GLG Partners Reports Q4 and 2007 Earnings

GLG Partners Reports Q4 and 2007 Earnings

NEW YORK, Feb. 6 /PRNewswire/ -- - Achieved Record Net Revenues and Adjusted Net Income

- Net revenues of US$446.5 million for Q4, 55.6% above Q4 2006. Net revenues of US$1.040 billion for 2007, 67.5% above 2006

- Total net inflows of US$2.9 billion during Q4 2007 (14.3% of opening Q4 2007 net assets under management (AUM)) and US$6.1 billion during 2007 (40.1% of 2007 opening net AUM)

- Net AUM of US$24.6 billion as of December 31, 2007, up 20.3% from September 30, 2007 and 62.4% from December 31, 2006

- Net loss of US$315.8 million for Q4 2007; Net income of US$59.3 million for 2007

- Non GAAP adjusted net income for Q4 2007 of US$127.1 million, up 72.3% from Q4 2006; Non GAAP adjusted net income for 2007 of US$294.7 million, up 86.4% from 2006

- Regular quarterly dividend of US$0.025 declared and an additional US$100 million repurchase authorization announced by Board of Directors

- Repurchased 12.8 million warrants to date

GLG Partners, Inc. (NYSE:GLG), a leading alternative asset manager, today reported record net revenues, inflows, and adjusted net income. GLG today reported a GAAP net loss of US$315.8 million for the quarter ended December 31, 2007 and net income of US$59.3 million for the full year 2007 which were affected by the recognition under GAAP of US$639 million in share-based and other compensation related to the acquisition by Freedom Acquisition Holding Inc. of GLG Partners LP and associated entities. GAAP diluted EPS was (US$1.56) for the quarter ended December 31, 2007 and US$0.23 for the full year 2007.

Non GAAP adjusted net income (net income less limited partner profit share and cumulative dividends, plus share based and other compensation and costs related to the transaction between Freedom Acquisition Holdings, Inc. and GLG Partners LP and affiliated entities) was US$127.1 million, up 72.3% year-over-year, for the quarter ended December 31, 2007, and US$294.7 million, up 86.4% year-over-year, for 2007. Adjusted net income per non GAAP weighted average fully diluted share was US$0.38 for the quarter ended December 31, 2007 and US$0.88 for 2007. Adjusted net income and non GAAP weighted average fully diluted shares were financial measures not prepared under U.S. generally accepted accounting principles, or GAAP. A reconciliation of adjusted net income to GAAP net income and non GAAP weighted average fully diluted shares to average fully diluted shares under GAAP is presented below under "Non GAAP Financial Measures."

GLG's net assets under management (AUM) as of December 31, 2007 reached US$24.6 billion (net of assets invested from other GLG managed funds), up 20.3% from September 30, 2007 and 62.4% from December 31, 2006. Net inflows as a percentage of beginning period net AUM were 14.3% during the fourth quarter of 2007 and 40.1% in 2007. The original shareowners of GLG Partners LP and affiliated entities (including our principals, their trustees, and our key personnel) invested at full fees approximately US$875 million of additional net AUM in the GLG managed funds in December 2007. GLG's gross AUM (including assets invested from other GLG managed funds) was US$29.1 billion at December 31, 2007, up 23.3% from September 30, 2007 and 65.3% from December 31, 2006. A combination of strong performance across GLG managed funds, robust inflows and currency translation drove the growth in AUM as set forth below in Table 1.

"The fourth quarter was a milestone period for us with our successful transition to a U.S. publicly traded company, strong investment performance across the funds we manage, and record net inflows," said Noam Gottesman, Chairman and Co-CEO of GLG. "The diversity embedded in our operating model with our spread of alternative and long only offerings across equity, credit, emerging markets, and convertibles continued to work well in the volatile markets of the fall. The prospects for future expansion remain bright and we are on track with our U.S. plans having registered our U.S. subsidiary, GLG Inc., with the SEC as an investment advisor in January 2008."

Table 1: Assets Under Management (US$ in millions)

As of Dec 31, 2007 2006 Gross Fund-Based AUM $ 26,523 $ 16,053

Managed Accounts AUM 2,357 1,233 Cash and Other Securities 206 310 Gross AUM 29,086 17,596 YoY % Change 65.3% 46.1% Net AUM 24,612 15,154 YoY % Change 62.4% 47.1%

Three Months Ended Dec 31, Full Year Ended Dec 31, 2007 2006 2007 2006

Opening Net AUM $ 20,466 $ 13,718 $ 15,154 $ 10,300 Inflows (net of redemptions) 2,927 102 6,077 2,621 Performance (gains net of losses and fees) 986 1,033 2,383 1,541 Currency translation impact 232 301 997 692 Closing Net AUM $ 24,612 $ 15,154 $ 24,612 $ 15,154

% of Opening Net AUM Inflows (net of redemptions) 14.3% 0.7% 40.1% 25.4% Net performance (gains net of losses and fees) 4.8% 7.5% 15.7% 15.0%

Note: Net performance as a percentage of operating net AUM is based on both opening AUM and inflows during the period and can be influenced by heavy inflows.

