 13,473 |
2,021 | 4,572 |
Thereafter | 6,853 |
Total | $ 120,770 |
COMMITMENTS AND CONTINGENCIES97
COMMITMENTS AND CONTINGENCIES - Summary of Fixed and Determinable Payments (Detail) - Management and Consulting Payable $ in Thousands | Dec. 31, 2016USD ($) |
Other Commitments [Line Items] | |
Remaining 2,017 | $ 19,229 |
2,018 | 6,398 |
2,019 | 3,694 |
2,020 | 1,365 |
2,021 | 1,365 |
Thereafter | 1,365 |
Total | $ 33,416 |
SEGMENT REPORTING - Narrative (
SEGMENT REPORTING - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2016USD ($)Segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Segment Reporting [Abstract] | |||
Number of segments | Segment | 3 | ||
Impact for all periods | $ | $ 0 | $ 0 | $ 0 |
SEGMENT REPORTING - Economic Ne
SEGMENT REPORTING - Economic Net Income (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||
Economic net income | $ 1,112,267,000 | $ 395,657,000 | $ 755,051,000 |
Impact of reclassification | 0 | 0 | 0 |
Private Equity Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 582,724,000 | 51,682,000 | 214,123,000 |
Impact of reclassification | (19,286,000) | (32,858,000) | |
Credit Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 515,577,000 | 338,563,000 | 534,035,000 |
Impact of reclassification | 13,447,000 | 26,049,000 | |
Real Estate Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | $ 13,966,000 | 5,412,000 | 6,893,000 |
Impact of reclassification | 5,839,000 | 6,809,000 | |
Total Reportable Segments | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 395,657,000 | 755,051,000 | |
Total Reportable Segments | Private Equity Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 51,682,000 | 214,123,000 | |
Total Reportable Segments | Credit Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 338,563,000 | 534,035,000 | |
Total Reportable Segments | Real Estate Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 5,412,000 | 6,893,000 | |
Scenario, Previously Reported | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 395,657,000 | 755,051,000 | |
Scenario, Previously Reported | Private Equity Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 70,968,000 | 246,981,000 | |
Scenario, Previously Reported | Credit Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | 325,116,000 | 507,986,000 | |
Scenario, Previously Reported | Real Estate Segment | |||
Segment Reporting Information [Line Items] | |||
Economic net income | $ (427,000) | $ 84,000 |
SEGMENT REPORTING - Reconciliat
SEGMENT REPORTING - Reconciliation of Revenue from Segments to Consolidated (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenues: | |||||||||||
Management fees from related parties | $ 1,043,513 | $ 930,194 | $ 850,441 | ||||||||
Advisory and transaction fees from related parties, net | 146,665 | 14,186 | 315,587 | ||||||||
Total Revenues | $ 685,380 | $ 503,731 | $ 660,447 | $ 120,826 | $ 193,651 | $ 193,268 | $ 351,727 | $ 303,024 | 1,970,384 | 1,041,670 | 1,560,083 |
Expenses: | |||||||||||
Salary, bonus and benefits | 389,130 | 354,524 | 338,049 | ||||||||
Equity-based compensation | 102,983 | 97,676 | 126,320 | ||||||||
Profit sharing expense | 357,074 | 85,229 | 276,190 | ||||||||
