EX-99.1

Exhibit 99.1

LOGO

Blackstone Reports First Quarter 2019 Results and

Announces Conversion to Corporation

New York, April 18, 2019: Blackstone (NYSE:BX) today reported its first quarter 2019 results.

Stephen A. Schwarzman, Chairman and Chief Executive Officer, said, “I am pleased to announce the compelling next step in Blackstone’s evolution as a public company: the firm’s conversion to a corporation. Blackstone has established itself as one of the leading public companies in the world, with robust long-term revenue and earnings growth and one of the most powerful brands in financial services. We believe the decision to convert will make it significantly easier for both domestic and international investors to own our stock and should drive greater value for all of our shareholders over time.

In terms of results, the power of the Blackstone franchise was again demonstrated by our first-quarter performance. Our funds delivered attractive returns for our limited partners, as they have for over thirty years, helping us capture $43 billion of capital inflows in the quarter and a record $126 billion over the last twelve months. Blackstone’s Total Assets Under Management now exceed half a trillion dollars, at $512 billion, up 14% year over year.”

Blackstone issued a full detailed presentation of its first quarter 2019 results, which can be viewed at www.blackstone.com.

Distribution

Blackstone has declared a quarterly distribution of $0.37 per common unit to record holders of common units at the close of business on April 29, 2019. This distribution will be paid on May 6, 2019.

Quarterly Investor Call Details

Blackstone will host a conference call on April 18, 2019 at 9:00 a.m. ET to discuss first quarter 2019 results. The conference call can be accessed via the Shareholders section of Blackstone’s website at www.blackstone.com or by dialing +1 (877) 391-6747 (U.S. domestic) or +1 (617) 597-9291 (international), pass code 149 943 55#. For those unable to listen to the live broadcast, a replay will be available on www.blackstone.com or by dialing +1 (888) 286-8010 (U.S. domestic) or +1 (617) 801-6888 (international), pass code 134 965 18#.

The Blackstone Group L.P.

345 Park Avenue

New York, New York 10154

T 212 583 5000

About Blackstone

Blackstone is one of the world’s leading investment firms. We seek to create positive economic impact and long-term value for our investors, the companies in which we invest, and the communities in which we work. We do this by using extraordinary people and flexible capital to help companies solve problems. Our businesses, with $512 billion in assets under management, include investment vehicles focused on private equity, real estate, public debt and equity, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow Blackstone on twitter @Blackstone.

Forward-Looking Statements

This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 which reflect Blackstone’s current views with respect to, among other things, Blackstone’s operations, financial performance and unit repurchase and distribution activities. You can identify these forward-looking statements by the use of words such as “outlook,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. Blackstone believes these factors include but are not limited to those described under the section entitled “Risk Factors” in its Annual Report on Form 10-K for the fiscal year ended December 31, 2018, as such factors may be updated from time to time in its periodic filings with the Securities and Exchange Commission, which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in the filings. Blackstone undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.

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

Investor and Media Relations Contacts

Joan Solotar

Blackstone

Tel: +1 (212) 583-5068

solotar@blackstone.com

Weston Tucker

Blackstone

Tel: +1 (212) 583-5231

tucker@blackstone.com

Christine Anderson

Blackstone

Tel: +1 (212) 583-5182

Christine.Anderson@blackstone.com

Blackstone

Blackstone’s First Quarter 2019 GAAP Results

GAAP

Net

Income

was

$1.1

billion

for

the

quarter

and

$3.5

billion

over

the

last

twelve

months

(“LTM”).

GAAP

Net

Income

Attributable

The

Blackstone

Group

L.P.

was

$481

million

for

the

quarter

and

$1.7

billion

over

the

LTM.

n/m = not meaningful. Income Before Provision for Taxes Margin is calculated by dividing Income Before Provision for Taxes by Total Revenues.

% Change

(Dollars in Thousands, Except per Unit Data) (Unaudited)

1Q'18

1Q'19

vs. 1Q'18

1Q'17 LTM

1Q'18 LTM

1Q'19 LTM

vs. 1Q'18 LTM

Revenues

Management and Advisory Fees, Net

728,849

809,726

11%

2,497,356

2,834,687

3,108,673

10%

Incentive Fees

12,566

12,132

(3)%

168,432

208,569

57,106

(73)%

Investment Income

Performance Allocations

Realized

269,640

242,375

(10)%

2,376,023

2,729,546

1,849,242

(32)%

Unrealized

628,089

663,999

348,981

647,237

597,283

(8)%

Principal Investments

Realized

42,145

73,261

74%

542,082

426,570

446,978

Unrealized

111,774

169,044

51%

33,633

194,567

107,187

(45)%

Total Investment Income

1,051,648

1,148,679

3,300,719

3,997,920

3,000,690

(25)%

Interest and Dividend Revenue

35,385

44,084

25%

101,144

146,586

180,646

23%

Other

(59,317)

10,250

n/m

56,153

(188,334)

741,884

n/m

Total Revenues

1,769,131

2,024,871

14%

6,123,804

6,999,428

7,088,999

Expenses

Compensation and Benefits

Compensation

389,403

471,397

21%

1,340,994

1,480,299

1,691,951

14%

Incentive Fee Compensation

6,662

5,406

(19)%

77,601

89,476

32,660

(63)%

Performance Allocations Compensation

Realized

112,062

86,395

(23)%

772,766

1,027,549

685,409

(33)%

Unrealized

254,435

287,015

13%

306,860

350,696

352,322

Total Compensation and Benefits

762,562

850,213

11%

2,498,221

2,948,020

2,762,342

(6)%

General, Administrative and Other

126,713

146,062

15%

524,453

505,909

614,222

21%

Interest Expense

38,671

42,002

155,544

195,911

167,321

(15)%

Fund Expenses

54,985

2,887

(95)%

71,028

163,696

26,388

(84)%

Total Expenses

982,931

1,041,164

3,249,246

3,813,536

3,570,273

(6)%

Other Income

Reduction of Tax Receivable Agreement Liability

n/m

403,855

(100)%

Net Gains from Fund Investment Activities

110,599

130,325

18%

231,740

366,064

211,448

(42)%

Income Before Provision for Taxes

896,799

1,114,032

24%

3,106,298

3,955,811

3,730,174

(6)%

Provision for Taxes

54,495

41,155

(24)%

180,653

740,205

236,050

(68)%

Net Income

842,304

1,072,877

27%

2,925,645

3,215,606

3,494,124

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

(1,275)

2,480

n/m

12,378

10,531

1,651

(84)%

Net Income Attributable to Non-Controlling Interests in Consolidated Entities

155,499

186,833

20%

344,751

514,253

390,212

(24)%

Net Income Attributable to Non-Controlling Interests in Blackstone Holdings

320,208

402,260

26%

1,237,667

1,303,485

1,447,041

11%

Net Income Attributable to The Blackstone Group L.P. ("BX")

367,872

481,304

31%

1,330,849

1,387,337

1,655,220

19%

Net Income per Common Unit, Basic

0.55

0.71

29%

2.04

2.07

2.44

18%

Net Income per Common Unit, Diluted

0.53

0.71

34%

2.00

2.07

2.44

18%

Income Before Provision for Taxes Margin

50.7%

55.0%

50.7%

56.5%

52.6%

Blackstone

Blackstone’s First Quarter 2019 Highlights

The changes in carrying value, fund returns and composite returns presented throughout this presentation represent those of the applicable Blackstone Funds and not those of

The

Blackstone Group L.P. See pages 30-31, Definitions and Distribution Policy, for definitions of terms used throughout this presentation.

Financial

Measures

Fee Related Earnings (“FRE”) of $374 million ($0.31/unit) in the quarter, up 11%

year-

over-year

•

FRE was $1.5 billion for the LTM ($1.24/unit), up 10% year-over-year

Distributable Earnings (“DE”) of $538 million ($0.44/unit) in the quarter, up 7% year-

over-year

•

DE was $2.7 billion for the LTM ($2.20/unit)

Net Accrued Performance Revenues receivable of $3.9 billion ($3.22/unit), up 7% year-

over-year

Capital

Metrics

Total Assets Under Management (“AUM”) of $511.8 billion, up 14% year-over-year

Inflows of $42.9 billion in the quarter and $125.7 billion for the LTM

Realizations of $8.3 billion in the quarter and $36.1 billion for the LTM

Deployment of $11.8 billion in the quarter and $46.4 billion for the LTM

Unitholder

Distributions

Distribution of $0.37 per common unit payable on May 6, 2019

•

Distribution of $2.17 per common unit for the LTM

Repurchased 1.5 million common units in the quarter and 17.5 million common units over

the LTM, a return of capital of $594 million

Corporate

Structure

Announced plans to convert to a corporation, expected to be effective July

2019

•

For detailed information please refer to the supplemental presentation posted at

www.blackstone.com

Blackstone

Blackstone’s First Quarter 2019 Segment Earnings

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

Unitholders

(see page 22, Unitholder Distribution) and end of period Participating Common Units outstanding. LTM per Unit amounts represent the sum of the last four

quarters. See pages 28-29 for the Reconciliation of GAAP to Total Segment Measures.