Financial Summary

For the quarter ended December 31, 2007, net revenues and other income was up 55.6% to US$446.5 million from US$286.9 million in the same quarter in 2006, primarily due to increased management and performance fees as a result of robust inflows and solid performance across the GLG managed funds. During 2007, net revenues and other income increased 67.5% to US$1,040.1 million from US$620.9 million during 2006.

Performance fees rose 53.8% year-over-year in the quarter ended December 31, 2007 to US$334.8 million on a 56.1% rise in average net AUM compared to the same quarter last year. It is our practice to recognize performance fees when they crystallize, generally on June 30 and December 31 of each year. Accordingly, the fourth quarter's performance fees largely reflect second half performance. For 2007, performance fees were US$678.7 million an increase of 71.9% over the prior year's level.

Management and administration fees totaled US$109.5 million, or 1.9% of average net AUM for the fourth quarter ended December 31, 2007, increases of 65.8% and 11 basis points (bps), respectively, compared to the quarter ended December 31, 2006. For 2007, management and administration fees totaled US$351.4 million, or 1.85% of average net AUM, increases of 58.9% and 14 bps, respectively, compared to 2006. Other income of US$10.1 million reflects primarily currency related gains on cash held on our balance sheet during 2007.

The total level of comprehensive limited partner profit share, compensation and benefits ("PSCB") fell by 413 bps to 56.9% for the quarter ended December 31, 2007 when expressed as a percentage of revenues for the same period last year, although this rose by 45.1% for the quarter ended December 31, 2007 to US$254.1 million. PSCB is a financial measure not prepared under GAAP, and includes limited partner profit share but excludes acquisition-related share-based and other compensation and costs as well as other share-based compensation described below under "Non GAAP Financial Measures." Employee compensation and benefits for the fourth quarter 2007 rose to US$699.7 million compared to US$50.2 million in the same quarter last year, largely on the US$639.1 million recognition of acquisition-related share-based and other compensation and costs.

Please note that compensation expense and limited partner profit share tied to fund performance is only recognized when the related performance fees crystallize, generally on June 30 and December 31 of each year. Consequently during the fourth quarter, the portion of compensation expense and limited partner profit share tied to performance reflects crystallized second half performance as well as any adjustments to amounts accrued in the first half.

PSCB for 2007 increased by 54.7% to US$572.1 million but decreased by approximately 456 bps to 55.0% when expressed as a percentage of revenues when compared with the same period a year ago. Employee compensation and benefits for 2007 rose to US$810.2 million as compared to US$168.4 million for 2006. This increase reflects the recognition of acquisition-related share-based and other compensation and costs in 2007 and the reduction in employee compensation and benefits as a result of certain key personnel ceasing to be employees when GLG established its limited partner profit share arrangement at the end of June 2006.

General, administrative, and other expenses for the quarter ended December 31, 2007 increased 18.7% year-over-year to US$29.3 million but fell as a percentage of revenues to 6.6%. For 2007, these expenses rose 59.2% year-over-year to US$108.9 million, but declined by 55 bps to 10.5% when expressed as a percentage of revenues, reflecting increases in operating costs due to significant growth in the business as well as certain one-time costs. Net interest expense was US$2.3 million during the quarter ended December 31, 2007 reflecting both the cost of borrowings under the term loan and revolving credit facilities entered into upon the consummation of the reverse acquisition transaction on November 2, 2007 and interest on our cash balances.

"We continued to build the scale of our operations to accommodate growth and invest in our risk management and controls infrastructure", said Emmanuel Roman, Co-CEO and Managing Director of GLG. "Our diversified model navigated the turbulent capital markets of recent periods well and we are opportunistically recruiting high quality individuals to expand and further fill out our business."

Capital and Dividends

As of December 31, 2007, there were 234.3 million common shares, 58.9 million FA Sub 2 Limited Exchangeable Shares, and 63.6 million warrants outstanding. During the fourth quarter of 2007, GLG repurchased 7.3 million warrants for US$45.6 million and 3.4 million warrants were exercised at US$7.50 per share for an aggregate of US$25.2 million. Year to date (through February 5, 2008), GLG has repurchased 5.5 million warrants for US$29.7 million, and 2.1 million warrants have been exercised at US$7.50 per share for an aggregate of US$16.1 million.

The board of directors has approved the payment of a regular quarterly dividend of US$0.025 per share to begin shortly after the end of the first quarter. The record and payment dates for the quarterly dividends will be announced when set. After the end of 2008, the board of directors will consider paying a special dividend based upon annual profitability.

In addition, our board of directors increased our authorized stock and warrant repurchase program by US$100 million through August 2008.

Investor/Analyst Conference Call and Webcast

GLG will hold a conference call for investors and analysts today at 8:30 a.m. EST / 1:30 p.m. GMT hosted by Chairman of the Board and Co-Chief Executive Officer, Noam Gottesman and Chief Financial Officer, Simon White. To participate by telephone, the domestic dial-in number is 888-680-0865 and the international dial-in is +1-617-213-4853. The access code is 90577627. For the replay which will be available until March 6, 2008, the domestic dial-in number is 888-286-8010 and the international dial-in is +1-617-801- 6888. The replay access code is 74848516. The teleconference will be available via live webcast on GLG's website at http://www.glgpartners.com/.

