About Us  |   Contact Us  |   Register  | Login  |   

Follow HedgeWorld on Twitter HedgeWorld on LinkedIn

Search the News
Advanced News Search
HedgeWorld News by Region
United States / Americas
Asia / Australia
HedgeWorld News Sections
Managed Futures & Derivatives
Daily News
Other News Features
Most Popular
LexisNexis Headlines
Reuters Headlines
The HedgeWorld Blog
Alternative Advantage Daily Newsletter
RSS Service
Sign Up For Email News Alerts

Carlyle's founders get $57.6 million each in 2012
03/15/2013 Email this story  |  Printable Version

By Greg Roumeliotis

NEW YORK, March 14 (Reuters) - The founders of Carlyle Group LP received $57.6 million each in dividends from their stake in the private equity firm and executive pay in 2012, a regulatory filing showed on Thursday, down from $137.8 million in 2011.

David Rubenstein, William Conway and Daniel D'Aniello, who founded Washington, D.C.-based Carlyle in 1987 and are now in their sixties, each forfeited a bonus of around $3.5 million they received in previous years.

Yet most of their profits come from their ownership of the firm. They received $57.3 million each from their individual 15.4 percent stakes in Carlyle. They each also received $281,250 in executive compensation.

In aggregate, this was down from the $137.8 million they received in 2011, before the firm raised $671 million in an initial public offering in May 2012 by selling a roughly 10 percent stake. Carlyle's distributable earnings were also down, from $864.4 million in 2011 to $687.9 million in 2012.

"We're all about alignment of interests. If our investors do well, we do well. The founders reinvested most of their gains and gave much to worthy causes," Carlyle spokesman Chris Ullman said.

Rubenstein, Conway and D'Aniello received $78.1 million, $140.1 million and $80 million from Carlyle's funds respectively in 2012 as a result of investing alongside the firm's clients. In the same year, they invested $78.7 million, $140 million and $78.3 million respectively in Carlyle's funds.

Overall, Carlyle and its employees increased their commitments to the firm's investment funds in 2012 by approximately $1 billion.

The earnings of Blackstone Group LP head Stephen Schwarzman were flat in 2012 at around $213 million, while Leon Black, the CEO at private equity rival Apollo Global Management LLC, closed in on him with a 73 percent rise in his earnings to $180.2 million.

KKR & Co LP's co-founders and chief executives, Henry Kravis and George Roberts, received about $137 million and $141 million respectively in executive compensation and cash dividends in 2012, up by more than 45 percent over what they received in 2011.

With $170 billion in assets under management across 113 funds and 67 fund-of-fund vehicles, Carlyle has diversified beyond private equity in alternative asset classes such as corporate credit, real estate and hedge funds.

Email This Story to a Friend   |   Display Printable Version of This Story

Story Copyright © 1999-2014 Reuters HedgeWorld All rights reserved.

HedgeWorld News is sponsored by:

Lipper    Privacy   User Policy  Legal Disclosure Copyright/DMCA  Site Map    FAQ    Glossary  Thomson Reuters for Hedge Funds
All rights reserved. Users may download and print extracts of content from this website for their own personal and non-commercial use only. Republication or redistribution of HedgeWorld content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. HedgeWorld is a registered trademark of Thomson Reuters.