% Change

(Dollars in Thousands, Except per Unit Data)

1Q'18

1Q'19

vs. 1Q'18

1Q'18 LTM

1Q'19 LTM

vs. 1Q'18 LTM

Management and Advisory Fees, Net

736,044

814,062

11%

2,857,254

3,114,470

Fee Related Performance Revenues

3,837

7,779

103%

146,068

127,778

(13)%

Fee Related Compensation

(296,074)

(324,031)

(1,207,635)

(1,244,103)

Other Operating Expenses

(107,092)

(123,311)

15%

(435,496)

(504,547)

16%

Fee Related Earnings

336,715

374,499

11%

1,360,191

1,493,598

10%

FRE per Unit

0.28

0.31

11%

1.13

1.24

10%

Realized Performance Revenues

278,371

246,769

(11)%

2,794,933

1,780,169

(36)%

Realized Performance Compensation

(114,829)

(85,240)

(26)%

(1,038,462)

(648,552)

(38)%

Realized Principal Investment Income

28,693

25,908

(10)%

261,993

233,273

(11)%

Net Realizations

192,235

187,437

(2)%

2,018,464

1,364,890

(32)%

Total Segment Distributable Earnings

528,950

561,936

3,378,655

2,858,488

(15)%

Net Interest Income (Loss)

(1,853)

5,061

n/m

(40,817)

28,839

n/m

Taxes and Related Payables

(25,042)

(29,039)

16%

(189,706)

(157,862)

(17)%

Distributable Earnings

502,055

537,958

3,148,132

2,729,465

(13)%

DE per Common Unit

0.41

0.44

2.56

2.20

(14)%

Total Segment Revenues

1,046,945

1,094,518

6,060,248

5,255,690

(13)%

Total Assets Under Management

449,613,826

511,777,762

14%

449,613,826

511,777,762

14%

Fee-Earning Assets Under Management

344,650,797

352,993,394

344,650,797

352,993,394

1Q'19

1Q'19 LTM

Real Estate

Opportunistic Funds

4.7%

11.0%

Core+

2.7%

10.1%

Private Equity

Corporate Private Equity

4.6%

17.7%

Tactical Opportunities

2.8%

11.0%

Strategic Partners

4.6%

16.7%

Hedge Fund Solutions

BPS Composite

3.4%

4.2%

Credit

Performing Credit

4.1%

10.2%

Distressed

3.7%

0.7%

Investment Performance and Net Accrued Performance Revenues

Strong

investment

performance

during

the

quarter

across

all

major

strategies.

Net

Accrued

Performance

Revenues

were

$3.9

billion

($3.22/unit),

year-over-year.

•

the

first

quarter,

strong

appreciation

generated

$540

million

additional

Net

Accrued

Performance

Revenues,

offsetting

$204

million

Net

Realized

Distributions.

Net Accrued

Performance Revenues

(Dollars in Millions)

Investment Performance

(Appreciation / Gross Returns)

Investment Performance represents fund appreciation for Real Estate and Private Equity and gross returns for Hedge Fund Solutions and Credit. Appreciation for core+ funds excludes

BREIT.

BPS

Composite

net

returns

were

3.2%

and

3.4%

for

1Q’19

and

1Q’19

LTM,

respectively.

Performing

Credit

net

composite

returns

were

3.2%

and

7.3%

for

1Q’19

and

1Q’19

LTM,

respectively.

Distressed

net

composite

returns

were

3.1%

and

0.3%

for

1Q’19

and

1Q’19

LTM,

respectively.

Net

Realized

Distributions

excludes

Net

Performance

Revenues

realized,

but

not yet distributed as of the reporting date and included in the Net Accrued Performance Revenues balance.

$3,605

$3,523

$3,859

$540

$204

1Q'18

4Q'18

Net Performance

Revenues

Net Realized

Distributions

1Q'19

Blackstone

Blackstone

Capital Metrics Activity

Inflows

were

$42.9

billion

the

quarter,

bringing

LTM

inflows

record

$125.7

billion.

•

Notable

inflows

the

quarter

include

the

first

$22.2

billion

for

the

eighth

flagship

private

equity

fund.

Realizations

were

$8.3

billion

the

quarter

and

$36.1

billion

for

the

LTM.

Deployed

$11.8

billion

and

committed

additional

$7.7

billion

during

the

quarter

that

not

yet

deployed.

(Dollars in Millions)

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

Inflows

Realizations

Capital Deployed

1Q'19

1Q'19 LTM

1Q'19

1Q'19 LTM

1Q'19

1Q'19 LTM

Total Real Estate

5,034

32,889

3,058

15,067

3,090

17,474

Opportunistic

2,944

19,420

2,091

10,683

1,316

7,561

Core+

1,698

8,177

608

2,314

1,292

7,318

BREDS

392

5,292

359

2,070

483

2,595

Total Private Equity

28,471

51,577

3,743

13,097

7,106

19,802

Corporate Private Equity

22,557

30,345

2,601

8,090

1,311

8,052

Tactical Opportunities

2,134

7,254

621

2,508

1,286

3,756

Strategic Partners

2,680

7,192

520

2,500

2,034

5,520

Infrastructure

1,100

6,786

2,476

Hedge Fund Solutions

BAAM

2,569

11,907

187

602

232

1,148

Credit

GSO/BIS/Harvest

6,833

29,330

1,273

7,298

1,355

7,956

Total Blackstone

42,907

125,703

8,260

36,064

11,784

46,380

Real Estate

Private Equity

Blackstone

Real Estate

Appreciation for core+ funds excludes BREIT.

Total

AUM:

Increased

17%

record

$140.3

billion

with

inflows

$5.0

billion

the

quarter

and

$32.9

billion

for

the

LTM.

•

Launched

fundraising

for

sixth

European

opportunistic

fund

and

fourth

real

estate

debt

fund.

Realizations:

$3.1

billion

the

quarter

and

$15.1

billion

for

the

LTM;

realizations

the

quarter

included

the

first

Invitation

Homes

secondary

offering

and

asset

sales

U.K.

office

and

U.S.

multifamily

portfolios.

•

Closed

the

Embassy

REIT

IPO,

the

first

ever

Indian

REIT

listing

that

began

trading

the

Indian

stock

exchanges

under

the

ticker

“EMBASSY”

April

Capital

Deployed:

$3.1

billion

the

quarter

and

$17.5

billion

for

the

LTM,

including

the

Network

Rail

real

estate

portfolio

and

southern

California

industrial

portfolio

the

quarter.

•

Committed

additional

$1.3

billion

during

the

quarter

that

not

yet

deployed

including

retail

portfolio

across

South

Korea

and

China

BPP

Asia.

Appreciation:

Opportunistic

funds

and

core+

funds

increased

4.7%

and

2.7%

the

quarter,

and

11.0%

and

10.1%

for

the

LTM,

respectively.

% Change

(Dollars in Thousands)

1Q'18

1Q'19

vs. 1Q'18

1Q'18 LTM

1Q'19 LTM

vs. 1Q'18 LTM

Management Fees, Net

247,946

283,876

14%

971,376

1,162,400

20%

Fee Related Performance Revenues

4,503

6,676

48%

80,661

126,675

57%

Fee Related Compensation

(100,610)

(114,816)

14%

(441,181)

(473,636)

Other Operating Expenses

(29,417)

(38,986)

33%

(134,595)

(155,829)

16%

Fee Related Earnings

122,422

136,750

12%

476,261

659,610

38%

Realized Performance Revenues

151,181

77,182

(49)%

1,773,142

840,985

(53)%

Realized Performance Compensation

(56,115)

(29,900)

(47)%

(627,900)

(258,104)

(59)%

Realized Principal Investment Income (Loss)

14,690

(2,131)

n/m

151,014

75,704

(50)%

Net Realizations

109,756

45,151

(59)%

1,296,256

658,585

(49)%

Segment Distributable Earnings

232,178

181,901

(22)%

1,772,517

1,318,195

(26)%

Segment Revenues

418,320

365,603

(13)%

2,976,193

2,205,764

(26)%

Total AUM

119,575,884

140,334,043

17%

119,575,884

140,334,043

17%

Fee-Earning AUM

87,284,578

94,223,034

87,284,578

94,223,034

Blackstone

Private Equity

Total

AUM:

Increased

43%

record

$159.0

billion

with

quarterly

inflows

$28.5

billion

and

$51.6

billion

for

the

LTM.

•

$22.2

billion

initial

for

the

eighth

flagship

private

equity

fund

the

quarter.

Realizations:

$3.7

billion

the

quarter

and

$13.1

billion

for

the

LTM,

including

the

sale

Ixom

the

quarter.

Capital

Deployed:

$7.1

billion

the

quarter

and

$19.8

billion

for

the

LTM,

including

Infrastructure’s

first

two

investments

Tallgrass

Energy

and

Carrix,

and

Core

Private

Equity’s

investment

ServPro

the

quarter.

•

Committed

additional

$3.6

billion

during

the

quarter

that

not

yet

deployed,

including

Corporate

Private

Equity’s

investment

Ultimate

Software.