Total Compensation and Benefits | 849,187 | 537,429 | 740,559 | ||||||||
General and Administrative Expense | 247,000 | 255,061 | 265,189 | ||||||||
Placement fees | 26,249 | 8,414 | 15,422 | ||||||||
Total Expenses | 398,364 | 282,257 | 343,398 | 141,899 | 187,529 | 174,911 | 244,539 | 223,996 | 1,165,918 | 830,975 | 1,043,563 |
Other Income (Loss): | |||||||||||
Income from equity method investments | 103,178 | 14,855 | 53,856 | ||||||||
Net gains from investment activities | 139,721 | 121,723 | 213,243 | ||||||||
Other income (loss), net | 4,562 | 7,673 | 60,592 | ||||||||
Total Other Income | 135,530 | $ 42,911 | $ 136,742 | $ (58,635) | 23,778 | $ 84,793 | $ 49,978 | $ 7,984 | 256,548 | 166,533 | 360,647 |
Economic Income (Loss) | 1,112,267 | 395,657 | 755,051 | ||||||||
Total Assets | 5,629,553 | 4,559,808 | 5,629,553 | 4,559,808 | |||||||
Total Reportable Segments | |||||||||||
Revenues: | |||||||||||
Management fees from related parties | 977,649 | 911,893 | 901,024 | ||||||||
Advisory and transaction fees from related parties, net | 147,115 | 14,186 | 316,082 | ||||||||
Unrealized gain (losses) | 510,999 | (387,541) | (1,347,786) | ||||||||
Realized gains | 274,887 | 484,831 | 1,754,307 | ||||||||
Total Revenues | 1,910,650 | 1,023,369 | 1,623,627 | ||||||||
Expenses: | |||||||||||
Salary, bonus and benefits | 366,890 | 355,922 | 339,846 | ||||||||
Equity-based compensation | 64,468 | 62,184 | 105,495 | ||||||||
Profit sharing expense | 316,650 | 86,031 | 264,908 | ||||||||
Total Compensation and Benefits | 748,008 | 504,137 | 710,249 | ||||||||
General and Administrative Expense | 218,490 | 221,806 | 227,785 | ||||||||
Placement fees | 24,433 | 8,939 | 15,422 | ||||||||
Other expenses | 242,923 | 230,745 | 243,207 | ||||||||
Total Expenses | 990,931 | 734,882 | 953,456 | ||||||||
Other Income (Loss): | |||||||||||
Income from equity method investments | 102,581 | 16,078 | 54,905 | ||||||||
Net gains from investment activities | 138,608 | 121,132 | 9,062 | ||||||||
Net interest expense | (39,019) | (26,533) | (19,098) | ||||||||
Other income (loss), net | (2,158) | 8,177 | 52,699 | ||||||||
Total Other Income | 200,012 | 118,854 | 97,568 | ||||||||
Non-Controlling Interests | (7,464) | (11,684) | (12,688) | ||||||||
Economic Income (Loss) | 395,657 | 755,051 | |||||||||
Total Assets | 4,694,643 | 3,591,622 | 4,694,643 | 3,591,622 | |||||||
Private Equity Segment | |||||||||||
Revenues: | |||||||||||
Management fees from related parties | 321,995 | 295,836 | 315,069 | ||||||||
Advisory and transaction fees from related parties, net | 128,675 | (7,485) | 58,241 | ||||||||
Unrealized gain (losses) | 368,807 | (314,161) | (1,196,093) | ||||||||
Realized gains | 82,292 | 339,822 | 1,428,076 | ||||||||
Total Revenues | 901,769 | 314,012 | 605,293 | ||||||||
Expenses: | |||||||||||
Salary, bonus and benefits | 124,463 | 123,653 | 129,547 | ||||||||
Equity-based compensation | 27,549 | 31,324 | 49,526 | ||||||||
Profit sharing expense | 158,536 | 46,572 | 178,373 | ||||||||
Total Compensation and Benefits | 310,548 | 201,549 | 357,446 | ||||||||
General and Administrative Expense | 71,323 | 75,559 | 68,092 | ||||||||
Placement fees | 2,297 | 4,550 | 2,194 | ||||||||
