The following table presents the financial data for Blackstone’s segments for the three months ended September 30, 2013 and 2012:


	Three Months Ended September 30, 2013
	Private Equity			Real Estate			Hedge Fund Solutions			Credit			Financial Advisory			Total Segments
Segment Revenues
Management and Advisory Fees, Net
Base Management Fees	$	95,281		$	136,721		$	103,392		$	101,900		$	—		$	437,294
Advisory Fees		—			—			—			—			83,602			83,602
Transaction and Other Fees, Net		16,052			19,205			295			7,058			196			42,806
Management Fee Offsets		(2,080	)		(2,385	)		(1,200	)		(2,606	)		—			(8,271	)

Total Management and Advisory Fees, Net		109,253			153,541			102,487			106,352			83,798			555,431

Performance Fees
Realized
Carried Interest		85,121			93,878			—			3,655			—			182,654
Incentive Fees		—			3,737			5,320			22,181			—			31,238
Unrealized
Carried Interest		(86,300	)		340,406			—			35,946			—			290,052
Incentive Fees		—			2,481			29,208			9,303			—			40,992

Total Performance Fees		(1,179	)		440,502			34,528			71,085			—			544,936

Investment Income (Loss)
Realized		11,495			928			(598	)		496			(829	)		11,492
Unrealized		23,621			57,656			6,439			(1,042	)		1,006			87,680

Total Investment Income (Loss)		35,116			58,584			5,841			(546	)		177			99,172
Interest and Dividend Revenue		5,231			6,060			2,523			5,288			2,437			21,539
Other		1,521			2,113			595			(357	)		836			4,708

Total Revenues		149,942			660,800			145,974			181,822			87,248			1,225,786

Expenses
Compensation and Benefits
Compensation		55,800			75,346			37,611			53,250			57,491			279,498
Performance Fee Compensation
Realized
Carried Interest		19,824			38,942			—			1,603			—			60,369
Incentive Fees		—			1,919			1,954			10,726			—			14,599
Unrealized
Carried Interest		(36,198	)		99,323			—			19,216			—			82,341
Incentive Fees		—			615			10,177			292			—			11,084

Total Compensation and Benefits		39,426			216,145			49,742			85,087			57,491			447,891
Other Operating Expenses		30,024			30,614			19,575			23,451			19,208			122,872

Total Expenses		69,450			246,759			69,317			108,538			76,699			570,763

Economic Income	$	80,492		$	414,041		$	76,657		$	73,284		$	10,549		$	655,023


	Three Months Ended September 30, 2012
	Private Equity			Real Estate			Hedge Fund Solutions			Credit			Financial Advisory			Total Segments
Segment Revenues
Management and Advisory Fees, Net
Base Management Fees	$	86,136		$	135,659		$	87,334		$	88,959		$	—		$	398,088
Advisory Fees		—			—			—			—			59,951			59,951
Transaction and Other Fees, Net		25,693			14,937			4			4,486			6			45,126
Management Fee Offsets		(767	)		(6,034	)		(382	)		(1,271	)		—			(8,454	)

Total Management and Advisory Fees, Net		111,062			144,562			86,956			92,174			59,957			494,711

Performance Fees
Realized
Carried Interest		31,592			51,845			—			328			—			83,765
Incentive Fees		—			4,879			2,637			4,104			—			11,620
Unrealized
Carried Interest		128,746			207,695			—			67,024			—			403,465
Incentive Fees		—			6,150			36,635			61,364			—			104,149

Total Performance Fees		160,338			270,569			39,272			132,820			—			602,999

Investment Income (Loss)
Realized		7,189			10,324			637			6,697			251			25,098
Unrealized		43,267			33,676			5,199			(736	)		928			82,334

Total Investment Income		50,456			44,000			5,836			5,961			1,179			107,432
Interest and Dividend Revenue		3,413			3,581			540			2,673			1,797			12,004
Other		1,650			1,941			315			(678	)		(751	)		2,477

Total Revenues		326,919			464,653			132,919			232,950			62,182			1,219,623

Expenses
Compensation and Benefits
Compensation		62,424			71,456			28,826			50,236			46,619			259,561
Performance Fee Compensation
Realized
Carried Interest		1,048			19,822			—			1,153			—			22,023
Incentive Fees		—			2,570			1,062			825			—			4,457
Unrealized
Carried Interest		43,228			47,940			—			37,695			—			128,863
Incentive Fees		—			2,876			8,062			33,316			—			44,254

Total Compensation and Benefits		106,700			144,664			37,950			123,225			46,619			459,158
Other Operating Expenses		30,944			31,284			12,878			33,527			18,823			127,456

Total Expenses		137,644			175,948			50,828			156,752			65,442			586,614

Economic Income (Loss)	$	189,275		$	288,705		$	82,091		$	76,198		$	(3,260	)	$	633,009

The following table presents the financial data for Blackstone’s segments as of and for the nine months ended September 30, 2013 and 2012:


	September 30, 2013 and the Nine Months Then Ended
	Private Equity			Real Estate			Hedge Fund Solutions			Credit			Financial Advisory			Total Segments
Segment Revenues
Management and Advisory Fees, Net Base Management Fees	$	268,148		$	412,067		$	296,296		$	295,204		$	—		$	1,271,715
Advisory Fees		—			—			—			—			271,356			271,356
Transaction and Other Fees, Net		78,853			47,358			360			20,434			239			147,244
Management Fee Offsets		(4,510	)		(15,983	)		(2,238	)		(5,737	)		—			(28,468	)

Total Management and Advisory Fees, Net		342,491			443,442			294,418			309,901			271,595			1,661,847

Performance Fees
Realized
Carried Interest		228,912			306,132			—			125,068			—			660,112
Incentive Fees		—			37,931			32,874			60,027			—			130,832
Unrealized
Carried Interest		12,672			880,454			—			30,979			—			924,105
Incentive Fees		—			(27,398	)		105,698			74,805			—			153,105

Total Performance Fees		241,584			1,197,119			138,572			290,879			—			1,868,154

Investment Income (Loss)
Realized		57,243			29,039			13,922			4,725			(741	)		104,188
Unrealized		76,420			148,595			(1,702	)		4,432			(871	)		226,874

Total Investment Income (Loss)		133,663			177,634			12,220			9,157			(1,612	)		331,062
Interest and Dividend Revenue		11,466			14,754			5,617			13,906			5,799			51,542
Other		2,311			1,706			426			408			836			5,687

Total Revenues		731,515			1,834,655			451,253			624,251			276,618			3,918,292

Expenses
Compensation and Benefits
Compensation		179,750			218,597			108,323			154,712			191,570			852,952
Performance Fee Compensation
Realized
Carried Interest		36,947			119,810			—			68,959			—			225,716
Incentive Fees		—			19,376			12,092			28,653			—			60,121
Unrealized
Carried Interest		68,532			266,984			—			15,121			—			350,637
Incentive Fees		—			(14,680	)		37,679			35,647			—			58,646

Total Compensation and Benefits		285,229			610,087			158,094			303,092			191,570			1,548,072
Other Operating Expenses		91,370			86,693			51,269			67,374			60,762			357,468

Total Expenses		376,599			696,780			209,363			370,466			252,332			1,905,540

Economic Income	$	354,916		$	1,137,875		$	241,890		$	253,785		$	24,286		$	2,012,752

Segment Assets as of September 30, 2013	$	4,231,858		$	6,410,733		$	996,494		$	2,500,468		$	763,965		$	14,903,518


	Nine Months Ended September 30, 2012
	Private Equity			Real Estate			Hedge Fund Solutions			Credit			Financial Advisory			Total Segments
Segment Revenues
Management and Advisory Fees, Net
Base Management Fees	$	259,400		$	411,278		$	253,433		$	250,827		$	—		$	1,174,938
Advisory Fees		—			—			—			—			229,169			229,169
Transaction and Other Fees, Net		58,741			54,500			161			19,395			253			133,050
Management Fee Offsets		(5,221	)		(20,018	)		(1,092	)		(3,146	)		—			(29,477	)

Total Management and Advisory Fees, Net		312,920			445,760			252,502			267,076			229,422			1,507,680

Performance Fees
Realized
Carried Interest		64,306			74,001			—			14,947			—			153,254
Incentive Fees		—			12,644			7,110			8,837			—			28,591
Unrealized
Carried Interest		74,904			573,705			—			137,942			—			786,551
Incentive Fees		—			12,538			48,841			93,817			—			155,196

Total Performance Fees		139,210			672,888			55,951			255,543			—			1,123,592

Investment Income (Loss)
Realized		14,905			27,203			2,069			13,018			755			57,950
Unrealized		31,399			74,532			9,934			(681	)		1,440			116,624

Total Investment Income		46,304			101,735			12,003			12,337			2,195			174,574
Interest and Dividend Revenue		8,947			9,410			1,421			6,850			5,112			31,740
Other		1,997			642			215			(1,703	)		(709	)		442

Total Revenues		509,378			1,230,435			322,092			540,103			236,020			2,838,028

Expenses
Compensation and Benefits
Compensation		168,746			216,921			91,618			130,224			175,708			783,217
Performance Fee Compensation
Realized
Carried Interest		2,172			27,300			—			8,388			—			37,860
Incentive Fees		—			6,443			2,095			5,746			—			14,284
Unrealized
Carried Interest		33,917			133,892			—			82,412			—			250,221
Incentive Fees		—			6,015			12,536			28,886			—			47,437

Total Compensation and Benefits		204,835			390,571			106,249			255,656			175,708			1,133,019
Other Operating Expenses		90,346			86,768			41,318			66,372			65,211			350,015

Total Expenses		295,181			477,339			147,567			322,028			240,919			1,483,034

Economic Income (Loss)	$	214,197		$	753,096		$	174,525		$	218,075		$	(4,899	)	$	1,354,994

The following table reconciles the Total Segments to Blackstone’s Income Before Provision for Taxes for the three months ended September 30, 2013 and 2012:


	Three Months Ended September 30, 2013							Three Months Ended September 30, 2012
	Total Segments		Consolidation Adjustments and Reconciling Items			Blackstone Consolidated		Total Segments		Consolidation Adjustments and Reconciling Items			Blackstone Consolidated
Revenues	$	1,225,786	$	(8,941	)(a)	$	1,216,845	$	1,219,623	$	3,467	(a)	$	1,223,090
Expenses	$	570,763	$	215,642	(b)	$	786,405	$	586,614	$	264,777	(b)	$	851,391
Other Income (Loss)	$	—	$	87,952	(c)	$	87,952	$	—	$	(135,960	)(c)	$	(135,960	)
Economic Income	$	655,023	$	(136,631	)(d)	$	518,392	$	633,009	$	(397,270	)(d)	$	235,739

(a)	The Revenues adjustment principally represents management and performance fees earned from Blackstone Funds which were eliminated in consolidation to arrive at Blackstone consolidated revenues.

(b)	The Expenses adjustment represents the addition of expenses of the consolidated Blackstone Funds to the Blackstone unconsolidated expenses, amortization of intangibles and expenses related to transaction-related equity-based compensation to arrive at Blackstone consolidated expenses.

(c)	The Other Income (Loss) adjustment results from the following:


	Three Months Ended September 30,
	2013			2012
Fund Management Fees and Performance Fees Eliminated in Consolidation and Transactional Investment Loss	$	6,321		$	(4,273	)
Fund Expenses Added in Consolidation		7,679			(8,837	)
Non-Controlling Interests in Income (Loss) of Consolidated Entities		81,419			(115,753	)
Transaction-Related Other Income		(7,467	)		(7,097	)

Total Consolidation Adjustments and Reconciling Items	$	87,952		$	(135,960	)

(d)	The reconciliation of Economic Income to Income Before Provision for Taxes as reported in the Condensed Consolidated Statements of Operations consists of the following:


	Three Months Ended September 30,
	2013			2012
Economic Income	$	655,023		$	633,009

Adjustments
Amortization of Intangibles		(27,525	)		(33,338	)
IPO and Acquisition-Related Charges		(190,525	)		(248,179	)
Non-Controlling Interests in Income (Loss) of Consolidated Entities		81,419			(115,753	)

Total Consolidation Adjustments and Reconciling Items		(136,631	)		(397,270	)

Income Before Provision for Taxes	$	518,392		$	235,739

The following table reconciles the Total Segments to Blackstone’s Income Before Provision for Taxes and Total Assets as of and for the nine months ended September 30, 2013 and 2012:


	September 30, 2013 and the Nine Months Then Ended							Nine Months Ended September 30, 2012
	Total Segments		Consolidation Adjustments and Reconciling Items			Blackstone Consolidated		Total Segments		Consolidation Adjustments and Reconciling Items			Blackstone Consolidated
Revenues	$	3,918,292	$	(14,504	)(a)	$	3,903,788	$	2,838,028	$	(35,700	)(a)	$	2,802,328
Expenses	$	1,905,540	$	630,728	(b)	$	2,536,268	$	1,483,034	$	891,968	(b)	$	2,375,002
Other Income	$	—	$	196,128	(c)	$	196,128	$	—	$	400,412	(c)	$	400,412
Economic Income	$	2,012,752	$	(449,104	)(d)	$	1,563,648	$	1,354,994	$	(527,256	)(d)	$	827,738
Total Assets	$	14,903,518	$	13,131,364	(e)	$	28,034,882

(a)	The Revenues adjustment principally represents management and performance fees earned from Blackstone Funds which were eliminated in consolidation to arrive at Blackstone consolidated revenues.

(b)	The Expenses adjustment represents the addition of expenses of the consolidated Blackstone Funds to the Blackstone unconsolidated expenses, amortization of intangibles and expenses related to transaction-related equity-based compensation to arrive at Blackstone consolidated expenses.

(c)	The Other Income adjustment results from the following:


	Nine Months Ended September 30,
	2013			2012
Fund Management Fees and Performance Fees Eliminated in Consolidation and Transactional Investment Loss	$	11,455		$	32,217
Fund Expenses Added in Consolidation		21,703			31,040
Non-Controlling Interests in Income of Consolidated Entities		184,593			358,417
Transaction-Related Other Income		(21,623	)		(21,262	)

Total Consolidation Adjustments and Reconciling Items	$	196,128		$	400,412

(d)	The reconciliation of Economic Income to Income Before Provision for Taxes as reported in the Condensed Consolidated Statements of Operations consists of the following:


	Nine Months Ended September 30,
	2013			2012
Economic Income	$	2,012,752		$	1,354,994

Adjustments
Amortization of Intangibles		(77,504	)		(123,661	)
IPO and Acquisition-Related Charges		(556,193	)		(762,012	)
Non-Controlling Interests in Income of Consolidated Entities		184,593			358,417

Total Consolidation Adjustments and Reconciling Items		(449,104	)		(527,256	)

Income Before Provision for Taxes	$	1,563,648		$	827,738

(e)	The Total Assets adjustment represents the addition of assets of the consolidated Blackstone Funds to the Blackstone unconsolidated assets to arrive at Blackstone consolidated assets.