Appreciation:

Corporate

Private

Equity

increased

4.6%

the

quarter

driven

publics

and

strong

underlying

financial

performance

the

private

portfolio,

and

was

17.7%

for

the

LTM.

% Change

(Dollars in Thousands)

1Q'18

1Q'19

vs. 1Q'18

1Q'18 LTM

1Q'19 LTM

vs. 1Q'18 LTM

Management and Advisory Fees, Net

190,862

251,723

32%

774,605

890,745

15%

Fee Related Compensation

(89,566)

(107,587)

20%

(357,970)

(393,467)

10%

Other Operating Expenses

(31,151)

(34,201)

10%

(124,387)

(136,146)

Fee Related Earnings

70,145

109,935

57%

292,248

361,132

24%

Realized Performance Revenues

77,123

156,599

103%

651,630

836,882

28%

Realized Performance Compensation

(33,045)

(50,556)

53%

(255,956)

(335,678)

31%

Realized Principal Investment Income

6,338

25,139

297%

79,881

128,532

61%

Net Realizations

50,416

131,182

160%

475,555

629,736

32%

Segment Distributable Earnings

120,561

241,117

100%

767,803

990,868

29%

Segment Revenues

274,323

433,461

58%

1,506,116

1,856,159

23%

Total AUM

111,414,214

158,988,748

43%

111,414,214

158,988,748

43%

Fee-Earning AUM

72,398,415

85,446,868

18%

72,398,415

85,446,868

18%

Blackstone

Hedge Fund Solutions

BPS Composite net returns were 3.2% and 3.4% for 1Q’19 and 1Q’19 LTM, respectively. The BPS Composite gross and net returns are based on the BAAM Principal Solutions (“BPS”) Composite, which does not include

BAAM's individual investor solutions (liquid alternatives), ventures (seeding and minority interests), strategic opportunities (co-invests), and advisory (non-discretionary) platforms, except for investments by BPS funds

directly

into

those

platforms.

BAAM-managed

funds

liquidation

and

non

fee-paying

assets

(net

returns

only)

are

also

excluded.

The

funds/accounts

that

comprise

the

BPS

Composite

are

not

managed

within

single

fund

account

and

are

managed

with

different

mandates.

There

guarantee

that

BAAM

would

have

made

the

same

mix

investments

stand-alone

fund/account.

The

BPS

Composite

not

investible

product

and,

such, the performance of the Composite does not represent the performance of an actual fund or account.

Total

AUM:

Increased

record

$80.2

billion

with

inflows

$2.6

billion

the

quarter

and

inflows

$11.9

billion

for

the

LTM.

•

Increase

primarily

driven

platform

diversification,

growth,

and

appreciation

customized

strategies

and

individual

investor

and

specialized

solutions.

•

April

subscriptions

$967

million

are

not

yet

included

Total

AUM.

Returns:

BPS

Composite

gross

return

was

3.4%

the

quarter,

outperforming

the

HFRX

Global

Return

Index,

which

was

2.6%.

•

Gross

returns

were

4.2%

for

the

LTM,

outperforming

global

markets

with

approximately

fifth

the

volatility,

with

MSCI

All

Country

World

Total

Return

Index

3.2%

and

HFRX

Global

Return

Index

down

3.3%.

% Change

(Dollars in Thousands)

1Q'18

1Q'19

vs. 1Q'18

1Q'18 LTM

1Q'19 LTM

vs. 1Q'18 LTM

Management Fees, Net

129,573

137,646

519,781

530,942

Fee Related Compensation

(39,639)

(42,954)

(148,698)

(165,487)

11%

Other Operating Expenses

(18,785)

(17,885)

(5)%

(70,671)

(76,872)

Fee Related Earnings

71,149

76,807

300,412

288,583

(4)%

Realized Performance Revenues

10,177

4,091

(60)%

149,836

36,333

(76)%

Realized Performance Compensation

(2,923)

(1,413)

(52)%

(39,459)

(20,282)

(49)%

Realized Principal Investment Income (Loss)

640

(283)

n/m

10,346

16,116

56%

Net Realizations

7,894

2,395

(70)%

120,723

32,167

(73)%

Segment Distributable Earnings

79,043

79,202

421,135

320,750

(24)%

Segment Revenues

140,390

141,454

679,963

583,391

(14)%

Total AUM

78,657,551

80,182,772

78,657,551

80,182,772

Fee-Earning AUM

73,570,498

73,647,014

73,570,498

73,647,014

Credit

Performing Credit includes mezzanine lending funds, middle market direct lending funds and other performing credit strategy funds. Distressed includes credit alpha strategies, stressed /

distressed

funds

and

energy

strategies.

The

composite

gross

returns

represent

weighted-average

composite

the

fee-earning

funds

exceeding

$100

million

fair

value

each

respective

quarter

end

for

each

strategy.

Composite

gross

returns

exclude

the

Blackstone

Funds

that

were

contributed

GSO

part

Blackstone’s

acquisition

GSO

March

2008.

Performing

Credit

net composite returns were 3.2% and 7.3% for 1Q’19 and 1Q’19 LTM, respectively. Distressed net composite returns were 3.1% and 0.3% for 1Q’19 and 1Q’19 LTM, respectively.

Total

AUM:

$132.3

billion

quarter

end

with

quarterly

inflows

$6.8

billion

and

$29.3

billion

for

the

LTM.

•

Raised

$2.6

billion

for

the

second

energy

credit

fund

strategy

the

quarter

and

$5.0

billion

for

the

LTM.

•

Launched

CLOs

U.S.

and

Europe)

the

quarter

for

$1.1

billion

and

CLOs

the

LTM

for

$5.9

billion.

•

Fundraising

activity

for

the

quarter

brought

Total

AUM

for

the

U.S.

direct

lending

strategies

$7.2

billion,

which

does

not

yet

include

additional

$500

million

inflows

April

•

Held

first

$686

million

for

the

second

European

senior

debt

fund

strategy

the

quarter.

Realizations:

$1.3

billion

the

quarter

and

$7.3

billion

for

the

LTM.

Capital

Deployed:

Invested

$1.4

billion

the

quarter

and

$8.0

billion

for

the

LTM,

and

committed

additional

$2.1

billion

during

the

quarter

that

not

yet

deployed.

Returns:

Composite

gross

returns

4.1%

for

Performing

Credit

and

3.7%

for

Distressed

the

quarter

driven

solid

performance

across

the

portfolio

and

broad

market

recovery,

and

10.2%

and

0.7%

the

LTM,

respectively.

% Change

(Dollars in Thousands)

1Q'18

1Q'19

vs. 1Q'18

1Q'18 LTM

1Q'19 LTM

vs. 1Q'18 LTM

Management Fees, Net

167,663

140,817

(16)%

591,492

530,383

(10)%

Fee Related Performance Revenues

(666)

1,103

n/m

65,407

1,103

(98)%

Fee Related Compensation

(66,259)

(58,674)

(11)%

(259,786)

(211,513)

(19)%

Other Operating Expenses

(27,739)

(32,239)

16%

(105,843)

(135,700)

28%

Fee Related Earnings

72,999

51,007

(30)%

291,270

184,273

(37)%

Realized Performance Revenues

39,890

8,897

(78)%

220,325

65,969

(70)%

Realized Performance Compensation

(22,746)

(3,371)

(85)%

(115,147)

(34,488)

(70)%

Realized Principal Investment Income

7,025

3,183

(55)%

20,752

12,921

(38)%

Net Realizations

24,169

8,709

(64)%

125,930

44,402

(65)%

Segment Distributable Earnings

97,168

59,716

(39)%

417,200

228,675

(45)%

Segment Revenues

213,912

154,000

(28)%

897,976

610,376

(32)%

Total AUM

139,966,177

132,272,199

(5)%

139,966,177

132,272,199

(5)%

Fee-Earning AUM

111,397,306

99,676,478

(11)%

111,397,306

99,676,478

(11)%

Blackstone

Blackstone

Total Segments

(Dollars in Thousands)

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

Management and Advisory Fees, Net

Base Management Fees

707,156

692,915

721,606

722,648

757,518

2,744,589

2,894,687

Transaction, Advisory and Other Fees, Net

37,066

40,912

73,944

77,576

65,150

153,660

257,582

Management Fee Offsets

(8,178)

(10,833)

(16,331)

(2,029)

(8,606)

(40,995)

(37,799)

Total Management and Advisory Fees, Net

736,044

722,994

779,219

798,195

814,062

2,857,254

3,114,470

Fee Related Performance Revenues

3,837

45,515

30,299

44,185

7,779

146,068

127,778

Fee Related Compensation

(296,074)

(306,243)

(334,545)

(279,284)

(324,031)

(1,207,635)

(1,244,103)

Other Operating Expenses

(107,092)

(122,466)

(128,745)

(130,025)

(123,311)

(435,496)

(504,547)

Fee Related Earnings

336,715

339,800

346,228

433,071

374,499

1,360,191

1,493,598

Realized Performance Revenues

278,371

477,544

572,159

483,697

246,769

2,794,933

1,780,169

Realized Performance Compensation

(114,829)

