Washington, DCOctober 12, 2006

LAVCA 2006 LP/GPRoundtable

Darrell PintoDirector, Global Private Equity PerformanceThomson Financial

T H O M S O N F I N A N C I A L

T H O M S O N F I N A N C I A L

• Data collection at TF

• PE Fundraising

• Venture Capital Deals

• Buyout Deals

• Global PE Performance

Agenda

T H O M S O N F I N A N C I A L

• Quarterly Surveys in Partnership with associations and other third parties

• Quarterly Financial Statement Analysis of GPs and their Investors

• Daily Research through public sources and government filings

Benchmarking Tool

Private Equity Differentiators for Thomson Financial

Private Equity Data Collection at TF

Global ContentEndorsed by Global VCA

T H O M S O N F I N A N C I A L

An Illuminating Perspective on Global PE

T H O M S O N F I N A N C I A L

Global PE Investments (January – September 30th, 2006)

3678 deals$41

12 deals$0.1

91 deals$0.9

237 deals$3

All figures in USD billions

12 deals$1.8

7 deals$0.03

1573 deals$12

78 deals$0.6

T H O M S O N F I N A N C I A L

PE Fundraising

T H O M S O N F I N A N C I A L

$0

$50

$100

$150

$200

$250

$300

$350

1997 1998 1999 2000 2001 2002 2003 2004 2005 YTD Q32006

Fundraising - All PE

PE Fundraising Trend

Global PE Fundraising is Near All-time High

1

2

All figures in USD billions

T H O M S O N F I N A N C I A L

8% of the Funds Have Raised 59% of the Capital to Date

US Europe ROW

Fund Size # Funds $ Raised # Funds $ Raised # Funds $ Raised

0 - 25 $mill 42 $422 14 $186 2 $30

25.1 - 50 $mill 16 $434 6 $186 3 $72

50.1 - 100 $mill 25 $1,497 12 $631 7 $486

100.1 - 250 $mill 61 $7,334 17 $2,353 7 $1,056

250.1 - 500 $mill 37 $9,555 16 $4,680 7 $2,438

500.1 - 1000 $mill 29 $16,307 9 $4,843 1 $509

1000.1 $mill + 23 $57,990 5 $17,051

Total 233 $93,539 79 $29,928 27 $4,587

PE Funds raised between January and July 15th, 2006

59% Europe23%

US77%

1 billion+ funds

T H O M S O N F I N A N C I A L

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 YTD Q32006

Buyout VC Generalist

Latin American-based Funds – Fundraising by Vintage Year

All figures in USD billions

T H O M S O N F I N A N C I A L

Venture Capital Deals

T H O M S O N F I N A N C I A L

Latin America Captures 1% of Global YTD VC Investments

YTD Q3 2006 - VC$33.9 billion

All figures in USD billions

Europe14%

Middle East2%

North America74%

Asia8%

Latin America1%

Africa0.3% Australasia

1%

T H O M S O N F I N A N C I A L

Latin America Captures 10% of YTD VC Investments in Developing Markets

YTD Q3 2006 - VC$4.2 billion

Latin America10%

Asia64%

Middle East13%

Africa2%

Australasia11%

T H O M S O N F I N A N C I A L

Financial Service Companies Garner Lion’s Share of this Year’s VC Investments in the Region

YTD Q3 2006 - VC$417 million

Financial Services

93% Consumer Related

6%

Other1%

T H O M S O N F I N A N C I A L

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$3,500

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

YTDQ3

2006

0

20

40

60

80

100

120

140

$ Invested # Deals

Trends in VC Investment in Latin AmericaA

mou

nt I

nves

ted

(US

D M

illio

ns)

# D

eals

T H O M S O N F I N A N C I A L

Average VC Deal Sizes in Latin America (2003-YTDQ3 2006)

$0.1

$0.1

$0.1

$0.1

$0.2

$0.2

$0.5

$0.6

$0.9

$1.1

$1.1

$1.5

$3.4

$4.9

$5.1

$8.2

$61.9

$7.6

$3.7

Bahamas

Dominican Rep.

Bolivia

Argentina

Costa Rica

Nicaragua

Peru

Venezuela

Honduras

Guatemala

Ecuador

Chile

Cayman Islands

United Kingdom

Cuba

Brazil

United States

Trinidad/Tob.