Participants may pre-register for the call at: https://www.theconferencingservice.com/prereg/key.process?key=PUDMCLWRT (Due to its length, this URL may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.)

Pre-registrants will be issued a pin number to use when dialing into the live call that will provide quick access to the conference by bypassing the operator upon connection.

The webcast will be available for replay on the "Calendar of Events" page of GLG's website.

About GLG

GLG, one of the largest alternative asset managers in the World, offers its base of long-standing prestigious clients a diverse range of investment products and account management services. GLG's focus is on preserving client's capital and achieving consistent, superior absolute returns with low volatility and low correlations to both the equity and fixed income markets. Since its inception in 1995, GLG has built on the roots of its founders in the private wealth management industry to develop into one of the world's largest and most recognized alternative investment managers, while maintaining its tradition of client-focused product development and customer service. As of December 31, 2007, GLG managed net AUM of over US$24.0 billion.

Forward-looking Statements

This press release contains statements relating to future results that are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties. These risks and uncertainties include, but are not limited to: market conditions for GLG managed investment funds; performance of GLG managed investment funds, the related performance fees and the associated impacts on revenues, net income, cash flows and fund inflows/outflows; the cost of retaining GLG's key investment and other personnel or the loss of such key personnel; risks associated with the expansion of GLG's business in size and geographically; operational risk; litigation and regulatory enforcement risks, including the diversion of management time and attention and the additional costs and demands on GLG's resources; risks related to the use of leverage, the use of derivatives, interest rates and currency fluctuations; as well as other risks and uncertainties, including those set forth in GLG's filings with the Securities and Exchange Commission. These forward-looking statements are made only as of the date hereof, and GLG undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

GLG Partners, Inc.

Combined and Consolidated Statement of Operations (US$ in thousands; US GAAP)

Three months Ended December 31, 2007 2006 % Change

Net revenues and other income

Management fees, net $88,260 $56,292 56.8% Performance fees, net 334,826 217,693 53.8% Administration fees, net 21,237 9,764 117.5% Other 2,206 3,156 (30.1%)

Total net revenues and other income 446,529 286,905 55.6%

Expenses

Employee compensation and benefits (699,687) (50,192) 1,294.0% General, administrative and other (29,291) (24,683) 18.7%

(728,978) (74,875) 873.6%

Income from operations (282,449) 212,030 (233.2%) Interest income, net (2,345) 1,054 (322.5%) Income before income taxes (284,794) 213,084 (233.7%) Income taxes (30,979) (14,422) 114.8%

GAAP net income $(315,773) $198,662 (258.9%) Cumulative dividends (2,723) - Distributions of limited partner shares (10,514) - Minority interests 46,529 85

GAAP net income attributable to common stockholders $(282,481) 198,747 (242.1%)

Weighted average shares outstanding, basic 180,683 135,712 Net income per common share, basic (1.56) 1.46 (206.8%)

Net income attributable to common stockholders, diluted (282,481) 198,747 Weighted average shares outstanding, diluted 180,683 194,617 Net income per share, diluted (1.56) 1.02 (252.9%)

GLG Partners, Inc.

Combined and Consolidated Statement of Operations (US$ in thousands; US GAAP)

Twelve Months Ended December 31, 2007 2006 % Change

Net revenues and other income

Management fees, net $287,152 $186,273 54.2% Performance fees, net 678,662 394,740 71.9% Administration fees, net 64,224 34,814 84.5% Other 10,080 5,039 100.1%

Total net revenues and other income 1,040,118 620,866 67.5%

Expenses

Employee compensation and benefits (810,212) (168,386) 381.2% General, administrative and other (108,926) (68,404) 59.2%

(919,138) (236,790) 288.2%

Income from operations 120,980 384,076 (68.5%) Interest income, net 2,350 4,657 (49.5%) Income before income taxes 123,330 388,733 (68.3%) Income taxes (64,000) (29,225) 119.0%

GAAP net income $59,330 $359,508 (83.5%)

Cumulative dividends (2,723) - Distributions of limited partner shares (10,514) - Minority interests 46,529 (182)

GAAP net income attributable to common stockholders $92,622 $359,326 (74.2%)

Weighted average shares outstanding, basic 147,048 135,712 Net income per common share, basic 0.63 2.65 (76.2%)

Net income attributable to common stockholders, diluted 48,816 359,326 Weighted average shares outstanding, diluted 210,041 194,617 Net income per share, diluted 0.23 1.85 (87.6%)

GLG Partners, Inc.