(172,894)

(190,773)

(199,645)

(85,240)

(1,038,462)

(648,552)

Realized Principal Investment Income

28,693

94,647

65,620

47,098

25,908

261,993

233,273

Total Net Realizations

192,235

399,297

447,006

331,150

187,437

2,018,464

1,364,890

Total Segment Distributable Earnings

528,950

739,097

793,234

764,221

561,936

3,378,655

2,858,488

Net Interest Income (Loss)

(1,853)

2,842

9,013

11,923

5,061

(40,817)

28,839

Taxes and Related Payables

(25,042)

(41,797)

(32,963)

(54,063)

(29,039)

(189,706)

(157,862)

Distributable Earnings

502,055

700,142

769,284

722,081

537,958

3,148,132

2,729,465

Total Segment Revenues

1,046,945

1,340,700

1,447,297

1,373,175

1,094,518

6,060,248

5,255,690

Total Assets Under Management

449,613,826

439,386,656

456,691,832

472,242,317

511,777,762

449,613,826

511,777,762

Fee-Earning Assets Under Management

344,650,797

332,978,145

342,261,123

342,527,507

352,993,394

344,650,797

352,993,394

Weighted-Average Fee-Earning AUM

343,211,044

328,594,512

340,994,284

343,514,196

349,589,269

317,293,033

338,701,942

LP Capital Invested

9,323,329

8,026,698

9,358,423

14,218,797

10,844,363

45,829,812

42,448,281

Total Capital Invested

10,119,519

8,351,772

9,894,470

16,349,738

11,783,583

48,957,069

46,379,563

Blackstone

1Q’19 Total AUM Rollforward

(Dollars in Millions)

1Q’19 LTM Total AUM Rollforward

(Dollars in Millions)

Inflows include contributions, capital raised, other increases in available capital, purchases, multi-asset product allocations to other strategies and acquisitions. Outflows represent

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

on portfolio investments and the impact of foreign exchange rate fluctuations.

Assets Under Management

1Q’19 Fee-Earning AUM Rollforward

(Dollars in Millions)

1Q’19 LTM Fee-Earning AUM Rollforward

(Dollars in Millions)

Real

Private

Hedge Fund

Estate

Equity

Solutions

4Q'18

136,247

130,665

77,815

127,515

472,242

Inflows

5,034

28,471

2,569

6,833

42,907

Outflows

(1,150)

(243)

(2,108)

(4,555)

(8,056)

Realizations

(3,058)

(3,743)

(187)

(1,273)

(8,260)

Net Inflows

826

24,486

275

1,005

26,591

Market Activity

3,261

3,838

2,093

3,752

12,944

1Q'19

140,334

158,989

80,183

132,272

511,778

QoQ Increase

22%

Credit

Total

Real

Private

Hedge Fund

Estate

Equity

Solutions

1Q'18

119,576

111,414

78,658

139,966

449,614

Inflows

32,889

51,577

11,907

29,330

125,703

Outflows

(3,165)

(1,482)

(11,761)

(30,653)

(47,061)

Realizations

(15,067)

(13,097)

(602)

(7,298)

(36,064)

Net Inflows (Outflows)

14,658

36,998

(457)

(8,620)

42,579

Market Activity

6,100

10,577

1,982

926

19,585

1Q'19

140,334

158,989

80,183

132,272

511,778

YoY Increase (Decrease)

17%

43%

(5)%

14%

Credit

Total

Real

Private

Hedge Fund

Estate

Equity

Solutions

4Q'18

93,253

80,008

72,281

96,986

342,528

Inflows

2,734

8,663

1,635

3,866

16,897

Outflows

(265)

(729)

(2,068)

(3,242)

(6,303)

Realizations

(2,214)

(2,561)

(164)

(967)

(5,906)

Net Inflows (Outflows)

255

5,373

(598)

(343)

4,687

Market Activity

715

1,964

3,034

5,778

1Q'19

94,223

85,447

73,647

99,676

352,993

QoQ Increase

Credit

Total

Real

Private

Hedge Fund

Estate

Equity

Solutions

1Q'18

87,285

72,398

73,570

111,397

344,651

Inflows

17,145

21,355

10,173

22,901

71,574

Outflows

(2,054)

(2,147)

(11,444)

(28,838)

(44,484)

Realizations

(9,501)

(6,555)

(539)

(5,645)

(22,239)

Net Inflows (Outflows)

5,590

12,653

(1,810)

(11,582)

4,851

Market Activity

1,349

395

1,886

(139)

3,492

1Q'19

94,223

85,447

73,647

99,676

352,993

YoY Increase (Decrease)

18%

(11)%

Credit

Total

Blackstone

$8.40

$8.27

1Q'18

1Q'19

March

31,

2019,

Blackstone

had

$4.1

billion

total

cash,

cash

equivalents,

and

corporate

treasury

investments

and

$9.9

billion

cash

and

net

investments,

$8.27

per

unit.

Blackstone

has

net

debt,

$1.6

billion

undrawn

credit

revolver

and

maintains

A+/A+

ratings.

•

April

10,

2019,

Blackstone

issued

€600

million

10-year

notes

1.5%

coupon.

Deconsolidated Balance Sheet Highlights

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

and Credit, which were $860 million, $709 million, $108 million, and $313 million, respectively, as of March 31, 2019. Cash and Net Investments per unit amounts are calculated using period end DE

Units Outstanding (see page 23, Unit Summary).

A+/A+

Rated by S&P and Fitch

$1.6 billion

Undrawn Credit Revolver

with September 2023 Maturity

$4.1 billion

Total Cash and

Corporate Treasury

Cash and Net Investments

(Per Unit)

(Dollars in Millions)

1Q’19

Cash and Cash Equivalents

1,571

Corporate Treasury

Investments

2,499

GP/Fund Investments

1,990

Net Accrued Performance

Revenues

3,859

Cash

and Net Investments

9,919

Outstanding

Bonds (at par)

3,510

Blackstone

Net Accrued Performance Revenues

Net Accrued Performance Revenues are presented net of performance compensation and do not include clawback amounts, if any, which are disclosed in the 10-K/Q. Net Realized Performance Revenues are

included in DE. Net Realized Performance Revenues above represent Performance Revenues realized, but not yet distributed as of the reporting date and included in the Net Accrued Performance Revenues balance.

When these fees are received, the receivable is reduced without further impacting DE. Per Unit calculations are based on end of period DE Units Outstanding (see page 23, Unit Summary).

1Q’19 QoQ Rollforward

(Dollars in Millions)

1Q’19 LTM Rollforward

(Dollars in Millions)

4Q'18

Net

Performance

Revenues

Net Realized

Distributions

1Q'19

Real Estate

1,775

270

(67)

1,978

Private Equity

1,529

226

(122)

1,633

HFS

(9)

Credit

195

(6)

222

Total

3,523

540

(204)

3,859

QoQ Increase

10%

1Q'18

Net

Performance

Revenues

Net Realized

Distributions

1Q'19

Real Estate

1,972

637

(631)

1,978

Private Equity

1,348

771

(486)

1,633

HFS

(14)

Credit

266

(50)

222

Total

3,605

1,435

(1,181)

3,859

YoY Increase

Net Accrued Performance Revenues

(Dollars in Millions, Except per Unit Data)

1Q'18

4Q'18

1Q'19

Per Unit

QoQ

Change

YoY

Change

Real Estate

BREP IV

(2)

(9)

BREP V

205

0.05

(143)

BREP VI

184

0.07

(1)

(96)

BREP VII

606

484

552

0.46

(54)

BREP VIII

288

429

464

0.39

176

BREP International II

0.01

BREP Europe III

(61)

BREP Europe IV

220

200

213

0.18

(7)

BREP Europe V

110

137

0.11

BREP Asia I

112

114

137

0.11

BPP

174

215

245

0.20

BREIT

0.01

(12)

(3)

BREDS

0.02

(9)

BTAS

0.03

Total Real Estate

1,972

1,775

1,978

1.64

203

Private Equity

BCP IV

0.04

(30)

(28)

BCP V

(70)

BCP VI

783

746

789

0.66

BCP VII

225

256

0.21

197

BCP Asia

0.01

BEP I

103

131

0.11

BEP II

0.06

(3)

Tactical Opportunities

138

155

158

0.13

Strategic Partners

109

0.09

BCEP

0.02

BTAS

0.04

Other

(2)

Total Private Equity

1,348

1,529

1,633

1.37

104

285

Total Hedge Fund Solutions

0.02

Total Credit

266

195

222

0.19

(44)

Net Accrued Performance Revenues

3,605

3,523

3,859

3.22

336

254

Memo: Net Realized Performance Revenues

0.02

(47)

(29)

Blackstone

Investment

Records

March

31,

2019

(a)

(Dollars in Thousands, Except Where Noted)

Committed

Available

Unrealized Investments

Realized Investments

Total Investments

Net IRRs (d)

Fund (Investment Period Beginning Date / Ending Date)

Capital

Capital (b)

Value

MOIC (c)

% Public

Value

MOIC (c)

Value

MOIC (c)

