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Cerberus is deeply concerned by the allegations and inferences that

have recently been made in Northern Ireland related to the sales


process for Project Eagle. First and foremost, Cerberus has not
been accused of any wrongdoing. The issues, as we understand
them, relate to the potential misappropriation of funds within a
Northern Ireland law firm, Tughans. Those issues should not be
conflated in any way with the integrity of the Project Eagle bidding
process or Cerberus participation in it. We have made it clear to
all parties that we welcome any investigation into these concerns
and will fully cooperate with any legal or regulatory authority.
We are meticulous in our approach to business and have zero
tolerance for inappropriate or unethical activities. We insist on the
same high standards of conduct from our advisers. In this matter,
as is our standard business practice, we codified these expectations
in our engagement letters with our outside advisers so that there
was no room for interpretation.
Specifically, we engaged Brown Rudnick as our lawyers to
supplement our primary legal team from Linklaters and assist us in
our bid for Project Eagle. We have had a long-standing
relationship with Brown Rudnick in the United States. Brown
Rudnick informed us that they wanted to retain Tughans as a
Northern Ireland based legal firm to supplement its work. Brown
Rudnick informed us that they wished to split their professional
fees with Tughans. Cerberus never engaged Tughans directly as
counsel and no fee from Cerberus was paid to Tughans.
In our engagement letter with Brown Rudnick, we received
certifications, representations and warranties covering a number of
issues including compliance with all laws and regulations
including the U.S. Foreign Corrupt Practices Act and the U.K.
Bribery Act. We insisted Brown Rudnick require Tughans be
bound by the same standards and we confirmed that Brown
Rudnick received the same explicit assurances from Tughans.

During the bidding process, NAMA requested that we confirm to it


that no fee, commission or other remuneration or payment was
payable to any current or former Board member of NAMA, any
current or former executive of NAMA or any current or former
member of an advisory committee of NAMA in connection with
any aspect of our participation in the tender process. After
receiving confirmation from Brown Rudnick, and a similar
confirmation by Tughans to Brown Rudnick, we provided such
confirmation to NAMA. Consequently, to our best knowledge, no
improper or illegal fees were paid by us or on our behalf by our
advisors.
As to the awarding of Project Eagle, we understand from NAMAs
public statements that we were the highest bidder in a structured
process overseen by Lazard, an internationally respected
investment bank. We conducted ourselves in accordance with the
highest ethical standards in the bidding process and we have done
the same in connection with our ownership and management of the
Project Eagle portfolio. We have no knowledge or reason to
believe that process was conducted with anything but the utmost
integrity. We are monitoring the situation closely and will be
active in communicating the care we took with this process and in
vigorously defending any suggestion to the contrary.