Combined and Consolidated Balance Sheet (USD in thousands)

As of December 31, 2007 2006 Assets

Cash and cash equivalents $429,422 $273,148 Restricted cash 24,066 Investments (at fair value) 96,108 201 Fees receivable 389,777 251,963 Prepaid expenses and other assets 35,685 25,944 Property, plant and equipment, net 9,079 6,121 Total Assets 984,137 557,377

Liabilities and Stockholders' Equity

Current Liabilities Rebates and sub-administration fees payable $21,207 $19,146 Accrued compensation and benefits 108,679 102,507 Income taxes payable 37,464 25,094 Distribution payable 78,093 9,310 Accounts payable and other accruals 37,624 19,716 Other liabilities 16,092 5,100 Total Current Liabilities 299,159 180,873

Minority Interests 23,099 1,552 Loans Payable 570,000 13,000 Total Non-Current Liabilities 593,099 14,552

Total Liabilities 892,258 195,425

Commitments and Contingencies - -

Stockholders' equity

Common stock, $.0001 par value; 1,150,000,000 authorized, 244,730,988 issued and outstanding (2006: 171,562,898 issued and outstanding) 24 17 Additional Paid in Capital 575,589 354,072 Treasury Stock, 25,382,500 shares of common stock (1) (347,740) (347,740) Series A voting preferred stock; 1,000,000,000 authorized, 58,904,993 issued and outstanding (2006: 58,904,993 issued and outstanding) 6 6 Retained earnings (139,477) 352,691 Accumulated other comprehensive income 3,477 2,906

Total stockholders' equity 91,879 361,952

Total liabilities and stockholders' equity $984,137 $557,377

(1) Represents stock held by GLG subsidiaries to be delivered in respect of future service obligations of Equity Limited Partnership members

GLG Partners, Inc.

Financial Supplement

(US$ in millions) 4Q 2007 3Q 2007 4Q 2006 2007 2006

Gross AUM 29,086 23,593 17,596 29,086 17,596 Net AUM 24,612 20,466 15,154 24,612 15,154 Average net AUM 22,539 19,526 14,436 18,980 12,890

(USD in thousands)

Management fees 88,260 78,558 56,292 287,152 186,273

Performance fees 334,826 803 217,693 678,662 394,740

Administration fees 21,237 16,306 9,764 64,224 34,814

Other 2,206 6,905 3,156 10,080 5,039 Total net revenues and other income 446,529 102,572 286,905 1,040,118 620,866

Employee compensation and benefits (699,687) (28,959) (50,192) (810,212) (168,386)

General, administrative and other (29,291) (25,891) (24,683) (108,926) (68,404)

Net interest income (2,345) 3,048 1,054 2,350 4,657

Income tax expense (30,979) (4,735) (14,422) (64,000) (29,225)

GAAP net income (315,773) 46,035 198,662 59,330 359,508 Add: Share-based and other compensation associated with the Freedom acquisition 639,077 639,077 Deduct: Limited partner profit share (193,500) (17,000) (124,920) (401,000) (201,450) Deduct: Cumulative dividends (2,723) (2,723) Non GAAP adjusted net income (1) 127,081 29,035 73,742 294,684 158,058

Non GAAP weighted average fully diluted shares 331,263 333,893 333,893 333,737 333,893

Non GAAP net income divided by non GAAP weighted average fully diluted shares 0.38 0.09 0.22 0.88 0.47

Management fees and Administration fees/ Avg. net AUM(2) 1.9% 1.9% 1.8% 1.9% 1.7% Total net revenues and other income /Avg. net AUM(2) 7.9% 2.1% 7.9% 5.5% 4.8% Employee compensation and benefits and Limited partner profit share/ Total net revenues and other income 56.9% 44.8% 61.0% 55.0% 59.6% General, administrative and other expenses/ Total net revenues and other income 6.6% 25.2% 8.6% 10.5% 11.0% Non GAAP adjusted net income/Total net revenues and other income 28.5% 28.3% 25.7% 28.3% 25.5% "Effective" tax rate (income taxes plus cumulative dividends) divided by pre-tax adjusted income) 21.0% 14.0% 16.4% 18.5% 15.6%

(1) See "Non-GAAP Financial Measures" for further detail.

(2) Ratios annualized for 3Q and 4Q 2007 as well as 3Q 2006.

GLG Partners, Inc.

Non GAAP Adjusted Net Income for Three Months and The Year Ended December 31, 2007 and December 31, 2006 (US$ in thousands)

Three Months Ended December 31, 2007 2006 % Change

Derivation of non GAAP adjusted net income

GAAP net (loss)/income $(315,773) 198,662 (258.9%) Deduct: cumulative dividends (2,723) - Add: acquisition related share-based and other compensation and costs 639,077 - Deduct: limited partner profit share (193,500) (124,920) 54.9%

Non GAAP adjusted net income $127,081 73,742 72.3%

Non GAAP adjusted net income per non GAAP weighted average fully diluted share 0.38 0.22 73.7%

Non GAAP weighted average fully diluted shares 331,263 333,893

Continued...

GLG Partners, Inc.