Realized

Total

Real Estate

Pre-BREP

140,714

n/a

345,190

2.5x

345,190

2.5x

33%

BREP I (Sep 1994 / Oct 1996)

380,708

n/a

1,327,708

2.8x

1,327,708

2.8x

40%

BREP II (Oct 1996 / Mar 1999)

1,198,339

n/a

2,531,614

2.1x

2,531,614

2.1x

19%

BREP III (Apr 1999 / Apr 2003)

1,522,708

n/a

3,330,406

2.4x

3,330,406

2.4x

21%

BREP IV (Apr 2003 / Dec 2005)

2,198,694

208,353

0.3x

20%

4,290,925

2.2x

4,499,278

1.6x

33%

12%

BREP V (Dec 2005 / Feb 2007)

5,539,418

560,418

1.5x

28%

12,716,417

2.4x

13,276,835

2.3x

12%

11%

BREP VI (Feb 2007 / Aug 2011)

11,060,444

1,085,024

2.1x

26,474,555

2.5x

27,559,579

2.5x

13%

BREP VII (Aug 2011 / Apr 2015)

13,495,496

2,001,709

9,900,355

1.7x

18%

19,119,840

2.1x

29,020,195

1.9x

26%

17%

BREP VIII (Apr 2015 / Oct 2020)

16,585,524

5,467,780

15,084,938

1.4x

5,029,991

1.6x

20,114,929

1.4x

26%

16%

BREP IX (TBD)

17,964,219

n/a

Total Global BREP

70,086,264

25,433,708

26,839,088

1.4x

75,166,646

2.3x

102,005,734

2.0x

19%

16%

BREP Int'l (Jan 2001 / Sep 2005)

824,172

€

n/a

1,367,665

€

2.1x

1,367,665

€

2.1x

23%

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

1,629,748

161,201

2.8x

2,387,198

1.8x

2,548,399

1.8x

BREP Europe III (Jun 2008 / Sep 2013)

3,205,167

468,156

656,505

0.9x

5,495,093

2.5x

6,151,598

2.1x

21%

15%

BREP Europe IV (Sep 2013 / Dec 2016)

6,709,145

1,356,149

4,243,522

1.6x

13%

7,468,133

2.0x

11,711,655

1.8x

24%

17%

BREP Europe V (Dec 2016 / Jun 2022)

7,943,145

3,116,571

6,074,523

1.3x

144,494

2.4x

6,219,017

1.3x

73%

17%

Total Euro BREP

20,311,377

€

4,940,876

€

11,135,751

€

1.4x

16,862,583

€

2.1x

27,998,334

€

1.7x

16%

14%

BREP Asia I (Jun 2013 / Dec 2017)

5,096,418

1,728,859

4,259,488

1.5x

3,051,743

1.8x

7,311,231

1.6x

21%

15%

BREP Asia II (Dec 2017 / Jun 2023)

7,174,723

5,843,040

1,444,947

1.0x

2,000

n/m

1,446,947

1.0x

n/m

BREP Co-Investment (f)

7,055,974

171,656

2,129,980

1.9x

40%

12,123,536

2.1x

14,253,516

2.1x

15%

Total BREP

114,281,146

38,719,937

47,728,263

1.4x

111,805,369

2.2x

159,533,632

1.9x

18%

15%

BPP (g)

27,257,859

2,830,562

29,175,585

1.2x

4,134,665

2.4x

33,310,250

1.3x

n/m

11%

BREDS High-Yield (h)

12,011,754

2,509,514

3,467,107

1.1x

10,484,654

1.3x

13,951,761

1.2x

11%

Private Equity

BCP I (Oct 1987 / Oct 1993)

859,081

n/a

1,741,738

2.6x

1,741,738

2.6x

19%

BCP II (Oct 1993 / Aug 1997)

1,361,100

n/a

3,256,819

2.5x

3,256,819

2.5x

32%

BCP III (Aug 1997 / Nov 2002)

3,967,422

n/a

9,184,688

2.3x

9,184,688

2.3x

14%

BCOM (Jun 2000 / Jun 2006)

2,137,330

24,575

15,639

1.2x

2,953,649

1.4x

2,969,288

1.4x

BCP IV (Nov 2002 / Dec 2005)

6,773,182

204,794

344,504

2.2x

50%

21,251,054

2.9x

21,595,558

2.9x

37%

36%

BCP V (Dec 2005 / Jan 2011)

21,013,586

1,039,733

993,106

0.9x

40%

37,058,962

1.9x

38,052,068

1.9x

BCP VI (Jan 2011 / May 2016)

15,191,350

1,767,265

14,578,233

1.8x

34%

12,817,204

2.1x

27,395,437

1.9x

21%

14%

BEP I (Aug 2011 / Feb 2015)

2,435,285

224,784

2,524,303

1.7x

48%

2,047,071

2.3x

4,571,374

1.9x

26%

14%

BEP II (Feb 2015 / Feb 2021)

4,902,640

1,000,390

4,564,315

1.3x

227,225

2.0x

4,791,540

1.4x

45%

13%

BCP VII (May 2016 / May 2022)

18,590,630

8,728,039

12,741,883

1.4x

452,900

1.3x

13,194,783

1.4x

35%

19%

BCP Asia (Dec 2017 / Dec 2023)

2,405,153

2,076,729

221,543

2.0x

n/a

221,543

2.0x

n/a

BEP III (TBD)

3,684,191

n/a

BCP VIII (TBD)

22,225,158

n/a

Total Corporate Private Equity

105,546,108

40,975,658

35,983,526

1.5x

19%

90,991,310

2.2x

126,974,836

1.9x

16%

15%

Tactical Opportunities

21,911,160

10,394,383

9,898,867

1.3x

6,806,144

1.7x

16,705,011

1.4x

21%

11%

Tactical Opportunities Co-Investment and Other

6,520,129

2,519,961

3,653,882

1.2x

1,514,218

1.6x

5,168,100

1.3x

25%

14%

Total Tactical Opportunities

28,431,289

12,914,344

13,552,749

1.3x

8,320,362

1.7x

21,873,111

1.4x

22%

11%

75%

Blackstone

Investment

Records

March

31,

2019

(a)

–

Continued

The returns presented herein represent those of the applicable Blackstone Funds and not those of The Blackstone Group L.P. Excludes investment vehicles where Blackstone does not earn fees.

n/m

Not meaningful.

n/a

Not applicable.

(a)

Preliminary.

(b)

Available Capital represents total investable capital commitments, including side-by-side, adjusted for certain expenses and expired or recallable capital and may include leverage, less invested

capital. This amount is not reduced by outstanding commitments to investments.

(c)

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

(d)

Net

Internal

Rate

Return

(“IRR”)

represents

the

annualized

inception

March

31,

2019

IRR

total

invested

capital

based

realized

proceeds

and

unrealized

value,

applicable,

after

management fees, expenses and Performance Revenues.

(e)

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

Total Net IRR.

(f)

BREP Co-Investment represents co-investment capital raised for various BREP investments. The Net IRR reflected is calculated by aggregating each co-investment’s realized proceeds and unrealized

value, as applicable, after management fees, expenses and Performance Revenues.

(g)

BPP represents the core+ real estate funds which invest with a more modest risk profile and lower leverage. Excludes BREIT.

(h)

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

(i)

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

(j)

BCEP,

Blackstone

Core

Equity

Partners,

core

private

equity

fund

which

invests

with

modest

risk

profile

and

longer

hold

period.

(k)

Returns for Other Funds and Co-Investment are not meaningful as these funds have limited transaction activity.

(l)

Represents Blackstone Strategic Capital Holdings (including Co-investment) which is focused on acquiring strategic minority positions in alternative asset managers.

(m)

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

(Dollars in Thousands, Except Where Noted)

Committed

Available

Unrealized Investments

Realized Investments

Total Investments

Net IRRs (d)

Fund (Investment Period Beginning Date / Ending Date)

Capital

Capital (b)

Value

MOIC (c)

% Public

Value

MOIC (c)

Value

MOIC (c)

Realized

Total

Private Equity (continued)

Strategic Partners I-V (i)

11,862,601

1,762,708

1,530,629

n/m

16,166,460

n/m

17,697,089

1.5x

n/a

13%

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

4,362,750

1,154,067

1,861,262

n/m

2,746,833

n/m

4,608,095

1.5x

n/a

19%

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

7,489,970

2,235,603

5,989,257

n/m

803,805

n/m

6,793,062

1.4x

n/a

35%

Strategic Partners RA II (May 2017 / TBD) (i)

1,749,807

703,386

756,243

n/m

30,361

n/m

786,604

1.1x

n/a

18%

Strategic Partners VIII (Mar 2019 / TBD) (i)

5,281,164

4,880,068

n/a

Strategic Partners RE, SMA and Other (i)

4,590,901

1,317,461

1,541,602

n/m

891,633

n/m

2,433,235

1.3x

n/a

17%

Total Strategic Partners

35,337,193

12,053,293

11,678,993

n/m

20,639,092

n/m

32,318,085

1.5x

n/a

14%

BCEP (Jan 2017 / Jan 2021) (j)

