EUROPEAN PE PERFORMANCE – FULL YEAR 2011 All European Private Equity Returns Outperform Public Markets; short-term performance drags as a result of depressed capital markets DEALS INTELLIGENCE May 14, 2012 For the period ending December 31, 2011, European private equity performance showed positive returns across all investment horizons, and generally continued a positive trajectory from the 6- month earlier period. A depressed debt and capital markets environment during the second half of 2011 dragged down returns in the shorter time horizons as exit activity fell. 1-year time horizons moved in a negative direction, registering a 14.8 percentage point decrease from last year for venture capital funds (2.7%), and a 14.3 percentage point decrease for buyout funds (5.5%). The longer-term 20-year time horizon held positive for venture capital funds with a slight increase from June last year from 1.2% to 1.5%. In the buyouts category, small, medium and large funds in the 20- year time horizon drove performance, with double- digit performance figures. The all private equity returns outperformed the Morgan Stanley Euro Equity Index across every time horizon ending December 31, 2011, and outperformed the FTSE100 across all but the 3-year time horizon. Methodology: The Private Equity Performance Index is based on the latest quarterly statistics from Thomson Reuters' private Equity Performance Database analyzing the cash flows and returns for over 1,431 European venture capital and private equity partnerships with a capitalization of Euro billion. Sources are financial documents and schedules from Limited Partners investors and General Partners. All returns are calculated by Thomson Reuters from the underlying financial cash flows. Returns are net to investors after management fees and carried interest. Buyout finds sizes are defined as following: Small: 0<=400 million USD, Medium: 400<=1000 million USD, Large: 1000<=5000 million USD, Mega: 5000 million and over USD. Note: *MS Euro Equity Index data starts on year end 1996 Thomson Reuters European Private Equity Performance Index (PEPI) Investment Horizon Performance through 31/12/2011, calculations made with aggregated cash flows in Fund Type1 Yr3 Yr5 Yr10 Yr20 Yr Seed/Early VC Balanced VC Later Stage VC All Venture Capital All Venture (through 30/06/2011) All Venture (through 31/12/2010) Small Buyouts Medium Buyouts Large Buyouts Mega Buyouts All Buyouts All Buyouts (through 30/06/2011) All Buyouts (through 31/12/2010) Mezzanine All Private Equity All Private Equity (through 30/06/2011) All Private Equity (through 31/12/2010) FTSE 100 Total Return Morgan Stanley Euro Equity Index Total Return * Source: Thomson Reuters