Other expenses | 73,620 | 80,109 | 70,286 | ||||||||
Total Expenses | 384,168 | 281,658 | 427,732 | ||||||||
Other Income (Loss): | |||||||||||
Income from equity method investments | 66,281 | 3,148 | 30,418 | ||||||||
Net gains from investment activities | 11,379 | (9,878) | 0 | ||||||||
Net interest expense | (14,187) | 19,125 | (7,883) | ||||||||
Other income (loss), net | 1,650 | 6,933 | 14,027 | ||||||||
Total Other Income | 65,123 | 19,328 | 36,562 | ||||||||
Non-Controlling Interests | 0 | 0 | 0 | ||||||||
Economic Income (Loss) | 582,724 | 51,682 | 214,123 | ||||||||
Total Assets | 2,004,833 | 1,255,340 | 2,004,833 | 1,255,340 | |||||||
Private Equity Segment | Total Reportable Segments | |||||||||||
Other Income (Loss): | |||||||||||
Economic Income (Loss) | 51,682 | 214,123 | |||||||||
Credit Segment | |||||||||||
Revenues: | |||||||||||
Management fees from related parties | 596,709 | 565,241 | 538,742 | ||||||||
Advisory and transaction fees from related parties, net | 12,533 | 17,246 | 255,186 | ||||||||
Unrealized gain (losses) | 137,274 | (80,534) | (156,644) | ||||||||
Realized gains | 180,029 | 139,152 | 322,233 | ||||||||
Total Revenues | 926,545 | 641,105 | 959,517 | ||||||||
Expenses: | |||||||||||
Salary, bonus and benefits | 209,256 | 200,032 | 184,497 | ||||||||
Equity-based compensation | 34,185 | 26,683 | 47,120 | ||||||||
Profit sharing expense | 147,727 | 34,384 | 83,788 | ||||||||
Total Compensation and Benefits | 391,168 | 261,099 | 315,405 | ||||||||
General and Administrative Expense | 125,639 | 123,378 | 138,024 | ||||||||
Placement fees | 22,047 | 4,389 | 13,228 | ||||||||
Other expenses | 147,686 | 127,767 | 151,252 | ||||||||
Total Expenses | 538,854 | 388,866 | 466,657 | ||||||||
Other Income (Loss): | |||||||||||
Income from equity method investments | 33,290 | (6,025) | 18,812 | ||||||||
Net gains from investment activities | 127,229 | 114,199 | 9,062 | ||||||||
Net interest expense | (20,669) | (13,740) | (9,274) | ||||||||
Other income (loss), net | (4,500) | 3,574 | 35,263 | ||||||||
Total Other Income | 135,350 | 98,008 | 53,863 | ||||||||
Non-Controlling Interests | (7,464) | (11,684) | (12,688) | ||||||||
Economic Income (Loss) | 515,577 | 338,563 | 534,035 | ||||||||
Total Assets | 2,505,980 | 2,143,813 | 2,505,980 | 2,143,813 | |||||||
Credit Segment | Total Reportable Segments | |||||||||||
Other Income (Loss): | |||||||||||
Economic Income (Loss) | 338,563 | 534,035 | |||||||||
Real Estate Segment | |||||||||||
Revenues: | |||||||||||
Management fees from related parties | 58,945 | 50,816 | 47,213 | ||||||||
Advisory and transaction fees from related parties, net | 5,907 | 4,425 | 2,655 | ||||||||
Unrealized gain (losses) | 4,918 | 7,154 | 4,951 | ||||||||
Realized gains | 12,566 | 5,857 | 3,998 | ||||||||
Total Revenues | 82,336 | 68,252 | 58,817 | ||||||||
Expenses: | |||||||||||
Salary, bonus and benefits | 33,171 | 32,237 | 25,802 | ||||||||
Equity-based compensation | 2,734 | 4,177 | 8,849 | ||||||||
Profit sharing expense | 10,387 | 5,075 | 2,747 | ||||||||
Total Compensation and Benefits | 46,292 | 41,489 | 37,398 | ||||||||
General and Administrative Expense | 21,528 | 22,869 | 21,669 | ||||||||
