Evercore Partners Inc. Stockholders' Equity

9 Months Ended

Sep. 30, 2011

Evercore Partners Inc. Stockholders' Equity

Evercore Partners Inc. Stockholders' Equity

Note 12 – Evercore Partners Inc. Stockholders' Equity

Offerings – During the second quarter of 2011, the Company had an offering of 5,365 Class A Shares. A portion of the proceeds were used to purchase from certain holders, including members of the Company's senior management, a number of outstanding Evercore LP partnership units ("LP Units"). The Company used a portion of the remainder of the proceeds to fund the initial cash payments associated with the acquisition of Lexicon. See Note 4.

The offering resulted in an increase to Common Stock and Additional Paid-In-Capital of $54 and $167,880, respectively, on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of September 30, 2011. The purchase of outstanding LP Units resulted in a decrease to Additional Paid-In-Capital of $84,195 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of September 30, 2011. See Note 13 for the impact of this transaction on Noncontrolling Interest. Additionally, the above transaction resulted in an increase in the tax basis of the tangible and intangible assets of Evercore LP, which triggered an additional liability under the tax receivable agreement that was entered into in 2006 between the Company and the LP Unit holders. The agreement provides for a payment to the LP Unit holders of 85% of the cash tax savings (if any), resulting from the increased tax benefits from the exchange and for the Company to retain 15% of such benefits. Accordingly, Deferred Tax Assets – Non-Current, Amounts Due Pursuant to Tax Receivable Agreements and Additional Paid-In-Capital increased $47,481, $40,360 and $7,122, respectively, on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of September 30, 2011.

Dividends – During the three and nine months ended September 30, 2011, the Company declared and paid dividends of $0.18 and $0.54 per share, totaling $5,360 and $13,591, respectively. The Company's Board of Directors declared on October 25, 2011, a quarterly cash dividend of $0.20 per share, to the holders of Class A Shares as of November 25, 2011, which will be paid on December 9, 2011.

Treasury Stock – During the nine months ended September 30, 2011, the Company purchased 1,221 Class A Shares from employees at market values ranging from $15.76 to $36.41 per share primarily for the net settlement of stock-based compensation awards. The result of these purchases was an increase in Treasury Stock of $35,094 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of September 30, 2011. The Company also issued 28 Class A common shares in conjunction with the acquisition of Lexicon resulting in a decrease in Treasury Stock of $636 on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of September 30, 2011.

LP Units – During the nine months ended September 30, 2011, 352 LP Units were gifted by employees to various charities and exchanged for Class A Shares, resulting in an increase to Common Stock and Additional Paid-In-Capital of $3 and $1,927, respectively, on the Company's Unaudited Condensed Consolidated Statement of Financial Condition as of September 30, 2011. See "Offerings" above for additional LP Unit transactions.