Non GAAP Adjusted Net Income for Three Months and The Year Ended December 31, 2007 and December 31, 2006 (US$ in thousands)

Year Ended December 31, 2007 2006 % Change

Derivation of non GAAP adjusted net income

GAAP net (loss)/income 59,330 359,508 (83.5%) Deduct: cumulative dividends (2,723) - Add: acquisition related share-based and other compensation and costs 639,077 -

Deduct: limited partner profit share (401,000) (201,450) 99.1%

Non GAAP adjusted net income 294,684 158,058 86.4%

Non GAAP adjusted net income per non GAAP weighted average fully diluted share 0.88 0.47 86.5%

Non GAAP weighted average fully diluted shares 333,737 333,893

Continued...

GLG Partners, Inc.

Non GAAP Expenses for Three Months and The Year Ended December 31, 2007 and December 31, 2006 (US$ in thousands)

Three Months Ended December 31, 2007 2006 % Change

Non GAAP expenses

GAAP employee compensation and benefits $(699,687) (50,192) 1,294.0% Add: acquisition related share-based and other compensation and costs 639,077 Limited partner profit share (193,500) (124,920) 54.9%

Non GAAP comprehensive limited partner profit share, compensation and benefits $(254,110) $(175,112) 45.1%

GAAP general, administrative and other (29,291) (24,683) 18.7%

Non GAAP total expenses $(283,401) $(199,795) 41.8%

Continued...

GLG Partners, Inc.

Non GAAP Expenses for Three Months and The Year Ended December 31, 2007 and December 31, 2006 (US$ in thousands)

Year Ended December 31, 2007 2006 % Change

Non GAAP expenses

GAAP employee compensation and benefits (810,212) (168,386) 381.2% Add: acquisition related share-based and other compensation and costs 639,077 0 Limited partner profit share (401,000) (201,450) 99.1%

Non GAAP comprehensive limited partner profit share, compensation and benefits $(572,135) $(369,836) 54.7%

GAAP general, administrative and other (108,926) (68,404) 59.2%

Non GAAP total expenses $(681,061) $(438,240) 55.4%

GLG Partners, Inc.

Share count reconciliation of GAAP weighted average common stock to Non GAAP weighted average common stock (Share count in thousands) 4Q 2007 4Q 2006 2007 2006 Outstanding Common stock (including Treasury Stock) 234,263 161,095 234,263 161,095 Unvested shares 10,468 10,468 10,468 10,468 Total issued and outstanding common stock 244,731 171,563 244,731 171,563 FA Sub 2 Limited Exchangeable Shares 58,905 58,905 58,905 58,905 Warrants 63,633 0 63,633 0

Weighted Average Outstanding Common stock (excluding Treasury Stock) 180,683 135,712 147,048 135,712 Unvested shares 10,468 10,468 10,468 10,468 FA Sub 2 Limited Exchangeable Shares 58,905 58,905 58,905 58,905 Warrants 43,709 0 11,017 0

GAAP, Weighted Average Fully Diluted Share Count Common stock 180,683 135,712 147,048 135,712 Unvested shares 0 0 4 0 FA Sub 2 Limited Exchangeable Shares 0 58,905 58,905 58,905 Warrants 0 0 4,084 0 Total 180,683 194,617 210,041 194,617

Non GAAP adjustments to weighted average fully diluted share count Common stock: GAAP, weighted average fully diluted share count 180,683 135,712 147,048 135,712 add: unvested shares issued pursuant to our equity participation plan, Restricted Stock Plan and LTIP on which dividends will be paid. 35,851 35,851 35,851 35,851 add: impact on weighted average fully diluted shares outstanding in each period of including 69.8 million shares of Freedom common stock from January 1, 2006 instead of November 2, 2007. 25,037 69,800 58,517 69,800 add: impact of using a post acquisition averaging period (59 days) for post acquisition warrant exercises and repurchases. 116 271 Non GAAP, weighted average fully diluted share count 241,687 241,363 241,687 241,363

Unvested shares: GAAP, weighted average fully diluted share count 0 0 4 0 adjust to recognize unvested shares already recognised in non-GAAP common stock count 0 0 (4) 0 Non GAAP, weighted average fully diluted share count 0 0 0 0

FA Sub 2 Limited Exchangeable Shares: GAAP, weighted average fully diluted share count 0 58,905 58,905 58,905 inclusion of Exchangeable shares as dilutive under non GAAP 58,905 0 0 0 Non GAAP, weighted average fully diluted share count 58,905 58,905 58,905 58,905

Warrants: GAAP, weighted average fully diluted share count 0 0 4,084 0 add: impact on weighted average fully diluted shares outstanding in each period of including 74 million warrants as outstanding from January 1, 2006 instead of November 2, 2007. (2) 30,671 33,625 29,061 33,625 Non GAAP, weighted average fully diluted share count outstanding 30,671 33,625 33,145 33,625

Non GAAP, Weighted Average Fully Diluted Share Count (1), (2) Common stock 241,687 241,363 241,687 241,363 FA Sub 2 Limited Exchangeable Shares 58,905 58,905 58,905 58,905 Warrants 30,671 33,625 33,145 33,625 Total 331,263 333,893 333,737 333,893

Equity Market Capitalization (US$ in Thousands) Common equity market capitalization (3) 4,129,449 0 4,129,449 0 Warrant market capitalization 383,068 0 383,068 0 Total equity capitalization (3) 4,512,517 0 4,512,517 0

(1) Reflects weighted average diluted shares outstanding eligible to receive common dividends or the equivalent plus diluted warrants outstanding under the treasury stock method.