4,755,613

2,141,452

2,995,210

1.1x

240,480

1.7x

3,235,690

1.2x

27%

11%

BIP

6,467,667

5,285,446

1,182,221

1.0x

100%

n/a

1,182,221

1.0x

n/a

n/m

Other Funds and Co-Investment (k)

1,557,393

325,028

100,137

1.0x

17%

635,564

0.9x

735,701

1.0x

n/m

Hedge Fund Solutions

Total Strategic Capital Holdings (Dec 2013 / Jun 2020) (l)

3,378,575

759,351

2,709,970

1.5x

356,189

n/m

3,066,159

1.7x

n/a

Credit (m)

Mezzanine I (Jul 2007 / Oct 2011)

2,000,000

97,114

26,156

1.3x

4,772,132

1.6x

4,798,288

1.6x

n/a

17%

Mezzanine II (Nov 2011 / Nov 2016)

4,120,000

1,168,881

1,867,420

1.0x

4,760,395

1.6x

6,627,815

1.4x

n/a

12%

Mezzanine III (Sep 2016 / Sep 2021)

6,639,133

2,013,193

3,676,683

1.1x

1,079,275

1.6x

4,755,958

1.2x

n/a

13%

Stressed / Distressed Investing I (Sep 2009 / May 2013)

3,253,143

135,000

216,928

0.4x

5,745,131

1.6x

5,962,059

1.4x

n/a

11%

Stressed / Distressed Investing II (Jun 2013 / Jun 2018)

5,125,000

547,170

2,100,835

0.9x

3,756,349

1.3x

5,857,184

1.2x

n/a

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

7,356,380

5,678,860

1,479,363

1.0x

382,591

1.3x

1,861,954

1.1x

n/a

Energy Select Opportunities (Nov 2015 / Nov 2018)

2,856,867

943,281

2,073,685

1.2x

569,083

1.7x

2,642,768

1.3x

n/a

13%

Energy Select Opportunities II (Feb 2019 / Feb 2024)

3,347,431

2,811,011

91,152

1.0x

n/a

91,152

1.0x

n/m

Euro

European Senior Debt Fund (Feb 2015 / Feb 2019)

1,964,689

€

335,732

€

2,082,059

€

1.0x

881,841

€

1.5x

2,963,900

€

1.2x

n/a

10%

Total Credit

36,964,363

13,771,503

13,870,061

1.0x

22,075,083

1.5x

35,945,144

1.3x

n/a

12%

Blackstone

Unitholder Distribution

A detailed description of Blackstone’s distribution policy and the definition of Distributable Earnings can be found on pages 30-31, Definitions and Distribution Policy. DE before Certain Payables represents Distributable

Earnings before the deduction for the Payable Under Tax Receivable Agreement and tax expense (benefit) of wholly-owned subsidiaries. Per Unit calculations are based on end of period Participating Common Units

(page

23,

Unit

Summary);

actual

distributions

are

paid

unitholders

the

applicable

record

date.

Retained

capital

withheld

pro-rata

from

common

and

Blackstone

Holdings

Partnership

unitholders.

Common

unitholders’ share was $47 million for 1Q’19 and $223 million for 1Q’19 LTM.

Generated

$0.44

Distributable

Earnings

per

common

unit

during

the

quarter,

bringing

the

LTM

amount

$2.20

per

common

unit.

Blackstone

declared

quarterly

distribution

$0.37

per

common

unit

record

holders

April

29,

2019;

payable

May

2019.

% Change

(Dollars in Thousands, Except per Unit Data)

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

vs. 1Q'18

1Q'18 LTM

1Q'19 LTM

vs. 1Q'18 LTM

Distributable Earnings

502,055

700,142

769,284

722,081

537,958

3,148,132

2,729,465

(13)%

Add: Other Payables Attributable

to Common Unitholders

7,028

29,379

22,980

43,345

14,598

108%

98,500

110,302

12%

DE before Certain Payables

509,083

729,521

792,264

765,426

552,556

3,246,632

2,839,767

(13)%

Percent to Common Unitholders

56%

57%

56%

DE before Certain Payables Attributable

to Common Unitholders

285,633

414,071

447,516

429,433

310,832

1,810,252

1,601,852

(12)%

Less: Other Payables Attributable

to Common Unitholders

(7,028)

(29,379)

(22,980)

(43,345)

(14,598)

108%

(98,500)

(110,302)

12%

DE Attributable to Common Unitholders

278,605

384,692

424,536

386,088

296,234

1,711,752

1,491,550

(13)%

DE per Common Unit

0.41

0.56

0.63

0.57

0.44

2.56

2.20

(14)%

Less: Retained Capital per Common Unit

(0.06)

(0.08)

(0.09)

(0.07)

17%

(0.38)

(0.33)

(13)%

Special Cash Distribution per Common Unit

0.10

n/m

0.30

n/m

Actual Distribution per Common Unit

0.35

0.58

0.64

0.58

0.37

2.18

2.17

(0)%

Record Date

Apr 29, 2019

Payable Date

May 6, 2019

Blackstone

Unit Summary

Common Unitholders receive tax benefits from deductions taken by Blackstone’s corporate tax paying subsidiaries and bear responsibility for the deduction from Distributable

Earnings of the Payable Under Tax Receivable Agreement and certain other tax-related payables. Participating Common Units and Participating Partnership Units include both

issued and outstanding units and unvested units that participate in distributions.

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

Participating Common Units

676,168,743

682,801,258

678,771,864

672,755,818

674,457,578

Participating Partnership Units

528,967,264

520,175,306

522,898,542

526,370,654

524,504,626

Distributable Earnings Units Outstanding

1,205,136,007

1,202,976,564

1,201,670,406

1,199,126,472

1,198,962,204

Blackstone

repurchased

1.5

million

common

units

the

quarter,

resulting

Distributable

Earnings

Units

Outstanding

1,199

million

units.

•

Over

the

LTM,

Blackstone

repurchased

17.5

million

common

units.

•

Available

authorization

remaining

was

$406

million

March

31,

2019.

Blackstone

Notes on pages 26-27.

Reconciliation of GAAP to Non-GAAP Measures

(Dollars in Thousands)

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

Net Income (Loss) Attributable to The Blackstone Group L.P.

367,872

742,042

442,742

(10,868)

481,304

1,387,337

1,655,220

Net Income Attributable to Non-Controlling Interests in Blackstone Holdings

320,208

678,952

360,576

5,253

402,260

1,303,485

1,447,041

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

Entities

155,499

129,078

143,101

(68,800)

186,833

514,253

390,212

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

in Consolidated Entities

(1,275)

905

2,569

(4,303)

2,480

10,531

1,651

Net Income (Loss)

842,304

1,550,977

948,988

(78,718)

1,072,877

3,215,606

3,494,124

Provision for Taxes

54,495

138,731

26,798

29,366

41,155

740,205

236,050

Income (Loss) Before Provision for Taxes

896,799

1,689,708

975,786

(49,352)

1,114,032

3,955,811

3,730,174

Transaction-Related Charges (a)

52,489

(470,078)

79,242

76,431

89,451

(181,021)

(224,954)

Amortization of Intangibles (b)

14,873

14,856

15,392

16,483

51,826

61,604

Impact of Consolidation (c)

(154,224)

(129,983)

(145,670)

73,103

(189,313)

(524,784)

(391,863)

Unrealized Performance Revenues (d)

(628,339)

(440,424)

(298,931)

806,531

(664,333)

(646,985)

(597,157)

Unrealized Performance Allocations Compensation (e)

254,435

189,991

178,184

(302,868)

287,015

350,696

352,322

Unrealized Principal Investment (Income) Loss (f)

(13,978)

(52,126)

(28,704)

160,659

(139,925)

18,293

(60,096)

Other Revenues (g)

60,894

(94,416)

(9,092)

(46,854)

(13,189)

192,658

(163,551)

Equity-Based Compensation (h)

44,148

34,394

36,576

43,102

66,776

121,344

180,848

Taxes and Related Payables (i)

(25,042)

(41,797)

(32,963)

(54,063)

(29,039)

(189,706)

(157,862)

Distributable Earnings

502,055

700,142

769,284

722,081

537,958

3,148,132

2,729,465

Taxes and Related Payables (i)

25,042

41,797

32,963

54,063

29,039

189,706

157,862

Net Interest (Income) Loss (j)

1,853

(2,842)

(9,013)

(11,923)

(5,061)

40,817

(28,839)

Total Segment Distributable Earnings

528,950

739,097

793,234

764,221

561,936

3,378,655

2,858,488

Realized Performance Revenues (k)

(278,371)

(477,544)

(572,159)

(483,697)

(246,769)

(2,794,933)

(1,780,169)

Realized Performance Compensation (l)

114,829

172,894

190,773

199,645

85,240

1,038,462

648,552

Realized Principal Investment Income (m)

(28,693)

(94,647)

(65,620)

(47,098)

(25,908)

(261,993)

(233,273)

Fee Related Earnings

336,715

339,800

346,228

433,071

374,499

1,360,191

1,493,598

Adjusted EBITDA Reconciliation

Distributable Earnings

502,055

700,142

769,284

722,081

537,958

3,148,132

2,729,465

Interest Expense (n)

38,238

38,885

40,923

41,792

41,638

191,626

163,238

Taxes and Related Payables (i)

25,042

41,797

32,963

54,063

29,039

189,706

157,862

Depreciation and Amortization

6,251

5,986

5,681

5,964

5,789

25,263

23,420

Adjusted EBITDA

571,586

786,810

848,851

823,900

614,424

3,554,727

3,073,985

Blackstone

Note:

See pages 30-31, Definitions and Distribution Policy.