Placement fees | 89 | 0 | 0 | ||||||||
Other expenses | 21,617 | 22,869 | 21,669 | ||||||||
Total Expenses | 67,909 | 64,358 | 59,067 | ||||||||
Other Income (Loss): | |||||||||||
Income from equity method investments | 3,010 | 2,978 | 5,675 | ||||||||
Net gains from investment activities | 0 | 0 | 0 | ||||||||
Net interest expense | (4,163) | (2,915) | (1,941) | ||||||||
Other income (loss), net | 692 | 1,455 | 3,409 | ||||||||
Total Other Income | (461) | 1,518 | 7,143 | ||||||||
Non-Controlling Interests | 0 | 0 | 0 | ||||||||
Economic Income (Loss) | 13,966 | 5,412 | 6,893 | ||||||||
Total Assets | $ 183,830 | $ 192,469 | $ 183,830 | 192,469 | |||||||
Real Estate Segment | Total Reportable Segments | |||||||||||
Other Income (Loss): | |||||||||||
Economic Income (Loss) | $ 5,412 | $ 6,893 |
SEGMENT REPORTING - Table Footn
SEGMENT REPORTING - Table Footnotes (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||||||||
Revenues | $ 685,380 | $ 503,731 | $ 660,447 | $ 120,826 | $ 193,651 | $ 193,268 | $ 351,727 | $ 303,024 | $ 1,970,384 | $ 1,041,670 | $ 1,560,083 |
Total Expenses | 398,364 | 282,257 | 343,398 | 141,899 | 187,529 | 174,911 | 244,539 | 223,996 | 1,165,918 | 830,975 | 1,043,563 |
Total Other Income | 135,530 | 42,911 | 136,742 | (58,635) | 23,778 | 84,793 | 49,978 | 7,984 | 256,548 | 166,533 | 360,647 |
Income before income tax provision | 422,546 | $ 264,385 | $ 453,791 | $ (79,708) | 29,900 | $ 103,150 | $ 157,166 | $ 87,012 | 1,061,014 | 377,228 | 877,167 |
Net income attributable to Non-Controlling Interests in consolidated entities and appropriated partners’ capital | (567,457) | (215,998) | (561,693) | ||||||||
Economic net income | 1,112,267 | 395,657 | 755,051 | ||||||||
Assets | 5,629,553 | 4,559,808 | 5,629,553 | 4,559,808 | |||||||
Segment Reconciling Items | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues, Equity awards granted by unconsolidated affiliates and reimbursable expenses(1) | (73,913) | (27,949) | (18,665) | ||||||||
Revenues, Adjustments related to consolidated funds and VIEs(1) | 5,477 | 3,696 | 75,830 | ||||||||
Revenues, Other | 8,702 | 5,952 | 6,379 | ||||||||
Equity awards granted by unconsolidated affiliates and reimbursable expenses(1) | (75,653) | (28,658) | (19,207) | ||||||||
Transaction-related compensation charges | (46,293) | (4,825) | (12,903) | ||||||||
Reclassification of interest expenses | (43,482) | (30,071) | (22,393) | ||||||||
Amortization of transaction-related intangibles | (8,807) | (33,998) | (34,887) | ||||||||
Expenses, Other | (752) | 1,459 | (717) | ||||||||
Other income, Reclassification of interest expense | (43,482) | (30,071) | (22,393) | ||||||||
Other income, Adjustments related to consolidated funds and VIEs | (3,982) | (14,652) | (222,129) | ||||||||
Other income, Other | (9,072) | (2,956) | (18,557) | ||||||||
Total Reportable Segments | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenues | 1,910,650 | 1,023,369 | 1,623,627 | ||||||||
Total Expenses | 990,931 | 734,882 | 953,456 | ||||||||
Total Other Income | 200,012 | 118,854 | 97,568 | ||||||||
Non-Controlling Interests | (7,464) | (11,684) | (12,688) | ||||||||
Economic net income | 395,657 | 755,051 | |||||||||