(2) Uses the November 2, 2007, the date the Freedom transaction closed, price of $13.70 and share count of 230,467,891 for all prior periods.

(3) Assumes conversion of FA Sub 2 limited exchangeable shares

GLG Composition of Assets Under Management and Net Flows Supplement ($ millions)

Qtr on Qtr % Change As of Dec 31, YOY Q4 2007 Q4 2006 2007 2006 % Change

Alternative strategy $18,833 $10,410 80.9% 28.0% 13.4% Long-only 4,774 3,815 25.1% 4.7% 2.1% Internal FoHF 2,318 1,261 83.9% 40.4% 15.7% External FoHF 598 568 5.4% (0.0%) 11.2% Gross Fund-Based AUM 26,523 16,053 65.2% 23.2% 10.6% Managed accounts 2,357 1,233 91.2% 23.7% 18.4% Cash 206 310 (33.5%) 26.0% (16.5%) Total Gross AUM 29,086 17,596 65.3% 23.3% 10.4% Less: internal FoHF investments in GLG funds (2,331) (1,268) 83.9% 41.0% 16.2% Less: external FoHF investments in GLG funds (53) (49) 8.9% (3.0%) 2.1% Less: alternatives fund-in-fund investments (2,090) (1,125) 85.8% 47.3% 4.6% Net AUM $24,612 $15,154 62.4% 20.3% 10.5%

Continued

GLG Composition of Assets Under Management and Net Flows Supplement ($ millions)

As of Sep 30, YOY 2007 2006 % Change

Alternative strategy $14,713 $9,184 60.2% Long-only 4,561 3,735 22.1% Internal FoHF 1,651 1,089 51.6% External FoHF 598 511 17.2% Gross Fund-Based AUM 21,524 14,519 48.2% Managed accounts 1,905 1,042 82.9% Cash 164 372 (56.0%) Total Gross AUM 23,593 15,932 48.1% Less: internal FoHF investments in GLG funds (1,653) (1,091) 51.5% Less: external FoHF investments in GLG funds (55) (48) 14.7% Less: alternatives fund-in-fund investments (1,419) (1,075) 31.9% Net AUM $20,466 $13,718 49.2%

Continued

GLG Composition of Assets Under Management and Net Flows Supplement ($ millions)

Three Full Three Months Ended Year Ended Months Ended Dec 31, Dec 31, Sep 30, 2007 2006 2007 2006 2007 2006

Opening Net AUM $20,466 $13,718 $15,154 $10,300 $18,585 $13,467 Inflows (net of redemptions) 2,927 102 6,077 2,621 1,633 291 Performance (gains net of losses and fees) 986 1,033 2,383 1,541 (297) 35 Currency translation impact (no US$ AUM expressed in US$) 232 301 997 692 545 (76) Closing Net AUM $24,612 $15,154 $24,612 $15,154 $20,466 $13,718

% of Opening Net AUM Net Fund-based inflows (net of redemptions) 14.3% 0.7% 40.1% 25.4% 8.8% 2.2% Net Fund-based net performance (gains net of losses) 4.8% 7.5% 15.7% 15.0% (1.6%) 0.3%

Note: Net performance as a percentage of opening net AUM is based on both opening AUM and inflows during the period and can be influenced by heavy inflows.

GLG Net and Gross Flows Reconciliation Supplement ($ millions)

As of Mar 31, As of Jun 30, 2007 2006 2007 2006

Gross AUM $18,655 $13,834 $21,522 $15,627 YoY % Change 34.9% 37.7% Net AUM 16,085 11,811 18,585 13,467 YoY % Change 36.2% 38.0%

Three Three Months Ended Months Ended Mar 31, Jun 30, 2007 2006 2007 2006

Opening Net AUM $15,154 $10,300 $16,085 $11,811 Inflows (net of redemptions) 9 479 1,509 1,749 Performance (gains net of losses and fees) 845 901 848 (429) Currency translation impact (no US$ AUM expressed in US$) 77 131 143 336 Closing Net AUM $16,085 $11,811 $18,585 $13,467

% of Opening Net AUM Net Fund-based inflows (net of redemptions) 0.1% 4.6% 9.4% 14.8% Net Fund-based net performance (gains net of losses) 5.6% 8.7% 5.3% (3.6%)

Continued...