Bermuda

All figures in USD millions

T H O M S O N F I N A N C I A L

North America (2003-YTD Q3 2006)

14,690 VC deals

Distribution of VC Deals by Round

128%

218%

315%

412%

>427%

Latin America (2003-YTD Q3 2006)

171 VC deals

166%

219%

37%

44%

>44%

T H O M S O N F I N A N C I A L

Buyout Deals

T H O M S O N F I N A N C I A L

Latin America Captures 6% of Global Buyout Investments

Europe28%

North America61%

Middle East0.3%

Asia3%

Latin America6%

Africa0.1% Australasia

2%

YTD Q3 2006 - Buyouts$31.9 billion

Only equity portion of deals with disclosed transaction values

T H O M S O N F I N A N C I A L

Latin America Captures 51% of Buyout Investments in Developing Markets

Latin America51%

Asia26%

Middle East3%

Africa1%

Australasia19%

YTD Q3 2006 - Buyouts$3.5 billion

Only equity portion of deals with disclosed transaction values

T H O M S O N F I N A N C I A L

Distribution of Latin American Buyout Deals Almost Entirely in Financial Services

Consumer Related

1%

Financial Services

99%

YTD Q3 2006 - Buyouts$1.8 billion

Only equity portion of deals with disclosed transaction values

T H O M S O N F I N A N C I A L

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

YTDQ3

2006

0

10

20

30

40

50

60

$ Invested # Deals

Trends in Buyout Investment in Latin AmericaA

mou

nt I

nves

ted

(US

D M

illio

ns)

# D

eals

Only equity portion of deals with disclosed transaction values

T H O M S O N F I N A N C I A L

Distribution of Global Average Buyout Deal Sizes by Nation (2003-YTDQ3 2006)

$10$11

$11

$12

$13

$17

$18

$20

$20

$26

$29

$30

$34

$34

$44

$72

$91

$97

$18

$712

$53

$21

Germany

United Kingdom

Netherlands

Belgium

Switzerland

Australia

Canada

Mexico

China

India

Brazil

United States

Luxembourg

Ireland

Bulgaria

New Zealand

Hong Kong

Cayman Islands

Japan

South Korea

Singapore

Bermuda

All figures in USD millionsOnly equity portion of deals with disclosed transaction values

T H O M S O N F I N A N C I A L

Distribution of Latin American-based PE Fund Investments by Nation (2003-YTDQ3 2006)

1

1

1

1

2

2

2

2

3

5

5

9

11

105

France

Costa Rica

Poland

Germany

Australia

Honduras

Trinidad/Tob.

Nicaragua

Ecuador

Israel

Argentina

Bahamas

United States

Brazil

T H O M S O N F I N A N C I A L

Global PE Performance

T H O M S O N F I N A N C I A L

-100

0

100

200

300

400

500

600

700

-100

-50

0

50

100

150

200

250

300

US1844 funds

Europe1071 funds

TF’s PE Benchmarking Samples are Comprehensive

Cumulative since inception IRRs to 12/31/2005

(1980-2005)

(1969-2005)

T H O M S O N F I N A N C I A L

Venture Capital Buyouts All Private Equity

US

# Funds in Sample 1178 475 1807

Pooled Average IRR 16% 13.4% 14.3%

Maximum 721% 243.9% 721%

Upper 15.6% 18.2% 15.9%

Lower -3.7% -0.6% -2.4%

Minimum -100% -90.2% -100%

EUROPE

# Funds in Sample 636 350 1070

Pooled Average IRR 6.3% 13.6% 10.3%

Maximum 303.8% 268.1% 303.8%

Upper 6.1% 17.8% 10.6%

Lower -8.3% 0% -5.3%

Minimum -100% -100% -100%

Cumulative since inception IRRs to 12/31/2005 for Europe and to 3/31/2006 for the US

Sample – Cumulative Industry Returns

T H O M S O N F I N A N C I A L

An Illuminating Perspective on Latin American PE

T H O M S O N F I N A N C I A L

Want to Know More?

• TF has the most complete private equity global database http://banker.thomsonib.com

• Send me an email at darrell.pinto@thomson.com

• www.thomsonfinancial.com