On January 2, 2024, KKR acquired the remaining minority interests of Global Atlantic held by third party co-investors and Global Atlantic employees in exchange for cash and securities exchangeable for shares of KKR & Co. Inc. common stock.

Effective January 2, 2024, KKR is authorized to apply a carry pool percentage in excess of these fixed percentages of up to 80% for all funds. This increase to the carry pool percentage was approved by a majority of KKR's independent directors.

KKR is focusing on building and scaling the core private equity strategy on KKR's balance sheet and the acquisition of the remaining minority equity interests in Global Atlantic on January 2, 2024.

KKR attempts to reduce credit risk by limiting its counterparties to major financial institutions with strong credit ratings. KKR also monitors its derivative activities by reviewing portfolio activities and risk levels.

KKR consolidates and reports debt obligations of KKR Financial Holdings LLC, a KKR subsidiary, which are non-recourse to KKR beyond the assets of KFN. From time to time, KKR may provide credit support for the funding obligations of its subsidiaries.

The presentations in the consolidated statement of financial condition and consolidated statement of operations reflect the significant industry diversification of KKR by its acquisition of Global Atlantic. KKR developed a two-tiered approach for the financial statements presentation, where Global Atlantic's insurance operations are presented separately from KKR's asset management business.

Certain events particular to each industry and country or region in which the portfolio companies conduct their operations, as well as general market, economic, political and geopolitical, regulatory and public health conditions, may have a significant negative impact on KKR's investments and profitability.

KKR may be exposed to credit-related losses in the event of nonperformance by its counterparties to derivatives. Generally, the current credit exposure of Global Atlantic's derivatives is limited to the positive fair value of derivatives less any collateral received from the counterparty.

From time to time, KKR (including Global Atlantic) is involved in various legal proceedings, requests for information, lawsuits, arbitration and claims incidental to the conduct of KKR's businesses. KKR's businesses are also subject to extensive regulation, which may result in regulatory or other legal proceedings against them.

KKR & Co. Inc., through its subsidiaries, is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach.

KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR's insurance subsidiaries offer retirement, life and reinsurance products under the management of The Global Atlantic Financial Group LLC.

KKR has expanded its investment strategies and product offerings from traditional private equity to areas such as leveraged credit, alternative credit, infrastructure, energy, real estate, growth equity, core private equity, and impact investments.

Global Atlantic monitors its derivative activities by reviewing portfolio activities and risk levels. Global Atlantic also oversees all derivative transactions to ensure that the types of transactions entered into and the results obtained from those transactions are consistent with both Global Atlantic's risk management strategy and its policies and procedures.

Global Atlantic manages the credit risk on its derivatives by entering into derivative transactions with highly rated financial institutions and other creditworthy counterparties and, where feasible, by trading through central clearing counterparties. Global Atlantic further manages its credit risk on derivatives via the use of master netting agreements.

KKR developed a two-tiered approach for the financial statements presentation, where Global Atlantic's insurance operations are presented separately from KKR's asset management business. KKR believes that these separate presentations provide a more informative view of the consolidated financial position and results of operations.

While not explicitly stated in the filing, KKR's focus on technology and innovation can be inferred from its investments in various sectors, including technology and infrastructure.

While not explicitly stated in the filing, KKR's focus on technology and innovation can be inferred from its investments in various sectors, including technology and infrastructure.

While not explicitly stated in the filing, KKR's focus on technology and innovation can be inferred from its investments in various sectors, including technology and infrastructure.

KKR uses its balance sheet to bridge investment activity during fundraising, for example by funding investments for new funds and acquiring investments to establish a track record for new investment strategies. KKR also uses its own capital to bridge capital selectively for our funds' investments or finance strategic transactions.

KKR uses its capital to service debt obligations including the payment of obligations at maturity, on interest payment dates or upon redemption, as well as any contingent liabilities, including from litigation, that may give rise to future cash payments, including funding requirements to levered investment vehicles or structured transactions.

KKR uses its capital to pay cash dividends in accordance with our dividend policy for our common stock or the terms of our preferred stock, if any.

While not explicitly stated in the filing, KKR's focus on sustainability can be inferred from its investments in various sectors, including renewable energy and infrastructure.

While not explicitly stated in the filing, KKR's focus on social responsibility can be inferred from its investments in various sectors, including impact investing.

While not explicitly stated in the filing, KKR's focus on governance practices can be inferred from its focus on compliance and risk management.

KKR's asset management and insurance businesses are affected by the various market and economic conditions of the various countries and regions in which we operate. Market and economic conditions are expected to continue to have a substantial impact on KKR's financial condition, results of operations and our business in various ways that we are unable to control.

Unrealized gains and losses can be created by changing interest rates or several other factors, including changing credit spreads. Global Atlantic had gross unrealized losses on below investment grade AFS fixed maturity securities of $647.8 million and $694.6 million as of March 31, 2024 and December 31, 2023, respectively.

Unrealized gains and losses can be created by changing interest rates or several other factors, including changing credit spreads. Global Atlantic had gross unrealized losses on below investment grade AFS fixed maturity securities of $647.8 million and $694.6 million as of March 31, 2024 and December 31, 2023, respectively.