GLG Net and Gross Flows Reconciliation Supplement ($ millions)

As of Sep 30, As of Dec 31, 2007 2006 2007 2006

Gross AUM $23,593 $15,932 $29,086 $17,596 YoY % Change 48.1% 65.3% Net AUM 20,466 13,718 24,612 15,154 YoY % Change 49.2% 62.4%

Three Three Months Ended Months Ended Sep 30, Dec 31, 2007 2006 2007 2006

Opening Net AUM $18,585 $13,467 $20,466 $13,718 Inflows (net of redemptions) 1,633 291 2,927 102 Performance (gains net of losses and fees) (297) 35 986 1,033 Currency translation impact (no US$ AUM expressed in US$) 545 (76) 232 301 Closing Net AUM $20,466 $13,718 $24,612 $15,154

% of Opening Net AUM Net Fund-based inflows (net of redemptions) 8.8% 2.2% 14.3% 0.7% Net Fund-based net performance (gains net of losses) (1.6%) 0.3% 4.8% 7.5%

Continued...

GLG Net and Gross Flows Reconciliation Supplement ($ millions)

Full Year Ended Dec 31, 2007 2006

Opening Net AUM $15,154 $10,300 Inflows (net of redemptions) 6,077 2,621 Performance (gains net of losses and fees) 2,383 1,541 Currency translation impact (no US$ AUM expressed in US$) 997 692 Closing Net AUM $24,612 $15,154

% of Opening Net AUM Net Fund-based inflows (net of redemptions) 40.1% 25.4% Net Fund-based net performance (gains net of losses) 15.7% 15.0%

Continued...

GLG Net and Gross Flows Reconciliation Supplement ($ millions)

Three Three Months Ended Months Ended Mar 31, Jun 30, 2007 2006 2007 2006

Opening Gross Fund-Based AUM $16,053 $11,484 $17,060 $12,934 Fund-based inflows (net of redemptions) 160 206 1,393 1,407 Fund-based net performance (gains net of losses) 848 1,244 1,032 10 Closing Gross Fund-Based AUM $17,060 $12,934 $19,485 $14,351

% of Opening Gross Fund-Based AUM Gross Fund-based inflows (net of redemptions) 1.0% 1.8% 8.2% 10.9% Gross Fund-based net performance (gains net of losses) 5.3% 10.8% 6.0% 0.1%

Opening Managed Accounts AUM $1,233 $335 $1,398 $505 Inflows (net of redemptions) 68 135 351 535 Net performance (gains net of losses) 97 35 94 (103) Closing Managed Accounts AUM $1,398 $505 $1,843 $937

% of Opening Managed Accounts AUM Inflows (net of redemptions) 5.5% 40.4% 25.1% 106.0% Net Performance (gains net of losses) 7.9% 10.5% 6.7% (20.4%)

Continued...

GLG Net and Gross Flows Reconciliation Supplement ($ millions)

Three Three Months Ended Months Ended Sep 30, Dec 31, 2007 2006 2007 2006

Opening Gross Fund-Based AUM $19,485 $14,351 $21,524 $14,519 Fund-based inflows (net of redemptions) 1,798 243 3,680 129 Fund-based net performance (gains net of losses) 241 (75) 1,319 1,405 Closing Gross Fund-Based AUM $21,524 $14,519 $26,523 $16,053

% of Opening Gross Fund-Based AUM Gross Fund-based inflows (net of redemptions) 9.2% 1.7% 17.1% 0.9% Gross Fund-based net performance (gains net of losses) 1.2% (0.5%) 6.1% 9.7%

Opening Managed Accounts AUM $1,843 $937 $1,905 $1,042 Inflows (net of redemptions) 38 96 447 97 Net performance (gains net of losses) 24 8 4 94 Closing Managed Accounts AUM $1,905 $1,042 $2,357 $1,233

% of Opening Managed Accounts AUM Inflows (net of redemptions) 2.1% 10.3% 23.5% 9.3% Net Performance (gains net of losses) 1.3% 0.9% 0.2% 9.0%

Continued...

GLG Net and Gross Flows Reconciliation Supplement ($ millions)

Full Year Ended Dec 31, 2007 2006

Opening Gross Fund-Based AUM $16,053 $11,484 Fund-based inflows (net of redemptions) 7,030 1,986 Fund-based net performance (gains net of losses) 3,440 2,584 Closing Gross Fund-Based AUM $26,523 $16,053

% of Opening Gross Fund-Based AUM Gross Fund-based inflows (net of redemptions) 43.8% 17.3% Gross Fund-based net performance (gains net of losses) 21.4% 22.5%

Opening Managed Accounts AUM $1,233 $335 Inflows (net of redemptions) 904 865 Net performance (gains net of losses) 220 34 Closing Managed Accounts AUM $2,357 $1,233

% of Opening Managed Accounts AUM Inflows (net of redemptions) 73.4% 258.5% Net Performance (gains net of losses) 17.8% 10.2%

Note: Net performance as a percentage of opening net AUM is based on both opening AUM and inflows during the period and can be influenced by heavy inflows.

Non GAAP Financial Measures

GLG presents certain financial measures that are not prepared in accordance with U.S. generally accepted accounting principles, in addition to financial results prepared in accordance with GAAP.