Assets | 4,694,643 | 3,591,622 | 4,694,643 | 3,591,622 | |||||||
Intersegment Eliminations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Assets | $ 934,910 | $ 968,186 | 934,910 | 968,186 | |||||||
Total Apollo Global Management, LLC Shareholders’ Equity | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Total Other Income | 51,253 | 18,429 | (122,116) | ||||||||
Net income attributable to Non-Controlling Interests in consolidated entities and appropriated partners’ capital | (5,789) | (21,364) | (157,011) | ||||||||
Transaction-related charges | $ 57,042 | $ 39,793 | $ 34,895 |
SUBSEQUENT EVENTS - Narrative (
SUBSEQUENT EVENTS - Narrative (Detail) - $ / shares | Feb. 07, 2017 | Feb. 03, 2017 | Oct. 28, 2016 | Aug. 03, 2016 | May 06, 2016 | Feb. 03, 2016 | Oct. 28, 2015 | Jul. 29, 2015 | May 07, 2015 | Apr. 11, 2015 | Feb. 05, 2015 | Dec. 15, 2014 | Oct. 30, 2014 | Sep. 11, 2014 | Aug. 06, 2014 | Jun. 16, 2014 | May 08, 2014 | Apr. 03, 2014 | Feb. 07, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Feb. 06, 2017 |
Subsequent Event [Line Items] | |||||||||||||||||||||||
Distributions declared per Class A Share (USD per share) | $ 0.35 | $ 0.37 | $ 0.25 | $ 0.28 | $ 0.35 | $ 0.42 | $ 0.33 | $ 0 | $ 0.86 | $ 0 | $ 0.73 | $ 0 | $ 0.46 | $ 0 | $ 0.84 | $ 0 | $ 1.08 | $ 1.25 | $ 1.96 | $ 3.11 | |||
Economic interest | 0.06% | 0.06% | |||||||||||||||||||||
Common Class A Shares | Subsequent Event | |||||||||||||||||||||||
Subsequent Event [Line Items] | |||||||||||||||||||||||
Distributions declared per Class A Share (USD per share) | $ 0.45 | ||||||||||||||||||||||
Shares issued (in shares) | 1,683,662 | ||||||||||||||||||||||
Total Apollo Global Management, LLC Shareholders’ Equity | Subsequent Event | |||||||||||||||||||||||
Subsequent Event [Line Items] | |||||||||||||||||||||||
Economic interest | 46.50% | 46.30% |
QUARTERLY FINANCIAL DATA (UN103
QUARTERLY FINANCIAL DATA (UNAUDITED) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||||||||||
Revenues | $ 685,380 | $ 503,731 | $ 660,447 | $ 120,826 | $ 193,651 | $ 193,268 | $ 351,727 | $ 303,024 | $ 1,970,384 | $ 1,041,670 | $ 1,560,083 |
Expenses | 398,364 | 282,257 | 343,398 | 141,899 | 187,529 | 174,911 | 244,539 | 223,996 | 1,165,918 | 830,975 | 1,043,563 |
Other Income (Loss) | 135,530 | 42,911 | 136,742 | (58,635) | 23,778 | 84,793 | 49,978 | 7,984 | 256,548 | 166,533 | 360,647 |
Income before income tax provision | 422,546 | 264,385 | 453,791 | (79,708) | 29,900 | 103,150 | 157,166 | 87,012 | 1,061,014 | 377,228 | 877,167 |
Net Income (Loss) | 394,347 | 234,718 | 415,803 | (74,561) | 24,364 | 96,559 | 148,074 | 81,498 | 970,307 | 350,495 | 729,922 |
Net Income (Loss) Attributable to Apollo Global Management, LLC | $ 166,967 | $ 94,619 | $ 174,092 | $ (32,828) | $ 6,091 | $ 41,051 | $ 56,428 | $ 30,927 | $ 402,850 | $ 134,497 | $ 168,229 |
Net Income (Loss) per Class A Share-Basic (USD per share) | $ 0.87 | $ 0.50 | $ 0.91 | $ (0.19) | $ 0.02 | $ 0.20 | $ 0.30 | $ 0.09 | $ 0.61 | $ 0.62 | |
Net Income (Loss) per Class A Share - Diluted (USD per share) | $ 0.87 | $ 0.50 | $ 0.91 | $ (0.19) | $ 0.02 | $ 0.20 | $ 0.30 | $ 0.09 | $ 2.11 | $ 0.61 | $ 0.62 |