Net Operating Profit

Net Operating Profit. Means, with respect to a given fiscal year, the net income of the Oaktree Operating Group, determined according to GAAP without consolidation of Funds, as adjusted by (i) adding back (A) the total compensation expense recognized with respect to the vesting of OCGH units granted on or before May 25, 2007 plus (B) 50% of the compensation expense recognized with respect to the vesting of OCGH units granted after May 25, 2007, (ii) excluding incentive income (net of incentive income compensation... expense) and phantom equity expense, (iii) excluding Net Investment Income and (iv) excluding compensation expense relating to individuals entitled to payments in respect of Net Operating Profit and Net Investment Income. View More

Net Operating Profit. Net earnings for the relevant period plus (i) interest expense, and (ii) income taxes.