Comprehensive Limited Partner Profit Share, Compensation and Benefits

("PSCB"): GLG's management assesses its personnel related expenses based on the measure non GAAP comprehensive limited partner profit share, compensation and benefits, or non GAAP PSCB. Non GAAP PSCB reflects GAAP employee compensation and benefits, adjusted to include limited partner profit share attributable to certain key personnel who are holders of direct or indirect limited partnership interests in certain GLG entities described below and to exclude acquisition-related share-based and other compensation and costs related to the acquisition by Freedom Acquisition Holdings Inc. ("Freedom") of GLG Partners LP and associated entities.

Beginning in mid-2006, GLG entered into partnership with a number of its key personnel who ceased to be employees and either became holders of direct or indirect limited partnership interests in certain GLG entities or formed limited liability partnerships through which they provide services to GLG. Through their partnership interests, these key individuals are entitled to partnership draws as priority distribution, which are recognized in the period in which they are payable. There is an additional limited partner profit share distribution, which is recognized in the period in which it is made. Key personnel that are participants in the limited partner profit share arrangement do not receive salaries or discretionary bonuses from GLG, except in one instance. Limited partner profit share does not affect net income, whereas comparable amounts paid to these key personnel as employees had been recorded as employee compensation and benefits prior to mid-2006 and accordingly reduced net income.

Under GAAP, limited partner profit share cannot be presented as compensation expense. However, management believe that it is more appropriate to treat limited partner profit share as expense when considering business performance because it reflects the costs of the services provided to GLG by these participants in the limited partner profit share arrangement. As a result, GLG presents the measure non GAAP PSCB to show the total cost of the services provided to GLG by both participants in the limited partner profit share arrangement and employees. For purposes of this non GAAP financial measure, GLG recognizes the limited partner profit share in the period revenues related to the limited partner profit share are recognized, rather than the period in which the limited partner profit share distributions are made.

Non GAAP PSCB is not a measure of financial performance under GAAP and should not be considered as an alternative to employee compensation and benefits.

Non GAAP Adjusted Net Income: GLG's management assesses the underlying performance of its business based on the measure "adjusted net income", which adjusts for (1) the difference between GAAP employee compensation and benefits and non GAAP PSCB as described above and (2) the cumulative dividends payable to the holder of exchangeable shares of our FA Sub 2 Limited subsidiary in respect of our estimate of the net taxable income of FA Sub 2 Limited allocable to such holder multiplied by an assumed tax rate. Adjusted net income is not a measure of financial performance under GAAP and should not be considered as an alternative to GAAP net income as an indicator of GLG's operating performance or any other measurers of performance derived in accordance with GAAP.

Non GAAP weighted average fully diluted shares: GLG's management assesses business performance per share based on the measure "non GAAP weighted average fully diluted shares outstanding," which adjusts average fully diluted shares outstanding under GAAP for (1) the unvested shares issued pursuant to our equity participation plan, which are recorded under GAAP as treasury shares, but upon which we will pay dividends; (2) unvested shares awarded under our 2007 Restricted Stock Plan and our 2007 Long-Term Incentive Plan upon which we will pay dividends; (3) the impact on the weighted average fully diluted shares outstanding of including all of the 69 million outstanding shares of Freedom common stock immediately prior to the closing of the acquisition by Freedom from January 1, 2006 rather than from November 2, 2007; and (4) the impact of including all of the 74 million Freedom warrants as outstanding from January 1, 2006 rather than from November 2, 2007 in determining the weighted average number of warrants outstanding in each period, and applying the treasury stock method to determine the number of fully diluted shares outstanding under such warrants applying the stock price on November 2, 2007 for all dates prior to November 2, 2007. Non GAAP weighted average fully diluted shares is not a measure of financial performance under GAAP and should not be considered as an alternative to GAAP fully-diluted shares outstanding or in calculating GAAP earnings per share.

GLG is providing these non GAAP financial measures to enable investors, securities analysts and other interested parties to perform additional financial analysis of GLG's personnel related costs and its earnings from operation and because GLG believes that they will be helpful to investors in understanding all components of personnel-related costs of GLG's business. GLG's management believes that non GAAP financial measures also enhance comparisons of GLG's core results of operations with historical periods. In particular, GLG believes that the non GAAP adjusted net income measure better represents profits available for distribution to stockholders than does GAAP net income. Non GAAP weighted average fully diluted shares is a non GAAP financial measure that we use internally to measure the number of shares on which we expect to pay dividends plus the warrants outstanding under the treasury stock method.

Investors should consider these non GAAP financial measures in addition to, and not as a substitute for, or superior to, measures of performance prepared in accordance with GAAP. The non GAAP financial measures presented by GLG may be different from financial measures used by other companies.

Web site: http://www.glgpartners.com/

Contacts:

Investors/analysts:

GLG: Simon White Chief Financial Officer +44-(0)20-7016-7000

Michael Hodes Acting Director of Investor Relations +1-212-224-7223

Media:

Finsbury: Rupert Younger/Amanda Lee +44-(0)20-7251-3801

Andy Merrill + 1-212-303-7600

DATASOURCE: GLG Partners, Inc.

CONTACT: Simon White, Chief Financial Officer, +44-(0)20-7016-7000,

; Michael Hodes, Acting Director of Investor

Relations, +1-212-224-7223, , both of GLG