(a)

This adjustment removes Transaction-Related Charges, which are excluded from Blackstone's segment presentation. Transaction-Related Charges arise from corporate actions

including acquisitions, divestitures, and Blackstone’s initial public offering. They consist primarily of equity-based compensation charges, gains and losses on contingent

consideration

arrangements,

changes

the

balance

the

tax

receivable

agreement

resulting

from

change

tax

law

similar

event,

transaction

costs

and

any

gains

losses

associated with these corporate actions.

(b)

This adjustment removes the amortization of transaction-related intangibles, which are excluded from Blackstone's segment presentation. This amount includes amortization of

intangibles associated with Blackstone’s investment in Pátria, which is accounted for under the equity method.

(c)

This adjustment reverses the effect of consolidating Blackstone Funds, which are excluded from Blackstone's segment presentation. This adjustment includes the elimination of

Blackstone’s interest in these funds, the increase to revenue representing the reimbursement of certain expenses by Blackstone Funds, which are presented gross under GAAP but

netted

against

Other

Operating

Expenses

the

segment

presentation,

and

the

removal

amounts

associated

with

the

ownership

Blackstone

consolidated

operating

partnerships held by non-controlling interests.

(d)

This adjustment removes Unrealized Performance Revenues on a segment basis. The Segment Adjustment represents the add back of performance revenues earned from

consolidated Blackstone Funds which have been eliminated in consolidation.

(e)

This adjustment removes Unrealized Performance Allocations Compensation.

(f)

This adjustment removes Unrealized Principal Investment Income (Loss) on a segment basis. The Segment Adjustment represents (1) the add back of Principal Investment Income,

including general partner income, earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of amounts associated with the

ownership of Blackstone consolidated operating partnerships held by non-controlling interests.

(g)

This adjustment removes Other Revenues on a segment basis. The Segment Adjustment represents (1) the add back of Other Revenues earned from consolidated Blackstone Funds

which have been eliminated in consolidation, and (2) the removal of certain Transaction-Related Charges. For the three months ended June 30, 2018, Transaction-Related Charges

included

$580.9

million

Other

Revenues

received

upon

the

conclusion

Blackstone’s

investment

sub-advisory

relationship

with

Investments’

funds.

(h)

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

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

GAAP Other Revenue

(59,317)

675,343

9,368

46,923

10,250

(188,334)

741,884

Segment Adjustment

(1,577)

(580,927)

(276)

(69)

2,939

(4,324)

(578,333)

Other Revenues

(60,894)

94,416

9,092

46,854

13,189

(192,658)

163,551

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

GAAP Unrealized Performance Allocations

628,089

440,351

299,238

(806,305)

663,999

647,237

597,283

Segment Adjustment

250

(307)

(226)

334

(252)

(126)

Unrealized Performance Revenues

628,339

440,424

298,931

(806,531)

664,333

646,985

597,157

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

GAAP Unrealized Principal Investment Income (Loss)

111,774

103,468

52,840

(218,165)

169,044

194,567

107,187

Segment Adjustment

(97,796)

(51,342)

(24,136)

57,506

(29,119)

(212,860)

(47,091)

Unrealized Principal Investment Income (Loss)

13,978

52,126

28,704

(160,659)

139,925

(18,293)

60,096

Reconciliation of GAAP to Non-GAAP Measures – Notes

Blackstone

(i)

Taxes represent the total GAAP tax provision adjusted to include only the current tax provision (benefit) calculated on Income (Loss) Before Provision for Taxes and adjusted to

exclude the tax impact of any divestitures. Related Payables represent tax-related payables including the amount payable under the Tax Receivable Agreement.

(k)

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

(l)

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

(m)

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

(n)

This adjustment adds back Interest Expense on a segment basis.

Reconciliation

GAAP

Common

Units

Outstanding

Distributable

Earnings

Units

Outstanding

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

GAAP Common Units Outstanding

666,812,752

673,544,082

669,411,215

663,212,830

665,331,887

Unvested Participating Common Units

9,355,991

9,257,176

9,360,649

9,542,988

9,125,691

Participating Common Units

676,168,743

682,801,258

678,771,864

672,755,818

674,457,578

Participating Partnership Units

528,967,264

520,175,306

522,898,542

526,370,654

524,504,626

Distributable Earnings Units Outstanding

1,205,136,007

1,202,976,564

1,201,670,406

1,199,126,472

1,198,962,204

Disclosure of Weighted-Average Units Outstanding

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

Total GAAP Weighted-Average Common Units Outstanding - Basic

674,479,140

681,794,492

682,435,177

676,629,572

674,507,698

Weighted-Average Unvested Deferred Restricted Common Units

198,934

216,118

230,759

207,752

Weighted-Average Blackstone Holdings Partnership Units

535,895,780

523,212,047

525,764,790

Total GAAP Weighted-Average Units Outstanding - Diluted

1,210,573,854

682,010,610

1,205,877,983

676,629,572

1,200,480,240

(j)

This adjustment removes Interest and Dividend Revenue less Interest Expense on a segment basis. The Segment Adjustment represents (1) the add back of Other Revenues earned

from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of interest expense associated with the Tax Receivable Agreement.

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

Taxes

18,228

20,026

12,793

38,975

15,344

100,954

87,138

Related Payables

6,814

21,771

20,170

15,088

13,695

88,752

70,724

Taxes and Related Payables

25,042

41,797

32,963

54,063

29,039

189,706

157,862

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

GAAP Interest and Dividend Revenue

35,385

40,073

48,604

47,885

44,084

146,586

180,646

Segment Adjustment

1,000

1,654

1,332

5,830

2,615

4,223

11,431

Interest and Dividend Revenue

36,385

41,727

49,936

53,715

46,699

150,809

192,077

GAAP Interest Expense

38,671

39,320

41,355

44,644

42,002

195,911

167,321

Segment Adjustment

(433)

(435)

(432)

(2,852)

(364)

(4,285)

(4,083)

Interest Expense

38,238

38,885

40,923

41,792

41,638

191,626

163,238

Net Interest Income (Loss)

(1,853)

2,842

9,013

11,923

5,061

(40,817)

28,839

Reconciliation of GAAP to Non-GAAP Measures – Notes Continued

Blackstone

Reconciliation of GAAP to Total Segment Measures

(Dollars in Thousands)

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

Management and Advisory Fees, Net

GAAP

728,849

721,384

780,009

797,554

809,726

2,834,687

3,108,673

Segment Adjustment (a)

7,195

1,610

(790)

641

4,336

22,567

5,797

Total Segment

736,044

722,994

779,219

798,195

814,062

2,857,254

3,114,470

GAAP Realized Performance Revenues to Total Segment Fee Related Performance Revenues

GAAP

Incentive Fees

12,566

19,378

9,799

15,797

12,132

208,569

57,106

Investment Income -

Realized Performance Allocations

269,640

503,376

592,103

511,388

242,375

2,729,546

1,849,242

GAAP

282,206

522,754

601,902

527,185

254,507

2,938,115

1,906,348

Total Segment

Less: Realized Performance Revenues

(278,371)

(477,544)

(572,159)

(483,697)

(246,769)

(2,794,933)

(1,780,169)

Segment Adjustment (b)

305

556

697

2,886

1,599

Total Segment

3,837

45,515

30,299

44,185

7,779

146,068

127,778

GAAP Compensation to Total Segment Fee Related Compensation

GAAP

Compensation

389,403

427,479

419,285

373,790

471,397

1,480,299

1,691,951

Incentive Fees Compensation

6,662

9,743

7,251

10,260

5,406

89,476

32,660

Realized Performance Allocations Compensation

112,062

186,398

200,442

212,174

86,395

1,027,549

685,409

GAAP

508,127

623,620

626,978

596,224

563,198

2,597,324

2,410,020

Total Segment

Less: Realized Performance Compensation

(114,829)

(172,894)

(190,773)

(199,645)

(85,240)

(1,038,462)

(648,552)

Less: Equity-Based Compensation -

Operating Compensation

(40,248)

(31,483)

(33,514)

(39,968)

(63,708)

(107,008)

(168,673)

Less: Equity-Based Compensation -

Performance Compensation

(3,900)

(2,911)

(3,062)

(3,134)

(3,068)

(14,336)

(12,175)

Segment Adjustment (c)

(53,076)

(110,089)

(65,084)

(74,193)

(87,151)

(229,883)

(336,517)

Total Segment

296,074

306,243

334,545

279,284

324,031

1,207,635

1,244,103

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

GAAP

126,713

145,828

168,813

153,519

146,062

505,909

614,222

Segment Adjustment (d)

(19,621)

(23,362)

(40,068)

(23,494)

(22,751)

(70,413)

(109,675)

Total Segment

107,092

122,466

128,745

130,025

123,311

435,496

504,547

Realized Performance Revenues

GAAP

Incentive Fees

12,566

19,378

9,799

15,797

12,132

208,569

57,106

Investment Income -

Realized Performance Allocations

269,640

503,376

592,103

511,388

242,375

2,729,546

1,849,242

GAAP

282,206

522,754

601,902

527,185

254,507

2,938,115

1,906,348

Total Segment

Less: Fee Related Performance Revenues

(3,837)

(45,515)

(30,299)

(44,185)

(7,779)

(146,068)

(127,778)

Segment Adjustment (b)

305

556

697

2,886

1,599

Total Segment

278,371

477,544

572,159

483,697

246,769

2,794,933

1,780,169

Blackstone

Reconciliation

GAAP

Total

Segment

Measures

–

Continued

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

(page 1). Segment basis presents revenues and expenses on a basis that deconsolidates the investment funds Blackstone manages and excludes the amortization of intangibles, the

expense of equity-based awards and Transaction-Related Charges.

