research@hec - Issue #15 - (Page VIII)

“HEC-Dow Jones Private Equity Fitness RankingTM” HEC Paris Publishes a New Ranking of Private Equity Firms Oliver Gottschalg research Which private equity firms are likely to generate the best long term returns? To answer this question, on several years of research on private equity fund performance. HEC professor Oliver Gottschalg has published a brand new ranking based BIOGRAPHY Oliver Gottschalg is a professor of strategy and business policy at HEC Paris, where he teaches strategy, entrepreneurship, business plan design, and buyout management. He is also academic director of the TRIUM Global Executive MBA program and director of the HEC MBA entrepreneurship track. His current research focuses on private equity investment strategy and performance factors. To help lift the veil on the private equity sector, Oliver Gottschalg has created a new PE performance ranking, the “HEC-Dow Jones Private Equity Fitness RankingTM”. It lists the top 25 private equity firms according to their competitiveness in terms of value creation potential over the next five to ten years. Firms’ competitive positioning is assessed using 10 criteria involving the main drivers of PE firm performance. They includevariance in deal size, , industry specialization, debt at the time of investment, and strategic originality. Gottschalg explains, “This study has been supported by the HEC Foundation and built on over 10 years of empirical research. It sheds light on the fundamental success factors of a notoriously secretive industry and reveals which PE firms are the most likely to yield superior performance despite the difficult economic environment.” This ranking is a complement to the “HEC-Paris Dow Jones Private Equity Performance Ranking” published in November 2009 in the Wall Street Journal, Financial News, and Private Equity News. This ranking identifis the top 10 buyout firms on the basis of past performance. I The complete study is available at http://www.peracs.com/report/FitnessRanking.pdf hec Rank 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 1 2 3 AXA Private Equity CDC Enterprises Equity Capital (IXIS Equity Cap/Priv Equity Providence Equity Partners, Inc. (FKA: Providence Ventures) Goldman, Sachs & Co. TPG (FKA: Texas Pacific Group) Oak Hill Capital Management, Inc. Norwest Equity Partners Madison Dearborn Partners LLC Carlyle Group, The Welsh, Carson, Anderson & Stowe 3i Group PLC Warburg Pincus LLC Apax Partners Worldwide GMT Communications Partners, Ltd. Parcom Capital (FKA: Parcom Ventures BV) AIG Capital Partners Barclays Private Equity, Ltd. Kohlberg, Kravis Roberts & Co. (AKA: KKR) Charterhouse Capital Partners LLP Hellman & Friedman Bain Capital American Capital, Ltd. (FKA American Capital Strategies) Odyssey Investment Partners, LLC Thomas H. Lee Partners (AKA: TH Lee Partners) TowerBrook Capital Partners L.P. (FKA: Soros Private Equity) Firm Name Score 3,10 3,07 2,68 2,46 2,44 2,40 2,33 2,14 2,11 2,00 1,89 1,78 1,66 1,63 1,62 1,45 1,31 1,29 1,27 1,15 1,09 0,96 0,95 0,75 0,68 VIII research@hec • june-july 2010 http://www.peracs.com/report/FitnessRanking.pdf

Table of Contents for the Digital Edition of research@hec - Issue #15

Cover & Contents
- Understanding Categorisation as a Guide toMarketing Strategy
- Small Countries and Risks of Deindustrialization
- Teams: How to Develop Feelings of Safety and Social Ties
- “HEC-Dow Jones Private Equity Fitness Ranking™”

research@hec - Issue #15