(a)

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

from the reimbursement of certain expenses by the Blackstone Funds, which are presented gross under GAAP but netted against Other Operating Expenses in the Total

Segment measures.

(b)

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

(c)

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

(d)

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

under GAAP but netted against Other Operating Expenses in the Total Segment measures.

(e)

Represents (1) the add back of Principal Investment Income, including general partner income, earned from consolidated Blackstone Funds which have been eliminated in

consolidation,

and

(2)

the

removal

amounts

associated

with

the

ownership

Blackstone

consolidated

operating

partnerships

held

non-controlling

interests.

(f)

Represents (1) the add back of Other Revenues earned from consolidated Blackstone Funds which have been eliminated in consolidation, and (2) the removal of interest

expense associated with the Tax Receivable Agreement.

(Dollars in Thousands)

1Q'18

2Q'18

3Q'18

4Q'18

1Q'19

1Q'18 LTM

1Q'19 LTM

Realized Performance Compensation

GAAP

Incentive Fee Compensation

6,662

9,743

7,251

10,260

5,406

89,476

32,660

Realized Performance Allocations Compensation

112,062

186,398

200,442

212,174

86,395

1,027,549

685,409

GAAP

118,724

196,141

207,693

222,434

91,801

1,117,025

718,069

Total Segment

Less: Fee Related Performance Compensation

(20,336)

(13,858)

(19,655)

(3,493)

(64,227)

(57,342)

Less: Equity-Based Compensation -

Performance Compensation

(3,900)

(2,911)

(3,062)

(3,134)

(3,068)

(14,336)

(12,175)

Total Segment

114,829

172,894

190,773

199,645

85,240

1,038,462

648,552

Realized Principal Investment Income

GAAP

42,145

129,197

134,619

109,901

73,261

426,570

446,978

Segment Adjustment (e)

(13,452)

(34,550)

(68,999)

(62,803)

(47,353)

(164,577)

(213,705)

Total Segment

28,693

94,647

65,620

47,098

25,908

261,993

233,273

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

GAAP

Interest and Dividend Revenue

35,385

40,073

48,604

47,885

44,084

146,586

180,646

Interest Expense

(38,671)

(39,320)

(41,355)

(44,644)

(42,002)

(195,911)

(167,321)

GAAP

(3,286)

753

7,249

3,241

2,082

(49,325)

13,325

Segment Adjustment (f)

1,433

2,089

1,764

8,682

2,979

8,508

15,514

Total Segment

(1,853)

2,842

9,013

11,923

5,061

(40,817)

28,839

Blackstone

Definitions and Distribution Policy

Blackstone discloses the following operating metrics and financial measures that are calculated and presented on the basis of methodologies other than in

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

•

Segment

Distributable

Earnings,

“Segment

DE”,

Blackstone’s

segment

profitability

measure

used

make

operating

decisions

and

assess

performance

across

Blackstone’s four segments. Segment DE represents the net realized earnings of Blackstone’s segments and is the sum of Fee Related Earnings and Net Realizations

for each segment. Blackstone’s segments are presented on a basis that deconsolidates Blackstone Funds, eliminates non-controlling ownership interests in

Blackstone’s consolidated Operating Partnerships, removes the amortization of intangible assets and removes Transaction-Related Charges. Segment DE excludes

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

Taxes.

Net Realizations

is presented on a segment basis and is the sum of Realized Principal Investment Income and Realized Performance Revenues (which refers to

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

Compensation excluding Fee Related Performance Compensation and Equity-Based Performance Compensation).

Total Segment Revenues

and Segment Revenues

represent Net Management and Advisory Fees, Fee Related Performance Revenues, Realized Performance

Revenues and Realized Principal Investment Income.

•

Distributable

Earnings,

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

to Blackstone unitholders, including Blackstone personnel and others who are limited partners of the Blackstone Holdings Partnerships. DE is the sum of Segment

DE plus Net Interest Income (Loss) less Taxes and Related Payables. DE excludes unrealized activity and is derived from and reconciled to, but not equivalent to, its

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

Net Interest Income (Loss)

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

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

Taxes

and

Payables

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

Before Provision for Taxes excluding the tax impact of any divestitures and including the Payable under the Tax Receivable Agreement.

•

Fee

Earnings,

“FRE”,

performance

measure

used

assess

Blackstone’s

ability

generate

profits

from

revenues

that

are

measured

and

received

a recurring basis and not subject to future realization events. FRE equals management and advisory fees (net of management fee reductions and offsets) plus Fee

Related Performance Revenues, less (a) Fee Related Compensation on a segment basis, and (b) Other Operating Expenses. FRE is derived from and reconciled to,

but not equivalent to, its most directly comparable GAAP measure of Income (Loss) Before Provision for Taxes.

Fee Related Compensation

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

Management and Advisory Fees, Net and Fee Related Performance Revenues.

Fee

Performance

Revenues

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

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

Fee

Performance

Compensation

included

Fee

Compensation

segment

basis

and

refers

compensation

expense

directly

Fee Related Performance Revenues.

Perpetual Capital

refers to the component of assets under management with an indefinite term, that is not in liquidation, and for which there is no

requirement to return capital to investors through redemption requests in the ordinary course of business, except where funded by new capital inflows.

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

Blackstone

Definitions

and

Distribution

Policy

–

Continued

•

Adjusted

Earnings

Before

Interest,

Taxes

and

Depreciation

and

Amortization,

“Adjusted

EBITDA”,

supplemental

measure

used

assess

performance

derived

from

Blackstone’s

segment

results

and

may

used

assess

its

ability

service

its

borrowings.

Adjusted

EBITDA

represents

Distributable

Earnings

plus

the addition of (a) Interest Expense on a segment basis, (b) Taxes and Related Payables, and (c) Depreciation and Amortization. Adjusted EBITDA is derived from

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

•

Performance Revenues

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

•

Performance Compensation

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

•

Transaction-Related

Charges

arise from

corporate

actions

including

acquisitions,

divestitures,

and

Blackstone’s

initial

public

offering.

They

consist

primarily

equity-based

compensation

charges,

gains

and

losses

contingent

consideration

arrangements,

changes

the

balance

the

tax

receivable

agreement

resulting

from a change in tax law or similar event, transaction costs and any gains or losses associated with these corporate actions.

Distribution Policy. Blackstone’s intention is to distribute quarterly to common unitholders approximately 85% of The Blackstone Group L.P.’s share of

Distributable Earnings, subject to adjustment by amounts determined by Blackstone’s general partner to be necessary or appropriate to provide for the

conduct of its business, to make appropriate investments in its business and funds, to comply with applicable law, any of its debt instruments or other

agreements, or to provide for future cash requirements such as tax-related payments, clawback obligations and distributions to unitholders for any ensuing

quarter. The amount to be distributed could also be adjusted upward in any one quarter. All of the foregoing is subject to the qualification that the declaration

and payment of any distributions are at the sole discretion of Blackstone’s general partner and may change its distribution policy at any time, including,

without limitation, to eliminate such distributions entirely.

Blackstone

Forward-Looking Statements

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

Section 21E of the Securities Exchange Act of 1934 which reflect Blackstone’s current views with respect to, among other things,

Blackstone’s operations, financial performance and unit repurchase and distribution activities. You can identify these forward-looking

statements by the use of words such as “outlook,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,”

“seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other

comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be

important factors that could cause actual outcomes or results to differ materially from those indicated in these statements.

Blackstone believes these factors include but are not limited to those described under the section entitled “Risk Factors” in its Annual

Report on Form 10-K for the fiscal year ended December 31, 2018, as such factors may be updated from time to time in its periodic

filings with the Securities and Exchange Commission, which are accessible on the SEC’s website at www.sec.gov. These factors should

not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this

presentation and in the filings. Blackstone undertakes no obligation to publicly update or review any forward-looking statement,

whether as a result of new information, future developments or otherwise.

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